Journal of the House of Representatives
of the Second Session of the 111th General Assembly
of the State of South Carolina
being the Regular Session Beginning Tuesday, January 9, 1996

Page Finder Index

| Printed Page 1930, Apr. 3 | Printed Page 1950, Apr. 3 |

Printed Page 1940 . . . . . Wednesday, April 3, 1996

Reps. SHEHEEN and HODGES proposed the following Amendment No. 2 (Doc Name H-MEMBER\B21\amend\4445\1), which was adopted.

Amend the bill, as and if amended, as amended by the Judiciary Committee:

Striking Section 5 in its entirety.

Renumber sections to conform.

Amend totals and title to conform.

Rep. SHEHEEN explained the amendment.


Printed Page 1941 . . . . . Wednesday, April 3, 1996

The amendment was then adopted.

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

H. 4445--ORDERED TO BE READ THIRD TIME TOMORROW

On motion of Rep. HARRISON, with unanimous consent, it was ordered that H. 4445 be read the third time tomorrow.

H. 4774--OBJECTIONS

The following Bill was taken up.

H. 4774 -- Rep. Fulmer: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 12-43-227 SO AS TO PROVIDE A METHOD FOR VALUING HOMEOWNERS' ASSOCIATION PROPERTY FOR AD VALOREM TAX PURPOSES; AND TO AMEND SECTION 12-43-230, RELATING TO THE DEFINITIONS OF CERTAIN TYPES OF PROPERTY FOR AD VALOREM TAX PURPOSES SO AS TO DEFINE HOMEOWNERS' ASSOCIATION PROPERTY.

Reps. KIRSH, CAVE, MOODY-LAWRENCE, INABINETT, KENNEDY and BREELAND objected to the Bill.

H. 4471---CONFERENCE REPORT ADOPTED

CONFERENCE REPORT

The General Assembly, Columbia, S.C., March 28, 1996

The COMMITTEE OF CONFERENCE, to whom was referred:

H. 4471 -- Reps. Cato, Vaughn, Easterday, Tripp and Rice: A JOINT RESOLUTION TO PROVIDE FOR A REFERENDUM TO BE HELD AT THE SAME TIME AS THE 1996 GENERAL ELECTION TO DETERMINE WHETHER OR NOT THE QUALIFIED ELECTORS OF THE SCHOOL DISTRICT OF GREENVILLE COUNTY FAVOR SUBDIVIDING THE DISTRICT INTO THREE OR MORE SEPARATE SCHOOL DISTRICTS AND REQUIRING THE CHAIRMAN OF THE GREENVILLE COUNTY LEGISLATIVE DELEGATION TO SUBMIT A PLAN OF SUBDIVISION DEVELOPED BY THE DELEGATION TO THE QUALIFIED ELECTORS OF THE DISTRICT IN 1998 FOR THEIR APPROVAL IF THE RESULTS OF THE 1996 REFERENDUM ARE IN FAVOR OF SUBDIVIDING THE DISTRICT.


Printed Page 1942 . . . . . Wednesday, April 3, 1996

Beg leave to report that they have duly and carefully considered the same and recommend:

That the same do pass with the following amendments:

Amend the bill, as and if amended, by striking the resolution in its entirety and inserting in lieu thereof the following:

A JOINT RESOLUTION

TO PROVIDE FOR A REFERENDUM TO BE HELD AT THE SAME TIME AS THE 1996 GENERAL ELECTION TO DETERMINE WHETHER OR NOT THE QUALIFIED ELECTORS OF THE SCHOOL DISTRICT OF GREENVILLE COUNTY FAVOR SUBDIVIDING THE DISTRICT INTO THREE OR MORE SEPARATE SCHOOL DISTRICTS AND REQUIRING THE CHAIRMAN OF THE GREENVILLE COUNTY LEGISLATIVE DELEGATION TO SUBMIT A PLAN OF SUBDIVISION DEVELOPED BY THE DELEGATION TO THE QUALIFIED ELECTORS OF THE DISTRICT IN 1998 FOR THEIR APPROVAL IF THE RESULTS OF THE 1996 REFERENDUM ARE IN FAVOR OF SUBDIVIDING THE DISTRICT.

Amend Title To Conform

Be it enacted by the General Assembly of the State of South Carolina:

SECTION 1. (A) An advisory referendum shall be held at the same time as the 1996 general election in Greenville County and in other areas which are a part of the School District of Greenville County on the question of whether or not the qualified electors of the district favor subdividing the district into three or more separate school districts, and whether or not they desire a plan of subdivision to be developed for their nonbinding approval in 1998. The advisory referendum for this purpose must be conducted by the election commissions of the respective counties in the school district at the same time as the 1996 general election. The county commissioners of election shall conduct and supervise the advisory referendum in the manner governed by the election laws of this State, mutatis mutandi. The commissioners shall frame the question for the ballot, prepare the necessary ballots, appoint managers for the voting precincts, and do all things necessary to carry out the advisory referendum, including the counting of ballots and declaring the results. The commissioners shall advertise the date of the advisory referendum sixty days preceding it in a newspaper of general circulation in the district and shall publish a second notice thirty days before the advisory referendum.

