South Carolina General Assembly
109th Session, 1991-1992
Journal of the House of Representatives

WEDNESDAY, MAY 6, 1992

Wednesday, May 6, 1992
(Statewide Session)

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:

Give to each one of us, O Lord, such a steadfast faith that no unworthy thought can drag down, an unconquered heart which no tribulation can wear out, an upright mind which no false purpose can pull aside. Give us the understanding to know You, the diligence to seek You, and the faithfulness to remain steadfast to You. Engraft within us such a measure of Your teachings that our lives may become the blueprint for others to use as we know that those around close their ears to advice but open their eyes to example.

Keep clear within us the words of the Psalmist: "depart from evil and do good, seek peace and pursue it." (Psalm 34:14) Amen.

Pursuant to Rule 6.3, the House of Representatives was led in the Pledge of Allegiance to the Flag of the United States of America by the SPEAKER.

After corrections to the Journal of the proceedings of yesterday, the SPEAKER ordered it confirmed.

WITHDRAWN AND RESUBMITTED

The following was received.

Document No. 1433
Promulgated By Consumer Affairs
Licensing standards for continuing care retirement communities
Referred to House Committee on Medical, Military, Public and Municipal Affairs
120 day review expiration date July 3, 1992
Withdrawn and resubmitted May 6, 1992

Received as information.

REPORTS OF STANDING COMMITTEE

Rep. PHILLIPS, from the Committee on Education and Public Works, submitted a favorable report, with amendments, on:

H. 4682 -- Rep. Beasley: A BILL TO AMEND SECTION 56-3-1150, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE FREE VEHICULAR REGISTRATION FOR FORMER PRISONERS OF WAR, SO AS TO PROVIDE THAT THE PLATE MAY BE TRANSFERRED TO A VEHICLE OWNED OR LEASED BY A FORMER PRISONER OF WAR OR HIS SURVIVING SPOUSE.

Ordered for consideration tomorrow.

Rep. PHILLIPS, from the Committee on Education and Public Works, submitted a favorable report, on:

H. 4750 -- Reps. Harvin, Riser, Rama, H. Brown, Smith, Carnell, Gonzales, Meacham, Canty, Kempe, P. Harris, Neilson, Sharpe, Harwell, Shissias, Lanford, M. Martin, Inabinett, Littlejohn, Corning, K. Burch, McTeer, Holt, Mattos, Fair, Manly, McKay and Rhoad: A BILL TO AMEND TITLE 56, CHAPTER 3, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLE 49 SO AS TO PROVIDE FOR SPECIAL LICENSE PLATES FOR SOUTH CAROLINA FIREFIGHTERS.

RULE 5.12 WAIVED

Rule 5.12 was waived by a division vote of 24 to 0.

Ordered for consideration tomorrow.

Rep. PHILLIPS, from the Committee on Education and Public Works, submitted a favorable report, with amendments, on:

S. 1310 -- Senators J. Verne Smith, Lourie, Leatherman, McConnell, Moore, Passailaigue, Martschink, McGill and Hinson: A BILL TO AMEND SECTION 56-5-5015, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO SUNSCREEN DEVICES, SO AS TO PROHIBIT THE INSTALLATION AND USE OF MORE THAN ONE SUNSCREEN DEVICE, TO PROVIDE FOR A TOTAL LIGHT TRANSMISSION OF SUNSCREENING DEVICE AND FACTORY OR MANUFACTURER INSTALLED SUNSCREENING MATERIAL OF NOT LESS THAN TWENTY-SEVEN PERCENT, TO PROVIDE THAT BEGINNING JANUARY 1, 1993, SUNSCREEN DEVICES APPLIED OR USED ON THE REAR WINDOWS AND THE FACTORY OR MANUFACTURER INSTALLED SUNSCREENING MATERIAL MUST HAVE A TOTAL LIGHT TRANSMISSION OF NOT LESS THAN TWENTY-SEVEN PERCENT, TO PROVIDE FOR A CERTIFICATE OF COMPLIANCE, TO PROVIDE ADDITIONAL PENALTIES, TO ADD DEFINITIONS, AND TO PROVIDE FOR PROMULGATION OF REGULATIONS.

Ordered for consideration tomorrow.

CONCURRENT RESOLUTION

The following was introduced:

H. 4820 -- Reps. McGinnis, Beatty, Bruce, Kempe, Littlejohn, Lanford and Wells: A CONCURRENT RESOLUTION TO CONGRATULATE SHAWN GRAVES OF SPARTANBURG ON BEING NAMED SOUTH CAROLINA MALE AMATEUR ATHLETE OF THE YEAR.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

CONCURRENT RESOLUTION

The Senate sent to the House the following:

S. 1534 -- Senator Courson: A CONCURRENT RESOLUTION TO COMMEND MR. THOMAS WEEKS SANDEL, JR. OF COLUMBIA FOR HIS YEARS OF ACTIVE AND COMMITTED CIVIC AND COMMUNITY SERVICE.

The Concurrent Resolution was agreed to and ordered returned to the Senate with concurrence.

CONCURRENT RESOLUTION

On motion of Rep. STODDARD, with unanimous consent, the following was taken up for immediate consideration:

H. 4821 -- Reps. Stoddard, Clyborne, D. Martin and McAbee: A CONCURRENT RESOLUTION TO FIX 12:00 NOON ON WEDNESDAY, MAY 13, 1992, AS THE TIME FOR THE HOUSE OF REPRESENTATIVES AND THE SENATE TO MEET IN JOINT SESSION IN THE HALL OF THE HOUSE OF REPRESENTATIVES FOR THE PURPOSE OF ELECTING MEMBERS OF THE BOARDS OF TRUSTEES OF LANDER COLLEGE, THE MEDICAL UNIVERSITY OF SOUTH CAROLINA, THE COLLEGE OF CHARLESTON, WINTHROP UNIVERSITY, FRANCIS MARION UNIVERSITY, SOUTH CAROLINA STATE UNIVERSITY, AND THE WIL LOU GRAY OPPORTUNITY SCHOOL, AND THE BOARD OF VISITORS OF THE CITADEL, TO SUCCEED THOSE MEMBERS WHOSE TERMS EXPIRE IN 1992 OR WHOSE POSITIONS OTHERWISE MUST BE FILLED.

Be it resolved by the House of Representatives, the Senate concurring:

That the House of Representatives and the Senate meet in joint session in the Hall of the House at 12:00 noon on Wednesday, May 13, 1992, for the purpose of electing members of the Boards of Trustees of Lander College, the Medical University of South Carolina, the College of Charleston, Winthrop University, Francis Marion University, South Carolina State University, and the Wil Lou Gray Opportunity School, and the Board of Visitors of The Citadel, to succeed those members whose terms expire in 1992 or whose positions otherwise must be filled.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

INTRODUCTION OF BILLS

The following Bill and Joint Resolutions were introduced, read the first time, and referred to appropriate committees:

H. 4822 -- Reps. Townsend, Cooper, P. Harris, Tucker and Chamblee: A BILL TO AMEND ACT 269 OF 1989, RELATING TO TAX MILLAGE FOR ANDERSON COUNTY SCHOOL DISTRICTS, SO AS TO REQUIRE THE SCHOOL BOARD TO DETERMINE THE TAX MILLAGE WITHIN THIRTY DAYS AFTER THE EFFECTIVE DATE OF THE STATE ANNUAL APPROPRIATIONS ACT AND TO PROVIDE AN EXCEPTION.

On motion of Rep. TUCKER, with unanimous consent, the Bill was ordered placed on the Calendar without reference.

H. 4823 -- Education and Public Works Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF HIGHWAYS AND PUBLIC TRANSPORTATION, RELATING TO OUTDOOR ADVERTISING, DESIGNATED AS REGULATION DOCUMENT NUMBER 1495, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Without reference.

H. 4824 -- Education and Public Works Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE BOARD OF EDUCATION, RELATING TO EXPERIMENTAL PROGRAM, DEFINED MINIMUM PROGRAM FOR SOUTH CAROLINA SCHOOL DISTRICTS, DESIGNATED AS REGULATION DOCUMENT NUMBER 1486, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Without reference.

H. 4825 -- Education and Public Works Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE BOARD OF EDUCATION, RELATING TO HEALTH EDUCATION REQUIREMENTS, DESIGNATED AS REGULATION DOCUMENT NUMBER 1472, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Without reference.

CONCURRENT RESOLUTION

The following was introduced:

H. 4826 -- Reps. Carnell, McAbee and J. C. Johnson: A CONCURRENT RESOLUTION TO COMMEND DR. LARRY A. JACKSON, PRESIDENT OF LANDER COLLEGE, FOR HIS TRULY EXCEPTIONAL SERVICE AS PRESIDENT OF THIS FINE INSTITUTION SINCE 1973 UPON THE OCCASION OF HIS RETIREMENT.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

ROLL CALL

The roll call of the House of Representatives was taken resulting as follows.

Alexander, T.C.        Altman                 Anderson
Bailey, G.             Bailey, J.             Barber
Baxley                 Beatty                 Boan
Brown, G.              Brown, H.              Burch, K.
Carnell                Cato                   Chamblee
Clyborne               Cobb-Hunter            Cooper
Corbett                Corning                Council
Cromer                 Delleney               Elliott, D.
Elliott, L.            Fair                   Farr
Felder                 Foster                 Fulmer
Gonzales               Hallman                Harrelson
Harris, J.             Harris, P.             Harwell
Hendricks              Hodges                 Houck
Hyatt                  Inabinett              Johnson, J.C.
Keegan                 Kempe                  Kennedy
Keyserling             Kinon                  Kirsh
Klapman                Koon                   Littlejohn
Marchbanks             Martin, L.             Mattos
McAbee                 McGinnis               Meacham
Neilson                Nettles                Phillips
Rhoad                  Riser                  Scott
Sharpe                 Sheheen                Shirley
Smith                  Stoddard               Stone
Townsend               Tucker                 Vaughn
Waites                 Waldrop                Wells
Whipper                White                  Wilkes
Wilkins                Williams, D.           Williams, J.
Wofford                Wright                 Young, A.
Young, R.

STATEMENT OF ATTENDANCE

I came in after the roll call and was present for the Session on Wednesday, May 6.

Terry E. Haskins                  Levola S. Taylor
June S. Shissias                  E. DeWitt McCraw
Timothy F. Rogers                 Joseph B. Wilder
M.O. Alexander                    Sarah Manly
Maggie W. Glover                  James H. Harrison
Joe E. Brown                      Michael Jaskwhich
Dell Baker                        Alma Byrd
Morgan Martin                     Douglas Jennings
Irene Rudnick                     Richard Quinn
John Snow                         Danny Bruce
Steve Lanford                     L. Edward Bennett
C. Alex Harvin, III               Thomas E. Huff
D.N. Holt                         Joseph McElveen
Douglas McTeer                    Ralph Canty
Larry E. Gentry                   E.B. McLeod
David Beasley                     Woody McKay
Total Present--117

LEAVES OF ABSENCE

The SPEAKER granted Rep. RAMA a leave of absence for today and tomorrow.

The SPEAKER granted Rep. BEASLEY a temporary leave of absence.

STATEMENTS OF ATTENDANCE

Rep. KOON signed a statement with the Clerk that he came in after the roll call of the House and was present for the Session on Wednesday, April 29.

Reps. J. C. JOHNSON, KEYSERLING, J.B. WILLIAMS and GENTRY signed a statement with the Clerk that they came in after the roll call and were present for the Session on Thursday, April 30.

DOCTOR OF THE DAY

Announcement was made that Dr. James Buehler of Anderson is the Doctor of the Day for the General Assembly.

SPECIAL PRESENTATION

Reps. J. HARRIS and K. BURCH presented the McBee High School Girls Basketball Team, Winners of the State Class A Championship, their coaches and other school officials.

MOTION ADOPTED

Rep. G. BROWN moved that when the House adjourn it adjourns in memory of Mrs. Aletha Lewis of Bishopville, which was agreed to.

RETURNED TO THE SENATE WITH AMENDMENT

The following Bills were taken up, read the third time, and ordered returned to the Senate with amendments.

S. 123 -- Senators McConnell and Giese: A BILL TO AMEND SECTION 47-1-70, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE ABANDONMENT OF AN ANIMAL IN A PUBLIC PLACE, SO AS TO REVISE THE TERMS OF THE OFFENSE, DEFINE "ABANDONMENT" AND "NECESSITIES OF LIFE", AND INCREASE PENALTIES.

S. 283 -- Senator Hinds: A BILL TO AMEND SECTION 6-7-730, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE PROCEDURE FOR ENACTING OR AMENDING ZONING REGULATIONS OR MAPS, SO AS TO MAKE ZONING ORDINANCES SUBJECT TO THE PROCEDURES, TO PROVIDE THAT THE PLANNING COMMISSION HAS FORTY-FIVE RATHER THAN THIRTY DAYS TO SUBMIT ITS REPORT TO THE GOVERNING AUTHORITY AND FAILURE TO SUBMIT ITS REPORT WITHIN FORTY-FIVE DAYS IS DEEMED APPROVAL OF THE CHANGES, AND TO PROVIDE THAT NO SUIT MAY BE BROUGHT TO CHALLENGE THE VALIDITY OF A ZONING ORDINANCE, RESOLUTION, OR MAP, OR AMENDMENTS TO ANY OF THEM EXCEPT ON THE GROUNDS OF ADEQUACY OF NOTICE UNLESS THE CONTESTANT FILES A NOTICE OF INTENT TO CONTEST WITH THE GOVERNING BODY WITHIN THIRTY DAYS AFTER ITS FINAL ACTION ON THE MATTER AND ACTUALLY COMMENCES THE ACTION WITHIN NINETY DAYS OF FILING THE NOTICE OF INTENT TO CONTEST.

S. 912 -- Senator Saleeby: A BILL TO AMEND SECTION 38-33-20, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEFINITIONS IN THE HEALTH MAINTENANCE ORGANIZATION ACT, SO AS TO DELETE THE DEFINITION OF THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL; TO AMEND SECTION 38-33-40, RELATING TO APPLICATIONS FOR A CERTIFICATE OF AUTHORITY, SO AS TO DELETE THE REQUIREMENTS OF THE DEPARTMENT PERTAINING TO THE APPLICATIONS AND REVISE THE REQUIREMENTS FOR AN ORGANIZATION'S PROPOSED PLAN OF OPERATION; TO AMEND SECTION 38-33-90, RELATING TO ORGANIZATION REPORTS, SO AS TO DELETE THE REQUIREMENT OF A COPY OF THE REPORTS FOR THE DEPARTMENT; TO AMEND SECTION 38-33-110, RELATING TO THE COMPLAINT SYSTEM, SO AS TO DELETE THE PROVISION FOR CONSULTATION WITH THE DEPARTMENT; TO AMEND SECTION 38-33-170, RELATING TO EXAMINATIONS OF THE ORGANIZATIONS, SO AS TO CHANGE THE REFERENCE TO EXAMINATION BY THE DEPARTMENT TO COMMISSION AND DELETE THE REFERENCE TO EXAMINATION OF PROVIDERS WITH WHOM AN ORGANIZATION HAS CONTRACTS, AGREEMENTS, OR OTHER ARRANGEMENTS; TO AMEND SECTION 38-33-180, RELATING TO SUSPENSION OR REVOCATION OF CERTIFICATES OF AUTHORITY, SO AS TO DELETE THE PROVISION FOR DEPARTMENT CERTIFICATION THAT THE ORGANIZATION IS UNABLE TO FULFILL ITS OBLIGATIONS TO FURNISH HEALTH CARE SERVICES; AND TO AMEND SECTION 38-33-270, RELATING TO CONTRACTUAL POWERS TO FULFILL OBLIGATIONS UNDER THE ACT, SO AS TO CHANGE THE REFERENCE TO DEPARTMENT TO COMMISSIONER AND PROVIDE FOR EXPENSES ASSESSED AGAINST AN ORGANIZATION TO BE REMITTED TO THE COMMISSIONER.

Rep. FAIR explained the Bill.

ORDERED ENROLLED FOR RATIFICATION

The following Bills were read the third time, passed and, having received three readings in both Houses, it was ordered that the title of each be changed to that of an Act, and that they be enrolled for ratification.

S. 1365 -- Banking and Insurance Committee: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 44 TO TITLE 38 SO AS TO PROVIDE FOR THE MANAGING GENERAL AGENTS ACT.

Rep. J. BAILEY explained the Bill.

S. 1118 -- Senators Bryan, Peeler, Fielding, Hinds and Rose: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 26 TO TITLE 44 SO AS TO PROVIDE FOR THE RIGHTS OF MENTAL RETARDATION CLIENTS; TO AMEND SECTION 44-20-260, RELATING TO MENTAL RETARDATION RESEARCH PROGRAMS, SO AS TO REQUIRE A CLIENT'S PRIOR CONSENT; AND TO REPEAL SECTIONS 44-23-230, 44-23-1020, 44-23-1030, 44-23-1040, 44-23-1050, 44-23-1070, AND 44-23-1090 RELATING TO THE RIGHTS OF MENTAL RETARDATION CLIENTS.

S. 1212 -- Senator Bryan: A BILL TO AMEND SECTIONS 44-17-420 AND 44-17-550, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO HEARINGS REQUIRED FOR MENTALLY ILL PERSONS, SO AS TO DELETE THE EXCLUSION OF SATURDAYS, SUNDAYS, AND LEGAL HOLIDAYS IN DETERMINING THE TIME REQUIREMENTS FOR NOTICE OF THE HEARINGS.

SENT TO THE SENATE

The following Bill was taken up, read the third time, and ordered sent to the Senate.

H. 4453 -- Rep. Quinn: A BILL TO AMEND SECTION 30-4-20, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DEFINITIONS USED IN THE FREEDOM OF INFORMATION ACT, SO AS TO INCLUDE WITHIN THE DEFINITION OF "PUBLIC BODY" A COMMITTEE WHOSE MEMBERS ARE APPOINTED BY ADMINISTRATIVE PERSONNEL WHOSE PURPOSE IS TO RECOMMEND THE SELECTION OF A SITE FOR THE CONSTRUCTION OF A PUBLIC BUILDING.

H. 4311--AMENDED AND DEBATE ADJOURNED

Debate was resumed on the following Bill, the pending question being the consideration of Amendment No. 1, Rep. M. MARTIN having the floor.

H. 4311 -- Reps. Clyborne, Tucker, J. Bailey, A. Young, Meacham, Vaughn, Rama, Littlejohn, Hallman, Wells, Haskins, Harwell, Waites, Townsend, Holt, Wright, Baxley, Chamblee, Sturkie, Phillips, Neilson, Fair, M.O. Alexander, Cato, Shissias, Byrd, McGinnis, Inabinett, Cole, L. Martin, Riser, Quinn, Harrison, Harrelson, H. Brown, Smith, Koon, Wilkes, Wilder, D. Williams, Stone, Rudnick, Delleney and Waldrop: A BILL TO AMEND SECTION 56-5-6240, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO FORFEITURE, CONFISCATION, AND SALE OF CERTAIN MOTOR VEHICLES SO AS TO PERMIT THE ARRESTING OFFICER TO RELEASE THE MOTOR VEHICLE TO THE SHERIFF OR CHIEF OF POLICE OF THE JURISDICTION WHERE THE MOTOR VEHICLE WAS SEIZED INSTEAD OF THE HEAD OF THE OFFICER'S LAW ENFORCEMENT AGENCY.

AMENDMENT NO. 1--ADOPTED

Debate was resumed on Amendment No.1, which was proposed on Tuesday, May 5, by the Committee on Judiciary.

Rep. M. MARTIN continued speaking

The amendment was then adopted.

Reps. KEMPE and CLYBORNE proposed the following Amendment No. 2 (Doc Name L:\council\legis\amend\DKA\3853.AL).

Amend the report of the Committee on Judiciary, as and if amended, Section 56-5-6240(A), page 4311-2, line 1, by inserting after the /,/:

/a person maintaining an interpersonal relationship with the owner of record,/

Amend title to conform.

Rep. KEMPE explained the amendment.

Rep. FAIR moved to adjourn debate upon the Bill until Thursday, May 7, which was adopted.

H. 4604--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up.

H. 4604 -- Rep. Wilkins: A BILL TO AMEND SECTION 4-9-145, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO A COUNTY'S AUTHORITY TO APPOINT AND COMMISSION ENFORCEMENT OFFICERS, SO AS TO PROVIDE THAT THIS AUTHORITY SHALL NOT INTERFERE WITH THE CURRENT FUNCTIONS AND DUTIES OF THE SHERIFF.

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\CYY\19071.SD), which was adopted.

Amend the bill, as and if amended, by striking Section 4-9-145 of the 1976 Code, as contained in Section 1, and inserting:

/Section     4-9-145.     The governing body of a county may appoint and commission as many code enforcement officers as may be necessary for the proper security, general welfare, and convenience of the county. These officers are vested with all the powers and duties conferred by law upon constables in addition to duties imposed upon them by the governing body of the county; however, such duties shall not conflict with Section 4-9-30(5) as it relates to the reorganization or restructuring of the sheriff's department or the functions and duties presently being performed by the sheriff. However, no code enforcement officer commissioned under this section may perform a custodial arrest. These code enforcement officers shall exercise their powers on all private and public property within the county./

Amend title to conform.

Rep. WILKINS explained the amendment.

The amendment was then adopted.

The Bill, as amended, was read the second time and ordered to third reading.

H. 3132--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up.

H. 3132 -- Reps. Baxley, Wilder, Manly, Wells, Whipper and Waites: A BILL TO AMEND SECTION 14-7-810, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE REASONS FOR DISQUALIFICATION OF JURORS, SO AS TO PROVIDE THAT A PERSON WHO IS BLIND, HEARING OR SPEECH IMPAIRED, OR PHYSICALLY HANDICAPPED MAY NOT BE DISQUALIFIED TO ACT AS A JUROR OR BE EXCLUDED FROM A JURY LIST OR JURY SERVICE BECAUSE OF THESE HANDICAPS; AND TO AMEND SECTION 15-27-110, RELATING TO INTERPRETERS FOR THE DEAF, SO AS TO PROVIDE THAT AN INTERPRETER BE PROVIDED WHEN A DEAF PERSON IS A JUROR AND PROVIDE CRITERIA FOR THE USE OF AN INTERPRETER WHEN USED TO ASSIST A DEAF JUROR.

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\DKA\3823.AL), which was adopted.

Amend the bill, as and if amended, Section 14-7-810(3), SECTION 1. line 43, by adding after the period:

/If the court finds that a juror is disqualified due to disability, the court must state its finding on the record./

When amended the Section 14-7-810(3) reads:

/(3)     He is incapable by reason of mental or physical infirmities to render efficient jury service. Legal blindness does not disqualify an otherwise qualified juror. A person who is blind, hearing or speech impaired, or physically handicapped is not disqualified to act as a juror or may not be excluded from a jury list or jury service solely on the basis of the physical disability alone. However, the juror may be disqualified by the court for service upon a particular case if, in the discretion of the court, the evidence is of a nature that the disability of the juror would interfere with his ability to comprehend the evidence. If the court finds that a juror is disqualified due to disability, the court must state its finding on the record./

Amend further Section 15-27-110(A), SECTION 2, page 2, by striking the last sentence which begins on line 16 and inserting:

/The court shall determine a reasonable fee for all such interpreting services which shall must be paid out of the general fund of the State or of the county where the proceedings take place, as designated by the court from those funds appropriated to the Judicial Department by the General Assembly for the office of the Court Interpreter for the Deaf./

When amended Section 15-27-110(A) reads:

/(A)     Whenever     When any a deaf person is a party to any legal proceeding or a juror or a witness therein in one, or confined to any an institution, the court shall appoint a qualified interpreter, or as many as needed, approved by the deaf person and either the South Carolina Registry of Interpreters for the Deaf or the National Registry of Interpreters for the Deaf to interpret the proceedings to and the testimony of such the deaf person unless the deaf person shall waive waives such or the judge shall find finds that such it is not necessary for the fulfillment of justice. The court shall determine a reasonable fee for all such interpreting services which shall must be paid out of the general fund of the State or of the county where the proceedings take place, as designated by the court from those funds appropriated to the Judicial Department by the General Assembly for the office of the Court Interpreter for the Deaf./

Amend title to conform.

Rep. BAXLEY explained the amendment.

The amendment was then adopted.

The Bill, as amended, was read the second time and ordered to third reading.

H. 4532--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up.

H. 4532 -- Reps. Wofford, H. Brown, D. Williams and J. Williams: A BILL TO AMEND SECTION 12-51-50, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO SALE OF REAL PROPERTY FOR DELINQUENT TAXES, SO AS TO PROVIDE THAT A COUNTY MAY CONDUCT THE SALE AT A LOCATION OTHER THAN THE COURTHOUSE.

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\DKA\3824.AL), which was adopted.

Amend the bill, as and if amended, Section 12-51-50, SECTION 1, by deleting the second sentence which begins on line 28 and ends line 33 and inserting:
/Berkeley County may conduct the public auction at another public building determined by the county government to be more accessible for facilitating the sale./

When amended Section 12-51-50 reads:

/Section 12-51-50.     The property duly advertised must be sold by the person officially charged with the collection of delinquent taxes at public auction at the courthouse on a legal sales date during regular hours for legal tender payable in full on the date of the sale. Berkeley County may conduct the public auction at another public building determined by the county government to be more accessible for facilitating the sale. In case the defaulting taxpayer has more than one item advertised to be sold, as soon as sufficient funds have been accrued to cover all of the defaulting taxpayer's delinquent taxes, assessments, penalties, and costs, no further items may be sold./

Amend title to conform.

Rep. BAXLEY explained the amendment.

The amendment was then adopted.

The Bill, as amended, was read the second time and ordered to third reading.

H. 3669--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up.

H. 3669 -- Rep. Wofford: A BILL TO AMEND SECTION 43-5-220, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO OBTAINING SUPPORT PAYMENTS FROM ABSENT PARENTS, SO AS TO AUTHORIZE THE DEPARTMENT OF SOCIAL SERVICES TO RECEIVE FEDERAL AND STATE TAX REFUNDS FROM AN OBLIGOR WHO IS DELINQUENT IN HIS COURT-ORDERED CHILD SUPPORT AND WHO QUALIFIES FOR SUBMITTAL UNDER STATE OR FEDERAL LAW EVEN IF THE OBLIGOR IS IN COMPLIANCE WITH A COURT ORDER REQUIRING PERIODIC PAYMENTS TOWARD SATISFACTION OF THE DELINQUENCY OR THE DELINQUENT AMOUNT HAS BEEN PLACED IN ABEYANCE BY COURT ORDER.

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\436\12362.DW), which was adopted.

Amend the bill, as and if amended, by striking SECTION 1, page 1, lines 27 through 31, which reads:

/SECTION     1.     The General Assembly finds that the State should be reimbursed for funds paid out under the Aid to Families with Dependent Children Program. This reimbursement will provide adequate support for all dependent children in this State./

Renumber sections to conform.

Amend title to conform.

Rep. WILKINS explained the amendment.

The amendment was then adopted.

The Bill, as amended, was read the second time and ordered to third reading.

ORDERED TO THIRD READING

The following Bill was taken up, read the second time, and ordered to a third reading:

S. 1321 -- Senator Bryan: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 38-53-105 SO AS TO REQUIRE A SURETY BONDSMAN TO PAY A FEE OF ONE HUNDRED DOLLARS IN EACH COUNTY WHERE HE DOES BUSINESS OTHER THAN THE COUNTY OF HIS PRINCIPAL PLACE OF BUSINESS.

Rep. HODGES explained the Bill.

S. 954--DEBATE ADJOURNED

The following Bill was taken up.

S. 954 -- Senator Macaulay: A BILL TO AMEND SECTION 8-17-130, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE ESTABLISHMENT, MEMBERSHIP, AND POWERS OF A GRIEVANCE COMMITTEE, SO AS TO AUTHORIZE THE COMMITTEE TO SUBPOENA WITNESSES.

Rep. BAXLEY explained the Bill.

Rep. WILKINS moved to adjourn debate upon the Bill until Thursday, May 7, which was adopted.

RECURRENCE TO THE MORNING HOUR

Rep. QUINN moved that the House recur to the Morning Hour, which was agreed to.

REPORT OF STANDING COMMITTEE

Rep. PHILLIPS, from the Committee on Education and Public Works, submitted a favorable report, Reps. TOWNSEND, WRIGHT and GLOVER, for the minority, submitted an unfavorable report, on:

H. 4626 -- Rep. Altman: A BILL TO AMEND CHAPTER 23, TITLE 57, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLE 17 SO AS TO DESIGNATE A PORTION OF U. S. HIGHWAY 17 IN BEAUFORT COUNTY AS "U. S. HIGHWAY 17-ACE BASIN SCENIC HIGHWAY".

Ordered for consideration tomorrow.

INTRODUCTION OF BILLS

The following Joint Resolution was introduced, read the first time, and referred to the appropriate committee:

H. 4827 -- Reps. R. Young, Holt and Gonzales: A JOINT RESOLUTION TO DESIGNATE THAT PORTION OF INTERSTATE I-26 IN NORTH CHARLESTON, SOUTH CAROLINA, AS THE "JOHN E. BOURNE, JR. HIGHWAY".

Referred to Committee on Education and Public Works.

S. 1223--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up.

S. 1223 -- Senators Giese and Hinson: A BILL TO AMEND SECTIONS 15-74-10 AND 15-74-20, BOTH AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEFINITIONS FOR PURPOSES OF LIABILITY EXEMPTION FOR DONATED FOOD AND THE NATURE AND EXTENT OF THE CIVIL LIABILITY EXEMPTION TO FOOD DONORS, SO AS TO INCLUDE WITHIN THE DEFINITION OF PERISHABLE FOOD CONSUMER AGRICULTURAL PRODUCTS WHICH THE DONOR ALLOWS TO BE REMOVED FROM HIS LAND AFTER COMMERCIAL HARVESTING AND TO EXTEND THE EXEMPTION FROM CIVIL LIABILITY TO INJURIES RESULTING FROM THE NATURE AND CONDITION OF THE LAND.

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\JIC\6444.HC), which was adopted.

Amend the bill, as and if amended, by striking all after the enacting words and inserting:

/SECTION     1.     Sections 15-74-10 through 15-74-30 of the 1976 Code, all as last amended by Act 415 of 1990, are further amended to read:

"Section 15-74-10.         For the purposes of this chapter, 'distressed food' means canned or packaged foods and prepared foods which are foods prepared by restaurants and other establishments and donors in excess amounts which do not affect the edibility of the food or other considerations and perishable foods which are not readily marketable due to appearance, freshness, grade surplus, dented or damaged containers which do not affect the edibility of the food or other considerations. 'Prepared and Perishable perishable food' means food that may spoil or become unfit for human consumption because of its nature, type, or physical condition, and includes, but is not limited to, fresh or processed meats, poultry, seafood, dairy products, bakery products, eggs in the shell, fresh fruits and vegetables, and foods that have been packaged, refrigerated, or frozen. Perishable food also includes any consumable agricultural products remaining after commercial harvesting which the donor allows to be removed from his land.

'Food bank and prepared and perishable food program' means a surplus food collection and distribution system operated and established to assist in bringing donated food to nonprofit or charitable organizations and individuals for the purpose of reducing hunger and meeting nutritional needs.

Section 15-74-20.         The donor, in good faith, of distressed food apparently fit for human consumption, to a bona fide charitable or nonprofit organization or food bank or prepared and perishable food program for free distribution, shall not be is not subject to criminal penalty or civil damages arising from the condition of the food or the nature or condition of the land entered, unless an injury is caused by gross negligence, recklessness, or intentional misconduct of the donor.

