Chaos in The Horry GOP
Chaos in The Horry GOP
Chaos in The Horry GOP
The home of Myrtle Beach, South Carolina’s #1 tourist destination, Horry County is the fastest‐
growing County in the state – and among the fastest growing in the Nation. Its booming
population, comprised largely of retiring seniors, is rapidly approaching 400,000. And if
political party labels are any indication, Horry is as solid red as it can get: every office in the county is
held by Republicans except for a single school board seat.
On the surface, it’s understandable that GOP leaders have frequently boasted about Republican
dominance for almost 20 years. But this time, it appears that it’s the underbelly of the Party – what lies
below the surface – that has caused real trouble, stirred emotions and created major rifts within the
GOP. Today, the Horry County GOP is again at a crossroads. With dueling co‐chairs, broken rules,
and allegations of financial irregularities, how did it come to this?
The Election
Every two years each county party holds an election for County Chair. At the 2019 Convention,
something odd happened. When the vote was first announced, it was announced that incumbent
Dreama Perdue had beaten challenger Ed Carey (who is currently running for City Council) 103 to 93.
Someone soon realized, however, that the numbers didn’t make sense. A recount was conducted, and
new results were announced – it was a tie 103‐103. Somehow ballots were either missed, miscounted,
or, who knows. Despite the rules saying that elections required a simple majority, a compromise was
reached. With the encouragement of executives at the South Carolina Republican Party, the unusual
decision was made to have to co‐ chairs – though some Perdue supporters continue to claim that she is
the sole chair. The State Executive Committeeman was also elected by less than a simple majority.
When questioned, convention parliamentarian State Senator Greg Hembree misstated that only a
plurality vote was required. The top two positions had now been filled with less than a majority.
Follow the Money
Ignoring the Rules
The SCGOP County Chair Handbook states that local party committees “should maintain records
of all expenditures for four (4) years… [including] all receipted bills, canceled checks, and other
proof of payment for all expenditures.” Also “The Treasurer is responsible for keeping a record
of all receipts and expenditures…”
The Horry County GOP rules state:
All checks drawn on the Party’s checking account must contain two signatures. The Chairman is
authorized to be one of those signatories. He or she is authorized to countersign checks up to
$1,000 in furtherance of the party’s operation and goals…Expenditures in excess of $1,000.00
require prior approval of the County Executive Committee’s “Ways and Means Standing
Committee” which oversees the Party’s finances and budgeting. If approved, both the Chairman
and the Committee’s Chairman must countersign the check. If disapproved, the Chairman may
appeal to the County Executive Committee.
Section 2. The Ways and Means Standing Committee The committee must by a majority vote of
the committee approve all expenditures in excess of $1,000. The committee’s chairman must
countersign, along with the Party chairman, all checks in excess of $1,000.
The Website Fiasco
The County Executive Committee passed a motion authorizing $500.00 to be spent to update the
county’s website. On her own, and without approval or knowledge of the Ways and Means
Committee, co‐chair Perdue wrote a check to cash on May 24, 2019, for $1,500.00 for website
coding. This check was only signed by Perdue. Thus, this violated a) the requirement that the
Ways and Means Committee approve expenditures over $1,000.00 b) violated the requirement
for two signatures for all check, and c) the committee’s own motion to spend $500.00 on this
project.
A Check for Cash?
This check written to cash has been the focus of many of the questions posed about the Horry
County GOP. Early last summer, Co‐Chair Perdue stated that the $1,500.00 came from
Congressman Tom Rice’s office. An invoice to the Party was submitted by State Executive
Committeeman Gerri McDaniel for precisely $1,500 for 20 itemized website services, plus
updates and maintenance dated June 3rd , 2019 – more than a week after she had been paid for
doing the work in cash. But in an Executive Committee meeting in October, former Chairman
Robert Rabon announced that it was he who had given Perdue $1,500.00 in cash to build the
website. While it is difficult to reconcile those two statements, how the money was transferred
out of the County’s account is an even thornier problem.
At that same October meeting, Ms. McDaniel made the stunning revelation that the reason cash
was used is because the person who did the coding for the website is receiving disability
payments and requested the payment in cash so that it would not have to be reported. This goes
beyond party rules and crosses over into true IRS territory. A Co‐Chair has admitted to making
cash payments so as to avoid reporting requirements. Party officials have not suggested that Ms.
Perdue or anyone is enriching themselves at the Party’s expense – but these actions represent not
only a serious breach of the Bylaws of the HCGOP, but a serious breach of standard business practices in
play in American. Additionally, in the world of politics in general – cash is all but forbidden. Candidates,
for example, may not accept contributions of more than
$25 without reporting same to the Ethics Commission.
