south carolina legislative session Archives

The South Carolina Legislature was called back earlier this week for what was supposed to be a quick one-day session to pass a piece of emergency legislation that would help prevent a government shutdown and provide emergency funding to address the coronavirus crisis. But a familiar roadblock caused that plan to crumble.

While this was expected to be a quick vote, a resolution in the legislation involving Santee Cooper prevented senators from coming to an agreement, while House members decried action taken by Santee Cooper in recent days to deceive the legislature into believing they had negotiated a deal with Central Electric cooperative.

The latest move by Santee Cooper has angered many including Electric Cooperatives of South Carolina CEO, Mike Couick and Speaker of the House Jay Lucas.

Couick was quoted as saying “I grew up watching ACC basketball and Dean Smith mastering the game of four corners. If Santee Cooper is an expert at nothing else, it is an expert at delay, and delay of reform and transformation…”

In a letter to Santee Cooper’s leadership, Speaker Lucas wrote, “If state law gave me or the House of Representatives the authority, I would seek the immediate unqualified removal of each member of the Santee Cooper Board and the dismissal, for cause, of the entire senior management. Unfortunately for the people of South Carolina, I do not have that authority. However, I do predict and will applaud your ultimate removal from your positions in the appropriate manner.”

You can read the full letter from Speaker Lucas here.

The proposed emergency legislation included plans for COVID-19 funding, education funding for teacher salaries, funding to ensure South Carolina primaries can still take place safely on June 9, and other necessary government-funded operations that would allow the state to continue to run in the case that a budget isn’t passed before the start of the next fiscal year.

It also included a provision to postpone the debate on Santee Cooper and prevent the utility from engaging in any long-term contracts of more than a year until the work on what should be done with the state-owned utility is fully explored.

As reported by the AP, Santee Cooper spokeswoman Mollie Gore apologized for their actions in an email calling the utility’s words ‘presumptive and premature’.

Moreover, Governor McMaster slammed Santee Cooper on Twitter, saying, “There appears to be no tactic or action too deceitful or reckless for the leaders of Santee Cooper to employ,” accusing the utility of exploiting the current pandemic to avoid a sale or any type of reform.

Senators, on the other hand, debated the resolution for over five hours only to come back with an amended resolution that sent it back to the House for review. Certain senators such as Senator Rankin and Senator Grooms refused to approve the emergency legislation needed to keep the state running because of their support for Santee Cooper and did not want to put any limitations on the utility despite their history of mismanagement and lack of transparency.

Currently, there are plans for either the House or Senate to return to take further action.

Featured Image: Charleston City Paper

We’re two weeks into South Carolina’s 2020 legislative session and the talk around what to do with state-owned Santee Cooper continues.

The latest to speak out on the issue is founder and CEO of the Gullah Geechee Chamber of Commerce, Marilyn Hemingway, who was reported saying “Santee Cooper has forgotten its mission of providing low-cost services”, by The Chronicle.

During her interview, Hemingway referenced both the $250 million loss in 2009 after the state-owned utility pulled the plug on the Pee-Dee coal plant before construction finished as well as the billions of dollars wasted during the 2017 abandonment of the V.C. Summer project.

Furthering her point, she alluded to the millions of dollars spent in legal fees after these projects and the newly appointed executives who are paid more than any other state agency, $2.4 million annually.

On top of the overwhelming amount of evidence that points to the wasteful spending, Governor McMaster’s office released a statement stating “Paying off Santee Cooper’s debt will cost direct-serve customers in Horry, Georgetown, and Berkeley counties about $6,200 per household. It will cost customers of the 20 electric cooperatives who distribute Santee Cooper’s power about $4,200 per household.”

The statement left many confused after hearing from Santee Cooper this summer that it would be freezing rates. However, the latest move from Santee Cooper points to this claim as ringing false. The state-owned utility recently filed a motion to stop any reference to future rate hikes during their current class-action lawsuit, hoping to keep jury members in the dark. Critics say the move is similar to Santee Cooper’s lack of transparency during the V.C. Summer fiasco, which also kept ratepayers in the dark.

As lawmakers look at the proposals put in front of them, South Carolina residents, like Hemingway, are recognizing the inevitability of rate hikes if no change is made.

The statement released by Governor McMaster’s office continues by stating the “Governor instructed each of the interested purchasers that they will not consider any proposal which saddles the ratepayers or taxpayers with any of Santee Cooper’s $4.3 billion nuclear construction debt” and that they must provide the state with the best solution possible, one which protects ratepayers while recognizing the valuable contributions of current and former employees of Santee Cooper.”

It is unclear what lawmakers will decide to do with the state-owned utility; however, it is clear that millions of South Carolinians are at risk of increased utility rates and may not even know not it.

Hemingway concluded: “From our point of view, we should start over. Now is the time for South Carolina to show some leadership.”