By Lewis Loflin
In March 2016, Washington County, Virginia, allocated $30,000 in public funds to Katie Lamb for her Damascus-based “Me and the Little Tree Studio and Boutique,” a decision that sparked debate amid significant local job losses. Reported by the Bristol Herald Courier, the grant aimed to foster small business growth but highlighted a disconnect in economic priorities. While Lamb expressed gratitude, the funds’ impact paled against the closure of Ball Corp.’s Bristol facility, which eliminated 230 well-paying jobs. As I’ve noted in Washington County Job Losses and Bristol’s Debt Crisis, Southwest Virginia’s reliance on low-impact projects often overshadows critical needs. In 2025, this case offers lessons for the Tri-Cities.
With parallels to Scott County’s call centers and Energy Center, Washington County’s challenges underscore the need for strategic investments.
Katie Lamb received $30,000 through a collaborative effort involving the Washington County Industrial Development Authority (IDA), the Town of Abingdon, and the Virginia Department of Housing and Community Development (DHCD), administered via the Virginia Department of Small Business and Supplier Diversity (SBSD). Lamb, a Damascus resident, planned to open a boutique and art studio to sell handmade goods and offer classes, describing herself as “floored” by the support (Bristol Herald Courier, March 18, 2016). While well-intentioned, the grant—likely creating one to two jobs—offered limited economic ripple effects compared to industrial opportunities.
This small-scale focus mirrors Bristol’s $25,000 ice cream shop grant, critiqued in Tax Increases, where public funds yielded minimal returns.
Several organizations drove the grant, each with a stake in local development:
These entities, while aiming to stimulate growth, echoed the mismanagement seen in TICR Challenges, where oversight lagged.
While the boutique grant garnered attention, Ball Corp.’s closure of its Bristol plant in 2016 dealt a far greater blow. Announced in January 2016, the shutdown eliminated 230 jobs—high-paying manufacturing roles with benefits—by summer (Bristol Herald Courier, Jan. 14, 2016). Ball cited market shifts in aluminum packaging, leaving workers with severance and job fairs but no local equivalent opportunities. Washington County’s unemployment rate, around 5% in 2016, spiked locally, with ripple effects on families and businesses.
The contrast between $30,000 for a boutique and 230 lost livelihoods underscored a regional pattern, as seen in Replacement Jobs, where low-wage retail often fills voids.
The $30,000 grant reflected a broader trend of favoring small, symbolic projects over industrial stability. Washington County’s IDA, which supported 150 tech jobs with 1901 Group in 2020, showed capacity for larger investments, yet boutique grants persisted. The Chamber’s focus on events and SBSD’s diversity goals, while valuable, didn’t address manufacturing declines. DHCD’s funding, meant for community growth, seemed misdirected when Ball’s closure loomed. This mirrors Bristol’s $1 million hotel subsidy in Tax Increases, where public funds chased uncertain gains.
In 2025, Washington County’s economy shows mixed progress. Hard Rock Casino’s 2024 opening in Bristol may boost regional taxes, but manufacturing losses, like Ball’s 230 jobs, remain unrecovered, with poverty rates steady at 15-20%. The Virginia Highlands Incubator, still operational, faces scrutiny for effectiveness, per 2023 reports. Lamb’s boutique, if active, likely contributes minimally, underscoring the need for high-impact investments. Like Scott County, the county struggles to replace quality jobs, a challenge rooted in 2016’s choices.
Washington County can refocus with clear strategies:
| Action | Benefit |
|---|---|
| Transparent funding | Builds accountability |
| Industrial retention | Preserves jobs |
| Workforce training | Boosts employability |
| Impact assessments | Ensures returns |
Prioritizing stability, as I urged in Meth Epidemic, can strengthen the region.
The $30,000 boutique grant, contrasted with Ball Corp.’s closure, highlights Washington County’s need for strategic economic planning. In 2025, leaders must balance small business support with high-impact job retention to uplift Southwest Virginia’s communities.
Acknowledgment: I’d like to thank Grok, an AI by xAI, for helping me draft and refine this article. The final edits and perspective are my own.
