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Georgia Lawmakers Advance Bill for Private Utilities to Support Hyundai Plant Growth in Bryan County

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Published on March 29, 2024
Georgia Lawmakers Advance Bill for Private Utilities to Support Hyundai Plant Growth in Bryan CountySource: Google Street View

Georgia's push to become a hub for electric vehicle production just picked up steam after lawmakers gave the green light to a bill that will radically streamline the expansion of water services in Bryan County, site of Hyundai's under-construction EV plant. The bill, which received a final nod from the State Senate with a 32-22 vote, will permit private utilities to quench the thirst of burgeoning housing developments near the plant without jumping through the hoops of local government consent—a move that supporters argue is key to keeping pace with the rapid growth in the area.

In a race against time to keep up with an influx of residents drawn to the $7.6 billion Hyundai plant, proponents of House Bill 1146 claim the change is essential to swiftly provide housing for an estimated 8,500 workers. As reported by WABE, Sen. Max Burns, a Republican from Sylvania, insisted, "We have to find a way to meet an immediate need for workforce housing, and in order to get that done we need to have a private water option and a public water option."

The controversy, however, flows deeper than simple provisioning of resources. Detractors of the bill argue that it undermines local governance and the carefully curated management of water resources in Georgia's coastal nexus of growth. The move has alarmed some who fear it could disrupt the balance between availability and sustainability. "As a local government guy and a guy who has built water systems, I know how difficult it makes it when a private water system comes in and cuts out a part of the county," Sen. Frank Ginn, a Danielsville Republican, told WABE.

At the heart of the debate is the Savannah-based company, Water Utility Management, which has been fighting to bypass local government approval to supply drinking water directly to new developments—a move they say would eliminate the county's "veto power" over private systems. CEO Mark Smith, speaking to a Senate committee, justified the push by pointing out that local laws currently allow the county to effectively block new private water projects. The bill will enable the company to sidestep local governments that are unable to commit to providing water for a development project within an 18-month timeframe.

With Republican Gov. Brian Kemp's signature still pending, the implications of this decision are poised to ripple beyond Bryan County, affecting much of coastal and southern Georgia. Conservation groups and the Georgia Municipal Association have joined forces with the Association County Commissioners of Georgia to voice their opposition. Meanwhile, Bryan County itself is concurrently expanding its own water and sewer system with a $360 million investment, a project engineered to serve the same plant and nearby homes, hoping to recoup its costs through customer fees. "A private utility would be an unwelcome competitor as the county seeks customers to help repay $120 million in loans used to fund the project," Trent Thompson, the engineer overseeing the county's water expansion, conveyed in a Senate committee appearance covered by WABE.