South Carolina General Assembly
108th Session, 1989-1990
Journal of the Senate

SATURDAY, MAY 26, 1990

Saturday, May 26, 1990
(Statewide Session)

Indicates Matter Stricken
Indicates New Matter

The Senate assembled at 10:00 A.M., the hour to which it stood adjourned and was called to order by the PRESIDENT.

A quorum being present the proceedings were opened with a devotion by the Chaplain as follows:

Beloved, hear the Word of the Lord as recorded in the Book of Ezekiel (12:2):

"Son of man, you dwell in the midst

of a rebellious house,

Who have eyes to see, but see not,

Who have ears to hear, but hear not;"
Let us pray.

O God, our Father, who hast made all things and made them well, we thank Thee for sleep by night and for work to do in the daytime.

We thank Thee, Lord,

For hands to labor and for feet to carry us where we will,

For eyes to see and ears to hear;

For brains to think... and plan;

For memories to recall, and for hearts to love; and

For friends to share our days.

We thank Thee, Lord,

For those to whom this day we will go for advice, and

For those on whose wisdom and experience we will draw to help us do our work,

For all who will help us solve our problems,

For those whose friendship every day gives us strength, and whose loyalty gives a glow to our lives.

Give us grace, each day, to pray; that we shall, today, be such a friend to our colleagues... in Jesus' Name.

Amen.

The PRESIDENT called for Petitions, Memorials, Presentments of Grand Juries and such like papers.

AMENDED, DEBATE INTERRUPTED
H. 4800
GENERAL APPROPRIATION BILL

The Senate proceeded to a consideration of the Bill. The question being the third reading of the Bill.

Senator WILLIAMS proposed the following Amendment No. 376 (Doc. No. 1708o), which was adopted:

Amend the bill, as and if amended, Part II, Section 19, by inserting the following sentence at the end of item (6A) of Section 35-1-20 of the 1976 Code as contained on page 744:

/The persons and entities excluded from the definition of "investment advisor" under item (6) of this section are also excluded from the definition of "investment advisor representative" under this item (6A)./

Amend the bill further, as and if amended, in Part II, Section 19, by striking /bond/ as contained in Section 35-1-510 of the 1976 Code on line 24 of page 745 in the lefthand column and inserting /registration/; by striking /two/ on line 27 of page 745 in the lefthand column and inserting /three/.

Amend title to conform.

Senator WADDELL argued in favor of the adoption of the amendment.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Leave Of Absence

Senator MARTSCHINK requested and was granted a leave of absence from 12:00 Noon today until 2:00 P.M. on Monday, May 28, 1990.

Senators POPE, O'DELL, HOLLAND, MULLINAX, BRYAN and LAND proposed the following Amendment No. 377 (Doc. No. 2075X), which was tabled:

Amend the bill, as and if amended, Part II, Section 19, page 745, left hand column, by striking item (5) which begins on line 5 and inserting:

/(5)   Section 35-1-480 of the 1976 Code is amended to read:

"Section 35-1-480.   Every applicant for initial or renewal registration shall pay the following filing fees:

(1)   Broker-dealer               $400.00

(2)   Agent                           $100.00

(3)   Investment Advisor     $400.00

(4)   Investment Advisor Representative $100.00

When the application is denied or withdrawn, the filing fee must not be refunded.

One-half of the fees must be deposited to the account of the Local Government Division of the Budget and Control Board."/

Renumber sections to conform.

Amend totals and title to conform.

Senator MULLINAX argued in favor of the adoption of the amendment.

Senator MULLINAX moved that the amendment be adopted.

Senator LEVENTIS moved to lay the amendment on the table.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Giese                     Gilbert                   Hayes
Hinds                     Leatherman                Lee
Leventis                  Lindsay                   Martschink
McConnell                 Moore                     Passailaigue
Peeler                    Shealy                    Smith, H.C.
Smith, J.V.               Stilwell                  Waddell

Total--18

NAYS

Bryan                     Drummond                  Fielding
Helmly                    Land                      Long
Macaulay                  McGill                    Mullinax
O'Dell                    Pope                      Thomas

Total--12

The amendment was laid on the table.

Statement By Senator NELL W. SMITH

I did not vote on Amendment No. 377 due to a conflict of interest which I feel exists in this issue.

Senators MARTSCHINK, PASSAILAIGUE and GIESE proposed the following Amendment No. 133A (Doc. No. 3917R), which was adopted:

Amend the bill, as and if amended, Part II, Section 42, Page 0756, Proviso . by:

Deleting the proviso in its entirety.

Amend sections, totals and title to conform.

Senator WADDELL spoke on the amendment.

Senator NELL W. SMITH spoke in favor of the amendment.

Senator WILLIAMS spoke on the amendment.

Senator MARTSCHINK argued in favor of the adoption of the amendment.

Senator LINDSAY spoke on the amendment.

Senator SHEALY argued in favor of the adoption of the amendment.

Senator MACAULAY spoke on the amendment.

Point Of Personal Privilege

Senator FIELDING rose to a Point of Personal Privilege.

Senator McCONNELL spoke on the amendment.

Senator HOLLAND spoke on the amendment.

OBJECTION

Senator LAND asked unanimous consent to make a motion to take up Amendment No. 392 for immediate consideration.

Senator MOORE objected.

The question was the adoption of the amendment.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Bryan                     Drummond                  Fielding
Giese                     Gilbert                   Hayes
Hinds                     Hinson                    Holland
Leatherman                Lee                       Lindsay
Long                      Martschink                McGill
Moore                     Mullinax                  O'Dell
Passailaigue              Peeler                    Pope
Russell                   Shealy                    Smith, H.C.
Smith, J.V.               Smith, N.W.               Stilwell
Thomas                    Williams                  Wilson

Total--30

NAYS

Helmly                    Land                      Leventis
Macaulay                  Matthews                  McConnell
Patterson                 Waddell                   

Total--8

The amendment was adopted.

Statement By Senators McCONNELL, WADDELL,
LEVENTIS, HELMLY And MACAULAY

Although the child care tax credit is laudatory and needs favorable consideration, it will cost over 1.3 million which we do not have. To spend this now will necessitate a tax increase unless a subsequent budget cut is made. No such budget cut appears to be forthcoming. We must have the courage and integrity to say no even when we want to say yes if revenue increases are to be avoided.

Senator MULLINAX proposed the following Amendment No. 402 (Doc. No. 2025X), which was tabled:

Amend the bill, as and if amended, Part II, Section 43, page 0756, left column, line 11, by striking /FIFTY/ and inserting /FIFTY-FIVE/ and on lines 20 and 30 by striking /fifty/ and inserting /fifty-five/ and on line 32 by striking /fifteen/ and inserting /twenty/.

Amend sections, totals and title to conform.

Senator MULLINAX explained the amendment.

Senator LINDSAY moved to lay the amendment on the table.

The amendment was laid on the table.

Senator McCONNELL proposed the following previously carried over Amendment No. 348 (Doc. No. 4054R), which was printed in the Journal of May 24, 1990, and adopted:

Amend the bill, as and if amended, Part II, Section 47, Page 0756, Proviso . by:

Deleting the proviso in its entirety.

Amend sections, totals and title to conform.

Senator McCONNELL explained the amendment.

Senator SHEALY argued in favor of the adoption of the amendment.

Senator MOORE argued contra to the adoption of the amendment.

Senator DRUMMOND argued in favor of the adoption of the amendment.

The amendment was adopted.

Statement By Senator MOORE

I wish the Journal of the Senate to reflect that I voted to table the foregoing amendment (#348) and voted against its adoption. The adoption of this amendment tends to confirm media reporting of the errant opinion of some individuals that the amendment portrays internal favoritism by the General Assembly.

I found the consideration and debate on this amendment to be particularly obnoxious in that it suggested that a member or members of this body are self-serving.

I chose not to mention on the floor that the current Code Commissioner, in November 1989, had recommended for himself and other staff of the Legislative Council raises of $5,000 each. The reason I chose not to do so, even though I believe his recommendation to have been earnest and well founded, is because to have mentioned this could have made his request appear self-serving.

It is my understanding that the Council deferred action on this request to be able to comprehend the actions in the General Appropriation Act before any changes.

The current salary established for the position of Code Commissioner is $75,238. If that salary were to be increased by the suggested $5,000 and then have applied to it the 4.5% increase contemplated by the Bill before us, it would yield an annual salary of $83,848, which is $971 more than the salary fixed for Circuit Court Judges for FY 1990-91.

Senator LONG proposed the following Amendment No. 1 (Doc. No. 0812X), which was tabled:

Amend the bill, as and if amended, Part II, Permanent Provisions, by adding a new section, appropriately numbered, to read:

/SECTION .

TO AMEND SECTION 12-37-250, AS AMENDED, OF THE 1976 CODE, RELATING TO THE HOMESTEAD EXEMPTION, SO AS TO INCREASE THE EXEMPTION FROM TWENTY TO THIRTY THOUSAND DOLLARS.

A. The first paragraph of Section 12-37-250 of the 1976 Code, as last amended by Act 108 of 1989, is further amended to read:

"The first thirty thousand dollars of the fair market value of the dwelling place of a person is exempt from county, municipal, school, and special assessment real estate property taxes when the person has been a resident of this State for at least one year and has reached the age of sixty-five years on or before December thirty-first, the person has been classified as totally and permanently disabled by a state or federal agency having the function of classifying persons, or the person is legally blind as defined in Section 43-25-20, preceding the tax year in which the exemption is claimed and holds complete fee simple title or a life estate to the dwelling place. A person claiming to be totally and permanently disabled, but who has not been classified by one of the agencies, may apply to the State Agency of Vocational Rehabilitation. The agency shall make an evaluation of the person using its own standards. The exemption includes the dwelling place when jointly owned in complete fee simple or life estate by husband and wife, and either has reached sixty-five years of age, or is totally and permanently disabled, or legally blind under this section, before January first of the tax year in which the exemption is claimed, and either has been a resident of the State for one year. The exemption must not be granted for the tax year in which it is claimed unless the person or his agent makes written application for the exemption before July sixteenth of that tax year. If the person or his agent makes written application for the exemption after July fifteenth, the exemption must not be granted except for the succeeding tax year for a person qualifying under this section when the application is made. The application for the exemption must be made to the auditor of the county and to the governing body of the municipality in which the dwelling place is located upon forms provided by the county and municipality and approved by the Comptroller General, and a failure to apply constitutes a waiver of the exemption for that year. Beginning with tax year 1979 the auditor, as directed by the Comptroller General, shall notify the municipality of all applications for a homestead exemption within the municipality and the information necessary to calculate the amount of the exemption. 'Dwelling place' means the permanent home and legal residence of the applicant."

B.   This section is effective for tax years beginning after 1989./

Renumber sections to conform.

Amend totals and title to conform.

Senator LONG moved that the amendment be adopted.

Senator WADDELL moved to lay the amendment on the table.

The amendment was laid on the table.

Recorded Vote

Senator POPE desired to be recorded as voting against the motion to table the amendment.

Senator LONG proposed the following Amendment No. 288 (Doc. No. 1983X), which was tabled:

Amend the bill, as and if amended, Part II, (PERMANENT PROVISIONS), by adding an appropriately numbered section to read:

/SECTION

TO AMEND ACT 1377 OF 1968, AS AMENDED, RELATING TO THE ISSUANCE OF CAPITAL IMPROVEMENT BONDS, SO AS TO AUTHORIZE THE ISSUANCE OF ADDITIONAL BONDS FOR THE COMMISSION ON AGING, AND TO INCREASE THE MAXIMUM AGGREGATE PRINCIPAL INDEBTEDNESS OF THE STATE.

A.   Item (f) of Section 3 of Act 1377 of 1968, as last amended by Section 30, Part II, Act 189 of 1989, is further amended by adding:

"Commission on Aging

Horry Senior Citizens Center           $800,000

Total, Commission on Aging             $800,000

TOTAL, ALL AGENCIES                 $800,000"

B.   Section 4 of Act 1377 of 1968, as last amended by Act 638 of 1988, is further amended to read:

/Section 4. The aggregate principal indebtedness on account of bonds issued pursuant to this act may not exceed $1,452,777,531.29. The limitation imposed by the provisions of this section does not apply to bonds issued on behalf of the Mental Health Commission as provided in Act 151 of 1983 and Acts 1272 and 1276 of 1970, as amended, or to bonds issued on behalf of the Commission on Mental Retardation as provided in Article , Chapter 21, Title 44 of the 1976 Code. The limitation imposed by the provisions of this section is not considered to be an obligation of the contract made between the State and holders of bonds issued pursuant to this act, and the limitation imposed by the provisions of this section may be enlarged by acts amending it or reduced by the application of the Capital Reserve Fund or by amendments of this act. Within these limitations state capital improvement bonds may be issued under the conditions prescribed by this act./

Renumber sections to conform.

Amend totals and title to conform.

Senator LONG argued in favor of the adoption of the amendment and Senator WADDELL argued contra.

Senator LONG moved that the amendment be adopted.

Senator WADDELL moved to lay the amendment on the table.

The amendment was laid on the table.

Senators PASSAILAIGUE and McCONNELL proposed the following Amendment No. 315A (Doc. No. 2091X), which was withdrawn:

Amend the bill, as and if amended, Part II, Permanent Provisions, by adding an appropriately numbered section to read:

/SECTION

TO AMEND THE 1976 CODE BY ADDING SECTION 12-7-238 SO AS TO EXEMPT FROM STATE INCOME TAX RESIDENT INDIVIDUALS WHO HAVE ATTAINED THE AGE OF SIXTY-FIVE YEARS, TO PHASE IN THE EXEMPTION OVER FIVE YEARS, TO PROVIDE FOR ALLOCATION OF INCOME BETWEEN CERTAIN SPOUSES FOR PURPOSES OF THE EXEMPTION, AND TO PROVIDE THAT THE SOUTH CAROLINA TAX COMMISSION SHALL PRESCRIBE THE METHOD OF ALLOCATION.

Article 3, Chapter 7, Title 12 of the 1976 Code is amended by adding:

"Section 12-7-238.   The South Carolina taxable income of a resident individual who has attained the age of sixty-five years is exempt from the tax imposed pursuant to Section 12-7-210 beginning with the taxable year in which he attains the age of sixty-five years as follows:

(1)   for taxable years beginning in 1991, twenty percent of taxable income is exempt;

(2)   for taxable years beginning in 1992, forty percent of taxable income is exempt;

(3)   for taxable years beginning in 1993, sixty percent of taxable income is exempt;

(4)   for taxable years beginning in 1994, eighty percent of the taxable income is exempt;

(5)   for taxable years beginning after 1994, one hundred percent of taxable income is exempt.

The South Carolina taxable income of a married individual eligible for this exemption who files a joint federal income tax return with a spouse who is not eligible for the exemption must be allocated between the spouses and only that South Carolina taxable income attributable to the eligible spouse is eligible for the exemption. The commission shall prescribe the method of allocation."/

Renumber sections to conform.

Amend totals and title to conform.

Senator PASSAILAIGUE argued in favor of the adoption of the amendment.

On motion of Senator PASSAILAIGUE, with unanimous consent, the amendment was withdrawn.

Senators WADDELL and LINDSAY proposed the following Amendment No. 350 (Doc. No. 2054X), which was adopted:

Amend the bill, as and if amended, Part II, by adding an appropriately numbered section to read:

/SECTION

TO AMEND ACT 97 OF 1989, RELATING TO LICENSING AND REGULATION OF CONTINUING CARE RETIREMENT COMMUNITIES, SO AS TO CHANGE THE EFFECTIVE DATE FROM JULY 1, 1990, TO JULY 1, 1991.

Section 2 of Act 97 of 1989 is amended to read:

"Section 2.   This act takes effect July 1, 1991."/

Renumber sections to conform.

Amend totals and title to conform.

Senator WADDELL argued in favor of the adoption of the amendment.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Senators MACAULAY and PEELER proposed the following Amendment No. 364 (Doc. No. 1968X), which was tabled:

Amend the bill, as and if amended, Part II, Section __, Page __, Proviso __ . __ by:

ADDING THE FOLLOWING:

/SECTION

TO PROVIDE THAT MEMBERS OF THE GENERAL ASSEMBLY SHALL RECEIVE ALL OF THEIR LEGISLATIVE COMPENSATION ON THE DAY FOLLOWING SINE DIE ADJOURNMENT AND TO PROVIDE FOR THE PAYMENT OF LEGISLATIVE COMPENSATION TO A MEMBER WHO SERVES AN UNEXPIRED TERM.

A.   Members of the General Assembly shall receive, in one payment, all of the amount appropriated for their compensation on the day following sine die adjournment of the General Assembly.

B.   Any member who serves an unexpired term shall receive the same legislative compensation as other members for each legislative day he serves, not to exceed forty days.

C.   The provisions of this section are effective January 1, 1991./

Amend sections, totals and title to conform.

Senator MACAULAY argued in favor of the adoption of the amendment.

Senator MACAULAY moved that the amendment be adopted.

Senator LINDSAY moved to lay the amendment on the table.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Bryan                     Fielding                  Giese
Gilbert                   Hayes                     Helmly
Hinds                     Hinson                    Holland
Leatherman                Leventis                  Lindsay
Long                      Martschink                Matthews
McConnell                 McGill                    Moore
Mullinax                  O'Dell                    Passailaigue
Patterson                 Russell                   Setzler
Shealy                    Smith, H.C.               Smith, N.W.
Stilwell                  Thomas                    Waddell
Williams                  

Total--31

NAYS

Lee                       Macaulay                  Peeler
Pope                      Wilson                    

Total--5

The amendment was laid on the table.

OBJECTION

Senator BRYAN asked unanimous consent to make a motion that those Senators who voted "No" on the motion to table Amendment No. 364 be granted leave to receive their payment of legislative compensation in one lump-sum payment on the day following Sine Die adjournment.

Senator LEVENTIS objected.

Senators POPE, O'DELL, MACAULAY and THOMAS proposed the following previously carried over Amendment No. 368A (Doc. No. 1751o), printed in the Journal of May 25, 1990, which was adopted.

Senator POPE argued in favor of the adoption of the amendment and Senators HINDS and WADDELL argued contra.

Senator WADDELL moved to lay the amendment on the table.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Fielding                  Giese                     Helmly
Hinds                     Leatherman                Leventis
Long                      McConnell                 Passailaigue
Smith, J.V.               Waddell                   

Total--11

NAYS

Bryan                     Gilbert                   Hayes
Hinson                    Holland                   Land
Lindsay                   Macaulay                  Martschink
Matthews                  McGill                    Moore
Mullinax                  O'Dell                    Patterson
Pope                      Russell                   Setzler
Shealy                    Smith, H.C.               Smith, N.W.
Stilwell                  Thomas                    Williams
Wilson                    

Total--25

The Senate refused to table the amendment.

Senator POPE moved that the amendment be adopted.

Senator LEVENTIS argued contra to the adoption of the amendment.

The amendment was adopted.

Senators WADDELL and GIESE proposed the following carried over Amendment No. 370-A (Doc. No. 2076X), previously printed in the Journal of May 25, 1990, which was withdrawn.

Senator WADDELL argued in favor of the adoption of the amendment.

Point Of Order

Senator PASSAILAIGUE raised a Point of Order that the amendment was out of order inasmuch as it was violative of Section 11-11-440 of the South Carolina Code of Laws, 1976, as amended, which prohibits "any general tax increase ... or new general taxes in the permanent provisions of the State General Appropriation Act" and further provides "such general tax increases or new general taxes must be enacted only by separate act."

Senator WADDELL spoke on the Point of Order.

Senator GIESE spoke on the Point of Order.

Senator PASSAILAIGUE spoke on the Point of Order.

On motion of Senator WADDELL, with unanimous consent, the amendment was withdrawn.

Statement By Senator PASSAILAIGUE

I raised a Point of Order on the retirement exclusion initiative by Senators Waddell and Giese because it changed dramatically the existing tax on individuals who retire before age 62. Of course, this would be a tax increase on thousands of people.

Also, the amendment had not gone through the Committee process, and has been repeatedly stated by Senator Waddell, "it is bad business to write permanent law on the floor of the Senate." This circumvents the Committee process; denies retirees input; gives no room from proper amendments, if necessary; and voids three readings in both Houses.

Further, this amendment does not take effect until 1991. If it is a good idea (and elements of the amendment are meritorious), then there will be ample time next year to deal with this and other retiree proposals.

Finally, Senator Waddell stated that this may be good public relations in view of the recent lawsuit decision on federal retirees. This amendment is prospective and has nothing to do with the issue of an unconstitutional taking of taxes paid since 1945. It is a slap in the face of federal retirees to say a $200 million unconstitutional taking of money on a certain class of taxpayers equivocates to a $3.7 million possible tax break for every pension recipient of the State.

OBJECTION

Senator HOLLAND asked unanimous consent to make a motion to take up Amendment No. 406 for immediate consideration.

Senator WADDELL objected.

Senator MULLINAX proposed the following Amendment No. 374 (Doc. No. 1677o), which was adopted:

Amend the bill, as and if amended, Part II, by adding an appropriated numbered SECTION to read:

/SECTION

TO AMEND THE 1976 CODE BY ADDING SECTION 4-9-34 SO AS TO AUTHORIZE THE CREATION OF A SPECIAL TAX DISTRICT, PROVIDE FOR ITS PURPOSES, AND DEFINE TERMS.

