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HomeMy WebLinkAboutMinutes PROCEEDINGS OF THE COMMON COUNCIL CITY OF OSHKOSH, WISCONSIN NOVEMBER 8, 2017 SPECIAL MEETING held Wednesday, November 8, 2017, at 5:30 p.m. in Council Chambers, City Hall Mayor Cummings presided. PRESENT: Council Members Caroline Panske, Jake Krause, Tom Pech, Jr., Lori Palmeri, Deb Allison-Aasby, Steven Herman, and Mayor Steve Cummings ALSO PRESENT: Mark Rohloff, City Manager; Pamela Ubrig, City Clerk; Lynn Lorenson, City Attorney; and Allen Davis, Director of Community Development ACTION TAKEN ON ORDINANCES AND RESOLUTIONS Resolution 17-534 Approve Proposed Terms & Conditions for the Sale of a Portion of Lakeshore Municipal Golf Course & Development Agreement with Oshkosh Corporation for a New Global Headquarters MOTION: ADOPT (Pech; second, Panske) CARRIED: Ayes (6) Panske, Pech, Palmeri, Allison-Aasby, Herman, Mayor Cummings Present (1) Krause Mr. Davis explained the proposed sale would be to Oshkosh Corporation for their corporate headquarters and contain approximately 35 acres of land, depending on the final design and surveys. He stated the price would be$100,000 per acre and the rezoning for a global headquarters with a planned development overlay would be completed by the plan commission and Council in the future. He explained the proposal would include the demolition and removal of the clubhouse and an updated concept plan based on input from the past 6 weeks. He stated the concept plan included the global headquarters campus of an approximately 160,000 square foot building on the 35 acres and public space for the remaining 65 acres for which the use and improvements had yet to be determined. He explained the river walk would extend from Rainbow Park along the river to the Tribal Heritage Trail and there would be private commercial land use along the north side of the Oshkosh Avenue frontage. He stated there would be an extension of N. Koeller Street and N. Westfield Street north to a new intersection along with regional PROCEEDINGS OF THE COMMON COUNCIL—NOVEMBER 8, 2017 stormwater management. He explained tax increment finance (TIF) incentives for the district would include a 20 year TIF district beginning in 2018 with a pay-go TIF determined by property value created by Oshkosh Corporation. He stated a minimum $18,532,000 if taxable value would be created. He explained there would be a pay-go development grant of$500,000 for 12 years, totaling $6 million from 2020 until 2031. He stated the pay-go incentive payment would be determined by future tax increment exceeding $500,000 from 2020 until TIF district termination. He explained the total Oshkosh Corporation investment could reach $50 million. He stated a traffic impact analysis would be completed for Oshkosh Avenue. He explained the Westfield Street extension would include traffic signals, turn lanes, 40' road with two 11' driving lanes, two 5' bike lanes, 8' parking on one side, sanitary sewer, water main, storm sewer and street lights. He stated the Koeller Street extension would include round-about modifications, 40' road with two 11' driving lanes, two 5' bike lanes, 8' parking on one side,water main loop, storm sewer and street lights. He explained the reginal stormwater management facilities would be built and maintained by the City. He stated the public infrastructure and site preparation would total approximately $7,225,700. He explained City staff had identified 6 sources of funding for the public infrastructure including the economic development revolving loan fund, grants, proceeds from land sale, deferred capital projects, project savings from prior capital projects and 2018 general obligation borrowing. He presented the projected timeline with an estimate of construction being complete in December of 2019. Jason White, CEO of Greater Oshkosh Economic Development Corporation (GO-EDC) thanked City staff and Council for their work in preparing the proposal for Oshkosh Corporation. He thanked Oshkosh Corporation for their patience, commitment and support of the community. He stated Oshkosh Corporation had many offers from other municipalities attempting to bring the project to their own communities, however, prior to providing the recommendation to their board, they wanted to make sure their home community had every opportunity to submit a proposal and compete for the headquarters campus. He explained Oshkosh was taking steps towards ensuring economic growth and prosperity, recreational opportunities and enhanced quality of life for all citizens. Scott Sitter, 5970 E. Island Drive, CEO Choice Bank, urged Council to vote in favor of the proposed