Subsidy Tracker Individual Entry

Company: 
Nissan
Parent Company: 
Nissan
Subsidy Source: 
multiple
Location: 
Mississippi
City: 
Canton
County: 
Madison
Project Description: 

automobile assembly plant

Year: 
2000
Major Industry of Parent: 
motor vehicles
Specific Industry of Parent: 
motor vehicles
Subsidy Value: 
$1,250,000,000
Program Name: 
multiple
Awarding Agency: 
multiple
Type of Subsidy: 
MEGADEAL
Number of Jobs or Training Slots: 
4,000
Capital Investment: 
$1,430,000,000
Source of Data: 

The value and the details of the subsidy package are taken from: A Good Deal for Mississippi? A report on taxpayer assistance to Nissan in Canton, Mississippi (Good Jobs First, May 2013); online at http://www.goodjobsfirst.org/sites/default/files/docs/pdf/nissan_report.pdf

Notes: 

Press accounts at the time of the deal used a subsidy value of $295 million, but this covered only the amount that the state legislature initially authorized in bonds to finance infrastructure and training assistance (another $68 million in bonds was authorized in connection with an expansion of the plant in 2001). In addition, Madison County floated $20 million in bonds and the state Department of Transportation provided $24.6 million. The estimate did not include the cost of the other features of the package, including a 20-year Job Tax Credit; a 20-year Advantage Jobs Incentive; and a reduction in the franchise tax. A 2013 report by Good Jobs First estimated the value of the three state tax subsidies at $632 million and the value of local property tax abatements (via a PILOT agreement) at $210 million over 30 years. That brought the total of the package to $1.25 billion plus an estimated $90 million in borrowing costs for the bonds (not included in the estimate here). The main Subsidy Tracker data has no data on the original subsidies but lists some more recent awards to Nissan.

Source Notes: 
If an online information source is not working, check the Tracker inventory page for an updated link.