The 1976 Code is amended by adding:

"Section 4-9-34.   (A)   A special tax district may be created in the entire unincorporated area of a county by the governing body of that county, without the holding of a referendum or the submission to the governing body of a petition, for the purpose of providing one or more of the services which by law the governing body may provide to the area. After its creation, general obligation debt may be issued for the district, without the holding of a referendum or the submission to the governing body of a petition. Following notice and hearing required by law, the governing body of a county may impose and levy ad valorem taxes upon taxable property in the district including, but not limited to, taxes required to retire general obligation bonds issued to provide services.

(B)   With respect to a special taxing district created in the entire unincorporated area of a county before this section's effective date for the purpose of providing one or more of the services which the governing body of the county may provide by law, the governing body, following notice and hearing required by law and without the holding of a referendum or the submission of a petition to the governing body, may impose and levy ad valorem taxes on taxable property in the district and issue general obligation debt for it.

(C)   For purposes of this section, the 'entire unincorporated area of a county' includes the entire area within the boundaries of a county, except:

(1)   areas within the boundaries of incorporated municipalities;

(2)   areas within the boundaries of a special purpose district which may provide the services for which the special taxing district is created."/

Renumber sections to conform.

Amend title to conform.

Point Of Order

Senator GIESE raised a Point of Order that the amendment was out of order inasmuch as it was not germane to the Bill.

Senator McCONNELL spoke on the Point of Order.

Senator MULLINAX spoke on the Point of Order.

The PRESIDENT overruled the Point of Order.

Senator GIESE argued contra to the adoption of the amendment and Senator MULLINAX argued in favor.

Senator SHEALY spoke on the Bill.

Senator MULLINAX moved that the amendment be adopted.

The amendment was adopted.

RECESS

At 2:08 P.M., on motion of Senator WADDELL, the Senate receded from business subject to the Call of the Chair.

At 2:35 P.M., the Senate resumed.

Senators ROSE and McCONNELL proposed the following Amendment No. 383 (Doc. No. 2083X), which was tabled:

Amend the bill, as and if amended, Part II, by:

ADDING/INSERTING THE FOLLOWING:

/SECTION

TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 59-101-350 SO AS TO PROHIBIT THE EXPENDITURE OF APPROPRIATED OR OTHER FUNDS BY PUBLIC INSTITUTIONS OF HIGHER LEARNING UNLESS THE BOARDS OF TRUSTEES OF THESE INSTITUTIONS ESTABLISH ANNUALLY WRITTEN LIMITATIONS ON THE SPENDING OF PUBLIC FUNDS AND TO PROVIDE FOR A VIOLATION OF THIS SECTION.

A. The 1976 Code is amended by adding:

"Section 59-101-350. After December 31, 1990, no funds appropriated annually by the General Assembly or funds otherwise available to public institutions of higher learning in this State may be expended unless the board of trustees of each public institution of higher learning establishes annually, in advance and in accordance with state law, written limitations on the maximum compensation of, and the spending of public funds by, the president and every other employee of the institution. These limitations on expenditures shall take the form of: (1) limits applicable to various categories of expenditures and (2) limits applicable to various categories of institution employees. These limitations must be furnished annually to the General Assembly, along with a report of any violation of any applicable spending or compensation limitation during the preceding year. Compensation within the meaning of this section includes all funds appropriated by the General Assembly and all other funds obtained with use of state owned facilities, equipment or supplies. Public funds within the meaning of this section includes all discretionary or foundation funds and all money obtained with the use of state owned facilities, equipment or supplies, including funds derived in whole or in part from athletic or other student activities or from the operation of state owned canteens and bookstores, and any interest thereon. Any employee who exceeds a written limitation on compensation or spending established pursuant to this provision is personally liable for the amount of the expenditure or compensation in excess of the amount allowed."

B.   This section takes effect July 1, 1990./

Amend sections, totals and title to conform.

Senator ROSE argued in favor of the adoption of the amendment and Senator MOORE argued contra.

Senator ROSE moved that the amendment be adopted.

Senator MOORE moved to lay the amendment on the table.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Bryan                     Courson                   Fielding
Giese                     Gilbert                   Helmly
Hinds                     Hinson                    Holland
Land                      Leatherman                Lee
Lindsay                   Long                      Martin
Matthews                  McGill                    McLeod
Moore                     Mullinax                  O'Dell
Passailaigue              Patterson                 Pope
Russell                   Saleeby                   Setzler
Shealy                    Smith, H.C.               Smith, J.V.
Smith, N.W.               Waddell                   Williams

Total--33

NAYS

Macaulay                  Martschink                McConnell
Peeler                    Rose                      Stilwell
Thomas                    Wilson                    

Total--8

The amendment was laid on the table.

Statement By Senator WADDELL

Our State faces a problem of deteriorating and substandard schools that will take over one billion dollars to solve. I have worked with the Governor and the Chairman of the Senate Education Committee to develop an innovative and workable approach to begin to address this problem. That approach uses a state bond pool to provide grants to local school districts on a matching basis, and a loan pool to assist local districts in meeting their match. Money for this idea and language endorsing the concept was included in the House Appropriation Bill.

A small number of Senators is apparently willing to filibuster the Appropriation Act in order to defeat this creative idea. Since we are rapidly running out of time to complete the budget Bill, I have reluctantly agreed to withdraw the school building proposal from Part II so that we will not have to sit through hours of fruitless debate. I am disappointed that the Senate will not have an opportunity to vote on this proposal today, and I am sure that we will have that opportunity early in the next session.

Senators LEATHERMAN, WADDELL and McCONNELL proposed the following carried over Amendment No. 141 (Doc. No. 3924R), printed in the Journal of May 25, 1990, which was adopted.

Senator WADDELL argued in favor of the adoption of the amendment.

Senators COURSON, PASSAILAIGUE and SETZLER spoke on the amendment.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Statement By Senator PASSAILAIGUE

I readily concur with Senator Waddell that we have a significant problem with school building needs, including new construction and repairs. The idea advanced in the Appropriation Act is meritorious. However, it is a significant change in financing (over 1/2 billion dollars) that requires hearings, committee work and input from all concerned. This will insure the best possible Bill in a deliberative manner; not a Bill flawed and tacked on the budget with only one reading.

Senators RUSSELL, THOMAS, LEE, COURSON, POPE, McLEOD, STILWELL, HORACE C. SMITH, LEVENTIS and WILSON proposed the following Amendment No. 385A (Doc. No. 2068X), which was adopted:

Amend the bill, as and if amended, Part II, PERMANENT PROVISIONS, by adding the following appropriately numbered section:

/SECTION

TO AMEND SECTION 44-56-210 OF THE 1976 CODE, RELATING TO THE ASSIGNMENT OF FULL-TIME HEALTH INSPECTORS UNDER THE SOUTH CAROLINA HAZARDOUS WASTE MANAGEMENT ACT, SO AS TO REDUCE THE NUMBER OF INSPECTORS FROM TWO TO ONE, TO CONSOLIDATE DUTIES, AND TO PROVIDE FOR THE COLLECTION OF THE REQUIRED ASSESSMENTS FROM THE SITE OWNER OR OPERATOR.

Section 44-56-210 of the 1976 Code is amended to read:

"Section 44-56-210.   The Department of Health and Environmental Control shall assign one full-time health inspector to serve at each commercial hazardous waste treatment, storage, and disposal facility located in South Carolina for the purpose of assuring the protection of the health and safety of the public by monitoring the receipt and handling of hazardous waste at these sites. The inspector shall monitor treatment and storage facilities and shall monitor secure land fill facilities.

The department shall implement assessments to cover the costs of implementing this inspection program and the assessments must be collected from the site owner or operator."/

Amend title to conform.

Senator RUSSELL argued in favor of the adoption of the amendment.

Senator GIESE moved that the amendment be adopted.

The amendment was adopted.

Senator LEATHERMAN proposed the following Amendment No. 397 (Doc. No. 0833I), which was adopted:

Amend the bill, as and if amended, Part II, Page 766, by adding a new Section to read as follows:

/SECTION

TO AMEND TITLE 12, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO TAXATION BY ADDING CHAPTER 36 SO AS TO ENACT THE SOUTH CAROLINA SALES AND USE TAX ACT, TO AMEND TITLE 6, RELATING TO LOCAL GOVERNMENT PROVISIONS, BY ADDING CHAPTER 4, SO AS TO PROVIDE FOR THE ALLOCATION OF ACCOMMODATIONS TAX REVENUES, TO AMEND CHAPTER 31, TITLE 59, RELATING TO STATE AID FOR SCHOOLS, BY ADDING ARTICLE 9 SO AS TO PROVIDE FOR THE DISTRIBUTION OF SALES, USE, AND CASUAL EXCISE TAXES FOR SCHOOLS, AND TO REPEAL CHAPTER 35, TITLE 12, RELATING TO SALES, USE, ACCOMMODATIONS, AND CASUAL EXCISE TAXES.

A.   Title 12 of the 1976 Code is amended by adding:

"CHAPTER 36
The South Carolina Sales and Use Tax Act

Article 1
Citation and Definitions

Section 12-36-5.   This chapter may be cited as the South Carolina Sales and Use Tax Act.

Section 12-36-10.   The words, terms, and phrases defined in this article have the meaning provided, except when the context clearly indicates a different meaning.

Section 12-36-20.   'Business' includes all activities, with the object of gain, profit, benefit, or advantage, either direct or indirect. Subactivities of a business which produce marketable commodities, used or consumed in the business, are taxable transactions.

Section 12-36-30.   'Person' includes any individual, firm, partnership, association, corporation, receiver, trustee, any group or combination acting as a unit, the State, any state agency, any instrumentality, authority, political subdivision, or municipality.

Section 12-36-40.   'Taxpayer' means any person liable for taxes under this chapter.

Section 12-36-50.   'In this State' and 'in the State' mean the area within the borders of the State of South Carolina, including all territories within the borders owned by or ceded to the United States of America.

Section 12-36-60.   'Tangible personal property' means personal property which may be seen, weighed, measured, felt, touched, or which is in any other manner perceptible to the senses. It also includes services and intangibles, including communications, laundry and related services, furnishing of accommodations and sales of electricity, the sale or use of which is subject to tax under this chapter and does not include stocks, notes, bonds, mortgages, or other evidences of debt.

Section 12-36-70.   'Retailer' and 'seller' include every person:

(1)   (a)   selling or auctioning tangible personal property whether owned by the person or others;

(b)   furnishing accommodations to transients for a consideration, except an individual furnishing accommodations of less than six sleeping rooms within a single building, which is the individual's place of abode;

(c)   renting, leasing, or otherwise furnishing tangible personal property for a consideration;

(d)   operating a laundry, cleaning, dyeing, or pressing establishment for a consideration;

(e)   selling electric power or energy;

(f)   selling or furnishing the ways or means for the transmission of the voice or of messages between persons in this State for a consideration. A person engaged in the business of selling or furnishing the ways or means for the transmission of the voice or messages as used in this subitem (f) is not considered a processor or manufacturer;

(2)   (a)   maintaining a place of business or qualifying to do business in this State; or

(b)   not maintaining an office or location in this State but soliciting business by direct or indirect representatives, manufacturers' agents, distribution of catalogs, or other advertising matter or by any other means, and by reason thereof receives orders for tangible personal property or for storage, use, consumption, or distribution in this State.

The commission, when necessary for the efficient administration of this chapter, may treat any salesman, representative, trucker, peddler, or canvasser as the agent of the dealer, distributor, supervisor, employer, or other person under whom they operate or from whom they obtain the tangible personal property sold by them, regardless of whether they are making sales on their own behalf or on behalf of the dealer, distributor, supervisor, employer, or other person. The commission may also treat the dealer, distributor, supervisor, employer, or other person as a retailer for purposes of this chapter.

Section 12-36-80.   'Retailer maintaining a place of business in this State', or any similar term, includes any retailer having or maintaining within this State, directly or by a subsidiary, an office, distribution house, sales house, warehouse or other place of business, or any agent operating within this State under the authority of the retailer or its subsidiary, regardless of whether the business or agent is located here permanently or temporarily or whether the retailer or subsidiary is admitted to do business within this State.

Section 12-36-90.   'Gross proceeds of sales', or any similar term, means the value proceeding or accruing from the sale, lease, or rental of tangible personal property.

(1)   The term includes:

(a)   the proceeds from the sale of property sold on consignment by the taxpayer;

(b)   the proceeds from the sale of tangible personal property without any deduction for:

(i)   the cost of goods sold;

(ii)   the cost of materials, labor, or service;

(iii)   interest paid;

(iv) losses;

(v) transportation costs;

(vi) manufacturer's or importer's excise taxes imposed by the United States; or

(vii) any other expenses.

(c)   the fair market value of tangible personal property previously purchased at wholesale which is withdrawn from the business or stock and used or consumed in connection with the business or used or consumed by any person withdrawing it, except for:

(i)   withdrawal of tangible personal property previously withdrawn and taxed by such business or person;

(ii)   tangible personal property which becomes an ingredient or component part of tangible personal property manufactured or compounded for sale;

(iii)   tangible personal property replacing defective parts under written warranty contracts if:

(A)   the warranty contract is given without charge, at the time of original purchase of the defective property,

(B)   the tax was paid on the sale of the defective part or on the sale of the property of which the defective part was a component, and

(C)   the warrantee is not charged for any labor or materials;

(iv)   an automobile furnished without charge to a high school for use solely in student driver training programs;

(v)   a new motor vehicle used by a dealer as a demonstrator.

(2)   The term does not include:

(a)   a cash discount allowed and taken on sales;

(b)   the sales price of property returned by customers when the full sales price is refunded in cash or by credit;

(c)   the value allowed for secondhand property transferred to the vendor as a trade-in;

(d) the amount of any tax imposed by the United States with respect to retail sales, whether imposed upon the retailer or the consumer, except for manufacturer's or importer's excise taxes.

Section 12-36-100.   'Sale' and 'purchase' mean any transfer, exchange, or barter, conditional or otherwise, of tangible personal property for a consideration including:

(1)   a transaction in which possession of tangible personal property is transferred but the seller retains title as security for payment, including installment and credit sales;

(2)   a rental, lease, or other form of agreement;

(3)   a license to use or consume; and

(4)   a transfer of title or possession, or both.

Section 12-36-110.   'Sale at retail' and 'retail sale' mean all sales of tangible personal property except those defined as wholesale sales. The quantity or sales price of goods sold is immaterial in determining if a sale is at retail.

(1)   The terms include:

(a)   sales of building materials to construction contractors, builders, or landowners for resale or use in the form of real estate;

(b)   sales of tangible personal property to manufacturers, processors, compounders, quarry operators, or mine operators, which are used or consumed by them, and do not become an ingredient or component part of the tangible personal property manufactured, processed, or compounded for sale;

(c)   the withdrawal, use, or consumption of tangible personal property by anyone who purchases it at wholesale, except:

(i)   withdrawal of tangible personal property previously withdrawn and taxed by such business or person,

(ii)   tangible personal property which becomes an ingredient or component part of tangible personal property manufactured or compounded for sale,

(iii)   tangible personal property used directly in manufacturing, compounding, or processing tangible personal property for sale,

(iv)   materials, containers, cores, labels, sacks, or bags used incident to the sale and delivery of tangible personal property;

(d)   the use within this State of tangible personal property by its manufacturer as building materials in the performance of a construction contract. The manufacturer must pay the sales tax based on the fair market value at the time and place where used or consumed;

(e)   sales to contractors for use in the performance of construction contracts;

(f)   sales to contractors purchasing property for their own account for use in the performance of construction contracts with the United States or its instrumentalities;

(g)   sales of tangible personal property, other than cigarettes and soft drinks in closed containers, to vendors who sell the property through vending machines. The vendors are deemed to be the users or consumers of the property;

(h)   sales of prepared meals, or unprepared food products used to prepare meals, to hospitals, infirmaries, sanitariums, nursing homes, and similar institutions, educational institutions, boarding houses, and transportation companies, if furnished as part of the service rendered. These institutions and companies are deemed to be the users or consumers of the property;

(i)   sales of drugs, prosthetic devices, and other supplies to hospitals, infirmaries, sanitariums, nursing homes, and similar institutions, medical doctors, dentists, optometrists, and veterinarians, if furnished to their patients as a part of the service rendered. These institutions, companies, and professionals are deemed to be the users or consumers of the property;

(j)   sales, not otherwise exempted, when reimbursed or paid in whole or in part by Medicare or Medicaid. However, only the net amount reimbursed by Medicare and Medicaid is subject to the tax, if the vendor is prohibited by law from charging the purchaser the difference between the retail sale and the amount reimbursed.

(2)   The terms do not include sales of tangible personal property to a manufacturer or construction contractor when the tangible personal property is subsequently processed, partially or completely fabricated, or manufactured in this State by the manufacturer or contractor, for use in the performance of a construction contract if the property is transported to, assembled, installed, or erected at a job site outside the State and thereafter used solely outside the State.

Section 12-36-120.   'Wholesale sale' and 'sale at wholesale' mean a sale of:

(1)   tangible personal property to licensed retail merchants, jobbers, dealers, or wholesalers for resale, and do not include sales to users or consumers;

(2)   tangible personal property to a manufacturer or compounder as an ingredient or component part of the tangible personal property or products manufactured or compounded for sale;

(3)   tangible personal property used directly in manufacturing, compounding, or processing tangible personal property into products for sale;

(4)   materials, containers, cores, labels, sacks, or bags used incident to the sale and delivery of tangible personal property.

Section 12-36-130.   'Sales price' means the total amount for which tangible personal property is sold, without any deduction for the cost of the property sold, the cost of the materials used, labor or service cost, interest paid, losses, or any other expenses.

(1)   The term includes:

(a)   any services or transportation costs that are a part of the sale, whether paid in money or otherwise; and

(b)   any manufacturer's or importer's excise tax imposed by the United States.

(2)   The term does not include:

(a)   a cash discount allowed and taken on the sale;

(b)   an amount charged for property, which is returned by the purchaser, and the full amount is refunded in cash or by credit;

(c)   the value allowed for secondhand property transferred to the vendor in partial payment; and

(d)   the amount of any tax imposed by the United States with respect to retail sales, whether imposed upon the retailer or consumer, except for manufacturer's or importer's excise taxes.

Section 12-36-140.   (A)   'Storage' includes any keeping or retaining in this State, for any purpose except sale in the regular course of business or subsequent use solely outside this State, of tangible personal property purchased at retail.

(B)   'Use' includes the exercise of any right or power over tangible personal property incident to the ownership of that property, or by any transaction in which possession is given; but it does not include the sale of that property in the regular course of business.

(C)   'Storage' and 'use' do not include the keeping, retaining, or exercising of any right or power over tangible personal property:

(1)   for the exclusive purpose of subsequently transporting it outside the State for first use, or

(2)   for the purpose of first being manufactured, processed, or compounded into other tangible personal property to be transported and used solely outside the State.

Section 12-36-150.   'Transient construction property' means motor vehicles, machines, machinery, tools, or other equipment, other tangible personal property brought, imported, or caused to be brought into this State for use, or stored for use, in constructing, building, or repairing any building, highway, street, sidewalk, bridge, culvert, sewer or water system, drainage or dredging system, railway system, reservoir or dam, power plant, pipeline, transmission line, tower, dock, wharf, excavation, grading or other improvement or structure, or any part of it.

Article 5
Retail License

Section 12-36-510.   (A)   Before engaging in business, every retailer must obtain a retail license for each branch, establishment, or agency and pay a license tax at the time of application as follows:

(1)   fifty dollars for each retail sales location in this State. Every retailer as defined in this chapter not maintaining an office or location in this State shall obtain one retail license.

(2)   twenty dollars for artists and craftsmen selling at arts and crafts shows or festivals products they have created or assembled.

(B)   Any retailer making retail sales in this State, for less than thirty-one consecutive days, may obtain a temporary retail license. The temporary license tax is fifty dollars. The temporary license must state the expiration date.

(C)   A license is not required of:

(1)   persons selling at flea markets or conducting a yard sale not more than once a quarter, unless they make retail sales at flea markets or yard sales as a regular business;

(2)   organizations conducting concession sales at festivals if the gross proceeds of the sales are exempt from sales tax pursuant to Section 12-36-2120(39);

(3)   persons furnishing accommodations to transients for one week or less in any calendar quarter; but accommodations taxes must be remitted annually, on forms prescribed by the commission, by April 15 of the following year. This item (3) does not apply to rental agencies or persons having more than one rental unit.

Section 12-36-520.   Before doing business in this State or receiving a retail license, retailers subject to the license requirements of this article not having a permanent retail sales location may be required to make a cash deposit or post bond. The bond, determined by the commission, must be equal to at least the retailer's annual sales tax liability.

Section 12-36-530.   Retailers, after closing or selling a business, must return the retail license to the commission for cancellation and remit any unpaid or accrued taxes. The commission may refuse to issue a new retail license to any person who has failed to comply with the provisions of this section.

In the case of sale of any business the tax is considered to be due at the time of the sale of the fixtures and equipment incident to the business and constitutes a lien against the stock of goods and the fixtures and equipment in the hands of the purchaser, or any other third party, until the tax is paid. The commission may not issue a retail license to continue or conduct the business to the purchaser until all taxes due the State have been settled and paid.

Section 12-36-540.   The application for the retail license must show the name and address and other information the commission may require for each retail sales location. The commission shall issue a separate license to each retail sales location.

