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 2690, Feb. 24 | Printed Page 2710, Feb. 24 |

Printed Page 2700 . . . . . Thursday, February 24, 1994

THE CHAIRMAN: Senator Courtney.
EXAMINATION BY SENATOR COURTNEY:
Q. Mr. Ganaway, did I understand that you are a supervisor with Lockheed?
A. At one time, yes, sir.
Q. And how many employees did you supervise?
A. At one time I had as many as 52 and then I've supervised as low as 12 or 13.
Q. How many years did you work as a supervisor?
A. 13 and a half years.
DOCTOR HATTON: Mr. Chairman?
THE CHAIRMAN: Doctor Hatton.
EXAMINATION BY DOCTOR HATTON:
Q. Mr. Ganaway, I think you may have not heard all of one of the questions that Mr. Couick asked you. I thought he was getting at ethics of the situation when he asked you about deciding on a SCE&G matter given your situation with regard to the debt.

If he was asking about ethics, can you tell me what the ethics would be -- what ethics would be involved in such a situation if --
A. Insofar as --
Q. -- you had to decide on an SCE&G --
A. -- the debt, the $150 debt that owe SCE&G?
Q. So far as their having declared you a bad debtor? Are there ethics involved in your then deciding on a case involving them?
A. I think the ethics would be involved is how I feel about the fact that SCE&G turned the debt into the credit bureau as to whether I would have some ill feeling toward them or not and maybe I would act in any way based on that? The answer would be no because I believe that, you know -- given the situation and it's there, I believe that generally speaking that an individual is responsible for his debt. Even in the face of the fact that I believe that it was my ex-wife's responsibility at the time, as I --
Q. If --
A. -- answered the gentleman over there before, I would pay that debt.
Q. I think you've been very clear about that. May I change the question just a little bit?
A. Yes, ma'am.
Q. And I hope you don't feel I'm harassing you. If I changed it to conflict of interest, would you have a different response? Not ethics, but conflict of interest?
A. No, ma'am. I don't think it would be a conflict of interest because I believe that, again, I -- you know, I believe that sometime somewhere


Printed Page 2701 . . . . . Thursday, February 24, 1994

along the line each one of us have had an oversight or a reason we have not paid a debt and a small debt of that size, it wasn't -- maybe not small to me at that time, but since I've kind of settled down and I've remarried and whatnot, just as the gentleman asked me would I pay it now, certainly, I would pay it. It wouldn't come into play none whatsoever in my position on the Public Service Commission. None whatsoever.
Q. I appreciate your response.
A. Yes, ma'am.
Q. Thank you.
A. I hope I answered you clearly enough.
Q. I understand your response?
THE CHAIRMAN: Any other questions? You may be excused Mr. Ganaway.
A. Thank you, sir.

PERSONAL DATA QUESTIONNAIRE SUMMARY

1. Mr. Richard Ganaway

Home Address: Business Address:

7564 Brandywine Road P.O. Box 61303

North Charleston, SC 29420 North Charleston, SC 29419

2. He was born in Lauderdale, MS on September 12, 1937.

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

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

S.C. Voter's Registration Number: 1081813.

4. He married Stephanie L. Washington on January 25, 1992. He has one child: Richard Ganaway, II, who is a student a Trident Tech. in Charleston.

6. He graduated from Bonds Wilson High School in 1961, and completed various non-degree coursework at Charleston Southern University and Emory University in 1969.

7. He served as a North Charleston City Councilmen from 1984 to 1986.


Printed Page 2702 . . . . . Thursday, February 24, 1994

8. He lost elections for North Charleston City Council in 1986 and 1989, Mayor of North Charleston in 1991, and the S.C. House District 113 in 1992.

9. He has worked at Lockheed Aeronautical Systems Company since 1963. He is presently a quality control inspector.

27. Civic, charitable, etc. organizations: YWCA; National Council of Negro Women; NAACP; Private Industry Council of Charleston County; Buck of the Month Club; Oak Grove Baptist Church; St. Peters AME Church.

