7 abated companies in Nevada to invest $490 million and generate $178M in tax revenue
Submitted by Carson Now Reader on Mon, 06/20/2022 - 9:30am
CARSON CITY — The Nevada Governor’s Office of Economic Development Board approved seven companies that will receive $53,112,166 in tax abatements. In return these companies are required to create 1,013 jobs in the next two years at an average weighted hourly wage of $28. That figure is expected to grow to 1,722 in five years.
Additionally, these companies will make a capital investment of $490,309,444 in the first two years of operation and generate $178,220,769 in net new tax revenues over the next 10 years.
“Nevada is continuing to attract quality companies that are creating great jobs for working families,” said Governor Steve Sisolak. “Since January of 2019, the 86 companies that have received abatements will create 13,227 jobs over five years. These companies are making $2.4 billion in capital investments and will generate $1.2 billion in new net tax revenues over the next decade.”
Six of these companies that received abatements are new, and another will be included in the Economic Development Rate Rider program.
“One of these companies is paying an average wage of $45 per hour and another is making an initial capital investment of $119 million,” said Michael Brown, GOED Executive Director. “We continue to scrutinize the companies that receive these abatements to ensure they align with the industries that we are pursuing and that they are creating high skill jobs.”
The companies approved for abatement last week include:
— VSE, LLC is planning to establish an 84,000 square foot electronics research, design, and assembly facility in Washoe County. VSE is an established electronic and mechanical design and engineering company servicing small to multi-billion-dollar companies in a vast array of industries such as semiconductor, medical devices, green-tech, and automotive innovation. It will receive $318,449 in tax abatements. It will be required to create 70 jobs in the first two years of operation at an average weighted hourly wage of $29.64. It is expected to grow to 140 jobs in five years. This company will make $2,193,634 in capital investment within the first two years of operation and generate $7,875,327 in net new tax revenues over 10 years.
— Bella + Canvas, LLC was approved for a 488,100 square foot warehouse facility in Clark County. The company is headquartered in Los Angeles and is the largest manufacturer of wholesale apparel in the United States. Bella + Canvas specializes in the design, manufacturing, and distribution of clothing basics. It will receive $1,598,693 in tax abatements. It will be required to create 10 jobs in the first two years of operation at an average weighted hourly wage of $30. The company anticipates having an additional 900 non-incentivized positions when fully operational in the first year. This company will make $19,034,935 in capital investment within the first two years of operation and generate $4,741,997 in net new tax revenues over 10 years.
— Crocs, Inc. is building a 1 million square foot distribution and warehousing facility in Clark County. Crocs is a world leader in innovative casual footwear. Crocs shoes feature technology that gives each pair of shoes soft, comfortable, lightweight, non-marking and odor resistant qualities. It will receive $8,642,248 in tax abatements. It will be required to create 250 jobs in two years of operation at an average weighted hourly wage of $26.98. It is expected to grow to 325 jobs in five years. This company will make $85 million in capital investment within the first two years of operation and generate $29,848,241 in net new tax revenues over 10 years.
— Foam of Nevada, Inc. plans to establish a 200,000 square foot Expanded Polystyrene (EPS) manufacturing facility in Clark County. Foam of Nevada was created in 2022 to address the logistical challenges with sourcing raw materials for HomeFoam Corporation which is a Nevada form cutting and casting company. It will receive $1,879,048 in tax abatements. It will be required to create 450 jobs in two years of operation at an average weighted hourly wage of $27. It is expected to grow to 720 jobs in five years. This company will make $12,530,000 in capital investment within the first two years of operation and generate $46,317,575 in net new tax revenues over 10 years.
— Novva Holdings Inc. is planning to establish a 250,000 square foot data center facility in Clark County. This facility will provide data center services such as installing and maintaining network resources, data center security, monitoring systems and power and cooling infrastructure. It will receive $15,283,444 in tax abatements. It will be required to create 11 jobs in the first five years of operation at an average weighted hourly wage of $30.60. This company will make $119,037,375 in capital investment within the first five years of operation and generate $19,722,541 in net new tax revenues over 10 years.
— NTherma Corp. will build an industrial-scale manufacturing facility in Nevada. The facility will produce Graphene Molecular Wire, a material used to significantly improve performance and decrease manufacturing costs of energy storage devices including those used in electric vehicles and those used to improve the electric grid. It will receive $7,913,429 in tax abatements. It will be required to create 44 jobs in the first two years of operation at an average weighted hourly wage of $45.19. It is expected to grow to 294 jobs in five years. This company will make $76,524,800 in capital investment within the first two years of operation and generate $29,887,138 in net new tax revenues over 10 years.
— Ball Metal Beverage Container Corp. was approved for the Economic Development Rate Rider (EDRR) Program, for its planned manufacturing facility in Clark County. The company was approved for a 5MW EDRR allocation. Pursuant to NRS Chapter 704.7876, the Office, in consultation with the Public Utilities Commission of Nevada, can grant the Lead Participant a Certificate of Eligibility for an EDRR for discounts to be applied for eight years on rates for up to 25 megawatts of power capacity used by the Company within the Project Site pursuant to a contract with a term of 10 years. This EDDR application is supplemental to the company’s approval, for tax abatements, for the same project in 2021. Ball Metal Beverage Container Corp. will establish a multiline beverage packaging facility in North Las Vegas.
The company estimates such a facility requiring approximately 750,000 square feet of space to accommodate its full production capacity. Ball is one of the world’s leading suppliers of aluminum packaging for beverages, foods, and household products. In addition, Ball also provides aerospace and other technology related services to commercial and governmental customers. As per the company’s 2021 application, it will receive $17.5 million in tax abatements. It will be required to create 178 jobs in the first two years of operation at an average weighted hourly wage of $33.65. It is expected to grow to 222 in five years. The company will make $175 million in capital investment within the first two years of operation and generate $39,827,950 in net new tax revenues over 10 years.
About the Governor’s Office of Economic Development
Created during the 2011 session of the Nevada Legislature, the Governor’s Office of Economic Development is the result of a collaborative effort between the Nevada Legislature and the Governor’s Office to restructure economic development in the state. GOED’s role is to promote a robust, diversified and prosperous economy in Nevada, to stimulate business expansion and retention, encourage entrepreneurial enterprise, attract new businesses and facilitate community development.