Section 12-36-550.   The license provided for in this article:

(1)   is valid so long as the person to whom it is issued continues in the same business, unless revoked by the commission;

(2)   must at all times be conspicuously displayed at the place for which it was issued;

(3)   is not transferable or assignable.

Article 9
Sales Tax

Section 12-36-910.   (A)   A sales tax, equal to five percent of the gross proceeds of sales, is imposed upon every person engaged or continuing within this State in the business of selling tangible personal property at retail.

(B)   The sales tax also applies to the:

(1)   gross proceeds accruing or proceeding from the business of providing or furnishing any laundering, dry cleaning, dyeing, or pressing service, but does not apply to the gross proceeds derived from coin-operated laundromats and dry cleaning machines;

(2)   gross proceeds accruing or proceeding from the sale of electricity;

(3)   gross proceeds accruing or proceeding from the charges for the ways or means for the transmission of the voice or messages, including the charges for use of equipment furnished by the seller or supplier of the ways or means for the transmission of the voice or messages;

(4)   fair market value of tangible personal property manufactured within this State, and used or consumed within this State by the manufacturer.

Section 12-36-920.   (A)   A sales tax equal to seven percent is imposed on the gross proceeds derived from the rental or charges for any rooms, campground spaces, lodgings, or accommodations furnished to transients by any hotel, inn, tourist court, tourist camp, motel, campground, residence, or any place in which rooms, lodgings, or accommodations are furnished to transients for a consideration. This tax does not apply where the facilities consist of less than six sleeping rooms, contained in a single building, which is used as the individual's place of abode. The gross proceeds derived from the lease or rental of accommodations supplied to the same person for a period of ninety continuous days are not considered proceeds from transients.

(B)   The tax imposed in subsection (A) is at the rate of five percent with respect to meals and other special items in promotion tourist packages and the rental of meeting rooms.

(C)   Real estate agents, brokers, corporations, or listing services required to remit taxes under this section shall notify the commission if rental property, previously listed by them, is dropped from their listings.

(D)   When any business is subject to the sales tax on accommodations and the business has more than one place of business in the State, the licensee shall report separately in his sales tax return the total gross proceeds derived from business done within and without the corporate limits of municipalities. A taxpayer who owns or manages rental units in more than one county or municipality shall report separately in his sales tax return the total gross proceeds from business done in each county or municipality.

Section 12-36-930.   (A)   The tax imposed by this article on sales of motor vehicles, as defined in Section 56-1-10, trailers, semitrailers, or pole trailers of a type to be registered and licensed, to a resident of another state, is the lesser of:

(1)   an amount equal to the sales tax, which would be imposed in the purchaser's state of residence, or

(2)   the tax that would be imposed under this article.

(B)   At the time of the sale, the seller shall:

(1)   obtain from the purchaser a notarized statement of the purchaser's intent to license the vehicle, within ten days, in the purchaser's state of residence; and

(2)   retain a signed copy of the notarized statement. The purchaser shall give a copy to the sales tax agency of the purchaser's state of residence.

(C)   No tax is due if a nonresident will not receive credit in his state of residence for sales tax paid to this State under this section.

Section 12-36-940.   Every retailer may add to the sales price:

(1)   no amount on sales of ten cents or less;

(2)   one cent on sales of eleven cents and over, but not in excess of twenty cents;

(3)   two cents on sales of twenty-one cents and over, but not in excess of forty cents;

(4)   three cents on sales of forty-one cents and over, but not in excess of sixty cents;

(5)   four cents on sales of sixty-one cents and over, but not in excess of eighty cents;

(6)   five cents on sales of eighty-one cents and over, but not in excess of one dollar;

(7)   one cent additional for each twenty cents or major fraction thereon in excess of one dollar.
The inability, impracticability, refusal, or failure to add these amounts to the sales price and collect from the purchaser does not relieve the taxpayer from the tax levied by this article.

Section 12-36-950.   It is presumed that all gross proceeds are subject to the tax, until the contrary is established. The burden of proof that the sale of tangible personal property is not a sale at retail is on the seller.

However, if a resale certificate is received from the purchaser stating that the property is purchased for resale, the burden of proof that the sale was at retail is on the commission. If the commission finds that a sale was not for resale, the seller remains liable for the tax.

Article 13
Use Tax

Section 12-36-1310.   (A)   A use tax is imposed on the storage, use, or other consumption in this State of tangible personal property purchased at retail for storage, use, or other consumption in this State, at the rate of five percent of the sales price of the property, regardless of whether the retailer is or is not engaged in business in this State.

(B)   The use tax imposed by this article also applies to the:

(1)   gross proceeds accruing or proceeding from the business of providing or furnishing any laundering, dry cleaning, dyeing, or pressing service, but does not apply to the gross proceeds derived from coin operated laundromats and dry cleaning machines;

(2)   gross proceeds accruing or proceeding from the sale of electricity;

(3)   gross proceeds accruing or proceeding from the charges for the ways or means for the transmission of the voice or messages, including the charges for use of equipment furnished by the seller or supplier of the ways or means for the transmission of the voice or messages;

(4)   fair market value of tangible personal property brought into this State, by the manufacturer thereof, for storage, use, or consumption in this State by the manufacturer.

(C)   When a taxpayer is liable for the use tax imposed by this section on tangible personal property purchased in another state, upon which a sales or use tax was due and paid in the other state, the amount of the sales or use tax due and paid in the other state is allowed as a credit against the use tax due this State, upon proof of payment of the sales or use tax. The provisions of this section do not apply if the state in which the property was purchased does not allow substantially similar tax credits for tangible personal property purchased in this State. If the amount of the sales or use tax paid in the other state is less than the amount of use tax imposed by this article, the user shall pay the difference to the commission.

Section 12-36-1320.   (A)   A use tax at the rate of five percent is imposed on the storage, use, or other consumption in this State of transient construction property, as defined by Section 12-36-150.

(B)   The owner, or if the property is leased, the lessee, of transient construction property is liable for the use tax.

(C)   The tax is computed as follows:

(1)   divide the length of time the property will be used in this State by the total useful life of the property;

(2)   multiply the result from (1) above by the sales price of the property;

(3)   multiply the amount in (2) above by five percent. The result of the computation is the tax due.

The useful life of transient construction property must be determined by the commission in accordance with the experience and practices of the building and construction trade. In the absence of satisfactory evidence as to the period of use intended in this State, it is presumed that the property will remain in this State for the remainder of its useful life.

(D)   A prorated amount of the sales and use tax legally due and paid to another state on transient construction property is allowed as a credit, but only if the other state grants substantially similar tax credits on the property purchased in South Carolina. The prorated tax credit is computed as follows:

(1)   divide the length of time the property was used in the other state by the total useful life of the property;

(2)   multiply the result from (1) above by the state sales tax legally due and paid the other state;

(3)   the lesser of the result from (2) above or the tax computed in subsection (C) is the prorated credit amount.

(E)   If the state in which the property was previously used does not prorate its use tax on, or depreciate the value for use tax purposes of, transient construction property used by South Carolina contractors operating in that state, the use tax, at five percent of the sales price, applies.

(F)   Transient construction property purchased and substantially used in another state is not subject to the use tax if the owner of the property uses it to construct or repair his own buildings, structures, or other property located in this State.

(G)   The use, storage, or consumption of the property, when purchased for use in this State, is subject to the full amount of use tax provided in Section 12-36-1310(A), regardless of the period of intended use in this State.

(H)   The tax is due immediately upon transient construction property being brought into this State.

Section 12-36-1330.   (A)   Every person storing, using, or otherwise consuming in this State tangible personal property purchased at retail, is liable for the use tax, until the tax is paid to the State.

(B)   A receipt from a retailer:

(1)   maintaining a place of business in this State, or

(2)   authorized by the commission to collect the use tax, is sufficient to relieve the purchaser from further liability for tax to which the receipt refers.

(C)   For the purposes of this chapter, a retailer authorized by the commission to collect the use tax is regarded as a retailer maintaining a place of business in this State.

Section 12-36-1340.   Every seller making retail sales of tangible personal property for storage, use, or other consumption in this State who:

(1)   maintains a place of business;

(2)   qualifies to do business;

(3)   solicits and receives purchases or orders by an agent or salesman; or

(4)   distributes catalogs, or other advertising matter, and by reason thereof receives and accepts orders from residents within the State;
Shall collect and remit the tax in accordance with this chapter.

Section 12-36-1350.   (A)   Every seller making sales of tangible personal property for storage, use, or other consumption in this State, not otherwise exempted, shall at the time of making the sales or, if the storage, use, or consumption is not then taxable, at the time the storage, use, or other consumption is taxable, collect the use tax from the purchaser and give to the purchaser a receipt showing the amount subject to the tax and the amount of tax collected.

(B)   The seller shall not advertise or state, in any manner, that the use tax, or any part of it:

(1)   will be assumed or absorbed by the seller;

(2)   will not be added to the selling price; or

(3)   will be refunded.

(C)   The tax required in this article to be collected by the seller constitutes a debt owed by the seller to this State.

Section 12-36-1360.   Every person liable for the use tax under Section 12-36-1330(A) who has not paid the tax due to a seller required or authorized to collect the tax, must file a return and remit the tax to the State, in accordance with this chapter.

Section 12-36-1370.   (A)   It is presumed that tangible personal property sold by any person for delivery in this State is sold for storage, use, or other consumption in this State, unless the seller takes from the purchaser a certificate, signed by and bearing the name and address of the purchaser, to the effect that the purchase was for resale.

(B)   It is also presumed that tangible personal property received in this State by its purchaser was purchased for storage, use, or other consumption in this State.

Article 17
Casual Excise Tax

Section 12-36-1710.   (A)   In addition to all other fees prescribed by law there is imposed an excise tax for the issuance of every certificate of title, or other proof of ownership, for every motor vehicle, motorcycle, boat, motor, or airplane, required to be registered, titled, or licensed. The tax is five percent of the fair market value of the motor vehicle, motorcycle, airplane, boat, and motor.

(B)   Excluded from the tax are:

(1)   motor vehicles, motorcycles, boats, motors, or airplanes:

(a)   transferred to members of the immediate family;

(b)   transferred to a legal heir, legatee, or distributee;

(c)   transferred from an individual to a partnership upon formation of a partnership, or from a stockholder to a corporation upon formation of a corporation;

(d)   transferred to a motor vehicle or motorcycle dealer licensed under Section 56-3-2310 for the purpose of resale;

(e)   transferred to a financial institution for the purpose of resale;

(f)   transferred as a result of repossession to any other secured party, for the purpose of resale;

(2)   the fair market value of a motor vehicle, motorcycle, boat, motor, or airplane, transferred to the seller or secured party in partial payment;

(3)   gross proceeds of transfers of motor vehicles, motorcycles, or airplanes specifically exempted by Section 12-36-2120 from the sales or use tax;

(4)   motor vehicles, motorcycles, boats, motors, or airplanes, where a sales or use tax has been paid on the transaction necessitating the transfer.

(C)   'Fair market value' means the total purchase price less any trade-in, or the valuation shown in a national publication of used values adopted by the commission, less any trade-in.

(D)   'Total purchase price' means the price of a motor vehicle, motorcycle, boat, motor, or airplane agreed upon by the buyer and seller with an allowance for a trade-in, if applicable.

(E)   'Immediate family' means spouse, parents, children, sisters, brothers, grandparents, and grandchildren.

(F)   The commission shall require every applicant for a certificate of title to supply information it considers necessary as to the time of purchase, the purchase price, and other information relative to the determination of fair market value. If the excise tax is based upon total purchase price as defined in this section, the commission shall require a submission of a bill of sale, sworn to before a notary public, certified to be a true bill of sale.

(G)   The South Carolina Department of Highways and Public Transportation and the Aeronautics Commission may not issue a license or transfer of title without first procuring from the commission information showing that the excise tax has been collected. The Department of Wildlife and Marine Resources may not license any boat or register any motor without first procuring from the commission information showing that the excise tax has been collected.

Section 12-36-1720.   The excise tax applies only to the last sale before the application for title.

Article 21
Maximum Tax and Exemptions

Section 12-36-2110.   (A)   The maximum tax imposed by this chapter is three hundred dollars for each sale made after June 30 1984, or lease executed after August 31, 1985, of each:

(1)   aircraft, including unassembled aircraft which is to be assembled by the purchaser, but not items to be added to the unassembled aircraft;

(2)   motor vehicle;

(3)   motorcycle;

(4)   boat;

(5)   trailer or semitrailer, pulled by a truck tractor, as defined in Section 56-3-20, but not including house trailers or campers as defined in Section 56-3-710;

(6)   recreational vehicle, including tent campers, travel trailer, park model, park trailer, motor home, and fifth wheel; or

(7)   self-propelled light construction equipment with compatible attachments limited to a maximum of one hundred sixty net engine horsepower.

In the case of a lease, the total tax rate required by law applies on each payment until the total tax paid equals three hundred dollars. Nothing in this section prohibits a taxpayer from paying the total tax due at the time of execution of the lease, or with any payment under the lease. To qualify for the tax limitation provided by this section, a lease must specifically state the term of, and remain in force for, a period in excess of ninety continuous days.

(B)   For the sale of a mobile home, as defined in Section 31-17-20, the tax is calculated as follows:

(1)   subtract trade-in allowance from the sales price;

(2)   multiply the result from (1) by sixty-five percent;

(3)   If the result from (2) is no greater than six thousand dollars, multiply by five percent. This is the amount of the tax due.

(4)   If the result from (2) is greater than six thousand dollars, the tax due is three hundred dollars plus one percent of the amount greater than six thousand dollars.

(C)   For the sale of each musical instrument, or each piece of office equipment, purchased by a religious organization exempt under Internal Revenue Code Section 501(c)(3), the maximum tax imposed by this chapter is three hundred dollars. The musical instrument or office equipment must be located on church property and used exclusively for the organization's exempt purpose. The religious organization must furnish to the seller an affidavit on forms prescribed by the commission. The affidavit must be retained by the seller.

Section 12-36-2120.   Exempted from the taxes imposed by this chapter are the gross proceeds of sales, or sales price of:

(1)   tangible personal property or receipts of any business which the State is prohibited from taxing by the Constitution or laws of the United States of America or by the Constitution or laws of this State;

(2)   tangible personal property sold to the federal government;

(3)   textbooks, magazines, and periodicals used as a part of a course of study in primary and secondary schools and institutions of higher learning, and all books, magazines, and periodicals sold to publicly supported state, county, or regional libraries which are open to the public without charge;

(4)   livestock. 'Livestock' is defined as domesticated animals customarily raised on South Carolina farms for use primarily as beasts of burden, or food, and certain mammals when raised for their pelts or fur. Animals such as dogs, cats, reptiles, fowls (except baby chicks and poults), and animals of a wild nature, are not considered livestock;

(5)   feed used for the production and maintenance of poultry and livestock;

(6)   insecticides, chemicals, fertilizers, soil conditioners, seeds, or seedlings, or nursery stock, used solely in the production for sale of farm, dairy, grove, vineyard, or garden products or in the cultivation of poultry or livestock feed;

(7)   containers and labels used in:

(a)   preparing agricultural, dairy, grove, or garden products for sale; or

(b)   preparing turpentine gum, gum spirits of turpentine, and gum resin for sale.
For purposes of this exemption, containers mean boxes, crates, bags, bagging, ties, barrels, and other containers;

(8)   newsprint paper, newspapers, and religious publications, including the Holy Bible and the South Carolina Department of Agriculture's The Market Bulletin;

(9)   coal, or coke or other fuel sold to manufacturers, electric power companies, and transportation companies for:

(a)   use or consumption in the production of by-products,

(b)   the generation of heat or power used in manufacturing tangible personal property for sale,

(c)   the generation of electric power or energy for use in manufacturing tangible personal property for sale, or

(d)   the generation of motive power for transportation. For the purposes of this item, 'manufacturer' or 'manufacturing' includes the activities of mining and quarrying;

(10)   (a)   meals or foodstuffs used in furnishing meals to school children, if the sales or use are within school buildings and are not for profit,

(b)   meals or foodstuffs provided to elderly or disabled persons at home by nonprofit organizations that receive only charitable contributions in addition to sale proceeds from the meals;

(11)   (a)   toll charges for the transmission of voice or messages between telephone exchanges,

(b)   charges for telegraph messages, and

(c)   carrier access charges and customer access line charges established by the Federal Communications Commission or the South Carolina Public Service Commission;

(12)   water sold by public utilities, if rates and charges are determined by the Public Service Commission, or water sold by nonprofit corporations organized pursuant to Sections 33-35-10 to 33-35-170;

(13)   fuel, lubricants, and supplies for use or consumption aboard ships in intercoastal trade or foreign commerce. This exemption does not exempt or exclude from the tax the sale of materials and supplies used in fulfilling a contract for the painting, repair, or reconditioning of ships and other watercraft;

(14)   wrapping paper, wrapping twine, paper bags, and containers, used incident to the sale and delivery of tangible personal property;

(15)   gasoline or other motor vehicle fuels taxed at the same rate as gasoline, fuel ethanol blends, as defined in Section 12-27-430(2), and fuels used in farm machinery, farm tractors, and commercial fishing vessels. Gasoline used in aircraft is not exempted by this item;

(16)   farm machinery and their replacement parts and attachments, used in planting, cultivating or harvesting farm crops, including bulk coolers (farm dairy tanks) used in the production and preservation of milk on dairy farms, and machines used in the production of poultry and poultry products on poultry farms, when such products are sold in the original state of production or preparation for sale. This exemption does not include automobiles or trucks;

(17)   machines used in manufacturing, processing, compounding, mining, or quarrying tangible personal property for sale. 'Machines' include the parts of machines, attachments, and replacements used, or manufactured for use, on or in the operation of the machines and which are necessary to the operation of the machines and are customarily so used. This exemption does not include automobiles or trucks;

(18)   fuel used exclusively to cure agricultural products;

(19)   electricity used by manufacturers, miners, or quarriers to manufacture, mine, or quarry tangible personal property for sale;

(20)   railroad cars, locomotives, and their parts, monorail cars, and the engines or motors that propel them, and their parts;

(21)   vessels and barges of more than fifty tons burden;

(22)   materials necessary to assemble missiles to be used by the Armed Forces of the United States;

(23)   farm, grove, vineyard, and garden products, if sold in the original state of production or preparation for sale, when sold by the producer or by members of the producer's immediate family;

(24)   supplies and machinery used by laundries, cleaning, dyeing, or pressing establishments in the direct performance of their primary function, but not sales of supplies and machinery used by coin-operated laundromats;

(25)   motor vehicles (excluding trucks) or motorcycles, which are required to be licensed to be used on the highways, sold to a resident of another state, but who is located in South Carolina by reason of orders of the United States Armed Forces. This exemption is allowed only if, within ten days of the sale, the vendor is furnished a statement, from a commissioned officer of the Armed Forces of a higher rank than the purchaser, certifying that the buyer is a member of the Armed Forces on active duty, and a resident of another state.

(26)   all supplies, technical equipment, machinery, and electricity sold to radio and television stations, and cable television systems, for use in producing, broadcasting, or distributing programs;

(27)   all plants and animals sold to any publicly supported zoological park or garden or to any of its nonprofit support corporations;

(28)   medicine and prosthetic devices sold by prescription; hypodermic needles, insulin, alcohol swabs, and blood sugar testing strips sold to diabetics under the authorization and direction of a physician; and dental prosthetic devices;

(29)   merchandise sold by canteens operated by the South Carolina Department of Corrections;

(30)   office supplies, or other commodities, and services resold by the Division of General Services of the State Budget and Control Board to departments and agencies of the state government, if the tax was paid on the division's original purchase;

(31)   vacation time sharing lease plans as provided by Chapter 32 of Title 27;

(32)   natural and liquefied petroleum gas used exclusively in the production of poultry;

(33)   electricity, natural gas, fuel oil, kerosene, LP gas, coal, or any other combustible heating material or substance used for residential purposes. Individual sales of kerosene of twenty gallons or less by retailers are considered used for residential heating purposes;

(34)   thirty-five percent of the gross proceeds of the sale of modular homes as defined in Section 31-17-20;

(35)   motion picture film sold or rented to or by theaters;

(36)   tangible personal property where the seller, by contract of sale, is obligated to deliver to the buyer, or to an agent or donee of the buyer, at a point outside this State or to deliver it to a carrier or to the mails for transportation to the buyer, or to an agent or donee of the buyer, at a point outside this State;

(37)   petroleum asphalt products, commonly used in paving, purchased in this State, which are transported and consumed out of this State;

(38)   hearing aids, as defined by Section 40-25-20(5);

(39)   concession sales at a festival by an organization devoted exclusively to public or charitable purposes, if:

(a)   all the net proceeds are used for those purposes;

(b)   the festival is listed as a special event in the calendar of events provided by the South Carolina Department of Parks, Recreation and Tourism; and

(c)   in advance of the festival, its organizers provide the commission, on a form it prescribes, information necessary to insure compliance with this item.
For purposes of this item, a 'festival' does not include a recognized state or county fair;

(40)   containers and chassis, including all parts, components, and attachments, sold to international shipping lines which have a contractual relationship with the South Carolina State Ports Authority and which are used in the import or export of goods to and from this State. The exemption allowed by this item is effective for sales after June 30, 1982;

(41)   items sold by organizations exempt under Section 12-37-220 A(3) and (4) and B(5), (6), (7), (8), (12), (16), (19), (22), and (24), if the net proceeds are used exclusively for exempt purposes and no benefit inures to any individual. An organization whose sales are exempted by this item is also exempt from the retail license tax provided in Article 5 of this chapter. The exemption allowed by this item is effective for sales after June 30, 1989;

(42)   depreciable assets, used in the operation of a business, pursuant to the sale of the business. This exemption only applies when the entire business is sold by the owner of it, pursuant to a written contract and the purchaser continues operation of the business. The exemption allowed by this item is effective for sales after June 30, 1987.