29. Five letters of reference:

(a) Mr. John Tecklenburg

c/o Southern Oil Company

1553 King Street Extension

Charleston, SC 29405

722-3700

(b) Mr. William Runyon

Bldg. B, Suite 203

1 Carriage Lane

Charleston, SC 29407

571-3515

(c) Mr. John Chapman

P.O. Box 897

Charleston, SC 29402

577-2600

(d) Mr. Walter S. Howell

418 Jean Wells Drive

Goose Creek, SC 29445

797-0714

(e) Ms. Joanne Butler

Heritage Trust Bank

201 St. James Avenue

Goose Creek, SC 29445

552-4040

30. Sixth District.

MR. COUICK: If you would raise your right hand, please. You're going to take an oath.


Printed Page 2703 . . . . . Thursday, February 24, 1994

PAUL W. SMITH, having been duly sworn, testified as follows:
MR. SMITH - EXAMINATION BY MR. COUICK:
Q. Mr. Smith, your driver's license indicates that you live at 2009 Cherry Street in Georgetown, South Carolina?
A. That's correct.
Q. Zip code 29440; is that correct?
A. That's correct.
Q. The same address appears on your voter registration card. You've got a well used voter registration card.
A. It's a little over 20 years old, I gather.
Q. Your Personal Data Questionnaire Summary, you've already corrected. There were a couple of typographical errors. Would you have any objection to that corrected summary being entered on the permanent proceeding record?
A. (Witness shakes head in the negative).
Q. Thank you. Mr. Smith, why have you decided to seek election to the Public Service Commission?
A. Well, I'm interested in serving the public. I considered it in 1990 -- no, let's see, it was '89 or the last time, but I decided against it at that time. I'm a little more available at this time and I've got some time on my hands and I think that I can serve that position well.
Q. You are the owner and president of Stitches, Incorporated in Georgetown; is that correct?
A. Yes, sir. That's right.
Q. What kind of company is Stitches, Incorporated?
A. It's a small apparel manufacturing company. I have about 45 employees.
Q. And of the -- you're the sole owner of that; is that correct?
A. It's a corporation. I have some partners.
Q. The partners, are any of those folks involved in the utility business --
A. No, they're not.
Q. -- as officers, employees?
A. No.
Q. Do you own any utility stock, Mr. Smith?
A. No, I do not.
Q. Does anyone else in your household own any utility stock?
A. No, sir, they do not.
Q. You indicate that, I believe, both of your daughters are school teachers; is that correct?
A. Yes, sir. They are.

Printed Page 2704 . . . . . Thursday, February 24, 1994

Q. And your son is a computer programmer. Does he work for a public utility?
A. No, sir. Well, he works for Colonial Life.
Q. Colonial Life. You were elected to the Georgetown City Council in 1979 originally. You've been -- have been reelected every time including 1991. You currently serve on the City Council?
A. Yes, sir, I do.
Q. What would be your understanding about your service on the City Council if you were to be elected?
A. I would have to relinquish that position, I'm sure.
Q. In 1992, you ran for State House Seat Number 108 and you were unsuccessful in that election. That was an open seat or was there an incumbent?
A. That was an open seat.
Q. And were you running against --
A. Well, actually, I didn't get past the primary.
Q. Who was ultimately elected in that?
A. Representative Paula Thomas from Pawleys Island.
Q. What would you think would be the one or two major issues you would likely confront if you were to be elected to the Public Service Commission? The commission would be handling what types of issues?
A. I'm sure it would be establishing or governing or overseeing the rate structure of -- whichever.
Q. And what type of approach would you take to that? You've been -- you're, I assume, a consumer as an individual and your business is also a consumer. Would you be a consumer advocate or --
A. I'm sure I would be, yes, sir.
Q. And how would you balance that against the need for a company such as SCE&G or SCANA to make a profit, a reasonable profit?
A. A reasonable profit?
Q. Yes. How would you balance that?
A. I'm not sure how I would balance it. You know, it would have -- you'd have to take a long look at things before you make any reasonable finding and decision.
Q. Who provides you with electric service in Georgetown?
A. Santee Cooper. Well, Santee Cooper provides it to the City of Georgetown and then, in turn, we provide power for the City of Georgetown.
Q. Do you believe Santee Cooper ought to be regulated by the Public Service Commission?

