Printed Page 1330, Mar. 6
| Printed Page 1350, Mar. 6
|
Printed Page 1330, Mar. 6
| Printed Page 1350, Mar. 6
| Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/SECTION 1. Title 44 of the 1976 Code is amended by adding:
Section 44-120-10. This chapter may be cited as the `Medical Savings Account Act'.
Section 44-120-20. As used in this chapter:
(1) `Account administrator' means:
(a) a national or state chartered bank, a federal or state chartered savings and loan association, a federal or state chartered savings bank, or a federal or state chartered credit union;
(b) a trust company authorized to act as a fiduciary;
(c) an insurance company authorized to do business in this State;
(d) a broker-dealer, commodity issuer, investment advisor, or agent registered pursuant to the Uniform Securities Act;
(e) a third party administrator with a current certificate of authority;
(f) a certified public accountant licensed to practice in this State;
(g) an attorney licensed to practice in this State;
(h) an employer that participates in the medical care savings account program.
(2) `Deductible' means the total deductible for an employee and all the dependents of that employee for a calendar year.
(3) `Dependent' means the spouse of the employee or a child of the employee if the child is:
(a) under nineteen years of age or under twenty-three years of age and enrolled as a full-time student at an accredited college or university;
(b) legally entitled to the provision of proper or necessary subsistence, education, medical care, or other care necessary for the child's health, guidance, or well-being and not otherwise emancipated,
(c) mentally or physically incapacitated to the extent that the child is not self-sufficient.
(4) `Domicile' means an individual's true, fixed, and permanent home and principal establishment, to which, whenever absent, the individual intends to return. Domicile continues until another permanent home or principal establishment is established.
(5) `Eligible medical expense' means an expense paid by the taxpayer for medical care described in Section 213(d) of the Internal Revenue Code.
(6) `Employee' means the individual for whose benefit or for the benefit of whose dependents a medical care savings account is established.
(7) `ERISA' means the Employer Retirement Income Security Act of 1974.
(8) `Higher deductible' means a deductible of not less than one thousand dollars and not more than three thousand dollars for 1997. This minimum and maximum must be adjusted annually by the State Treasurer to reflect increases in the consumer price index.
(9) `Medical care savings account' or `account' means an account established in this State pursuant to a medical care savings account program to pay the eligible medical expenses of an employee and the employee's dependents.
(10) `Medical care savings account program' or `program' means a program that includes:
(a) the purchase by an employer of a qualified higher deductible health plan for the benefit of an employee and the employee's dependents.
(b) the contribution on behalf of an employee into a medical care savings account by the employee's employer of all or part of the premium differential realized by the employer based on the purchase of a qualified higher deductible health plan for the benefit of the employee. An employer that did not previously provide a health coverage policy, certificate, or contract for employees may contribute all or part of the deductible of the plan purchased pursuant to subitem (a). A contribution under this subitem may not exceed three thousand dollars for 1997. This maximum must be adjusted annually by the State Treasurer to reflect increases in the consumer price index.
(c) an account administrator to administer the medical care savings account from which payment of claims is made. Not more than thirty days after an account administrator begins to administer an account, the administrator shall notify in writing each employee on whose behalf the
(11) `Qualified higher deductible health plan' means a health coverage policy, certificate, or contract that provides for payments for covered benefits that exceed the higher deductible and that is purchased by an employer for the benefit of an employee for whom the employer makes deposits into a medical care savings account.
Section 44-120-30. (A) For tax years beginning after 1996, an employer, except as otherwise provided by statute, contract, or a collective bargaining agreement, may offer a medical care savings account program to the employer's employees.
(B) An employer that offers a medical care savings account program shall inform before making any contributions all employees in writing of the federal tax status of contributions made pursuant to this act.
(C) Except as provided in Section 44-120-50, principal contributed to and interest earned on a medical care savings account and money reimbursed to an employee for eligible medical expenses are exempt from taxation under Title 12.
Section 44-120-40. (A) The account administrator shall utilize the funds held in a medical care savings account solely for the purpose of paying the medical expenses of the employee or his or her dependents or to purchase a health coverage policy, certification, or contract if the employee does not otherwise have health insurance coverage. Funds held in a medical care savings account shall not be used to cover medical expenses of the employee or his or her dependents that are otherwise covered including but not limited to medical expenses covered pursuant to an automobile insurance policy, workers' compensation insurance policy or self-insured plan, or another health coverage policy, certificate, or contract.
(B) The employee may submit documentation of medical expenses paid by the employee in the tax year to the account administrator and the account administrator shall reimburse the employee from the employer's account for eligible medical expenses.
(C) If an employer makes contributions to a medical care savings account program on a periodic installment basis, the employer may advance to an employee, interest free, an amount necessary to cover medical expenses incurred that exceed the amount in the employee's medical care savings account when the expense is incurred if the employee agrees to repay the advance from future installments or when he or she ceases to be an employee of the employer.
