S 1433 Session 110 (1993-1994)
S 1433 General Bill, By Rankin, Elliott and G. Smith
A Bill to amend Title 31, Code of Laws of South Carolina, 1976, by adding
Chapter 12 so as to authorize the creation of a Redevelopment Authority to
acquire and dispose of federal military installations, and to provide for the
composition of the Authority, its powers, duties, and responsibilities.
05/25/94 Senate Introduced, read first time, placed on calendar
without reference SJ-9
05/25/94 Senate Unanimous consent for second reading on next
legislative day SJ-9
05/25/94 Senate Unanimous consent for third reading on next
legislative day SJ-9
05/26/94 Senate Read second time SJ-62
05/26/94 Senate Reconsidered SJ-62
05/26/94 Senate Amended SJ-63
05/26/94 Senate Read second time SJ-82
05/26/94 Senate Ordered to third reading with notice of
amendments SJ-82
05/27/94 Senate Read third time and sent to House SJ-11
05/31/94 House Introduced and read first time HJ-31
05/31/94 House Referred to Committee on Judiciary HJ-31
Indicates Matter Stricken
Indicates New Matter
RECONSIDERED AND AMENDED
May 26, 1994
S. 1433
Introduced by SENATORS Rankin, Elliott and
Greg Smith
S. Printed 5/26/94--S.
Read the first time May 25, 1994.
A BILL
TO AMEND TITLE 31, CODE OF LAWS OF SOUTH CAROLINA,
1976, BY ADDING CHAPTER 12 SO AS TO AUTHORIZE THE
CREATION OF A REDEVELOPMENT AUTHORITY TO
ACQUIRE AND DISPOSE OF FEDERAL MILITARY
INSTALLATIONS, AND TO PROVIDE FOR THE COMPOSITION
OF THE AUTHORITY, ITS POWERS, DUTIES, AND
RESPONSIBILITIES.
Amend Title To Conform
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Title 31 of the 1976 Code is amended by adding:
"CHAPTER 12
Redevelopment Authority to Acquire and
Dispose of Federal Military Installations
Section 31-12-10. Short title.
This chapter may be cited as the "Military Facilities
Redevelopment Law".
Section 31-12-20. The General Assembly finds that:
(1) As a result of the closure and realignment of military
installations in the United States, federal property located in the State
has and will become available for the State's use. It is in the best
interests of the citizens of this State for the State, municipalities, and
counties to work in concert and oversee and dispose of federal military
facilities and other excess federal property, in an orderly and
cooperative manner. It is the intent of this chapter that redevelopment
authorities may be appointed to deal with military facilities that have
been scheduled for closure by the United States Congress and to
consult with the federal government pursuant to federal law relating
to defense base closure and realignment. If any other incidental excess
federal property is included with a scheduled closing, that property
may also be dealt with by the authorities.
(2) The redevelopment of these facilities may often require
substantial periods of time and substantial investment in
redevelopment of the properties, including public infrastructure on the
properties themselves and in the communities immediately surrounding
the properties in order to re-integrate the former military facilities into
the surrounding communities, and all reasonable means should be
provided to assist the redevelopment authorities created pursuant to
this chapter to fund improvements for redevelopment, including, in the
case of properties located within incorporated municipalities, tax
increment financing as authorized by Section 14 of Article X of the
Constitution of South Carolina.
Section 31-12-30. As used in this chapter, unless the context
clearly indicates otherwise:
(1) `Area of Operation' means the area within the territorial
boundaries of the counties entitled to representation on an authority
which consist of both the real property to be disposed of by an
authority as well as any other properties disposed of directly by the
federal government to public or private persons or entities, other than
disposal to the federal government for other military uses, in
connection with military installation closure and realignment, together
with such areas of the surrounding community as may need planning
for infrastructure improvements to support the redevelopment project
area.
(2) `Authority' means a redevelopment authority created pursuant
to Section 31-12-40.
(3) `Municipality' means an incorporated municipality of this
State.
(4) `Obligations' means bonds, notes, or other evidence of
indebtedness issued by the municipality to carry out a redevelopment
project or to refund outstanding obligations.
(5) `Redevelopment plan' means the comprehensive program of
the authority for redevelopment intended by the payment of
redevelopment costs to redevelop properties scheduled for disposal
which may tend to return properties to the tax rolls, replace lost jobs,
and integrate the properties back into the community, thereby
enhancing the tax bases of the taxing districts which extend into the
project redevelopment area and the economic health of the community
in which it lies. Each redevelopment plan shall set forth in writing the
program to be undertaken to accomplish the objectives and shall
include, but not be limited to, estimated redevelopment project costs,
possible sources of funds to pay costs, the most recent equalized
assessed valuation of the project area as of the time of creation of a
tax increment finance district pursuant to Section 31-12-200, an
estimate as to the equalized assessed valuation after redevelopment,
and the general land uses to apply in the redevelopment project area.
(6) `Redevelopment project' means any buildings, improvements,
including street improvements, water, sewer and storm drainage
facilities, parking facilities, and recreational facilities. Any project or
undertaking authorized under Section 6-21-50 may also qualify as a
redevelopment project under this chapter. All such projects may be
owned by the authority, the municipality, the county, or any other
appropriate public body. This term shall include portions of the
redevelopment project located outside the redevelopment project area
so long as they provide needed infrastructure support for the
redevelopment project area.
