Park Towne : News & Notes, Development and Government News for Madison & Wisconsin

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A mass mailing to thousands of Madison area homeowners, warning their property could soon lose value because of a countywide plan to protect lakes and streams, has touched off a political firestorm. Some 32,000 glossy 6"x11" postcards -- which Dane County officials say contain significant factual errors -- were sent in advance of two public hearings before the Dane County Lakes & Watershed Commission last month. The mailing was funded by the Greater Madison Chamber of Commerce and the Realtors Association of South Central Wisconsin, among other groups. One postcard shows a modest lake home in the cross hairs of a rifle, telling homeowners the county has them in its sights.

Plans for the redevelopment of Madison’s historic Edgewater hotel were dealt a major blow late Monday night after the Landmarks Commission blocked what developer Hammes Co. president Robert Dunn had called his company’s best and last proposal.The sticking point in the commission revolved around a stipulation in the historic preservation ordinance for the neighborhood that requires new construction be “visually compatible” with the surrounding buildings and environment. At about 164,000 square feet and $93 million, the project would dwarf even the nearby National Guardian Life Insurance building.

Mayor Dave Cieslewicz is imploring the Hammes Co. to keep alive a $93 million proposal to redevelop the historic Edgewater hotel, blocked by the city Landmarks Commission late Monday night. Losing the project would be a blow and send a bad signal to investors in future projects, Cieslewicz said. Hammes must now decide whether to ask the City Council to overturn the commission’s decision, which would take a 14-vote supermajority of 20 council members. "I’m urging (Hammes president) Bob Dunn to move ahead with an appeal and ask the City Council to overturn the decision," Cieslewicz said after meeting with Dunn and others Tuesday.

a) Try, try again. b) Try, try again. Then quit. There's no point in being a damn fool about it. (W.C. Fields) In the simplest possible terms, these are the options that Hammes Co. representatives face this morning after their proposal to renovate the current Edgewater Hotel and build an eight-story addition was voted down by the city's Landmarks Commission for being too big. Under option a, the Hammes Co. can either appeal the decision to the City Council, which can overrule Landmarks Commission with a two-thirds vote, or go back to the drawing board and propose a smaller addition. Under option b...

When the City Council on Tuesday weighs whether to overturn a decision that blocks the $93 million Edgewater hotel redevelopment, it won't be hamstrung by the narrow rules considered this week by the city's Landmarks Commission, officials said.In appealing the commission vote that the redevelopment fails a key compatibility test with surrounding buildings and environment -- one of the first tests for the project - Robert Dunn, president of the Hammes Co., said the council should look at a host of advantages the project offers rather than the limited criteria the commission had to use in refusing a certificate of appropriateness for the project."The project is dead at this point," Dunn said. "It's up to the city to decide, at the council level, is this a project we are going to move forward."

A former trailer park in Monona could be the site of a new medical clinic. The owner of the former Hickory Lane Mobile Home Park is negotiating the sale of the property, which sits on the Yahara River, with a developer who has proposed a new UW Health clinic. "UW Health is in the planning stages to combine the Monona and McFarland clinics but have not yet purchased land or determined the size," Mike Klawitter, spokesman for UW Health, said Tuesday.

A new bill would require the UW Board of Regents to get approval from the state Legislature before condemning private property for university use. The proposed legislation follows a lawsuit from the owners of Brothers Bar and Grill, who sued the Regents in October in an effort to stop the university from condemning the Madison location of their bar. UW-Madison wants the land, 704 University Ave., to build a $43 million School of Music facility. Current law allows the University of Wisconsin System to condemn property if its use is in the public interest. The bill, introduced last week, would require the Joint Finance Committee - the Legislature's budget committee - to hold a public hearing on any intended condemnation by the university. Then, the UW System would need to get approval by at least three-quarters of the committee before continuing the process. The UW System plans to oppose the legislation, said spokesman David Giroux. He said the Regents have invoked eminent domain sparingly, only three times in the past forty years.

The state Department of Workforce Development said Wednesday that two employers are planning to eliminate a total of 458 jobs as of February 2010. Verona-based JT Packard & Associates plans to cease operating in February resulting in the elimination of 300 jobs, the state said. The company is in the electric power systems industry. Verona is located south of Madison in Dane County. Also Wednesday, the state said Georgia Pacific Consumer Products plans to eliminate 158 jobs at its 500 Day Street plant in Green Bay. A number of lines will be shut down at the plant, according to the company's notice sent to the state.

Sangamon Industries, an affiliate of Chicago private equity firm, Pfingsten Partners, is the company that is planning to buy JT Packard & Associates, Verona, according to court documents released Thursday. The proposed net purchase price is $14 million. Sangamon was chosen after a search for qualified, interested buyers, resulting in 20 preliminary bids. An auction is scheduled for Jan. 18 in Madison and an alternative purchaser could be picked, the documents say. JT Packard's parent company, S.R. Bray, of Anaheim, Calif., still owes more than $70 million related to the purchase of the company in 2006 and to fund S.R. Bray's other activities.

Dane County has notified 21 sheriff's deputies that they will lose their jobs Dec. 31 if their union doesn't agree to a salary cut. The job cuts appear to be inevitable after the deputies' union met with members last week and found widespread opposition to accepting a 3 percent salary cut in 2010 in exchange for eight days off, said Jim Palmer, executive director of the Wisconsin Professional Police Association, which represents the deputies and their supervisors. "We're very disappointed," Palmer said. "Public safety is certainly going to be compromised." The 21 positions were chosen based on seniority. They include 11 part-time deputies in training and others serving in the jail. Another four vacant positions in addition to the 21 would also be eliminated. The cuts would account for 5 percent of the 407 total deputy positions in the Sheriff's Office.

Marshall & Ilsley Corp. said it has commenced an offer to purchase for cash up to $400 million in debt securities. The offer to purchase, announced after the markets closed Tuesday, is being made to registered holders of M&I Bank's debt securities. The tender offer expires on Dec. 29. M&I is purchasing senior 5.15% fixed rate notes due in 2012; floating rate subordinated bank notes due 2012; and 5.3% senior notes due 2011. Goldman, Sachs & Co. is managing the purchase offer. In October, M&I raised $863 million through the sale of common stock - a capital boost the company's chief executive said was driven by regulators concerned about delinquencies nationwide on commercial real estate loans

Anchor BanCorp Wisconsin Inc. said Tuesday it has agreed to a plan in which a group headed by a Chicago investment banker would help recapitalize the struggling Madison company and assume 95% ownership of it. If the deal goes through, it could rescue the fourth-biggest bank based in Wisconsin from a difficult dilemma, one analyst said. The parent company of AnchorBank said it has entered into agreements with Badger Anchor Holdings LLC, which would invest up to $400 million in Anchor. Badger Anchor Holdings was organized by Badger Capital LLC, a private investment group led by Steven D. Hovde. Hovde, a University of Wisconsin-Madison graduate, is chief executive of Hovde Financal Inc. in Chicago, a firm with expertise in investments in financial institutions. Under the plan, Badger Anchor Holdings would purchase from Anchor up to 483.3 million shares of common stock at 60 cents per share. Badger Anchor Holdings also would provide a term loan of $110 million to Anchor, convertible to shares of the company's common stock at a conversion price of 60 cents per share or the market price at the time of conversion - whichever is lower. In connection with those transactions, Anchor also will offer up to 166 million shares of common stock to shareholders of record on Nov. 23, at 60 cents per share.

Investors must have liked the news late Tuesday that an investment group with strong Madison ties plans to give a $400 million infusion to Anchor BanCorp Wisconsin, parent of AnchorBank. Shares of the Madison company's stock rose 54 percent by the end of trading Wednesday, closing at 71 c…

Ever since Whole Foods dropped plans to open a 55,000-square-foot store at the revamped Hilldale Shopping Center, owner Joseph Freed & Associates has been looking for new tenants. Target Corp., interested in buying a large swath of land on the shopping center’s west side to build a 140,000-square-foot store, has emerged as a promising candidate. No doubt recent setbacks for Freed & Associates make the sale to Target more attractive than ever. Last week the company lost its battle to keep control of its Block 37 project in downtown Chicago — just as the first stores were getting ready to open.

The construction firm contracted to build a hotel near Camp Randall Stadium has taken legal action against its architect and developer, seeking more than $3 million in payment for the stalled project. Documents filed Nov. 17 in Dane County Circuit Court were an amended claim for lien by Kraemer Brothers seeking about $3.7 million from Sieger LLC, Madison, for construction of the Hotel 1501 project at 1501 Monroe St. Construction stopped in early October when Kraemer Brothers crews left the site, and there has been no activity since then. “We hope this matter gets resolved quickly so the project can move ahead,” said Ryan Kraemer, vice president of Kraemer Brothers in Plain.

Two state Republican leaders have joined the U.S. Senate campaign for developer Terrence Wall.Wall announced today that Jim Klauser, who served as Secretary of Administration for former Gov. Tommy Thompson and was chairman of his four successful gubernatorial campaigns, and Republican National Committeewoman for Wisconsin Mary Buestrin will co-chair his senate campaign. “Terrence knows that small businesses and entrepreneurs are the real job creators in our economy, not the federal government,” Buestrin said in a statement. “Massive new government spending is driving our nation deeply into debt and mortgaging the futures of our children and grandchildren.”

The public will get to weigh in on the inside of the new Fitchburg Public Library on Dec. 2. Architects from Engberg Anderson will hold two input sessions that night, looking for opinions on the interior design. Previous sessions in September and October discussed the exterior design, which has been mostly finalized. The first of next week's two sessions is at 6 p.m. at Fire Station No. 2 on King James Way. The second is at 8 p.m. in the council chambers at City Hall.

Dane County will bring a $1 million plan for updating and upgrading Badger Prairie County Park to area residents next week. It begins at 7 p.m. Thursday at Verona City Center's council chambers. County staff have been working on the plan since June 2007, shortly after the county decided to shift the location of its nursing home for the mentally infirm to another part of the park. In the meantime, there have been several public input sessions and discussions with stakeholder groups such as trail, mountain bike, prairie and aeromodeling enthusiasts. The consensus reached in most of those discussions was that the underused, 350-acre park would be best served with independent entrances rather than one long road that goes in one way and out the other. And of all the proposed changes to the park, that one would be the most dramatic, immediate and costly.

Governor Jim Doyle today announced that Momentum West, Inc., Eau Claire, Eau Claire County, has received a $100,000 Regional Marketing Grant from the Department of Commerce (Commerce) to develop a comprehensive strategy to market West Central Wisconsin. “We must draw on the resources and talent of all our communities to grow the state economy,” Governor Doyle said. “I look forward to working with Momentum West as we invest in West Central Wisconsin and drive economic growth in the region.”

The State of Wisconsin took ownership this week of the Wisconsin Exposition Center at Wisconsin State Fair Park in West Allis. The purchase from State Fair Park Exposition Center inc., approved earlier in the year by the State Building Commission, will allow the State of Wisconsin to obtain a $38 million asset at a cost of $13.9 million. The Fair Park Board will operate the exposition business and make annual rental payments that will fund the state’s debt service cost. Employees of the exposition center will be contracted by the Fair Park during the transition. Once state positions are approved, all employees of the Wisconsin Exposition Center will have the ability to interview for positions that will be publicly posted.

Even by rural Wisconsin standards, Cress Spring Bakery is almost off the grid. Narrow roads meander through isolated hills, and the occasional farmhouse or flock of sheep seems like a surprising reminder of civilization. Even so, the bakery Jeff Ford opened in 1996 at a former yoga retreat on 160 acres of farmland is now firmly on the map of the food-obsessed. A story on the bakery made the New York Times Magazine's annual food issue last month, something not unlike an actor winning an Academy Award.

Foreclosure filings dropped 9.4% from October to November in southeastern Wisconsin, marking the second consecutive month that filings declined. But given the state of the economy, it probably isn't the start of a long-term trend just yet, said an attorney who handles bankruptcy and foreclosures cases. There were 947 foreclosure actions filed in Kenosha, Milwaukee, Racine, Ozaukee, Walworth, Washington and Waukesha counties in November, compared with 1,045 in October, court records show. In September, 1,142 were filed. The 947 for November were up just 2.6% from November of 2008.In Milwaukee County, foreclosure filings fell for the second straight month, to 538 - 8.7% lower than the monthly average this year of 589. There were 596 filings in Milwaukee County last month.

Milwaukee Institute of Art & Design has apparently chosen General Capital Group's property, at 252 E. Menomonee St., for its new residence hall. Portions of General Capital's one-story, 24,660-square-foot building are leased to Snap Fitness and Trinity Academy of Irish Dance. Those tenants will remain on the building's street level. The firm plans to build six stories on top of the building, said Ald. Robert Bauman, chairman of the Historic Third Ward Architectural Review Board. The board on Wednesday reviewed preliminary plans for the addition, which Bauman said would have beds for around 250 MIAD students. Construction could begin next spring if the project goes forward, Bauman told me this morning.