Section 15-74-30.         A bona fide charitable or nonprofit organization or food bank or prepared and perishable food program which in good faith receives distressed food apparently fit for human consumption shall not be is not subject to criminal penalty or civil damages arising from the condition of the food unless an injury results from the gross negligence, recklessness, or intentional misconduct of the organization."

SECTION     2.     This act takes effect upon approval by the Governor./

Amend title to conform.

Rep. WILKINS explained the amendment.

The amendment was then adopted.

Rep. BAXLEY proposed the following Amendment No. 2 (Doc Name L:\council\legis\amend\JIC\6508.HC), which was ruled out of order.

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

/SECTION ___.     (A)     Section 12-7-435 of the 1976 Code, as last amended by Part II, Section 3 of Act 171 of 1991, is further amended by adding an appropriately lettered item to read:

"( )     The wholesale value of produce which a farmer allows a nonprofit or charitable organization to remove from his land after commercial harvesting if his donation qualifies for the exemption from civil liability provided food donors pursuant to Chapter 74 of Title 15 and if the donor reports farm income or loss on schedule F filed with his federal income tax return for the taxable year for which he claims the deduction allowed by this item. The commission shall prescribe procedures to determine the wholesale value of the donated produce."

(B)     This section is effective for taxable years beginning after 1991./

Renumber sections to conform.

Amend title to conform.

Rep. BAXLEY explained the amendment.

POINT OF ORDER

Rep. KIRSH raised the Point of Order that Amendment No. 2 was out of order as it was not germane in that the Amendment dealt with tax deduction and the Bill dealt with liability.

Rep. BAXLEY argued contra the Point in stating that the deduction only kicked in on food that was eligible for the civil liability exemption and it had to be paired together.

The SPEAKER stated that the Bill did not deal with anything but civil liability exemption.

Rep. BAXLEY continued to argue contra the Point.

The SPEAKER stated that the Amendment was not germane to the title of the Bill and he sustained the Point of Order and ruled the Amendment out of order.

The Bill, as amended, was read the second time and ordered to third reading.

S. 32--OBJECTIONS

The following Bill was taken up.

S. 32 -- Senator Rose: A BILL TO AMEND CHAPTER 5 OF TITLE 7, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 7-5-159 SO AS TO PROVIDE FOR VOLUNTARY VOTER REGISTRATION WHEN A PERSON APPLIES FOR OR RENEWS HIS DRIVER'S LICENSE OR IDENTIFICATION CARD, AND TO PROVIDE FOR THE RETURN OF THE FORMS TO THE COUNTY BOARD OF REGISTRATION.

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\CYY\19093.SD).

Amend the bill, as and if amended, in Section 7-5-157(A) of the 1976 Code, as contained in Section 1, by striking /January 1, 1993,/ which begins on line 26 of page 1 and inserting /January 1, 1994,/.

When amended, Section 7-5-157(A) of the 1976 Code shall read:

/(A)     Commencing January 1, 1994, the Department of Highways and Public Transportation, through its local driver's license examination facilities, must provide each qualified elector who applies for the issuance, renewal, or correction of any type of driver's license or for an identification card pursuant to Section 57-3-910, an opportunity to complete an application to register to vote by use of a form to be supplied by the South Carolina Election Commission. This form must contain a place to provide the information required by Section 7-5-170./

Amend the bill further, as and if amended, by striking Section 2 in its entirety and inserting:

/SECTION     2.     This act takes effect July 1, 1993./

Amend title to conform.

Rep. HODGES explained the amendment.

Reps. FULMER, HALLMAN, FARR, SHARPE, WOFFORD, WELLS and McCRAW objected to the Bill.

ORDERED TO THIRD READING

The following Bills and Joint Resolutions were taken up, read the second time, and ordered to a third reading:

H. 4751 -- Agriculture, Natural Resources and Environmental Affairs Committee: A BILL TO AMEND SECTION 46-49-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEFINITIONS PERTAINING TO THE SUPERVISION AND REGULATION OF MILK AND MILK PRODUCTS, SO AS TO DELETE THE DEFINITIONS OF "SUBSIDIARY", "AFFILIATE", "BOOKS AND RECORDS", AND "COSTS"; AND TO REPEAL SECTION 46-49-30 RELATING TO THE AUTHORITY OF THE DEPARTMENT OF AGRICULTURE AND THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL REGARDING MILK PURCHASING PLANS AND PRODUCERS' MILK BASES AND SECTION 46-49-50 RELATING TO THE REQUIREMENTS TO MAINTAIN RECORDS AND FILE REPORTS FOR PERSONS LICENSED TO SELL MILK.

Rep. SNOW explained the Bill.

H. 4753 -- Labor, Commerce and Industry Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF CONSUMER AFFAIRS, RELATING TO MERGED REGULATIONS FOR THE CONSUMER PROTECTION CODE, DESIGNATED AS REGULATION DOCUMENT NUMBER 1459, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Rep. L. MARTIN explained the Joint Resolution.

H. 4754 -- Labor, Commerce and Industry Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE ATHLETIC COMMISSION, RELATING TO MODIFICATIONS AND CLARIFICATIONS, DESIGNATED AS REGULATION DOCUMENT NUMBER 1406, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

H. 4755 -- Labor, Commerce and Industry Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE PUBLIC SERVICE COMMISSION, RELATING TO 900 AND 900-TYPE SERVICES, DESIGNATED AS REGULATION DOCUMENT NUMBER 1460, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Rep. M.O. ALEXANDER explained the Joint Resolution.

H. 4638 -- Rep. Fair: A BILL TO AMEND SECTION 44-96-290, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PERMITTING OF SOLID WASTE MANAGEMENT FACILITIES BY THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL, SO AS TO PROVIDE THAT COUNTY-OWNED FACILITIES WHICH INCINERATE LESS THAN FIFTY TONS PER DAY OF MUNICIPAL SOLID WASTE AS PART OF A PILOT STUDY WHOSE DURATION IS LESS THAN ONE AND ONE-HALF YEARS ARE NOT REQUIRED TO MEET CERTAIN REQUIREMENTS FOR PERMITTING AND OPERATION.

Rep. FAIR explained the Bill.

H. 4752--RECOMMITTED

The following Joint Resolution was taken up.

H. 4752 -- Agriculture, Natural Resources and Environmental Affairs Committee: A JOINT RESOLUTION TO DISAPPROVE REGULATIONS OF THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL, RELATING TO ENVIRONMENTAL HEALTH FEES TO TEST MILK, MILK PRODUCTS, AND FROZEN DESSERTS, DESIGNATED AS REGULATION DOCUMENT NUMBER 1422, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Rep. SHARPE moved to recommit the Joint Resolution to the Committee on Agriculture, Natural Resources and Environmental Affairs, which was agreed to.

LEAVE OF ABSENCE

The SPEAKER granted Rep. G. BAILEY a temporary leave of absence.

H. 4744--DEBATE ADJOURNED

Rep. COBB-HUNTER moved to adjourn debate upon the following Bill until Thursday, May 7, which was adopted.

H. 4744 -- Reps. Foster, Scott, D. Martin, Harrelson, Cobb-Hunter, Wright, Inabinett, Rama, Vaughn, Riser, Holt, Glover, Kennedy, Boan, Kirsh, Baxley, L. Elliott, Baker, Haskins, T.C. Alexander, H. Brown, Anderson, McCraw, G. Brown, J. Brown, Byrd, Hyatt, Council, Cato, D. Williams, Whipper, Taylor, Beatty, Felder, Canty, Koon, Barber, Rogers, J. Bailey, Rhoad, Meacham, Waldrop, Hodges, P. Harris, Houck, McLeod and Beasley: A BILL TO AMEND SECTION 59-127-20, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE BOARD OF TRUSTEES OF SOUTH CAROLINA STATE COLLEGE, SO AS TO REFLECT THE NAME OF THE COLLEGE TO UNIVERSITY, TO INCREASE THE NUMBER OF MEMBERS TO THIRTEEN, TO REDUCE THE TERM OF THE MEMBERS, AND TO PROVIDE FOR THEIR ELECTION.

S. 1248--AMENDED AND DEBATE ADJOURNED

The following Bill was taken up.

S. 1248 -- Senator Robert W. Hayes, Jr.: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTIONS 27-21-22 AND 27-21-24 SO AS TO PROVIDE THE MANNER IN WHICH A SHERIFF OR CHIEF OF POLICE SHALL USE ABANDONED OR RECOVERED STOLEN PROPERTY AND PROVIDE FOR THE NOTIFICATION TO OWNERS OF ABANDONED OR RECOVERED STOLEN PROPERTY BY THE SHERIFF OR CHIEF OF POLICE OF A MUNICIPALITY; AND TO AMEND SECTION 27-21-20, RELATING TO THE AUTHORIZATION OF A SHERIFF TO SELL ABANDONED OR RECOVERED STOLEN PROPERTY AT PUBLIC AUCTION WHEN THE OWNER CANNOT BE FOUND AND THE REQUIREMENTS FOR ADVERTISEMENT OF THE SALE AND THE DISPOSITION OF THE PROCEEDS OF THE SALE, SO AS TO REVISE THE PROCEDURE FOR SELLING THIS PROPERTY AND AUTHORIZE THE CHIEF OF POLICE OF A MUNICIPALITY TO SELL THE SAME PROPERTY.

Rep. MANLY proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\BBM\9981.JM), which was adopted.

Amend the bill, as and if amended, by adding an appropriately-numbered SECTION to read:

/SECTION__.Notwithstanding the provisions of Section 27-21-20 of the 1976 Code or any other provision of law, if any glassware or other drug paraphernalia which is unclaimed and which would be useful in a science laboratory is recovered pursuant to Section 27-21-20, it must be made available first to the public schools and, second, to the public institutions of higher learning in the State for use in their science programs or courses before it may be sold at public auction or otherwise disposed of in accordance with that section./

Renumber SECTIONS to conform.

Amend title to conform.

Rep. MANLY explained the amendment.

The amendment was then adopted.

Rep. T.C. ALEXANDER proposed the following Amendment No. 3 (Doc Name L:\council\legis\amend\CYY\19201.SD), which was adopted.

Amend the bill, as and if amended, by adding a new section to be appropriately numbered which shall read:

/SECTION ____.     The 1976 Code is amended by adding:

"Section 27-40-735.     Personal property belonging to a tenant removed from a premises as a result of an eviction proceeding under this chapter which is placed on a public street or highway may be removed by the appropriate municipal or county officials after a period of forty-eight hours, excluding Saturdays, Sundays, and holidays, and may also be removed by these officials in the normal course of debris or trash collection before or after a period of forty-eight hours. The notice of eviction must clearly inform the tenant of the provisions of this section. The municipality or county and the appropriate officials or employees thereof have no liability in regard to the tenant if he is not informed in the notice of eviction of the provisions of this section."/

Renumber sections to conform.

Amend title to conform.

Rep. T.C. ALEXANDER explained the amendment.

The amendment was then adopted.

Rep. GONZALES moved to adjourn debate upon the Bill until Tuesday, May 12, which was adopted.

H. 4434--OBJECTION AND CONTINUED

The following Bill was taken up.

H. 4434 -- Rep. L. Martin: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 81 TO TITLE 40 SO AS TO ENACT THE "SOUTH CAROLINA LANDSCAPE IRRIGATION CONTRACTOR CERTIFICATION ACT", THEREBY PROVIDING A MEANS FOR CERTIFYING PERSONS WHO WISH TO ENGAGE IN THE PRACTICE OF LANDSCAPE IRRIGATION CONTRACTING, AND TO PROVIDE FOR RELATED AND INCIDENTAL MATTERS, INCLUDING PROVISIONS FOR A CIVIL PENALTY.

The Labor, Commerce and Industry Committee proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\BBM\9982.JM).

Amend the bill, as and if amended, by striking all after the enacting words and inserting:

/SECTION     1.     Title 40 of the 1976 Code is amended by adding:

"CHAPTER 81
Landscape Irrigation Contractors

Section 40-81-10.     This chapter may be cited as the 'South Carolina Landscape Irrigation Contractor Certification Act'.

Section 40-81-20.     As used in this chapter:

(a)     'Board' means the South Carolina Land Resources Conservation Commission.

(b)     'Council' means the Landscape Irrigation Contractors Advisory Council which consists of five qualified professional landscape irrigation contractors appointed by the board to serve as provided in this chapter.

(c)     'Landscape irrigation contracting' means the design, construction, repair, maintenance, improvement, or alteration of any portion of a landscape irrigation system, including required wiring within that system and connection to the required power supply and the installation and connection to a public water supply system or any suitable source under the terms and conditions of a contract.

(d)     'Landscape irrigation contractor' means a person who is certified to engage in landscape irrigation contracting.

(e)     'Certificate' means the 'Landscape Irrigation Contractor Certificate' issued by the board pursuant to the provisions of this chapter.

(f)     'Landscape irrigation system' means any assemblage of components, materials, or special equipment which is designed, constructed, and installed for controlled dispersion of water from any safe and suitable source, including properly treated wastewater, for the purpose of irrigating landscape vegetation or the control of dust and erosion on landscaped areas, including integral pumping systems or integral control systems for manual, semi-automatic, or automatic control of the operation of these systems. If a 'landscape irrigation system' is connected to a potable water supply, the landscape irrigation contractor shall install a proper backflow prevention device.

Section 40-81-30.     No person shall engage in the business of landscape irrigation contracting without securing from the board a landscape irrigation contractor certificate, in accordance with the provisions of this chapter, except:     (a)     property owners performing work on their own property or using their own regular employees;

(b)     vendors of landscape irrigation components, materials, or equipment who perform only such functions as delivery of equipment or supplies, or rendering of advice or assistance concerning installation, or provide normal warranty service or exchange of defective or damaged goods;

(c)     contractors engaged in the design, fabrication, installation, or construction of irrigation apparatus or irrigation equipment of any type which is to be used solely for agricultural purposes; and

(d)     persons engaged in landscape irrigation contracting solely as an employee of a landscape irrigation contractor.

All persons under the above exceptions are exempt from the requirement of the certificate imposed by this chapter.

Nothing in this chapter shall be construed to prevent individuals licensed or certified in this State under any other law from engaging in the profession for which they are licensed or certified.

Section 40-81-40.     The board shall serve as the board of certification for landscape irrigation contractors and shall administer the provisions of this chapter. The board is responsible for administering this chapter, developing regulations governing the implementation of this chapter, certifying landscape irrigation contractors, and providing the personnel necessary to the council for the implementation of its duties. In addition, the board shall:

(a)     give adequate written notice of the times and locations of examinations for certification of landscape irrigation contractors;

(b)     notify applicants of examination results within thirty days of the receipt of the results;

(c)     issue and renew certificates pursuant to this chapter, as appropriate;

(d)     suspend or revoke certificates issued under this chapter pursuant to the provisions of this chapter;

(e)     maintain a registry of landscape irrigation contractor certificates which shall record the name and address of the contractor, the date the certificate was issued, expiration date of the certificate, and the number of the certificate;

(f)     promulgate and amend regulations to implement the provisions of this chapter; adopt and amend by-laws and rules of procedure to administer and implement the provisions of this chapter;

(g)     adopt minimum standards for a landscape irrigation system and for landscape irrigation contracting;

(h)     not adopt any standard or rule that requires or prohibits the use of any irrigation system, component part, or equipment of any particular brand or manufacturer;

(i)     annually adopt fees for the examinations, application, and renewal of a certificate. These fees shall be prescribed or modified to the extent necessary to defray the expenses incurred by the board and the council in the performance of their duties but shall not be fixed at a level that will raise amounts in excess of the amount estimated to be so required.

(j)     prescribe reasonable fees in an amount sufficient to pay for the costs of administering the provisions of this chapter in the following categories:

(1)     examination fee;

(2)     reciprocity fee;

(3)     annual renewal fee;

(4)     duplicate certificate fee;

(5)     reinstatement fee.

All funds derived under the provisions of this chapter shall be remitted to the State Treasurer as collected. Annual appropriations shall be requested by the board and may be expended as directed by the board upon requisitions directed to the Comptroller General who shall, after being satisfied of the propriety of payment, issue a warrant for payment to the State Treasurer.

Section 40-81-50.     There is created the Landscape Irrigation Contractors Advisory Council. It is composed of five members who are certified landscape irrigation contractors and residents of South Carolina appointed by the board for terms of four years and until their successors are appointed and qualify. Terms of the members are limited to two consecutive four-year terms.

Of the first council members appointed, three shall serve terms of four years and two shall serve terms of two years. Thereafter, all new appointments and reappointments shall be for four years.

The council members shall be professional landscape irrigation contractors actively engaged in the practice of landscape irrigation contracting for at least five years, and in responsible charge of landscape irrigation contracting for at least three years at the time of appointment.

Vacancies in the membership of the council shall be filled for the unexpired portion of the term in the manner of the original appointments.

Each member of the council shall receive the usual per diem, mileage, and subsistence as provided by law for members of state boards, commissions, and committees for days on which they are transacting official business, to be paid from general appropriations of the board.

Section 40-81-60.     Under the direction of the board, the council shall:

(a)     develop examination standards to properly evaluate the knowledge, ability, and fitness of applicants for certification as landscape irrigation contractors;

(b)     review the qualifications of an applicant for certification as a landscape irrigation contractor;

(c)     administer examinations for certification at times and locations approved by the board;

(d)     evaluate the examinations of all applicants for certification and recommend the certification of the applicants who pass the examinations to the board;

(e)     develop and recommend to the board regulations to implement the provisions of this chapter;

(f)     specify minimum acceptable standards for a landscape irrigation system that include water conservation, irrigation system design and installation, and conformance with municipal codes by a certified landscape irrigation contractor; and

(g)     assist in other functions specifically delegated to the council by the board.

An applicant who fails an examination may not retake the examination sooner than six months after the initial examination.

Section 40-81-70.     The council shall hold at least two regular meetings each year. Special meetings may be held as the bylaws of the council provide. The council shall elect annually a chairman, a vice chairman, and a secretary. A quorum of the council shall consist of three members.

Section 40-81-80.     The Attorney General or designee from his staff shall advise the board and council and render such legal assistance as may be necessary in carrying out the provisions of this chapter.

Section 40-81-90.     After the expiration of one year from the effective date of this chapter, any person who, without possessing a valid, unrevoked certificate as provided in the chapter, uses the title or term 'landscape irrigation contractor' or installs a 'landscape irrigation system' shall be subject to the disciplinary provisions outlined in Sections 40-81-140 and 40-81-150 of this chapter.

Section 40-81-100.     A person seeking certification as a landscape irrigation contractor shall apply therefor on forms prescribed by regulation and promulgated and provided by the board and shall pay the application fee established by the board. In addition to any other information or documents that may be required by the board, each applicant shall submit satisfactory evidence that the applicant:

(a)     is of good character;

(b)     has a minimum of one year's experience in the field of landscape irrigation; and

(c)     has satisfactorily passed an examination administered by the board.

In the case of applications for a certificate to practice landscape irrigation contracting which are made within one year after the effective date of this chapter, the board may waive the examination requirements and accept in lieu thereof satisfactory evidence that the applicant is professionally competent to practice landscape irrigation contracting; provided, that the applicant shall have been in responsible charge of landscape irrigation contracting for at least one year prior to submitting the application.

Section 40-81-110.     Each certificate issued pursuant to this chapter shall expire on January thirty-first of the calendar year following issuance.

At least thirty days prior to the certificate expiration date, the board shall send a renewal notice to the person's last known address according to the records of the board.

A person may seek renewal of a certificate upon submission, prior to the January thirty-first expiration date, of a renewal application and the renewal fee established by the board.

If a renewal application and fee are not received by the board, the certificate shall expire. If a certificate has expired for a period of ninety days or less, the person may renew the certificate by paying the required renewal fee and late penalty. If the certificate has expired for a period longer than ninety days, the person may not renew the certificate. The person may obtain a new certificate by submitting to reexamination and complying with the requirements and procedures for obtaining an initial certificate.

Section 40-81-120.     To qualify for certificate renewal as a landscape irrigation contractor, the certificate holder must have completed a minimum of eight contact hours of continuing education approved by the board within the year immediately preceding certificate renewal.

Documentation of compliance with this section shall be by affidavit provided on the application for certificate renewal. Erroneous or false information attested to by the certificate holder shall be deemed grounds for denial of certificate renewal and possible suspension of certificate or denial of consideration for future certificate reinstatement, as may be determined by the board.

Section 40-81-130.     The board may refuse to admit a person to an examination or may refuse to issue or renew or may suspend or revoke any certificate issued by the board pursuant to this chapter upon proof that the applicant or holder of the certificate:

(a)     has obtained a certificate or authorization to sit for an examination, as the case may be, through fraud, deception, or misrepresentation;

(b)     has engaged in the use or employment of dishonesty, fraud, deception, misrepresentation, false promise, or false pretense;

(c)     has engaged in gross negligence or gross incompetence;

(d)     has engaged in repeated acts of negligence or incompetence;

(e)     has engaged in occupational misconduct as may be determined by the board;

(f)     has been convicted of any crime involving moral turpitude or any crime relating adversely to the activity regulated by the board. For the purposes of this item, a plea of guilty or nolo contendere or any other similar disposition of alleged criminal activity shall be deemed a conviction;

(g)     has had his authority to engage in the activity regulated by the board revoked or suspended by any other state, agency, or authority for reasons consistent with this section;

(h)     has violated or failed to comply with the provisions of this chapter; or

(i)     is incapable, for medical or any other good cause, of discharging the functions of a certificate holder in a manner consistent with the public's health, safety, and welfare.

Section 40-81-140.     A person who represents himself as a certified landscape irrigation contractor, engages in the practice of landscape irrigation contracting, or installs a landscape irrigation system in this State without being certified under the provision of this chapter, who presents or attempts to use as his own the certificate of another person who is a certified landscape irrigation contractor, or who gives false or forged evidence of any kind to the board or to any member of the board in obtaining or assisting in obtaining a certificate for another is guilty of a misdemeanor.

Any person violating any provision of this chapter, including the regulations promulgated thereunder, shall be liable to a civil penalty of not more than two thousand five hundred dollars for the first violation and not more than five thousand dollars for the second and each subsequent violation. The board may bring an action for the collection or enforcement of civil penalties or impose administrative fines for the violation of any provision of this chapter or any regulation promulgated thereunder.

Section 40-81-150.     Whenever it shall appear to the board or council that a violation of this chapter, including engaging in landscape irrigation contracting without a certificate, has occurred, is occurring, or will occur, the board may seek and obtain in a summary proceeding in the circuit court an injunction prohibiting the act or practice. In this proceeding the court may assess a civil penalty in accordance with the provisions of this chapter and may enter those orders necessary to prevent the performance of an unlawful practice in the future.

Section 40-81-160.     The issuance of a certificate by the board shall authorize the certificate holder to perform landscape irrigation contracting in accordance with local code requirements in any municipality, county, or other political subdivision of the State, and no further examination or special license shall be required of the certificate holder, except business licenses, permit fees, and such other standard licenses and fees as may be required of any person doing business within the jurisdiction of the political subdivision.

Section 40-81-170.     The board may waive any registration requirement for an applicant who holds a valid landscape irrigation contractor certificate or license issued by another state that has registration requirements substantially equivalent to those of this State.

Section 40-81-180.     Any person may file a complaint with the board. The complaint must be in writing and must state the specific acts complained of. The board, by regulation, shall establish a procedure for reviewing complaints that will insure the protection of the individual's right to due process."

SECTION     2.     This act takes effect upon approval by the Governor, except that Section 40-81-30 shall remain inoperative for one year following approval by the Governor./

Amend title to conform.

Rep. L. MARTIN explained the amendment.

Rep. BEATTY objected to the Bill.

Rep. KIRSH moved to continue the Bill, which was agreed to by a division vote of 45 to 10.

H. 4557--DEBATE ADJOURNED

Rep. WILKINS moved to adjourn debate upon the following Bill until Thursday, May 7, which was adopted.

H. 4557 -- Rep. R. Young: A BILL TO AMEND CHAPTER 5 OF TITLE 27, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 27-5-130 SO AS TO ABROGATE THE COMMON LAW RULE WHICH REQUIRES THE WORDS "AND HIS HEIRS" IN A DEED OF REALTY TO CONVEY PROPERTY IN FEE SIMPLE ABSOLUTE.

RECURRENCE TO THE MORNING HOUR

Rep. WILKINS moved that the House recur to the morning hour, which was agreed to.

H. 3203--OBJECTIONS

The following Bill was taken up.

H. 3203 -- Rep. McElveen: A BILL TO AMEND TITLE 20, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DOMESTIC RELATIONS, BY ADDING CHAPTER 6 SO AS TO ENACT THE "UNIFORM PREMARITAL AGREEMENT ACT".

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\BBM\9977.JM).

Amend the bill, as and if amended, page 2, lines 35 through 37, by striking Section 20-6-50, as contained in SECTION 1, and inserting:

/Section 20-6-50.     A premarital agreement may not adversely affect the right of a child to support and may not affect the issue of custody of the children of the marriage./

Amend title to conform.

Rep. HUFF explained the amendment.

Reps. HODGES and QUINN objected to the Bill.

Rep. HUFF continued speaking.

Reps. CROMER, J. BAILEY and KEMPE objected to the Bill.

H. 4496--DEBATE ADJOURNED

Rep. WRIGHT moved to adjourn debate upon the following Bill until Thursday, May 14, which was adopted.

H. 4496 -- Reps. Wright, Wilder, Baxley, Manly, Kempe, Corning, Sharpe, Waldrop, Wells and Barber: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 38, TITLE 44 SO AS TO ENACT THE SOUTH CAROLINA HEAD AND SPINAL CORD INJURY INFORMATION SYSTEM ACT ESTABLISHING THE SOUTH CAROLINA HEAD AND SPINAL CORD INJURY INFORMATION SYSTEM WHICH CREATES A CENTRAL INFORMATION SURVEILLANCE AND REGISTRY SYSTEM, BY ESTABLISHING A COUNCIL TO THE SYSTEM, TO PROVIDE FOR THE MEMBERS OF THE COUNCIL AND TO PROVIDE FOR THEIR POWERS AND DUTIES, TO REQUIRE REPORTING OF CERTAIN PATIENT INFORMATION RELATED TO HEAD AND SPINAL CORD INJURIES, TO PROVIDE FOR CONFIDENTIALITY AND PROCEDURES FOR OBTAINING RELEASE OF INFORMATION AND CONSENT, TO PROVIDE PENALTIES; TO PROVIDE FOR AN IMPLEMENTATION DATE, TO PROVIDE FOR THE TEMPORARY PLACEMENT AND STAFFING OF THE SYSTEM AT THE INTERAGENCY OFFICE OF DISABILITY PREVENTION WITHIN THE STATE DEPARTMENT OF MENTAL RETARDATION, AND TO PROVIDE THAT FUNDING FOR THE FIRST TWO YEARS MUST BE PROVIDED BY A GRANT FROM THE CENTER FOR DISEASE CONTROL RECEIVED BY THE INTERAGENCY OFFICE OF DISABILITY PREVENTION.

H. 4640--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up.

H. 4640 -- Rep. Bennett: A BILL TO AMEND SECTION 50-3-315, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEPUTY WILDLIFE CONSERVATION OFFICERS, SO AS TO DELETE THE LIMITATION ON THE LENGTH OF THE TERMS.

The Agriculture, Natural Resources and Environmental Affairs Committee proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\BBM\9990.BD), which was adopted.

Amend the bill, as and if amended, Section 50-3-315, SECTION 1, page 2, after line 12, by inserting:

/(C)     Every two years the department shall conduct a criminal records check on each deputy wildlife conservation officer./

Amend title to conform.

Rep. BENNETT explained the amendment.

The amendment was then adopted.

The Bill, as amended, was read the second time and ordered to third reading.

S. 794--DEBATE ADJOURNED

Rep. BENNETT moved to adjourn debate upon the following Bill until Thursday, May 7, which was adopted.

S. 794 -- Senator Drummond: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 50-1-270 SO AS TO PROVIDE FOR DAMAGES FOR THE UNLAWFUL GROSS DESTRUCTION OF OR INJURY TO WILDLIFE, AQUATIC LIFE, ENDANGERED AND THREATENED SPECIES, AND THE LANDS AND WATERS OWNED BY THE STATE.

ORDERED TO THIRD READING

The following Bills and Joint Resolutions were taken up, read the second time, and ordered to a third reading:

H. 4766 -- Education and Public Works Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF HIGHWAYS AND PUBLIC TRANSPORTATION, RELATING TO DISADVANTAGED BUSINESS ENTERPRISES PROGRAM, DESIGNATED AS REGULATION DOCUMENT NUMBER 1440, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

H. 4767 -- Education and Public Works Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF CLEMSON UNIVERSITY, RELATING TO PARKING AND TRAFFIC REGULATIONS, DESIGNATED AS REGULATION DOCUMENT NUMBER 1470, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

H. 4774 -- Reps. Hallman, Barber, Inabinett, Holt, Fulmer, Rama, D. Martin, Whipper, J. Bailey, Kirsh and R. Young: A BILL TO AMEND SECTION 51-13-720, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE APPOINTMENT AND TERMS OF THE MEMBERS OF THE PATRIOT'S POINT AUTHORITY, SO AS TO PROVIDE FOR THE COMPOSITION OF THE AUTHORITY AND TO TERMINATE THE TERMS OF THE MEMBERS SERVING ON THE EFFECTIVE DATE OF THIS ACT AND PROVIDE THAT THE GOVERNOR SHALL APPOINT THE MEMBERS AS PROVIDED FOR IN SECTION 51-13-720, AS AMENDED BY THIS ACT.

H. 4775 -- Reps. L. Elliott and Harwell: A BILL TO DIRECT THE DEPARTMENT OF HIGHWAYS AND PUBLIC TRANSPORTATION TO CLOSE AND REMOVE FROM THE STATE HIGHWAY SYSTEM A CERTAIN PORTION OF WEST JAMES STREET IN THE CITY OF MULLINS, SOUTH CAROLINA.

H. 4776 -- Reps. L. Elliott and Harwell: A BILL TO DIRECT THE DEPARTMENT OF HIGHWAYS AND PUBLIC TRANSPORTATION TO CLOSE AND REMOVE FROM THE STATE HIGHWAY SYSTEM A CERTAIN PORTION OF WAYCROSS STREET IN THE CITY OF MARION, SOUTH CAROLINA.

H. 4636 -- Rep. Wilder: A BILL TO AMEND SECTION 58-9-2540, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE APPOINTMENT OF AN ADVISORY COMMITTEE TO MONITOR THE STATEWIDE TELECOMMUNICATIONS RELAY ACCESS SERVICE, SO AS TO INCREASE THE COMMITTEE FROM EIGHT TO NINE BY ADDING ONE MEMBER WHO MUST BE HEARING-IMPAIRED AND A MEMBER OF SELF-HELP FOR HARD OF HEARING PEOPLE.

