The Hop expansion; Milwaukee leaders need local funding

Looking for a loophole, Milwaukee city leaders want to find a way around a state law that blocks funding for expansion of The Hop.

The Department of Public Works said their full streetcar expansion plan would cost more than $400 million. Up to 70% of that could be paid for with federal grants.

But on Wednesday, the DPW told council members they cannot even apply for federal money until they figure out how to pay for the local match.

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"They can’t apply without the local commitment," alderman Robert Bauman said. "They can’t even send this letter in, [because] this letter will say, ‘non-responsive, send it back.'"

The DPW said it would need at least $6 million just to get started on an extension to Fiserv Forum. However, the state's shared revenue plan prohibits the use of tax increment financing to pay for it.

"Yeah, we need the local funds," city engineer Kevin Muhs said.

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Bauman said the city might be able to get around that restriction. but they're still waiting on a legal opinion from the city attorney.

"That’s why I’m saying until that plan is identified, we are truly dead in the water," he said.