Georgia lawmakers approve private water utility bypassing county to serve homes near Hyundai plant

SAVANNAH, Ga. — Georgia lawmakers gave final passage Thursday to a change in state law that would allow a private utility to provide water service for new homes near Hyundai‘s upcoming electric vehicle plant without first getting permission from local governments.

The state Senate approved House Bill 1146 by a vote of 32-22 on the final day of the legislative session. The measure now goes to Republican Gov. Brian Kemp to be signed into law.

Hyundai broke ground in October 2022 on its first U.S. factory dedicated to producing EVs and the batteries that power them. It’s the largest economic development project in Georgia’s history, and construction has progressed quickly as the South Korean automaker seeks to begin manufacturing cars by the end of this year.

Supporters of the bill said the legislation is needed to accelerate home construction in Bryan County, where Hyundai plans to employ 8,500 workers at its $7.6 billion EV plant west of Savannah. They say the county’s water system can’t meet the area’s growing need for housing, but local officials have been reluctant to give a private utility their consent to help provide service as the law currently requires.

“We have to find a way to meet an immediate need for workforce housing, and in order to get that done we need a private water option and a public water option,” said Sen. Max Burns, a Republican from Sylvania who supported the proposal.

Opponents argue that letting private utilities bypass city and county governments undermines their ability to manage limited water resources in Georgia’s rapidly growing coastal region. The Georgia Association of Water Professionals said it would also circumvent safe drinking water rules intended to protect Georgia consumers.

Sen. Frank Ginn, a Republican from Danielsville, said he opposed the change because it would allow private utilities to disrupt local planning for growth and development. Before serving in the legislature, Ginn worked as a city and county manager.

“As a local government guy and a guy who has built water systems, I know how difficult it makes it when a private water system comes in and cuts out a part of the county,” Ginn said.

Savannah-based Water Utility Management, a private company that supplies drinking water to 32,000 homes in 17 Georgia counties, pushed lawmakers to pass the bill. It would allow the company to bypass local governments that are unable to provide water for the same development project within 18 months.

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