June 15 - 28, 2015 • www.charlestonbusiness.com
Volume 21, No. 13 • $2.00
Legislature postpones medical marijuana bill What’s Montana got on S.C.?
S.C. would have thousands more small businesses if it had a comparable ownership rate to Montana’s. Page 2
Legal discovery
Interim president named at Charleston School of Law as bar association makes site visit. Page 11
What Charleston lawyers earn
Starting salaries in Lowcountry among lowest in South Carolina. Page 11
By Liz Segrist
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lsegrist@scbiznews.com
ayden Kozak, 11, has seen his little sister stop breathing from epileptic seizures so many times that he stopped counting. Seven-year-old Sophia Kozak had seizures so frequently that she stopped walking, speaking and smiling.
“That is something I will never forget,” Jayden said. “She would have so many seizures it was very difficult to be her big brother.” Robynn Kozak, their mother, started giving Sophia cannabidiol oil, a substance derived from marijuana plants. The treatment helped. Sophia now has a few seizures a day, but not the hundreds a day she had experienced for most of her life.
Hauling ’em in Last year, trawlers landed 1.6 million pounds of shrimp, valued at more than $8 million, off the coast of S.C. A mild winter could push this year’s harvest above $9 million. Page 6
Boeing cleared from complaint
National Labor Relations Board drops accusation brought by Machinists union. Page 15
INSIDE Upfront............................. 2 In Focus: Law............... 13 List: Law Firms............. 16 At Work.......................... 19 People in the News......... 19 Business Digest.............. 19 Hot Properties................. 22 Viewpoint........................ 23
“Look at my sister now,” Jayden said during a medical marijuana rally last month on the Statehouse steps. “She is able to walk. Before the CBD oil, she could not walk up those stairs. ... Look at her now. She is joyful. She has a smile on her face.” The S.C. Legislature and Gov. Nikki Haley See MARIJUANA, Page 8
Jasper plan rejected despite shorter tower By Ashley Heffernan
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aheffernan@scbiznews.com
he Beach Co.’s third proposal for the Sergeant Jasper site in downtown Charleston was denied earlier this month by the city’s Board of Architectural Review. The board had deferred the controversial redevelopment plan on May 13, based primarily on an 18-story, 214-foot residential tower. But reducing the tower to 13 floors, or 159 feet tall — the same height as the current Sergeant Jasper building on Broad Street — was not enough to convince board members or many area residents of the project’s fit for the neighborhood. Beach Co. CEO John Darby said he was disappointed with the vote, adding that the plan incorporated feedback from more than 50 meetings with neighborhood and preservation groups over a span of eight years. He said the company remains committed to developing a “quality project.” None of The Beach Co.’s plans has been welcomed by the majority of the public. One meeting had to be deferred because an angry See JASPER, Page 5
Photo/Ashley Heffernan
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Volvo’s big play
New models, rebranding figure into automaker’s Berkeley County plan. Page 3 Photo/Kathy Allen
Upfront:
Briefs, brights and business news
On the Record “Here in South Carolina, we have found our American manufacturing home.” — Lex Kerssemakers, Volvo Cars North America CEO
Small businesses in S.C. among the 1% (and that’s not necessarily a good thing)
The Corporation for Enterprise Development, a data analysis think tank in Washington, D.C., tracks a number of data points, including small business ownership. According to the organization, South Carolina has a 1.34% small business ownership rate. If ownership equaled the best state — Montana with a 2.02% ownership rate — there would be more than 15,000 additional small businesses in South Carolina.
SMALL BUSINESS OWNERSHIP RATES IN SELECTED STATES State
Rate
Montana 2.02% Washington State 1.46% Alabama 1.37% California 1.34% South Carolina 1.34% North Carolina 1.30% Virginia 1.32% Florida 1.25% Tennessee 1.25% Georgia 1.21% Source: Corporation for Enterprise Development
We have a swamp in Charleston, now who’s got a rabbit? Charleston needs a Swamp Rabbit Trail. Charleston County Park & Recreation Commission’s Executive Director Tom O’Rourke wants to see Greenville’s multiuse greenway replicated in the Lowcountry. “Our trail system in Charleston is ridiculous. We have so much work to do to make sure that we have what other communities have,” O’Rourke said during a Power Breakfast event hosted by the Business Journal. “It’s not good here, and it’s dangerous here and it needs to have attention. There’s great groups out there that are working for this, but we need the infrastructure,” O’Rourke said, adding that a trail system is just as much a transportation issue as it is a recreation issue. “If you’re going to sit in a car and go to Folly Beach on Saturday for three hours, that’s crazy. To not have the infrastructure next to that, to not have all the communities working together for the infrastructure, I think is going to hurt this community.” Leaders from Mount Pleasant, Charleston, North Charleston and the rural areas of Charleston County have created a plan that links safe trails throughout the entire county, according to O’Rourke. The problem is paying for the trails to be built. O’Rourke said he will lobby for a regional transportation sales tax to be on the ballot in November 2016 and for some of that funding to be dedicated to building a trail system. “We need the infrastructure, and it needs to improve, and we need the community behind this,” he said.
June 15 - 28, 2015
Volvo to launch new models from S.C. plant By Liz Segrist
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lsegrist@scbiznews.com
erkeley County will play a huge role in determining whether Volvo Cars’ product development and rebranding plan will be successful in North America. Volvo isn’t saying what car models the company plans to build in Berkeley County, but Volvo Cars North America CEO Lex Kerssemakers expects that announcement to be made sometime this month. He did say Volvo Cars plans to launch 14 new products by 2018. Some of the new products will have a renewed focus on safety to complement the automaker’s goal of zero deaths in a Volvo by 2020; others will also focus on the environment and could include a plug-in hybrid model. “This is one of the most ambitious development plans in the automotive industry. ... The factory here in South Carolina will be responsible for building some of those cars,” Kerssemakers said during Volvo’s first news conference in Charleston, held late last month at Charles Towne Landing. The company, headquartered in Gothenburg, Sweden, and owned by Zhejiang Geely Holding Group of China, hopes the new plant and cars will help boost the company’s U.S. market share. U.S. sales have been declining over the past decade, from around 100,000 in 2004 to 57,000 units last year. The automaker wants to produce more than 100,000 cars annually from the Berkeley County plant once production ramps up. “This positions us very well to be a global automotive manufacturer,” said Lars Wrebo, senior vice president of purchasing and manufacturing for Volvo Cars. “The first American-built Volvos will roll off the South Carolina assembly line in 2018. That’s a very short time from now.” Volvo Cars has been importing to the United States since 1955. Company officials have been considering building a production plant in the U.S. for more than three decades, Kerssemakers said. Berkeley County beat out more than 60 other U.S. locations, including Savannah, for Volvo Cars’ first North American production facility. Gov. Nikki Haley and Volvo officials said collaboration among state agencies, environmental groups, Berkeley County, the Commerce Department and stateowned utility Santee Cooper secured the Volvo deal. “We want to build things in South Carolina but know that we’re not just taking jobs from another state. We’re actual-
Volvo Cars North America CEO Lex Kerssemakers (from left), S.C. Commerce Secretary Bobby Hitt and Gov. Nikki Haley sign an incentives agreement for the automaker. (Photo/Kathy Allen)
ly bringing jobs back home to America. ... This is about companies that are going to create generational jobs,” Haley said. The site’s proximity to the Port of Charleston was a huge selling point since the S.C.-built Volvos will be exported to global markets as well as being sold in the U.S. The state’s large automotive supplier base, which accounts for more than 200 companies today, was also a big draw for the automaker. Volvo plans to use the existing supplier base, much of which has been established as BMW has grown its footprint over the past two decades. The company will also recruit other suppliers into the Lowcountry, some of which might locate alongside the Volvo plant within the 6,800-acre Camp Hall Tract, Wrebo said. Work on the Camp Hall Tract will begin this fall. Volvo’s 2,880-acre site needs new roads and a new highway interchange connecting it to Interstate 26. Also in the works is a rail strategy, about which Commerce Secretary Bobby Hitt said “they are still working on it” and did not provide any other details. Wrebo said Volvo plans to work with Santee Cooper to provide renewable energy to the facility. The company will partner with the National Audubon Society to build on-site ponds to support wildlife. The campus also will include outdoor space to encourage a healthy lifestyle for employees. The success of the plant hinges on a trained workforce, Wrebo said. Initial hiring will begin in 2017, with the bulk occurring in 2018. Wages were not disclosed. The company will create a customized workforce training program with readySC for the initial 2,000 hires. Employees will travel to Volvo’s automotive plants in Sweden, Belgium and China to see how operations run there. cr bj
Reach staff writer Liz Segrist at 843-8493119 or @lizsegrist on Twitter.
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LOWCOUNTRY NEWSROOM Managing Editor - Andy Owens aowens@scbiznews.com • 843.849.3142
June 15 - 28, 2015
Business news from around S.C.
Senior Copy Editor - Beverly Barfield bbarfield@scbiznews.com • 843.849.3115
Amazon to add jobs at West Columbia center
Staff Writer - Liz Segrist lsegrist@scbiznews.com • 843.849.3119
The 1.25 million-square-foot Midlands facility is one of 50 fulfillment centers in the United States that the Seattle-based online retailer operates. The company plans to add 6,000 fulltime jobs at fulfillment centers in 19 cities.
Staff Writer - Ashley Heffernan aheffernan@scbiznews.com • 843.849.3144 Editorial Assistant - Steve McDaniel smcdaniel@scbiznews.com • 843.843.3123 Research Specialist - Melissa Verzaal mverzaal@scbiznews.com • 843.849.3104
Mohawk Industries to shut down Landrum plant, cut 151 jobs
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John Katz, president of Columbia’s new minor league baseball team, is a 23-year veteran of running minor league teams. (Photo/Chuck Crumbo)
Columbia’s new baseball team moving from Savannah
The South Atlantic League affiliate of the New York Mets will be playing next spring in Columbia’s new $37 million Spirit Communications Park. The Single-A team, owned by Atlanta-based Hardball Capital, is moving from Savannah, where local officials decided against building a new stadium. “We’re extremely excited to be able to continue our partnership with the New York Mets and bring a tradition of quality baseball and first-class, affordable family entertainment to the Midlands,” Hardball Capital CEO Jason Freier said during a news conference at the ballpark’s construction site. When it opens the 2016 season in Columbia, the team will have a new nickname, logo and colors. The nickname, which Freier said would be “fun, local and unique” will be picked from more than 2,000 submissions offered by fans in the Midlands. The team will be the primary tenant of Spirit Park, which will serve as the centerpiece of the 165-acre Columbia Common development that’s planned for the former State Hospital campus on Bull Street near downtown. The announcement marks the second time the Mets have had a minor league team in Columbia. From 1983 through 2004, the ball club was affiliated with the Columbia Mets and Columbia Bombers. — Chuck Crumbo, Columbia Regional Business Report
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BorgWarner Inc. is expanding its existing manufacturing operations in Oconee County. The $13.3 million investment is expected to add 50 new jobs at the Wells Highway location in Seneca over the next five years, according to the S.C. Department of Commerce.
Georgia Transportation Department denies permit for Palmetto Pipeline The Georgia Department of Transportation turned down Kinder Morgan’s request for a certificate of public convenience and necessity that it needed to build a pipeline carrying refined petroleum products from the Gulf of Mexico to Belton, and then along the S.C. border to Savannah and Jacksonville, Fla.
Construction jobs up 7.1% during 12-month stretch
Newberry, Clemson sign dual-degree program
Most of the funding will be used to upgrade or improve aging facilities to protect public health and ensure environmental compliance. The remaining grants will increase infrastructure to support existing businesses and new economic opportunities.
South Carolina added 5,800 construction jobs between April and the same month in 2014, according to the Associated General Contractors of America. Between March and April, 1,000 construction jobs were added in the state.
Students will be able to complete their first three years of study at Newberry College, where they fulfill all general education and other graduation requirements. The next two years are spent at Clemson, where students complete course requirements for an engineering degree.
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BorgWarner to expand, add 50 jobs in Seneca
Rural Infrastructure Authority disburses $14.2 million
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Mohawk Industries Inc. will shutter the Landrum plant and its 151 jobs by early next year in a consolidation of operations at Eden, N.C. The announcement comes a year after it announced expansion plans at Landrum. A spokesman for the company said the move is intended to focus on building up its woven carpet and rug business.
