Will Exit 3 On I-95 Become A Reality?

The South Carolina State Infrastructure Bank committed $35 million more for the Exit 3 interchange project along I-95, which has become more expensive. Chris Seward cseward@newsobserver.com

South Carolina’s State Infrastructure Bank is ponying up $35 million more to help build a planned interchange on Interstate 95 just north of the Georgia border.

The Exit 3 project, which initially received a $28.1 million grant and $28.1 million loan from the infrastructure bank, has become more expensive as construction costs rise.

In order to help move the project move forward as part of widening I-95 north of the Georgia-South Carolina border, the bank also is extending Jasper County’s loan repayment for the project by 10 years.

“As part of the Bank’s approval, the Bank required Hardeeville, Jasper County and the owner/developer meet certain conditions ranging from seeking additional funding options and if successful, to provide offset to Bank’s funding,” the bank said in a statement to The State newspaper.

The Exit 3 interchange improvements are part of the SC Department of Transportation interstate widening project from the Georgia state line. SCDOT intends to put the project out for bid in early 2025, which will move the Exit 3 project into the construction phase in the near future.

Work will include building a new interchange, a new connecting road, construction of 1.5 mile parkway north of I-95 and construction of a 3-mile parkway south of I-95. A new Purrysburg Road bridge over I-95 will replace an existing bridge.

The new interchange will help serve a nearby 4,000-acre development with homes, businesses and 15 million square feet of warehouse space.

In 2020, the state infrastructure bank initially provided $56.2 million for project. Half of the money was a grant, the other half through a 15-year loan. The cost of the project was initially estimated at $82.5 million.

With increased costs, the interchange project is expected to cost $163 million. Local entities have committed $72.2 million toward the project, state documents say.

Earlier this year the bank said it was reluctant to cover the higher costs of planned projects that grew more expensive than planned because inflation has wreaked havoc on construction costs. Instead, it wanted to find alternative ways to pay for projects approved four years ago.

Part of the conditions from the bank for its additional financial assistance is Jasper County and Hardeeville seeking additional funding options, any cost savings will offset the bank’s commitment and the bank money would be spent last, according to state documents.

Jasper County and Hardeeville also have to keep the bank updated of efforts to obtain additional money for the project. If the bank isn’t satisfied with those efforts, it has the right to withdraw the additional $35 million for the project.