S. 1280 -- Senator Land: A BILL TO AMEND CHAPTER 11, TITLE 48, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO WATERSHED CONSERVATION DISTRICTS, SO AS TO ADD SECTIONS 48-11-15 AND 48-11-185, DELETE SECTION 48-11-80, AND REVISE THE PROCEDURES FOR THE CREATION, ORGANIZATION, AND FUNCTION OF THE DISTRICTS; TO REPEAL ACT 1316 OF 1964, RELATING TO DISTRICTS IN NEWBERRY COUNTY, ACT 655 OF 1965, RELATING TO DISTRICTS IN JASPER COUNTY, ACT 1179 OF 1966, RELATING TO DISTRICTS IN ALLENDALE COUNTY, ACT 1196 OF 1966, RELATING TO DISTRICTS IN BEAUFORT COUNTY, ACT 1212 OF 1966, RELATING TO DISTRICTS IN CHARLESTON COUNTY, ACT 1254 OF 1966, RELATING TO DISTRICTS IN DARLINGTON COUNTY, AND OTHER ACTS OR PARTS OF ACTS INCONSISTENT WITH CHAPTER 11, TITLE 48; TO DELETE PROVISIONS FOR CERTAIN DISTRICTS WHICH WERE AUTHORIZED BY ACT BUT WERE NEVER CREATED AT THE LOCAL LEVEL AND, WHERE THE DISTRICTS WERE AUTHORIZED BY SEPARATE ACT, TO REPEAL ACT 1084 OF 1958, RELATING TO POLK SWAMP, FLORENCE COUNTY, ACT 1085 OF 1958, RELATING TO EBENEZER, FLORENCE COUNTY, ACT 1134 OF 1960, RELATING TO LYNCHBURG-SHILOH, SUMTER AND LEE COUNTIES, ACT 1097 OF 1962, RELATING TO COWARD, FLORENCE COUNTY, AND ACT 1195 OF 1962, RELATING TO CROW CREEK, PICKENS; TO DISSOLVE CERTAIN DISTRICTS WHICH HAVE NEVER IMPLEMENTED WORKS OF IMPROVEMENT AND, WHERE THE DISTRICTS WERE CREATED BY SEPARATE ACT, TO REPEAL ACT 471 OF 1961, RELATING TO EIGHTEEN MILE CREEK, PICKENS AND ANDERSON COUNTIES, LONG-CANE TURKEY CREEK, ABBEVILLE, ANDERSON, AND GREENWOOD COUNTIES, LITTLE RIVER, ABBEVILLE, ANDERSON, AND MCCORMICK COUNTIES, AND ROCKY RIVER, ANDERSON COUNTY, ACT 567 OF 1961, RELATING TO LONG CANE-TURKEY CREEK, ACT 1081 OF 1962, RELATING TO CATFISH CREEK-SMITH SWAMP, MARION, DILLON, AND MARLBORO COUNTIES, KENTYRE-HAMER, DILLON COUNTY, AND REEDY CREEK, DILLON AND MARLBORO COUNTIES, ACT 493 OF 1965, RELATING TO LONG CANE-TURKEY CREEK, ACT 640 OF 1965, RELATING TO SANDERS BRANCH-CROOKED CREEK, HAMPTON COUNTY, ACT 671 OF 1965, RELATING TO LITTLE RIVER, ACT 691 OF 1965, RELATING TO EIGHTEEN MILE CREEK, AND ACT 725 OF 1965, RELATING TO CLARK'S FORK-BULLOCKS CREEK, YORK COUNTY, STONY FORK, YORK COUNTY, AND SUGAR CREEK, YORK AND LANCASTER COUNTIES; AND TO PROVIDE FOR THE TERMS OF THE DIRECTORS OF THE DISTRICTS SERVING ON THE EFFECTIVE DATE OF THIS ACT AND FOR THE TERMS OF THEIR SUCCESSORS.

H. 4787 -- Reps. Holt, Bennett, Keyserling, Harrelson, G. Bailey, Whipper, Scott, Barber, Rama, Hallman, Wofford, Fulmer, D. Williams, Harwell, Inabinett, Klapman, Farr, Smith, Gonzales, J. Bailey, Sturkie, Koon, Rhoad, McKay, Kinon, D. Martin, McCraw, Altman, J. Harris, Council, Taylor, Lanford, Byrd, K. Burch, Wilder, H. Brown, Wright, R. Young, Meacham, Rudnick, Corning, Phillips, Kirsh, Snow, Stone, Harrison, Quinn and Riser: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 50-21-180 SO AS TO PROVIDE REQUIREMENTS FOR PUBLIC BOATING ACCESS FACILITIES.

H. 4768--TABLED

The following Joint Resolution was taken up.

H. 4768 -- Education and Public Works Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE BOARD OF EDUCATION, RELATING TO INTERVENTION WHERE QUALITY OF EDUCATION IN A LOCAL SCHOOL DISTRICT IS IMPAIRED, DESIGNATED AS REGULATION DOCUMENT NUMBER 1473, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Rep. PHILLIPS moved to table the Joint Resolution, which was agreed to.

H. 4769--TABLED

The following Joint Resolution was taken up.

H. 4769 -- Education and Public Works Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE BOARD OF EDUCATION, RELATING TO ANNUAL BUDGET DEADLINES AND SCHEDULES, DESIGNATED AS REGULATION DOCUMENT NUMBER 1471, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Rep. PHILLIPS moved to table the Joint Resolution, which was agreed to.

H. 4422--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up.

H. 4422 -- Rep. Farr: A BILL TO AMEND SECTION 56-5-4070, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO LENGTH OF VEHICLES, SO AS TO PROVIDE THAT SADDLE MOUNTS AND FULL MOUNTS MUST NOT EXCEED SEVENTY-FIVE FEET.

The Education and Public Works Committee proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\DKA\3852.AL), which was adopted.

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

/SECTION ___.     Section 56-5-4070(2) of the 1976 Code is amended to read:

"(2) No motor vehicle, exclusive of truck tractors being used in two or three unit combinations on the National System of Interstate and Defense Highways, on those qualifying federal-aid highways so designated by the United States Secretary of Transportation, and other highways as designated by the department in accordance with Section 56-5-4075, may exceed a length of forty feet extreme overall dimension, inclusive of front and rear bumpers and load carried on it, and a motor vehicle, other than a motor home, in excess of thirty-five feet may have not less than three axles, except buses with two axles approved by the department."

Renumber sections to conform.

Amend title to conform.

Rep. FARR explained the amendment.

The amendment was then adopted.

The Bill, as amended, was read the second time and ordered to third reading.

H. 4540--OBJECTIONS

The following Bill was taken up.

H. 4540 -- Rep. Felder: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 58-23-650 SO AS TO AUTHORIZE THE PUBLIC SERVICE COMMISSION TO ENTER INTO RECIPROCAL BASE STATE AGREEMENTS, WITH THE REGULATORY AGENCIES OF OTHER STATES HAVING JURISDICTION OVER MOTOR CARRIERS, TO PROVIDE THAT MOTOR CARRIERS REGISTERING IN THIS STATE UNDER SUCH AGREEMENTS ARE SUBJECT TO THE JURISDICTION OF THE PUBLIC SERVICE COMMISSION, TO ALLOW THE COMMISSION TO REQUIRE FILINGS OF CERTIFICATION OF INSURANCE, SURETY BONDS, AND OTHER DOCUMENTS TO SHOW A SOUTH CAROLINA BASED CARRIER'S QUALIFICATION TO OPERATE, AND PROVIDE THAT A PARTICIPATING CARRIER SHALL REGISTER ONLY WITH THE COMMISSION, AND TO AMEND SECTION 58-23-640, RELATING TO FEES AND CHARGES FOR REGISTRATION OF INTERSTATE AUTHORITY BY MOTOR CARRIERS, SO AS TO PROVIDE THAT THE FIVE DOLLAR AUTHORITY STAMP FEE IS A FEE FOR AN IDENTIFIER.

Reps. QUINN, H. BROWN, COOPER, R. YOUNG and WELLS objected to the Bill.

H. 4151--TABLED

The following Bill was taken up.

H. 4151 -- Reps. Fair, Anderson, Haskins, Beasley and Vaughn: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 44-1-116 SO AS TO REQUIRE SPECIFIED HEALTH CARE PROVIDERS TO BE TESTED FOR THE HIV VIRUS AT THE TIME OF APPLICATION FOR LICENSURE, REGISTRATION, OR REAPPLICATION, TO REQUIRE CONSENT OF PATIENTS BEFORE A HEALTH CARE PROVIDER REFERENCED ABOVE WHO TESTS POSITIVE FOR THE HIV VIRUS MAY PERFORM CERTAIN HEALTH CARE SERVICES FOR THAT PATIENT, AND TO PROVIDE PENALTIES FOR VIOLATIONS.

Rep. WALDROP moved to table the Bill, which was agreed to.

H. 4675--DEBATE ADJOURNED

Rep. WAITES moved to adjourn debate upon the following Bill until Tuesday, May 12, which was adopted.

H. 4675 -- Reps. Beasley and Waites: A BILL TO AMEND SECTION 46-43-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE MIGRANT FARM WORKERS COMMISSION, SO AS TO REVISE THE MEMBERSHIP OF THE COMMISSION, TO PROVIDE THAT THE CHAIRMAN OF THE COMMISSION MUST BE APPOINTED BY THE GOVERNOR, AND TO PROVIDE THAT A REPRESENTATIVE OF CERTAIN FEDERAL AND STATE AGENCIES IS AUTHORIZED TO ATTEND MEETINGS OF THE COMMISSION IN ORDER TO ACT IN AN ADVISORY CAPACITY TO THE COMMISSION, AND TO AMEND SECTION 46-43-30, RELATING TO OFFICES OF THE COMMISSION AND OTHER RELATED ADMINISTRATIVE MATTERS, SO AS TO DELETE THE STIPULATION THAT THE COMMISSION SHALL ELECT A CHAIRMAN.

H. 4497--OBJECTIONS AND TABLED

The following Bill was taken up.

H. 4497 -- Rep. G. Brown: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 23-15-55 SO AS TO ALLOW SHERIFFS AND THEIR DEPUTIES TO SET AND COLLECT BONDS FOR OFFENSES TRIABLE IN MAGISTRATE'S COURT.

Rep. G. BROWN proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\DKA\3861.AL).

Amend the bill, as and if amended, by striking all after the enacting words and inserting:

/SECTION 1.     The sheriff of Lee County or his deputy is authorized to accept bond for a person arrested by him for an offense triable in magistrate's court. The officer may accept or receive money for a fine, bail, or recognizance upon completion of a summons and receipt in triplicate, acknowledging the receipt of the money, the amount, and the purpose for which it was received. One copy of the summons and receipt must be delivered to the person from whom the money is received. In setting the amount of bond, the officer must follow guidelines prepared by the chief magistrate of Lee County.

SECTION     2.     This act takes effect upon approval by the Governor./

Amend title to conform.

Rep. G. BROWN explained the amendment.

Reps. KOON and HUFF objected to the Bill.

Rep. TUCKER moved to table the Bill, which was agreed to.

H. 3027--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up.

H. 3027 -- Rep. Harvin: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 50-17-95 SO AS TO PROHIBIT THE CAPTURING OR REMOVAL FROM THE WATERS OF THIS STATE AND THE DISPLAY OF A MAMMAL OF THE ORDER CETACEA (DOLPHINS AND WHALES) AND TO PRESCRIBE PENALTIES FOR VIOLATIONS.

Rep. CORBETT proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\BR1\2651.AC), which was adopted.

Amend the bill, as and if amended, by striking all after the enacting words and inserting:

/SECTION     1.     The 1976 Code is amended by adding:

"Section 50-17-95.         It is unlawful for a person or corporation to display a wild caught or captive-bred mammal of the order Cetacean (dolphins and whales). An attempt should be made by the South Carolina Marine Mammal Stranding Network, South Carolina Wildlife and Marine Resources Department, to rehabilitate any living cetacean that becomes beach stranded. Following rehabilitation the cetacean must be released into native South Carolina waters within a reasonable time.

A person violating this section is guilty of a misdemeanor and, upon conviction, must be fined not more than one thousand dollars or imprisoned for not more than six months."

SECTION     2.     This act takes effect upon approval by the Governor./

Amend title to conform.

Rep. CORBETT explained the amendment.

The amendment was then adopted.

The Bill, as amended, was read the second time and ordered to third reading.

H. 4388--OBJECTIONS

The following Bill was taken up.

H. 4388 -- Reps. G. Bailey, A. Young and Wofford: A BILL TO AMEND SECTION 56-5-4160, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO WEIGHING VEHICLES AND LOADS, SO AS TO PROVIDE THAT FIFTY PERCENT OF THE FINES COLLECTED FOR VIOLATION OF WEIGHT LOADS MUST BE REMITTED TO THE COUNTY TREASURER OF THE COUNTY IN WHICH THE CITATION WAS ISSUED.

Reps. KOON, CROMER, J. BAILEY, CATO, KIRSH and WELLS objected to the Bill.

H. 4515--DEBATE ADJOURNED

The following Bill was taken up.

H. 4515 -- Reps. Quinn, Wright and Riser: A BILL TO AMEND SECTION 59-25-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE PROHIBITION ON HIRING A TEACHER WHO IS RELATED TO A SCHOOL BOARD MEMBER, SO AS TO MAKE THIS APPLICABLE TO ADMINISTRATORS AND OTHER ADMINISTRATIVE PERSONNEL AND INCLUDE THE SPOUSE OF A SUPERINTENDENT OR OTHER ADMINISTRATIVE PERSONNEL WITHIN THE DEFINITION OF IMMEDIATE FAMILY MEMBER.

Reps. WRIGHT and QUINN proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\CYY\19162.SD).

Amend the bill, as and if amended, by striking Section 59-25-10 of the 1976 Code, as contained in Section 1, and inserting:

/Section 59-25-10.         No person who is a member of the board of trustees or a member of the immediate family of a member of the board of trustees, a school superintendent, or other administrative personnel of any school district shall may be employed by the board as a teacher without the written approval of the board of trustees of the district and, when applicable, of the board of education of the county, or unless without the approval of the applicable board at a public meeting thereof by majority vote. The provisions of this section do not apply to the employment of a teacher if a majority of the parents or guardians of the children attending the school for which such teacher is employed requests such employment in writing. The provisions of this section also shall do not apply to any teacher who was employed prior to before the time he or his family member became a board member, the school superintendent, or an administrative employee of the district. For purposes of this section, the immediate family of a member of the board of trustees, superintendent, or other administrative personnel shall include only his spouse, parents, children, brothers, or sisters. The provisions of this section shall not apply to school bus drivers./

Amend title to conform.

Rep. WRIGHT explained the amendment and moved to adjourn debate upon the Bill until Tuesday, May 12, which was adopted.

S. 1464--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up.

S. 1464 -- Senators Rose and Reese: A BILL TO CREATE THE SOUTH CAROLINA ENVIRONMENTAL AWARENESS AWARD TO BE PRESENTED ANNUALLY TO A PERSON EXEMPLIFYING EXTRAORDINARY DEDICATION TO THE CONSERVATION AND PRESERVATION OF THE ENVIRONMENT OF SOUTH CAROLINA BY A COMMITTEE CONSISTING OF DESIGNATED REPRESENTATIVES FROM THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL, THE STATE COMMISSION OF FORESTRY, THE SEA GRANT CONSORTIUM, THE WATER RESOURCES COMMISSION, THE WILDLIFE AND MARINE RESOURCES COMMISSION, AND THE STATE LAND RESOURCES CONSERVATION COMMISSION.

Reps. SHARPE and STURKIE proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\BR1\2678.AC), which was adopted.

Amend the bill, as and if amended, Section 48-55-10(A), by adding an appropriately numbered item to read:

/( )     South Carolina Coastal Council./

Renumber to conform.

Amend title to conform.

Rep. STURKIE explained the amendment.

The amendment was then adopted.

The Bill, as amended, was read the second time and ordered to third reading.

S. 1446--OBJECTIONS

The following Bill was taken up.

S. 1446 -- Senators Lourie, Courson, Matthews, Washington, Passailaigue and Hinds: A BILL TO AMEND CHAPTER 13, TITLE 31, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLE 4 SO AS TO ENACT THE HOUSING TRUST FUND ACT OF 1992 AND TO PROVIDE DEFINITIONS, TO CREATE THE FUND AND AN ADVISORY COMMITTEE, TO PROVIDE FOR THE DUTIES OF AN EXECUTIVE DIRECTOR; AND TO PROVIDE FOR THE PURPOSE, USE, AND OPERATION OF THE FUND; TO AMEND SECTION 12-21-380, RELATING TO TAX ON INSTRUMENTS CONVEYING REALTY, SO AS TO INCREASE THE TAX FROM ONE DOLLAR TEN CENTS TO ONE DOLLAR THIRTY CENTS ON EACH FIVE HUNDRED DOLLARS OF CONSIDERATION PAID FOR THE PROPERTY AND TO PROVIDE THAT THIS TWENTY CENT INCREASE BE PAID TO THE HOUSING TRUST FUND; TO REDESIGNATE ARTICLE 3, CHAPTER 3, TITLE 31 AS ARTICLE 1, CHAPTER 13, TITLE 31; TO REDESIGNATE SECTIONS 31-3-110 THROUGH 31-3-180 AS 31-13-20 THROUGH 31-13-90, RESPECTIVELY; TO REDESIGNATE SECTION 31-13-160 AS 31-13-10; AND TO DESIGNATE SECTIONS 31-13-170 THROUGH 31-13-340 AS ARTICLE 3, CHAPTER 13, TITLE 31.

Reps. McTEER, COBB-HUNTER, WAITES, H. BROWN, WHITE, ROGERS, HASKINS and J. HARRIS proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\BR1\2643.AC).

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

/SECTION     ___.     Section 12-21-380 of the 1976 Code is amended to read:

"Section 12-21-380.     A deed, instrument, or writing whereby any lands, tenements, or other realty sold is granted, assigned, transferred, or otherwise conveyed to, or vested in, the purchaser or any other person by his the purchaser's direction when the consideration or value of the interest or property conveyed exclusive of the value of any lien or encumbrance remaining thereon on the interest or property at the time of sale exceeds one hundred dollars and does not exceed five hundred dollars must be taxed one dollar and ten thirty cents and for each additional five hundred dollars, or fractional part thereof, one dollar and ten thirty cents. Ten cents of the tax on those sales over one hundred dollars but not exceeding five hundred dollars and ten cents of the tax on each additional increment of five hundred dollars must be paid to the Heritage Land Trust Fund. Twenty cents of the tax on those sales over one hundred dollars but not exceeding five hundred dollars and twenty cents of the tax on each additional increment of five hundred dollars must be paid to the South Carolina Housing Trust Fund. Any A deed, instrument, or writing whereby any lands, tenements, or other realty is granted, assigned, transferred, or otherwise conveyed to, or vested in, the State of South Carolina, or any of its political subdivisions and departments, for highway or other public purposes is exempted from the documentary tax requirements of this section, and any clerk of court or register of mesne conveyances may record these deeds or other instruments without revenue stamps affixed and without penalty."/

Amend further, Section 31-13-430(A), by adding at the end of the subsection: /Membership on the committee must include representation from rural communities./

Renumber sections to conform.

Amend title to conform.

Rep. McTEER explained the amendment.

Rep. CORNING objected to the Bill.

Rep. McTEER continued speaking.

Reps. ROSS, MARCHBANKS, KIRSH, MEACHAM, CATO, QUINN and HYATT objected to the Bill.

H. 4452--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up.

H. 4452 -- Reps. Quinn, Wright and Riser: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 16-17-475 SO AS TO PROHIBIT EAVESDROPPING ON CELLULAR OR CORDLESS TELEPHONES AND CELLULAR RADIO TELEPHONES, TO PROVIDE EXCEPTIONS, AND TO PROVIDE PENALTIES.

Reps. QUINN and NETTLES proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\DKA\3877.AL), which was adopted.

Amend the bill, as and if amended, Section 16-17-475, SECTION 1, page 1, lines 23 and 29, by striking /maliciously/ and inserting /wilfully/.

Amend title to conform.

Rep. QUINN explained the amendment.

The amendment was then adopted.

The Bill, as amended, was read the second time and ordered to third reading.

S. 826--DEBATE ADJOURNED

Rep. KIRSH moved to adjourn debate upon the following Bill until Thursday, May 7, which was adopted.

S. 826 -- Senators Pope and Waddell: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 12-43-296, SO AS TO PERMIT POLITICAL SUBDIVISIONS OF THIS STATE, INCLUDING SCHOOL DISTRICTS, TO MAINTAIN AND CARRY FORWARD REASONABLE POSITIVE GENERAL FUND BALANCES FROM FISCAL YEAR TO FISCAL YEAR INCLUDING, BUT NOT LIMITED TO, THOSE YEARS IN WHICH PROPERTY WITHIN THE POLITICAL SUBDIVISION OR SCHOOL DISTRICT IS SUBJECT TO REASSESSMENT.

H. 4737--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up.

H. 4737 -- Rep. Keyserling: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 6-11-320 SO AS TO AUTHORIZE A SPECIAL PURPOSE DISTRICT WHICH IS EMPOWERED TO PROVIDE WATER SERVICES TO PROVIDE SEWAGE COLLECTION AND DISPOSAL SERVICES UNDER CERTAIN PRESCRIBED CIRCUMSTANCES.

Rep. KEYSERLING proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\436\12455.DW), which was adopted.

Amend the bill, as and if amended, SECTION 2, page 2, line 7, by inserting after /boundaries/ /if it has received permission, by written resolution, from the governing body of the county in which the district is located/.

Amend title to conform.

Rep. KEYSERLING explained the amendment.

The amendment was then adopted.

The Bill, as amended, was read the second time and ordered to third reading.

JOINT ASSEMBLY

At 12:00 Noon the Senate appeared in the Hall of the House.

The President of the Senate called the Joint Assembly to order and announced that it had convened under the terms of a Concurrent Resolution adopted by both Houses.

ADDRESS BY CHIEF JUSTICE DAVID W. HARWELL

The Reading Clerk of the House read the following Concurrent Resolution:

H. 4717 -- Reps. Sheheen and Wilkins: A CONCURRENT RESOLUTION TO INVITE THE CHIEF JUSTICE OF THE SOUTH CAROLINA SUPREME COURT, THE HONORABLE DAVID W. HARWELL, TO ADDRESS THE GENERAL ASSEMBLY IN JOINT SESSION ON THE STATE OF THE JUDICIARY AT 12:00 O'CLOCK NOON ON WEDNESDAY, MAY 6, 1992.

Chief Justice David W. Harwell and distinguished party were escorted to the rostrum by Senators Hinds, Martin, N.W. Smith and McConnell and Reps. HARWELL, M. MARTIN, CORNING and J. BROWN.

Lt. Governor Theodore introduced the Chief Justice as follows:

"First, I would like to recognize the people from the Court here with us today, Justices Chandler, Finney, Toal and Moore. We are delighted to have them with us, please stand. Also, former Chief Justice Littlejohn is here with us and we are glad to have him and members of the Appellate Court also. That is what I call a blue ribbon judiciary. And now, members of the Joint Session of the General Assembly, visitors in our chambers today, it gives me a great deal of honor and with a great deal of respect to introduce to you an individual who has come through the ranks of the legal profession, the legislative profession and now serves us so ably as the Chief Justice of our State Supreme Court, an individual who has already made a difference, Chief Justice David W. Harwell."

Chief Justice Harwell addressed the Joint Assembly as follows:

"I AM GOING TO MAKE THIS SHORT...FIRST OF ALL, AT THE VERY OUTSET, I RECEIVED A TELEPHONE PHONE CALL ABOUT 15 MINUTES AGO AFTER HEARING OUR LAST ARGUMENT AND IT WAS A MUTUAL FRIEND OF OURS AND HE SAID, DAVID, I HAVE A TEE TIME AT 1:30 AND SOME OF THE MEMBERS OF THE GENERAL ASSEMBLY ARE SUPPOSED TO PLAY WITH ME, SO, KEEP IT SHORT AND I ASSURED HIM THAT I WOULD HAVE COMPLETED MY REMARKS IN TIME FOR HIM TO MAKE THE TEE TIME. MR. PRESIDENT, MR. SPEAKER, MEMBERS OF THE COURT, LADIES AND GENTLEMEN OF THE GENERAL ASSEMBLY, CONSTITUTIONAL OFFICERS OF THIS STATE, AND FELLOW SOUTH CAROLINIANS, IT IS A PLEASURE TO MAKE MY FIRST ADDRESS TO THE SOUTH CAROLINA GENERAL ASSEMBLY AS YOUR CHIEF JUSTICE. IT HAS BECOME OUR CUSTOM FOR THE CHIEF JUSTICE TO REPORT TO YOU ON THE STATUS OF THE JUDICIAL BRANCH OF GOVERNMENT AND I APPRECIATE THIS OPPORTUNITY. AT THE VERY OUTSET, I WANT YOU TO KNOW THAT I LOOK FORWARD TO WORKING WITH YOU TO RESOLVE THE PROBLEMS FACING OUR JUDICIARY. I WANT OUR THREE BRANCHES OF GOVERNMENT TO WORK TOGETHER TO ENSURE THAT A LINE OF COMMUNICATION WILL ALWAYS EXIST BETWEEN US. ALTHOUGH WE ARE SEPARATE AND COEQUAL BRANCHES OF GOVERNMENT, WE ALL SHARE THE SAME INTEREST IN SEEING THAT THE RIGHTS AND NEEDS OF OUR CITIZENS ARE PROVIDED FOR. BETWEEN THE DESTRUCTION OF HURRICANE HUGO AND THE RECESSION, OUR GOVERNMENTAL OPERATIONS HAVE BEEN FORCED TO DO FAR MORE WITH MUCH LESS. AS THE RECESSION ENDS, I AM CONFIDENT THAT SOUTH CAROLINA AND THE JUDICIAL SYSTEM WILL EMERGE STRONGER AND BETTER PREPARED TO DEAL WITH THE CHALLENGES AHEAD. THE JUDICIAL BRANCH OF GOVERNMENT HAS BEEN AND WILL REMAIN, UNDER MY ADMINISTRATION, A VERY FRUGAL OPERATION. WE OPERATE ON LESS THAN ONE PERCENT OF THE STATE'S BUDGET. SOUTH CAROLINA RANKS 50TH IN THE AMOUNT OF MONEY APPROPRIATED FOR ITS JUDICIAL SYSTEM AND WHILE THAT WILL PROBABLY REMAIN THE CASE, SOME ADDITIONAL ALLOCATIONS ARE A NECESSITY. IN PURSUING EFFORTS TO KEEP COSTS LOW, FRANKLY, THE COURTS PROBABLY HAVE BEEN GUILTY OF BEING PENNY WISE AND A POUND FOOLISH. THERE ARE INVESTMENTS WHICH MUST BE MADE TO HOLD DOWN COSTS IN THE FUTURE AND TO PREPARE THE COURTS FOR THE CHALLENGES OF THE 1990'S. THE TIME HAS COME WHEN WE MUST PREPARE TO DEAL WITH A COURT SYSTEM BURDENED WITH RISING CASELOADS AND ANTIQUATED SYSTEMS. IN AN AGE OF ELECTRONICS WHERE FAX MACHINES AND PROCESSORS SPEED COMMUNICATIONS AND ENHANCE PRODUCTIVITY, OUR COURTS STILL OPERATE WITH YELLOW PADS AND PENCILS. THE NEEDS OF TODAY DEMAND THAT WE ADJUST. AS WE CLOSED THE BOOKS ON OUR COURT SYSTEM AT THE END OF DECEMBER AND TABULATED THE RESULTS FOR THE YEAR, THE NEWS WAS NOT GOOD. OUR JUDICIAL SYSTEM IS UNDER GREAT STRESS. IT IS A SYSTEM ON WHICH HAS BEEN PLACED MORE DEMANDS THAN RESOURCES. DURING THE RECESSION, OUR STATE EXPERIENCED A SLOWDOWN AND STATE TAX COLLECTIONS DECLINED BUT DEMAND FOR JUDICIAL ACTIVITY INCREASED. AS A RESULT, THE JUDICIAL BRANCH HAS DEVELOPED A GROWING BACKLOG. LADIES AND GENTLEMEN, THIS HAS AN EFFECT ON ALL OTHER BRANCHES OF GOVERNMENT. YOU AND I CANNOT ALLOW AN ENTIRE BRANCH OF GOVERNMENT TO FALL BEHIND WITHOUT HINDERING THE EFFECTIVENESS OF THE OTHER TWO BRANCHES -- OUR ACTIONS, THE EXECUTIVE, THE LEGISLATIVE, ARE LINKED TOGETHER. IT DOES LITTLE GOOD FOR YOU TO PASS LAWS AND FOR THE EXECUTIVE BRANCH TO SEEK THEIR ENFORCEMENT IF THE END RESULT IS A LONG WAIT AT THE END OF A CROWDED COURT DOCKET. THIS MUST CHANGE. OUR SOCIETY DEMANDS THAT WE HAVE A PLACE TO EXPEDITIOUSLY RESOLVE DISPUTES; DELAY ONLY COMPOUNDS THE PROBLEMS FOR OUR STATE'S BUSINESS SECTOR, OUR CITIZENS, AND OUR GOVERNMENTAL OPERATIONS. THE SERVICE PROVIDED BY THE COURTS LITERALLY IS THE CORNERSTONE OF STABILITY AND PEACEFUL COEXISTENCE HERE IN SOUTH CAROLINA. NOW BEFORE I TELL YOU WHERE WE ARE GOING, I WILL TAKE A FEW MOMENTS TO LET YOU GET A FEEL FOR WHERE THE COURTS ARE TODAY. OUR MAGISTRATE AND MUNICIPAL COURTS CONTINUE TO HANDLE OVER ONE AND A HALF MILLION CASES EACH YEAR. AND ALTHOUGH COURTS ARE NOT IN THE REVENUE BUSINESS, IT SHOULD BE NOTED THAT THE MAGISTRATE AND MUNICIPAL SYSTEMS GENERATED OVER 64 MILLION DOLLARS THAT WENT INTO COUNTY AND MUNICIPAL SERVICES. THAT REPRESENTS MORE THAN TWICE THE STATE JUDICIAL SYSTEM'S BUDGET. OUR PROBATE COURT ACTUALLY MADE PROGRESS LAST YEAR BY DISPOSING OF MORE CASES THAN WERE FILED. OVER 24,700 CASES PASSED THROUGH THE PROBATE COURT. IN OUR FAMILY COURT, I AM PLEASED TO REPORT THAT EVEN THOUGH FILINGS HAVE EXCEEDED DISPOSITIONS FOR EACH OF THE LAST FIVE YEARS, OUR REPORT SHOWS ONLY 8% OF THE DOCKET IS OVER SIX MONTHS OLD. WHILE HAVING ONLY 8% OF OUR DOCKET OVER SIX MONTHS OLD IS GOOD, I HASTEN TO POINT OUT IN PREVIOUS YEARS WE SAW ONLY 5% AND 4% SO OUR FAMILY COURTS ARE SLOWLY LOSING GROUND. IN OUR COURT OF GENERAL SESSIONS, OVER 109,000 CRIMINAL CASES WERE FILED IN 1991 WHICH IS 8,000 MORE THAN THE PREVIOUS YEAR. WE ENDED 1990 WITH 48,000 CASES PENDING BUT IN 1991 THIS FIGURE GREW TO MORE THAN 62,000 WHICH MEANS OUR BACKLOG GREW BY MORE THAN 13,000 CASES -- OR PUT ANOTHER WAY, BY MORE THAN A THOUSAND NEW CASES A MONTH. IT IS OUR GOAL TO RESOLVE CRIMINAL MATTERS WITHIN SIX MONTHS. IN THE PAST, WE HAVE BEEN ABLE TO HOLD OUR OWN BUT THIS YEAR THE DEMAND FOR COURT TIME WAS TOO GREAT. THE CRIMINAL SIDE OF OUR COURT SYSTEM REMAINS AS A BAROMETER OF THE SYSTEM'S HEALTH AND ABILITY TO PROTECT AND DEFEND OUR CITIZENS FROM ILLEGAL ACTS AND UNJUST ACCUSATIONS. IN 1991 OUR CIVIL DOCKETS SAW NEW FILINGS INCREASE BY 6%. OUR DISPOSITIONS WERE UNABLE TO KEEP PACE. THEREFORE, OUR PENDING CIVIL DOCKET INCREASED AT YEAR'S END BY MORE THAN 4,800 CASES. A TOTAL OF 58,000 CASES WERE FILED IN 1991. IN SUMMARY, OUR JUDICIAL SYSTEM HAD TO CUT BACK DUE TO THE RECESSION BUT CASELOADS CONTINUED TO RISE. THE COURTS HAVE SQUEEZED THE MOST OUT OF EVERY CENT, BUT HAVE ONLY DELAYED THE INEVITABLE. TO KEEP PACE, WE MUST HAVE AN INFUSION OF NEW RESOURCES AND MUST EXAMINE OLD APPROACHES AND INTRODUCE NEW MANAGERIAL TECHNIQUES TO ENSURE EFFICIENCY. TODAY OUR CIRCUIT AND FAMILY COURTS STRUGGLE TO COPE WITH APPROXIMATELY 230,000 CASES EACH YEAR. BUT IF WE CONTINUE TO GROW AT THE SAME RATE, THEN BY 1996 THESE SAME COURTS WILL BE FACED WITH NEARLY 450,000 CASES EACH YEAR. THE POPULATION OF OUR STATE HAS AND WILL CONTINUE TO GROW AND SO TOO WILL THE NEED FOR OUR COURTS TO HANDLE ADDITIONAL LITIGATION. AND ALTHOUGH OUR CASELOAD FIGURES SHOW A GENERAL DETERIORATION IN OUR ABILITY TO KEEP OUR DOCKETS CURRENT, STUDIES ALSO REVEAL IT ISN'T FROM A LACK OF TRYING. AN INDEPENDENT STUDY CONDUCTED IN 1989, SHOWED OUR 31 CIRCUIT JUDGES WERE CREDITED WITH HAVING THE HIGHEST CASELOADS IN THE SOUTHEAST. OUT OF THE SOUTHEASTERN STATES, SOUTH CAROLINA CIRCUIT JUDGES AVERAGED OVER 4,800 CASES PER JUDGE. WITH THE ADDITIONAL NINE JUDGES -- THIS IS NOW APPROXIMATELY 4,000 CASES PER JUDGE. THIRTEEN HUNDRED MORE CASES PER JUDGE THAN NORTH CAROLINA WHICH RANKED SECOND. OUR JUDICIARY IS AND WILL CONTINUE TO BE THE HARDEST WORKING NOT ONLY IN THE SOUTHEAST BUT THROUGHOUT THE COUNTRY. OUR STATE RAISED CASE FILING FEES -- TWICE TO GENERATE FUNDS TO SUPPORT AND STAFF NINE NEW JUDGESHIPS; BUT HAVING THESE JUDGES HAS BEEN LIKE GETTING A NEW CAR WITHOUT HAVING FUNDS FOR GAS. WITHOUT FUNDS FOR ROTATION, THESE JUDGES CAN NOT BE SENT TO WHERE THEY ARE NEEDED. OUR BUDGET CONTAINS A REQUEST FOR JUDICIAL ROTATION EXPENSES WHICH THE HOUSE AND SENATE HAVE SUPPORTED AND WITH WHICH I HOPE THE CONFERENCE COMMITTEE WILL CONCUR. THE CITIZENS IN 18 OF YOUR COUNTIES ARE WITHOUT A RESIDENT CIRCUIT JUDGE AND 11 COUNTIES ARE WITHOUT A FAMILY COURT JUDGE. THE CITIZENS IN THESE COUNTIES ARE TOTALLY DEPENDENT ON JUDICIAL ROTATION TO ENSURE THEIR DAY IN COURT. THEIR RIGHT TO SETTLE THEIR DISPUTE IS JUST AS IMPORTANT TO THEM AS IT IS TO A CITIZEN WHO RESIDES IN THE RESIDENT COUNTY OF A JUDGE. LADIES AND GENTLEMEN, I AM HERE TO REPORT TO YOU ON THE STATE OF OUR JUDICIARY BUT THE FIGURES I HAVE GIVEN YOU TELL THE STORY. WE HAVE A BACKLOG THAT WILL ONLY GET WORSE UNLESS CORRECTIVE ACTION IS TAKEN. YOU AND I MUST STEP FORWARD NOW TO REVERSE THE TREND AND PREPARE FOR WHAT WILL FACE US TOMORROW. I WILL DEPART FROM THE USUAL STATE OF THE JUDICIARY PRESENTATION BY NOT LINGERING ANY MORE ON THE STATE OF OUR PAST BUT FOCUSING NOW ON WHAT WE WILL EMBARK ON FOR TOMORROW. AT THE VERY BEGINNING, I WANT YOU TO KNOW THAT WHAT NEEDS TO BE DONE IS EXTREMELY IMPORTANT BUT CANNOT BE ACCOMPLISHED BY ONE MAN. HOWEVER, IN PARTNERSHIP WITH THE LEGISLATIVE AND EXECUTIVE BRANCHES, THERE IS NOTHING WE CANNOT ACCOMPLISH FOR THE BENEFIT OF OUR CITIZENS' JUDICIAL SYSTEM. I HAVE ASKED THE GENERAL ASSEMBLY FOR AN ADDITIONAL 3.8 MILLION DOLLARS. THE MEDIA AND I HAVE PORTRAYED THE SUM AS SIGNIFICANT AND THERE HAVE BEEN HEADLINES SUCH AS 'COURT SEEKS HUGE INCREASE.' I COULDN'T HELP BUT NOTICE, HOWEVER, THAT WHEN THE HIGHWAY DEPARTMENT ANNOUNCED THEY WOULD SEEK 10 MILLION FOR RENOVATING BATHROOMS AND CORRECTIONS RECEIVED OVER A 105 MILLION FOR NEW PRISONS, NO ONE EXPRESSED ALARM. 3.8 MILLION MAY BE POCKET CHANGE TO SOME OF OUR LARGE AGENCIES, BUT TO THE THIRD BRANCH OF GOVERNMENT IT WILL CONTINUE TO BE REGARDED AS A SIGNIFICANT AMOUNT AND EACH CENT WISELY INVESTED. I DO WANT TO CLARIFY THAT NOT ALL OF THIS REQUEST REPRESENTS WHAT I WOULD REGARD AS NEW FUNDING. ABOUT A THIRD GOES TOWARDS ANNUALIZING EXPENDITURES OR MAKING UP FOR CUTS. FOR INSTANCE, WHEN WE RECEIVED THE NINE NEW JUDGES, WE DID NOT RECEIVE ENOUGH FUNDING FOR A FULL YEAR'S SALARY. THUS, ADDITIONAL DOLLARS TO ANNUALIZE THESE EXPENSES ARE IN OUR REQUEST. WE ARE ALSO SEEKING A RETURN OF ROTATION FUNDS WHICH WERE CUT. IN ALL, ABOUT 1.3 MILLION WILL BE NEEDED JUST TO KEEP US EVEN. BUT I AM ALSO SEEKING FUNDING FOR NEW INITIATIVES WHICH IN THE LONG TERM WILL HELP ALL OF US OPERATE MORE EFFICIENTLY AND SAVE OUR TAXPAYERS' MONEY. FIRST, 1.9 MILLION TO AUTOMATE THE JUDICIAL SYSTEM. THE INFORMATION NOW IS LARGELY PROCESSED BY HAND AND IS OFTEN DUPLICATED. OUR PEOPLE STRUGGLE TO HANDLE THE CURRENT 230,000 FILINGS. WE MUST AUTOMATE AT THE STATE AND COUNTY LEVEL IF WE EXPECT TO COPE WITH TWICE THAT AMOUNT BY 1996. I DON'T KNOW WHETHER YOU REALIZE IT OR NOT, BUT I DON'T EVEN HAVE A COPYING MACHINE IN MY OFFICE. THAT IS HOW FRUGAL WE HAVE BEEN. I DON'T KNOW WHETHER YOU REALIZE IT OR NOT BUT, THE SUPREME COURT OF SOUTH CAROLINA, THE HIGHEST COURT IN THIS STATE, DOES NOT EVEN HAVE A FAX MACHINE. THAT IS HOW FRUGAL IT IS. OUR PEOPLE STRUGGLE TO HANDLE THE CASELOADS AND WE, I EMPHASIZE, MUST AUTOMATE. IT IS TIME FOR THE JUDICIAL SYSTEM TO COME OUT OF THE YELLOW PAD AND PENCIL ERA AND JOIN THE REST OF OUR BUSINESS AND LEGAL COMMUNITIES WHO ARE ALREADY IN THE COMPUTER AGE. BUILDING UPON THIS AUTOMATION THERE ARE OTHER INITIATIVES THAT WILL TAKE PLACE. FIRST, I HAVE DIVIDED OUR STATE INTO FOUR JUDICIAL REGIONS -- EACH REGION CONTAINING FOUR CIRCUITS. WITHIN THESE REGIONS I WILL EMPLOY A NEW METHOD OF ASSIGNING JUDGES CALLED REGIONAL ROTATION. JUDGES WILL BE ASSIGNED SO THEY SPEND MORE OF THEIR TIME WITHIN THEIR RESPECTIVE REGION. THE NEW REGIONAL APPROACH WILL PRODUCE SEVERAL BENEFITS. LESS TRAVEL AND THEREFORE LOWER TRAVEL COST. SHORTER TRAVEL DISTANCES SHOULD ALLOW JUDGES MORE OPPORTUNITY TO BE WITH THEIR FAMILIES. I HOPE THIS WILL IMPROVE THEIR QUALITY OF LIFE AND KEEP JUDGESHIP OPENINGS ATTRACTIVE TO THE BEST AND BRIGHTEST ATTORNEYS IN YOUR AREAS. REGIONAL ROTATION WILL ALSO ALLOW ME TO INTRODUCE ANOTHER NEW MANAGERIAL INITIATIVE CALLED BEGINNING-TO-END CASE HANDLING. LADIES AND GENTLEMEN, JUDICIAL ROTATION IS A BENEFIT TO OUR UNIQUE SYSTEM. IT ALLOWS ME TO PUT THE JUDGE POWER WHERE IT IS MOST NEEDED AND MOST CASES ARE USUALLY RESOLVED WITHIN A ONE OR TWO WEEK TERM OF COURT SO THE ROTATION SYSTEM HAS WORKED WELL. BUT TODAY WE ARE SEEING AND WILL CONTINUE TO SEE MORE INSTANCES WHERE COMPLEX CASES REQUIRE THE ATTENTION OF MANY DIFFERENT JUDGES PARTICIPATING IN VARIOUS STAGES OF THE CASE'S JOURNEY THROUGH THE COURT. MULTIPLE JUDGE HANDLING OF A SINGLE CASE IS COSTLY TO THE LITIGANTS AND THE STATE. BY KEEPING JUDGES WITHIN A MORE NARROWLY DEFINED GEOGRAPHICAL AREA FOR LONGER PERIODS OF TIME, I WILL BE ABLE TO ASSIGN JUDGES TO HANDLE COMPLEX MATTERS FROM BEGINNING TO END. ONE JUDGE -- ONE CASE -- START TO FINISH. THIS APPROACH WILL REDUCE THE DELAY AND MAINTAIN CONSISTENCY IN RULINGS AS WELL AS KEEPING DOWN THE COST OF COMPLEX LITIGATION. JUDGES WILL STILL BE SYSTEMATICALLY ROTATED AROUND THE STATE BUT WITH REGIONAL ROTATION, THEY WILL SPEND LONGER PERIODS IN SMALLER AREAS. TO BRING ABOUT FULL UTILIZATION OF OUR COURT AUTOMATION SYSTEM AND REGIONAL ROTATION, I WILL NEED FOUR REGIONAL COURT ADMINISTRATORS. THESE INDIVIDUALS WILL LESSEN THE BURDEN NOW PLACED UPON OUR ADMINISTRATIVE JUDGES. THEY WILL OPERATE WITHIN EACH REGION TO PREPARE THE COURTS FOR THE ARRIVAL OF A TERM OF COURT. I WANT OUR JUDGES TO USE THEIR TIME IN COURT AND PROFESSIONAL ADMINISTRATORS TO GET THEM READY. LADIES AND GENTLEMEN, NOTHING IS MORE IMPORTANT THAN WELL-TRAINED JUDGES AND THEREFORE, I HAVE REQUESTED THE LEGISLATURE PROVIDE FUNDING FOR JUDICIAL TRAINING. MY GOAL IS TO SEND OUR JUDGES TO THE NATIONAL JUDICIAL COLLEGE ONCE EVERY THREE YEARS FOR CONTINUED INTENSIVE JUDICIAL TRAINING. THE BAR HAS DONE A TREMENDOUS SERVICE BY PROVIDING FUNDS FOR CONTINUING EDUCATION BUT AS THE COMPLEXITY OF LITIGATION CONTINUES TO INCREASE, SO TOO MUST TRAINING. THE JUDICIARY HAS GROWN OVER THE YEARS. WHEN I WAS ON THE CIRCUIT BENCH, THERE WERE ONLY 16 CIRCUIT JUDGES; WE NOW HAVE 40. THE COURT OF APPEALS HAD NOT BEEN ESTABLISHED AND THERE WAS NO STATEWIDE FAMILY COURT. THE ACTIVITY OF OUR COURTS HAS INCREASED TO WHERE SOME OF OUR COUNTIES NOW HANDLE AS MUCH AS AN ENTIRE CIRCUIT USED TO DEAL WITH. OUR JUDGES ARE MOVING ALMOST CONSTANTLY. THIS SIMPLY MEANS THAT GOOD COMMUNICATIONS IS A MUST; UNDER THE CIRCUMSTANCES IN WHICH THE JUDICIARY MUST OPERATE, IT IS A MAJOR CHALLENGE. THE ADMINISTRATIVE RESPONSIBILITIES OF A CHIEF JUSTICE HAVE INCREASED OVER THE YEARS. IN ADDITION TO MY MANAGERIAL RESPONSIBILITIES, I CARRY A FULL CASELOAD. IN THIS SETTING, A PUBLIC INFORMATION OFFICER AND EXECUTIVE ASSISTANT IS NEEDED TO ASSIST WITH THE PUBLIC, THE MEDIA, THE LEGISLATURE, THE ATTORNEYS, THE JUDGES, AND OTHERS WHO NEED TO KNOW WHAT IS TAKING PLACE. THERE MUST BE A CENTRAL LOCATION WHERE THEY MAY FIND ANSWERS TO THEIR QUESTIONS. I WANT THE INFORMATION BOTH THE GOOD AND THE BAD TO BE DISSEMINATED SO WE MAY ALL BE BETTER INFORMED. FOR NOW, YOU ARE LOOKING AT THE COURT'S PUBLIC INFORMATION SPOKESMAN. COMMUNICATION IS A VITAL COMPONENT OF ANY SUCCESSFUL OPERATION; AND I HAVE TAKEN STEPS THAT WILL IMPROVE COMMUNICATIONS BETWEEN THE BENCH, THE BAR, AND ME. I HAVE ESTABLISHED A BENCH/BAR COMMITTEE MADE UP OF JUDGES AND ATTORNEYS FROM EVERY CIRCUIT OF THE STATE. THE PURPOSE OF THIS COMMITTEE IS TO CREATE A BETTER COMMUNICATION LINK. THIS COMMITTEE WILL BE MY EYES AND EARS WITHIN EACH COUNTY. OUR ROLE WILL BE TO QUICKLY RESOLVE OLD PROBLEMS BUT MORE IMPORTANTLY TO ENSURE NEW ISSUES ARE IDENTIFIED AS SOON AS POSSIBLE, DISCUSSED, AND RESOLVED BEFORE THEY DEVELOP TO THE POINT WHERE THEY INTERFERE WITH JUDICIAL OPERATIONS. IT IS MY BELIEF THAT GOOD COMMUNICATION CREATES BETTER UNDERSTANDING WHICH BRINGS ABOUT COOPERATION WHICH IN TURN WILL RESULT IN PROGRESS. I HAVE ALSO BEGUN THE EXPERIMENT WITH CAMERAS IN THE COURTROOM. FOR A SIX-MONTH PERIOD, I AM USING ONE COURTROOM IN RICHLAND COUNTY. UNDER THE DIRECTION OF JUDGE RUSHING, WE WILL EXPERIMENT AND HOPEFULLY EXPAND FROM THERE ACROSS THE STATE. IT IS MY BELIEF THAT WITH THE TECHNOLOGY THAT IS AVAILABLE TODAY, WE CAN ALLOW GREATER ACCESS FOR OUR CITIZENS INTO COURT PROCEEDINGS WITHOUT --AND I UNDERSCORE THIS --WITHOUT JEOPARDIZING OUR CITIZENS' RIGHT TO A FAIR TRIAL. LET ME REPORT TO YOU THAT OUR EXPERIMENT IS GOING WELL. A CAREFULLY DRAFTED SET OF GUIDELINES HAS BEEN PREPARED WHICH WILL CONTROL THE EXPERIMENT. THE JUDGE WILL AT ALL TIMES MAINTAIN APPROPRIATE DECORUM AND DISCRETION ON WHEN AND HOW THE CAMERAS WILL OPERATE. THE COURTS WILL NOT BE TURNED OVER TO THE MEDIA BUT THROUGH THE GUIDELINES THERE WILL BE MORE VISUAL ACCESS TO COURT PROCEEDINGS. I ASSURE YOU WE WILL REMAIN WATCHFUL AND MAINTAIN A BALANCE BETWEEN OUR CITIZENS' RIGHT TO KNOW, THEIR RIGHT TO A FAIR TRIAL, AND THE VICTIM'S RIGHT TO PRIVACY. NOW, LADIES AND GENTLEMEN, FUNDING FOR THE COURT, THE DEPARTMENT OF CORRECTIONS, AND OTHERS REPRESENTS DOLLARS SPENT ON TRYING TO CORRECT WHAT IN SOME INSTANCES SHOULD HAVE BEEN PREVENTED. THIS YEAR A 105 MILLION DOLLAR BOND BILL WAS APPROVED FOR NEW PRISONS AND REPORTS INDICATE AN ADDITIONAL 14 MILLION DOLLARS IS BEING SOUGHT TO MEET THE NEEDS OF OPERATING THE PRISONS. THESE FUNDS WILL PROBABLY BE PROVIDED BECAUSE THEY ARE NEEDED. HOW MANY TEACHERS COULD WE HIRE WITH THAT KIND OF MONEY? HOW MANY NEW COMPUTERS COULD BE ADDED TO CLASSROOMS, AND WHICH IS THE BETTER LONG TERM INVESTMENT FOR OUR STATE? WE NEED TO DEAL WITH THE OVERCROWDING PROBLEM IN SUCH A WAY AS TO REDUCE THE NEED TO CONTINUE TO PUT MORE MONEY INTO EXPENSIVE PRISONS. OUR ATTITUDE MUST CHANGE. IT MUST CHANGE HERE IN SOUTH CAROLINA AND HERE IN THESE HALLS. SOUTH CAROLINA CANNOT FINANCIALLY AFFORD TO LOCK UP EVERYBODY FOR EVERY CRIME. THIS STATE NEEDS TO CAREFULLY EVALUATE HOW OUR EXPENSIVE PRISON RESOURCES ARE BEING USED. WE MUST PROTECT OUR CITIZENS FROM THE VIOLENT AND HABITUAL CRIMINALS; BUT THERE ARE WAYS TO PUNISH INDIVIDUALS WHO VIOLATE THE RULES OF SOCIETY WITHOUT FINANCIALLY STRAINING THE STATE'S BUDGET. IT HAS BEEN SAID AND I BELIEVE IT TO BE TRUE THAT FOR EVERY PERSON WE SEND TO PRISON, TWO CANNOT GO TO COLLEGE. ON AN AVERAGE, IT COSTS ALMOST $12,400 A YEAR TO KEEP AN INDIVIDUAL IN PRISON. AS A JUDGE AND AS CHAIRMAN OF THE SENTENCING GUIDELINES COMMISSION, I KNOW WE CAN DO BETTER. I KNOW WE CAN UTILIZE PROGRAMS THAT WOULD SAVE OUR STATE MILLIONS AND COME CLOSER TO MEETING THE NEEDS OF THE OFFENDER AND VICTIM. SOUTH CAROLINA HAS AS MANY ALTERNATIVE PROGRAMS AS ANY STATE IN THE COUNTRY. IT IS NOT WHAT WE HAVE, IT'S HOW WE USE IT THAT COUNTS. WE DESPERATELY NEED A COMPREHENSIVE PLAN ON HOW TO PROTECT OUR CITIZENS WITHOUT PUTTING THE STATE INTO BANKRUPTCY OR LOWERING OUR ABILITY TO SUPPORT OTHER NEEDS SUCH AS HEALTH, EDUCATION, AND JOB CREATION. SINCE 1985, OUR STATE HAS SPENT 250 MILLION ON NEW PRISONS; BUT THAT IS NOT ENOUGH. IT IS BEING ARGUED THAT ANOTHER 350 MILLION WILL BE REQUIRED BY 1997, IN ADDITION TO ANOTHER 94 MILLION IN OPERATING COST. LADIES AND GENTLEMEN, AS A JUDGE, AS A TAXPAYER AND AS A CITIZEN OF THIS STATE, I HOPE TO SEE THE DAY WHEN WE ALL RECOGNIZE THAT WE CAN GET MORE FOR OUR TAX DOLLAR, AND DEVELOP A COMPREHENSIVE POLICY ON HOW TO GET THE MOST FROM OUR LIMITED PRISON RESOURCES. AS AN INITIAL STEP, I SEEK YOUR HELP IN GETTING PASSED H3400 WHICH IS A COMPREHENSIVE CRIMINAL CLASSIFICATION BILL. THIS BILL ADDRESSES OVER 700 CRIMINAL OFFENSES AND CLASSIFIES THEM INTO ONE OF NINE CATEGORIES. EACH CATEGORY WILL CONTAIN CRIMES OF SIMILAR SERIOUSNESS. THERE WILL BE A CLEAR AND MEANINGFUL DISTINCTION BETWEEN FELONIES AND MISDEMEANORS. OUR CURRENT CRIMINAL CODE IS A MESS. THERE IS NOT A CLEAR DISTINCTION IN MANY INSTANCES BETWEEN FELONIES AND MISDEMEANORS. AND THIS ACTION IS LONG OVERDUE. IT BRINGS ORDER AND CLARIFICATION TO OUR CRIMINAL OFFENSES AND FORMS A FOUNDATION UPON WHICH A COMPREHENSIVE PLAN CAN BEGIN TO TAKE SHAPE. I ALSO ASK THAT YOU GIVE FAVORABLE CONSIDERATION TO H4498 WHICH DEALS WITH MAGISTRATES' TRAINING. THE BILL HAS PASSED THE HOUSE AND IS NOW BEING CONSIDERED BY THE SENATE. THE SUMMARY COURT IS AT TIMES REFERRED TO AS THE PEOPLE'S COURT. IT IS A TIER OF OUR JUDICIAL SYSTEM DOMINATED BY LAY JUDGES. IN THIS COURT, PEOPLE OFTEN REPRESENT THEMSELVES AND, NO ONE WITH A LEGAL EDUCATION IS INVOLVED IN RENDERING A DECISION. THE SUMMARY COURT IS A GOOD SYSTEM AND ONE WE SHOULD BUILD UPON AND ALTHOUGH FUNDAMENTALLY SOUND, THIS COURT IS IN NEED OF QUALITY CONTROL MEASURES TO ENSURE WE HAVE MEN AND WOMEN WITH THE JUDICIAL ABILITY TO RENDER DECISIONS THAT INVOLVE HIGHER AMOUNTS OF PROPERTY VALUES AND LONGER JAIL TERMS. WITH OUR MAJOR TRIAL COURT DOCKETS CLOGGED AND GROWING, THE MAGISTRATE'S COURT IS BEING VIEWED AS A VEHICLE TO HANDLE SOME OF THE CASES NOW EXCLUSIVELY TRIED BY CIRCUIT JUDGES WHO HAVE LEGAL EDUCATIONS. I WOULD FAVOR TRANSFERRING JURISDICTION OF SOME CRIMINAL CASES TO THE MAGISTRATE'S COURT AND RAISING THE LEVEL OF PROPERTY AMOUNTS AS A MEANS TO BE MORE COST EFFECTIVE IN DEALING WITH OUR CROWDED DOCKETS. HOWEVER, STEPS MUST FIRST BE TAKEN TO ENSURE THAT OUR CITIZENS' RIGHTS TO A FAIR TRIAL ARE PROTECTED BY ENSURING THOSE WHO SIT IN JUDGEMENT ARE QUALIFIED. ON THE WHOLE, LAY JUDGES CAN AND HAVE DONE AN EXCELLENT JOB BUT WE MUST BE SURE THAT ALL OF OUR SUMMARY COURT JUDGES MEET BASIC REQUIREMENTS BEFORE THEY ARE GIVEN THE AUTHORITY TO RENDER JUDGEMENTS WHICH AFFECT OUR FELLOW CITIZENS' RIGHTS, LIBERTY AND PROPERTY. A MAJORITY OF THE MAGISTRATES WANT THIS AND WE NEED THIS IN ORDER TO FULLY UTILIZE THE FULL POTENTIAL OF THIS TIER OF OUR JUDICIARY. I SEEK YOUR FAVORABLE ATTENTION TO H4498 WHICH WOULD HELP ESTABLISH BASIC REQUIREMENTS. NOW, THERE ARE TWO MORE ITEMS THAT YOU SHOULD BE MADE AWARE OF. FIRST, THERE ARE SOME TWELVE LAWSUITS CHALLENGING INADEQUATE COMPENSATION FOR THE DEFENSE OF INDIGENTS. THESE SUITS HAVE BEEN RAISED BY INDIVIDUAL ATTORNEYS, COUNTY GOVERNMENTS, AND PUBLIC DEFENDER CORPORATIONS ALL ALLEGING THE STATE INADEQUATELY COMPENSATES FOR DEFENDING INDIGENTS. FOR NOW THE COMPENSATION ISSUES DEAL MAINLY WITH DEATH PENALTY CASES; BUT LOCAL BAR ASSOCIATIONS HAVE NOTED THAT THE APPOINTMENT OF ATTORNEYS NOW GOES ON IN A MUCH WIDER ARRAY OF ISSUES -- SUCH AS FAMILY COURT, GUARDIAN AD LITEM CASES, POST CONVICTION RELIEF HEARINGS, AND PROBATE MATTERS. LOCAL ATTORNEYS ARE BEING FORCED TO GIVE THEIR TIME AND RESOURCES IN REPRESENTING THESE INDIGENTS. SHOULD THE PARTIES PREVAIL IN THEIR EFFORTS TO ALTER THE STATE'S COMPENSATION SCHEDULES IN DEATH PENALTY AND OTHER MATTERS, THEN COSTS COULD GO MUCH HIGHER THAN THEY ARE TODAY. THE LAST ITEM I WANT TO MAKE YOU AWARE OF IS THAT AS THE COST OF LITIGATION CONTINUES TO RISE, WE SHOULD LOOK VERY CLOSELY AT ALTERNATIVES WHICH ARE DESIGNED TO SAVE THE PARTIES AND THE TAXPAYERS' MONEY. WE MUST BE AWARE OF THE COST OF LITIGATION AND THE NEED TO MOVE FORWARD WITH INNOVATIVE APPROACHES. ONE APPROACH IS ALTERNATIVE DISPUTE RESOLUTION, A.D.R., WHICH USES ARBITRATION OR MEDIATION INSTEAD OF A COURT PROCEEDING. THIS GENERAL ASSEMBLY IS CONSIDERING SENATE BILL 1253 WHICH PROVIDES FOR MEDIATION BY PARTIES IN DOMESTIC LITIGATION. SIMILAR MEASURES SHOULD ALSO BE EXPLORED FOR OTHER CIVIL CASES. WE NEED TO FIND THE MOST EXPEDITIOUS AND COST EFFECTIVE MEANS OF RESOLVING DISPUTES. THE JURY TRIAL IN SMALL PROPERTY CASES IS BECOMING AN ALL TOO EXPENSIVE USE OF TAXPAYERS' MONEY. IT SIMPLY MAKES GOOD SENSE TO EXHAUST ALL POSSIBILITIES OF SETTLING THE DISPUTES BEFORE THEY CALL UPON THE TAXPAYERS TO FINANCE THE EXPENSE OF A JURY TRIAL WHICH MAY COST MORE THAN THE ISSUE IN DISPUTE. LADIES AND GENTELEMEN, AT THIS TIME, I ASK YOU TO LOOK CLOSELY AT ALTERNATIVE DISPUTE RESOLUTION AND SEE IF IT WILL PROVE TO BE AN EFFECTIVE WAY FOR US TO DEAL WITH THE INCREASING COST AND QUANTITY OF LITIGATION. MY FRIENDS, THE JUDICIARY AND THE STATE OF SOUTH CAROLINA FACES A CHALLENGING YEAR. I SINCERELY ASK FOR YOUR COOPERATION AND UNDERSTANDING AND I LOOK FORWARD TO WORKING WITH YOU TO HOPEFULLY RESOLVE THE PROBLEMS FACING OUR GREAT STATE. THANK YOU SO MUCH."

Upon the conclusion of his address, Chief Justice Harwell and his escort party retired from the Chamber.

JOINT ASSEMBLY RECEDES

The purposes of the Joint Assembly having been accomplished, the President announced that under the terms of the Concurrent Resolution the Joint Assembly would recede from business.

The Senate accordingly retired to its Chamber.

THE HOUSE RESUMES

At 12:50 P.M. the House resumed, the SPEAKER in the Chair.

Rep. WILKINS moved that the House recede until 2:30 P.M.

Rep. FOSTER moved that the House do now adjourn.

Rep. HUFF demanded the yeas and nays, which were taken resulting as follows:

Yeas 39; Nays 50

Those who voted in the affirmative are:

Anderson               Barber                 Baxley
Beatty                 Brown, J.              Byrd
Carnell                Corbett                Elliott, L.
Farr                   Foster                 Gonzales
Harris, P.             Harvin                 Hendricks
Hodges                 Holt                   Houck
Inabinett              Jaskwhich              Kennedy
Kinon                  Kirsh                  Koon
Littlejohn             Martin, M.             Mattos
McAbee                 McCraw                 Neilson
Rhoad                  Riser                  Rogers
Ross                   Snow                   Taylor
Whipper                Wilkes                 Wright

Total--39

Those who voted in the negative are:

Alexander, M.O.        Alexander, T.C.        Baker
Boan                   Brown, G.              Brown, H.
Bruce                  Burch, K.              Cato
Clyborne               Cobb-Hunter            Corning
Council                Cromer                 Delleney
Felder                 Gentry                 Hallman
Harrelson              Harris, J.             Harrison
Haskins                Huff                   Hyatt
Jennings               Keegan                 Kempe
Keyserling             Lanford                Marchbanks
Martin, L.             McTeer                 Meacham
Quinn                  Rudnick                Sharpe
Sheheen                Shissias               Smith
Stoddard               Stone                  Vaughn
Waites                 Wells                  White
Wilder                 Wilkins                Williams, J.
Wofford                Young, A.

Total--50

So, the House refused to adjourn.

The question then recurred to the motion that the House recede until 2:30 P.M., which was agreed to.

THE HOUSE RESUMES

At 2:30 P.M. the House resumed, the SPEAKER in the Chair.

POINT OF QUORUM

The question of a quorum was raised.

A quorum was later present.

LEAVES OF ABSENCE

The SPEAKER granted Reps. PHILLIPS and CANTY a leave of absence for the remainder of the day.

RECURRENCE TO THE MORNING HOUR

Rep. WILKINS moved that the House recur to the morning hour, which was agreed to.

REPORT OF STANDING COMMITTEE

Rep. PHILLIPS, from the Committee on Education and Public Works, submitted a favorable report, with amendments, on:

H. 4616 -- Reps. Wright, Keegan, Hallman, Harrison, Inabinett, Keyserling, Mattos, Jaskwhich, Riser, Canty, Quinn, A. Young, Council, L. Martin and Manly: A BILL TO AMEND TITLE 57, CHAPTER 23, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLE 2 SO AS TO CREATE THE SCENIC HIGHWAYS COMMITTEE AND TO PRESCRIBE ITS POWERS AND DUTIES.

Ordered for consideration tomorrow.

CONCURRENT RESOLUTION

The following was introduced:

H. 4828 -- Rep. White: A CONCURRENT RESOLUTION COMMENDING OLLIE S. MCALISTER OF JASPER COUNTY FOR TEN YEARS OF DEVOTED AND OUTSTANDING PUBLIC SERVICE AS DIRECTOR OF THE JASPER COUNTY DEPARTMENT OF SOCIAL SERVICES AND EXTENDING BEST WISHES FOR HAPPINESS FOLLOWING HER RETIREMENT.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

CONCURRENT RESOLUTION

The following was introduced:

H. 4829 -- Reps. Cobb-Hunter, J.C. Johnson, H. Brown, J. Brown, G. Brown, Kirsh, Sharpe, Smith, Council, Bennett, Sturkie, D. Elliott, Waites, K. Burch, Stone, Shirley, Wilkins, Harrelson, Koon, T.C. Alexander, Cromer, Fair, Waldrop, Jennings, Corning, Hodges, Haskins, Riser, Harrison, Wright, Shissias, Corbett, McTeer, Rudnick, Altman, Delleney, J. Harris, Hyatt, Chamblee, Gonzales, Clyborne, Baker and Meacham: A CONCURRENT RESOLUTION TO CONGRATULATE RUBY M. MIMS OF ORANGEBURG COUNTY WHO HAS BEEN CHOSEN "POSTMASTER OF THE YEAR" BY THE SOUTH CAROLINA LEAGUE OF POSTMASTERS.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

H. 3636--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up.

H. 3636 -- Rep. Clyborne: A BILL TO AMEND SECTION 41-25-30, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO LICENSING REQUIREMENTS FOR PRIVATE PERSONNEL AGENCIES, SO AS TO DELETE THE PROHIBITION AGAINST CONDUCTING PERSONNEL PLACEMENT SERVICES IN A RESIDENCE.

Rep. M.O. ALEXANDER proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\BR1\2583.AC), which was adopted.

Amend the bill, as and if amended, by striking all after the enacting words and inserting:

/SECTION     1.     Section 41-25-30(j) of the 1976 Code is amended to read:

"(j)     No license may be granted to conduct a private personnel placement service business in a residence or rooms used for living purposes or where boarders or lodgers are kept or where meals are served or where persons sleep or, in connection with a building or premises, where intoxicating liquors are sold to be consumed on premises, except cafes nd restaurants in office buildings.

However, if the licensee has maintained a South Carolina State Placement Service license for three consecutive years, or has attained the national CPC designation, including two years of service, the licensee may be licensed to operate from a private residence if desired but must be in accordance with other applicable federal, state, and local laws and zoning ordinances. In addition, a person who is handicapped or incapacitated for a period of time could be allowed a waiver for that period of time to work from a private residence."

SECTION     2.     Section 41-25-50 of the 1976 Code is amended by deleting item (j).

SECTION     3.     This act takes effect upon approval by the Governor./

Amend title to conform.

Rep. M.O. ALEXANDER explained the amendment.

The amendment was then adopted.

The Bill, as amended, was read the second time and ordered to third reading.

H. 4264--DEBATE ADJOURNED

The following Bill was taken up.

H. 4264 -- Reps. Kempe, Harvin, Neilson, J. Harris, Rudnick, McElveen, Cromer, Baxley, Snow, Rogers, Keyserling and Beatty: A BILL TO PROVIDE THAT THE CHIEF INSURANCE COMMISSIONER SHALL REQUIRE A REDUCTION IN MOTOR VEHICLE LIABILITY INSURANCE RATES FOR A THREE-YEAR PERIOD FOR ANY PERSON WHO VOLUNTARILY ATTENDS AND SUCCESSFULLY COMPLETES A MOTOR VEHICLE ACCIDENT PREVENTION COURSE APPROVED BY THE COMMISSIONER.

Rep. KEMPE proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\BBM\10018.JM).

Amend the bill, as and if amended, by striking all after the enacting words and inserting:

/SECTION     1.     The 1976 Code is amended by adding:

"Section 38-73-737.     Premium rates charged for liability coverages and collision coverage under a private passenger automobile insurance policy must be subject to an approved driver training course credit once satisfactory evidence is presented that any applicant for the credit, who is not subject to the youthful operator approved driver training course credit mandated by Regulation 69-13.2(C), has successfully completed an approved driver training course. The amount of the credit may be determined by each individual insurer based upon factually or statistically supported data, and is subject to prior approval by the commissioner. The discount must be afforded to the operator for thirty-six months from the date the approved driver training course was completed. The credit must be afforded by each insurer to all applicants, other than those considered within Regulation 69-13.2(C), in a nondiscriminatory manner.

(A)     An approved driver training course is a driver training course which meets the following criteria:

(1)     The course has been approved by the South Carolina Department of Education, the South Carolina Department of Highways and Public Transportation, or any other responsible educational agency, and was conducted by:

(a)     a recognized secondary school, college, or university;

(b)     instructors certified by the South Carolina Department of Education, the South Carolina Department of Highways and Public Transportation, or other responsible educational agency; or

(c)     any other school approved and supervised by the South Carolina Department of Education, the South Carolina Department of Highways and Public Transportation, or other responsible educational agency; and

(2)     The course was composed of a minimum of eight clock hours of classroom instruction plus a minimum of six clock hours of actual on-street practice driving accompanied by a certified driver education teacher. The practice driving requirement may also be met in the following ways:

(a)     training in an approved driving simulator may be substituted for up to three hours of on-street practice driving instruction at the ratio of four hours of simulator training for one hour of on-street practice driving;

(b)     training on a multiple-car driving range may be substituted for up to four hours of the on-street practice driving instruction on a basis of two hours on the range for one hour of on-street driving; or

(c)     if both simulator and multiple-car range instruction are used, a minimum of two hours of on-street driving must be attained. The other four hours of the minimum of six can be divided between range and simulation at the ratios stated in items (a) and (b) above;

(B)     Satisfactory evidence is a certificate, signed by an official of the school, the South Carolina Department of Education, the South Carolina Department of Highways and Public Transportation, or other responsible educational agency, which certifies that:

(1)     the course was approved by, and the instructors were certified by, the South Carolina Department of Education, the South Carolina Department of Highways and Public Transportation, or other responsible educational agency;

(2)     the course met the minimum requirements of paragraph (A)(2) above; and

(3)     for schools other than recognized secondary schools, colleges, or universities, the school was approved and supervised by the South Carolina Department of Education, the South Carolina Department of Highways and Public Transportation, or other responsible educational agency."

SECTION     2.     This act takes effect upon approval by the Governor./

Amend title to conform.

Rep. KEMPE explained the amendment.

Rep. A. YOUNG moved to adjourn debate upon the Bill until Thursday, May 7, which was adopted.

LEAVE OF ABSENCE

The SPEAKER granted Rep. FULMER a leave of absence for the remainder of the day.

ORDERED TO THIRD READING

The following Bill was taken up, read the second time, and ordered to a third reading:

H. 4790 -- Rep. Kirsh: A BILL TO AMEND SECTION 12-54-460, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE SETOFF DEBT COLLECTION ACT WHICH AUTHORIZES A CLAIMANT AGENCY TO REQUEST THAT A DELINQUENT DEBT BE SET OFF BY THE TAX COMMISSION AGAINST ANY INCOME TAX REFUND DUE THE DEBTOR, SO AS TO PROVIDE THAT REGULAR MAIL AS WELL AS CERTIFIED OR REGISTERED MAIL MAY BE USED TO PROVIDE THE DEBTOR WITH CERTAIN NOTICES REQUIRED BY THE ACT.

Rep. KIRSH explained the Bill.

H. 4571--AMENDED AND INTERRUPTED DEBATE

The following Bill was taken up.

H. 4571 -- Reps. Wilkins, Boan, T.C. Alexander, Waldrop, Phillips, Bennett, Beasley, M.O. Alexander, J. Bailey, Barber, H. Brown, Clyborne, Cooper, Fair, Farr, Fulmer, J. Harris, P. Harris, Harrison, Haskins, Hodges, Huff, Jennings, L. Martin, M. Martin, McGinnis, Sharpe, Smith, Tucker, Wells, Wofford, Wright, A. Young, Jaskwhich, Quinn, Sturkie, Koon, Riser, D. Martin, J. Brown, Scott, Gentry, Harwell, Vaughn, Corning, Cato, J. Williams, Shissias and Lanford: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 1-23-15 SO AS TO PROVIDE THAT NO LICENSE OR PERMIT REQUIREMENT OR CONDITION MAY BE ENFORCED UNLESS PROMULGATED BY REGULATION PURSUANT TO CHAPTER 23 OF TITLE 1; TO AMEND SECTION 1-23-10, RELATING TO DEFINITIONS FOR THE ADMINISTRATIVE PROCEDURES ACT, SO AS TO DEFINE THE TERMS "AGENCY ACTION" AND "ASSESSMENT REPORT"; TO AMEND SECTION 1-23-110, AS AMENDED, RELATING TO PROCEDURES FOR PUBLICATION OF NOTICES OF PROPOSED REGULATIONS, SO AS TO REQUIRE AN ASSESSMENT REPORT BY THE BUDGET AND CONTROL BOARD; AND TO AMEND SECTION 1-23-125, AS AMENDED, RELATING TO THE APPROVAL, DISAPPROVAL, AND MODIFICATION OF REGULATIONS, SO AS TO REQUIRE ADOPTION OF PROPOSED REGULATIONS BY JOINT RESOLUTION WITHIN ONE HUNDRED TWENTY DAYS.

Reps. WILKINS and BOAN proposed the following Amendment No. 5 (Doc Name L:\council\legis\amend\BR1\2579.AC), which was adopted.

Amend the bill, as and if amended, by striking all after the enacting words and inserting:

/SECTION     1.     The 1976 Code is amended by adding:

"Section 1-23-115.(A)     A regulation that has a substantial economic impact must have an assessment report prepared pursuant to this section and promulgated in accordance with the procedures contained in this article.

(B)     A state agency must submit to the State Budget and Control Board, Division of Research and Statistical Services, a preliminary assessment report on regulations which have a substantial economic impact. Upon receiving this report the division may require additional information from the promulgating agency, other state agencies, or other sources. A state agency shall cooperate and provide information to the division on requests made pursuant to this section. The division shall prepare and publish a final assessment report within forty-five days of the public hearing held pursuant to Section 1-23-110 or within forty-five days of the agency's submission of the requested additional information, whichever is later. The division shall forward the final assessment report and a summary of the final report to the promulgating agency.

(C)     An assessment report required by this section must disclose the effects of the proposed regulation on the economic welfare of the community and state and the effects of the economic activities arising out of the proposed regulation and must include:

(1)     a description of the regulation, the purpose of the regulation, the legal authority for the regulation, and the plan for implementing the regulation;

(2)     a determination of the need for the regulation and the expected benefit of the regulation;

(3)     a determination that the regulation is the most cost-effective method for achieving the stated purpose;

(4)     a determination of the cost-benefit relation of the regulation and a comparison of that cost-benefit relation to the cost-benefit relation resulting from not promulgating a regulation to achieve the stated purpose;

(5)     a determination that the regulation represents the most efficient allocation of public and private resources to achieve the stated purpose;

(6)     the effect of the regulation on competition;

(7)     the effect of the regulation on the cost of living and doing business in the geographical area in which the regulation would be implemented;

(8)     the effect of the regulation on employment in the geographical area in which the regulation would be implemented;

(9)     the source of revenue to be used for implementing and enforcing the regulation;

(10)     a conclusion on the short-term and long-term economic impact upon all persons substantially affected by the regulation, including an analysis containing a description of which persons will bear the costs of the regulation and which persons will benefit directly and indirectly from the regulation;

(11)     the uncertainties associated with the estimation of particular benefits and burdens and the difficulties involved in the comparison of qualitatively and quantitatively dissimilar benefits and burdens.

An assessment report must not consider benefits or burdens on out-of-state political bodies or businesses. The assessment of benefits and burdens which cannot be precisely quantified may be expressed in qualitative terms. This subsection must not be interpreted to require numerically precise cost-benefit analysis.

(D)     If information required to be included in the assessment report materially changes at any time before or after the regulation is approved by the General Assembly, the agency must submit the corrected information to the division which must forward a revised assessment report to the Legislative Council for submission to the committees to which the regulation was referred during General Assembly review.

(E)     An assessment report is not required on:

(1)     regulations specifically exempt from General Assembly review by Section 1-23-120; however, if any portion of a regulation promulgated to maintain compliance with federal law is more stringent than federal law, then that portion is not exempt from this section;

(2)     emergency regulations filed in accordance with Section 1-23-130; however, before an emergency regulation may be refiled pursuant to Section 1-23-130, an assessment report must be prepared in accordance with this section;

(3)     nondiscretionary ministerial action by an agency which complies with applicable statutes and regulations;

(4)     an action or activity of an agency which is required by law to be confidential;

(5)     expenditures of money from trust funds which previously have been designed by the General Assembly for a specific purpose;

(6)     regulations which control the hunting or taking of wildlife including fish or setting times, methods, or conditions under which wildlife may be taken, hunted, or caught by the public, or opening public lands for hunting and fishing."

SECTION     2.     Section 1-23-10 of the 1976 code is amended by adding:

"(6)     'Division' means the Division of Research and Statistical Services in the State Budget and Control Board.

(7)     'Substantial economic impact' means a financial impact in excess of one hundred thousand dollars upon:

(a)     commercial enterprises;

(b)     retail businesses;

(c)     service businesses;

(d)     industry;

(e)     consumers of a product or service; or

(f)     taxpayers."

SECTION     3.     Section 1-23-110 of the 1976 Code, as last amended by Act 91 of 1989, is further amended to read:

"Section 1-23-110.     (a)     This section applies only to the promulgation of regulations as defined in item (4) of Section 1-23-10 and is subject to the additional requirements of Section 1-23-120.

(b) (A)     Before the promulgation, amendment, or repeal of a regulation, an agency shall:

(1)     give notice of a drafting period by publication of a notice in the State Register. The notice shall must include the time when, the place where, and the manner in address to which interested persons may present their views submit written comments during the initial drafting procedures period before the regulations are submitted as proposed;

(2)     submit to the division, no later than the date the notice required in item (3) is published in the State Register, a preliminary assessment report prepared in accordance with Section 1-23-115 on regulations having a substantial economic impact;

(2)(3)     give at least thirty days' notice of intended action and opportunity of oral a public hearing at which the agency will receive data, views, or arguments, orally and in writing, from interested persons on proposed regulations by publication of a notice in the State Register. The notice must include:

(a)     the address to which written comments must be sent and the time period of not less than thirty days for submitting these comments;

(b)     the date, time, and place of the public hearing which must not be held sooner than thirty days from the date the notice is published in the State Register;

(c)     either the text or a synopsis of the proposed regulation,;

(d)     the statutory authority for its promulgation, the time when, the place where, and the manner in which interested persons may present their views on it and;

(e)     a preliminary fiscal impact statement prepared by the agency reflecting estimates of costs to be incurred by the State and its political subdivisions in complying with the proposed regulation. This requirement of A preliminary fiscal impact statement does is not apply to required for those regulations which are not subject to General Assembly review under the provisions of Section 1-23-120. The notice;

(f)     a summary of the preliminary assessment report submitted by the agency to the division and notice that copies of the preliminary report are available from the agency. The agency may charge a reasonable fee to cover the costs associated with this distribution requirement. A regulation that does not require an assessment report because it does not have a substantial economic impact, must include a statement to that effect. A regulation exempt from filing an assessment report pursuant to Section 1-23-115(D) must include an explanation of the exemption.

(B)     Notices required by this section must be mailed by the promulgating agency to all persons who have made timely requests of the agency for advance notice of proposed promulgation of regulations.

(3)     afford all interested persons reasonable opportunity to submit data, views, or arguments, orally or in writing. Opportunity for oral hearing, which may not be held sooner than thirty days from the date of publication of the notice in the State Register, must be granted if requested by twenty-five persons, by a governmental subdivision or agency, or by an association having not less than twenty-five members.

(C)     The agency shall consider fully all written and oral submissions respecting the proposed regulation.

(C)(D)     A proceeding to contest any a regulation on the ground of noncompliance with the procedural requirements of this section must be commenced within one year from the effective date of the regulation."

SECTION 4.     Section 1-23-120 of the 1976 Code, as last amended by Act 91 of 1989, is further amended to read:

"Section 1-23-120.     (A)     All regulations except those specifically exempted under this article section must be submitted to the General Assembly for review in accordance with the provisions of the this article, but no regulation may be submitted to the General Assembly more than one year after publication of the drafting notice initiating the regulation pursuant to Section 1-23-110(b).

(B)     To initiate the process of review, the agency shall file with the President of the Senate and the Speaker of the House of Representatives:

(1)     a copy of any the regulations promulgated along with;

(2)     a request for review; and

(3)     a brief synopsis of the regulations submitted explaining the content and any changes in existing regulations resulting from the regulations;

(4) a copy of the final assessment report and the summary of the final report prepared by the division pursuant to Section 1-23-115. A regulation that does not require an assessment report because it does not have a substantial economic impact must include a statement to that effect. A regulation exempt from filing an assessment report pursuant to Section 1-23-115(D) must include an explanation of the exemption;

(5)     a copy of the preliminary fiscal impact statement prepared by the agency as required in Section 1-23-110(b)(2).

(C)     Upon receipt of the request, the President and Speaker reviewing the request shall submit it for consideration to the standing committees of the Senate and House which are most concerned with the function of the promulgating agency. A copy of the regulation or a synopsis of it must be given to each member of the committee. The committees to which regulations are referred have one hundred twenty days from the date regulations are submitted to the General Assembly to consider and take action on these regulations so referred and determine their actions on the regulations. However, if a regulation is referred to a committee and no action occurs in that committee on the regulation within sixty calendar days of receipt of the regulation by the appropriate committee, the regulation must be placed on the agenda of the full committee beginning with the next scheduled full committee meeting. Only those calendar days occurring during sessions of the General Assembly are included in computing the days elapsed.

(D)     If a joint resolution to approve a regulation is not enacted within one hundred twenty days after submission the regulation is submitted to the General Assembly or if a joint resolution to disapprove a regulation has not been introduced by a standing committee to which the regulation was referred for review, the regulation is effective upon publication in the State Register. Upon introduction of the first joint resolution disapproving a regulation by a standing committee to which the regulation was referred for review, the one-hundred-twenty-day period for automatic approval is tolled. A regulation may not be filed under the emergency provisions of Section 1-23-130 if a joint resolution to disapprove the regulation has been introduced by a standing committee to which the regulation was referred. Upon a negative vote by either the Senate or House of Representatives on the resolution disapproving the regulation and the notification in writing of the negative vote to the Speaker of the House of Representatives and the President of the Senate by the clerk of the house in which the negative vote occurred, the remainder of the period begins to run. If the remainder of the period is less than ninety days, additional days must be added to the remainder to equal ninety days. The introduction of a joint resolution by the committee of either house does not prevent the introduction of a joint resolution by the committee of the other house to either approve or disapprove the regulations concerned. A joint resolution approving or disapproving a regulation must include:

(1)     the synopsis of the regulation as required by subsection (B);

(2)     the summary of the final assessment report prepared by the division pursuant to Section 1-23-115 or, as required by subsection (B), the statement or explanation that an assessment report is not required or is exempt.

(E)     The one-hundred-twenty-day period of review begins on the date the regulation is filed with the President and Speaker. Sine die adjournment of the General Assembly tolls the running of the period of review, and the remainder of the period begins to run upon the next convening of the General Assembly excluding special sessions called by the Governor.

(F)     Any member may introduce a joint resolution approving or disapproving a regulation or group of regulations thirty days following the date the regulations concerned are submitted to a standing committee for review and no committee joint resolution approving or disapproving the regulations has been introduced and the regulations concerned have not been withdrawn by the promulgating agency pursuant to Section 1-23-125, but the introduction does not toll the one-hundred-twenty-day period of automatic approval.

(G)     General Assembly review is not required for regulations promulgated:

(1)     to maintain compliance with federal law including, but not limited to, grant programs; however, the synopsis of the regulation required to be submitted by subsection (B) must include citations to federal law, if any, mandating the promulgation of or changes in the regulation justifying this exemption; Review also is not required for regulations promulgated

(2)     by the state Board of Financial Institutions in order to authorize state-chartered banks, state-chartered savings and loan associations, and state-chartered credit unions to engage in activities that are authorized pursuant to Section 34-1-110.; Review is not required for regulations promulgated

(3)     by the South Carolina Tax Commission to adopt regulations, revenue rulings, revenue procedures, and technical advice memoranda of the Internal Revenue Service so as to maintain conformity with the Internal Revenue Code of 1954.;

(4)     as emergency regulations under Section 1-23-130.
All regulations submitted to the General Assembly for approval must have attached to them a brief synopsis or analysis of the regulations submitted explaining the content and any changes in existing regulations resulting from the regulations. The synopsis or analysis must include citations of federal law, if any, mandating changes in the regulations. The one-hundred-twenty-day period of review provided for in this section does not begin to run until the synopsis or analysis is attached to regulations submitted.

(H)     For purposes of this section, only those calendar days occurring during a session of the General Assembly, excluding special sessions, are included in computing the days elapsed."

SECTION     5.     Section 1-23-130 of the 1976 Code is amended to read:

"Section 1-23-130.     (a)(A)     If any an agency finds that an imminent peril to public health, safety, or welfare requires immediate promulgation of an emergency regulation prior to before compliance with the procedures prescribed in this article, or if a natural resources related agency finds that abnormal or unusual conditions, immediate need, or the state's best interest requires immediate promulgation of emergency regulations to protect or manage natural resources, the agency may file the regulation with the Legislative Council along with and a statement of the situation requiring immediate promulgation and.     The regulation shall become becomes effective as of the time of filing.

(B)     An emergency regulation filed under this section which has a substantial economic impact may not be refiled unless accompanied by the summary of the final assessment report prepared by the division pursuant to Section 1-23-115.

(C)     If emergency regulations are promulgated either filed or expire while the General Assembly is in session, the emergency regulations shall remain in effect for ninety days only and may not be renewed under the provisions of this section refiled; but if emergency regulations are promulgated both filed and expire during a time when the General Assembly is not in session they may be renewable refiled for an additional ninety days if the General Assembly is not in regular session at the expiration of the ninety day period.

(b)(D)     Emergency regulations and the agency statement as to the necessity of immediate promulgation must be published in the next issue of the State Register following the date of filing. The final summary of the assessment report required for refiling emergency regulations pursuant to subsection (B) must also be published in the next issue of the State Register.

(c)(E)     Any An emergency regulations regulation promulgated pursuant to this section may be permanently promulgated by complying with the requirements of this article."

SECTION     6.     The amendments to Article 1, Chapter 23, Title 1, as contained in this act, apply to those regulations for which a notice of drafting pursuant to Section 1-23-110 is filed subsequent to this act's effective date.

SECTION     7.     This act takes effect three months after approval by the Governor./

Amend title to conform.

Rep. WILKINS explained the amendment.

The amendment was then adopted.

Rep. BOAN proposed the following Amendment No. 7 (Doc Name L:\council\legis\amend\BR1\2588.AC), which was adopted.

Amend the amendment, Section 1-23-115(E), by deleting items (3), (4), and (5).

Renumber to conform.

Amend title to conform.

Rep. BOAN explained the amendment.

The amendment was then adopted.

Rep. BOAN proposed the following Amendment No. 9 (Doc Name L:\council\legis\amend\BR1\2589.AC), which was adopted.

Amend the amendment, Section 1-23-115(D), by deleting /or after/ after /before/.

Renumber to conform.

Amend title to conform.

Rep. BOAN explained the amendment.

The amendment was then adopted.

Rep. BOAN proposed the following Amendment No. 11 (Doc Name L:\council\legis\amend\BR1\2613.AC), which was adopted.

Amend the amendment, as and if amended, Section 1-23-110(A)(3), page 7, by inserting on the sixth line of the item /if requested by twenty-five persons, by a governmental subdivision or agency, or by an association having not less than twenty-five members/ after /Register/.

Renumber sections to conform.

Amend title to conform.

Rep. BOAN explained the amendment.

The amendment was then adopted.

Rep. BAXLEY proposed the following Amendment No. 12 (Doc Name L:\council\legis\amend\BR1\2601.AC), which was adopted.

Amend the amendment, as and if amended, Section 1-23-115(C), by inserting before /welfare/ on the third line of this subsection /and environmental/.

Amend title to conform.

Rep. BAXLEY explained the amendment.

The amendment was then adopted.

Rep. BAXLEY proposed the following Amendment No. 13 (Doc Name L:\council\legis\amend\BR1\2649.AC), which was adopted.

Amend the amendment, as and if amended, Section 1-23-115(C), by adding an appropriately numbered item to read:

/( )     the effect of the regulation on the environment and public health./

Renumber to conform.

Amend title to conform.

Rep. BAXLEY explained the amendment.

The amendment was then adopted.

Reps. BOAN and WILKINS proposed the following Amendment No. 15 (Doc Name L:\council\legis\amend\BR1\2657.AC), which was adopted.

Amend the amendment, as and if amended, Section 1-23-115(C), by deleting before the colon preceding the enumerated items /must include/ and inserting /may include/.

Amend further, Section 1-23-115(C), by adding at the end: /At no time is an agency required to include items (6) through (10) in a preliminary assessment report; however, these items may be included in the final assessment report prepared by the division./

Renumber sections to conform.

Amend title to conform.

Rep. BOAN explained the amendment.

The amendment was then adopted.

Further proceedings were interrupted by expiration of time on the uncontested Calendar, the pending question being consideration of amendments.

RECURRENCE TO THE MORNING HOUR

Rep. BOAN moved that the House recur to the morning hour, which was agreed to.

H. 4571--AMENDED AND ORDERED TO THIRD READING

Debate was resumed on the following Bill, the pending question being the consideration of amendments.

H. 4571 -- Reps. Wilkins, Boan, T.C. Alexander, Waldrop, Phillips, Bennett, Beasley, M.O. Alexander, J. Bailey, Barber, H. Brown, Clyborne, Cooper, Fair, Farr, Fulmer, J. Harris, P. Harris, Harrison, Haskins, Hodges, Huff, Jennings, L. Martin, M. Martin, McGinnis, Sharpe, Smith, Tucker, Wells, Wofford, Wright, A. Young, Jaskwhich, Quinn, Sturkie, Koon, Riser, D. Martin, J. Brown, Scott, Gentry, Harwell, Vaughn, Corning, Cato, J. Williams, Shissias and Lanford: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 1-23-15 SO AS TO PROVIDE THAT NO LICENSE OR PERMIT REQUIREMENT OR CONDITION MAY BE ENFORCED UNLESS PROMULGATED BY REGULATION PURSUANT TO CHAPTER 23 OF TITLE 1; TO AMEND SECTION 1-23-10, RELATING TO DEFINITIONS FOR THE ADMINISTRATIVE PROCEDURES ACT, SO AS TO DEFINE THE TERMS "AGENCY ACTION" AND "ASSESSMENT REPORT"; TO AMEND SECTION 1-23-110, AS AMENDED, RELATING TO PROCEDURES FOR PUBLICATION OF NOTICES OF PROPOSED REGULATIONS, SO AS TO REQUIRE AN ASSESSMENT REPORT BY THE BUDGET AND CONTROL BOARD; AND TO AMEND SECTION 1-23-125, AS AMENDED, RELATING TO THE APPROVAL, DISAPPROVAL, AND MODIFICATION OF REGULATIONS, SO AS TO REQUIRE ADOPTION OF PROPOSED REGULATIONS BY JOINT RESOLUTION WITHIN ONE HUNDRED TWENTY DAYS.

Rep. MATTOS proposed the following Amendment No. 17 (Doc Name L:\council\legis\amend\BR1\2707.AC), which was adopted.

Amend the amendment, as and if amended, Section 1-23-115(C), by adding an appropriately numbered item to read:

"( )     the detrimental effect on the environment if the regulation is not implemented."

Renumber sections to conform.

Amend title to conform.

Rep. MATTOS explained the amendment.

The amendment was then adopted.

Rep. McLEOD proposed the following Amendment No. 18, which was rejected.

Amend the bill, as and if amended, by adding a new section numbered appropriately.

A regulation must be passed in the same manner as legislation within three years of its effective date or such regulation shall be unenforceable.

Rep. McLEOD explained the amendment.

Rep. BOAN moved to table the amendment.

Rep. McLEOD demanded the yeas and nays, which were not ordered.

The House refused to table the amendment by a division vote of 26 to 33.

Rep. BOAN spoke against the amendment.

Rep. McLEOD spoke in favor of the amendment.

Rep. WILKINS spoke against the amendment.

Rep. McELVEEN spoke in favor of the amendment.

The amendment was then rejected by a division vote of 41 to 57.

Rep. TOWNSEND moved to adjourn debate upon the Bill until Wednesday, May 13.

Rep. BOAN moved to table the motion, which was agreed to by a division vote of 89 to 9.

Rep. McELVEEN spoke against the Bill.

The Bill, as amended, was then read the second time and ordered to third reading.

S. 1493--RECOMMITTED

The following Joint Resolution was taken up.

S. 1493 -- Agriculture and Natural Resources Committee: A JOINT RESOLUTION TO DISAPPROVE REGULATIONS OF THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL, RELATING TO ENVIRONMENTAL HEALTH FEES TO TEST MILK, MILK PRODUCTS, AND FROZEN DESSERTS, DESIGNATED AS REGULATION DOCUMENT NUMBER 1422, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Rep. SHARPE moved to recommit the Joint Resolution to the Committee on Agriculture, Natural Resources and Environmental Affairs, which was agreed to.

Rep. CORBETT moved that the House do now adjourn.

Rep. T.C. ALEXANDER demanded the yeas and nays, which were taken resulting as follows:

Yeas 11; Nays 74

Those who voted in the affirmative are:

Anderson               Beatty                 Carnell
Corbett                Elliott, L.            Fair
Foster                 Inabinett              Mattos
McAbee                 Rogers

Total--11

Those who voted in the negative are:

Alexander, T.C.        Altman                 Bailey, J.
Baker                  Barber                 Boan
Brown, G.              Brown, H.              Bruce
Burch, K.              Cato                   Chamblee
Clyborne               Corning                Cromer
Delleney               Elliott, D.            Farr
Felder                 Gentry                 Gonzales
Hallman                Harrelson              Harris, J.
Harris, P.             Harvin                 Harwell
Haskins                Holt                   Houck
Huff                   Hyatt                  Jaskwhich
Keegan                 Kempe                  Kennedy
Keyserling             Kinon                  Kirsh
Koon                   Lanford                Littlejohn
Manly                  Marchbanks             Martin, L.
Martin, M.             McCraw                 McGinnis
McTeer                 Meacham                Neilson
Rhoad                  Rudnick                Sharpe
Sheheen                Shirley                Shissias
Smith                  Stone                  Taylor
Townsend               Tucker                 Vaughn
Waites                 Waldrop                Wells
White                  Wilder                 Wilkes
Wilkins                Williams, J.           Wofford
Wright                 Young, A.

Total--74

So, the House refused to adjourn.

