Category Archives: South Carolina

Perspectives on Safety and Security in South Carolina Schools

By Dan Reider

August 18, 2025

As we head towards the start of another school year, we are excited for the children who will be attending those schools. Although not all schools are to the level we would like for them to be for our children – facilities, teachers, programs- most offer a great environment for learning, socializing, nutrition, athletics, and a wide variety of programs and clubs. With the start of the school year, there is also some anxiety felt by the parents with school age kids.

Security in schools has gotten to be a greater concern seemingly each year. In recent years we hear more about school shootings. While any school shooting is horrible, the news just seemed to make it appear so much worse and so much more prevalent than it really was in our schools. In actuality, school shootings are in the news more because they are actually occurring more frequently then in past years. In 2024 there were more than 80 school shootings and more than 800,000 violent incidents in schools in the United States.

It was more than a decade ago when I and fellow school designers (architects and engineers) had discussions related to school security and whether or not K-12 schools were headed towards being constructed more and more like a correctional facility- not to keep bad people in but to keep bad people out. It did not matter whether we were working on school projects in Aiken County, Greenville County, Horry County or wherever, the conversations regarding school security were all the same.

At that time, schools were being designed with some security features such as school security cameras and more schools include a school resource officer (SRO) to help with any safety issues within the school or on school grounds. Then we started to see metal detectors at entrances to high schools. Now we see metal detectors installed in middle schools and even some elementary schools. Other changes were being made including security cameras on buses, automatic locking entrance doors and the students participating in intruder alert drills.

In more recent times, schools have been adding automatic locking doors on classrooms, auditoriums, cafeterias, libraries and really any place where students could gather. More schools have decided that automatic locking doors were not sufficiently secure and the doors must be bulletproof with bulletproof glass. Students are also being asked to report any suspicious activities observed or in emails or texts.

Our vision years ago about schools becoming mini correctional facilities from a construction standpoint is about there. About the only things missing are that the buses are not bulletproof and the schools do not have fencing with barb wire around the entire school Although it is my sincere hope that we will not ever be seeing such things, I am not willing to bet on it. It makes me and others sad that we have gotten to where this is where we might be headed.

 As a child going to the schools in the 60s and 70s, I don’t think us students or our parents had anywhere near the safety concerns students and parents now have. Is there any chance that we as a society can ever go back to those days? What would have to change to make schools a safe place as they were in this country for so many decades without having to basically fortify them with so many safety features as we are now doing? What does this say about the direction we are headed as a society?

Dan Reider is a Mechanical Engineer who has designed schools for 40 years in South Carolina.


Raising the Grade for South Carolina Education

by Dan Reider
January 8, 2025

The rating of a State’s educational performance is measured by various metrics such as standardized test scores, graduation rates, and similar indicators of the quality of the education provided by a State. One rating system might lean more heavily on perhaps test scores while another might look at a combination of test scores and graduation rates. While the listed rankings may vary depending upon the method utilized by the particular organization, the values are typically very similar. In other words, one State would not be ranked 15th by one organization and 37th by another.

In the past 10 or 15 years, South Carolina has consistently been ranked in the bottom 10% of all States regardless of which ranking system one looked at. In the latest listing by US News and World Report, South Carolina is currently ranked at number 42. While still in the bottom 20% of all States, the educational system is ranked higher than it has been in past years, hopefully indicating some improvement and not just a downgrade of several other States. South Carolina is still not quite up there with surrounding States but at least it has moved out of the bottom 10%. Our bordering States’ educational systems are still being ranked substantially higher than South Caroline with North Carolina at 21, Tennessee at 31, Georgia at 25, and Kentucky ranked at 34.

According to the rankings, South Carolina’s educational system is moving in the right direction albeit very slowly. There is still much more work to be done. There is no reason anyone in this State should be satisfied with a ranking in the bottom 20%. So, what can and must be done? It cannot solely boil down to only dollars which is the primary issue one reads about from time to time in the news. It wasn’t that long ago where the minimum starting teacher’s salary in South Carolina was $36,000. Ellen Weaver, SC Superintendent of Education, has been pushing to increase the base salary to $50,000 over the next couple of years. That may help to get more persons interested in teaching as well as motivate some of those already teaching to stay in teaching, but, as the proverbial expression goes, just throwing money at the problem does not necessarily make the problem go away. As we all know, the problem is much more than money.

