Key vote to revamp SPA set for today

COLUMBIA - The State Ports Authority is one vote away from a significant overhaul that South Carolina legislators pushing for the change said is necessary to restore the shipping industry's confidence in the Charleston port.

Tangled up in the bill is a provision that addresses critical access for the region's two major rail carriers, and that is at the center of a boiling feud with North Charleston Mayor Keith Summey.

Summey has threatened to take legislators to court if the rail provision makes it into law. The provision originally ordered that ownership of a rail line and right of way at the north end of the former Charleston Naval Base be transferred to a state entity.

North Charleston officials have taken the stance that the measure was designed to open the north end of the former Navy shipyard to rail lines capable of serving cargo from a new port terminal at the south end, despite an agreement that prohibits access from the revitalized northern end of the old base.

On Wednesday, Sen. Larry Grooms, R-Bonneau, led an effort to scale back the rail access provision. The Senate amended the bill and sent it to the House with new wording that essentially pushes off the access issue until a pending court case on the matter is settled.

The House is expected to vote today to send the bill to Gov. Mark Sanford for consideration or force it into conference negotiations.

Rep. Jim Merrill, R-Daniel Island, said he believes the new rail access provision puts legislative leaders in the position to work with North Charleston to make sure CSX and Norfolk Southern have access to the port.

He said the vast majority of Upstate companies do business with Norfolk Southern, but CSX is the rail line that currently has the best path of access to the port.

Some lawmakers said dual access is necessary to keep the port price competitive. "Unless we intervene, it is not going to happen," Merrill said.

He persuaded the House to uphold Sanford's veto on a budget item that also dealt with rail access. Sanford's veto was based on the idea of free negotiations between the parties involved without legislative directive dictating the process.

Merrill disagreed with Sanford's reasoning and called much of his veto message false, but Merrill said the issue needed to be dealt with in the port restructuring bill, not the state budget.

The bulk of the restructuring bill addresses the makeup of the port authority's governing board, including qualifications and education and experience standards for the board members.

The legislation also calls on the port to sell land it owns on Daniel Island and in the town of Port Royal, among other measures.

The big picture shouldn't be lost in the rail access fight, Merrill said.

Charleston-area leaders decided to intervene in port affairs after some lawmakers began to feel that the port authority was more interested in making a profit than it was in serving as an economic driver for the state.

In recent months, the port's biggest client announced it was leaving and the authority's Chief Executive Officer Bernie Groseclose abruptly resigned.