Section 12-36-2130.   Exempted from the use tax imposed by Article 13 of this chapter are the sales prices of:

(1)   property the gross proceeds of sales of which are required to be included in the measure of the tax imposed by the provisions of Article 5 of this chapter and on which the tax has been paid by its seller or retailer.

(2)   tangible personal property and exhibition rentals purchased or leased from sources outside this State by charitable, eleemosynary, or governmental organizations operating museums if the property purchased or leases entered into are directly related to museum purposes.

Article 25
General Provisions

Section 12-36-2510.   Notwithstanding other provisions of this chapter, when, in the opinion of the commission, the nature of a taxpayer's business renders it impracticable for the taxpayer to account for the sales or use taxes, as imposed by this chapter, at the time of purchase, the commission may issue its certificate to the taxpayer authorizing the purchase at wholesale and the taxpayer is liable for the taxes imposed by this chapter with respect to the gross proceeds of sale, or sales price, of the property withdrawn, used or consumed by the taxpayer within this State.

Section 12-36-2520.   If the seller delivers tangible personal property to the purchaser in a state other than South Carolina and receives from the purchaser a statement, given under oath, that the property was purchased for storage, use, or consumption outside of South Carolina and that the property will not be returned for storage, use, or consumption in South Carolina, the sales or use tax due on the transactions will be transferred to the purchaser if the statement contains a description of the property, the date of sale, the amount of the purchase price, and the city and state of delivery. The statement must be retained by the seller and, upon request forwarded to the commission. The commission may forward a copy of the statement to the taxing authority of the state of delivery. If the property is subsequently stored, used, or consumed in this State, the purchaser, in addition to the sales or use tax, shall pay a penalty in an amount equal to fifty percent of the tax.

Section 12-36-2530.   The commission may require all retailers in this State making retail sales exempt pursuant to Section 12-36-2120(36) to furnish to the commission copies of all invoices or suitable substitutes containing the name and address of the purchaser, a brief description of the goods sold, and the total amount of the sale regarding each retail sale of five hundred dollars or greater, not aggregated by amount over any period of time, with their monthly returns. Where, pursuant to a retail sale, tangible personal property is delivered in this State to the buyer or to an agent of the buyer other than a carrier, the retail sales tax applies notwithstanding that the buyer may transport subsequently the property out of the State.

Section 12-36-2540.   (A)   Every person engaging in any business, for which a privilege or excise tax is imposed by this chapter, shall keep and preserve suitable records of the business, as considered necessary by the commission, to determine the amount of tax due under this chapter. The taxpayer shall keep and preserve records, such as purchase invoices, for three years. Invoices must bear the name and address of the vendor.

(B)   Any person selling both at wholesale and at retail shall keep books which separately show the gross proceeds of wholesale sales and the gross proceeds of retail sales. If the records are not separately kept, all sales must be considered retail sales.

(C)   Every seller and every person storing, using, or otherwise consuming, in this State, tangible personal property purchased from a retailer shall keep records, receipts, invoices, and other pertinent papers in the form the commission requires.

Section 12-36-2550.   Notwithstanding the provisions of this chapter, the commission may offset overpayments for a period or periods, together with interest on the overpayments, against:

(1) underpayments for another period or periods, and

(2)   penalties and interest on the underpayments.

Section 12-36-2560.   On all sales of retailers made on an installment basis which conform to the provisions of the Uniform Commercial Code in which the retailer takes a security interest, the vendor may elect to include in the return only the portion of the sales price actually received by the retailer during the taxable period or to include the entire sales price in the return for the taxable period during which the sale was consummated. Having once elected either method of reporting the sales, the taxpayer must continue unless and until permission has been received from the commission to make a change. Nothing in this section may be construed to permit delay in reporting sales under other terms of credit or cash sales.

The commission may, for any cause, require a taxpayer to include in his returns the entire sales price of articles sold on an installment basis which conforms to the provisions of the Uniform Commercial Code in which the retailer takes a security interest.

Section 12-36-2570.   (A)   The taxes imposed under the provisions of this chapter, except as otherwise provided, are due and payable in monthly installments on or before the twentieth day of the month following the month in which the tax accrues.

(B)   On or before the twentieth day of each month, every person on whom the taxes under this chapter are imposed shall render to the commission, on a form prescribed by it, a true and correct statement showing, by location, the gross proceeds of wholesale and retail sales of his business, and sales price of the property purchased for storage, use, or consumption in this State, together with other information the commission may require.

(C)   At the time of making a monthly report, the person shall compute the taxes due and pay to the commission the amount of taxes shown to be due. A return is considered to be timely filed if the return is mailed and has a postmark dated on or before the date the return is required by law to be filed.

(D)   The commission may permit the filing of returns every twenty-eight days. These returns must be filed within twenty days following the period covered by the return.

Section 12-36-2580.   When the total tax for which any person is liable under this chapter does not exceed one hundred dollars for any month, a quarterly return and remittance, instead of a monthly return, may be made on or before the twentieth day of the month following the end of the quarter for which the tax is due, when specifically authorized by the commission and under rules and regulations prescribed or promulgated by the commission.

Section 12-36-2590.   The commission, if it considers it necessary, may require returns and payment of the tax for other than monthly periods.

Section 12-36-2600.   (A)   A retailer liable for the tax imposed by Article 9 of this chapter (sales tax) shall pay an estimated monthly tax, for a particular month, if:

(1)   the estimated tax liability for that month exceeds twenty-five thousand dollars; and

(2)   during the previous state fiscal year, the retailer's monthly tax liability exceeded twenty-five thousand dollars a month for any three consecutive months.

(B)   The retailer shall report the estimated tax on or before the twentieth day of such month, on a form prescribed by the commission. At the time of making the report, the retailer shall pay at least fifty percent of the estimated tax liability. The amount of estimated tax paid must be credited against the tax due on the return for the month for which the prepayment was made.

(C)   For failure to follow the provisions of this section, a penalty is imposed and computed as follows:

(1)   compute forty percent of the actual tax liability for the month in question;

(2)   compute fifty percent of the actual tax liability for the same month of the preceding year;

(3)   if the amount paid is less than the amount in both (1) and (2) above, the retailer is subject to a penalty computed as follows:

(a)   subtract the amount of estimated tax paid from the lesser of (C)(1) and (C)(2) above.

(b)   multiply five percent times the number of months, or fraction of a month, the amount computed in (a) above went unpaid. This percentage may not exceed twenty-five percent.

(c)   multiply the amount in (a) by the percentage computed in (b). The result is the penalty due.

Section 12-36-2610.   When a sales or use tax return required by Section 12-36-2570 is filed and the taxes due on it are paid in full on or before the final due date, including any date to which the time for making the return and paying the tax has been extended pursuant to the provisions of Section 12-54-70, the taxpayer is allowed a discount as follows:

(1)   on taxes shown to be due by the return of less than one hundred dollars, three percent;

(2)   on taxes shown to be due by the return of one hundred dollars or more, two percent.

In no case is a discount allowed if the return, or the tax on it is received after the due date, pursuant to Section 12-36-2570, or after the expiration of any extension granted by the commission. The discount permitted a taxpayer under this section may not exceed ten thousand dollars during any one state fiscal year.

Section 12-36-2620.   The taxes imposed by Sections 12-36-910, 12-36-1310, and 12-36-1320 are composed of two taxes as follows:

(1)   a four percent tax, which must be credited as provided in Section 59-21-1010(A), and

(2)   a one percent tax, which must be credited as provided in Section 59-21-1010(B). The one percent tax specified in this item (2) does not apply to sales to an individual eighty-five years of age or older purchasing tangible personal property for his own personal use.

Section 12-36-2630.   The tax imposed by Section 12-36-920 is composed of three taxes as follows:

(1)   a four percent tax which must be credited as provided in Section 59-21-1010(A), and

(2)   a one percent tax, which must be credited as provided in Section 59-21-1010(B). The one percent tax specified in this item (2) does not apply to sales to an individual eighty-five years of age or older purchasing tangible personal property for his own personal use; and

(3)   a two percent local accommodations tax, which must be credited to the political subdivisions of the State in accordance with Chapter 4 of Title 6. The proceeds of this tax, less the commission's actual incremental increase in the cost of administration, must be remitted quarterly to the municipality or the county in which it is collected. The two percent tax provided by this item may not be increased except upon approval of two-thirds of the membership of each House of the General Assembly. However, the tax may be decreased or repealed by a simple majority of the membership of each House of the General Assembly.

The tax imposed by Section 12-36-920 must be billed and paid in a single item listed as 'tax', without itemizing the taxes referred to in this section.

Section 12-36-2640.   The tax imposed by Section 12-36-1710 is composed of two taxes as follows:

(1)   a four percent tax which must be credited to the general fund of the State; and

(2)   a one percent tax which must be credited as provided in Section 59-21-1010(B). The one percent tax specified in this item does not apply to the issuance of certificates of title or other proof of ownership to an individual eighty-five years of age or older titling or registering a motor vehicle, motorcycle, boat, motor, or airplane for his own personal use.

Section 12-36-2650.   The taxes imposed by this chapter are in addition to all other taxes, licenses, and charges."
B.   Title 6 of the 1976 Code is amended by adding:

"CHAPTER 4
Allocation of Accommodations Tax Revenues

Section 6-4-10.   (A)   The funds received by a municipality or a county from the local accommodations tax provided in Section 12-36-2630(3) must be allocated in the following manner:

(1)   The first twenty-five thousand dollars must be allocated to the general fund of the municipality or county and is exempt from all other requirements of this article.

(2)   Twenty-five percent of the remaining balance must be allocated to a special fund and used for advertising and promotion of tourism so as to develop and increase tourist attendance through the generation of publicity. To manage and direct the expenditure of these tourism promotion funds, the municipality or county must select one or more organizations, such as a Chamber of Commerce, Visitor and Convention Bureau, or Regional Tourism Commission, which have an existing, ongoing tourist promotion program or, if no such organization exists, to create an organization with the same membership standard as put forth in subsection (C) of this section. To be eligible for selection the organization must be organized as a nonprofit organization and shall demonstrate to the municipality or county that it has an existing, ongoing tourism promotion program or that it can develop an effective tourism promotion program. Before the beginning of each fiscal year, any organization receiving funds collected pursuant to the provisions of this article from a municipality or county shall submit a budget of planned expenditures. The organization must receive the approval of the municipality or county which distributed the funds before expenditure of the funds. At the end of each fiscal year, any organization receiving funds shall render an accounting of the expenditure of the funds to the municipality or county which distributed them.

(3)   The remaining balance received by a municipality or county must be allocated to a special fund and used for tourism-related expenditures.

'Tourism-related expenditures' include the following types of expenditures: advertising and promotion of tourism so as to develop and increase tourist attendance through the generation of publicity; promotion of the arts and cultural events; construction, maintenance, and operation of facilities for civic and cultural activities including construction and maintenance of access and other nearby roads and utilities for such facilities; the criminal justice system, law enforcement, fire protection, solid waste collection, and health facilities when required to serve tourists and tourist facilities; public facilities such as restrooms, dressing rooms, parks, and parking lots; tourist shuttle transportation; control and repair of waterfront erosion; and operating visitor information centers. In the expenditure of funds, county councils are required to promote tourism and make tourism-related expenditures primarily in the geographical areas of the county in which the proceeds of the tax are collected where it is practical. Any person or political subdivision which determines that the expenditure of accommodations tax proceeds by the county is not substantially in compliance with the provisions of this paragraph may seek relief to obtain compliance in the Court of Common Pleas of the county concerned.

(B)   A municipality or county may issue bonds or enter into other financial obligations or create reserves to secure obligations for the purposes of financing all or a portion of the cost of constructing facilities for civic activities, the arts, and cultural events which fulfill the purpose of this article. The annual debt service of indebtedness incurred to finance such facilities or lease payments for the use of the facilities may be provided from the funds received by a municipality or county from the accommodations tax in an amount not to exceed the amount received by the municipality or county after deduction of the accommodations tax funds dedicated to the general fund and the advertising and promotion fund as provided for in this article. However, none of the revenue received by a municipality or county from the accommodations tax may be used to retire outstanding bonded indebtedness incurred before July 1, 1984.

(C)   A municipality or county receiving revenue from the accommodations tax shall appoint an advisory committee to make recommendations on the expenditure of revenue generated from the accommodations tax. The advisory committee consists of seven members with a majority of the committee members being selected from the hospitality industry of the municipality or county receiving the revenue and, in the case of county advisory committees, from citizens of the area where the majority of the revenue is derived; provided that in a county which receives more in distributions of accommodations taxes as provided in this article than it collects in accommodations taxes, the membership of the county advisory committee in this county must be representative of all areas of the county with a majority of the membership coming from no one area. One member of all advisory committees shall represent the cultural organizations of the municipality or county receiving the revenue.

Section 6-4-20.   For the purposes of this section 'county area' means a county and all municipalities within the geographical boundaries of that county. There is created an account to administer the local accommodations tax. It must be administered by the State Treasurer in the following manner:

(1)   At the end of each fiscal year and before August first a percentage, to be determined by the State Treasurer, must be withheld from those county areas collecting four hundred thousand dollars or more from that amount which exceeds four hundred thousand dollars from the tax authorized by this article and that amount must be distributed to assure that each county area receives a minimum of fifty thousand dollars. The amount withheld from those county areas collecting four hundred thousand dollars or more must be apportioned among the municipalities and the county in the same proportion as those units received quarterly remittances as provided in Section 12-36-2630(3). If the total statewide collections from the local accommodations tax exceeds the statewide collections for the preceding fiscal year then this fifty thousand dollar figure must be increased by a percentage equal to seventy-five percent of the statewide percentage increase in statewide collections for the preceding fiscal year. The difference between the fifty thousand dollars minimum and the actual collections within a county area must be distributed to the eligible units within the county area based on population as determined by the most recent United States census.

(2)   At the end of each fiscal year and before August first, the State Treasurer shall distribute to each county area collecting more than fifty thousand dollars but less than four hundred thousand dollars an additional fifteen thousand dollars. If the total statewide collections from the local accommodations tax exceed the statewide collections for the preceding fiscal year, then this fifteen thousand dollar figure must be increased by a percentage equal to seventy-five percent of the statewide percentage increase in statewide collections for the preceding fiscal year. This amount must be distributed in the same manner as the fifty thousand dollars provided in item (1) of this section. The amount paid those qualified county areas under the provisions of this item must be paid from the account created under the provisions of this section.

(3)   Any amount withheld in excess must be distributed to the county areas whose collections exceed four hundred thousand dollars based on the ratio of the funds available to the collections by each county area.

(4)   Any county areas receiving fifty thousand dollars under the provisions of this section or from the local accommodations tax are excluded from the requirements of Section 6-4-10, except that the fifteen thousand dollars paid to those county areas collecting more than fifty thousand dollars but less than four hundred thousand dollars as provided in item (2) of this section must be allocated to a special fund and used for the purposes as required in Section 6-4-10(A)(2) and (3) and an advisory committee must be appointed as provided in Section 6-4-10(C)."
C.   Chapter 21, Title 59 of the 1976 Code is amended by adding:

"Article 9
Sales Tax Revenues for Schools

Section 59-21-1010.   (A)   The revenue derived from Sections 12-36-2620(1) and 12-36-2630(1) must be remitted to the State Treasurer to be credited to the state public school building fund for the purposes provided for in Article 3 of Chapter 21 of Title 59 and any sum above that amount must be placed to the credit of the general fund of the State and must be used for school purposes only.

(B)   The revenue derived from Sections 12-36-2620(2), 12-36-2630(2), and 12-36-2640(2) must be deposited by the State Treasurer in the South Carolina Education Improvement Act of 1984 Fund as a fund separate and distinct from the general fund of the State. All unappropriated money in this fund and earning on investments from this fund must remain part of the separate fund and must not be deposited in the general fund except as provided for in this section. Money from this fund may be spent only for elementary and secondary school purposes. Any change in the management or use of this fund for other than elementary and secondary education is permitted only by a two-thirds vote provided in this section.

(C)   (1)   Upon implementation of the provisions of this section by law, the law may not be amended or repealed except by special vote provided in this section.

(2)   For purposes of this subsection, a special vote means an affirmative two-thirds vote of the total membership of the Senate and an affirmative two-thirds vote of the total membership of the House of Representatives.

All monies appropriated from the Education Improvement Act of 1984 Fund which are disbursed by the State Department of Education must be appropriated in one division of the section in the annual general appropriations act making appropriations for the State Department of Education.

Section 59-21-1020.   The State Department of Education shall carefully monitor and audit the disbursement of monies from the South Carolina Education Improvement Act Fund. Any line item appropriation not fully expended for any program under the South Carolina Education Improvement Act of 1984 reverts to the fund.

Section 59-21-1030.   Except as provided in this section, school district boards of trustees or any other appropriate governing body of a school district shall maintain at least the level of per pupil financial effort established as provided in fiscal year 1983-84. Beginning in 1985-86, local financial effort for noncapital programs must be adjusted for an inflation factor estimated by the Division of Research and Statistical Services.

Thereafter, school district boards of trustees or other governing bodies of school districts shall maintain at least the level of financial effort per pupil for noncapital programs as in the prior year adjusted for an inflation factor estimated by the Division of Research and Statistical Services. The county auditor shall establish a millage rate so that the level of financial effort per pupil for noncapital programs adjusted for an inflation factor estimated by the Division of Research and Statistical Services is maintained as a minimum effort. No school district which has not complied with this section may receive funds from the South Carolina Education Improvement Act of 1984 Fund. School district boards of trustees may apply for a waiver to the State Board of Education from the requirements of this section if:

(1)   the district has experienced a loss in revenue because of reduction in assessed valuation of property or has had a significant increase in one hundred thirty-five average daily membership;

(2)   the district has experienced insignificant growth in revenue collections from the previous year;

(3)   the district has demonstrated for one year that it has achieved operating efficiencies and all education requirements are being met;

(4)   a midyear revenue shortfall results in a reduction of funds appropriated in accordance with Chapter 20 of Title 59 (The Education Finance Act).
A decline in the measured academic achievement of the students must immediately cause the State Board of Education to void all waivers provided under this section and make the district ineligible to apply for any waivers under this section for two consecutive years. If the decline in student achievement occurs, the district shall revert to the minimum effort requirement, adjusted for the prior year's inflation factor. Waiver (4) does not apply to funds needed to meet the Minimum Salary Schedule for teachers in South Carolina. A school district is eligible for an annual renewal of the waiver provided the district meets one of the above criteria and meets the minimum effort requirement of the previous year and at least the minimum required effort of the Education Finance Act.

Section 59-21-1040.   The compensation and employer contributions of any new personnel employed for the purpose of implementing specific provisions of the South Carolina Education Improvement Act of 1984 must be paid from funds appropriated for that purpose by the General Assembly from funds derived from increased revenue provided for in the Education Improvement Act of 1984 Fund. This may not be construed to preclude any school district from providing additional compensation and employee contributions for the purpose of implementing specific provisions of the South Carolina Education Improvement Act of 1984. School district employees are not entitled to receive any across-the-board pay increases or employer contributions provided for other state employees in the annual general appropriation act unless otherwise authorized by the General Assembly in that act."
D.   Chapter 35 of Title 12 of the 1976 Code is repealed with respect to sales, use, and transfers after June 30, 1990.
E.   The Code Commissioner shall:

(1)   place all appropriate provisions of acts dealing with Chapter 35, Title 12 of the 1976 Code enacted in the 1990 session of the General Assembly in the appropriate part of Chapter 36, Title 12 of the 1976 Code as added by this act and in so doing he shall modify the language of code sections as necessary to implement the intent of the General Assembly;

(2)   eliminate or delete from the chapter added by this act any provision of law the subject matter of which was repealed or eliminated by the General Assembly in the 1990 session;

(3)   amend provisions in the chapter added by this act corresponding to amendments of the sales and use tax laws of this State enacted by the General Assembly during the 1990 session in other acts.

F.   This section takes effect July 1, 1990.

Amend section and title to conform.

Senator LEATHERMAN argued in favor of the adoption of the amendment.

Senator LEATHERMAN moved that the amendment be adopted.

The amendment was adopted.

Senator POPE proposed the following Amendment No. 398 (Doc. No. 0843I), which was tabled:

Amend the bill, as and if amended, Part II, Permanent Provisions, by adding a new section, appropriately numbered to read:

/SECTION

TO AMEND SECTION 12-34-550, AS AMENDED, OF THE 1976 CODE, RELATING TO SALES TAX EXEMPTIONS, SO AS TO REVISE THE EXEMPTION FOR WRAPPING PAPER, TWINE, AND CONTAINERS USED TO DELIVER TANGIBLE PERSONAL PROPERTY.

A. Section 12-35-550(14) of the 1976 Code is amended to read:

"(14) The gross proceeds of the sale of wrapping paper, wrapping twine, paper bags and containers for use incident to the delivery of tangible personal property, provided, however, this exemption shall not apply to any person purchasing such items whose age exceeds by one day the median age of the population of this State as last computed by the Division of Research and Statistics of the Budget and Control Board."

