Assembly nears vote on Foxconn incentives; "Hopefully, it's not a party-line vote this time"
MADISON -- Lawmakers will vote Thursday, August 17th on a massive incentive package that would bring Foxconn to Wisconsin.
Gov. Scott Walker
Gov. Scott Walker delivered the closing lines at the Wisconsin Manufacturers & Commerce 'Policy Day' event on Wednesday. He called on lawmakers to say 'yes' to Foxconn and the incentive package needed to bring the LCD screen factory to SE Wisconsin. The package could cost as much as $3 billion in tax credits. "To take an internationally known company and bring it into this state, not just to hire those 13,000 people, not just to add $10.5 billion to the payroll over the next 15 years alone, but to send the message when it comes to attracting talent that we're playing in the big leagues," Gov. Walker said.
Democratic lawmakers planned to meet privately in caucus for hours Wednesday ahead of Thursday's Assembly vote. They proposed 23 amendments in committee -- each was rejected.
State Rep. Tod Ohnstad (D - Kenosha)
State Rep. Tod Ohnstad (D - Kenosha) said the minority party will bring more amendments to the floor on Thursday. "There will be ample opportunity for the Republicans to figure out which of those amendments make sense to them. Hopefully, it's not a party-line vote this time," Ohnstad said. Critics have pointed to a report from the state's nonpartisan fiscal bureau estimating that, at best, it would take 25 years for Wisconsin to break even. Supporters say that estimate does not account for the long-term ripple effect.
Kurt Bauer, Wisconsin Manufacturers & Commerce
"Those who will provide food service, for example, for their cafeterias and the maintenance people who will work on their HVAC system when it goes down, I think you're looking at a very sound investment for the state of Wisconsin," said Kurt Bauer, the President of Wisconsin Manufacturers & Commerce. The tax credits are tied to Foxconn's production. $1.5 billion is tied to the company's investment in what it says will be a $10 billion plan. Another $1.35 billion is tied to job creation at the plant, with credits corresponding to the amount of jobs created. Bauer said taxpayers should not worry about Foxconn creating thousands of jobs and cashing in on the tax credits over the next 15 years before eventually automating many of those jobs. "I think the return on investment is going to be a lot better, a lot greater than what people are estimating right now," Bauer said. If passed, it's an investment that will impact the future of Wisconsin and its elected officials. "I think this will help transform our state in terms of attracting more young people into manufacturing," Gov. Walker said. Ohnstad said he also worries about the environmental exemptions being made for Foxconn in the bill. It would allow the company to bypass getting an environmental impact statement from the state DNR and would only be required to get federal approval for construction on certain wetlands. "I've thought about very little other than Foxconn for the last few weeks," Ohnstad said, "This is a tough decision and, after all the shouting is over, we'll have to make that decision and we'll see which way it goes."
The Assembly will begin debate on the Foxconn bill at 11:30 a.m. Thursday. The vote is scheduled for 7:00 p.m. The legislation is separate from the actual contract between the state and Foxconn, which is still being negotiated in private.