Appleton’s mayor says the city is willing to give U.S. Venture $40 million in incentives to have the company move its headquarters to the downtown.
The two sides have been negotiating for a couple of years, and Mayor Tim Hanna says the city made the latest offer more than a month ago. A big chunk of the money would likely go toward building an underground public parking ramp, and U.S. Venture would rent spaces in it.
Hanna says the city would cover the $40 million through the parking utility and TIF incentives, and no property tax dollars would be used. He says it would be up to U.S. Venture to decide how to divide that money between the ramp and TIF payments. Hanna says the city is willing to be flexible on that.
Hanna says the $40 million is the amount that works for the city. He says the city continues to be excited about having the company downtown, and he believes U.S. Venture wants to be downtown.
U.S. Venture officials haven’t responded to the offer yet. Hanna says the company is planning a $57 million project.
U.S. Venture is now exploring other options for its headquarters, including in other communities.
The company released a statement, saying Mayor Hanna’s comments are encouraging, but they don’t follow what was outlined in the development agreement or the proposal presented by the city last month.
The company says the November offer doesn’t give U.S. Venture $40 million. U.S. Venture says it significantly shifts project risks, like construction costs and cost overruns of the parking ramp, without an increase to the proposed TIF incentive of $8 million.
Statement from U.S. Venture in response to the offer
Mayor Hanna’s comments today are encouraging, but they do not follow what was outlined in the development agreement or the proposal presented to U.S. Venture by the city in November. We have reached out to the city to gain clarity, because while the offer Mayor Hanna spoke of today sounds generous, the offer we received in November does not give U.S. Venture $40 million. The November offer significantly shifts project risks-such as the construction costs and any cost overruns of the public parking ramp, and relocation of the Mosaic Family Health clinic-and places additional restrictions and responsibilities on U.S. Venture, without an increase to the TIF incentive of $8 million.
In an effort to preserve our options to build our corporate headquarters downtown, U.S. Venture recently purchased the properties where the former Fox Banquets/Rivertyme Catering and Trinity Lutheran Church were located, and immediately informed the city. Two years have passed since Appleton’s Common Council approved the development agreement between the city and U.S. Venture. We recognize the complexities of a public/private partnership of this scale, and while we’re challenged by the pace at which this project has moved forward, we believe purchasing this land will open the door for more conversations with the city and others about redevelopment on the bluff.
Because of the new restrictions and changes to the development agreement that the city has proposed, we have begun exploring other options, including in other communities.
Listen to Mayor Tim Hanna’s press conference on the offer to U.S. Venture:
