Indicates Matter Stricken
Indicates New Matter
The House assembled at 10:00 A.M.
Deliberations were opened with prayer by the Chaplain of the House of Representatives, the Rev. Dr. Alton C. Clark as follows:
Our Father God, without Whose help we are incapable of doing the highest and the best, cause us to lean heavily upon Your strong right arm to support us in every situation of life. Supply us with Your inexhaustible strength, and move us to a deeper commitment to Your ways and to unselfish service. May no day be wasted, no session be routine, no work devoid of meaning, no task without significance. Give us minds receptive to Your truths, eyes and ears open to Your beckoning, and will obedient to Your will.
And to You, good Lord, shall be our thanksgiving and praise.
Amen.
After corrections to the Journal of the proceedings of yesterday, the SPEAKER ordered it confirmed.
The following was received.
I. Introductory Statement 1
II. Brief History 3
III. Public Hearing and Committee Meetings 4
IV. Legislation Introduced by the Committee 4
V. Other Bills Monitored in Legislative Update 1991 10
VI. Appropriation Bill 1991-92 14
VII. Issues Under Review 16
VIII. S.C. Commission on Aging 16
IX. Activities
-Legislative Update 19
-Seniors' Legislative Day 19
-Legislative Intern Program 20
-Committee and Staff Liaison Activities 21
-Publications 22
X. Reports
-Adult Day Care Needs of State Employees 23
-Senior Living Industry Economic Impact Study 23
-Panel Study of Older South Carolinians 23
Appendix
A -Act 402 To Create a Permanent Committee,
Membership List Since 1959 25
B -Aging Organizations 29
C -County Councils on Aging 34
D -Homestead Exemption Reimbursement, 1989 35
E -General Election Voter Activity by Age
Within County, 1990 36
COPIES OF THIS REPORT MAY BE OBTAINED FROM:
Keller H. Barron, Director of Research
Beth Mitchell, Research Assistant
Joint Legislative Study Committee on Aging
212 Blatt Building, PO Box 11867
Columbia, South Carolina 29211
Telephone: (803) 734-2995 Fax: (803) 734-2925
To: Members of the General Assembly of South Carolina
The Joint Legislative Committee on Aging is pleased to submit the Twenty-second Annual Report of the Committee.
Fifteen companion bills were introduced by the Committee on Aging in the House and the Senate during this session. These bills were in response to the requests presented by citizens, agency and organization representatives, and members and colleagues at the Public Hearing September 12 and acted upon by the Committee at the meeting on October l8, l990.
A summary of these bills and their status, along with a list of selected legislation related to aging monitored by the Committee may be found in the body of this report.
During the state budget process for Fiscal Year l991-92 our attention was directed to seeking funds for the building and repairing of Senior Centers statewide and to preserving state Medicaid funding.
The Committee received the final report of the Economic Impact of the Senior Living Industry in South Carolina from the Department of Parks, Recreation and Tourism at our meeting May 14. This fulfills the l989-90 Appropriation Act proviso requesting PRT to conduct such a study and to report back to the Committee.
The Annual Public Hearing has been set for September 11, Room 101, Blatt Building, Columbia.
We welcome to the Committee Senator Warren Giese and Senator Ernie Passailaigue who have replaced former Senator Peden McLeod, now Code Commissioner, and Senator Nell Smith, chair of the Joint Legislative Committee on Children. From the House we welcome Representative Denny Woodall Neilson, who replaces former Rep. Dill Blackwell.
The SC State Library named "A Consumer's Guide to Long Term Care Insurance in South Carolina," produced by the staff of the Committee through the legislative intern program of the USC School of Social Work, as one of ten notable State Documents of l990. We appreciate this recognition of the work of the Committee.
It is with heartfelt appreciation that I accept the tributes that have been paid to me on the occasion of my 80th birthday. A part of my philosophy is that age is a quality of the imagination. I have just about been convinced to buy some ripe bananas and imagine that they are green!
Respectfully submitted,
/s/Patrick B. Harris, Chairman, Representative
/s/Dave C. Waldrop, Jr., Vice-Chmn., Representative
/s/Denny Woodall Neilson, Representative
/s/Isadore E. Lourie, Senator
/s/Warren K. Giese, Senator
/s/Ernie Passailaigue, Senator
/s/Gloria H. Sholin, Gubernatorial Appointee
/s/Thomas D. Stilwell, Gubernatorial Appointee
/s/Robert C. Wasson, Gubernatorial Appointee
In 1959 the first Joint Legislative Committee "to study the needs and problems relating to the aged citizens in South Carolina" was created. This Committee continued its work until 1963. By 1969 the need for a committee to study the problems of the elderly in South Carolina was again evident and the legislature created such a committee under Concurrent Resolution No. 1286. This Committee continued under the authority of continuing resolutions until 1978 when the General Assembly found "the Committee to Study Public and Private Services, Programs and Facilities of the Aging fulfills a necessary and continuing legislative need and that the functions of the Committee can be more properly fulfilled by a permanent Committee," Act 402 (Code 2-51-10, 1978).
The Committee is made up of three members of the Senate, appointed by the President of the Senate, three members of the House, appointed by the Speaker, and three members appointed by the Governor. Serving as chair of the Committee have been, Representative Martha Thomas Fitzgerald, 1959-1963; Senator Richard W. Riley, 1969-1976; Senator Hyman Rubin, 1977-1984. Representative Patrick B. Harris is the current Chairman, elected on November 29, 1984 (See Appendix B for membership since 1959).
Sarah C. Shuptrine was the first Director of Research. Keller H. Barron, formerly Bumgardner, succeeded her as Director of Research in 1979. Sherri L. Craft, Research Assistant, joined the staff in 1985 and resigned February 1990. Beth Mitchell, Administrative Specialist, began working part time with the Committee in 1987 and assumed the full time position of Research Assistant in May 1990. Doane Bennett joined the Committee as Administrative Specialist in August 1990. Krista L. Hughes, USC College of Social Work, was the Legislative Intern for the academic year 1990-91.
The Annual Public Hearing of the Study Committee on Aging was held on September 12, 1990. Forty-five persons appeared before the Committee and written testimony was submitted by four persons. State agencies, commissions, organizations, service delivery groups and individual interests were represented.
The record of the hearing is available in the office of the Committee, 212 Blatt Building. Transcription copies are provided to appropriate state agencies and upon request to individuals and organizations.
The Committee met on October 18, 1990 to review the public hearing testimony, to receive reports on issues under review, to discuss proposed legislation and to determine the 1991 legislative priorities.
The Committee met on May 14th to review the status of legislation and receive reports.
Copies of Act, Bills, and Bill Status may be obtained from Legislative Information 1-800-922-1539, 734-2060
LONG TERM CARE COUNCIL AMENDMENTS (S.343, H.3045/R.79)
To revise the voting membership to provide authority to vote for the chairs of the Committees on Aging and Health Care Planning and Oversite or their designees and the gubernatorial appointees and provide for the authorization of designees by agencies and Commissions.
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LOW AND MODERATE INCOME HOUSING (S.345, H.3046/R.89)
A Joint Resolution to direct the SC Commission on Aging with the cooperation of the State Housing, Finance, and Development Authority to study the housing needs of the low and moderate income elderly with special attention to reverse mortgage programs and to report back to the Joint Legislative Committee on Aging.
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ELDER ABUSE (S.543, H.3303/R.75)
A Joint Resolution to direct the Long Term Care Council to study and recommend a system for investigating and prosecuting adult abuse, neglect, and exploitation, and to clarify the roles and responsibilities of those agencies in this system and to submit a status report on December 1, 1991, and its recommendations no later than one year after effective date (April 24, 1992).
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HOMESTEAD EXEMPTION - MULTIPLE OWNERS (H.3030, S.317, R. )
This bill (Act if passed) provides that the Homestead tax exemption is applied on the basis of the percentage of ownership rather that on the assumption of an equal interest shared by the owners.
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OLDER SOUTH CAROLINIAN WEEK (H.3938)
A Concurrent Resolution to designate the week beginning May 5, 1991, as "Older South Carolinian Week" and to request the Governor to call upon the people of this state to observe the week with appropriate ceremonies and activities.
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AMENDMENTS TO THE DEATH WITH DIGNITY ACT: (H.3090,S.536)
Sponsors: H.3090 - Keyserling, Hodges, P. Harris, Waldrop, Rudnick, Wilder, Kempe, Manly, Mattos, Waites, Whipper
S.536 - Lourie, Passailaigue, Long, Bryan, J. Hayes, Leatherman, N. Smith, Peeler, Macaulay, Pope, Rose
The first Death with Dignity Act was passed l986 and amended l988. In 1990 the Committee introduced amendments (H.4468, S.1136) in cooperation with the Health Care Consent Project of the SC Bar and the SC Commission on Aging. S.1136 passed the Senate and remained on the House contested calendar at adjournment.
In the summer of l990 after the Cruzan decision the Committee, the Ombudsman's office and the Aging Network received thousands of requests for copies of the "Declaration of a Desire for a Natural Death". Many persons appeared before the Committee at the Public Hearing in September requesting that the Death with Dignity Act be amended to include permanent unconsciousness and to clearly provide for the execution by the declarant as to his or her wishes regarding the withholding or withdrawal of artificial nutrition and hydration.
The Committee appreciates the sponsorship and leadership of our colleagues Rep. Harriet Keyserling, Jim Hodges and Tom Huff and Senators James Bryan and John Hayes and the constant attention, research and drafting provided by Eve Stacey, SC Bar and Prof. Elizabeth Patterson, USC School of Law.
Status: H.3090 _ Passed the House and referred to Senate Judiciary. S.546 _ Special Order Senate Calendar.
****************************************************
DURABLE POWER OF ATTORNEY (H.3148, S.541)
Sponsors: H.3148 - Keyserling, Hodges, P. Harris, Waldrop, Rudnick, Wilder, Kempe, Manly, Whipper
S.541 - Lourie, Giese, Passailaigue, Long, Bryan, J. Hayes
To follow up on passage of the Durable Power of Attorney for Health Care, legislation was introduced which creates a statutory form.
Status: H.3148 _ House Judiciary. S.541 _ Passed the Senate and referred House Judiciary.
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IN-HOME CAREGIVER TAX CREDIT: (H.3044, S.342)
A state income tax credit up to $300 is presently allowed for nursing home care. This bill would extend that same benefit to those receiving in-home and community based care.
FISCAL IMPACT: Decrease state revenues by approximately $50,000.
Status: H.3044 _ House Judiciary and referred to Senate Finance. Proviso drafted. S.342 _ Senate Finance.
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HOMESTEAD EXEMPTION INCREASE TO $25,000: (H.3029, S.316)
The Homestead tax exemption is $20,000. It has not been increased since 1984. The l99l-92 Appropriation Bill as passed by the House allocates $37,646,396 for reimbursements to counties and municipalities for the exemption. The fiscal impact of an increase to $25,000 is estimated at $9.4 million.
Status: H.3029 _ House Ways & Means. S.316 _ Senate Finance.
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MOTOR VEHICLE DEFENSIVE DRIVING (H.3015, S.288)
The Committee believes that older drivers will be better drivers if they take a defensive driving course. As an incentive to take such a course the Committee introduced legislation in l989-90 and again in l991 to provide for an appropriate reduction in premium for automobile insurance for persons 55 or older who successfully complete a motor vehicle accident prevention course approved by the Department of Highways and Transportation.
Status: H.3015 _ Tabled in House Labor, Commerce, and Industry. S.288 _ Senate Banking & Insurance.
****************************************************
MANUFACTURED HOME PARK TENANCY ACT
(H.3585, S.703)
This Act culminates several years of study on the rights and obligations of park owners and manufactured home owners concerning rental agreements, regulations, and provisions for eviction. In l989 the Committee introduced the first bill on this subject patterned after the SC Landlord Tenant Act and laws in other states.
This Act represents a consensus reached with the SC Manufactured Housing Institute, the SC Department of Consumer Affairs, SC Commission on Aging, tenants and other interested parties.
Status: H.3585 _ Tabled in House Labor, Commerce and Industry. S.703 _ Passed the Senate and reported out of House Labor, Commerce and Industry subcommittee favorably.
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SOCIAL SECURITY EARNINGS CAP (H.3047, S.346)
To memorialize Congress and the President of the United States to abolish the Social Security Earnings Limitations.
Status: H.3047 _ Passed the House and referred to Senate Finance. S. 346 _ Senate Finance.
******************************************************
TAX CREDIT FOR ADULT DAY CARE PROGRAMS (H.3062, S.321)
Under legislation passed in l990, employers may receive a tax credit for child day care programs. This bill would extend that credit to adult day care programs.
Status: H. 3062 _ House Ways & Means. S.321 _ Senate Finance.
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HUMAN SERVICES PROCUREMENT CODE (H.3077, S.373)
These bills exempt human services which address critical needs from the state's procurement code, mandate that the criteria include quality of service, provider history, staff experience and qualifications, experience in the provision of these services to the target population, and price.
After the introduction of these bills the Human Services Coordinating Council convened a group of state agencies with SC Association of Council on Aging Directors representatives to address mutual concerns. A survey was sent in April to all state agencies contracting with the aging network and to all local Councils on Aging and Area Agencies. The report of the surveys and recommendations will be submitted to the Committee.
Status: H.3077 _ House Judiciary. S.373 _ Senate Judiciary.
******************************************************
SENIOR CENTERS BONDS ($8,727,125) (H.3206, S.386)
To authorize the issuance of capital improvement bonds for senior centers for the Commission on Aging, increase bingo taxes temporarily to retire the principle and debt service on the bonds.
Status: H.3206 _ House Ways & Means. S.386 _ Senate Finance.
******************************************************
SENIOR CENTERS FUND ($8,727,125) (H.3290, S.535)
A Joint Resolution to temporarily increase the bingo tax and authorize the additional revenues to be deposited in a fund to be called "Commission on Aging Senior Citizen Centers Permanent Improvement Fund".
Status: H.3290 _ House Ways & Means. Passed House in Appropriation Bill 91-92. S.535 _ Senate Finance.
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REPRESENTATIVE PATRICK B. HARRIS (H.3922)
To Congratulate one of South Carolina's Most Outstanding Public Servants, The Honorable Patrick Bradley Harris, on the occasion of his Eightieth Birthday, April 19, 1991.
DR. J. OBERT KEMPSON (S.979)
A Concurrent Resolution to recognize Dr. J. Obert Kempson of Columbia upon receiving the "Outstanding Older South Carolinian Award" by the SC Commission on Aging.
BOARDING HOMES AND NURSING HOMES (H.3226)
To examine methods of increasing the level of care provided by Boarding Homes and Nursing Homes.
INTERMEDIATE SANCTIONS (H.3442, R.34)
To approve regulations of HHSFC relating to intermediate sanctions for Medicaid Certified Nursing homes Facilities.
LONG TERM CARE INSURANCE REGULATIONS (H.3540)
A Joint Resolution to suspend enforcement and application of Part E, Sec. 3, of Regulation 69-44(Requirement for Home Care until March 1, l992). [PASSED HOUSE]
Reg.69-44, Part E, Sec.3: When an insured meets the requirements under the policy for a determination that care in a nursing home or community residential care facility is necessary, the insured shall have the option of receiving necessary care in the home or community, with daily benefits at the same level that would be paid for in a nursing home or community residential care facility.
The Long Term Care Insurance Act was passed in 1988. The regulations went into effect on December 20, l989, with the exception of Part E, Sec.3 which was suspended under a Joint Resolution until June 30, l990 and extended by Jt. Res. to June 30, 1991.
LONG TERM CARE INSURANCE ACT (H.3539)
This bill revises the Long Term Care Insurance Act to provide that the requirement in Part E, Sec. 3 of the regulations is not mandated for all policies, but rather is mandated to be offered at the time of application as an optional rider or included as part of the policy. A home health care benefit, when a person does not qualify for nursing home level of care, may also be offered as a rider or part of the policy.
INCOME TAX EXEMPTION (S.214)
To exempt from state income tax residents who are 65 years old and to phase in the exemption over 5 years.
HOMESTEAD PROPERTY TAX DEFERRAL (S.451)
To enact the Homestead Property Tax Deferral for the Elderly Act, income under $15,000. [PASSED SENATE]
HOMESTEAD EXEMPTION - MEANS TEST (S.565)
To reduce the exemption from the first $20,000 to first $10,000 of Fair Market Value; to impose a means test for every household seeking eligibility above the new base of $10,000.
HOMESTEAD EXEMPTION - CPI (H.3396)
To require the exemption amount to be adjusted annually to offset increases in the Consumer Price Index and to prescribe the procedure for making the adjustment.
COMMISSION ON RETIREES (S.196)
Joint Resolution to provide that the Commission on Aging conduct a study of the needs of retirees in the State, and to study and make recommendations to the General Assembly on making South Carolina a more attractive residence to retirees.
YOUTH SERVICES PROGRAMS (S.51)
To provide for youth services program for credit and require the State Board of Education to develop the program within specified guidelines to include human services for the elderly, including home care and related services.
LOTTERY (S.219)
To authorize lotteries conducted by the State and to provide that $15 million to be used for the elderly and handicapped.
FREE TUITION (H.3351)
To delete a provision which prevents persons age sixty or over from being entitled to free tuition if his/her spouse receives compensation as a full-time employee. [PASSED HOUSE]
HIGHWAYS AND PUBLIC TRANSPORTATION (H.3337)
To provide adequate seating for persons who, because of their age or infirmity, cannot stand for long periods of time in the offices which register and license motor vehicles.
ABSENTEE BALLOT (H.3292)
To add persons 72 years of age or older as qualified to vote by absentee ballot. [PASSED HOUSE]
HUNTING AND FISHING LICENSES (H.3366)
To exempt a nonresident 65 years of age or older from obtaining a SC hunting and fishing license or permit if his state or residence extends similar privileges to SC residents 65 years of age or older.
NURSING HOME REGULATIONS - HOSPITALS (H.3224)
To recommend that the SC DHEC amend sections of the Department's Nursing Home Regulations for use by hospitals. [PASSED HOUSE]
HEARING AIDS FITTING AND SELLING ACT (H.3381, S.588)
To revise the Act after the Sunset Review by the State Reorganization Commission, including the revision of the definition and licensing of audiologists.
VICTIM'S & WITNESSES' BILL OF RIGHTS (H.3101, S.476)
Joint Resolution to provide for the Victim's and Witnesses' Bill of Rights.
DURABLE POWER OF ATTORNEY (S.510)
To provide for validity and recording of Durable Power of Attorney valid in another state. [PASSED SENATE]
ADULT HEALTH CARE CONSENT ACT (H.3972)
To exclude the withholding or withdrawal of life sustaining procedures, nutrition, and hydration from the definition of health care in the Adult Health Care Consent Act.
MAJOR MEDICAL EXPENSE INSURANCE POLICIES (H.3941)
Relating to individual and group major medical expense policies regarding the right to transfer, pre-existing conditions, waiting periods, small employers, smaller groups for individual evidence successor policies, etc.
[Part VI is omitted from the web page version of this journal.]
Adult Day Care Regulations - R.1337, effective date: May 7, 1991
Continuing Care Retirement Communities Regulations - The CCRC Act goes into effect July l, l991. Money for an auditor the Department of Consumer Affairs is provided for in the Appropriation Bill, l991-92.
Home Health Aide and Homemaker certification by SC Commission on Aging.
Homestead tax exemption (circuit breaker, renters)
Federal Legislation:
Patient Self-Determination Act of 1990, Sec.4206, 4751 of the Omnibus Budget Reconciliation Act of l990, P.L.l101-508 - A planning meeting of interested parties was held in May to consider a statewide conference regarding implementation of the Act.
Older Americans Act Reauthorization - Letters were sent November 19, 1990 by the Chairman on behalf of the Committee to the SC Congressional Delegation stating concerns and making recommendations to strengthen the Act. Responses were received from Senators Strom Thurmond, Fritz Hollings, Brock Adams, and Thad Cochran and Representatives Butler Derrick, Floyd Spence, and William D. Ford.
The South Carolina Commission on Aging is the state agency designated by the General Assembly to administer the Older Americans Act of 1965 and to plan, coordinate, and serve as an advocate for programs and services in the areas of income, health, housing, employment, retirement and community and family-based services for the 500,000 plus older South Carolinians.
Funds are distributed to the Commission by the federal government through the Administration on Aging, and by the State of South Carolina through the budget process. Additional funding is sought through state and federal grants.
The "Aging Network" consists of 10 regional offices, Area Agencies on Aging, which plan, develop and coordinate programs and services for older people then contract with 57 local aging service provider agencies.
SENIOR CENTERS FUNDING
Senior Center Survey, updated September 1990.
1. Repairs to 35 existing senior centers $ 511,900.00
2. Establish senior centers in 10 counties 3,557,200.00
3. Additions to 11 centers 641,025.00
4. Establish 11 satellite centers 1,841,000.00
5. Replacement of 7 senior centers 2.206.000.00
GRAND TOTAL $ 8,757,125.00
Inclusion in the 1991-92 Bond Bill was not approved. The House passed an amendment to increase Bingo fees to raise $948,000 annually for a total of $8.8 million. This amendment was struck in the Senate Finance Committee, and is being sought reinstatement in the Conference Committee.
AREA AGENCY ON AGING DESIGNATIONS
Two new Area Agencies on Aging were designated in 1991. Pee Dee Community Health Services, Inc. was designated for the Pee Dee Planning and Service Area (PSA). Upper Savannah Council of Governments was designated as Area Agency on Aging for the Upper Savannah PSA.
NEW INTRASTATE FUNDING FORMULA
The Commission on Aging adopted a new intrastate funding formula in order to bring South Carolina into compliance with the Older Americans Act. It will be phased in over a four-year period, beginning July 1, 1991. The following factors are included: equal base, 60+ population, 60+ minority population, 60+ population below poverty, 60+ impaired population, and rural population.
The overall impact of the new formula will be the redistribution of approximately $220,000 of the $8.5 million Title III OAA funds from larger urban areas to more rural areas with higher proportions of poor and minority older persons. The impact has been mitigated somewhat by an increase in Federal funds in 1991.
MANAGEMENT INFORMATION SYSTEMS
The University of South Carolina and Commission on Aging are developing a system to be operational on July 1, 1992 to bring the data collected by the Local Service Providers for the Client Information System (CIS) into their Area Agencies and State Office for reporting, analyzing, planning and supporting the legislative initiative to develop a statewide information system that provides an unduplicated count of clients and services provided each client.
COMMISSION MEMBERS
The Commission comprises one member from each congressional district of the State, appointed by the Governor with the advice and consent of the Senate and one member of the State at large appointed by the Governor. The Speaker of the House of Representatives and the President of the Senate each names one legislator to serve on the Commission as ex-officio members.
Chairperson: Mrs. Helen D. Brawley, Rock Hill, 1991
Vice Chair: Mr. Joseph C. Strickland, Columbia, 1992
Secretary: Dr. Susanne Geist Black, Dillon, 1994
Treasurer: Mrs. Erminie Nave, Greenwood, 1992
Mr. James A. Moore, Hampton (June 30, 1993)
Dr. Nora K. Bell, Columbia (June 30, 1993)
Mr. Charles D. LeGrand (June 30, 1993)
Senator Isadore Lourie, ex-officio
Representative Patrick B. Harris, ex-officio
The status of legislation introduced by the Committee and other selected legislation related to aging interests is summarized periodically during the session. This publication entitled "Legislative Update" is very popular among legislators, the aging network organizations and interested individuals. Copies are distributed upon request.
The Committee also distributes two pamphlets. One gives a brief history of the Committee and includes a list of the members and the other, "Aging Resources," lists state organizations, agencies, and legislative committees interested in aging issues.
This year the S.C. Federation of Older Americans along with American Association of Retired Persons, Central Midlands Regional Planning Council, Columbia Chapter Older Women's League, Kershaw County Council on Aging, Medical University of South Carolina: Center for the Study of Aging and Medical Social Work Department, S.C. American Association of Retired Persons, S.C. National Association of Social Workers, S.C. Commission on Aging, S.C. Department of Health and Environmental Control - Division of Home Health Services, S.C. Gerontological Society, S.C. Retired Educators Association, USC School of Public Health, Wil Lou Gray Opportunity School and the Joint Legislative Committee on Aging co-sponsored the Annual Seniors' Legislative Day with the Legislature on January 23, 1991. The committee staff assisted in planning the day-long event, which was held at the Columbia Marriott.
