Politics

HCSWA Moves to Cut Charleston Losses

The Finance Committee of the Horry County Solid Waste Authority board heard Thursday of moves to cut the losses the authority has sustained from its deal to process Charleston County recyclables.

According to HCSWA staff, Charleston County will pay the cost of transportation of its recyclables to Horry County for November, December and January in an attempt to allow the HCSWA to recoup its current losses.

In addition, any amount above 14.5% of residuals will be shipped back to Charleston for disposal.

But, even if the excess of 14.5% is shipped back to Charleston, that won’t solve the other key assumption in the contract that must be met if the HCSWA is ever going to turn a profit from the deal.

Every ton of recyclables above the 14.5% residual threshold means lost revenue that is needed for a profit to be realized.

The estimated profit of $1 million per year is based on a residual rate of not more than 14.5% and the ability to realize an average of $135 per ton revenue from the remaining 85.5% of recyclables processed.

One other problem is the amount of recyclable waste going to the HCSWA landfill.

Horry County Council made it specifically clear that it did not want any Charleston recyclables going into the HCSWA landfill. That space must be saved for Horry County trash and extended as much as possible.

The HCSWA told council it had an arrangement to send C&D waste out of the county in an amount equal to the excess recyclable residual amount realized. This was an airspace neutral arrangement.

The HCSWA claims a historic 14.5% residual rate for recyclables from Horry County.

HCSWA Losing Money on Charleston Recyclables

Four months into a contract to process Charleston County recyclables at its material recovery facility, the Horry County Solid Waste Authority is losing money.

When the contract was being negotiated back in the summer and when it was presented to Horry County Council, the Charleston County deal was estimated to bring in $1 million per year in profits to the HCSWA.

Instead, the HCSWA is on track to lose at least that much by the end of the fiscal year.

Over the last two months (October and November) when all costs including trucking are reported, the HCSWA is losing approximately $125,000 per month.

The major reason appears to be false assumptions on how much of the incoming tonnage of recyclables would be sold.

In October and November, the total amount of recyclables arriving at the MRF was 4,386 and 4,238 respectively. The tons sold in those months were 2801 in October and 2,430 in November.

This left unsold recyclable tonnage of 3,383 (39% of the total) over the two months. The assumptions during the summer were that approximately 14.5% of incoming tonnage would be unsold residuals.

Horry County Council told the HCSWA it didn’t want any Charleston County trash to go into the HCSWA landfill. The HCSWA told council it would send an equivalent amount of construction and demolition debris (equal to the Charleston residual amount) out of the county.

According to sources familiar with the processing, approximately 700 total tons of C&D debris was sent to a landfill in Marion County in October and November. This leaves approximately 2,683 tons of residuals unaccounted for.

It is impossible to tell just how much residual tonnage is attributable to Charleston because Charleston County and Horry County recyclables are mixed when they arrive at the MRF.

Horry County Department of Airports Inconsistencies

Looking at the Horry County Department of Airports through the years, a conclusion can be drawn that businesses operating at the various airports are treated differently.

It’s almost as if winners and losers are chosen by airport officials based on no apparent criteria.

Such an attitude is contradictory to instructions from the Federal Aviation Administration.

Accepting FAA grant money (of which Horry County receives millions every year) and free land conveyance of former Air Force property brings with it certain requirements of and assurances from the county. The most important of these is that the airports and their facilities must be available for public use in a non-discriminatory manner.

However, after discouraging Hooters Air from renting hangar space at Myrtle Beach International Airport by insisting on rental of $5 per sq. ft., the Horry County Department of Airports rented the same hangars to AvCraft for $2 per sq. ft.

That was only the beginning rent. Over a 10 year period the airport department kept reducing rent , in an attempt to keep AvCraft in business, until the company finally went belly up.

The Conway airport was home to the North American Institute of Aviation. The school did well until the late 1990’s when enrollment started to decline.

Local businessman Benjamin Creel bought the school at that point, but its losses continued to mount.

Skydive Myrtle Beach, Horry County and Federal Law

The general aviation procedures at the Horry County Department of Airports seem to raise more questions than answers provided.

The county is currently involved in litigation with Skydive Myrtle Beach over the apparently discriminatory way in which the airport department attempted to treat the skydiving company.

While researching information regarding the ongoing litigation between Skydive Myrtle Beach and Horry County, I came across an interesting piece of information that brings into question leases between the airport department and several individual businesses operating at county airports.

