Port Proposes 50/50 TIF Split on Malaga Microsoft Sites

Port of Chelan County Commissioners propose a 50/50 revenue split of property taxes collected on the first three Microsoft datacenter buildings in Malaga between the proposed Tax Increment Area and each of the impacted taxing districts.

This comes after the Chelan Douglas Regional Port Authority delayed its Dec. 9 vote to its next commission meeting on Dec. 23. in response to overwhelming community testimony given during the public meetings and the concerns of the taxing districts.

Those taxing districts include Chelan County, Wenatchee Valley Fire Department, NCW Libraries, County Road District, and the Chelan County Flood Control Zone District.

“The Port of Chelan County Commissioners took to heart the testimony given during the public meetings and the concerns of the taxing districts. We remain committed to supporting thoughtful and strategic economic development in Malaga, and hope that the proposed revenue-sharing plan will alleviate concerns of the taxing districts. We hope that this is a way to marry infrastructure needs in a growing community while maintaining established services and benefits and limiting impacts to taxpayers,” explained Port of Chelan County Commissioner Donn Etherington.

The Port of Chelan County Commissioners are expected to prioritize Malaga sewer infrastructure as a top project funded by TIA revenue.

Chelan County Commissioner Brad Hawkins said he hopes to see something positive come of the vote.

"My personal message to the Port is to push pause on this implementation of the [TIA]," Hawkins said. "Work with all the stakeholders in a collaborative process to try to figure out a pathway forward to either reduce the TIA area or implement some revenue-sharing opportunities."

While Hawkins' message came before the announcement from the Port, he also urged the Port not to take action during the Dec. 23 meeting.

The TIA covers 3,326 acres in Malaga, encompassing the Microsoft data centers, the old Alcoa plant, and the potential for Helion Energy's first-ever Fusion Power Plant.