[DiscoverMB]

UPDATED:
Discover Myrtle Beach has received the following story, originally unsigned as we originally stated. We have received confirmation from organizers of BOOST (Business Owners Organized to Support Tourism) who claim responsibility for the writing the story:

As previously mentioned urge anyone to look into the matter further and draw their own conclusions.

MYRTLE BEACH INCUMBENTS EACH RECEIVE $24,000 IN IDENTICAL CONTRIBUTIONS FOR RE-ELECTION CAMPAIGNS!

Official South Carolina Ethics Commission records show that all four incumbents running for re-election on November 3rd in the City of Myrtle Beach received identical donations of $1,000 each from the same twenty-four (24) companies – a whopping total of $24,000 each or $96,000 total that may have even been distributed on the very same day (see full list below). Even to the average voter, that seems at least unusual. Those familiar with political campaigns, however, know that A.) City Council Candidates don’t often raise that much money for an entire campaign; and B.) for all four incumbents to receive the identical amounts from identical donors is virtually unheard of.

An elementary school child with a limited knowledge of the Internet could put all the pieces together in a matter of hours, so it should raise eyebrows that the Sun News and other Myrtle Beach area media has not already begun serious investigative reporting. The questions that must be asked are painful, but obvious:

1. Who is in a position to successfully coordinate the distribution of $96,000 to the four incumbent politicians and what would they have to gain from doing so?
2. Where did the twenty-four, $1,000 checks REALLY come from?
3. What is the connection between Palmetto Advocacy Consultants, LLC and Myrtle Beach Chamber of Commerce since they share addresses and officers?
4. Were any Chamber of Commerce funds dedicated to advertising redirected into the coffers of elected officials who voted to give them the $180 Million Ad Tax (officially known as the Tourism Development Fee) and, as a result, did taxpayers unknowingly contribute to these politicians through the Chamber?
5. Is each of these LLCs a functioning company or nothing more than a shell created to distribute campaign funds?
6. Do any of these twenty-four entities directly or indirectly benefit from contributions to these incumbent elected officials; specifically, how do Visit Media and/or Miller Direct benefit from contributions to elected officials and what do they do for the Chamber?
7. Did any other politician receive the same twenty-four, $1,000 checks? (DiscoverMyrtleBeach.com is now investigating that possibility).

The Background & Timeline

Last May, with area businesses cutting expenses and laying off employees in response to the recession and the aggressive City-sponsored demise of the annual Spring Bike Rallies, the Myrtle Beach Area Chamber of Commerce (MBACC) accomplished something few believed possible. In less than one month, Chamber leaders convinced the members of the Horry County Legislative Delegation to craft and pass enabling legislation that created a 10-year, $180 Million “Tourism Development Fee.”

Popularly known as the “Ad Tax,” legislation of this type would have typically taken months to pass. Unique to this area, the bill allowed Myrtle Beach City Council to raise the sales tax within the City limits by one penny without putting it on the ballot as a referendum. The legislation also severely restricted who was qualified to spend the resulting $15-$18 Million annually, almost guaranteeing that only the Chamber would qualify.

Faced with growing opposition, the final version included a provision to reduce taxes only for those who own property within the City limits beginning in the third year, offsetting for them what amounts to a 12.5% tax increase for all residents and visitors alike.

City Council’s unanimous passage of the “Ad Tax” on May 29th, helps to explain what apparently took place over the next few days.

Since the 1-cent tax did not take effect until August 1st, the Chamber announced that they had borrowed $1,000,000 to begin advertising Myrtle Beach tourism out-of-market. Almost simultaneously, the Chamber and/or key members and businesses, began what can only be described as the sloppy but coordinated distribution of almost $100,000 in campaign donations to all the City incumbents ($24,000 each to Mayor John Rhodes and Council members Wayne Gray, Chuck Martino & Randal Wallace).

The timing and details are only now becoming painfully revealing and point to a coordinated Chamber effort to either “thank” or “reward” elected officials for passage of the Ad Tax. In other words, taxpayers who over the next 10 years will give the Chamber of Commerce some $180 Million promoting tourism in the City of Myrtle Beach may have actually helped to fund the campaigns of the very same elected officials who levied the tax on them without a public vote.

