000000000000 tom L385 . zo~ ?p To Oakland Innovation District Future Transit Hub 8 Pittsburgh Technology Centeradvanced academic and corporate technology research that is home to the Carnegie Mellon University?s Entertainment Technology Center, the University of Pittsburgh's Center for Biotechnology and Bioengi- neering and corporate offices such as ThermoFisher Scientific. Southside Works: The Southside Works in an open-air lifestyle center located just across the Monongahela River from the Hazelwood Green. It is home to a vibrant night-life, local retail and restaurants, and a variety of businesses, including the headquarters of national retailer, American Eagle Outfitters. Proposed New Pedestrian Walkway Hays Woods Park Schenley Park 10 Turnpike Hazelwood Business District: Previously known as Scotch Hollow, Pittsburgh Magazine named Hazelwood a ?Hot Neighborhood? in 2017. Bordered by parks and riverfront, Hazelwood is an upcoming neighbor- hood on the edge of Pittsburgh East End with new developments and a strong neighborhood community. Carnegie Library 118?.) umd 992 page 36 Settled by a diverse group of immigrants, the development of Hazelwood was driven by J&L Steel, the last of Pittsburgh’s Steel Mills to close. Workers made their homes on the hillside next to the mill and built a thriving community served by over 200 local businesses. Devastated by J&L’s closure, the neighborhood was forced to find a new way to grow. Today, it is home to the largest developable brownfield (178 acres) in Pittsburgh. INTRO 1 2 3 page 37 LOWER HILL DOWNTOWN EXTENDED I mmediately adjacent to Pittsburgh’s central business district, the 28-acre Lower Hill site affords a true urban infill opportunity for HQ2. Offering up to 5.5 million square feet in potential Amazon office development on-site, with room to grow downtown by at least 2.5 million square feet, Lower Hill can fulfill Amazon’s HQ2 needs in a true live-work-play district. The site was the former home of Pittsburgh’s Civic Arena. Today it is adjacent to the PPG Paints Arena and in close proximity to Pittsburgh’s major universities, medical centers and diverse housing options. The site is accessible by bus and light rail. A planned bus rapid transit system, scheduled to begin service in 2021, will travel between the site and the Oakland Innovation District, home to Pitt and CMU. INTRO 1 2 3 As an area already slated for redevelopment as a mixed-use district, Lower Hill is wellpositioned for rapid, large-scale development. Ownership is willing to adapt its current plans to accommodate Amazon, allowing the company to create its own signature campus. The HQ2 site is development-ready and site preparation is underway, with $55 million of the $73 million required for site infrastructure already financed. The infrastructure includes streets, utilities, and an innovative cap park over I-579 to restore and expand the site’s pedestrian connectivity to Downtown. The site will also be served by a district energy plant currently under construction. The Sports and Exhibition Authority and Urban Development Authority of Pittsburgh own the site with the Pittsburgh Penguins holding the development rights through an option agreement. Ownership is committed to delivering the parcel at no cost to Amazon. First phase commercial site development can be delivered in 2019–2020 in partnership with Amazon. To meet Amazon’s Phase 1 requirements, two existing class A commercial office buildings have committed to holding one million square feet of space off the market well into 2018. With city planning commission approval already in place, a pre-designed 500,000 square foot ground-up office building could also be completed within two years. page 38 LOWER HILL Basic Site Info Neighborhood Lower Hill, Downtown Site Area 28 acres, 200 acres Exclusivity March 2018 Connectivity Drive Time from CBD 1 minute Drive Time from Airport 25 minutes Drive Time to Oakland (Pitt & CMU) 8 minutes Proximity to Major Roads & Highways I-579, I-376, I-279, Route 28, Fifth Ave, Forbes Ave Existing Mass Transit Accessible by light rail and 20+ bus routes Proposed Mass Transit Accessible by light rail and 20+ bus routes Development Potential Current ownership Jointly owned by Sports and Exhibition Authority and the City of Pittsburgh with development rights held by the Pittsburgh Penguins Zoning SP-11, to be amended through revisions to Preliminary Land Development Plan with Amazon input Phase I development within 24 months of HQ2 selection Capacity (Phase I: 500k square feet in 2019) INTRO 1 2 3 1 million plus square feet of Downtown office space and 15,000 square feet of CMU colocation space secured for Amazon pre-2019 Capacity (Phase IV+: 8 million square feet) 5.5 million–8 million square feet under current zoning Development Plans Ownership will adjust development plans to accommodate Amazon; currently entitled for mixed-use district Infrastructure Preliminary estimates $55 million of $73 million site infrastructure investment financed and underway, including streets, utilities, and a cap park over I-579 to connect the site to Downtown. page 39 0 Convention Center . RegIonal LOWER HILL Intreramngittial Hub Cultural 8 OAKLAND, Distri Pr?P?5?d New a? CMU PITT . w" minutes Pedestrian Walkway ?06?59 CENTRAL ll Green Cap Over 1 TO BUSINESS . Roadway . DISTRICT minute ALL LOCAL 1 TO MAJOR Central minute HIGHWAYS Business D'Str'? PPG Paints PITTSBURGH Arena To INTERNATIONAL 4? District minutes AIRPORT I Central Business District: Bordered by rivers and riverfront parks. Pittsburgh?s Central Business District is home to Fortune 500 companies, a Duquesne University UPMC booming restaurant scene, and the . t' 'tt Cultural District, the home of the or 0mm 9 Pittsburgh Heinz Hall, The Regional Proposed Benedum Center, The Byham. and The Intermodal Pittsburgh Public Theater. Dedicated Transit Lines Major Bus Routes Dedicated Bike Routes Autonomous Shuttle Major Highways INTRO 1 I 3 page 40 Historically one of the most ethnically diverse neighborhoods in Pittsburgh, the Hill District has produced nationally known figures including playwright August Wilson, photographer Charles “Teenie” Harris, and jazz legends Lena Horne, Billy Eckstein, and Earl “Fatha” Williams. Today the Hill District is experiencing a resurgence, anchored by its proximity to Downtown and Oakland and its wealth of community assets. INTRO 1 2 3 page 41 THE STRIP ROBOTICS ROW A mazon has the opportunity to anchor 44 acres in the Strip District, a Downtown-edge neighborhood that has rapidly transformed from a gritty industrial area to a national epicenter of autonomous vehicles and robotics research and development. A consortium of public and private owners led by Oxford Development Company is offering Amazon the opportunity to develop up to 8 million square feet near the riverfront. Oxford has led investments exceeding $210 million over the past four years in the Strip District, transforming the neighborhood from an industrial zone into a cluster of technology and robotics innovation as well as professional service companies, all while maintaining its signature personality and charm as a historic market district. HQ2 at the Strip would be positioned alongside several large technology and robotics firms, including INTRO 1 2 3 Uber’s Advanced Technologies Group and Argo AI, Ford’s billion-dollar investment in artificial intelligence. Amazon would benefit from the district’s historic industrial architecture, walkable and bike-friendly public realm, and high-quality retail, cultural, and recreational amenities. The neighborhood is a cultural hub within the city, as evidenced by the expansion of the Pittsburgh Ballet Theatre and a new home for the Pittsburgh Opera. Historic factories and warehouse buildings have been converted into apartments and lofts, creating a vibrant and unique urban fabric. The area remains a center for international grocery stores and retailers, boutiques, and some of Pittsburgh’s best restaurants. The Strip District is within walking distance of key attractions and amenities including the David L. Lawrence Convention Center, the North Shore Stadium District, and Lawrenceville, recently named the “Coolest Neighborhood in America” by Money magazine. Its flat topography—distinct from Pittsburgh’s characteristically hilly terrain—makes it ideal for walking and biking, while the river setting offers daily opportunities for kayaking, cycling, and strolling riverfront trails. To meet Amazon’s Phase 1 requirements, two existing class A commercial office buildings, located a short public transit away form the Strip District, have committed to holding 1 million square feet of space off the market well into 2018. page 42 THE STRIP Basic Site Info Neighborhood The Strip District Site Area 44 acres Exclusivity March 2018 Connectivity Drive Time from CBD 5 minutes Drive Time from Airport 30 minutes Drive Time to Oakland (Pitt & CMU) 10 minutes Proximity to Major Roads & Highways I-579, I-276, Route 28, Liberty Ave. Existing Mass Transit Accessible by 5 bus routes Proposed Mass Transit 10+ high-speed busway routes at new HQ2 stop (opening 2019) Development Potential Current ownership A consortium of public and private property owners led by Oxford Development Company Zoning UI and GI, all parcels to be rezoned to UI with Amazon input Phase I development within 24 months of HQ2 selection Capacity (Phase I: 500k square feet in 2019) INTRO 1 2 3 1 million square feet of Downtown office space and 15,000 square feet of CMU co-location space secured for Amazon pre-2019 Capacity (Phase IV+: 8 million square feet) 8 million square feet under current zoning Development Plans Ownership has put development plans on hold pending interest by Amazon; limited development planned or underway Infrastructure Preliminary estimates at $67 million in site infrastructure will be delivered as part of buildout page 43 0 THE STRIP 1 0 To El OAKLAND, CMU PITT minutes CENTRAL 5 TO BUSINESS DISTRICT mInutes 5 ALL LOCAL TO MAJOR minutes HIGHWAYS PITTSBURGH 3 0 T0 lg INTERNATIONAL minutes AIRPORT Existing or Committed Proposed Dedicated Transit Lines Major Bus Routes Dedicated Bike Routes Autonomous Shuttle Major Highways Heinz Histo Center Regional Intermodal Transit Hub 7 Business Pittsburgh Opera Hub StrIp District Strip Business District: Home to a large assortment of international grocery stores, fresh food markets, retailers, boutique shops, nightlife, independent merchants, and several of the most critically acclaimed restaurants in Pittsburgh, the Strip Business District has something for everyone. 9?9 ?5 Pittsburgh Ballet To Oakland Innovation District INTRO 1 I 3 page 44 Originally developed as Pittsburgh’s first point of entry for wholesale produce, the Strip District fed the City. It incubated what would become the industrial giants of U.S. Steel, Westinghouse, The H. J. Heinz Company, and Alcoa. Today, the commercial warehouse architecture remains but instead hosts robotic companies, high end housing, and a fresh air market. INTRO 1 2 3 page 45 CARRIE FURNACE T he 65-acre Carrie Furnace redevelopment site provides a unique opportunity for Amazon within Allegheny County, with 56 acres of Monongahela riverfront property ready for immediate development. Carrie Furnace has a rich industrial history: It was purchased by Andrew Carnegie in 1898, acquired by U.S. Steel in 1901, and is now owned by the Redevelopment Authority of Allegheny County (RAAC). CARRIE FURNACE INTRO 1 2 3 Since purchasing the property in 2005, RAAC has invested heavily and strategically in the brownfield site. Investments include bringing the site above the 100-year flood plain, establishing utilities connection lines, installing stormwater and sanitary sewers, and creating additional access points for vehicles and alternative forms of transportation. Additionally, RAAC has already demonstrated its commitment to revitalizing the site and its surrounding underserved community. It has worked with partners in the community to train the next generation of skilled workers, create affordable housing, revitalize brownfields, invest in entrepreneurs, and explore new transportation options. HQ2 would help accelerate infrastructure development as well as local economic development by bringing an influx of commercial activity to local vendors and neighborhood businesses. Carrie Furnace can serve as an extension of Hazelwood Green, given their proximity and the potential for convenient bus rapid transit, bicycle, and pedestrian connections between the two sites. Carrie Furnace is located 9 miles southeast of downtown Pittsburgh, and 5 miles east of Hazelwood Green. page 46 CARRIE FURNACE Basic Site Info Neighborhood Swissvale Site Area 65 acres Exclusivity March 2018 Connectivity Drive Time from CBD 20 minutes Drive Time from Airport 40 minutes Drive Time to Oakland (Pitt & CMU) 20 minutes Proximity to Major Roads & Highways I-376, Braddock Ave Existing Mass Transit Accessible by busway and 4 bus routes Proposed Mass Transit Autonomous shuttles and improved connection to high-speed busway Development Potential INTRO 1 2 3 Current ownership Public Ownership (County) Zoning Carrie Furnace Development District; allows for office and industrial use Capacity (Phase I: 500k square feet in 2019) Phase I development within 24 months of HQ2 selection and 15,000 square feet of CMU co-location space Capacity (Phase IV+: 8 million square feet) Highly flexible; can significantly exceed 8 million square feet Development Plans Ownership has put development plans on hold pending interest by Amazon; limited development planned or underway Infrastructure $20 million invested to date in site acquisition, demolition, remediation, and streets page 47 SITE@PIT L SITE @ PIT ocated adjacent to the Pittsburgh International Airport, the Site@PIT is a 152 acre development ready parcel. This site is zoned for commercial use and is currently undergoing site preparation. Owned by the Allegheny County Airport Authority (ACAA), the site can easily meet Amazon’s space requirements. In addition to the 152 acre parcel, the ACAA can offer another 210 acres should Amazon’s space requirements increase beyond 8 million square feet. The site is 16 miles from downtown Pittsburgh and accessible via I-376 and the 28X Airport Flyer bus line, a loop between the airport, downtown Pittsburgh, and Oakland. Options for future mass transit linkages between the airport, downtown, and Oakland, such as Bus Rapid Transit, Light Rail Transit, and widening the I-376 INTRO 1 2 3 corridor, have already been identified and analyzed for technical feasibility. While a suburban location, the Site@PIT offers an opportunity to create the feel of a “global urban village” at the main entrance to the airport, connected directly to the airport terminal. Modeled after the Schiphol CBD development at Amsterdam’s international airport, the Site@PIT will provide a wide range of amenities while providing the convenience of an on-airport location. The entirety of the 362 acres lie within Foreign Trade Zone 33, providing duty and excise tax benefits, and carrying a “World Trade Center” designation, providing access to a global trade network and integrated trade services. page 48 SITE@PIT Basic Site Info Neighborhood Airport Site Area 362 acres Exclusivity March 2018 Connectivity Drive Time from CBD 30 minutes Drive Time from Airport 0 minutes Drive Time to Oakland (Pitt & CMU) 35 minutes Proximity to Major Roads & Highways I-376, Route 576 Existing Mass Transit Accessible by express bus route Proposed Mass Transit Autonomous shuttle and business-class high-capacity transit (opening pre-2019, proposed as bus rapid transit) Development Potential INTRO 1 2 3 Current ownership Public Ownership (County) Zoning Business Park and Heavy Industrial, allows for office and industrial use Capacity (Phase I: 500k square feet in 2019) Phase I development within 24 months of HQ2 selection and 15,000 square feet of CMU co-location space Capacity (Phase IV+: 8 million square feet) Highly flexible, can significantly exceed 8 million square feet Development Plans Ownership has put development plans on hold pending interest by Amazon; limited development planned or underway Infrastructure Development ready page 49 West Virginia’s I-79 Technology Park, located just 90 miles south of Pittsburgh, would be ideal for a Data or Cloud Services center. The Park has best-in-class electric and connectivity infrastructure with a new expandable 14MW electric substation and GigaPoP internet capability. It is home to 30 businesses and several federal agencies, including the National Oceanic and Atmospheric Administration (NOAA), which has built one of the world’s most advanced supercomputing centers at the site. A facility at the Park would have significant strategic benefits for Amazon, as Amazon Web Services has already partnered with NOAA for its “Big Data Project” based onsite. If Amazon brought its HQ2 to Pittsburgh, the West Virginia High Tech Foundation has committed to offer land at the Park to Amazon for free to build a Data or Cloud Services center. INTRO 1 2 3 AVAILABLE TODAY Should Amazon begin relocating to Pittsburgh prior to 2019, we have over 1 million square feet of Class A office space located in Downtown Pittsburgh and the North Shore ready and waiting. 