Horry County proposed Skydive Myrtle Beach occupy a hangar at Grand Strand Airport under a space use agreement in which the county would charge Skydive Myrtle Beach $1,200 per month or 24% of the gross receipts of the business, whichever is greater.

The Department of Airport leases with Executive Helicopter at Myrtle Beach International Airport include an annual lease amount or 5% of the gross receipts, whichever is greater.

Skydive Myrtle Beach offered tandem skydiving operations to interested customers. Executive Helicopters provides helicopter sightseeing rides as well as maintenance services.

However, under the terms of what is commonly called the United States Anti Head Tax Act, it appears those charges on gross receipts may be illegal.

The US Department of Transportation, under which the FAA is included, is charged with administering the AHTA.

The AHTA prohibits a state or political subdivision (such as a county) from levying or collecting a: “tax, fee, head charge, or other charge [directly or indirectly] on — an individual traveling in air commerce; … or the gross receipts derived from that air commerce or transportation. 49 U.S.C. § 40116(b)(1), (4).”

HCSWA Board Hubris Round Two – Update

Update

The HCSWA board voted 5-2 to recommend to Horry County Council to vote to remove Dan Gray from the board.

As I’ve said before, this is one of the most arrogant decisions made by a public body in the 32 years I have been living in Horry County.

The five board members who voted yay – Lance Thompson, Pam Creech, Norfleet Jones, Mike Campbell and Sam Graves should be ashamed of themselves and they should immediately resign from the board,

_______________________________

Another discussion to recommend removal of HCSWA board member Dan Gray is listed on the agenda for the Thursday December 10, 2015 solid waste authority board meeting.

An attempt to force such a vote was unsuccessful at the November 24, 2015 meeting of the HCSWA board. The board voted unanimously to defer the issue.

It does not appear that a vote Thursday night will garner the necessary super-majority margin of board members for the recommendation to pass.

However, even if it does, the vote by the HCSWA board only serves as a recommendation to Horry County Council to vote on the issue.

In the case of Mr. Gray, there is an added level of consideration as he is a nominee of the League of Cities to the HCSWA board.

The HCSWA board is comprised of seven members. Four of those members are nominated by Horry County Council. Three of the members are nominated by the League of Cities. All seven members of the HCSWA board are appointed by vote of Horry County Council.

According to several Horry County Council members I have spoken with, there will be no vote by council on the issue unless the League of Cities supports the HCSWA board vote.

According to Aynor mayor and League of Cities chairman, Keb Johnson, the League of Cities remains solidly behind Dan Gray remaining on the HCSWA board.

Therefore, it appears the HCSWA board discussion Thursday night is a waste of time. Even if a super-majority of board members vote to recommend removing Gray from the board, it appears this will nothing more than an attempt to publicly humiliate him because the League of Cities will not support the HCSWA board decision.

SC House Pre-filed Bills

Looking over pre-filed bills for the upcoming legislative year is always a fun exercise and this year is no different.

Most pre-filed bills never make it out of committee because they reflect a member’s personal agenda or message they want to send to the voters in their district.

Some, however, won’t make it out of committee because they would alter the power structure in Columbia.

Several bills filed by Rep. Chris Corley (R-84) fall into this second category. Corley pre-filed several bills to change the way judges are elected in the state. Corley wants the judges on the Supreme Court, Appeals Court, Circuit Courts and Family Courts to be popularly elected by the voters of South Carolina replacing the current system of election by the General Assembly.

In addition, Corley wants to prohibit any member of the General Assembly, their family and those of certain other relationships with members to be prohibited from eligibility for a judgeship for five years after the member leaves office.

I believe the question of popular election of judges should be debated on the floor. The current system of electing judges by a number of members who will be practicing before them has led to a legal system that brings anything but fairness for the general public.

Corley also pre-filed a bill to submit the question of whether the Confederate battle flag should be returned to its place by the soldier’s monument on statehouse grounds to the people in the form of a popular referendum in the 2016 general election.

Other pre-filed bills that caught my eye during a scan of pre-filed bills in the SC House:

Skydive Myrtle Beach v Horry County

Horry County’s ongoing litigation with Skydive Myrtle Beach isn’t as clear cut as county staffers would have you believe.

In fact, the matter is so conflicted that Aero News Network, an online aviation industry publication, did a rather extensive investigation of the ‘so-called’ facts of the case.

