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Sheboygan council approves tax-increment deal to support Vollrath reinvestment
Summary
The council adopted a resolution authorizing a tax-increment development agreement and issuance of a municipal revenue obligation tied to a proposed private reinvestment. Vollrath representatives said the project could cost about $40'00 million to $80'00 million; the vote passed 8-0 with two abstentions.
Sheboygan City Council voted to adopt Resolution No. 135 25 26 authorizing a tax-increment development agreement with Lawreth Company LLC and authorizing a taxable tax-increment project municipal revenue obligation intended to support a private reinvestment project.
The measure, introduced by Alders Mitchell and Perella, passed by roll call after discussion (8 ayes, 2 abstentions). Council discussion centered on expected economic benefits and the company's plans for a new manufacturing facility.
Director Zener said the resolution is intended both to spur local economic development and "support a long standing partner," and invited the private-sector representative to provide more detail. Tina, who introduced herself as the company's chief financial officer, told the council the total project "will be somewhere between $40 and $80,000,000," saying the existing facility (built in 1912) cannot be sustained in its current form and that reinvestment is needed to keep the business in Sheboygan. She added the company plans to increase process efficiency through automation, giving an example that a product that is "touched" 15 times today would be touched five times under the proposed layout.
Council members asked about job impacts and the scope of automation. Tina said she did not have a precise head-count in front of her but estimated the Sheboygan facility has "approximately 350 hourly" workers and that roughly half of that workforce could be affected under certain scenarios; she framed that as an estimate rather than a firm projection.
Several alder members expressed support for retaining the manufacturer. One member said they would abstain from the vote because an immediate family member works for the company; the council conducted a roll-call vote showing 8 ayes and 2 abstentions.
City Administrator thanked the company's leadership and noted a long relationship between the city and Vollrath, saying the company has been part of the community for more than a century.
The resolution as adopted authorizes the city to enter the described agreement and to issue the municipal revenue obligation; the council did not set a publicized effective date during the meeting and provided no additional implementation timetable at the time of the vote.
