From Deseret News archives:
Everglades land deal in jeopardy from competition
The state of Florida is currently working to secure financing so it can buy 180,000 acres of land in the Everglades from U.S. Sugar Corp., the nation's largest producer of cane sugar, for $1.34 billion.
The company agreed last year to sell its nearly 300 square miles of farmland to Florida, which wants to use some of it for environmental restoration and do away with acres of agriculture that have long been blamed for polluting the Everglades ecosystem.
In the meantime, U.S. Sugar is still entertaining bids from competitors, putting the state deal in jeopardy.
A 60-day period during which U.S. Sugar was required to take bids — and could seek out bids — ended Monday. However, the company can continue to entertain unsolicited bids until the state secures financing, something officials say they hope to happen by summer.
"We have several interested parties," said U.S. Sugar Vice President Robert Coker, who declined to name them.
One is a Tennessee-based farming company, The Lawrence Group, that is seeking to undercut the state contract.
"It's a very active time right now," Coker said. "If an offer is better than the state's, then the state will have an opportunity to come back in and match that offer. If they choose not to match that offer, then we can pay a breakup fee and walk away."
That means U.S. Sugar, under the terms of a contract signed last year with the state, pays $40 million and the much-hyped deal is off.
Kirk Fordham, CEO of the Everglades Foundation, said he believes the deal will eventually go through, but predicted dire consequences if it doesn't.
"If a third party buys U.S. Sugar and undercuts the state, in all likelihood, the opportunity to restore the Everglades as we've envisioned here might be forever lost," Fordham said. "It's possible that any new land owner could conceivably chop it up for development, rock mining and other agricultural purposes that would leave Everglades restoration in the dust."
For its part, The Lawrence Group has said it would work with the state to sell some land needed for restoration, while keeping jobs and farmland in production.
The South Florida Water Management District, charged with overseeing Everglades restoration, said their agency remains committed to the deal. State officials did not return repeated calls seeking comment.