Charleston Regional Business Journal (USPS 0018-822) is published biweekly, 27 times per year, including one special issue in January, by SC Biz News. P.O. Box 446, Charleston, SC 29402. Periodicals postage paid at Charleston, SC. Mailing address: 1439 Stuart Engals Blvd., Suite 200 Mount Pleasant, SC 29464. Postmaster: Send address changes to: Charleston Regional Business Journal, P.O. Box 446, Charleston, SC 29402
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June 15 - 28, 2015
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Above: Board of Architectural Review members Erika Harrison (from left), Bill Wallace, Bob Faust, Janette Alexander and Jay White listen as The Beach Co. team explains the Jasper proposal. (Photo/Ashley Heffernan) Left: The Beach Co.’s latest plan for The Jasper was denied by the board. (Rendering/The Beach Co.) JASPER, continued from Page 1
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crowd of at least 300 residents showed up demanding to stay in an overflowing room to make their voices heard. Residents again lined up when later meeting locations were changed to large auditoriums at Burke High School and the Charleston Museum. Darby said it’s clear that Lowcountry municipalities are making it “far more difficult” to gain approval, which he said costs his company money. “You really look for places that are more pro-business and have a better process,” he said. “We like Charleston, and we’re very invested in Charleston, but we’re in other markets where it’s a little different experience.”
Speaking out
Tim Condo, advocacy manager for the Preservation Society of Charleston, said the existing Sergeant Jasper is a “tower in the park,” while the new proposal would be a “monstrosity on the marsh.” “As proposed, the redevelopment of the Sergeant Jasper, in volume, footprint and total square footage, would still be more than the combined Francis Marion Hotel and the Cigar Factory,” Condo said, while holding a poster board showing those two buildings. “I respectfully ask that the board deny this request.” Winslow Hastie, chief preservation officer for Historic Charleston Foundation, said his group remains opposed. “We continue to believe that no one can reasonably argue that this complex of three tall buildings, along with a large parking garage, is compatible with the historic district or the residential neighborhoods surrounding it,” Hastie said. Dozens of residents also lined up to speak against the project. Tom Waring, president of the Charlestowne Neighborhood Association, said the current Sergeant Jasper tower has always been too tall for the neighborhood and should not be replicated. Betsy Cahill said the proposal would “suck the life out of this end of the peninsula.” “If the application for these massive, towering, out-of-scale buildings is
approved, Charleston will never be the same. That is because these structures will not only dwarf the neighborhood, they will in time become the neighborhood,” Cahill said. Councilman Mike Seekings added that approving the plan would “fracture a community.” “These people, who I represent, I’ve heard from loudly,” Seekings said. “I would ask that you listen to them loudly and know they are a community, and they want to stay a community.” Charleston Mayor Joe Riley was one of the few who spoke in favor of the proposal. He said the company’s first iteration was “substantially too tall” and suggested new construction should not exceed the height of the current building. “What has been presented is a building that is the same height as the existing Sergeant Jasper tower, but I would argue substantially more attractive,” Riley said. Planning director Tim Keane, who will be leaving this month for a similar position in Atlanta, also recommended approval of the plan, with conditions.
BAR members decide
Bob Faust said the building was clearly taller than everything else within two or three blocks and didn’t seem appropriate next to “a house that dates back to the 1800s and is 35 to 40 feet tall.” Jay White called the plan “wildly out of keeping with historical context” and made a motion to deny the plan based on height, mass and scale — but not general architecture direction, which most agreed was on the right path. Phyllis Ewing recused herself from the application, and Janette Alexander and Bill Wallace voted against the motion. Wallace argued that the “extremely unique” site is not within a residential neighborhood. “Is the design there yet? I don’t think it’s there yet, but I don’t think it’s something that should be denied,” Wallace said. “Architecturally this is a very good project.” cr br
Reach staff writer Ashley Heffernan at 843849-3144 or @AshleyBHeff on Twitter.
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June 15 - 28, 2015
S.C. shrimp boat captains expect large harvest By Ashley Heffernan aheffernan@scbiznews.com
C
apt. Wayne Magwood was up at 3 a.m. on a recent Saturday. An hour later, he and a crew of three were floating through Shem Creek on the Winds of Fortune heading for shrimp territory. On the way out, they cooked shrimp and grits for breakfast on a small stove in the galley while sitting around a table adorned with photographs of familyowned vessels trawling in open water. By noon that day, they were docked again in the creek with hundreds of pounds of shrimp waiting to be divvied up, weighed and sold straight from the deck behind The Wreck of the Richard and Charlene restaurant. Magwood’s first customer walked away with 50 pounds of shrimp — heads on — in a pair of coolers, while the next debated whether 100 pounds or 150 pounds would be enough. Lewis Howard was busy beheading shrimp on a nearby table for customers who wanted to pay a premium. In early June, Magwood was selling a pound of shrimp for $5 to $6 wholesale, depending on how much was purchased, and $7 retail.
Capt. Wayne Magwood, aboard the Winds of Fortune in Shem Creek, divides shrimp into various buckets before weighing his catch. Magwood, who has been in the business for about 40 years, said a successful day on the water means pulling in at least 500 pounds of shrimp. (Photo/Ashley Heffernan)
“But the price may be going up because the shrimp are getting scarce,” Magwood said. “It’s supply and demand, just like anything else. Right now there
are a lot of shrimp on the market, but they’re getting less and less.” Last year at the same time, the retail price was already up to about $9 per
pound because of lower supply. A few weeks in, this season is looking better, according to Magwood. In 2014, about 1.6 million pounds of shrimp, measured with heads off, were landed off the S.C. coast, with a dockside value of just over $8 million, state reports show. The previous year, the harvest was valued at about $5.9 million. The 2015 commercial shrimp trawling season opened in the state’s general trawl zone waters on May 27. Mel Bell, director of the S.C. Department of Natural Resources’ Office of Fisheries Management, predicts the harvest could reach $9 million for the first time, but that depends on several factors, including the international market. “We could have a bumper year for landings, but if prices are driven down due to lots of product on the market overall, our guys can still not do as well,” Bell said. “What would be ideal for them, of course, would be sustained relatively high prices and abundant shrimp.” Magwood, who has been in the business for about 40 years, didn’t want to say how many pounds he pulled in on that day, but he said his worst day this season was 40 pounds and his best day was 2,000 pounds. He considers any day over 500 a success.
June 15 - 28, 2015
“The best day I ever had was 10,000 pounds,” he said. Bell said winter weather drives the shrimping season. The 2011 season was particularly bad because the winter was too cold. This past winter was mild. “This was a good winter; that’s why we’re optimistic,” he said. “There was a spell where it cooled down a little bit, and we got nervous. But we’re showing a forecast of a really good spawn in terms of numbers.” The forecast, based on samples taken by DNR biologists, could change depending on hurricane activity, excess rainfall, drought and disease. “It’s a tough way to make a living,” Bell said. “The industry is nothing like it was in the late ’70s and ’80s.” This year, nearly 440 of the mandatory commercial trawl gear licenses were sold. S.C. residents, who purchased about 300 of the licenses, pay $125 per license, while nonresidents pay $300. Only 170 of the 380 licensed last year reported shrimp landings though, according to Bell. He said in 1992, there were more than 1,000 licenses issued, with nearly 600 going to residents. In the years that followed, licenses steadily declined. But since 2005, the average has hovered between 350 and 500. Many of the remaining shrimpers are continuing their family businesses and know where to trawl for shrimp based on familiarity. The general trawl zone
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encompasses about 625 square miles and includes most of the water between the beaches and mouths of inlets out about three miles. The shrimp “tend to be bunched up at different times in areas directly off and around the inlets,” Bell said. “Through years of experience, the shrimpers know how and where to look for them. That’s why you tend to see the boats all working in the same general areas off particular parts of the coast.” Rocky Magwood, a fourth-generation shrimper and Wayne Magwood’s nephew, had a shrimp boat of his own, the Lady Eva, until it sank in Shem Creek in December 2013. Since losing his vessel, he’s been working on his uncle’s Winds of Fortune and looking for the right boat to buy. “I don’t want to jump in and get something that needs a lot of work again,” he said. His grandfather’s old shrimp boat, which was built on Shem Creek, might be back on the market soon in Louisiana, and Rocky Magwood is looking to bring it back home. “It got sold a long time ago,” he said. “The guy that bought the boat passed away, and it’s in a family dispute now. Me and some friends are trying to get it back.” cr bj
Reach staff writer Ashley Heffernan at 843849-3144 or @AshleyBHeff on Twitter.
Lewis Howard, a deckhand on the Winds of Fortune, pulls the heads off shrimp that were caught off the S.C. coast. The commercial shrimp trawling season opened in the state’s general trawl zone waters on May 27. (Photo/Ashley Heffernan)
S.C. commercial trawl gear licenses sold 2015
298
Resident ($125 per license)
136
Nonresident ($300 per license)
434 Total
Value of reported commercial shrimp landings 2014
$8,033,766.88
Source: Department of Natural Resources Photo/Ashley Heffernan
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June 15 - 28, 2015
Above: Charleston resident Jill Swing advocates for the legalization and regulation of medical marijuana in South Carolina during a rally at the Statehouse. Right: Jayden Kozak, standing with his sister, Sophia, and mother, Robynn, says cannabis oil helped decrease his sister’s seizures dramatically. (Photos/Liz Segrist)
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legalized cannabidiol oil last year to treat severe cases of epilepsy under a doctor’s recommendation. Cannabidiol oil is extracted from part of the marijuana plant. The state limits the THC — tetrahydrocannabinol, the chemical in marijuana that produces a high — to 0.9% or less in oils. The Kozaks are among several families in the state that were hoping the state would expand access to medical marijuana this year. The law signed last summer does not define how the industry would operate, and it limits access to patients with severe epilepsy. House and Senate bills were introduced this spring to regulate the medical marijuana industry by registering patients, certifying growers and opening dispensaries. If passed, it would have also expanded access to medical marijuana for those with post-traumatic stress disorder, cancer, Alzheimer’s disease, spinal cord injuries, glaucoma, rheumatoid arthritis, autism spectrum disorder and Parkinson’s disease. Proponents say patients would receive regulated, lab-tested products that could potentially improve their quality of life. Opponents say it would exacerbate marijuana offenses and harm patients. From a business perspective, the state could make money from business license fees. The industry could have an economic impact on communities with people hired as growers and with dispensaries opening their doors. The bills did not get through the Senate before the legislative session ended June 4. The medical marijuana debate is
expected to resume when the Legislature reconvenes in January.
Going underground
Supporters said that while CBD oil has vastly improved the quality of life for epilepsy patients, the law falls short of establishing a system for how patients can obtain the oils. The law states that only “licensed growers” can manufacture the oil in the state but does not define how to become one. Patients and families are often left scrambling to get their hands on the oil. Jill Swing, a Charleston resident, said the law created uncertainty for patients and their families. “We are trying to get things that will help our children. We’ve had to go underground; we’ve had to go on the black market to make things happen,” Swing said during the rally. “It’s time that we have access to safe, legal cannabis grown here in the state of South Carolina that is regulated, controlled and tested.”
How the industry would work
Sen. Tom Davis, R-Beaufort, championed the CBD oil law and co-sponsored the legalization measure this year. He said the next logical step is to create regulations that would outline how medical marijuana would be grown, tested and dispensed in South Carolina. The bills, if passed, would require all growers and dispensers to track every plant, product, package, sale and patient with identification numbers. Patients would have a registry identification card qualifying them for medical marijuana, which could be obtained only through a doctor’s recommendation. It would require anyone wanting to
June 15 - 28, 2015
become a licensed grower, processor or dispenser to comply with background checks and pay a $15,000 application fee, among other stipulations. “If a physician decides that a substance ... can help a patient, why in the world is the state of South Carolina stepping into that relationship? ... Let’s allow for its cultivation and dispensation here in South Carolina,” Davis said.
Legal, medical concerns
The bills face strong opposition from the medical and legal communities. State Law Enforcement Division officials have said the legalization of medical marijuana would increase marijuana violations in the state and make it easier to illegally grow marijuana. Dr. Jonathan Halford said it is too early to see conclusive results on the effect medical marijuana can have but he is skeptical of any CBD oils that are not tested to ensure safe ingredients. Halford is running a clinical trial at the Medical University of South Carolina for the drug Epidiolex, a CBD oil produced by GW Pharmaceuticals for epilepsy patients. A medical marijuana study committee made up of residents, legislators, SLED officials, MUSC physicians and members of the Department of Health and Environmental Control, Agriculture Department and Medical Association met several times last fall. Tim Pearce, past president of the S.C. Medical Association, said in testimony before the committee that he does not advocate giving physicians the ability to write medical marijuana prescriptions. He said there is little concrete evidence to support the idea that medical marijuana is more effective in treating conditions compared with medicines. Committee members heard testimony from patients and families. Some of those testimonies helped shape the current medical marijuana bills. But many physicians say testimonies do not replace numerous clinical trials.
Grass-roots movement
Swing said she had exhausted all of her options. Her daughter, Mary Louise, was having more than 100 epileptic seizures a day. They had visited numerous doctors and tried countless medications. “Mary Louise’s seizures aren’t life-threatening, but the frequency is so extraordinary, it disrupts life in every way,” Swing said. She heard about medical marijuana and CBD oils on a CNN story and almost relocated her family to Colorado to have access to them. Davis persuaded her to stay and be the face of the medical marijuana movement in South Carolina. They collaborated on bills with the hope of legalization. As CBD oil gained national attention, patients and their families began talking to one another — each one desperate for access.
