US Arlington County approves incentives for Amazon HQ

0 Comment(s)Print E-mail Xinhua, March 18, 2019
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E-commerce giant Amazon [Photo/Xinhua]

The Arlington County Board on Saturday approved a 23-million-U.S.-dollar incentives package for e-commerce giant Amazon to build its second headquarters in the county in the U.S. state of Virginia.

The decision came after four hours of public hearing, in which supporters highlighted the economic benefits, such as bringing jobs, promoting infrastructure upgrading, and diversifying the economy, while opponents questioned the necessity of the incentives, and cautioned on rising housing prices and the displacement of lower-income residents.

Late Saturday afternoon, protesters demanded to question Amazon representatives directly, accusing the board of avoiding "hardball" questions. They shouted "shame" repeatedly, leading the board to call a brief recess before reconvening for the vote.

The 5-0 vote would grant Amazon "performance-based" incentives of 23 million dollars if the company meets the targets of occupying 6 million square feet (557,000 square meters) of office space over the next 15 years.

Amazon had promised to create at least 25,000 jobs in the area, and an estimated 174 million dollars in revenues are expected to pad county coffers in the next 12 years.

"I view this agreement as a new model for economic development, where most resources are devoted to improvements in infrastructure and developing human capital," Arlington County Board Chair Christian Dorsey said.

"Only 5 percent of the incentives are paid directly to Amazon, and only if they are successful in contributing to revenue growth while fulfilling their commitments to invest in Arlington," he said.

The Virginia General Assembly had approved state tax incentives of up to 750 million dollars over the next 15 years for the company.

Last month, Amazon unexpectedly pulled out of a planned corporate campus in New York City, citing opposition from "some state and local politicians."

The company's new headquarters plan has drawn backlash since November, when it announced its decision to split its new headquarters between Long Island City in the New York City borough of Queens and Crystal City, Arlington County. 

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