(7) `Redevelopment project area' means an area within the
incorporated area of a municipality and designated pursuant to Section
31-12-200, which is not less in the aggregate than one and one-half
acres. It shall include both the real property to be disposed of by an
authority as well as any other properties disposed of directly by the
federal government to public or private persons or entities, other than
disposal to the federal government for other military uses, in
connection with military installation closure and realignment.
Redevelopment project areas designated pursuant to Section 31-12-200
shall not be counted against the limits on acreage of redevelopment
project areas within municipalities contained in Section 31-6-30(7).
(8) `Redevelopment project costs' means and includes the sum
total of all reasonable or necessary costs incurred or estimated to be
incurred and any costs incidental to a redevelopment project. The
costs include, without limitation:
(a) Costs of studies and surveys, plans, and specifications;
professional service costs including, but not limited to, architectural,
engineering, legal, marketing, financial, planning, or special services.
(b) Property assembly costs including, but not limited to,
acquisition of land and other property, real or personal, or rights or
interest therein, demolition of buildings, and the clearing and grading
of land.
(c) Costs of rehabilitation, reconstruction, repair, or remodeling
of a redevelopment project.
(d) Costs of the construction of a redevelopment project.
(e) Financing costs including, but not limited to, all necessary
and incidental expenses related to the issuance of obligations and
which may include payment of interest on any obligations issued
under the provisions of this chapter accruing during the estimated
period of construction of any redevelopment project for which the
obligations are issued and including reasonable reserves related
thereto.
(f) Relocation costs to the extent that a municipality determines
that relocation costs must be paid or required by federal or state law.
(9) `Taxing districts' means counties, incorporated municipalities,
schools, special purpose districts, and any other municipal corporations
or districts with the power to levy taxes.
(10) `Real property' shall include all property assessed under
authority of Section 12-4-540 when such term is used in this chapter
with regard to tax increment financing.
Section 31-12-40. (A) Consistent with subsection (B), the
Governor may create separate and distinct bodies corporate and politic
to be known as redevelopment authorities to oversee the disposition of
real and personal federal property that has been or will be turned over
to the State or to the redevelopment authority as referred to in the
Defense Base Closure and Realignment Act, 10 U.S.C. 2901, et seq.,
as it may be amended from time to time, by the federal government
or real and personal federal property that has been designated as
surplus property by the federal government and is to be disposed of
by the State or the redevelopment authority as a result of the closure
and realignment of military facilities in the State. No more than one
authority may be created with jurisdiction over a single federal
military installation. Only one authority may be designated within any
county and the Governor shall exercise his authority under this chapter
in such a manner as to ensure that the composition of any authority
created under this section shall be structured or restructured in
accordance with the requirements contained hereinbelow as additional
properties may be added through other closures and realignments, as
properties are disposed of and as federally defined Metropolitan
Statistical Areas (MSA's) are redefined, from time to time. If an
authority is established, it shall be the sole representative of the State
for negotiations with the appropriate federal authority for reuse and
disposal of property.
(B) If the federal property subject to disposal is contained wholly
within one county, which county does not lie in an MSA extending
over more than one South Carolina county, the authority must include:
(1) two representatives of the State, nominated by a majority of
the Senate and a majority of the House, who must be appointed by the
Governor;
(2) three representatives of the county appointed by the county
governing body;
(3) three representatives of each municipality in which the
municipality's boundaries contain all or a portion of the military
properties scheduled for disposal, appointed by the municipal
governing body; and
(4) one at-large appointment by the Governor, with the advice
and consent of the Senate, who shall be a resident of the county.
(C) No member of an authority may be an elected official or
have held an elected office within six months of the date on which the
member begins service on an authority. Nor may any member hold
another office of honor or profit of this State while serving on the
authority as prohibited by the South Carolina Constitution. Each
member of an authority must comply with the provisions of Chapter
13 of Title 8 of the 1976 Code of Laws including the requirement to
file a statement of economic interests.
(D) All executive orders of the Governor establishing any
authority, commission, committee, or other entity relating to or
concerned with the effects of the closure of federal military
installations shall expire on March 1, 1995, if this chapter authorizes
the creation of an authority to address the effects of the federal
military installation in question. The Governor may issue no
executive order relating to the purposes of this chapter except to create
an authority as provided in Section 31-12-40. The Governor may not
create an authority where the federal property subject to disposal is
contained wholly or partly within a county when all or a portion of the
county lies in an MSA which extends over more than one South
Carolina county.
(E) Upon the creation of an authority under the provisions of this
Chapter with regard to property scheduled for disposal which was also
the subject of an executive order of the Governor issued prior to the
effective date of this act, the authority may by its resolution, assume
all or part of the responsibilities and activities of the entity previously
authorized by the executive order.
Section 31-12-50. (A) The term of office for members appointed
pursuant to Sections 31-12-40(B) is as follows: one of the state
representatives, one of the county representatives, and one of the
municipality representatives shall serve a four-year term as designated
by the respective delegation or governing body. The other members
shall serve an initial two-year term, including the at-large appointment
by the Governor. After the initial terms all members shall serve four-year terms. Each member shall hold office until his successor is
appointed and qualified.
