Drudge Retort: The Other Side of the News
Thursday, January 18, 2018

A planned Foxconn manufacturing facility in southwest Wisconsin could cost taxpayers roughly $4.5 billion, a state assemblyman said Tuesday. Wisconsin Assemblyman Gordon Hintz (D) told reporters that a memo from the state legislature's fiscal bureau indicated the cost of the facility to the public will likely be higher than the $3 billion Gov. Scott Walker (R) projected last year. ... The $4.5 billion mostly consists of costs to state government through tax credits the state granted Foxconn over a 15-year period.

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That there is Republican economics. Pay 1.5 million for jobs which will take 28 years to earn back the cost of the job.

#1 | Posted by danni at 2018-01-17 09:53 AM | Reply | Newsworthy 2

Irrelevant. It's food stamps that are bankrupting America.

#2 | Posted by 726 at 2018-01-17 10:38 AM | Reply

"3,000 jobs paying an average of $53,000"

$53,000 is $25.48 per hour.

"How much does an Assembler make at Foxconn in the United States?
Average Foxconn Assembler hourly pay in the United States is approximately $9.08, which is 22% below the national average."

www.indeed.com

Far cry from $25.48 per hour.

In fact the majority of the jobs are below the $53,000. www.indeed.com

Good job importing low wage jobs. #MAGA.

#3 | Posted by 726 at 2018-01-17 10:49 AM | Reply | Newsworthy 1

By 3,000 jobs paying an average of $53K They mean they will have 2950 jobs paying $18K and 50 jobs going to friends of Gov Walker for 7 figures.

#4 | Posted by hatter5183 at 2018-01-17 10:59 AM | Reply | Newsworthy 6

$9.08, which is 22% below the national average."
www.indeed.com
Far cry from $25.48 per hour.

#3 | POSTED BY 726

you forgot to factor in how the ceo will make 300 times the worker rate.

#5 | Posted by kudzu at 2018-01-17 12:19 PM | Reply | Newsworthy 1

Huntsville Alabama just got another toyota plant (a motor plant) that is supposed to bring 4000 jobs. It cost the state less than a quarter billion (so far).

It'll be fun to see how much it costs in the final analysis.

4.5 billion seems excessive for this type of plant. Our Mercedes plant didn't cost the state anywhere close to that amount.

#6 | Posted by kudzu at 2018-01-17 12:24 PM | Reply

Wisconsin's bribe to FoxConn to create 3,000 jobs paying an average of $53,000 has a price tag that keeps rising. The cost is now estimated at $4.5 Billion

Cheep compared to the cal project.

Ralph VartabedianContact Reporter

The estimated cost of building 119 miles of bullet train track in the Central Valley has jumped to $10.6 billion, an increase of $2.8 billion from the current budget and up from about $6 billion originally.

#7 | Posted by Sniper at 2018-01-17 01:12 PM | Reply | Funny: 1 | Newsworthy 1

BUT, BUT, WHAT ABOUT.......?

-------

#8 | Posted by donnerboy at 2018-01-17 01:59 PM | Reply | Newsworthy 3

The estimated cost of building 119 miles of bullet train track in the Central Valley has jumped to $10.6 billion, an increase of $2.8 billion from the current budget and up from about $6 billion originally.

#7 | POSTED BY SNIPER AT 2018-01-17 01:12 PM | REPLY

Apples to oranges.

The wisconsin project was supposed to create jobs. The jobs were the only carrot

The Cal project created infrastructure that the public will use for 100 years. Any jobs created were just icing. To compare apples to apples Wisconsin spent $1.7 on a single highway interchange that will have to be rebuilt in 20 years.

The maintenance cost is also much higher for roads than rail. Wisconsin spends over $80,000/year/lane mile to maintain the highways not including replacement costs while total maintenance costs per mile of rail average only $46,000/year including assumed replacement of rails, bed material and ties at regular intervals.

#9 | Posted by hatter5183 at 2018-01-17 02:07 PM | Reply | Newsworthy 2

Cheep compared to the cal project.

Ralph VartabedianContact Reporter

The estimated cost of building 119 miles of bullet train track in the Central Valley has jumped to $10.6 billion, an increase of $2.8 billion from the current budget and up from about $6 billion originally.