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“We would have success with what we gave her, and we would be encouraged, and then we couldn’t get it anymore,” Swing said. “We’ve been through the wringer on trying to find safe, reliable products. ... We need a regulated medical marijuana program in our state.” A group — mostly made of veterans with PTSD and parents whose children have severe seizure disorders — began sharing information online about where to get safe CBD oils. Janel Ralph became interested. Her 6-year-old daughter, Harmony, has a rare genetic condition called lissencephaly
that caused her to have up to eight seizures per day, each one lasting about 30 minutes and often resulting in emergency room visits. Medications were not working and huge medical bills were piling up. Ralph decided to give CBD oil to her daughter. Harmony’s seizures shortened to a few seconds. Days would pass with no seizures at all, and Ralph now wants more conditions to be covered by law. “It’s not fair that my child is seeing benefits and all of the other people who need it — veterans and cancer patients and the elderly — do not have access to it,” Ralph said. “That’s not morally right.”
Davis and Swing said they will work with other advocates and legislators to get the S.C. Medical Marijuana Program Act passed and signed into law next year. “My daughter lost her ability to talk when she was about 2 1/2 years old. Since she started taking the CBD oil, she is saying ‘Hi’ and ‘Bye’ and ‘Yeah,’ ” Swing said of Mary Louise, now age 7. “I can hear my child talk now. She is looking around like a light has come on, like she is seeing the world for the first time.” cr bj
Reach staff writer Liz Segrist at 843-8493119 or @lizsegrist on Twitter.
10
www.charlestonbusiness.com
June 15 - 28, 2015
In Focus:
LIST Law Firms, Page 16
Law
What New Lawyers Earn The average starting salaries for lawyers vary widely from region, state and city. Here’s a breakdown of law firms in South Carolina’s largest markets reported in 2013 and by state. Greenville
$76,045 Columbia
$67,042
Charleston
$50,652
Virginia $77,450 Tennessee $64,143
N. Carolina $74,412 S. Carolina $64,231
Georgia $76,456
Florida $66,149
Charleston School of Law has hired Joseph D. Harbaugh, the former dean of the University of Richmond School of Law and Nova Southeastern University Law Center, as its interim president. The school’s most recent president resigned after eight days on the job. (Photo/Ashley Heffernan)
Charleston School of Law hires interim president American Bar Association on fact-finding mission at institution By Ashley Heffernan aheffernan@scbiznews.com
C
harleston School of Law’s interim president previously served as dean of two other law schools and currently sits on an InfiLaw System board. Joseph D. Harbaugh, former dean of the University of Richmond School of Law and dean emeritus at Nova Southeastern University Law Center, joined the Charleston School of Law on June 5. Harbaugh’s hire came two weeks after the school terminated seven faculty members and in the same week the American Bar Association conducted a site visit related to the school’s compliance with accrediting standards. As interim president, Harbaugh will oversee the day-to-day operations of the recently restructured institution. This isn’t Harbaugh’s first experience with the school though.
He was a member of the initial license team appointed by the S.C. Commission on Higher Education when the institution first opened over a decade ago. “I’m excited to return to a Charleston School of Law that has matured and is poised to make another leap forward,” Harbaugh said in a statement. “I am eager to work with faculty, staff, students and alumni to make that happen.” Dean Andy Abrams said he’s looking forward to working closely with Harbaugh, who has held key leadership positions in the American Bar Association and the Association of American Law Schools, to “ensure a bright future for our school.” “He brings a remarkable breadth and depth of knowledge of legal education that will benefit all of us associated with the law school, as we move into our second decade of providing a high quality, hands-on legal education,” Abrams said in a statement.
Facing an uphill battle
Former Charleston School of Law President Maryann Jones resigned from the position after only eight days on the job in November. She was hired in the middle of a firestorm between many students, alumni and community members who were against law school co-owners Robert Carr and George Kosko’s attempts to sell the school to The InfiLaw System. Harbaugh faces a somewhat different situation. Co-owner Ed Westbrook was openly against InfiLaw purchasing the school, but he resigned in late-March. That left Carr and Kosko, supporters of the InfiLaw deal, to operate the financially strapped institution, which still owes an undisclosed amount of money to InfiLaw for management fees and a “long-defaulted loan.” An InfiLaw spokeswoman said the company has not started collection proSee LAW SCHOOL, Page 13
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Source: National Association for Law Placement Inc.
Law School Enrollment Declining
The American Bar Association found that fewer students enrolled in juris doctorate programs across the U.S. over the past three years with the percentage of female students increasing and male students decreasing. Enrollment
Enrollment
146,268
139,120
53.3% MEN
46.7% WOMEN
53.0% MEN
2011-2012
47.0% WOMEN
2012-2013 Enrollment
128,695 52.2% MEN
47.8% WOMEN
2013-2014 Source: American Bar Association
Next Issue’s Focus:
Disaster Preparedness
12
www.charlestonbusiness.com
IN FOCUS: LAW
June 15 - 28, 2015
Joseph Harbaugh Education • Master of Laws, Georgetown University – Prettyman Fellow (1967); Bachelor of Laws, University of Pittsburgh – Owens Honors Scholarship (1964); Bachelor of Science, political science, St. Joseph’s University (1961)
Work Experience • Professor of law emeritus and dean emeritus, Nova Southeastern University Law Center (2014-present) • Dean and professor of law, University of Richmond School of Law (1987-1995) • Professor of law, Washington College of Law, American University (1984-1987)
• Professor of law, Temple University School of Law (1974-1984)
Board Memberships • National Policy Board, InfiLaw Inc. (2013-present) • Florida Humanities Council (2013-present) • Board of trustees, Argosy University (2014-present) • American Innovators for Patent Reform (2014-present)
within standards required to remain accredited. cedures on the loan and does not plan to The school first earned ABA approval refile a license application with the Com- in 2006, and the last time it had a stanmission on Higher Education to purchase dard re-review site visit was in October the school. 2013. The school’s next sabbatical re-reLaw students are view is expected in also harder to come 2020. “I think we all have by. ABA accreditThere are around reservations about whether ing guidelines say 450 students enrolled if there’s a concern at the school, which or not the new president about possible nonis down from about compliance, the 700 at the school’s actually represents the best Accreditation Compeak a few years mittee can send a ago. The class of interests of the students and special fact finder. 2015 included 132 The ABA also said graduates, which is faculty or the best interests major changes in the 54 fewer than the program or organischool’s first graduat- of the owners and InfiLaw.” zational structure ing class. of the school may Matt Kelly Nationally, law constitute grounds president, schools face a downfor a special site visit Student Bar Association at ward enrollment. by the Accreditation Charleston School of Law The American Bar Committee. Association found An ABA spokesnearly 120,000 students pursuing juris person would not elaborate on why the doctorates in the 2014 academic year at the association representative was sent to the 204 ABA-approved law schools in the U.S. Charleston School of Law. That’s a decrease of almost 9,000 students, School spokesman Andy Brack called or 6.9%, from 2013 and a 17.5% decrease the visit productive and said the ABA from the historic high enrollment in 2010, representative met with the law school’s according to the association. board, faculty, staff and students. “The 2014 total enrollment is the lowest “The visit allowed the board members since 1987, when there were 175 ABA-ap- to outline how the law school is being proved law schools,” a statement from the restructured to ensure a vibrant, secure association said. ftuure so it will be able to be a part of the With less tuition money coming in, the Charleston community for a long time Charleston School of Law recently decid- to come,” Brack said in an emailed stateed to terminate seven faculty members ment. and consolidate its facilities from seven Matt Kelly, who is expected to gradudowntown Charleston buildings to two. ate in 2016 and is president of the Student Additionally, a spokesperson at the Bar Association at the Charleston School American Bar Association confirmed of Law, said the fact finder met with about to the Business Journal that the orga- 50 students for nearly two hours during nization sent a fact finder to the cam- his visit. pus during the first week of June to Kelly said the ABA representative was investigate if the school is operating concerned with adequate facilities and LAW SCHOOL, continued from Page 11
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IN FOCUS: LAW
June 15 - 28, 2015
Profile of the Charleston School of Law class of 2015 to 56 132 24 62.9% Total graduates Age range from (27 completed their degrees in Dec.)
of graduates
75 Men
Women
South Carolina
57
Source: Charleston School of Law Graphic: Ryan Wilcox
Charleston School of Law currently occupies space in seven downtown Charleston buildings — the Sol Blatt Jr. Law Library (pictured at left) is located at 81 Mary St., while offices and classrooms are in the AT&T building at 385 Meeting St., as well as 392 and 394 Meeting St., and 414, 442 and 444 King St. School leaders intend to consolidate the campus to just the library and AT&T buildings. (Photo/Ashley Heffernan)
the possibility of program cuts because of the loss of faculty members. Kelly said the school’s co-owners have not sought input from students on selecting a new president, and he questioned if the school’s claims of losing money are accurate. “Were the faculty fired to hire this guy or does the financial exigency not exist?” Kelly said, referring to Harbaugh. “I think we all have reservations about whether or not the new president actually represents the best interests of the students and faculty or the best interests of the owners and InfiLaw.” He also shared a concern with the ABA representative that the school’s leaders lack transparency and said nobody knew that the co-owners were even interviewing for a president. “That’s never been known to anybody at the school, as far as I know,” Kelly said. “It’s disappointing and upsetting; however, sadly, it’s no longer surprising.”
Alumni at a loss
John Robinson, a member of the first graduating class in 2007 and president of the school’s alumni board, said alumni want to see the school succeed but have very real concerns about its future. “Somebody needs to step forward with a plan for the future if the public is going to continue to have confidence in the school, and that includes the alumni and the Charleston community,” Robinson said. “The alumni board’s position continues to be opposed to InfiLaw.” When he was a student, Robinson said there was a strong sense of comradery among administration, faculty, staff and students. “We liked to tell people that we started school in a one-room schoolhouse because we took 90% of our classes at
81 Mary Street in the old depot,” he said. “The students thought they were having an opportunity to do something new and be helpful. Those feelings, by and large, prevailed until July of 2013.” On July 25, 2013, the co-owners announced they’d entered into a management services agreement with InfiLaw. A month later, they signed an agreement expressing their intent to transfer ownership of the school to InfiLaw. Wes Allison, a Charleston attorney who graduated from the law school in 2012, called that announcement a devastating blow. “Morale was good when I was there,” Allison said. “People liked the school, the faculty were very dedicated, students were very collegial.” He said alumni now are “heartbroken by the unwillingness or inability of the remaining founders to come up with an alternative plan.” “The faculty that they just dismissed were some of our most prominent, well-respected professors,” Allison said. “Some of the faculty best-equipped to lead the school to wherever it’s going are now gone, and that’s a shame and a loss for us.” Allison said the alumni would welcome dialogue with Carr and Kosko but have not been approached. “We’ve tried to reach out to them many times,” Allison said. “We just hope that they provide some certainty and some insight into the future vision of the school for this point, given InfiLaw’s lack of interest, so that we can begin to move forward and recruit strong classes and reintegrate the school into the local legal community.” cr bj
Reach staff writer Ashley Heffernan at 843-849-3144 or @AshleyBHeff on Twitter.
www.charlestonbusiness.com 13
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www.charlestonbusiness.com
IN FOCUS: LAW
June 15 - 28, 2015
Experts: S.C. has space for noncompete covenants South Carolina doesn’t lose out on employees because of agreements, they say By Matthew Clark
proprietary information.” But there are drawbacks. Katherine Clark, senior lecturer at 2012 study by the Harvard the Clemson School of Business and School of Business and Massa- Behavioral Science, said the circumchusetts Institute of Technolo- stances behind why an employee loses gy’s Sloan School of Management sug- his or her job have to be taken into gested states with strong enforcement consideration when discussing enforceof noncompete agreements are losing ment of a noncompete covenant. workers and investors to states with “I understand why companies want more lax regulations. to have them, but I have been involved South Carolina has stricter guidelines in layoffs and plant closures where the regarding enforceemployee had no ment of noncomcontrol over the “By definition, they are separation pete agreements. and The S.C. Court of they can’t pursue Appeals has ruled restrictive to an employee what they want to that noncompete because of the or entrepreneur to engage do covenants will be agreement,” said upheld if they are Clark, who was in in certain activities that manufacturing and reasonably limited, aren’t “oppresresources their employer believes is human sive” in restricting prior to academia. “I an employee from saw some innocent competitive.” earning a livelihood people get harmed and are necessary to because of it.” W. Andrew Arnold protect the employAnother issue Greenville attorney er. with noncom“By definition, pete agreements is they are restrictive to an employee or employers creating a covenant when entrepreneur to engage in certain activ- there is no need to have one. ities that their employer believes is com“The danger is that every Tom, Dick petitive,” said Greenville attorney W. and Harry want to restrict their sales Andrew Arnold. staff when their product is open source, Don Coggins, managing partner and then it becomes an overreaching with the Spartanburg law firm of Har- thing,” Coggins said. rison, White, Smith & Coggins P.C., Still, neither Coggins nor Clark has litigated noncompete agreements believes South Carolina has been hinin South Carolina and said S.C. courts dered by allowing enforceable noncomwill enforce a noncompete that is drawn pete covenants. well. “I haven’t had an employee retain “The courts have been pretty clear me to look over a noncompete and not on how those should be done,” Coggins relocate to the state, nor have I had any said. businesses tell me they have lost out The 2012 study said those states that on prospective employees because of don’t allow noncompete agreements or a noncompete requirement,” Coggins that don’t actively enforce against dis- said. charged employees may have an advanClark said a noncompete agreement tage over states, like South Carolina, would play little, if any, part in a potenthat do allow and enforce such cove- tial employee’s decision as to whether to nants. The study said the agreements take a job. contribute to the “brain drain” from “For an astute, experienced person, regions that enforce them. the noncompete may make a difference, “These people create jobs, and a cov- but I honestly think most people don’t enant in an employment agreement think of that,” Clark said. “If everything restricts their ability to do that, and else was equal and the person really that hinders economic development,” understood it, it could make a differArnold said. ence.” The agreements do have their place, Coggins said, “particularly when you Reach GSA Business editor Matthew are dealing with a job that deals with Clark at 864-235-5677, ext. 107.
