Don’t give incentives to Amazon, critic says
Advocacy group leader says Florida should not offer subsidies for HQ2.
Florida might want e-commerce giant’s second headquarters, says advocacy group, but should not offer tax breaks to get it.
South Florida’s three economic development organizations are making a play for Amazon’s second headquarters. But the group that calls itself “the state’s leading grassroots advocacy group against corporate welfare” says Florida should skip tax breaks and other subsidies.
“There is no circumstance under which Amazon should be given a single cent or single tax break by any Florida city or county,” said Chris Hudson, state director of Americans for Prosperity-FL. “Amazon has proven it can compete and dominate in a global economy — but it should not be looking to take advantage of taxpayers and their local customers in such a crude fashion.”
Seattle-based Amazon’ s announcement that it aims to open a second headquarters somewhere in North America set off a continental bidding war. That contest comes amid a long-simmering debate in Florida, where Gov. Rick Scott views job subsidies as a prudent investment, but many Republicans in the Legislature see incentives as a giveaway.
Americans for Prosperity-FL isn’t the only organization cautioning states and municipalities against giving incentives to Amazon. Good Jobs First, another critic of jobs subsidies, said Amazon has become adept at extracting tax breaks as it expands nationally.
“Taxpayers should watch their wallets as the trophy deal of the decade attracts politicians to a hyper-sophisticated tax-break auction,” said Greg Leroy, head of Good Jobs First.
Hudson, for his part, noted that the aftermath of Hurricane Irma “isn’t the time to be handing out anyone’s money.”
Hudson also pointed to the personal wealth of Amazon founder Jeff Bezos. As of Friday, Bezos’ 80.9 million shares of Amazon were worth $78 billion. Hudson said Florida should make a pitch for Amazon’s HQ2 — but without public subsidies.
The Busi nes s Devel o pment Board of Palm Beach County agreed Sept. 20 to join forces with its counterparts in Broward and Miami-Dade to make a joint pitch for Amazon’s second headquarters.
Seattle-based Amazon opened a bidding war earlier this month when it unveiled plans to open a facility with 50,000 employees at an average salary of $100,000. It’s seeking proposals from regions with a population of at least a million people.
One potential downside: Amazon wants incentives, and Florida lawmakers have signaled their skepticism about paying subsidies to employers. During the 2017 session, legislators cut the state’s budget for incentives.
“Certainly, the conversations in the last legislative session make it a little more difficult,” Kelly Smallridge, Business Development Board president, said this month.