Tesla on track for its Nevada hiring and tax incentive goals
Electric car maker Tesla is on track for its hiring and tax incentive goals in Nevada, a new audit of the company shows.
Nevada gave Tesla a tax incentive package in 2014 amounting to $1.3 billion, an amount calculated based on expected employees, capital spent and other factors.
Based on the requirements of the tax incentive deal, Tesla and its partners have until 2024 to make a minimum of $3.5 billion in capital investments.
The Tesla factory, currently under construction in the Reno area, has cost the companies involved over $3.27 billion so far.
As of Sept. 30, 2017, the latest date the audit covers, the state has credited $143.86 million in taxes to Tesla to build the factory.
“Tesla continues to outperform expectations and has proven to be a strong partner in Nevada, providing significant capital investment, job creation and opportunities for workforce development,” Paul Anderson, director of the Governor’s Office of Economic Development, said in a statement.
Tesla started the project in October 2014. It’s about 30 percent complete with a footprint of 1.9 million square feet.
In its tax incentive agreement with Nevada, Tesla estimated it would need 6,500 employees in the Gigafactory by 2024.
To date, the project has employed 2,417 workers, 93 percent of them in-state residents with an average wage of $37.66. Tesla has employed 1,636 people to date, 90 percent of them in-state residents with an average wages of $39.40.
Battery maker Panasonic Energy Corp. of North America has employed 715 people to date, 99 percent of them in-state residents with an average wage of $32.65.
H&T Nevada, an affiliate of German component maker Heitkamp & Thumann Group, has employed 66 people to date, 79 percent of them in-state residents with an average wage of $34.85.
Contact Wade Tyler Millward at wmillward@reviewjournal.com or 702-383-4602. Follow @wademillward on Twitter.