Bizarre Twist of Fate

Former mayoral candidate Keith Van Winkle, facing ethics problems of his own, may have been inadvertently responsible for opening Pandora’s Box when he challenged Mayor Rhodes Ethics filings on Monday, October 5th. A quick check of Ethics Reports online for the Mayor and all three incumbent Council members seeking re-election in November revealed that only Councilman Wallace had filed his reports on time. The Mayor quickly corrected his errors, followed by Councilman Martino – but their reports unveil what appears to be a successfully coordinated effort by local businesses to give all incumbents thousands of dollars.

The following timeline is taken directly from the State Ethics Commission reports (www.ethics.sc.gov)

June 8th: Councilman Randal Wallace deposits twenty-four (24) identical $1,000 checks from the exact same LLCs at the exact same addresses with the exact same Registered Agents. In his defense, Wallace, who has a reputation for telling-it-like-it is, apparently thought nothing of the coincidental windfall as he is the only member of Council who reported it promptly and properly when he deposited the checks on June 8th.

(The correct fact is most of the transactions to Wallace were deposited on June 8th, but not all. There were a few done over the following days according to ethics reports)

July 2nd: Mayor John Rhodes deposits the exact same twenty-four (24) identical $1,000 checks from the exact same LLCs at the exact same addresses with the exact same Registered Agents.

October 6th: Filings by Rhodes at the State Ethics Commission (http://www.ethics.sc.gov) showed no contributions and no expenditures. However, just two days after Van Winkle’s charges, the Mayor posted a comprehensive list of expenditures and donations that prove, among other things, he failed to follow rules by reporting the first $500 in donations or expenses within 10 days.

October 8th: Included in $65,000+ in campaign contributions that Rhodes reported are 24 (twenty-four), $1,000 contributions by the same 24 different LLCs – many sharing the same addresses and the same registered agent and all “deposited” on the exact same day - July 2nd.

(NOTE: Of course, DiscoverMyrtleBeach.com has no way of knowing when these checks were actually written to Rhodes, but by depositing them 48 hours after the Quarterly Filing Deadline of July 1st, Rhodes was able to delay reporting them until October.)

October 10th: Councilman Chuck Martino submits his online Ethics report which shows he received the same windfall - $24,000 in twenty-four separate $1,000 checks – same LLCs, same addresses, same Registered Agents.

October 13th: Only Councilman Wayne Gray has failed to report any contributions or expenditures.

On the surface, it may appear coincidental – just another example of elected officials benefiting from their incumbency. But anyone with Internet access can play connect-the-dots as just a few minutes of simple online research offers up some eye-popping coincidences.

Rhodes,’ for example, reports that he received 139 contributions in the 3rd quarter alone totaling over $65,000. By sorting by the “amount” and “date” of the contributions, the alarms begin to go off. There they are: 24 separate contributions of exactly $1,000 each from the same 24 names that appear on Wallace’s report and Martino’s report. The only difference is the date – Wallace deposited the money on June 8th; while Rhodes apparently waited until July 2nd and Martino waited until July 10th.

“So, Who Are Those Guys?”

Mimicking the words of Butch Cassidy and the Sundance Kid, one can’t help but ask “who are those guys” giving all the money? For starters, there are 24 LLCs – but not nearly as many addresses. That’s because ten (10) of the $1,000 checks came from 1298 Professional Drive in Myrtle Beach – the offices of DDC Engineering. Others are in groups of two each on such area roads as Bayberry Lane, Enterprise Road and Long Ridge Drive. Still others are around the corner at 4605 Oleander Drive, the offices of Robert S. Guyton, Attorney (there’s another $1,000 from Guyton at his home address). So far, so innocent. Or is it?

Turns out Guyton, a past Chairman of the Board of the Myrtle Beach Chamber of Commerce, is also the official registered agent for no less that (13) of these fine “business entities.”

One of the contributors, Palmetto Advocacy Consultants, LLC (PAC), lists its address as 7588 Enterprise Road. However, the Secretary of State’s office reports that PAC is located at 1200 North Oak Street, Myrtle Beach – headquarters of the Myrtle Beach Area Chamber of Commerce. It also lists PAC’s registered agent as Darren Gore who happens also to serve as the Chief Financial Officer of the Chamber and, presumably, is the same individual responsible for collecting and distributing $180 Million in “Tourism Development Fees” from taxpayers over the next 10 years.

