On Thursday, the technology behemoth Amazon canceled its plans to build a new headquarters in New York City.
The decision robs the city of 25,000 potential jobs at a value of $2.5 billion a year in salaries. Such is the going rate for software engineers and computer programmers. And the employees are on the young side. The kind that start families, attend church and join parent/teacher associations.
Amazon spent two years entertaining dozens of bids from among more than 200 cities before settling on the NYC site, announcing the decision in November. At the same time, a sister site of equal size for outside of Washington, D.C., was decided as well as a smaller Operations of Excellence for Nashville, with 5,000 jobs there.
But in the three months since the announcements, New Yorkers have barraged Amazon with criticisms primarily because its local and state officials offered it $3 billion in tax incentives with little in return on Amazons part to invest in the community as a whole.
Had it stayed, Amazon would have paid $27 billion in tax revenues over the next decade alone.
THE BROUHAHA reminds me of the pushback Allen County commissioners and Iola authorities received when they made concessions in bringing G&W Foods to town. When construction costs for the $4 million grocery came in higher than expected, the county chipped in $180,000, to ensure its success. Likewise, the city volunteered its services for curbs, guttering and utility extensions.
Some complained that such gifts distorted the free marketplace.
A better argument is whether the business was worth the public investment.
Today, G&W has 50 employees, with plans for 60. It brings in customers to the Iola area from as far away as Garnett, Burlington and Chanute.
It pays $100,000 a year in utilities, and in a few years will begin paying property taxes as outlined in the Neighborhood Revitalization Program.
G&W donates 1 percent of its sales to the Iola and Humboldt school districts. It participates in food giveaways for charitable causes. And it carries local produce and goods.
In short, its a good neighbor.
Its also because of the stand-alone grocery that local investors were encouraged to build 12 apartments nearby.
Today, hospital curve has an entirely different look.
But, like Amazon, the grocerys presence is not guaranteed, and has every right to pull up shop if it feels its always the target of local naysayers.