Teachers Salaries. Before we leave the topic of money, the base salary- whether it is $36,000 or $50,000 may not be enough of factor to convince teachers to work in the traditionally poorest performing districts in the State. Without listing which districts are classified as poor performing districts, one only has to be familiar with the court case of Allendale County School District vs. The State of South Carolina (circa 1993) to know which districts and how many there were, and pretty much still are, considered to be poorest performing school districts in the State. To get the quality of education in each of those districts to where it needs to be, there will undoubtedly need to be additional financial incentives to even get persons to consider teaching and working in those districts.

Educational Facilities. So, what other measures should be considered to help better educate the children of this State? One might look at the better performing school districts and see that they generally have better quality facilities than the poorer performing districts. The districts with better science classrooms and laboratories, better performing arts centers, better athletic facilities, and better overall facilities certainly do seem to have overall much higher performing students. While no one is making the argument that there is a direct correlation between facilities and student success, the State must find a way that each district has the facilities in which to adequately educate the students of that district. Without a good classroom teaching environment, without proper technology, without facilities to allow students to express themselves through the arts, without all those things which help educate and allow the child and young adult to grow, we cannot expect them to reach their full potential while in our schools.

Aiken County School District has made significant improvements with their educational facilities in many parts of the District over the past decade or so. Additions and upgrades were made to several elementary schools including Belvedre, Millbrook, Graniteville and Hammond Hill. A new Leavelle McCampbell Middle School and Highland Springs Middle School were built. Two new high schools, Wagener and Ridge Spring-Monetta, were constructed along with renovations and additions to Midland Valley HS, North Augusta High School and Aiken High School. The new Aiken Career and Technology Center is currently under construction. While several hundred million dollars have been spent on new construction, renovations, and additions, there is still much to do within the District to bring all the facilities up to the standards required by the District. Unfortunately, there are still too many districts within the State that have not made anywhere near the improvements which have been made in Aiken County.

Greendale Elementary School (top) in New Ellenton is one of the oldest schools in Aiken County
and is currently low on the list for improvements or replacement. Leavelle-McCampbell Middle School in
Graniteville is one of the newest schools in the County.



School Choice. There has been much made over the past year or so about the State’s Superintendent of Education, Ellen Weaver’s support of all educational institutions including private schools, charter schools, religious schools and the home school approach towards education in addition to public schools. Make no mistake- this is support in addition to public education and not in lieu of public education facilities. The intent, as many see it, is that we should support our children as best we can no matter where they receive their education. Some have argued that financially supporting any student- except those at public schools- is detrimental to the public educational system. However, one must consider the reasons why a parent may choose to have their child receive their education in an institution or facility other than a public school. Some reasons include the fact that the child might not get a good education at a poorly performing school, the child might have medical or psychological reasons why a public school at that time is not the best environment for that child, the school does not offer certain courses, the student might want to focus more strongly on religious studies, or the school simply does not provide what a parent would consider a safe environment. Financially supporting a child attending a non-public school should not be viewed, as it apparently often is, as an attempt to downgrade or negatively impact public education. It should, however, be motivation for the State to see if there is a way to improve public education in a district especially where there has been a long track record of the district’s poor performance.

Homework. As we have been seeing for a while now in various school districts around the Country, some schools are implementing a no homework policy. The reason given in most cases is that some students have parents whom check to make sure that the student is doing the homework and, in some cases, even help the student with the homework while other parents don’t even understand or care that the student is supposed to do their homework regardless of whether or not that parent can actually help the student with the homework. In lieu of eliminating homework for that reason, the schools should develop various programs- whether these are after school programs or ones worked in during the normal school hours- to assist students who don’t otherwise understand that homework is an essential part of their responsibility. Obviously, this adds to the school’s workload and could possibly require additional teachers, after school transportation and things like that. However, it is essential that these efforts are made to the extent practical to help keep a student from falling further and further behind in school.

