Delta Camshaft, a Washington-based manufacturer specializing in camshaft production and repair, is relocating its business after nearly five decades in the state, according to owner Jon Bodwell [1]. Bodwell attributes the decision to escalating crime rates, increasing taxes, and a deteriorating political climate, stating, 'A majority of it is the constant battle with the city over the graffiti and the crime stuff here, the constant massive tax increase, everything is increasing' [1]. He noted that insurance costs have surged by 20%, power bills are rising, and claims are expected to increase by another 13%, with his insurance policy on the building having 'skyrocketed' due to rampant crime [1].
Bodwell estimates the cost of moving out of Washington could reach $100,000, but he believes the relocation will ultimately be financially beneficial [1]. He also highlighted that the market for commercial real estate in downtown Tacoma has become saturated, with 'a ton of buildings for sale in the market because everyone's leaving' [1]. The company clarified on its website that it is not closing, but intends to continue serving customers from a new location [1].
The broader business climate in Washington appears challenging, as a recent survey by the Association of Washington Business found that 44% of business leaders are considering moving their personal residence out of state, and businesses are now more than twice as likely to expand outside Washington than within it [1]. In March, Washington state Democrats passed the 'millionaires tax,' the state's first-ever income tax, which was signed into law by Governor Bob Ferguson on March 30 [1].
According to an FBI crime report released in August 2024, Seattle ranked fourth-worst out of the 30 largest American cities for total crime [1]. Bodwell expressed frustration with law enforcement, stating that 'the criminals basically have more protective rights than I do as the building owner' and that reporting graffiti takes longer than arresting offenders [1].
CONCLUSION
Delta Camshaft's decision to relocate underscores the mounting challenges faced by Washington businesses, including rising crime, increased taxes, and unfavorable political conditions. The move reflects broader concerns among business leaders, with many considering leaving the state or expanding elsewhere. The market impact is medium, as the trend could affect local economic activity and commercial real estate values.