An Oregon liquor store that is part of the state’s beer industry will get $1.2 million in state and federal tax relief in a deal that was signed by Gov.
The Oregon Liquor Control Commission announced the deal on Thursday.
It is the first time the state has paid the state-owned liquor stores for a portion of their taxes since a federal court in 2010 ruled they were eligible for tax relief.
Brown’s administration said it is now committed to continuing to provide a tax relief package to Oregon liquor stores.
The tax relief is part for state sales taxes and the remaining money will be used to invest in new stores and services, the governor’s office said.
The deal includes a one-time payment of $3.2 billion to fund investments in new locations, including a new brew pub in Oregon City.
The agreement was negotiated with the state and local governments.
Brown is hoping to sign another tax relief agreement with the industry before the end of the year.
She said she is committed to working with the Oregon Liquors Control Commission to keep the state in business.
The Oregon Liquour Control Commission on Thursday announced that it has signed an agreement with an Oregon-based company to pay for the construction of a new beer bar, a new brewery and new retail locations.
The beer bar will be located in a newly opened location at the corner of E. Oregon Avenue and Interstate 205.
The brewery will be based at the same site.
The liquor store will pay $400,000 in tax credits for its first year and $350,000 for each of its subsequent five years.
Brown’s administration and the Oregon Alcoholic Beverage Control Association hailed the deal as a win for the state, its residents and its business owners.
The state has been losing about $2.5 billion a year in taxes from beer sales.
The agency estimates Oregon has about 100 breweries, most of which have shuttered, according to a recent study.
Oregon is among the last states to pay tax relief to alcohol stores.
That state is now considering allowing liquor stores to apply for federal tax breaks, though that process has stalled.
Associated Press writers Jeff Boykin in Portland and John Ingold in Eugene, Ore., contributed to this report.