RIDGELAND -- Despite a lawsuit in the
S.C. Supreme Court, Jasper County officials are determined to build a $450
million shipping terminal and remained adamant Monday that the process
would not be turned over to the S.C. State Ports Authority.
The rural county's more than 10-year fight to build the port continued
last week as Jasper's $8.5 million bid to buy the 1,863 acres on the South
Carolina side of the Savannah River from the Georgia Department of
Transportation was rejected and the S.C. State Ports Authority slapped the
county with a lawsuit in the S.C. Supreme Court.
But Jasper officials say those moves
won't dissuade them and they're not willing to back out of a process they
say won't cost taxpayers a dime.
"There is already a plan to bring a port to Jasper and the county is
ready to do that, money in hand, tomorrow, with no additional burden to
the taxpayers," Jasper County administrator Andrew Fulghum said.
Earlier this month Jasper announced an exclusive loan, development and
management pact with the world's largest port developer, SSA Marine. The
deal includes a $15 million advance from SSA to Jasper for acquiring the
land and to fight any legal challenge brought by the state or Georgia.
If for any reason the deal falls through, Jasper won't have to repay
the $15 million.
"SSA from this point back, in everything that has been done, has paid
the bill," County Councilwoman Gladys Jones said Monday.
If Jasper is successful in securing the land, port construction would
be paid for through bonds based on the shipping terminal's projected
revenue.
"Every penny the State Ports Authority spends fighting us, paying
lawyers, purchasing land, anything to develop this port, is taxpayers'
money," Jones said. "Even if they buy bonds, every taxpayer in South
Carolina would have to pay for the port."
Under the loan agreement, SSA Marine will bankroll all of Jasper
County's attorney fees and local port authority expenses until the county
secures the land. (The Jasper County port authority was formed last year.)
If the county fails, SSA Marine absorbs the debt.
Under the management agreement, South Atlantic International Terminal,
a local subsidiary of SSA Marine, is guaranteed 32 years as the exclusive
operator with four 10-year extensions. Jasper County receives $4 million a
year as landowner plus $2 per cargo container that moves through the port.
Just nine miles upriver from the Jasper site, more than 863,000
containers moved through the Port of Savannah in the past six months -- a
new record -- the Georgia Ports Authority announced Monday. SSA Marine
vice president Jake Coakley has said "several hundred thousand" containers
would move through a Jasper port in the first year alone.
Jasper responded to the Georgia Transportation Department's refusal to
sell the land by filing for condemnation in the Jasper County Court of
Common Pleas on Wednesday.
In September 2003, the Supreme Court ruled against Jasper's first
attempt at condemnation, stating that a commercially owned and operated
port did not meet required public use, as the suggested lease to SSA
Marine would result in the county turning the land over to a private
enterprise. Public use is a fundamental factor in condemnation suits.
Added to the mix, the State Ports Authority started their own
acquisition proceedings of the 1,863 acres. Last week the state board of
directors gave its chairman the authority to condemn the land and file a
lawsuit in the S.C. Supreme Court.
"We want (the Supreme Court) to make a statement that we are the sole
authorized entity to build a port on the Savannah River and to say we have
a superior right to do so," Harry Butler, chairman of the State Ports
Authority's board of directors, said Monday.
At last week's meeting, the State Ports Authority said it's determined
to bring private enterprise into its proposed port development on the
Jasper bank of the Savannah River, but so far no plans or budget have been
finalized.
If SSA were to break its deal with Jasper and open the door for the
State Ports Authority to develop the land, the company would be shuffled
into the pack of multinational port developers bidding to operate the
facility.
While county and state governments in South Carolina fight it out in
court, across the river legislators are working on a bill to create a
joint port authority. The Port of Savannah Study Committee would consider
creation of a bi-state ports authority to build and operate a second port
on the Savannah River.
"Georgia has already had a number of meetings with the State Ports
Authority, and we're holding out hope that that will lead to an
arrangement that will benefit both states," Butler said Monday.
The bill was referred to the Georgia Senate Interstate Cooperation
Committee on Monday. The committee is chaired by state Sen. Ed Harbison,
D-Columbus, who co-sponsored the bill with Sen. Eric Johnson, R-Savannah.