525 William Penn Place & Nova Place Downtown, Strip District & Oakland Innovation District 525 William Penn Place is an existing 41-story, 934,000 square foot office tower located in the heart of Pittsburgh’s CBD. The building can offer Amazon 600,000 square feet, spanning from the base of the building to the tower floors. In addition, Downtown Pittsburgh has nearly 1.2 million square feet of Class A commercial space available today that can immediately meet the company’s office needs. With average asking rents of approximately $30 per square foot for Class A office space, Downtown could accommodate full Phase 1 requirements and more by 2019 at a low cost to Amazon relative to other markets. Nova Place is a newly renovated 1.5 million square foot first-class office building within a broader 30acre mixed use redevelopment project located in the North Side, just across the Allegheny River from Downtown. Owner/developer Faros Properties has committed to hold 500,000 square feet of turn-key space available for Amazon. The North Side has a direct subway connection to downtown, and is home to more than 10 museums and award-winning cultural attractions including the Andy Warhol Museum, PNC Park, Heinz Field, and Carnegie Science Center. The Strip and the Oakland Innovation District—the hottest tech hubs in Pittsburgh—offer an additional 230,000 square feet of available space. These markets have experienced new commercial construction and renovation driven by growing demand from high-tech companies. The Strip submarket attracts companies seeking to join Robotics Row, while Oakland and the East End attract firms interested in locating next to CMU and Pitt. Amazon could establish a sizable presence in these areas, if desired. page 50 ADDITIONAL SITES Site Name Owner Private/ Public Size (acres) Capacity (SF) 1 1 Smithfield Burns Scalo Private 0.7 217,500 5 46 2 Parking Garage Assemblage Pittsburgh Parking Authority Public 15 8,350,000 5 43 3 Station Square McKnight, Trammell Crow, Forest City (response by McKnight) Private 98 510,000 initial (longterm TBD) 6 31 4 North Shore Towers Stabile Family Private 3 600,000–800,000 8 37 5 Parkway Center Kossman Private 100 5,400,000 8 24 6 SouthSide Works Highwoods Private 3 up to 680,000 12 46 The Rocks Intermodal Park Trinity Commercial Development Private 40 13 25 8 Esplanade Millcraft Private 15 500,000– 1,000,000 15 36 9 Walnut Capital (5 Sites) Walnut Capital Private 5 800,000 18 27 10 Carnegie Office Park Cynthia Raftis Private 135 18 20 11 Kosky Industrial Park Cuddy Partners, LP Private 700 20 20 12 Churchill Development Opportunity Churchill Community Developments, LP Private 135 503,000 24 50 13 Thorn Hill Innovation Ridge Response by RIDC Private 100 1,000,000+ 25 36 14 Cherrington Phase II (Site 5) Allegheny County Airport Authority Public 25 25 8 7 INTRO 1 2 3 Distance to CBD (min) Distance to Airport (min) page 51 15 Moon Township—Alpha Corporate Center Kossman/Chevron Private 96 1,500,000 26 9 16 Century III Mall Century III Mall Pa LLC Private 87 1,290,580 27 45 17 Northfield Site Allegheny County Airport Authority Public 80 27 7 18 Imperial Business Park Imperial Business Park LP Private 50 27 14 Airport Sites (9, 10, 11) Allegheny County Airport Authority Public 1724 27 8 20 Parkway East Corridor Cluster Sullivan Management Private 66 27 45 21 Trader Jack's Flea Market Bencho & Cargnoni Private 100 up to 8,000,000 28 30 Iron Brewery Site Bencho & Cargnoni Private 9 up to 8,000,000 28 30 23 RIDC City Center of Duquesne RIDC Private 72 28 40 24 RIDC McKeesport RIDC Private 133 28 60 25 North Branch Land Company North Branch Land Company Private 80 28 16 26 Cool Valley Development Washington County Authority/T&R Properties Mixed 250 1,250,000 initial 35 35 27 South Fayette Township Cuddy Partners Private 150 up to 8,000,000 37 23 28 Monroeville Response by Municipality of Monroeville Public 138 725,000 initial 37 70 29 Dunbar Township Business Park Faye-Penn Private 311 10,000,000+ 41 94 30 Millennium Technology Park Lawrence County Economic Development Corporation Public 300 8,000,000+ 65 51 19 22 INTRO 1 2 3 733,000 page 52 ADDITIONAL SITES 0?INTRO 1 2 3 page53 INCENTIVES Our investment package builds on Pittsburgh’s underlying economic strength and affordability. We’re prepared to offer a suite of capital supports, operating subsidies, and regional investments that will get you out of the ground, give you operating flexibility, and set a new global standard for translating growth into broad prosperity. INTRO 1 2 3 page 54 COST COMPARISON Projected operating cost savings for Amazon over 25 years. $20B $17.7B By locating in Pittsburgh, Amazon would save $17.7 billion over 25 years in labor, energy, and healthcare costs relative to Seattle. $18.3B $17.4B Energy $14.0B Healthcare Labor $9.9B $10B $9.2B $7.9B $5.1B 0 Seattle Boston Denver Chicago Philadelphia Atlanta Austin Dallas Source: HR&A Analysis, 25-year NPV based on Amazon, MIT, USEIA, and AHRQ data. Labor calculated based on Amazon estimate of $100K average wage per job, applied a cost lof living premium calculated using MIT Living Wage data for metropolitan areas. Utilities calculated based on electricity local data for average commercial cost per kWh for electricity in each city, assuming constant electricity usage per SF from USEIA to estimate annual electricity cost per the projected buildout schedule. Healthcare costs calculated based on average 2016 health insurance premium cost to employer per employee from Agency for Healthcare Research and Quality (provided by UPMC). INTRO 1 2 3 page 55 Pittsburgh can offer excellent quality healthcare at lower costs because of its two large integrated health systems: UPMC and Highmark Health. Both are among the country’s leading integrated healthcare delivery and financing systems, which manage patients’ insurance and treatment together within the same entity. This innovative, integrated approach enables providers to take actions in one place that will cut costs or lift performance in another, and some experts suggest that integrated systems can provide better care at 20–30% lower cost. UPMC and Highmark’s presence in Pittsburgh will help ensure that Amazon’s employees would receive high quality care at lower costs for years to come. LONG-TERM COST CONTROLS Simply by locating HQ2 in Pittsburgh, Amazon will reduce its operating costs by 18%, relative to Seattle. Pittsburgh’s inherent economics unlock long term cost benefits that set the city apart. Low costs of living support talent attraction and lower employment costs. Compared to Seattle, labor costs in Pittsburgh are 19% lower, healthcare costs are 8% lower, and energy costs are 45% lower. In comparison with Amazon’s Seattle operations, these long-term cost controls could offer Amazon over $17.7 billion over 25 years, or approximately $350,000 per employee. Labor Costs Pittsburgh’s deep talent pool in a competitively low cost environment will provide significant savings to Amazon over the near- and long-term. Based on cost of living data from the Massachusetts Institute of Technology, the lower cost of living in Pittsburgh require salaries of up to 19% lower than Seattle. By locating in Pittsburgh, Amazon could save over $16.6 billion in labor costs