A downsized Everglades land deal is still a big deal to both sides as the South Florida Water Management District board meets this week.
In two days of meetings beginning Wednesday, the board will consider a proposal to acquire 26,800 acres from U.S. Sugar Corp. for $197 million.
The Everglades Foundation calls the purchase essential.
"There is widespread agreement in the scientific community that Everglades restoration is virtually impossible without strategic land acquisitions within the Everglades Agricultural Area," said Richard Gibbs, spokesman for the Palmetto Bay-based foundation.
But the deal doesn't wash with critics who call it a "corporate bailout" for a sugar concern and gross political favor-trading by Gov. Charle Crist, who helped to engineer the sale for one of his prime campaign contributors.
The original plan involved 187,000 acres and all of U.S. Sugar's assets for $1.75 billion, but it has been repeatedly trimmed as the district wrestles with budgetary shortfalls. The latest revision works out to a cost of $7,400 per acre.
"The deal is still bad for taxpayers and still a bailout of the U.S. Sugar Corp.," said Marianne Moran, head of Tea Party in Action.
Moran said her group and others will be on hand at the district's headquarters in West Palm Beach to protest the proposed purchase, as they were during last month's board meeting.
"At the last meeting Chairman (Eric) Buermann told everyone that they had not figured out how to pay for this deal but would not raise property taxes," Moran related.
"There are only three ways to pay for this bad deal -- go into debt, use reserves or raise taxes. All three options are unacceptable to taxpayers on a deal that will only rescue the fortunes of U.S. Sugar under the guise of Everglades restoration," she said.
The water district's previous purchase plan is hung up in the Florida Supreme Court, as opponents, including Florida Crystals and the Miccosukee Tribe, contest the district's proposed financing plan. By downsizing the acquisition, the district says it can swing the deal with cash on hand and avoid legal complications.
But officials have acknowledged that something will have to give, even with a smaller purchase price. If it proceeds with the land deal, the district may not have enough money to pay for both a half-built reservoir, which earlier this year a federal judge ordered the district to resume, and the new land -- all of which will be leased back to U.S. Sugar for 10 years.
The latest plan encompasses 17,900 citrus acres in Hendry County, which will be leased back to U.S. Sugar at no cost, and 8,900 sugar cane acres in Palm Beach County that carry a $150 per-acre lease rate.
Gibbs said, "We recognize the challenging position that confronts the water district in financing a more ambitious land acquisition during a prolonged recession.At the same time, the state cannot afford to indefinitely delay efforts to save the Everglades and our water supply.
"The board should adopt this revised contract with the understanding that, as the states fiscal condition improves,much more work needs to be done to save the Everglades and protect our water supply."
"In the abundance of caution to taxpayers, the governing board should be prudent and wait until the federal judge rules on whether it will be compelled to build the reservoir and not play Russian roulette with the taxpayers' money," Moran said.
Contact Kenric Ward at kward@sunshinestatenews.com or at (772) 801-5341.
