Number
250212
Version
SUBSTITUTE 1
Reference
Sponsor
ALD. BAUMAN
Title
Substitute resolution amending and restating a service and benefits agreement between the City of Milwaukee and Wisconsin Center District.
Analysis
This resolution amends and restates the PAYMENT IN LIEU OF TAXES AGREEMENT found in Common Council file 191960 between the City of Milwaukee and the Wisconsin Center District and outlines the terms and conditions of the restated agreement attached to this resolution.
Body
Whereas, The Board of the Wisconsin Center District (WCD) authorized a significant expansion, an increase in the Milwaukee County hotel tax and an extension of the food and beverage tax to include takeaway meals purchased in restaurants and convenience stores in 2020; and
Whereas, WCD’s expansion doubled its footprint in the City with the subsequent completion of the project in 2024; and
Whereas, In recognition of the City’s authorization for the expansion project, the City and WCD negotiated a Payment in Lieu Taxes (PILOT) agreement memorialized in a written agreement executed on August 1, 2020 found in Common Council file 191960; and
Whereas, The PILOT agreement provided, beginning in 2025, that WCD will make an annual payment to the City of $1,000,000 for the first $30,000,000 of net income, and an additional $1,000,000 for every additional $10,000,000 of net income above $30,000,000; and
Whereas, Under the terms of that agreement, “net income” is defined as net revenue, less expenses and deducting capital expenditures, grants, bond premiums, amortization and before deducting depreciation; and
Whereas, Under the terms of the original PILOT agreement, the WCD shall make no PILOT Payment to the City any year the Districts audited financial statement demonstrates that the District not generate a net income of at least $1,000,000 in the prior fiscal year; and
Whereas, Subject to the same net income criteria, the WCD agreed to remit to the City of Milwau...
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