Johnson Controls Inc. is not considering a move of its building efficiency division headquarters from downtown Milwaukee to Wauwatosa--contrary to what Ald. Robert Bauman said at a Common Council meeting Tuesday. But company spokesman Darryll Fortune did acknowledge that Johnson Controls in May 2008 drew up a plan to expand the downtown facility, which has around 1,500 employees at 507 E. Michigan St. That plan is now on hold because of global economic conditions, Fortune said. Bauman told me the company's plan included buying the former Universal Foods Corp. headquarters, which is just across N. Jefferson St., at 433 E. Michigan St. That five-story building would be demolished, with an addition to the Johnson Controls facility built on that site.The plan called for closing the block of Jefferson St. that separates the two buildings, and creating a pedestrian plaza, Bauman said. Johnson Controls also wanted the city to finance a 1,300-space parking structure, he said. The former Universal Foods building, which has been vacant for years, was sold in June 2008 to a Johnson Controls affiliate, Milwaukee Acquisition Partners LLC, for $3.1 million, according to city assessment records.

The Milwaukee Common Council this morning voted to delay acting on a proposed $3.45 million city loan guarantee for the $60 million Bookends North downtown apartment high-rise. The proposal was sent back to the council's Zoning, Neighborhoods and Development Committee for further review. The committee last week recommended approval for the guarantee on a 3-2 vote. Since then, the developers of Bookends North have met with federal officials in their attempt to obtain a federal guarantee for the project's main financing. The council vote this morning basically puts the city guarantee into a holding action, neither approving it nor killing it. The developers--New Land Enterprises and Wiechmann Enterprises--are hoping to return to the zoning committee with news that their attempts to obtain the larger federal loan guarantee have progressed.

Apartments buildings near University of Wisconsin-Milwaukee, and in the Lindsay Heights area, will need to be certified by city building inspectors before they can be rented, under a new ordinance approved this morning by the Common Council. The proposal, passed on a 9-5 vote, says landlords must apply for an inspection by the city Department of Neighborhood Services to make sure apartments meets building and zoning codes. The inspection will cost the landlord $85 per unit, with the certification lasting four years if no major code violations are found. If such violations are found during the initial check, the buildings will need annual inspections. The ordinance will affect around 3,700 units in Lindsay Heights, bounded roughly by I-43, N. 20th St., W. Walnut St. and W. Center St., and in a neighborhood south of UWM, bordered by N. Cambridge Ave., N. Hackett Ave., E. Newberry Blvd. and E. Edgewood Ave.The process will help inspectors find code violations, supporters say, with a priority on correcting health and safety violations - including apartments that illegally have too many renters. Supporters, including people living near UWM, also say the ordinance is needed to help find problem landlords.

Michael Dilworth, president of Greenfield-based development firm Ener-Con Cos., has taken control of the financially troubled Six Points East, a 42-unit condominium development in West Allis. Milwaukee County Circuit Judge Maxine White this morning issued a foreclosure judgment on the property, which is at 6330 W. Greenfield Ave. (Six Points East, by the way, has no relationship with the nearby Six Points Neighborhood apartment development). White's judgment was issued on behalf of Six Points East LLC, an investment group formed by Dilworth that bought the development's mortgage from Equitable Bank in October, according to court records. Equitable filed the foreclosure suit in February against West Allis Development LLC. The suit said West Allis Development--owned by investors groups led by Steven Stewart, Brian Kliesmet and Richard Jungen--owed $5.2 million. Jungen is the former chief executive officer at CSMC Inc., which operated the million now-defunct Central States Mortgage Co. CSMC holds a mortgage for $4.3 that it lent to West Allis Development, according to court records.

Pet supplies retailer Petco will open a store at Oak Creek Center, 8581 S. Howell Ave., according to a report by Mark Schaaf at Oak Creek Now.com. Petco joins T.J. Maxx at the shopping center, and becomes the latest in a string of new stores to open on Howell Ave.

An unveiling ceremony for The Legacy housing development, on Milwaukee's north side, will be held at 1 p.m. Monday at N. 23rd St. and W. Garfield Ave. The Legacy, led by Legacy Redevelopment Corp., is building homes on vacant lots in the area bordered by W. Brown St., W. Garfield Ave., N. 21st St. and N. 24th St. The first house was built last year and sold at the end of 2008, while two other homes are under construction. The city is spending up to $3.25 million on roads and other public improvements tied to the development. The city’s funds will be repaid through property taxes generated by the new homes. The ceremony today will include remarks by Mayor Tom Barrett; Sally R. Peltz, founding president & CEO of Legacy Redevelopment, and Deloris Sims, chair & CEO of Legacy Bank. Legacy Redevelopment is a non-profit partner of Legacy Bank.

Plastics manufacturer L.T. Hampel Corp. is planning a $5.5 million expansion of its Germantown plant, according to a report by K.L. Klein at Germantown Now.com.

Development firm New Land Enterprises is being sued over alleged building defects, including leaking windows, at its Riverbridge condominium development, 1905-1925 N, Water St. The problems at the 117-unit development date back several years, according to the suit, filed in Milwaukee County Circuit Court by the Riverbridge Condominium Owners Association. Riverbridge was built in three stages that were completed from 2003 through 2005. Executives at New Land, which served as general contractor on the development, knew about the problems, but failed to resolve them and continued to sell condos, the suit claims. It blames defective workmanship, and the use of faulty materials. Tim Gokhman, of New Land, said company executives "are confident that New Land will be dropped as a defendant as details shake out."The suit also names as defendants Riverbridge's architect; three subcontractors, and a project supplier, as well as their insurers. Gokhman characterized it as a "shotgun" suit "that tries to target anyone and everyone having anything to do with the project, hoping that something will eventually stick to someone."

A proposed city loan guarantee to help finance the Bookends North downtown apartment high-rise has been recommended for approval by a Common Council committee. The Common Council's Zoning, Neighborhoods and Development Committee just acted on the guarantee request from developers New Land Enterprises and Wiechmann Enterprises. The committee voted 3-2 to recommend contingent approval despite receiving a report from Comptroller Wally Morics that raised concerns about the proposal. That report said the comptroller's office couldn't evaluate the proposed guarantee because of uncertainty surrounding the project's financing. Bookends North, which would have 224 apartments at 700 E. Kilbourn Ave., is seeking a federal guarantee for a $51.75 million loan, to be provided through the AFL-CIO Housing Investment Trust. Bookends also is seeking a city guarantee for a $3.45 million loan, and would have equity financing of $5 million.

A plan to develop a 32-unit apartment building, which would create its own energy through a geo-thermal system and solar panels, was recommended for approval this morning by the Common Council's Zoning, Neighborhoods and Development Committee. The development in Milwaukee's Bay View neighborhood has secured financing through Securant Bank & Trust, developer Deb Lindner said. The four-story building will be on a vacant lot Lindner owns west of S. Robinson Ave. and north of E. Ward St. - about a block west of S. Kinnickinnic Ave., between E. Becher St. and E. Lincoln Ave. The one- and two-bedroom units will be around 800 to 1,100 square feet, with monthly rents of roughly $850 to $1,100. The building's plans call for a geo-thermal energy system, and solar energy panels, and the apartments will be marketed to people interested in living in a building with environmentally sustainable features. The committee voted 3-2 to recommend rezoning the parcel, which Lindner owns, from industrial to allowing the apartments. Aldermen Robert Bauman and Michael Murphy voted against that recommendation, saying they are concerned about the diminishing number of Milwaukee parcels that are zoned for industrial use. Other area housing proposals that would use geothermal and solar energy include a planned Port Washington subdivision.

The City of Brookfield is seeking state and federal environmental cleanup grants to help with redeveloping the former Quebecor World printing plant, reports an article in Brookfield Now.com by Alan Hamari. I reported recently that the Brookfield site and the former Pabst brewery complex, in downtown Milwaukee, are the finalists for a proposed new headquarters for Astronautics Corp. of America.

Officials from the U.S. Department of Housing and Urban Development's Milwaukee office have so far declined to approve a construction loan guarantee for the proposed Bookends North apartment high-rise. I just spoke with those officials, who cannot be named according to a ridiculous agency policy. But they did shed some light on their decision. Basically, it comes down to concerns that Bookends North would create too many high-end units, relative to the demand, within the Milwaukee rental market. One factor is the so-called "shadow market," i.e., unsold condos that are being rented out until demand improves. The local shadow market includes the troubled Park Lafayette project. Adding to that rental supply is the Moderne high-rise, for which HUD did provide preliminary approval for a construction loan guarantee in September. When that approval was granted, the Bookends North application had not yet been submitted to HUD, the officials said.The Moderne, which will have 203 apartments and 14 condos, is being financed primarily with a $41.4 million loan from the AFL-CIO Housing Investment Trust, guaranteed by HUD. The Common Council on Nov. 3 approved $9.3 million in city loans for the Moderne, which also is getting $4.3 million in equity financing from developer Rick Barrett and his partners.

Developer Richard Conley is buying the Wauwatosa building that formerly housed Drews Variety & Craft, and is considering retail, office and residential uses for it, according to a report in Wauwatosa Now.com by Stefanie Scott. Drews announced in 2007 it was closing after decades of business.

They may not listen, but the Sturgeon Bay City Council has sent a message to state lawmakers that they don't agree with a new law requiring local governments to spend a certain amount of money on public safety. The Council this week passed a resolution asking the Legislature to reconsider Act 28, which says local governments have to spend at least as much on police and fire services in 2010 and future years as they did this year. City Administrator Steve McNeil says he understands the intention of the law but says it's just another way for the state to take power away from local governments .

A proposal to overhaul the Milwaukee Public Schools also would mandate 33% student discounts on Milwaukee County Transit System bus passes - but only if the state authorizes a new 0.5% sales tax to fund the bus system.The bill by state Rep. Tamara Grigsby and state Sen. Spencer Coggs would link two major issues - who should control the school district and how to pay for transit - both of which are awaiting action from the Legislature. Grigsby and Coggs, both Milwaukee Democrats, are drafting their bill as a countermeasure to one introduced by Sen. Lena Taylor (D-Milwaukee). Taylor's bill would give the mayor the power to appoint the next MPS superintendent, who would have final authority over the district's budget, labor negotiations and school closings. The Grigsby-Coggs bill would keep more power in the hands of the elected School Board.

The new, 160-room Aloft hotel in downtown Milwaukee, developed by Milwaukee River Hotel LLC, will open on Dec. 17. The new, 160-room Aloft hotel in downtown Milwaukee, developed by Milwaukee River Hotel LLC, will open on Dec. 17, general manager Lisa Aldrich said. Aloft is a select service hotel brand of White Plains, N.Y.-based Starwood Hotels & Resorts Worldwide, Inc. The downtown Milwaukee hotel is the first Aloft location in southeastern Wisconsin. Several people have already made reservations at the hotel. “I get about 10 to 15 calls a day from people who want to know when we are opening,” Aldrich said. “They are excited.” The hotel is located at 1230 N. Old World Third St., along the Milwaukee River in the Park East corridor. The hotel is only one block northeast of the Bradley Center and one block south of the Manpower Inc. corporate headquarters.

Exacto Inc. has more than doubled its space by moving from Richmond, Ill. to a 50,000-square-foot plant in Sharon, in Walworth County. Exacto Inc. has more than doubled its space by moving to a 50,000-square-foot plant in Sharon, in Walworth County, from its original location 20 miles southeast in Richmond, Ill. The building is the former Automated Building Components (ABC) truss manufacturing plant at 200 Old Factory Road. Exacto purchased the building earlier this year from Lyman Lumber Company for $1.55 million. Dave Hazenfield of The Dickman Company represented Lyman Lumber and Mark Stricker represented Exacto in brokering the property sale. Exacto said the move will help it significantly increase its capacity to develop, manufacture and distribute adjuvant products that enhance chemicals used for crop protection, pest control and vegetation management. The custom-designed space will help the company accommodate lean manufacturing and quality control. Exacto’s adjuvants and surfactants are sold by other companies under private labels. “Exacto continues to be blessed by the confidence and support of our many customers, suppliers and employees, and I am pleased to announce this progressive step for our company,” said Diana Braun, Exacto’s president.

A new 53,900-square-foot building will be constructed on vacant lots on West Lisbon Avenue. The Westside Healthcare Association, which provides medical and dental services to underserved populations in Milwaukee’s central city, is planning an expansion. A new 53,900-square-foot building will be constructed on vacant lots next to the association’s existing facility at 3522 W. Lisbon Ave., Milwaukee. The new facility will be about 6 times the size of the existing facility. Once the new facility is complete, the existing facility will be demolished to create space for parking. The larger facility will provide space for WHA to expand its services adding behavioral health, diagnostic radiology, mammography and physical/occupational therapy. WHA plans to serve an additional 10,500 patients and create an additional 50 jobs at the expanded facility.

Milwaukee ’s manufacturing economy showed significant improvement in November, according to the most recent survey by the Institute of Supply Management - Milwaukee Chapter. The chapter’s index rose to 57 points for November. Any reading over 50 indicates expansion from the previous month. According to the survey, new orders in the Milwaukee area rose by 10 points, production rose by eight points and backlog rose by four points. Following the increased demand, supplier lead times have dropped by four points to 40.

A plan to expand Johnson Controls Inc.'s downtown Milwaukee division headquarters, which is currently on hold, includes buying and demolishing a nearby vacant office building, a company spokesman said Wednesday. A plan to expand Johnson Controls Inc.'s downtown Milwaukee division headquarters, which is currently on hold, includes buying and demolishing a nearby vacant office building, a company spokesman said Wednesday. Johnson Controls, through an affiliate, in June 2008 bought Universal Foods Corp.'s former headquarters, at 433 E. Michigan St., for $3.1 million, according to city assessment records. The official owner of the property is Milwaukee Acquisition Partners LLC. Company spokesman Darryll Fortune confirmed that the 2008 plan called for Johnson Controls to demolish the five-story building and construct an addition on that site.