"The Quality of Life: The Focus for 1991 and Beyond" was the focus of this conference beginning with a keynote address on legislative issues by Senator Hugh K. Leatherman, Florence County. Four concurrent workshops convened to discuss "The Budget Process", chaired by members and staff of the House Ways and Means Committee; Senate Finance Committee; and Budget and Control Board.
During the legislative luncheon, awards were presented to The State newspaper for its excellent media coverage of aging issues; John Wrisley as Media Personality of the Year; Susan E. Berkaw, Charleston County as Volunteer of the Year; and Senator Warren Giese, Richland County, as Legislator of the Year. Over 40 legislators attended the luncheon and discussed aging legislation with their constituents.
Following the luncheon, the afternoon workshop topic was "Issue Identification and Coalition Building" where the participants identified priority issues for future activities relating to aging issues.
The College of Social Work at the University of South Carolina assigned Krista L. Hughes, a candidate for a Master's of Social Work, as legislative intern for the Committee for the 1990-1991 academic year. This is the fourth year the Committee has provided a graduate field placement in social work.
As the Legislative Intern, in conjunction with the Budget and Control Board Division of Human Resource Management, Ms. Hughes assisted in research, development, and preparation of The Survey To Assess State Employees' Need for Adult Day Care Services, as well as comprising an extensive literature review for the study entitled The Study of Adult Day Care Services; compared and contrasted South Carolina's Continuing Care and Retirement Community Act with the Guidelines for Regulation of Continuing Care Retirement Communities; and documented fact sheets for various bills the Committee introduced this year.
Members of the Committee and/or staff worked cooperatively throughout the year with the Standing Committees of the House and Senate, the Long Term Care Council, the Human Services Coordinating Council, the Joint Health Care Planning and Oversight Committee, the Commission on Aging, Tax Commission, Comptroller General's Office, Health and Human Services Finance Commission, Department of Consumer Affairs, the State Library, and the SC Humanities Council.
Chairman Patrick B. Harris represents the Committee on the Health Care Planning and Oversight Committee. Chairman Harris and Senator Isadore Lourie serve as ex-officio members of the S.C. Commission on Aging.
Keller H. Barron, Director of Research is the designee for Chairman Harris on the Long Term Care Council and serves on the Agenda Committee and Panel Study Advisory Committee.
Beth Mitchell, Research Assistant, serves on the Seniors' Legislative Day Planning Committee and the Communications Committee of the SC Healthy Aging Coalition.
Committee members and/or staff regularly attend sessions of the following organizations interested in aging: American Society on Aging, American Association of Retired Persons, Legislative Committee; National Council on the Aging, Inc., S.C. Federation of Older Americans, Legislative Forum; the S.C. Gerontological Society, Advisory Council on Elder Affairs.
The Committee is consulted and responds under the S.C. Project Notification and Review System from the Grants Division of the Governor's Office.
Regular contact is maintained with committees and agencies of other states as well as with the Senate Special Committee on Aging and the House Select Committee on Aging of the U.S. Congress, on which Third District Congressman Butler Derrick and Second District Congressman Floyd Spence serve. Congressman Derrick was elected chair of the Task Force on Rural Elderly, May 1, 1991.
Public presentations are made frequently by the Committee and staff to large and small community and church groups, conferences, and workshops.
Information about numerous aging issues and legislative action are distributed upon request to members and staff of the S.C. Legislature and other state legislatures, state agency personnel, national and state organizations and interested citizens.
The following publications are available from the Committee office and distributed upon request:
Adult Day Care Needs of State Employees, 1991
Aging Resources, 1991
Annual Reports 1970-1991
Alzheimer's Disease: The Decision Making Process, Central Midlands Regional Planning Council, 1989
Consumer's Guide to Long Term Care Insurance in South Carolina, 1990
"Declaration of a Desire for a Natural Death" Form, 1988
Directory of Continuing Care and Retirement Communities in S.C., 1989
Economic Impact of the Senior Living Industry in S.C., Department of Parks, Recreation and Tourism, 1991
Elderly Advocates' Legislative Handbook, 1991
Entitlement Rights for Medicare, Medicaid, and Social Security, 1990
Joint Legislative Committee on Aging, 1991
Homestead Tax Exemption Program, Comptroller General's Office, 1991
Rights of Older Adults, 1988
S.C. Senior Citizens Handbook, A Guide to Laws and Programs Affecting Senior Citizens, S.C. Bar, 1989
South Carolina Mature Lifestyles, S.C. Retirement
Association, Vol. 4, No. 1, 1991
S.C. Nursing Home Admission Contracts, S.C. Bar, 1989
Summary of Aging Legislation Enacted Through 1991
ADULT DAY CARE NEEDS OF STATE EMPLOYEES
In 1990 the General Assembly passed H.4220/R.455, introduced by the Committee, which directs the Human Resource Management Division of the Budget and Control Board to study the adult day care service needs of state employees who are currently taking care of family members and to examine ways of providing state-supported adult day care services.
A survey was being distributed in March to Department of Social Services, Department of Health and Environmental Control, and Employment Security Commission. A status report was presented at the May 14th meeting of the Committee with final results and recommendations at the September 11 Public Hearing.
SENIOR LIVING ECONOMIC IMPACT STUDY
As a result of the 1989 proviso 66.10 initiated by the Committee, the Department of Parks, Recreation and Tourism awarded a contract in December 1989 to the College of Business Administration, USC.
The final report entitled Economic Impact of the Senior Living Industry in South Carolina was to be presented to the Committee at the May 14th meeting.
The report contains national and state demographic trends and forecasts, an economic impact analysis of retirement community development, the linkage between the senior living industry and tourism, and forecasted estimates of future growth in residential construction activities.
PANEL STUDY OF OLDER SOUTH CAROLINIANS
The Panel Study of Older Adults is a major project of the Long Term Care Council, and is the most comprehensive research on the characteristics and needs of older adults ever conducted in South Carolina.
The Survey Research Lab of the Institute of Public Affairs at the University of South Carolina completed survey interview number 4,000 in October, 1990. The Division of Research and Statistical Services of the State Budget and Control Board will perform data entry and analysis of the completed surveys. The final report is due to be released June 1991.
The Heartland Center on Aging of Indiana University will prepare a regional analysis and report for each of the ten Councils of Governments districts.
Another following of the survey will include a study of the needs of informal caregivers of older persons.
Special briefings are planned during 1991 for key legislative committees with responsibilities in the areas of health care and long term care.
(R420,H3247)(Code 2-51-10)
An Act to create a Permanent Committee to conduct continuing Studies of Public and Private Services, Programs and Facilities for the Aging.
Be it enacted by the General Assembly of the State of South Carolina:
Section 1. The General Assembly finds that the Committee to Study Public and Private Services, Programs and Facilities for the Aging, originally created H.1286 of 1969 and continued by concurrent resolution through 1977, fulfills a necessary and continuing legislative need and that the functions of the committee can be more properly fulfilled by a permanent committee.
Section 2. There is created a permanent committee to conduct continuing studies of public and private services, programs and facilities for the aging in South Carolina and report its findings and recommendations annually to the General Assembly.
Three members shall be appointed from the Senate by the President thereof, three members shall be appointed from the House of Representatives by the Speaker and three members shall be appointed by the Governor. Terms of legislative members shall be coterminous with their terms as members of the General Assembly and terms of members appointed by the governor shall be coterminous, with the term of the appointing Governor.
Members of the committee shall receive mileage, per diem and subsistence as provided by law for members of boards, committees and commissions.
Expenses of the committee shall be provided by an annual appropriation in the general appropriation act.
The Legislative Council shall provide such legal services as the committee may require in the performance of its duties.
Section 3. This act shall take effect upon approval by the Governor.
Approved the 14th day of February, 1978
Rep. Martha Fitzgerald, Chm. Gubernatorial Appointees:
Sen. Wilbur G. Grant Dr. Wil Lou Gray
Sen. John D. Long Mr. O. T. Wallace
Rep. E. Forte Wolfe Miss Nell Watson
Rep. Martha Fitzgerald, Chm. Gubernatorial Appointees:
Sen. Wilbur G. Grant Dr. Wil Lou Gray
Sen. John D. Long Mr. O. T. Wallace
Rep. T. Ed Garrison Miss Nell Watson
Sen. Wilbur G. Grant Gubernatorial Appointees:
Sen. John D. Long Dr. Wil Lou Gray
Rep. E. Windell McCrackin Mr. O. T. Wallace
Rep. T. Ed Garrison Miss Nell Watson
Sen. Richard W. Riley, Chm. Gubernatorial Appointees:
Rep. Isadore Lourie, Vice-Chm. Mr. Harry R. Bryan
Rep. James E. Moore, Secretary Rev. I. DeQuincey Newman
Sen. J. Kenneth Rentiers Mr. R. Carl Woodle
Sen. Hyman Rubin
Rep. Patrick B. Harris
Sen. Richard W. Riley, Chm. Gubernatorial Appointees:
Rep. Isadore Lourie, Vice-Chm. Father William Pentis
Sen. J. Kenneth Rentiers Rev. I. DeQuincey Newman
Sen. Hyman Rubin Mr. James Richmond Driggs
Rep. Patrick B. Harris
Sen. Richard W. Riley, Chm. Gubernatorial Appointees:
Rep. James E. Moore, Vice-Chm. Father William Pentis
Rep. Patrick B. Harris, Secretary Rev. I. DeQuincey Newman
Sen. Hyman Rubin Mrs. B. J. Blackwell
Sen. Edward Saleeby
Rep. Giles P. Cleveland
Sen. Richard W. Riley, Chm. Gubernatorial Appointees:
Rep. James E. Moore, Vice-Chm. Father William Pentis
Rep. Patrick B. Harris, Secretary Rev. I. DeQuincey Newman
Sen. Hyman Rubin Ms. Dorothy M. Blackwell
Sen. Edward Saleeby
Rep. Eugene S. Blease
Sen. Richard W. Riley, Chm. Gubernatorial Appointees:
Rep. James E. Moore, Vice-Chm. Rev. James E. Alewine
Rep. Patrick B. Harris, Secretary Mr. George E. Carlton
Sen. Hyman Rubin Mrs. June B. Furman
Sen. Edward E. Saleeby
Rep. Eugene S. Blease
Sen. Hyman Rubin, Chm. Gubernatorial Appointees:
Rep. Patrick B. Harris, Vice-Chm. Mr. George E. Carlton, Secretary
Sen. T. Dewey Wise Rev. James E. Alewine
Sen. John H. Waller, Jr. Mrs. June B. Furman
Rep. Eugene S. Blease
Rep. Parker Evatt
Sen. Hyman Rubin, Chm. Gubernatorial Appointees:
Rep. Patrick B. Harris, Vice-Chm. Rev. James E. Alewine
Sen. T. Dewey Wise Mrs. June B. Furman
Sen. John H. Waller, Jr. Dr. C. Julian Parrish
Rep. Eugene S. Blease
Rep. Parker Evatt
Sen. Hyman Rubin, Chm. Gubernatorial Appointees:
Rep. Patrick B. Harris, Vice-Chm. Rev. James E. Alewine
Sen. T. Dewey Wise Mrs. June B. Furman
Sen. John H. Waller, Jr. Dr. C. Julian Parrish
Rep. Hudson L. Barksdale
Rep. Parker Evatt
Sen. Hyman Rubin, Chm. Gubernatorial Appointees:
Rep. Patrick B. Harris, Vice-Chm. Rev. M. L. Meadors, Jr.
Sen. William W. Doar, Jr. Dr. C. Julian Parrish
Sen. John H. Waller, Jr. Mrs. Gloria H. Trowell
Rep. Hudson L. Barksdale
Rep. Parker Evatt
Sen. Hyman Rubin, Chm. Gubernatorial Appointees:
Rep. Patrick B. Harris, Vice-Chm. Rev. M. L. Meadors, Jr.
Sen. William W. Doar, Jr. Dr. C. Julian Parrish
Sen. Peden B. McLeod Mrs. Gloria H. Sholin
Rep. Hudson L. Barksdale
Rep. Parker Evatt
Sen. Hyman Rubin, Chm. Gubernatorial Appointees:
Rep. Patrick B. Harris, Vice-Chm. Dr. J. Carlisle Holler
Sen. William W. Doar, Jr. Dr. C. Julian Parrish
Sen. Peden B. McLeod Mrs. Gloria H. Sholin
Rep. Dill Blackwell
Rep. Dave C. Waldrop, Jr.