Printed Page 2705 . . . . . Thursday, February 24, 1994

A. That's a good question. I don't know. It belongs to the state of South Carolina now. I think it does -- the state of South Carolina does well to keep that utility.
Q. Does the City of Georgetown provide service outside of its corporate limits?
A. Not with the utility -- with electric. We do with water and sewer.
Q. Is there any differential in the price charged on your water and sewer to folks outside --
A. To the outside, yes, sir, there is.
Q. What is the ratio?
A. It's not that great of a difference, but you have to realize that to provide services to the outside residents. We have to charge a little more.
Q. Is it 10 percent, 25 percent, 50 percent?
A. It's less than 10 -- it's in the neighborhood of 10 percent, I think.
Q. Should that type of service be regulated by the Public Service Commission?
A. It certainly should be.
Q. Outside the city provision?
A. Uh-huh.
Q. Why would you say that? It's not regulated now, is it?
A. Not to any great degree, but we regulate it and we certainly don't charge exorbitant prices for our outside.
Q. But you would have no objection if the Public Service Commission got into the regulation of that?
A. I think it should be.
Q. On the City Council, have you been particularly involved in the management or supervision of the water and sewer or perhaps cable television?
A. Well --
Q. Or anything like --
A. We're -- as far as rates go with water and sewer, we have a consulting company that sets our rates or, you know, recommends what rates we should charge and would usually go by it.
Q. What they recommend?
A. What they recommend, yes, sir.
Q. As an individual member, have you been anymore particularly involved in this aspect of it than any other?
A. Not particularly, no, sir.
Q. If I could read some items out to you, Mr. Smith, and just see if you're familiar with them.

The concept of generational mix, have you heard of that?


Printed Page 2706 . . . . . Thursday, February 24, 1994

A. I'm not familiar with that.
Q. How about wheeling?
A. Wheeling?
Q. Wheeling.
A. (Witness shakes head in the negative).
Q. If there is a tension between the consumer and the regulated industry in terms of cheap prices for the consumer and industry making a profit, there is always a third component usually in South Carolina and that's environmental. What's your approach on the environmental aspect? Is the Public Service Commission --
A. I'm very concerned about our environment, deeply concerned about it. Not just the air quality, but with the litter and all aspects of our environment.
Q. Should the South Carolina consumers be prepared to pay more in order to have clean energy?
A. They should be, yes, sir. Definitely should be.
Q. And in terms of balancing development versus the environment, how would you handle that?
A. Development versus the environment.
Q. Right. I understand that some of the South Carolina Public Service Commission is often called upon to make siting decisions for the location of new plants. New plants mean that industry tends to follow right behind that in that area, so it's kind of like you start the dog wagging the tail and it continues.

If you were to be making siting decisions and you were called upon to make an environmental impact determination, how much is the environmental impact going to impact?
A. It's going to have a great deal of impact. It has to. It has to because we're polluting our environment more and more every day and something has to be done about it.
Q. In small rural areas, for example, Cope, South Carolina, in Orangeburg County, they've just decided to build a new plant there. SCE&G has. It will certainly take an area that is fairly pristine in terms of no industry and change it dramatically.

Those folks down there would say they would probably be better because they're going to have some place to work. They're not going to have to work in the field anymore and not going to have to work in low wage positions perhaps as much. What are you -- how much impact is that argument going to have on you?
A. It would have a great deal of impact and it would have a deciding factor into, you know, what you're going to do there. And --