(B) Vacancies for the unexpired terms of any member who resigns,
ceases to be qualified, or is removed must be promptly filled in the
manner of the original appointment. Any member who is guilty of
malfeasance, misfeasance, incompetency, persistent absenteeism,
conflicts of interest, misconduct, persistent neglect of duty in office,
or incapacity, is subject to removal by majority vote of the appointing
body upon any of the foregoing causes being made to appear
satisfactory to the appointing body. A member is subject to removal
by an appointing body, with or without cause, upon a two-thirds vote
of an appointing body. An appointing officer may remove a member
of an authority with or without cause. A member shall receive, as the
authority determines, reimbursement for reasonable travel expenses
and other out of pocket expenses incurred in the discharge of the
member's duties.
Section 31-12-60. The Governor's at-large appointment shall
serve for a two year term as chairman of any authority initially
established. The authority shall select its vice chairman and such
other officers as the authority may determine from its membership.
The authority shall select its chairman at all times after the Governor's
first at-large appointee ceases to serve his first term.
The authority may employ or contract for technical experts and
other agents and employees as it may require and may determine the
qualifications and compensation of these persons. A majority of the
members then in office shall constitute a quorum for its meeting. No
member is liable personally for losses unless the losses are occasioned
by the wilful misconduct of the member. An authority may delegate
one or more of its members, agents, or employees any of its powers
that it considers necessary to carry out the purposes of the authority
subject always to the supervision and control of the whole authority.
Section 31-12-70. (A) An authority shall constitute a public body,
corporate and politic, exercising public and essential governmental
powers, which powers shall include all powers necessary or
appropriate to carry out and effectuate the purposes and provisions of
this chapter, including the following powers:
(1) to make and from time to time amend and repeal bylaws,
rules, regulations, and resolutions;
(2) to have perpetual succession;
(3) to adopt a seal;
(4) to sue and be sued;
(5) to make and execute contracts and other instruments
necessary or convenient to the exercise of the powers of the authority;
and any contract or instrument when signed by the chairman or vice
chairman and secretary or assistant secretary of the authority must be
held to have been properly executed for and on its behalf;
(6) to cooperate with any government or municipality as defined
in this title;
(7) to act as agent of the State or federal government or any of
its instrumentalities or agencies for the public purposes set out in this
title;
(8) to prepare or cause to be prepared and adopt redevelopment
plans and to undertake and carry out redevelopment projects within its
area of operation;
(9) to arrange or contract for the furnishing or repair by any
person or agency, public or private, of services, privileges, works,
streets, roads, public utilities, or other facilities for or in connection
with a redevelopment project; provided, however, the power provided
herein shall not be construed to alter or amend the rights,
responsibilities, or powers of electrical utilities, electric cooperatives,
electric suppliers, municipal electric systems, or the Public Service
Authority as provided in Chapter 27 and 31 of Title 58 and Section 5-7-60, as is or as may hereafter be amended;
(10) within its area of operation, to purchase, obtain options
upon, acquire by gift, grant, bequest, devise, or otherwise, any real or
personal property or any interest in it, together with any improvements
on it, necessary or incidental to a redevelopment project, to hold,
improve, clear, or prepare for redevelopment of the property, and sell,
exchange, transfer, assign, subdivide, retain for its own use, mortgage,
pledge or otherwise encumber or dispose of any real or personal
property or any interest in it, either as an entirety to a single
redeveloper or in parts to several redevelopers, to enter into contracts,
either before or after the real property that is the subject of the
contract is acquired by the authority, with redevelopers of property
containing covenants, restrictions, and conditions regarding the use of
the property for residential, commercial, industrial, or recreational
purposes or for public purposes in accordance with the redevelopment
plan and such other covenants, restrictions, and conditions as the
authority may consider necessary to effectuate the purposes of this
chapter; and to provide appropriate remedies for any breach of
covenants or conditions, including the right to terminate the contracts
and any interest in the property created pursuant thereto; to borrow
money and issue bonds and provide security for bonds, provided that
the authority may not pledge the full faith and credit of the state or of
any of its political subdivisions for the repayment of said bonds; to
insure or provide for the insurance of any real or personal property or
operations of the authority against any risks or hazards, including the
power to pay premiums on the insurance; and to enter into any
contracts necessary to effectuate the purposes of this chapter;
(11) to invest any funds held in reserves or sinking funds or any
funds not required for immediate disbursements, in the investments as
may be lawful for guardians, executors, administrators or other
fiduciaries under the laws of this State; and to redeem its bonds at the
redemption price established therein or to purchase its bonds at less
than redemption price, all bonds so redeemed or purchased to be
canceled;
(12) to borrow money and to apply for and accept advances,
loans evidenced by bonds, grants, contributions, and any other form
of financial assistance from the federal government, the State, county,
municipality, or other public body or from any sources, public or
private for the purposes of this chapter, to give this security as may be
required and to enter into and carry out contracts in connection with
it;
(13) within its area of operation, to make or have made all
surveys, studies, and plans necessary to the carrying out of the
purposes of this chapter and in connection with it to enter into or upon
any land, building, or improvement on it for the purposes and to make
soundings, test borings, surveys, appraisals, and other preliminary
studies and investigations necessary to carry out its powers and to
contract or cooperate with any and all persons or agencies, public or
private, in the making and carrying out the surveys, appraisals, studies,
and plans. An authority is specifically authorized to make:
(a) plans for carrying out a program of voluntary repair and
rehabilitation of buildings and improvements; and
(b) plans for the enforcement of laws, codes, and regulations
relating to the use of land, the use and occupancy of buildings and
improvements, and to the compulsory repair, rehabilitation,
demolition, or removal of buildings and improvements, subject to the
approval of the municipality, or county if not within a municipality,
within which the properties lie;
(14) to make expenditures as may be necessary to carry out the
purposes of this chapter; and to make expenditures from funds
obtained from the federal government;
(15) to perform redevelopment project undertakings and activities
in one or more contiguous or noncontiguous redevelopment areas that
are planned and carried out on the basis of annual tax increments in
accordance with the remaining provision of this Chapter.