WaterStone Bank, a Wauwatosa mortgage lender that racked up bad debt as it pursued an aggressive business course in recent years, has agreed to a consent order giving government regulators significant oversight of its affairs. The order calls for WaterStone to maintain specified levels of cash reserves and prohibits extending additional credit to certain problem borrowers. It requires the bank to retain an outside, government-approved consultant to evaluate its senior management, and to report regularly on progress toward meeting the order's requirements. WaterStone already complies fully with the order, which formalizes a November 2008 agreement between the bank and regulators, CEO Doug Gordon said in an interview Friday. The bank said its cash reserves meet the requirements of the order and are well above levels considered "well capitalized" by the Federal Deposit Insurance Corp. "There's nothing in the order that restricts us from doing anything we've been doing in the past year," Gordon said. At the least, however, the order makes public a situation that the bank, in its last financial filing, alluded to only briefly.

Critics and proponents alike will have to wait until next month at the earliest to find out if urban services will be extended to the site of the proposed Bishops Bay development. Following a public hearing, the Capital Area Regional Planning Commission (CARPC) last Thursday deferred a vote on a pending application to extend a Central Urban Service Area (CUSA) boundary to include 780 acres of land in northeastern Middleton and southwestern Westport, where developer T. Wall Properties hopes to build an expansive and unprecedented mixed-use community. A CUSA is a municipal initiative requesting the extension of urban services, principally sanitary sewer service, to undeveloped areas.
The commission's decision not to take action means the next opportunity to vote will be at a meeting on Dec. 10.

Mazomanie-based Wick Building Systems on Monday filed a voluntary petition for reorganization under Chapter 11 of the U.S. Bankruptcy Code as part of its plans to restructure one division while shutting down two others and cutting 259 jobs in Mazomanie and Marshfield. Company CEO Jeff Wick said in a news release that filing a Chapter 11 petition provides "the most orderly means" to liquidate some of the company's assets, restructure its obligations, bring in investor capital and allow ongoing operations of the one remaining division, known as Wick Buildings, which makes agricultural and commercial buildings and employs 222 people in Mazomanie. The company on Nov. 10 told the state Department of Workforce Development it was shutting down the two other company divisions - a Marshfield-based manufactured homes division and John Wick Homes, which makes custom homes. The reorganization announced Monday is not intended to save the 259 jobs in those two divisions, which still will be closed, the new release said.

U.S. Transportation Secretary Ray LaHood today announced the availability of $280 million for urban circulator projects such as streetcars, buses, and bus facilities to support communities, expand business opportunities and improve people’s quality of life while also creating jobs. The money represents the first batch of funding by the Obama Administration for its Livability Initiative, a joint venture of the U.S. Department of Transportation (DOT), U.S. Department of Housing and Urban Development (HUD) and U.S. Environmental Protection Agency (EPA). “This represents a significant effort to promote livable communities, improve the quality of life for more Americans and create more transportation choices that serve the needs of individual communities,” Secretary LaHoodsaid. “Fostering the concept of livability in transportation projects will stimulate America’s neighborhoods to become safer, healthier and more vibrant.” Secretary LaHood made the announcement at the historic Carrollton Car Barn streetcar facility with New Orleans Mayor Ray Nagin during a tour of the city’s Katrina recovery efforts.

A pair of employment reports Wednesday suggested that labor markets have begun to stabilize after the nation hemorrhaged jobs throughout the first half of the year. A pair of employment reports Wednesday suggested that labor markets have begun to stabilize after the nation hemorrhaged jobs throughout the first half of the year. "Although we're not showing great strides in the labor market, we are seeing some small ones," said Eric Grosso, senior economist for the state Department of Workforce Development. "Right now, we'll take any improvement we can find. "The unadjusted unemployment rate in the four-county region that includes : Milwaukee and Waukesha counties declined for the fourth consecutive month to 8.2% in October from 8.5% in September and from its peak of 9.8% in June, the department reported. The same report showed unemployment decreased in 10 of Wisconsin's 12 biggest metropolitan areas in October from a month earlier. Nationally, the number of Americans filing claims for unemployment benefits fell last week to the lowest level since the banking crisis erupted on Wall Street in September last year.

A new report Wednesday from comScore Inc. shows that more than half of the dollars spent at U.S. web sites on Monday came from work computers, 52.7%. That's an increase of 2.3% from last year on Cyber Monday. "Cyber Monday" is the retail industry's name for the Monday after Thanksgiving, which they have successfully promoted as the kickoff to the online holiday shopping season. Spending on Monday reached a new high for that day, according to comScore. I wonder if employers are taking a more liberal view of shopping from work these days, or if workers are doing a better job of not getting caught doing it. Thoughts anyone??

National Association for Business Economics (NABE) today proclaimed, "The Great Recession is over." NABE panelists have marked up their predictions for economic growth in 2010. “While the recovery has been jobless so far, that should soon change. Within the next few months, companies should be adding instead of cutting jobs,” said NABE president Lynn Reaser, chief economist at Point Loma Nazarene University. Panelists predict a relatively sluggish consumer upturn but look for a sizable housing rebound, low inflation and further rise in stock prices. Importantly, panelists are mostly (though not entirely) optimistic that the Federal Reserve Bank’s policies will not lead to higher inflation.

The unemployment rate unexpectedly fell to 10 percent in November as employers cut the smallest number of jobs since the recession began. The better-than-expected job figures are a rare note of encouraging news for the labor market. Still, the respite may be temporary. Many economists expect the unemployment rate to climb into next year as the economy struggles to generate enough jobs for the 15.4 million people out of work. The economy shed 11,000 jobs last month, an improvement from October's revised total of 111,000, the Labor Department said Friday. That's much better than the 130,000 Wall Street economists expected.

Senators took aim Thursday at Federal Reserve Chairman Ben Bernanke, linking him to rising unemployment, regulatory lapses that led to the financial crisis and the corporate bailouts that followed. And some warned that the Fed's record-low interest rates could feed a new speculative bubble. Bernanke remained stoic during the roughly five-hour hearing by the Senate Banking Committee, which is weighing his nomination to a second four-year term. He acknowledged some mistakes but defended his record, saying that without the Fed's bold action, the crisis would have been "markedly worse."

The average interest rate for a 30-year mortgage dropped to a record low of 4.71 percent this week, pushed down by an aggressive government campaign to reduce borrowing costs. The average interest rate for a 30-year mortgage dropped to a record low of 4.71 percent this week, pushed down by an aggressive government campaign to reduce borrowing costs. The rate, published Thursday by Freddie Mac, is the lowest since the mortgage finance company began tracking the data in 1971. The previous record of 4.78 percent was set during the week ending April 30 and matched last week.

Regulations affecting Dane County's shoreland properties have been in the works for six years and are still two or three years from implementation, but opponents see this week's public hearings as the critical moment to take a stand. The project, known as the Dane County Waterbody Classification Initiative, is intended to protect Dane County's waterways from the impacts of development. The first phase of the project categorized Dane County's lakes and streams into urban, developing and rural waters. The second phase, which is the subject of Dane County Lakes and Watershed Commission public hearings Tuesday in Verona and Wednesday in Sun Prairie, makes recommendations for how the county should regulate properties bordering those bodies of water. The proposed changes have been controversial because they would affect incorporated cities and villages. Forbes McIntosh, lobbyist for the Dane County Cities and Villages Association said his members fear the potential costs of these requirements.

Stewardship Borrowing for the segment, which will link the Capital City Trail with the Badger State Trail, providing a biking path from Madison to the Illinois border. Risser said the goal is to complete the trail by July 2010. "I'll be on there, you bet," he added. The brains behind the Apex real estate empire claims it all started with a paper route. When Bruce Bosben was 13, he began delivering The Capital Times to homes on Madison’s west side. Bosben was eventually handling six different routes with the help of his family and in 1983 was named “CT Carrier of the Year.”

Madison-based Anchor BanCorp Wisconsin Inc., which has suffered significant losses during the recession and financial industry crisis, announced that it will sell 11 AnchorBank branches in northwestern Wisconsin to Eau Claire-based Royal Credit Union. The transaction is subject to regulatory approval and customary closing conditions and is expected to be completed in the first quarter of calendar 2010. Financial terms of the transaction were not disclosed. Under the terms of the agreement, Royal Credit Union will assume approximately $177 million in deposits and receive a corresponding amount in loans, real estate, and other assets. AnchorBank CEO Chris Bauer said that the sale will shrink Anchor's assets while enhancing its capital and ability to address asset quality and other obligations. The sale will move AnchorBank closer to compliance with an Office of Thrift Supervision supervisory agreement that calls for higher capital ratios. "This transaction with RCU allows AnchorBank to make significant progress toward our goal of increasing our capital ratios in order to continue to address the challenges we're facing in this economic climate," said Bauer. "Royal Credit Union has an outstanding legacy of service in the communities of central and western Wisconsin, and we are confident that these branch customers will be in excellent hands with this distinguished hometown institution."

After a yearlong stall, construction is under way on an $84 million senior housing project in Milwaukee being coordinated by a Madison-based consulting firm. But it sure wasn’t easy. Securing financing was the main hurdle for the project, which hit a brick wall in October 2008. That’s when the usual lending markets for senior housing construction — and most any other kind of building — froze up, said Craig Witz, principal and lead consultant for Madison’s Witz Co. “I’ve never experienced that before and hopefully never will again,” said Witz, who has more than 20 years’ experience coordinating senior housing developments nationwide.

The Dane County Board approved its $489 million budget Monday night after four hours of debate and discussion that had no impact on the bottom line. The $460 million operating budget, up $9.3 million, was the smallest increase in the last five years, a reflection of cuts to employee salaries and social service agencies. A large contingent of Dane County sheriff's deputies and social service agency supporters attended, but were not allowed to speak. The $29 million capital budget was down $12.9 million from 2009, largely from deep cuts in conservation borrowing. The most expensive item is the county's new public safety radio system. The board voted 22-13 with two absent to support the operating budget. The opposition decried the county's property tax levy increasing 7.9 percent to $128.6 million. Sup. Patrick Miles, of McFarland, said he was particularly disturbed by the general fund reserve being set at $2 million, rather than above $10 million as it has been in the past.

Badger Prairie County Park in Verona could grow in size and scope of activities, if a master plan for the heavily-used park comes to fruition. The master plan includes a new shelter, a new small dog exercise area, improved access to the park through new driveways and pedestrian paths, more recreational trails, a new playground and a huge community garden. Parks planning staff has finished the preferred alternative master plan for the park on Verona's east side, and will roll out the recommendations at a public information meeting on Dec. 3 at 7 p.m. in Verona City Hall.

The Building Commission unanimously voted Wednesday to approve funding for the final section of the Badger State Trail.Sen. Fred Risser, D-Madison, called the vote the "final legislative act" needed to complete the trail, which the commission hopes will attract 200,000 to 250,000 users each year. Wednesday's action allows for $497,000 in

The U.S. economy is in the midst of a “U-shaped” recovery that will continue to be sluggish in 2010 but pick up steam by 2011 and beyond. That was the consensus outlook of a national panel of experts speaking at the BizTimes Commercial Real Estate & Development Conference last week at Potawatomi Bingo Casino. More than 400 people attended the conference. For the short term, the panelists expect a “jobless recovery.” They are encouraged that the nation’s gross domestic product improved in the third quarter. Employment will be the next lagging indicator, followed by occupancy rates at properties. The panelists are most bullish on the industrial space market, and they said that should bode well for the Milwaukee region, rather than the coasts. “I think Milwaukee and the Midwest in general is the best-positioned region in the United States. I would be rather upbeat. It will be slow, but it will be steady,” said Rhyne Brown, executive vice president of client development at NAI Global.

Wal-Mart Stores Inc. will hold a groundbreaking ceremony today to celebrate the start of construction of a new Wal-Mart supercenter store in Muskego. Bentonville, Ark.-based Wal-Mart Stores Inc. will hold a groundbreaking ceremony today at 11 a.m. to celebrate the start of construction of a new Wal-Mart supercenter store in Muskego. The 156,400-square-foot store, which will include a grocery department, will be built southeast of Moorland Road and College Avenue. The site is in Muskego, just south of the New Berlin city limits. Extensive site work has been done for the Wal-Mart project, but the groundbreaking ceremony will mark the start of the building construction. The construction project is expected to be complete in the fall of 2010. About 320 people will work at the store.

RSC & Associates is seeking up to $30 million in bond financing through the city of Milwaukee for its long delayed development in the Park East corridor. Oak Park, Ill.-based RSC & Associates is seeking up to $30 million in bond financing through the city of Milwaukee for its long delayed development in the Park East corridor. The tax-exempt redevelopment revenue bonds would be issued through the city’s Redevelopment Authority, providing a low interest financing source for RSC. The Redevelopment Authority will consider the request at its Nov. 19 meeting. RSC chief executive officer Rich Curto could not be reached for comment.According to documents filed with the city, RSC plans to build a 250,000-square-foot development with 121 apartments, five townhouses, a parking structure and 7,800 square feet of retail space on a two-acre vacant site bounded by East Lyons Street, East Ogden Street, North Jefferson Street and North Milwaukee Street.

