KPLU Local News
(2009-06-24)
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Tacoma’s pulled out the stops to try to keep Russell Investments.
Photo by The News Tribune.
Earlier this month, Mayor Nickels quietly responded to an inquiry from Russell. He offered the firm a tax break of about $250-thousand a year if it moves its 900 employees to Seattle. Pierce County leaders are now accusing Nickels of "regional poaching" and calling his public policy "cannibalistic." They say even some of Seattle's economic development leaders support Tacoma's efforts to retain Russell. EnterpriseSeattle CEO Tom Flavin says that's only partly true.
"Our concern was they'd end up out of state." Flavin said. "You know, anything we could do to help keep them in the region, we were more than happy to do and that's been our position throughout."
The drama started a year and a half ago, in January 2008, when Russel first announced that it was considering a move. Now that Seattle's emerged as the main contender, Flavin's less worried about Russell leaving Washington. Asked if he agrees with the lawmakers' assertion that Seattle should back off, Flavin responded emphatically.
"No. No, Seattle needs to do what's in their best interest. And Tacoma's doing what's in their best interest. And again, it'll come down to Russell determining what's in their best interest," Flavin said.
Tacoma has put together a huge incentive package, worth more than $148 million, in an effort to retain Russell. That's a lot more than the small tax waiver Seattle is offering. Russell has said it will announce its decision by October.
(To hear the full story from KPLU business and labor reporter Bellamy Pailthorp, click "play" above.)
For more information:
Letter from Pierce County Lawmakers to Mayor Nickels (PDF)
Letters from Seattle Mayor Greg Nickels and Director of Finance Dwight Dively Describing Tax Break for Russell (PDF)
Homepage photo courtesy Seattle Times
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