Grade Levels. While it is ideal for a student to keep up with their work and move on each year to the next grade level, this issue of standardized grade levels needs to be given a little more consideration. If in lieu of moving a child up a grade level one year to the next in all subjects, whether they are truly ready in each of those subjects or not, why not move a student up to the next level in only those subjects where they have achieved a minimum level of proficiency? For example, if a 9 year old student is ready to move up to 4th grade for English and Reading but not Math, have that student continue on the current Math curriculum until which time they are ready to move up to the next grade level. We understand that this makes class scheduling more complex and there will some anxieties generated when one’s classmates move on in a subject and a child remains behind in one of those classes. However, this may not be just a few students and when this becomes the norm for a district, the anxiety issues may be not as great of a concern. A change in terminology may help as well. For example, in lieu of calling a class 3rd Grade Math or 4th Grade Math, the course could be called Level One Pre-Algebra, etc. It is well documented that some school districts have been graduating students knowing that they are not proficient in one or more subjects. Statistically, this looks good for the district but is not helping the student achieve future goals.

Student Behavior. Apparently, one of the more sensitive issues is with how to address student behavior while in school and under the care of the teachers and administration. As was mentioned earlier, one reason given by some parents for a student to attend a non-public school is that the family does not feel particularly comfortable with some of the behavioral issues the teachers and administration have to deal with, and other students are subjected to, in a school. The rules for behavior must be clearly spelled out and understood by the students and parents alike. Certain behaviors such as fighting, bullying and things of that nature have always been an issue in the school environment and need to be swiftly and fairly addressed by the administration. These types of behaviors will never be completely eliminated in schools but everyone needs to understand the consequences of such behavior. For whatever reason, the consequences of these behaviors seem to be much better understood by the students in non-public schools than public schools.

Administrative Support. Lastly, but certainly not the least important, the teachers and administration must work closely to create the best educational environment in which to educate our children. We have all heard stories where the teachers in a school did not feel supported by the administration. Teachers are sometimes instructed that when they have a student with behavioral issues, they- the teacher- have to take care of the issue within the classroom. Often, one hears about a teacher losing control and grabbing or pushing a student. While there is no excuse for those actions, the stresses leading up to this could have been the lack of support from the administration in properly addressing certain situations. The administration must be receptive to listening to problems and criticisms by teachers and attempting to resolve those in a timely manner.

Another problem has been where a district may have no clear policy on things such as cell phone use within the school or even within a classroom, but this is quickly changing. Aiken County School District recently joined a growing number of school districts in South Carolina where cell phone use within a classroom is prohibited. Measures such as this have met a fair amount of resistance from parents but overall is viewed as a necessary policy.

We, in South Carolina, cannot continue to accept a poorly performing education system in many of our school districts. Many articles have been written in the past twenty years about how poorly some school districts in South Carolina are performing. A great article summarizing many of these issues, and discussing some potential solutions, was written in an article from Winthrop University – All Talk, But No Action: A Reexamination of Education in South Carolina’s Corridor of Shame (2018).

While there are many reasons for a student not receiving a minimally adequate education, we need to address as many of those as reasonably possible. Without a decent education, many of those students will face many obstacles in their adult lives. Not everyone needs to be a doctor, lawyer, educator, engineer, or have a career job requiring a college degree or post graduate degree. There are a lot of great careers possible without a very high level of education. However, in this day and age, without achieving a minimum level of education- such as a high school education with passing grades- the opportunities for that student become considerably less than if they had gotten a good education. To solve many of the problems, it will take considerably more funding than is currently provided for our educational system- facilities, teachers, administration- especially in our poorest performing school districts. However, it is absolutely essential that we need to move our educational system in the right direction and to move us in that direction as expeditiously as possible.