resolutions. He explained Oshkosh Corporation's headquarters would attract the brightest and best talent for their management team. He stated he applauded their senior management for being forward thinking and understanding what was necessary in today's global market place. He explained the City needed to adopt the same forward thinking and make an investment in the community's future. He stated the global headquarters would allow senior management and staff to remain living in the 2 PROCEEDINGS OF THE COMMON COUNCIL—NOVEMBER 8, 2017 community;they were well educated,high character individuals who supported the local economy and helped to make Oshkosh a better place, destination and community. He explained the headquarters would be an attractive site from Interstate 41 and the Butte des Morts bridge, and initiate future development along the Oshkosh Avenue corridor, which would provide additional tax revenue for the community. He stated keeping Oshkosh Corporation in the community would be a tremendous marketing tool. He encouraged Council to show support to a company that had given a great deal to the community. Tom Belter, 2396 Shore Preserve, stated he was the vice chairperson for the Chamber of Commerce economic advisory board. He explained he had also been a commercial banker for a number of years and understood the value in a corporate headquarters. He stated he was an avid biker and trail user, and looked forward to the public improvements that would come with the project. Mike Russell, 1118 Bowen Street, explained the new Oshkosh Corporation headquarters would keep 450 well-paying jobs and the opportunity to add more. He stated the employees supported local businesses, purchased homes in the City and donated their talent and time. He explained Oshkosh Corporation had thousands of clients that visited the City every year. He stated the property that was Lakeshore Golf Course would be open to the whole City,not just a small portion of the population. He explained Oshkosh Corporation would be paying top dollar for the land and had contributed greatly to the community through the Boys and Girls Club, the public school system,YMCA and many other organizations. He stated he appreciated the work City staff had done. Bonnie Parnall, 4397 Waupun Road, stated she appreciated Council taking a forward thinking approach to the City. She explained she was a retired flight attendant and had travelled extensively; when she shared with individuals where she was from, many recognized the community because of Oshkosh Corporation. She stated if Oshkosh Corporation were to leave the community there would be many negative effects, and other businesses may follow. She explained she understood the concern of those who did not want to lose the golf course, however, she believed the greenspace would be enhanced and Oshkosh Avenue would become a thriving and vital part of the community. Linda Jevaltas, 1615 Northpoint Street, stated she was in support of the sale to Oshkosh Corporation, however, wished to address the habitat. She explained she was concerned by the amount of parking spaces proposed at the site as there was a significant presence of wildlife. She stated she would encourage Oshkosh Corporation to construct a parking ramp to allow for additional greenspace. 3 PROCEEDINGS OF THE COMMON COUNCIL—NOVEMBER 8, 2017 Cecilia Harry, 5 Hampton Court, Fond du Lac, explained she represented Envision Greater Fond du Lac, a Chamber of Commerce and economic development focused group for Fond du Lac County. She stated she supported the development of a corporate headquarters for Oshkosh Corporation in Oshkosh as Fond du Lac enjoyed many of the ripple effects from having the large employer located approximately 15 miles from the county line. She explained there were Fond du Lac County residents that worked at Oshkosh Corporation, and many businesses provided goods and services to the employees. She stated the supply chain and industry clusters would be impacted should Oshkosh Corporation leave. She explained she supported the efforts of the Greater Oshkosh Economic Development Corporation and City staff in keeping the existing and future impact of Oshkosh Corporation in Winnebago County. John Casper, 120 Jackson Street, stated he was present to represent the Oshkosh Chamber of Commerce, and supported the sale of Lakeshore Golf Course to Oshkosh Corporation, the redevelopment plan and the infrastructure funding plan. He explained he believed the proposal was essential in securing the future of Oshkosh. He stated he believed the proposal was competitive and aggressive. Wayne Youngwirth, 60 E. Waukau Avenue, stated he