(The Center Square) – The state of Wisconsin is continuing to take a hard line on Foxconn and the billions of dollars in state tax credits the company thought it was receiving.
The Wisconsin Economic Development Corporation said in a letter Monday Foxconn will not get any tax credits for it’s being-built plant in Mt. Pleasant until the company agrees to a new contract with the state.
“Foxconn’s activities and investments in Wisconsin to date are not eligible for credit,” WEDC Secretary Missy Hughes said in the letter.
Hughes said Foxconn’s decision to shrink the size of its plant led to WEDC’s decision to refuse the company tax breaks.
Foxconn’s deal, signed under Gov. Scott Walker, promised up to $3 billion if Foxconn met its jobs and construction goals.
Foxconn has fallen short of all of those goals, but the company said it had hired enough people by the end of 2019 to qualify for some tax incentives.
Hughes, in her letter, said that is not enough. She wants either a new contract, or she said Wisconsin could take back some of the money already paid to Foxconn.
The State of Wisconsin made a deal with Foxconn. If Foxconn doesn’t live up to their side, then don’t give them the tax breaks. But to withhold those tax breaks to force a new deal is just scummy. If I were Foxconn, I’d walk. Why bother making another deal with a state that welched on the first one? Rerun the math and see if it still makes sense to keep building in Wisconsin.