(B) The question put before the qualified electors of the district at the 1996 advisory referendum shall read as follows:


Printed Page 1943 . . . . . Wednesday, April 3, 1996

"Do you favor subdividing the School District of Greenville County into three or more separate school districts and requiring a committee of county legislative delegation members and school board members to submit a plan of subdivision developed by the committee to the qualified electors of the district in 1998 for their nonbinding approval if the results of the 1996 advisory referendum are in favor of subdividing the district?"

Yes []

No []

Those voting in favor of the question shall deposit a ballot with a check or cross mark in the square after the word "Yes", and those voting against the question shall deposit a ballot with a check or cross mark in the square after the word "No".

(C) If the qualified electors of the district vote in favor of the question submitted at the 1996 advisory referendum provided for in subsection (A), a committee hereinafter established must develop a plan for subdividing the district into three or more separate school districts which shall be submitted by the committee to the qualified electors of the district for their nonbinding approval at an advisory referendum to be held for this purpose at the same time as the 1998 general election. The committee shall be composed of that number of members jointly determined by the Chairman of the Greenville County Legislative Delegation and the Chairman of the Board of Trustees of the Greenville County School District, with one-half of such members being members of the delegation appointed by the chairman thereof and one-half of such members being members of the school board appointed by the chairman thereof. The advisory referendum for this purpose must be conducted by the election commissions of the respective counties in the school district at the same time as the 1998 general election. The county commissioners of election shall conduct and supervise the advisory referendum in the manner governed by the election laws of this State, mutatis mutandi. The committee in conjunction with the commissioners of election shall frame the question for the ballot, and the commissioners shall prepare the necessary ballots, appoint managers for the voting precincts, and do all things necessary to carry out the advisory referendum, including the counting of ballots and declaring the results. The commissioners shall advertise the date of the advisory referendum sixty days preceding it in a newspaper of general circulation in the district and shall publish a second notice thirty days before the advisory referendum.

(D) The results of the 1996 and 1998 advisory referendums may be considered by the Greenville County Legislative Delegation when determining whether or not to cause the school district to be so subdivided


Printed Page 1944 . . . . . Wednesday, April 3, 1996

as provided by law in 1999 and thereafter, but the results of the 1996 and 1998 advisory referendums shall not require the school district to be so subdivided.

SECTION 2. This joint resolution takes effect upon approval by the Governor.

-----XX-----

Amend title to conform.

/s/J. Verne Smith .......... Michael F. Jaskwhich
/s/Michael L. Fair .......... /s/Lewis R. Vaughn
O. Samuel Boan .......... /s/Harry F. Cato

On Part of the Senate. .......... On Part of the House.

The question then recurred to the adoption of the Conference Report.

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

Yeas 7; Nays 5

Those who voted in the affirmative are:

Cato                 Easterday            Loftis
Rice                 Stoddard             Tripp
Vaughn

Total--7

Those who voted in the negative are:

Anderson             Herdklotz            Jaskwhich
McMahand             Wilkins

Total--5

So, the Conference Report was adopted and a message was ordered sent to the Senate accordingly.

H. 4694--INTERRUPTED DEBATE

The following Bill was taken up.

H. 4694 -- Reps. Harrison, Wofford, Stuart, Hodges, Neal, Cave, Govan, Baxley, Knotts, Meacham, Bailey, Delleney, Shissias, Klauber, Simrill, Thomas, Clyburn, Wright, Fulmer, Jennings, Martin, J. Harris,


