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Boeing picks South Carolina for second 787 line

COLUMBIA, SC (WIS) - "Transformational" -- that's the word South Carolina lawmakers used Wednesday to describe the announcement from Boeing that they would be bringing an assembly plant to North Charleston.

The Chicago-based airplane maker says it chose North Charleston over Everett, Wash., because it said the location would best support its 787 business plan as it increases production rates.

The move is already generating comparisons to the deal that brought BMW to Greer in 1992.

"This is analogous to what we did 20 years ago when Carroll Campbell was governor with BMW, which has been a tremendous boon to South Carolina," said Sen. John Courson. "Not only with jobs that are there in Greer, but in spin-off industries that have been attached to it."

The announcement by state lawmakers that Boeing had chosen North Charleston for a new 787 assembly line came after months of negotiations and rapid-fire legislative action.

"You know, I think this is one of the most important economic development announcements we've had in South Carolina history," said state Sen. Hugh Leatherman. "Probably ever."

That action resulted in an incentive package providing the aircraft maker with tax breaks on fuel, computers, construction materials and income.

Legislators also are providing $170 million in bonding and a non-union workforce.

In return, the Palmetto State gets a manufacturing operation that by law will have to generate nearly 4,000 jobs and investment of $750 million.

That may be only the start according to Gov. Mark Sanford.

"There's a supplier network that really goes across every county in this state as a result of BMW's investment. And I think you'll see the same kind of thing given the magnitude of this investment," said Sanford.

Construction on the new facility could begin as soon as next month.

Boeing's plans also come at a crucial time for Sanford, with lawmakers calling for his resignation and pressing for impeachment following revelations of his affair with an Argentine woman and questions of his use of state resources.

"Maybe this is a sign of how we can work together, the legislative branch and the executive branch perhaps this final year," said state Sen. Joel Lourie. "You know I think everybody's ready to move South Carolina forward again. This is a tremendous opportunity."

Sanford was quick to thank several legislators for their work on this deal. He singled out Leatherman, Senate Pro Tempore Glenn McConnell and Speaker of the House Bobby Harrell.

All three of those lawmakers have called for Sanford's resignation. Leatherman even questioned the governor's refusal to take federal stimulus funds.

Despite the bad blood, the governor had high praise for the trio.

"But, this team -- and I really want to single out Hugh on this front -- were really incredible in the way they stepped up to the plate in watching out for the taxpayer," said Sanford. "We've had our differences on that front for many years, but I'm going to give credit where credit is due because he absolutely did do that."

Sanford added there was "nobody better" than McConnell when it comes to moving legislation through.

"I just want to give compliment to the legislative team for the way they absolutely lead on this project," said Sanford.

Meanwhile, state legislators in Washington are disappointed with the deal.

State Sen. Patty Murray says Boeing overlooked its well-trained workers in its decision to move the plant.

Murray calls that decision shortsighted and says it overlooks generations of experience building airplanes in the region around Seattle.

The South Carolina Policy Council is also speaking out against the plan. The group says the bill the legislature passed grants Boeing sales tax exemptions for fuel, computers and construction materials for ten years.

The group says the decision is good news for the state, but taxpayers will have to pay the company to do it.

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