Santa Ana, Calif.-based Corinthian Colleges Inc. plans to open its first Wisconsin campus in the Park East corridor in downtown Milwaukee. The college will lease 45,000 square feet of space in the Haymarket Square development, located northwest of North 6th Street and McKinley Avenue. The developer for Haymarket Square is McKinley Avenue LLC, which is seeking up to $11 million in low interest redevelopment revenue bonds through the city of Milwaukee’s Redevelopment Authority, which will consider the proposal on Nov. 19. The registered agent for McKinely Avenue LLC is Dan Druml, the Milwaukee franchisee for Paul Davis Restoration. Druml could not be reached for comment. Corinthian Colleges is one of the largest for-profit, post-secondary education companies in North America and focuses on career-oriented students. It has about 93,000 students enrolled in about 90 schools in the U.S. and about 20 schools in Ontario. Corinthian Colleges' institutions operate under the Everest College and the WyoTech (for automotive training) brand names. The majority of Corinthian's students are enrolled in associate's degree or diploma programs, but the schools also offer bachelor's and master's degrees. Corinthian Colleges also offers 20 online degrees through Everest College

Dan Druml, the Milwaukee franchisee for Paul Davis Restoration, plans to build a 40,000-square-foot, multi-tenant office and industrial facility at 1966 S. 4th St., Milwaukee. Druml is seeking up to $3 million in low interest redevelopment bonds through the city for the project. The Redevelopment Authority will review the proposal on Nov. 19. The building will have up to 5 tenants, which could include an expansion of the workforce at Paul Davis Restoration & Remodeling Inc., which is located adjacent to the site. The company plans to add 19 jobs in the next year and an additional 23 jobs during the following three years. Salaries are $60,000 for managers, $80,000 for sales positions, $37,000 for administrative positions and $60,000 for production jobs.

Waukesha-based Inlanta Mortgage announced it is now offering 203(k) loans and that it has hired an expert to assist borrowers with the specialized program. Cassy Humberger has joined the company as Branch Manager and is working out of Inlanta Mortgage’s Carmel, Ind. office. An FHA 203(k) loan is a program that has been specifically designed to help with the financing of properties that need to be updated, rehabilitated or expanded. With this program, a borrower is able to fix up his or her existing home or purchase a new home that is in need of repair. “With the number of foreclosures on the market, especially those homes that need a little fixing up, an FHA 203(k) loan is an excellent program,” said Jean Badciong, chief operating officer at Inlanta Mortgage. “Since this is such a specialized loan, we felt it was essential to find someone with experience in this program to assure everyone involved in the process, especially our borrowers, are properly educated on how this program works. In addition, Cassy is training our existing loan officers that would like to offer this program, but are not familiar with all of the details.”

Oconomowoc-based Rocky Rococo announced that it plans to open 3 restaurants in Wisconsin, including two in the Milwaukee area. The Milwaukee area restaurants will be in Southridge Mall in Greendale and at 8300 W. Brown Deer Road, Milwaukee. The third restaurant will be at a mall in Green Bay. The Brown Deer Road restaurant, which will include a drive-thru window, will open in December and the Southridge Mall restaurant will open in February. Rocky Rococo will create a total of 50 to 55 jobs by opening the two Milwaukee area restaurants. The company currently has 35 locations in Wisconsin. “We are looking to grow in Wisconsin, but at a pace that makes sense,” said Thomas (Trey) R. Hester, III, vice president at Rocky Rococo. “We are doing a lot right now to modify our look in stores and online, but we won’t mess with our recipe for success. We offer convenient, hot, fresh food at a fair price.”

The restaurant will occupy an 1,800-square-foot space at 2035 E. North Ave., near the corner of North and Prospect avenues. Brian Gingrass and Jon Thoresen of Commercial Property Associates represented Ian’s in brokering the lease. “We have been getting requests from Milwaukee residents to come and set up an Ian’s there since our first store opened in 200l,” says Ryan Donovan, general manager. “We just needed to find the right neighborhood and have an experienced crew that was willing to move so we are ready to go when we open the doors.”The restaurant will have seating for 40-50. It will be open for lunch at 11 a.m. and stay open until bar time. “People know us as great bar food, but really, we are great food all the time,” said Lexy Frautschy, managing partner. “We work with a lot of local farmers and producers to get the freshest items we can, prep our toppings in-house daily, and buy most of our salad station ingredients from the farmer’s market in the summer. However, it just so happens that our mac n’ cheese tastes especially great at 2 a.m.” The delivery zone for the restaurant will encompass the upper and lower east side of Milwaukee. The zone will include the UW-Milwaukee and MSOE campuses. Ian’s Pizza has been featured on Bizarre World with Andrew Zimmern for the Travel Channel and in Sports Illustrated On-Campus Magazine.

Wisconsin 's Democratic Party can finally exhale after Milwaukee Mayor Tom Barrett made it official after months of deliberation: He will run for Wisconsin governor as a Democrat in 2010. Barrett made the announcement official on Sunday in front of his home in Milwaukee. "I'm running because I love my family. I love this state. And I'm concerned about its future," Barrett said. He says he deferred his decision until he was sufficiently recovered from the attack that left him with head and hand injuries three months ago. The 55-year-old Barrett says he'll build his campaign around the issues of jobs, education and the economy. He says businesses and government need to work together to restore the economy. He says he'll outline specific plans for moving forward in the coming months.

As advertised, Milwaukee County Executive Scott Walker used his veto Monday to cut $10 million in spending the County Board added to his 2010 budget and to thwart the County Board's efforts to kill several privatization measures. He also used vetoes to revive $1-an-hour lakefront parking meters, add more furlough days for county workers next year, cut funding for day treatment mental health services and eliminate 39 parks worker jobs. He called his vetoes "surgical" and said they were designed to avoid a tax levy increase for next year. If his vetoes are sustained, the county's property tax levy would remain at the same $257 million level for 2010.

The Natural Resources Board has modified zoning regulations that members approved in June as part of the first major update of shoreland development standards in 40 years. One key change involves setting standards closer than before - within 300 feet of a lake, river or stream for the acceptable square footage of roofs, driveways and other hard surfaces. The revised regulations adopted in June would have required properties within 1,000 feet of a water body to meet the limits. Hard surfaces can cause polluted runoff to harm waterways. A second change limits the expansion of an existing home closer than 75 feet from the water. Under Friday's action, a property owner can build a second story, or build up vertically, if an existing structure is at least 35 feet away from the water. But an owner can't expand the building's footprint horizontally within 75 feet of the shoreline - something that would have been allowed earlier. An expansion more than 75 feet from the water is still permitted. The changes came after modifications were requested by the Assembly Natural Resources Committee, which reviews DNR regulations.

Bentonville, Ark.-based Wal-Mart Stores Inc. will hold a groundbreaking ceremony today at 11 a.m. to celebrate the start of construction of a new Wal-Mart supercenter store in Muskego. The 156,400-square-foot store, which will include a grocery department, will be built southeast of Moorland Road and College Avenue. The site is in Muskego, just south of the New Berlin city limits. Extensive site work has been done for the Wal-Mart project, but the groundbreaking ceremony will mark the start of the building construction. The construction project is expected to be complete in the fall of 2010. About 320 people will work at the store.

Oak Park, Ill.-based RSC & Associates is seeking up to $30 million in bond financing through the city of Milwaukee for its long delayed development in the Park East corridor. The tax-exempt redevelopment revenue bonds would be issued through the city’s Redevelopment Authority, providing a low interest financing source for RSC. The Redevelopment Authority will consider the request at its Nov. 19 meeting. RSC chief executive officer Rich Curto could not be reached for comment. According to documents filed with the city, RSC plans to build a 250,000-square-foot development with 121 apartments, five townhouses, a parking structure and 7,800 square feet of retail space on a two-acre vacant site bounded by East Lyons Street, East Ogden Street, North Jefferson Street and North Milwaukee Street. Later, RSC plans to add two hotels, a 128-room Hyatt Place boutique hotel and a 102-room Hyatt Summerfield Suites extended stay hotel, to the project. RSC owns the property and the project was approved by the city, but it has been delayed since 2008 because it could not obtain financing after the financial industry meltdown.

A ribbon cutting ceremony was held last week to celebrate the opening of Lake Country Health and Rehabilitation and Lake Country Landing, an upscale skilled nursing and assisted living community located at 2195 N. Summit Village Way in the Town of Summit. The skilled nursing facility has 56 private and 22 semi-private suites. The assisted living center offers 60 units including one-bedroom and two-bedroom residences, complete with living, dining and kitchenette areas. Lake Country Landing and Lake Country Health and Rehabilitation’s parent company is Milwaukee-based Extendicare Health Services, Inc. “Our top priority is to help people live better by providing truly exceptional, high quality, resident-centered care in a safe and nurturing environment, where our residents can enjoy a rewarding quality of life,” said Tim Lukenda, President and CEO of Extendicare Health Services, Inc. “Lake Country Campus is an exceptional addition to our family, and we look forward to serving the many individuals and families seeking exemplary care in this community.”

Dairyland Greyhound Park in Kenosha will close at the end of this year. The dog track opened in 1990. It is the last dog track operating in Wisconsin. The dog tracks in the state struggled to compete with casinos operated by American Indian tribes. Dairyland has lost millions of dollars in recent years. "It's a sad day for the Dairyland family and Kenosha community," said Dairyland executive vice president Roy Berger. "We looked at every opportunity to apply for racing dates in 2010, but there was no longer a way to remain a viable entity ... The gaming landscape in the state has been slanted against pari-mutuel racing from the inception of Native American casinos. It has been virtually impossible for us to compete fairly. Every time we asked the legislature or state gaming officials for consideration with games to help make us competitive, we have been rebuked. Finally, we have reached the point after seven years of steading escalating losses where we just can't see any viability with a single out of favor product and have been forced to make this decision."

Brookfield-based Ridgestone Bank, the second leading USDA lender in the country, recently made nearly $21 million in USDA-backed loans to businesses in Wisconsin and Minnesota. The loans were made to Racine-based Johnson Outdoors and Albany, Minn.-based Avon Plastics, and were made to finance growth and retain jobs, the bank said. The American Recovery and Reinvestment Act of 2009 (ARRA) provided the USDA with nearly $28 billion in funding, which is expected to generate about $52 billion through several loan guarantee programs. "Our focus on government-guaranteed lending has helped us to work with the USDA to support our business customers, says Eric Manke, senior vice president and commercial team manager in Brookfield. "The ARRA funds made available through the USDA provide a much-needed resource for businesses with locations in rural areas

PNC Financial Services Group Inc., the Pittsburgh-based corporate parent of PNC Bank, has announced that its conversion of former National City Bank branches in Wisconsin will be completed by June, 2010. Last week, PNC finished converting 240 branches in Pennsylvania, Ohio and Florida. The former National City branches opened as PNC Bank branches last Monday. “We wanted a seamless transition for our customers and I believe we have achieved that goal based on the teamwork of our employees and the investments being made,” said Thomas K. Whitford, the bank’s vice chairman and leader of the conversion effort. “The tremendous leverage we expected from this transition is beginning to benefit customers and have a positive effect on our performance.”

West Allis-based Merge Healthcare expects to raise more than $27 million in direct stock offerings with selected institutional investors. The transaction is expected to close Wednesday, and consists of the sale of almost 9.1 million shares of Merge’s common stock at $3 per share. The company intends to use the funds raised from the offering to repay senior debt and for working capital. Chicago’s William Blair & Co. acted as lead placement agent, while Craig-Hallum Capital Group and Robert W. Baird & Co. served as co-placement agents.

Sales in the four-county metropolitan Milwaukee saw a significant boost in October as expiration of the First-Time Homebuyer Tax Credit was on the horizon, prior to approval of an extension, according to housing statistics released by Metro MLS Inc. Overall sales in the region climbed 33.9 percent in October compared with the same month a year ago. In October, it was clear that the price decreases of the last year combined with low interest rates, abundant choices, and the tax credit, motivated buyers to take advantage of the market, the Metro MLS said. Milwaukee County led the region with a seventh consecutive month of positive sales, up 42.7 percent over the sales in October of 2008. Waukesha County saw its first double-digit increase in a long time with a 22.3-percent jump from the year earlier. Washington County also jumped 37.9 percent over 2008, its second double-digit increase in a row.

Wisconsin 's unemployment rate dipped slightly in October to 7.6 percent, its lowest point so far this year. The state Department of Workforce Development reported Thursday that the rate was down just one-tenth of a percentage point from previous month. However, compared to the same month a year ago the rate was 3.2 percentage points higher. Unemployment in the state has been declining since June. Over the last 12 months, Wisconsin has lost nearly 130,000 jobs. The national unemployment rate last month was 9.5 percent.

Madison is ranked 63rd in the annual Milken Institute Best Performing Cities Index, up from 90th last year. The report ranks U.S. metropolitan areas by how well they are creating and sustaining jobs and economic growth. The components include job, wage and salary and technology growth. The Austin, Texas, area was ranked first and Flint, Mich., last in the list of 200 areas. The Milwaukee and Waukesha area was ranked at 151.

