Lam Research's proposed $1.7 billion expansion of its Tualatin campus heads to two public votes this week, with the Washington County Board of Commissioners set to hear testimony and vote August 4, and the Tualatin City Council scheduled to act August 10.

The deal, if approved, would reduce Lam's property taxes on new construction through a 15-year Strategic Investment Program agreement while the company builds out a major research and development complex on its 76-acre campus at 11155 SW Leveton Drive.

In exchange, the county and city would gain an estimated $111 million in combined tax payments and fees, plus roughly 2,520 jobs projected over the life of the project.

Here's what the numbers look like for local services: Lam would pay approximately $84 million in statutorily required property taxes and fees, plus an additional $27 million in negotiated local fees through 2041, according to a Washington County press release issued July 31.

Jobs breakdown

An economic impact analysis by Optimal Solutions Group projects the expansion would create more than 1,400 construction jobs, about 670 positions tied to equipment installation and technical support, and nearly 450 ongoing R&D jobs in laboratory work, engineering, and testing.

Sesha Varadarajan, Lam Research's executive vice president and chief operating officer, pointed to the company's 20-plus-year presence in Washington County and its role anchoring the Silicon Forest semiconductor cluster. In the July 31 announcement, Varadarajan called the proposed agreement "the next chapter" of Lam's partnership with the county, saying it would help the company expand what he described as a world-class hub for semiconductor equipment innovation.

Lam already employs roughly 3,000 people at its Tualatin locations along SW Leveton Drive and SW 108th Avenue, with additional sites in Sherwood and Hillsboro. In November 2025, the company unveiled a $65 million, 120,000-square-foot office building on the campus with capacity for 700 workspaces.

What's being built

The expansion, known internally as the "TUX" project, calls for three new buildings on the south side of the existing campus: a 164,000-square-foot Offices and Engineering Building, a 55,000-square-foot Central Utility Building, and a 205,000-square-foot Laboratory and R&D Building to be constructed in two phases. The project targets Net Zero energy use and LEED certification.

How the tax deal works

Oregon's Strategic Investment Program lets counties partially abate property taxes when companies make large capital investments. Businesses still pay full taxes on the first $100 million invested in an urban area, with that threshold rising 3% each year. The abatement kicks in only above that floor.

Washington County has used the program six times since 1993, attracting more than $50 billion in total investment and helping create over 19,000 jobs, according to the county's SIP overview. The largest prior deal: a 2014 agreement with Intel in Hillsboro that set the stage for up to $100 billion in investment.

"Agreements like this provide clarity and confidence for the county, the city and the company alike, while ensuring stable revenues that support local services," Marni Kuyl, Washington County's assistant county administrator, said in the July 31 press release.

What happens next

The county commissioners meet at 10 a.m. Tuesday, August 4, at the Public Services Building, 155 N. First Ave., Hillsboro. The Tualatin City Council takes up the agreement at 7 p.m. Monday, August 10. Both meetings are open to public testimony.

If both bodies approve, the Oregon Business Development Commission must give final sign-off before the agreement takes effect.