Their conclusion: “The matter is convoluted, contains a number of questionable statements (including charges of hazards and safety issues by county officials that appear to be highly suspect and based on less than expert knowledge of skydiving operations/hazards)…”

ANN editor in chief Jim Campbell, a veteran skydiver with USPA jumpmaster and instructor ratings, conducted a series of telephone interviews with Skydive Myrtle Beach staff and customers as well as Horry County officials.

Campbell’s conclusions from those interviews: “So far; no major safety issues have been corroborated and a number of respondents with significant skydiving credentials report few credible safety issues of any note — and nothing of significant import. However; the alleged safety issues noted by Horry County staffers, as well as some FAA bureaucrats (but not reported to SDMB staff or management until long after the alleged incidents occurred), seem questionable in both credibility as well as context…”

Campbell was so moved by his findings that he filed requests for investigation of the entire issue with the SC Attorney General, US Department of Transportation Inspector General and US Justice Department.

Horry County Department of Airports has a history of contradictory treatment of airport, especially general aviation, businesses. It put up with over 10 years of unfulfilled promises by AvCraft, reducing the rent on the hangars AvCraft leased at least three times, before deciding enough is enough.

In a letter dated February 19, 2014, Horry County attorney H. Randolph Haldi accused an attorney representing Skydive Myrtle Beach with either a “misunderstanding or misuse of criminal law.”

Loris City Elections

The unofficial December 1, 2015 general election results for Loris mayor and three city council seats are:

Mayor

Michael Suggs 186

Henry Nichols 175

George Protz 105

Loris City Council

Jerry Hardee 255

Joan Gause 245

Michael Dozier 205

Jan Vescovi 193

Thessolonia Graham 182

Kimberly Rudelitch 122

The city election commission will certify results at 10:30 AM tomorrow at City Hall.

There are 10 provisional ballots to be considered by the election commission.

Based on the above results, if certified, the top three vote getters in the city council race, Jerry Hardee, Joan Gause and Michael Dozier, have won election to city council for four year terms.

There will be a runoff election for mayor between Michael Suggs and Henry Nichols on December 15, 2015.

Mia McLeod Requests Better Protection for Clinics

Rep. Mia McLeod calls on Gov. Haley to increase security at women’s health centers in South Carolina

Columbia, SC – On Monday, State Representative Mia McLeod called on Governor Haley to increase security at women’s health centers in South Carolina following the deadly shooting of three people at a Planned Parenthood clinic in Colorado Springs, Colorado.

Rep. McLeod (D-Richland) said Governor Haley’s personal politics should take a backseat to the safety and wellbeing of health professionals and patients at South Carolina clinics.

“It doesn’t matter whether you’re pro-life or pro-choice, our focus right now should be to make sure what happened in Colorado Springs doesn’t happen in Columbia or Charleston,” said Rep. Mia McLeod. “The anti-Planned Parenthood rhetoric has been more prevalent in South Carolina than anywhere else in the country, and Governor Haley would be wise to tone down her own rhetoric and instead beef up security at our clinics. The safety and wellbeing of patients and those who work at women’s health centers in our state should be our top priority.”

Rep. McLeod said Governor Haley should take seriously the FBI’s warning in September that attacks on women’s health centers were likely.

The Donald Trump Experience

I went to the Donald Trump campaign rally Tuesday night at the Myrtle Beach Convention Center in order to experience the current Trump phenomenon first hand.

I came away less than impressed.

Whoever did advance, if anyone, for the Trump visit blew it by ultimately choosing the convention center. Neither the advance team nor the convention center staff had any idea how to set up the site for a political rally.

The Mitt Romney event of 2012 at Horry Georgetown Technical College on the old air force base, while much smaller was much better put together with only one day notice.

To any candidate looking to hold a rally in Myrtle Beach in the future, don’t choose the convention center.

Now to Trump.

His speech, if you can call it that, he proudly said was without teleprompters. Of course, it would have been hard to put it on a teleprompter because even he, apparently, did not know what he was going to say before he got up to the microphone.

The first 20 minutes was a recitation of what great crowds attend his events, polling numbers from many of the early primary states that show him in the lead and how great he is compared to the other candidates.

He felt the need to introduce all his family members who had accompanied him to Myrtle Beach and gave the microphone to his current (third) wife, Melania, for a few comments about what a great president Trump would be.