Other Funds
Co‐Chair Perdue organized a HCGOP event with Senator Graham. Co‐Chair Carey attended,
paid $25.00 in cash, requested a receipt, but was surprised to be told that no receipts would be
given. This again violates basic accounting practices.
September 16, 2019 Meeting
The September 16, 2019 meeting was advertised as open to Executive Committeemen only and
the only new business issue on the agenda was for co‐chair Perdue to respond to the issues raised
by various party members. The meeting, however, got bogged down in preliminaries, committee
reports, and a fight over whether State House Representatives Russel Fry, Alan Clemmons, and
Heather Crawford, as well as State Executive Director Hope Walker and State Chairman Drew
McKissick could remain during executive session despite none of them being members of the
HCGOP Executive Committee. A motion was narrowly passed allowing non‐EC’s to stay.
Eventually a motion was made to postpone addressing the substantive issues until the next
meeting – to provide Ms. Perdue a few more weeks to answer each of the questions and concerns
presented to her directly by Co‐Chair Carey and the HCGOP Treasurer, Eric Santorelli and in
two letters sent to her by Co‐Chair Carey’s attorney.
October 7, 2019 Meeting
Prior to the September and October Executive Committee meetings, Co‐Chair Carey acquired
bank deposit records going back to 2016. There was a bank service charge of $99.00 for copying
these records that were unattainable and/or unaccountable via his previous request for same from
the prior party Chairwoman and current party Co‐Chair Perdue.
The October meeting which was held for Perdue to answer the questions held over from the
September meeting. This was the only item on the meeting agenda. Instead of addressing the
lack of records and accountability issues, Co‐Chair Perdue defense was to make a point of
contention of who authorized obtaining the past records from the bank which incurred a bank
service charge of $99.00. Co‐Chair Carey stated this was a part of his fiduciary duty and was
required to get a picture of what the financial activity of the party had been, since prior request
for financial records from Purdue went unanswered and there were no other records were available
that would show deposits into the account. These bank records would also assist the Ways and
Means Committee in creating a budget using past accounting history.
Carey also questioned why a credit card of Co‐Chair Perdue’s is being automatically paid
monthly out of HCGOP checking account. Carey has requested receipts from the credit card, but
has not received them. He has also repeatedly requested a copy of the insurance policy that
covers the party, but again his request was flatly refused by Co‐Chair Perdue. Eventually Brown
Bethune, husband of Myrtle Beach’s controversial new mayor, made a motion, seconded by John
Bonsignore, to retroactively approve the check for the $1,500.00 cash payment. This passed on
a voice vote despite a call for a roll call vote. In addition, the new party Treasurer Santorelli
emphasized that there has been a lack of records and if the IRS did an audit, there would not be
sufficient records to respond to the audit. The meeting ended with many questions still unanswered,
with Perdue claiming she was being attacked and Carey reeling again from being stonewalled. While
there were calls to put these issues behind the party, with no resolution, this will certainly be a hard
task.
The Rules and Lindsey Graham
The Horry County GOP has a rule regarding officers endorsing candidates. Section 1‐A states:
“Elected and appointed officials of the Horry County Republican party shall not endorse, work
for, assist, or allow their name to be used in support of a Republican candidate who has
opposition from another Republican candidate during a Primary or Run‐off election...
Failure to comply with these requirements shall constitute prima facie evidence for their
dismissal as an elected or appointed official of the Horry County Republican Party”.
Senator Lindsey Graham is running for reelection in 2020. Senator Graham has at least five
announced Republican challengers – three of which have filed paperwork with the Federal
Election Commission. (Dwayne T. Buckner, Peggy Kandies, Michael LaPierre, Joe Reynolds, and David
Weilke. These campaigns started many months ago. Despite having multiple
announced challengers, Co‐Chair Perdue is a member of Lindsey Graham’s Leadership Team.
When asked about this, she has stated that Graham does not have opposition. When confronted
with opposition, she has responded that filing has not officially opened. Under any fair reading
of the rules, Senator Graham has opposition (the article announcing Graham’s Leadership Team
actually discussed the challengers.) It remains to be seen if the Horry County GOP will enforce
their own rule in this regard.
Conclusion
Armed with these facts, it is no surprise that there is a great deal of mistrust in the Horry County
GOP on both sides. One group seems to be willing to smooth things over, let bygones be
bygones, and not look too hard into the rules or their violation (past or present). The other group
insists that rules have an actual meaning and must be followed – after all, the
Republican Party claims to be the party that follows the rules. Can this rift be healed, or will one
group come to dominate the party? Or will an outside group (the SCGOP, the State Ethics
Commission, a federal agency) make this decision for them? Time will tell.