Aerotropolis Tax Credits Deconstructed: What Do We Really Get for Our Money?

Senate Bill 390 proposes $480 million in tax credits spread out over 15 years in an attempt to spur private investment in warehousing, cold-chain facilities and distribution centers and to lure (air) freight forwarders to set up shop in the St. Louis area. The goal is to create an International cargo hub at Lambert-St. Louis International Airport.

Opponents are voicing concerns. Some of the questions asked: “Why would we commit to these tax credits without a commitment from the Chinese?” or “Shouldn’t there be a provision in the bill that voids it if the Chinese don’t commit?” and the obvious: “Why should Missouri tax payers help pay for this hub? If it’s such a good idea shouldn’t it pay for itself?” All are good questions. The concerns are real.