Rumblestripe

DOT Addresses a Dangerous Stretch of Road

by Don Moniak
March 18, 2023
(Updated March 20, 2023)

South Carolina Department of Transportation crews added a rumble stripe yesterday to the center line on Highway 19 North, commonly known as Edgefield Highway, from Interstate 20 to the county line north of Eureka (below).

The SC DOT Project Viewer shows the stretch of Highway 19 designated for a rumble stripe due to past accident history.


According to U.S. Department of Transportation technical advisory, a center line rumble stripe is a:

Longitudinal safety feature installed at or near the center line of a paved roadway. It is made of a series of milled or raised elements intended to alert inattentive drivers (through vibration and sound) that their vehicles have left the travel lane. In most cases the center line pavement marking is placed over the rumble strip, which is sometimes referred to as a center line rumble stripe.”

State Highway 19 north of Aiken is a hazardous undivided roadway, perhaps rivalled in danger only by Highway 78 east of Aiken. The two-lane road has only two turn lanes north of Aiken, and the only passing lane is at the I-20 interchange at Exit 18. Southbound traffic routinely backs up if a single driver is turning left onto Reynolds Pond Road. Left hand turns at the curved junction with Shiloh Baptist Road and Old Graniteville Highway are ill advised.

Residents on the west side of the road must navigate traffic to reach their mailboxes on the east side of the road where the Postal Service delivers the mail. In the era of distracted driving, a few long curves on the road create a higher risk of motorists crossing the center line. Even in the absence of curves, drivers drift towards the ditch or across the center line. Super-speeders are routinely obsessively compelled to pass on short straightaways.

In July 2017 three people were killed and three others were hospitalized when a driver crossed the center line and caused a head-on collision. In September 2020 two people were killed when they collided head on with a dump truck on the straightaway north of Shiloh Baptist Road (1). Another head on collision on that stretch killed one driver and hospitalized another happened in August 2021 a few hundred yards from the 2020 wreck. A collision in 2019 on the curve north of Shiloh Baptist Road resulted in hospitalizations but not any fatalities.

With that many deadly and injurious wrecks, the number of near misses, though hard to quantify, must be high. For example, this past Thursday a semi-truck driver avoided a major accident by veering off the highway at the entrance of the solar farm. Here you can see the tire tracks from where they applied their brakes.

Sign of a near miss collision on Edgefield Highway, north of I-20.

According to the USDOT, seventy five percent of deadly head-on collisions occur on undivided two lane roads. The rumble strip is designed and intended as “a countermeasure for driver error, rather than roadway deficiencies. They are designed primarily to assist distracted, drowsy or otherwise inattentive drivers who unintentionally stray over the center line. For this set of drivers, the audible and vibratory warning produced by center line rumble strips greatly improves the chances of a quick and safe return to their lane. Where drivers don’t safely recover, the warning created by rumble strips often improves driver reaction, reducing crash severity.”

The rumble strips can also aid drivers during periods of heavy fog or other low-visibility conditions. Studies have shown reductions in crashes causing injuries of one third to one half.

Rumble strips are not without any downsides. They are considered enough of an inconvenience and safety concern for motorcyclists that DOT recommends alerting bikers to the presence of the strip. The noise generated by vehicles crossing the strip during passing can be a major annoyance to residents along the roadway. They also serve as a symbol of the decline of alert driving—an inconvenient safety measure otherwise unnecessary for focused drivers.

The long curve on the South end of Eureka has been the scene of multiple wrecks involving drivers going off the road after failing to navigate the turn. A rumblestrip was added to the road yesterday, March 17th.

Update

SC DOT also has stretches of U.S. Highway 78, Williston Road; and State Highway 302, Wagener Road, scheduled for rumblestripe projects. The Hwy 78 rumblestripe will run from Hwy 302 east to Oak Ridge Club Road. The Hwy 302 rumblestripe will run from east of the Owens Corning plant to Montmorenci Road.


Footnote:

(1) Major accidents that block roads create serious secondary safety issues in the form of poorly conceived detours. Following the September 2020 fatal collision, SC DOT and the Aiken County Sheriff’s Department funneled motorists and truckers on a circuitous and winding detour (below).