(B) In carrying out a redevelopment project, an authority may:
(1) with or without consideration and, at private sale, in
accordance with the redevelopment plan, convey real property to the
municipality, county, or other appropriate public body to be laid out
for streets, alleys, and public ways;
(2) with or without consideration, convey at private sale, in
accordance with the redevelopment plan, grant, or dedicate easements
and rights-of-way for public utilities, sewers, streets, and other similar
facilities;
(3) with or without consideration, and at private sale, in
accordance with the redevelopment plan, convey to a municipality,
county, or other appropriate public body, real property to be used for
parks, schools, public buildings, facilities, or other public purposes;
and
(4) temporarily rent or lease, operate, or maintain real property
in a redevelopment area, whether or not in accordance with the
redevelopment plan and pending the disposition of the property for
redevelopment, as may be deemed appropriate.
(C) In developing its redevelopment plans, an authority shall take
into account the needs of the surrounding community and attempt to
integrate the redevelopment of the properties scheduled for disposition
with any adjacent areas. To that end, and with the consent and
concurrence of the local governing body having planning and zoning
authority over the surrounding areas, the authority may prepare and
implement plans for public infrastructure or other improvements which
would be authorized under the Community Development Law for a
municipality in such areas.
(D) In furtherance of its purposes, an authority may issue revenue
bonds, the interest on which may or may not be excludable from gross
income for federal income tax purposes, for the purpose of raising
funds needed from time to time for the financing or refinancing, in
whole or in part, of the acquisition, construction, equipping,
maintenance, and operation of any facility, building, structure, or any
other matter or thing which the authority is authorized to acquire,
construct, equip, maintain, or operate.
Section 31-12-80. (A) Any public body, including the State and
any political subdivision or any public or quasi-public entity or
affiliated corporate entity by whatever name whose board is appointed
pursuant to an act of the General Assembly, upon such terms, with or
without consideration, for the purpose of aiding and cooperating in the
planning, undertaking, or carrying out of a redevelopment project
located within the area in which it is authorized to act, may:
(a) dedicate, sell, convey, or lease any of its interest in any
property, or grant easements, licenses, or any other rights or privileges
therein to an authority;
(b) cause parks, playgrounds, recreational, community,
education, water, sewer, or drainage facilities, or any other works that
it is otherwise empowered to undertake, to be furnished in connection
with a redevelopment project;
(c) furnish, dedicate, close, vacate, pave, install, grade,
regrade, plan or replan streets, roads, sidewalks, ways, or other places
that it is otherwise empowered to undertake;
(d) plan or replan any part of the redevelopment;
(e) cause administrative and other services to be furnished to
the authority of the character which the public body is otherwise
empowered to undertake or furnish for the same or other purposes;
(f) enter into an agreement to pay fees in lieu of taxes as to
any properties it might use, own, or acquire located within the
redevelopment project area, such fees not to exceed amounts which
would otherwise be paid if the properties were not tax exempt, and
upon approval of the municipal governing body, such fees may be
pledged for the repayment of tax increment finance obligations issued
pursuant to this chapter;
(g) enter into an agreement to fund public infrastructure
improvements as a part of redevelopment project in such amounts as
may represent anticipated savings in capital or operating expenditures
of the public body due to its acquisition of properties scheduled for
disposition as a part of the redevelopment project; and,
(h) do any and all things necessary or convenient to aid and
cooperate in the planning or carrying out of a redevelopment plan.
(B) Any sale, conveyance, or agreement provided for in this
section may be made by a public body without public notice,
advertisement, or public bidding.
Section 31-12-90. Notwithstanding any provision of law, neither
the State nor any political subdivision or any public or quasi-public
entity or affiliated corporate entity by whatever name whose board is
appointed pursuant to an act of the General Assembly or any non-profit public or non-profit private corporation chartered for the
purpose of furthering economic development may make a profit on the
sale of real estate to a redevelopment authority created pursuant to this
act; nor may any monies from the authority's assets developed
through the sale, lease, or fees generated from the profits be
transferred to any government entity above, beyond, or outside of the
authority itself, except as may be required or permitted by applicable
provisions of the Defense Base Closure Realignment Act, 10 U.S.C.