(B) Subject to subsection (C), if the employee withdraws money for any purpose other than a purpose described in Section 44-120-40(A) at any other time all of the following apply:
(1) The amount of the withdrawal is income for the purposes of Title 12.
(2) The administrator shall withhold and on behalf of the employee shall pay a penalty to the State Treasurer equal to ten percent of the amount of the withdrawal.
(3) Interest earned on the account during the tax year in which a withdrawal under this subsection is made is income for purposes of Title 12.
(C) The amount of a disbursement of any assets of a medical care savings account pursuant to a filing for protection under Title 11 of the United States Code, 11 U.S.C. 101 to 1330 by an employee or person for whose benefit the account was established is not considered a withdrawal for purposes of this section. The amount of a disbursement is not subject to taxation under Title 12.
(D) Upon the death of the employee, the account administrator shall distribute the principal and accumulated interest of the medical care savings account to the estate of the employee.
(E) If an employee is no longer employed by an employer that participates in a medical care savings account program and the employee, not more than sixty days after his or her final day of employment, transfers the account to a new account administrator or requests in writing to the former employer's account administrator that the account remain with that administrator and that account administrator agrees to retain the account, the money in the medical care savings account may be utilized for the benefit of the employee or his or her dependents subject to this act thirty days after the expiration of the sixty days, if an account administrator has not accepted the former employee's account, the employer shall mail a check to the former employee at the employee's last known address equal to the amount in the account on that day and that amount is subject to taxation pursuant to Section 44-120-50(A) but is not subject to the penalty under Section 44-120-50(B)(2). If an employee becomes employed with a different employer that participates in a medical
SECTION 2. This act takes effect upon approval by the Governor and applies to tax years beginning after 1996./
Amend title to conform.
Rep. RICHARDSON explained the amendment.
The amendment was then adopted.
The Bill, as amended, was read the second time and ordered to third reading.
Rep. HARRISON asked unanimous consent to recommit the following Bill to the Judiciary Committee, retaining its place on the Calendar, which was agreed to.
H. 4492 -- Reps. Wilkins, Rice, Meacham, Whatley, Klauber, Wofford, Seithel, Fulmer, Knotts, Sharpe, H. Brown, Harrell, Easterday, Haskins, Cato, D. Smith, Townsend, Fleming, Young-Brickell, Cotty, J. Brown, Harrison, Vaughn, Cain, Sandifer, Witherspoon, Tripp, Robinson, Wells, Gamble and Riser: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 6-1-85 SO AS TO PROHIBIT MUNICIPALITIES, COUNTIES, SPECIAL PURPOSE OR PUBLIC SERVICE DISTRICTS FROM IMPOSING TAXES OR FEES ON INDIVIDUALS, CORPORATIONS, OR OTHER BUSINESS ENTITIES AND TO EXEMPT FROM THIS PROHIBITION TAXES AND FEES ENACTED BEFORE DECEMBER 31, 1995, OR TAXES AND FEES AUTHORIZED EXPRESSLY BY THE GENERAL ASSEMBLY.
The Senate amendments to the following Bill were taken up for consideration.
H. 4054 -- Rep. McElveen: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 42-1-315 SO AS TO PROVIDE THAT THE PROVISIONS OF TITLE 42, WORKERS' COMPENSATION, APPLY TO AND INCLUDE ALL
Rep. CATO 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.
The Senate amendments to the following Bill were taken up for consideration.
H. 4365 -- Reps. Lanford, Walker, Keyserling, Jennings, Cain, Bailey, Law, Simrill, Herdklotz and Seithel: A BILL TO AMEND SECTION 44-61-80, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EMERGENCY MEDICAL TECHNICIAN CERTIFICATES, SO AS TO PROHIBIT DENYING A FIREFIGHTER ENTRY INTO AN EMERGENCY MEDICAL TECHNICIAN COURSE BASED ON WHETHER OR NOT THE FIREFIGHTER'S DEPARTMENT HAS AN AMBULANCE.
Rep. ASKINS 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.
The motion period was dispensed with on motion of Rep. HARRISON.
The following Bill was taken up.
H. 3062 -- Reps. Vaughn, Cato, Cromer, Walker, Cooper, Stille, Kelley, Harrell, Gamble, Spearman, Robinson, Marchbanks and Shissias: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 2-1-105 SO AS TO PROHIBIT A MEMBER OF THE GENERAL ASSEMBLY FROM BEING ELECTED TO A SALARIED OFFICE OR POSITION WHILE HE IS A MEMBER OF THE GENERAL ASSEMBLY AND TO MAKE EXCEPTIONS.
Rep. HARRISON moved to recommit the Bill to the Judiciary Committee.
Rep. VAUGHN moved to table the motion to recommit.
