SENATE JOURNAL for May 29, 1996 - South Carolina Legislature Online

South Carolina General Assembly
111th Session, 1995-1996
Journal of the Senate

WEDNESDAY, MAY 29, 1996

Wednesday, May 29, 1996
(Statewide Session)

~~Indicates Matter Stricken~~
Indicates New Matter

The Senate assembled at 11:00 A.M., the hour to which it stood adjourned and was called to order by the PRESIDENT.

A quorum being present the proceedings were opened with a devotion by the Chaplain as follows:

Beloved, hear St. Paul as he rallied the Corinthians to a higher call... (II Cor. 4:16):

"So we do not lose heart. Even though our

outer nature is wasting away, our inner

nature is being renewed day by day."
Let us pray.

Dear Lord, of stormy and peaceful days, we remember the old hymn:

"Give every flying minute

Something to keep in store;

Work for the night is coming

When man works no more."

With disturbing pressures of world crises in the Middle East, the Far East, and within the life of our homeland that we seem not to be able to control, we beseech Your divine intervention.

Our hearts go out to the innocent victims of the blood-letting in Liberia and other countries where governments have broken down, chaos reigns, brothers are killing brothers. They are wondering if they have any real friends, and where are they in the world?

Help us to live today, and every day, manifesting the life of Him Whose nail pierced hands are eternally outstretched in the benedictions of love and peace, in Whose Name we say our morning prayer.

Amen.

RECESS

At 11:05 A.M., on motion of Senator LEVENTIS, the Senate receded from business until 11:15 A.M.

At 11:17 A.M., the Senate resumed.

Point of Personal Privilege

Senator LEVENTIS rose to a Point of Personal Privilege.

The PRESIDENT called for Petitions, Memorials, Presentments of Grand Juries and such like papers.

Doctor of the Day

Senator J. VERNE SMITH introduced Dr. Stephen Jones of Greer, S.C., Doctor of the Day.

Leave of Absence

On motion of Senator PEELER, at 11:30 A.M., Senator LEATHERMAN was granted a leave of absence for the balance of the day.

Message from the House

Columbia, S.C., May 29, 1996

Mr. President and Senators:

The House respectfully informs your Honorable Body that it has adopted the report of the Committee of Conference on:

S. 507 -- Senator Wilson: A BILL TO AMEND SECTION 40-17-55, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE REGISTRATION OF A PRIVATE DETECTIVE BUSINESS, SO AS TO REVISE THE QUALIFICATIONS AN APPLICANT WHO DESIRES TO OPERATE A PRIVATE DETECTIVE BUSINESS MUST POSSESS, AND TO ESTABLISH THE QUALIFICATIONS A PRIVATE DETECTIVE EMPLOYED BY A PRIVATE DETECTIVE BUSINESS MUST POSSESS.
Very respectfully,
Speaker of the House

Received as information.

S. 507--REPORT OF THE
COMMITTEE OF CONFERENCE ADOPTED

On motion of Senator WILSON, with unanimous consent, the Report of the Committee of Conference was taken up for immediate consideration.

Senator WILSON spoke on the report.

On motion of Senator WILSON, the Report of the Committee of Conference to S. 507 was adopted as follows:

S. 507--Conference Report
The General Assembly, Columbia, S.C., May 28, 1996

The COMMITTEE OF CONFERENCE, to whom was referred:

That the same do pass with the following amendments:

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

/SECTION 1. Section 40-17-55, as added by Section 1, Act 78 of 1991, is amended to read:

"Section 40-17-55. (A) A person or corporation desiring to ~~carry on~~ operate a private detective business in this State ~~shall register with the division. The division may register a person who has not:~~

~~(1) been convicted of a felony or crime involving moral turpitude.~~

~~(2) committed an act constituting dishonesty or fraud~~ must obtain a Private Detective Business License from the State Law Enforcement Division (SLED). SLED may grant a license to a person or head of a corporation who files a verified application and who:

(1) has obtained a high school diploma or its equivalent;

(2) is at least twenty-one years of age;

(3) is a citizen of the United States;

(4) has not been convicted of a felony or a crime involving moral turpitude, even if pardoned for the disqualifying offense;

(5) is not a person with a record of mental illness that has not been restored to legal capacity;

(6) is not a veteran who has received less than an honorable discharge from military service; and

(7) is a person having had at least three years experience:

(a) as a private investigator;

(b) with a licensed private investigative agency;

(d) as an investigator with a federal, state, county, or municipal law enforcement agency.

(B) The application for ~~registration~~ licensure must be made in writing, under oath, on a form furnished by the division. The application must state the applicant's full name, age, date and place of birth, residences and employment within the past five years, and present occupation with the names and addresses of employers, the date and place of conviction of a crime, and additional information the division requires to investigate the integrity of the applicant. The applicant shall submit with the application one set of fingerprints on forms specified and furnished by the division and a photograph in color, two inches wide by three inches high, taken within six months before the application. The application must contain additional information and documentation the division may require by regulation.

(1) have a high school diploma or its equivalent;

(2) be at least eighteen years of age;

(3) be a citizen of the United States;

(4) not have been convicted of a felony or crime involving moral turpitude, even if pardoned for the disqualifying offense;

(5) not be a person with a record of mental illness that has not been restored to legal capacity; and

(6) not be a veteran who has received less than an honorable discharge from military service.

(D) A person registered as a private detective before this act becomes effective, who applies for a Private Detective Business License, is not required to meet the conditions contained in subsection (A)(1), (7), and that part of (4) which does allow a pardon."

SECTION 2. Section 16-23-20(1) of the 1976 Code, as last amended by Section 3, Act 85 of 1995, is further amended to read:

"(1) Regular, salaried law enforcement officers and reserve police officers of a municipality or county of the State, uncompensated Governor's constables, law enforcement officers of the federal government or other states when they are carrying out official duties while in this State, ~~and~~ deputy enforcement officers of the Natural Resources Enforcement Division of the Department of Natural Resources, and retired commissioned law enforcement officers employed as private detectives or private investigators."