2901, et seq., as it may be amended from time to time.
Section 31-12-100. (A) An authority created pursuant to this
chapter may dissolve the authority by a two-thirds vote of the entire
number of authorized members if no property remains for
redevelopment or if the authority decides to transfer the remaining
redevelopment properties to another public body or successor entity
created by statute.
(B) Final dissolution may occur only upon sale of all properties to
the private sector or conveyance to another public entity described in
subsection (A) with the lawful power to receive real and personal
property held by the authority and the satisfaction of all outstanding
obligations of the authority or their lawful assumption by another
public entity described in subsection (A).
(C) Upon a determination to dissolve, the authority may dispose of
any tangible or intangible property remaining after transfer of any
remaining redevelopment properties as provided by law or in the
following manner:
(1) tangible personal property and cash or similar instruments
held by the authority shall be distributed to the local governmental
entities which nominated members to the authority; and
(2) disbursement of assets shall be based on the cash value of
all assets, and shall be distributed in reimbursement to local
government entities which have contributed cash funds or capital
assets in proportion to the dollar value of contributions made by the
government entities that have not been otherwise recovered by the
contributing governmental entity through direct revenues.
(D) The authority shall keep annual and permanent records of cash
contributions and the value of in-kind donations of the governmental
entities, and such records shall be used to determine the distribution
of assets of the authority based on the net present value of such
contributions at the time it is dissolved.
Section 31-12-110. Notwithstanding any provision of law or
regulation, an authority shall be an "agency" for purposes
of Chapter 78 of Title 15.
Section 31-12-120. Notwithstanding any provision of law or
regulation, an authority must comply with the provisions of Chapter
35 of Title 11 (South Carolina Consolidated Procurement Code) and
the related regulations issued by the Budget and Control Board. In
any instance where a provision of this chapter is inconsistent with a
provision of the Procurement Code or regulation, the Procurement
Codes and regulation shall control.
Section 31-12-200. Upon creation of a redevelopment authority by
the Governor, any properties scheduled for disposal within a particular
municipality, whether contiguous or not, including, to the extent that
the State may then or thereafter have or acquire jurisdiction, all
properties over which the State has ceded jurisdiction in whole or in
part to the United States of America, and including both the real
property to be disposed of by an authority as well as any other
properties disposed of directly by the federal government to public or
private persons or entities, other than disposal to the federal
government for other military uses, in connection with military
installation closure and realignment, shall without further action being
necessary be constituted as a tax increment finance district in
accordance with the remaining provisions of this Chapter.
Section 31-12-210. Obligations secured by the special tax allocation
fund set forth in Section 31-12-270 for the redevelopment project area
may be issued by the municipality upon the request of the authority
to provide for redevelopment project costs. The obligations, when so
issued, must be retired in the manner provided in the ordinance
authorizing the issuance of the obligations by the receipts of taxes
levied as specified in Section 31-12-270 against the taxable property
included in the area and other revenue as specified in Section 31-12-310 designated by the municipality or by the authority which source
does not involve revenues from any tax or license. In the ordinance
authorizing the issuance of the obligations the municipality may
pledge all or any part of the funds in and to be deposited in the
special tax allocation fund created pursuant to Section 32-12-200 to
the payment of the redevelopment project costs and obligations. Any
pledge of funds in the special tax allocation fund must provide for
distribution to the taxing districts of monies not required for payment
and securing of the obligations and the excess funds are surplus funds.
In the event a municipality only pledges a portion of the monies in the
special tax allocation fund for the payment of redevelopment project
costs or obligations, any funds remaining in the special tax allocation
fund after complying with the requirements of the pledge are also
considered surplus funds. All surplus funds must be distributed
annually to the taxing districts in the redevelopment project area by
being paid by the municipality to the county treasurer of the county
in which the municipality is located. The county treasurer shall
immediately thereafter make distribution to the respective taxing
districts in the same manner and proportion as the most recent
distribution by the county treasurer to the affected districts of real
property taxes from real property in the redevelopment project area.
In addition to obligations secured by the special tax allocation fund,
the municipality, with the concurrence of the authority evidenced by
its resolution, may pledge for a period not greater than the term of the
obligations toward payment of the obligations any part of the revenues
remaining after payment of operation and maintenance, of all or part
of any redevelopment project.
The obligations may be issued in one or more series, may bear such
date or dates, may mature at such time or times not exceeding thirty
years from their respective dates, may bear such rate or rates of
interest as the governing body shall determine, may be in such
denomination or denominations, may be in such form, either coupon
or registered, may carry such registration and conversion privileges,
may be executed in such manner, may be payable in such medium of
payment, at such place or places, may be subject to such terms of
redemption, with or without premium, may be declared or become due
before the maturity date thereof, may provide for the replacement of
mutilated, destroyed, stolen, or lost bonds, may be authenticated in
such manner and upon compliance with such conditions, and may
contain such other terms and covenants, as may be provided by the
governing body of the municipality. If the governing body determines
to sell any obligations the obligations must be sold at public or private
sale in such manner and upon such terms as the governing body
considers best for the interest of the municipality.
