Houston Chronicle

San Antonio pulls plug on its Amazon bid

- By Brian Chasnoff and Joshua Fechter

SAN ANTONIO — San Antonio and Bexar County officials are bowing out of the competitio­n for Amazon’s proposed $5 billion second headquarte­rs, reversing course from their initial plans to put together a competitiv­e bid, officials said.

“Blindly giving away the farm isn’t our style,” Bexar County Judge Nelson Wolff and San Antonio Mayor Ron Nirenberg wrote in a joint letter sent Wednesday to Amazon CEO Jeff Bezos.

The Seattle e-commerce giant invited cities last month to bid on the location of its second headquarte­rs, HQ2, promising 50,000 new jobs that pay an average of more than $100,000 a year. The deadline is Oct. 19.

“We’ve long been impressed by Amazon and its bold view of the future,” Nirenberg and Wolff said in the letter. “Given this, it’s hard to imagine that a forward-thinking company like Amazon hasn’t already selected its preferred location. And if that’s the case, then this public

process is, intentiona­lly or not, creating a bidding war amongst states and cities.”

The decision not to bid changes course from last month when a team consisting of the city, the county and the San Antonio Economic Developmen­t Foundation said it was “engaged and ready to pursue this opportunit­y,” according to a statement released at the time by Erica Hurtak, spokeswoma­n for the foundation.

Hurtak said Wednesday that the city reviewed the bidding criteria and decided that it didn’t have a chance at winning the bid.

“As aspiration­al as we are about our community’s potential, we simply wouldn’t be highly competitiv­e from a real estate and incentives perspectiv­e,” she said in a statement.

The news came one day after Nirenberg said the city needs a major internatio­nal airport with nonstop flights to make the city “a competitiv­e, long-term air option.”

But the San Antonio airport’s lack of nonstop flights wouldn’t have been as big a factor in Amazon’s decision as the city’s workforce, said Bexar County Commission­er Tommy Calvert.

“The big one I think we need to overcome more than the airport is the pipeline of labor,” Calvert said in an interview Wednesday. “Our labor force is really our Achilles’ heel.”

Still, Calvert called the city and county decision not to pursue the Amazon campus “a big mistake.” He learned of the news from a reporter.

“It’s almost like we’re trying to be second-tier,” Calvert said. “We’re not even the little engine that could. We couldn’t even be the Jamaican bobsled team. To be honest, we’re fourthtier.”

Earlier Wednesday, U.S. Sens. John Cornyn and Ted Cruz asked Amazon CEO Jeff Bezos to consider Texas for the second headquarte­rs, saying San Antonio and other Texas cities are fast becoming “global hubs for technology, data-driven business, and talent.”

 ?? David Paul Morris / Bloomberg file ?? Bexar County Judge Nelson Wolff and San Antonio Mayor Ron Nirenberg: “Blindly giving away the farm isn’t our style.”
David Paul Morris / Bloomberg file Bexar County Judge Nelson Wolff and San Antonio Mayor Ron Nirenberg: “Blindly giving away the farm isn’t our style.”

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