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

Amend title to conform.

/s/Addison G. "Joe" Wilson        /s/Herbert Kirsh
/s/William H. O'Dell              /s/Annette Young-Brickell
/s/Robert W. Hayes                /s/Michael Stewart "Mickey" Whatley
On Part of the Senate.            On Part of the House.

, and a message was sent to the House accordingly.

H. 3663--REPORT OF THE
COMMITTEE OF CONFERENCE ADOPTED

H. 3663 -- Rep. Kirsh: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 56-3-2340 SO AS TO CREATE AN ANTIQUE MOTOR VEHICLE DEALER LICENSE PLATE.

On motion of Senator LAND, with unanimous consent, the Report of the Committee of Conference was taken up for immediate consideration.

Senator LAND spoke on the report.

On motion of Senator LAND, the Report of the Committee of Conference to H. 3663 was adopted as follows:

H. 3663--Conference Report
The General Assembly, Columbia, S.C., May 22, 1996

The COMMITTEE OF CONFERENCE, to whom was referred:

H. 3663 -- Rep. Kirsh: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 56-3-2345 SO AS TO CREATE AN ANTIQUE MOTOR VEHICLE DEALER LICENSE PLATE.
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 all after the enacting words and inserting:

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

"Section 56-3-2345. (A) Upon application being made and the required fee being paid to the department, the department may issue antique dealer license plates to a licensed motor vehicle dealer. The license plates, notwithstanding other provisions of this chapter to the contrary, may be used exclusively on antique motor vehicles owned by, assigned, or loaned for test driving purposes to the dealer when operated on the highways of this State by the dealer, its corporate officers, its employees, or a prospective purchaser of the antique motor vehicle. The use by a prospective purchaser is limited to seven days, and the dealer shall provide the prospective purchaser with a dated demonstration certificate. The certificate must be approved by the department. Antique dealer plates must not be used to operate wreckers or service vehicles in use by the dealer nor to operate vehicles owned by the dealer that are leased or rented by the public. No antique dealer plates may be issued by the department unless the dealer furnishes proof in a form acceptable to the department that he has a retail business license as required by Chapter 36 of Title 12 and has made at least five sales of antique motor vehicles in the twelve months preceding his application for a dealer plate. The sales requirement may be waived by the department if the dealer has been licensed for less than one year. For purposes of this section, the transfer of ownership of an antique motor vehicle between the same individual or corporation more than one time is considered as only one sale. Multiple transfer of antique motor vehicles between licensed dealers for the purpose of meeting eligibility requirements for antique motor vehicle dealer plates is prohibited.

(B) For good cause shown, the department may issue extra plates. If a dealer has been licensed less than one year, the department shall issue a number of license plates based on an estimated number of sales for the coming year. The department may increase or decrease the number of plates issued based on actual sales made.

(D) For purposes of this section, 'antique motor vehicle' means a motor vehicle which is over thirty years old."

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

/s/The Honorable Herbert Kirsh    /s/Senator Warren K. Giese
/s/The Honorable J. Gary Simrill  /s/Senator Kay Patterson
/s/The Honorable Daniel T. Cooper /s/Senator Glenn G. Reese
On Part of the House.             On Part of the Senate.

, and a message was sent to the House accordingly.

H. 3663--Enrolled for Ratification

The Report of the Committee of Conference having been adopted by both Houses, ordered that the title be changed to that of an Act and the Act enrolled for Ratification.

A message was sent to the House accordingly.

H. 3845--CONFERENCE COMMITTEE APPOINTED
Message from the House

Columbia, S.C., May 29, 1996

Mr. President and Senators:

The House respectfully informs your Honorable Body that it insists upon the amendments proposed by the House to:

H. 3845 -- Rep. Cromer: A BILL TO AMEND SECTION 14-7-130, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE PREPARATION OF THE JURY LIST FOR EACH COUNTY FROM A TAPE OF PERSONS HOLDING A VALID SOUTH CAROLINA DRIVER'S LICENSE, SO AS TO PROVIDE THAT THIS JURY LIST SHALL BE FURNISHED IN 1995 AND EVERY THIRD YEAR THEREAFTER RATHER THAN EACH YEAR, AND TO REVISE THE MONTHS IN WHICH THE LIST IS COMPILED AND FURNISHED.
asks for a Committee of Conference, and has appointed Reps. Tucker, Cromer and Klauber of the committee on the part of the House.

Very respectfully,
Speaker of the House

Whereupon, the PRESIDENT appointed Senators SALEEBY, MOORE and CORK of the Committee of Conference on the part of the Senate and a message was sent to the House accordingly.

H. 4431--CONFERENCE COMMITTEE APPOINTED
Message from the House

Columbia, S.C., May 23, 1996

Mr. President and Senators:

The House respectfully informs your Honorable Body that it refuses to concur in the amendments proposed by the Senate to:

H. 4431 -- Reps. Townsend, P. Harris, Huff, H. Brown, Cooper and Stille: A BILL TO AMEND SECTION 59-20-40, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DETERMINATION OF ALLOCATIONS TO SCHOOL DISTRICTS UNDER THE EDUCATION FINANCE ACT AND WEIGHTINGS TO ESTABLISH COST DIFFERENCES BETWEEN PROGRAMS, SO AS TO ADD A WEIGHTING FOR PUPILS WITH AUTISM.
Very respectfully,
Speaker of the House

On motion of Senator SETZLER, the Senate insisted upon its amendments to H. 4431 and asked for a Committee of Conference.

Whereupon, the PRESIDENT appointed Senators CORK, GREGORY and FAIR of the Committee of Conference on the part of the Senate and a message was sent to the House accordingly.

SUBSTITUTION FOR CONFERENCE
COMMITTEE APPOINTEE

Senator CORK, having notified the PRESIDENT that she was withdrawing as a member of the Committee of Conference on the part of the Senate on House Bill (H. 4431), the PRESIDENT appointed Senator SHORT.

