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Funds from first SPLOST waiting to be spent

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In 1985, Chatham County residents voted to increase the local sales tax by 1 percent for four years to pay for road projects. Almost three decades later and after five extensions, the county still hasn’t used all of the tax revenue raised for projects in the initial referendum.

More than $16 million remains in the fund that has paid for more than $200 million in road projects such as the Bay Street viaduct, Chatham Parkway and the Robert McCorkle bicycle trail.

If the revenue had not been available, the county would have had to issue bonds to pay for such projects, said Linda Cramer, Chatham finance director.

“The good thing about SPLOST is it’s kept us out of debt,” Cramer said.

A number of projects included in the first tax referendum are at various stages of construction.

Improvements to Skidaway Road have not been completed, and $4 million from the original referendum is included in this year’s budget.

The county has drafted plans and held a public meeting to move forward with the project, which would add sidewalks and a roundabout along the road, but concerns about the project’s need and impact on homes and business could keep the funds in the bank.

Other long-planned projects are making better headway.

About $428,000 is budgeted for widening Whitefield Avenue, a project that started in January and is scheduled for completion in the fall next year. About $3 million is budgeted for the final phase of the Truman Parkway, which is also under way.

In addition, plans have been drawn for bridge replacements on Faye and Hunt roads, said Nathaniel Panther, a county engineer involved in the projects.

“We’re getting ready to bid those,” Panther said.

About $203 million was raised by the tax through September 1993, about $24 million more than had been anticipated. On top of that, Georgia Department of Transportation funding, along with contributions from other entities such as the city of Savannah and more than $60 million in interest boosted the fund amount to $297 million.

Cramer said there is no deadline for SPLOST dollars to be spent, but she is looking forward to closing out the older funds to reduce the amount of budgets she has to track.

At the current rate, it looks as if revenue from the second SPLOST will be spent first. Approved by voters in 1993, the five-year sales tax generated $175 million — about $33 million more than expected. Additional revenue sources such as state contributions and interest boosted the total to $234 million.

Unlike the first tax, which was solely for roads, the second referendum included recreation, cultural and drainage projects. After spending about $227 million on projects such as the Anderson/Cohen Weightlifting Center, a new police precinct headquarters and infrastructure on Hutchinson Island, the fund has about $6.4 million left over.


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