B. This section takes effect July 1, 1990./

Amend sections, totals and title to conform.

Senator POPE argued in favor of the adoption of the amendment.

Point Of Order

Senator MACAULAY raised the Point of Order that the amendment was out of order inasmuch as it was violative of Section 11-11-440 of the South Carolina Code of Laws, 1976, as amended, which prohibits "any general tax increase ... or new general taxes in the permanent provisions of the State General Appropriation Act" and further provides "such general tax increases or new general taxes must be enacted only by separate act."

The PRESIDENT overruled to Point of Order.

Senator WADDELL spoke on the amendment.

Senator POPE moved that the amendment be adopted.

Senator WADDELL moved to lay the amendment on the table.

The amendment was laid on the table.

Senator POPE proposed the following Amendment No. 401 (Doc. No. 0840I), which was adopted:

Amend the Bill, as and if amended, Part II, Section , Page ___, Proviso . by

Adding a new section to read as follows:

/SECTION

TO AMEND SECTION 12-35-550 AS AMENDED OF THE 1976 CODE, RELATING TO EXEMPTION SALES TAX EXEMPTIONS FOR SO AS TO DELETE THE EXEMPTION FOR THE SALE OF SUPPLIES, TECHNICAL EQUIPMENT, AND MACHINERY USED BY RADIO STATIONS, TELEVISION STATIONS AND CABLE TELEVISION SYSTEMS.

A. Section 12-35-550 of the 1976 Code is amended by deleting item (27).

B. This section takes effect July 1, 1990./

Amend title to conform.

Senator POPE argued in favor of the adoption of the amendment.

Senator POPE moved that the amendment be adopted.

Senator WADDELL moved to lay the amendment on the table.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Helmly                    Leatherman                Leventis
Lindsay                   Martschink                McConnell
Passailaigue              Peeler                    Stilwell
Waddell                   Wilson                    

Total--11

NAYS

Bryan                     Courson                   Drummond
Fielding                  Giese                     Gilbert
Hinds                     Hinson                    Holland
Land                      Lee                       Long
Macaulay                  Matthews                  McGill
Moore                     Mullinax                  O'Dell
Patterson                 Pope                      Rose
Russell                   Setzler                   Shealy
Smith, H.C.               Smith, N.W.               Thomas
Williams                  

Total--28

The Senate refused to table the amendment.

The question was the adoption of the amendment.

Senator LEVENTIS argued contra to the adoption of the amendment.

The amendment was adopted.

Senators POPE, O'DELL, HOLLAND, MULLINAX, BRYAN and LAND proposed the following Amendment No. 403 (Doc. No. 0846I), which was tabled:

Amend the bill, as and if amended, Part II, Section 19, page 745, left hand column, by striking item (5) which begins on line 5 and inserting:

/(5) Section 35-1-480 of the 1976 Code is amended to read:

"Section 35-1-480. Every applicant for initial or renewal registration shall pay the following filing fees:

(1) Broker-dealer                             $300.00

(2) Agent                                             $ 75.00

(3) Investment Advisor                     $300.00

(4) Investment Advisor Representative $ 75.00

When the application is denied or withdrawn, the filing fee must not be refunded.

One-half of the fees must be deposited to the account of the Local Government Division of the Budget and Control Board."/

Renumber sections to conform.

Amend totals and title to conform.

Senator POPE argued in favor of the adoption of the amendment.

Senator POPE moved that the amendment be adopted.

Senator GIESE moved to lay the amendment on the table.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Bryan                     Courson                   Drummond
Giese                     Helmly                    Hinds
Holland                   Leatherman                Lee
Leventis                  Lindsay                   Martschink
McConnell                 Moore                     Passailaigue
Peeler                    Rose                      Russell
Setzler                   Shealy                    Smith, H.C.
Stilwell                  Thomas                    Waddell
Williams                  Wilson                    

Total--26

NAYS

Fielding                  Gilbert                   Hinson
Land                      Long                      Macaulay
Matthews                  McGill                    Mullinax
O'Dell                    Patterson                 Pope

Total--12

The amendment was laid on the table.

Statement By Senator NELL W. SMITH

I did not vote on Amendment No. 403 due to a conflict of interest, which I feel exists in this issue.

Motion Adopted

On motion of Senator WADDELL, with unanimous consent, Part II, as amended, was closed to further amendments with the exception of balancing amendments.

THE SENATE PROCEEDED TO A CONSIDERATION OF PART III OF THE GENERAL APPROPRIATION BILL.

Senator SETZLER proposed the following Amendment No. 407 (Doc. No. 1831A), which was adopted:

Amend the bill, as and if amended, Part III, Section 2, Page 766 and 767, Line(s), by:

Striking: Items 2, 3 and 4, and proviso 2.1 And

Inserting: "(2) Department of Education

a. Textbooks                     $2,000,000

b. Testing maintenance     $ 391,000

(3) Department of Health and

Environmental Control

a. CRS Loan Repayment     $ 800,000

b. Equipment                   $ 60,000

(4) Savannah Valley Authority

Hampton Project           $1,325,000

4.1 The Savannah Valley Authority shall expend any appropriated funds designated for the "Hampton Project" at the direction of the Hampton County Industrial Development Commission."

Amend totals and title to conform.

Senator SETZLER argued in favor of the adoption of the amendment.

Senator SETZLER moved that the amendment be adopted.

The amendment was adopted.

Senator BRYAN proposed the following Amendment No. 375 (Doc. No. 4076R), which was tabled:

Amend the bill, as and if amended, by an amendment bearing Document No. 5098W, Part III, after SECTION 5, by striking the new, unnumbered section, as added on pages 12 and 13 by the amendment bearing Document No. 5098W.

Amend sections, totals and title to conform.

Senators BRYAN and PASSAILAIGUE argued in favor of the adoption of the amendment and Senator WADDELL argued contra.

Senator HOLLAND spoke on the amendment.

Senator LINDSAY moved to lay the amendment on the table.

The amendment was laid on the table.

Leave Of Absence

Senator HOLLAND requested and was granted a leave of absence for the remainder of the day.

Senator POPE proposed the following Amendment No. 399 (Doc. No. 0841I), which was ruled out of order:

Amend the Bill, as and if amended, Part III, Section , Page 767, Proviso . by

Adding a new section to be appropriately numbered read:

/SECTION ____. In addition to any other funds appropriated in this act, there is hereby appropriated from the Strategic Highway Plan for Improving Mobility and Safety Fund as established in Article 13 of Chapter 27 of Title 12 of the 1976 Code the following sums of money for Fiscal Year 1990-91:

(1)   Budget and Control Board

Local Government Division

Discretionary Fund                   $6,000,000

(2)   Budget and Control Board

EDA Match Fund                     $5,000,000

(3)   Health/Human Services Finance

Commission-Fourth Prescription   $2,100,000

(4)   Attorney General's Office

Operation of Statewide Grand

Jury                                             $750,000

Amend title to conform.

Point Of Order

Senator MOORE raised the Point of Order that the amendment was out of order inasmuch as it was violative of Section 12-27-1260 of the S.C. Code of Laws, 1976, as amended.

Senator POPE spoke on the Point of Order.

Senator LEATHERMAN spoke on the Point of Order.

The PRESIDENT sustained the Point of Order.

Motion Adopted

On motion of Senator WADDELL, with unanimous consent, Part III, as amended, was closed to further amendments with the exception of balancing amendments.

THE SENATE PROCEEDED TO A CONSIDERATION OF PART I OF THE GENERAL APPROPRIATION BILL.

Senator MARTSCHINK proposed the following Amendment No. 349 (Doc. No. 4057R), which was adopted:

Amend the bill, as and if amended, Part I, Section 3D, Page 0013, Line(s) 03, by:

Striking:             82,877     82,877   And

()             ()

Inserting:             75,968     75,968

()             ()

Amend totals and title to conform.

Senator WILLIAMS argued in favor of the adoption of the amendment and Senator MOORE argued contra.

Senator WILLIAMS moved that the amendment be adopted.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Bryan                     Courson                   Drummond
Giese                     Gilbert                   Hayes
Helmly                    Hinson                    Leatherman
Lee                       Leventis                  Martschink
McConnell                 Passailaigue              Peeler
Pope                      Rose                      Russell
Setzler                   Shealy                    Stilwell
Thomas                    Waddell                   Williams
Wilson                    

Total--25

NAYS

Fielding                  Hinds                     Land
Lindsay                   Long                      Macaulay
Matthews                  McGill                    Moore
Mullinax                  O'Dell                    Patterson
Smith, H.C.               Smith, J.V.               Smith, N.W.

Total--15

The amendment was adopted.

Senator LEVENTIS proposed the following Amendment No. 269 (Doc. No. 4021R), which was adopted:

Amend the bill, as and if amended, Part I, Section 3J, Page 28, Lines 7-9, by Deleting:

/3J26 Jt. Legis. Comm. - Internal Security 475 475

Amend title, totals and renumber to conform.

Senator LEVENTIS argued in favor of the adoption of the amendment.

Senator LEVENTIS moved that the amendment be adopted.

The amendment was adopted.

Senators HAYES, BRYAN, PEELER and FIELDING proposed the following Amendment No. 264 (Doc. No. 0762I), which was adopted:

Amend the bill, as and if amended, Part I, Section 3J, Page 27, Line(s) 26, by:

Striking:                 100,897   100,897   And

()           ()

Inserting:                 105,757   105,757

()           ()

Amend totals and title to conform.

Senator BRYAN argued in favor of the adoption of the amendment.

Senator BRYAN moved that the amendment be adopted.

The amendment was adopted.

Senator LONG proposed the following Amendment No. 244 (Doc. No. 4020R), which was adopted:

Amend the bill, as and if amended, Part I, Section 3, Page 34, Proviso 3.45 by:

Striking, left column, line 4, /January 1, 1991/ and inserting /April 1, 1991/

Amend sections, totals and title to conform.

Senator LONG argued in favor of the adoption of the amendment.

Senator LONG moved that the amendment be adopted.

The amendment was adopted.

Senators WILLIAMS and WADDELL proposed the following Amendment No. 273 (Doc. No. 4028R), which was adopted:

Amend the bill, as and if amended, Part I, Section 3 Page 0034, Proviso 3.46 by:

Striking the proviso in its entirety and inserting:

/3.46 From appropriations made herein, no more than $50,000 from Senate approved accounts and $50,000 from House of Representatives approved accounts may be transferred to the Sentencing Guidelines Commission to provide for the operation of the Commission. The transfer of any funds for this purpose from Senate approved accounts and House approved accounts must be approved by the President Pro Tempore of the Senate and Speaker of the House of Representatives, respectively./

Amend title, totals and renumber to conform.

Senator WILLIAMS explained the amendment.

Senator WILLIAMS moved that the amendment be adopted.

The amendment was adopted.

Senator FIELDING proposed the following Amendment No. 387 (Doc. No. 2084X), which was adopted:

Amend the bill, as and if amended, Part I, SECTION 3, Legislative Department, page 0035, proviso 3.55, right column, by striking lines 4, 5, and 6 and inserting:

/those exemptions. The commission is further directed to conduct a study of the state corporate income tax with specific emphasis on instituting a progressive tax rate to more equitably distribute the tax burden. The commission must submit the results of these studies along with its recommendations to the Governor and General Assembly by February 1, 1991./

Amend totals and title to conform.

Senator FIELDING explained the amendment.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Senator LEATHERMAN proposed the following Amendment No. 386 (Doc. No. 0825I), which was adopted:

Amend the bill, as and if amended, Part I, Section, Page 35, Proviso . by:

ADDING/INSERTING THE FOLLOWING:

"3.___ Beginning in FY1990-91 the staff of the Senate Finance Committee and the House Ways and Means shall jointly undertake a study and review of the base budgets of state agencies which receive general fund appropriations in excess of $25,000,000. At the direction of the Chairman of the respective Committees, the staff shall annually review not more than three agencies which meet the above referenced criterion. The review shall include, but not be limited to, the statutory mission of each agency as compared to the programs operated by the agency, the number of new programs instituted during the previous 10 year period, the growth in general fund appropriations in relation to the growth in general fund revenue as well as any agency revenue, the number of new positions added during the previous 10 year period, reports of the State Auditor and/or other reports on the efficiency and management of the agency under review. The results of the staff review shall be reported to the respective Committees not later than January 15, 1991."

Amend sections, totals and title to conform.

Senator LEATHERMAN explained the amendment.

Senator LEATHERMAN moved that the amendment be adopted.

The amendment was adopted.

Senator MULLINAX proposed the following Amendment No. 302 (Doc. No. 5037W), which was tabled:

Amend the bill, as and if amended, Part I, Section 4, Page 40, Line(s) 8, by:

STRIKING:       1,195,008     1,195,008   AND

()               ()

INSERTING     1,388,784     1,388,784

()               ()

Further, Part I, Section 4, Page 43, Line 7
by striking /5,084,562 5,084,562/
and inserting /5,114,015 5,114,015/

Amend totals and title to conform.

Senator MULLINAX argued in favor of the adoption of the amendment.

Senator MULLINAX moved that the amendment be adopted.

Senator POPE moved to lay the amendment on the table.

The amendment was laid on the table.

Senator LINDSAY proposed the following Amendment No. 330 (Doc. No. 0803I), which was adopted:

Amend the bill, as and if amended, Part I, Section 4, Page 44, Proviso 4.13 by:

Striking and inserting the following:

/4.13 In addition to being authorized to carry forward and expend in the current fiscal year any appropriations not expended during the prior fiscal year, any funds collected or carried forward from Supreme Court Bar Admissions in excess of the amount required to be remitted to the General Fund may be carried forward and expended in the current fiscal year for the benefit of the Bar Admissions unit./

Amend sections, totals and title to conform.

Senator LINDSAY argued in favor of the adoption of the amendment.

Senator LINDSAY moved that the amendment be adopted.

The amendment was adopted.

Senators LOURIE and FIELDING proposed the following Amendment No. 268A (Doc. No. 0765I), which was tabled:

Amend the bill, as and if amended, Part I, Section 10, Page 66, after Line(s) 11, by:

Adding:   Project Manager   42,500   42,500

Item Name         (1.00)     (1.00)

Amend further, Page 67, line 6 by:

Striking:                         1,451,950   1,451,950 And

()               ()

Inserting:                         1,460,350   1,460,350

()               ()

Amend totals and title to conform.

Senator FIELDING argued in favor of the adoption of the amendment and Senator WADDELL argued contra.

Senator WADDELL moved to lay the amendment on the table.

The amendment was laid on the table.

Senator GIESE proposed the following Amendment No. 96 (Doc. No. 0684I), which was adopted:

Amend the bill, as and if amended, Part I, Section 10, Page 66, Line(s) 40, by:

Striking:                         2,963,249   2,963,249 And

()               ()

Inserting:                         3,431,129   3,431,129

()               ()

Amend totals and title to conform.

Senator WADDELL spoke on the amendment.

Senators GIESE and LONG argued in favor of the adoption of the amendment.

Senator LONG moved that the amendment be adopted.

Senator WADDELL moved to lay the amendment on the table.

The Senate refused to table the amendment.

Senator GIESE moved that the amendment be adopted.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Bryan                     Courson                   Drummond
Fielding                  Giese                     Gilbert
Hayes                     Hinds                     Hinson
Land                      Leatherman                Lee
Leventis                  Lindsay                   Long
Macaulay                  Martschink                Matthews
McGill                    Moore                     Mullinax
O'Dell                    Peeler                    Pope
Rose                      Russell                   Setzler
Shealy                    Smith, H.C.               Smith, J.V.
Smith, N.W.               Stilwell                  Thomas
Williams                  Wilson                    

Total--35

NAYS

Helmly                    McConnell                 Passailaigue

Total--3

The amendment was adopted.

Statement By Senators McCONNELL And PASSAILAIGUE

Even though we favor more funding for the Solicitors' Offices, we are mindful that budget cuts were made to balance the Bill and avoid tax increases. This change will undermine the cuts and it is helping to increase spending which simply erodes the budgetary discipline that was attempted. These spending increases will simply make tax increases more possible as we move through the debate on the Bill.

Senator GIESE proposed the following Amendment No. 97 (Doc. No. 0685I), which was adopted:

Amend the bill, as and if amended, Part I, Section 10, Page 68, Proviso 10.8 by:
Striking and inserting the following:

/The amount appropriated in this section for "Judicial Circuits (16)-State Support" shall be apportioned among the circuits at a rate of $1.10 per capita, based on the official United States Census of 1980. Payment shall be made as soon after the beginning of the first and third quarter as practical./

Amend sections, totals and title to conform.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Senator SALEEBY proposed the following Amendment No. 127A (Doc. No. 0796I), which was tabled:

Amend the bill, as and if amended, Part I, Section 12, Page 070, Line(s) 011, by:

Striking:                 815,073     815,073 And

()             ()

Inserting:                 901,073     901,073

()             ()

Amend further Section 12, Page 071, Line 10 by:

Striking:                   38,700       38,700 AND

Inserting:                   98,700         98,700

Amend further, Section 12, Page 071, Line 12 by:

Striking:                   3,000           3,000 AND

Inserting:                   13,000         13,000

Amend further, Section 12, Page 071, Line 13 by:

Striking:                   2,500           2,500 AND

Inserting:                   12,600         12,600

Amend totals and title to conform.

Senator LEVENTIS moved to lay the amendment on the table.

The amendment was laid on the table.

Senators ROSE and HORACE C. SMITH proposed the following Amendment No. 408 (Doc. No. 4092R), which was tabled:

Amend the bill, as and if amended, Part I, Section 13, Page 77, After Line(s) 31, by:
Adding: Non-Recurring
Appropriation
Poll Managers/Clerks 800,000 800,000

Amend the bill further, as and if amended, by amending Amendment No. 173 bearing Doc. No. 5098W, as and if amended, Part I, Section 13, Page 78, Proviso 13.3, right column, line 5 by striking/$25.00/ and inserting /$50.00/.

Amend totals and title, renumber sections to conform.

Senator ROSE argued in favor of the adoption of the amendment.

Senator WADDELL spoke on the amendment.

Senator ROSE moved that the amendment be adopted.

Senator WADDELL moved to lay the amendment on the table.

The amendment was laid on the table.

Senators BRYAN, HINSON, LOURIE and HORACE C. SMITH proposed the following Amendment No. 411 (Doc. No. 1745o), which was tabled:

Amend the bill, as and if amended, Part I, Section 13, page 77, by inserting immediately after line 31:

/V. VOTING EQUIPMENT REIMBURSEMENT 610,000 610,000

Amend further, Part I, Section 13, page 78, by adding an appropriately numbered proviso to read:

/13.__.   The sum of $610,000.00 appropriated to the commission for voting equipment reimbursement must be used by the commission to reimburse a participating county for its purchase of voting equipment upon presentation of a voucher to the commission that the governing body of the participating county has entered into a contract to purchase the state election commission pilot project selected and election law study recommended electronic elections system or "punch card" voting stations and agreed to pay thirty percent of the cost. In this event, the state shall reimburse directly to the participating county seventy percent of the remaining cost of the system. Any funds not used by the commission for this purpose shall lapse back into the general fund./

Renumber sections to conform.

Amend totals and title to conform.

Senator BRYAN argued in favor of the adoption of the amendment.

Senator BRYAN moved that the amendment be adopted.

Senator McCONNELL moved to lay the amendment on the table.

The amendment was laid on the table.

Senator HAYES proposed the following Amendment No. 282 (Doc. No. 0779I), which was adopted:

Amend the bill, as and if amended, Part I, Section 14B, Page 82, after Line(s) 9, by:
Adding: SC Humanities Council 11,000 11,000

Item Name () ()

Amend totals and title to conform.

Senator HAYES argued in favor of the adoption of the amendment.

Senator HAYES moved that the amendment be adopted.

The amendment was adopted.

Senator LEE proposed the following Amendment No. 339A (Doc. No. 4045R), which was withdrawn:

Amend the bill, as and if amended, Part I, Section 14H, Page 106, Line(s) 38, by:

Striking:         443,730     363,730 And

(20.00)       (15.50)

Inserting:         601,730     521,730

(20.00)       (15.50)

Amend the bill, as and if amended, Part I, Section 14H, Page 107, Line(s) 1, by:

Striking:         172,124     472,124 And

()                 ()

Inserting:         292,124     192,124

()                 ()

Amend the bill, as and if amended, Part I, Section 14H, Page 107, Line(s) 5, by:

Striking:         137,149     33,244 And

()                 ()

Inserting:         152,149     48,244

()                 ()

Amend the bill, as and if amended, Part I, Section 14H, Page 107, Line(s) 6, by:

Striking:         105,999       5,999 And

()                   ()

Inserting:         115,999       15,999

()                   ()

Amend the bill, as and if amended, Part I, Section 14H, Page 107, Line(s) 7, by:

Striking:           26,125       1,985 And

()                 ()

Inserting:           66,125       41,985

()                 ()

Amend the bill, as and if amended, Part I, Section 14H, Page 107, Line(s) 8, by:

Striking:           56,773     26,773And

()               ()

Inserting:           76,773     46,773

()               ()

Amend the bill, as and if amended, Part I, Section 14H, Page 107, Line(s) 9, by:

Striking:           23,294       8,794 And

()                 ()

Inserting:           60,294       45,794

()                 ()

Amend totals and title to conform.

Senator LEE argued in favor of the adoption of the amendment.

Senator WADDELL spoke on the amendment.