A billing and collection service for all federal veterans treatment locations in a multi-state area will open in Middleton next year, bringing about 220 new jobs to the area, officials announced Tuesday. The Veterans Health Administration signed a 20-year lease for its North Central Patient Account Center that will be housed in the former Full Compass Systems facility at 8001 Terrace Ave. in Middleton.Loretta Gulley, director of the North Central CPAC, said about 150 existing jobs in the Middleton area will be part of the 370 jobs at the new consolidated center. The new facility is expected to open in the late summer or fall of 2010 and will consolidate offices in Michigan, Ohio, Indiana, Illinois and Wisconsin. People doing these jobs in other states will be offered a different positions and there should be “no job loss,” Gulley said.

As the number of troops returning from military service in Iraq and Afghanistan — and falling into homelessness — rises, the federal government is revamping programs to help them stabilize their lives and the results are visible already in Madison. A major example is the official opening this week of a 24-unit single-room-occupancy transitional housing facility operated by Porchlight, Inc. It’s a case in point of the kind of community partnerships the Department of Veterans Affairs is trying to cultivate across the country. Not only does the facility add newly renovated housing stock for homeless veterans to the community, but it offers quick access to the VA’s extensive support services that will give veterans a fighting chance to beat demons like addiction and mental illness, common factors in homelessness.

After hearing strong public support and protest, the Madison City Council on Wednesday preserved up to $16 million in public assistance for a proposed $93 million redevelopment of The Edgewater hotel in the 2010 capital budget. In doing so, the council gave Mayor Dave Cieslewicz his second major capital budget victory. The council on Tuesday agreed to the mayor's financing plan for a $37 million central library at North Henry and West Washington Streets. The council approved a $193.6 million capital budget on a voice vote. "I think this really is a historic capital budget that people will remember," Cieslewicz said.

Three very young companies - all from outside Wisconsin - won the Elevator Pitch Olympics in Madison on Wednesday. All three said they would consider moving to the state, said Tom Still, president of the Wisconsin Technology Council, which organized the contest. All three said they would consider moving to the state, said Tom Still, president of the Wisconsin Technology Council, which organized the contest. It capped off the Wisconsin Technology Council's two-day Wisconsin Early Stage Symposium, which drew about 500 attendees to the Monona Terrace Community and Convention Center.

Wisconsin existing-home sales increased in the third quarter for the first time since the recession began nearly two years ago, while the recent extension and expansion of the federal tax credit for many homebuyers promises additional reason for cheer, despite median sales prices continuing to trail last year’s numbers, according to a report Tuesday by the Wisconsin Realtors Association. Sales in Wisconsin were up 5.8 percent in the third quarter compared to the same period last year, similar to the national increase of 5.9 percent from July through September and better than the 5.2 percent increase in the Midwest. "We are finally seeing signs of recovery in the housing market," John Flor, chairman of the WRA board of directors, said Tuesday. "The market saw a real boost." In Dane County, the number of home sales rose 12.4 percent compared to the third quarter of 2008, from 1,631 to 1,834. The median sales price was $206,500, down 5.7 percent from the $219,000 a year ago.

The mayor says he’ll sign the $239.8 million operating budget despite missing his goal of a tax increase of less than 4 percent. The mayor says he’ll sign the $239.8 million operating budget despite missing his goal of a tax increase of less than 4 percent. The Madison City Council early Thursday made only modest changes to Mayor Dave Cieslewicz’s proposed operating budget for 2010, approving a $239.8 million spending plan that raises city taxes $76, or 4.1 percent, to $1,936 on the average $245,000 home. The council took a final voice vote on the operating budget at 1:45 a.m. Thursday after considering 11 proposed amendments, adding $100,000 for community services, $25,000 to help the homeless and $55,200 to keep staff in the Planning Division and Madison City Channel.

Clear Horizons of Milwaukee will finance the project, with state aid, and reap the profits. Dane County's first community manure digester, the first cooperative project of its kind in Wisconsin, will be built and operated by a Milwaukee-based company that plans to finance most of the project itself. By letting Clear Horizons, in partnership with SCC Americas, a global developer of greenhouse gas emission reduction projects, operate the Waunakee community digester, the county is avoiding the financial risks and rewards. "That was important to the farmers (who wanted) a separate company operating the digester," Dane County Executive Kathleen Falk said of the county's decision. "We've chosen this model because Clear Horizons brings significant private dollars." Clear Horizons plans to privately finance everything except a $3.3 million state earmark. The state included $6.6 million in its latest budget for the Waunakee digester and another being planned near Middleton. The county planned to borrow $1.4 million for the project, but now won't have to spend anything to build the first digester.

Finally, after years of delay and frustration, Madison is getting a new central library. The City Council late Tuesday dropped the most serious objections to Mayor Dave Cieslewicz's financing plan for the $37 million, six-story, glass and stone library, meaning construction could start next year. Activist Stuart Levitan summed up sentiment in the chambers, telling the council, "For 135 years the city of Madison has supported its public library. ... If you honor that past, the future will honor you."

Here is the latest statement from Amore Financial, which has 9 braches in the Madison area. "The Office of the Comptroller of the Currency and the Federal Reserve have reviewed AMCORE's capital plan submitted in July and have notified the bank they are not accepting the plan. Rather, the OCC is requiring a Capital Restoration Plan and Disposition Plan be submitted by December 4. The Bank may develop one plan to satisfy both requirements. "The purpose of the Capital Restoration Plan (CRP) is to set forth tactical steps to re-capitalize the bank that also includes levels of capital to be attained during each quarter of each year of the plan. "Positive developments include new tax legislation recently signed into law by President Obama that allows businesses to apply their losses from either 2008 or 2009 to the previous five years. In doing so, they receive a refund from the IRS on the taxes paid in those five years. Previously, the "net-operating loss carry back" (NOL) was allowed for two years. AMCORE will benefit from this change.

Dane County - October Dane County foreclosure filings increased by 1.3% from the number of filings registered in October of 2008, according to data maintained by the Wisconsin Circuit Court. A total of 154 new foreclosures were filed in October compared to 152 in October of 2008. Although up only slightly from the same month last year, this October's total is Dane County's third highest monthly total dating back to January of 2005. Statewide foreclosures increased by 19% from the levels of 2008. A total of 25,075 filings were initiated year-to-date compared to 21,043 in 2008. The following graph compares Dane County and Wisconsin year-to-date foreclosure growth through the month of October. The growth rates reflect the percent change from the number of foreclosures registered year-to-date through October of 2008.

Foreclosures filed in Dane County in October were up slightly from last year, and statewide foreclosures dropped a bit, though the actual numbers filed still represent big increases from a few years ago, according to court records compiled by DaneCountyMarket.com. A total of 154 new foreclosures were filed in Dane County in October, two more than in October 2008, for an increase of 1.3 percent. However, this October's total was still Dane County's third highest monthly total since January 2005. Statewide, foreclosures dropped by 2.9 percent from a year ago, with 2,623 foreclosures filed in October compared to 2,701 in October 2008. Year-to-date through October, foreclosure filings continued to show large percentage increases in Dane County and statewide. In Dane County, 1,421 new foreclosures were filed through October, for a 31 percent increase over the same time period a year ago, when there were 1,082.

The Milwaukee County Board adopted a precariously balanced 2010 budget early Tuesday that sets aside nearly all of County Executive Scott Walker’s privatization efforts, ditches a proposed “wheel tax” and raises the property tax levy 3.8%, or nearly $10 million, to $267 million. The budget approved by the board included a set of employee concessions with a much lower price tag than those Walker had wanted. Like Walker’s, the ones the board approved have not yet been bargained with unions. The budget approval came on a narrow 10-9 vote from mostly glum and exhausted supervisors. The final vote came at 1:30 a.m., 17 hours after the board started its budget review. “I’m not feeling too good about the budget,” said County Board Chairman Lee Holloway. He chided fellow supervisors who voted against the budget. “They don’t have the will to do the right thing,” Holloway said. He said he was disappointed that a $20 motor vehicle registration fee, or wheel tax, was voted down. That would have raised $9 million and provided a fairer way to spread the costs among the public, Holloway said. If the wheel tax had passed, it could have reduced the levy increase to under 1%.

Building Systems has told state officials it intends to eliminate up to 500 jobs at its three divisions in Mazomanie and Marshfield. The state Department of Workforce Development said as many as 352 of the jobs would be lost in Mazomanie, home of custom home builder John Wick Homes and Wick Buildings, which makes agricultural and commercial buildings. The company's Marshfield-based manufactured homes division and John Wick Homes are being shut down and stopped taking orders this week, Wick Building Systems President and CEO Jeff Wick said in a letter sent Tuesday to builders. The closings are expected to eliminate about 259 jobs. In his letter, Wick said employees with Wick Buildings received provisional notice that their jobs might be lost. That notice covered 222 employees; an additional 19 front-office jobs in Mazomanie also could be lost. "Unfortunately, our company is not immune to the severe and ongoing recession that has hit the housing market in Wisconsin and three neighboring states," Wick wrote in the letter to builders.

The Blue Harbor Resort & Conference Center in Sheboygan might go up for sale. Kim Schaefer, chief executive officer of Blue Harbor’s owner, Great Wolf Resorts, said no decision has been made, but the resort along the Lake Michigan shores “hasn’t performed as we expected” since it opened in 2004.“We love the asset,” Schaefer said in an interview. But she said it was a risk to build the $54 million, 182-suite, indoor waterpark resort and conference center in a newly created tourism district. “It’s very difficult in that market being an only draw,” she said. Great Wolf took a $24 million non-cash impairment charge related to Blue Harbor during the third fiscal quarter, and it was a factor in the Madison-based indoor water park development company’s $42.1 million net loss for the period that ended Sept. 30.

You may have noticed this bon mot from Denver Mayor John Hickenlooper after Republic Airways Holdings Inc. announced Tuesday it would shift airline jobs from Denver to Milwaukee. " Milwaukee has something we don't: free hangar space," Hickenlooper said. "We offered every incentive conceivable to Republic Airways, but we can't pay their rent for them." OK, that would imply that Indianapolis-based Republic, which owns both Midwest Airlines and Denver-based Frontier Airlines, doesn't pay a dime for its hangar space at Mitchell International Airport. But that's not true. Midwest actually owns about half of its hangar space, with the older facility built in 1988. The newer hangar, built in 1998, is owned by Milwaukee County, but Midwest does pay rent for that space, said Jim Reichart, Midwest's director of advertising and brand. (I'm still trying to run down the exact amount. Frontier pays $2.5 million annually for its hangar at Denver International Airport.) Midwest's newer hangar cost $7.9 million to build, and was financed with variable-interest bonds issued by the City of Milwaukee. Midwest’s variable rent payments are based on the city's interest rates over the 32-year lease term.

Midwest Airlines isn't returning to its glory days of serving gourmet meals on china or providing extra-wide seats. But faced with increased competition from low-fare carriers, Midwest's new owner announced Tuesday that it will double its local workforce, adding up to 800 jobs in Milwaukee and Oak Creek over the next year. "This marks the rebuilding of our business here," said Bryan Bedford, chief executive officer at Republic Airways Holdings Inc., Midwest's corporate parent. Under previous owner TPG Capital, Midwest cut service from Mitchell International and other airports by about 40% in 2008 after fuel prices spiked and demand for air travel declined. Indianapolis-based Republic, which bought Midwest on July 31, has restored non-stop flights from Milwaukee to Louisville, Ky., and Los Angeles. Republic plans to add more Midwest flights in 2010, including Tuesday's announcement of service from Milwaukee to Raleigh/Durham, N.C., and San Francisco beginning in April.

The headquarters for University of Wisconsin-Milwaukee's new School of Freshwater Sciences would cost an estimated $50 million to develop at the university's Great Lakes WATER Institute, according to a newly drafted proposal. That estimate is part of a preliminary construction spending proposal that UWM officials will soon submit to the UW-System Board of Regents. The proposal will undergo changes before it's reviewed by the regents. The proposal to put the freshwater school at the institute, which overlooks the harbor at 600 E. Greenfield Ave., was termed a "place holder" by Tom Luljak, vice chancellor of university relations. Still, it's yet another indicator of what I have previously reported (here and here): the institute is the likely location of the school's headquarters now that the former Pieces of Eight site is no longer under consideration. The freshwater school building is described in the construction spending proposal as the first phase of an addition to the institute

A proposal for a 32-unit "green" apartment building in Milwaukee's Bay View neighborhood will have a city Plan Commission hearing today at 1:30 p.m. Citywide Development is seeking zoning approval for a building to be developed west of S. Robinson Ave. and north of E. Ward St. That site is about a block west of S. Kinnickinnic Ave., between E. Becher St. and E. Lincoln Ave. Deb Lindner, of Citywide Development, told me recently that the one- and two-bedroom apartments will include renewable energy systems and other environmentally sustainable features. They will be marketed mainly to people who want to live in a "green" development. Here are some renderings filed with the Department of City Development.

University of Wisconsin-Milwaukee officials remain interested in using the Columbia Hospital complex for student housing, according to the university's new preliminary construction spending proposal. That proposal calls for spending $66.1 million to buy and renovate the hospital buildings, which are next to UWM's main campus. The plan, which will be revised before being submitted to the UW-System's Board of Regents, says the hospital proposal "represents a major opportunity to address a wide range of campus space deficiencies." "Yes, of course, we're interested in the property," said Tom Luljak, vice chancellor of university relations. "We always have been." The Columbia plan is a "place holder" within the larger spending proposal, and could change, Luljak said

For at least 40 years, the Pewaukees have been talking about a possible marriage, and a decision on whether they tie the knot or break the engagement could come in the spring.City and village officials are setting the stage for an April referendum to let voters decide if the communities should merge. There's even some discussion of the two taking the last name "Lake," so the newly formed municipality would be known as Pewaukee Lake. That talk is a bit premature, says David Swan, a member of the Pewaukee Merger Advisory Committee and a former City of Pewaukee alderman. "Someone floated 'City of Pewaukee Lake.' Some people like it. Some people were saying, 'Forget that. Let's just call it Pewaukee.' It seems like the best thing would be to just stick with Pewaukee," said Swan, a Waukesha County supervisor.