A
mclark@scbiznews.com
cr bj
IN FOCUS: LAW
June 15 - 28, 2015
Boeing South Carolina workers build 787 Dreamliners from the company’s North Charleston campus. (Photo/Kim McManus)
NLRB dismisses union’s complaint against Boeing By Liz Segrist
T
lsegrist@scbiznews.com
he National Labor Relations Board has dismissed an unfair labor practices complaint filed against the Boeing Co. late last month. One case against the Boeing South Carolina plant is still pending with the NLRB. The International Association of Machinists and Aerospace Workers alleges in that charge the unlawful discharge of employees at the plant, which can include layoffs or refusal to hires. NLRB spokeswoman Jessica Kahanek said she does not have a timeline for a decision on the pending case. For the complaint that was recently dismissed, the IAM filed it against the aerospace company on April 17, the same day the machinists union canceled its April 22 election at Boeing South Carolina. Union officials said at the time they did not think they had enough support to win the election. They also said the environment was too hostile for an election due to intimidation from Boeing, political interference and hostility during visits to Boeing workers’ homes, which occurred as part of union organizers’ campaigning efforts. Home visits were suspended after two organizers were threatened at gunpoint, according to the IAM. “The charge, filed on the same day as the union’s withdrawal, accused Boeing of inciting the company’s South Carolina teammates to engage in violence against union organizers,” Boeing spokesman Rob Gross said in an emailed statement. “We said when the IAM filed these charges that they were frivolous.” The Business Journal obtained a copy of the IAM’s charge against the Boeing Co. through a Freedom of Information
Act request. The IAM said: “Within the past six months, the employer has unlawfully interfered with the lawful organizing activities of the union by deliberately encouraging and promoting harassment, assaults and threats of violence against union supporters. Because of the potential for violence and the obvious infringement upon Section 7 rights caused by the employer’s conduct, 10(j) injunctive relief is requested.” Section 10(j) of the National Labor Relations Act authorizes the NLRB to seek temporary injunctions to stop unfair labor practices while a case is being litigated. According to an April 17 letter to Beverly Wyse, Boeing South Carolina’s vice president and general manager, the NLRB said it would investigate the merits of the allegations. The agency ultimately dismissed the charges and determined no injunction was necessary. “We’re happy to receive confirmation that the NLRB agrees that these are baseless allegations,” Gross said in a statement. “Our Boeing South Carolina team is continuing to focus on what we’ve always been focused on, working together to build the highest-quality airplanes in the world.” The IAM did not respond to several requests for comment. The IAM can file for another election in October to continue its effort to unionize more than 3,100 production and maintenance workers at Boeing South Carolina’s 787 Dreamliner campus in North Charleston. The union has to wait at least six months from the time it canceled the initial election. cr bj
Reach staff writer Liz Segrist at 843-8493119 or @lizsegrist on Twitter.
www.charlestonbusiness.com 15
16
IN FOCUS: LAW
www.charlestonbusiness.com
June 15 - 28, 2015
Law Firms
Ranked by No. of Attorneys in the Charleston Area Company Address Phone/Fax/Website
Phone / Website Email
Motley Rice LLC 28 Bridgeside Blvd. Mount Pleasant, SC 29464
843-216-9000 www.motleyrice.com -
Joseph F. Rice 2003
53 207
Womble Carlyle Sandridge & Rice LLP 5 Exchange St. Charleston, SC 29401
843-722-3400 www.wcsr.com -
Charles J. Baker III 1876
46 80
Young Clement Rivers 25 Calhoun St.,Suite 400 Charleston, SC 29401
843-577-4000 www.ycrlaw.com krussell@ycrlaw.com
Wilbur E. Johnson 1965
42 105
McDonnell and Associates, PA 311 Johnnie Dodds Blvd. Mount Pleasant, SC 29464
866-931-8793 www.mcdonnelllawfirm.com info@mcdonnelllawfirm.com
Edward G. McDonnell 2003
40 100
Managing Partner(s)/ Year Founded
Attorneys / Total Employees
Practice Area(s) Antitrust, bankruptcy, civil, commercial, consumer, environmental, international, litigation, mergers and acquisitions, personal injury, securities, torts, transportation, anti-terrorism and human rights; asbestos and mesothelioma; aviation; catastrophic injury; medical; occupational disease and toxic tort; consumer fraud Administrative, antitrust, appellate, banking and finance, bankruptcy, business, civil, commercial, construction, corporate, economic development, employment and labor, estate planning and probate, health care, intellectual property, litigation, maritime and admiralty, mergers and acquisitions, real estate, tax, torts Administrative, appellate, business, civil, commercial, construction, consumer, corporate, economic development, employee benefits, employment and labor, environmental, estate planning and probate, family, government relations, health care, litigation, maritime and admiralty, personal injury, real estate, tax, torts, transportation, workers' compensation Bankruptcy, business, civil, commercial, consumer, corporate, criminal, estate planning and probate, family, litigation, mergers and acquisitions, personal injury, real estate, tax, default services Administrative, antitrust, appellate, banking and finance, bankruptcy, business, civil, commercial, construction, consumer, corporate, criminal, economic development, employee benefits, employment and labor, environmental, estate planning and probate, family, government relations, health care, immigration, intellectual property, international, litigation, maritime and admiralty, mergers and acquisitions, personal injury, public finance, real estate, securities, Social Security, tax, telecom and technology, torts, transportation, workers' compensation Administrative, appellate, banking and finance, bankruptcy, business, civil, commercial, construction, consumer, corporate, estate planning and probate, litigation, maritime and admiralty, mergers and acquisitions, personal injury, real estate, tax, torts, transportation, workers' compensation Antitrust, banking and finance, bankruptcy, construction, corporate, economic development, employment and labor, environmental, estate planning and probate, government relations, health care, immigration, intellectual property, litigation, maritime and admiralty, mergers and acquisitions, real estate, securities, tax, telecom and technology Antitrust, appellate, banking and finance, bankruptcy, business, civil, commercial, construction, corporate, economic development, employee benefits, employment and labor, environmental, health care, immigration, intellectual property, international, litigation, maritime and admiralty, mergers and acquisitions, real estate, securities, tax, telecom and technology, torts, transportation, resort, hospitality, and leisure Antitrust, business, construction, consumer, employment and labor, environmental, intellectual property, litigation, personal injury, securities, torts, asbestos, average wholesale drug price litigation, class actions, gas can and gas tank fire litigation, medical malpractice, mutual funds and securities litigation, pharmaceuticals and medical devices, pharmacy liability, predatory lending, product liability, railroad accidents, tractor-trailer litigation, underground storage and pollution, vehicle defects
Nelson Mullins Riley & Scarborough LLP 151 Meeting St., Suite 600 Charleston, SC 29401
843-853-5200 www.nelsonmullins.com info@nelsonmullins.com
Michael T. Cole 1897
35 68
Clawson & Staubes LLC 126 Seven Farms Drive, Suite 200 Charleston, SC 29492
843-577-2026 www.clawsonandstaubes.com info@clawsonandstaubes.com
Samuel R. Clawson 1975
34 91
Moore & Van Allen PLLC 78 Wentworth St. Charleston, SC 29401
843-579-7000 www.mvalaw.com -
Donald B. Meyer 1997
33 58
K&L Gates 134 Meeting St., Suite 200 Charleston, SC 29401
843-579-5600 www.klgates.com kathryn.whitaker@klgates.com
James Walker Coleman IV 2011
30 49
Richardson, Patrick, Westbrook & Brickman LLC 843-727-6500 www.rpwb.com 1037 Chuck Dawley Blvd. marketing@rpwb.com Mount Pleasant, SC 29464
James L. "Jay" Ward Jr. 2002
28 101
Carlock, Copeland & Stair LLP 40 Calhoun St., Suite 400 Charleston, SC 29401
843-727-0307 www.carlockcopeland.com -
Paul E. Sperry 2000
27 50
Haynsworth Sinkler Boyd P.A. 134 Meeting St., Third Floor Charleston, SC 29402
843-722-3366 www.hsblawfirm.com -
Jeddie Suddeth III, Joe Clark, Nick Nicholson 1887
27 59
Nexsen Pruet LLC 205 King St., Suite 400 Charleston, SC 29401
843-577-9440 www.nexsenpruet.com jsowards@nexsenpruet.com
Brad Waring 1945
27 52
Hood Law Firm LLC 172 Meeting St. Charleston, SC 29401
843-577-4435 www.hoodlaw.com info@hoodlaw.com
Robert H. Hood Jr. 1985
24 51
Appellate, business, civil, commercial, construction, corporate, employment and labor, health care, litigation, maritime and admiralty, personal injury, torts, medical malpractice defense, product liability, insurance
McAngus Goudelock & Courie LLC 735 Johnnie Dodds Blvd., Suite 200 Mount Pleasant, SC 29464
843-576-2900 www.mgclaw.com -
James R. Courie 1995
17 41
Appellate, business, civil, construction, employee benefits, employment and labor, environmental, litigation, personal injury, real estate, torts, workers' compensation, product liability
Parker Poe Adams & Bernstein 200 Meeting St., Suite 301 Charleston, SC 29401
843-727-2650 www.parkerpoe.com parkerpoe@parkerpoe.com
Robert C. Byrd 1884
17 28
McNair Law Firm P.A. 100 Calhoun St., Suite 400 Charleston, SC 29401
843-723-7831 www.mcnair.net dtigges@mcnair.net
Jennifer C. Blumenthal 1987
16 29
Turner Padget Graham & Laney P.A. 40 Calhoun St., Suite 200 Charleston, SC 29401
843-576-2800 www.turnerpadget.com wbyrd@turnerpadget.com
Shawn R Willis 1929
15 26
Willson Jones Carter & Baxley P.A. 421 Wando Park Blvd., Suite 100 Mount Pleasant, SC 29464
843-284-1080 www.wjcblaw.net kmsmith@wjlaw.net
Allison Carter 2003
15 32
Litigation, workers' compensation
Pierce, Herns, Sloan & Wilson LLC 321 East Bay St. Charleston, SC 29401
843-722-7733 www.phswlaw.com paulamoland@phswlaw.com
James G. Kennedy 1999
14 40
Business, civil, commercial, construction, consumer, health care, litigation, personal injury, torts, transportation, trucking accidents, professional malpractice defense
Rosen Hagood 151 Meeting St., Suite 400 Charleston, SC 29401
843-577-6726 www.rrhlawfirm.com tbolchoz@rrhlawfirm.com
Richard S Rosen 1947
13 28
Administrative, appellate, bankruptcy, business, civil, commercial, construction, consumer, corporate, employment and labor, estate planning and probate, family, government relations, litigation, mergers and acquisitions, personal injury, real estate, securities, torts, education
Joye Law Firm 5861 Rivers Ave. North Charleston, SC 29406
843-554-3100 www.joyelawfirm.com kharrell@joyelawfirm.com
Ken Harrell 1968
12 37
Civil, consumer, employment and labor, litigation, personal injury, Social Security, torts, workers' compensation, nursing home negligence, premises liability, product liability, veterans disability
Weeks & Irvine LLC 8086-B Rivers Ave. North Charleston, SC 29406
843-553-9800 www.weekslawfirm.net rirvine@weekslawfirm.net
Mark W Weeks, Robert L Irvine III, Joseph W Kessinger 2011
11 68
Real estate
Although every effort is made to ensure accuracy, errors sometimes occur. Email additions or corrections to lists@scbiznews.com or go to www.tinyurl.com/ joinourlists.
