Developers spent big on Horry County Council races. Did all that money pay off?

Realtors, builders and developers poured hundreds of thousands of dollars into Horry County Council races this year, to potentially boost preferred candidates into positions that will shape growth and building in one of the nation’s fastest-growing counties.

And with the 2022 primary elections finally over, the results of that spending are clear: One big win, one big loss, and a lot of uncertainty.

On Tuesday, incumbent County Council Chairman Johnny Gardner eked out a second term over challenger Mark Lazarus, the former council chairman, who received tens of thousands of dollars from the local and state real estate and development industry.

The contrast in that race was stark: Gardner, between January and the June primary, raised less than $10,000 from individuals, with the bulk of his campaign cash coming from personal contributions and loans. Lazarus, meanwhile, raised nearly $200,000 from business owners, realtors, developers, builders and others in one of the county’s largest industries.

Two weeks ago, however, challenger Jenna Dukes, who also received tens of thousands of developer cash, ousted longtime county council member Harold Worley, the council’s longest-serving member.

It was a similarly stark contrast in that race: Worley self-funded his campaign, $95,000 in total, while Dukes brought in $130,000 from developers and others in that industry.

So what does all of that mean for the future of Horry County?

“I think the people spoke and loud and clear. They recognize the fact that industry represents a lot of people and a lot of votes. (Dukes) winning, that was the people,” said developer Benjy Hardee, of A.O. Hardee & Son, one of Dukes’ biggest financial supporters.

Other developers, though, said they have some concerns about Gardner leading council for another four years.

“I’m hoping they won’t try to do anymore building restrictions, home-building is the lifeblood of Horry County,” Steve Powell, a developer with Venture Engineering, said. “It is who we are, we’re a retirement community and I’ve got to put houses somewhere.”

Among Gardner’s biggest victories during his first term were stricter building standards in flood zones, along with impact fees on new building, money that helps pay for some infrastructure projects. And the county’s budget last year doubled the stormwater fee that residents pay in an effort to expand the Stormwater Department and combat drainage issues and flash flooding more forcefully.

And his supporters, including April O’Leary of Horry County Rising, a nonprofit that advocates for zoning and building codes to prevent flooding, are hopeful that he’ll continue to push forward legislation that keeps development out of sensitive areas like wetlands.

“We’ve had some great success working with Johnny Gardner, it’s true that he did keep his promise,” O’Leary, who was also a financial supporter of Gardner, said. “He ran on flooding and throughout the time on council he fulfilled his promise. There are things that happened under him that have never happened or have been delayed.”

Voters ultimately approved of Gardner’s approach to development over Lazarus’ and Gardner said that was because he favors “smart growth,” in which the council approved most development but not projects in flood zones, wetlands or rural areas that lack infrastructure. Lazarus, by contrast, criticized Gardner’s approach and said at his campaign launch that he wouldn’t let groups opposed to building “shut down” development.

O’Leary said the county doesn’t have “this toxic, volatile relationship” between developers and groups like hers that want stricter building codes.

“Yeah there’s some difference in policy, but that’s okay, it’s about making some steps forward,” she said. “We often get labeled as the anti-development group. We’re not...we want to do it smart.”

O’Leary is hopeful that with Gardner at the helm, the council will move forward on additional restrictions that keep new building out of wetland areas, which she said are essential to reducing flooding because wetlands naturally store stormwater.

Donald Smith, a Conway-based political operative who ran Gardner’s campaign, said stopping development is “ridiculous” and that Gardner is not “anti-development” but that he knew developers would raise tons of money to beat him. Both he and O’Leary called on developers to work with Gardner and the council to find common ground.

“We knew that mark was going to be spending a ridiculous amount of money,” Smith said. “It’s disturbing to me that the developers feel that big of a disconnect.”

“Some people felt like if we can get somebody in there who we can control we might have a better shot of being able to run free,” Smith added. “I really don’t think they were thinking logically because this is an entirely different council.”

Hardee, for his part, said he liked both Gardner and Lazarus and gave money to both men.

“I think Johnny will be fair,” he said.

What about Interstate 73?

What will become of Interstate 73, the long-planned, never-built highway that would connect the Grand Strand to Interstate 95?

Gardner on Tuesday framed his victory as “I-73 vs. local roads” with spending on local roads winning. Lazarus, when he was chairman, pushed forward a plan to spend hospitality fee money on I-73 construction, and secured a contract with the South Carolina Department of Transportation to do so.

Gardner, when he took office, scuttled that contract and ultimately settled a resulting lawsuit between the county and cities. Some hospitality money is still set aside for I-73, and Gardner said he supports I-73, but only if the state and federal governments chip in first.

And at this point, getting that funding will be an uphill battle. U.S. Rep. Tom Rice, who lost re-election to state Rep. Russell Fry, was one of I-73’s chief boosters and had worked in Washington D.C. to secure grants and permits for the project. Gov. Henry McMaster, too, supports the project but state lawmakers this year declined his request to jumpstart construction with $300 million in spending.

Hardee said Gardner “needs to be educated” on why local spending on I-73 is a good idea, but trusts he’ll “listen” to those ideas.

“I think I-73 is something that’s sorely needed from an economic development standpoint. We need that road to get out of here,” he said. “We’re the only resort area in this country that doesn’t have an interstate. We got left out for decades because we lacked political power.”

Gardner on Tuesday said I-73 will get built, he just doesn’t know when.

“We’ll get I-73,” he said. “We just have to get the federal government to pay for it.”