If Amazon paid 100% of our property taxes, like they plan to do in Covington for at least 16 years, in exchange for a data center campus buildout…Would you be in favor of this?
Mayor Fleeta Baggett announced a plan Monday to use revenues generated by an Amazon Data Services data center campus in the city to eliminate property taxes for city homeowners.
Baggett said the economic investment from Amazon provides an opportunity for the city to shift the tax burden off residents and onto large-scale commercial development.
“This is exactly the kind of economic growth we’ve been working toward — growth that directly benefits the people who call Covington home,” said Baggett. “Because of the revenue generated by the Amazon data center, we now have a real opportunity to eliminate city property taxes for individual homeowners.”
Property taxes for Amazon will be abated for the next 16 years, but Amazon will make payments in lieu of taxes (PILOT) during that time totaling $99,450,000 for the city.
Once the abatement period ends, Amazon will pay property taxes based on the city’s millage rate.