Banking and finance, business, civil, commercial, construction, employment and labor, health care, litigation, maritime and admiralty, personal injury, torts, transportation, workers' compensation Administrative, antitrust, appellate, banking and finance, bankruptcy, business, commercial, construction, consumer, corporate, economic development, employee benefits, employment and labor, environmental, estate planning and probate, government relations, health care, immigration, intellectual property, international, litigation, maritime and admiralty, mergers and acquisitions, personal injury, public finance, real estate, securities, tax, telecom and technology, torts, transportation Administrative, antitrust, appellate, banking and finance, bankruptcy, business, commercial, construction, corporate, economic development, employee benefits, employment and labor, environmental, estate planning and probate, government relations, health care, immigration, intellectual property, international, litigation, maritime and admiralty, mergers and acquisitions, public finance, real estate, securities, tax, telecom and technology, torts, transportation, White collar criminal defense
Administrative, antitrust, appellate, banking and finance, bankruptcy, business, civil, commercial, construction, corporate, economic development, employee benefits, employment and labor, environmental, estate planning and probate, government relations, health care, immigration, intellectual property, international, litigation, mergers and acquisitions, public finance, real estate, securities, tax, telecom and technology, torts Administrative, banking and finance, bankruptcy, business, civil, commercial, construction, corporate, economic development, employee benefits, employment and labor, environmental, estate planning and probate, government relations, health care, immigration, intellectual property, international, litigation, mergers and acquisitions, public finance, real estate, tax, torts, public utilities Administrative, antitrust, appellate, banking and finance, bankruptcy, business, civil, commercial, construction, corporate, criminal, economic development, employee benefits, employment and labor, environmental, estate planning and probate, health care, immigration, intellectual property, litigation, maritime and admiralty, mergers and acquisitions, personal injury, real estate, securities, tax, torts, transportation, workers' compensation
Researched by Melissa Verzaal
IN FOCUS: LAW
June 15 - 28, 2015
www.charlestonbusiness.com 17
Law Firms
Ranked by No. of Attorneys in the Charleston Area Company Address Phone/Fax/Website
Phone / Website Email
Managing Partner(s)/ Year Founded
Attorneys / Total Employees
Practice Area(s)
Smith Moore Leatherwood LLP 25 Calhoun St., Suite 250 Charleston, SC 29401
843-300-6600 www.smithmoorelaw.com -
Robert W. Pearce Jr., H. Michael Bowers Jr. 1945
10 16
Antitrust, appellate, banking and finance, bankruptcy, business, civil, commercial, construction, corporate, criminal, economic development, employee benefits, employment and labor, environmental, estate planning and probate, government relations, health care, immigration, intellectual property, international, litigation, maritime and admiralty, mergers and acquisitions, real estate, securities, tax, telecom and technology, torts, transportation, workers' compensation
Buist, Byars & Taylor LLC 652 Coleman Blvd., Suite 200 Mount Pleasant, SC 29464 Steinberg Law Firm 61 Broad St. Charleston, SC 29402 Thurmond Kirchner Timbes & Yelverton P.A. 15 Middle Atlantic Wharf, Suite 101 Charleston, SC 29401 Duffy & Young LLC 96 Broad Street Charleston, SC 29401 Green Law Firm LLC 3511 Rivers Ave. North Charleston, SC 29405 Kernodle, Root & Coleman 914 Folly Road, Suite 2 James Island, SC 29412 Evans, Carter, Kunes & Bennett P.A. 115 Church St. Charleston, SC 29401 Grayson Thomas LLC 525 East Bay Street, Suite 202 Charleston, SC 29403 Anderson Reynolds & Stephens LLC 37 1/2 Broad St. Charleston, SC 29401
843-856-4488 www.buistbyars.com 843-720-2800 www.steinberglawfirm.com info@steinberglawfirm.com 843-937-8000 www.tktylawfirm.com 843-720-2044 www.duffyandyoung.com bduffy@duffyandyoung.com 843-747-2455 www.bill-green.com 843-795-7800 www.kernodlelaw.com info@kernodlelaw.com 843-577-2300 www.eckb.com 843-603-5888 www.graysonthomas.net info@graysonthomas.net 843-723-0185 www.arslawsc.com inquire@arslawsc.com
Gray B Taylor 1998
9 22
Business, civil, commercial, construction, corporate, economic development, estate planning and probate, intellectual property, litigation, real estate
David T. Pearlman 1927
9 40
Employment and labor, personal injury, Social Security, workers' compensation, disability
Jesse A. Kirchner 2005
9 22
Appellate, business, civil, commercial, construction, criminal, litigation, personal injury, torts
Brian C. Duffy 2007
8 13
Appellate, business, civil, commercial, economic development, litigation, personal injury, securities, torts
William A Green 1993
8 32
Personal injury
Trent M. Kernodle 1999
8 15
Appellate, business, civil, construction, consumer, government relations, litigation, torts, workers' compensation, product liability
Robert M. Kunes 1979
7 16
Estate planning and probate, tax
Clay Grayson, Lisa Thomas 2013
7 11
Business, corporate, health care, intellectual property, mergers and acquisitions, real estate, telecom and technology, education, non profits
Jonathan J. Anderson, Lisa A. Reynolds, Shanna M. Stephens 1990
6 8
Appellate, civil, commercial, construction, litigation, personal injury, torts, transportation, governmental liability, insurance law
Bush Law Group P.C. 3 Broad St., Suite 450 Charleston, SC 29401
843-300-1047 www.bushlaw.com rbush@bushlaw.com
Richard G. Bush 2009
6 8
Banking and finance, bankruptcy, business, civil, commercial, construction, consumer, corporate, criminal, employee benefits, employment and labor, environmental, estate planning and probate, family, immigration, intellectual property, international, litigation, maritime and admiralty, mergers and acquisitions, personal injury, real estate, securities, Social Security, tax, torts, workers' compensation, entertainment, product liability, air, aerospace
Luzuriaga Mims LLP 50 Immigration Street, Suite 200 Charleston, SC 29403 Ogletree, Deakins, Nash, Smoak & Stewart P.C. 211 King St., Suite 200 Charleston, SC 29401 Query Sautter Forsythe LLC 147 Wappoo Creek Drive, Suite 202 Charleston, SC 29412 Smith, Bundy, Bybee & Barnett P.C. 1037 Chuck Dawley Blvd., Suite 100-F Mount Pleasant, SC 29464 Tecklenburg & Jenkins LLC 1819 Meeting Street Road, Suite A Charleston, SC 29405 Clore Law Group LLC 49 Immigration St., Suite 100 Charleston, SC 29403 Corrigan & Chandler LLC 16 Charlotte St., Suite B Charleston, SC 29403 Gibbs & Holmes 171 Church St., Suite 110 Charleston, SC 29401 Grimball & Cabaniss LLC 473 Savannah Highway Charleston, SC 29407 Harvey & Vallini LLC 497 Bramson Court, Suite 210 Mount Pleasant, SC 29464 Howser, Newman & Besley LLC 215 East Bay St., Suite 303 Charleston, SC 29401 Knight & Whittington LLC 207 E. Third North St. Summerville, SC 29483 Provence Messervy LLC 300 N. Cedar St, Suite A Summerville, SC 29483 Rosen Law Firm LLC 18 Broad St., Suite 201 Charleston, SC 29401 Bland Richter LLP 18 Broad Street Charleston , SC 29401 The Clekis Law Firm P.A. 171 Church St., Suite 160 Charleston, SC 29401 Counts & Huger LLC 27 Gamecock Ave., Suite 200 Charleston, SC 29407 Ford Wallace Thomson LLC 715 King St. Charleston, SC 29403 Good Law Group 122 Coleman Blvd. Mount Pleasant, SC 29464
843-410-4713 www.lmlawllp.com srogers@lmlawllp.com 843-853-1300 www.ogletreedeakins.com anne.james@odnss.com 843-795-9500 www.qlawsc.com forsythe@qlawsc.com 843-881-1623 www.s3blaw.com 843-534-2628 www.tecklaw.net 843-722-8070 www.clorelaw.com becky@clorelaw.com 843-577-5410 www.corriganchandler.com mandi@corriganchandler.com 843-722-0033 www.gibbs-holmes.com aholmes@gibbs-holmes.com 843-722-0311 www.grimcab.com 843-388-8883 www.hvlawsc.com info@hvlawsc.com 843-216-6940 www.hnblaw.com 843-821-9700 www.knightwhittington.com info@knightwhittington.com 843-871-9500 www.provencemesservy.com inquiry@provencemesservy.com 843-377-1700 www.rosen-lawfirm.com srosen@rosen-lawfirm.com 843-573-9900 www.blandrichter.com 843-720-3737 www.clekis.com clekislaw@clekis.com 843-573-0143 www.countsandhuger.com info@countsandhuger.com 843-608-1234 www.fordwallace.com ian.ford@fordwallace.com 843-277-8373 www.goodlawgroupcarolina.com Joe@joegoodlaw.com
Elizabeth B. Luzuriaga, Kevin W. Mims 2011
6 10
Construction, litigation, maritime and admiralty, personal injury, workers' compensation, eminent domain
Benjamin P. Glass 1977
6 12
Employee benefits, employment and labor, immigration, litigation, occupational safety and health administration law, employee retirement income security act litigation
Michael W. Sautter 1998
5 10
Administrative, appellate, business, civil, commercial, construction, corporate, criminal, employment and labor, estate planning and probate, family, health care, litigation, maritime and admiralty, personal injury, torts, workers' compensation
Walter H. Bundy Jr. 1988
5 10
Construction, environmental, litigation, condemnation
Paul F. Tecklenburg, Rivers T. Jenkins III 2001
5 10
Finance, business, civil, commercial, construction, corporate, environmental, estate planning, litigation, maritime, personal injury, real estate, torts, transportation
Mark D. Clore 2004
4 7
Construction, litigation, personal injury, torts, workers' compensation, medical malpractice, business losses, contract disputes, construction accidents, nursing home negligence, premises liability
J.W. Nelson Chandler 2010
4 6
Appellate, business, civil, commercial, construction, employment and labor, government relations, litigation, torts, transportation
Allan R. Holmes Sr. 1983
4 7
Civil, employment and labor
Michael J. Ferri 1963
4 4
Civil, construction, consumer, criminal, estate planning and probate, litigation, personal injury, torts
Daniel J. Vallini 2000
4 14
Business, commercial, corporate, estate planning and probate, real estate
Andrew E. Haselden 1996
4 8
Administrative, appellate, business, civil, construction, litigation, personal injury, torts, workers' compensation, professional liability, product liability, insurance coverage
David W. Whittington, Kelly Knight 2002
4 14
Business, corporate, criminal, litigation, personal injury, real estate, workers' compensation, wrongful death
Tiffany N. Provence, James H. Messervy Sr. 2008
4 7
Criminal, estate planning and probate, family, personal injury
Susan C. Rosen 2005
4 10
Civil, family, litigation, personal injury, torts, wrongful death, medical malpractice
Ronald L. Richter Jr., Eric S. Bland 1997
3 6
Business, corporate, litigation, personal injury, real estate, legal malpractice professional malpractice medical malpractice Estate and Trust Litigation
Nicholas J. Clekis 1988
3 10
Civil, criminal, family, litigation, personal injury, torts, workers' compensation
Kelvin M. Huger 2008
3 5
Ian Ford, Jon Wallace, Neil Thomson 2009
3 5
Appellate, business, civil, commercial, corporate, criminal, economic development, estate planning and probate, family, government relations, international, litigation, personal injury, real estate, telecom and technology, torts Administrative, appellate, business, civil, commercial, construction, consumer, corporate, employment and labor, estate planning and probate, health care, litigation, personal injury, telecom and technology, torts
Joe Good III, Summer D. Eudy 2009
3 4
Business, civil, construction, corporate, criminal, employment and labor, government relations, litigation, personal injury, torts
Although every effort is made to ensure accuracy, errors sometimes occur. Email additions or corrections to lists@scbiznews.com or go to www.tinyurl.com/ joinourlists.
