Cities Mean Business

Updated annexation laws a key to competitiveness 

2/14/2008 
Opinion column by Ed Sellers and George Fletcher, Greenville News

The recent focus on South Carolina's annexation laws prompted by the Midlands area issue in the city of Cayce brings up a growth question that has long been ignored by our state. A recent piece in The State newspaper focused on this question by highlighting the challenges posed by the state's outdated annexation laws and the fact that current laws are inhibiting the economic growth of our state.

We couldn't agree more. This is more than an issue affecting just our individual neighborhoods and communities. It's more than a question of turf among cities, counties and special purpose districts. It's more than an issue of preserving green space over building more affordable homes.

South Carolina's outdated annexation laws present yet another challenge to our state when we look at how we compete regionally, nationally and internationally in the new economy. We see ourselves compared daily in the media to our neighbors in the Southeast, especially Georgia and North Carolina. Both of these states have annexation laws that better reflect today's growth patterns and allow cities to grow and expand as their population on the urban fringe grows.

South Carolina's annexation laws give us just another reason to fall behind in our ability to attract businesses and workers of the new economy because our cities are constrained by artificial boundaries that can't keep up with the pace of our neighboring states. Not that any of our cities aspire to be a New York or Atlanta, but we do need to give our cities increased flexibility to take in new residents when it makes good sense.

New Carolina is in the business of increasing the state's competitiveness through changing the way we think about ourselves and our economy. Through strong partnerships with organizations around the state, we are working toward a new and better South Carolina -- one that encourages its cities and towns to become bustling metropolitan areas through planned growth. The fact that our state's annexation laws can literally choke the positive growth in the hubs of regional economic growth -- our cities and towns -- is one of the major, yet often overlooked, challenges we face.

At New Carolina, we believe that developing clusters will help build our state's economy. Clusters are groups of businesses that traditionally might be competing with one another but now work together to build on their common interests. Strong cities are anchors for successful clusters. By supporting the development of clusters and regional collaborations, cities and towns become the foundation of the bridge we must cross to make ourselves able to compete regionally, nationally and internationally.

A progressive and proactive approach to reforming annexation laws is needed by our General Assembly. Fortunately, several members of our state Legislature see this need for our cities and towns to propel our state to economic superiority and competitiveness. While introduction of annexation reform legislation isn't new -- the state's Municipal Association has been supporting this for years -- there seems to be some broad legislative interest in pushing annexation reform this session.

Sen. Jim Ritchie from Spartanburg introduced three bills last year that address the three major annexation issues -- filling "doughnut holes" of unincorporated areas completely surrounded by a municipality, expanding cities based on the population and degree of urban development, and reducing the number of property owners who must agree to an annexation.

Rep. Ben Hagood of Charleston is currently working on a comprehensive annexation reform package in conjunction with several unusual bedfellows including the state's municipalities and conservation interests. Both of these legislators understand that better annexation laws are the key to smart, planned growth in our state.

When we allow cities to grow to their natural boundaries where the population is growing, they are better able to show realistic evidence of local population numbers and growth patterns to potential investors in their city.

Certainly there are many issues to consider when updating these laws that no longer reflect today's growth patterns -- density, services and taxes are just a few. But just the fact that this very important economic competitiveness issue is being discussed in our Legislature is a very good sign.