Featured Image Credit: (Background) Tesla, (Flag) Nicholas Raymond/Flickr
The Del Valle Independent School District Board of Trustees approved an incentive agreement for Tesla’s Cybertruck and Model Y Gigafactory in Texas. The incentives Del Valle approved are separate from the incentive deals still being discussed by the Travis County Commissioners Court.
According to a previous Tesmanian report, Del Valle’s incentives include tax abatements for Tesla amounting up to US$50 million in over ten years. Local state media—KUT 90.5—estimated that the school district could net as much as US$28 million in taxes within the ten year period. It noted that the current owner of the plant Tesla plans to turn into its Cybertruck and Model Y Gigafactory is paying US$58,000 in property taxes to the district every year.
It seems that the school district agreed to welcome Tesla because it could bring more rewards and opportunities to the surrounding community. Rebecca Birch, President of the School Board, thanked everyone who participated in the deliberation over Del Valle’s incentive agreement for Tesla.
“As a board member and somebody that has lived in Del Valle for almost 20 years, we’ve been trying to get attention. People are paying attention now. I’m hoping that they continue to pay attention and they see that Del Valle has always been a diamond in the rough,” she said.
However, Tesla’s incentive agreement with Del Valle did not get unanimous support. One board member, named Susanna Woody, expressed some of her concerns regarding the incentive given to the EV automaker.
“For the board to make a decision that’s going to impact the next 10 years, without even thinking about negotiating and not even wanting to put that on the table, is irresponsible. I’m not going to put that on the district,” Woody said.
Del Valle’s incentive agreement is just one of two that Tesla is being offered if it chooses to build its Cybertruck and Model Y Gigafactory in Texas. Travis County is offering a property tax rebate worth about US$14.65 million over 10 years to Tesla.
The Travis County Commissioners Court will discuss Tesla’s incentive deal again next week. “We have staff basically doing the little bit of additional work to finalize the agreement and we will have the matter back on the court's agenda for action next Tuesday, July 14," said County Judge Sam Biscoe to the Austin Business Journal before ending the commissioners meeting on July 8.Follow @PurplePanda88