Researched by Melissa Verzaal
18
IN FOCUS: LAW
www.charlestonbusiness.com
June 15 - 28, 2015
Law Firms
Ranked by No. of Attorneys in the Charleston Area Company Address Phone/Fax/Website
Phone / Website Email
Managing Partner(s)/ Year Founded
Grant & Kuyk, P.C. 171 Church Street, Ste 260 Charleston, SC 29401
843-723-5200 www.grantkuyk.com -
Mike Grant 1994
3 5
Business, corporate, estate planning and probate, mergers and acquisitions, tax
Koontz Mlynarczyk LLC 1058 E. Montague Ave. North Charleston, SC 29405
843-225-4252 www.kmlawsc.com info@kmlawsc.com
Adam Mlynarczyk, Mark Koontz 2014
3 6
Administrative, business, civil, commercial, construction, corporate, criminal, intellectual property, international, litigation, mergers and acquisitions, personal injury, torts, Mechanic's Liens
Lofton & Lofton P.C. 225 Seven Farms Drive, Suite 109 Charleston, SC 29492
843-722-6319 www.loftonandlofton.com lofton@loftonandlofton.com
Lionel S. Lofton 1983
3 7
Civil, criminal, personal injury, torts, workers' compensation, medical malpractice, nursing home negligence, white collar crime
McCullough Khan LLC 359 King Street, Suite 200 Charleston, SC 29401
843-937-0400 www.mklawsc.com Jamie@mklawsc.com
Clayton B. McCullough, Jamie A. Khan 2011
3 5
Appellate, business, civil, commercial, litigation, personal injury, securities, torts
Savage Law Firm 15 Prioleau St. Charleston, SC 29401
843-720-7470 www.savlaw.com -
Andrew J. Savage III 1998
3 9
Civil, criminal, litigation, personal injury, wrongful death
Sottile, Hopkins & Lewis LLC 1037 Chuck Dawley Blvd., Suite G-100 Mount Pleasant, SC 29464
843-884-1464 www.shllawyers.com nsottile@shllawyers.com
Nicholas C. Sottile 1980
3 6
Administrative, business, commercial, criminal, estate planning and probate, mergers and acquisitions, real estate
Danko Law LLC 23 Broad Street Charleston, SC 29401
843-779-2529 www.dankolawllc.com jamesrdanko@dankolawllc.com
James R Danko, J. Sterling Chillico 2014
2 2
Banking and finance, business, construction, criminal, economic development, environmental, family, immigration, intellectual property, litigation, personal injury, real estate
Henderson & Henderson LLC 89 Broad St. Charleston, SC 29401
843-212-3188 www.hhlawsc.com henderson@hhlawsc.com
Wesley E. Henderson, John I Henderson 2015
2 2
Business, civil, corporate, employment and labor, intellectual property, litigation
Sahn Law Firm 225 Seven Farms Drive, Suite 105 Charleston, SC 29492
843-856-2222 www.sahnlaw.com -
Michael C. Sahn, Douglas A. Henley 2011
2 3
Criminal, estate planning and probate, family, litigation, personal injury, workers' compensation
Steadman Law Firm, P.A. 6296 Rivers Ave., Suite 102 North Charleston, SC 29406
843-529-1100 www.steadmanlawfirm.com rsteadman@steadmanlawfirm.com
Richard A. Steadman Jr. 1992
2 5
Bankruptcy, civil, corporate, estate planning, personal injury, real estate
Stuckey Law Offices LLC 123 Meeting St. Charleston, SC 29401
843-577-9323 www.stuckeylaw.com slo@stuckeylaw.com
James A. Stuckey, Alissa C. Lietzow 1971
2 4
Civil, family, litigation, torts, civil rights
The Donaldson Law Firm LLC 317 Wingo Way, Suite 305 Mount Pleasant, SC 29464
843-881-8400 www.donaldsonlawfirm.net rjdonaldson@donaldsonlawfirm.net
Rob Donaldson 2009
2 5
Real estate
Thrive IP 5401 Netherby Lane, Suite 1201 North Charleston, SC 29420
843-580-9057 www.thrive-ip.com information@thrive-ip.com
Jeremy M. Stipkala 2005
2 5
Intellectual property, trade secret law, freedom-to-operate analysis
Wilkes Law Firm P.A. 200 Meeting St., Suite 205 Charleston, SC 29401
843-737-6229 www.wilkeslaw.com -
Michael B.T. Wilkes 2003
2 3
Business, civil, construction, litigation, aviation and aerospace litigation, product liability, insurance
Williams & Walsh 125-A Wappoo Creek Drive Suite 202 Charleston, SC 29412
843-722-0517 www.williamsandwalshlaw.com -
Abigail B. Walsh, Lauren E. Williams 2010
2 4
Business, civil, commercial, construction, criminal, litigation, personal injury, torts, workers' compensation, condemnation / eminent domain for commercial & residential landowners Real Property Law
Suanne M. Ansari LLC 636 Long Point Road, Suite G-36 Mount Pleasant, SC 29464
843-708-0982 www.smalawfirm.com sansari@smalawfirm.com
Suanne M. Ansari 2004
1 1
Business, corporate, intellectual property, trademark law, copyright law, internet law
Bennett Williams LLC 136 Rutledge Ave. Charleston, SC 29403
843-310-0721 www.bennettwilliamslaw.com info@bennettwilliamslaw.com
Emma Bennett-Williams 2009
1 1
Employment and labor, estate planning and probate, family, workers' compensation, mediation, guardian ad litem services
Bernstein & Bernstein P.A. 5418 Rivers Ave., Suite B North Charleston, SC 29406-6129
843-529-1111 www.bernsteinpa.com rbernstein@bernsteinpa.com
Robert A. Bernstein 1955
1 1
Business, civil, commercial, construction, corporate, litigation
Bruce E. Miller P.A. 147 Wappoo Creek Drive, Suite 603 Charleston, SC 29412
843-579-7373 www.brucemillerlaw.com office@brucemillerlaw.com
Bruce E. Miller 2008
1 3
Civil, construction, corporate, employee benefits, labor, litigation, personal injury
Evan Guthrie Law Firm 164 Market St., Suite 362 Charleston, SC 29401
843-926-3813 www.ekglaw.com contact@ekglaw.com
Evan Guthrie 2010
1 4
Civil, estate planning, family, immigration, litigation, personal injury, Social Security, tax, torts, workers' compensation
Gibson Law Firm 5422 Rivers Ave. Charleston, SC 29406
843-744-1887 www.dgibsonlaw.com law2@dgibsonlaw.com
Don C. Gibson 1976
1 5
Business, civil, corporate, criminal, estate planning, family, personal injury, real estate, workers' compensation
Matthew D. Hamrick, Attorney at Law 1524 Ashley River Rd. Charleston, SC 29407
843-693-4700 matt@matthamricklaw.com
Matthew D. Hamrick 2012
1 2
Business, civil, commercial, consumer, corporate, intellectual property, litigation, personal injury, torts, workers' compensation, certified circuit court mediator
John Wescoat Sandlin, J.D./ LL.M. 122 W. Johnston St. Summerville, SC 29483
843-871-1441 wescoatsandlin@att.net
John Wescoat Sandlin 1973
1 1
Civil, alternative dispute resolution, mediation, arbitration, conflict management systems design, collaborative law
LaMantia Law Firm LLC 182 East Bay St., Suite 302 Charleston, SC 29401
843-724-6363 www.charlestonscdivorce.com -
Anthony P. LaMantia III 2005
1 3
Criminal, family
Lawrence J. Needle P.A. 16 Vendue Range Charleston, SC 29401
843-579-9009 www.lneedle.com lneedle@lneedle.com
Lawrence J. Needle 1998
1 3
Immigration
Lewis Babcock & Griffin LLP 2113 Middle St., Suite 305 Sullivan's Island, SC 29482
843-883-7424 www.lbglegal.com firm@lbglegal.com
Badge Humphries 1984
1 2
Appellate, banking and finance, business, civil, construction, consumer, corporate, criminal, employment and labor, environmental, international, litigation, personal injury, securities, torts, eminent domain and condemnation
Markham Law Firm LLC 171 Church St., Suite 330 Charleston, SC 29401
843-284-3646 www.markhamlawsc.com info@markhamlawsc.com
Sean Markham 2014
1 2
Bankruptcy
Rogers Townsend & Thomas, P.C. 4000 Faber Place Drive, Suite 300 Charleston, SC 29405
843-737-8585 www.rtt-law.com tina.emerson@rtt-law.com
Carol Cummings 1984
1 3
Appellate, banking and finance, bankruptcy, business, civil, construction, corporate, economic development, environmental, health care, intellectual property, litigation, maritime and admiralty, real estate, transportation, government procurement
Shelbourne Law Firm 131 E. Richardson Ave. Summerville, SC 29483
843-871-2210 www.shelbournelaw.com brandt@shelbournelaw.com
P. Brandt Shelbourne 1997
1 4
Appellate, business, civil, commercial, construction, corporate, estate planning and probate, litigation, personal injury, real estate, torts, certified mediator
Law Offices of Robertson Wendt 3875 Faber Place Drive, Suite 204 North Charleston, SC 29405
843-723-6555 www.robertsonwendt.com rwendt@robertsonwendt.com
Robertson H. Wendt Jr. 1994
1 6
Social Security, long term disability insurance disabled veterans benefits
Attorneys / Total Employees
Although every effort is made to ensure accuracy, errors sometimes occur. Email additions or corrections to lists@scbiznews.com or go to www.tinyurl.com/ joinourlists.
Practice Area(s)
Researched by Melissa Verzaal
At Work:
People, places and happenings across the Lowcountry
Hot Properties 22 Viewpoint 23
People in the News
Business Digest
COMMUNITY SERVICE
DeSano Pizza Bakery opens inside Charleston International Airport DeSano Pizza Bakery has opened a location at Charleston International Airport in the new section of Concourse B. DeSano is the first of the airport’s new food and beverage concessions to open as part of the $189 million Terminal Redevelopment and Improvement Program. The restaurant offers Neapolitan pizza, salads and meatball sandwiches, as well as a bar featuring local craft beer, wines and spirits.
Leadership Charleston program seeks applicants for 2016 cohort
Greater Summerville/Dorchester County Chamber of Commerce staff member Tori Burke-Koskela (from left), Shuckin’ Shack owner-operator Jason Thorpe, Summerville Mayor Bill Collins, chamber president and CEO Rita Berry, Shuckin’ Shack owner-operator Joey Harville, CEO Jonathan Weathington and Summerville Town Councilman Bob Jackson cut the ribbon on the new restaurant on Central Avenue.
Charleston Metro Chamber of Commerce’s Leadership Charleston is now accepting applications for the Class of 2016. Leadership Charleston focuses on the primary issues facing the region, including crime, infrastructure, workforce development and business advocacy. Participants hear from speakers, including alumni and regional leaders, during programs designed to enhance civic knowledge while developing skills for assuming leadership roles. The 10-month program begins in September and is open to all members of the Charleston Metro Chamber of Commerce.
The Shuckin’ Shack celebrates grand opening in Summerville
Life Cycle Engineering program earns endorsed provider status
The Greater Summerville/Dorchester County Chamber of Commerce and The Shuckin’ Shack Oyster Bar recently held a ribbon-cutting ceremony to celebrate the company’s grand opening at 114 Central Ave. in downtown Summerville. The Shuckin’ Shack has big-screen televisions and sports programming.
W.O. Blackstone celebrates 1 year in Lowcountry
W.O. Blackstone & Co. Inc. has marked one year of service to the Lowcountry. Established in 1937 in Columbia, W.O. Blackstone & Co., Inc. offers professional mechanical contracting services for clients in the commercial office, health care, institutional and industrial markets in South Carolina.
Charleston-based Life Cycle Engineering’s education entity, the Life Cycle Institute, has been selected as an Endorsed Training Provider for the Institute of Asset Management. The institute is now qualified to issue IAM-endorsed training certificates to people who successfully complete selected courses. The institute’s ISO 55000: Asset Management System course is endorsed for the A1, A2 and B2 IAM course modules. The two-day ISO 55000 course is being offered July 14-15 and Oct. 20-21 in Charleston.
Lou Hammond & Associates expands Charleston operation
Lou Hammond & Associates marketing firm has doubled its office space in Charleston and added new associates to
serve its clientele. Headquartered in New York, the firm expanded its office space at 145 King St. at the corner of Queen Street.
LimRic HVAC moving to new North Charleston facility
LimRic Plumbing, Heating & Air is moving from its current West Ashley location to a new building in North Charleston at 4546 Dorchester Road. Construction started in October 2014 and is expected to be complete in June. The 10,000-squarefoot facility will feature a 900-square-foot customer service training room, gym, updated office space, conference rooms and a large warehouse, complete with equipment for all HVAC brands.
Palmetto Primary Care Physicians opens office in Nexton
Palmetto Primary Care Physicians has leased a 12,500-square-foot space at 201 Sigma Drive in the Nexton community near Summerville. Palmetto Primary Care is a network of primary, specialty and urgent-care health providers with offices throughout the Lowcountry. See BUSINESS DIGEST, Page 22 ➤
FBI Director James Comey (left) presents the Rev. Dallas Wilson with the Director’s Community Leadership Award.
The FBI honored the Rev. Dallas H. Wilson Jr., a priest in the Diocese of South Carolina and the vicar of St. John’s Chapel, Charleston, with the Director’s Community Leadership Award for his work creating and implementing ministries and programs to prevent at-risk youths from engaging in criminal and risky behavior. Wilson founded the Agape Inner-City Christian Assembly and Agape Ministries of Charleston, a major nongovernmental provider in the Eastside community.