H. 4146--INTERRUPTED DEBATE

The following Bill was taken up.

H. 4146 -- Reps. Wells, McGinnis, Wright, Riser, Canty, Littlejohn, Beatty and Stone: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 38-77-287 SO AS TO PROHIBIT AN INSURER, INCLUDING ANY AGENT OR ADJUSTER FOR SUCH INSURER, WHICH ISSUES OR RENEWS IN THIS STATE ANY POLICY OF INSURANCE COVERING, IN WHOLE OR IN PART, ONE OR MORE MOTOR VEHICLES FROM REQUIRING ANY INSURED UNDER THE POLICY TO USE A PARTICULAR COMPANY OR LOCATION FOR THE PROVIDING OF MOTOR VEHICLE GLASS REPLACEMENT OR REPAIR SERVICES OR PRODUCTS INSURED IN WHOLE OR IN PART BY THE POLICY, TO PROVIDE FOR CERTAIN PROCEDURES WHICH MAY BE FOLLOWED AND FOR CERTAIN OTHER PROHIBITED ACTS, TO REQUIRE THE STATE INSURANCE COMMISSION, THROUGH THE DEPARTMENT OF INSURANCE, TO ADMINISTER AND ENFORCE THIS SECTION AND PROMULGATE REGULATIONS, TO PROVIDE FOR A CRIMINAL FINE, AND TO PROVIDE A PROCEDURE FOR THE IMPOSITION OF AN ADMINISTRATIVE FINE BY THE DEPARTMENT OF CONSUMER AFFAIRS UNDER CERTAIN CONDITIONS OR REVOCATION OF BUSINESS LICENSE, OR BOTH.

Rep. WELLS proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\BR1\2653.JM).

Amend the bill, as and if amended, by striking all after the enactng words and inserting:

/SECTION     1.     Article 3, Chapter 77, Title 38 of the 1976 Code is amended by adding:

"Section 38-77-287.     (A)     No insurer, including any agent or adjuster for such insurer, which issues or renews in this State any policy of insurance covering, in whole or in part, one or more motor vehicles shall require any insured under the policy to use a particular company or location for the providing of motor vehicle glass replacement or repair services or products insured in whole or in party by the policy.

(B)     No such insurer, including any agent or adjuster for such insurer, shall engage in any act or practice of intimidation, coercion, or threat for or against the insured under such policy to use such company or location described in subsection (A).

(C)     Any automobile insurance policy issued in this State shall contain a notice, in conspicuous language, that the insured has the right to select or use any company or location that provides motor vehicle glass replacement or repair services or products insured in whole or in part by the policy.

(D)     Any automobile insurance company shall orally advise a policyholder residing in this State regarding the insured's right to select or use any company or location that provides motor vehicle glass replacement or repair services or products insured in whole or in part by the policy at such time the insured notifies the insurer of a loss covered in whole or in part by a policy issued in this State.

(E)     The Chief Insurance Commissioner may by regulation promulgate procedures and administrative penalties necessary to enforce the provisions of subsections (C) and (D)."

SECTION     2.     This act takes effect on October 1, 1992, and applies to motor vehicle insurance policies issued or renewed on and after the effective date of this act. However, subsection (D) of Section 38-77-287, in Section 1, which takes effect on October 1, 1992, applies to policies issued before such date./

Amend title to conform.

Rep. WELLS explained the amendment.

Further proceedings were interrupted by expiration of time on the uncontested Calendar, the pending question being Amendment No. 1, Rep. WELLS having the floor.

S. 810--OBJECTION WITHDRAWN

Rep. WAITES withdrew her objection to the following Bill.

S. 810 -- Senator Land: A BILL TO AMEND CHAPTER 5, TITLE 47, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO RABIES CONTROL, SO AS TO REVISE THE PROVISIONS FOR RABIES CONTROL OF PETS AND OTHER ANIMALS, INCLUDING DEFINITIONS, INOCULATIONS, NOTICES, BITES AND ATTACKS, CONFINEMENTS, QUARANTINES, ENFORCEMENT, AND PENALTIES.

H. 4278--OBJECTION WITHDRAWN

Rep. HOLT withdrew his objection to H. 4278 however, other objections remained upon the Bill.

H. 4698--RECALLED FROM THE COMMITTEE
ON EDUCATION AND PUBLIC WORKS

On motion of Rep. WRIGHT, with unanimous consent, the following Bill was ordered recalled from the Committee on Education and Public Works.

H. 4698 -- Rep. Phillips: A BILL TO AMEND TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EDUCATION, BY ADDING CHAPTER 58 SO AS TO PROVIDE FOR THE LICENSURE OF CERTAIN NONPUBLIC POST-SECONDARY EDUCATIONAL INSTITUTIONS AND TO REPEAL CHAPTERS 46 AND 59 OF TITLE 59, RELATING TO DEGREE-GRANTING NONPUBLIC EDUCATIONAL INSTITUTIONS AND TO PROPRIETARY SCHOOLS RESPECTIVELY.

S. 1162--RECALLED FROM THE COMMITTEE
ON AGRICULTURE, NATURAL RESOURCES
AND ENVIRONMENTAL AFFAIRS

On motion of Rep. BENNETT, with unanimous consent, the following Bill was ordered recalled from the Committee on Agriculture, Natural Resources and Environmental Affairs.

S. 1162 -- Senator Drummond: A BILL TO AMEND SECTION 50-20-50, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO REQUIRED STAMPS AND PERMITS UNDER THE RECREATIONAL FISHERIES CONSERVATION AND MANAGEMENT ACT OF 1991, SO AS TO DECREASE CERTAIN CHARTER VESSEL PERMIT FEES.

OBJECTION TO RECALL

Rep. KEMPE asked unanimous consent to recall S. 1253 from the Committee on Judiciary.

Rep. HUFF objected.

S. 1437--RECALLED FROM THE COMMITTEE
ON AGRICULTURE, NATURAL RESOURCES
AND ENVIRONMENTAL AFFAIRS

On motion of Rep. SNOW, with unanimous consent, the following Bill was ordered recalled from the Committee on Agriculture, Natural Resources and Environmental Affairs.

S. 1437 -- Agriculture and Natural Resources Committee: A BILL TO AMEND SECTION 46-49-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEFINITIONS PERTAINING TO THE SUPERVISION AND REGULATION OF MILK AND MILK PRODUCTS, SO AS TO DELETE THE DEFINITIONS OF "SUBSIDIARY", "AFFILIATE", "BOOKS AND RECORDS", AND "COSTS"; AND TO REPEAL SECTION 46-49-30 RELATING TO THE AUTHORITY OF THE DEPARTMENT OF AGRICULTURE AND THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL REGARDING MILK PURCHASING PLANS AND PRODUCERS' MILK BASES AND SECTION 46-49-50 RELATING TO THE REQUIREMENTS TO MAINTAIN RECORDS AND FILE REPORTS FOR PERSONS LICENSED TO SELL MILK.

H. 4827--RECALLED FROM THE COMMITTEE
ON EDUCATION AND PUBLIC WORKS

On motion of Rep. R. YOUNG, with unanimous consent, the following Joint Resolution was ordered recalled from the Committee on Education and Public Works.

H. 4827 -- Reps. R. Young, Holt and Gonzales: A JOINT RESOLUTION TO DESIGNATE THAT PORTION OF INTERSTATE I-26 IN NORTH CHARLESTON, SOUTH CAROLINA, AS THE "JOHN E. BOURNE, JR. HIGHWAY".

STATEMENT BY REP. HASKINS

Rep. HASKINS, with unanimous consent, made a statement relative to the House Rules.

H. 4505--SENATE AMENDMENTS CONCURRED IN
AND BILL ENROLLED

The Senate amendments to the following Bill were taken up for consideration.

H. 4505 -- Labor, Commerce and Industry Committee: A BILL TO AMEND SECTION 1-23-120, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE APPROVAL OF REGULATIONS BY THE GENERAL ASSEMBLY, AND SECTION 41-15-220, RELATING TO THE PROMULGATION OF REGULATIONS BY THE DEPARTMENT OF LABOR, SO AS TO EXEMPT CERTAIN REGULATIONS OF THE DEPARTMENT FROM THE REQUIREMENTS OF THE ADMINISTRATIVE PROCEDURES ACT.

Rep. T.C. ALEXANDER explained the Senate amendment.

The Senate amendments were agreed to, and the Bill having received three readings in both Houses, it was ordered that the title be changed to that of an Act, and that it be enrolled for ratification.

H. 4256--DEBATE ADJOURNED

The Senate amendments to the following Bill were taken up for consideration.

H. 4256 -- Rep. Kirsh: A BILL TO AMEND SECTION 40-47-600, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE REQUIREMENTS FOR RESPIRATORY CARE PRACTITIONERS, SO AS TO DELETE THE REQUIREMENT OF GOOD MORAL CHARACTER, PROHIBIT CERTIFICATION OF PERSONS CONVICTED OF A FELONY OR CRIME INVOLVING MORAL TURPITUDE, AND DELETE REDUNDANT LANGUAGE; AND TO REAUTHORIZE THE EXISTENCE OF THE SOUTH CAROLINA RESPIRATORY CARE COMMITTEE FOR SIX YEARS.

Rep. GENTRY moved to adjourn debate upon the Senate amendments, which was adopted.

H. 3364--DEBATE ADJOURNED

The Senate amendments to the following Bill were taken up for consideration.

H. 3364 -- Reps. Kirsh, Huff, Klapman, Beasley, L. Martin, Foster, Rama, Wilkins and R. Young: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 118 TO TITLE 59, SO AS TO ENACT THE SOUTH CAROLINA PREPAID POSTSECONDARY EDUCATION EXPENSE PROGRAM; TO ESTABLISH THE SOUTH CAROLINA PREPAID POSTSECONDARY EDUCATION EXPENSE BOARD TO IMPLEMENT THE PROGRAM; AND TO REQUIRE THE BOARD TO OBTAIN RULINGS FROM THE INTERNAL REVENUE SERVICE AND THE SECURITIES AND EXCHANGE COMMISSION WITH RESPECT TO THE PROGRAM AND TO REQUIRE THE INFORMATION TO BE PROVIDED TO PARTICIPANTS.

Rep. KIRSH explained the Senate amendment.

Rep. McTEER spoke against the Senate amendments and moved to adjourn debate upon the Senate amendments until Wednesday, May 13, which was adopted.

MOTION PERIOD

Rep. ROGERS moved to dispense with the Motion Period.

As a first substitute Rep. McELVEEN moved to recall S. 1253 from the Judiciary Committee.

As a second substitute Rep. HODGES moved to dispense with the balance of the Motion Period, which was agreed to.

Rep. GENTRY moved that the House do now adjourn.

Rep. FELDER demanded the yeas and nays, which were taken resulting as follows:

Yeas 38; Nays 55

Those who voted in the affirmative are:

Anderson               Baker                  Barber
Baxley                 Beasley                Brown, G.
Brown, J.              Byrd                   Carnell
Clyborne               Corbett                Elliott, L.
Fair                   Farr                   Foster
Gentry                 Gonzales               Harvin
Hodges                 Inabinett              Jaskwhich
Kennedy                Keyserling             Kirsh
Koon                   Littlejohn             Manly
Mattos                 McAbee                 McCraw
McGinnis               Nettles                Rogers
Stoddard               Townsend               Waites
Wilder                 Young, R.

Total--38

Those who voted in the negative are:

Alexander, T.C.        Bailey, J.             Bennett
Boan                   Brown, H.              Bruce
Burch, K.              Cato                   Chamblee
Cobb-Hunter            Cooper                 Corning
Council                Cromer                 Delleney
Elliott, D.            Felder                 Hallman
Harrelson              Harris, J.             Harrison
Holt                   Houck                  Huff
Hyatt                  Keegan                 Kempe
Lanford                Marchbanks             Martin, L.
Martin, M.             McElveen               McTeer
Meacham                Neilson                Rhoad
Riser                  Ross                   Rudnick
Scott                  Sharpe                 Sheheen
Shirley                Shissias               Smith
Snow                   Stone                  Tucker
Vaughn                 Waldrop                Wells
Wilkins                Wofford                Wright
Young, A.

Total--55

So, the House refused to adjourn.

S. 385--INTERRUPTED DEBATE

Debate was resumed on the following Bill, the pending question being the consideration of amendments.

S. 385 -- Senator Macaulay: A BILL TO AMEND SECTION 38-77-280, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO COLLISION, COMPREHENSIVE, FIRE, THEFT, AND COMBINED ADDITIONAL MOTOR VEHICLE LIABILITY INSURANCE COVERAGE, SO AS TO MAKE IT OPTIONAL FOR INSURERS TO OFFER COLLISION COVERAGE AND EITHER COMPREHENSIVE OR FIRE, THEFT, AND COMBINED ADDITIONAL COVERAGE; TO PROVIDE THAT ALL INSURERS WRITING SINGLE INTEREST COLLISION COVERAGE SHALL PROVIDE AN APPLICANT FOR THIS INSURANCE WITH A CERTAIN NOTICE THAT MUST BE SIGNED BY THE APPLICANT; AND TO PROVIDE THAT ALL INSURERS SHALL SUBMIT RATE FILINGS WITHIN TWELVE MONTHS FOLLOWING THE EFFECTIVE DATE OF THIS ACT WHICH MUST REFLECT THE RATE DECREASES, IF ANY, ATTRIBUTABLE TO THE PASSAGE OF THIS ACT.

Reps. FELDER and HARVIN proposed the following Amendment No. 14 (Doc Name L:\council\legis\amend\BBM\9999.JM), which was ruled out of order.

Amend the bill, as and if amended, by striking all after the enacting words and inserting:

/SECTION     1.     Section 38-77-10 of the 1976 Code is amended to read:

"Section 38-77-10.     In order to effect a complete reform of automobile insurance and insurance practices in South Carolina, the purposes of this chapter are: (1) To provide that every automobile insurance risk which is insurable on the basis of the criteria established in this chapter is entitled to automobile insurance from the automobile insurer of the applicant's choice on the basis of the same rates, policy forms, claims service, and other services provided by the insurer to all other applicants or insureds falling within the classification of risk and territory under the applicable risk and territorial classification plan promulgated by the Commissioner so long as all these applicants or insureds have satisfied the same objective standards as established in Sections 38-77-280 and 38-73-455; To provide that every automobile insurance risk which is insurable on the basis of the criteria established in this chapter is entitled to automobile insurance from an insurer on the basis of the same rates, policy forms, claims service, and other services provided by the insurer to all other applicants or insureds following within the classification of risk and territory under the applicable risk and territory classification plan promulgated by the Chief Insurance Commissioner without rejection, cancellation, or nonrenewal based on anything other than objective criteria.

(2)     To provide a Reinsurance Facility an Underwriting Association for automobile insurers in which all automobile insurers must participate to the end that the operating expenses and net profit or loss of the Facility Association may be shared equitably by all the insurers transacting automobile insurance business in this State giving appropriate consideration to degrees of utilization of the Facility Association by the several insurers of automobile insurance and to provide prohibitions or penalties in respect to excessive utilization of the Facility Association.

(3)     To provide prohibitions and penalties in respect to unfairly discriminatory or unfairly competitive practices having as their purpose or effect evasion of the statutory mandate of coverage provided in this chapter or imposing an undue or unfair burden upon other automobile insurers through excessive utilization of the Facility To provide prohibitions and penalties in respect to unfairly discriminatory or unfairly competitive practices.

(4)     To provide medical, surgical, funeral, and disability insurance benefits without regard to fault to be offered under automobile insurance policies that provide bodily injury and property damage liability insurance, or other security, for motor vehicles registered in this State."

SECTION     2.     Section 38-77-30(5) of the 1976 Code is amended to read:

"(5)     "Facility" means the unincorporated, nonprofit, legal entity created by this chapter to reinsure policies of automobile insurance known as the South Carolina Reinsurance Facility. 'Underwriting Association' means the unincorporated, nonprofit, legal entity created by this chapter for shared risk pooling of policies of automobile insurance known as the South Carolina Automobile Underwriters Association."

SECTION     3.Section 38-77-30(9) of the 1976 Code is amended to read:

"(9)     "Quota share reinsurance" means that form of reinsurance in which the reinsurer assumes a fixed percentage of the insured risk. 'Shared risk pooling' means that method used by member insurers of the Underwriting Association to transfer risks to a common pool of shared market consumers with the experience of the pool allocated among the members."

SECTION     4.     Section 38-77-30 of the 1976 Code is amended by adding:

"(9.5)     'Bureau rate' means the final rate or premium charge, including applicable safe driver discount, determined for drivers with no merit rating plan points by adding the pure loss component filed by the Insurance Services Office (ISO) to the expense component filed by the board of governors of the Underwriting Association for individual private passenger automobile insurance risks."

SECTION     5.     Section 38-77-30(12) of the 1976 Code is amended to read:

"(12)     'Specialized insurer' means an insurer which specializes in certain types of business such as, but without limitation on the generality, commercial automobile business, and which may be relieved, with the approval of the commissioner, of the obligation to write types of business inconsistent with this specialty, such as private passenger automobile business. However, no insurer may be approved as a specialized insurer or continue to be so approved unless it accepts all insurable risks falling within the types of business to which it confines its writings without distinctions among applicants or policyholders as to policy forms, terms, rates or services other than as the distinctions are reflected in the approved rating plan for the classification of risks. No insurer may be approved as a specialized insurer because it specializes in or purports to specialize in select or preferred risks. A specialized insurer may not cede risks to the Reinsurance Facility and thus does not recoup losses of the Facility A specialized insurer may not transfer risks to the Underwriting Association and is exempt from participating as a member company. Specialized insurers may be excused from using the merit rating plan and the uniform classification and territorial plans upon approval by the commissioner."

SECTION     6.     Section 38-77-30 of the 1976 Code is amended by adding:

"(15)     'Clean risk subsidy' means the forty dollar fee added to the final rate or premium charge per insured vehicle which is collected by an insurer for payment to the Underwriting Association on all individual private passenger automobile risks and small commercial risks underwritten by the insurer in South Carolina, and, on risks to which one or more merit rating plan points apply an additional fifteen percent of the final rate or premium charge earned per vehicle."

SECTION     7.     The title of Article 3, Chapter 77, Title 38 of the 1976 Code is amended to read:

"MANDATE TO WRITE AND INSURANCE COVERAGE CERTAIN REQUIREMENTS TO INSURE AND INSURANCE COVERAGE".

SECTION     8.     The title of Section 38-77-110 of the 1976 Code is amended to read:

"Insurers required to insure; exceptions Prohibition against discriminatory underwriting practices.".

SECTION     9.     Section 38-77-110 of the 1976 Code, as last amended by Act 148 of 1989, is further amended to read:

"Section 38-77-110.     (A)     Automobile insurers other than insurers designated and approved as specialized insurers by the commissioner may not refuse to write or renew automobile insurance policies for individual private passenger automobiles or small commercial risks. These policies may not be canceled except for reasons which had they existed or been known when the policy was written would have rendered the risk not an insurable risk. Every automobile insurance risk constitutes an insurable risk unless the operator's permit of the named insured has been revoked or suspended and is at the time of application for insurance so revoked or suspended. However, no insurer is required to write or renew automobile insurance on any risk if there exists a valid and enforceable outstanding judgment secured by an insurer, an agent, or licensed premium service company on account of automobile insurance premiums which the applicant or insured or any principal operator who is a member of the named insured's household has failed or refused to pay unless the applicant or insured pays in advance the entire premium for the full term of the policy sought to be issued or renewed or the annual premium, whichever is the lesser. With the exception of insurers designated and approved as specialized insurers by the commissioner, no automobile insurer or agent may refuse to write, cancel, or nonrenew any policy, coverage, or endorsement of automobile insurance for individual private passenger automobile risks and small commercial risks as defined in Section 38-77-30 because of the age, sex, marital status, race, religion, national origin, employment, or place of residence of any applicant for insurance or any existing insured. A refusal to write an automobile insurance policy must be in writing stating the cause of the refusal if requested by the applicant. An insurer is not precluded from effecting cancellation of an automobile insurance policy, either upon its own initiative or at the instance of an agent or licensed premium service company, because of the failure of any named insured or principal operator to pay when due any automobile insurance premium or any installment payment. However, notice of cancellation for nonpayment of premium notifies the person to whom the notice is addressed that the notice is void and ineffective if payment of the full amount of the premium or premium indebtedness, whichever is the greater, is made to the insurer, agent, or licensed premium service company named in the notice by the otherwise effective date of cancellation. This notice of cancellation is not considered ineffective for being conditional, ambiguous, or indefinite.

(B)     Notwithstanding subsection (A) of this section, no insurer is required to write private passenger automobile insurance with higher limits of coverage than:

(1)     two hundred fifty thousand dollars, for bodily injury liability to one person in one accident,

(2)     subject to the limit for one person, five hundred thousand dollars because of bodily injury to two or more persons in one accident,

(3)     fifty thousand dollars because of injury to or destruction of property of others in any one accident,

(4)     five hundred thousand dollars combined single limits for either or both bodily injury and property damage, if any applicant or existing policyholder, on renewal, for a motor vehicle customarily operated by an individual, either the named insured or any other operator not excluded in accordance with Section 38-77-340 and who resides in the same household, has one or more of the conditions or factors prescribed in Section 38-73-455(A) existing and if an insurer, at its option, writes such a policy, the policy may not be ceded to the Reinsurance Facility.

(C)     With regard to any coverage not required to be written by an insurer under the mandate to write, no insurer may refuse to write such policy, coverage, or endorsement of automobile insurance because of the race, color, creed, national origin, or ancestry of anyone who seeks to become insured."

SECTION     10.     Section 38-77-112 of the 1976 Code, as last amended by Act 148 of 1989, is further amended to read:

"Section 38-77-112.     Notwithstanding Sections 38-77-110, and 38-77-920, and 38-77-280, no automobile insurer is required to write coverage for automobile insurance as defined in Section 38-77-30 for any applicant or existing policyholder who does not at the time of application or renewal possess a valid South Carolina motor vehicle or special restricted driver's license. This section does not apply to an individual who is handicapped and who owns a vehicle in this State but who does not have a valid driver's license. If an automobile is principally garaged and operated in this State, the owner of the vehicle must be offered coverage thereon regardless of whether or not he possesses a valid South Carolina driver's license if he designates to the insurer who the principal operator of the vehicle will be and this person has a valid South Carolina driver's license or otherwise meets the requirements of this section. This requirement does not apply to personnel of the Armed Forces of the United States on active duty and officially stationed in this State who possess a valid motor vehicle driver's license issued by another state or territory of the United States or the District of Columbia. This requirement is waived ninety days for individuals who move into South Carolina with the intent of making South Carolina their place of residence if they possess a valid driver's license issued by another state or territory of the United States or the District of Columbia."

SECTION     11.     Section 38-77-115 of the 1976 Code is amended to read:

"Section 38-77-115.     The authorized agents for every insurer covered by the provisions of Section 38-77-110 shall post in a conspicuous location in their office or place of business a sign containing language to be required by regulation of the Chief Insurance Commissioner that stipulates that insurer and agent may not refuse to write or renew that type of insurance, that tactics designed to avoid writing or renewing that type of insurance are not permissible including unreasonable delays in meeting with applicants, and that violations of the above should be reported to the commission for appropriate action. The authorized agents for every insurer covered by the provisions of Section 38-77-110 shall post in a conspicuous location in their office or place of business a sign which is to be titled 'Prohibition Against Discriminatory Underwriting Practices' and to read as follows:

'NO INSURER OR AGENT MAY REFUSE TO WRITE, CANCEL, OR NONRENEW ANY POLICY, COVERAGE, OR ENDORSEMENT OF AUTOMOBILE INSURANCE FOR INDIVIDUAL PRIVATE PASSENGER AUTOMOBILE RISKS BECAUSE OF THE AGE, SEX, MARITAL STATUS, RACE, RELIGION, NATIONAL ORIGIN, EMPLOYMENT, OR PLACE OF RESIDENCE OF ANY APPLICANT FOR INSURANCE OR ANY EXISTING POLICYHOLDER. A REFUSAL TO WRITE AN AUTOMOBILE INSURANCE POLICY MUST BE IN WRITING STATING THE CAUSE OF THE REFUSAL IF REQUESTED BY THE APPLICANT.'"

SECTION     12.     Section 38-77-140 of the 19776 Code is amended to read:

"Section 38-77-140.     No automobile insurance policy may be issued or delivered in this State to the owner of a motor vehicle or may be issued or delivered by an insurer licensed in this State upon any motor vehicle then principally garaged or principally used in this State, unless it contains a provision insuring the persons defined as insured against loss from the liability imposed by law for damages arising out of the ownership, maintenance, or use of these motor vehicles within the United States or Canada, subject to limits exclusive of interest and costs, with respect to each motor vehicle, as follows: fifteen ten thousand dollars because of bodily injury to one person in any one accident, and, subject to the limit for one person, thirty twenty thousand dollars because of bodily injury to two or more persons in any one accident, and five thousand dollars because of injury to or destruction of property of others in any one accident. Nothing in this article prevents an insurer from issuing, selling, or delivering a policy providing liability coverage in excess of these requirements."

SECTION     13.     Section 38-77-280 of the 1976 Code, as last amended by Act 113 of 1991, is further amended to read:

"Section 38-77-280.     (A)     Except as provided in subsection (B), all automobile insurers, including those insurance companies writing private passenger physical damage coverages only, shall make collision coverage and either comprehensive or fire, theft, and combined additional coverage available to an insured or qualified applicant who requests the coverage.

Collision coverage must have a mandatory deductible of two hundred fifty dollars, but an insured or qualified applicant, at his option, may select an additional deductible in appropriate increments up to one thousand dollars.

Comprehensive coverage or fire, theft, and combined additional coverages must have a mandatory deductible of two hundred fifty dollars, but an insured, at his option, may select an additional deductible in appropriate increments up to one thousand dollars. This deductible does not apply to auto safety glass. It is an unfair trade practice, as described in Sections 38-57-30 and 38-57-40, for an insurer or an agent to sell collision insurance, comprehensive coverage, or fire, theft, and combined additional coverages unless the insured is notified at the time of application of the savings which may be realized if the applicant or the insured selects a higher deductible. This notice is required only at the time of the initial sale and must be in a form approved by the Chief Insurance Commissioner. An insurer may offer insureds lower deductibles at the insurer's option.

(B) Notwithstanding subsection (A) and Sections 38-77-110 and 38-77-920, automobile insurers may refuse to write automobile physical damage insurance coverage, including automobile comprehensive physical damage, collision, fire, theft, and combined additional coverage, for any applicant or existing policyholder, on renewal, for a motor vehicle customarily operated by an individual, either the named insured or any other operator not excluded in accordance with Section 38-77-340 and who resides in the same household, where one or more of the conditions or factors prescribed in Section 38-73-455 exist. In addition, automobile insurers may refuse to write physical damage insurance coverage to any applicant or existing policyholder, on renewal, who has collected benefits provided under any automobile insurance physical damage coverage during the thirty-six months immediately preceding the effective date of coverage, for two or more total fire losses or two or more total theft losses.

(C)     Notwithstanding Section 38-77-110, automobile physical damage coverage in an automobile insurance policy may be canceled at any time during the policy period by reason of the factors or conditions described in Section 38-73-455(A) or Section 38-77-280(B) which existed before the commencement of the policy period and which were not disclosed to the insurer at the commencement of the policy period.

(D) No policy of insurance which provides automobile physical damage coverage only may be ceded to the facility.

(B)     No policy of insurance which provides automobile physical damage coverage only may be transferred to the Underwriting Association for shared risk pooling.

(E)     Insurers of automobile insurance may charge a rate for physical damage insurance coverages different than those provided for in Section 38-73-457 if the rates are filed and approved by the Chief Insurance Commissioner. Any applicant or existing policyholder, to be charged this different rate, must be denied the coverage pursuant to subsection (B) at the rate provided in Section 38-73-457.

(F)     A carrier may not cede collision coverage, comprehensive coverage, or fire, theft, and combined additional coverages with a deductible of less than two hundred fifty dollars. An insured or qualified applicant may select an additional deductible in appropriate increments up to one thousand dollars. However, the mandatory deductible does not apply to safety glass."

SECTION     14.     Section 38-77-285 of the 1976 Code, as last amended by Act 146 of 1991, is further amended to read:

"Section 38-77-285.     All automobile insurance coverages written by an insurer for an insured's automobile must be written in the same policy except that all automobile insurance policies in effect on the effective date of this section may continue in force until the expiration date of the policy. This section applies only to insurance policies covering vehicles eligible to be ceded to the Reinsurance Facility. This section applies only to insurance policies covering private passenger vehicles."

SECTION     15.     The title of Article 5, Chapter 77, Title 38 of the 1976 Code is amended to read:

"REINSURANCE FACILITY AND DESIGNATED PRODUCERS UNDERWRITING ASSOCIATION; SERVICING CARRIERS AND PRODUCERS".

SECTION     16.     The 1976 Code is amended by adding:

"Section 38-77-511.     There is created a nonprofit, unincorporated legal entity known as the South Carolina Automobile Underwriters Association which is subject to regulations and orders promulgated by the commissioner which are not inconsistent with the purposes of this chapter. The Underwriting Association shall accept at the option of the automobile insurer, and subject to the provisions of this chapter, the risk covered under any policy of automobile insurance. An insurer transferring a risk to the Underwriting Association shall transfer the risk as a unit and may not transfer certain coverages while retaining others.

At the effective date of this section, the Underwriting Association shall assume all assets, liabilities, accounts, and contracts of the former South Carolina Reinsurance Facility, and its prior rules and regulations are adopted and effective until any relevant changes are approved by the governing board of the Underwriting Association. Additionally, the governing board members of the former Reinsurance Facility at the effective date of this section immediately become the members of the governing board of the Underwriting Association to serve until the expiration of their prior appointment. Insurers who were members of the former Reinsurance Facility at the effective date of this section immediately become participating members of the Underwriting Association as required under Section 38-77-520 with any and all obligations to the former Reinsurance Facility to continue with the Underwriting Association.

Any assumed, outstanding operating deficit of the former South Carolina Reinsurance Facility at the effective date of this section must be recouped as provided by law and regulation prior to the effective date of this section, with the exception that the governing board of the Underwriting Association may develop and implement a plan to level remaining recoupment charges and extend the recoupment period. Any assumed operating surplus will be retained by the Underwriting Association."

SECTION     17.     Section 38-77-520 of the 1976 Code is amended to read:

"Section 38-77-520.     No automobile insurer may be licensed to transact automobile insurance in this State unless it becomes a participating member of the Facility Underwriting Association with respect to automobile insurance and thereafter continues participation so long as it transacts automobile insurance in this State. Every member is bound by the plan of operation of the Facility Underwriting Association as approved or promulgated by the commissioner and by any rules the governing board of the Facility Underwriting Association lawfully prescribes.

If the authority of an insurer to transact automobile insurance in this State terminates for any reason its obligations as a member of the Facility Underwriting Association nevertheless continue until all obligations have been fulfilled and the commissioner has so found and certified to the governing board of the Facility Underwriting Association.

If an insurer merges into or consolidates with another insurer authorized to transact automobile insurance in this State, or another insurer authorized to transact automobile insurance in this State has reinsured the insurer's entire automobile insurance business in this State, both the insurer and its successor or the assuming reinsurer, as the case may be, are liable for the insurer's obligations in respect to the Facility Underwriting Association.

Any unsatisfied net liability to the Facility Underwriting Association of an insolvent insurer which is a member of the Facility Underwriting Association must be assumed by and apportioned among the remaining members in the same manner in which assessments or gain and loss are apportioned. The Facility Underwriting Association thereupon acquires and has all rights and remedies allowed by law in behalf of the
remaining members against the estate or funds of the insolvent insurer for sums due the Facility Underwriting Association."

