Legislative eNews

Government Affairs Update from the Hilton Head Island-
Bluffton Chamber of Commerce -- June 6-10, 2005

Your Chamber of Commerce is the business community's source of information during hurricane operations: www.hiltonheadisland.org

Hurricane preparation pamphlets with evacuation routes are available at our Hilton Head Island and Bluffton offices.

Please call Tim Bennett at 816-0434 for these pamphlets and others that include hurricane tips.

Topic #1 -- Hilton Head Island budget receives initial approval -- Hilton Head Island Town Council approved on June 7 the first of two required readings of its FY 2006 budget. The budget totals $76.9 million. The millage rate is the same as FY-05. Town Council will revisit the millage rate in August-September when town officials receive assessment updates from the county.

Topic #2 -- Town approves funding for Martin Luther King Jr., Day Celebration -- Hilton Head Island Town Council on June 7 unanimously approved allocating $7,500 in accommodations tax dollars to the King celebration, reversing an earlier decision. Council members said it is an arts and cultural event and is eligible for the funding.

Topic #3 -- Bluffton approves $3.52 operating budget -- Bluffton Town Council on June 8 gave final approval to a $3.52 FY-06 operating budget, up from $3.2 million in FY-05. It does not include a tax increase.

Topic #4 -- Density bonus ordinance under scrutiny -- Developers seeking to sub-divide lots to build more homes in Bluffton must put their plans on hold as Town Council tries to ensure its density bonus ordinance is meeting the town's objective of producing more affordable housing. Town Council on June 8 approved first reading of a proposal to revoke the ordinance. This action does not impact developer projects already under way. The ordinance will be reviewed in the town's upcoming master-planning process and in a proposed workshop, both of which will include public input.

In other action by the Bluffton Town Council : (1) Successfully negotiated amendments to a development agreement that will result in $4,970 for the town to use toward a SC 46 scenic highway study, a $900 per unit fee that can result in $814,500 for the town, and a no-greater-than $75 per lot municipal improvement development fee; (2) awarded a May River monitoring contract; (3) voted to implement a consultant's recommendations for a stormwater management program; and (4) approved a request to seek bids for a SC Highway 46 Corridor Management Plan that will be a precursor to an application for a National Scenic Byway designation.

Topic #5 -- Hardeeville gives initial approval to major new development -- Hardeeville City Council gave first reading on June 9 to a development agreement for a 5,000-acre Argent West tract that will more than double the city's current size. The development, located east of I-95 and north of US 278, allows for 9,500 potential dwelling units, as well as commercial property, parks, school sites and emergency facilities. Once approved, it will be zoned as a "planned district development." City Council will give second and final readings to the annexation petition, PDD zoning, and development agreement June 16. If the development were to remain under Jasper County jurisdiction, it would allow for up to 40,000 residential units. The developer is Core Communities LLC, developer of two master-planned communities in Port St. Lucie, Fla. Core Communities will pay $6,171 per unit in development fees that will go toward roads, police and fire stations, schools, libraries, and a new 75-acre regional park. Included in the $6,171 development fees is $2,315 per unit for internal public roads and $1,980 for off-site road improvements, including the future widening of US 278. This contrasts with the average road development fee nationwide of $1,600. In neighboring Beaufort County, $400 is collected for road improvements, according to a news release from Hardeeville city officials.

Topic #6 -- State Chamber of Commerce reports best legislative year ever -- In a meeting of chamber of commerce executives on June 9 in Columbia, the South Carolina Chamber of Commerce said the state legislature passed 17 pro-business bills and that several pro-business bills are staged to pass early next session (January). Among successful legislation is a highway bill that will move $68 million from the general fund to the transportation department. It's currently on the governor's desk for signing. Half the dollars would go to road maintenance and the other half to the State Infrastructure Bank. Otis Rawl, vice president for public policy at the state chamber, further mentioned the successful passage of the mini-bottle/free-pour legislation, which the governor has signed and which was an important piece of legislation for the hospitality industry. Mr. Rawl said the legislature most likely will focus next year on property reassessment.

Tim Bennett
VP for Government Relations
P.O. Box 5647
Hilton Head Island, SC 29938
Office -- (843) 341-8370
Email -- tbennett@hiltonheadisland.org