had spent 43 years working in the manufacturing sector and had travelled extensively. He commended the Council, City staff, the Chamber of Commerce and the Greater Economic Development Corporation for all the hard work that had been put into the proposal. Rachel Hansen,344 Oak Manor Drive, stated she believed retaining Oshkosh Corporation was directly related to keeping young professionals in the City. She explained Oshkosh Corporation was an employer partner with Propel and contributed a significant number of young professionals to their organization. She stated the young professionals help to keep Oshkosh a thriving and growing community by establishing families, contributing to the housing market, furthering their education and the education of their children, volunteering in the community and donating to local charities. She explained without Oshkosh Corporation, the City may lose a significant amount of young professionals. She stated in the absence of a major recruiter and Fortune 500 company such as Oshkosh Corporation, the City may lose its appeal to attract and retain young professionals. She requested that Council vote in favor of the proposal of the sale of 35 acres of Lakeshore Golf Course to Oshkosh Corporation. Matt Mugerauer, 2321 Golden Avenue, thanked City staff, Mr. Rohloff, Council, Greater Oshkosh Economic Development Corporation and the Chamber of Commerce for the work that was put into the competitive and compelling offer. He encouraged Council to pass the proposal unanimously to show Oshkosh Corporation, the business community 4 PROCEEDINGS OF THE COMMON COUNCIL—NOVEMBER 8, 2017 and the citizens that Council was willing to do what was necessary to provide a prosperous future for Oshkosh. Chanda Anderson, 542 W. 161h Avenue, thanked City staff for recognizing the need to present Oshkosh Corporation with a proposal. She stated there had been significant time and effort spent building and growing Oshkosh. She explained it was important to bring in professional talent to the City. She stated she did have concerns regarding the wildlife, although she believed the remaining acreage should be sufficient. She explained it was important to keep millennials in the community and build the talent pool. Bill Wyman, 1373 Waugoo Avenue, stated he was present to represent the Oshkosh Area Community Foundation. He explained the Community Foundation Board wished to thank Council and City staff for their time and effort. He stated their mission was to build and strengthen communities through leadership, stewardship and collaboration. He explained the Community Foundation would like to continue to partner with the City as the effort to retain Oshkosh Corporation moved forward. Marc Dosogne, 501 E. Parkway, stated he was the CEO of the Boys and Girls Club and believed Oshkosh Corporation did not give itself enough credit for the monetary donations, volunteer work and mentorship that they provided the community. He encouraged Council to support the proposal. John Newman, 1013 Washington Avenue, stated he was the president of Aurora Medical Center. He explained working for a large corporation, he understood the impact that would happen if Oshkosh Corporation were to leave Wisconsin. He stated he was proud of the products that Oshkosh Corporation created that helped save lives. Tom Castle, 945 Anchorage Court, stated his business, Castle Pierce, was not a supplier to Oshkosh Corporation, however, it helped attract talented individuals to the community and in doing so helped other businesses. Bill Miller, 3322 Isaac Lane, thanked Council and City staff for the work done on the proposal. He explained while the 500 corporate jobs were significant, the 3,000 factory worker jobs were also important. He stated the factory workers were an essential part to the community, and retaining the corporate headquarters would help secure their jobs in the future. Council Member Krause stated as an employee of Oshkosh Corporation he would abstain from discussion and vote present. He explained he supported Council and their decision. 