Southbound detour route during the emergency response to the September 2020 fatal head-on collision just north of Hankinson Boxing Gym. Some drivers also became temporarily lost along the route due to misplaced signage. The detour for northbound traffic was even more confusing.


Letter to the Joint Bond Review Committee

The following letter, signed by 39 South Carolina taxpayers and residents as of February 27, 2023, has been sent to the ten-person South Carolina Joint Bond Review Committee (JBRC), which is tasked to “study and monitor policies and procedures relating to the approval of permanent improvement projects and to the issuance of State general obligation and institutional bonds; to evaluate the effect of current and past policies on the bond credit rating of the State; and provide advisory assistance in the establishment of future capital management policies.”

Any state-funded capital project must be reviewed and approved by the committee. The committee last met on January 25, 2023, and is next scheduled to meet on March 23, 2023.

Dear Joint Bond Review Committee members,

On Monday night, February 27, 2023, Aiken City Council will vote on the second reading of an ordinance to “amend the 2022-2023 Budget to include Plutonium Settlement Funds.”

The proposed amendment involves $16.1 million of the $25 million allocated in Line Item 72(I) of the Savannah River Site Litigation appropriations in House Bill 290: “City of Aiken/Aiken County- Redevelopment and Economic Development in Downtown and Aiken’s Northside Toward I-20, $25,000,000.” According to the Executive Budget Office, the funds are intended for “revitalization and redevelopment for areas that have fallen into disrepair or are currently underutilized.” 

This line item is one of the few allocations in the final legislative appropriation of settlement funds that was not project specific. While the funding was approved by the State’s Joint Bond Review Committee, Part 72.1 of the legislation requires “Funds in this item may be released to fund an eligible project at the direction of the Executive Budget Office, upon the Executive Budget Office’s receipt of a written request from the receiving county.” According to Aiken County Council, the county has yet to receive this $25 million disbursement from the Executive Budget Office.

We undersigned citizen tax payers of South Carolina request the Joint Bond Review Committee reconsider the $25 million disbursement of Savannah River Site Litigation Funds, to allow for a project-specific approach to releasing these state funds and avoid any subsequent wasteful or unintended expenditures.

1. The $3 million proposal to repair the Fairfield Street Bridge in downtown Aiken, which has been closed due to structural deficiencies since 2017, should be approved. This project clearly falls within the broad project purpose of “revitalization and redevelopment for areas that have fallen into disrepair or are currently underutilized.” 

2. The $3.5 million proposal for the Northside Gravity Sewer project should be deferred until the City of Aiken identifies how this project on unincorporated county property affects county residents, notifies County residents of its annexation and growth plans, and reports whether this project is primarily maintenance-related or expansionist in scope. It is unclear how this project qualifies as a “revitalization and redevelopment effort for areas that have fallen into disrepair or are currently underutilized.”

3. The $9.6 million proposal to pay off the principal of the General Obligation bond used to “purchase downtown property” should be rejected. The properties in question are presently known as the “Pascalis properties” and were purchased by the Aiken Municipal Development Commission (AMDC) through a grant from the City of Aiken raised via this general obligation bond. The properties were purchased as part of a demolition and redevelopment plan involving half a block of downtown Aiken, known as Project Pascalis, that was formally canceled by the developer and the AMDC in September, 2022.

The reasons to reject this $9.6 million project request are as follows:

a. The true nature of the property purchases were not revealed to citizen taxpayers during the approval and hearing process.

When the bond ordinance was approved following during two public readings in August 2021, City Council and the AMDC presented the funds as necessary for a “land bank” proposal to purchase “blighted” properties in Aiken’s ~575-acre “Parkway District.” In reality, it was a proposal to purchase seven properties, held in an assignment contract by the Aiken Chamber of Commerce, from two property owners in a 1.7 acre area where nine small businesses were operating.

Only one building in the Pascalis demolition zone lacked a tenant, and the two buildings associated with the Hotel Aiken were closed for a reported renovation. It was not a blighted area and had not been declared a blighted area.

