County approves incentives for Fiber Industries project
By Samantha Lyles, Staff Writer, slyles@newsandpress.net
Darlington County Council held its regular meeting August 7 and voted unanimously for an economic development incentives package granting reduced property tax rates to Fiber Industries, which plans to invest $30.4 million and bring at least 135 new jobs to the county.
This incentives package (Ordinance 17-07) provides Special Source Revenue Credits (SSRC) allowing Fiber Industries to receive a 45-percent taxation rate for twenty years, beginning in 2018. This SSRC arrangement is similar to the FILOT (Fee In Lieu of Tax) agreements Darlington County has with many other local industries, such as Sonoco Products Company’s biomass boiler facility.
The ordinance refers to the Fiber Industries investment as “Project Phoenix,” a code name which the county used prior to the signing of this agreement. The mystery ended the following day with an August 8 public statement from Darlington County Economic Development director Frank Willis identifying the company and further explaining their development plans.
The 17-07 ordinance extract states that this SSRC was “essential to having the Project locate in the County, and without the SSRC agreement, the County could likely lose the Project and the resultant increase in revenues.”
Fiber Industries plans to retool and reopen the Palmetto facility on McIver Road, which closed in 2008 when owner Wellman, Inc. went bankrupt. In early 2018, the new facility will begin producing polyester fibers used in clothing, furnishings, and other markets. Plans are to create 135 full time jobs by December 31 of 2022.
Also at this meeting, Council held first reading of Ordinance 17-11, which would establish a two percent hospitality tax on prepared meals and beverages sold in the Town of Lamar. The ordinance states that the Town of Lamar has consented to the imposition of this tax.
The tax would work just as the current county H-tax does, with restaurants collecting the two percent tax and remitting it monthly. The ordinance extract states that Darlington County will hold the proceeds in a segregated account to “improve and support the services and facilities available to tourists and visitors to the Town of Lamar.”
Darlington County Humane Society’s annual contract to operate the county animal shelter was renewed without objection, with the full budget totaling $161,995 for fiscal year 2017/18.
Also at this meeting, Council approved the 2017/18 agreement between the W. Glenn Campbell Detention Center and the SC Department of Juvenile Justice (SCDJJ) for the detention of juveniles. This agreement budgets $40,000 to cover the per diem cost of $50 the state charges to house juvenile offenders.
Council member Le Flowers asked Sheriff Tony Chavis to expound on the county’s obligations with respect to the detention of juveniles. Chavis explained it is not permitted for the county to even temporarily house a juvenile suspect, that they must be immediately processed and transported to Columbia, and the county must foot the bill for their secure detention.
County administrator Charles Stewart added that paying SCDJJ to house minors is a more cost effective method than trying to establish a segregated and secure housing facility in the county jail for juvenile offenders.
Council member Dannie Douglas asked if the local municipalities foot any of the bill for housing juvenile offenders, and Stewart answered “not at this time.” He suggested that the county could adjust the Detention Center budget next year and require municipalities to cover their part of the juvenile offender housing expenses.
The day after this meeting, Darlington Police Department Chief Danny Watson phoned the News and Press and refuted this claim. Watson stated that the DPD pays SCDJJ the standard $50 per diem for housing all juveniles arrested by its officers and must budget for this expense every year.
