SCDOT presented options for US 278. Which ones can Beaufort County actually afford?
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With a March 31 deadline approaching, Beaufort County and the Town of Hilton Head must choose between six options for the U.S. 278 Corridor project or risk losing over $120 million in funding.
The project, designed to replace the eastbound MacKay Creek Bridge and improve traffic flow between Moss Creek Drive and Spanish Wells Road, has faced delays due to rising costs and a failed sales tax referendum. The county has since been left scrambling for alternative solutions while avoiding raising property taxes.
As county and town council members prepare for a joint meeting next Wednesday to decide the project’s future, a deep dive into cost estimates revealed which of the six options are financially feasible. With nearly $299 million available, here’s a breakdown of the county’s funding and the cost of each alternative.
Current county funding
Funding for the project is being provided by five entities: Beaufort County, Town of Hilton Head, Lowcountry Area Transportation Study (SCDOT), South Carolina Department of Transportation and the State Infrastructure Bank. So far, $298,850,000 has been accumulated.
The county has contributed $101 million to the project, with $80 million coming from the 2018 sales tax and $21 million from impact fees, Assistant County Administrator Jared Fralix said at a county workshop earlier this week. The town has provided a little over $3 million through right-of-way donations and the State Infrastructure Bank has provided $120 million. SCDOT has contributed $74.5 million and may be willing to contribute an additional $16 million specifically for the MacKay Bridge.
Preliminary engineering, which includes funding allocated for planning, design and necessary environmental studies like the Lowcountry Area Transportation Study, as well as right-of-way funding set aside for acquiring land or property rights needed to expand or improve a roadway and construction costs were included in the totals.
Cost estimation for 6 options
Back in 2017, when the project was set to begin, the estimated cost of the project was $292 million; however, inflation and rising construction costs caused the cost of the project to nearly double to $488 million, leaving a $190 million shortfall. As a result, SCDOT has come up with six alternative funding options ranging from $89 million to $467 million.
$257.7M - Lifeline option without multiuse pathway
Includes a three-lane bridge with breakdown lanes
The bridge would be stripped for two-lanes
Cost Comparison: The costs of half the project may not necessarily be half the total cost
Affordable within the current budget
$319.3M - Lifeline option with multiuse pathway.
Includes a three-lane bridge with breakdown lanes
Includes a protected multiuse pathway
Exceeds budget by $20.45M (funding gap)
$273.7M - Lifeline option without multiuse pathway
Includes three lanes eastbound from Moss Creek to Spanish Wells Road
Affordable within the budget
$340.8M - Lifeline option with multiuse pathway
Includes three lanes eastbound from Moss Creek to Spanish Wells Road
A protected multiuse pathway on the bridge, and a pathway connection to Moss Creek and Jenkins Island
Exceeds budget by $41.95M (funding gap)
$466.8M - Full project cost anticipated for 2024 (number has fluctuated)
$167.95M or more (would require significant additional funding)
$88.6M - Replacement of only the MacKay Creek eastbound bridge
Very affordable, but would not address full corridor needs
The cost of each option is expected to increase based on prior trends. For option one, the county would need to negotiate with the State Infrastructure Bank to maintain the $120 million commitment, as stated at the county workshop. For option six, the State Infrastructure Bank would most likely withdraw its funding and the SCDOT would possibly contribute an additional $16 million. Option six would also be the default option if no decision or funding plan is agreed upon by the March 31 deadline.
Unless additional funds are acquired, options one and six are the most feasible for the county’s budget. To date, funding avenues are limited within the deadline, as the county has previously stated that there are no alternative local projects from which funds can be diverted.
This story was originally published February 6, 2025 at 2:41 PM.
