New Bucks arena: Basics are in place, but funding for the project still in question
MILWAUKEE (WITI) -- Calling it "a very, very exciting day," the Milwaukee Bucks and its design team released on Wednesday, April 8th, the first images and details of their vision for the development of a new multi-purpose, $500 million arena and another $500 million sports and entertainment district to help revitalize downtown Milwaukee. The entertainment district would be paid for mostly by private enterprises -- but the arena requires public funding, which hasn't yet been finalized.
"The date this starts happening, property values near there go up, which means property tax revenue goes up without raising taxes. This is such a giant net positive," Milwaukee County Executive Chris Abele said.
That's Abele's reaction to the plan that utilizes Milwaukee County's long-vacant Park East property. It is the arena portion of the plan that most concerns Abele because that's where the county fits into the financial equation.
"We're looking at what we think is a solution. We think people will get pretty excited about it, but until we're all at a point where we're all comfortable with that solution I don't want to talk too much more about that," Abele said.
Governor Scott Walker's 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 and the county.
Common Council President Michael Murphy says he likes Walker's plan.
"The mayor's made it very clear that he would try and find in his budget a way to come up with the $25 million and the (Common) Council will take that into consideration, but I think that could possibly be the appropriate number for the city's contribution," Murphy said.
But some lawmakers are calling Walker's play "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."
In a statement, Fitzgerald said:
"We are very encouraged by the plans released at (Wednesday's) announcement and will continue to work with all of the necessary parties to reach a funding agreement that protects Wisconsin's taxpayers by keeping this important economic engine in our state."
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.
Assembly Speaker Robin Vos says the state won't pay that shortfall -- saying this in a statement:
"It`s clear that the city and county need to step up their game and make more of an investment in the project than what they have initially put forward."
Exactly how much the state will contribute to this project will likely be ironed out in the coming weeks. The state budget is due in June.
• The arena arrival experience is augmented by a transparent façade that marks the front door and monumental atrium within.• The dynamic entertainment live block will serve as both arena forecourt and community living room. This will be the year roun