H. 4803--CONFERENCE COMMITTEE APPOINTED
Message from the House

Columbia, S.C., May 23, 1996

Mr. President and Senators:

The House respectfully informs your Honorable Body that it refuses to concur in the amendments proposed by the Senate to:

H. 4803 -- Reps. Harrison and Wilkins: A JOINT RESOLUTION PROPOSING AN AMENDMENT TO SECTION 17, ARTICLE V OF THE CONSTITUTION OF SOUTH CAROLINA, 1895, RELATING TO THE REMOVAL OR RETIREMENT OF JUDGES, SO AS TO PERMIT THE SUPREME COURT TO REMOVE ANY JUDGE WITHIN THE UNIFIED JUDICIAL SYSTEM FROM OFFICE FOR MISCONDUCT, BREACH OF ANY ETHICAL OBLIGATION, HABITUAL INTEMPERANCE, OR PERSISTENT FAILURE TO PERFORM THE DUTIES OF THE OFFICE, AND ALSO TO PERMIT THE SUPREME COURT TO REMOVE OR RETIRE ANY JUDGE FROM OFFICE UPON A FINDING OF MENTAL OR PHYSICAL INCAPACITY RATHER THAN DISABILITY WHICH SERIOUSLY INTERFERES WITH THE PERFORMANCE OF HIS DUTIES WHICH IS OR IS LIKELY TO BECOME PERMANENT.
Very respectfully,
Speaker of the House

On motion of Senator HOLLAND, the Senate insisted upon its amendments to H. 4803 and asked for a Committee of Conference.

Whereupon, the PRESIDENT appointed Senators McCONNELL, RUSSELL and RANKIN of the Committee of Conference on the part of the Senate and a message was sent to the House accordingly.

HOUSE AMENDMENTS AMENDED
RETURNED TO THE HOUSE WITH AMENDMENTS

S. 506 -- Senator Saleeby: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 42-1-415 SO AS TO PROVIDE THAT UPON GIVING THE WORKERS' COMPENSATION COMMISSION DOCUMENTATION THAT A SUBCONTRACTOR HAS REPRESENTED HIMSELF TO A CONTRACTOR AS HAVING WORKERS' COMPENSATION INSURANCE AT THE TIME THE SUBCONTRACTOR WAS ENGAGED BY THE CONTRACTOR TO PERFORM WORK, THE CONTRACTOR IS RELIEVED OF RESPONSIBILITY FOR ALL CLAIMS FILED BY EMPLOYEES OF AN UNINSURED SUBCONTRACTOR, PROVIDE FOR THE EXCLUSIVE REMEDY OF THOSE EMPLOYEES, AND PROVIDE FOR THE CIRCUMSTANCES AND PENALTIES FOLLOWING THE FILING OF FALSE DOCUMENTATION OF WORKERS' COMPENSATION INSURANCE BY A SUBCONTRACTOR TO A CONTRACTOR OR A HIGHER TIER SUBCONTRACTOR.

The House returned the Bill with amendments.

Senator SALEEBY proposed the following amendment (506R001.EES), which was adopted:

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

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

"Section 42-1-415. (A) Notwithstanding any other provision of law, upon the submission of documentation to the commission that a contractor or subcontractor has represented himself to a higher tier subcontractor, contractor, or project owner as having workers' compensation insurance at the time the contractor or subcontractor was engaged to perform work, only the contractor or subcontractor who represented himself as having workers' compensation insurance may be considered a statutory employer for claims filed by his employees under this title. In the event that that employer is uninsured, regardless of the number of employees that that employer has, the higher tier subcontractor, contractor, project owner, or his insurance carrier shall in the first instance pay all awards of compensation and medical benefits provided by this title. The higher tier subcontractor, contractor, project owner, or his insurance carrier may then petition the commission to transfer responsibility for continuing compensation and benefits to the Uninsured Employers' Fund. The Uninsured Employers' Fund shall assume responsibility for claims within ninety days of a determination of responsibility made by the commission. The higher tier subcontractor, contractor, or project owner must be reimbursed from the Uninsured Employers' Fund as created by Section 42-7-200 for compensation, medical benefits, and reasonable expenses as may be determined by the commission. Any disputes arising as a result of claims filed under this section must be determined by the commission.

(B) To qualify for reimbursement under this section, the higher tier subcontractor, contractor, or project owner must collect documentation of insurance as provided in subsection (A) on a standard form prepared by the commission. The documentation must be collected at the time the contractor or subcontractor is engaged to perform work and must be turned over to the commission at the time a claim is filed by the injured employee.

(C) The falsifying of information contained in standard forms submitted pursuant to this section must be considered fraud and subjects the person responsible for filing such false documentation to the penalties for fraud as provided by law. Additionally, a subcontractor who falsely documents workers' compensation insurance shall suffer the revocation of his license or certificate as a contractor or residential home builder under applicable provisions of Title 40; provided, however, notwithstanding any other provision of law, the license or certificate of a contractor or residential home builder shall be revoked for a period of two-years when the contractor or subcontractor falsely documents workers' compensation insurance. Upon expiration of the two-year revocation period, or when the license or certificate of any contractor or subcontractor is revoked for refusal to reimburse the Uninsured Employers' Fund for a claim paid on its behalf, the licensing entity of the contractor or subcontractor may reissue the license or certificate of the contractor or residential home builder in the same manner as any other revoked license."

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

Renumber sections to conform.

Amend title to conform.

Senator SALEEBY explained the amendment.

There being no further amendments, the Bill was amended and ordered returned to the House with amendments.

