Hilton Head Island Weighs Penny Sales Tax for Roads Today
Published November 3, 2026 at 5:25 am|By Bristol Ainsley, Staff Reporter
HILTON HEAD ISLAND, S.C. — Beaufort County voters settle a proposed one-cent transportation sales tax at the polls on Tuesday, and Hilton Head Island business leaders are urging a yes vote to fix crash-prone spots on U.S. 278.
The first ballot question would add a penny to the local sales tax, capped at nine years or $780 million in collections, whichever comes sooner, lifting the county rate from 6% to 7%. Housing costs, fuel, prescription drugs and grocery staples would not be taxed. A second question would let the county issue up to $450 million in general obligation bonds, repaid from the tax, so design and construction can start sooner.
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Under the county plan, $326 million would go to safety and intersection work, $205 million to widening and $249 million to resurfacing and paving dirt roads. A citizen-led oversight committee would track spending and set project priorities.
The Hilton Head Island Chamber of Commerce points to two island intersections along U.S. 278, including the one at Spanish Wells, as among the most dangerous in the area. Opponents counter that the plan does not differ enough from past penny tax attempts. County Council gave the ordinance final approval on June 22.
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Bristol is a staff reporter for HERE Hilton Head covering local news, community stories, and developments across Beaufort County. Bristol is committed to accurate, community-first journalism.
