Subsidy Tracker Individual Entry
Warehouse Facility/Airport Hub
The value of the state assistance through Kentucky Business Investment program administered by the Kentucky Economic Development Finance Authority was confirmed through public agency websites. KEDFA Special Meeting January 31, 2017; online at: http://thinkkentucky.com/KYEDC/pdfs/KEDFA_BOOKS/minutes/2017/January-spe... press release from Governor Matthew G. Bevin; online at http://www.thinkkentucky.com/newsroom/NewsPage.aspx?x=01312017_Amazon.html. The estimated value of the total subsidy package was estimated from Bloomberg BNA?s Daily Tax Report: State, "Amazon Close to Breaking Wal-Mart Record for Subsidies," March 20, 2017. Online at: https://www.bna.com/amazon-close-breaking-n57982085432/ A story published by the Cincinnati Enquirer cites $5 million in benefits from the Airport: Cincinnati Enquirer, "Amazon will add 2,700 jobs at new $1.5B Kentucky hub," February 1, 2017. Online at: https://www.usatoday.com/story/money/business/2017/02/01/amazon-add-2700....
In January of 2017, Amazon was able to negotiate for subsidies related to its expansion at the Cincinnati/Northern Kentucky International Airport. While the airport authority awarded the company some $5 million, the state awarded Amazon $40 million in Kentucky Business Incentives, and the legislature approved a special aviation sales and use tax credit enabling Amazon to reap as much as $3 million each year in subsidies. The main subsidy package negotiated with the Kentucky Economic Development Finance Authority approved an annual disbursement of $4 million per year for ten years with an ultimate job target of 600 workers at an average hourly wage (including benefits) of $26.00 per hour. Over the course of the deal, the company will be required to maintain 90 percent of their full-time workforce. No estimate of the aviation fuel subsidies were available, so we calculated the value over ten years at $30 million. Overlaps with main Subsidy Tracker data: none.