The obligations must be issued within fifteen years of the creation
of the tax increment finance district in accordance with Section 31-12-200.
A certified copy of the ordinance authorizing the issuance of the
obligations must be filed with the clerk of the governing body of each
county and treasurer of each county in which any portion of the tax
municipality is situated and shall constitute the authority for the
extension and collection of the taxes to be deposited in the special tax
allocation fund.
A municipality also may issue its obligations to refund in whole or
in part obligations previously issued by the municipality under the
authority of this chapter, whether at or prior to maturity, and all
references in this chapter to "obligations" are considered
to include these refunding obligations.
The debt incurred by a municipality pursuant to this chapter is
exclusive of any statutory limitation upon the indebtedness a taxing
district may incur. All obligations issued pursuant to this chapter shall
contain a statement on the face of the obligation specifying the sources
from which payment is to be made and shall state that the full faith,
credit, and taxing powers are not pledged for the obligations.
The trustee or depositary under any indenture may be such persons
or corporations as the governing body designates, or they may be
nonresidents of South Carolina or incorporated under the laws of the
United States or the laws of other states of the United States.
Section 31-12-250. The proceeds from obligations issued under
authority of Sections 31-12-200 through 31-12-320 of this chapter
must be applied only for the purpose for which they were issued. Any
premium and accrued interest received in any such sale must be
applied to the payment of the principal of or the interest on the
obligations sold. Any portion of the proceeds not needed for
redevelopment project costs must be applied to the payment of the
principal of or the interest on the obligations.
Section 31-12-260. The obligations authorized by this chapter and
the income from the obligations and all security agreements and
indentures executed as security for the obligations made pursuant to
the provisions of this chapter and the revenue derived from the
obligations are exempt from all taxation in the State of South Carolina
except for inheritance, estate, or transfer taxes and all security
agreements and indentures made pursuant to the provisions of this
chapter are exempt from all state stamp and transfer taxes.
Section 31-12-270. A municipality, after the adoption of an
ordinance pursuant to Section 31-12-280 concurring in an authority's
redevelopment plan, may issue obligations under this chapter upon the
request of the redevelopment authority to finance the redevelopment
project upon adoption of an ordinance providing that:
(1) after the issuance of the obligations; and
(2) after the total equalized assessed valuation of the taxable real
property in a redevelopment project area exceeds the certified
"total initial equalized assessed value" established in
accordance with Section 31-12-300(B) of all taxable real property in
the project area, the ad valorem taxes, if any, arising from the levies
upon taxable real property in the project area by taxing districts and
tax rates determined in the manner provided in Section 31-12-300(B)
each year after the obligations have been issued until obligations
issued under this chapter have been retired and redevelopment project
costs have been paid must be divided as follows:
(a) that portion of taxes levied upon each taxable lot, block, tract,
or parcel of real property which is attributable to the total initial
equalized assessed value of all taxable real property in the
redevelopment project area must be allocated to and when collected
must be paid by the county treasurer to the respective affected taxing
districts in the manner required by law in the absence of the adoption
of the redevelopment plan; and
(b) that portion, if any, of taxes which is attributable to the
increase in the current total equalized assessed valuation of all taxable
real property in the redevelopment project area over and above the
total initial equalized assessed value of taxable real property in the
redevelopment project area must be allocated to and when collected
must be paid to the municipality which shall deposit the taxes into a
special fund called the special tax allocation fund of the municipality
for the purpose of paying redevelopment project costs and obligations
incurred in the payment of the costs and obligations. The municipality
may pledge in the ordinance the funds in and to be deposited in the
special tax allocation fund for the payment of the costs and
obligations.
When obligations issued under this chapter have been retired and
redevelopment project costs incurred under this chapter have been paid
or budgeted pursuant to the redevelopment plan, as evidenced by
resolution of the governing body of the municipality, concurred in by
resolution of the authority, all surplus funds then remaining in the
special tax allocation fund must be paid by the municipal treasurer to
the county treasurer who immediately, after receiving the payment,
shall pay the funds to the taxing districts in the redevelopment project
area in the same manner and proportion as the most recent distribution
by the treasurer to the affected districts of real property taxes from
real property in the redevelopment project area.
Upon the payment of all redevelopment project costs, retirement of
all obligations of a municipality issued under this chapter, and the
distribution of any surplus monies pursuant to this section, at least
fifteen years having passed since the creation of the tax increment
finance district pursuant to Section 31-12-200, the municipality shall
adopt an ordinance dissolving the tax allocation fund for the project
redevelopment area and terminating the designation of the
redevelopment project area as a redevelopment project area for
purposes of this chapter. Thereafter, the rates of the taxing districts
must be extended and taxes levied, collected, and distributed in the
manner applicable in the absence of the adoption of a redevelopment
plan and the issuance of obligations under this chapter.
Section 31-12-280. Prior to the issuance of any obligations under
this chapter, the municipality shall set forth by way of ordinance the
following:
(a) a copy of the redevelopment plan of the authority;
(b) a statement indicating the need for and proposed use of the
proceeds of the obligations in relationship to the redevelopment plan;
(c) a list of all real property in the redevelopment project area; and
(d) a statement of the estimated impact of the redevelopment plan
upon the revenues of all taxing districts in which a redevelopment
project area is located.