HOUSE AMENDMENTS AMENDED
RETURNED TO THE HOUSE WITH AMENDMENTS

S. 1216 -- Senator Holland: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLE 4 TO CHAPTER 5, TITLE 7, SO AS TO ENACT PROVISIONS FOR MULTIPLE SITE VOTER REGISTRATION AND RESPONSIBILITIES OF THE SOUTH CAROLINA STATE ELECTION COMMISSION IN IMPLEMENTING THE NATIONAL VOTER REGISTRATION ACT OF 1993; TO AMEND SECTION 7-3-20, RELATING TO THE EXECUTIVE DIRECTOR OF THE STATE ELECTION COMMISSION, SO AS TO, AMONG OTHER THINGS, REQUIRE THE EXECUTIVE DIRECTOR TO MAINTAIN A COMPLETE MASTER FILE, RATHER THAN A ROSTER, OF ALL QUALIFIED ELECTORS, REQUIRE HIM TO DELETE THE NAME OF ANY ELECTOR WHO REQUESTS IN WRITING THAT HIS NAME BE REMOVED, AND DELETE CERTAIN PROVISIONS OF LAW; TO AMEND SECTION 7-3-30, RELATING TO NOTICE OF DELETION OF ELECTOR'S NAME FROM ROSTER OF ELECTORS, APPEAL BY ELECTOR, AND RESTORATION OF NAME, SO AS TO, AMONG OTHER THINGS, PROVIDE FOR A MASTER FILE, RATHER THAN A ROSTER, DELETE CERTAIN PROVISIONS, AND PROVIDE THAT IF THE DELETION IS FOR CONVICTION, THE APPEAL MUST BE TO THE EXECUTIVE DIRECTOR OF THE STATE ELECTION COMMISSION; TO AMEND SECTION 7-5-155, RELATING TO REGISTRATION OF ELECTORS BY MAIL, SO AS TO, AMONG OTHER THINGS, DELETE CERTAIN PROVISIONS, PROVIDE THAT IF THE POSTMARK DATE IS MISSING OR ILLEGIBLE, THE COUNTY BOARD OF VOTER REGISTRATION SHALL ACCEPT THE APPLICATION IF IT IS RECEIVED BY MAIL NO LATER THAN FIVE DAYS AFTER THE CLOSE OF THE REGISTRATION BOOKS BEFORE ANY ELECTION, AND REQUIRE COUNTY BOARDS OF VOTER REGISTRATION TO DISTRIBUTE APPLICATION FORMS TO CITY HALLS AND PUBLIC LIBRARIES; TO AMEND SECTION 7-5-440, RELATING TO THE REQUIREMENT THAT AN ELECTOR'S NAME MUST APPEAR ON THE LIST OF VOTERS IN ORDER TO BE ELIGIBLE TO VOTE, SO AS TO ESTABLISH A PROCEDURE BY WHICH A QUALIFIED ELECTOR WHO HAS MOVED FROM ONE ADDRESS TO ANOTHER AND HAS FAILED TO NOTIFY THE COUNTY BOARD OF REGISTRATION OF A CHANGE OF ADDRESS MAY VOTE; TO AMEND SECTION 7-7-720, RELATING TO CERTIFICATES WHICH MUST BE MAILED TO PERSONS WHOSE REGISTRATION IS TRANSFERRED, SO AS TO CHANGE THE PROCEDURE BY WHICH AN ELECTOR'S NAME MAY BE DELETED FROM THE MASTER FILE; TO AMEND SECTION 7-7-910, RELATING TO THE PLACE REGISTERED ELECTORS ARE REQUIRED TO VOTE, SO AS TO PROVIDE THAT THE SECTION IS ALSO SUBJECT TO THE PROVISIONS OF SECTION 7-5-440, AND DELETE THE PROVISIONS WHICH REQUIRE AN ELECTOR TO VOTE AT THE VOTING PLACE NEAREST TO HIS RESIDENCE WITHIN THE WARD OR OTHER SUBDIVISION OF HIS RESIDENCE, AND TO PROVIDE THAT HE MUST VOTE AT HIS DESIGNATED POLLING PLACE; TO AMEND SECTION 7-13-810, RELATING TO THE POWERS OF THE MANAGERS OF ELECTIONS, SO AS TO ADD A PROVISION WHICH WOULD AUTHORIZE ANY CANDIDATE TO PROTEST AN ELECTION IN WHICH HE IS A CANDIDATE PURSUANT TO THE PROVISIONS OF SECTION 7-17-30, WHEN THE PROTEST IS BASED IN WHOLE OR IN PART ON EVIDENCE DISCOVERED AFTER THE ELECTION, AND PROVIDE WHAT THIS EVIDENCE MAY INCLUDE; AND TO AMEND SECTION 7-25-180, RELATING TO THE DISTRIBUTION OF CAMPAIGN LITERATURE ON ELECTION DAY WITHIN TWO HUNDRED FEET OF A BUILDING WHERE A POLLING PLACE IS LOCATED, SO AS TO PROVIDE THAT THE CANDIDATE MAY WEAR A LABEL IDENTIFYING HIMSELF AS A CANDIDATE AND THE OFFICE HE IS SEEKING AND PROVIDE CONDITIONS ON THE WEARING OF THE LABEL.

The House returned the Bill with amendments.

Senator HOLLAND proposed the following amendment (JUD1216.001), which was adopted:

Amend the bill, as and if amended, page 14, beginning on line 33, by striking SECTION 11 in its entirety.

Renumber remaining SECTIONS to conform.

Amend title to conform.

Senator HOLLAND explained the amendment.

There being no further amendments, the Bill was amended and ordered returned to the House with amendments.

INTRODUCTION OF BILLS AND RESOLUTIONS

The following was introduced:

S. 1433 -- Senator Peeler: A CONCURRENT RESOLUTION TO RECOGNIZE AND EXTEND THE APPRECIATION OF THE MEMBERS OF THE SOUTH CAROLINA GENERAL ASSEMBLY TO MRS. HAZEL LOVELACE OF GAFFNEY FOR HER LONG AND DISTINGUISHED CAREER AS AN EDUCATOR IN SOUTH CAROLINA UPON HER UPCOMING RETIREMENT AND WISH HER A FUTURE FULL OF GOOD HEALTH.

The Concurrent Resolution was adopted, ordered sent to the House.