REAL ESTATE Timothy Wright, Michael Harris, Nevja Smalls Wigfall, Christina Foster, Sabrina Whatley and Dena Marie Drislan have joined Carolina One Real Estate Services. Wright is a graduate of Virginia Tech and has three years of experience as a residential real estate appraiser and will work from the Summerville Trolley Road office. Harris and Smalls Wigfall will operate from the Summerville Main Street office. Harris is a Navy veteran and worked for several years with Scientific Research Corporation. Wigfall has a master’s degree in business management and leadership from Webster University and previously worked as a litigation paralegal and a college instructor. Foster, Whatley and Drislan will work in the Goose Creek office. Foster has a master’s degree in management from Indiana Wesleyan University and previously worked as a consultant for Chick-fil-A. Whatley is a veteran of the commercial design and furniture manufacturing industry and is a graduate of Anderson University with a concentration in interior design. Drislan is a graduate of the Wichita State University School of Music. Luxury Simplified Real Estate has added Lisa Patterson, Matt Anderson, Eddy Zuco, Donna Gustafson, See PEOPLE, Page 21
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20
www.charlestonbusiness.com
June 15 - 28, 2015
Housing is on fire T
he housing sector has taken off. The demand for homes and apartments has surged in recent months. While impressive job gains and an increase in discretionary income caused by reduced gas prices are partially responsible, the most important factor seems to be that young adults are feeling confiStephen D. dent enough to leave Slifer their parents homes and venture out on their own. As that happens they need a place to live. It could be an apartment, a starter home or condo. In the process, rents rise and house prices soar. The problem is that the higher cost of housing feeds directly into the various measures of inflation. As a result, inflation is on the rise. As the population grows, every year a group of young adults leave high school or college and venture out on their own. Some get married and have kids. They form new households. Over the past 25 years, 1.2 million new households have been formed every year. But growth varies from year to year. Following the Great Recession household formation was cut to about 600,000. Young people could not find good paying jobs. They had no savings. Many were saddled with student loans. They could not qualify for a mortgage. As a result, many chose to live with their parents for a longer-than-normal length of time. But by September 2014, that began to change. The unemployment rate had fallen close to its full employment level. Job shortages were emerging. The economy was showing widespread signs of accelerating to a reasonably robust pace. Given those encouraging signals, many younger people felt confident enough to leave their parents’ homes and venture out on their own. As that happens they need a place to live. For most of them that will probably be an apartment. As a result, the demand for rental units has risen dramatically. In fact, the vacancy rate for rental units has fallen to 7.0%, which is the lowest in 22 years. Landlords have been taking advantage of this situation. The asking rent for vacant rental units has risen 4% in the past year but has accelerated to a double-digit pace in the past two quarters. The demand for homes has also quickened. New home sales have risen 26% in the past year and are at the fast-
“New home sales have risen 26% in the past year and are at the fastest pace since mid2008. Existing home sales have not yet demonstrated as much vigor but pending home sales have surged.� est pace since mid-2008. Existing home sales have not yet demonstrated as much vigor but pending home sales (reported at the time the contract is signed) have surged, which is a clear sign that existing home sales (reported at the time of closing) are headed in the same direction. Builders have stepped up the pace of construction, but they are reporting problems in finding qualified workers, shortages of available lots and, in some cases, difficulty in attaining financing. As a result, the pace of home construction continues to lag demand. Given this environment, home prices are rising. The Case Shiller Index of home prices has risen 4.7% in the past year, but it has accelerated to a double-digit rate in the past six months. The increase in rents and in home prices is boosting inflation. For example, the shelter component of the CPI, which is one-third of the entire index, was unchanged in 2010, rose 1.9% in 2011, 2.2% in 2012, 2.5% in 2013, 2.9% in 2014, and 3.2% in the first four months of this year. As a result, we expect the core CPI (excluding the volatile food and energy components) to rise 2.6% this year versus a 1.6% increase in 2014. While that is still not bad, it is a full percentage point faster than last year. Given all of this, the time for higher interest rates is now. The last time the economy was in an expansionary phase and the official unemployment rate was 5.4%, which is where it is today, the funds rate was 1.5% and rising. Over the longer-term, the real funds rate should be roughly in line with real GDP growth. Last year, real GDP growth was 2.4% but the real funds rate was negative 0.6% (a 0.1% funds rate less an inflation rate of 0.7%). The current looseness in monetary policy is beginning to translate into higher inflation. The Fed should quit dithering. cr bj
Reach economist Stephen D. Slifer at steve@numbernomics.com.
June 15 - 28, 2015
www.charlestonbusiness.com 21
People in the News Joe Holtz and Ginny Hopper as agents and Rossie Colter as broker in charge at the Amherst Street office. Patterson will focus on downtown Charleston and the South of Broad area; Anderson specializes in commercial real estate; Zuco specializes in international buying and selling; Gustafson is a former chef who previously owned a catering company; Holtz, a builder and sculptor, focuses on investment property; Hopper works with high-end clients; and Colter is a veteran Realtor and broker specializing in the Eastside neighborhoods. Ziff Properties Inc. has hired Michael Mansson as construction manager. He has a bachelor’s degree in communication from Plymouth State University in Plymouth, N.H., and previously worked in property development with James Doran Co./Humanities Foundation, Summit Development Partners and Alliant Capital.
INSURANCE Allstate Insurance Co. has opened a new agency serving Summerville and North Charleston, owned and operated by Sandra Rabon. The agency offers auto, property, commercial and life insurance and is located at 9500 Dorchester Road, Suite 204, in the Harris Teeter shopping center in Summerville. Emily Roper Calabrese has joined Tony Pope’s State Farm office in Mount Pleasant as an office representative. She has more than 11 years of insurance Calabrese experience and is licensed in property and casualty. She graduated from Missouri State University with a degree in business management and a minor in sales and computers.
TECHNOLOGY Ellen Stebbins and Eric Schmidt have joined Charleston-based StoryClub, an online and tabletop game development company. Stebbins is COO and will be responsible for corporate strategy, operations, financial planning and analysis, and digital marketing. Schmidt is the chief technology officer and has iOS development experience. Brian Boruff has joined Blackbaud Inc. as president of its enterprise customer business unit. He has a bachelor’s degree in computer science with a minor in bio-
chemistry from the University of Tennessee and has more than 30 years of experience working with large enterprise customers. Executive Vice President Charlie Cumbaa, who was serving as interim president of the customer business unit during the search, will continue leading corporate and product strategy. Douglas R. Lopez has been named COO of Engineering Services Network Inc., a provider of professional engineering and technology services for military and government customers. The company supports military operations in Charleston. Lopez began his career in 1998 as a senior systems analyst in IT for the company.
FINANCIAL SERVICES Bethany M. Griffith of Abacus Planning Group financial planning and investment firm has met all requirements to become an enrolled agent. Achieving this Griffith status means she has demonstrated competence in tax matters and adherence to ethical standards and is required to stay current with tax law and regulation. Enrolled agents may also represent taxpayers before the IRS. Griffith is a magna cum laude graduate of the University of South Carolina with a Bachelor of Science degree in economics and finance. Wells Fargo & Co. has named Tradd Rodenberg business banking manager covering the Lowcountry market. Based in Charleston, he is responsible for Rodenberg identifying, acquiring and developing new business accounts. He joined Wells Fargo in 2010 as a senior business banking relationship manager in Charleston. He earned a bachelor’s degree in business administration and an MBA from The Citadel. First Citizens Bank has named Reeves Skeen as its southern coastal area executive. His responsibilities include overseeing the 24 First Citizens offices in Charleston, North Charleston, Beaufort, Moncks Corner and Savannah, including the bank’s business and retail banking in those markets. He is based at the company’s East Bay Street branch in Charleston and was previously the bank’s Savannah
market executive. He received his bachelor’s degree from Presbyterian College. Travis M. Moore of Cornerstone Financial Strategies LLC in Summerville has passed the Series 24 Securities Principal examination, a comprehensive test that Moore covers supervision areas such as financial and operational accountability, trading systems, underwriting, dispute resolution and the detection and thwarting of money laundering. Edward Vaughan has joined First Tennessee Bank in Mount Pleasant as senior vice president and commercial relationship manager. Vaughan has 18 years Vaughan of corporate and commercial banking experience. He earned a bachelor’s degree in economics from The University of the South in Sewanee, Tenn., and an MBA from The Citadel.
ARCHITECTURE Al Abate and Dylan Towe have been promoted to senior associates in the LS3P Charleston office, and Kelly Gilreath and Jeffrey Rengering have been promoted to associates. Lindsey Stang is the firm’s newest licensed architect after logging 5,600 required intern architect hours and passing all seven divisions of the Architect Registration Examination. She joined the firm’s Charleston office in 2011 after earning a bachelor’s degree in architecture and a master’s degree in architecture and health from Clemson University. Benjamin Hanna has joined Red Iron Architects as an intern architect. He earned a bachelor’s degree in architecture from Clemson University in 2013 and has previously interned with Charleston firm Kevan Hoertdoerfer Architects.
ENGINEERING Jeffrey Grant has joined CEMS Engineering and Architecture as a fire protection engineer in training. He graduated from Eastern Kentucky University in 2011 and the University of Maryland in 2014 and has more than three years of federal and commercial design experience.
Chris Gilger and Jeff Webb are now partners with ADC Engineering Inc. in Charleston. Gilger, a structural project manager, joined ADC in 1996. He earned a Bachelor of Science in civil engineering from The Citadel. Webb, a civil senior project manager, has been with ADC since 1998. He graduated from Clemson University with a Bachelor of Science in civil engineering. Tommie “Trey” Little has joined Seamon Whiteside and Associates as a civil engineering project coordinator I. He previously worked for Rivers & Associates Little Inc. in Greenville, N.C. He received his degree from Clemson University in 2013.
GOVERNMENT Two S.C. State University students have been selected to participate in the first internship program with the Charleston County Aviation Authority. Temarrick Hemingway of Loris and Claudia Thompson of Woodstock, Ga., will begin their 10-week internship May 18. Hemingway is currently attending S.C. State on a football scholarship and has a 3.35 grade-point average while majoring in business administration-management. Thompson is a 2013 graduate of S.C. State with a degree in physics and a minor in medical physics. She is currently working toward a master’s in transportation at S.C. State.
RETAIL Tarah Davila, LaNeshia Haynes and Esther Burlison have joined Glasspro automotive glass replacement and repair company. Davila was hired as an accounts receivable specialist. Her responsibilities include payment entry, setting up new accounts and bank account reconciliation. She is a graduate of University of Maryland University College with a degree in accounting. Haynes will be an internal sales representative responsible for handling customer telephone follow-up, quotes and auto glass order processing and scheduling. She has previous experience as a call center and public relations representative. Burlison will serve as a purchasing clerk, responsible for providing financial, clerical and administrative service to ensure delivery of customer parts. She was previously a customer service representative after graduating from Wando High School and attending Trident Tech.
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Business Digest Low Country Laundry opens at Mixson in North Charleston
Low Country Laundry & Dry Cleaners has opened a new drop-off and pickup site at Mixson in North Charleston. The 24-hour facility has a locker system that allows customers to drop off laundry in a secure place and pick it up when it is ready. The company also offers pickup and delivery and has locations in downtown Charleston and West Ashley.
H&E Equipment Services opens new store in Charleston
H&E Equipment Services Inc. opened a new office in Summerville on June 1, joining two other full-service operations in South Carolina and 70 stores nationwide for the Baton Rouge, La.-based company. The new store is located at 1115 Newton Way. The recently remodeled facility is 16,000 square feet on 3 1/2 acres with a large yard area, offices, a parts warehouse and an eight-bay repair shop. The branch
specializes in aerial lifts, telescopic forklifts, earthmovers and general construction equipment.
ProBuild celebrates grand opening in Summerville
The Greater Summerville/Dorchester County Chamber of Commerce and ProBuild Co. LLC recently held a ribbon-cutting ceremony to celebrate the company’s new facility at 257 Deming Way in Summerville. ProBuild supplies building materials to national builders, local contractors and trades.
David Hoffman Group opens office in Charleston
The David Hoffman Group real estate firm, based in Charlotte, has expanded to Charleston to sell vacation homes to Charlotte-area buyers. According to a news release from the company, the National Association of Realtors said the largest growth in home sales in 2014
came from buyers purchasing second homes. The share of vacation home buyers rose to 21% of overall home sales, up from 13% in 2013.
VA Medical Center taking part in engagement initiative
The Ralph H. Johnson VA Medical Center in Charleston is participating in a nationwide initiative called “Summer of Service,” which seeks the help of citizens to help improve veteran services. The center is holding an open house June 29 to spur increased local engagement and welcome members of the community interested in supporting the needs of veterans.
Center for Women launches Founder’s Lab for entrepreneurs
The S.C. Women’s Business Center, part of the Charleston-based nonprofit Center for Women, is starting a new program to help female entrepreneurs learn how
to start their own businesses. Founder’s Lab will take place from 5:30-8 p.m. June 16 at the Harbor Entrepreneur Center’s downtown Charleston location at 633 King St. Cost is $75 and includes dinner, a resource guide, a presentation, speed coaching and three free business coaching sessions.