over 25 years. Healthcare Costs Pittsburgh’s cutting edge approach to integrated healthcare delivery lowers costs for employers and residents, positioning Amazon to save operating costs while providing employees exceptional healthcare quality. Based on a survey of health INTRO 1 2 3 insurance premium costs, the Pittsburgh metro area ranks in the top three of large metro areas for lowest employer healthcare costs per employee. Expenses for employer-based insurance are 8% lower than Seattle according to the Department of Health and Human Services’ annual survey, which ranked Pittsburgh as one of the top cities for affordable healthcare. Pittsburgh’s unique delivery model and strong institutional collaborations position it to maintain the quality and affordability of care over the long-term. At the scale of employment envisioned for HQ2, the operating cost savings from this competitive healthcare environment will save Amazon nearly $1 billion over 25 years. Energy Compared to other progressive energy cities including Denver and Dallas, Pittsburgh has the lowest average commercial utility costs. At the scale of energy usage typical for large commercial buildings, local energy costs in Pittsburgh could save Amazon $67 million, relative to Seattle operations, over 25 years. In addition to baseline cost savings, innovative energy delivery programs offer opportunities to support Amazon in its sustainability goals while keeping energy costs low in the long-term. Pittsburgh is a national leader in sustainable energy delivery. We participated in the invention of clean energy and will work with Amazon to continually improve the energy sector. page 56 In July of 2015, The City of Pittsburgh signed a Memorandum of Understanding with the USDOE to foster the development of energy grid modernization and district scale energy solutions. In accordance with the “Pittsburgh Way” of inter-agency collaboration, the agreement created a collaborative network of city, university, philanthropic and national lab connections designed to advance research and development, drive energy innovation and implement strategic district scale energy projects in the City. Projects focus on the integration of renewable energy integration, distributed energy delivery and electrical grid modernization. The model partnership is helping to increase electricity reliability, support business continuity and resilience and enhance economic and environmental benefits within the Pittsburgh energy ecosystem. INTRO 1 2 3 Below are some forward-thinking creative energy solutions operating or being investigated in Pittsburgh today: • Power Purchase Agreements (PPA) for district energy from Duquesne Light, microgrid energy from People’s Gas or renewable energy from a provider such as Everpower. • Reverse Energy Auction with the City of Pittsburgh and the Western Pennsylvania Energy Consortium, which aggregates the power consumption of local consumers to allow for block purchases. • The Clean Power Marketplace, a proposed online renewable power procurement platform that can match Amazon with renewable power producers to provide cost effective clean power solutions. • The City of Pittsburgh, United States Department of Energy, and the National Energy Technology Lab have agreed to research, develop and deploy district energy and microgrid systems within Pittsburgh. The project was developed in conjunction with Pitt’s Center for Energy, and aims to embed engineering innovation developed in the school in support of Pittsburgh’s development needs. [See Appendix Q for more details on these energy solutions.] “Pittsburgh’s bid reflects existing priorities and initiatives that are already underway, not speculative future plans. The team that came together to work on this process are a specific example of a general theme: Pittsburgh institutions simply work well together to get things done.” –Sean Luther Executive Director, InnovatePGH page 57 Program Commonwealth Valuation* Local Benefit Years Valuation Benefit Jurisdiction PennDOT Capital Improvement Grants Infrastructure Commonwealth of Pennsylvania $100 M $81 M 10 Years TIF/TRID Land & Infrastruture Allegheny County, City of Pittsburgh, Pittsburgh Public Schools, Urban Redevelopment Authority $716 M $426 M 20 Years Parking Tax Diversion Infrastructure City of Pittsburgh $222 M $130 M 20 Years Land, Infrastructure & Workforce Commonwealth of Pennsylvania $4.5 B $1.3 B 25 Years $4.2 B $2.1 B 25 Years $9.7 B $4.0 B Capit al Support Operating Support PA Performance-Based Grants Program Regional Investments Forging Pittsburgh’s Future Investments Allegheny County, City of Pittsburgh, Economic Development Pittsburgh Public Schools Total Incentives *[See Appendix B for details on the City and Commonwealth’s methodologies to estimate the value of the program in present value and nominal terms.] In collaboration with the Commonwealth of Pennsylvania, Allegheny County, the City of Pittsburgh and Pittsburgh Public Schools, we are prepared to offer Amazon a package valued at $4 billion over 25 years. This package will include the following three components: • Capital Support: $637 million in upfront capital support to reduce Amazon’s Day 1 occupancy costs. This funding includes land value, site-related infrastructure, and transit investments. • Operating Subsidies: $1.3 billion in ongoing subsidies delivered as a grant from the State equal to 100% of Commonwealth Personal Income Tax paid by HQ2 employees. INTRO 1 2 3 • Regional Investments: $2.1 billion in Forging Pittsburgh’s Future, a series of investments that will improve the quality of Amazon’s future workforce through pre-K, K–12, and workforce development programs. These investments will also ensure that housing remains affordable at all income levels and that our transportation and utility infrastructure capacity expands to meet our growth. Funded by incremental sales, local income, payroll preparation, and local service taxes, this unprecedented initiative will allow Amazon and local leaders to maintain a low-cost environment and avoid the rising costs, congestion, and inequities seen in other cities. page 58 Capital Support The region is committed to providing a suite of tools that will enable Amazon to achieve cost-effective acquisition and build-out of its selected site. The proposed capital support incentives include: Free land We have executed option agreements with five featured sites and will offer Amazon’s selected site at no cost to Amazon. The structure of the real estate deal can take many forms based on Amazon’s preferences and may be financed through Tax Increment Financing (TIF). The option agreements define valuation methodology and clear transactional structures. On- and off-site infrastructure We will pay for on- and off-site infrastructure costs at HQ2, including utilities, streets, public transit, and site preparation. This will be funded through: • $81 million in Capital Improvement Grants administered PennDOT to accelerate priority transportation projects, spur economic development, and assist with state surface transportation needs on state-owned roads and right-of-ways necessary to accommodate HQ2. [See Appendix B for details on the Commonwealth’s offer]. • $426 million from Tax Increment Financing District (TIF) or Transit Revitalization Investment District (TRID) financing committed by the City, County, and Pittsburgh Public Schools. Bonds will be issued to pay for a broad range of public infrastructure improvements and is regularly INTRO 1 2 3 used to provide low-cost financing for economic development projects. Under the TIF program, a specific geographic area, the TIF district, is established, within which up to 75% of the incremental real estate tax revenue generated by new development can be used to finance public infrastructure. TRID functions similarly to TIF, and is a structure used to provide low-cost financing for transit-oriented development. • $130 million from Parking Tax Diversion (PTD). In addition to TIF and TRID, the City proposes to use the PTD program to help address site preparation costs and reduce Amazon’s upfront expenditures. The PTD program utilizes up to 75% of incremental parking tax