(See the SC Secretary of States website and search Palmetto Advocacy Consultants: http://www.scsos.com...usiness_Filings )
Or View it Here: http://www.scsos.com...porateid=528994

Two other corporations who contributed at least $4,000 each to Rhodes, Martino, Wallace and apparently Gray are listed as Visit Media and Miller Direct (a “subsidiary of Visit Media”) - companies who publish visitors’ guides, newspaper ads, direct mail and build websites.
Visit Media’s website (www.visitmedia.com) lists two addresses – 4214 Mayfair Street, Myrtle Beach, SC and 1741 Gold Hill Road Suite 102 Fort Mill, SC. However, on Wallace’s report, both are listed as located in Charlotte at 4421 Stuart Andrew Blvd. Calls to the North Carolina number indicate that it has been disconnected. Apparently, the relationship with the Myrtle Beach Chamber has become even cozier – at least geographically. It is believed (so far unconfirmed) that Visit Media/Miller Direct are the companies that publish and distribute some 300,000+ of the Chamber’s annual Stay & Play Guide.

The Bottom Line

In 1966, longtime Arkansas Senator J. William Fulbright published a book he called “The Arrogance of Power” and while its focus was on the nature of nations, not men, his quote seems most appropriate to this developing story. “The arrogance of power,” wrote Fulbright) “is the tendency of great nations to equate power with virtue and major responsibilities with a universal mission.” Replace the word “nations” with individuals. It’s the same philosophy of governance that causes otherwise honorable individuals to believe that the “ends justify the means.”

Time will tell whether or not these elected officials are guilty of specific State Ethics violations or accepted illegal campaign donations. But time is up for the Myrtle Beach Chamber of Commerce who clearly launched a coordinated effort to generate millions of dollars a year that only they qualify to spend by raising sales taxes on the backs of the citizens of Myrtle Beach. At the very least, the Chamber needs to explain why and how this has happened. At the very most, they should lose their precious Ad Tax revenue and pay whatever price goes along with their “arrogance of power.”

THE BIG “24” – A LIST OF INCUMBENT CAMPAIGN CONTRIBUTORS

905 Polo Partners LLC 1298 Professional Drive Myrtle Beach, SC 29577 $1,000.00
Back Gate LLC 1298 Professional Drive Myrtle Beach, SC 29577 $1,000.00
Prtnrs of Cypress Plantation 1298 Professional Drive Myrtle Beach, SC 29577 $1,000.00
Porcher Partners 1298 Professional Drive Myrtle Beach, SC 29577 $1,000.00
AM & RD Title Agency 1298 Professional Drive Myrtle Beach, SC 29577 $1,000.00
CF Plantation Partners LLC 1298 Professional Drive Myrtle Beach, SC 29577 $1,000.00
Office Park Partners 1298 Professional Drive Myrtle Beach, SC 29577 $1,000.00
Creek View Land Partners 1298 Professional Drive Myrtle Beach, SC 29577 $1,000.00
Deluxe Land Partners LLC 1298 Professional Drive Myrtle Beach, SC 29577 $1,000.00
Beach Paralegal Services 1298 Professional Drive Myrtle Beach, SC 29577 $1,000.00
Guyton Family Invests LLC 4605 Oleander Drive Myrtle Beach, SC 29578 $1,000.00
Carolina Coast Invests LLC 4605 Oleander Drive Myrtle Beach, SC 29578 $1,000.00
Robert S Guyton 9502 Lake Drive Myrtle Beach, SC 29572 $1,000.00
AMRD Real Estate LLC 57 Bayberry Lane Myrtle Beach, SC 29572 $1,000.00
Garden City Partners 57 Bayberry Lane Myrtle Beach, SC 29572 $1,000.00
Palmetto Advocacy Consultants LLC 7588 Enterprise Road Myrtle Beach, SC 29588 $1,000.00
Martin Lee Enterprise, LLC 7588 Enterprise Road Myrtle Beach, SC 29588 $1,000.00
Visit Media LLC 4421 Stuart Andrew Blvd Charlotte, NC 28217 $1,000.00
Miller Direct 4421 Stuart Andrew Blvd Charlotte, NC 28217 $1,000.00
Carter Studios Highway 544 Surfside Beach, SC 29575 $1,000.00
Jonathan Carter 153 Long Ridge Drive Murrells Inlet, SC 29576 $1,000.00
Heather Carter 153 Long Ridge Drive Murrells Inlet, SC 29576 $1,000.00
By Faith Real Estate 5907 Woodside Avenue Myrtle Beach, SC 29577 $1,000.00
Jordan Investment Corp 3725 Willow Springs Road Conway, SC 29527 $1,000.00

Discover Myrtle Beach Notes:
A spokesperson for BOOST says, as part of a prepared statement "Members of BOOST are the people who uncovered this disgusting and arrogant distribution of monies and we’re proud of it. We invite Brant Branham & the MBACC to prove us wrong!"

LINK TO BOOST'S WEBSITE AND STATEMENT
http://www.boostsc.org/news.html

[TheInsider]

The story does also appear on http://www.ibiker.org. They received the same letter.

[DiscoverMB]

MAYORAL CANDIDATE MCBRIDE EXPRESSES CONCERN

We received a call from Mayoral Candidate Mark McBride today. McBride said he had read the article which has been distributed through various organizations. "This is something that has to be put out there to the public", he said. "I am concerned that the local media will not report this story because they will gain from the Ad Tax dollars locally."

[DiscoverMB]

According to the story on WMBF, the Myrtle Beach Chamber of Commerce is speaking out following allegations that the organization's funds were used to aid local political campaigns.

The story reads:

A statement released by the organization states the web posts implied that companies who donated to local political campaigns are directly benefiting from the tax. The Myrtle Beach Chamber of Commerce, according to spokeswoman Nancy Gray, has yet to receive any payment from the tourism development fee as of Thursday.

Three of the 24 entities listed as donors are members of the organization. Those named on the web post are former directors of the Myrtle Beach Chamber of Commerce, but are not currently serving.

"I am disappointed, but not entirely surprised, that yet another nameless, faceless accuser would spread misinformation about our organization," Brad Dean, president and CEO of the Chamber, said Thursday. "The Chamber does not make political contributions. Apparently, our efforts to grow tourism and create jobs while actively supporting property tax reductions and investments in infrastructure have irritated critics who don't mind falsely attacking us behind a veil of secrecy."

Chairman Brant Branham of the Myrtle Beach Chamber of Commerce says he is the contributor behind the donations, given to those he believes, as an individual and businessman, deserve re-election.

The full story can be read on WMBF at:
http://www.wmbfnews.....asp?s=11315513

[phroggy]

I like to think that I'm a fairly smart individual. Is there someone who could break this down in to plain English for me? It's just not making sense to me.

[DiscoverMB]

BREAKING NEWS:

Discover Myrtle Beach has received a call from the organizers of BOOST (Business Owners Organized to Support Tourism) to say they are responsible for the recent story provided to Discover Myrtle Beach and various other media outlets.

A spokesperson for BOOST says, as part of a prepared statement "Members of BOOST are the people who uncovered this disgusting and arrogant distribution of monies and we’re proud of it. We invite Brant Branham & the MBACC to prove us wrong!"

LINK TO BOOST'S WEBSITE AND STATEMENT
http://www.boostsc.org/news.html

[Greg McLeese]

phroggy, on 14 October 2009 - 07:16 PM, said:

I like to think that I'm a fairly smart individual. Is there someone who could break this down in to plain English for me? It's just not making sense to me.

It's called dirty pork barrel politics, Tim. Greasing the palms so to speak.

[phroggy]

Yeah I figured out there is corruption and what not going on here. What else is new, right? Dirty politicians??? Say it isn't so!!!! Prudes, politicians and lawyers. That crap should have ended at Plymouth Rock.

[DiscoverMB]

Chamber Chairman Responds to BOOST Accusations:

Brad Branham, of the Myrtle Beach Chamber of Commerce has released the following letter to the chamber's board of director's in response to BOOST's story which has been circulated through various media outlets.

Brad Branham's Complete Response via WMBF News:
http://ftpcontent.wo...pdf/CHAMBER.pdf


BOOST Responds to Brad Branham:
In an email to Discover Myrtle Beach and various media outlets, members of the Board of Directors of Business Owners Organized to Support Tourism have accepted the challenge issued by Brant Branham, Chairman of the Board of the Myrtle Beach Area Chamber of Commerce, who admits coordinating the distribution of hundreds of thousands of dollars of campaign contributions. The Board challenges Mr. Branham to find inaccuracies in our reporting.

In a second email BOOST writes, "Following TV, newspaper and radio reports of denials by the chamber along with admissions by Mr. Branham that he coordinated the money hand-outs. BOOST responds to Discover Myrtle Beach with this statement: We stand by our story."