#7 | Posted by Sniper at 2018-01-17 01:12 PM | Reply | Flag

Nice job whatabouting comrade.

#10 | Posted by 726 at 2018-01-17 03:38 PM | Reply | Funny: 1

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As rightoecentre likes to say; you libbies just hate good economic newzz

#11 | Posted by ChiefTutMoses at 2018-01-17 06:14 PM | Reply | Funny: 1

The maintenance cost is also much higher for roads than rail. Wisconsin spends over $80,000/year/lane mile to maintain the highways not including replacement costs while total maintenance costs per mile of rail average only $46,000/year including assumed replacement of rails, bed material and ties at regular intervals.

#9 | POSTED BY HATTER5183 AT 2018-01-17 02:07 PM | FLAG:

Regular rail. HSR costs $200k per mile, per year.

#12 | Posted by sitzkrieg at 2018-01-18 11:10 AM | Reply

Also, the phrasing of this is continually amusing. "It cost $4.5 billion!" It doesn't cost anything. No tax credits, no plant, no revenue. Pick your poison, but since the world flattened trade wise, you can choose to be competitive or not.

#13 | Posted by sitzkrieg at 2018-01-18 11:13 AM | Reply

Regular rail. HSR costs $200k per mile, per year.

#12 | POSTED BY SITZKRIEG AT 2018-01-18 11:10 AM | REPLY

for a two-track system so only 25% higher per track mile than highway maintenance.

That difference is eliminated by the fact that rail maintenance includes replacement while road maintenance does not include replacement costs every 20 years.

TCO for rail is much lower over the long term.

1 mile 2 lanes/tracks for 100 years:

Rail $50 Million up front total build cost $200,000/year for 100 years including replacement of rails, ties, and bedding = $70 Million

Road $41 million up front total build cost $160,000/ year for 100 years plus rebuilds at 20,40,60,and 80 at $20 million/pop = $137 million

#14 | Posted by hatter5183 at 2018-01-18 11:20 AM | Reply

Regular rail. HSR costs $200k per mile, per year.

#12 | POSTED BY SITZKRIEG

Actually that depends where it is. In the frigid north with continued freezing and warming, it's far far more expensive.

People will also pay to ride the rail. So it recoups some cost at the same time taking strain off the roads.

#15 | Posted by Sycophant at 2018-01-18 11:22 AM | Reply

"3,000 jobs paying an average of $53,000"

$53,000 is $25.48 per hour.

That is ASSUMING it will be a 40hr per week job, which it won't.

50 hr per week = 18.53
60 hr per week = 14.56

Slave wages

#16 | Posted by bat4255 at 2018-01-18 11:22 AM | Reply

Also, the phrasing of this is continually amusing. "It cost $4.5 billion!" It doesn't cost anything. No tax credits, no plant, no revenue. Pick your poison, but since the world flattened trade wise, you can choose to be competitive or not.

#13 | POSTED BY SITZKRIEG

That's not accurate at all. The state has to put up substantial money for things like infrastructure to meet the plants needs, regulation enforcement, etc. There are costs that come with these plants borne by the state. It's literally why we pay taxes. In addition, the question is why $4.5 billion and not some insanely lesser amount?

#17 | Posted by Sycophant at 2018-01-18 11:24 AM | Reply

"It doesn't cost anything."

Roads. Police. Fire. Electrical & Waste Infrastructure.

All free.

#18 | Posted by Danforth at 2018-01-18 11:29 AM | Reply

fox conn i mean it's in their freaking name! lol.

#19 | Posted by TwoCents at 2018-01-18 11:37 AM | Reply

Also, the phrasing of this is continually amusing. "It cost $4.5 billion!" It doesn't cost anything.

#13 | POSTED BY SITZKRIEG AT 2018-01-18 11:13 AM | REPLY |

Adding lanes to the highways, building interchanges, building new water treatment plant, new wells, Buying 2800 acres of URBAN land to GIVE to FoxConn free of charge.

