Tesla Motors has now confirmed it has broken ground on land outside Reno for a potential site for a $5 billion lithium-ion battery factory that would employ as many as 6,500 workers.
According to a Las Vegas news account, in a letter to shareholders, Tesla CEO Elon Musk said the Reno site “could potentially be” the location for the so-called Gigafactory. “Consistent with out strategy to identify and break ground on multiple sites, we continue to evaluate other locations in Arizona, California, New Mexico, and Texas,” Musk wrote.
In fact, this past weekend the Reno newspaper reported work at the site had stopped, and this was confirmed by a developer of the site.
This is August. What possibly could Tesla officials be waiting on?
November perhaps? That’s when Nevadans will decide whether to impose a 2 percent margins tax on all businesses grossing more than a million dollars a year. The money — an estimated $800 million a year — supposedly would fund education. The tax would give Nevada an effective corporate income tax rate on profits of 15 percent — the highest in the West and nearly double California’s business tax rate of 8.8 percent.
The most recent study of the tax’s impact for Nevada Policy Research Institute by Beacon Hill Institute at Suffolk University said it would destroy 3,600 full-time-equivalent private sector jobs.
Anyone care to add in the jobs that will not come to Nevada as result of such a tax? Perhaps we should start the count at 10,000 jobs and see where it goes from there.