Number
201674
Version
SUBSTITUTE 1
Reference
Sponsor
ALD. BAUMAN
Title
Resolution approving a Project Plan and a Development Agreement, authorizing expenditures and creating Tax Incremental District No. 108 (5th and Michigan), in the 4th Aldermanic District.
Analysis
Tax Incremental District No. 108 consists of one property at 501 West Michigan Street. The District is proposed to assist Milwaukee Tool (the “Company”) in redeveloping the building at 501 West Michigan Street and as an incentive for adding employment in the City of Milwaukee (“City”). Funds from the District will be used to provide an initial $12,100,000 grant (“Initial Grant”) to the Company for locating at least 1,210 employees at the facility. A subsequent grant of up to $7,900,000 (“Subsequent Grant”) may be provided to the Company from the District for adding an additional 790 employees. After the City is fully reimbursed by tax increment generated from the District for the Initial Grant and associated debt service costs, the Subsequent Grant may be provided to the Company via annual payment to the Company of 100 percent of the incremental taxes generated from the District until such time as up to $7,900,000 is repaid at an interest rate of 4.5 percent, over a period not to exceed 20 years. The District will also fund up to $200,000 in administrative expenses.
Body
Whereas, Chapter 105 of the Laws of 1975 of the State of Wisconsin, with amendments from other chapters of said Laws, created Section 66.1105, Wisconsin Statutes, titled “Tax Increment Law;” and
Whereas, Section 66.1105(4) of the Tax Increment Law sets forth certain criteria that the Common Council of the City of Milwaukee (“Common Council”) and the Redevelopment Authority of the City of Milwaukee (“RACM”) must follow to create a Tax Incremental District (“TID” or “District”) and approve a project plan for a TID; and
Whereas, Pursuant to Section 66.1105(4)(a) through (gm), Wisconsin Statutes, on April 15, 2021 RACM...
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