Before approving the issuance of any obligations under this chapter,
the governing body of the municipality must hold a public hearing on
the redevelopment plan after published notice in a newspaper of
general circulation in the county in which the tax increment finance
district is located not less than fifteen days and not more than thirty
days prior to the hearing. The notice shall include:
(1) the time and place of the public hearing;
(2) a notification that all interested persons will be given an
opportunity to be heard at the public hearing;
(3) a description of the redevelopment project area, the
redevelopment plan, and the redevelopment project; and
(4) the maximum estimated term of obligations to be issued at that
time.
Not less than forty-five days prior to the date set for the public
hearing, the municipality shall give the same notice to all taxing
districts of which taxable property is included in the redevelopment
project area.
Adoption of an ordinance approving the issuance of any obligations
under this Chapter shall not preclude amendments to the
redevelopment plan of the authority and any proceeds of obligations
issued hereunder may be applied to the implementation of any such
amended redevelopment plan.
Section 31-12-290. Carry forward of funds.
During the existence of the special tax allocation fund created
pursuant to this Chapter, funds not otherwise expended may be carried
forward from year to year to be applied to future years obligations and
shall not be considered surplus funds subject to distribution under the
provisions of Section 31-12-270 unless determined otherwise by
resolution of the authority.
Section 31-12-300. (A) If a municipality authorizes by ordinance
the issuance of obligations pursuant to Section 31-12-210, the auditor
of the county in which the municipality is situated, immediately after
adoption of the ordinance pursuant to Section 31-12-210, must, upon
request of the municipality, determine and certify:
(1) the most recently ascertained equalized assessed value of all
taxable real property within the redevelopment project area, as of the
date of creation of the authority pursuant to Section 31-12-200, or the
date the properties were scheduled for disposal by final action of the
federal government in the case of properties added after the date of
creation of the authority, which value is the "initial equalized
assessed value" of the property; and
(2) the total equalized assessed value of all taxable real property
within the redevelopment project area and certifying the amount as the
"total initial equalized assessed value" of the taxable real
property within the redevelopment project area.
(B) After the county auditor has certified the total initial equalized
assessed value of the taxable real property in the area, then in respect
to every taxing district containing a redevelopment project area, the
county auditor or any other official required by law to ascertain the
amount of the equalized assessed value of all taxable property within
the district for the purpose of computing the rate percent of tax to be
extended upon taxable property within such district, shall in every year
that obligations are outstanding for redevelopment projects in the
redevelopment area ascertain the amount of value of taxable property
in a project redevelopment area by including in the amount the
certified total initial equalized assessed value of all taxable real
property in the area in lieu of the equalized assessed value of all
taxable real property in the area. The rate percent of tax determined
must be extended to the current equalized assessed value of all
property in the redevelopment project area in the same manner as the
rate percent of tax is extended to all other taxable property in the
taxing district. The method of extending taxes established under this
section terminates when the municipality adopts an ordinance
dissolving the special tax allocation fund for the redevelopment
project.
Section 31-12-310. Revenues received by the municipality or
authority from any property, building, or facility owned by the
municipality or authority, or any agency or authority established by
the municipality, in the redevelopment project area may be used to pay
redevelopment project costs or reduce outstanding obligations of the
municipality incurred under this chapter for redevelopment project
costs. If the obligations are used to finance the extension or expansion
of a system as defined in Section 6-21-40 in the redevelopment project
area, all or a portion of the revenues of the system, whether or not
located entirely within the redevelopment project area, including the
revenues of the redevelopment project, may be pledged to secure the
obligations issued under this chapter. The municipality is fully
empowered to use any of the powers granted by either or both of the
provisions of Chapter 17 of Title 6 (The Revenue Bond Refinancing
Act of 1937) or the provisions of Chapter 21 of Title 6 (Revenue
Bond Act for Utilities). In exercising the powers conferred by the
provisions, the municipality may make any pledges and covenants
authorized by any provision of those chapters. The municipality may
place the revenues in the special tax allocation fund or a separate fund
which must be held by the municipality or financial institution
designated by the municipality. Revenue received by the municipality
or authority from the sale or other disposition of real property
acquired by the municipality or authority with the proceeds of
obligations issued under the provisions of this chapter must be
deposited by the municipality or authority in the special tax allocation
fund of the municipality or a separate fund which must be held by the
municipality or authority or a financial institution designated by the
municipality or authority, with such proceeds to be used to discharge
the obligations issued pursuant to this chapter or otherwise to further
the purposes of the redevelopment project. Proceeds of grants may be
pledged by the municipality and deposited in the special tax allocation
fund or a separate fund.
Section 31-12-320. If the redevelopment project area is located
within more than one municipality, the municipalities may jointly
approve a redevelopment plan and authorize obligations as provided
under the provisions of this chapter."
SECTION 2. Section 6-7-830(a) of the 1976 Code is amended to
read:
"(a) All agencies, departments and subdivisions of this
State that use real property, as owner or tenant, in any county or
municipality in this State shall be subject to the zoning ordinances
thereof.
