Capitalizing on Washington, DC’s Economic Opportunities

More than its monuments and museums, Washington, DC, is a global tech hub and a force in innovation, developing cutting-edge research across the life sciences, engineering, and data science sectors. The city is ranked #3 in the U.S. for tech talent by CBRE,1 with access to an industry-leading workforce of about 260,000. The local innovation ecosystem is supported by top-tier educational institutions like Georgetown University, George Washington University, and Howard University; active venture capital; and opportunities to closely engage with decision-makers shaping the regulatory landscape for new technologies.

Washington, DC, offers several competitive advantages to businesses in the tech and R&D industry clusters. With increased public-private partnerships, investments, and talent development in these sectors, the District is a thriving ecosystem for funding, developing, and bringing new inventions and products to market.

With more than 50 percent of adults in the region holding a bachelor’s degree or higher and over 100 colleges and universities within 100 miles, the DC region offers a highly skilled workforce and a robust talent pipeline. The region’s workforce also offers superior concentrations in high-demand tech occupations, with significant specialization in computer and information analysts and research scientists, operations research analysts, and database and network administrators and architects. Its diverse and inclusive workforce has also made it the #2 City for Women in Tech2 and #1 for Black Entrepreneurs.3 DC’s growing access to venture capital funding broke records in 2021, with $4.9 billion in funding going to companies across the region.

Major employers in the region have capitalized off these advantages and include Accenture, Amazon, Capital One, CACI International, Consilio,

Research and Development Authority, and National Institute of Standards and Technology.

Locating in DC provides access to several incentives and resources, including the Vitality Fund, a discretionary “closing fund” administered by the DC government to assist businesses in target sectors to relocate, expand, or stay in Washington, DC, and the Creative Open Space and Modernization tax rebate designed to support the growth of large technology companies.

To support companies’ workforce development goals, the DC Department of Employment Services offers a variety of services to help employers, including the Work Opportunity Tax Credit, onthe-job training, and apprenticeship programs.

CoStar Group, General Dynamics, MapBox, and Microsoft. Recent expansions in DC include Google’s new 130,000-square-foot downtown lease, Boston Consulting Group’s 98,000-square-foot office, and a 71,100-square-foot lease for TikTok.

As home to the federal government, Washington, DC, also offers unparalleled proximity to key U.S. government agencies and funders, such as the Department of Health and Human Services, Food and Drug Administration, National Institutes of Health, National Science Foundation, Defense Advanced Research Projects Agency, Biomedical Advanced

DC provides the right talent, funding, and supportive ecosystem for companies to expand their operations in an innovative and vibrant landscape, and the Washington DC Economic Partnership is available to support businesses on the path to expansion. For more information on how your company can secure its future in DC, visit wdcep.com or contact Audrey Polk, VP of Corporate Attraction at apolk@wdcep.com.

1 https://www.cbre.ca/insights/books/scoringtech-talent-2022

2 https://www.yahoo.com/lifestyle/best-citieswomen-tech-2022-110042977.html

3 https://www.blackenterprise.com/incfilewashington-d-c-is-the-best-city-for-blackentrepreneurs/

With concerns about climate change now supplanting pandemic fears, projects to produce EVs — and the semiconductors used by vehicles and other high-tech goods — come to the forefront in this year’s Shovel Awards report.

By Steve Kaelble

If there’s one thing that has been consistent with our Shovel Awards from year to year, it’s the fact that nothing gets in the way of progress and good news. Even amid challenging times such as the COVID pandemic, lots of positive developments move forward. The uncertainty we all felt during the worst parts of the pandemic in 2020 and 2021 didn’t stop location and expansion projects from blossoming.

In 2022, the pandemic was fading, the economy was sizzling, and growth was continuing to generate exciting economic development headlines. And interestingly, many of the headlines were linked to a different critical challenge as daunting as the pandemic, potentially even more so. That would be the challenge of climate change. Concerns about the environment are accelerating the shift to electric transportation, and in 2022, that shift was a catalyst for huge projects across the country.

The latest Shovel Awards reflect this in a big way. Many of the biggest recent projects involve the manufacture of electric vehicles or the batteries that power them — check the sidebar online for more info. Meanwhile, many other projects driving this round of Shovel Awards reflect the increasingly active

Methodology

Area Development’s annual Shovel Awards recognize states for their achievements in attracting high-value investment projects that will create a significant number of new jobs in their communities. We asked for information from all 50 states about their top jobcreation and investment projects initiated in 2022. Based on a combination of weighted factors — including the number of new jobs to be created in relation to the state’s population, the combined dollar amount of the company investments, the number of new facilities, and the diversity of industry represented — five states achieving the highest weighted overall scores were awarded Area Development’s Gold Shovels in five population categories: fewer than 2 million, 2+ to 4 million, 4+ to 6 million, 6+ to 10 million, and 10+ million. The runners-up in each of the above population categories earned Silver Shovels. This year, just one state was given our Platinum Shovel award in recognition of the fact that the state went beyond the Gold standard for job creation and investment.

domestic semiconductor industry, fueled in part by federal incentives and in part by an ever-increasing hunger for chips that has driven painful shortages. And as noted in the related sidebar online on that sector, some of those shortages can be linked to the impact of the COVID pandemic.

Our Shovel Award honors are based on information shared with us by state economic development officials. The info was current at the time it was provided, though it goes without saying that from time to time, plans are later revised or delayed by unforeseen circumstances.

We’ve spotlighted states whose project activity has been exceptionally strong by bestowing Gold Shovel and Silver Shovel awards. And like last year, we’ve put a Platinum Shovel spotlight on one state with job creation and investment activity that is even further above and beyond. Read on for the latest good news!