MADISON, Wis. (WBAY) - Wisconsin Governor Tony Evers has announced a contract between the Wisconsin Economic Development (WEDC) and Foxconn has been renegotiated.
According to Evers’ office, the renegotiations will save Wisconsin taxpayers a total of $2.77 billion compared to the previous contract.
Under the new contract amendment, which Evers says was approved by the WEDC Board of Directors on Tuesday, Foxconn will be eligible to receive up to $80 million total in performance-based tax credits during the course of six years.
The credits will be available if Foxconn meets employment and capital investment targets, which include hiring 1,454 qualified workers who earn an average wage of $53,875 and also invests $672 million by 2026.
Under the original deal, signed in 2017, Foxconn would have qualified for $2.85 billion in state tax credits if it invested $10 billion and created 13,000 jobs. Under the new deal, Foxconn will qualify for $80 million if it employs 1,454 people and invests $676 million by 2026.
Officials say the new agreement is effective when signed by the appropriate parties from Foxconn and the WEDC.
Missy Hughes, the WEDC Secretary and CEO, issued this statement regarding the amended contract:
CLICK HERE for a side-by-side comparison of the two contracts.
Foxconn said Tuesday the company is “grateful to Evers and Missy Hughes”, and is “pleased with the clarity and certainty that the agreement provides Foxconn, its affiliates, joint ventures and global business partners”.
The company went on to say that “under the amended terms, Foxconn’s $672 million investment remains one of the largest economic development projects on the books at WEDC and provides a framework and foundation for future growth and investment.”
State lawmakers are reacting to the news. Wisconsin State Senator Dan Feyen (R-Fond du Lac), who is a member of the WEDC Board of Directors, released this statement:
Assembly Speaker Robin Vos also sounded off on the amended agreement: