On Friday, the Foxconn Technology Group will submit site plans for its LCD manufacturing campus to Mount Pleasant officials that will show the village and county what they have agreed to.
On the heels of the approval of the State of Wisconsin’s contract with Foxconn, the Mount Pleasant Village Board and the Racine County Board unanimously approved a development agreement with Foxconn that outlines the responsibilities of the company, Racine County and the Village of Mount Pleasant, along with key guarantees and protections for local taxpayers.
Under the agreement, Tax Incremental Financing (TIF) revenue, made possible through Foxconn’s $10 billion direct investment, Foxconn’s upfront cash investment of $60 million and special assessments, will fund all public improvements and development costs. Those costs include $168 million for land acquisition, $88.4 million for water infrastructure, $71.4 million for sewer and $11.5 million for road improvements.
In addition, the agreement offers Foxconn a $100 million development incentive over 10 years. In return, Foxconn has guaranteed that the TIF district will add $1.4 billion in value to the area by 2023 and has agreed to pay the difference in tax revenue should that valuation come up short.
“This agreement ensures that Foxconn investments fund this project,” said Dave DeGroot, Village of Mount Pleasant President. “We worked hard to protect local taxpayers and capitalize on this once-in-a-generation opportunity.”
Foxconn is required to begin construction by January 1, 2019 and must complete the $10 billion build within seven years.
The agreement also requires that the majority of the 13,000 full-time jobs Foxconn creates in Wisconsin be located in Racine County.
The development agreement also outlines Racine County’s workforce development efforts.
- In 2018, $2.75 million will be allocated to talent recruitment for existing and new employers in the county and promoting advanced manufacturing and trade apprenticeship programs. This includes, $750,000 allocated as part of the budget recently passed by Racine County, as well as $1 million for a trade apprenticeship program that will be funded by the county but reimbursed by the State of Wisconsin and a soon-to-be-announced program providing training resources to benefit Southeastern Wisconsin.
- In 2019, 2020 and 2021, subject to County Board appropriation, $1 million will be allocated in support of these programs.
Racine County has also created a website for Foxconn news: www.foxconnracinecounty.com/