The question of whether the county will collect $420 million in penny sales tax to fund transportation infrastructure improvements is murky after a contentious municipal meeting flared tensions between Chatham County and City of Savannah officials Wednesday morning.

"Don't come for Chatham County," Chatham County Chairman Chester Ellis told Savannah City Manager Jay Melder, adding, "at some time down the line, y'all need to get on the page with the rest of us."

The conflict came after Ellis posed the reality that if Savannah opts out of the referendum, then a majority of the sales tax dollars wouldn't be shared with the rest of the county, since the majority of spending occurs in Savannah city limits. The City of Savannah wants to be a part of the sales tax revenue stream, but needs more time to gather public input and pass a city council resolution.

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Credit: Richard Burkhart/Savannah Morning News

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Credit: Richard Burkhart/Savannah Morning News

The referendum in question is TSPLOST, the special local option sales tax referendum. It is a tax revenue source Georgia municipalities can use to fund public capital improvement projects, from arenas and bridges to school buildings. The county is looking to raise $420 million for transportation-related improvements over the next several years, with projects coming to fruition in the long-term.

But conflict over how, why and when the TSPLOST referendum should be used has forced a new conversation: move the vote to November's ballot or forge ahead and have people vote on it during the May primary?

Ellis said he would move the vote to November if that's what the majority wants, but he doubted the municipalities would take the steps to meet deadlines, citing the City of Savannah's lack of a project list. Each municipality was to submit its priorities to the county by Jan. 14 for discussion at Wednesday's meeting. Chatham's other seven cities have forwarded lists and signed intergovernmental agreements with the county.

"Y'all didn't do the work, and that's frustrating," Ellis said. Later, he reiterated this point toward a table of Savannah city officials and employees, "If I give you more time, you're gonna do less."

The deadline to submit ballot language to the Chatham Board of Elections is Feb. 22, more than a month away. The ballot language includes the project lists,

Savannah Aldermen Nick Palumbo and Alderwoman Estella Shabazz both spoke about the need to present a stronger message to voters. Mayor Van Johnson was not in attendance, he was in Washington D.C. for U.S. Conference of Mayors.

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Credit: Chatham County

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Credit: Chatham County

"And surprisingly, as I've found in just two years in public office, people don't like taxes," Palumbo told Ellis in jest. "We're gonna have to find a stronger message together. And I fully support the November initiative."

In a show of hands, about two-thirds of the 40 attendees of Wednesday's meeting supported moving the vote to November. The City of Pooler largely voted to keep the referendum on May's ballot. Trip Tollison, CEO of the Savannah Economic Development Authority, said the business community would prefer the referendum to be on November's ballot, when more progressive voters will turn out and TSPLOST has a better chance of passing.

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Credit: Chatham County

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Credit: Chatham County

Savannah supports TSPLOST, Melder said in an interview after the meeting. The city just wants to make sure funding and project priorities are in line with what Savannah residents want.

"There's a lot of things driving the need to rethink the timing. One is, there are still some things left between the jurisdictions to work through to better plan for on behalf of voters," Melder said. "And then, we want to make sure when we put it in front of voters, we're positioning it in the most successful way to pass."

The county has to pass a resolution by Jan. 28 for TSPLOST to be included on May's ballot so taxes can begin to be collected in October. Before that deadline, there will be a decisions whether the vote will be moved or stay on its original timeline.

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Credit: Richard Burkhart/Savannah Morning News

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Credit: Richard Burkhart/Savannah Morning News

City calls on county to expand CAT routes in upcoming TSPLOST

The City of Savannah has one major request for the county when it comes to TSPLOST: address the countywide lack of accessible public transit.

Funding distribution breakdowns reserve $2 million for the Chatham Area Transit Authority (CAT), but Melder said the city wants to see a definitive action plan to expand the bus routes to other municipalities. Expansions are especially needed in West Chatham, where warehousing and manufacturing has become a major source of employment.

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Credit: Richard Burkhart/Savannah Morning News

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Credit: Richard Burkhart/Savannah Morning News

"The City of Savannah's view is that we need a strong countywide transit system, and we're looking for the county government to provide leadership and think that TSPLOST is the right way to do it," Melder said after the meeting. "We're not displeased with what we see in these last (funding allocations) to CAT, but want to see some stronger provisions."

The public transit system is facing a bus driver shortage and has heard calls from residents on the need to expand routes but has not had the budget to do so. Several Chatham County municipalities, such as Pooler and Bloomingdale, have opted not to participate in the public transit system, meaning most of West Chatham — the area where lower-income Savannahians are being pushed due to rising home values — are cut out of public transportation options.

Savannah Mayor Van Johnson, who responded from Washington D.C., said Savannah wants to see a commitment from the other municipalities to help solve their problems around transportation.

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Credit: Richard Burkhart/Savannah Morning News

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Credit: Richard Burkhart/Savannah Morning News

"It's as simple as Chairman Ellis leading on his commitment to us to ensure we have equitable public transportation countywide," he said in a text message statement.

Officials question if federal funds negate need for referendum

As cities and counties are set to be awash in federal dollars from the bipartisan Infrastructure Act and American Rescue Plan, officials from across the county questioned whether TSPLOST, aimed at "filling the gap" of infrastructure needs in the community, was redundant.

"I think there's some confusion over all the government money that's coming, but we need another tax?" asked 1st District Chatham Commissioner Helen Stone.

City of Savannah aldermen and county commissioners questioned the process, citing the need for more public input and the need for more tax revenues amidst record-breaking federal funding pouring into local governments.

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Credit: Chatham County

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Credit: Chatham County

Ellis said the TSPLOST funds "fill the gaps" of the two federal funding sources, mainly citing neighborhood-based improvements as the primary goal of the referendum. About a third of the TSPLOST dollars are reserved for large-scale projects, like widening Quacco and Little Neck Roads, with the rest of the $420 million revenue slated for resurfacing and local projects.

Georgians will see about $13 billion from the infrastructure bill and at least $17.4 billion from the American Rescue Plan. Local funding amounts are still being worked out for the infrastructure bill.

Zoe covers growth and how it impacts communities in the Savannah area. Find her at znicholson@gannett.com, @zoenicholson_ on Twitter, and @zoenicholsonreporter on Instagram. 

This article originally appeared on Savannah Morning News: TSPLOST referendum may be pushed to November ballot after county, city officials spar

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