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Amazon to Build Second HQ in North America

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Re: Amazon to Build Second HQ in North America

#461

Earlier quoted context omitted.

Unless money is being funneled into private politicians’ hands, it’s not corruption. The choice is between amazon + tax breaks and nothing. These cities clearly believe that they’re better off, net net, with Amazon and they’re probably right. This is not at all the same as accepting bribes. There are certainly bad deals out there, but mismanagement is not the same as corruption. Now if you can show that the politicia…

It's a race to the bottom. It results in one state or city that pollutes for the whole country. Governments should set things up so the whole economy benefits, sometimes that means banning defections so that game theory doesn't fuck things up for everyone.

Some businesses improve the business climate. A Whole Foods-headlined plaza has higher property value than a liquor store-headlined plaza. A city block with Four Seasons hotel is likely to be valued higher than a similar city block with a Motel 6.

Businesses don't want to be victims of their own success, where immediately after they plunk the money down for buildout and development they're reassessed at the value they themselves added.

Re: Amazon to Build Second HQ in North America

#462
post #245

Earlier quoted context omitted.

No. Those tax cuts should be added ON TOP of the income taxes those employees bring in. More business should be more tax revenue = better services for the citizens. > It's not corruption, it's business. When a business is able to make a deal that gets them out of paying taxes they otherwise would legally be required to pay, that's corruption. Sugar coat it all you want, it's regular citizens they are stealing from.

Unless money is being funneled into private politicians’ hands, it’s not corruption. The choice is between amazon + tax breaks and nothing. These cities clearly believe that they’re better off, net net, with Amazon and they’re probably right. This is not at all the same as accepting bribes. There are certainly bad deals out there, but mismanagement is not the same as corruption. Now if you can show that the politicia…

> The choice is between amazon + tax breaks and nothing.

You're completely wrong. Amazon WILL build HQ2. This is a zero sum game from citizens/cities perspective. No city in the US should offer such taxcut, and then, surprisingly, this money is spent by amazon on taxes and effectively given to the citizens in one of the cities.

If you allow this, you put in place scenario I described here: https://news.ycombinator.com/item?id=15193611

Re: Amazon to Build Second HQ in North America

#463

Earlier quoted context omitted.

It's a race to the bottom. It results in one state or city that pollutes for the whole country. Governments should set things up so the whole economy benefits, sometimes that means banning defections so that game theory doesn't fuck things up for everyone.

I'm sure that the tax benefits are not the only criterion here. There are plenty of things cities can do to attract companies that aren't tax breaks — SF and NY and others are already there. Amazon wants a place that its employees would actually want to live, too. But that doesn't mean tax breaks and other incentives shouldn't be on the table. But my point isn't even whether they're good or bad, it's that they're not…

It's good not to forget the toplevel posts, which quotes that Amazon ASKS specifically for money amount.

"Please provide a summary of total incentives offered for the Project by the state/province and local community. In this summary, please provide a brief description of the incentive item, the timing of incentive payment/realization, and a calculation of the incentive amount"

Read their RFP for more.

Re: Amazon to Build Second HQ in North America

#464

Earlier quoted context omitted.

The thing is, those tax cuts are largely offset by income taxes that those employees bring in, along with all of the $ that having a huge corporation like Amazon would bring into the area. It's not corruption, it's business.

Many of these incentives go beyond tax cuts. The government will build the buildings, lease it to the corp for free. It will train employees for free, handle the recruiting for free, provide money to the corp for various projects, etc. It's business, sure, but pay to play. And at the end of the day, a lot of these places wind up leaving once their benefits run out.

Yeah, yeah, Amazon is doing it because they love us.

It's for sure simple mistake they specifically asks to calculate all this intangible things and reduce it to money amount they gets from citi.

So how about..... NO!

Quote from RFP: "Please provide a summary of total incentives offered for the Project by the state/province and local community. In this summary, please provide a brief description of the incentive item, the timing of incentive payment/realization, and a calculation of the incentive amount"

Re: Amazon to Build Second HQ in North America

#465
post #287

The RFP is rather more interesting than the marketing page: https://images-na.ssl-images-amazon.com/images/G/01/Anything... The 2nd criterion is basically the total amount of sweet, sweet taxpayer dollars available to subsidize them: Please provide a summary of total incentives offered for the Project by the state/province and local community. In this summary, please provide a brief description of the incentive item,…

what a year do I live in that governments must bow to corpos and politely submit RFP document asking for tax money .... reduction. There was once a story on hackersnews why this (demanding tax cuts) its unethical on much larger scale than race etc. It went like this (forgive my memory, english, and feel free to correct it): There were two states, neighboring, with similar budgets and number of people. They werent ric…

The EU tries to do that by banning Member States from giving targeted tax breaks (see the Irish-Apple affair), although with dubious results.

Re: Amazon to Build Second HQ in North America

#466
post #462

Earlier quoted context omitted.

Unless money is being funneled into private politicians’ hands, it’s not corruption. The choice is between amazon + tax breaks and nothing. These cities clearly believe that they’re better off, net net, with Amazon and they’re probably right. This is not at all the same as accepting bribes. There are certainly bad deals out there, but mismanagement is not the same as corruption. Now if you can show that the politicia…

> The choice is between amazon + tax breaks and nothing. You're completely wrong. Amazon WILL build HQ2. This is a zero sum game from citizens/cities perspective. No city in the US should offer such taxcut, and then, surprisingly, this money is spent by amazon on taxes and effectively given to the citizens in one of the cities. If you allow this, you put in place scenario I described here: https://news.ycombinator.co…

>>Amazon WILL build HQ2.

May be somewhere in India, where its cheaper for them to operate from.

Also given places like India want to attract investments, they will be more than happy to offer not only subsidies, but also provide free land and other perks like tax breaks and free electricity.

This might feel like blackmail. But that is what capitalism is all about. Companies do what is profitable for them.

Re: Amazon to Build Second HQ in North America

#467
post #399

Earlier quoted context omitted.

Most such deals are a net loss for the community. Some of the bad ones have been for data centers, which employ very few people. Neither do manufacturing plants, which just don't need that many people.

Warehouses employ lots of people but they're the shittiest of jobs.

Its not realistically possible by very definition to scale high quality jobs with quantity.

Re: Amazon to Build Second HQ in North America

#468
post #308

Earlier quoted context omitted.

Since when does the US not have money for healthcare and higher education? We spend more on both per capita than any other nation on earth. We don't have money for high speed rail? Sure we do, we spend $7 trillion per year on government - 37% of our economy goes to government. Pick your priorities.

And a significant portion of that 37% goes straight into the pockets of connected contracting companies, especially DoD related ones. Usually staffed by people who constantly rant against how inefficient and evil government is.

Which is to keep you safe. Keep the US's dominance in Military, economy and high value technology going.

Plus food turns out to be cheap because you get oil for a pretty affordable price. And that happens to be possible thanks to wars and associated expenditure.

Re: Amazon to Build Second HQ in North America

#469
post #137

Earlier quoted context omitted.

My money would be on D.C. Lots of access to government agencies that could add a lot of AWS business, a major concentration of highly-skilled tech workers and colleges, close to the Washington Post, and a lot of up and coming neighborhoods in the southwest/southeast quadrants of the city. Also wouldn't hurt that it's on the opposite side of the country to add some geographic diversity.

As someone who lives in DC: I'm with you on the DC metro making some sense, but DC itself is probably out. There's not enough green space to build a campus the size of their Seattle HQ anywhere in the city, given how the severe building height limits here would balloon the total required acreage. They might have some options someplace in the suburbs (maybe Arlington, or out along the Silver Line), or they could look…

The height limitations are a good point and also they probably wouldn't get the tax incentives they're looking for in DC, but Nova a possibility.

I'd be surprised by Baltimore because it would probably be difficult to attract top talent there in large numbers.

Re: Amazon to Build Second HQ in North America

#470

Come to Atlanta! Great schools, great weather, downtown is under utilized, decent mass transit. One of the fastest grow tech locations in the country. We offer, no hurricanes, no earthquakes, no tidal waves, no forest fires, no flooding, and once every 10 year snow storms. We are on the opposite coast which protects you from N Korean actions. Plus you can fly anywhere from our airport!

"Decent mass transit" huh...
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