Rep. Patrick B. Harris, Chm. Gubernatorial Appointees:
Rep. Dave C. Waldrop, Vice-Chm. Dr. J. Carlisle Holler
Rep. Dill Blackwell Dr. C. Julian Parrish, Secretary
Sen. William W. Doar, Jr. Mrs. Gloria H. Sholin
Sen. Peden B. McLeod
Sen. Isadore Lourie
Rep. Patrick B. Harris, Chm. Gubernatorial Appointees:
Rep. Dave C. Waldrop, Vice-Chm. Mrs. Gloria H. Sholin
Rep. Dill Blackwell Mr. Thomas D. Stilwell
Sen. William W. Doar, Jr. Mr. Joseph C. Strickland
Sen. Peden B. McLeod
Sen. Isadore Lourie
Rep. Patrick B. Harris, Chm. Gubernatorial Appointees:
Rep. Dave C. Waldrop, Vice-Chm. Mrs. Gloria H. Sholin
Rep. Dill Blackwell Mr. Thomas D. Stilwell
Sen. Peden B. McLeod Mr. Robert C. Wasson
Sen. Isadore Lourie
Sen. Nell W. Smith
Rep. Patrick B. Harris, Chm. Gubernatorial Appointees:
Rep. Dave C. Waldrop, Vice-Chm. Mrs. Gloria H. Sholin
Rep. Dill Blackwell Mr. Thomas D. Stilwell
Sen. Peden B. McLeod Mr. Robert C. Wasson
Sen. Isadore Lourie
Sen. Nell W. Smith
Rep. Patrick B. Harris, Chairman House Off. 734-2995
212 Blatt Building, Columbia, SC 29211
Anderson Legislative Delegation Office 260-4025
Box 655 Home 226-3962
Anderson, SC 29621
Rep. Dave C. Waldrop, V. Chairman House Off. 734-3046
425 Blatt Building, Columbia, SC 29211 Office 276-1565
Box 813 Business 275-4566
Newberry, SC 29108 Home 276-5491
Rep. Denny Woodall Neilson House Off. 734-2933
304A Blatt Building, Cola., SC 29211 Business 393-1702
107 Florida Drive
Darlington, SC 29532 Home 393-2079
Sen. Isadore Lourie Senate Off. 734-2776
303 Gressette Building, Box 142 Business 799-9805
Columbia, SC 29202 Home 787-4782
Sen. Warren K. Giese Senate Off. 734-2889
608 Gressette Building, Box 142 Business 777-3890
Columbia, SC 29202 Home 787-9955
Sen. Ernie Passailaigue Senate Off. 734-2889
608 Gressette Building, Cola., SC 29202 Business 881-6645
P.O. Box 299 Home 722-0902
Charleston, SC 29402
Mrs. Gloria H. Sholin Business 649-7981
21 Troon Way Home 642-8016
Aiken, SC 29802
Mr. Thomas D. Stilwell Home 472-2255
4 Oakland Ave.
Inman, SC 29349
Mr. Robert C. Wasson Home 575-2438
Route #3
Laurens, SC 29360
American Association of Retired Persons
Albert M. Baldwin
1 Maplewood Court
Hilton Head, SC 29928 681-2281
Joint Legislative Committee (AARP)
William J. Nelson, Chairman
438 Palmetto Parkway, NE
Orangeburg, SC 29115 796-6490
Alzheimer's Disease and Related Disorders Association, Inc.
Leanne Richard, Executive Director
P. O. Box 7044
Columbia, SC 29202 732-1887
Center for the Study of Aging - Medical University of S.C.
Dr. Allen Smith, Director
171 Ashley Avenue
Charleston, SC 29425 792-2083
Community Long Term Care
Sam Waldrep
Health and Human Services Finance Commission
1801 Main St.
Columbia, S.C. 29202-8206 253-6142
Long Term Care Council
Paula Fendley, LTC Policy Analyst
Health & Human Services Finance Comm.
Bureau of Community Services
P.O. Box 8206
Columbia, SC 29202-8206 253-6154
S.C. Adult Day Care Association
Tammy Quarles, President
Columbia Adult Care, Inc.
3127 Rosewood Drive
Columbia, SC 29205 771-7108
S.C. Association of Non-Profit Homes
for the Aging
Joann N. Young, President
Presbyterian Home of South Carolina
Hwy. 56 North
Clinton, SC 29325 833-5190
S.C. Association of Residential Care Homes
Thomas S. Mullikin, Counsel
P.O. Box 745
Camden, SC 29020 425-4595
S.C. Bar
Eve Stacey, Public Service Director
950 Taylor Street
Columbia, SC 29201 799-6653
S. C. Federation of Older Americans
Gloria B. Turner, President
101 Carolina Circle
West Columbia, SC 29169 822-8649
SCFOA - Legislative Forum
Betty Hawkins
101 Carolina Circle
West Columbia, SC 29169 822-8649
S.C. Gerontological Society
Kay Mitchell, President
SC Commission on Aging
400 Arbor Lake Drive, Suite B-500
Columbia, SC 29223 735-0210
S.C. Gerontology Center
Dr. Gerald L. Euster
DeSaussure College - University of S.C.
Columbia, SC 29208 777-4221
S.C. Healthy Aging Coalition
Mary Bundrick
SC Commission on Aging
400 Arbor Lake Dr., Suite B-500
Columbia, SC 29223 735-0210
S.C. Health Care Association (Nursing Homes)
Randy Lee, Executive Vice President
1706 Senate St.
Columbia, SC 29201 256-2681
S.C. Home Care Association
Mike DuBose, Director
7338 Broad River Road
Irmo, SC 29210 781-0926
S.C. Hospital Association
Ree Mallison, Legislative Assistant
101 Medical Circle, P.O. Box 6009
West Columbia, SC 29171-6009 796-3080
S.C. Medical Association
Barbara Whittaker, Assoc. Executive Vice President
P. O. Box 11188, 3325 Medical Park Road
Columbia, SC 29211 798-6207
S.C. National Assn. of Retired Federal Employees
Margaret L. Baptiste
621 Pelzer Drive
Mt. Pleasant, SC 29464 881-3713
S.C. Retired Educators Association
Mary Mace, President
421 Zimalcrest Dr.
Columbia, SC 29210 772-6553
S.C. Retirement Communities Association
Michael E. McKeltchen, President
Patrick Mason, Executive Director
4201 Blossom St.
Columbia, SC 29205 782-7466
S.C. Department of Health & Environmental Control
Home Health Services Division
Mike Byrd, Director
2600 Bull Street
Columbia, SC 29201 737-3960
S.C. Department of Health & Human Services
Finance Commission
Bureau of Community Services
Dolores Wilkie, Special Assistant to Long Term Care
1801 Main Street, P. O. Box 8206
Columbia, SC 29201 253-6154
S.C. Department of Mental Health
Division of Elderly & Long Term Care Services
Ed Spencer, Director
2414 Bull Street, P.O. Box 485
Columbia, SC 29202 734-7859
S.C. Department of Social Services
Adult Protective Services
Tim Cash, Director
1535 Confederate Ave. Ext., P. O. Box 1520
Columbia, SC 29202-1520 734-5670
S.C. Long Term Care Council
Paula M. Fendley, Staff
P. O. Box 8206
Columbia, SC 29202-8206 253-6154
S.C. Commission on Aging
Helen Brawley, Chair
Ruth Q. Seigler, Exec. Director
400 Arbor Lake Drive, Suite B-500
Columbia, SC 29223 735-0210
Advisory Council on Elder Affairs
Dr. Harold F. Park, Chair
339 Will Wise Road
Chapin, SC 29036 345-5403
S.C. Association of Area Agencies on Aging
Dr. Michael Stogner, President
SC Appalachian Council of Governments
50 Grand Ave., Drawer 6668
Greenville, SC 29606 242-9733
S.C. Association of Council on Aging Directors
Lynnda Bassham, President
Aiken Area Council on Aging
P.O. Box 325
Aiken, SC 29802 648-5447
Select Committee on Aging
U.S. House of Representatives
Edward R. Roybal, Chairman
300 New Jersey Ave., S.E., Room 712
Washington, D.C. 20515 (202) 226-3375
Special Committee on Aging
U.S. Senate
Sen. David Pryor, Chairman
G-41 Dirksen Senate Office Bldg.
Washington, D.C. 20510 (202) 224-5364
S.C. Bar - Law Line
Toll Free 1-800-521-9788
Columbia 771-0011
S.C. Bill Status - Legislative Information
Toll Free 1-800-922-1539
Columbia 734-2060
S.C. Department of Consumer Affairs
Consumer Assistance Analyst
Toll Free 1-800-922-1594
Columbia 734-9452
S.C. Handicapped Services Information System:
Elderly Assistance Line
USC-Center for Developmental Disabilities
Columbia, SC 29208 777-5732
Toll Free 1-800-922-1107
S.C. Department of Insurance
Consumer Assistance Analyst
Toll Free 1-800-768-2467
Columbia 737-6180
S.C. Protection & Advocacy System for the Handicapped
Toll Free 1-800-922-5225
Columbia 782-0675
S.C. Program Assistance Line (S.C. PAL)
Toll-free 1-800-922-2221
Columbia 734-2050
CUFAN - Children & Adult Resource Express
Contact local Clemson Cooperative Extension
County Office for database & referral
Dr. Emily Wiggins
Clemson University
Clemson, SC 29634 656-0110
Statewide Alzheimer's Disease & Related Disorders Registry
USC - School of Public Health
Columbia, SC 29208 777-9416
COUNTY ORGANIZATION TELEPHONE
Abbeville Piedmont Agency on Aging 223-0164
Aiken Aiken Council on Aging 648-5447
Allendale Allendale Council on Aging 584-4350
Anderson Anderson/Oconee Council on Aging 225-3370
Bamberg Bamberg Co. Office on Aging 245-3021
Barnwell Barnwell Co. Office on Aging 259-3738
Beaufort Beaufort Council on Aging 524-1787
Berkeley Berkeley County Senior Citizens 761-8412
Calhoun Calhoun Co. Agency for Senior Citizens 874-1270
Charleston Charleston Area Senior Citizens 722-4127
American Red Cross - Low Country 566-9965
South Santee Comm. Center 546-2789
Cherokee Cherokee Co. Services to the Aging 487-2728
Chester Chester Council on Aging 385-3838
Chesterfield Chesterfield Council on Aging 623-2280
Clarendon Clarendon Council on Aging 435-8593
Colleton Colleton Council on Aging 549-7642
Darlington Darlington Council on Aging 393-8521
Dillon Dillon Council on Aging 774-0055
Dorchester Dorchester Council on Aging 871-5053
Edgefield Edgefield Senior Citizens Council 637-5328
Fairfield Fairfield Council on Aging 635-3015
Florence Florence Council on Aging 669-6761
Georgetown Georgetown Council on Aging 546-8539
Greenville Senior Action Inc. 242-1746
Greenwood Piedmont Agency on Aging 223-0164
Hampton Hampton Council on Aging 943-5262
Horry Horry Council on Aging 248-9818
Jasper Jasper Council on Aging 726-5601
Kershaw Kershaw Council on Aging 432-8173
Lancaster Lancaster Council on Aging 285-6956
Laurens Laurens Service Council for Seniors 984-4572
Lee Lee Council on Aging 484-6212
Lexington Lexington Co. Recreation Commission 359-4048
Columbia/Irmo Rec. Commission 731-0047
Marion Marion Co. Council on Aging 423-4391
Marlboro Marlboro Council on Aging 479-9951
McCormick McCormick Council on Aging 465-2626
Newberry Newberry Council on Aging 276-8266
Oconee Anderson/Oconee Council on Aging 225-3370
Orangeburg Orangeburg Council on Aging 531-4663
Pickens Pickens Co. Seniors Unlimited 843-2275
Richland Council on Aging of the Midlands 252-7734
Saluda Saluda Council on Aging 385-3838
Spartanburg Spartanburg Council on Aging 596-3910
Sumter Santee Senior Services 773-5508
Union Union Council on Aging 429-1682
Williamsburg Santee Senior Services 773-5508
York York Council on Aging 327-6694
COUNTY NUMBER AMOUNT
__________________________________________________________________________________________________________________
Abbeville 2,024 319,071.34
Aiken 7,399 1,077,244.23
Allendale 767 160,228.32
Anderson 10,132 1,591,857.07
Bamberg 1,093 184,838.90
Barnwell 1,164 207,645.58
Beaufort 4,114 626,691.73
Berkeley 3,128 436,275.99
Calhoun 882 107,882.08
Charleston 12,650 2,520,426.24
Cherokee 3,141 471,009.51
Chester 2,547 444,812.63
Chesterfield 2,606 285,927.71
Clarendon 1,653 228,118.60
Colleton 2,472 375,661.60
Darlington 3,594 498,947.34
Dillon 1,517 198,165.18
Dorchester 2,738 479,641.27
Edgefield 1,044 160,331.72
Fairfield 1,474 230,429.57
Florence 5,933 829,217.09
Georgetown 2,984 437,261.32
Greenville 18,382 3,104,938.12
Greenwood 4,309 730,367.62
Hampton 1,373 321,917.62
Horry 8,219 1,154,932.95
Jasper 936 155,155.70
Kershaw 2,803 365,314.50
Lancaster 3,596 563,969.18
Laurens 4,130 532,883.46
Lee 1,258 238,490.79
Lexington 7,584 1,385,819.59
McCormick 563 88,101.97
Marion 1,837 313,574.11
Marlboro 1,834 230,863.79
Newberry 2,967 487,184.44
Oconee 3,993 438,181.00
Orangeburg 4,984 790,053.82
Pickens 5,795 942,804.79
Richland 12,025 2,424,189.58
Saluda 1,272 196,558.12
Spartanburg 14,854 2,900,357.78
Sumter 4,087 686,364.93
Union 2,619 426,041.52
Williamsburg 1,901 302,449.80
York 6617 1,022,869.23
__________________________________________________________________________________________________________________
STATE TOTALS 192,994 31,674,969.45
