Big changes and smaller expectations in a new deal between Foxconn and Wisconsin.
The scaled-down deal gives Foxconn more flexibility on capital investment, what it will produce and how many employees it will hire - and it takes taxpayers off the hook for future subsidies that totaled billions of dollars.
Gov. Tony Evers, who inherited the Foxconn deal from former Gov. Scott Walker, says the new deal is better for taxpayers.
"With the new agreement, we've right-sized it, we have brought this down to earth," said Wisconsin Economic Development Corporation Secretary and CEO Missy Hughes, "and made an opportunity for Foxconn to grow in Wisconsin in an incremental way. They are going to invest over $670 million, creating over 1,400 jobs."
Here's a look at the new agreement compared to the old agreement.
Foxconn originally anticipated a $10 billion investment. The amended contract now drops to $672 million.
Foxconn was promising up to 13,000 jobs. Now they are saying about 1,450 jobs.
The state initially promised Foxconn up to $2.85 billion in tax subsidies. The new deal is dramatically lower, up to $80 million in tax credits if Foxconn hits those required jobs goals.
Foxconn said: "our Science and Technology Park still benefits from unique advantages that make Wisconsin, and our Park, an attractive place to call home, drive business, and grow jobs."
How did Wisconsin get to this point? In July of 2017, then-President Trump made the announcement that Foxconn would build a plant in southeast Wisconsin.
Fast-forward to November of that year, the contract was signed by Foxconn executives and former Gov. Scott Walker.
In June of 2018, ground was broken on the site, in an event which featured former President Trump.
In August of 2019, the first walls went up at the new Foxconn facility, a much smaller footprint than the originally proposed footprint in Mount Pleasant.