Rep. ROGERS demanded the yeas and nays, which were taken resulting as follows:
Those who voted in the affirmative are:
Allison Anderson Askins Bailey Baxley Breeland Brown, G. Brown, H. Cain Carnell Cato Cave Chamblee Cobb-Hunter Cooper Cotty Cromer Dantzler Davenport Delleney Easterday Gamble Hallman Harrell Harris, P. Haskins Herdklotz Hines, J. Hines, M. Hodges Howard Hutson Keegan Kelley Keyserling Kinon Kirsh Klauber Koon Lanford Law Lee Limehouse Littlejohn Lloyd Loftis Marchbanks Mason McAbee McMahand McTeer Meacham Neal Phillips Quinn Rice Richardson Riser Robinson Rogers Sandifer Scott Seithel
Sharpe Sheheen Shissias Simrill Smith, R. Stoddard Stuart Townsend Tripp Trotter Tucker Vaughn Walker Whatley Whipper, L. Whipper, S. Williams Witherspoon Wofford Worley Young Young-Brickell
Those who voted in the negative are:
Clyburn Fleming Fulmer Harris, J. Harrison Jennings Knotts McCraw McKay Moody-Lawrence Smith, D. Spearman Wilder Wright
So, the motion to recommit was tabled.
Rep. LIMEHOUSE moved that the House recur to the morning hour, which was agreed to by a division vote of 35 to 27.
Further proceedings were interrupted by the House recurring to the morning hour, the pending question being consideration of amendments.
The following were received and referred to the appropriate committees for consideration.
Document No. 1889
Promulgated By Clemson University-State Crop Pest Commission
27-135. Designation of Plant Pests
Received By Speaker March 6, 1996
Referred to House Committee on Agriculture, Natural Resources and Environmental Affairs
120 Day Review Expiration Date July 4, 1996
The following was received.
Columbia, S.C., March 5, 1996
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it has confirmed the Governor's appointment of:
Reappointment, Kershaw County Master-in-Equity, with term to commence July 1, 1995, and to expire July 1, 2001:
Honorable Rolly W. Jacobs, Post Office Box 664, Camden, S.C. 29020
Very respectfully,
President
Received as information.
The following Bill was introduced, read the first time, and referred to appropriate committee:
H. 4709 -- Reps. Limehouse, Sandifer and Fulmer: A BILL TO AMEND SECTION 40-39-70, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CERTAIN RECORDS A PAWNBROKER SHALL KEEP, SO AS TO PROVIDE THAT A PAWNBROKER'S RECORD OF A LOAN TRANSACTION MUST INCLUDE THE MANUFACTURER'S NAME AND THE MAKE, MODEL NUMBER, AND SERIAL NUMBER FOR ALL GOODS, ARTICLES, OR THINGS PAWNED, PLEDGED, OR PURCHASED, AND TO REQUIRE A PAWNBROKER TO GIVE A RECORD OF ALL GOODS, ARTICLES, OR THINGS PAWNED OR PLEDGED TO CERTAIN LAW ENFORCEMENT AGENCIES ON A MONTHLY BASIS; AND TO AMEND SECTION 40-39-140, AS AMENDED, RELATING TO A PAWNBROKER'S ACCEPTANCE OF PROPERTY OWNED BY A THIRD PARTY, SO AS TO REQUIRE
Referred to Committee on Labor, Commerce and Industry.
The following was introduced:
H. 4710 -- Reps. Davenport, Lee, Littlejohn, Lanford, Wells, Wilder, Walker, Vaughn, Allison and D. Smith: A CONCURRENT RESOLUTION TO RECOGNIZE AND COMMEND JOHN RENFRO OF LANDRUM FOR BEING NAMED CHAIRMAN OF THE 1996 ARTS PARTNERSHIP CAMPAIGN AND WISH HIM CONTINUED SUCCESS IN THE FUTURE.
The Concurrent Resolution was agreed to and ordered sent to the Senate.
The following was introduced:
H. 4711 -- Reps. Davenport, Lee, Littlejohn, Wells, Wilder, Lanford, Walker, Vaughn, Allison and D. Smith: A CONCURRENT RESOLUTION TO CONGRATULATE MILLIKEN & COMPANY FOR BEING AWARDED THE FIRST ENVIRONMENTAL CHAMPION AWARD RECOGNIZING OUTSTANDING PERFORMANCE IN THE UNITED STATES ENVIRONMENTAL PROTECTION AGENCY'S 33/50 PROGRAM WHICH ENCOURAGES THE REDUCTION IN A COMPANY'S USE OF SEVENTEEN TARGETED CHEMICALS, AND TO WISH THE COMPANY MUCH SUCCESS IN THE FUTURE.
The Concurrent Resolution was agreed to and ordered sent to the Senate.
The motion period was dispensed with on motion of Rep. FLEMING.
Printed Page 1330, Mar. 6
| Printed Page 1350, Mar. 6
|