Carolina Station receives final approval

July 3-9, 2008, The Myrtle Beach Herald, Myrtle Beach
By Paul Gable

It would take an average assessment of $250,000 per house in the development

Horry County—Horry County Council gave third and final reading approval by a narrow margin Tuesday night to amend the zoning ordinance and also to approve the Carolina Station Development Agreement between Horry County and International Paper.

The agreement freezes zoning for 30 years for a 6,259 acre tract of land currently owned by International Paper, but slated to go on sale to developers shortly. It is bounded by SC 9, Hwy 905, Highway 378 and West Bear Grass Road, in the north central portion of the county.
The project is projected to have 13,800 family residence units when the total build out of the project is completed.

After months of negotiations with county planners, International Paper has agreed to donate 98 acres for parks, 51.4 acres for schools, four acres for a Solid Waste Authority convenience center and four acres for a public safety building.

In addition, IP has promised $4.75 million for park construction and $1 million toward construction of the public safety building.

Horry County Schools’ head of construction management, Eddie Rodelsberger, told the county’s Infrastructure and Regulation Committee last week the school district estimated the development would have an impact of $100 million on school costs.

“We project a minimum of 3,000 additional students from this development,” said Rodelsberger. “In today’s dollars that is a $100 million impact.” Rodelsberger said the development at completion would require at least two elementary schools, one middle school and one high school to serve the additional students.

Horry County Planning and Zoning Department director Janet Carter said it would take an average assessment of $250,000 per house in the development for the county to break even on the cost of county services. Carter said that number did not include school needs.
George Edwards of the Horry County Growth Impact Action Committee asked for a deferral of final approval on the Carolina Station development agreement until it was amended to require the development be completed as a Residential Improvement District (RID).

The state legislature passed RID legislation, which was signed by the governor last week. This legislation allows the establishment of a separate tax district where developers or homeowners bear the cost of infrastructure and service increases caused by the development.

“The school district estimates a cost of $7,600 for every one of the proposed 13,800 homes in the development to pay for new schools,” said Edwards. “The Residential Improvement District legislation allows cost of schools to be included for the first time in development agreements.”

Edwards noted the current contributions agreed to in the development agreement amount to approximately $700 per unit.

Council member Marion Foxworth said he was unwilling to change the rules with DDC and International Paper so late in the game.“DDC and IP have played by the rules we’ve set down for them for two years,” said Foxworth. “I don’t feel it’s fair to penalize them so late in the game. If this project were just beginning to be considered, it might be appropriate to consider a residential development district.”

A main point of contention between proponents and opponents of the development has been the potential cost to the county for future infrastructure.

Two different studies, one by the county and one by Coastal Carolina University economist Don Schunk, arrived at different estimates of cost. The county study estimated a budget shortfall of $2 million per year over the first 20 years of the Carolina Station project. The CCU study estimated a budget excess of $2 million. Schunk told county council his study did not look at schools but only impact on the Horry County budget.

Council was split on the final votes with both ordinances passing 6-5. Council members Harold Worley, Howard Barnard, Carl Schwartzkopf, Mike Ryan and council chairman Liz Gilland voted no. Council member Brent Schulz, part owner of DDC Engineers recused himself from discussion and the votes.