Hartnett Realty relocating offices to Mount Pleasant location
The Hartnett Realty Co. Inc. has relocated to 1041 Johnnie Dodds Blvd., Suite 14C, in Mount Pleasant. The company was founded by Catherine Forbes Hartnett in 1947 in downtown Charleston. Thomas F. Hartnett, who will remain as chairman, recently passed leadership of the firm to his son, Tom Hartnett Jr. William S. Smith is broker in charge of the firm and Janet Rugheimer is the business manager. The company provides brokerage service in commercial, land and residential sales.
Hot Properties The following commercial real estate transactions were recently completed in the Charleston area. For weekly updates on commercial deals, see the Hot Properties feature every Monday in the Daily Journal email or online at www. charlestonbusiness.com. To submit items, email dailyjournal@scbiznews.com.
Trey Lucy and Blair Belk represented the tenant, Tidewater Pharmacy and Medical Supply LLC, in the lease of 2,600 square feet of space on the first floor of 431 Johnnie Dodds Blvd. in Mount Pleasant from Jackson & Marley LLC. Len Meyer and Chauncey Clark of The Peninsula Co. LLC represented the landlord.
Kristen Krause of Coldwell Banker Commercial Atlantic represented the seller, Finn Bowling Investments LLC, in the purchase of a 2,870-squarefoot commercial duplex at 41 Line St. in Charleston. Matt Anderson of Brand Name Real Estate represented the buyer.
Jeremy Willits and Gerry Schauer of Avison Young represented the landlord, Three Broad Inc. in the lease extension of an office space at 3 Broad St. in Charleston to Richard Cutler.
Tradd Varner of Coldwell Banker Commercial Atlantic represented the tenant, Carolina Asset Recovery, in the lease of a 1-acre secured industrial yard and 1,200-square-foot office at 4365 Headquarters Road in North Charleston. Fritz Meyer of Meyer, Kapp & Associates represented the landlord. Tradd Varner and Kip Bowman of Coldwell Banker Commercial Atlantic represented the seller, Cindy O’Rourk, in the sale of a 2.62-acre property at 1559 Folly Road in Charleston. Sunday Lempesis of Carolina One represented the buyer. Todd P. Garrett of Avison Young represented the landlord, Weims Court Associates, in the lease extension of a 7,500-square-foot office and warehouse at 7318 Pepperdam Ave. in North Charleston to Office Environments Inc. Ryan Welch of Lee & Associates represented the tenant.
Terry Ansley of Landmark Enterprises Brokerage Group and Charles Fitzhenry of Realty Link represented Wetland Crossing LLC in the sale of a 9,081-squarefoot office building at 5006 Wetland Crossing Road in North Charleston to the Charleston Trident Association of Realtors for $2.2 million. Chad Yonce of Southeastern Management Group represented the seller, FRG LLC, in the sale of a 2,338-square-foot mixed-use property at 12 Line St. in Charleston to JH LLC for $215,000. Will Irvin of Southeastern Property & Equity Management represented the buyer. Pete Harper of Lee & Associates Charleston represented the landlord, Liberty National Associates, in the lease of 4,295 square feet of office space at Fairfield Office Park, 1064 Gardner Road, Suite 210, in West Ashley, to Darkness to Light. Gerry Schauer of Avison Young represented the tenant.
Mike Ferrer of Lincoln Harris’ Charleston office represented the landlord, Addco LLC, in the lease renewal of 15,000 square feet of industrial space at Woodstock I Industrial Park, 4301 Dorchester Road in North Charleston, to L&W Supply. Lee Allen of JLL represented the tenant. Mike Ferrer of Lincoln Harris’ Charleston office represented the landlord, Addco LLC, in the lease of 16,250 square feet of space at Woodstock I Industrial Park, 4301 Dorchester Road in North Charleston, to Ferguson Enterprises. Will Sherrod of Lee & Associates represented the tenant. Dewey B. Golub of Keller Williams Realty Charleston represented the buyer, SI Holdings LLC, in the purchase of four lots totaling 17,636 square feet at 2130 Mount Pleasant St. Mike Ferrer of Lincoln Harris’ Charleston office represented the landlord, Addco LLC, and the tenant, Liberty Cedar, in the lease of 16,250 square feet of industrial space at Woodstock I Industrial Park, 4301 Dorchester Road in North Charleston. Jeremy Willits and Gerry Schauer of Avison Young represented the landlord, Mazyck Holdings LLC, in the lease of office space at 7 Charlotte St. in Charleston to Barry Emerson. Dewey B. Golub of Keller Williams Realty Charleston represented the buyer, RCC Investments 1081 Morrison LLC, in the purchase of two vacant lots on Isabella Street.
Mike Ferrer of Lincoln Harris’ Charleston office represented the landlord, Addco LLC, in the lease renewal of 24,000 square feet of industrial space at Woodstock I Industrial Park, 4301 Dorchester Road in North Charleston, to Horizon Forest Products. Todd Garrett of Avison Young represented the tenant. Mike Ferrer of Lincoln Harris’ Charleston office represented the landlord, Addco LLC, in the lease of 14,850 square feet of industrial space at Woodstock II Industrial Park, 4115 Dorchester Road in North Charleston, to A&M Precision Measuring Services. Steve Latour and Mike White of Charleston Industrial represented the tenant. Mike Ferrer of Lincoln Harris’ Charleston office represented the landlord, Addco LLC, and the tenant, Cregger Co., in the lease of 30,000 square feet of industrial space at Woodstock II Industrial Park, 4115 Dorchester Road in North Charleston. Mike Ferrer of Lincoln Harris’ Charleston office represented the landlord, Addco LLC, in the lease of 20,000 square feet of industrial space at Woodstock II Industrial Park, 4115 Dorchester Road in North Charleston, to Trane. Mike White of Charleston Industrial represented the tenant. Will Sherrod of Lee & Associates Charleston represented the owners of Pier Pont Crossing at 2408 Ashley River Road in Charleston in the lease of 2,908 square feet of cumulative retail space to Lowcountry Travel & Tours Inc. and Nicholas S. Wagner Insurance.
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Viewpoint:
Views, perspectives and readers’ letters
We won Volvo in spite of our roads, not because of them
Failure to fund a modern, safe highway system should have political consequences
If certain lawmakers in Columbia don’t have the will to mitigate traffic problems and address ongoing transportation infrastructure needs across the state, perhaps it’s time for businesses to push the accelerator by calling them out. We’re a port state. We’re a state with the largest tire-manufacturing operations in the world. South Carolina builds planes and automobiles and has manufacturers across the state, all tied to transportation and supply-chain infrastructure. If you were sitting in traffic for the better part of a day recently after the accident involving a fuel truck and a passenger vehicle on the Cooper River bridge, you likely asked yourself these questions: • What happens if an ambulance, police officer or firetruck needs to get through? • If we can’t handle this, how will we handle the next hurricane? • Are there businesses and industries that just refuse to consider us because of traffic issues? • How much is this mess costing the Charlestonarea economy each day? But it doesn’t take a pileup or fuel spill to cause road failure. Even the smallest wreck during rush hour reinforces the deficit of planning and options when it comes to moving traffic through Charleston and across the state’s major population centers. A business seeing increased costs with vehicle wear and tear and lost sales because of missed opportunities isn’t as dramatic as a hurricane, but we don’t need a natural disaster to tell us what needs to be done. We need the political will and leadership that were lacking this past legislative session. In January, Gov. Nikki Haley called on lawmakers and businesses to support a gas tax, a restructuring of the S.C. Department of Transportation and a change in how vehicle sales taxes are allocated. Her plan would offset the tax increases with a gradual reduction to income taxes. Haley estimated the plan would generate $400 million a year. South Carolina’s General Assembly closed the session without passing Haley’s proposal or any highway plan. Interestingly, the General Assembly found itself in possession of a $400 million surplus at the end of the session, and lawmakers had plenty of ideas for how to spend the money. Legislators are expected to earmark a few hundred million for infrastructure, including road improvements for the Volvo plant. They’re still deciding on how to spend the rest. While that’s a much-needed drop in the infrastructure bucket, it’s a one-time shot and short of what’s actually needed. For every assertion that South Carolina is pro-business, the failing conditions of our highway system and the lack of commitment by our lawmakers say otherwise. Municipal and county officials seem to be listening to businesses, but a cadre of politicians in the legislature are either unwilling or asleep at the wheel. Maybe it’s time for the business community to start naming names. The fury of entrepreneurs isn’t something a politician wants on a resume.
am not a nervous politician or a “special interest.” I am a commuter, taxpaying citizen and businessman with 40 trucks. I hate wasted taxes even as much as libertarians and tea partyers. But we all agree that infrastructure development and maintenance is a core funcPatrick tion of government. While the state as a whole sufBarber fers with a legitimate road funding deficit of more than $1 billion a year, the far right political heroes want us to believe it’s all a myth, that we don’t need more money, that it’s wasted, and promising that raising money to fund repair and improvements threatens dire political consequences. Maybe it’s time to consider the opposite. Failure to fund a modern, safe and efficient system is poor politics — and should have consequences. The performance of our government-provided transportation system is totally dependent on, guess what — the government. So it’s our government that determined the condition, capacity and the general safety performance of roads and bridges. The worse its condition, the more we all pay in the form of hidden taxes, such as higher insurance and vehicle repair costs, time-killing delays, wasted fuel — and worse, injuries and deaths. To wit, South Carolina has one of the highest highway fatality rates in America, often directly related to government-shortchanged roadway conditions. The shortsighted anti-tax lobby pays no heed to hard facts that connect stupid-low motor fuel user fees to irresponsibly poor roadways. FACT: The first gas tax was enacted by the S.C. legislature in 1913 and has been a key in the state’s economic development, whether through tourism, agribusiness, manufacturing or ports. South Carolina’s gas tax has stood flatly at 16.75 cents for almost 30 years. It was last increased with the support of Republican Gov. Carroll Campbell. FACT: It is basically diversion-free, dedicated for the most part to roads and bridges, and properly labeled a user fee. “Redirects” — all legitimate, uniformly done by every other state — are deducted for refunds, corrections, tare allowances, school buses, cleanup and U.S. government uses. State law bars local fuel user fees, so the state’s levy also must support county roads and road bonds. With these obligations on the S.C. Department of Transportation, they net only about 73% of these fees — practically their sole source to support our state’s needs. FACT: $1 from 1987 has the purchasing power of about $0.47 in 2015. Even more purchasing power of the fuel user fee has been lost because in the same period the cost of oil has nearly quadrupled. Oil is the basis for all road construction and ongoing maintenance, whether it be asphalt, concrete or the machinery that produces and mines the aggregate, clears the right of way, paves the highway or delivers the construction materials. FACT: Protesters’ feeble excuse: “The money is
Our Opinion
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already there; we have a $300M budget surplus this year!” With all the other obligations of the state, not enough can be committed instead to the Department of Transportation without provoking howls of protests from expectant citizens, groups and public servants. Growth and surpluses are not guaranteed year to year, and roads will have to compete against the state’s other obligations — many constitutionally mandated. Meanwhile, 35% of the fuel sales in our state are by out-of-state residents. FACT: The motor fuel user fee is just that. If you don’t use the roads, you don’t help pay for them. The MORE you use the roads (as I do in my business), the more you pay. As one who has closely studied this matter, I am willing to pay more. I connect good roads with adequate user fees. FACT: We sit between Georgia (at mid-30 cents per gallon with state and local fees) and North Carolina (at mid-30s). Are business and industry fleeing our immediate neighbors to come to South Carolina because of gas taxes? Absolutely not. But our leaders should take seriously the recent warnings by the chief executives of Michelin North America and Sonoco of the potential reverse effect. FACT: Good growth, such as Boeing, Daimler, Volvo, Michelin, Bridgestone, Continental, Giti Tire and that generated by our ports, will slow without corresponding infrastructure improvements. Those industries, like the rest of us, are truck-dependent. Simply imagine one prime example: Are we ready for the opening of the expanded Panama Canal? FACT: The S.C. DOT is not some corrupt, misguided agency its detractors would have you believe. Is it perfect? Far from it. But name one organization or agency, government or private sector, with more than 3,000 employees that is perfect. Yes, constant process improvement is needed. Taxpayers expect no less. Current calls for reform are deflections. Recall that S.C. DOT was “reformed” just seven years ago. The governor and legislators who rationalize their actions to preserve their far-right political credentials should come ride with me in one of my tractor trailers one afternoon around Charleston or on a trip servicing a manufacturing plant in the Upstate. It would be an experience that would quickly elevate the realities of our state’s road system above the rhetoric of political interest groups who now jeopardize South Carolina’s economic future. Leadership is not position, it’s doing. Patrick T. Barber is president and CEO of Superior Transportation Inc. in North Charleston.
We want to hear from you Write: Andy Owens, Managing Editor Charleston Regional Business Journal, 1439 Stuart Engals Blvd., Suite 200 Mount Pleasant, SC 29464 Email: editorial@scbiznews.com
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