Number
020323
Version
SUBSTITUTE 1
Reference
Sponsor
ALD. HINES
Title
Substitute resolution authorizing an expenditure from the Economic Development Committee Fund to a newly formed company by Louis Miller (owner of AmeriVoice Telecommunications) for business development.
Analysis
This substitute resolution authorizes a $5,000 grant from the Economic Development Committee Fund. The funds will be used to assist in the hiring of professional services to prepare a proposal to SBC Telecommunications, recommending a partnership to increase subscriber retention among their credit-challenged customers.
Body
Whereas, In 1992 Louis Miller started AmeriVoice Telecommunications (“AmeriVoice”) to provide residential and business users with high-quality telephone service and voice messaging; and
Whereas, In 1996, with the passage of the Telecommunications Act, AmeriVoice refocused itself in the marketplace by providing innovative pricing and specialized customer service to the credit-challenged segment of the telephone market; and
Whereas, Over a five-state Midwest region, approximately 22 percent of SBC Telecommunications (“SBC”) customers are credit-challenged; and
Whereas, A significant portion of the credit-challenged market ends up not able to pay its bills, often resulting in termination of service; and
Whereas, AmeriVoice has expertise in working with these accounts and has been successful in the Milwaukee market; and
Whereas, Louis Miller has proposed to create a separate entity to become the outsourced supplier of these services to SBC; and
Whereas, This partnership will allow credit-challenged customers to keep their telephone service and their bills at manageable levels; and
Whereas, The new company is expected to employ up to 140 full-time positions in Milwaukee's central city; and
Whereas, The Wisconsin Department of Commerce has approved a $10,000 grant to assist Louis Miller with his business proposal efforts, a copy of the grant approval is attached to this Common Council File as Exhibit A; and
Whereas, The City of Milwaukee wishes to provide a grant in the maximum amount of $5,000 to assist the newly formed company with the preparation of the business proposal to SBC recommending this partnership, a copy of the terms and conditions of the grant are attached to this Common Council File as Exhibit B; now, therefore, be it
Resolved, By the Common Council of the City of Milwaukee that a $5,000 grant to Louis Miller's newly formed company is approved and that the proper City officials are authorized and directed to enter into a grant agreement; and, be it
Further Resolved, That the City Comptroller is authorized and directed to transfer $5,000 from the Economic Development Committee Fund, Account No. S123, to the appropriate subaccount for the purpose of implementing the aforementioned grant.
Drafter
DCD:KM:km
01/07/03