Reference is to the bill as introduced.
Amend the bill, as and if amended, by deleting all before and after the enacting words and inserting:
/ SECTION 1. Chapter 1, Title 41 of the 1976 Code is amended by adding:
"Section 41-1-120.
(A) Notwithstanding another provision
of law, a written agreement between a nonprofit youth sports
organization and a coach which specifies that the coach is an
independent contractor and not an employee of the nonprofit
youth sports organization and also which otherwise satisfies the
requirements of this subsection constitutes conclusive evidence
that the relationship between the nonprofit youth sports
organization and the coach is that of an independent contractor
relationship rather than an employment relationship for the
purposes of this section, and that the nonprofit youth sports
organization consequently is not obligated to:
(1)
secure compensation for the coach pursuant to the workers'
compensation law;
(2)
secure unemployment insurance coverage for the coach
according to the provisions of this chapter; and
(3)
withhold federal and state income taxes from money paid to
the coach for services he provides to the organization pursuant
to the contract.
(B) A written agreement
provided in subsection (A) must contain a conspicuously located
disclosure appearing in bold-faced, underlined, or large type.
This agreement must be acknowledged by the parties as indicated
by their signatures, initials, or other means to evince that the
parties have read and understand the disclosure. This disclosure
clearly must state that the coach is:
(1)
an independent contractor and not an employee of the
nonprofit youth sports organization;
(2)
not entitled to workers' compensation benefits or
unemployment benefits in connection with his or her contract
with the nonprofit youth sports organization; and
(3)
obligated to pay federal and state income tax on any money
paid pursuant to the contract for coaching services, and that as
a consequence the nonprofit youth sports organization will not
withhold any amounts from the coach for purposes of satisfying
the coach's income tax liability.
(C) A written agreement
between a nonprofit youth sports organization and a coach formed
pursuant to this subsection may not, in and of itself, be
construed as conclusive evidence that an independent contractor
relationship exists for purposes of any civil action instituted
by a third party.
(D) As used in this
section, 'nonprofit youth sports organization' means an
organization that is exempt from federal taxation under Section
501(c)(3) of the Internal Revenue Code of 1986, as amended, and
is primarily engaged in conducting organized sports programs for
persons under twenty-one years of age."
SECTION 2. This act takes effect upon approval by the Governor. /
Renumber sections to conform.
Amend title to conform.
/ TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 41-1-120 SO AS TO PROVIDE THAT CERTAIN WRITTEN AGREEMENTS BETWEEN NONPROFIT YOUTH SPORTS ORGANIZATIONS AND COACHES PROVIDE CONCLUSIVE EVIDENCE THAT THE COACH IS AN INDEPENDENT CONTRACTOR RATHER THAN AN EMPLOYEE OF THE ORGANIZATION AND THAT THE ORGANIZATION IS EXEMPT FROM CERTAIN OBLIGATIONS CONCERNING WORKERS' COMPENSATION COVERAGE, UNEMPLOYMENT INSURANCE COVERAGE, AND INCOME TAX WITHHOLDINGS, TO PROVIDE SPECIFIC REQUIREMENTS FOR THESE WRITTEN AGREEMENTS, TO PROVIDE THESE WRITTEN AGREEMENTS ARE NOT CONCLUSIVE PROOF OF THE EXISTENCE OF AN INDEPENDENT CONTRACTOR RELATIONSHIP FOR PURPOSES OF ANY CIVIL ACTIONS INSTITUTED BY THIRD PARTIES, AND TO DEFINE THE TERM "NONPROFIT YOUTH SPORTS ORGANIZATION". /