Printed Page 1945 . . . . . Wednesday, April 3, 1996

Kinon, J. Young, Boan, Limbaugh, McCraw, Young-Brickell, T. Brown, Scott, Tucker, White, D. Smith and Phillips: A BILL TO AMEND SECTION 58-9-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE REGULATION OF TELEPHONE COMPANIES AND DEFINITIONS, SO AS TO ADD PROVISIONS DEFINING "BASIC LOCAL EXCHANGE TELEPHONE SERVICE", "CARRIER OF LAST RESORT", "INCUMBENT LOCAL EXCHANGE CARRIER" OR "INCUMBENT LEC", "LOCAL EXCHANGE CARRIER" OR "LEC", "NEW ENTRANT LOCAL EXCHANGE CARRIER" OR "NEW ENTRANT LEC", "SMALL LOCAL EXCHANGE CARRIER" OR "SMALL LEC", "TELECOMMUNICATIONS SERVICES", AND "UNIVERSAL SERVICE"; TO AMEND SECTION 58-9-280, RELATING TO TELEPHONE COMPANIES AND THE REQUIREMENT THAT A CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY MUST BE OBTAINED BEFORE CONSTRUCTION, OPERATION, OR EXTENSION OF A PLANT OR SYSTEM, SO AS TO ADD PROVISIONS WHICH PROVIDE, AMONG OTHER THINGS, THAT AFTER NOTICE AND AN OPPORTUNITY TO BE HEARD, THE PUBLIC SERVICE COMMISSION MAY GRANT A CERTIFICATE TO OPERATE AS A TELEPHONE UTILITY TO APPLICANTS PROPOSING TO FURNISH LOCAL TELEPHONE SERVICE IN THE SERVICE TERRITORY OF AN "INCUMBENT LEC", SUBJECT TO CERTAIN CONDITIONS AND EXEMPTIONS, AND TO PROVIDE FOR RELATED MATTERS; TO AMEND THE 1976 CODE BY ADDING SECTION 58-9-576 SO AS TO PROVIDE THAT AN "INCUMBENT LEC" MAY ELECT TO HAVE RATES, TERMS, AND CONDITIONS PURSUANT TO THE PLAN DESCRIBED IN THIS SECTION, AND TO PROVIDE FOR RELATED MATTERS; AND TO AMEND THE 1976 CODE BY ADDING SECTION 58-9-577 SO AS TO PROVIDE THAT, NOTWITHSTANDING SECTIONS 58-9-575 AND 58-9-576, A "SMALL LEC" MAY ELECT TO HAVE THE RATES, TERMS, AND CONDITIONS OF ITS SERVICES DETERMINED PURSUANT TO ALTERNATIVE FORMS OF REGULATION, WHICH MAY DIFFER AMONG COMPANIES AND MAY INCLUDE, BUT NOT BE LIMITED TO, PRICE REGULATION, RATHER THAN RATE OF RETURN OR OTHER FORMS OF EARNING REGULATION, AND TO PROVIDE FOR RELATED MATTERS.
Printed Page 1946 . . . . . Wednesday, April 3, 1996

The Committee on Labor, Commerce and Industry proposed the following Amendment No. 1 (Doc Name P:\amend\BBM\10724JM.96).

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

/SECTION 1. Section 58-9-10 of the 1976 Code is amended by adding:

"(9) The term `basic local exchange telephone service' means for residential and single-line business customers, access to basic voice grade local service with touchtone, access to available emergency services and directory assistance, the capability to access interconnecting carriers, relay services, access to operator services, and one annual local directory listing (white pages or equivalent).

(10) The term `carrier of last resort' means a facilities-based local exchange carrier, as determined by the commission, not inconsistent with the federal Telecommunications Act of 1996, which has the obligation to provide basic local exchange telephone service, upon reasonable request, to all residential and single-line business customers within a defined service area. Initially, the incumbent LEC must be a carrier of last resort within its existing service area.

(11) The term `incumbent local exchange carrier' or `incumbent LEC' means a telecommunications company, its affiliates, successors, or its assigns, which provides local exchange service pursuant to a certificate of public convenience and necessity issued by the commission before July 1, 1995, or operating as a local exchange carrier before that date pursuant to commission authority, to provide local exchange service within a certificated geographic service area of the State. Any such entity must be treated as the incumbent local exchange carrier only within the geographic area where it maintains service pursuant to:

(a) any certificate of public convenience and necessity issued before July 1, 1995; or

(b) any certificate of public convenience and necessity issued to supersede, in whole or in part, any certificate of public convenience and necessity issued before July 1, 1995.

(12) The term `local exchange carrier' or `LEC' means either an incumbent local exchange carrier or a new entrant local exchange carrier.

(13) The term `new entrant local exchange carrier' or `new entrant LEC' means a telecommunications company holding a certificate of public convenience and necessity issued by the commission pursuant to Section 58-9-280 (B) after December 31, 1995, to provide local exchange service within a certificated geographic service area of the State.


Printed Page 1947 . . . . . Wednesday, April 3, 1996

(14) The term `small local exchange carrier' or `small LEC' means a rural telephone company as defined on February 8, 1996, in the federal Telecommunications Act of 1996.

(15) The term `telecommunications services' means the services for the transmission of voice and data communications to the public for hire, including those nonwireline services provided in competition to landline services.

(16) The term `universal service' means the providing of basic local exchange telephone service, at affordable rates, upon reasonable request, to all residential and single-line business customers within a defined service area."

