Milwaukee Post
Issue link: https://www.ifoldsflip.com/i/576196
By DAVE FIDLIN Special to The Post MILWAUKEE — After months of scruti- ny, internal debate and polarizing commen- tary from residents, Milwaukee municipal officials are backing a plan to offer $47 mil- lion toward the new Bucks arena. The funding package, which draws from two tax incremental financing districts and not the general operating budget, includes a swath of caveats, including one provision concerning the city's relinquishing portions of North Fourth Street. That specific item will be taken up at a later date. The 12-3 vote on Tuesday by the Common Council sets the stage for the new arena, which will be built in upcoming years to replace the BMO Harris Bradley Center, a 25-year-old facility that has been deemed functionally obsolete by the NBA. The league has given the Bucks until fall 2017 to have a new place to play. The entire cost for the new arena hovers around $500 million, and the franchise's cur- rent owners have pledged to fund half of the cost. Other funding sources include $55 mil- lion in state funding. County Executive Chris Abele also has agreed to sell the coun- ty-owned Park East corridor to the Bucks' owners for $1. The council's vote consummated the use of the TIF districts to realize the city's por- tion of the financial commitment. TIF is a mechanism that allows munici- palities to borrow money for infrastructure improvements. The increased property tax revenue from the improved land is then diverted from the tax rolls to pay off the loan. Newly elected Alderman Mark Borkowski, who replaced the late Joe Dudzik on the council, was the most vocal opponent of offering city assistance toward the new arena. He was especially critical of the entertainment district. "I'm actually surprised by the lack of dis- cussion that has taken place here," Borkowski said of debate at the municipal level. "From a fiduciary perspective, where are we ahead? I'm concerned this will can- nibalize the existing businesses." Borkowski said, "I'm sorry to be a wet blanket, but someone has got to say it." While he favored the overall arena plan, Alderman Nik Kovac said he would not vote in favor of the agreement without some sort of clause that calls on Bucks owners to reim- burse the funds the city is floating for the project. "I'd like for there to be some sort of pay- back, especially if this is going to be as suc- cessful as everyone says it's going to be," Kovac said. In addition to Borkowski and Kovac, Alderman Tony Zielinski voted against the proposal. Many of the other dozen aldermen offered starkly different viewpoints. Alderwoman Milele Coggs and Alderman Robert Bauman, who both represent a por- tion of city impacted by the new arena development, have been instrumental in bringing the adopted agreement to fruition. Coggs, in particular, played a role in adding provisions that allow city residents to work on the construction of the new arena and the surrounding developments associated with the project. She said the new arena could be used as a catalyst for job cre- ation in the community. "Poverty in the city of Milwaukee is real," Coggs said. "There's no denying it. It's hit this city hard." Not long after the council made its deci- sion, several prominent city leaders weighed in. "Even when negotiations were tough, I never stopped advocating for a deal that would ensure all of Milwaukee, across all socioeconomic lines, would benefit from our partnership with the city and the Milwaukee Bucks," Abele said in a state- ment. "That deal has become a reality." Bucks President Peter Feigin also weighed in on the decision, expressing ela- tion at the city's support. "Today is a truly historic day for Milwaukee and Wisconsin, and the culmina- tion of months of hard work from an incred- ible coalition passionate about our commu- nity's future," Feigin said in a statement Tuesday. 2 • Milwaukee County Post • September 25, 2015 Bucks nail down key piece of funding, support Volume 21, issue number 39 The Milwaukee Post (ISSN 1544-1776) is published weekly by Conley Media, Milwaukee County 3397 South Howell Ave., Milwaukee, WI 53207 For all departments call: 414-744-6370 News display and advertising FAX: 414-375-7070 Classifieds: 800-762-6219 ext. 5005 Classified Fax: 262-334-6252 For display advertising inquires: 414-744-6370 Barry Richards: Advertising Representative — ext. 13 brichards@conleynet.com Julia LeGath: Advertising Representative — ext. 17 jlegath@conleynet.com Jim Baumgart Advertising Sales Director — 262-513-2621 jbaumgart@conleyent.com For editorial questions: Dan Muckelbauer Editor 262-513-2626 dmuck@conleynet.com POSTMASTER: Send address changes to the Milwaukee Post 3397 S. 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