From staff and wire reports
WASHINGTON – A vote could come this week on a slimmed-down set of bills to bolster the U.S. computer chip industry, legislation central Ohioans have been watching because of its potential impact on Intel’s planned semiconductor plant near New Albany.
Senate Majority Leader Chuck Schumer told lawmakers that a vote could come as early as Tuesday now that key Republicans are warming up to the bill, which provides roughly $52 billion in incentives to chip makers. The Biden administration has warned that those manufacturers may expand overseas instead of the U.S. unless the bill passes.
American firms that make semiconductors are under global pressure to keep pace with an ever-growing demand for chips, even as foreign lands court U.S. firms with incentives to move abroad.
Intel is planning to invest more than $20 billion to develop a 1,000-acre “mega-site” in Licking County, which the company says can accommodate a total of eight factories.
State officials say the development could create 3,000 permanent jobs and 7,000 construction jobs.
Three weeks ago, the bill looked like it could be in trouble despite having significant bipartisan support. That’s when Senate Republican leader Mitch McConnell said there would be no bill as long as Democrats pursued what he called a “partisan reconciliation” package.
But circumstances have changed.
The possibility of GOP support was boosted when Sen. Joe Manchin (D-WV) quashed a provision that would have slapped higher taxes on the rich and on corporations.
The add-on threatened to scuttle the bill but GOP Senator John Cornyn of Texas says that removing proposed tax hikes in the reconciliation bill has opened the door to Republican cooperation on semiconductors.