The second seat of Amazon is facing new blocks in the vote on funding in Virginia



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WASHINGTON (Reuters) – Amazon.com Inc.'s plan to set up a second headquarters in northern Virginia, after being pushed back to New York, will face its first test when local officials decide on a project on Saturday. proposed financing with an estimated value of $ 51 million ($ 38.36). million pounds).

FILE PHOTO – People are moving past the rostrum before a press conference on the announcement of the Crystal City selection as the headquarters of the new Amazon Headquarters in Arlington, Virginia, United States on November 13 2018. REUTERS / Kevin Lamarque

In November, Amazon chose National Landing, a site owned jointly by Arlington County and Alexandria, just outside Washington, as well as New York for its headquarters, called the second headquarters. This followed a year – long search in which hundreds of municipalities, from Newark, New Jersey, to Indianapolis, competed for the coveted taxes and high – wage jobs promised by the project.

In February, Amazon abruptly canceled the construction of part of its second headquarters in New York after opposition from local leaders, upset by the incentives promised by politicians from cities and states.

While opposition to Arlington is still nascent, voting has become a political focus between project supporters and activist opponents. He gave local activists the opportunity to lobby for a deadline so that the county's proposal could be examined and debated further.

A panel of five members of Arlington County Council will vote to find out if Amazon will receive the some $ 51 million, or a fraction of the $ 481 million promised by the county. Only 5% of the incentives are direct.

The state also offered Amazon a $ 750 million package, which the Virginia General Assembly approved with little opposition.

The scene in Saturday's vote will probably be different. At least 100 members of local activist groups are expected. The protests should begin at least an hour before voting can take place at 1 pm EST, Reuters learned from groups of workers.

The $ 51 million includes a controversial direct financial incentive or a $ 23 million cash grant to Amazon over 15 years, which will be levied from taxes on Arlington hotel rooms. This subsidy is contingent on Amazon occupying 6 million square feet of office space in the first 16 years.

Arlington also proposed to invest approximately $ 28 million over 10 years of future property tax revenues in the on-site infrastructure and open spaces located at the headquarters site.

A document posted on the County Council website indicates that the $ 23 million grant and $ 28 million in strategic public infrastructure investments were "critical to Arlington's choice of Amazon for its headquarters. "

A county spokesman declined to comment.

Arlington County President Christian Dorsey has stated publicly that he has "no interest" in postponing the vote and that he has not heard any suggestions from other members of the Board of Directors. and expected the measure to be adopted.

The 25,000 new jobs at Amazon will help offset the more than 34,000 jobs Arlington has lost since 2003 due to the closure of federal agencies and other factors, and contribute to the diversification of the local economy. said company spokeswoman Jill Kerr. "Our $ 2.5 billion investment will generate more than $ 3.2 billion in tax revenue that can be used for public services."

For us activists, not Amazon, a coalition of nine groups of grbadroots workers and grbadroots organizations working in areas such as minority advocacy, are not convinced.

Roshan Abraham, an organizer of Our Revolution Arlington, a member of the coalition, said his group wanted Amazon to engage more with the community, hold public hearings on the company's investments, as well as to discuss the issues. Attacking housing costs, moving low-income families near the proposed site and donating to affordable housing funds.

"Our concern is that Amazon has met behind closed doors, at invitational events, but has not met the community in a public and accessible way," he said.

Amazon said it has met with many community leaders and residents, including local businesses, non-profit organizations and civic and community badociations, and continues to engage with them as it grows in Arlington.

Report by Nandita Bose in Washington; Edited by Richard Chang

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