Amazon might get a $2.6 million bill from Miami-Dade County. Here’s why

Amazon could face a financial penalty from Miami-Dade County for closing a warehouse employing about 1,000 people that opened less than two years ago on county-owned land outside of Homestead.

County commissioners on Wednesday advanced legislation instructing Miami-Dade administrators to enforce penalties against Amazon for not retaining a promised 325 jobs on the site with an average annual pay of $32,000. A 2020 agreement between Amazon and the county includes a penalty of $8,000 for every missing job, which means Miami-Dade could pursue $2.6 million in all.

Amazon did not have to compete with other purchasers when it paid $22 million for the property at 27505 SW 132nd Ave., next to the Homestead Air Reserve Base. The no-bid sale was authorized under Florida’s economic-development laws in exchange for Amazon’s jobs pledge.

On March 5, Amazon announced plans for a two-year closure of the warehouse starting in July in order to retrofit the 1.3-million-square-foot, 24-hour facility into a different type of distribution center for the delivery giant. The company says it is offering jobs elsewhere in South Florida for workers there and that all will be invited back once the renovations are done.

But Commissioner Danielle Cohen Higgins, who represents parts of South Miami-Dade, said the offers aren’t adequate because the warehouse workers shouldn’t have to drive to far-off Amazon facilities to keep their jobs. Amazon has a large warehouse in Opa-locka, which is about a 40-mile drive away from the Homestead site.

“We have to hold them to account,” Cohen Higgins said. “If you’re in Homestead, working in Opa-locka is really a substantial difference.”

The Cohen Higgins legislation that passed the commission’s Intergovernmental and Economic Impact Committee could result in Miami-Dade demanding payment from Amazon if passed by the full board of county commissioners at a future meeting.

An Amazon spokesperson said the company is already in talks with Miami-Dade about resolving the issue.

“Our team is working closely with Miami-Dade County and its attorneys, and we’re hopeful we can find a cooperative path forward,” spokesperson Amber Plunkett said. “More than 300 employees from our facility in Homestead have already accepted transfers to stay with Amazon at other facilities, most of which are based in Miami-Dade County.”