The not-unexpected Boeing purchase of a South Carolina aircraft company was competing
Published 7:00 am Tuesday, July 7, 2009
The not-unexpected Boeing purchase of a South Carolina aircraft company was competing with Michael Jackson’s memorial for lead story on local TV this morning. It was, the story went, another indication that Boeing could be pulling up more stakes here and might build a second 787 assembly plant on the East Coast. No matter that the purchase of one of its parts suppliers was likely a cost-effective move towards consolidating its troublesome outsourcing operations, Boeing knows that simply announcing the purchase feeds into a paranoia that can earn it more tax breaks here.A new state commission is just now figuring out how much more public money and perks to give the Lazy B and keep it in Washington – convinced by speculation the corporation actually plans any moves. Boeing isn’t commenting on the rumors, and clearly doesn’t need to, with Gov. Christine Gregoire leading their parade. It’s a procession that began in 2003, when Gov. Gary Locke convinced the legislature to hand over $3.2 billion in tax breaks and incentives for Boeing’s 787 Everett production. The move was based on recommendations by state consultant Deloitte, an accounting and consulting firm that also works for Boeing and has a direct interest in its profits. Locke never disclosed the ties (but SW did). Then-attorney general Gregoire, who knew of the conflict, did nothing.It is a performance Gregoire is repeating today: The latest Boeing tax giveaway effort is propelled by a recommendation from no less than the same consultant, Deloitte, and Gregoire has failed to note the firm’s Boeing ties while using its Boeing-favorable report to push for new Boeing bennies. Naturally, amid all this silence, the questionable basis of these relocation fears wasn’t pointed out in the news reports today, as Boeing and the governor likely expected. What the hey, it worked before, why not do it again?