This basic information about the actual real estate purchase intentions was withheld from citizens of Aiken until the first week of November, 2021, when the AMDC announced Project Pascalis , a $75-100 million project involving the demolition and redevelopment of the 1.7 acres and forced relocation of nine small businesses.

b. The properties were purchased without due diligence and were an unnecessary and ill-advised investment of taxpayer funds. The properties were purchased for $9.5 million without the AMDC or City of Aiken conducting any appraisals, and only required property inspections on two of the seven properties. After the Chamber of Commerce took assignment of the properties in late May of 2021, two developers offered the AMDC only $1 million for the most prominent property, the Hotel Aiken, in response to a solicitation for proposals that was not publicly advertised as mandated by SC Community Development Law. This offer was less than half the agreed-to price of $2.25 million in the assignment contract.

Existing Aiken County appraisal data, which City officials routinely use as a point of reference for other purchases and sales of city properties, showed the property + improvement values were collectively appraised by the Aiken County assessor at $4.683 million of market value. But since the AMDC intended to demolish the property, it essentially paid $9.5 million (not including demolition costs) for land with an appraised market value of $1.487 million. On a per-square-foot basis, the AMDC paid nearly five times more than the Aiken County appraised market values of the land at surrounding business properties. Notwithstanding the fact that the AMDC essentially assigned a zero value to the buildings on the seven properties (which were consigned to demolition), an alternative evaluation using recent sales of nearby business properties indicated the AMDC overpaid by “only” a factor of almost three.

These analyses in the summer of 2022 were validated in November 2022 by the revelation that the AMDC had signed a contract to sell the properties to the newly formed development consortium RPM Development Partners for $5 million, just one month after the commission had paid $9.5 million.

c. Aiken City Council counted its chickens a year before they hatched. According to the Executive Budget Office’s description of the entire $25 million line item allocation, submitted to the JBRC in January 2023, the City of Aiken’s “plan also includes the acquisition and assembly of land or properties for the purpose of redevelopment in the downtown area to promote economic development for the city, it’s residents and visitors

In reality, the bond was approved in August 2021, with the expectation of future allocation of plutonium funds, months before a single budgetary proposal was issued in the legislature. The bond was finalized in October 2021 and the properties were purchased in November 2021. Aiken City Council took an ill-advised risk by committing taxpayer funds in the expectation of state reimbursement from the Savannah River Site litigation settlement; which has resulted in a foolish expenditure of taxpayer funds.

The AMDC’s and City Council’s manifold instances of careless disregard for well-established business practices and fiduciary responsibilities should not be so easily finessed by conveniently applying Plutonium Settlement Funds to pay off the bond. In short, the proceeds from the bond issuance were used to further the folly of an illegally-formulated, ill-defined, and mismanaged project–which has now found a home in Aiken City Council’s dustbin.

d. There is no project. Since Project Pascalis was canceled in September, 2022, the general obligation bond is no longer associated with a redevelopment project or any project at all. Paying off the principal is not a development strategy, it is a bail-out strategy. Furthermore, the details of the failed project that resulted in the AMDC and City of Aiken owning seven properties in the downtown commercial district have yet to be fully revealed to taxpaying citizens. At a minimum, a full, independent financial and project audit should be completed prior to any state funds being released to the City of Aiken to pay off this unwise debt.

Summary: City Council has announced its intentions to transfer the Pascalis properties from AMDC control to city control and dissolve the AMDC. There is no development project presently involved with any of the properties. There is only a feasibility study underway for three of the properties. After the city takes control, it will replace the AMDC as a commercial real estate landlord for the six businesses that did not yield to the AMDC’s pressure to relocate; at least until the properties are sold on the open market, or transferred to another party.

Paying off the general obligation bond condones the city’s ill-advised investment, which no longer qualifies as a redevelopment project. Paying the debt for a failed project is not worthy of plutonium settlement funds that are intended to address real community needs: education, infrastructure, and well-planned economic development for the common good.

