Key Details Of Newark’s Bid For Amazon HQ Revealed

NEWARK, NJ — Ever since Newark and New Jersey officials announced the city was launching a bid to land Amazon’s coveted new headquarters, many local residents and community members have had a pressing question: what kind of deal are you offering in our names?

On Wednesday, local law firm Pashman Stein Walder Hayden P.C. announced that Newark city officials released a redacted version of their 200-page proposal to the retail giant at the request of its client, Steven Wronko, a New Jersey open-records activist who sued to get the information.

The proposal contains key details about Newark’s strengths - including diversity, technology infrastructure and transportation - as well as several possible locations for the new Amazon headquarters. (See below)

Details about billions of dollars of potential tax credits for the company as part of the deal were redacted from the proposal, however.

The state Economic Development Authority has offered the company a tax break that could reach $5 billion over 10 years. Newark city officials are also offering the company a municipal property tax abatement that could be worth $1 billion, as well as a city wage tax waiver worth an estimated $1 billion over 20 years.

• See related article: Race To The Bottom: NJ's Quest For Amazon HQ Is 'Insane,' Critics Say

Despite the redactions, Wronko and his attorney called the city's decision to release the proposal a “significant transparency victory.”

“The people of New Jersey, especially Newark residents, deserve to know what their government is doing,” Wronko said.

Attorney CJ Griffin, who represented Wronko, pointed out that some of the other cities in the running for Amazon’s HQ put their proposals online as part of their PR campaigns.

“The citizens of those other finalist cities got to be part of the process and see how their cities were being promoted,” Griffin said. “That builds pride and buy-in from residents. The people of Newark were completely excluded, but we are happy that they can now be part of the process.”

Amazon has asked cities in the running to remain quiet about their pitches while it makes it final decision. Several unsuccessful attempts have been made to get details about Newark’s proposal, including an open records request from New Jersey Policy Perspective, NJ.com reported.

Some details of the city’s advantages can be seen at the “Yes Newark” website, produced by the City of Newark, Choose New Jersey, the Newark Community EDC and Newark Happening.

According to the website:

“Amazon's HQ2 announcement creates a unique opportunity for New Jersey. Newark has an unmatched technology infrastructure and a set of assets that is far more distinctive and ‘Amazonian’ than any other location in the state. Newark is an ideal home for the creativity, innovation, and passion that define the Amazon culture, and it possesses the infrastructure and access to elite technical talent to fuel Amazon's growth.”

Earlier this month, Amazon representatives quietly met with a small consortium of politicians and local business leaders to give them an opportunity to “fine-tune” their pitch.

Those reportedly present at the meeting included Gov. Phil Murphy, U.S. Senator Cory Booker, Newark Mayor Ras Baraka and local businessman/philanthropist Ray Chambers.

"Suffice it to say, we hope the same compelling case that earned Newark recognition as one of 20 candidate cities from more than 200-plus proposals will help bring this home to New Jersey at the end of the day," said Aisha Glover, president and CEO of the Newark Community Economic Development Corporation.

• See related article: Amazon Visits Newark; Will The Retail Giant Choose New Jersey?

The quest to bring Amazon’s headquarters to Newark has inspired bipartisan support from Republicans such as former governor Chris Christie and Democrats such as Booker, the city’s former mayor.

Amazon has stated that the new facility will be a "full equal to its current campus in Seattle." The company said that it expects to invest over $5 billion in construction into the new headquarters and that it may bring as many as 50,000 "high-paying jobs" to the area. The project could generate an estimated $10 billion in direct and indirect economic activity, according to a company news release.

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NEWARK'S PROPOSAL TO AMAZON

Newark’s full proposal to Amazon can be downloaded at NJOPRA.com here.

According to the proposal, which bears the “Yes Newark” logo, possible locations for Amazon’s headquarters include:

• Lotus Riverfront
• Washington Park Campus
• Gateway Center
• Matrix Riverfront
• Mulberry Commons
• RBH SoMa

The proposal also lists some ways that the city is prepared to “supplement” the enormous tax breaks that are already being dangled in Amazon’s direction:

• “Invest significant capital over the next five years to expand the city’s wi-fi and broadband and provide 10-gigabite internet service to any site Amazon selects”
• “Partner with the state to facilitate new neighborhood residential development to put 20,000 Amazon employees within walking distance of their new headquarters within five years”
• “Fund public space and transportation system improvements around the new campus to build on the city’s ongoing $50 million investment in transportation and smart city infrastructure in the central business district”

The proposal lists five “unique strategic advantages” that Newark can offer Amazon:

• Data Infrastructure – “Newark defines cutting-edge bandwidth – no city in the world delivers faster internet speeds.”
• Destination – “Newark offers an unmatched logistical infrastructure – roads, rails, airports and a major port – that can help Amazon move its people and products like no other city can.”
• Diversity – “Newark offers unmatched access to high-caliber talent and industry verticals that match Amazon’s growth aspirations.”
• Development – “Newark offers Amazon and its employees unrivaled development opportunities – with park and riverfront views – and an unbeatable spectrum of lifestyle options.”
• Destiny – “Newark provides Amazon with an opportunity to take a leading role in the ongoing renaissance of a great American city.”

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File photo: Associated Press