Any county or agency, department or subdivision thereof that uses
any real property, as owner or tenant, within the limits of any
municipality in this State shall be subject to the zoning ordinances of
the municipality.
Any municipality or agency, department or subdivision thereof, that
uses any real property, as owner or tenant, within the limits of any
county in this State but not within the limits of such municipality
shall be subject to the zoning ordinances of the county.
All agencies, departments, and subdivisions of this State,
including public or quasi-public entities by whatever name whose
board is appointed pursuant to an act of the General Assembly and
redevelopment authorities created pursuant to Chapter 12 of Title 31,
that use real property, as owner or tenant, in any county or
municipality in this State shall be subject to the zoning and
subdivision ordinances and regulations thereof.
Any county or agency, department, or subdivision thereof that uses
any real property, as owner or tenant, within the limits of any
municipality in this State shall be subject to the zoning and
subdivision ordinances and regulations of the municipality.
Any municipality or agency, department, or subdivision thereof, that
uses any real property, as owner or tenant, within the limits of any
county in this State but not within the limits of such municipality shall
be subject to the zoning and subdivision ordinances and regulations of
the county. Any municipality or agency, department, or subdivision
thereof, that uses any real property, as owner or tenant, within the
limits of any other municipality in this State but not within its own
limits shall be subject to the zoning and subdivision ordinances and
regulation of such other municipality.
The provisions of this section shall apply regardless of any cession
of jurisdiction to the United States of America pursuant to Chapter 3
of Title 3, or otherwise.
The provisions of this section shall not require any state
agency, department, or subdivision to move from facilities occupied
on June 18, 1976, regardless of whether or not their location is in
violation of municipal or county zoning ordinances.
The provisions of this act do not apply to a home serving nine or
fewer mentally or physically handicapped persons provided the home
provides care on a twenty-four hour basis and is approved or licensed
by a state agency or department or under contract with the agency or
department for such purpose. Any such home is construed to be a
natural family or such similar term as may be utilized by any county
or municipal zoning ordinance to refer to persons related by blood or
marriage. Prior to locating the home for such handicapped persons the
appropriate state agency or department or the private entity operating
the home under contract must first give prior notice to the local
governing body administering the pertinent zoning laws, advising of
the exact site of any proposed home. The notice must also identify the
individual representing the agency, department, or private entity for
site selection purposes. If the local governing body objects to the
selected site, the governing body must notify the site selection
representative of the entity seeking to establish the home within fifteen
days of receiving notice and must appoint a representative to assist the
entity in selection of a comparable alternate site and/or structure. The
site selection representative of the entity seeking to establish the home
and the representative of the local governing body, shall select a third
mutually agreeable person. The three persons shall have forty-five
days to make a final selection of the site by majority vote. Such final
selection shall be binding on the entity and the governing body. In the
event no selection has been made by the end of the forty-five day
period, the entity establishing the home shall select the site without
further proceedings. An application for variance or special exception
is not required. No person may intervene to prevent the establishment
of such a community residence without reasonable justification.
Prospective residents of such homes shall be screened by the
licensing agency to insure that such placement is appropriate.
The licensing agency shall conduct reviews of such homes no less
frequently than every six months for the purpose of promoting the
rehabilitative purposes of the homes and their continued compatibility
with their neighborhoods."
SECTION 3. Section 6-31-20(2) of the 1976 Code is amended to
read:
"(2) `Developer' means a person, including a governmental
agency or redevelopment authority created pursuant to the
provisions of the Military Facilities Redevelopment Law, who
intends to undertake any development and who has a legal or equitable
interest in the property to be developed."
SECTION 4. Section 6-31-40 of the 1976 Code is amended to
read:
"Section 6-31-40. A local government may enter into a
development agreement with a developer for the development of
property as provided in this chapter provided the property contains
twenty-five acres or more of highland. Development agreements
involving property containing no more than two hundred fifty acres of
highland shall be for a term not to exceed five years. Development
agreements involving property containing one thousand acres or less
of highland but more than two hundred fifty acres of highland shall
be for a term not to exceed ten years. Development agreements
involving property containing two thousand acres or less of highland
but more than one thousand acres of highland and development
agreements with a developer which is a redevelopment authority
created pursuant to the provisions of the Military Facilities
Redevelopment Law, regardless of the number of acres of property
involved, shall be for a term not to exceed twenty years.
Development agreements involving property containing more than two
thousand acres may be for such term as the local government and
developer shall elect."
SECTION 5. If any section, subsection, paragraph, subparagraph,
sentence, clause, phrase, or word of this act is for any reason held to
be unconstitutional or invalid, such holding shall not affect the
constitutionality or validity of the remaining portions of this act, the
General Assembly hereby declaring that it would have passed this act,
and each and every section, subsection, paragraph, subparagraph,
sentence, clause, phrase, and word thereof, irrespective of the fact that
any one or more other sections, subsections, paragraphs,
subparagraphs, sentences, clauses, phrases, or words hereof may be
declared to be unconstitutional, invalid, or otherwise ineffective.
SECTION 6. This act takes effect upon approval by the Governor.
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