Thank you,

Donald Moniak
(and 38 South Carolina Taxpayers and Residents)






Don’t Mess With Carolina Gas, Oil, or Coal

Aiken State Representative Melissa Oremus Stands Up for Texas with Copy and Paste Legislation

by Don Moniak

January 16, 2023

South Carolina State Representatives Melissa Oremus (R-Aiken) (1) and James Burns (R- Greenville) are the sponsors of legislation that would prohibit public “investment in companies that boycott energy companies.” Specifically, the law would require South Carolina’s State Fiscal Responsibility Authority (SFRA) to prepare and maintain a list of companies that all state agencies must use to “sell, redeem, divest, or withdraw all publicly traded securities” of any financial company determined by the authority’s Executive Director to be involved in boycotting investment in fossil-fuel producing companies or companies that do business with them. 

The legislation is not just modelled on other legislative examples, it is a duplicate (2). If there were a rule against legislative plagiarism, the bill would be discarded.

.With a few fill-in-the-blank exceptions to allow for differences in South Carolina pension management, House Bill 3525 (H3525) is otherwise word-for-word identical to Chapter 809 in Texas’ Public Retirement Systems code, including provisions prohibiting lawsuits for breach of fiduciary duty, or any other claim or cause of action against government entities or employees who may cause losses to pension funds as a result of enforcing the law.

The Texas law was enacted in 2021, and quickly stirred up considerable controversy, especially after dominant financial firms such as Blackrock and Vanguard had funds listed in the fossil fuel energy company “boycotters” category by the Texas Comptroller. The law has been described as “Infowars Investing,” by free-market investment supporters, and “cancel culture from the right” in an otherwise staid analysis by Forbes contributor and Oxford University economist Robert Eccles.

The Texas law was intended to dissuade ”environmental, social, and governance” influence in the financial sector, particularly as it pertained to Texas fossil fuel energy companies. Chapter 809 mandates that the Comptroller prepare and maintain a list of companies who “boycott energy companies,” defined as:

without an ordinary business purpose, refusing to deal with, terminating business activities with, or otherwise taking any action that is intended to penalize, inflict econonic harm on, or limit commercial relations with a company because the company engages in the exploration, production, utilization, transportation, sale, or manufacturing of fossil-fuel based energy and does not commit to meet environmental standards beyond applicable federal and state law.”

Once on the list, any government entity such as a pension program is required to meet a schedule to sell, redeem, divest, or withdraw the firm’s publicly traded securities. There are a few loopholes that allow divestment to be delayed, such as if the move “will likely result in a loss of value.”

The Texas law was intended to protect Texas fossil fuel companies, an industry that employs an estimated 450,000 workers who collectively produce 43% of the nation’s crude oil and 25% of our natural gas supplies. Because of the massive size of Texas’ public retirement systems, lawmakers sought to prohibit involvement in the system by companies deemed to be a threat to the state’s largest industries; and thus try to deter efforts to use the financial system to deprive fossil-fuel companies of investment funds.



In contrast, South Carolina is not a coal mining, oil and gas production, or refinery state. Efforts to prevent off-shore oil and gas drilling have bi-partisan support. Texas energy production is measured on the Department of Energy charts by the thousands of trillions of BTUs, South Carolina is measured by the hundreds of trillions of BTU’s. Yet, according to The Nerve, South Carolina politicians appear as adamant as their colleagues in Texas about protecting fossil fuel energy companies as Texas and coal mining states like West Virginia; but almost entirely from an ideological perspective and not one of economic self-interest.


Could Oremus (2) and Burns’ legislation mean South Carolina’s public pension fund management decisions, as they pertain to “fossil-fuel boycotting companies,” will be influenced by the Texas Comptroller’s listing decisions? Since the law does allows the divestment list to be prepared using information provided by “governmental entities,” why prepare a new list when the Texas Comptroller already has completed the task and the intent of the legislation is clearly to emulate Texas?

Footnotes

(1) An example of the word for word nature of the legislation:

The South Carolina bill:

The Texas Law:

(2) Representative Oremus declined to answer questions posed in an email. Oremus is locally notorious for conducting closed debates. She deleted her official Facebook account sometime in late 2021 or early 2022; and requires permission to comment.