BiS: BusinessInSavannah.com - Business news for the creative coast.
In Case You Missed It

Portside: Yacht tax bill stays alive in Senate

House Bill 125, a measure designed to level the playing field with Florida in attracting major yacht repair work to Georgia, remains mired in committee in the Senate, but is expected to come to the floor for a vote later next week.

Passage of the bill, which caps the sales tax on a repair or refit, is expected to be the deciding factor in whether or not Savannah becomes a major East Coast hub for the repair and refitting of mega yachts, an industry that one study indicates could have an annual economic impact of $144 million for Chatham County alone.

“Georgia is poised to become a significant force in the yacht repair and refit industry currently dominated by Florida,” said Rob Demere, president and CEO of the Colonial Group Inc., which owns the former Intermarine USA shipyard and is ready to pump $50 million into the facility he says will be “second to none on the East Coast.”

Without passage of the bill, Demere sees Florida’s advantages as too great to overcome.

House Bill 125 specifies that a boat owner would get a sales tax break on parts, engines and other equipment for a refit or repair, but only after the first $500,000 is spent.

The bill is similar in scope to legislation passed in Florida in 2015 that capped the sales tax for repairs on a yacht at $60,000. New York also passed a law that same year capping sales taxes on yachts in an effort to compete with Florida.

An economic impact study conducted by Armstrong State University economist Michael Toma found that, when fully operational, the Savannah Yacht Center will support on a statewide basis nearly 800 direct and indirect jobs, as well as wages of $50 million, tax revenue of $5.5 million and $171 million in economic activity, annually.

That alone should make it an easy decision. It has the full support of our local legislative delegation and elected officials as well as the blessing of our local and state economic development groups. Will that be enough? Stay tuned.

^

World’s biggest — for now

The world’s largest containership was named in a ceremony Wednesday at Samsung Heavy Industries ’ Geoje shipyard in South Korea.

At 1,312 feet long and 190 feet wide, the MOL Triumph is capable of carrying 20,125 TEUs — or 20-foot equivalent containers. It’s the first of four ultra-large container ships being built for the Japanese shipping company.

In addition to its massive size, the ship boasts and array of energy-saving equipment designed by SHI. The Triumph is scheduled to be delivered March 27.

Her reign as the world’s largest container ship is expected to be short-lived, however. Hong Kong’s Orient Overseas Container Line — OOCL — has six ships nearing 21,000 TEUs due for delivery starting later this year.

^

Senior business reporter Mary Carr Mayle covers the ports for the Savannah Morning News and savannahnow. She can be reached at 912-652-0324 or at mary.mayle@savannahnow.com.

More Info

Breakout Box: 

Ship schedule

Following are the ships expected to call on Georgia Ports Authority’s Garden City and Ocean terminals this week. Schedules are supplied by GPA and are subject to change.

TERMINAL VESSEL ETA

GCT MSC DONATA Today

GCT MAERSK WEYMOUTH Today

GCT MSC KATYA R. Today

GCT MAERSK KOTKA Today

GCT MSC MARIA ELENA Today

GCT CMA CGM SAMBHAR Today

GCT HOUSTON EXPRESS Today

OT GRANDE LUANDA Today

OT FIDELIO Today

GCT UASC ZAMZAM Saturday

GCT MSC VANESSA Saturday

GCT ARICA Saturday

GCT CMA CGM NERVAL Saturday

GCT MAERSK KAWASAKI Saturday

OT TAMERLANE Saturday

GCT MAERSK PITTSBURGH Sunday

GCT MAERSK SANA Sunday

GCT KAAN KALKAVAN Sunday

GCT ST LOUIS EXPRESS Sunday

GCT SEOUL EXPRESS Sunday

GCT SANTA REGULA Sunday

GCT MSC ILONA Sunday

TERMINAL VESSEL ETA

GCT MSC ZLATA R Sunday

GCT KOTA LUMAYAN Sunday

GCT ZIM QINGDAO Monday

GCT SAINT NIKOLAOS Monday

GCT NORTHERN PROMOTION Monday

GCT MSC ANIELLO Monday

GCT MOL MOTIVATOR Monday

GCT EVER LIVING Monday

GCT YM UTMOST Monday

GCT CMA CGM AMERICA Tuesday

GCT BERLIN EXPRESS Tuesday

GCT ATLANTIC BREEZE Tuesday

GCT CMA CGM AMBER Tuesday

OT PROMISE 3 Tuesday

GCT ZIM CONSTANZA Wednesday

GCT HYUNDAI PLUTO Wednesday

GCT PACON Wednesday

OT TOMBARRA Wednesday

OT TARAGO Wednesday

OT ASIATIC Wednesday

GCT EVER LIVEN Thursday

GCT ZIM LOS ANGELES Thursday

GCT MAERSK KINLOSS Thursday

GCT MAERSK KURE Thursday

GCT SEAMAX NORWALK Thursday

GCT MSC VITTORIA Thursday

GCT NYK OLYMPUS Thursday

GCT ZIM NEW YORK Thursday

Comments

In Case You Missed It