S. 1434 -- Senators Russell and Courtney: A SENATE RESOLUTION CONGRATULATING MISS KATHRYN REESE OF SPARTANBURG FOR ACHIEVING, THROUGH DEDICATION AND HARD WORK, THE ACADEMIC HONOR OF BEING A 1996 MAGNA CUM LAUDE GRADUATE OF THE UNIVERSITY OF SOUTH CAROLINA, AND COMMENDING HER ON HER MANY ACCOMPLISHMENTS AND FOR BEING AN EXCELLENT ROLE MODEL FOR THE CHILDREN OF OUR STATE.

Senator RUSSELL moved that the Resolution be adopted.

The "ayes" and "nays" were demanded and taken, resulting as follows:

Ayes 46; Nays 0

AYES

Alexander                 Boan                      Bryan
Cork                      Courson                   Courtney
Drummond                  Elliott                   Fair
Ford                      Giese                     Glover
Gregory                   Hayes                     Holland
Hutto                     Jackson                   Land
Lander                    Leatherman                Leventis
Martin                    Matthews                  McConnell
McGill                    Mescher                   Moore
O'Dell                    Passailaigue              Patterson
Peeler                    Rankin                    Reese
Richter                   Rose                      Russell
Ryberg                    Saleeby                   Setzler
Short                     Smith, G.                 Smith, J.V.
Thomas                    Waldrep                   Washington
Wilson

TOTAL--46

NAYS

TOTAL--0

The Senate Resolution was adopted.

H. 5055 -- Reps. Davenport, Mason, J. Hines, Rice, G. Brown, Meacham, Cato, J. Young, Walker, Wofford, McCraw, Klauber, H. Brown, Kelley, Young-Brickell, R. Smith, Dantzler, Wilkins, Hutson, Knotts, Wright, Riser, Cain, Robinson, Littlejohn, Delleney, Allison, Wells, Limbaugh, Richardson, Rhoad, Harvin, Lloyd, Waldrop, Whatley, Sandifer, Easterday, Wilder, Lanford, Loftis, Witherspoon, Koon, Gamble, Boan and Keegan: A CONCURRENT RESOLUTION TO RECOGNIZE THE TRADITIONAL FAMILY UNIT AS THE CORNERSTONE FOR FAMILY LIFE IN SOUTH CAROLINA AND TO RELY UPON THE TRADITIONAL FAMILY UNIT IN SHAPING PUBLIC POLICY IN THE STATE.

Amend Title To Conform

Whereas, the members of the General Assembly find it is important to support and endorse the standards of the traditional family unit; and

Whereas, the State of South Carolina should promote the health, safety, and welfare of the people of this State; and

Whereas, the members of the General Assembly believe they should promote public policy which preserves traditional family values and protects present and future generations; and

Whereas, the members of the General Assembly find that the traditional family unit offers the best structure for future generations and the best support for older generations and should be the basis for all public policy affecting families and family life in this State. Now, therefore,

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

That the members of the General Assembly, by this resolution, recognize the traditional family unit as the cornerstone for family life in South Carolina and shall rely upon all existing state laws to protect the traditional family unit in shaping public policy in the State.

Referred to the General Committee.

H. 5068 -- Rep. Cotty, Shissias, Howard and Scott: A CONCURRENT RESOLUTION EXPRESSING SORROW AT THE DEATH OF LONNIE B. NELSON OF RICHLAND COUNTY AND EXTENDING SYMPATHY TO HIS MANY FRIENDS AND ADMIRERS.

The Concurrent Resolution was adopted, ordered returned to the House.

H. 5070 -- Reps. Scott, Breeland, J. Brown, T. Brown, Byrd, Canty, Cave, Clyburn, Cobb-Hunter, Govan, J. Hines, Howard, Inabinett, Kennedy, Lloyd, McMahand, Moody-Lawrence, Neal, L. Whipper, S. Whipper, White, Allison, Askins, Bailey, Baxley, Boan, G. Brown, H. Brown, Cain, Carnell, Cato, Chamblee, Cooper, Cotty, Cromer, Dantzler, Davenport, Delleney, Easterday, Elliott, Felder, Fleming, Fulmer, Gamble, Hallman, Harrell, J. Harris, P. Harris, Harrison, Harvin, Haskins, Herdklotz, M. Hines, Hodges, Hutson, Jaskwhich, Jennings, Keegan, Kelley, Keyserling, Kinon, Kirsh, Klauber, Knotts, Koon, Lanford, Law, Lee, Limbaugh, Limehouse, Littlejohn, Loftis, Marchbanks, Martin, Mason, McAbee, McCraw, McElveen, McKay, McTeer, Meacham, Neilson, Phillips, Quinn, Rhoad, Rice, Richardson, Riser, Robinson, Rogers, Sandifer, Seithel, Sharpe, Sheheen, Shissias, Simrill, D. Smith, R. Smith, Spearman, Stille, Stoddard, Stuart, Townsend, Tripp, Trotter, Tucker, Vaughn, Waldrop, Walker, Wells, Whatley, Wilder, Wilkes, Wilkins, Witherspoon, Wofford, Worley, Wright, J. Young and Young-Brickell: A CONCURRENT RESOLUTION EXPRESSING APPRECIATION FOR THE OUTSTANDING SERVICE IN THE HOUSE OF REPRESENTATIVES OF THE HONORABLE DEWITT WILLIAMS OF BERKELEY COUNTY, OUR GOOD FRIEND AND DISTINGUISHED COLLEAGUE IN THE GENERAL ASSEMBLY.

The Concurrent Resolution was adopted, ordered returned to the House.

