Global Logistics Triangle would get heavy dose of money from new tax

Orangeburg County economic development officials have touted the county’s “Global Logistics Triangle,” the area between Interstates 26 and 95 and U.S. Highway 301, as prime for future economic development.

The area with its interstate access and proximity to the Port of Charleston has proven so attractive that Dubai-based subsidiary, Jafza America, has announced plans to build a 1,322-acre logistics Jafza Magna Park-Santee in the area.

Thus far Jafza has cleared about 125 acres as part of Phase 1 of the project, which includes about four plots totaling 385 acres.

Groundbreaking is scheduled for the fourth quarter of this year.

Seeing the potential of the GLT, Orangeburg County has set aside about $8.1 million from the Capital Projects Sales Tax (penny projects) for economic development infrastructure along the I-26/U.S. 301/I-95 corridor in the third round of funding from a penny infrastructure tax.

County Council this past week gave second reading to an ordinance setting up the Nov. 2 referendum in which voters will be asked to renew the 1 percent sales tax. A public hearing and final third reading of the ordinance is scheduled for Aug. 9.

If approved by county voters, the third round of the penny tax would go into effect May 1, 2013, when the second round of the tax concludes.

About $13.5 million will be allocated toward economic development and infrastructure projects.

Orangeburg County Development Commission Executive Director Gregg Robinson said the monies will not be allocated toward the development of any specific company like Jafza (though the company will benefit) but will serve the greater vision of the triangle.

This vision includes the extension of water and wastewater on U.S. 301 to the John W. Matthews Industrial Park near U.S. 176 as well as water and sewer placement at I-26 exits 159 and 165 and Exits 90 and 93 on I-95.

One of the key components of infrastructure is the upgrade of the I-95/U.S. 301 interchange.

About $15 million in federal, state and local funds have been set aside for its development. The project is expected to cost between $25 million and $60 million.

Currently, there is no southbound access to U.S. 301 from I-95.

“We have identified the Global Logistics Triangle as a priority,” Robinson said. “It is one of our biggest assets. It will reach all the county. It is about interstate connectivity.”

Robinson said in a competitive global market, water and wastewater lines must be “already in the ground” for companies to consider even locating to an area.

Robinson said the penny monies will be leveraged with state and federal grant dollars. As a rural county, Robinson said Orangeburg County does not have the needed tax base to help fund infrastructure projects, so the penny and the ability to leverage goes a long way.

“We have to invest in ourselves to receive those quality companies,” he said, noting having the ability to match a federal grant helps to get the county in the door.

The last round of the penny had about $6 million allocated for the GLT.

Western

Orangeburg County

The new penny referendum will ask voters to set aside about $3.7 million for economic development infrastructure for western Orangeburg County.

Robinson said there is limited water in the western portion of the county, but no wastewater infrastructure. He said the development, extension and placement of water, and especially sewer lines, are key.

“Wastewater is a big issue,” Orangeburg County Administrator Bill Clark said, noting the monies primarily will be used for connecting sewer lines from the town of North along U.S. 321 to the town of Neeses and the future western Orangeburg County industrial park.

The county has already purchased 230 acres for the park and eventually hopes to have a total of 489.2 acres.

The county hopes the park will have its first occupant within the next five to 10 years.

The land is located northwest of Neeses and is adjacent to S.C. Highway 389 and U.S. 321.

Robinson said the site is attractive due to its rail connectivity with CSX, elevated water storage tank already on site and interstate proximity.

About $2 million had already been set aside for the project from the previous capital projects sales tax.

The Global Logistics Triangle and the western county industrial park were not on the first penny referendum approved by voters in 1998.

Orangeburg County

Council District 3

About $666,000 in economic development infrastructure monies would be set aside for County Council District 3.

Robinson said the District 3 area of the county is home to the I-26/I-95 interchange.

“The area is totally undeveloped,” Robinson said. “It is the least developed interchange in the entire Southeast.”

Robinson said the primary reason for the failure to develop the interchange, which would seem ideally suited for development, is the lack of resources and tax base leveraging dollars. The costly nature of the development of the interchange and the time it would take to develop have placed its development on hold.

The interchange currently has no water and sewer.

There are also plans to extend the water and wastewater lines from the town of Bowman along S.C. Highway 210 to Interstate 26, Exit 165. The development of this exit is seen as a step in the right direction for development of the I-26 and I-95 interchange 4 miles away.

Orangeburg County District 3 Councilman Harry Wimberly says it is all about having monies available to meet the future development needs whenever and wherever they may arise.

But Wimberly said to narrow one’s focus is difficult.

“If we knew what was coming, we could better plan for it,” Wimberly said. “People are constantly coming into Orangeburg County and are looking for areas for development. We try to set aside money to take care of that if something comes in.”

Wimberly said if industrial prospects don’t locate to the county, the monies would be used to address areas in need of water and wastewater, such as the Cannon Bridge Road and U.S. 301 corridor heading down to Cope.

“We are looking at the long range,” Wimberly said. “I would hate for my district to miss out on an opportunity because we could not have money.”

U.S. 21 Industrial Park/

Orangeburg Municipal Airport

About $300,000 has been set aside for the extension of the Orangeburg County Industrial Park and the airport.

“We are not creating a new park but flipping that park in and around the airport,” Robinson said.

The monies will primarily be used for road extensions from the industrial park to the airport as well as additional railroad spur extensions.

Robinson said with Boeing locating in Charleston, there is room for about 100 acres of city-owned property at the Orangeburg Municipal Airport for possible development.

Robinson said the park is fully served with all utilities but only has about 4 acres available for sale, meaning there is a need to expand.

“It limits the availability of land,” he said.

Robinson said in addition to bringing manufacturing and distribution industries to the park, expanding the airport operations itself with additional hangars will help attract larger manufacturing executives and could create an environment conducive to industrial development.

“I think that we are building on what has been successful and given the availability for us to market that to the suppliers of Boeing will put us in a good position,” Robinson said.

The key will be to partner with the city of Orangeburg in marketing and showcasing the property, Robinson said.

City officials have gone on record in their support of developing the land and for the wealth creation it would bring.

Contact the writer: gzaleski@timesanddemocrat.com and 803-533-5570.