State Monitor Rejects $80M Tax Break for Amazon’s Orange County Warehouse

A proposed $80 million tax break for Amazon’s planned 3.2-million-square-foot warehouse in Orange County is now in limbo after a state-appointed watchdog rejected the incentive package — a decision that has sharply divided local leaders.

The tax deal, approved last month by the Orange County Industrial Development Agency (IDA), would have granted Amazon major savings over 15 years in exchange for lump-sum payments to the county, the town of Wawayanda, and the Minisink Valley Central School District. The warehouse would be among the largest in the nation.

But last week, the state-appointed monitor assigned to oversee the IDA said Amazon and county officials failed to provide adequate responses to his review questions, according to reporting from the Times Union. The monitor said he lacked sufficient information to approve the deal.

Radio Catskill’s Patricio Robayo spoke with Times Union managing editor Philip Pantuso, who said the monitor’s veto appears based on procedural gaps rather than objections to the tax break itself. Amazon and the IDA dispute the finding — calling the decision “wrong procedurally and on the facts” — and argue the veto arrived past its deadline.

The rejection has reignited a long-running battle over warehouse expansion in Orange County. Supporters say the project would generate hundreds of jobs and millions in revenue; critics call it a reckless giveaway and warn of environmental and quality-of-life impacts.

State Sen. James Skoufis, a frequent IDA critic, praised the monitor’s decision as a necessary check on a powerful agency he has accused of lax oversight. Amazon and the IDA say they are now considering next steps, including whether the veto can be overturned or whether a revised deal could be brought forward.

The project’s future remains uncertain — and one of Orange County’s biggest development fights is far from over.

Photo Credit: Times Union