H. 5071 -- Reps. Scott, Breeland, J. Brown, T. Brown, Byrd, Canty, Cave, Clyburn, Cobb-Hunter, Govan, J. Hines, Howard, Inabinett, Kennedy, Lloyd, McMahand, Moody-Lawrence, Neal, L. Whipper, S. Whipper, White, Williams, Allison, Askins, Bailey, Baxley, Boan, G. Brown, H. Brown, Cain, Carnell, Cato, Chamblee, Cooper, Cotty, Cromer, Dantzler, Davenport, Delleney, Easterday, Elliott, Felder, Fleming, Fulmer, Gamble, Hallman, Harrell, J. Harris, P. Harris, Harrison, Harvin, Haskins, Herdklotz, M. Hines, Hodges, Hutson, Jaskwhich, Jennings, Keegan, Kelley, Keyserling, Kinon, Kirsh, Klauber, Knotts, Koon, Lanford, Law, Lee, Limbaugh, Limehouse, Littlejohn, Loftis, Marchbanks, Martin, Mason, McAbee, McCraw, McElveen, McKay, McTeer, Meacham, Neilson, Phillips, Quinn, Rhoad, Rice, Richardson, Riser, Robinson, Rogers, Sandifer, Seithel, Sharpe, Sheheen, Shissias, Simrill, D. Smith, R. Smith, Spearman, Stille, Stoddard, Stuart, Townsend, Tripp, Trotter, Tucker, Vaughn, Waldrop, Walker, Wells, Whatley, Wilder, Wilkes, Wilkins, Witherspoon, Wofford, Worley, Wright, J. Young and Young-Brickell: A CONCURRENT RESOLUTION COMMENDING THE HONORABLE RALPH ANDERSON OF GREENVILLE COUNTY, OUR GOOD FRIEND AND DISTINGUISHED COLLEAGUE IN THE GENERAL ASSEMBLY, FOR HIS EXEMPLARY LEGISLATIVE SERVICE.

The Concurrent Resolution was adopted, ordered returned to the House.

H. 5072 -- Rep. Scott: A CONCURRENT RESOLUTION CONGRATULATING MRS. JOYCE ANN LAW OF RICHLAND COUNTY ON BEING RECOGNIZED AS THE 1995-96 TEACHER OF THE YEAR AT A. J. LEWIS GREENVIEW ELEMENTARY SCHOOL AND TO EXTEND BEST WISHES FOR CONTINUED SUCCESS IN ALL OF HER FUTURE ENDEAVORS.

The Concurrent Resolution was adopted, ordered returned to the House.

H. 5074 -- Rep. Wilkins: A CONCURRENT RESOLUTION EXTENDING CONGRATULATIONS AND APPRECIATION TO THE HONORABLE HEYWARD GROVERMAN HUTSON, A DEDICATED, CONSCIENTIOUS, AND COMMITTED MEMBER OF THE HOUSE OF REPRESENTATIVES SINCE 1993, AND WISHING HIM THE BEST ON THE OCCASION OF HIS RETIREMENT FROM THE HOUSE OF REPRESENTATIVES.

The Concurrent Resolution was adopted, ordered returned to the House.

H. 5075 -- Reps. Baxley, Kinon and M. Hines: A CONCURRENT RESOLUTION COMMENDING THE HONORABLE LARRY L. ELLIOTT OF MARION COUNTY, OUR GOOD FRIEND AND DISTINGUISHED COLLEAGUE IN THE GENERAL ASSEMBLY, FOR HIS OUTSTANDING PUBLIC SERVICE.

The Concurrent Resolution was adopted, ordered returned to the House.

H. 5076 -- Reps. Tucker and P. Harris: A CONCURRENT RESOLUTION CONGRATULATING T. L. HANNA HIGH SCHOOL OF ANDERSON ON WINNING THE CLASS AAA STATE CHAMPIONSHIP IN BOYS SOCCER FOR 1996.

The Concurrent Resolution was adopted, ordered returned to the House.

H. 5077 -- Reps. H. Brown and Law: A CONCURRENT RESOLUTION TO COMMEND THE HONORABLE SANDRA S. "SANDI" WOFFORD OF BERKELEY COUNTY FOR HER OUTSTANDING SERVICE IN THE SOUTH CAROLINA HOUSE OF REPRESENTATIVES AND WISH HER WELL IN ALL HER FUTURE ENDEAVORS.

The Concurrent Resolution was adopted, ordered returned to the House.

H. 5078 -- Reps. Tucker and P. Harris: A CONCURRENT RESOLUTION WISHING GOOD HEALTH AND A SPEEDY RECOVERY TO THE HONORABLE DARWIN WRIGHT, MAYOR OF ANDERSON, FOLLOWING HIS RECENT SURGERY IN ATLANTA.

The Concurrent Resolution was adopted, ordered returned to the House.

H. 5079 -- Reps. Tucker and P. Harris: A CONCURRENT RESOLUTION COMMENDING RICHARD SHIRLEY OF ANDERSON FOR A JOB WELL DONE AS VICE PRESIDENT AND CITY EXECUTIVE FOR BB&T, AND WISHING HIM SUCCESS AND HAPPINESS IN HIS FUTURE ENDEAVORS.

The Concurrent Resolution was adopted, ordered returned to the House.

H. 5080 -- Reps. Cromer, Scott, J. Brown, Byrd, Rogers, Howard, Cotty, Harrison, Quinn and Sheheen: A CONCURRENT RESOLUTION TO COMMEND THE HONORABLE JUNE STROTHER SHISSIAS OF RICHLAND COUNTY FOR HER OUTSTANDING LEGISLATIVE SERVICE TO THE PEOPLE OF SOUTH CAROLINA.

The Concurrent Resolution was adopted, ordered returned to the House.

H. 5081 -- Reps. Allison, Littlejohn, Walker, Wilder, D. Smith, Davenport, Lee, Vaughn and Lanford: A CONCURRENT RESOLUTION TO COMMEND THE HONORABLE CAROLE C. WELLS OF SPARTANBURG COUNTY FOR HER OUTSTANDING SERVICE IN THE SOUTH CAROLINA HOUSE OF REPRESENTATIVES AND TO WISH HER WELL AS SHE BEGINS HER SERVICE ON THE SOUTH CAROLINA EMPLOYMENT SECURITY COMMISSION.

The Concurrent Resolution was adopted, ordered returned to the House.

H. 5082 -- Reps. Jennings, Baxley and Kinon: A CONCURRENT RESOLUTION COMMENDING THE HONORABLE L. MORGAN MARTIN OF HORRY COUNTY, OUR DISTINGUISHED COLLEAGUE AND FRIEND, FOR HIS SIX YEARS OF OUTSTANDING LEGISLATIVE SERVICE TO THE PEOPLE OF SOUTH CAROLINA AND WISHING HIM CONTINUED SUCCESS IN HIS CAREER.

