Category Archives: South Milwaukee Walmart

Walmart is back on the City Council agenda for Tuesday night.

Specifically, attorneys representing the Walmart Real Estate Business Trust are asking the city for a 90-day extension of the purchase agreement for the 3.6-acre city-owned parcel at 222 N. Chicago Ave. – site of the proposed 115,000 square-foot store.

They want council to extend the agreement’s “feasibility period” to Feb. 16, 2012, to allow Walmart more time to obtain permits from the Wisconsin Department of Natural Resources (related to cleanup of the land) and easements from the Union Pacific Railroad. You will recall that the westernmost part of the property – the privately owned parcel west of 11^th Avenue – abuts the UP railroad tracks.

Of course, the city council voted on Nov. 1 to give final backing to the project. Check out my post on that here.

Check out the full council agenda here.

Update: Check out coverage from Fox 6, WISN 12 and CBS 58. There is also coverage in the Journal Sentinel and New Kid’s View blog.

Walmart got final South Milwaukee City Council approval Tuesday night.

Specifically, the council gave its final backing to rezoning the land at 222 N. Chicago Avenue, the drawing of a new certified survey map for the area and the vacation and discontinuance of 11^th Avenue between Carroll and Davis Avenues.

The vote was 6-2 on all issues, with 1^st District Aldermen Frank Van Dusen III and Craig Maass voting no. Here is why I voted yes …

First, I think the majority of residents in the 4^th District support the project. It’s not a big majority, but I feel confident it’s a majority. I believed this to be the case in the weeks leading up to the vote through various and countless conversations around the district, emails and phone messages received, feedback on this blog and other sources. And I confirmed this with some leg work over the weekend, when I spent a number of hours taking an informal survey of all homeowners in the three-block radius bounded by 17^th and 18^th Avenues and Maple and Chestnut Streets.

I simply asked people at each home where they stood on Walmart – without giving them any inkling where I stood, unless asked. In other words, no “push polling.” The results? Support, by a more than 2-to-1 margin. Now, this poll was not even close to scientific, and I do think the gap between supporters and opponents in my district is closer than 2-to-1. But I do believe more than ever there are more supporters than opponents in my district.

Secondly, I personally think the project will be good for the city – specifically when it comes to the tax increment Walmart will provide. Simply put, I couldn’t get past the fact that this is a minimum $12 million development going on a contaminated piece of land that I suspect would otherwise stay vacant for a decade or more without this project moving ahead. For a city in need of revenue to maintain valuable services – and for a city and its taxpayers in need of a more diversified tax base – this is easily the most compelling argument on this issue.

That said, there were a number of valid concerns raised against the project, including many that I agreed with, including issues like traffic, impact on local businesses and a lack of formal public comment until recent weeks.

However, I also supported the project because none of these concerns, nor others I heard, was a dealbreaker on its face.

You can learn more about my position in my previous post on this.

I should also say that, in the end, I did not consider the “how Walmart does business” arguments in this case – concerns raised about how much Walmart pays its employees, or what type of benefits they provide, or from where they source their products. I don’t think these should be part of the debate for this project. Am I concerned about all of these issues? Absolutely. But these are debates that should be happening at the macroeconomic level – not among aldermen as they ponder whether or not to allow construction of a single new store.

On that point, this is a slippery slope argument for me. For if we must consider these factors with Walmart, must the City Council ask the same questions of every employer in town? And what if we don’t like how much Pick n’ Save or Walgreens or Milwaukee Avenue Mom and Pop Shop X pays its employees? What if we’re not happy with the benefits workers at Ace Hardware or Advance Auto Parts employees get?

You can see how troubling that gets … and why I put those concerns out of my mind.

Indeed, these are all points I tried to make at Tuesday’s council meeting, but was shouted down too often to make many of them. I was frankly disappointed, and saddened, with the tone of the meeting. Simply, it got ugly, much uglier than I thought it would.

I hoped for a reasonable, rational debate about the development and its impacts. Instead, we got an angry shouting match, and I left the meeting scared for my safety.

I hope readers of this blog come to realize how difficult a decision this was for me, and recognize how much time, energy, effort and thought went into this process over the last several months. I suspect I will never take a harder, more gut-wrenching vote.

In the end, however, my vote all came back to constituent support, economic development and taxes.  Those were my tipping point considerations, and I acted accordingly. I am willing to live with the consequences.

Of course, you are welcome to post your comments below. Please keep them constructive.

The City Council is expected to vote on three items related to the Walmart development at its meeting Tuesday night.

• The first is related to rezoning necessary for the development to move ahead.
• The second is consideration of resolution to approve a certified survey map to redivide the property.
• The last item is adoption of a resolution vacating and discontinuing 11th Avenue to make way for the store.

The meeting starts at 7 p.m. at City Hall. Here is the agenda.

I expect another large crowd at the meeting, and all I ask is that the debate be constructive, rationale and respectful, much like it’s been on this blog. I continue to thank you all for that.

