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Will Boston soothe corporate executive's furrowed brow?
By adamg on Fri, 03/12/2010 - 9:21am
Now why would the CEO of Liberty Mutual give what the Herald calls a rare interview to complain that Massachusetts taxes are too high for his tastes and to blame state workers for affecting his profits? Could it have anything to do with a city-council committee hearing today on whether to give the company a $16-million tax break to build a new headquarters building in the Back Bay? If you can't get to City Hall for the Committee on Economic Development and Planning's meeting at noon, you can watch on Comcast Channel 51 or online with RealPlayer.
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Comments
If he wants Detroit...
...then let him move to Detroit. I'm sure the workers there would be willing to work for less than we do here. A recent survey of employers (which I can't find the link to any more) looking at Boston, New York, and San Francisco said that they'd prefer to do business here and that it was actually cheaper than those other two powerhouses. So, long story short, shut the hell up, Liberty Mutual CEO.
Actually Dover, NH
Dover NH was actually the option - not sure how even this deal makes us cost competitive with a dairy farm and not sure how Lib Mu convinces 600 sharp 20-somethings to stay in Dover NH once the economy turns around.
Adam - I think John Keith may be live tweeting the hearing.
Interesting - there's another hearing scheduled for 90 minutes after this one. Once we hear from the BRA,Lib Mu, the unions, perhaps the mayor's office and the state - how much time will be allotted to those of us who intend to testify on behalf of the residents who welcome Lib Mu's job offers, but would also like a tax break after seeing our taxes go up 100% in the last 10 years. Keep in mind LibMu has a 121A on 75 Arlington and 10 St. James already and therefore pay almost no tax on about $500 million worth of real estate. This building will give them enough room to relocate all of their employees in either tax exempt or tax discounted buildings and leave the two buildings on St. James vacant/leased or rezoned and sold to the highest bidder. Sounds like a sweet deal.
Just out of curiosity, do we
Just out of curiosity, do we know his 2008 income and stock options?
How does that compare to the taxes he's bitching about?
Will be there ...
Yes, barring some unforeseen T accident, I'll be there at noon.
Regarding the Herald article, I think Tom Grillo made a mistake - it won't be "as much as $50 million" in tax cuts for twenty years, it will be $16 million. The company expects its bill over twenty years to be $66 million and the city is proposing giving them a credit for $16 million, meaning the city may benefit from as much as $50 million in increased tax revenues during the next twenty years.
I'm just clarifying, not saying I support it! My comments today will be in opposition.
I love the comment attributed to the chief executive (and Menino re-election donor), "If not for the government subsidy, we'd go elsewhere." Gee, didn't Steve Roth say much the same when talking about his developments? He said, "We waited to see if the government would give us a subsidy ... and you know what? They did!" Laughter ensued.
No laughing, today.