Journal of the House of Representatives
of the Second Session of the 110th General Assembly
of the State of South Carolina
being the Regular Session Beginning Tuesday, January 11, 1994

Page Finder Index

| Printed Page 2680, Feb. 24 | Printed Page 2700, Feb. 24 |

Printed Page 2690 . . . . . Thursday, February 24, 1994

A. Yes, but you lose it either way. Yes.
Q. Yes. Thank you.
RE-EXAMINATION BY MR. COUICK:
Q. Ms. Dawes, did you have a chance to review your PDQ Summary?
A. Yes, I did.
Q. Were there any corrections to it?
A. The only thing was the thing with the Employ -- where it says served on the Board of the Waccamaw EEOC, I was actually employed by them in a supervisory capacity rather than served on the board. That's the only thing.
Q. If you would correct that to the way you'd like it worded and hand it to Ms. Hammond. We'll enter that on the record with your permission.

Mr. Chairman, that's all.
THE CHAIRMAN: You may be excused, Ms. Dawes.
A. May I ask a question.
THE CHAIRMAN: Yes, ma'am.
A. At what time do you see the report of the committee's that we would get -- we would know.
MR. COUICK: Mr. Chairman. Ms. Dawes, thank you for asking that question. The committee does not have any firm date in mind as to when the report will be released. It will take the court reporter some time to produce it and staff review it.

But one thing we will do to ensure fairness to all candidates, there is no campaigning in terms of asking for pledges until the report is formally released. We'll notify everybody. We'll set a time certain for that, so until you're notified, there has been no report released. You certainly ask for folks' consideration until then, but not pledges.
A. That answers my question.

PERSONAL DATA QUESTIONNAIRE SUMMARY

1. Maxine T. Dawes

Home Address: Business Address:

3208 Main Street 4104 Railroad Avenue

Loris, SC 29569 Loris, SC 29569

2. She was born in Horry County, South Carolina on July 17, 1931.

Social Security Number: ***-**-****.

3. S.C. Driver's License Number: *********;

S.C. Voter's Registration Number: 0545778.


Printed Page 2691 . . . . . Thursday, February 24, 1994

4. She married Charles F. Dawes, Sr. in May of 1953. She has two children: Charles F. Dawes, Jr., age 38, employed in the hospitality industry; and Delitha Dawes Wooten, age 37, accountant (not currently practicing).

6. She graduated from Conway High School in 1949, and attended Coastal Carolina on and off for approximately two years. She did not graduate because of work schedule and children. She received a real estate certification from USC in 1973, and has participated in Clemson University's tax seminars for the past twelve years. She has also graduated from the Strom Thurmond Institute of Government and Public Affairs (a three year program for South Carolina elected officials).

7. She served on the Loris City Council from 1974 to 1980, and as mayor of Loris from 1980 to 1992.

8. She lost a bid for S.C. House of Representatives House Seat 104, Horry County Council, and Horry County Auditor.

9. She has been employed with the Horry County School District as a Head Start Instructor, a substitute teacher and an elementary school librarian. She supervised volunteer workers in three counties' poverty programs for the Waccamaw EOC, and for the past 20 years, has been self-employed, running the Dawes Company (accounting and real estate). She is a licensed real estate broker.

10. She still has the Dawes Company.

14. She was once served with a summons and complaint when she refused to pay for a defective copier. It was resolved with no court action.

19. She was employed by on the Waccamaw EOC Board of Directors from 1969 to 1973, where she recruited, trained, and supervised college graduates in a three county poverty program. Her supervisor was Samuel B. Hudson.

26. Professional organizations: Georgetown Board of Realtors.


Printed Page 2692 . . . . . Thursday, February 24, 1994

27. Civic, charitable, etc. organizations: Horry County 2010 Committee; Horry County Co-ordinated Planning Forum; Member of the Boards of Directors of the Horry County Crime Stoppers, Horry Cultural Arts Council, Horry County Heart Assoc., Youth 2000, and United Way; Past Chairman of the Horry County League of Cities; Co-founder of Horry County Shelter Home; Director of Horry County Baptist Girls Auxiliary; and member of Carolina Bays Parkway Committee.

29. Five letters of reference:

(a) Ann Small

City Executive & Vice President

National Bank of South Carolina

Loris, SC 29569

(803) 756-2000

(b) Harvey Graham

Graham Brothers Farm Supplies

3818 Railroad Avenue

Loris, SC 29569

(803) 756-3961

(c) Shirley Barnhill

Horry County Finance Office

Conway, SC 29526

(803) 248-1232

(d) Herman Watson, President

Concerned Citizens Operation Reach Out

Hill Street

Loris, SC 29569

(803) 756-8250

(e) Hugh Miley

B.P. Barber & Associates, Inc.