On motion of Senator LEE, with unanimous consent, the amendment was withdrawn.

Senators LINDSAY and DRUMMOND proposed the following Amendment No. 308 (Doc. No. 4037R), which was adopted:

Amend the bill, as and if amended, Part I, Section 14K, Page 0115, Line(s) 31 and 32, by:

Adding:   Training Coordinator   25,154   25,154
Item Name                   (1.00)     (1.00)

Amend the bill, as and if amended, Part I, Section 14K, Page 0115, Line(s) 35, by:

Striking:             78,500       0 And

ADDING:         123,500       45,000

Amend the bill, as and if amended, Part I, Section 14K, Page 0115, Line(s) 36, by:

Striking:             9,500         0 And

Inserting:             30,959     21,459

Amend the bill, as and if amended, Part I, Section 14K, Page 0115, Line(s) 38, by:

Striking:             4,750         0 And

Inserting:               34,750       30,000

Amend totals and title to conform.

Senator LINDSAY argued in favor of the adoption of the amendment.

Senator LINDSAY moved that the amendment be adopted.

The amendment was adopted.

Senators SALEEBY, DRUMMOND, PATTERSON, LONG, HINDS, LOURIE, HORACE C. SMITH, HINSON, FIELDING, MOORE and GILBERT proposed the following Amendment No. 358 (Doc. No. 4058R), which was tabled:

Amend the bill, as and if amended, Part I, Section 14K,   Page 117, Line(s) 1 and 2, by:

Reinserting:   Recruit Spec   26,053   26,053

Item Name     (1.00)     (1.00)

Amend totals and title to conform.

Senator NELL W. SMITH explained the amendment.

Senator McCONNELL moved to lay the amendment on the table.

The amendment was laid on the table.

Statement By Senators McCONNELL, LEATHERMAN,
LEVENTIS And PASSAILAIGUE

This vote is an example of an increase which will force the Senate into a revenue increase position. This puts us $7.19 million in the hole, at this point in the budget considerations. We favor funding water and sewer grants but must say "No" because this puts us in a more precarious position which will lead to higher taxes.

Senators POPE, RUSSELL, WILLIAMS, WILSON, McGILL, MULLINAX, HINSON, SALEEBY, MATTHEWS, NELL W. SMITH, LEVENTIS, PEELER, MACAULAY, HELMLY, HOLLAND, PATTERSON, LONG, HINDS, HORACE C. SMITH, LEE, THOMAS, LOURIE, O'DELL, HAYES, BRYAN and LAND proposed the following Amendment No. 233A (Doc. No. 3922R), which was adopted:

Amend the bill, as and if amended, Part I, Section 14L, Page 121, Line(s) 21, by:

Striking:         2,710,082   2,710,082 And

( )       ( )

Inserting:       6,000,000   6,000,000

( )         ( )

Amend the bill further, after line 21, by

Adding: Federal Match for
EDA Fund   5,000,000   5,000,000

Item Name   ( )               ( )

Amend totals and title to conform.

Senators POPE and MULLINAX argued in favor of the adoption of the amendment.

Senator POPE moved that the amendment be adopted.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Bryan                     Drummond                  Fielding
Giese                     Gilbert                   Hayes
Helmly                    Hinson                    Land
Lee                       Lindsay                   Long
Macaulay                  Martschink                Matthews
McGill                    Moore                     Mullinax
O'Dell                    Peeler                    Pope
Russell                   Setzler                   Smith, H.C.
Smith, J.V.               Smith, N.W.               Thomas
Williams                  Wilson                    

Total--29

NAYS

Courson                   Hinds                     Leatherman
Leventis                  McConnell                 Passailaigue
Rose                      Shealy                    Stilwell
Waddell                   

Total--10

The amendment was adopted.

Senator HOLLAND proposed the following Amendment No. 406A (Doc. No. 0850I), which was tabled:

Amend the bill, as and if amended, Part I, Section 14Q, Page 128, Line(s) 24, by:

Striking:                               12,035,599       12,035,599 And

( )                   ( )

Inserting:     7,564,295       7,564,295

( )                 ( )

Amend further, page 129, line 08 by:

Striking:     12,131,565     12,131,565 And

( )                 ( )
Inserting:                                     0                 0

( )                 ( )

Amend further, page 129, line 14 as previously amended by Document Number 5098W by:

Striking:                             7,254,760     7,254,760 And

( )               ( )

Inserting:                                   0                 0

( )               ( )

Amend further by adding the following new proviso to Part I, Section 14, page 140 to read:

/14. ___ The Budget and Control Board must develop and implement a plan to provide for a 1% across the board reduction out of the general fund as contained in this Act, with the exception of the Education Finance Act, the Capital Reserve Fund and Debt Service, so as to compensate for the reduction of $4,471,304 in the Health Insurance for retired state employees, $12,131,565 in the Merit pay and $7,254,760 in the Base Pay increase. The plan must be as uniform and equitable as may be practicable.

Amend totals and title to conform.

Senator WADDELL explained the amendment.

Senator MACAULAY argued in favor of the adoption of the amendment.

Senator LAND moved to carry over the amendment.

Senator LINDSAY moved to lay the amendment on the table.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Bryan                     Courson                   Drummond
Fielding                  Gilbert                   Hayes
Helmly                    Hinds                     Hinson
Leatherman                Lindsay                   Matthews
McGill                    Pope                      Setzler
Shealy                    Smith, H.C.               Smith, J.V.
Stilwell                  Waddell                   Williams

Total--21

NAYS

Giese                     Holland                   Land
Lee                       Leventis                  Long
Macaulay                  Martschink                McConnell
Moore                     Mullinax                  O'Dell
Passailaigue              Peeler                    Rose
Russell                   Smith, N.W.               Thomas
Wilson                    

Total--19

The amendment was laid on the table.

Statement By Senators MULLINAX,
O'DELL, NELL W. SMITH And MACAULAY

We voted not to table the amendment for the reason that it should have been carried over to perfect it in order that we might provide sufficient funds for the Local Government Division to match federal funds in ratios of 1 to 10 and sometimes 1 to 20 - that is, $100,000 matches $2,000,000 in Federal Funds, thereby reducing the burden for local government taxes on our homeowners and businesses in our local communities. This is but one of the needs of the 1990's which must not be denied by refusing to at least look into the base budget from prior years. We must set budget priorities and this amendment would have been a small, but a necessary, step in that direction.

Senator DRUMMOND proposed the following Amendment No. 295 (Doc. No. 1869X), which was adopted:

Amend the bill, as and if amended, Part I, Section 14, Page 0137, Proviso 14.63 by:

Striking and inserting the following:

/14.63.   Any compensation, excluding travel reimbursement, from an affiliated public charity, foundation, clinical faculty practice plan, or other public source or any supplement from a private source to the salary appropriated for a state employee and fixed by the State must be reported by the employee to the Division of Human Resource Management of the Budget and Control Board. The report must include the amount, source, and any condition of the supplement. Any change in the amount, source, or condition must be reported to the division by the employee./

Amend sections, totals and title to conform.

Senator DRUMMOND argued in favor of the adoption of the amendment.

Senator DRUMMOND moved that the amendment be adopted.

The amendment was adopted.

Senator DRUMMOND proposed the following Amendment No. 296 (Doc. No. 1870X), which was adopted:

Amend the bill, as and if amended, Part I, Section 14, Page 0138, Proviso 14.67 by:

Striking and inserting the following:

/14.67.   Notwithstanding any other provision of law, for the purposes of carrying out his duties, the State Auditor and his assistants or designees shall have access to all records and facilities of every state agency during normal operating hours. Furthermore, the State Auditor and his assistants or designees shall have access to all relevant records and facilities of any private organization which is appropriated state monies, relating to the management and expenditures of such funds, during the organization's normal operating hours. In the performance of his official duties, the State Auditor and his assistants or designees are subject to the statutory provisions and penalties regarding the confidentiality of records of the respective agency, or organization, under review. All audit working papers and memoranda of the State Auditor, with the exception of final audit reports, are confidential and not subject to public disclosure./

Amend sections, totals and title to conform.

Senator DRUMMOND argued in favor of the adoption of the amendment.

Senator DRUMMOND moved that the amendment be adopted.

The amendment was adopted.

Senator WILLIAMS proposed the following Amendment No. 326B (Doc. No. 5259P), which was adopted:

Amend the bill, as and if amended, Part I, Section, Page 140, Proviso 14.84. by:

ADDING/INSERTING THE FOLLOWING AFTER THE WORDS /STATUS./ ON LINE 8:

/Whereas, the General Assembly is charged with reviewing the functions, jurisdiction, and missions of the various state agencies; and

Whereas, the General Assembly recognizes the scarcity of revenues available for the funding of the various state agencies; and

Whereas, the General Assembly wishes to consolidate certain computer functions of state agencies as these functions relate to the 1990 Decennial Census; and

Whereas, the General Assembly has historically relied on the Division of Research and Statistics of the Budget and Control Board as the state agency to receive Decennial Census information and material; and

Whereas, the Division of Research and Statistical Services of the Budget and Control Board is the single agency with the background and experience to provide assistance in managing, analyzing, and disseminating census information necessary to perform the apportionment function; and

Whereas, the General Assembly, by its statutory designation of the Division, intends to ensure that the public has open and equal access and availability to this information; and

Whereas, the General Assembly will further designate, ensure, and provide other methods of open and equal access to the reapportionment process; and

Whereas the General Assembly seeks to ensure the unfettered first amendment rights of the press and the academic freedom of the state's institutions of higher education. Now, therefore, and in recognition of the Information Technology Policy and Management Office of the Division of Research and Statistic's responsibility for oversight of the state's information technology resources:

(A) The Research and Statistics Division of the Budget and Control Board is hereby designated to provide public information, data, or analysis derived from the 1990 Decennial Census or collation of the results of such census to members of the General Assembly and the general public and to perform such other duties related thereto as may be designated by the Speaker of the House of Representatives or President Pro Tempore of the Senate. The provisions of subsection (B) relating to limitation on the redistricting plans for political subdivisions shall not apply to the Research and Statistics Division of the Budget and Control Board.

(B) The General Assembly consolidates the computer capabilities of all state agencies, boards, commissions, departments, institutions, or entities, by whatever name known, so as to provide that no state agency, board, commission, department, institution, or entity may:

(1)   expend any funds from any source;

(2)   provide, directly or indirectly, any technical, personnel, or other support to any person or entity;

(3)   utilize any information, data, program, or process developed or obtained in whole or part through state funding; or

(4)   utilize any equipment or other property
to prepare, assist in the preparation, analyze, or assist in the analysis of any legislative, congressional, or other political subdivision's redistricting plan unless such state agency, board, commission, department, institution, or entity is granted authority to perform such activities by the General Assembly in the form of a joint resolution. Any person violating the provisions of this section shall be deemed to have violated the provisions of Article 7 of Chapter 13 of Title 8 of the 1976 Code and must be subject to the penalties provided within that chapter. Any public record, as defined in Chapter 4 of Title 30, produced or maintained by a state agency, board, commission, department, institution, or entity shall be available for inspection and copying as provided in Section 30-4-30 of the 1976 Code. This restriction shall not prohibit the Legislative Council or any personnel, members, or officers of the Senate or House from providing assistance or analysis as to any amendments to or the text of any reapportionment matter. The prohibition contained in item (3) above shall not apply to any faculty member of any state institution of higher education from doing bona fide academic research.

(C) Notwithstanding the provisions of subsections (A) and (B), the Governor and his executive staff may: (1) consider the approval or veto of any reapportionment legislation enrolled for ratification, (2) analyze and seek the assistance of any state agency, board, commission, department, institution, or entity, by whatever name known, in analyzing any reapportionment legislation enrolled for ratification, and (3) provide assistance to any member of the General Assembly in analyzing any reapportionment legislation enrolled for ratification./

Amend sections, totals and title to conform.

Senator WILLIAMS argued in favor of the adoption of the amendment.

Point Of Order

Senator WILSON raised a Point of Order that the amendment was out of order inasmuch as it was not germane to the Bill.

Senator McCONNELL spoke on the Point of Order.

Senator WILLIAMS spoke on the Point of Order.

The PRESIDENT overruled the Point of Order.

Parliamentary Inquiry

Senator WILSON made a Parliamentary Inquiry as to whether or not a fiscal impact statement was required on the amendment.

The PRESIDENT stated that no fiscal impact statement was required.

Senator THOMAS argued contra to the adoption of Amendment No. 326B.

Motion Fails

Senator WILLIAMS moved under Rule 15A to set a time certain for 6:55 P.M. on Saturday, May 26, 1990, to vote on Amendment No. 326B.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Bryan                     Fielding                  Gilbert
Hayes                     Hinds                     Hinson
Land                      Leatherman                Lindsay
Long                      Macaulay                  Matthews
McGill                    Moore                     O'Dell
Pope                      Setzler                   Smith, H.C.
Smith, N.W.               Waddell                   Williams

Total--21

NAYS

Courson                   Drummond                  Giese
Lee                       Leventis                  Martschink
McConnell                 Peeler                    Rose
Russell                   Shealy                    Stilwell
Thomas                    Wilson                    

Total--14

Having failed to receive the necessary vote, the motion failed.

Point Of Order

Senator ROSE raised a Point of Order that the motion to set a time certain to vote on the instant matter would be required to be made under Rule 15B and not under Rule 15A inasmuch as Rule 15B applies to reapportionment bills.

Senator LEATHERMAN spoke on the Point of Order.

Senator McCONNELL spoke on the Point of Order.

Senator LINDSAY spoke on the Point of Order.

The PRESIDENT overruled the Point of Order and stated that the instant matter was an amendment and not a Bill.

Senator THOMAS continued arguing contra to the adoption of Amendment No. 326B.

Point Of Quorum

Senator HAYES made the point that a quorum was not present. It was ascertained that a quorum was present. The Senate resumed.

Senator THOMAS argued contra to the adoption of the amendment.

MOTION ADOPTED
Time Certain Set To Vote On Amendment 326B

Senator MOORE moved under Rule 15A to set a time certain for 7:50 P.M. on Saturday, May 26, 1990, to vote on Amendment No. 326B.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Bryan                     Fielding                  Gilbert
Hayes                     Helmly                    Hinds
Hinson                    Holland                   Land
Leatherman                Leventis                  Lindsay
Long                      Lourie                    Macaulay
Martin                    Matthews                  McGill
Moore                     Mullinax                  O'Dell
Passailaigue              Patterson                 Pope
Saleeby                   Setzler                   Smith, H.C.
Smith, J.V.               Smith, N.W.               Waddell
Williams                  

Total--31

NAYS

Courson                   Giese                     Lee
Martschink                McConnell                 Peeler
Rose                      Russell                   Shealy
Stilwell                  Thomas                    Wilson

Total--12

The Senate set 7:50 P.M. on Saturday, May 26, 1990, to vote on Amendment No. 326B.

By prior motion, the time certain had arrived to vote on Amendment No. 326B.

The amendment was adopted.

On motion of Senator SHEALY, with unanimous consent, Amendment No. 414 (Doc. No. 4106R), proposed by Senators SHEALY, WILSON and RUSSELL was taken up for immediate consideration and tabled:

Amend the bill, as and if amended, by amending the amendment bearing Doc. No. 5259P,G2, page 2, by adding a new Item (D) to read as follows:

/(D) Nothing herein shall prevent the Governor, Lieutenant Governor, Attorney General or their designees from receiving any information upon request or from discussion of any matter with a legislator or other agencies of this State./

Amend totals and title to conform.

Senator SHEALY explained the amendment.

Senator BRYAN moved to lay the amendment on the table.

The amendment was laid on the table.

Recorded Vote

Senators WILSON, THOMAS, ROSE and GIESE desired to be recorded as voting against the motion to table the amendment.

Senator ROSE proposed the following Amendment No. 415A (Doc. No. 4111R), which was tabled:

Amend the bill, as and if amended, by amending the amendment bearing Doc. No. 5259P,G2, page 2, by striking Item (B)(2) and inserting a new (B)(2) to read as follows:

/(2) provide, directly or indirectly, any technical, personal, or other support, other than factual information, to any person or entity; /

Amend totals and title to conform.

Senator ROSE argued in favor of the adoption of the amendment.

Senator WILLIAMS moved to lay the amendment on the table.

The amendment was laid on the table.

Recorded Vote

Senators WILSON, THOMAS, ROSE and GIESE desired to be recorded as voting against the motion to table the amendment.

Senator ROSE proposed the following Amendment No. 415B (Doc. No. 4107R), which was tabled:

Amend the bill, as and if amended, by amending the amendment bearing Doc. No. 5259P,G2, page 2, by striking Item (B)(2) and inserting a new (B)(2) to read as follows:

/(2) provide, directly or indirectly, any technical, personal, or other support, other than factual information, to any person or entity; /

Amend the bill further, as and if amended, by amending the amendment bearing Doc. No. 5259P,G2, page 3, by striking Item (C) and inserting a new Item (C) to read as follows:

/(C) Notwithstanding the provisions of subsections (A) and (B), the Governor and his executive staff may: (1) consider the approval or veto of any proposed reapportionment legislation, (2) analyze and seek the assistance of any state agency, board, commission, department, institution, or entity, by whatever name known, and analyzing any proposed reapportionment legislation, and (3) provide assistance to any member of the General Assembly in analyzing any proposed reapportionment legislation./

Amend totals and title to conform.

Senator ROSE argued in favor of the adoption of the amendment.

Senator WILLIAMS moved to lay the amendment on the table.

The amendment was laid on the table.

Recorded Vote

Senators WILSON, THOMAS, ROSE and GIESE desired to be recorded as voting against the motion to table the amendment.

Senator ROSE proposed the following Amendment No. 417 (Doc. No. 4112R), which was tabled:

Amend the bill, as and if amended, by amending the amendment bearing Doc. No. 5259P,G2, page 3, by striking Item (C) and inserting a new Item (C) to read as follows:

/(C) Notwithstanding the provisions of subsections (A) and (B), the Governor and his executive staff may: (1) consider the approval or veto of any proposed reapportionment legislation enrolled for ratification, (2) analyze and seek the assistance of any state agency, board, commission, department, institution, or entity, by whatever name known, and analyzing any proposed reapportionment legislation enrolled for ratification, and (3) provide assistance to any member of the General Assembly in analyzing any proposed reapportionment legislation./

Amend totals and title to conform.

Senator ROSE argued in favor of the adoption of the amendment.

Senator WILLIAMS moved to lay the amendment on the table.

The amendment was laid on the table.

Recorded Vote

Senators WILSON, THOMAS, ROSE and GIESE desired to be recorded as voting against the motion to table the amendment.

The question was the adoption of Amendment No. 326B.

The amendment was adopted.

Senators POPE, LAND, RUSSELL, WILLIAMS, WILSON BRYAN, McGILL, MULLINAX, HINSON, SALEEBY, MATTHEWS, NELL W. SMITH, LEVENTIS, PEELER, HELMLY, HOLLAND, O'DELL, HAYES, MACAULAY, PATTERSON, LONG, HINDS, HORACE C. SMITH, LEE and THOMAS proposed the following Amendment No. 234 (Doc. No. 4017R), which was adopted:

Amend the bill, as and if amended, Part I, Section 14, Page 140, Proviso 14.91 by:

Striking and inserting the following:

/Of those funds appropriated under the Local Government Division designated as "Discretionary Fund", $1,000,000 must be allocated for expenditure exclusively upon approval by members of the House of Representatives and $1,000,000 must be allocated for expenditure exclusively upon approval by members of the Senate. No funds may be awarded without the prior notification of the members of the General Assembly representing the district in which the project does or will exist. Four million dollars of the funds allocated as "Discretionary Fund" must be used as matching funds for projects which in whole or in part are not eligible for EPA, EDA, FHA, CDBG, ARC or other federal funds./

Amend sections, totals and title to conform.

Senator POPE moved that the amendment be adopted.

The amendment was adopted.

Senator LOURIE proposed the following Amendment No. 279 (Doc. No. 4031R), which was ruled out of order:

Amend the bill, as and if amended, Part I, Section 14, Page 140, by adding a new proviso to read:

/14.__ In addition to those individuals authorized to establish prior service credit under the South Carolina Retirement System, a current contributing member of the system who has prior service as a magistrate or an employee of a magistrate for which the only compensation was from fees, may elect to receive prior service credit for this service upon paying into the system the cost as required by Section 9-1-440 of the 1976 Code./

Amend sections, totals and title to conform.

Point Of Order

Senator BRYAN raised a Point of Order that the amendment was out of order inasmuch as it was not germane to the Bill.

The PRESIDENT sustained the Point of Order.

Senator GILBERT proposed the following Amendment No. 261B (Doc. No. 0852I), which was adopted:

Amend the bill, as and if amended, Part I, Section 15, Page 142, Line(s) 20, by:

Inserting:     704,819 704,819

() ()

Amend further, Part I, SECTION 15, Commission on Higher Education, page 144, beginning on line 3, by striking paragraph 15.10 and inserting:

/15.10 Of the funds appropriated in this section for Desegregation Programs and Access and Equity, the Commission on Higher Education shall distribute $400,000 to South Carolina State College and $95,181 to Denmark Technical College./.

Amend totals and title to conform.

Senator WADDELL spoke on the amendment.

Senator GILBERT explained the amendment.

Senator GILBERT moved that the amendment be adopted.

The amendment was adopted.

