Subsidy Tracker Individual Entry

Company: 
Apple
Parent Company: 
Apple Inc.
Subsidy Source: 
multiple
Location: 
North Carolina
City: 
Maiden
County: 
Catawba
Project Description: 

data center/server farm

Year: 
2009
Major Industry of Parent: 
electrical and electronic equipment
Subsidy Value: 
$320,700,000
Program Name: 
multiple
Awarding Agency: 
multiple
Type of Subsidy: 
MEGADEAL
Number of Jobs or Training Slots: 
50
Capital Investment: 
$1,000,000,000
Source of Data: 

The local portion of the subsidy package and the job and investment requirements are taken from Catawba County's Joint Special Meeting with the Maiden Town Council, Resolution No. 2009, July 6, 2009; available on-line at: http://www.catawbacountync.gov/commish/minutes/070609spec.pdf and "Maiden raises offer for Apple data center," Associated Press, July 7, 2009. The state portion of the package was taken from Legislative Fiscal Note for Senate Bill 575 (Third edition), General Assembly of North Carolina, Session 2009, May 22, 2009; available on-line at: http://www.ncleg.net/Sessions/2009/FiscalNotes/Senate/PDF/SFN0575v3.pdf. The bill did not mention Apple by name but was designed so that Apple alone would qualify.

Notes: 

The $320.7 million package included local and state subsidies. Local governments granted the company a 50 percent real property tax abatement and an 85 percent personal property tax abatement, together worth about $20.7 million over 10 years. The state modified its formula for calculating Apple's income tax liability using the single sales factor approach, saving the company $3 million per year starting in FY 2011-2012 and $12.5 million per year starting in FY 2018-2019. It would total about $300 million if Apple stays in North Carolina for 30 years. Gov. Perdue announced the Apple deal right after signing the bill (see her June 3, 2009 press release; available online at: http://www.nccommerce.com/news/press-releases/u4733q/6170706c65?udt_4733...). See also: Ken Elkins, "Apple may drop into Catawba County," Charlotte Business Journal, June 3, 2009 and Kenneth P. Thomas, "EU Control of State Aid to Mobile Investment in Comparative Perspective," Journal of European Integration, August 2012. The main Subsidy Tracker data has a $344,947 Industrial Development Fund entry for 2010 but this is separate from the large award.

Source Notes: 
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