1524 South Siesta Drive

Florence, SC 29505-6032

(803) 665-9166

30. Sixth District.

THE CHAIRMAN: This is off the record.

(Off the record)
MR. COUICK: Mr. Ganaway, if you would raise your right hand, please.


Printed Page 2693 . . . . . Thursday, February 24, 1994

RICHARD GANAWAY, having been duly sworn, testified as follows:
MR. GANAWAY - EXAMINATION BY MR. COUICK:
Q. Mr. Ganaway, in reviewing your license, I see that you live at 2181 Dunlap Street, North Charleston, South Carolina, 29418. Your -- is that correct?
A. No, sir. That's not correct. I live at 7564 Brandywine Road.
Q. That's in --
A. I've moved and I have not had a chance to get around to have the address changed on that, but I will be renewing my license before my birthday in September, so then it would be changed to the correct address.
Q. And I notice the correct address is on your voter registration card?
A. Yes.
Q. Thank you. That is in Charleston County; is that correct?
A. Yes, sir.
Q. Mr. Chairman, that residence would place Mr. Ganaway outside the Sixth Congressional -- or the Sixth Public Service Commission District. The committee had decided on Thursday to allow Mr. Ganaway to amend his report to make the application for the First Congressional District.
THE CHAIRMAN: He's now within the district?
Q. He is now within the First Congressional District, yes, sir.

Mr. Chairman -- Mr. Ganaway, do you own any utility stock?
A. Sir?
Q. Do you own any utility stock?
A. No, sir, I do not.
Q. Does anyone in your household own any utility stock?
A. No, sir.
Q. Mr. Ganaway, you had signed a sheet waiving the confidentiality of any proceeding before a grievance committee or any record concerning information about your credit; is that correct?
A. Yes.
Q. Do you recall signing that?
A. Yes, sir.
Q. Do you affirm at this time that you waive confidentiality of those matters?
A. Yes.
Q. I'd like to ask you some questions about your credit report. Do you agree to waive that confidentiality?
A. Yes.
Q. Do you waive it here in this open Public Session the stenographer is taking; the minutes of this will appear in the journal?
A. Yes, sir.


Printed Page 2694 . . . . . Thursday, February 24, 1994

Q. Mr. Ganaway, in reviewing your report from Equifax, an Atlanta company that does credit reporting, they report that you have an outstanding balance with SCE&G and that your rating of your compliance with their credit requirements is an O-9, that you -- an O-9 refers to it being an open account which is typical of SCE&G accounts and the 9 references a bad debt status with SCE&G.

Could you briefly explain to the committee your relationship with SCE&G? Is this a residential consumer account?
A. Yes.
Q. And why had it progressed to an O-9 status?
A. Well, it's probably an oversight on my part, but if I recall correctly, I think that situation came up during my divorce, whereas my ex-wife was supposed to have paid that bill and, of course, it came to me and it bounced back and forth both -- between the both of us. And I was under the impression that she had paid it. I believe it's in the amount $157 or something like that?
Q. One fifty-six, yes, sir.
A. Yes.
Q. Has that bill been paid?
A. To my knowledge, I have not paid it, sir. Whether she's paid it or not, I do not know.
Q. The services that were provided on that were to whom?
A. It was to the household that we both lived in at that time.
Q. As it was under -- the account was properly in your name?
A. Yes, sir.
Q. It -- by indicating that it's a bad debt status, SCE&G indicates that it has progressed through several notices to either party trying to collect. Did you receive notices from SCE&G?
A. I recall receiving one notice, sir. It might have been two. I don't know. I believe I stated to them the same thing that it was a bill incurred after I had left that household and that my wife was responsible in my mind for that bill, yes, sir.
Q. I believe you mentioned a few moments that you thought you had lived in the household at the time the bill came, though?
A. Well, the house was still in our name at that time and it still is today.
Q. But you did not live in the house --
A. I was not in the household at that time, no, sir.
Q. And that would been approximately when?
A. Gee, it's hard for me to remember. It's been so long. It was between 1986 and 19 -- let's see, I got married in
'92. Of course, we got divorced in 1988.


Printed Page 2695 . . . . . Thursday, February 24, 1994

Q. You also indicate -- it also indicated on your credit report is an R-5 rating from Fox Music Company. R being a revolving debt and 5 indicating that have not paid a debt that's more than 120 days due or more than four payments past due. Are you familiar with that account?
A. Yes, sir. I am familiar with that account and that bill has been paid. That was an oversight I believe on their part when they billed me for that bill. I think I paid that bill, but they did not clear it up.