COUNTY TOTAL TOTAL %
REGISTERED VOTED VOTED
Abbeville 2,499 1,719 68.78
Aiken 10,071 6,949 69.00
Allendale 1,137 758 66.66
Anderson 11,574 8,169 70.58
Bamberg 1,681 1,169 69.54
Barnwell 1,957 1,251 63.92
Beaufort 9,366 6,910 73.77
Berkeley 5,462 4,015 73.50
Calhoun 1,290 901 69.84
Charleston 22,545 15,758 69.89
Cherokee 4.103 2,590 63.12
Chester 2,946 2,037 69.14
Chesterfield 3,165 2,073 65.49
Clarendon 2,975 1,756 59.02
Colleton 3,141 2,197 69.94
Darlington 5,056 3,140 62.10
Dillon 2,401 1,522 63.39
Dorchester 4,857 3,253 66.97
Edgefield 1,819 1,228 67.50
Fairfield 1,987 1,346 67.74
Florence 8,563 5,754 67.19
Georgetown 4,657 3,072 65.96
Greenville 24,465 18,192 74.35
Greenwood 5,097 3,443 67.54
Hampton 1,856 1,449 78.07
Horry 13,723 9,462 68.94
Jasper 1,565 1,141 72.90
Kershaw 3,835 2,994 78.07
Lancaster 4,540 3,076 67.75
Laurens 4,966 3,274 65.92
Lee 1,902 1,362 71.60
Lexington 10,328 7,393 71.58
McCormick 936 588 62.82
Marion 2,940 1,762 59.93
Marlboro 2,573 1,370 53.24
Newberry 3,826 2,563 66.98
Oconee 5,025 3,521 70.06
Orangeburg 8,304 5,985 72.07
Pickens 5,968 4,050 67.86
Richland 19,399 14,055 72.45
Saluda 1,723 1,317 76.43
Spartanburg 17,188 11,296 65.72
Sumter 6,586 4,189 63.60
Union 3,399 2,480 72.96
Williamsburg 3,715 2,656 71.49
York 8,726 6,023 69.02
_________________________________________________________________________________________________________
STATE TOTALS 275,837 191,208 69.31
The following was received.
The Joint Insurance Study Committee, created in 1989 by Act 37, repealing Act 1143 of 1966 and Act 612 of 1971, submits herewith a report of its recent studies, recommendations and activities.
SENATE MEMBERS HOUSE MEMBERS
Edward E. Saleeby, Chm. James J. Bailey
John C. Land, III Roland S. Corning
Glenn F. McConnell Joseph T. McElveen, Jr.
Michael F. Mullinax Richard M. Quinn, Jr.
Thomas H. Pope, III John L. Scott
GOVERNOR'S APPOINTEES EX OFFICIO MEMBER
Charles M. Potok John G. Richards
Dr. S. Travis Pritchett Chief Insurance
Ronald D. Scheetz Commissioner
Frank S. Smith, Jr.
Roland C. Young
STAFF
Mary Lou Price
Director of Research
503 Gressette Building
Columbia, South Carolina 29202
734-2845
SENATE MEMBERS:
/s/Senator Edward E. Saleeby
/s/Senator John C. Land, III
/s/Senator Glenn F. McConnell
/s/Senator Michael F. Mullinax
/s/Senator Thomas H. Pope, Jr.
HOUSE MEMBERS:
/s/Representative James J. Bailey
/s/Representative Roland S. Corning
/s/Representative Joseph T. McElveen, Jr.
/s/Representative Richard M. Quinn, Jr.
/s/Representative John L. Scott
GOVERNOR'S APPOINTEES:
/s/Mr. Charles M. Potok
/s/Dr. S. Travis Pritchett
/s/Mr. Ronald D. Scheetz
/s/Mr. Frank S. Smith, Jr.
/s/Mr. Roland C. Young
EX-OFFICIO MEMBER:
/s/Commissioner John G. Richards
STAFF:
Mary Lou Price
Director of Research
503 Gressette Building
Columbia, South Carolina 29202
734-2845
The Joint Insurance Study Committee was created by Act 37, 1989, which amended Act 612, 197l, and Act 1161, 1974, to make a continuous study and investigation of all facets of the insurance industry and related laws including, but not limited to, the study of revisions to this state's insurance laws, and to the review of medical, automobile, and property insurance premium rates so as to recommend appropriate statutory or regulatory controls. This study committee combines The Joint Legislative Automobile Liability Insurance Study Committee and The Insurance Law Study Committee and provides for its members, powers, duties, staff and expenses to be similar to that of the aforementioned study committees.
COMMITTEE LEGISLATION ENACTED IN 1990
S.C. WINDSTORM AND HAIL UNDERWRITING ASSOCIATION -
S.1114, ACT 469
As a result of the damage caused by Hurricane Hugo, some confusion has arisen regarding what perils are insured under policies written by the South Carolina Windstorm and Hail Underwriting Association. To clarify those coverages and to more accurately reflect the nature of the association's liability, some members of the Insurance Commission have expressed a desire to amend the name of the association to delete any reference to "storm" such that its name would be the South Carolina Wind and Hail Underwriting Association.
FISCAL IMPACT REQUIRED ON BILLS OR RESOLUTIONS DEALING WITH MANDATED BENEFITS FOR HEALTH INSURANCE COVERAGE - S.1331, ACT 428
This piece of legislation emanated as a recommendation from the Select Committee on Health Care Cost Containment, a committee which was established by the study committee to study the rising cost of health care coverage. The bill requires a fiscal impact statement attached to it after it has been read across the desk of either body, but before it leaves the standing committee to which it has been sent. The fiscal impact will be furnished by the Division of Research and Statistics, with final approval by the Chief Insurance Commissioner. It will hopefully become a deterrent to mandated legislation dealing with health insurance coverage, and make a small, but significant dent in the rising cost of health care coverage.
DEFINITION OF LIFE INSURANCE - S.1155, ACT 416
In the past few years, life insurance companies have developed products which provide early payout of a portion of the face amount of the policy under certain conditions. To specifically allow for the sale and approval of policies with such benefits, it was recommended that legislation to either amend the definition of life insurance or exclude such policies from the definition of accident and health insurance be introduced. This bill was amended in committee changing the language so that it clarifies that the policies to be sold deal with life policies and have no connotation that they deal with accident and health insurance.
NEW STANDARDS FOR GROUP MEDICARE POLICIES - S.1153, ACT 362
In January of 1989, the Chief Insurance Commissioner promulgated Regulation 69-46, which established new standards for Medicare Supplement policies as required by the Medicare Catastrophic Coverage Act of 1988. In conformity with those new requirements, it was necessary that Section 38-71-730(6) be amended to require that group Medicare policies meet or exceed the minimum standards for such policies as provided in Regulation 69-46.
LICENSING OF FOREIGN PREMIUM SERVICE COMPANIES - S.1171, ACT 365
This piece of legislation pertains to the statutory requirements for licensing of premium service companies which currently contain no specific requirement that such companies, if foreign, be regulated and subject to financial examination by their state of domicile. To ensure the financial integrity of premium service companies domiciled in other states, but doing business in this State, the commissioner recommends that foreign premium service companies be regulated and examined by the insurance department in its state of domicile. There were eleven states that are not presently regulated or examined at all. If they were not being regulated or examined in their own state, he felt they should not be licensed in South Carolina. Amended in committee the word "insurance" was changed to "appropriate" because there are twelve states that regulate and examine the premium service companies by departments other than insurance departments. Ten are regulated by the State Banking Departments and two by the Department of Consumer Affairs.
AUTHORIZATION OF CHIEF INSURANCE COMMITTEE TO REQUEST QUARTERLY REPORTS - S.1154, ACT 367
All insurers licensed to transact business in this State are required by statute to submit, on an annual basis, financial statements reflecting their financial condition. The commissioner recommended that the statute be amended to prescribe the form and manner in which the statement is prepared and to provide specifically that quarterly financial reports and any additional information deemed necessary may be required. Amended in committee, the commissioner requested the deletion of certain language which the department felt was counter to what the original bill was trying to accomplish. The commissioner will still retain the authority to make companies file quarterly reports.
CHIEF INSURANCE COMMISSIONER AUTHORIZED ACCESS TO INSURER'S RECORDS NOT PAPERS - S.1152, ACT 363
The commissioner is required by statute to examine each insurance company domiciled in South Carolina every five years. In connection with that examination, the commissioner is allowed access to all books and papers of that insurer. To assure that the appropriate books and records are made available for the examination, the commissioner recommended that the statute be amended to require that the company's original books and records be supplied.
DOMESTIC INSURERS REQUIRED TO MAINTAIN BOOKS IN SOUTH CAROLINA - S.1156, ACT 364
The law currently requires that insurers seeking to be domiciled in South Carolina locate and maintain their principal place of business and primary executive, administrative and home offices in South Carolina. To assist in the appropriate regulation of our domestic insurers, the commissioner recommended that the law be amended to require that all original books and records of such insurers be maintained in this State.
Amended in committee, domestic health maintenance organizations were added to the provisions of the bill. At present, all domestic HMO's maintain their books in South Carolina.
DEFINITION OF ANNUITY - S.1170, Act 348
Many life insurance companies now market single premium immediate annuities which provide periodic payments for a fixed period of time without regard for the continuance of human life. Such annuities cannot be approved in this State, because the statutory definition of annuities provided that payments be "dependent upon the continuation of human life." Therefore, the commissioner recommended that the definition of annuity be revised to remove the reference to the continuance of human life.
AMENDMENT TO THE SOUTH CAROLINA HEALTH INSURANCE RISK POOL - S.1332, Act 568
At the recommendation of the Board of Directors of the Health Insurance Risk Pool, this bill makes several technical adjustments to Act 127 of 1989, which established the pool. The legislation revised the definition of the board, deleted the reference to the Board of directors of the Pool and provided for the board to consist of the directors, provided for the pool to have the powers granted by law to insurance companies licensed to transact accident and health insurance instead of referring to insurance as defined in the act, revised who may apply for pool coverage and the exception for exclusions from pool coverage, and defined an unfair trade practice for an agent, an employer, and a member participating in the pool.
LONG TERM CARE INSURANCE ACT - S.1209, Act 409
In 1988, the South Carolina General Assembly passed the Long Term Care Insurance Act, which was based on the model developed by the National Association of Insurance Commissioners. Subsequent to its passage, the NAIC made amendments to the model act. This bill amends the South Carolina Long Term Care Insurance Act, including reducing the pre-existing conditions from 12 months to 6 months, and deleting "prior hospitalization."
