Does a grant mean a "bribe"? That's the insinuation made by Crains New York in the following article describing the $10 million in grants given by Airbnb to a number of New York nonprofits (fairly influential nonprofits at that). Is this a case that the "only thing wrong with tainted money is their 'taint enough of it" for the grant recipients (and no, I don't believe Airbnb to be a tainted source of money Except maybe intent)? Or, is there really some influence peddling expected from the gift? But wait, don't businesses generally give grants to either benefit their employees, employee environment, or their own corporate environment? So what's the big deal. Shouldn't this story be about a big hooray for Airbnb and the grant recipients? OR, should we expect that the grant recipient board members will put in a "good word" to their connections?
My conclusion, I think the article over-hypes the intention by Aribnb. At the face vale, good deal for all around. Or isn't it?
Airbnb hands over $10 million to nonprofits in new PR blitz
Tech firm hopes to advance long-stalled Albany bill
Airbnb aimed to prove Wednesday that its talk about the benefits of short-term rentals isn't merely hot air.
At a morning event in Manhattan, the company announced it would give seven taxpayer-funded nonprofit groups $10 million—a mere 10% of what it claims the city and state could reap in levies if they changed the state's occupancy law.
That statute, which bars the subletting of apartments for fewer than 30 days unless a primary tenant remains on site, was at the heart of the tech firm's recent policy fights in the City Council and state Legislature. The former proved unsuccessful, as city lawmakers in July voted to force Airbnb to disclose the names and addresses associated with its listings to authorities to make enforcement e
“New York state is leaving $100 million in annual tax revenue from Airbnb hosts on the table by not allowing us to collect and remit these taxes—$100 million," said Margaret Richardson, Airbnb's director of global policy. "It’s a big number. And we recognize that the impact of such a large amount is hard to grasp in theoretical terms.So today, we’re making it clear by launching a $10 million initiative, representing just one-tenth of the tax revenue state and city officials are leaving on the table annually.”
Several of the nonprofits benefiting from Airbnb’s largesse are politically well-connected: Abyssinian to Gov. Andrew Cuomo and a number of uptown politicians, and the New York Immigration Coalition to the city’s burgeoning left-of-center activist community, which largely supported the council legislation. Women In Need, meanwhile, enjoys ties to the governor, his state Democratic Party and numerous city officials through its CEO, former City Council Speaker Christine Quinn.
Quinn said her group would use the money to “triple” or “quadruple” its programs linking homeless women to good-paying jobs and to expand its services for victims of domestic violence.
She refused to take a stance on the legislation Airbnb has advanced in Albany, and insisted she had no compunctions about taking money from Airbnb that the company might have derived from illegal rentals. The former council speaker would only insist that the funding would aid those seeking refuge in Women in Need shelters.
“My sole responsibility is to those families, to do everything I can and bring every resource I can,” she said. “This very significant donation is going to make an enormous change and have a huge impact.”
But state Sen. Liz Krueger, D-Manhattan, a leading critic of Airbnb, said, "The potential tax revenue that Airbnb is offering is just a drop in the bucket compared to the massive cost of replacing the housing they've already taken off the market." She called it "unfortunate that organizations serving the homeless are being exploited."
This is not the first time Airbnb has looked to curry favor with nonprofits and civic-minded New Yorkers. Shortly before the city bill passed, the company donated $10,000 in housing vouchers to social workers and volunteers assisting in the reunification of families separated at the U.S.-Mexico border.