Senator MATTHEWS proposed the following Amendment No. 343 (Doc. No. 4048R), which was tabled:

Amend the bill, as and if amended, Part I, Section 15, Page 143, Proviso 15.8 by:

Striking and inserting the following:

/The Commission on Higher Education shall allocate funds appropriated to colleges and universities and the State Board for Technical and Comprehensive Education to insure that all institutions shall receive equivalent percentages of formula funding; however, the Commission on Higher Education shall provide that no institution will receive less formula allocation than last year's appropriation adjusted for annualization./

Amend sections, totals and title to conform.

Senator SETZLER spoke on the amendment.

Senator MATTHEWS argued in favor of the adoption of the amendment.

Senator MATTHEWS moved that the amendment be adopted.

Senator SETZLER moved to lay the amendment on the table.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Bryan                     Courson                   Drummond
Giese                     Helmly                    Hinds
Hinson                    Leatherman                Lee
Leventis                  Martschink                McConnell
Moore                     Mullinax                  Pope
Rose                      Russell                   Setzler
Shealy                    Smith, H.C.               Smith, J.V.
Smith, N.W.               Stilwell                  Thomas
Waddell                   Wilson                    

Total--26

NAYS

Fielding                  Gilbert                   Hayes
Land                      Long                      Macaulay
Matthews                  McGill                    O'Dell
Passailaigue              Patterson                 Peeler
Williams                  

Total--13

The amendment was laid on the table.

Senator GIESE proposed the following Amendment No. 168 (Doc. No. 0736I), which was tabled:

Amend the bill, as and if amended, Part I, Section 15 , Page 0144, Proviso 15 . 12 by:

Deleting the proviso in its entirety.

Amend sections, totals and title to conform.

Senator GIESE argued in favor of the adoption of the amendment and Senator MOORE argued contra.

Senator MOORE moved to lay the amendment on the table.

The amendment was laid on the table.

Senators FIELDING, POPE, PASSAILAIGUE and McCONNELL proposed the following Amendment No. 270-A (Doc. No. 1654o), which was adopted:

Amend the bill, as and if amended, Part I, Section 19-College of Charleston, Page 0173, Line(s) 35 and 36, opposite LIBRARIAN II, by:

Striking:         (.40)       ()

Inserting:       49,000

(2.00)     ()

Page 0174, Line(s) 38 and 39, opposite STUDENT SERVICES COORD. II, by:

Striking:       (.40)       ()

Inserting:       39,318

(2.00)     ()

Page 0174, Line 40, and Page 0175, Line 1, opposite PSYCHOLOGIST II, by:

Striking:       (.20)       ()

Inserting:       22,999

(1.00)     ()

Page 0176, Line(s) 12 and 13, opposite ACCOUNTING TECH I, by:

Striking:       (.40)       ()

Inserting:       28,726

(2.00)     ()

Page 0176, Line(s) 34 and 35, opposite CUSTODIAL WORKER I, by:

Striking:       (.40)       ()

Inserting:       13,936

(2.00)     ()

Amend totals and title to conform.

Senator FIELDING argued in favor of the adoption of the amendment.

Senator FIELDING moved that the amendment be adopted.

The amendment was adopted.

Senator SETZLER proposed the following Amendment No. 71 (Doc. No. 2825D), which was adopted:

Amend the bill, as and if amended, Part I, Section 24, Page 0293, Line(s) 36 and 37, by:

Striking:   And

(1.00)   ()

Inserting:   16,000

(2.00)   ()

Amend the bill, further, Part I, Section 24,

Page 0293, Line(s) 38 and 39, by:

Striking:   And

(1.00)   ()

Inserting:   9,500

(1.50)   ()

Amend totals and title to conform.

Senator SETZLER explained the amendment.

Senator SETZLER moved that the amendment be adopted.

The amendment was adopted.

ACTING PRESIDENT PRESIDES

Senator J. VERNE SMITH assumed the Chair.

Senators MATTHEWS and WILLIAMS proposed the following Amendment No. 421 (Doc. No. 0854I), which was tabled:

Amend the bill, as and if amended, Part I, Section 20, Page 187, Line(s) 30, by:

Striking:   564,257   564,257 And

()             ()

Inserting: 609,624609,624

()             ()

Amend further, Part I, Section 21, Page 193, Line(s) 32, by:

Striking:   218,829   218,829 And

()             ()

Inserting: 220,155 220,155
()     ()

Amend further, Part I, Section 22, Page 195, Line 5 by:

Striking:   6,651,768 6,598,243 And

()             ()

Inserting: 7,038,916 6,985,391

()             ()

Amend further, Part I, Section 25C, Page 319, Line 5 by:

Striking:   558,057   558,057 And

()             ()

Inserting: 718,506 718,506

()             ()

Amend totals and title to conform.

Senator MATTHEWS argued in favor of the adoption of the amendment and Senator SETZLER argued contra.

Senator SETZLER moved to lay the amendment on the table.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Bryan                     Courson                   Drummond
Giese                     Hayes                     Hinson
Lee                       Leventis                  Macaulay
McConnell                 Moore                     O'Dell
Peeler                    Pope                      Rose
Russell                   Setzler                   Shealy
Smith, H.C.               Smith, J.V.               Smith, N.W.
Stilwell                  Thomas                    Wilson

Total--24

NAYS

Fielding                  Gilbert                   Leatherman
Long                      Martschink                Matthews
McGill                    Passailaigue              Williams

Total--9

The amendment was laid on the table.

Senator McLEOD proposed the following Amendment No. 237A (Doc. No. 0760I), which was adopted:

Amend the bill, as and if amended, Part I, Section 25D, Page 322, Proviso 25 . 7 by:

ADDING in the right column on line 2 after the word /Committee/ the following:

/; the Commissioner, or his designee, of the Department of Health and Environmental Control; the Executive Director, or his designee, of the South Carolina Hospital Association; the Commissioner, or his designee, of the Commission on Higher Education/

Amend sections, totals and title to conform.

Senator WADDELL explained the amendment.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

PRESIDENT PRESIDES

The PRESIDENT assumed the Chair.

Senator MACAULAY proposed the following Amendment No. 0284 (Doc. No. 0783I), which was adopted:

Amend the bill, as and if amended, Part I , Section 28, Page 364, Proviso . by:

ADDING/INSERTING THE FOLLOWING:

/28.___ Of the EIA funds appropriated herein for the Remedial and Compensatory Program, $200,000 shall be used for the Reading Recovery programs throughout the State. The State Department of Education shall report to the EIA Select Committee on the allocation and expenditure of these funds./

Amend sections, totals and title to conform.

Senator WADDELL moved the amendment be adopted.

The amendment was adopted.

Senator SETZLER proposed the following Amendment No. 412 (Doc. No. 4095R), which was adopted:

Amend the bill, as and if amended, Part I, Section 28, Page 364, right column, by:
Adding:

/28.__ Notwithstanding any other provision of law, a retired member of the System may return to employment covered by the System and earn up to ten thousand dollars a fiscal year without affecting the monthly retirement allowance he is receiving from the System. If the retired member continues in service after having earned ten thousand dollars in a fiscal year, his retirement allowance must be discontinued during his period of service in the remainder of the fiscal year. If the employment continues for at least forty-eight consecutive months, the provisions of Section 9-1-1590 apply. The provisions of this section do not apply to an employee or member of the System who has retired mandatorily because of age pursuant to Section 9-1-1530./

Amend the bill further, as and if amended, Part I, Section 28, Page 364, right column, by:
Adding:

/28.__ Notwithstanding the provisions of subsections (1) and (2) of Section 9-11-90, a retired member of the System may return to employment covered by the System and earn up to ten thousand dollars a fiscal year without affecting the monthly retirement allowance he is receiving from the System. If the retired member continues in service after having earned ten thousand dollars in a fiscal year, his retirement allowance must be discontinued during the period of service in the remainder of the fiscal year. If the employment continues for at least forty-eight consecutive months, the provisions of Section 9-1-1590 apply. The provisions of this section do not apply to an employee or member of the System who has retired mandatorily because of age pursuant to Section 9-1-1530./

Amend totals and title to conform.

Senator SETZLER moved that the amendment be adopted.

The amendment was adopted.

Senators MITCHELL and WADDELL proposed the following Amendment No. 290A (Doc. No. 0786I), which was adopted:

Amend the bill, as and if amended, Part I, Section 36, Page 396, after Line 34, by:

Adding: Greenville Cultural

Exchange   10,000   10,000

Item Name ()   ()

Amend totals and title to conform.

Senator WADDELL spoke on the amendment.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Senator McLEOD proposed the following Amendment No. 217 (Doc. No. 0741I), which was tabled:

Amend the bill, as and if amended, Part I, Section 38A, Page 405, after Line(s) 29, by:

Adding: Health Plan

Demonstration Project 200,000 200,000
Item Name           ()             ()

Amend totals and title to conform.

Senator WADDELL explained the amendment.

Senator BRYAN moved to lay the amendment on the table.

The amendment was laid on the table.

Senators LAND and WADDELL proposed the following Amendment No. 347 (Doc. No. 0801I), which was adopted:

Amend the bill, as and if amended, Part I, Section 39, Page 419, Line(s) 40, by:

Striking:   1,125,081   1,052,081 And

()                 ()

Inserting: 1,145,081 1,072,081

()                 ()

Amend totals and title to conform.

Senator WADDELL explained the amendment.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Senators MOORE and NELL W. SMITH proposed the following Amendment No. 413 (Doc. No. 4100R), which was tabled:

Amend the bill, as and if amended, Part I, Section 39, Page 425, Line(s) 25, by:

Striking:     49,768,415   9,462,210 And

()                 ()

Inserting:     50,568,415   10,262,210

()                 ()

Amend totals and title to conform.

Senator MOORE argued in favor of the adoption of the amendment.

Senator WADDELL moved to lay the amendment on the table.

The amendment was laid on the table.

Recorded Vote

Senators MOORE, NELL W. SMITH, O'DELL, GIESE and LONG desired to be recorded as voting against the motion to table the amendment.

Senator SALEEBY proposed the following Amendment No. 67A (Doc. No. 3914R), which was tabled:

Amend the bill, as and if amended, Part I, Section 39, Page 453, after line 6, by:

Adding: Chesterfield Clinic
Renovations   25,000   25,000
Item Name     ()           ()

Amend totals and title to conform.

Senator WADDELL explained the amendment.

Senator WADDELL moved to lay the amendment on the table.

The amendment was laid on the table.

Senator HORACE C. SMITH proposed the following Amendment No. 379A (Doc. No. 0821I), which was adopted:

Amend the Bill, as and if amended, Part I, Section 40, Page 460, after Line 15, by:

Adding: New Day Psychiatric
Rehab Center   50,000   50,000

Item Name       ()           ()

Amend totals and title to conform.

Senator WADDELL explained the amendment.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Senator McGILL proposed the following Amendment No. 116 (Doc. No. 0695I), which was adopted:

Amend the bill, as and if amended, Part I, Section 42, Page 477, Line(s) 3, by:

Inserting: in column 7 and 8

61,000     61,000

()             ()

Amend totals and title to conform.

Senator McGILL argued in favor of the adoption of the amendment.

Senator McGILL moved that the amendment be adopted.

The amendment was adopted.

Senators J. VERNE SMITH, NELL W. SMITH, McLEOD, LEATHERMAN and GIESE proposed the following Amendment No. 300 (Doc. No. 0787I), which was adopted:

Amend the bill, as and if amended, Part I, Section 43, Page 495, Line 29, by:

Striking:   10,460,756   10,460,756 And

()                 ()

Inserting: 11,498,996 11,498,996

()                 ()

Amend further, Part I, Section 43, Page 497, Proviso 43.7 by striking in the right column on line 5 /$616.00/ and inserting /$637.00/.

Amend further, by striking in the right column on line 7 /$591.00/ and inserting /$612.00/.

Amend totals and title to conform.

Senator J. VERNE SMITH argued in favor of the adoption of the amendment.

Senator WADDELL spoke on the amendment.

Senator J. VERNE SMITH moved that the amendment be adopted.

The amendment was adopted.

Senator WADDELL proposed the following Amendment No. 367 (Doc. No. 0817I), which was adopted:

Amend the bill, as and if amended, Part I, Section 49, Page 519, Line(s) 25, by:

Adding:   IPP Equip.   40,000   40,000

Item Name   ()           ()

Amend totals and title to conform.

Senator WADDELL explained the amendment.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Senator BRYAN proposed the following Amendment No. 329A (Doc. No. 0802I), which was adopted:

Amend the bill, as and if amended, Part I, Section 54, Page 542, after Line(s) 31, by :

Adding: Preadjudication

Detention Center   245,000   245,000

Item Name             ()             ()

Amend further, Page 543, Proviso 54.___, by adding:

/54.__ Of the funds authorized for the Department of Youth Services in sub-subitem (j) of subitem (24), Section 1, of Act 638 of 1988, $215,000 may be used for the construction of a pre-adjudication detention center. If a law is not enacted authorizing the construction of a pre-adjudication center or if adequate startup money is not secured in this fiscal year, the funds authorized to be expended pursuant to this proviso must lapse to the General Fund./.

Amend totals and title to conform.

Senator BRYAN explained the amendment.

Senator BRYAN moved that the amendment be adopted.

The amendment was adopted.

Senators LINDSAY, WILLIAMS, DRUMMOND, McLEOD, SALEEBY, MACAULAY, O'DELL, POPE, HINDS, McGILL and PEELER proposed the following Amendment No. 253B (Doc. No. 4024R), which was tabled:

Amend the bill, as and if amended, Part I, Section 61, Page 573, Line(s) 38 and 39, by:

Adding: Admin. Spec. A 13,465 13,465

Item Name (1.00) (1.00)

Amend the bill, as and if amended, Part I, Section 61, Page 574, Line(s) 3 and 4, by:

Adding: Asst. Professor 84,140 84,140

Item Name (2.00) (2.00)

Amend the bill, as and if amended, Part I, Section 61, Page 574, Line(s) 5 and 6, by striking:

211,724 211,724 And
(8.00) (8.00)

Inserting: 264,655 264,655

(10.00) (10.00)

Amend the bill, as and if amended, Part I, Section 61, Page 574, Line(s) 7 and 8, by:

Adding: 29,066 29,066

Item Name (1.00) (1.00)

Amend totals and title to conform.

Senator POPE explained the amendment.

Senator McCONNELL moved to lay the amendment on the table.

The amendment was laid on the table.

Senators LAND and PEELER proposed the following Amendment No. 276 (Doc. No. 0768I), which was adopted:

Amend the Bill, as and if amended, Part 1, Section 61, Page 576, Line(s) after 12, by:

Adding: Soil Diagnostic Lab 175,000 175,000
Equipment
Item Name () ()

Amend totals and title to conform.

Senator LAND explained the amendment.

Senator LAND moved that the amendment be adopted.

The amendment was adopted.

Senators PEELER and LAND proposed the following Amendment No. 359 (Doc. No. 0799I), which was adopted:

Amend the bill, as and if amended, Part I, Section 63, Page 587, Proviso 63.1 by:

INSERTING in the left column, line 25 after /county delegation/ the following:

/, including a majority of the resident senators, if any/

Amend the bill further, as and if amended, page 587, proviso 63.1, left column, line 34, by inserting after /delegation/ the following:

/, including a majority of the resident senators, if any/

Amend the bill further, as and if amended, page 587, proviso 63.2, right column, line 22, by inserting after /delegation/ the following:

/, including a majority of the resident senators, if any,/

Amend the bill further, as and if amended, page 587, proviso 63.2, right column, line 23, by inserting after /county delegation/ the following:

/, including a majority of the resident senators, if any,/

Amend sections, totals and title to conform.

Senator LAND explained the amendment.

Senator LAND moved that the amendment be adopted.

The amendment was adopted.

Senator WADDELL proposed the following Amendment No. 101C (Doc. No. 0794I), which was adopted:

Amend the bill, as and if amended, Part I, Section 64, Page 589, Line(s) 14, by:

Striking:       567,098   198,512 And

()           ()

Inserting:       422,753   214,167

()           ()

Amend further page 589, line 15 by:

Striking:       178,727   163,727 And

()           ()

Inserting:       194,382   179,382

()           ()

Amend further page 589, line 17 by:

Striking:       156,334   126,334 And

()           ()

Inserting:       171,988   141,988

()           ()

Amend totals and title to conform.

Senator WADDELL explained the amendment.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Senator LONG proposed the following Amendment No. 226A (Doc. No. 4011R), which was tabled:

Amend the bill, as and if amended, Part I, Section 66, Page 597, Line(s) 20, by:

Striking:         3,202,153   2,026,737 And

()               ()

Inserting:         3,552,153   2,376,737

()               ()

Amend totals and title to conform.

Senator LONG argued in favor of the adoption of the amendment.

Senator LEVENTIS moved to lay the amendment on the table.

The amendment was laid on the table.

Senator LONG proposed the following Amendment No. 227 (Doc. No. 4008R), which was adopted:

Amend the bill, as and if amended, Part I, Section 66, Page 598, after line 18, by:

Adding:   Freewood's Farm 100,000 100,000

Item Name     ()           ()

Amend totals and title to conform.

Senators LONG and FIELDING argued in favor of the adoption of the amendment.

Senator HINDS spoke in favor of the amendment.

Senator GIESE moved to lay the amendment on the table.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Bryan                     Courson                   Giese
Leatherman                Leventis                  McConnell
Rose                      Russell                   Stilwell
Wilson                    

Total--10

NAYS

Drummond                  Fielding                  Gilbert
Hinds                     Land                      Long
Macaulay                  Martschink                Matthews
McGill                    Moore                     Mullinax
O'Dell                    Passailaigue              Pope
Setzler                   Shealy                    Smith, H.C.
Smith, J.V.               Smith, N.W.               

Total--20

The Senate refused to table the amendment.

Senator LONG moved that the amendment be adopted.

The amendment was adopted.

Senator LEVENTIS proposed the following Amendment No. 267A (Doc. No. 0766I), which was adopted:

Amend the bill, as and if amended, Part I, Section 66, Page 600, Proviso 66. by:

ADDING/INSERTING THE FOLLOWING:

/66.___ The Department of Parks, Recreation and Tourism shall not be allowed to open any new tourist reception centers during fiscal year 1990-1991./

Amend sections, totals and title to conform.

Senator LEVENTIS argued in favor of the adoption of the amendment.

Senator LEVENTIS moved that the amendment be adopted.

Senator LONG moved to lay the amendment on the table.

The Senate refused to table the amendment.

Senator LEVENTIS moved that the amendment be adopted.

The amendment was adopted.

Senator MOORE proposed the following Amendment No. 289 (Doc. No. 1572o), which was adopted:

Amend the bill, as and if amended, Part I, Section 71, Page 612, by adding an appropriately numbered paragraph to read:

/71.__.   The Savannah Valley Authority Board of Directors shall develop a recommended board structure plan that includes a method of assuring board representation for the entire extent of the Savannah River Basin. This plan must be presented to the House of Representatives Ways and Means Committee and the Senate Finance Committee before October 16, 1990./

Amend sections, totals and title to conform.

Senator MOORE argued in favor of the adoption of the amendment.

Senator MOORE moved that the amendment be adopted.

The amendment was adopted.

Senators WADDELL and LINDSAY proposed the following Amendment No. 355 (Doc. No. 2058X), which was adopted:

Amend the bill, as and if amended, Part I, Section 80, page 0641, by adding an appropriately numbered paragraph to read:

/80.__.   Funds received by the Department of Consumer Affairs pursuant to registrations under Chapter 102 of Title 59 of the 1976 Code may be retained by the department for its enforcement duties relating to athlete agents and student athletes under that chapter./

Renumber sections to conform.

Amend totals and title to conform.

Senator WADDELL explained the amendment.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Senators WADDELL and LINDSAY proposed the following Amendment No. 356 (Doc. No. 2057X), which was adopted:

Amend the bill, as and if amended, Part I, Section 80, Department of Consumer Affairs, page 0641, by adding an appropriately numbered paragraph to read:

/80.__.   Of the total refunds due the State of South Carolina from overcharges on touch-tone telephone services, the Department of Consumer Affairs may retain the first forty thousand dollars received, and the department must use these refund monies for its Expert Witness Fund./

Renumber sections to conform.

Amend totals and title to conform.

Senator WADDELL explained the amendment.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Senator WADDELL proposed the following Amendment No. 292 (Doc. No. 1972X), which was adopted:

Amend the bill, as and if amended, Part I, Section 82, State Tax Commission, Page 0653, Proviso 82.4, line 39, by striking the period and inserting:

/of businesses licensed under Section 12-35-310 of the 1976 Code in the requesting county./

Amend sections, totals and title to conform.

Senator WADDELL argued in favor of the adoption of the amendment.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Senator WADDELL proposed the following Amendment No. 293 (Doc. No. 1971X), which was adopted:

Amend the bill, as and if amended, Part I, Section 82, State Tax Commission, Page 0654, Proviso 82.10 by:

Deleting the proviso in its entirety.