Printed Page 2707 . . . . . Thursday, February 24, 1994

Q. So would you opt for development over environment in that case?
A. In that case. If it was a clean -- you know, a clean industry or entity that was going to locate there.
Q. Mr. Chairman, I have no other questions.
THE CHAIRMAN: Any questions from any members of the committee? Senator Courtney.
EXAMINATION BY SENATOR COURTNEY:
Q. Mr. Chairman, maybe I want to ask this of staff, I notice in 28 that Mr. Smith is left handed. Is that something that's really pertinent to us?
A. I didn't know. I didn't understand. I didn't know how they found out that I was left handed. I didn't realize that it was --
Q. Is our questionnaire --
MR. COUICK: He states on his -- Question Number 28, it says,
"State any other information which may positively or negatively reflect on you which should be disclosed in connection with consideration of you for a position on the Public Service Commission." Mr. Smith --
A. Okay, I was --
MR. COUICK: -- to his credit says --
A. There was a point.
MR. COUICK: -- I'm left-handed, so we thought that there was something special to Mr. Smith about that, so we didn't want to deny him the opportunity--
A. I was reading in The State paper an article a couple of months ago now that said there are no old left-handed people.
REPRESENTATIVE WILKES: No what?
A. I guess they all die young.
MR. COUICK: No old left handed people. I did not want him -- to deny him his ability to sell himself based on that characteristic.
SENATOR JACKSON: Just in case they get in a sparring match.
MR. COUICK: No other questions, Mr. Chairman.
THE CHAIRMAN: Any other questions from any other members of the committee? You're excused, Mr. Smith.
A. Thanks.

PERSONAL DATA QUESTIONNAIRE SUMMARY

1. Paul W. Smith, Jr.

Home Address: Business Address:

2009 Cherry Street P.O. Box 417

Georgetown, SC 29440 Georgetown, SC 29442


Printed Page 2708 . . . . . Thursday, February 24, 1994

2. He was born in New Smyrna Beach, Florida on February 27, 1936.

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

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

S.C. Voter Registration Number: 1 280 050.

4. He is married. He has 3 children: Jeffrey D. Smith, age 32 (computer programmer); Wendy S. Siau, age 30 (teacher); and Paula S. Gunter, age 27 (teacher).

5. Military Service: December 3, 1958 to December 2, 1960. Honorably discharged.

US 53-315-718; E-3.

6. He graduated from New Smyrna Beach High School in 1955 and took correspondence classes with Florida State University from 1956 to 1958, when he was drafted by the Army.

7. He was elected to Georgetown City Council in 1979, 1983, 1987, and 1991.

8. He ran unsuccessfully for the S.C. House of Representatives, Seat 108 in 1992.

9. He worked as Textile Plant Manager for Skyline Mfg. of Georgetown from 1967 to 1986 and has been owner and president of Stitches, Inc. in Georgetown since 1986.

26. Professional organizations: Board Member, Waccamaw Regional Planning and Development Council (1992-present); Board Member, Georgetown County Development Corp. (1988-present).

27. Civic, charitable, etc. organizations:Screven Baptist Church; Georgetown Lions Club; Georgetown Clean City Comm.; Georgetown County United Way; Georgetown Salvation Army; Winyah Indigo Society.

28. He is left-handed.


Printed Page 2709 . . . . . Thursday, February 24, 1994

29. Five letters of reference:

(a) Daniel F. Siau

621 Prince Street

Georgetown, SC 29440

(803) 546-0458 (H)

(b) J. Mitchell Sizemore

613 Highmarket Street

Georgetown, SC 29440

(803) 546-2556 (W)

(c) L. Boyd Johnson

Willowband Road

Georgetown, SC 29440

(803) 546-0240 (H)

(803) 546-2556 (W)

(d) Eugene S. Lawrimore

631 Front Street

Georgetown, SC 29440

(803) 546-5438 (H)

(803) 546-5132 (W)

(e) Lynn Wood Wilson

2915 Whites Bridge Road

Georgetown, SC 29440

(803) 546-7158 (H)

(803) 546-4163 (W)

30. He is seeking the position of Public Service Commissioner for the Sixth District.

THE CHAIRMAN: The meeting recedes until 2:30. I mean 2:15.

(A lunch break was taken)
THE CHAIRMAN: I call the meeting back to order. Counsel, who is your first candidate?
MR. COUICK: We're now screening, Mr. -- Doctor Ervin Lambert of Georgetown for the Sixth Congressional District. This is the last candidate from the Sixth Congressional District.

Doctor Lambert, if you would raise your right hand please.
ERVIN E. LAMBERT, having been duly sworn, testified and deposed as follows:


| Printed Page 2690, Feb. 24 | Printed Page 2710, Feb. 24 |

Page Finder Index