Nike plans could invest up to $150 million in new facilities and hire at least 500 additional employees in the Beverton, Oregon area of Washington County, as a result of state legislators voting to extend the length of time tax incentives, based on hiring quotas, are offered to the firm.
Last week state legislators extended tax credits the firm is receiving to hire additional workers for up to three decades. Governor John Kitzhaber called a special session to vote on an extension to the firm’s incentive package due to the urgency and importance of keeping Nike in Oregon and creating jobs.
“With legislative action this week, Oregon can secure high wage jobs and hundreds of millions of dollars of new private investment in the next five years,” said Gov. Kitzhaber. “In fact, Nike is ready to commit to a significant expansion of its Oregon operations if the state can provide certainty we won’t change tax rules after they make a new investment. It’s an easy call and a perfect fit with our strategy to attract and retain companies that create jobs and boost per capita income.”
While Nike did not state where it would expand in Oregon, the Governor’s Office said at stake is the potential for up to $400 million in investment and the creation of more than 2,000 permanent new jobs, which would be a huge win for any state. Utilizing The Economic Impact Investment Act the Governor can enter into qualifying investment contracts with any company committing to a minimum of 500 jobs and $150 million in capital investment over five years.
“Private sector job growth is driving Oregon’s economic recovery, but state government has an important role to play in helping create a business climate to accelerate that growth,” said Oregon Business Association president Ryan Deckert. “We’ve been focused on finding ways to boost wages, and the Economic Impact Investment Act will be a powerful tool to drive per capita income up in Oregon.”
The firm may also qualify for additional county and local tax incentives once expansion plans are announced.