Legislative eNews
Local
County Passes 2007 Budget
On Monday night, the Beaufort County Council voted 9-2 to approve the district's $147.3 million budget, which is a $25 million increase over last year's budget. The budget goes into effect July 1. Under the budget, property-tax bills will increase by 12.8 mills in the upcoming fiscal year under budget. The majority of the millage increase is the result of the Beaufort County School District responding the an alarming shortfall of money for school operations coming from the state. The council and the school board were faced with a $15.6 million deficit in state aid lost because of funding formulas based largely on property values. Beaufort was the only county in the state to lose money under the funding formula. The county also raised taxes by 1 mill for its land-purchasing program.
Property owners will see the change to their tax bills in October. However, the increase will be temporary for some homeowners when property taxes for school districts will be replaced by a 1 percent increase in sales tax next year due the recently passed state property tax legislation.
Business License Fee Increase
In order to keep property taxes down, the council agreed to increase the fee it charges businesses to operate in unincorporated Beaufort County. The business-license fee will be increased to 60 percent of the average fee charged by nearby local governments, beginning Jan. 1.
The chamber, which has expressed concern about the increase in the past, sent a letter to Council Chair Weston Newton saying: "We share your frustration about the fiscal situation the County finds itself in because of the significant shortfall on school operations handed down from the State. However, we understand that the Beaufort County Council intends to move ahead on altering the County's Business License Fee as well as addressing the management of the program.
Earlier this year the Board of the Hilton Head Island-Bluffton Chamber of Commerce passed a resolution supporting the current Beaufort County Business License Fee Ordinance and its existing fee schedule. The Hilton Head Island-Bluffton Chamber of Commerce remains concerned as to the management and enforcement of the current Business License Fee Ordinance and would prefer to see the result of improvements to the management and enforcement of the current ordinance prior to consideration of fee increases.
We are especially concerned that the increase in the Business License Fee would not be used for much-needed economic development for the County, but to offset general fund operating expenses.
The Hilton Head Island-Bluffton Chamber of Commerce urges you to involve the business community in the process of improving the current program. And, because the fee falls directly on our members, we ask that you consult us on the impact any fee increase may have on the business community."
Transportation Update
In a vote on Monday, the county council agreed to allocate $5.3 million to widen the parkway from U.S. 278 to the future build sections of the Bluffton Parkway with four lanes each way. The widening also includes adding a second left-turn lane on westbound U.S. 278. The South Carolina Department of Transportation is widening the existing left-turn lane on U.S. 278 to accommodate more drivers until the widening project is complete, sometime around May 2007.
In addition, the Beaufort and Jasper County Councils have jointly agreed to development controls along S.C. 170 and U.S. 278. The agreement was reached last week when the Jasper County Council approved a resolution endorsing an access management plan previously approved by Beaufort County Council. The agreement would also provide for parallel roadways on both the Beaufort County and Jasper County sides of S.C. 170 for access to future commercial and residential development.
Federal
Paulson Confirmed as US Secretary of the Treasury
The US Senate unanimously confirmed Henry M. Paulson Jr. as the next US Treasury Secretary following John W. Snow who announced his departure last month. Mr. Paulson, a senior executive for Goldman Sachs, found bipartisan support for his nomination.
In a hearing on his nomination before the Senate Finance Committee on Tuesday, Paulson listed the following as his top priorities: high health-care and energy costs, wage growth, tax reform, and foreign investment.
House Lifts Drilling Ban on South Carolina Coast
The House of Represenatitives voted 232-187 on Thursday to overturn a decades-old drilling ban that could open up coastol communities to offshore exploration for oil and natural gas. Under the bill states would have the authority to allow natural-gas drilling from 50 to 100 miles beyond the coastline. The moratorium would remain in place up to 50 miles offshore, but the federal government could enter into drilling contracts beyond the 100-mile barrier. U.S. Representative Joe Wilson supported the bill.
Supporters claim that states would be able to collect royalties from the revenue, with coastal communities getting much of that money. Opponents are concerned about the impact on tourism and the environment.
Under the House plan, each state's profit from drilling royalties would climb from less than 5 percent to 50 percent over 10 years. Of the state share, coastal communities would get 40 percent, with the state receiving the remaining 60 percent.
The bill faces an uphill battle in the Senate.