COMMITTEE LEGISLATION PROPOSED FOR 1991
NATIONAL ASSOCIATION OF INSURANCE COMMISSIONERS' RECOMMENDATIONS FOR ACCREDITATION
In 1988, the National Association of Insurance Commissioners began work on developing minimum standards for effective solvency regulation to ensure that all states had the essential statutes, regulations and regulatory resources necessary to police the insurance industry. In 1989, the NAIC formally adopted these financial regulatory standards and in 1990, instituted a certification program whereby each state's compliance with the standards will be evaluated by an independent review team. South Carolina has already been reviewed and there are seven bills which reveal the areas which the State must change the law in order to meet the standards which have been set up by the NAIC.
INSURERS' SUPERVISION, REHABILITATION & LIQUIDATION ACT - S.589, H.3343
These bills govern delinquency proceedings against both domestic and foreign insurers doing business in South Carolina by deleting current provisions governing administrative supervision from Chapter 27 and adding a new Chapter 26, Administrative Supervision of Insurers, which contains the circumstances warranting the exercise of supervision, standards for the conduct of the insurer during supervision, and delineating the duties and responsibilities of the commissioner during the supervision period, by adding a provision allowing the commissioner, in his discretion to apply the provisions of the act, as amended, to current delinquency proceedings, by prohibiting the release of an insurer from delinquency proceedings, unless all expenses of any guaranty association have been repaid, by allowing the application of the chapter to prepaid health care delivery plans, by requiring that the commissioner submit for court approval a plan for the continued operation of an insurance company which is appealing, without a stay, an order of liquidation.
INSURANCE HOLDING COMPANY REGULATORY ACT - S.590, H.3234
This act requires insurers which are members of holding company systems to register with the commissioner and to make certain filings and disclosures of transactions. It also governs the acquisition of control of a domestic insurer by any person and requires certain information be furnished in connection with proposed acquisition, expands its scope by making its provisions applicable under certain circumstances to the acquisition of foreign insurers which are licensed to do business in South Carolina, establishes a competitive standard for the commissioner to consider in determining if an acquisition of control should be approved, requires an insurer's registration statement to contain information concerning pledge of insurer's stock, or that of a subsidiary, for a loan to a member of the holding company system, contains technical clarification of existing law concerning the payment of extraordinary dividends by domestic insurers, requires that such a determination be made by reference to the insurer's surplus as regards policyholders reflected in the most recent annual statement.
RISK RETENTION AND PURCHASING GROUPS - S.591, H.3245
The Federal Liability Risk Retention Act passed in 1981 and expanded in 1986, permitted the formation of risk retention groups and purchasing groups for the purpose of selling and buying liability insurance for their members. South Carolina adopted the federal act as Chapter 83 of Title 38. This bill amends that act by ensuring that risk retention groups are treated for purposes of financial examinations, just as insurers are, and by requiring that financial examinations of risk retention groups be conducted in accordance with the NAIC's examiner's handbook. This bill clarifies that risk purchasing groups may only purchase coverage from certain entities, and provides that purchasing groups may only purchase insurance from a chartered risk retention group or a licensed insurer and eligible surplus lines insurer.
CREDIT FOR REINSURANCE - S.592, H.3238
Currently all insurers doing business in South Carolina are required by law to set aside monies, known as reserves, for the business they write in the State. They are allowed to take a deduction from those required reserves for business ceded to certain reinsurers. A company may take credit against reserve requirements for business ceded to a reinsurer only if the reinsurer is licensed to transact business of insurance in South Carolina, or if the reinsurer meets statutory requirements and is approved by the commissioner to act as a reinsurer in the State. This bill adds one more instance in which insurers could take credit for reinsurance ceded by establishing standards for insurers to be approved as "accredited reinsurers" if the reinsurer submits to the State's jurisdiction, submits to examination of its books and records, is a licensed insurer or reinsurer, pays a license fee, files an annual statement and an audited financial statement, and maintains a surplus of not less than $20 million.
INSURERS IN HAZARDOUS CONDITION - S.593, H.3241
Currently the Chief Insurance Commissioner has the authority to revoke or suspend the license of an insurer if it is in "hazardous" condition. This bill establishes standards which the commissioner may consider in determining whether an insurer's condition is hazardous, such as adverse financial condition exams, insurer's asset portfolio mix, incompetent management and liquidity problems. It also gives the commissioner the explicit authority to order that an insurer in hazardous or unsound condition take certain actions, such as reducing, limiting or suspending the volume of business written, suspending or limiting the declaration of a dividend, filing quarterly financial statements, and increasing its capital and surplus.
STANDARDS FOR INSURANCE COMPANY INVESTMENTS - S.594, H.3239
Investments made by insurance companies to cover policyholder obligations and minimum capital and surplus requirements are subject to restrictions contained in the investment statutes. This bill would require that investment standards take into account stability, liquidity and diversification, provide that investments be valued in accordance with the values or standards promulgated by the NAIC, and if no such valuation exists, for example, for real property, certain stocks or bonds, other securities, etc. The bill establishes conservative valuation standards and authorizes that additional standards be promulgated and submitted to the General Assembly for consideration.
LIMITATION OF RISK PROVISION TO CAPTIVE INSURERS - S.595, H.3244
Current law prohibits an insurer from assuming liability for any single risk in excess of 10% of its surplus to policyholders. This prevents an insurer from endangering its financial stability by exposing itself to significant liability on one risk. The Department of Insurance has historically applied this provision to all insurers. However, to clarify that this limitation on risk applies equally to captive insurers, this bill specifically provides that it is applicable to all insurers, including captive insurers. Additionally, the bill provides a definition of a captive insurer as an insurance company formed by its parent for the sole purpose of insuring the risks of the parent and its affiliates. The bill defines a captive insurer as one formed by an organization which is owned by its members, and whose exclusive purpose would be to insure the risks of member organizations, group members and affiliates, or both.
CAPITAL AND SURPLUS NET WORTH REQUIREMENTS - S.685, H.3237
This bill increases the minimum capital and surplus required to become licensed as an insurer in South Carolina and increases the net worth requirements to become licensed as an HMO. It gives the commissioner the authority to require additional capital and surplus or net worth based on the nature of the business transacted. It requires that the initial capital and surplus of insurers and net worth of an HMO consist of cash or marketplace securities.
ASSESSMENT OF PROPERTY & CASUALTY GUARANTY ASSOCIATION - S.684, H.3240
This bill provides the Chief Insurance Commissioner additional powers on maximum assessments on Property and Guaranty Association members in case of emergencies as the bringing into the State out-of-state adjusters when Hugo hit South Carolina.
CONTINUING EDUCATION FOR LICENSING OF AGENTS - S.527, H.3320
This bill provides for biennial continuing education requirements for agents licensed to sell property and casualty insurance and to authorize the Chief Insurance Commissioner to promulgate regulations to implement these provisions.
CREDITORS' RIGHTS OF INSURED'S CLAIMS - S.405, H.3242
This bill relates to life insurance for an insured's spouse, children, and dependents and claims of the insured's creditors. It revises the provisions for the creditors' rights under life insurance policies and provides for the claims of creditors of the insured under various other insurance contracts.
CONFIDENTIALITY OF WORK PAPERS, S.403, H.3243
The Chief Insurance Commissioner currently has the power to require any insurer to respond to inquiries relating to its transaction of the business of insurance in this State. By statute, the responses to these inquiries are confidential. This bill recommends that the confidentiality provision be specifically extended to include the work papers and draft reports of financial examiners performing statutorily-required examinations to protect the integrity of such papers. Included in the bill is language on disclosure and sets up in what instances disclosures may be allowed.
CONSUMER CREDIT, S.470, H.3236
Currently South Carolina is number two in the nation with the rate which is charged the consumer for credit insurance coverage. This bill reduces this amount for individual insurance from $.85 to $.65, and for joint insurance from $1.42 to $1.08
JOINT RESOLUTION TO SPREAD HUGO LOSSES OVER THREE YEARS - S.704, H.3553
This bill would spread the Reinsurance Facility losses caused by Hurricane Hugo, estimated to be $35 million, over a three year period.
MODIFIED FILE AND USE FOR RATE FILINGS - S.679, H.3551
Current law requires the Chief Insurance Commissioner to approve all rate filings prior to their use. This bill would allow companies to implement rate increases, without the Department's approval, up to the annualized increases reflected in the applicable sections of the Consumer Price Index. Rate adjustments could be made every six months, not to exceed the inflation rates reflected in the annualized indices. The commissioner retains the authority to order refunds of excess profits as currently provided by law.
"Indexed File and Use" is a rating methodology designed to expedite the filing and approval of auto insurance rates. Twenty-eight states presently have a form of "file and use" rating. While simplifying the ratemaking process, this method also "caps" the amount of increase a company can obtain in a single filing. "File and Use" encourages competition by giving companies rate flexibility without the costly time delay inherent in the present system of rate making.
Our auto insurance system, while offering many benefits to consumers, imposes many restrictions on companies attempting to operate in a competitive, free enterprise manner. Many companies have withdrawn from the State because of these restrictions, (49 in the past year). This is an attempt to improve the regulatory climate for the companies which are continuing to provide an auto insurance market in our State. Without some improvements in the regulatory climate, there is no doubt more companies will leave the State, further constricting competition and possibly collapsing the entire market.
The amount of increase a company could apply for in a 12 month period would be limited to the indexed rate of growth for auto repairs and health care costs as determined by the federal government. During the most recent period this index was 6.4% - significantly less than most filings for auto insurance rate increases our Insurance Department has been receiving. The law would allow companies to file every six months. The cumulative amount of rate increase a company could obtain in a 12 month period could not exceed the index. If the Commissioner finds that the proposed rates do not meet the requirements of the law, he may hold an expedited hearing. As a result of the hearing, he may order the return of the filings to the insurer. If the Commissioner finds the rates filed produce excess profits, he may order a reduction after a hearing. The Consumer Advocate may petition to intervene under the authority of the Consumer Protection Code if he deems it in the public interest to do so.
This system will not replace our current prior approval system. A company many still elect to file for an increase requiring prior approval where the amount requested exceeds the file and use index. However such a filing may be made no less than one year after the last rate increase granted the insurer under either file and use or prior approval.
RECOUPMENT FORMULA ADJUSTMENT AND PLACEMENT OF THE RECOUPMENT SURCHARGE ON DECLARATION PAGE OF POLICY - S.705
This bill revises the calculation for the recoupment formula by making an adjustment to the recoupment formula to provide for full recoupment of all facility losses and deletes the requirement that the recoupment surcharge be separately identified on the premium notice.
FREE CESSION, UNIFORM FACILITY RATE, ELIMINATE PHYSICAL DAMAGE COVERAGE FROM FACILITY, AFFILIATED COMPANIES ALLOWED IN State - S.707, H.3554
Due to the fact that forty-nine companies are no longer writing personal lines insurance in South Carolina, and have pulled out of the State, this bill was introduced as a product of a coalition of two independent agent associations, the direct writer agents, and the designated agents, with approval from the Department of Insurance and the Consumer Advocate. It is hoped that by passage of this piece of legislation that companies will again write personal lines in our state and this will create competition between companies, and ease the troubles which the agents are experiencing.
Currently companies can cede to the facility up to 35% of their business. The first part of the bill would increase that limit by not counting towards the facility cap risks that do not qualify for a safe driver's discount. This part sunsets in two years.
The second part of the bill eliminates the mandate to write physical damage coverage for insureds who do not qualify for a safe driver's discount. This part will not become effective until October 1, 1992.
The third part provides for a uniform facility rate for insureds who do not qualify for a safe driver's discount. The rate specified would be the current or the specific company's rate, whichever is higher.
The last part allows affiliated companies to charge different rates for coverages which they are not mandated by law to write (like physical damage coverage for drivers who do not qualify for the safe driver's discount).
RESOLUTION REGARDING MEDICAID ELIGIBILITY REQUIREMENTS - H.3227
This Concurrent Resolution directs the Health and Human Finance Commission to review the Medicaid eligibility requirements and determine the number of eligible Medicaid recipients who are denied benefits because of failure to comply with Medicaid procedural requirements. This resolution makes a statement that the uninsured population could be reduced if the number of eligible Medicaid recipients being denied benefits through procedural denials, who have fallen through the cracks, could receive these benefits.
RESOLUTION TO INCREASE THE LEVELS OF CARE BY BOARDING AND NURSING HOMES - S.467, H.3226
Currently South Carolina has a patient classification system which results in over-utilization of hospital and nursing home facilities for patients needing less than acute care. This resolution creates a level of care for people who do not need acute nursing care.