I'm trying to recall exactly why it was turned into the credit bureau, but there was some misunderstanding and once the misunderstanding was cleared up, I paid the bill.
Q. Could you provide documentation to the committee from Fox Music or from yourself that the bill has been paid?
A. Not right now, no, sir.
Q. I'm talking about after the hearing is completed today.
A. Yes, sir. I could.
Q. Mr. Chairman, counsel is sure the committee has some questions about the SCE&G account, but would like to continue to go forward even though we don't have the documentation of them being paid, but would stop at this time in case the committee had any questions that they wanted to ask at this point about the SCE&G.
THE CHAIRMAN: Well, I think adhering to what we have previously done, we're going to have to ask the gentleman to show us some evidence that the debt is cleared.
Q. Yes, sir.
THE CHAIRMAN: Isn't that --
Q. That's the rule that was established earlier by --
THE CHAIRMAN: That was the rule established some time ago. If you have an outstanding lien against you and it's within the statute of limitations we ask that and have asked that over the years that you bring some evidence to us that that has been satisfied. I don't think you should put the burden on this committee to wrestle between whether your wife owes it or you owe it.

If there is an account outstanding that could be charged to you, we want some explanation of it or some satisfaction that it has been paid.
A. Well, I can tell you that it has not been paid, your honor. Not to my knowledge. I don't know whether she paid it. I know that I did not pay it.
THE CHAIRMAN: We're going to proceed with the -- further with the hearing holding that matter. That matter can be later discussed.
Q. Mr. Chairman, still on this issue of the SCE&G, Mr. Ganaway, you're going to be called upon to make determinations of rates, siting


Printed Page 2696 . . . . . Thursday, February 24, 1994

decisions and other things that effect a number of utilities in South Carolina. One of those is going to be SCANA and it's regulated component SCE&G.

If you were to sit on the commission with this former relationship established between you and SCE&G with the O-9 status and someone were to question your partiality or impartiality. How would you respond to that, that you had a bad debt relationship with this -- these folks as a creditor, that it continued up to the point that you were screened, that you had -- were well aware of it, that you agreed that it was on a residence where you live or at one time lived and it was -- the service was in your name, but you apparently had proactively chosen not to resolve the matter, what kind of response could you offer?
A. Well, I don't know whether I can agree with you that I proactively chose not to do it. I think it would be that I would answer that there was some confusion as to whether it was my responsibility or my former wife's responsibility. And I think the bottom line is that I -- it's not that much money that's involved is that I -- if I had known that it would effect me in anyway negatively that I would have gone on and paid it because I believe in an individual's responsibility to pay for the services that they've received.
Q. You were aware that it had been billed to you?
A. Yes, sir. Absolutely.
Q. Mr. Chairman, I've got other follow up questions generally.
THE CHAIRMAN: You want to ask him about this?
EXAMINATION BY REPRESENTATIVE WILKES:
Q. Yes, sir. I gathered from what you have said and your attitude toward this matter, that it's more probably a matter of principle than one of dollars up to this point?
A. Yes, sir. And so far it has. The bill -- and -- at that time, it was. It was because we were going through the divorce and whatnot and I was pretty much paying everything during the period of separation. So, yes, it was at that time a matter of principle. It might have been a matter of dollars, too, because I was struggling a little bit financially, also.

I was paying all the bills there and then also trying to pay -- trying to live my myself at the time separate and apart from the residence I was in prior to that.
Q. Well, were you aware until Mr. Couick just asked you the question that this was on your credit record?
A. No. Not to my knowledge, no, sir. Not to my knowledge.
Q. But now that it is and you see the importance of it, you would be willing to --


Printed Page 2697 . . . . . Thursday, February 24, 1994

A. I would be willing to pay it. I'd pay it right now. Yes, sir, I sure would because I do believe in individual responsibility where they can meet it. Once they contract to get services, they caught to pay for them, so, yes, sir, I would pay it.
Q. Thank you. I don't have any other questions.
RE-EXAMINATION BY MR. COUICK:
Q. Mr. Chairman, continuing on, Mr. Ganaway, you've been employed by the Lockheed Aeronautical Systems company for some period of time, I believe?
A. Yes, sir. 30 years.
Q. Since 1963. Do you have plans to retire from Lockheed should you be elected to the Public Service Commission?
A. Yes, sir, I do.
Q. And so your only employment if were you to retire would be with the Public Service Commission; is that correct?
A. Yes, sir. Yes, sir.
Q. And --
A. As a matter of fact, my plans are to retire this year.
Q. You are presently a Quality Control Inspector with Lockheed; is that correct?
A. Yes, sir.
Q. What kind of responsibilities and also what type of skills do you -- have you developed with Lockheed do you think that would be immediately transferrable to the Public Service Commission? What could you bring to the mix at the PSC?
A. Well, I think I can bring to this commission because of my experience with Lockheed, number one, to be able to look at systems and to make judgements or having been a member of management and a member of the hourly ranks also. I think I can look at it from both sides, from a budgetary standpoint, from a cost standpoint and also from a benefit to the public standpoint, a benefit to the state standpoint.