5 PROCEEDINGS OF THE COMMON COUNCIL—NOVEMBER 8, 2017 Council Member Pech explained the golf course had historic and sentimental value, to both himself and the community. He stated Oshkosh Corporation had a 100 year history in the City as well. He explained he was comfortable making the necessary tough decisions and would make them with the best interest of the whole community in mind. He stated he would vote in favor of the proposal, due to the impact that it would have on the present and future of Oshkosh. He explained he understood that change was difficult, though it was necessary to progress. Council Member Herman stated when he was elected 8 years ago, he chose to serve the community and do what was best for the City. He explained although he had a passion for Lakeshore Municipal Golf Course, as an elected official, he could not let his heart get in the way of a decision. He stated he had to look at the bigger picture, which was Oshkosh Corporation's headquarters. He explained there would be 70 acres left, and many diagrams proposed a 9 hole golf course on the site. He stated he would vote in favor of the proposal. Mayor Cummings stated at stake this evening was not a golf course or a building. He explained hundreds of jobs were at stake; the financial stability of the City, surrounding communities, citizens and future citizens would be impacted. He stated Oshkosh Corporation was a Fortune 500 company that employed thousands of citizens, directly and indirectly, through its employment and supply chain. He explained it was the largest defense contractor in the state and a leader in the markets it served. He stated over the past decade, the City had changed its image from one of stagnation to a progressive and forward thinking community on the threshold of greatness. He explained having a Fortune 500 company select Oshkosh for its headquarters would send the message to the state and country that Oshkosh was open for business like never before. He thanked the citizens for their support of Oshkosh Corporation, who in turn supported the community and stated he would vote in favor of the proposal. Council Member Palmeri thanked the hundreds of citizens who reached out to Council to express both their concerns and enthusiasm for the proposal. She stated she was inspired by the passion and engagement of those who reached out. She explained after evaluating the complex benefits and costs of the proposal, for both current and future citizens, she would support the proposal recognizing that sacrifices were being made to gain the anticipated benefits. Council Member Panske stated one of the first topics she became passionate about while on Council was the golf course debt. She explained she believed Council, City staff and the community had communicated well about the proposal. She stated she would be 6 PROCEEDINGS OF THE COMMON COUNCIL—NOVEMBER 8, 2017 supporting it, and was proud to do so. She explained there was still work to do in regards to the remaining acreage. Council Member Allison-Aasby explained it had been a complicated topic and thanked the community,both those in support and those against the sale of Lakeshore. She stated after conversations with Council Members, many individuals who had been steadfast in their opinions realized there was more to the story than they initially thought. She explained she was confident that the CEO and executive team at Oshkosh Corporation would like to remain in the community. She stated she understood the need for a corporation of that size to work with a third party for negotiation purposes. She explained incentive packages from other communities were nothing near what the City was proposing to offer Oshkosh Corporation. She stated Oshkosh Corporation consistently remained in the low 300's on the Fortune 500 list and that was not something to be taken lightly. She explained she understood there would be a sacrifice in losing the golf course, although sacrifice was often necessary to grow. She stated she understood Oshkosh Corporation contributed generously to the community, and believed they would continue to do so. She explained they were building a City for the future and supported the proposal. Resolution 17-535 Approve Infrastructure Funding Plan for Oshkosh Corporation Global Headquarters MOTION: ADOPT (Pech; second, Panske) CARRIED: Ayes (6) Panske, Pech, Palmeri, Allison-Aasby, Herman, Mayor Cummings Present (1) Krause Council Member Herman stated he had heard comments in the community that the City was not being frugal in the funding. He explained the City had approached Winnebago County, and they had refused involvement. He stated the City and County of Fond du Lac had demonstrated supported. He encouraged citizens to reach out to Winnebago County. He stated the surrounding townships would benefit while the City focused on economic development. CO UNCIL MEMBER ANNO UNCEMENTS & STATEMENTS Mayor Cummings stated there would be a commemoration of World War I in song on Sunday November 12th, 3:30 p.m., at the Oshkosh Public Library, under the dome. 7 PROCEEDINGS OF THE COMMON COUNCIL—NOVEMBER 8, 2017 MOTION: ADJOURN (Herman; second, Allison-Aasby) CARRIED: VOICE VOTE The meeting adjourned at 6:31 p.m. PAMELA R. UBRIG CITY CLERK 8