revenue generated by a development to finance associated improvements. Operating Subsidies The Commonwealth of Pennsylvania is committed to enacting legislation to deliver Performance-Based Grants estimated to be $1.3 billion in present value terms over 25 years, in an amount equal to no more than 100% of Personal Income Tax collected by the Commonwealth from direct, full-time Amazon HQ2 employees. The funds will be offered to Amazon as an annual grant for a period not to exceed 25 years. The grant may be used by Amazon for costs including site acquisition, construction, utility and transportation infrastructure, apprenticeship programs, cooperative education programs, and student education debt of new employees. [See Appendix B for details on the City and Commonwealth’s methodologies to estimate the value of the program in present value and nominal terms.] page 59 Regional Investments FORGING PITTSBURGH’S FUTURE INVESTMENTS Neighborhood Improvement & Housing Affordability • • • • Home Rehab Investment Construction of New Units Preservation Small Business Support Workforce Development (Pre-K—Adult) • • • • Community Colleges Partner4Work STEAM Integration Universal Pre-K Infrastructure • Transportation Infrastructure • Water Infrastructure INTRO 1 2 3 F orging Pittsburgh’s Future Fundamentally: a critical part of Pittsburgh’s attractiveness for HQ2 is that it offers Amazon the chance to operate in a low-cost, high-value environment. Over the next 25 years and more, the City of Pittsburgh, Allegheny County, and the Pittsburgh Public Schools have committed to Forging Pittsburgh’s Future—a $2.1 billion economic development strategy dedicating substantially all incremental taxes not otherwise diverted through TIF, TRID, and PTD to funding public projects and initiatives that will benefit Amazon and its employees, as well as existing businesses, workers, communities, and residents. These investments will help Pittsburgh effectively respond to Amazon’s arrival, maintain its overall affordability, and mitigate the displacement and disruption of existing residents and businesses. They also will enable Pittsburgh to preserve the low cost of operation and high quality of life that makes it attractive to world-class talent. The City, County, and Pittsburgh Public Schools are committed to bonding against future tax revenue and working collaboratively to identify a set of shared funding priorities that can guide investment. Forging Pittsburgh’s Future may include potential funding opportunities for: • Investments in future-focused workforce development and education, potentially including expanded Universal Pre-K; enhanced STEAM and digital literacy programming; upgraded Pittsburgh Public Schools facilities, and greater funding for the Community College of Allegheny County. • Investments in essential public infrastructure, potentially including increased public transit coverage and service; citywide transportation improvements; and drinking water and stormwater management infrastructure improvements. • Investments in neighborhood quality, potentially including expanded affordable housing programs, improved community facilities and parks, and small business support. The City, County, and Pittsburgh Public Schools will work together to coordinate investments and issue bonds against the anticipated tax increment generated by Amazon’s development and operations. We have secured letters from the executive and legislative leadership of each jurisdiction to pursue this strategy if Pittsburgh is selected for HQ2. [See appendix A for City, County, and School District commitment letters.] Bond covenants will provide certainty that the revenue derived from Amazon will be dedicated to mutually-identified priorities. Bonds will be issued in tranches in accordance with a performancebased agreement between Amazon and the City, County, and Pittsburgh Public Schools to ensure that sufficient incremental taxes will be generated to service public debt. The City plans to ask Amazon for a commitment to a development and operations timeline to guide the bonding timetable. To lower the cost of capital, the bonds may be backed page 60 “We’re at an interesting inflection point that a lot of other cities have either blown past or aren’t at yet, where the momentum of the economy still hasn’t driven out the folks in the community, but we all worry it will leave some people behind. There’s still an opportunity for us in Pittsburgh to engage and make a difference.” —Grant Oliphant President of The Heinz Endowments INTRO 1 2 3 partially by the City, County, and a consortium of corporate and philanthropic entities, in addition to taxes generated by Amazon. Additional State and Local Grant Programs Below are two relevant existing grant and loan programs Amazon could pursue should it locate HQ2 in the Pittsburgh. These programs would be in addition to the incentives package outlined above. Research & Development Tax Credit: PA Department of Community & Economic Development Ten percent state tax credit of company’s increased research and development expenses over a base period (prorated to not exceed $15 million annual cap for all businesses). Tax credit can be assigned or sold. Solar Energy Program: PA Department of Community & Economic Development $30 million loan fund to promote the use of solar energy in Pennsylvania. Loans for component manufacturers of solar energy generation equipment up to $40,000 for every new job created within three years after approval of the loan. Loans for solar energy generation or distribution projects shall not exceed $5 million or $3.00 per watt, whichever is less. page 61 INCENTIVES APPROVAL, TIMING, AND CERTAINTY A ll taxing bodies and jurisdictions have committed to approving incentives when Amazon chooses to locate in Pittsburgh. [See Appendices A & B] for commitment letters from the City, County, Commonwealth, and Pittsburgh Public Schools.] Below are the specific timelines and approval processes associated with each program. PGHQ2 will also receive support, input, and guidance from key stakeholders including the Office of the Mayor, the Office of the County Executive, Carnegie Mellon University, University of Pittsburgh, the Heinz Endowments, and the Hillman Family Foundation. PGHQ2 will also tap into the relationships generated by the Power of 32, aninitiative to convene the leadership of the 32 Maryland, Pennsylvania, Ohio, and West Virginia counties surrounding Pittsburgh. Capital Improvement Grant: The Governor of Pennsylvania has committed to fund the existing Capital Improvement Grant program for HQ2, should Amazon move to the Commonwealth. Tax Increment Financing District: For a TIF to be implemented, the City, County, and School District must pass an inducement resolution establishing a joint committee to develop a TIF Plan. They must approve the final TIF Plan, authorize the diversion of future tax revenue, and designate the Urban INTRO 1 2 3 Redevelopment Authority of Pittsburgh to manage the district. The process to establish a TIF district generally takes 9–15 months, depending on whether a Redevelopment Area already exists. The City, County, and School District have committed to approve this funding. Transit Revitalization Investment District (TRID): For a TRID to be established, the City, Urban Redevelopment Authority of Pittsburgh, and Port Authority of Allegheny County must complete a planning study. In addition, the City, County, and School District must pass a resolution to participate in the TRID, and hold at least one public meeting and enact an ordinance establishing the TRID. Following the meeting, participating parties must enter into a cooperation agreement establishing TRID governance and operations. The process to establish a TRID district generally takes 6–8 months if a TRID Plan exists and 12–15 months otherwise. The City, County, and School District have committed to approve this funding. Parking Tax Program: Generally, the process to implement a PTD takes 6–12 months. The City has committed to approve this funding. Performance-Based Grants: Legislative leadership and the Governor have committed to create the program, and the Pennsylvania Department