Want York Co. roads paved quicker? Leaders consider $16M ‘jump-start’ loan
County leaders are considering a $16 million loan to “jump-start” road improvement projects that voters will decide on in November.
The loan, which would come from the county’s general fund, would speed up the bidding and consulting process for the next Pennies for Progress campaign, according to Pennies manager Patrick Hamilton.
York County voters will decide Nov. 7 whether to continue a 1-cent sales tax for seven years, with an estimated $277.92 million generated for use on 20 projects throughout the county. One of the projects is road resurfacing of 40 sites.
Hamilton told York County Council during last week’s workshop he’s been working with the county’s finance director Kevin Madden to put numbers together.
Hamilton said a $16 million loan would allow county officials to send out bids to consulting companies earlier rather than waiting another year to begin receiving money earmarked for Pennies 4 projects.
Assuming voters approve the Pennies 4 package on Nov. 7, Hamilton said collections for those projects won’t begin until May 1, and the county won’t receive those funds until August or September 2018.
Hamilton said he would officially bring the topic before Council at its regularly-scheduled meeting Nov. 6.
The loan will “expedite the schedule,” said Hamilton, by allowing the county to negotiate contracts with incoming bids more quickly.
About $11 million of the loan would be sent to the South Carolina Department of Transportation to send bids for resurfacing projects. The remaining money would be used to finance the carry-over Pennies 3 projects and jump-start design work on new Pennies 4 projects.
“It’s a large number, but we’re looking at the benefits of what it could do,” Hamilton said. “If you approve this on Nov. 6, the referendum is approved Nov. 7, and we can get back on Nov. 8 to have a contract ready by March to sign.”
The money will be used to begin design work on nearly all of the Pennies 4 projects, Hamilton said. The exceptions include a $36 million five-lane widening of U.S. 21 from S.C. 160 to Springfield Parkway and $11 million three-lane widening of Neely Road from Robertson Road to Crawford Road.
Hamilton anticipates design work on the U.S. 21 project to begin in 2020, while the Neely Road project is a “wait-and-see” project, he said.
Council approved a similar $8 million loan ahead of Pennies 3. Hamilton said he and Madden put together a detailed cash flow plan to pay back the loan to the county through the Pennies 4 proceeds.
“It gets us way ahead of the curve in getting this work done,” Madden said.
Pennies for Progress is a 20-year-old infrastructure improvement plan for roads and intersections in York County that so far has helped raise nearly $700 million to build, extend or rehabilitate streets and highways. The plan raises money by levying a 1-percent county tax on certain goods and services.
David Thackham: 803-329-4066, @dthackham
Want to know more?
A Pennies for Progress public meeting is at 6 p.m. Oct. 4 at Nation Ford High School auditorium in Fort Mill. The public will get updates on existing Pennies projects, and information on the November referendum.
The referendum
York County voters will vote on the Pennies for Progress 4 package on Election Day, Nov. 7.
The question will be listed on the ballot for all municipal elections except Rock Hill, which will hold its elections Oct. 17.
This story was originally published October 1, 2017 at 3:55 PM with the headline "Want York Co. roads paved quicker? Leaders consider $16M ‘jump-start’ loan."