The Concurrent Resolution was adopted, ordered returned to the House.

H. 3961--FREE CONFERENCE POWERS GRANTED
FREE CONFERENCE COMMITTEE APPOINTED
REPORT OF THE COMMITTEE OF
FREE CONFERENCE ADOPTED

H. 3961 -- Reps. Wilkins, Harrison, D. Smith, Huff, Cromer, Fulmer, Wells, Meacham, Cotty, Witherspoon, Wright, Tripp, H. Brown, Sharpe, Sandifer, Cain, Fair, Rice, Fleming, Mason, A. Young, Kelley, Herdklotz, Seithel, Riser, Haskins, Simrill, Keegan, Trotter, Hutson, R. Smith, Marchbanks, Harrell, Stuart, Klauber, Waldrop and Davenport: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 6 TO TITLE 14 SO AS TO CREATE THE JUDICIAL MERIT SELECTION COMMISSION AND TO ESTABLISH ITS POWERS, DUTIES, AND FUNCTIONS; TO AMEND SECTIONS 1-23-510, 1-23-520, 1-23-525, 1-23-530, AND 1-23-550, RELATING TO JUDGES OF THE ADMINISTRATIVE LAW JUDGE DIVISION, SO AS TO PROVIDE THAT THESE JUDGES MUST BE APPOINTED BY THE GOVERNOR FROM A LIST OF NOMINEES SUBMITTED BY THE JUDICIAL MERIT SELECTION COMMISSION; 2-19-10, RELATING TO THE JOINT LEGISLATIVE COMMITTEE TO REVIEW CANDIDATES, SO AS TO DELETE PROVISIONS ON ELECTING THE MEMBERS OF THE JUDICIARY; 14-1-215, AS AMENDED, RELATING TO RETIRED JUDGES OR JUSTICES PRESIDING IN CERTAIN COURTS, SO AS TO FURTHER PROVIDE FOR THE MANNER AND CONDITIONS OF THIS SERVICE; 14-3-10, RELATING TO THE COMPOSITION OF THE SUPREME COURT, SO AS TO PROVIDE THAT THE JUSTICES THEREOF SHALL BE APPOINTED BY THE GOVERNOR IN THE MANNER PROVIDED ABOVE INSTEAD OF ELECTED BY THE GENERAL ASSEMBLY; 14-3-20, RELATING TO THE QUALIFICATIONS OF JUSTICES TO THE SUPREME COURT, SO AS TO PROVIDE FOR THEIR APPOINTMENT BY THE GOVERNOR INSTEAD OF ELECTION BY THE GENERAL ASSEMBLY; 14-3-40, RELATING TO THE VACANCIES IN THE SUPREME COURT, SO AS TO PROVIDE FOR APPOINTMENTS TO FILL A VACANCY; 14-5 110, RELATING TO THE QUALIFICATIONS OF CIRCUIT COURT JUDGES, SO AS TO REFER TO THEIR APPOINTMENT RATHER THAN THEIR ELECTION; 14-5-160, RELATING TO THE ASSIGNMENT OF A JUDGE TO FILL A VACANCY, SO AS TO PROVIDE THE PROCEDURE TO FILL A VACANCY; 14-5-610, AS AMENDED, RELATING TO JUDICIAL CIRCUITS AND ELECTION OF JUDGES, SO AS TO PROVIDE FOR THEIR APPOINTMENT BY THE GOVERNOR; 14-8-20, RELATING TO THE ELECTION OF JUDGES OF THE COURT OF APPEALS, SO AS TO PROVIDE FOR THEIR APPOINTMENT BY THE GOVERNOR; 14-8-30, RELATING TO THE QUALIFICATIONS OF JUDGES OF THE COURT OF APPEALS, SO AS TO PROVIDE FOR APPOINTMENT BY THE GOVERNOR; 14-8-40, RELATING TO THE OATH OF OFFICE OF JUDGES OF THE COURT OF APPEALS, SO AS TO PROVIDE FOR THEIR APPOINTMENT BY THE GOVERNOR; 14-8-60, RELATING TO THE VACANCIES ON THE COURT OF APPEALS, SO AS TO PROVIDE FOR THE PROCEDURE TO FILL A VACANCY; 20-7-1370, AS AMENDED, RELATING TO THE QUALIFICATIONS AND TERMS OF FAMILY COURT JUDGES, SO AS TO PROVIDE FOR THEIR APPOINTMENT BY THE GOVERNOR; 20-7-1410, RELATING TO THE INITIAL ELECTION OF FAMILY COURT JUDGES, SO AS TO PROVIDE FOR THEIR APPOINTMENT BY THE GOVERNOR; TO REPEAL SECTIONS 2-19-70 AND 2-19-80, RELATING TO THE PROHIBITION AGAINST PLEDGING AND REOPENING OF FILING WHERE INCUMBENT JUDGES WITHDRAW, DIE, OR ARE FOUND NOT QUALIFIED, RESPECTIVELY; AND TO PROVIDE THAT THE ABOVE PROVISIONS TAKE EFFECT UPON RATIFICATION OF AN AMENDMENT TO ARTICLE V OF THE CONSTITUTION OF THIS STATE ESTABLISHING THE JUDICIAL MERIT SELECTION COMMISSION TO ASSIST THE GOVERNOR IN APPOINTING JUDGES FOR THE ABOVE-REFERENCED COURTS.

The Report of the Committee of Conference was taken up for immediate consideration.

Senator PASSAILAIGUE argued contra to the adoption of the Report of the Committee of Conference.

Senators MOORE and McCONNELL argued in favor of the adoption of the report.

H. 3961--Free Conference Powers Granted

Senator McCONNELL moved for Free Conference Powers.

