Number
121815
Version
SUBSTITUTE 2
Reference
Sponsor
Ald. BAUMAN
Title
Substitute resolution authorizing the Port of Milwaukee to apply for, accept, and expend a grant from the Wisconsin Economic Development Corporation relating to the Port of Milwaukee Foreign Trade Zone.
Analysis
This resolution authorizes the Port of Milwaukee to apply for, accept, administer, and expend a grant from the Wisconsin Economic Development Corporation ("WEDC") relating to the Port of Milwaukee Foreign Trade Zone in the amount of up to $50,000. Under this grant program, which would run from July 1, 2013 through June 30, 2014, a participating business would be eligible for reimbursement of up to $10,000 for expenses relating to applying for new or expanded Foreign Trade Zone status or expenses incurred in attending ongoing Foreign Trade Zone staff education. The Port will receive reimbursement requests from participating businesses, review and forward the requests to WEDC. WEDC will disburse grant funds to the Port, which will in turn disburse awarded grant funds to eligible, approved participants. No City funds are required for participation in this grant program.
Body
Whereas, The Port of Milwaukee desires to administer, in partnership with the Wisconsin Economic Development Corporation ("WEDC"), a grant program for businesses that wish to begin or expand their participation in the Port's Foreign Trade Zone (FTZ No. 41); and
Whereas, Under this grant program, eligible Wisconsin companies, as identified by the Port, will submit requests for reimbursement of eligible funds expended to the Port, which will review and forward the reimbursement requests to WEDC, which will then disburse the grant funds to the eligible companies; and
Whereas, Under this grant program, WEDC will provide the Port, as administrator of the grant, up to $50,000 for the Port to reimburse actual eligible FTZ-related expenses incurred by participating companies; and
Whereas, Grant funds will be awarded to Wisconsin businesses to offset 2 types of expenses:
1. The costs of applying for new or expanded Foreign Trade Zone status.
2. The costs incurred by a current Foreign Trade Zone participant in attending ongoing staff education.
; and
Whereas, The maximum grant award per business will be $10,000 per WEDC fiscal year (July 1 - June 30), with a required 25% match from each participating business; and
Whereas, The specifics of this partnership grant program are set forth in the "PARTNER AGREEMENT BETWEEN THE WISCONSIN ECONOMIC DEVELOPMENT CORPORATION AND FOREIGN TRADE ZONE #41 - PORT OF MILWAUKEE" (CONTRACT # FY13-21830), which is attached to and made a part of this file; and
Whereas, The Common Council supports the goal of this proposed grant program, which is to increase the competitiveness of Wisconsin companies in the global marketplace by promoting the use of Foreign Trade Zone benefits through financial assistance to participating businesses; and
Whereas, Without this type of financial assistance, potential FTZ participant businesses may be hesitant to apply for FTZ status due to the significant upfront costs; and
Whereas, The incentives offered through this partnership grant program may help the Port of Milwaukee achieve its goal of recruiting 4 to 5 new FTZ-participant businesses each year, thereby growing the Milwaukee-area economy, tax base and employment level; and
Whereas, The operation of this grant from July 1, 2013, through June 30, 2014, would cost up to $50,000 (depending on the level of interest and eligibility of expenses of businesses that may participate in the program), with 100% of the cost being provided by the grantor (WEDC) and 0% of the cost being provided by the City; and
Whereas, Because businesses participating in this grant program would be required to sign a certification statement verifying their eligibility for participation, the City would not be liable for any expenses that WEDC could later determine to be ineligible; now, therefore, be it
Resolved, By the Common Council of the City of Milwaukee, that the Port of Milwaukee be authorized to apply for, accept, administer, and expend a grant from the Wisconsin Economic Development Corporation relating to the Port of Milwaukee Foreign Trade Zone in accordance with the term and conditions of the attached "PARTNER AGREEMENT BETWEEN THE WISCONSIN ECONOMIC DEVELOPMENT CORPORATION AND FOREIGN TRADE ZONE #41 - PORT OF MILWAUKEE" (CONTRACT # FY13-21830) without further Common Council approval unless the terms of the grant change as indicated in Section 304-81, Milwaukee Code of Ordinances; and, be it
Further Resolved, That the Port of Milwaukee's Port Operations and Trade Director is directed to execute the attached Partner Agreement on behalf of the Port and the City; and, be it
Further Resolved, That the City Comptroller is authorized to:
1. Commit funds within the Project/Grant Parent of the 2013 Special Revenue -Grant and Aid Projects, the following amounts for the project titled: "Partner Agreement between the Wisconsin Economic Development Corporation and Foreign Trade Zone #41 - Port of Milwaukee":
Project/Grant |
Fund |
Org |
Program |
BY |
Subclass |
Account |
Project |
Amount |
GR0001300000 |
0150 |
9990 |
0001 |
0000 |
R999 |
000600 |
Grantor Share |
$50,000 |
2. Create the necessary Grant and Aid Project/Grant and Project/Grant levels, and budget against these Project/Grant values the amount required under the grant agreement.
3. Establish the necessary City Share Project Values.
Requestor
Drafter
LRB146848-2
Jeff Osterman
05/28/2013