Advanced Micro Devices Subsidy News
On its last day of business for the year, the New York State legislature
approved a subsidy package for Advanced Micro
Devices (AMD) to build a chip manufacturing plant at the
Luther
Forest Tech Park in Malta. Subsidies will top $1 billion in the
form of cash grants and tax breaks, and officials estimate that that about
1,200 permanent jobs will be directly created.
Most of the subsidies were contained in a large budget "clean-up" bill passed by the state legislature under a message of necessity, a tool used to bypass the state’s constitutional requirement that the final version of a bill must be on each legislator’s desk for three days before it can pass. As a result, the vast majority of legislators were forced to vote on the subsidy package only hours after receiving the authorizing bill, which also contained funding for arts, education, and health care programs.
• Learn more about AMD.
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Subsidy Breakdown |
Jobs Breakdown¹ |
| $650 million in grants pursuant to a letter of intent executed between the Empire State Development Corporation. Of this total, $500 million is earmarked for "costs associated with the development" of the facility and $150 million for "research and development activities." |
According to economic development officials, the project will result in the creation of: • 1,200 direct, permanent jobs • 2,000 construction jobs. • 3,000 indirect jobs.
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| $280 million for infrastructure work associated with the plant, with funds provided by Congressman John Sweeney, New York State, Saratoga County, and the towns of Malta and Stillwater. | |
| $400-$500 million in Empire Zone benefits, according to Senate Majority Leader Joe Bruno, who represents the district where the plant will be located. |
¹ Ken Green, president of the Saratoga Economic Development Corporation.