"Another productive session:" Second day of talks on Bucks arena funding, this time in Milwaukee
MILWAUKEE (WITI) -- As the Milwaukee Bucks on Thursday, April 23rd prepared to play in their first home playoff game in two years, city, county and state leaders met for the second straight day to discuss funding for a new Milwaukee Bucks arena. How the new arena would be paid for remains a big unanswered question. Two weeks ago, Bucks officials unveiled plans for a $500 million arena and $500 million sports and entertainment complex that would transform downtown Milwaukee. The entertainment district would be paid for mostly by private enterprises — but the arena requires public funding.
"We are continuing to talk about a solution," Bucks President Peter Feigin said.
Thursday's meeting started around 3:30 p.m., with key players coming together at the Milwaukee Athletic Club in downtown Milwaukee. On Wednesday, they met at the Capitol in Madison.
Both meetings were shrouded in secrecy as officials at all levels have declined to confirm even the most basic information about these meetings -- including when they would be held and where. The message we've heard repeatedly from city, county and state officials is that these are private meetings.
These private meetings, however, concern as much as $250 million in public money.
The estimated cost of the arena is around $500 million.
Governor Scott Walker’s funding plan calls for the state contributing $220 million in bonds — with some funds coming from players’ income taxes and $50 million coming from other sources, such as the city of Milwaukee and Milwaukee County. So far, the city of Milwaukee has offered $25 million. Milwaukee County hasn't offered a specific amount, but County Executive Chris Abele says he's willing to match the $25 million and possibly more.
Some lawmakers are calling Walker’s plan “dead on arrival” due to its price-tag.
Senator Scott Fitzgerald (R-Juneau)’s plan calls for the state contributing $150 million via a loan through the state’s “Public Lands Board.”
Milwaukee Alderman Bob Bauman has suggested Milwaukee County create a one percent sales tax. Bauman says the money would cover the public funding for the project, as well as other public needs, such as parks, cultural institutions and transit, things currently covered by property taxes. The one percent sales tax would put the sales tax in Milwaukee County at 6.6%, and Bauman believes Milwaukee County’s property tax levy would drop significantly.
Former owner Herb Kohl has pledged $100 million, and the new Bucks owners have pledged $150 million towards this project.
The state’s contribution ($150 million to $220 million), the city/county contribution ($50 million), and the pledges from Kohl and the new Bucks owners ($250 million) combined could come up short of the $500 million needed for the arena. If the state contributes $150 million, the total would be $450 million — $50 million short.
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