WAUSAU, Wis. (WSAU) — The City of Wausau’s expensive relocation project for Wausau Chemical did not draw much public reaction during a Plan Commission public hearing Tuesday. The only members of the public to speak to the issue were the owner of Wausau Chemical and an employee of the Department of Natural Resources.
The discussion did find opposition and support from Plan Commission members. Most everyone likes the concept of moving the chemical plant away from the edge of the Wisconsin River, and into the West Industrial Park for both environmental reasons and economic development reasons. There is opposition because of the finance package, which includes 6.5 million dollars in TIF district money, another $400,000 in interest since the city will have to borrow that money, and very little of that money coming back to the city.
Gary Gisselman is in favor of the project. “There have been no hazards in the past, you know the potential is always there, so I think the west side will provide a safer environment for Wausau Chemical.”
Gisselman says the cost is justified. “I know that it’s a lot of money and I’m okay with that at this time. I think that it’s going to work, and I think the benefits of what moving Wausau Chemical out there does outweigh at this point in time the financial package that’s associated with it.”
Alderman and commission member David Overbeck opposes the package because of the high cost, and calls the nearly 80% taxpayer funding of a private for-profit building project another form of “corporate welfare.”
Plan Commission member Jim Rosenberg also believes the city’s proposed contribution is way too high. “There has to be something that, first of all, resembles the value of the property that the city is acquiring. This is several times higher than that, and there’s other things that aren’t being taken into account, such as taking the current property off the tax rolls, but then telling us all about the new increment, which is basically us taxing our own money.” He adds, “There’s a lot of money being taken out of an industrial park tax increment district that’s being turned, really, into private equity, so taxpayer dollars are building a privately-owned for-profit building, and I think the level of public participation in this particular project is way too much, and the paybacks are not there.”
Rosenberg agrees with both Overbeck and Alderman Keene Winters, saying ideally, the city would have investigated possible environmental remediation grants to buy the property instead of using TIF dollars. “I think that those would be good things to explore, but unfortunately, the city has sort of manufactured this crisis, because their expenditure period for the TIF out in the industrial park ends in the first or second week of July, and so we’re only getting one option to look at. It’s a very expensive option, and there’s no time to explore alternatives.”
The package now goes to the City Council for a vote. Overbeck knows of only two votes against the package, so he believes it’s a “done deal” that’s done wrong.