SECTION     18.     Section 38-77-530 of the 1976 Code is amended to read:

"Section 38-77-530.     The plan of operation of the Facility is subject to the Commissioner's approval which may be granted only if the plan provides for equitable apportionment of the operating expenses and profits or losses among the members. The plan may, if the Commissioner considers it feasible and equitable, make provision for separate apportionments between private passenger automobile insurance business and commercial automobile insurance business, or, alternatively or in addition to that division, the plan may make provision for separate apportionments between automobile liability insurance business, including medical payments and uninsured motorist insurance, and automobile physical damage insurance business. Any such apportionments shall give consideration to a comparison between the writings or car-year exposures of each insurer of automobile insurance and the total writings or car-year exposures of all automobile insurers or, in the case of any separate apportionments approved by the Commissioner, a comparison between the writings or car-year exposures of each insurer within the applicable division of automobile insurance and the writings or car-year exposures of all insurers within that division.

In connection with his approval of the plan, the Commissioner may require that the plan make provision for such comparisons for a one-year period or for a longer period not to exceed five years and may provide for weighting the experience so as to attach a greater weight to the more recent experience.

In connection with the approval of the plan's provisions respecting equitable apportionment of the operating expenses or gains or losses of the Facility, the Commissioner may require that the plan make provision for a comparison between each insurer's percentage of the aggregate written premiums or car-year exposures respecting automobile insurance or any such division thereof and the insurer's percentage of total cessions to the Facility of such insurance or division thereof so as to provide that the insurer's portion of the operating expenses or gains or losses must be the average of the two percentages; or the Commissioner may approve or require any other similar or comparable provision for the apportionment of the expenses or gains or losses of the Facility which relates insurers' shares to their respective utilization of the Facility.

The plan of operation of the Underwriting Association is subject to the commissioner's approval which may be granted only if the plan provides for equitable apportionment of the operating expenses and profits or losses among the members. The plan may, if the commissioner considers it feasible and equitable, make provision for separate apportionments between private passenger automobile insurance business and commercial automobile insurance business. Any such plan of apportionment of operating expenses, gains, or losses shall give consideration between the writings and car-year exposures of each insurer of automobile insurance in South Carolina. The clean risk subsidy as defined in this chapter shall be applied as operating income in determining the experience of individual private passenger automobile insurance risks within the Underwriting Association. Any net gains of the Underwriting Association attributed to the experience with individual private passenger automobile insurance shall be used to reduce the clean risk subsidy.

In connection with his approval of the plan, the commissioner may require that the plan make provision for such comparisons for a one-year period or for a longer period not to exceed five years and may provide for weighting the experience so as to attach a greater weight to the more recent experience. The commissioner may approve or require a provision for the apportionment of the expenses or gains or losses of the Underwriting Association which relates to insurers respective utilization of the Underwriting Association so as to increase the apportionment to insurers who over-utilize the Underwriting Association."

SECTION     19.     Section 38-77-540 of the 1976 Code is amended to read:

"Section 38-77-540.     The ceding insurer shall transfer or credit to the Facility on any policy of automobile insurance reinsured by the Facility the pure loss component of its rate or premium charge together with the profit and contingency component of the rate or premium charge as determined under its rating plan or system as filed with the Department. The ceding insurer shall retain as and for its ceding commission the allocated loss adjustment expense component as well as the underwriting and administrative expense components of the rate or premium charge under ceding insurer's rating plan or system as filed with the Department. However, no ceding insurer may include in the agents' commissions component of its underwriting expenses any amount greater than it has actually paid its agent as commission on the reinsured risk.

The Underwriting Association shall accept the transfer of risk on any policy of automobile insurance at the option of an insurer but only at the rate or premium charge as determined under the rating plans established by the governing board and approved by the commissioner, subject, however, to Section 38-77-950 regarding reasonable utilization of the Underwriting Association by member companies. The rate plans for the Underwriting Association are subject to the commissioner's approval which may be granted only if the plan is consistent with and provides for the following:

(a)     The rate or premium charge for drivers of private passenger automobiles subject to the merit rating plan who have no merit rating plan points shall be the bureau rate as defined in this chapter, with the exception that the safe driver discount must be removed from the rate or premium calculation for any driver who has held a valid driver's license less than three years or for any applicant for automobile insurance who cannot show valid proof of twelve months prior, continuous automobile liability insurance coverage on vehicles owned by the applicant at the date of application; however, a lapse of coverage for five days or less shall not cause the loss of the safe driver discount.

(b)     The rate or premium charge for drivers of private passenger automobiles subject to the merit rating plan who have one merit rating plan point shall be the bureau rate prior to the application of the safe driver discount.

(c)     The rate or premium charge for drivers of private passenger automobiles subject to the merit rating plan who have two or more merit rating plan points shall be determined by the actual experience of all individual private passenger automobile insurance risks within the Underwriting Association with due consideration to the clean risk subsidy in accordance with the plan of operation described under Section 38-77-530.

(d)     The rate or premium charge for commercial risks shall be the applicable Insurance Service Office (ISO) rates approved by the department. Where ISO has filed only the pure loss costs component, the governing board shall file an expense component for use in developing a final rate.

The Underwriting Association shall make applicable rate filings annually with the exception of the rate plan for multiple point drivers which rate revisions may be filed every six months at the option of the governing board. An insurer may elect to utilize the rate plans of the Underwriting Association for an applicant or for an existing policyholder, on renewal, in lieu of the insurer's own individually filed and approved rates and not transfer the risk under that policy of automobile insurance to the Underwriting Association.

An insurer shall transfer or credit to the Underwriting Association on any policy of automobile insurance transferred to the Underwriting Association for shared risk pooling the pure loss component of the rate or premium charge as determined under the Underwriting Association's rating plan as filed with the department. The insurer, unless contracted pursuant to Section 38-77-590, shall retain as and for its commission the lesser of either the allocated loss adjustment expense and expense component of the rate or premium charge under the Underwriting Association's rating plan as filed with the department or an amount equal to the insurer's own filed allocated loss adjustment expense component and expense component with any remainder transferred or credited to the Underwriting Association. Insurers contracted pursuant to Section 38-77-590 shall retain as and for its commission the allocated loss adjustment expense component and expense component of the rate or premium charge under the Underwriting Association's rating plan as filed with the department."

SECTION     20.     Section 38-77-550 of the 1976 Code is amended to read:

"Section 38-77-550.     Reinsurance of a policy of automobile insurance with the Facility does not create a privity of contract or any other direct relationship between the policyholder of the reinsured policy and the Facility. The contractual or other legal rights of the insured and insurer are not affected by the reinsurance. The transfer of risk under a policy of automobile insurance to the Underwriting Association for shared risk pooling does not create a privity of contract or any other direct relationship between the policyholder and the Underwriting Association. The contractual or other legal rights of the insured and insurer are not affected by the transfer."

SECTION     21.     Section 38-77-560 of the 1976 Code is amended to read:

"Section 38-77-560.     An insurer ceding reinsurance to the Facility on automobile insurance policies shall receive credit by way of deduction from its unearned premium liability as calculated in accordance with Section 38-9-170. However, reinsurance with the Facility may not be deducted for purposes of the limitations-of-risk provisions of Section 38-55-30. An insurer transferring risks on automobile insurance policies to the Underwriting Association shall receive credit by way of deduction from its unearned premium liability as calculated in accordance with Section 38-9-170."

SECTION     22.     Section 38-77-570 of the 1976 Code is amended to read:

"Section 38-77-570.     The funds and reserves of the Facility must be invested in lawful investments permitted to property and casualty insurers under the laws and regulations governing investments of property and casualty insurers. In determining the net profit or loss resulting from the operations of the Facility, all investment income and profits must be taken into consideration. No distribution of the funds, assets, property, or profits of the Facility may be made except pursuant to the Commissioner's written order. The funds and reserves of the Underwriting Association must be invested in lawful investments permitted to property and casualty insurers under the laws and regulations governing investments of property and casualty insurers. In determining the net profit or loss resulting from the operations of the Underwriting Association all investment income and profits must be taken into consideration. No distribution of the funds, assets, property, or profits of the Underwriting Association may be made except pursuant to the commissioner's written order unless otherwise permitted under this chapter."

SECTION     23.     Section 38-77-580 of the 1976 Code, as last amended by Act 248 of 1991, is further amended to read:

"Section 38-77-580.     The operations and affairs of the facility Underwriting Association are under the direction and control of a governing board of nineteen persons of whom four must be residents of South Carolina appointed by the Governor of South Carolina to represent consumers. The commissioner shall appoint eight persons to represent the insurance industry; in appointing these persons, the commissioner shall select two from a list of not less than five nominated by the American Insurance Association from the officers or employees of insurers licensed in South Carolina and which are members or subscribers of that organization; he shall select two from a list of not less than five persons nominated by the American Mutual Insurance Alliance from the officers or employees of insurers licensed in South Carolina and which are members or subscribers of that organization; he shall select two from a list of not less than five persons nominated by the National Association of Independent Insurers from the officers or employees of insurers licensed in South Carolina and which are members or subscribers of that organization; he shall select two persons, one of whom must be an officer or employee of a stock insurer licensed in South Carolina and not a member or subscriber of any of these organizations, and one of whom must be an officer or employee of a nonstock insurer licensed in South Carolina and not a member or subscriber of any of these organizations; however, of the eight persons appointed to represent the insurance industry, not less than five must be residents of South Carolina and those who are not residents of South Carolina must have job responsibilities that include the supervision over South Carolina operations; not less than two must be officers or employees of insurers licensed to transact automobile insurance in South Carolina and domiciled therein. The commissioner shall appoint four persons to represent producers, all of whom must be residents of South Carolina; he shall select two such persons from a list of not less than five nominated by the stock agents' association and two from a list of not less than five persons nominated by the mutual agents' association. The commissioner shall appoint two persons to represent the designated servicing agents, one of whom must be an officer of a premium service finance company and the other of whom must be a designated servicing agent and both of whom must be residents of South Carolina. In addition the Consumer Advocate is an ex-officio member of the governing board of the Reinsurance Facility Underwriting Association. No person who is associated with any business within the meaning of Section 8-13-20, which is either subject to regulation by the Department of Insurance or which provides goods or services to the facility Association for compensation, is eligible for appointment to the board to represent consumers, except that any person serving on the board representing consumers on the effective date of this provision who would otherwise be disqualified from serving based on this provision may continue to serve for the remainder of his current term.

The commissioner is chairman of the board, ex officio, but has no vote except in the case of a tie. The commissioner, or his designated representative, shall preside over all meetings which must be held not less than quarterly in South Carolina at the times and places the commissioner designates. However, upon the filing with the commissioner of a request for a meeting signed by not fewer than five members of the board and specifying the subjects to be discussed at the proposed meeting, the commissioner shall call a special meeting of the board to be held not less than fifteen nor more than thirty days after receipt of the request. Notice, in writing, of the special meeting must be provided members of the board.     Members of the board shall serve one year or until their successors are appointed and have qualified.

Amendment of the plan of operation may be made only at the annual meeting of the board or at a special meeting called by the commissioner for that purpose and so specified in the notice of meeting. Amendments of the plan require the affirmative vote of two-thirds of all the board members and are subject to the commissioner's approval. The commissioner may approve amendments only if they are consistent with the purposes of this chapter. If the consumer-representative members of the board unanimously dissent from a proposed amendment and specify their reasons for dissent in writing, the commissioner may not approve the amendment until after a public hearing addressed to the reasons for the dissent.

The commissioner may make provision for voting by proxy at meetings.

The commissioner may propose to the board any amendment to or modification of the plan that the commissioner considers to be necessary to render the plan reasonable or consistent with the purposes of this chapter, specifying in writing the reasons for any proposed amendment or modification. In the event that the board fails to adopt his proposed amendment or modification, the commissioner may, after notice and public hearing addressed to the reasons for the proposed amendment or modification, promulgate the amendment or modification considered necessary to render the plan reasonable or consistent with the purposes of this chapter."

SECTION     24.     Section 38-77-585 of the 1976 Code, as added by Act 557 of 1990, is amended to read:

"Section 38-77-585.     Any insurer designated contracted pursuant to Section 38-77-590(a) is entitled to appoint an officer or employee to the governing board of the Reinsurance Facility Underwriting Association if not otherwise represented on the governing board pursuant to Section 38-77-580. Any member of the governing board representing an insurer so designated contracted must abstain from casting a vote on any matter which would have a material effect on the operations of that insurer as it relates to the affairs of the insurer acting as a designated contracted insurer for the Reinsurance Facility Underwriting Association."

SECTION     25.     Section 38-77-590 of the 1976 Code, as last amended by Act 524 of 1990, is further amended to read:

"Section 38-77-590.     (a)     Not more than six months after July 9, 1974, or at an earlier time as the Commissioner considers necessary by reason of complaints regarding want of access to automobile insurance in particular areas or want of outlets for producers, the Commissioner shall survey the various areas of the State to ascertain if sufficient marketing outlets exist in all areas or are available to all producers. Upon a finding by the Commissioner that insufficient marketing outlets exist in particular areas or that certain producers have been deprived of a market for risks previously serviced by them, the Commissioner may, after consultation with the Facility, designate one or more insurers to service the areas through agents appointed by them or may designate the producers as the agents of any insurer. The arrangements shall include provision for one hundred percent quota share reinsurance through the Facility of any automobile insurance policy marketed through the arrangements, at the option of the insurer, and the reinsurance is not subject to the statutory provisions or regulations regarding excessive utilization of the Facility.

The governing board of the Underwriting Association shall contract with insurers meeting eligibility requirements promulgated by the governing board to act as servicing carriers for the writing of automobile insurance through producers assigned to the servicing carrier by the governing board. The servicing carriers shall not be subject to the statutory provisions or regulations regarding excessive utilization of the Underwriting Association for shared risk pooling. The servicing carrier shall transfer the risk on every policy of automobile insurance produced by its assigned servicing agents to the Underwriting Association. Servicing carriers and their assigned servicing agents may not nonrenew or refuse to write any policy of automobile insurance for individual private passenger automobile and small commercial risks as defined in this chapter.

(b)     After the effective date of this section, those producers previously designated by the Commissioner may continue to serve in that capacity under the jurisdiction and control of the governing board of the Facility, except that any change in the rate of commissions allowed designated producers is subject to the Commissioner's approval. The governing board of the Underwriting Association shall assume and renew the contracts of servicing carriers previously contracted with the former South Carolina Reinsurance Facility prior to the creation of the South Carolina Automobile Underwriters Association. Producers previously designated to a servicing carrier by the commissioner or the governing board of the former reinsurance facility must remain assigned to that servicing carrier until and unless the producer's written request to change the assignment is approved by the governing board of the Underwriting Association.

(c) A producer may be designated by the governing board of the Facility upon application for designation and is eligible for designation upon a finding by the governing board that the applicant meets the following qualifications: A producer may apply to the governing board for assignment to a servicing carrier and is eligible for assignment upon a finding by the governing board that the applicant meets the following qualifications:

(1)     The applicant has been, for ten five continuous years, a licensed resident property and casualty insurance agent and is at the time of application an agency owner or principal associated with an agency which has been actively in business for five years with authority from one or more licensed insurers to write liability and physical damage insurance on private passenger automobiles;

(2)     At the time of application the applicant is servicing and owns the renewals on private passenger and commercial automobile insurance business, the net premiums on which exceeded seventy-five thousand dollars of potential cedeable automobile insurance during any one of the previous five calendar years preceding the application; At the time of application the applicant is servicing and owns the renewals on private passenger and commercial automobile insurance business, the net premiums on which exceeded one hundred thousand dollars during any one of the previous five calendar years preceding the application; and

(3)     Neither the applicant, nor any employee of the applicant or the applicant's corporate agency, nor any partner or shareholder in any related insurance agency, related premium service company, or related other business, has any direct or indirect connection with any voluntary market outlet for the purpose of writing any type of automobile insurance in this State except for motorcycle insurance and types not cedeable to the facility;

(4)     The applicant has not contributed to his termination as agent by any insurer because of any illegal breach of agency agreement or other related, improper, or unethical conduct; and

(5)     The books, records, and accounts of the insurance business of the applicant have been audited at the expense of the applicant and found by the governing board to be indicative of a financially sound operation.

(d)     Prior to designation the assignment as a producer, the applicant shall furnish at his expense a bond in an amount of not less than fifty thousand dollars for the faithful performance of the duties as a producer, executed by the applicant as principal and a corporate surety licensed to do business in this State as surety, and shall also have effective errors and omissions insurance by an insurer licensed to do business in this State, with the bond and errors and omissions insurance being subject to approval by the governing board.

(e) The governing board shall assign a specific location to each producer designated. The governing board shall determine from the commissioner the locations assigned by him to those producers whom the commissioner has designated. Designated producers may not open or maintain any other locations without the written authorization of the governing board; provided, however, that an applicant maintaining multiple offices on June 4, 1987, is entitled to maintain two locations as a designated agent which he owned and operated at that time and through which premiums in at least the amount of seventy-five thousand dollars were written. The governing board shall terminate the designation, and the commissioner shall revoke all agents' licenses of any producer who does not comply with this requirement upon demand by the governing board. Upon termination, the producer's expirations on designated business become the property of the facility. Producers assigned to a servicing carrier may not open or maintain more than two locations without the written authorization of the governing board. The governing board shall terminate the assignment of any servicing agent who does not comply with this requirement upon demand by the governing board.

(f)     The designation of a producer by the Commissioner or the governing board is transferable to a spouse, child, parent, brother, or sister of the producer upon the designated producer's retirement, incapacity, or death. The duties of a designated producer may be performed by one or more qualified employees of the producer or the producer's corporate agency. The assignment of a producer to a servicing carrier by the governing board is transferable to a spouse, child, parent, brother, or sister of the producer upon the producer's retirement, incapacity, or death. The duties of the producer may be performed by one or more qualified employees of the producer or the producer's corporate agency.

(g) Neither a designated producer, nor any employee of a designated producer or the producer's corporate agency, nor any partner or shareholder in any related insurance agency, related premium service company, or related other business, may have any direct or indirect connection with any voluntary market outlet for the purpose of writing any type of automobile insurance in this State except for motorcycle insurance and types not cedeable to the Facility. The governing board shall terminate the designation of any producer, and the Commissioner shall revoke all licenses of the producer and of any other insurance agent and premium service company knowingly involved in this connection. Upon termination, the producer's expirations on designated business become the property of the Facility.

(h) (g)     A designated servicing carrier who fails a claims audit shall have no new designated producer servicing agent assignments until the time it passes a reaudit within a reasonable time prescribed by the governing board. If this carrier fails two claims audits, including a reaudit, within any three-year period that carrier is disqualified for renewal of its contract with the facility association upon expiration of its existing contract."

SECTION     26.     Section 38-77-630 of the 1976 Code, as last amended by Act 148 of 1989, is further amended to read:

"Section 38-77-630.     (A)     A policy, other than a renewal policy, may be ceded to the South Carolina Reinsurance Facility only when the application is accompanied by either a renewal notice from another insurer or a motor vehicle report (MVR), issued at the point of sale, together with the full premium correctly reflecting the facts shown on the MVR or consistent with the premium quoted in the renewal notice. A risk, other than at renewal, may be transferred to the Underwriting Association only when the application is accompanied by either a renewal notice from another insurer or a motor vehicle report (MVR) issued at the point of sale, together with the full premium correctly reflecting the facts shown on the MVR or consistent with the premium quoted in the renewal notice.

(B)     To facilitate compliance with this requirement, a carrier shall require an applicant other than a renewal applicant, to obtain the MVR or a renewal notice from the insurance carrier who provided the insurance coverage then in effect and present it to the agent upon making an application. In those cases, the applicant must be credited for the amount paid for the MVR.

(C)     In the case of an applicant who holds a valid driver's license from another state but is not yet licensed in this State, a copy of this out-of-state driver's license may be submitted with the application in lieu of the MVR or renewal notice above required in this section. The MVR, renewal notice, or copy of the applicant's driver's license, as applicable, must be kept with the application by the carrier in the manner the facility Underwriting Association requires.

SECTION     27.     Section 38-77-910 of the 1976 Code is amend by adding:

"Any violation of this section or the prohibition against discriminatory underwriting practices as described under Section 38-77-110 may be cause for revocation or suspension of the insurer's or agent's license by the commissioner. Upon a complaint being filed alleging discrimination, the complaint shall be referred to the Office of the Consumer Advocate who shall investigate it and report his findings to the commissioner for appropriate action."

SECTION     28.     Section 38-77-920 of the 1976 Code, as last amended by Act 148 of 1989, is further amended to read:

"Section 38-77-920.     Except as provided for in Section 38-77-110 and as is specifically provided for otherwise by law, no automobile insurer may refuse acceptance of automobile insurance for an insurable risk from any applicant nor require that certain classes or types of risks be placed through some particular agent or employee. This section is not intended to preclude any insurer from recognizing and giving effect to the property rights of agents in expirations or renewals.

No agent who represents more than one insurer of automobile insurance may refuse to accept in behalf of an insurer represented by him automobile insurance for an insurable risk where the applicant for insurance designates by name or description the insurer of his choice. If the applicant relies upon the skill and judgment of the agent to place the risk in any insurer represented by the agent, the agent may place the risk in the insurer which he considers appropriate. No insurer may agree, collude, or conspire with an agent or give, offer, or promise an agent anything of value to place any risk or any class or type of risk under such circumstances in another insurer. Every such agreement is utterly void and every act of collusion or conspiracy constitutes an act of unfair competition by both the insurer and agent which, if proved, must result in the suspension or revocation of the license of each for not less than one year, in addition to any other penalties or liabilities applicable.

No insurer may agree, collude, or conspire with an agent or give, offer, or promise an agent anything of value to place any risk or any class or type of risk in another insurer. Every such agreement is utterly void and every act of collusion or conspiracy constitutes an act of unfair competition by both the insurer and agent which, if proved, shall result in the suspension or revocation of the license of each for not less than one year, in addition to any other penalties or liabilities applicable.

No automobile insurer authorized to transact automobile insurance in this State which offers automobile insurance through the mails or uses the mails in transacting automobile insurance on insurable risks situate in this State may restrict its mailings or offerings to certain counties, areas, or zip-code territories of this State. The commissioner is directed to examine an insurer's records at any time the commissioner considers it necessary to determine that the insurer is not so restricting or limiting its offerings."

SECTION     29.     Section 38-77-940 of the 1976 Code is amended to read:

"Section 38-77-940.     No insurer of automobile insurance shall directly or indirectly by offer or promise of reward or imposition or threat of penalty or through any artifice or device whatsoever, confer any benefit upon any agent or impose any detriment upon any such agent for the purpose of avoiding any class or type of automobile insurance risk which the insurer considers it necessary to reinsure in the Facility transfer to the Underwriting Association; nor shall any offer or promise of reward or imposition or threat of penalty in connection with any other line or type of insurance be so tied to automobile insurance as to have a tendency to induce the agent to avoid any such class or type of automobile insurance risk; nor shall any insurer of automobile insurance provide to agents, directly or indirectly, orally or in writing, any listing of classes or types of automobile insurance risks which it considers necessary to reinsure in the Facility; nor shall any insurer of automobile insurance terminate its insurance business with any one agent over the writing of certain classes or types of automobile insurance risks without also pulling out of the entire State or terminating its similar insurance business with all other agents in the State at the same time for a period of time of at least 365 days, except that if the insurer reinstates the agent within thirty days of the determination that the termination was unlawful, then this provision shall not apply; nor shall any insurer of automobile insurance do anything unfair, or unfairly fail to do anything, which has the effect of, or which results in, causing any ceded transferable insurance business to have a detrimental effect on any incentive bonuses paid by the insurer to agents. Any act in violation of this section constitutes an act of unlawful discrimination and unfair competition which, if wilful, shall result in the suspension or revocation of the insurer's certificate of authority for not less than twelve months. Any agreement made in violation of this section shall be void.

Nothing in this section may be considered to preclude or impair agreements between insurers and their agents or some of their agents to pay contingency commissions or a profit-sharing bonus based upon the quality of business; nor shall the insurers, in any manner, use that business placed in the Facility Underwriting Association when determining the quality bonus; nor may it be considered to preclude an agreement between any agent and an insurer of automobile insurance to exclude from any profit-sharing or contingency arrangement automobile insurance business coming unsolicited to the agent and written by him solely because of the mandate of coverage provided in this chapter prohibition against discriminatory underwriting practices described in Section 38-77-110.

No insurer of automobile insurance shall cancel its representation by an agent primarily because of the volume of automobile insurance placed with it by the agent on account of the statutory mandate of coverage prohibition against discriminatory underwriting practices nor because of the amount of the agent's automobile insurance business which the insurer has considered it necessary to reinsure in the Facility transfer to the Underwriting Association."

SECTION     30.     Section 38-77-950 of the 1976 Code, as last amended by Act 113 of 1991, is further amended to read:

"Section 38-77-950.     It is the intent of this chapter that the facility Underwriting Association must not be excessively nor unreasonably utilized by automobile insurers for unfairly competitive purposes or for purposes of unfairly discriminating against certain classes or types of automobile insurance risks having the same or similar objective risk characteristics as other risks in the same class under the rating plan for the classification of risks promulgated by the department, nor for the purpose of discriminating against the risks or risks in certain rating territories. The commissioner shall prohibit unreasonable or excessive utilization of the facility Underwriting Association.

A prima facie case of excessive or unreasonable utilization is established upon a showing that an automobile insurance insurer or a group of insurers under the same management has ceded or is about to cede more than thirty-five percent of total direct cedeable written premiums on South Carolina automobile insurance as reported in the most recently filed annual statement of the insurer or group.

A prima facie case of excessive or unreasonable utilization shall be established upon a showing that an automobile insurance insurer or group of such insurers under the same management has transferred or is about to transfer to the Underwriting Association for shared risk pooling policies whose combined premiums are more than thirty-five percent of total direct written premiums on South Carolina automobile insurance as reported in the most recently filed annual statements of such insurer or group.

Upon the written request of the policyholder, insurance companies doing business in this State shall give written notice to the policyholder informing him whether or not he and a driver under the policy is in the facility. Insurers shall give written notice to the policyholder of a risk ceded to the facility which does not qualify for the safe driver discount in Section 38-73-760(e)."

SECTION     31.     Section 38-77-960 of the 1976 Code is amended to read:

"Section 38-77-960.     When dealing with the agents of the company, who are licensed to sell automobile insurance, the company may not use any of the business placed in the facility in determining the profitability of that agent's business. Further, the company shall not ask any agent that agent's business. Further, the company shall not ask any agent not to write any kind of automobile business or hold the Facility business against any agent in any manner which could be construed as being detrimental to the agent.

When dealing with the agents of the company, who are licensed to sell automobile insurance, the company may not use any business transferred to the Underwriting Association in determining the profitability of that agent's business. Further, the company shall not hold the business transferred to the Underwriting Association against any agent in any manner which could be construed as being detrimental to the agent."

SECTION     32.     Section 38-73-10(a)(3) of the 1976 Code is amended to read:

"(3)     provide that investment income accruing to automobile insurers is taken into consideration in the approval of rates or premium charges and in the determination of any net loss incurred by the South Carolina Reinsurance Facility South Carolina Automobile Underwriters Association and to make provision for the securing by the department of all necessary or appropriate financial data for purposes of ascertaining and determining the investment income and the profits from realized and unrealized capital gains of each automobile insurer doing business in this State."

SECTION     33.     Section 38-73-455 of the 1976 Code, as last amended by Act 113 of 1991, is further amended to read:

"Section 38-73-455.     An automobile insurer shall offer two different rates for automobile insurance, a base rate as defined in Section 38-73-457 and an objective standards rate which is twenty-five percent above the base rate. Both of these rates are subject to all surcharges or discounts, if any, applicable under any approved merit rating plan, credit or discount plan promulgated or approved by the Commissioner.

Applicants, or a current policyholder, seeking automobile insurance with an insurer must be written at the base rate, unless one of the conditions or factors in subitems (1) through (8) of item (A) is present.

(A)     The named insured or any operator who is not excluded in accordance with Section 37-77-340 and who resides in the same household or customarily operates an automobile insured under the same policy, individually:

(1)     has obtained a policy of automobile insurance or continuation thereof through material misrepresentation within the preceding thirty-six months; or

(2)     has had convictions for driving violations on three or more separate occasions within the thirty-six months immediately preceding the effective date of coverage as reflected by the motor vehicle record of each insured driver as maintained by the Department of Highways and Public Transportation; or

(3)     has had two or more "chargeable" accidents within the thirty-six months immediately preceding the effective date of coverage. A "chargeable" accident is defined as one resulting in bodily injury to any person in excess of three hundred dollars per person, death, or damage to the property of the insured or other person in excess of seven hundred fifty dollars. Accidents occurring under the circumstances enumerated below are not considered chargeable.

(a)     The automobile was lawfully parked. An automobile rolling from a parked position is not considered as lawfully parked but is considered as operated by the last operator.

(b)     The applicant or other operator or owner was reimbursed by or on behalf of a person responsible for the accident or has a judgment against this person.

(c)     The automobile of an applicant or other operator was struck in the rear by another vehicle and the applicant or other operator has not been convicted of a moving traffic violation in connection with the accident.

(d)     The operator of the other automobile involved in the accident was convicted of a moving traffic violation and the applicant or other operator was not convicted of a moving traffic violation in connection therewith.

(e)     An automobile operated by the applicant or other operator is damaged as a result of contact with a "hit and run" driver, if the applicant or other operator so reports the accident to the proper authority within twenty-four hours or, if the person is injured, as soon as the person is physically able to do so.

(f)     Accidents involving damage by contact with animals or fowl.

(g)     Accidents involving physical damage, limited to and caused by flying gravel, missiles, or falling objects.

(h)     Accidents occurring as a result of the operation of any automobile in response to an emergency if the operator at the time of the accident was responding to a call of duty as a paid or volunteer member of any police or fire department, first aid squad, or any law enforcement agency. This exception does not include an accident occurring after the emergency situation ceases or after the private passenger motor vehicle ceases to be used in response to the emergency; or

(4)     has had one "chargeable" accident and two convictions for driving violations, all occurring on separate occasions, within the thirty-six months immediately preceding the effective date of coverage as reflected by the motor vehicle record of each insured driver as maintained by the Department of Highways and Public Transportation; or

(5)     has been convicted of or forfeited bail during the thirty-six months immediately preceding the effective date of coverage for operating a motor vehicle while in an intoxicated condition or while under the influence of drugs; or

(6)     has been convicted or forfeited bail during the thirty-six months immediately preceding the effective date for:

(a)     any felony involving the use of a motor vehicle,

(b)     criminal negligence resulting in death, homicide, or assault arising out of the operation of a motor vehicle,

(c)     leaving the scene of an accident without stopping to report,

(d)     theft or unlawful taking of a motor vehicle,

(e)     operating during a period of revocation or suspension of registration or license,

(f)     knowingly permitting an unlicensed person to drive,

(g)     reckless driving,

(h)     the making of material false statements in the application for licenses or registration,             (i)     impersonating an applicant for license or registration or procuring a license or registration through impersonation, whether for himself or another,

(j)     filing of a false or fraudulent claim or knowingly aiding or abetting another in the presentation of such a claim,

(k)     failure to stop a motor vehicle when signaled by means of a siren or flashing light by a law enforcement vehicle; or

(7)     has for thirty or more consecutive days during the twelve months immediately preceding the effective date of coverage, owned or operated the automobile to be insured (or if newly acquired, the automobile it replaces) without liability coverage in violation of the laws of this State; or

(8)     has used the insured automobile as follows or if the insured automobile is:

(a)     used in carrying passengers for hire or compensation, except that the use of an automobile for a car pool must not be considered use of an automobile for hire or compensation,

(b)     used in the business of transportation of flammables or explosives,

(c)     used in illegal operation, or

(d)     no longer principally used and garaged within the State, but not to include students who are operating a motor vehicle registered in this State while attending an institution located in another state.