RESOLUTION REQUIRING THE DEPARTMENT OF HEALTH & ENVIRONMENTAL CONTROL TO AMEND ITS NURSING HOME REGULATIONS - S.481, H.3224
Currently there is a shortage of nursing home beds throughout the State. To meet the needs of some hospitals, converting portions of their facilities to "swing beds" would be a cost savings to both. By amending nursing home regulations which are more flexible and less stringent than the standards set by hospitals, this would be cost saving.
RESOLUTION TO PROMULGATE REGULATIONS FOR CERTIFICATION OF LABORATORY AND RADIOLOGICAL TECHNICIANS - S.479, H.3223
Currently there are an insufficient number of certified laboratory technologists and radiologic technologists to meet the current demand. This is an acute problem in rural areas. The resolution directs DHEC to develop rules and regulations allowing for the certification of individuals, based on a course of education, training, and other relevant standards, to act as both lab technicians and radiologic technicians at the same institution.
RESOLUTION TO PROMULGATE REGULATIONS FOR UTILIZATION REVIEW FIRMS - S.464, H.3225
Currently there is a Utilization Review Section within the Insurance Department to oversee UR issues. This resolution encourages input from representatives of hospital associations, medical associations, the insurance industry (both foreign and domestic), the UR industry and the employer community.
RESOLUTION FOR THE FUNDING OF IMMUNIZATION OF ALL PRE-SCHOOL CHILDREN S.472, H.3235
This Resolution speaks for itself in asking for funding for immunization of all pre-school children. This is one of the most important issues in this country at this time because of its preventive nature.
RESOLUTION TO GIVE TAX CREDITS TO SMALL BUSINESSES WHO PROVIDE HEALTH INSURANCE FOR EMPLOYEES - S.465
This resolution requests the General Assembly to consider establishing a program that provides tax incentives or direct subsidies to small businesses which offer health insurance to their employees. This is another cost savings action and would also reduce the uninsured population.
BILL RELATING TO THE MEDICAID HOSPITAL PROSPECTIVE PAYMENT SYSTEM - S.493, H.3233
This resolution provides a cost-based reimbursement through Medicaid for facilities that agree to stop providing inpatient acute care except for the maximum of twelve beds for inpatients. This would apply to rural hospitals who could still be run off an unlimited number of beds for extended long term care. To enact this, the facility must have a plan for restructure and its services must interface with the county health departments and the appropriate agencies.
SOUTH CAROLINA HEALTH INSURANCE POOL LEGISLATION CONCERNING INVOLUNTARY TERMINATION OF POLICYHOLDERS - S.503, H.3317
This bill provides that the waiting period and pre-existing condition waivers do not apply to a person whose policy has been terminated or rescinded involuntarily because of a material misrepresentation. The purpose of this change is to put the person whose prior policy was rescinded for material misrepresentation in the same position as a person applying to the Pool who had no prior coverage. The bill also provides that a person who has, or is eligible for, health insurance coverage comparable to that provided by the Pool is ineligible for pool coverage.
SOUTH CAROLINA HEALTH INSURANCE POOL RECOMMENDATION CONCERNING CLAIMS INCURRED RATHER THAN PAID - S.502, H.3318
Provides that the collection of assessments from members of the Pool is for claims incurred or estimated to be incurred under the plan rather than for claims paid under the plan. This is a technical change to make the language of the statute consistent throughout.
SOUTH CAROLINA HEALTH INSURANCE POOL RECOMMENDATION CONCERNING LIABILITY OF POOL DIRECTORS - S.504, H.3319
This bill provides that member insurers, their agents or employees, the Pool's agents or employees, Board of Directors, or the Commissioner or his representatives, are immune for any acts or omissions occurring in the performance of their powers and duties under the Health Insurance Pool Act. This does not eliminate the liability of the Pool, but simply provides the same protection to this board as afforded by statute to the boards of other statutorily created insurance entities.
TIERING OF INDIVIDUAL MAJOR MEDICAL POLICIES - S.519, H.3325
This bill relates to individual major medical policies with its intent to protect South Carolinians from an industry practice known as "tiering", a practice followed by some insurers, of issuing a succession of individual policies with only slightly different benefits but which all require medical underwriting. The bill is also designed to make the continuation of this practice more difficult by specifying permissible levels of rate variations for individual major medical policies and provides that the rates for such policies cannot be more than 30% higher than the lowest rated individual major medical policy of that insurer. This limitation, however, may be increased by consideration of such factors as age, sex, occupation, etc., As well as by the actuarial value of the difference in benefits among the insurers policies.
TRANSFER FROM ONE INDIVIDUAL ACCIDENT AND HEALTH INSURANCE POLICY TO ANOTHER - S.520, H.3324
This bill gives an individual currently insured under an individual policy the right to transfer to another policy of equal or lesser benefits offered by the same insurer without having to pass medical underwriting. However, waiting periods or pre-existing condition exclusion periods would apply under the new policy and any riders on the old policy could be applied under the new as well.
COMBINED EXPERIENCE FOR ALL ACCIDENT & HEALTH GROUPS - S.521, H.3322
This bill relates to group accident and health insurance policies. Its purpose is to moderate the enormous health insurance rate increases which many small groups under 25 are experiencing.
The rates for group accident and health insurance policies are not regulated by the South Carolina Department of Insurance. Over the past few years, and depending on the underwriting and actuarial practices of different insurers, the rates charged for small groups have been calculated based on the actual experience of the small group. One person with a recurrent expensive health condition can cause the premiums being charged to the group to rise tremendously. The Insurance Department believes this practice is actuarially unsound because the rates are being based on statistically insufficient numbers. Rates for insurance, to be actuarially sound, must be based on credible experience from large numbers. Therefore, this bill requires that insurers of small groups of from 2 to 24 base their rates on the experience of all of their small groups. Once a combined rate for all of the small groups is established, the rate for a particular small group cannot vary, plus or minus, more than 20% from the combined rate. The insurer is allowed to consider, in addition to the 20% policies as well as such rating factors as age, sex, occupation, etc. in setting the final rate.
LIMITATIONS ON CANCELLATION OR NON-RENEWAL OF GROUP POLICIES - S.522, H.3323
This bill relates to group accident and health policies issued to groups of from 2 to 24 persons. Currently there are no statutory standards governing cancellation and non-renewal of group accident and health policies. This bill limits an insurer's right to cancel or non-renew a small group accident and health policy except for nonpayment of premium, fraud, failure to maintain participation requirements, and breach of the contract unless the insurer cancels or non-renews all policies issued on the same policy form.
The bill would provide the insured with some peace of mind that his coverage would not be canceled while also reserving to the insurer the right to make a business decision to cancel or non-renew an entire block of business.
"NO GAIN-NO LOSS" (EXTENSION OF "DISCONTINUANCE AND REPLACEMENT PROVISIONS") EXTENDED TO TWO LIVES
This bill relates to group accident and health policies issued to groups from two to twenty-four. Current law provides significant protection to members of an insured group of 10 or more which decides to change insurers. For instance, all employees covered under the prior policy must be covered under the new policy and credit for service of waiting periods and pre-existing conditions must be given. This bill extends the protection now afforded only to groups of 10 or more to all groups of two or more lives.
INSURANCE REQUIRED FOR ALL MEMBERS OF A GROUP - S.525, H.3327
Current law allows health insurers to pick which people they want to insure in groups of less than twenty-five. This bill would prohibit this practice by requiring insurers to cover all members of the group, regardless of the size of the group. It would not mandate that insurers issue coverage to a group, but would require that if they choose to do so, that all members of the group be afforded coverage. The bill specifically allows insurers to ask for individual medical histories to determine whether to write the group as a whole.
CREDIT FOR SERVICE OF PRE-EXISTING PERIODS UPON CHANGING JOBS - S.526, H.3321
This bill is consumer-oriented. It would serve to protect insureds who move from one insured group to another, for instance, as the result of changing jobs. It would require the insurer to which the insured moves to give credit for the satisfaction or partial satisfaction of the pre-existing condition period served under the prior plan.
SOUTH CAROLINA SELECT COMMITTEE ON HEALTH CARE COST CONTAINMENT
On June 5, 1989, The Joint Insurance Study Committee appointed the South Carolina Select Committee on Health Care Cost Containment to conduct a study on health care cost containment and make recommendations in this area. This committee was charged with the development of legislative and administrative strategies designed to slow the rate of increase in the cost of health care services. In addition, the Committee was requested to recommend a solution to providing health care coverage to the small group health insurance market.
The Select Committee, after considerable deliberations, established the following goals and objectives:
1. To reduce the rate of increase in health care cost in South Carolina.
2. To improve the access of affordable health insurance to small businesses and their employees.
3. To improve access and coverage of Medicaid to those eligible to receive benefits.
4. To reduce the economic impact of disease on the state of South Carolina.
5. To reduce the hidden tax of cost shifting by reducing the number of the uninsured population and by reducing uncompensated care.
6. To reduce the number of eligible Medicaid recipients who are denied benefits through "procedural denials."
7. To make those diseases with the greatest economic impact on the State the highest priority and link those diseases with public supported insurance coverage.
8. To establish a mechanism whereby the best investment of South Carolina's health care dollar can be determined.
The 23-member Select Committee held its first meeting on June 28, 1989, and subsequently eleven other full committee meetings were held. It was apparent from the first meeting of the Select Committee that the scope of the health care cost problem was so vast that working subcommittees had to be formed to study, make recommendations, and continually report to the full Select Committee on their findings. The following subcommittees were appointed - (1) Subcommittee on Providers, (2) Subcommittee on Institutions, (3) Subcommittee on Insurance/Utilization Review, (4) Subcommittee on Insurance/Uninsured, and (5) Subcommittee on Government/Legislation/Regulation.
Each subcommittee invited experts in their respective fields to assist the subcommittees in their efforts. Such experts included representatives from the South Carolina medical community, experts in utilization review, and professionals in the areas of community primary care clinics, Certificate of Need, and public insurance programs.
The Institution Subcommittee and The Provider Subcommittee both addressed the Certificate of Need Program. The subcommittees learned that the intent of the South Carolina CON Program is to review hospital and other health care providers' requests to build new facilities, renovate or modernize existing facilities, expand beds or services, or purchase major types of medical equipment. One of the major objectives of the program is to constrain the rise of hospital and other health care costs by (1) preventing unnecessary construction of new hospital or nursing home beds, (2) precluding the unnecessary duplication of services in a given geographical area, and (3) prohibiting the purchase of specified expensive medical equipment by health care facilities. In South Carolina, CON review is required when total project costs for new equipment exceeds $600,000, and is limited in scope to equipment that is to be used on an inpatient basis.
The Industry/Uninsured Subcommittee and the Government/Legislation/Regulation Subcommittee both discussed the small group policy concept in detail. The subcommittees reviewed the Connecticut Small Group Policy proposal, the Health Insurance Association of America's proposal, and the South Carolina Insurance Department and Blue Cross/Blue Shield's proposals.
In addition to the three issues referenced above, each subcommittee researched the following outlined focus areas:
SUBCOMMITTEE ON PROVIDERS
1. Providers acceptance of public pay patients.
2. The geographic maldistribution of physicians and the disproportionate case mix of Medicaid patients.
3. Physician reimbursement and procedural requirements.
4. Utilization review procedural requirements and focus.
5. Funding of Medicaid.
6. Health promotion and disease prevention.
7. Technology management.
SUBCOMMITTEE ON INSURANCE/UNINSURED
1. Medicaid funding.
2. Procedural error in public insurance programs.
3. Evaluation of the 1974 Employee Retirement Income Security Act (ERISA).
4. Viability of small group markets.
5. The working uninsured.
SUBCOMMITTEE ON INSURANCE/UTILIZATION REVIEW
1. Standardization of utilization review process.
2. Focused review.
3. Cost effectiveness.
4. Function and structure.
SUBCOMMITTEE ON INSTITUTIONS
1. Certificate of Need.
2. Rate regulation.
3. Wellness and health promotion.
4. Utilization of health care services.
5. Cost shifting.
6. Long term care.
7. Sub-acute care.
8. Durable power of attorney (Death with
Dignity).
SUBCOMMITTEE ON
GOVERNMENT/LEGISLATION/REGULATION
1. Guarantee that if a small employer
provides health insurance for his employees, that
all employees, not just healthy ones, have access to
the coverage.
