Posted on May 31, 2018
By David Wren, The Post and Courier
A bill making its way through the U.S. Senate could ensure the federal government pays its fair share for Charleston Harbor deepening and other projects that are funded in part by states and other entities.
A provision in the Water Infrastructure Act of 2018 mandates reimbursement of Uncle Sam’s share for such projects if a non-federal partner, such as the state of South Carolina, covers those costs in the interim while waiting for Congress to appropriate funds. There is currently no legal requirement for the federal government to pay back its share of the costs in such situations.
South Carolina legislators banked the state’s $271 million share of harbor deepening costs years ago, and the federal government is supposed to pay the project’s remaining $287 million. But the feds only included $17.5 million in last year’s spending plan and the state money is being used to pay for dredging contracts to keep the project on schedule.
“This provision will require federal reimbursement in these circumstances, thereby bolstering the accountability and reliability of federal cost-share agreements,” Republican Sens. Tim Scott and Lindsey Graham said in a joint statement.
The bill also would update a mathematical formula the Army Corps of Engineers and the Office of Management and Budget use to gauge a project’s overall public benefit against its cost. Graham says the Charleston Harbor deepening has been shortchanged because South Carolina’s financial contribution hasn’t been factored into the formula.
“The current benefit-cost analysis is outdated and inconsistent, and does not properly take into account today’s modern construction and planning methods,” the senators said.
The bill now moves to the full Senate for a vote.
Separately, a House committee approved the Water Resources Development Act of 2018, which includes a similar measure to update the funding formula. That bill is now before the full House.
U.S. Rep. Mark Sanford, a Republican member of the House Transportation and Infrastructure Committee, said the bill will “have a direct impact on funding for the Port of Charleston deepening project.”
Charleston Harbor deepening kicked off in March and will take between 40 and 76 months to finish. Once completed, the Port of Charleston will have the East Coast’s deepest waterway at 52 feet, able to accommodate big container ships regardless of tide.
Source: The Post and Courier