of Community and Economic Development has committed to approving it. page 62 “…in Pittsburgh, the Renaissance City, the cheering will never stop. When you play Pittsburgh, you play the whole city. Yes, it’s still the City of Champions. It has nothing to do with victories. Pittsburgh has a winning character.” —Howard Cosell INTRO 1 2 3 DELIVERY If Amazon chooses to locate HQ2 in Pittsburgh, the City, County, Pittsburgh Public Schools, and partner jurisdictions will secure the necessary legislative, public, and other approvals required for each of these incentives. With PGHQ2, Amazon will have a dedicated entity to guide the development of HQ2, coordinate public support and approvals, and grow the innovation economy in Pittsburgh. timelines of the incentives we have described. This unique structure will allow Amazon to focus on its core business and communicate with a single representative of the Pittsburgh region. PGHQ2 staff will focus on solving any problems and leveraging existing and newly created resources to address issues and opportunities most important to Amazon. PGHQ2 will serve as Amazon’s dedicated partner for initiatives ranging from campus planning and permitting to technology prototyping and workforce development. With a direct line to the Mayor and Allegheny County Executive, PGHQ2 will act as the primary liaison between Amazon and other elected officials, foundations, universities, and businesses that have volunteered their support for HQ2. A key mandate of PGHQ2 is to meet the approval This dedicated entity will be housed within the Allegheny Conference, a regional civic leadership organization with a 70-year track record of using public-private partnerships to improve our region’s economy and quality of life. The Conference is led by executives and institutional leaders from across the Pittsburgh region, all of whom provide their time, energy, and resources to drive the future of our region. page 63 3 OUR FUTURE Our story is one of invention and reinvention: from steel to software, plate glass to robotics, and aluminum to autonomous technology. Guided by lessons from our past and a vision for the future, today our ideas are bigger and our communities are stronger than ever. WE CAN GROW WITH YOU With sturdy bones and room to grow, we have a solid foundation for expansion. Our housing stock and infrastructure—including our airports and transit—can accommodate Amazon today. We have the capacity to grow with you like no other city can. Together, we will build a city of the future that is better for Amazon and better for Pittsburgh. INTRO 1 2 3 page 65 Housing Capacity “Having come from San Francisco, I initially was skeptical about Pittsburgh and the opportunities it would present. In the seven years we have been here, I can say that it is by far the best move I ever made both professionally and personally.” —Andrew Flynn Founder & CEO, Aquorn We are positioned to absorb a large influx of new households at reasonable prices for the long-term. The City of Pittsburgh has 11,400 housing units under development today and 3,200 more in the suburbs. We conservatively estimate that the City has capacity for an additional 76,000 units within existing zoning stipulations; and Allegheny County can accommodate an additional 370,000 units. Combined, the region can absorb over 446,000 additional dwelling units without risk of the rising costs experienced by other cities. To facilitate the rapid relocation of Amazon employees to Pittsburgh, the local brokerage community has committed to mobilizing in advance of HQ2. They will provide seamless relocation services for Amazon employees and their families. As Pittsburgh continues to grow, we recognize the need to be proactive about maintaining affordability for our residents. The City will continue to build upon the work of the Affordable Housing Task Force and implementation of the Housing Executive Orders issued by Mayor Peduto in February 2017. This includes funding the Housing Opportunity Fund, revising the municipal tax abatement policies in partnership with Allegheny County and Pittsburgh Public Schools, and creating community-based, inclusionary and incentive based zoning policies through the Inclusionary Housing Working Group. INTRO 1 2 3 Partnering with PolicyLink, Pittsburgh has undertaken an ambitious equity agenda designed to ensure that all of our residents benefit from the economic growth of our region. The plan—developed in partnership by government, philanthropy, neighborhood groups, nonprofits, and our corporate community—is comprised of five goals, with specific action steps to achieve each of them. The five goals of the plan are: • Raise the bar for new development; • Make all neighborhoods healthy communities of opportunity; • Expand employment and ownership opportunities; • Embed racial equity throughout Pittsburgh’s institutions and businesses; and • Build community voice, power, and capacity. Reaching these goals will mean a more resilient and successful region that avoids the pitfalls of larger cities, many of which have become increasingly unaffordable and out of reach. We have the opportunity to show that our region can develop without displacement, provide real pathways to education and living wage jobs, and welcome people of all cultures and races with open arms and a seat at the table. [See Appendix K for more details on housing in Pittsburgh.] page 66 Transportation Capacity Aviation Capacity From our public transit system to our airport, Pittsburgh has the infrastructure and excess capacity to accommodate more travelers today. To seize future opportunities and accommodate inevitable population increase, our city is already preparing for additional growth. Within 500 miles of 10 of the 30 largest U.S. cities, and 45% of the total population of the country, Pittsburgh is a bullseye for logistics and transportation. Dominated by light rail and bus, Pittsburgh’s public transit system is nimble. The fleet can expand rapidly to accommodate a major population influx. The T light rail system operates at 5-minute frequencies in Downtown and 10-minutes outside of Downtown, but has the potential to run every 3 minutes. By increasing the frequency of rides, it can add approximately 30% more passengers without building new rail lines. Currently operating with 20 buses per hour per direction, the busway system can immediately accommodate up to 60 buses per hour. It can quickly and easily expand by up to 200% without major additional capital investments. The regional bus fleet has enough vehicles to expand by 25% on either regular roads or the dedicated busways. [See Appendixes L, M, & N for a detailed map of our public transit system.] INTRO 1 2 3 Pittsburgh International Airport offers daily, yearround, nonstop service to New York, Washington, D.C., and San Francisco among other markets across the country, Europe and the Caribbean. The airport is already in high-level discussions with multiple carriers in order to secure non-stop flights to Seattle and additional service to the Bay Area. This additional West Coast service is the airport’s highest priority and leadership is committed to providing market-leading incentive packages. Meanwhile, multiple carriers are already in negotiations to expand non-stop service to Seattle, regardless of the HQ2 location decision. In the past three years, the airport has increased the number of nonstop destinations by 80%, from 37 to 68 cities, and is on track this year to increase its passengers to nearly 9 million—the highest in a decade. Airlines have recognized the airport’s momentum and eight new carriers have started service. International nonstop service includes frequent flights to Toronto, Frankfurt, Paris and Reykjavik. Year-to-date passenger traffic is up 8% as new service continues to be embraced. Pittsburgh also has scheduled nonstop freighter service to Europe and Asia on Qatar Airways Cargo, a unique differentiator among mid-sized cities. page 67 ON-TIME FLIGHTS Average airport on-time performance rate. Pittsburgh 87% Austin 84% Washington (Dulles) 83% Seattle 83% Atlanta 81% Philadelphia 81% Denver 80% Dallas-Fort Worth 79% Boston 77% Chicago (O’Hare) 77% San