Federal and state regulators are planning to remove more than 4 pounds of contaminated sediments from the Milwaukee River and Lincoln Creek at million. an estimated cost of $20.2 million.The sediments in Lincoln Park on the city's north side represent the largest single source of pollution from polychlorinated biphenyls, or PCBs, in the river and Milwaukee's harbor. The project - set to start next year - is the latest effort in Wisconsin to clean industrial chemicals from waterways flowing into Lake Michigan. PCBs were removed this fall from the Kinnickinnic River; last year, PCB-laden sediments were taken out of the Milwaukee River in front of the Blatz Pavilion in Lincoln Park. And one of the largest remediation projects in the country continues on the Fox River in Green Bay, where paper companies are financing an estimated million cleanup of PCBs. $875

Suppliers are expressing interest in supplying wood reside and other forms of biomass for a potential cellulosic ethanol plant at the shuttered paper mill in Niagara. That’s the conclusion of a feasibility study conducted on behalf of New North Inc., the economic development group for an 18-county region in northeastern Wisconsin. New North has had preliminary discussions with several different investors concerning the possibility of opening a cellulosic ethanol plant at the former NewPage paper mill, said New North spokesman Josh Morby. The mill shut down last year, resulting in the loss of 300 jobs. The study found that wood, whether wood residues or logs not now being shipped because of the shutdown of two saw mills, would provide the best option for the plant in the short term. Over the long term, the study suggests creating switchgrass supplier cooperatives to supply the plant with switchgrass.

Home sales in Wisconsin were up 5.8 percent in the third quarter compared to the third quarter of 2009. Home sales in Wisconsin were up 5.8 percent in the third quarter compared to the third quarter of 2009, according to a new report from the Wisconsin Realtors Association. That is ahead of the 5.2 percent increase in the quarter for the Midwest and just behind the 5.9 percent increase for the entire U.S.The third quarter increase is the first quarterly increase in Wisconsin home sales since the fourth quarter of 2007. “We are finally seeing signs of recovery in the housing market,” said John Flor, chairman of the board for the Wisconsin Realtors Association. “This deep and lengthy recession has kept many buyers on the sidelines for the better part of two years.” Low mortgage rate and the tax credit for first time home buyers has stimulated the market, Flor said. “With mortgage rates in the 5 percent range and the tax credit putting up to $8,000 in the pockets of first time home buyers, the market saw a real boost,” he said.

With jobless claims remaining high in the state, Wisconsin's unemployment fund faces a projected deficit of nearly $2.8 billion by the end of 2011 -- more than twice the amount forecast earlier this year. The projection delivered to lawmakers Tuesday means more state borrowing from the federal government to keep making payments to workers and possible higher taxes for employers and lower benefits for the unemployed to help the state pay the debt off... One change being pushed by the state’s business lobby to help bridge the shortfall would be to force laid-off workers to forgo their first week of unemployment claims. That promises a big fight on the advisory council that helps set the state’s unemployment insurance policies. “My position is actually no way. When somebody’s out of work they’re hurting more than any other time,” responded Dennis Penkalski, a labor representative on the advisory council. “It’s almost like a sacred cow.”

Wisconsin Department of Administration (DOA) Secretary Michael Morgan made the following statement regarding a report released today by the Pew Center on States that says Wisconsin is among nine states to follow California on a path to financial collapse. In no way can Wisconsin be compared to the nation's most financially troubled states, especially California. While Wisconsin has been affected, like all states, by the national economic downturn, we have balanced our budget by cutting spending and raising revenues as needed. In addition, recent reports have shown that many other states have large revenue shortfalls in the current fiscal year. But Wisconsin does not. The Pew Center report is factually inaccurate. From the outset, the report is fundamentally flawed. It is not true that the recession has hit Wisconsin harder than other states. While we have taken hits like everyone else, Wisconsin has fared much better than other states and manufacturing is doing better in Wisconsin compared to our neighboring states. While Wisconsin’s unemployment rate increased during the national economic recession, again like all states, it is now improving and is more than two percentage points below the national average of 10.2 percent. Finally, the report fails to take into account many of the good budgetary practices of Wisconsin. For the first time in 32 years, the state’s budget was finished on time. In spite of tough times, the budget the governor signed cut spending from state general fund taxes by 2.5 percent and includes a $270 million surplus for the period that ends July 1, 2011.

Wisconsin residents should brace for more tax increases and service cuts, based on an analysis that rated the state's budget predicament among the 10 worst in the country. The rise in unemployment and a steep drop in revenues from 2008 to 2009 suggest a dire future for a state that has struggled to fill perennial budget shortfalls, according to the Pew Center on the States and its report, "Beyond California: States in Fiscal Peril." Wisconsin residents should brace for more tax increases and service cuts, based on an analysis that rated the state's budget predicament among the 10 worst in the country. The rise in unemployment and a steep drop in revenues from 2008 to 2009 suggest a dire future for a state that has struggled to fill perennial budget shortfalls, according to the Pew Center on the States and its report, "Beyond California: States in Fiscal Peril." The top-10 ranking puts Wisconsin in a dubious group with California, a state that issued IOUs to contractors earlier this year. Wisconsin is ranked ninth-worst, tied with Illinois. "A challenging mix of economic, political and money-management factors have pushed California to the brink of insolvency," said Susan Urahn, managing director of the Pew Center on the States. "But while California often takes the spotlight, other states are facing hardships just as daunting."

Fueled by a tax credit for first-time buyers, sales of existing homes in the metro Milwaukee area soared 33.9% in October compared with the same month last year. It was the fifth consecutive month that home sales have risen from the same month in 2008, a trend area real estate professionals said may be an early sign of recovery in a market that has struggled amid a nationwide housing slump. While the big leap in October sales clearly was driven by buyers' concerns that a tax credit of up to $8,000 for first-time home purchasers was about to expire, some said the upward trajectory of house deals may be setting the stage for a more-sustained market going into the new year. The 1,464 home sales in October were up about 12% from September. "There are definitely signs of life, but we are not back to average yet. That's all I want is to get back to average," said Bob Baudo, who sells homes in the Waukesha area for Re/Max Realty 100. "I'm a lot more optimistic than I was a year ago going into the winter."

Deadline was Monday; banking company asks for 5-day extension. Anchor BanCorp Wisconsin said it needs more time to file its financial report for the quarter ending Sept. 30. The Madison bank holding company and parent of AnchorBank was supposed to report its results by Monday. Instead, Anchor filed a statement with federal regulators saying it's taking longer than expected "to finalize the collateral reviews and valuation analyses on its loan portfolio and real estate owned in order to ensure proper recognition of revenues, expenses, and loan loss reserve requirements." Declines in real estate values have made the calculations more difficult, Anchor said in the filing. The company is asking for another five days to submit the information. Shares of Anchor stock, which closed Monday at 53 cents, fell to 40 cents in midday trading, a drop of nearly 25 percent.

Federal regulators have rejected Amcore Financial's plans to strengthen its finances and have given the Rockford bank one month to raise money or prepare to merge or be sold. Federal regulators have rejected Amcore Financial's plans to strengthen its finances and have given the Rockford bank one month to raise money or prepare to merge or be sold. Both the Office of the Comptroller of the Currency and the Federal Reserve Board sent letters to Amcore last week saying its plan, submitted in June, to raise capital and put its finances on firmer footing is not acceptable and is not likely to succeed, Amcore revealed in a Securities and Exchange Commission filing Monday. Amcore has until Dec. 4 to submit a new financial plan to the Comptroller of the Currency as well as a plan for the potential sale or merger of the bank. "The company and the bank are diligently continuing to work with their financial and professional advisers in seeking qualified sources of outside capital and in achieving compliance with the requirements," Amcore wrote in its filing Monday. It said failure to submit an acceptable plan or restore capital to an appropriate level "may result in additional enforcement actions by the regulators, including the appointment of a receiver." Amcore has five branches in Madison and recently sold four other southern Wisconsin bank branches.

The federal budget deficit has surged to an all-time high of $1.42 trillion as the recession caused tax revenues to plunge while the government was spending massive amounts to stabilize the financial system and jump-start the economy. The imbalance for the budget year ended Sept. 30, more than tripled last year's record. The Obama administration projects deficits will total $9.1 trillion over the next decade unless corrective action is taken. As a portion of the economy, the budget deficit stood at 10 percent, the highest since World War II, according to government data released Friday. President Barack Obama has pledged to reduce the deficit once the Great Recession ends and the unemployment rate starts falling. But economists worry the government lacks the will to make the hard political choices to cut spending and raise taxes to get control of the imbalances

Wisconsin would be awarded up to $250 million in federal education stimulus funds if it is one of the winners in the federal government's "Race to the Top" contest, the U.S. Department of Education has announced. Wisconsin would be awarded up to $250 million in federal education stimulus funds if it is one of the winners in the federal government's "Race to the Top" contest, the U.S. Department of Education has announced. Guidelines for the $4.35 billion competition, released today, are built around four areas outlined last week by President Barack Obama during his visit to Madison's Wright Middle School: reforming tests and raising standards, bolstering effective teachers and principals, creating data systems to measure student growth, and turning around low-achieving schools. Up to $350 million will be set aside to help states create tests aligned to common sets of standards. The competition for the remaining $4 billion will have two rounds, with grants announced in spring and fall 2010.

Associated Bank has signed an agreement with the U.S. Comptroller of the Currency requiring the bank to improve the risk management of its loan portfolio and devise a three-year plan to maintain specific levels of capital, beginning March 31, 2010.Associated has higher levels of capital than required right now but, in a research note Tuesday, analyst David George, of Robert W. Baird & Co., said he thinks the agreement "increases the probability Associated may need to raise more equity capital" in the future. Based in Green Bay, Associated has 27 locations in the Madison area.

Next year will mark a "transitional but sluggish year on the road to recovery" for the commercial construction industry, according to a forecast released today by Associated Builders and Contractors. “Through late 2008, the industry held up well, but 2009 was a year of retrenchment for many construction sectors, including those associated with private development and municipal projects,” said the trade group's chief economist, Anirban Basu. "However, the financial crisis that began in 2007 and deteriorated significantly in September 2008 also led to the introduction of a variety of policies designed to jump-start the economy, including the American Recovery and Reinvestment Act of 2009, which is now beginning to support water/sewer and road resurfacing construction projects,” said Basu, in a statement. “These segments are positioned to be among the big winners in 2010. Segments that are less closely aligned with federal spending are generally poised for another rough year in 2010," he said. Retail, hotel and office construction spending will be off significantly next year as office vacancy rates continue to rise, hotel occupancy rates continue to fall, and retail activity remains subdued, according to the forecast. Construction related to manufacturing will drop sharply. Institutional construction, including hospital construction, will be soft due to lower state and local spending, and pressure to contain health care costs.

To protect taxpayers, Madison City Council members are challenging Mayor Dave Cieslewicz's spending proposals for a new central library and redevelopment of the Edgewater hotel. Cieslewicz strongly opposes the changes, among 24 proposed amendments to his $185.8 million capital and $239.4 million operating budgets, saying they could delay or kill the new library and Edgewater project. The $37 million library is the city's biggest building project since Monona Terrace, which opened in 1997, and $16 million in proposed tax incremental financing (TIF) assistance for the Edgewater is among the city's largest TIF investments ever. The council will consider the mayor's proposed budgets beginning on Tuesday. Ald. Michael Schumacher, 18th District, and two others are proposing an amendment that would delay binding development and construction agreements on the library until the city secures $6 million in federal tax credits and $4 million of $10 million in private fundraising that are part of the mayor's financing plan. Schumacher and six others are also seeking to erase $16 million in tax incremental financing (TIF) support for the $93 million Edgewater project. Cieslewicz wants the city to use $37 million in borrowing, $6 million federal tax credits and $10 million in private fundraising over three years to pursue the Fiore Cos.' proposal for a six-story library at Henry Street and West Washington Avenue that would be part of a larger redevelopment.

The Hammes Co. will join in a public discussion this week of its revised plans for a $93 million redevelopment of the Edgewater Hotel at 666 Wisconsin Ave. Hammes has accepted an invitation from UW-Madison Real Estate Program to participate in a discussion from 5 p.m. to 6:30 p.m. Thursday in Room 313 at the Pyle Center, 702 Langdon St., next door to the Red Gym. The developer is proposing to restore the original Edgewater, shave two floors off a 1973 addition for a public terrace offering sweeping views to Lake Mendota, build a grand staircase to the waterfront, and erect an eight-story hotel tower. The new hotel would have a total of about 190 rooms.