SECTION 2. Section 58-9-280 of the 1976 Code is amended to read:

"Section 58-9-280. (A) No telephone utility shall begin the construction or operation of any telephone utility plant or system, or of any extension thereof, except those ordered by the commission under the provisions of Section 58-9-270, without first obtaining from the commission a certificate that public convenience and necessity require or will require such construction or operation. But this section shall not be construed to require any telephone utility to secure a certificate for any extension within any municipality or district within which it had lawfully commenced operations on June 16, 1950 or for an extension within or to territory already served by it, necessary in the ordinary course of its business, or for an extension into territory contiguous to that already occupied by it as defined by the commission and not receiving similar service from another telephone utility; but, if any telephone utility in constructing or extending its lines, plant or system unreasonably interferes or is about to interfere unreasonably with the service or system of any other telephone utility, the commission may make such order and prescribe such terms and conditions in harmony with Articles 1 through 13 of this chapter as are just and reasonable.

(B) After notice and an opportunity to be heard, the commission may grant a certificate to operate as a telephone utility, as defined in Section 58-9-10(6), to applicants proposing to furnish local telephone service in the service territory of an incumbent LEC, subject to the conditions and exemptions stated in this section and in applicable federal law. The provisions of this Act shall apply to any such application for a certificate pending before the commission on the effective date of this Act. In determining whether to grant a certificate under this subsection, the commission may require, not inconsistent with the federal Telecommunications Act of 1996, that the:


Printed Page 1948 . . . . . Wednesday, April 3, 1996

(1) applicant show that it possesses technical, financial, and managerial resources sufficient to provide the services requested;

(2) service to be provided will meet the service standards that the commission may adopt;

(3) provision of the service will not adversely impact the availability of affordable local exchange service;

(4) applicant, to the extent it may be required to do so by the commission, will participate in the support of universally available telephone service at affordable rates; and

(5) provision of the service does not otherwise adversely impact the public interest. In its application for certification, the applicant seeking to provide the service shall set forth with particularity the proposed geographic territory to be served, and a price list and informational tariff regarding the types of local exchange and exchange access services to be provided. Any person granted authority under this section shall maintain a current price list with the commission. A commission order, denying or approving an application for certification of a new local telephone service provider, shall be entered no more than sixty days from the filing of the application, except that the commission, upon notice, may extend that period not to exceed an additional sixty days.

(C)The commission shall determine the requirements applicable to all local telephone service providers necessary to implement this subsection. These requirements shall be consistent with applicable federal law and shall:

(1) provide for the reasonable interconnection of facilities between all certificated local telephone service providers upon a bona fide request for interconnection, subject to the negotiation process set forth in subsection (D) of this section;

(2) provide for the transfer of telephone numbers between local telephone service providers in a manner that is technically feasible;

(3) provide for the reasonable unbundling of network elements upon a request from a LEC where technically feasible and priced in a manner that recovers the providing LEC's cost;

(4) determine, for small LECs, when and under what circumstances resale of local exchange telephone services is in the public interest and should be allowed. Telecommunications services that are available at retail to a specific category of subscribers only shall not be offered for resale to a different category of subscribers; and

(5) provide for the continued development and encouragement of universally available basic local exchange telephone service at reasonably affordable rates.


Printed Page 1949 . . . . . Wednesday, April 3, 1996

The final commission order implementing these requirements shall be issued within six months of the effective date of this section, except that the commission, upon notice, may extend that period up to an additional ninety days.

(D) A LEC shall negotiate the rates, terms, and conditions for local interconnection. In the event that the parties are unable to agree on appropriate rates, terms, and conditions for interconnection within one hundred thirty-five to one hundred sixty days of receipt of a bona fide request, either party may petition the commission for determination of the appropriate rates, terms, and conditions for interconnection. This period may be shortened or extended by mutual agreement of the parties. The commission shall determine the appropriate rates, terms, and conditions for interconnection within nine months from the filing of the petition in accordance with the terms of applicable federal law.

(E) In continuing South Carolina's commitment to universally available basic local exchange telephone service at affordable rates and to assist with the alignment of prices and/or cost recovery with costs, and consistent with applicable federal policies, the commission shall establish a universal service fund (USF) for distribution to a carrier(s) of last resort. The commission shall issue its final order adopting such guidelines as may be necessary for the funding and management of the USF within twelve months of the effective date of this section except that the commission, upon notice, may extend that period up to an additional ninety days. Such guidelines must not be inconsistent with applicable federal law and shall address, without limitation, the following:

(1) The USF shall be administered by the commission or a third party designated by the commission under guidelines to be adopted by the commission.

(2) The commission shall require all telecommunications companies providing telecommunications services within South Carolina to contribute to the USF as determined by the commission.

(3) The commission also shall require any company providing telecommunications service to contribute to the USF if, after notice and opportunity for hearing, the commission determines that the company is providing private local exchange services or radio-based local exchange services in this State that compete with a local telecommunications service provided in this State.

(4) The size of the USF shall be determined by the commission and shall be the sum of the difference, for each carrier of last resort, between its costs of providing basic local exchange services and the maximum amount it may charge for such services. The commission may use


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