Good Jobs First has just completed an upgrade to our “Megadeals” dataset, by adjusting all subsidy values for inflation. (Megadeals we define as $50 million or more for a single project.) Considering that the first reported Megadeal took place in 1976, they now span 46 years. So adjusting for inflation matters for accurate comparison of deals many years apart.
Right now, three tech companies—#1 and #2 microchip makers Intel and Samsung and electric-truck start-up Rivian—are staging secret subsidy auctions, playing states against each other for new facilities.
By now, tax concessions of this magnitude for individual companies aren’t a surprise, but as I read this article, it made me recall an effort that was in the media before the pandemic to do something to halt or limit business tax incentives. I wondered what had become of the effort, which included a proposed multistate compact on tax incentives.
We spent this summer collecting data for the latest Subsidy Tracker update, which now is posted online and available to users. This update consists mostly of local data; however, we also added state data and four megadeals.
In the week and a half since Jerry Hirsch of the Los Angeles Times’ broke a story on billionaire entrepreneur Elon Musk’s use of subsidies as key to his business’ plans, the story has gone viral.