Francisco 74% 70% Pittsburgh International Airport (PIT) was named 2017 Airport of the Year by Air Transport World, becoming the first U.S. airport on a list including Hong Kong International, London Heathrow and Singapore Changi. The airport is easy to maneuver and highly dependable. With an on-time performance rate of 87%, it is among the most reliable in the U.S. Airport HQ2 Connection Beginning in 2019, Pittsburgh International Airport will embark on a bold $1.1 billion terminal modernization plan to become an industry-leading facility and incorporating the city’s high-tech growth into the terminal. Due to the airport’s extra wide runways and thousands of acres of surrounding land, airfield operations will incur minimal disruption during construction. Passengers will experience virtually no impact. Executive and General Aviation Amazon has the unique opportunity to influence the airport redevelopment plan. We are prepared to offer Amazon designated space within the airport to support its operations. If Amazon selects Pittsburgh for HQ2 while major upgrades are still underway, the company will have the opportunity to design a space suited to its needs, such as a terminal dedicated to shipping logistics or other uses. The airport is already partnering with CMU to utilize the facility as a tech incubator and the airport’s modernization plans will accelerate and implement industry best practices in customer service and airline logistics. By 2019, Pittsburgh will launch a business-class high-speed transit connection between HQ2, Downtown, and Pittsburgh International Airport. Building on an existing high-speed busway, we will provide a shoulder-running transit options with reliable, traffic-free access to the airport. For executive and general aviation, Allegheny County Airport is only 20 minutes from Downtown and logged more than 50,000 trips last year. Business executives throughout the region use this airport for corporate and private jets in addition to Pittsburgh International. Allegheny County Airport is equipped with two full-service, 24/7 fixed-base operators, a helipad, and an Instrument Landing System for safe operations in virtually all weather conditions. Source: US DOT, Bureau of Transportation Statistics (YE July 2017) INTRO 1 2 3 page 68 INNOVATION CITY We have invested in the workforce of the future, and will continue to grow our innovation ecosystem through PGH-AMZN LAB, a new corporate-academic partnership concept. We have transformed our streets into living laboratories, and will continue to innovate alongside Amazon—which will be supported by a new Living Lab concierge service—to establish Pittsburgh as an Innovation City. INTRO 1 2 3 page 69 PGH-AMZN LAB: A NEW ACADEMICCORPORATE PARTNERSHIP Our research universities drive regional growth to solve your biggest problems and suggest new pathways. T he LAB, based on CMU’s campus, will create an opportunity for Amazon to explore new ideas and shape Pittsburgh as an Innovation City. The LAB will set the standard for interdisciplinary, multitier, collaborative research and development. This effort builds on the dynamic history of university-corporate partnerships in Pittsburgh. Leading technology companies from around the world, including Google, Uber, Facebook, Bosch, RAND, PWC Tata Consultancy Services, PNC Bank and UPMC have established research facilities adjacent to Pittsburgh’s universities in recent years. CMU and Pitt play a central role in Pittsburgh’s innovation ecosystem, driving regional and national economic growth, as well as shaping the university’s research and academic mission in a beneficial cycle. INTRO 1 2 3 We will partner with Amazon to create a custom lab and programming that supports Amazon’s goals. Located in the heart of CMU’s campus, the LAB will provide immediate proximity to the center of Pittsburgh’s burgeoning Oakland Innovation District, an area of 1.7 square miles that accounts for almost 30% of the university research and development activity Pennsylvania. The universities do not propose to narrow the programs of this initiative, but we have ideas for collaboration. The LAB could focus on moonshot projects, including the prototyping of new technologies, products, services and entertainment. Or, it could create a training and development ecosystem to shape the workforce of Amazon’s future, serving as a cornerstone of the Amazon Talent Pipeline program. This training environment could work to foster the Pittsburgh talent already supporting Amazon (over 700 CMU and Pitt hires to date), providing more research opportunities for students to tackle issues of mobility, logistics, delivery, and more. page 70 Amazon CampusConnectivity Network There are 78 colleges and universities within the local Pittsburgh area. While this resource affords employers access to more than 45,000 students graduating each year, it requires a coordinated approach to streamline recruiting for firms requiring access to specific types of talent. In anticipation of Amazon’s arrival, an Amazon CampusConnectivity Network will be established by CMU and University of Pittsburgh with the goal of providing a onestop network for access to the resources available at each of the colleges and universities. Meeting in one convenient location in Oakland, this Amazon Campus-Connectivity Network will provide Amazon’s recruiting staff with immediate contacts, convenience, efficiency, and effectiveness. INTRO 1 2 3 To support the Amazon Talent Pipeline, the LAB could: • Increase the size of core undergraduate and graduate programs at CMU, Pitt, and Robert Morris University in computer science, information systems management, statistics and data science, robotics, industrial engineering, supply chain management, and software engineering; • Create AdvancedCS4All, a coding academy that CMU could launch where established software engineers in an evening curriculum over one year can develop their skills to be experts in the emerging areas of advanced security, machine learning, computer perception, optimization, NLP and algorithms; • Develop new models for apprenticeship programs in robotics and automation; • Invest in the Community College of Allegheny County for micro-credentialing, certifications, and associate degrees in robotics, automation, cloud computing, IT, and cybersecurity; • Launch dynamic student engagement, internship, and co-op programs where students can learn in the Amazon environment, and further Amazon’s commitment to sustainability through a collaboration with Chatham University’s Falk School of Sustainability at the 388-acre Eden Hall Campus—the world’s first fully sustainable campus in higher education. We welcome your input into how we could structure this opportunity for Amazon. page 71 LIVING LAB: A CONCIERGE FOR URBAN PARTNERSHIP P ittsburgh’s flexible regulatory climate and deep relationships within university and private research partners make us a hub for urban innovation. As Amazon continues to push the boundaries of technologies like UAV package delivery, robotic fulfillment, and more, PGHQ2 is committed to create a Living Lab concierge service—a team of individuals focused on securing regulatory approvals and other key commitments for industry pilot projects. The Living Lab concierge service will work to rapidly build commitments from government, business partners, and non-profit to support your pilot projects. Prospective pilot hosts will be recruited in advance INTRO 1 2 3 by a combination of senior leadership engagement and collaboration with key technical contacts. Pittsburgh is already a testbed for 21st century technologies. We are small enough to get it done, but big enough to matter. Our SmartPGH plan, a finalist for the 2017 Smart Cities prize, lays out an achievable strategy for the City to identify, pilot, and implement smart city technologies—including new ways to deliver wireless technology and broadband, city services, mobility, and sustainable energy. We understand the importance of linking technology with public infrastructure and private business to spur economic development and improve quality of life for all citizens. Since the plan was announced, we have been working with