And here are a few other notes related to the Walmart development:

• The Milwaukee Journal Sentinel had a story over the weekend on property value “guarantees” developers are providing local communities for projects. In South Milwauke, for example, Walmart is promising that it will pay property taxes on a  minimum $12 million property value through at least 2027. Check out the story here.
• While I am happy to discuss the issue, questions about project specifics can also be directed to South Milwaukee Economic Development Director Danielle Devlin (414-762-4114, or ddevlin@bizwi.rr.com) or City Engineer Kyle Vandercar (414-762-2222 or vandercar@ci.south-milwaukee.wi.us).
• Finally, the Friends of South Milwaukee group, organized to fight the Walmart, has launched a website. Check it out here. For balance sake, I also encourage you to read the information materials provided by the city here. And here is a good summary of tax incremental financing from Danielle.

Update: Here is a story about the Wednesday meeting on the New Kid’s View blog.

WISN 12 was in South Milwaukee to cover Wednesday’s meeting of Walmart opponents.

Check out the story and video here.

It was a fair and balanced piece that showed clearly the emotions surrounding this issue — sentiments I absolutely respect and, in some caes, agree with.

I expect to hear similar sentiments at Tuesday’s City Council meeting at 7 p.m. at City Hall. And I welcome the continued feedback.

On a related note, I want to thank readers of this blog for the tone of the ongoing dialog about the Walmart project. I appreciate the rational and intelligent nature of the debate on these pages. Dozens of people have posted comments here in the last few weeks, easily pushing blog traffic to an all-time high, and I have yet to see anything inappropriate.

It is much appreciated. I want this blog to be a respected forum for debating important community business, and readers are delivering on that promise. Thank you.

A group of residents opposed to the Walmart project is holding a public meeting at 6:30 p.m. tonight at the Knights of Columbus.

Learn more in this Journal Sentinel story.

While I favor the project — I laid out the reasons why in a previous blog post — I feel an obligation to keep people informed on key issues and events like this. And I respect the issues raised against the development, and the people raising them.

The Knights of Columbus is at 732 Badger Ave.

Update: Here is the Journal Sentinel story.

The City Council gave its stamp of approval to the Walmart project Tuesday night following a lengthy and at times contentious public hearing.

The vote was 5-2 on the several votes the council took involving the project, with Ald. Craig Maass and Ald. Frank Van Dusen III voting “no” and the remainder of the council supporting the development.

As readers of this blog know, I was unable to attend the meeting due to an important work commitment – a major out-of-town meeting that I am helping plan and execute. Had I been there, I would have voted “yes.” Here is why.

As much as I respected (and in some cases, agreed with) concerns about the proposal, I couldn’t get past this fact: The Walmart development is a minimum $12 million project that will significantly add to the city’s tax base while also serving as a viable reuse of a contaminated parcel of land that would likely remain vacant for years without it. In other words, for me, this was an economic development issue. Or, better put, an economic redevelopment issue. And we need all of that we can get these days.

I also think a majority of 4^th District residents support the project, based on countless conversations I’ve had, feedback from this blog and other sources over the past year. While it’s certainly not overwhelming support, I do believe more of my constituents want the Walmart built than don’t – a statement I certainly can’t make about the 1^St District, the origin of most of the dozens of phone calls I received in the past couple of weeks. That is why I absolutely respect the vote Craig and Frank made and congratulate them for standing on their principles, even if I disagree with them.

I, too, heard loud and clear the concerns with the project – a fervor that I was told carried over to the council meeting Tuesday, with more than 200 people attending and dozens speaking out. I share some of those concerns.

As I’ve written, I remain uncomfortable with the amount of formal public comment offered on this issue. The Walmart project was first proposed last fall. To not hold a public hearing on the matter until nearly a year late is wrong. That’s why I voted “no” on the development agreement in September. I didn’t feel the public had a chance to adequately weigh in on that part of the project, especially the $1.8 million city contribution toward cleanup Walmart was seeking to move forward.

I stand firm on that vote and would not change it.

That said, it must be reiterated that the land (both the city-owned and private parcels) would need cleanup whether or not Walmart built there. So without Walmart funding about half of the estimated $3.4 to $3.6 million cost, the city would likely be left with a higher tab.

I also identify with the concerns over traffic and noise, but these are not deal-breakers in my mind. They can be, and are being, addressed. North Chicago Avenue is major South Milwaukee thoroughfare, and it will remain so. The planned traffic signal and minimal Chicago Avenue road widening will help keep the additional traffic flowing. And while I understand the fears about additional traffic on Badger Avenue, I just don’t see that happening. People will come and go from the store using Chicago or College Avenues via 11^th Avenue.

I am also concerned about how the Walmart will impact our downtown area. While there are some signs of life in our city center, its struggles are real, and how will this new store impact any potential progress? It’s a very valid question. That said, I also struggle with this question: How can just one more big box store – when you already have dozens within a short drive of South Milwaukee already – really have that much of an impact on our downtown? I don’t see how it can.

And I also believe that Walmarts can force you to improve as a retailer. To compete, you must differentiate, or you may die. So do it better. You probably won’t do it cheaper.

