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Letter to the Editor: Amazon is a Good Deal for Arlington, Chamber of Commerce Argues

The following Letter to the Editor was submitted by Arlington Chamber of Commerce President Kate Bates, who writes in support of passing the county’s incentive deals made to motivate Amazon to open its new headquarters in Crystal City and Pentagon City.  

The Chamber is a non-profit which advocates for 750 county businesses and organizations, which includes Amazon as of December. The Chamber has written several letters to County Board members and the Virginia General Assembly over the last year in support of bringing Amazon to the region, and to urge officials to pass state and local tax incentives. 

The County Board will vote on Saturday for their incentive package finalizing Amazon’s plans to move to area.

It’s an exciting time for Arlington. On Saturday, the County Board will vote on the performance agreement for Amazon’s headquarters. Approving this agreement is a powerful statement that Arlington is open for business and we are no longer solely a government town, but a magnet for innovation in all sectors. Welcoming Amazon to Arlington will create opportunities for residents and businesses. The community as a whole will benefit from the jobs, economic activity, and innovation that Amazon will bring to Arlington. The performance agreement is a good deal for Arlington.

Economic Well-being

Amazon’s commitment to Arlington will provide us with balance; adding business diversity will strengthen our local economy. The job losses from BRAC and sequestration, and the uncertainty of the recent shutdown have shown that we cannot rely on the Federal Government alone for our prosperity. Amazon gradually adding 25,000-37,850 private-sector jobs will replace the 24,000 federal and contractor jobs lost in the Crystal City area over the past two decades.

Amazon’s presence will solidify Arlington as an innovation hub. Having Amazon as an anchor will help Arlington and Northern Virginia attract innovative companies. A robust job market will provide opportunities for our young people to succeed here, in the community where they are growing up and getting their education. Our local businesses expect Amazon’s arrival and the resulting diversification in our local economy to help them thrive.

Incentives

Arlington Economic Development crafted a groundbreaking incentive package that truly invests in Arlington’s future. The overwhelming majority, 95%, of the Arlington incentive package comprises investments in our community through housing, transportation, and infrastructure. The incentive payment to Amazon, the other 5%, depends Amazon hitting their established benchmarks for office space.

The direct financial incentive to Amazon is funded through a fraction of the growth in the Transient Occupancy Tax, a tax paid by guests staying in Arlington’s hotels. Tying Amazon’s direct incentives to revenue growth ensures that payments will not divert money from other priorities. Focusing on the Transient Occupancy Tax means that taxes on Arlington residents and businesses will not fund these incentives and that Amazon will receive these payments only if our hoteliers grow their businesses too.

Community

In the months since the announcement, Amazon has shown they want to be a part of the Arlington community. Amazon is already engaging, joining the Chamber and meeting with businesses, nonprofits, and community groups to build long-term relationships. Amazon’s Director of Community Engagement met with more than 50 leaders from Arlington nonprofits at a Chamber-hosted gathering, and senior Amazon team members have attended many community events. Amazon’s culture values making direct change; we look forward to the prospect of thousands of innovative people participating in our community.

The Amazon headquarters announcement has focused Arlington on our transportation, housing, and school funding challenges, all of which predate Amazon. The redevelopment of the Crystal City area will bring the transportation infrastructure improvements and amenities envisioned in its sector plan. Approving this agreement will help secure Arlington’s fiscal health and provide tax revenues to help the community address these challenges.

This is an historic moment for Arlington. The establishment of Amazon’s headquarters offers Arlington a unique occasion to strengthen our economy, to create opportunities for residents, and to improve the County’s fiscal position. We look forward to working together as a community to seize the opportunities that welcoming Amazon affords to all of Arlington.

ARLnow.com occasionally publishes thoughtful letters to the editor about issues of local interest. To submit a letter to the editor for consideration, please email it to [email protected] Letters may be edited for content and brevity. 

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