2. Provide that cost of covering high risk
individuals is born by the carrier's combined
experience, not by the individual group.
3. Prevent the practice of tiering in the
individual market.
Each subcommittee was responsible for making recommendations to the Select Committee for deliberation. This was included in the final report which was presented to the Joint Insurance Study Committee in December of 1990.
REPORT ON S.C. REINSURANCE FACILITY
The Joint Insurance Study Committee, by S.162, a Concurrent Resolution by the 1990 General Assembly, was requested to study the South Carolina Reinsurance Facility with regard to its rates, losses, operation, and effects of the cession limitation. The Study Committee presented the following report to the General Assembly.
The decisions of several private passenger automobile insurance companies to stop writing insurance in this State has created a crisis in the South Carolina automobile insurance market. According to the South Carolina Department of Insurance, in 1990, forty-nine companies have pulled out of South Carolina.
The first impact of these withdrawals will be felt primarily by South Carolinians who obtain their insurance through independent agents, but the withdrawals will impact on all automobile insurance consumers. The withdrawal of these companies from the South Carolina insurance market is one reason the General Assembly directed the Committee to undertake its study of the Reinsurance Facility, because the Facility mechanism, and the laws associated with it, govern how automobile insurance is sold in this State.
Another reason for the study is the General Assembly's responsibility to satisfy itself that the Facility, which is a residual market mechanism created by South Carolina law, and the Facility board, whose membership is constituted pursuant to statute, operate efficiently.
The Committee wishes to commend Chief Insurance Commissioner John G. Richards, who is by statute chairman of the Facility board, Consumer Advocate Steven W. Hamm, by statute a member of the Facility board, as well as all other Facility board members and staff for their assistance to the Committee in undertaking the study mandated by S.1652.
On September 5, 1990, the Joint Insurance Study Committee held its first of two public hearings on this topic. During this meeting the Committee heard from Commissioner Richards who explained in detail the history of the South Carolina Reinsurance Facility, and the legislation regarding it since its inception. Donnie Gay, Manager of the Facility also presented an overview of the Facility operations and the make-up of the Facility.
On September 26, 1990, the second public hearing was held. Commissioner Richards introduced to the Committee the Chairmen of the seven committees of the Reinsurance Facility: Arthur Ivey, Chairman of the Operating Committee; L.E. Fairey, Chairman of the Commercial Risk Committee; Dan Dinwiddie, Chairman of the Designated Agents Committee; Thomas H. Kepley, Chairman of the Investment and Financial Committee; Thomas C. Salane, Chairman of the Legal Committee and Legal Counsel to the Facility Board; Steve Dennis, Chairman of the Claims Committee; and Paul Merriman, Chairman of the Underwriting Audit Committee.
After the above two public hearings the Committee makes the following recommendations:
1. The composition of the Reinsurance Facility board, as revised by Act 148 of 1989, provides for a broad range of regulatory, legislative, consumer advocate, gubernatorial consumer appointee, agent, servicing carrier and company representation. The newly constituted board should be given a chance to work before further changes in its composition are considered.
2. Based on testimony by the Chief Insurance Commissioner and the Consumer Advocate, as well as reports by chairs of the various Facility committees, the Committee concludes that, while the Facility must always concentrate on achieving greater efficiencies, any further savings that might result from such efficiencies are relatively insignificant compared to overall Facility losses, and that such losses can only be addressed by the statutory changes noted below.
3. Rates charged for business that is ceded to the Facility by voluntary companies or written by designated agents are obviously inadequate, as evidenced by Facility losses. If the rates were more adequate, Facility losses would be substantially reduced, if not eliminated, and recoupment charges paid by every policyholder would be reduced if not eliminated. The difficult public policy issue is how to balance the desirability of reducing Facility losses against the desirability of protecting some consumers against unfair classification. The Committee concludes that statutory changes are needed to move toward adequate, uniform pricing of business placed in the Reinsurance Facility, based on objective standards.
4. To reduce Facility losses and encourage more companies to compete in the South Carolina automobile insurance market, the Committee concludes that statutory changes are needed to permit insurers to use multiple rate levels, subject to new objective standards and prior approval of those rates by the Commissioner. This change can involve introduction of affiliated companies, (i.e. companies that are affiliated with companies already doing business in the South Carolina market). This change would result in more business kept in the voluntary market (as opposed to being put in the Facility), thereby depopulating the Facility, reducing Facility losses, and allowing consumers and agents to benefit by encouraging more companies to compete for business. Objectively determined drivers now subsidized by recoupment charges would pay a higher rate, but objectively determined "clean" drivers would pay a lower rate than they otherwise would pay.
5. The Committee believes that the mandate to write physical damage coverages should be further relaxed, building on changes that were introduced by Act 166 of 1987. "Physical Damage Coverages" refer to first-party benefits, collision and comprehensive, as opposed to liability coverages payable to someone other than the insured. South Carolina is the only State that has a take-all-comers law for physical damage coverage. Act 166 of 1987 contained a limited removal of the mandate to write physical damage coverages, based on objective standards, and this change was achieved without undue disruption of the market. If companies are permitted to use affiliated (pup) companies to write non-mandated coverages, there will probably be more companies in the market competing for physical damage coverage business, thus reducing the disruption caused by removing this mandate. According to the South Carolina Department of Insurance, the 1990 physical damage recoupment charge to every South Carolina policyholder eligible for the safe driver discount was $13.63, almost one-third of the total recoupment charge. Given this fact, and realizing that the losses in the Facility will increase in 1991, this dollar figure will also increase. The recoupment amount is higher for those drivers with points. This change probably should be phased in over a one year period.
6. The Committee believes that the laws governing prior approval of rates should be amended so as to permit a company to obtain automatic approval of a rate filing that is at, or below, a cost price index comprised of the United States Department of Labor statistics tracking costs related to automobile insurance, including automobile repair costs and health care costs. This change would encourage more companies to compete for business in this State, by offering them the opportunity of adjusting their rates (subject to the index cap) without going through the prior approval process, which can be expensive and time consuming, especially for smaller companies. This change would permit the Insurance Department and the Consumer Affairs Department to focus their attention on rate proposals that exceed the index, and would permit the Department to redirect some of its resources toward regulating the solvency of insurance companies doing business in this State.
7. There was disagreement on whether the cession limitation should be changed. A compromise was reached, whereby, for a two year period, risks ceded to the Facility and not eligible for the safe driver discount do not count against cession limitation.
The above-recommended changes should not be represented as a means of achieving immediate overall rate reductions for South Carolinians. Nor is there any guarantee that any of the companies that left the State will return immediately, as some have reportedly made business decisions to de-emphasize private passenger automobile insurance. Care should be taken not to raise public expectations of substantial immediate reductions for "clean" drivers because the underlying cost elements of car insurance, such as auto crash parts and medical expenses, will continue to increase. The plan is intended to encourage more companies to compete more aggressively in the South Carolina market, and it relies on the beneficial impact of market competition on rates and service. If changes are not made, and companies continue to withdraw from South Carolina's highly regulated market, we will have an unhealthy situation where automobile insurance is available to consumers only from a handful of companies or from designated agents.
OTHER COMMITTEE ACTIVITIES
In addition to committee meetings and other legislative duties, Committee members and staff participated in meetings and seminars of the National Conference of Insurance Legislators. NCOIL provides its members with educational and informational services to stay abreast of trends and to anticipate new developments. It helps legislators in understanding the insurance industry, its impact on constituents, and consumer pressures. The meetings and seminars held by NCOIL are offered to legislators, regulators, staff, and industry representatives who are interested in solutions to insurance problems. Senators Edward E. Saleeby and Glenn F. McConnell serve on the Executive Committee of COIL as well as several other committees for this organization. The committee's staff is one of the few state staffers to be asked to participate on the COIL Staff of Insurance Legislators. Through the efforts of the active participants from South Carolina, the Annual Meeting of this organization will be held in Charleston, South Carolina in November of 1992. This could bring up to five hundred people to our State for a national convention.
The Committee's Staff continued to work closely with the Department of Insurance, attending the Insurance Commission's monthly meetings. Staff has also served on several panels, such as the South Carolina Health Policy Council, and the South Carolina Health Insurance Pool, and has participated in seminars dealing with insurance, speaking on behalf of committee members. Attendance at the National Association of Insurance Commissioner's meetings have been invaluable, as the progress of model acts which this association produces is readily available for Staff to pass on to committee members.
The following Bills were taken up, read the third time, and ordered sent to the Senate.
H. 3716 -- Reps. Whipper, D. Williams, Wofford, Barber, Fulmer, R. Young, Rama, Hallman, D. Martin, Gonzales, Snow, Altman, White, Keegan, J. Williams, G. Bailey and A. Young: A BILL TO AMEND SECTION 59-130-30, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE POWERS OF THE BOARD OF TRUSTEES OF THE COLLEGE OF CHARLESTON, SO AS TO AUTHORIZE THE BOARD TO CREATE THE UNIVERSITY OF CHARLESTON AND PROVIDE FOR OTHER RELATED MATTERS IN CONNECTION WITH THE CREATION OF THIS UNIVERSITY.
H. 3631 -- Rep. Hodges: A BILL TO AMEND SECTION 33-6-310, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE AUTHORIZATION THAT A CORPORATION MAY ACQUIRE ITS OWN SHARES, SO AS TO AUTHORIZE THE CORPORATION TO PROVIDE IN ITS ARTICLES OF INCORPORATION THAT REACQUIRED SHARES MAY BECOME TREASURY SHARES AND AUTHORIZE THE BOARD OF DIRECTORS TO ADOPT ARTICLES OF AMENDMENT PROVIDED THAT REACQUIRED SHARES BECOME TREASURY SHARES WITHOUT SHAREHOLDER ACTION.
H. 3739 -- Rep. Keyserling: A BILL TO AMEND CHAPTER 7, TITLE 54, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO SHIPWRECK AND SALVAGE OPERATORS, BY ADDING ARTICLE 5 SO AS TO ENACT THE SOUTH CAROLINA UNDERWATER ANTIQUITIES ACT OF 1991 AND TO PROVIDE PENALTIES FOR VIOLATIONS; AND TO REPEAL ARTICLE 4, CHAPTER 7 OF TITLE 54, THE SOUTH CAROLINA UNDERWATER ANTIQUITIES ACT OF 1982.
H. 3513 -- Reps. Keegan, Sharpe, Corbett, M. Martin, Smith, D. Elliott, Littlejohn, Gonzales, Marchbanks, Beasley, Haskins, Rama, A. Young, Meacham and Bruce: A BILL TO AMEND SECTIONS 61-5-60 AND 61-9-410, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE GROUNDS FOR SUSPENSION OR REVOCATION OR NONRENEWAL OF A LICENSE TO SELL ALCOHOLIC LIQUORS AND THE ACTS WHICH ARE PROHIBITED ON PREMISES LICENSED TO SELL BEER AND WINE, SO AS TO PROHIBIT BOTTOMLESS ENTERTAINMENT AT PREMISES LICENSED TO SELL ALCOHOLIC BEVERAGES AND BEER AND WINE.
H. 3714 -- Rep. Hodges: A BILL TO AMEND SECTION 20-7-1440, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO FEES, COSTS, AND ALLOWANCES ALLOWED IN DELINQUENCY, DEPENDENCY, AND NEGLECT ACTIONS IN FAMILY COURT, SO AS TO ALLOW FOR A FEE FOR THE SERVICE OF PROCESS IN CONNECTION WITH A TITLE VI-D CHILD SUPPORT ACTION PURSUANT TO A COOPERATIVE AGREEMENT ENTERED INTO BY THE SHERIFF OR CLERK OF COURT AND THE SOUTH CAROLINA DEPARTMENT OF SOCIAL SERVICES FOR THE REIMBURSEMENT OF FEDERAL MATCHING FUNDS.
The following Bill was taken up, read the third time, and ordered returned to the Senate with amendments.
S. 935 -- Banking and Insurance Committee: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 38-57-45 SO AS TO PROVIDE REQUIREMENTS FOR SOLICITATION MATERIAL BY INSURANCE AGENCIES, INSURERS, AND HEALTH MAINTENANCE ORGANIZATIONS.
At 10:55 A.M. the House in accordance with the motion of the SPEAKER adjourned to meet at 12:00 Noon on Tuesday, May 21.
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