After hours of discussion about forming a regional transit authority (RTA) in Dane County, the county Board of Supervisors voted 20-16 in favor of a resolution to create a RTA board without a referendum on whether to increase sales tax to finance the body. Opponents said that they wanted the issue to go to a referendum in April next year before the RTA board is formed. More than 100 Dane County residents signed up to speak about the controversial RTA at Thursday night's meeting. "Why are we so afraid to give the information to the public?" asked Jim Paldermacher, a Town of Springfield resident. "Why has there been no debate? Why not a referendum? This is not going to go district by district. We all live in Dane County. We all pay taxes." "(We) need more transit options," said Matt Hill, a Town of Dunn resident. "Please create the RTA so that we the people can hear what our options could be and we the people will then decide whether and how to responsibly fund those options through referendums." The county board finally voted on the issue after 1 a.m. Friday.

If all goes as planned, Madison can get a $37 million, state-of-the-art central library and city taxpayers will pay only $16 million of the cost over 15 years. That's because the financing plan relies on city borrowing plus the sale of the existing library site, federal tax credits, $10 million in private donations, and increased room and property taxes from a second phase of development. But in a worst case scenario, taxpayers would bear more of the cost and the library initially may not be opened or furnished in a way that meets expectations. As a vote nears, City Council members are questioning if the city is getting the best price, if the $10 million can be raised, and how the second phase of development will turn out. "I think there are questions not satisfactorily being answered," said Ald. Michael Schumacher, 18th District, saying he may offer a capital budget amendment to minimize taxpayer exposure. "(The financing plan makes) good assumptions, but they're not guarantees." Mayor Dave Cieslewicz, who included the library in his proposed $185.8 million capital budget for 2010, said the project comes at a time of low construction and borrowing costs, along with favorable federal tax credits due to the bad economy, and that the project will create much-needed jobs. The community will step up with donations and a second phase of development will happen, he said. "Everybody agrees we need a new library," Cieslewicz said. "This is the time to build." The council will decide the mayor's capital and $239.4 million operating budgets the week of Nov. 10.

Hold on a minute. Architect Kenton Peters, known for producing grand visions for Downtown, contends the proposed $37 million central library on the corner of Henry Street and West Washington Avenue is too costly, on the wrong site, and doesn't fully exploit the potential for a mixed-use project. As an 11th-hour alternative, Peters is offering a $130 million project with a library, public market, housing, parking and more behind the Madison Municipal Building, across South Pinckney Street, and where the Government East parking garage now stands. The concept includes: • A 900-space underground parking garage., • A first-floor public market with a glass winter garden replacing SouthPinckney Street., • A three-story library above the market next to the Municipal Building, topped by 70 condominiums with room to build city office space., • 200 apartments above the market on the east side of South Pinckney Street.The proposal would create tremendous pedestrian traffic for the library and further energize the area around Monona Terrace, Peters said. Mayor Dave Cieslewicz said he remains fully committed to the $37 million plan from the Fiore Cos. Peters' library proposal is similar but more ambitious than one he offered in 2005. Then, he proposed a 120,000-square-foot central library behind the Municipal Building topped by 70 condos, with another 130 condos on the current library site on the 200 block of West Mifflin Street.The Library Board, however, decided the new site was too distant and that the proposal had too many unanswered questions.

If anything points to Madison's ability to withstand a recession, it's the uptick in local airline traffic. As colleague Jane Burns reported in the WSJ on Sunday, passenger traffic at the Dane County Regional Airport is up 5 percent from last year. That's a marked turnaround from the last two years, where the passenger count has been dropping despite some expensive upgrades and acres of new parking spaces. But now you wonder what effect Southwest Airlines entering the Wisconsin market might have on Madison's Frank Lloyd Wright-themed airport. The Dallas-based budget carrier began new service from Milwaukee on Nov. 1, with a dozen daily nonstop flights to six destinations: Baltimore/Washington; Kansas City, Las Vegas, Orlando, Phoenix and Tampa Bay. Southwest also hasn't hidden its intentions to grab customers from the Madison area and was working the PR angle hard here last week. So-called "leakage" to airports in Chicago, Milwaukee and even Rockford has long been a concern for local airport officials. Southwest coming into the market will only add to the problem. The long-discussed "high-speed" rail connection between Madison and Milwaukee might also figure into the equation - if Wisconsin lands a piece of federal rail funding as many hope."Getting the rail connection between Milwaukee and Madison would be great," says Southwest spokeswoman Brianna Brilowski, emphasizing that business travelers are a main customer target.

Madison-based Great Wolf Resorts Inc. said Wednesday it lost $42.1 million in the third quarter, due in part to a $24 million write-down of its Sheboygan resort, and increased depreciation and interest expenses. Great Wolf, which operates water park resorts in Wisconsin and other states, reported net income of $2.2 million during the year-earlier period. On a per-share basis, the company lost $1.35 compared to net income of 7 cents a year earlier.Revenue increased 10.7% to $76.8 million from $69.4 million.

After 15 years, the Crystal Corner Bar is finally getting a new neighbor -- an upscale one at that. A long-vacant former gas station at the corner of Williamson and Baldwin is soon to become a three-story, 31-unit apartment building with retail stores on the bottom floor. The Madison Plan Commission Monday night approved the $3.3 project from developer Scott Lewis and CMI Inc. Lewis hopes to start construction this year and open by August 2010. Plans call for apartments -- from studios to two-bedrooms -- on the second and third floors, with 2,400 square feet of retail space on the street level, which could be broken into three separate spaces. There are 24 underground parking spaces and nine surface spaces behind the building. One older house at 310 S. Baldwin St would be torn down to make way for the project. "It's going to be a great addition to the neighborhood," commission member Judy Olson told the developers. "Thanks for making it such a nice-looking building."

In some ways, the Dane County Board's vote on creating a regional transit authority is one of the longest and shortest journeys for a piece of legislation in the county's recent history. After enabling legislation was passed in the budget by the state Legislature in June, board Chairman Scott McDonell introduced a resolution at the board's Oct. 15 meeting that would create the new governmental body. An RTA, which allows for regional governance on transit issues, could pave the way for a commuter rail line and an expanded bus system, among other options. The measure was approved by two committees on Monday, Oct. 26, setting up a vote by the full County Board on Nov. 5, just three weeks after the resolution's introduction. While that may seem speedy relative to other bills, those involved in the Madison area's quest for improved transit through a regional governing body say that this vote has been a long time in coming. As former County Board chairman Dick Wagner recently pointed out, seven county executives going back to 1974 have supported the creation of an RTA, and local studies on regional transportation go back equally far. The County Board has been generally supportive of regional transportation, including a 22-13 vote in 2007 that signaled support for an RTA to the state, and there's little to suggest the votes will be different Thursday. Still, some conservative members of the County Board say the county should hold an advisory referendum so that the public has an opportunity to weigh in before the board creates the body or spends any more money on transportation planning and studies. Under state law, the RTA could levy up to a half-percent sales tax without a referendum; RTA proponents have pledged to hold a referendum before a tax is levied, but after the body is created.

In what would continue a building boom around UW-Madison, a developer is proposing to demolish two houses for a $6 million, eight-story apartment building in the Langdon Street National Register District. Developer Patrick Corcoran is seeking to demolish two two-story, wood-frame houses at 617 and 619 Mendota Court for a 40,000-square-foot building that would have 33 rental units and a total of 103 bedrooms. "We're looking at the student market," Corcoran said. "It's a good time to build." The building would have a mix of two-, three- and four-bedroom units renting for between $650 and $750 per bedroom, Corcoran said. The two houses to be demolished appear to have no special historic or architectural significance, said Ald. Bryon Eagon, 8th District, who represents the area. The site is in a national, but not local, historic district, Eagon said. "My first impression has been positive," he said. "Overall, I think the concept fits well within the area. I look forward to hearing more specifics in the next few weeks." The building design would be "traditional" as a nod to the historic district but wouldn't be aimed to mimic older structures, Corcoran said. The development team is scheduled to make informational presentations to the Urban Design Commission on Wednesday and Landmarks Commission on Nov. 16. Corcoran said he hopes to break ground in the late summer of 2010 and open the building the following year.

The U.S. economy lost 284,000 jobs in October, with about 5.9 million jobs lost in all over the past 12 months, according to research released Wednesday from TrimTabs Investment Research. The Sausalito firm said October's figure was a modest improvement over the 358,000 jobs shed in September. TrimTabs' employment estimates are based on analysis of daily income tax deposits to the U.S. Treasury from all salaried U.S. employees. In a research note, TrimTabs added that wages and salaries are still declining sequentially. The firm estimates based on income tax deposits that wages and salaries fell 5.3 percent year over year in September and 4.6 percent year over year in October, steeper than declines earlier in the year. Meanwhile, a report in the Wall Street Journal broke down the number of private jobs lost in the U.S. -- not counting government positions -- to 203,000 last month.

Although foreclosure filings in Wisconsin dipped slightly in October after setting a one-month record in September, in the first 10 months of 2009 they already have topped the record number for all of last year Now driven more by job loss than subprime mortgage defaults, foreclosures aren't likely to slow down until companies begin hiring again, experts on foreclosure said Wednesday. They also said higher-end properties, including condominiums, increasingly are ending up in foreclosure as more people lose their jobs. "We will not start seeing improvement in foreclosure rates until we see improvement in the employment picture," said David Leibowitz, a foreclosure defense attorney with offices in Kenosha. There were 2,609 foreclosure filings statewide in October, down 3.5% from 2,706 in October 2008, according to Madison-based ForeclosureAlarm.com, which tracks foreclosure actions in court. However, through Oct. 30, there had been 25,601 total filings in the state this year, surpassing the 2008 record of 25,588. It's possible foreclosure mediation efforts in Milwaukee might have played a role in the decrease in October filings, said Andy Lewis, a community development specialist analyzing Wisconsin foreclosures for the University of Wisconsin Extension. "You look at some of this data and I keep thinking, 'Well, there's a positive trend,' and then the very next quarter it comes back and it swings the other way," Lewis said. "It's clear to me that we certainly haven't peaked in Wisconsin yet. Hopefully we would see some calming in this next year, but I just haven't seen anything in the data that suggests that yet."

Towne Investments announced Monday it has purchased the Menomonee Falls building that will house Actuant Corp.'s future electrical business headquarters. Towne, part of Milwaukee-based Zilber Ltd., will remodel and expand the 137,000-square-foot building. The building, at 12545 W. Westbrook Crossing, will have 175,000 square feet that will be leased to Actuant when the work is completed next summer. Sale terms were not disclosed. Towne bought the building from Bemis Manufacturing Co., which formerly operated its Kelch Corp. division there. Actuant announced in August it would consolidate its Milwaukee-area operations into a new campus in the Westbrook Corporate Center. The business park is east and north of Highway 45, west of N. 124th St. and south of Main St. Along with the former Kelch building, Actuant will have a new building at Westbrook that will consolidate
the support functions of several of Actuant’s other businesses, as well as corporate functions. That new building won't be completed until early 2011. Actuant, which makes industrial tools, electrical supplies and motion-control and lifting systems, currently operates in seven separate buildings in Butler and Glendale. The consolidation will create up to 140 jobs, retain 650 jobs, and includes $15 million in investments by the company, according to the state Department of Commerce. Actuant is receiving $3.25 million in state aid, and $3 million in property tax credits and other incentives from the Village of Menomonee Falls C.G. Schmidt will be the project's general contractor, with Zimmerman Architectural Studios doing the design, said John Kersey, Zilber Ltd. executive vice president. The property sale was brokered by Kurt Van Dyke and Pete Slezak, of Colliers Barry.

The Town of Lisbon may have to adopt a controversial zoning district imposed by Waukesha County officials, and that's sparking a local debate over individual property rights.

"We hope to break ground in December," said Mike Olson, senior vice-president of CAP Services Inc., a non-profit agency based in Stevens Point dedicated to community development. The Colby project, costing $2.06 million, is the 15 th housing development CAP has created and will own and manage, Olson said. "There's going to be three separate buildings which will provide more elderly housing in the community. What's nice about this is that it is close to the (medical) clinic," said Jim Schmidt, Colby mayor. Colby has two assisted living centers, but nothing that is geared toward the population that can live independently, Schmidt said. The money was directed to the Colby project through the Wisconsin Housing and Economic Development Authority to create affordable housing for senior citizens. It will create jobs in the community through the construction phase and later one person will be hired to manage and care for the facility, said Olson.

A proposed central park, more community gardens and a further integrated park and trail system are some of the highlights of the five-year comprehensive plan Fitchburg's Parks, Recreation and Forestry Department unveiled Tuesday night at its open house. The department has to update the plan every five years to remain eligible for funding from various sources including the state Department of Natural Resources director Scott Endl explained. Endl delivered a 20-minute presentation of the plan to the crowd of about 20 people. "This is really the Parks Department's planning document," he explained. "It helps the Park Commission make educated decisions on where they want parks." The central park idea was the vision of city planner Tom Hovel and former director Jim Christoph, Endl said. In January the Common Council approved the acquisition of land to create the park. Moraine Edge Park is part of the North McGaw Park, which is a developing area. Endl said during the McGaw Park and Northeast Neighborhood planning, the committees in charge of the planning have considered the natural resources in the areas when they put together the land use plans. Other parts of the plan include keeping community gardens in the city and adding more as demand increases, integrating the parks system with the recreational trails, and exploring methods of visual separation of the city by keeping open space on its outer limits. Fitchburg owns 740 acres of park land, with 318 acres making up active parks. McGaw Park and McKee Farms Park are the city's largest parks. The city's comprehensive plan will have a public hearing Dec. 3. Endl said it should be adopted in early 2010.

