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I've seen these sorts of tax abatement deals in other cities and this doesn't appear at all unique to DC.

Often, the deals seem like a race to the bottom, in which cities and suburbs battle each other for a company to move from elsewhere in the metro area. Ultimately, there's no net-increase in jobs, just a shift from one office building to another at a cost to both jurisdictions (the one that just lost that company and its tax revenue, and the one that just got the company but paid for it via tax abatements).

What effort is being made by DC to work cooperatively with jurisdictions in Maryland and Virginia? Is there any chance we could get some sort of anti-poaching agreement so that companies can't use the threat of moving to some other place to extract money from local governments?

by Rob P on Jul 5, 2012 4:04 pm • link • report

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