Does Denver need Amazon? Like many, I don’t think so. The city is already at an all-time low for unemployment. Growth — at least in terms of property development — seems at an all-time high. And the current infrastructure is well beyond capacity, as evidenced by the $937 million municipal ask on ballots next month.
How will Amazon’s tax incentives (which, suspiciously, the City of Denver will not make public) help fill Denver’s coffers for the much needed infrastructure improvements that will only become more acute with Amazon’s presence? Amazon already has a poor record when it comes to paying corporate tax.
Will a business predicated on online retail really benefit local brick and mortar shops?
What happens when the incentives run out? Will Amazon up and relocate to a different city where more competitive incentives are offered? That’s already happened with a few companies in the metro area, most recently with pharmaceutical giant Novartis-owned Sandoz, leaving hundreds unemployed and a brand-new facility vacant.
Then there’s the social aspect: There are other cities that need this a lot more. While relying on a single boost is never good for long-term economic planning, it can serve as a kickstart, attracting further investment to an area. Memphis, for example, is a city that could greatly benefit from Amazon, especially if the headquarters were situated in its downtown area, which is waiting for this kind of infusion.
At some point, is Denver, with its rock bottom unemployment rate, just being greedy?
Shana Goldberg may be reached at [email protected]
Copyright © 2017 by the Intermountain Jewish News