Experiencing the kind of growth that would leave most people starry-eyed, Stellar Services, a company that specializes in providing commissary services and inmate banking software for correctional facilities, recently broke ground on a new, 28,300-square-foot building in the City of Stoughton Business Park. "We started this business in McFarland in 2001 in a building measuring about 1,500 square feet, and about five years ago we moved to a larger building in McFarland with about 7,500 square feet," said Ed Bierer, vice president and co-owner of the company. "Since then we've been growing so fast that now we're basically walking on top of one another! It'll be good to move to Stoughton." Stellar Services, LLC purchased 3.7 acres from the city earlier this year. A groundbreaking ceremony, attended by city and Chamber of Commerce officials, well-wishers and company representatives, was held Oct. 23 at the business park site. The new facility will be open about April, 2010. Bierer said Stellar Services rapid growth is due to the company having been on the ground floor of - and now a recognized leader in - changes in how correctional facilities and prisons run their commissary programs, as well as how the finances of inmates are handled.

Total new vehicle registrations in Wisconsin dropped by almost 10,000 in September from the previous month, according to an automotive market analysis firm. The drop was expected, with the previous month including sales spurred by the federal government's "cash for clunkers" program, auto industry officials said. "It's absolutely a 'cash for clunkers' hangover," Jim Tolkan, president of the Automobile Dealers Association of Mega Milwaukee Inc., said of the September numbers. Statewide in September, there were 13,693 new vehicle registrations in Wisconsin, down 42% from 23,486 in August, according to Lexington, Ky.-based Cross-Sell. In September 2008, new vehicle registrations in Wisconsin were 19,668, according to Cross-Sell. National vehicle sales numbers for October are scheduled to be released on Tuesday. Tolkan said those numbers are expected to show improvement in the market. Area dealers said the September numbers also were down because inventories had been depleted by the clunkers program and further reduced by production slowdowns by automakers. "Nobody had any inventory," said Jim Griffin, who operates auto dealerships in Waukesha as well as on Brown Deer Road and at a new location on S. 27th St. in Milwaukee. Palmen Automotive Group in Racine and Kenosha also had very little inventory, President Andy Palmen said. "Our inventory was gone" in September, he said. There were so few cars on the Kenosha lot, he decided to have it repaved, he said.

The expansion of health coverage for young adults under family plans in Wisconsin potentially will change the insurance picture for many state residents, but far from all. Private-sector employees of companies that fund their own health plans - a significant number - won't benefit from the new rule, which will allow parents to put unmarried adult children as old as 26 on their insurance. Self-insured employer plans fall under federal law and are not subject to state regulation, Jim Guidry, spokesman for the Wisconsin Commissioner of Insurance, said Friday. The new rule will take effect Jan. 1. The broadening of health benefit options for young adults was approved in the state budget in June. A growing number of states - about 20 now - have enacted similar rules. In Wisconsin, it appears the expanded coverage will benefit fewer than half of state residents who have health insurance either through their workplace or through the private market, figures from the insurance commissioner's office show. Standing to benefit are people covered by private insurers, state government employees and employees of roughly 350 local government units in Wisconsin that offer insurance through the state. All told, those people represent at least 40% of residents who have coverage other than public programs for the elderly or the low-income, such as Medicare, Medicaid and BadgerCare Plus. It's possible, however, that family-plan coverage for adult children will be extended more broadly. President Barack Obama has proposed a federal requirement that would allow children to continue to be eligible for family coverage through age 26.

Buying a home is about to get cheaper for a whole new crop of homebuyers — $6,500 cheaper. First-time homebuyers have been getting tax credits of up to $8,000 since January as part of the economic stimulus package enacted earlier this year. But with the program scheduled to expire at the end of November, the House voted 403-12 Thursday to extend and expand the tax credit to include many buyers who already own homes. The Senate approved the measure Wednesday, and the White House said President Barack Obama would sign it Friday Buyers who have owned their current homes at least five years would be eligible for tax credits of up to $6,500. First-time homebuyers — or anyone who hasn't owned a home in the last three years — would still get up to $8,000. To qualify, buyers in both groups have to sign a purchase agreement by April 30, 2010, and close by June 30 "This is probably the last extension," said Sen. Johnny Isakson, R-Ga., a former real estate executive who championed the credits. The homebuyers tax credit is one of two tax breaks totaling more than $21 billion that was included in a bill extending unemployment benefits for those without a job for more than a year. The other would let companies now losing money recoup taxes they paid on profits earned in the previous five years.

Matt Gettmann began working in finance at Boeing Co. last year, and it wasn't long before he found himself watching, stunned, as union members prepared for what became an eight-week strike. The work stoppage cost the company billions in deferred revenue and caused some of the delays in production of its new 787 at a time when Boeing was growing increasingly frustrated with labor squabbles. "There would be a parade of people, thousands and thousands of them, making noises and screaming" -- right in the factory, Gettmann said. "That's the employee-employer relationship? It's shocking." On Wednesday, the union was dealt a crushing blow when Boeing decided to open its new 787 line with nonunion workers in South Carolina and not the Seattle suburbs where it has had a presence for generations. It is another sign that it may be time for the Machinists union to reevaluate its relationship with Boeing, even as the union argues that its workers offer the best value for the company and that it is committed to making sure future work lands in Washington state."This looks very much like a company that's tired of dealing with this union, and they've found a way out," said Richard Aboulafia, an analyst with Teal Group. "The union needs to put aside the concept of who's right and who's wrong, and look at who's winning and who's losing. This is not going well from their perspective." In the next three to five years, Boeing is expected to decide on replacement planes for its best-selling 737 and 777 models and where they will be built. It's also trying to land a contract to build a 767 tanker for the Air Force. Unless the relationship with organized labor improves, those jobs could wind up out of state -- and out of union -- too, analysts said.

Can't pay the mortgage? You still might be able to stay in your home. Government-controlled mortgage company Fannie Mae is going to give borrowers on the verge of foreclosure the option of renting their homes for a year.

The change announced Thursday could give a temporary break to thousands of homeowners, but critics question whether it will only add to the mushrooming losses at the company, which has received billions in taxpayer money.

The new "Deed for Lease" program will allow homeowners to transfer title to Fannie Mae and sign a one-year lease, with potential month-to-month extensions after that. It also helps save money because the lender does not need to complete the often lengthy and time-consuming foreclosure process. The program helps "eliminate some of the uncertainty of foreclosure, keeps families and tenants in their homes during a transitional period, and helps to stabilize neighborhoods and communities," Jay Ryan, a Fannie Mae vice president, said in a statement.

A proposed Milwaukee ordinance that would require apartment buildings in certain neighborhoods to be certified by building inspectors before they can be rented was delayed Tuesday by the Common Council. That's a victory for the Apartment Association of Southeastern Wisconsin, which is lobbying against the measure. Under the proposal, landlords would apply for an inspection by the city Department of Neighborhood Services to make sure each rental unit meets building and zoning codes. The inspection will cost the landlord $85 per unit, with the certification for each unit lasting four years if no health and safety code violations are found after the initial inspection. If violations are found, the landlords will be required to undergo annual inspections. The ordinance would apply only in two neighborhoods with older rentals and problems with code violations: an area near the University of Wisconsin-Milwaukee bordered by Edgewood Ave., Newberry Blvd., Cambridge Ave. and Hackett Ave., and the Lindsay Heights neighborhood on the north side. It would affect about 3,700 units. The process would help inspectors find code violations, supporters say, with a priority on correcting health and safety violations - including apartments that illegally have too many renters. Supporters, including people living near UWM, also say the ordinance is needed to help find problem landlords. Apartment building owners said the ordinance imposes more costs at a time when they can least afford to pay them. Opponents said inspectors should enforce violations by focusing on a relatively small group of bad landlords. Council action was delayed on a motion by Ald. Bob Donovan, who said more time is needed to address landlord concerns. Ald. Nik Kovac, one of the proposal's sponsors, said the council has enough information to make a decision now, and should not delay a decision. Donovan's motion to delay until the next council meeting was approved on a 9-5 vote. Voting against the delay were Kovac and aldermen Robert Bauman, Willie Wade, Terry Witkowski and Tony Zielinski.

China took a big leap into the U.S. renewable-energy market Thursday, putting up $1.5 billion for a 36,000-acre wind farm in Texas with the power to light up 180,000 homes. The project is a joint venture with U.S. Renewable Energy Group, a private-equity firm, Austin, Texas-based Cielo Wind Power and Shenyang Power Group of China. The announcement Thursday shows how much China's own wind industry has burgeoned and comes two days after U.S. Energy Secretary Steven Chu told lawmakers that the U.S. was falling behind China and others in alternative-energy investment. "With a long track record for building some of the world's biggest wind farms, the U.S. is an ideal target for foreign alternative-energy investment," said Jinxiang Lu, Shenyang Power Group's chairman and chief executive. Executives would only say that the project will be in West Texas and built within several counties. Chinese wind-turbine manufacturer A-Power Energy Generation Systems will begin shipping the 2.5-megawatt turbines in March 2010, built in the company's plant in the city of Shenyang.A-Power uses technology developed by Germany-based Fuhrlander and Erie, Pa.-based GE Drivetrain Technologies.

Consumers, looking to outfit themselves for cooler weather and enticed by an improving economy, spent a little more in October, handing the retail industry its second consecutive monthly sales gain after more than a year of declines. October results released Thursday showed that shoppers still were not splurging, restrained by tight credit and a weak job market. But the improving figures and tone of the reports all pointed to sales momentum as the industry heads into the holiday shopping season. Affluent shoppers, who had been tight with their purse strings since the financial meltdown last year, spent more for designer duds. Among the bright spots were Costco Wholesale Corp.; TJX Cos., which operates T.J. Maxx and Marshalls; and Gap Inc., all of which reported solid gains for October. But the biggest surprise were improving sales at luxury retailers like Saks Inc., and Nordstrom Inc. "Improved macro conditions are leading shoppers to spend more on discretionary purchases," said Ken Perkins, president of retail research firm Retail Metrics. "This should bode well for Christmas." Overall, sales at stores open at least a year rose 2.1 percent, according to a International Council of Shopping Centers-Goldman Sachs tally, compared with a 4.2 percent drop in October 2008.

The city has settled a lawsuit it filed against Anchor Bancorp last year that contended a defaulted condominium project left the city stuck with a $1 million bill to build a road, sidewalks and other infrastructure for the development.

Under the settlement agreement, Anchor will put $900,000 into an escrow account. If another developer isn't found in five years for the project near the public library at S. 150th St. and W. National Ave., New Berlin can use the funds to complete the installation of the road, sidewalks and streetlights, City Attorney Mark Blum said Wednesday. If another developer is found for the project before then, the bank would get the money back, he said. The city had held a $1.1 million letter of credit for the condo project. One condominium building was constructed in the Deer Creek Homes project near the public library. Two more were supposed to be built, along with a road, but developers pulled out before they were built. In May 2008, the city received a letter stating that because of the economic downturn in the housing market, Deer Creek Homes had put "all future development on indefinite hold." Anchor foreclosed on the Deer Creek Homes developers. The city considered the Deer Creek project to be in default and went to court to pursue the funds from the bank.

Developer Rick Barrett has spent the last 3 years of his life been working on The Moderne, a planned 30-story building that will be built at the southwest corner of Juneau Avenue and Old World Third Street in downtown Milwaukee. Now the project is finally ready to break ground. The Milwaukee Common Council on Tuesday approved $9.3 million in city loans for the project. The project should break ground in December and will take 2 years to build, Barrett said. The building will have 203 apartments, 14 condominiums and first floor retail space. The general contractor for the project is J.H. Findorff & Son Inc“It will truly be an iconic structure on the west side of the ( Milwaukee) River and will undoubtedly lead to further development in the Park East corridor,” said Ald. Robert Bauman. The $9.3 million in loans from the city are the final piece to the financial puzzle to the project, which Barrett. The city loans are necessary because the financial industry meltdown during the recession has made it extremely difficult for developers to obtain financing from the private sector for a major development, he says. “We’re excited for our city, excited for the Park East and excited for the people we are going to put back to work,” Barrett said after the council vote. “I can’t tell you how honored I am that the (Common) Council saw what I saw. We’re very happy.”

Milwaukee aldermen who voted Tuesday to provide city loans to help finance the Moderne apartment high-rise cited the project's property tax revenue as a big reason for their decision. But the property taxes paid by the 30-story Moderne will first be used to help reduce the city's debt from tearing down the former Park East Freeway, and from building streets and a new bridge to replace the freeway stub. The council voted 13-2 to approve loans totaling $9.3 million to help finance development of the $55.2 million Moderne, which will have 203 apartments and 14 condos. Supporters said the loans carry some risk, but also said the project is viable, will provide jobs, and help promote new development in the Park East area. The Moderne will be at the southwest corner of N. Old World Third St. and W. Juneau Ave. That's just across Juneau Ave. from the mostly vacant strip that used to be beneath the Park East Freeway. Most of those empty parcels are owned by Milwaukee County, which has yet to see development occur on those lots. That lack of development on the county-owned strip is putting increased pressure on City Hall to spur development on other parcels within the larger Park East area, which includes properties near the county's lots. The larger area is within a tax incremental financing district. The city in 2002 began borrowing money to prepare the Park East area for development, with property taxes from new buildings to pay off that debt.