Bob Coxe—WSB, Atlanta—Interviews Gubernatorial Candidates David Poythress and John Oxendine about the Linger Longer Communities-Jekyll Island Authority Partnership Agreement

Note from IPJI: The transcript below is a word for word account of WSB’s interview with General David Poythress and Mr. John Oxendine.  Since the radio version of the interview consists of clips from Mr. Coxe’s off-air conversation with each of the candidates, some of the statements may seem incomplete. 


Atlanta, March 22, 2009

Pete Combs:  Jekyll Island is one of the most beautiful places along the entire east coast.  But lately it’s been in need of a face lift. So the Authority appointed by the Governor to oversee Jekyll Island has been looking for a new developer.  But the contract to re-develop the island is now raising questions, about whether it’s as good a deal for the island and the taxpayers as it appears to be for the developer.   WSB’s Bob Coxe reports that may become an issue in next year’s Governor’s race.

Bob Coxe: The only announced Democratic candidate for Governor, former Secretary of State and Labor Commissioner David Poythress recently put out a position paper calling the Jekyll development deal a monumental sellout to a politically connected developer.

David Poythress: The level of political influence wielded by members of the Jekyll Island Authority with the current Governor and this administration.

Coxe: He notes the Board awarded the contract to Linger Longer last November in a brief conference call meeting not many people knew about.

Poythress:  When the vote was taken, at a time when it was pretty clear that this was not the best deal and people were beginning to ask questions, that was the meeting that was held virtually in secret and notice went out Friday afternoon late by email, and then the meeting was held first thing Monday morning, over a holiday weekend.

Coxe: Poythress says the company will only have to pay a tiny percentage of its profits from the project to the state and will end up running much of Jekyll.

Poythress: The airport, the golf courses, the restaurants, the condos, the hotels, even the miniature golf course, the water park – you name it, they control the island.

Coxe: State Insurance Commissioner John Oxendine, who’s seeking the Republican nomination, thinks the Jekyll contract is a “sweetheart deal.”

John Oxendine: There does need to be more modern structures built, no question about that. The problem is we have basically given huge incentives to somebody to come in and develop on some of the most prime beach land available on the Atlantic coast.

Coxe:  He doesn’t think it’s an accident that the company that won the contract, Linger Longer, has long standing connections to powerful Republican politicians including Governor Perdue.

Oxendine: "I will tell you both the Governor and Lt. Governor have been very supportive of this; and the developers are actually very dear friends of theirs from the Reynolds family, which is a very well connected family, from Governor Perdue, the Lt. Governor, George Bush.  And that family will be making a great deal of money."

Coxe:  Lt. Governor Casey Cagle, who is also interested in the Republican nomination, declined to be interviewed for this story. Governor Perdue’s spokesman Bert Brantley says his boss never attempted to steer the Board toward Linger Longer or anybody else.

Brantley:  There’s boards all over the state that the Governor appoints, and the direction that we give to them is “Do a good job,” and there’s very little micro-managing or anything like that coming from the Governor’s office.

Coxe: But that’s not the way Oxendine sees it.

Oxendine: For a sitting Governor to say he had nothing to do with it, there’s no responsibility, in my opinion, is not true leadership.  It was his appointees, he could have weighed in and intervened and prevented this from happening if he’d wanted to.

Coxe:  Brantley says the Board is no rubber stamp and has shown a willingness to listen to citizen complaints.

Brantley: The process that they went through to select a partner was the same any other board goes through, and they’ve ended up with a partner that will work with them and move that project forward.

Coxe: The Jekyll Island Authority also declined a request for an interview.  Poythress worries the Board’s long term plan may include jacking up the leases the island’s residents pay for their land to unaffordable levels.

Poythress: I think that’s ultimately what will happen if the deal is allowed to go through.  They will slowly but surely drive all of the private residents off the island.

Coxe: He also cites a recent study by a consulting firm of how much of Jekyll is currently developed.

Poythress: In which they included all of the land on the causeway into the total island’s square footage for the purpose of, obviously, increasing the amount that can be developed.  Well, that’s just mathematical sleight of hand to get away with a much more intensive development of the island than the law really allows.

Coxe: Which is 35 percent, max.  Oxendine says it’s hard to dispute the idea that Jekyll needs revitalization.

Oxendine: We do not necessarily want to see Jekyll Island ever turned into a Hilton Head.

Coxe: If he’s elected our next Governor, Oxendine would favor re-examining the whole Jekyll deal, but….

Oxendine:  By that time you’re talking almost two years from now; it might be impossible simply because of the passage of time.

Coxe: Poythress would like to see a thorough investigation of this entire project, maybe by the U.S. Attorney’s office.

Poythress: What deals were made, what propositions were turned down, and why they have consistently stonewalled the public on this deal, and the public has gotten a very bad deal.

Coxe: But the Governor’s spokesman says in the end Georgians will like the improvements that are coming to Jekyll.

Brantley: Let’s return Jekyll to what it used to be, which was a destination that Georgians wanted to visit, and they wanted to stay in-state when they took their vacations instead of driving past it into Florida.