I am also concerned about the impact on city services the store will have, specifically our police department. Any development like this will drive police calls, and our department is already stretched thin as it is. This bears close watching.

At the same time, I also don’t buy some of the arguments for the proposal.

I think the “new jobs” number may be closer to a wash, when considering how the store will likely impact the Kmart, Walgreens and Pick ‘n Save down the street in Cudahy (as well as stores like Ace Hardware and Pick ‘n Save in South Milwaukee).

And the whole argument about “more convenient shopping for South Milwaukee residents” is not on target, either, because of all the other retail options (from independent merchants to big boxes) that already exist within a few miles of our fair city.

Other arguments, however, were simply invalid to me, such as the sourcing of Walmart’s merchandise and the wages and benefits it gives to its workers. I never hear these kind of arguments made with any other retailer, local or national, and if you make it against Walmart, you have to make it against those others as well.

Should we ask every retailer that wants to come to South Milwaukee what it pays its employees, and should we keep them from coming here if we don’t like the answer? No. To me, this shouldn’t be part of the debate on this project, nor any project like this going before the City Council.

So, as you can see, I was conflicted on this. But, as I said, it all boils down to the economic impact on our city. And that is undeniable.

I believe the development will attract more traffic to South Milwaukee, and I think that will lift area businesses, even as the downtown concerns remain. And I believe in Walmart as a corporate citizen.

I am also OK with the $1.8 million city cleanup contribution, especially because the city would be on the hook for at least $800,000 of it no matter what project was in front of us to clean up the portion of the parcel we own.

This kind of funding is why tax incremental financing districts exist in the first place – to allow cities to borrow money to fund site improvements that make projects like this come to life. Without those funds, it is that much harder to get deals done. Now, do I wish Walmart would pick up the whole tab? Absolutely. Could they afford to do it? Of course. But that’s just not reality in the development world these days. Plus, the loan is expected to be paid off by 2016 because the tax “increment” on this project is so big.

Indeed, Walmart is expected to contribute more than $200,000 annually in city taxes when the TIF district is retired and the loan is paid off. To me, that’s a compelling argument on its face – the most compelling one, in fact.  

(One other note: The rezoning issue will go before the council for another vote on Nov. 1, when the council is also expected to vote on the resolution with the intent to vacate 11th Avenue to make way for Walmart.)

Note: An earlier version of this post had an error in the headline. It’s been corrected.

The South Milwaukee Walmart debate comes to a head at Tuesday’s City Council meeting.

The meeting will actually begin at 5:30 p.m. and will recess until 6 p.m., when a public hearing on the rezoning necessary for the Walmart development will begin. A second hearing on the vacation of 11th Avenue, also necessary for the project, is planned for 6:30.

The City Council meeting will then formally restart following the second public hearing, and the council is set to vote on several items related to the development. They are:

• The rezoning of 222 N. Chicago Ave.;
• The vacation and discontinuance of 11th Avenue;
• The sale and redevelopment of the property; and
• An amendment to the Tax Incremental District #2 redevelopment plan.

Unfortunately, I will not be at this meeting, and I am sorry I can’t be. The reason why is simple: My day job.

I have had an important business trip scheduled for months, and it’s one I absolutely can not get out of. If I could, I would. I just can’t.

In lieu of attending, I plan on listening to an audio recording of the public hearing and meeting. And I have sought, and continue to seek, feedback on the Walmart issue in a number of ways. It starts with this blog, where my readers have led a robust debate on the issue. I’ve also gotten more than 20 calls and emails on the project in the past week, with all but a couple of people opposed to the project.

I appreciate the comments, and I encourage them. It’s part of the job — a job that I remain dedicated to doing the best I can. I bring that same commitment to MillerCoors … and the reality is it’s that job that puts food on my family’s table.

I give a lot to the city, in support of my constituents. I work hard every day to represent the Fourth District as best I can. But there honestly wasn’t much of a choice for me here.

With that in mind, this will likely be the only City Council meeting I miss this year. It just happens to be the most important one.

I wish things were different.

(You can see revised Walmart renderings here. These reflect suggestions from the Plan Commission to improve the front-facing portion of the building.)

I have been told there is a flier being distributed around South Milwaukee urging opposition to the Walmart plan — and then listing this blog as the place to go for more information.

Let me be clear: I am in no, way, shape or form associated with this flier.

And while I appreciate that residents would turn to this blog for more information on Walmart (and a host of other issues), I continue to keep an open mind on the project and await continued public comment and feedback.

Please know that I take this decision very seriously and, as always, will listen to both sides and learn as much about the project as I can before I cast my vote. That’s how it should be.

I also urge continued civility in this debate. No arguments. No yelling. Please.

The first two of several public hearings about the proposed Walmart development are scheduled for Monday night.

These are before the Community Development Authority, and both start at 6:30 at City Hall.

Learn more about the upcoming public hearings in this previous post. And check out this post for more details that have emerged on the project, including renderings.

See you Monday!