(B) In the event that one or more of the conditions or factors prescribed in items (1) through (8) of subsection (A) exist, the motor vehicle customarily operated by that individual must be written at the objective standards rate.

(C) Member companies of an affiliated group of automobile insurers may not utilize different filed rates for automobile insurance coverages which they are mandated by law to write. For the purpose of this section, an affiliated group of automobile insurers includes a group of automobile insurers under common ownership, management, or control. Those automobile insurers designated pursuant to Section 38-77-590(a), for automobile insurance risks written by them through producers designated by the facility governing board pursuant to that section, shall utilize the rates or premium charges by coverage filed and authorized for use by the rating organization licensed by the commissioner pursuant to Article 11, Chapter 73 of this title, which has the largest number of members or subscribers for automobile insurance rates. However, those automobile insurers designated pursuant to Section 38-77-590(a) are not required to use those same rates or premium charges described in the preceding sentence for risks written by them through their authorized agents not appointed pursuant to Section 38-77-590.

(D) An automobile insurance policy may be endorsed at any time during the policy period to reflect the correct rate or premium applicable by reason of the factors or conditions described in subsection (A) which existed prior to the commencement of the policy period in which the endorsement is made, regardless of whether the factors or conditions were known or disclosed to the insurer at the commencement of the policy period. However, no policy may be endorsed during a policy period to reflect factors or conditions occurring during that policy period. A policy may be endorsed during a policy period to recognize the addition or deletion of an operator or vehicle.

(E) For purposes of determining the applicable rates to be charged an insured, an automobile insurer shall obtain and review an applicant's motor vehicle record.

An automobile insurer shall file and offer for automobile insurance a rate as defined in Section 38-73-457, which rate is subject to all surcharges or discounts, if any, applicable under any approved merit rating plan, credit or discount plan promulgated or approved by the commissioner. Additionally, an automobile insurer may utilize and offer at its option on policies not transferred to the South Carolina Automobile Underwriters Association for shared risk pooling the final rate or premium charges approved by the commissioner for rating plans of the Underwriting Association.

An individual insurer or member companies of an affiliated group of automobile insurers may not utilize different filed rates for automobile insurance with the exception that an insurer or different member company of an affiliated group of insurers may utilize the Underwriting Association rate or premium charges pursuant to this section. For the purpose of this section, an affiliated group of automobile insurers includes any group of automobile insurers under common ownership, management, or control. Those automobile insurers contracted pursuant to Section 38-77-590(A), for automobile insurance risks written by them through producers assigned by the governing board of the Underwriting Association pursuant to that same section, shall utilize the rates or premium charges by coverage filed and authorized for use by the Underwriting Association pursuant to Section 38-73-1420. However, those automobile insurers contracted pursuant to Section 38-77-590(A) are not required to use those same rates or premium charges described in the preceding sentence for risks written by them through their duly authorized agents not assigned pursuant to Section 38-77-590 on policies not transferred to the Underwriting Association for shared risk pooling.

No policy may be endorsed during a policy period to reflect factors or conditions occurring during that policy period. A policy may be endorsed during a policy period to recognize the addition or deletion of an operator or vehicle.

For purposes of determining the applicable rates to be charged an insured, an automobile insurer shall obtain and review an applicant's motor vehicle record."

SECTION     34.     Section 38-73-457 of the 1976 Code is amended to read:

"Section 38-73-457.     Notwithstanding Sections 38-73-920 and 38-73-1210, every automobile insurer and rating organization shall, prior to October 1, 1987, file with the Commissioner a base rate, which is defined as a rate by coverage calculated solely upon the experience generated by the risk for each class and territory retained by the insurer in its voluntary book of business and which must not include experience generated by risks ceded or assumed from the Reinsurance Facility established under Section 38-73-1030. An objective standards rate by coverage must also be filed which is twenty-five percent above the base rate previously described for each class and territory. The base rate must be calculated by removing from the rate or premium charge, then in effect for the automobile insurer, that portion of the rate or premium charge attributable to the net gain or loss of the insurer as a result of participation in the operating results of the Facility as required by Section 38-77-760. In determining the base rate and objective standards rate, by coverage, the Commissioner, in order that no extra premium revenue is generated by this section, shall require that the insurer's average rate, by coverage, on October 1, 1987, (computed as a weighted average of the base rate and objective standards rate, by coverage, as determined by the Commissioner), not exceed the insurer's average rate, by coverage, prior to October 1, 1987, as determined by the Commissioner. The provisions of the Administrative Procedures Act apply to any court appeal of a base rate or objective standards rate brought thereunder. The base rate or objective standards rate approved by the Commissioner may be put into effect under bond in a similar manner that a public utility may put a proposed rate increase into effect under bond as provided by law. No insurer may file a base rate for any class or territory which is higher than the rate or premium charge, exclusive of that portion required by Section 38-73-460, approved by the Commissioner for use on October 1, 1987. As a result of this section, no insured may receive an increase in rates for other than an increase in coverage or due to the provisions of Section 38-77-280, 38-77-610, or 38-73-455, unless the insurer files additional rates in accordance with this title.

The base rate and objective standards rate filed by each insurer of automobile insurance are effective if they meet the requirements of this section, on or after July 1, 1988, for all eligible applicants and upon the renewal date, on or after July 1, 1988, for all eligible existing policyholders. If the base rate and objective standards rate filed by an automobile insurer do not meet the requirements of this section, the Commissioner shall suspend the authority of that insurer to write automobile insurance until the deficiencies are corrected.

After July 1, 1988, no rate or premium charge, exclusive of the Facility recoupment charge approved or established pursuant to Section 38-77-610 may be approved for an insurer of automobile insurance unless that rate or premium charge is calculated in accordance with this section and meets the other applicable requirements of this title pertaining to the approval of rates or premium charges.

Notwithstanding Sections 38-73-920 and 38-73-1210, every automobile insurer and rating organization shall file with the commissioner a rate for automobile insurance by coverage calculated solely upon the experience generated by the insurer in its book of business and which must not include experience generated by risks transferred to the Underwriting Association for shared risk pooling.

The Consumer Advocate, upon request to the commissioner, must be provided by him with a copy of any base rate filed with the commissioner along with any supporting materials, documents, or studies utilized to support the filed base rate. In addition, every automobile insurer and rating organization shall promptly respond to requests for information and data requested by the Consumer Advocate relating to the filed base rate. The Consumer Advocate must be afforded an opportunity for a hearing before the commissioner on any filed base rate before it takes effect that he believes does not meet the requirements of this section. Final decisions of the commissioner regarding this hearing are subject to the provisions of the State Administrative Procedures Act.

Effective October 1, 1992, the commissioner shall disallow the further use of the objective standards rate previously filed in accordance with this section; however, upon the effective date of this section nothing herein should be construed to require a rating organization, its members or subscribers, or an individual insurer to immediately refile final rates or premium charges previously approved by the commissioner and referred to as the base rate for automobile insurance coverages. Members or subscribers of a rating organization or individual insurers are authorized to continue to use those base rates approved before the effective date of this section."

SECTION     35.     Section 38-73-460 of the 1976 Code is amended to read:

"Section 38-73-460. In the making and approval of rates for automobile insurance, consideration must be given to the net gains or losses incurred by insurers as a result of participation in the operating results and expenses, respectively, of the South Carolina Reinsurance Facility Automobile Underwriters Association."

SECTION     36.     Section 38-73-520 of the 1976 Code is amended to read:

"Section 38-73-520.     With the exception of an insurer's use of the rate plans of the South Carolina Automobile Underwriters Association pursuant to Section 38-73-455, Every every insurer shall file with the commissioner every manual of classifications, rules, and rates, every rating plan, and every modification of any of the foregoing which it proposes to use. Every filing shall state the proposed effective date thereof and shall indicate the character and extent of the coverage contemplated."

SECTION     37.     Section 38-73-735 of the 1976 Code, as last amended by Act 148 of 1989, is further amended to read:

"Section 38-73-735.     In addition to risk and territorial classification plans promulgated or approved under Section 38-73-730, the commissioner may promulgate plans to afford credits or discounts to automobile insureds, or he may approve the credit or discount plans filed with him by insurers of automobile insurance. No automobile insurance credit or discount plan may be promulgated or approved by the commissioner unless: (1) the criteria for determining eligibility for credits or discounts under the plan are objective, clear, and unequivocal; (2) the criteria are based upon factually or statistically supported data; and (3) the credits or discounts provided under the plan will be afforded by the insurer on a nondiscriminatory basis to all insureds who are eligible therefor. If an insurance credit or discount plan is given to an insured pursuant to this section, the policy may be ceded to the Reinsurance Facility in accordance with the facility's plan of operation."

SECTION     38.     Section 38-73-750 of the 1976 Code, as last amended by Act 148 of 1989, is further amended to read:

"Section 38-73-750.     Automobile insurers shall file with the State Rating and Statistical Division their plans or systems for allocating expenses and profit as respects the various kinds or types of automobile insurance risks and the classes of risks thereunder. However, no plan or system may be filed which is inconsistent with the classification of risks promulgated by the commissioner. No plan or system may be filed or approved if the purpose or effect is to discriminate unfairly or unreasonably in respect to the allocation of expenses or profit between classes of risks or if the purpose or effect is to impose a burden or detriment upon the South Carolina Reinsurance Facility or to secure to the insurer using the plan or system an unfair or unreasonable competitive advantage to the detriment of the South Carolina Reinsurance Facility or other insurers. The commissioner after due notice and hearing, shall disapprove and disallow the further use of an inconsistent, discriminatory, burdensome, or competitively unfair plan or system for the allocation of expenses and profit."

SECTION     39.     Section 38-73-760(b) of the 1976 Code, as last amended by Act 148 of 1989, is further amended to read:

"(b)     The statistical plan may be promulgated so as to provide for any and all statistical and financial data necessary or appropriate to the implementation of the policy of this chapter or Chapter 77 of this title or to yield statistical data reasonably and fairly related to any of the purposes of this article, including, but not limited to, the fixing, establishing, and promulgating of risk and territorial classification plans for automobile insurance; determining the pure loss rate level indications for automobile insurance in South Carolina based upon all South Carolina loss experience and assisting in the translating of this information into usable form for insurance consumers in terms of the final rates or premium charges of each insurer of automobile insurance, determining the reasonability of loss adjustment expenses, other expenses and profit factors applied by insurers to their pure loss components in arriving at their final rates or premium charges for automobile insurance both for purposes of ensuring that the final rates or premium charges are adequate, not excessive, and not unfairly discriminatory and for ensuring that improper and undue burdens are not imposed upon the South Carolina Reinsurance Facility by way of excessive ceding commissions to ceding insurers; determining the amount, validity, and propriety of class and territorial differentials applied to the general pure loss rate levels and testing not less than annually the appropriateness of the existing differentials in the light of the most recent available loss experience data; determining the amount, validity, and propriety of surcharges and discounts referable to any uniform merit rating plan or system which may have been promulgated by the commissioner or which may be under consideration for promulgation, the appropriateness of the surcharges and discounts in the light of the most recent available loss experience data; determining the propriety or validity of any plan for the classification of risks which may be in effect or under consideration based upon the propensities of motor vehicles or classes or types of motor vehicles or their equipment to shield occupants from death or serious injury as a result of crash or based upon the relative invulnerability of the motor vehicles or classes or types of motor vehicles to extensive damage as a result of crash or their repairability at modest expense; or obtaining data relevant to studies being made or to be made by the State Rating and Statistical Division in connection with any of the foregoing or in connection with means and methods for providing appropriate rates for insurance consumers or fostering and encouraging competition among insurers."

SECTION     40.     Section 38-73-920 of the 1976 Code is amended to read:

"Section 38-73-920.     No insurer may make or issue a contract or policy except in accordance with the filings which are in effect for the insurer as provided in this chapter or in accordance with Section 38-73-1060 or Section 38-73-455 as pertaining to utilization of the Underwriting Association rate plans by insurers. Notwithstanding Section 38-73-10, item (2) of Section 38-73-330, and item (4) of Section 38-73-430, filings for property and casualty rate increases may not be approved for any insurer or rating organization for any line, sub-line, or otherwise identifiable property and casualty insurance coverage for which a rate increase has previously been granted within the immediately preceding twelve months. However, if satisfactory evidence is presented to the commissioner by an insurer or rating organization that the continued use of the previously approved rates for the line, sub-line, or otherwise identifiable property and casualty insurance coverage may result in the insolvency of an insurer, more frequent rate increases may be approved. This section does not apply to contracts or policies for inland marine risks as to which filings are not required."

SECTION     41.     Section 38-73-1420 of the 1976 Code, as added by Act 148 of 1989, is amended to read:

"Section 38-73-1420.     After June 30, 1989, the Board of Governors of the South Carolina Reinsurance Facility shall file an expense component for private passenger automobile insurance rate or premium charges after the rating organization with the largest number of members or subscribers has filed a pure loss component for private passenger automobile insurance with the commissioner. Upon the approval of such components, those automobile insurers designated pursuant to Section 38-77-590(A), for risks written by them through producers designated pursuant to that same section, shall utilize these final rate or premium charges. Automobile insurers designated pursuant to Section 38-77-590(A) are not required to use those same final rates or premium charges for risks written through their agents not appointed pursuant to Section 38-77-590.

The board of governors of the South Carolina Automobile Underwriters Association shall file an expense component for rate or premium charges developed under rate plans approved by the commissioner for the Underwriting Association. The board of governors shall file a pure loss component based on the experience of all individual private passenger automobile insurance risks within the shared risk pool of the Underwriting Association to use in developing rate or premium charges applicable under Section 38-77-540(C).

Automobile insurers contracted to the South Carolina Automobile Underwriters Association pursuant to Section 38-77-590(a) and all insurers on policies of automobile insurance transferred to the Underwriting Association for shared risk pooling shall utilize the final rate or premium charges under the applicable rate plan approved by the commissioner for the Underwriting Association comprising these filed rates. Automobile insurers and automobile insurers contracted to the Underwriting Association pursuant to Section 38-77-590(a) are not required to use the rate or premium charges under the rate plans approved for the Underwriting Association by the commissioner for risks not transferred to the Underwriting Association."

SECTION     42.     The Chief Insurance Commissioner shall conduct a study not to exceed twelve months in duration to determine whether there are more equitable territories in this State, where private passenger automobile insurers compete, than now exist which would allow a greater degree of open-market competition. The commissioner shall present his findings and conclusions, in writing, to the Governor and the General Assembly not later than ninety days after the study is concluded in accordance with this section.

SECTION     43.     Notwithstanding any other provision of law, any person who shall operate or allow an uninsured motor vehicle to be operated shall suffer the immediate impoundment of such vehicle until such time as he posts liability insurance in the amount required by Chapter 77, Title 38 of the 1976 Code of Laws and pays any storage and impoundment fee, together with any other fines or fees imposed for the operation of an uninsured motor vehicle.

SECTION     44.     Notwithstanding any provision of Title 38 of the 1976 Code of Laws or any other provision of law, no newly licensed driver who has obtained his driver's license after successfully completing a duly licensed course in driver training shall be deprived of the benefit of a safe driver discount for automobile insurance purposes.

SECTION     45.     The Chief Insurance Commissioner, not later than December 1, 1992, shall present, in writing, to the Governor and the General Assembly a proposed Uniform Merit Rating Plan as authorized under Section 38-73-760 of the 1976 Code with surcharges computed as a percent of the premium, but in all other aspects conforming in principle to the existing merit rating plan.

SECTION     46.     Sections 38-73-1410, 38-73-1425, 38-77-111, 38-77-510, 38-77-595, 38-77-600, 38-77-605, 38-77-610, 38-77-620, 38-77-625, and 38-77-930 of the 1976 Code are repealed.

SECTION     47.     This act takes effect October 1, 1992./

Amend title to conform.

POINT OF ORDER

Rep. T.C. ALEXANDER raised the Point of Order that Amendment No. 14 was out of order as it was not germane in that the Amendment dealt with eliminating the mandate to write physical damage and it also amended 43 other existing sections of Title 38 and added various other new sections to the Code.

Rep. FELDER argued contra the Point in stating that S. 385 dealt with Title 38 and the Amendment from yesterday which was ruled out of order was multi-coded and dealt with more than Title 38, but that his Amendment dealt with Title 38. He further stated that the subject of the Bill did away with mandating to write physical damage insurance and attempted to set out a new rate structure and change the residual market system and that the Amendment dealt with mandating to write physical damage insurance and other automobile insurance and addressed the issue of discrimination. He further stated that the Bill addressed discrimination and the Amendment expanded the application of that. He further stated that the same principles of the Bill, the same subject and the same Code Section were all identical and it would be germane.

Rep. T.C. ALEXANDER stated that the Amendment dealt with items not contained in the Bill such as the impoundment of vehicles for penalty of driving uninsured and requiring the Insurance Commissioner to study existing territorial classification and that it created new benefits for taking a safe driving course on driver's education. He further stated that according to the Point of Order from Tuesday, that the Rule was intended to prohibit the short cutting of the regular three reading process.

Rep. FELDER stated that Section 45 proposed a merit rating plan in regards to surcharges which apply directly to rate structure and that Section 43 dealt with the impoundment of an uninsured vehicle and that he would be willing to strike it to make it technically germane. He further stated that the Rule was that as long as the thrust of it was germane, then he could totally rewrite the Bill and that one subsection should not make it non germane.

Rep. CROMER stated that it was not germane in that the ruling yesterday made it where you could not have these cumulative things tacked on to the Bill.

Rep. T.C. ALEXANDER stated that the Amendment did deal with the question of liability and that the Bill did not.

The SPEAKER stated that he had gone through the Amendments and that this Amendment did amend the same Code Section, 38-77-280, but that it was only on pages 16-18 of the Amendment. He further stated that it did deal with Title 38 but that Title 38 had 6 chapters and that the Amendment amended almost all of them and to be consistent with the rulings since 1988 from the Chair, he would have to rule it out of order. He further stated that the Amendment was not germane and he sustained the Point of Order and ruled the Amendment out of order.

PARLIAMENTARY INQUIRY

Rep. FELDER inquired whether his Amendment would be germane if he deleted those three Sections.

The SPEAKER stated that the Amendment had been ruled out of order and that he could not tell him how to draft an Amendment to make it germane. He further stated that the Bill dealt with 38-77-280 and no other Code Section. He further stated that to be consistent with the rulings, that it was going to be hard to draft a comprehensive insurance reform bill and tack it on to S. 385 and have it debated.

Rep. FELDER stated that the germaneness rule allowed you to rewrite the entire Bill.

The SPEAKER stated that you could only do that if it remained germane to the original title of the Bill.

Rep. FELDER stated that there had been an Amendment adopted on the Bill that addressed rates and that Amendment changed the Bill and it said to strike all enacting words and it took it into another part of the Code and that the Bill went outside of Chapter 38 now.

The SPEAKER stated that Amendment No. 2 that had been adopted dealt with Section 38-77-282 and Section 38-77-284.

Rep. FELDER stated that the implication of the Amendment set up a new rate structure which required Amendments to Chapter 73 and that there was a technical flaw in the Bill now.

The SPEAKER stated that he had ruled on the Point of Order raised and that he could not tell the House whether or not to adopt an Amendment. He further stated that Amendment No. 2 had been adopted and that there was not a Point of Order raised.

Rep. J. BAILEY proposed the following Amendment No. 15 (Doc Name L:\council\legis\amend\N05\8395.BD).

Amend the bill, as and if amended, by striking all after the enacting words and inserting:

/SECTION     1.     The 1976 Code is amended by adding:

"Section 38-77-282.     A refusal to write or renew physical damage coverage based in whole or in part on race, sex, religion, national origin, economic status, residence, or lawful occupation is unlawful. An insurer or agent who refuses to write or renew or cancels physical damage coverage shall provide the reasons for the action in writing."

SECTION     2.     The 1976 Code is amended by adding:

"Section 38-77-284.     (A)     Not later than ninety days after the effective date of this section, insurers of automobile insurance shall file with the commissioner revised rates for private passenger automobile physical damage insurance coverages written by them. Each insurer shall file a:

(1)     'preferred' rate by driver classification and territory which is a rate less than the 'standard' rate;

(2)     'standard' rate which must be the approved base rate as defined in Section 38-73-457 by driver classification and territory in effect July 1, 1992;

(3)     'substandard' rate by driver classification and territory which is a rate more than the 'standard' rate.

(B)     The commissioner shall approve the rates filed pursuant to subsection (A) if they meet the requirements, and these rates become effective for all policies of automobile insurance issued or renewed with effective dates after September 30, 1992.

(C)     Insurers of automobile insurance may place an automobile risk at any of the three rate levels for physical damage coverages without restriction. However, the Uniform Merit Rating Plan continues to apply to all risks written by them.

(D)     An insurer or agent shall provide written notice to the insured of the tier at which physical damage coverage is being written for the insured and the reasons the insured was written in that particular tier."

SECTION     3.     Section 38-77-280 of the 1976 Code, as last amended by Act 113 of 1991, is further amended to read:

"Section 38-77-280.     (A)     Except as provided in subsection (B), all automobile insurers, including those insurance companies writing private passenger physical damage coverages only, shall make collision coverage and either comprehensive or fire, theft, and combined additional coverage available to an insured or qualified applicant who requests the coverage.

Collision coverage must have a mandatory deductible of two hundred fifty dollars, but an insured or qualified applicant, at his option, may select an additional deductible in appropriate increments up to one thousand dollars.

Comprehensive coverage or fire, theft, and combined additional coverages must have a mandatory deductible of two hundred fifty dollars, but an insured, at his option, may select an additional deductible in appropriate increments up to one thousand dollars. This deductible does not apply to auto safety glass. It is an unfair trade practice, as described in Sections 38-57-30 and 38-57-40, for an insurer or an agent to sell collision insurance, comprehensive coverage, or fire, theft, and combined additional coverages unless the insured is notified at the time of application of the savings which may be realized if the applicant or the insured selects a higher deductible. This notice is required only at the time of the initial sale and must be in a form approved by the Chief Insurance Commissioner. An insurer may offer insureds lower deductibles at the insurer's option.

(B)     Notwithstanding subsection (A) and Sections 38-77-110 and 38-77-920, automobile insurers may refuse to write automobile physical damage insurance coverage, including automobile comprehensive physical damage, collision, fire, theft, and combined additional coverage, for an applicant or existing policyholder, on renewal, for a motor vehicle customarily operated by an individual, either the named insured or another operator not excluded in accordance with Section 38-77-340 and who resides in the same household, where one or more of the conditions or factors prescribed in Section 38-73-455 exist. In addition, automobile insurers may refuse to write physical damage insurance coverage to an applicant or existing policyholder, on renewal, who has collected benefits provided under automobile insurance physical damage coverage during the thirty-six months immediately preceding the effective date of coverage, for two or more total fire losses or two or more total theft losses. Automobile insurers may refuse to write for private passenger automobiles physical damage insurance coverage, including automobile comprehensive physical damage, collision, fire, theft, and combined additional coverage, for an applicant or existing policyholder, on renewal, for a motor vehicle customarily operated by an individual, either the named insured or another operator not excluded in accordance with Section 38-77-340 and who resides in the same household, which does not qualify for the safe driver discount in Section 38-73-760(e).

(C) Notwithstanding Section 38-77-110, automobile physical damage coverage in an automobile insurance policy may be canceled at any time during the policy period by reason of the factors or conditions described in Section 38-73-455(A) or Section 38-77-280(B) which existed before the commencement of the policy period and which were not disclosed to the insurer at the commencement of the policy period.

(D) No policy of insurance which provides automobile physical damage coverage only may be ceded to the facility.

(E) Insurers of automobile insurance may charge a rate for physical damage insurance coverages different than those provided for in Section 38-73-457 if the rates are filed and approved by the Chief Insurance Commissioner. Any applicant or existing policyholder, to be charged this different rate, must be denied the coverage pursuant to subsection (B) at the rate provided in Section 38-73-457.

(F) A carrier may not cede collision coverage, comprehensive coverage, or fire, theft, and combined additional coverages with a deductible of less than two hundred fifty dollars. An insured or qualified applicant may select an additional deductible in appropriate increments up to one thousand dollars. However, the mandatory deductible does not apply to safety glass. Notwithstanding Sections 38-77-110 and 38-77-920, after September 30, 1992, automobile insurers may refuse to write or renew private passenger automobile physical damage insurance coverage, including automobile comprehensive physical damage, collision, fire, theft, and combined additional coverage for an applicant or existing policyholder. After September 30, 1992, no private passenger automobile physical damage insurance coverage may be ceded to the facility."

SECTION     4.     This act takes effect upon approval by the Governor./

Amend title to conform.

Rep. J. BAILEY explained the amendment.

POINT OF ORDER

Rep. FELDER raised the Point of Order that Amendment No. 15 was out of order as it was not germane.

The SPEAKER stated that it amended the Section to the Code which was adopted by the House in an Amendment.

Rep. FELDER stated that the Rule said that you could totally rewrite the Bill.

The SPEAKER stated that it amended 282, 284 and 280 and that was the same sections that were amended under Amendment No. 2 which was adopted by the House and was now a part of the Bill. He further stated that as the Bill came out of Committee, this Amendment would probably not be germane, but that the House had adopted Amendment No. 2 which amended the same Code Sections as this Amendment. He further stated that it was germane to the Bill now as it amended three Code Sections and he overruled the Point of Order.

Rep. J. BAILEY continued speaking.

Rep. GONZALES moved that the House do now adjourn.

POINT OF ORDER

Rep. HUFF raised the Point of Order that fifteen minutes had not elapsed since a similar motion was made, which point was not sustained by the Chair.

Rep. T.C. ALEXANDER demanded the yeas and nays, which were taken resulting as follows:

Yeas 24; Nays 67

Those who voted in the affirmative are:

Anderson               Barber                 Baxley
Beatty                 Brown, G.              Elliott, D.
Elliott, L.            Foster                 Glover
Gonzales               Harrelson              Holt
Houck                  Inabinett              Kirsh
Littlejohn             McCraw                 McGinnis
McKay                  McLeod                 Nettles
Rogers                 Wilkes                 Young, R.

Total--24

Those who voted in the negative are:

Alexander, T.C.        Bailey, J.             Beasley
Bennett                Boan                   Brown, H.
Bruce                  Burch, K.              Byrd
Cato                   Chamblee               Clyborne
Cooper                 Council                Cromer
Delleney               Farr                   Felder
Gentry                 Harris, J.             Harrison
Harvin                 Harwell                Haskins
Hendricks              Hodges                 Huff
Hyatt                  Jennings               Keegan
Kempe                  Kennedy                Kinon
Koon                   Lanford                Manly
Marchbanks             Martin, L.             Martin, M.
Mattos                 McElveen               McTeer
Meacham                Neilson                Ross
Rudnick                Scott                  Sharpe
Sheheen                Shirley                Shissias
Smith                  Snow                   Stoddard
Stone                  Townsend               Tucker
Vaughn                 Waites                 Waldrop
Wells                  Wilder                 Wilkins
Williams, J.           Wofford                Wright
Young, A.

Total--67

So, the House refused to adjourn.

Rep. FELDER spoke against the amendment.

Rep. SHIRLEY spoke against the amendment.

Rep. KIRSH moved that the House do now adjourn.

Rep. J. BAILEY demanded the yeas and nays, which were taken resulting as follows:

Yeas 50; Nays 49

Those who voted in the affirmative are:

Altman                 Anderson               Bailey, G.
Barber                 Baxley                 Bennett
Brown, G.              Brown, H.              Brown, J.
Byrd                   Carnell                Clyborne
Corbett                Corning                Elliott, L.
Farr                   Felder                 Foster
Gentry                 Gonzales               Hallman
Harvin                 Harwell                Hodges
Houck                  Inabinett              Kirsh
Koon                   Marchbanks             Martin, M.
Mattos                 McAbee                 McCraw
McGinnis               McKay                  McLeod
Nettles                Rhoad                  Rogers
Scott                  Shirley                Snow
Stoddard               Taylor                 Townsend
Tucker                 Wilkes                 Williams, J.
Wofford                Wright

Total--50

Those who voted in the negative are:

Alexander, T.C.        Bailey, J.             Beatty
Boan                   Bruce                  Burch, K.
Cato                   Chamblee               Cobb-Hunter
Cooper                 Council                Cromer
Delleney               Elliott, D.            Harrelson
Harris, J.             Harrison               Haskins
Hendricks              Holt                   Huff
Hyatt                  Jennings               Keegan
Kempe                  Kennedy                Keyserling
Kinon                  Lanford                Littlejohn
Manly                  Martin, L.             McElveen
McTeer                 Meacham                Neilson
Quinn                  Ross                   Rudnick
Sharpe                 Sheheen                Shissias
Smith                  Stone                  Vaughn
Waites                 Wells                  White
Young, A

Total--49

So, the motion to adjourn was agreed to.

Further proceedings were interrupted by adjournment, the pending question being the consideration of Amendment No. 15, Rep. SHIRLEY having the floor.

RETURNED WITH CONCURRENCE

The Senate returned to the House with concurrence the following:

H. 4820 -- Reps. McGinnis, Beatty, Bruce, Kempe, Littlejohn, Lanford and Wells: A CONCURRENT RESOLUTION TO CONGRATULATE SHAWN GRAVES OF SPARTANBURG ON BEING NAMED SOUTH CAROLINA MALE AMATEUR ATHLETE OF THE YEAR.

H. 4826 -- Reps. Carnell, McAbee and J. C. Johnson: A CONCURRENT RESOLUTION TO COMMEND DR. LARRY A. JACKSON, PRESIDENT OF LANDER COLLEGE, FOR HIS TRULY EXCEPTIONAL SERVICE AS PRESIDENT OF THIS FINE INSTITUTION SINCE 1973 UPON THE OCCASION OF HIS RETIREMENT.

H. 4828 -- Rep. White: A CONCURRENT RESOLUTION COMMENDING OLLIE S. MCALISTER OF JASPER COUNTY FOR TEN YEARS OF DEVOTED AND OUTSTANDING PUBLIC SERVICE AS DIRECTOR OF THE JASPER COUNTY DEPARTMENT OF SOCIAL SERVICES AND EXTENDING BEST WISHES FOR HAPPINESS FOLLOWING HER RETIREMENT.

H. 4829 -- Reps. Cobb-Hunter, J.C. Johnson, H. Brown, J. Brown, G. Brown, Kirsh, Sharpe, Smith, Council, Bennett, Sturkie, D. Elliott, Waites, K. Burch, Stone, Shirley, Wilkins, Harrelson, Koon, T.C. Alexander, Cromer, Fair, Waldrop, Jennings, Corning, Hodges, Haskins, Riser, Harrison, Wright, Shissias, Corbett, McTeer, Rudnick, Altman, Delleney, J. Harris, Hyatt, Chamblee, Gonzales, Clyborne, Baker and Meacham: A CONCURRENT RESOLUTION TO CONGRATULATE RUBY M. MIMS OF ORANGEBURG COUNTY WHO HAS BEEN CHOSEN "POSTMASTER OF THE YEAR" BY THE SOUTH CAROLINA LEAGUE OF POSTMASTERS.

ADJOURNMENT

At 5:20 P.M. the House in accordance with the motion of Rep. G. BROWN adjourned in memory of Mrs. Aletha Lewis of Bishopville, to meet at 10:00 A.M. tomorrow.

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