Amazon HQ2: New York politicians criticize 'corporate welfare'
Amazon’s possible construction of a new headquarters in New York’s Long Island City with the aid of tax incentives would amount to “massive corporate welfare,” according to two New York State politicians.
New York State Sen. Michael Gianaris and New York City Council member Jimmy Van Bramer, both Democrats, said they have “serious reservations” about reports that Amazon will divide its long-awaited “HQ2” between two cities – Long Island City and Crystal City, Virginia. Dozens of cities competed to lure Amazon to their locales, offering tax breaks and other incentives in the process.
“Offering massive corporate welfare from scarce public resources to one of the wealthiest corporations in the world at a time of great need in our state is just wrong,” the politicians said in a joint statement. “The burden should not be on the 99 percent to prove we are worthy of the 1 percent’s presence in our communities, but rather on Amazon to prove it would be a responsible corporate neighbor.”
Amazon has faced criticism for the impact it has had on Seattle, the locations of its original headquarters. While Seattle has experienced a boom in tax revenue and an influx of white-collar professionals due in part to Amazon’s presence, the city has also struggled with skyrocketing property values that fueled an ongoing homelessness crisis.
Amazon representatives did not immediately respond to a request for comment on the politicians' statement.
While soliciting bids for “HQ2,” Amazon vowed to invest $5 billion back into the community of whichever location is selected and hire 50,000 well-paid new employees in the region. It’s unclear how the company’s apparent decision to split the new headquarters between two cities will impact its planned investments.
New York Gov. Andrew Cuomo said New York has prepared a “great incentive package” to lure Amazon to the area, The New York Times reported. The exact terms of that incentive package are unclear.