Lockheed as you know is a very large company. They deal with very large budgets. And also from a quality standpoint, if you will, I think when you think quality that you can think of it in a product or in a delivery of services to a -- particularly, a constituency.

So I think with that 30 years experience dealing with large budgets and the systems that cover many people and the performance of the same, I think that with that kind of insight and oversight, I can bring some valuable talent to the commission.
Q. No one in your family works for a public utility now; is that correct?
A. No, sir.


Printed Page 2698 . . . . . Thursday, February 24, 1994

Q. Thank you. You are a graduate of certain courses offered by Charleston and Southern University; is that correct?
A. Yes, sir.
Q. And you also attended Emory University in a course on management and supervision is that correct as well?
A. Yes, sir.
Q. You served on the North Charleston City Counsel for a two-year term; is that correct?
A. Yes, sir.
Q. You have been an unsuccessful candidate for public office on several occasions?
A. Yes.
Q. One was for City Council in '86; I believe for a special election for that same seat in '89?
A. Yes, sir.
Q. You ran in the North Charleston mayoral election in 1991?
A. Yes, sir.
Q. And for the South Carolina House District 113 in 1992?
A. Yes, sir.
Q. Is that correct?
A. That's right.
Q. When you ran in the House District election in 1992, was that an open seat?
A. No, sir. There was an incumbent.
Q. And the incumbent was?
A. Stephen Gonzales.
Q. Yes, sir.
A. Representative Stephen Gonzales.
Q. Have you been active in politics over the last couple of years other than running yourself? Have you been a contributor to other races or helped manage or assist in other political races?
A. I have not helped to manage or assist. I make cursory contributions and I can't remember, 10, 15, 25 dollars here and there.
Q. Any donation larger than $25 to any incumbent member of the House of Representatives or the South Carolina Senate?
A. No, sir. No, sir.
Q. Mr. Ganaway, what would you think would be the one or two major issues facing the South Carolina Public Service Commission?
A. Well, I can tell you particularly when it gets real hot and real cold, the rates would be one of the major issues that we'll be facing. I think the competition also between certain utilities -- I think we've got two in this
Printed Page 2699 . . . . . Thursday, February 24, 1994

state that I can remember currently and SCE&G -- and the delivery of services at the -- at a reasonable rate.

I think that's going to be one of the most formidable challenges of the PSC to make sure that the services delivered can be kept within reasonable cost ranges over the years.
Q. In working for Lockheed, which also has significant governmental contracts, there is obviously a tension there to make sure that what's delivered is a good value to the government and the citizens who pay those bills and that Lockheed makes a profit. How would you balance that same type of concern on the Public Service Commission? What approach would you take?
A. Well, I think you would have to -- one would have to look at the relationship between the delivery of services and also the ability of that entity to deliver those services, so in order to deliver those services in a way where we all can afford them, they would certainly have -- there would certainly have to be some level of fair profit involved in order to keep the machinery running at a high efficiency level and that kind of thing. So there would have to be balance there in my mind insofar as both sides of that coin is concerned.
Q. Mr. Ganaway, you reviewed your Personal Data Questionnaire Summary, I believe, earlier today?
A. Yes.
Q. Were there any corrections that you would like to make to it?
A. Yes, on Number 27 where it's -- right after the NAACP, it says PIC. It should be Private Industry Council, if you want to put it in parenthesis, it should be PIC and that's an acronym for Private Industry Council.
Q. Wonderful. If we make that -- if we were to make that change, would there be any objection on your part to including that as a part of the permanent record?
A. No, sir. It wouldn't.
Q. Thank you. And, finally, Mr. Ganaway, are there any recommendations that you have to improve this screening process?
A. I guess I've got to say that the one that -- because of the question about SCE&G kind of took me by surprise, I think that if you could do that, if you could -- any candidates that was making application before this body, that the question ought to be raised to them somewhere on the application about their credit history.
Q. Okay. Mr. Chairman?
THE CHAIRMAN: Any questions from any of the members of the committee?
SENATOR COURTNEY: Mr. Chairman?


| Printed Page 2680, Feb. 24 | Printed Page 2700, Feb. 24 |

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