Those are just the upfront costs paid for with taxpayer money before they even break ground on the plant. The reason the cost rose from $3 billion to $4.5 is that the state spent $1.5 Billion OUTSIDE OF THE DEAL

#20 | Posted by hatter5183 at 2018-01-18 11:40 AM | Reply

The reason the cost rose from $3 billion to $4.5 is that the state spent $1.5 Billion OUTSIDE OF THE DEAL
#20 | POSTED BY HATTER5183 AT 2018-01-18 11:40 AM | FLAG:

It's not at all quantified in the article linked. Can't read the links from the article itself, ad blocker.

#21 | Posted by sitzkrieg at 2018-01-18 12:06 PM | Reply

Yes, these are real costs.

If there is not a new tax passed yet, there will be soon. So-called conservatives (actually, they are corporate socialists) love them some hidden socialism, as long as the benefit flows upward.

For the new toyota plant in Bama, they had 2 items on the town hall meeting.

1) agreement to go ahead with the expenditures to start building roads, power line, other utilities, schools to handle the new population, etc....

2) a new tax so the community (including the people not affected) can pay for it all.

Saying these are not real costs is criminally wrong.

#22 | Posted by kudzu at 2018-01-18 12:44 PM | Reply | Newsworthy 1

for a two-track system so only 25% higher per track mile than highway maintenance.

#14 | POSTED BY HATTER5183 AT 2018-01-18 11:20 AM | FLAG:

It was actually $200k 9 years ago. They promised $50 end to end fares when it was on the ballot. Afterwards they started releasing the real numbers. The train actually costs at minimum $83/hr/passenger to operate, more likely $103/hr/passenger based on California HSR's own estimates. A 737 costs $12/hr/passenger. 220mph (peak) vs 550mph sustained cruise. You can fly from airport to airport planned to be linked by the HSR for a hell of a lot cheaper and faster.

XpressWest didn't make any sense either, the Vegas to Victorsville (CA) link. It got major backing from Nevada's government. It was cancelled allegedly because of the federal requirement to buy American made HSR trainsets. We don't build those. Acela is German/Swiss/French built. The HSR system operation and maintenance is expected to be provided by a German firm, as recommended by the HSR staff. California doesn't even really have a train set vendor yet, HSR manufacturing doesn't exist here.

#23 | Posted by sitzkrieg at 2018-01-18 12:53 PM | Reply

#22 | POSTED BY KUDZU AT 2018-01-18 12:44 PM | REPLY | FLAG:

All I can do is laugh (sadly) at how many services in these places are public. Great way to set tax payers up to be abused. Reasonable property tax breaks, private utilities, local private airport that can accept jets, county infrastructure planned 20+ years ago, etc, has managed to bring in Igloo, Amazon, FedEx, and a half dozen other major service centers in the last 5 years. They turned $2k/yr tax ag exempt property into a massively larger revenue stream.

The Dems in Louisiana did something similar awhile back, using tax breaks to draw in entertainment companies. Maybe they wouldn't have done it had they known Duck Dynasty would be the biggest hit to emerge from that program?

#24 | Posted by sitzkrieg at 2018-01-18 01:10 PM | Reply

It is one thing to say we are gong to make these improvements to our infrastructure so we can all benefit and attract companies. It is another to spend all of the money for the sole benefit of one company and simultaneously cutting spending that benefits the area as a whole.

#25 | Posted by hatter5183 at 2018-01-18 02:52 PM | Reply

This country really has its priorities screwed up.

#26 | Posted by Whatsleft at 2018-01-18 05:25 PM | Reply

Given how technology changes, will this factory even be viable in ten years? Will Foxconn, close the doors and walk away taking its money with it? None of th local GOP legislators where I live are mentioning Foxcnn deal and change the subject when it is mentioned i conversation. They know it is a bad deal.

#27 | Posted by SLBronkowitz at 2018-01-19 07:28 AM | Reply

This plant will make screens for LED TVs. Nothing else. OLEDs are better and RIGHT NOW are more expensive. The moment OLEDs become cheaper than LEDs This plant will become useless

#28 | Posted by hatter5183 at 2018-01-19 02:07 PM | Reply

"The moment OLEDs become cheaper than LEDs This plant will become useless."

Only useless if you aren't the company that just scammed $4.5B from a stupid Republican governor.

#29 | Posted by snoofy at 2018-01-19 02:36 PM | Reply

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