Amend sections, totals and title to conform.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Senator WADDELL proposed the following Amendment No. 388 (Doc. No. 0826I), which was adopted:

Amend the bill, as and if amended, Part I, Section 103, Page 683, Line(s) 11, by:

Striking:       8,111   8,111 And

()         ()

Inserting:     5,111   5,111

()         ()

Amend further, page 583, line 14 by:

Striking:       1,947   1,947 And

()         ()

Inserting:     1,002   1,002

()         ()

Amend further, page 583, line 15 by:

Striking:       1,000   1,000 And

()         ()

Amend totals and title to conform.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Senators McGILL and HINDS proposed the following Amendment No. 303 (Doc. No. 1674o), which was adopted:

Amend the bill, as and if amended, Part I, Section 124, Page 0723, by adding an appropriately numbered proviso to read:

/124. . Twenty-five thousand dollars of "C" funds allocated to Williamsburg County and twenty-five thousand dollars from "C" funds allocated to Georgetown County may be spent on moving water lines disrupted by the reconfiguration of Highway S. 21 (County Line Road) which formulates a portion of the boundary between Williamsburg and Georgetown Counties./

Amend totals and title to conform.

Senator LAND moved that the amendment be adopted.

The amendment was adopted.

Senators McCONNELL and ROSE proposed the following Amendment No. 311 (Doc. No. 4044R), which was tabled:

Amend the bill, as and if amended, Part I, Section 129, Page 725, Proviso 129.8 by:

INSERTING AFTER LINE 23, THE FOLLOWING:

"The salary of any executive administrative personnel of an institution of higher education, except the president, which is paid from appropriated general fund monies for purely administrative services, may not exceed the highest general fund appropriated salary paid to any state agency head other than a college or university president."

Amend sections, totals and title to conform.

Senator McCONNELL argued in favor of the adoption of the amendment and Senator GIESE argued contra.

Senator GIESE moved to lay the amendment on the table.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Drummond                  Giese                     Gilbert
Hinds                     Land                      Long
McGill                    Moore                     Mullinax
O'Dell                    Pope                      Saleeby
Setzler                   Shealy                    Smith, H.C.
Smith, J.V.               Smith, N.W.               Waddell
Wilson                    

Total--19

NAYS

Bryan                     Courson                   Fielding
Hinson                    Leatherman                Leventis
Macaulay                  Martschink                Matthews
McConnell                 Mitchell                  Passailaigue
Rose                      Russell                   Stilwell

Total--15

The amendment was laid on the table.

Senator MOORE proposed the following Amendment No. 369 (Doc. No. 0816I), which was adopted:

Amend the bill, as and if amended, Part I, Section 129, Page 737, Proviso 129. by:

ADDING/INSERTING THE FOLLOWING:

/Upon approval by the Governor and the Joint Committee on Energy pursuant to applicable federal regulations and court decisions, effective on or after July 1, 1990, the State Treasurer shall transfer from the Oil Overcharge Fund $2 million to the Solid Waste Trust Fund./.

Amend sections, totals and title to conform.

Senator MOORE explained the amendment.

Senator MOORE moved that the amendment be adopted.

The amendment was adopted.

Senators LINDSAY, WADDELL and LOURIE proposed the following Amendment No. 392 (Doc. No. 2087X), which was ruled out of order:

Amend the bill, as and if amended, in PART I, page 737, by adding a new section immediately after Section 129.54 in the right hand column to read:

/129._____. (A) On the sale or lease of those items subject to the maximum sales, use, and casual excise tax provided pursuant to Section 12-35-516 of the 1976 Code, there is imposed a sales, use, or casual excise surtax, as applicable, equal to:

(1) one percent of the taxable amount exceeding six thousand dollars but not more than eight thousand dollars, and

(2) two percent of the taxable amount exceeding eight thousand dollars but not more than ten thousand dollars.

The surtax on leases is payable at the time of the execution of the lease.

The surtax imposed by this section must be paid and collected in the manner that sales taxes are paid and collected.

(B)   This section is effective for the 1990-91 state fiscal year./

Renumber sections to conform.

Amend totals and title to conform.

Senator WADDELL argued in favor of the adoption of the amendment.

Point Of Order

Senator McCONNELL raised a Point of Order that the amendment was out of order inasmuch as it was violative of Section 11-11-440 of the South Carolina Code of Laws, 1976, as amended, which prohibits "any general tax increase... or new general taxes in the permanent provisions of the State General Appropriation Act" and further provides "such general tax increases or new general taxes must be enacted only by separate act."

Senator BRYAN spoke on the Pont of Order.

Senator MACAULAY spoke on the Point of Order.

Senator McCONNELL spoke on the Point of Order.

The PRESIDENT overruled the Point of Order.

Point Of Order

Senator MACAULAY raised a Point of Order that the amendment was out of order inasmuch as it was violative of Section 12-35-516 of the South Carolina Code of Laws, 1976, as amended.

The PRESIDENT sustained the Point of Order.

Senators LEATHERMAN and MOORE proposed the following Amendment No. 283-A (Doc. No. 0784I), which was adopted:

Amend the bill, as and if amended, Part I, Section 3, Page 35, Proviso 3. by:

ADDING/INSERTING THE FOLLOWING:

/3.___ The Education Study Committee shall create a subcommittee for the purpose of studying and developing a plan to pilot test the use of video technology in an Adult Literacy Program. The State Superintendent of Education shall appoint two district directors of Adult Education to work with the subcommittee. The subcommittee may confer with any person or organization that may be helpful in its study. All state agencies shall cooperate with the subcommittee in helping to carry out its work. The subcommittee must submit the results of its study along with its recommendations to the General Assembly by February 6, 1991./

Amend sections, totals and title to conform.

Senator LEATHERMAN explained the amendment.

Senator LEATHERMAN moved that the amendment be adopted.

The amendment was adopted.

Senator GIESE proposed the following Amendment No. 428 (Doc. No. 0772I), which was tabled:

Amend the bill, as and if amended, Part I, Section 14, Page 129, Line(s) 14, by:

Striking:         7,254,760   7,254,760 And

()               ()

Inserting:       10,048,765 10,048,765

()               ()

Amend totals and title to conform.

Senator GIESE argued in favor of the adoption of the amendment.

Senator MACAULAY moved to lay the amendment on the table.

The amendment was laid on the table.

Senator GIESE proposed the following Amendment No. 429 (Doc. No. 0740I), which was tabled:

Amend the Bill, as and if amended, Part I, Section 38A, Page 0406, Line 13, by:

Striking:       52,613,390   14,189,493 And

()                 ()

Inserting:       58,205,698   16,289,793

()                 ()

Amend totals and title to conform.

Senator GIESE argued in favor of the adoption of the amendment.

Senator DRUMMOND moved to lay the amendment on the table.

The amendment was laid on the table.

Senators ROSE and MATTHEWS proposed the following Amendment No. 422 (Doc. No. 4098R), which was tabled:

Amend the Bill, as and if amended, Part I, Section 42, Page 477, after Line 5, by:

Adding: Dorchester Facility 45,000 45,000

Item Name       ()           ()

Amend totals and title to conform.

Senators ROSE and MATTHEWS argued in favor of the adoption of the amendment.

Senator J. VERNE SMITH moved to lay the amendment on the table.

The amendment was laid on the table.

Senators ROSE and MATTHEWS proposed the following Amendment No. 423 (Doc. No. 4099R), which was adopted:

Amend the Bill, as and if amended, Part I, Section 43, Page 496, after Line 28, by:

Adding: Camp Happy Days 10,000 10,000

Item Name     ()           ()

Amend totals and title to conform.

Senator ROSE argued in favor of the adoption of the amendment.

Senator ROSE moved that the amendment be adopted.

The amendment was adopted.

Senator FIELDING proposed the following Amendment No. 424 (Doc. No. 4113R), which was adopted:

Amend the Bill, as and if amended, Part I, Section 49, Page 518, Line 27, by:

Adding:                   21,688   21,688
Item Name   ()           ()

Amend totals and title to conform.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Senator NELL W. SMITH proposed the following Amendment No. 425 (Doc. No. 1256o), which was adopted:

Amend the bill, as and if amended, PART I, SECTION 54-DEPARTMENT OF YOUTH SERVICES, page 532, by adding an appropriately numbered paragraph to read:

/54.___.   The South Carolina Department of Youth Services shall compile data for one year following the effective date of an Act of 1990 passed pursuant to Senate Bill 1485, and that data must reflect the total number of children detained before adjudication, the reasons for those detentions, the average length of those detentions, the percentage of children needing treatment services, and the types of treatment services needed including, but not limited to, the number of children needing mental health services and the number of children needing alcohol and drug abuse treatment. This data must be reported on a quarterly basis to the Joint Legislative Committee on Children./

Renumber paragraphs to conform.

Amend totals and title to conform.

Senator NELL W. SMITH argued in favor of the adoption of the amendment.

Senator NELL W. SMITH moved that the amendment be adopted.

The amendment was adopted.

Senator LINDSAY proposed the following Amendment No. 128A (Doc. No. 0696I), which was adopted:

Amend the Bill, as and if amended, Part I, Section 66, Page 598, Line 17, by:

Striking:     10,000   10,000 And

()           ()

Inserting:     30,000   30,000

()           ()

Amend totals and title to conform.

Senator WADDELL explained the amendment.

Senator J. VERNE SMITH moved that the amendment be adopted.

The amendment was adopted.

Senator ROSE proposed the following Amendment No. 430 (Doc. No. 4101R), which was tabled:

Amend the Bill, as and if amended, Part I, Section 13, Page 77, after Line 31, by:

Adding: Non-Recurring
Appropriation
Poll Managers/Clerks 160,000 160,000

Amend the Bill further, as and if amended, by amending Amendment No. 173 bearing Doc. No. 5098W, as and if amended, Part I, Section 13, Page 78, Proviso 13.3, right column, line 5 by striking /$25.00/ and inserting /$30.00/.

Amend totals, title and renumber sections to conform.

Senator ROSE argued in favor of the adoption of the amendment and Senator WADDELL argued contra.

Senator WADDELL moved to lay the amendment on the table.

The amendment was laid on the table.

Statement By Senator NELL W. SMITH

I withdrew my Amendment No. 426, in the amount of $100,000, for a sludge treatment plant for the towns of Liberty and Pickens with the unanimous consent of the entire Senate that this project would be funded through the Federal Match Program at the amount specified. These funds will be provided by Mr. Mike Gulledge's Office of Local Government.

Debate was interrupted by recess.

RECESS

At 12:01 A.M., on motion of Senator WADDELL, the Senate receded from business subject to the Call of the Chair

At 12:09 A.M., the Senate resumed.

COMMITTEE AMENDMENTS WITHDRAWN,
AMENDED AND READ

H. 4802 -- Ways and Means Committee: A JOINT RESOLUTION TO APPROPRIATE MONIES FROM THE CAPITAL RESERVE FUND FOR FISCAL YEAR 1989-90.

On motion of Senator WADDELL, with unanimous consent, the Joint Resolution was taken up for immediate consideration.

On motion of Senator WADDELL, with unanimous consent, the amendment proposed by the Committee on Finance was withdrawn.

The Committee on Finance proposed the following amendment (Doc. No. 1962X), which was adopted:

Amend the resolution, as and if amended, by striking all after the enacting words and inserting:

/SECTION 1. In accordance with the provisions of Article III, Section 36(B)(2) and (3), Constitution of South Carolina, 1895, and Section 11-11-320(C) and (D) of the 1976 Code, there is appropriated from the monies available in the Capital Reserve Fund for fiscal year 1989-90 the following amounts:

(1)   Election Commission

Statewide Election   1,150,000

1.1 Managers and clerks of state

and county elections shall

receive a per diem of $25.00;

but managers may not be paid

for more than two days for

any election and clerks for

not more than three days for any

election.

(2)   (a) Higher Education

Formula Funding   6,141,200

(b)   Commission on

Higher Education

Cutting Edge   2,500,000

(c)   TEC Equipment   885,000

2.1   Of the funds appropriated

in this item for the

Cutting Edge, a minimum

of $200,000 must be

allocated to the Palmetto

Fellows Scholarship.

(3)   Educational Television

(a)   Equipment Lease Payment   340,000

(b)   School Reception Equipment   200,000

(4)   Budget and Control Board -

State Auditor

Computer Equipment and Printers   66,400

(5)   Department of Corrections

(a)   New Facilities Equipment   780,000

(b)   Vehicle Replacement   250,000

(c)   FY 90 Personal Service

Shortfall   1,700,000

(6)   Probation, Pardon and Parole

Statewide Data Network   308,500

(7)   Parks, Recreation and Tourism

Park Improvements   68,714

(8)   Workers' Compensation Commission

Data Processing   30,000

(9)   Budget and Control Board -

Financial Data Systems

Mainframe Lease Payment   359,227

(10)   Tax Commission

Furniture Lease Payment   375,000

(11)   Commission on Appellant Defense

Computer Network   28,576

(12)   Adjutant General

Armory Maintenance   75,000

(13)   Wil Lou Gray Opportunity School

Recondition Cooling System   163,646

(14)   School for the Deaf and Blind

Vehicles   50,000

(15)   Health and Human Services

Finance Commission

(a)   SSBG Equipment Replacement   144,573

(b)   EPSDT Subsystem   100,000

(16)   Department of Mental Retardation

Day Program Capital Needs   181,000

(17)   Commission on Blind

Radio Station Equipment   23,345

(18)   Commission on Aging

Computer System   95,288

(19)   Commission on Women

(a)   Copier   5,725

(b)   Computer Training   640

(20)   Land Resources

Flood Prevention Projects   50,000

(21)   Clemson University -

Public Service Activities

Acid Rain Project   60,000

(22)   Wildlife and Marine Resources

Research Vessel Lab Equipment   175,000

TOTAL CAPITAL RESERVE

FUND APPROPRIATION   16,306,834

SECTION 2. This act takes effect thirty days after the completion of the 1989-90 fiscal year in accordance with the provisions of Article III, Section 36(B)(3)(a), Constitution of South Carolina, 1895, and Section 11-11-320(D)(1) of the 1976 Code./

Amend totals and title to conform.

Senator WADDELL argued in favor of the adoption of the amendment.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Senator SETZLER proposed the following amendment (Doc. No. 0827I), which was adopted:

Amend the Bill, as and if amended, by adding an appropriately numbered Section to read:

/Section ____. Of the funds appropriated herein for higher education formula funding, the Commission on Higher Education shall allocate these funds to the state's public colleges and universities and to the State Board for Technical and Comprehensive Education in no other manner than according to the formula for funding higher education as officially approved by the Commission as of April 1, 1990./

Amend title and renumber sections to conform.

Senator SETZLER explained the amendment.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

The question was the second reading of the Joint Resolution.

The "ayes" and "nays" were demanded and taken, resulting as follows:

AYES

Bryan                     Courson                   Drummond
Fielding                  Giese                     Gilbert
Hayes                     Helmly                    Hinds
Hinson                    Holland                   Land
Leatherman                Lee                       Leventis
Lindsay                   Long                      Lourie
Macaulay                  Martin                    Martschink
Matthews                  McConnell                 McGill
McLeod                    Mitchell                  Moore
Mullinax                  O'Dell                    Passailaigue
Patterson                 Peeler                    Pope
Rose                      Russell                   Saleeby
Setzler                   Shealy                    Smith, H.C.
Smith, J.V.               Smith, N.W.               Stilwell
Thomas                    Waddell                   Williams
Wilson                    

Total--46

NAYS

                          Total--0

The resolution was read the second time, passed and ordered to a third reading.

Ordered To A Third Reading

On motion of Senator WADDELL, with unanimous consent, H. 4802 was ordered to receive a third reading on Tuesday, May 29, 1990.

AMENDED, READ THE THIRD TIME
H. 4800
GENERAL APPROPRIATION BILL

The Senate resumed consideration of the Bill. The question being the third reading of the Bill.

Senators MOORE, SETZLER and LEVENTIS proposed the following Amendment No. 432 (Doc. No. 4114R), which was adopted:

Amend the bill, as and if amended, Part I, Section 14Q, Page 129, Line 08 by:

Striking:   12,131,565   12,131,565 And

( )   ( )

Inserting:   2,052,415   2,052,415

( )   ( )

Amend further by adding the following new proviso to Part I, Section 14, Page 140 to read:

/14. ___   The Budget and Control Board must require each agency to develop and implement a written plan specifying an aggregate reduction not to exceed .43%, which plan must identify specific item reductions based on the lowest priority funding for the various programs of that agency. The plan must be submitted to the Senate Finance Committee, House Ways & Means Committee and the Budget & Control Board not later than February 1, 1991. The reduction must be made in each agency's general fund appropriations as contained in this Act, with the exception of the Education Finance Act, the Capital Reserve Fund and Debt Service, so as to allocate equally the reduction each agency must make to compensate for the adjustment of $10,079,150 in the Merit pay./

Amend totals and title to conform.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

Statement By Senator WILSON

I applaud the Chairman of the Finance Committee for his leadership in promoting the across the board appropriation cut in lieu of a tax increase to achieve a balanced budget.

This is the fairest process to equalize cuts and it is an affirmation of confidence in our agency heads that they can manage by adjusting to this minimal less than a one percent cut.

This procedure of across the board cuts is time-honored in South Carolina and I hope it is used in the future to slow down the growth of government.

Senator WADDELL proposed the following Amendment No. 433 (Doc. No. 0788I), which was adopted:

Amend the bill, as and if amended, Part I, Section 28, Page 0341, Line(s) 34, by:

Striking:     1,841,630                           And

( )               ( )

Inserting:     1,950,130

( )               ( )

Amend further, as and if amended, Part I, Section 38, Page 406, line 11, by:

Striking:     308,796,894         37,614,359 And

Inserting:     331,474,594         37,614,359

Amend further, as and if amended, Part I, Section 128, Page 723F, by:

Striking on line 2, in the last column, /1,221,285,094/ and inserting /1,205,719,094/.

Amend further by striking on line 4, in the last column, /1,510,294,000/ and inserting /1,512,212,447/.

Amend further by striking on line 5, in the last column, /206,746,000/ and inserting /207,001,000/.

Amend further by striking on line 9, in the last column, /8,713,000/ and inserting /6,650,000/.

Amend further by striking on line 11, in the last column, /48,471,640/ and inserting /49,101,640/.

Amend further by striking on line 13, in the last column, /76,805,000/ and inserting /77,953,000/.

Amend further by striking on line 20, in the last column, /46,431,989/ and inserting /44,345,137/.

Amend further by striking on line 21, in the last column, /17,650,000/ and inserting /12,650,000/.

Amend further by striking on line 22, in the last column, /71,200,000/ and inserting /71,829,081/.

Amend further by striking on line 43, in the last column, /2,740,000/ and inserting /4,543,422/.

Amend further, page 0723G, by striking on line 9, in the last column, /307,221,273/ and inserting /303,329,773/.

Amend further, Part II, Section 4, Page 739, by striking the section in its entirety.

Amend title, totals and sections to conform.

Senator WADDELL moved that the amendment be adopted.

The amendment was adopted.

There being no further amendments, the Bill was read the third time, passed and ordered returned to the House of Representatives with amendments.

Statement By Senator PASSAILAIGUE

I am voting against the State Appropriation Act for a number of reasons. First and most importantly, the Senate has been intimidated by outside influences which have had a major input on the deliberations. Political considerations have been put ahead of sound, conservative fiscal policy.

On the revenue side, the budget was balanced by "gimmickitry." Gambling on poker machines was legalized by raising $18,000,000 of new license fees that were described by the Finance Committee as "soft"; that's to say, money that in all probability, will not materialize.

In addition, borrowing money to pay for state operating expenses (which is so in vogue at the federal level) has now been incorporated into our state budget process. Rather than live within our means, it is now acceptable to let our children pay our bills. We blame all of this on Hurricane Hugo, yet the proponents of deficit financing have not produced evidence that the unreimbursed expenditures attributable to the storm exceeded the significant new sales and income tax revenue generated by the billions of new dollars pumped into the state's economy after the hurricane. The Lieutenant Governor saw through this charade and ruled the whole scheme out of order because it violated permanent statutory law.

It is true that there is a deficit this fiscal year. The shortfall is not the result of a hurricane, rather the short-sighted tax and fiscal policies of a few. Evidence the fact that corporate income tax collections will be approximately $60 million short of projections, largely due to a 25% cut in the corporate income tax since 1986.

This "smoke and mirrors" approach to revenue feeds ridiculous increases in spending plans. Once again, we continue to add thousands of new state employees. This is especially disconcerting because it makes it next to impossible to pay our valued existing employees a decent level of compensation. It precludes us from adopting a step-pay program because of inadequate funds.

While the Finance Committees has been a lot more responsible to funding education and health and human services, it is still inadequate. Textbooks and school buses are a prime example. As a result, the young and truly needy will suffer.

While I have no problem dedicating resources to economic development and areas such as tourism, I find it contradictory on the part of some to propose these new spending programs without asking the business community to pay its "fair" share.

Our tax burden continues to be the highest in the South and much too regressive. An amendment to reallocate the capital gains giveaway that benefits about only 5% of the population (who by and large our the most affluent) and distribute it to working households and people on fixed income failed. As a result, hundreds of thousands of hard working individuals and retirees on fixed income will continue to suffer.

I predict the actions of the Senate on this Appropriation Act has set us up for enormous problems (fiscal and otherwise) in the upcoming years.

Statement By Senator WILSON

I voted "No" on the Appropriation Bill because I oppose the reapportionment amendment banning the Governor's advice and counsel.

Time Fixed

Senator WADDELL moved that when the Senate adjourns, it stand adjourned to meet Tuesday, May 29, 1990, at 12:00 Noon, which motion was adopted.

ADJOURNMENT

At 12:37 A.M., on motion of Senator WADDELL, the Senate adjourned to meet Tuesday, May 29, 1990, at 12:00 Noon.

* * *


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