government agencies, leading researchers, and private companies to execute these ideas. We will bring the same collaborative approach to our Amazon partnership in the next chapter of Pittsburgh’s reinvention. Amazon can join our living lab, collaborating with our innovators while advancing its pioneering technologies. Our innovations include: Autonomous Vehicles • Pittsburgh and CMU are the birthplace of autonomous vehicles, the key technology for last-mile delivery. We have been pioneering the technology for adoption and commercialization for decades, supported in both policy and leadership from the City and State. • Self-driving cars from Uber, Argo AI, Aurora Innovation, Delphi Ottomatika, and others roam the streets collecting data and ferrying passengers from place to place. page 72 Smart Signals • Pittsburgh has installed software called Surtrac, a technology developed at CMU, that allows traffic signals to “talk to each other” to manage congestion in real-time. Surtrac is the world’s first decentralized realtime adaptive traffic signal system powered by artificial intelligence and traffic theory. • In operation, Surtrac has decreased travel times by 25%, reduced idling time by 40%, decreased vehicle stops by 30–40% and lowered emissions by over 20%. The Surtrac system is active at 50 intersections in Pittsburgh and has secured funding for an additional 150 intersections—a major solution to Amazon’s logistical needs. City Services • Pittsburgh is using RoadBotics, a smartphone app, to better monitor and respond to roadway challenges the City faces. RoadBotics monitors roadways through attaching a smartphone with the app to the dashboard or windshield of a vehicle. The data collected by the phone analyzes roadway conditions such as snowfall, cracks, potholes or debris. Broadband • Amazon can partner with and leverage the technology of OPERA (the Open Pittsburgh Wireless Research Accelerator), a new INTRO 1 2 3 initiative to deploy 5G broadband infrastructure. In 2017, the City was shortlisted to receive a $20 million federal grant for OPERA. Sustainability • The City of Pittsburgh, in partnership with the U.S. Department of Energy, the National Energy Technology Lab, Duquesne Light, and the University of Pittsburgh Center for Energy, is currently developing a 21st century energy infrastructure that calls for the expansion and optimization of district scale energy systems, such as micro-grids, thermal loops, combined heat and power systems and other innovative technologies. Healthcare • Logistics and Informatics Venture (ReLIVe) is a University of Pittsburgh Department of Emergency Medicine project. It that works with government, EMS, and community partners to build citizen response for out-of-hospital cardiac arrest. Air Quality • CMU’s CREATE Lab developed and tested technology that can monitor fine particulates indoors. • The CREATE Lab and its spinoff company AirViz Inc. partnered with the Carnegie Library of Pittsburgh (CLP) to set up a Pittsburgh Air Quality Empowerment Lending Library. Within a few months, 400 patrons borrowed a Speck air quality monitor for free from their local CLP branch using their library card. We invite Amazon to use our city as a living lab to prototype radical ideas that will benefit Pittsburghers and the rest of the world. As we look to the future, we will work with Amazon to accelerate ideas for solving the pressing infrastructure, equity and sustainability challenges of our time. • ReLIVe includes deployment of PulsePoint, a system that uses a location-aware smartphone app to rapidly dispatch citizen volunteers to perform CPR and provide early defibrillation for cases of out-of-hospital cardiac arrest, throughout Allegheny County. page 73 CONCLUSION Just as Amazon puts its customers first, the people of Pittsburgh and our region are at the center of the forwardlooking strategies described in this proposal. INTRO 1 2 3 page 74 CONCLUSION A mazon became a global leader due its willingness to take bold, calculated risks and a curiosity to explore new opportunities. Unlike the oversaturated tech ecosystems of Boston, San Francisco, and New York City, Pittsburgh is the next frontier—a place where Amazon can think big and make a lasting positive impact on the community. We have the talent, the space, the infrastructure, and the will to invent and grow with Amazon. Leveraging the strengths of our industries and the collaborative spirit of our regional universities, philanthropies, institutions, and corporate leaders, we are well on our way to building the nation’s best Innovation City. We are already writing the next chapter in Pittsburgh’s storied history as an engine of global business, technology and education. We are thrilled by the boldness of Amazon’s decision to establish HQ2. It is this kind of bold thinking that built Pittsburgh, and has led to our reinvention as a modern-day Innovation City. Pittsburgh loves a challenge. Come for a visit. We are ready to tell you more. We are ready to welcome you into our story. Together, Amazon and Pittsburgh will build a Future. Forged. For All. INTRO 1 2 3 page 75 BROUGHT TO YOU BY… Pittsburgh is a city that works together. Our spirit of collaboration has been integral to our success. This effort has been no different, as this proposal has been driven by over 100 organizations helping us share the story of Pittsburgh: 4moms African American Chamber of Commerce of Western PA Allegheny County Airport Authority AKM Productions Allegheny Conference on Community Development Allegheny County Department of Economic Development The Allegheny County Parks Foundation The Allegheny Regional Asset District AlphaLab AlphaLab Gear American Eagle Outfitters ANSYS Astrobotic Aquorn Argo AI ARIEL Precision Medicine Ascender Avere Blast Point INTRO 1 2 3 BNY Mellon of Pennsylvania Buchanan, Ingersoll & Rooney PC Carnegie Mellon University Chatham University Chevron Appalachia LLC Clarabyte Cognowear Community College of Allegheny County Department of City Planning, City of Pittsburgh Department of Community and Economic Development, Commonwealth of Pennsylvania Department of Finance, City of Pittsburgh Department of Mobility and Infrastructure, City of Pittsburgh Dunham reGroup LLC Duquesne Light Company Duquesne University East Palestine Area Chamber of Commerce (Ohio) Envision Downtown Erie Regional Chamber & Growth Partnership EverPower Federal Reserve Bank of Cleveland Fivesquares Development FutureDerm Gatesman Giant Eagle Google Greater Pittsburgh Chamber of Commerce Gridwise HEBI Robotics The Heinz Endowments Hibersense Highmark Health Hillman Family Foundations HR&A Advisors Huntington Bank IAM Robotics International Brotherhood of Electrical Workers Local 5 Idea Foundry InnovatePGH Innovation Works Jones Day Kaarta Kextil Kraft Heinz LaneSpotter MAYA, a BCG Company Manchester Bidwell Corporation Manchester Craftsmen’s Guild Meter Feeder Mitsubishi Electric Power Products, Inc. Music Everywhere Near Earth Autonomy Neighborhood Allies Office of the County Executive, Allegheny County Office of the Governor, Commonwealth of Pennsylvania Office of the Mayor, City of Pittsburgh Partner4Work The Pennsylvania State University People’s Natural Gas Phipps Conservatory Pittsburgh Regional Building Trades Council The Pittsburgh Foundation The Pittsburgh Parks Conservancy Pittsburgh Public Schools Pittsburgh Regional Alliance Pittsburgh Robotics Network Pittsburgh Symphony Orchestra Pittsburgh Technology Council The PNC Financial Services Group PNC Grow Up Great Point Park University Port Authority of Allegheny County Port of Pittsburgh Commission PPG Public Parking Authority of Pittsburgh Qlicket Rapid TPC Redevelopment Authority of Allegheny County Reed Smith, LLP Richard King Mellon Foundation Robert Morris University Seegrid Simcoach Games The Sports & Exhibition Authority of Pittsburgh and Allegheny County Swat Capital TravelWits Uber Technologies Inc. University of Pittsburgh UPMC UrbanInnovation21 Urban League of Greater Pittsburgh Urban Redevelopment Authority of Pittsburgh Vibrant Pittsburgh WattLearn West Virginia High Technology Foundation West Virginia University Wombat Word of Mouth Communities, LLC page 76