The "ayes" and "nays" were demanded and taken, resulting as follows:

Ayes 39; Nays 5

AYES

Alexander                 Boan                      Bryan
Cork                      Courson                   Courtney
Drummond                  Elliott                   Fair
Giese                     Gregory                   Hayes
Holland                   Hutto                     Jackson
Land                      Lander                    Leventis
Martin                    McConnell                 McGill
Mescher                   Moore                     O'Dell
Peeler                    Rankin                    Reese
Richter                   Rose                      Russell
Ryberg                    Saleeby                   Setzler
Short                     Smith, G.                 Smith, J.V.
Thomas                    Waldrep                   Wilson

TOTAL--39

NAYS

Glover                    Matthews                  Passailaigue
Patterson                 Washington

TOTAL--5

Free Conference Powers were granted.

Committee of Free Conference Appointed

Whereupon, the PRESIDENT appointed Senators McCONNELL, MOORE and COURSON to the Committee of Free Conference on the part of the Senate and a message was sent to the House accordingly.

On motion of Senator McCONNELL, with unanimous consent, the Report of the Committee of Free Conference was adopted as follows:

FREE CONFERENCE REPORT
The General Assembly, Columbia, S.C., May 21, 1996

The COMMITTEE OF FREE CONFERENCE, to whom was referred:

That the same do pass with the following amendments:

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

/ PART I

SECTION 1. Chapter 19, Title 2 of the 1976 Code is amended to read:

"CHAPTER 19
Election of Justices and Judges

Section 2-19-10. (A) Whenever an election is to be held by the General Assembly in Joint Session, ~~including~~ for members of the judiciary, a ~~joint committee~~ Judicial Merit Selection Commission, composed of ~~eight members~~ ten members, ~~four of whom shall be members of the House of Representatives and four of whom shall be members of the Senate,~~ shall be appointed, in the manner prescribed by this section, to consider the qualifications of the candidates. ~~Each body shall determine how its respective members shall be selected.~~ ~~Each joint committee shall meet as soon after its appointment as may be practicable and shall elect one of its members as chairman, one as secretary, and such other officers as it may deem desirable.~~ The Judicial Merit Selection Commission shall meet at least once annually and at other times as may be designated by the chairman. The commission, at its first meeting and then annually, shall elect a chairman and a vice-chairman who shall serve for a term of one year and until their successors are elected and qualified, and adopt rules necessary to the purposes of the commission. These rules shall address, among other things:

(1) the confidentiality of records and other information received concerning candidates for judicial office;

(2) the conduct of proceedings before the commission;

(3) receipt of public statements in support of, or in opposition to, any of the candidates;

(4) procedures to review the qualifications of retired judges for continued judicial service;

(5) contacting incumbent judges regarding their desire to seek reelection;

(6) prohibition against candidates communicating with individual members of the commission concerning the qualifications of candidates unless specifically authorized by the commission.

A member may succeed himself as chairman or vice-chairman. Six members of the commission constitute a quorum at all meetings.

(B) Notwithstanding any other provision of law, the Judicial Merit Selection Commission shall consist of the following individuals:

(1) five members appointed by the Speaker of the House of Representatives and of these appointments:

(a) three members must be serving members of the General Assembly; and

(b) two members must be selected from the general public;

(2) three members appointed by the Chairman of the Senate Judiciary Committee and two members appointed by the President Pro Tempore of the Senate and of these appointments:

(a) three members must be serving members of the General Assembly; and

(b) two members must be selected from the general public.

(C) In making appointments to the commission, race, gender, national origin, and other demographic factors should be considered to ensure nondiscrimination to the greatest extent possible as to all segments of the population of the State.

(D) The term of office of a member of the commission who is not a member of the General Assembly shall be for four years subject to a right of removal at any time by the person appointing him, and until his successor is appointed and qualifies. A member of the commission who is a serving member of the General Assembly shall serve for the term of office to which he has been elected.

(E) A vacancy on the Judicial Merit Selection Commission must be filled for the remainder of the unexpired term in the same manner as provided for the original selection.

(F) No member of the commission shall receive any compensation for commission services, except those set by law for travel, board, and lodging expenses incurred in the performance of commission duties.

(G) No member of the Judicial Merit Selection Commission is eligible for nomination and appointment as a judge or justice of the state court system or administrative law judge division while serving on the commission and for a period of one year thereafter.

Section 2-19-15. For any office filled by election of the General Assembly for which screening is required pursuant to this chapter, except for judicial offices, the joint committee may not accept a notice of intention to seek such office from any candidate as provided by Section 2-19-10, until the clerk of the House or Senate, as appropriate, has certified that the proper notices required by this section have been published or provided or until the time for the publication of such notices has expired.

(1) If the office to be filled is from the State at large, a notice of the position vacancy must be forwarded to three newspapers of general circulation in the State with a request that it be published at least once a week for four consecutive weeks. If the office to be filled is from a congressional district, judicial circuit, or other area of this State less than the State at large, a notice of the position vacancy must be forwarded to three newspapers of general circulation in that district, circuit, or area with a request that it be published at least once a week for four consecutive weeks.

(2) Notices of the position vacancy also must be furnished, on or before the date of the first newspaper publication provided in item (1), in writing to any person who has informed the committee that he desires to be notified of same.

(3) If the office to be filled is from a congressional district, judicial circuit, or other area of the State but not from the State at large, notices of the position vacancy also must be provided to each member of the General Assembly representing a portion of that district, circuit, or area. If it is a position filled from the state at large, each member of the General Assembly shall receive such notice.

~~(4) The cost of the notification process required by this section must be absorbed and paid from the approved accounts of both houses as contained in the annual general appropriations act.~~

~~Nothing in this section prevents the joint committee from providing notices other than those required by this section which the committee believes are appropriate.~~

Section 2-19-20. (A) It is the responsibility of the Judicial Merit Selection Commission to determine when judicial vacancies are to occur in the administrative law judge division and on the family court, circuit court, Court of Appeals, or Supreme Court and to expeditiously investigate in advance the qualifications of those who seek nomination. For purposes of this chapter, a vacancy is created in the administrative law judge division or on the family court, circuit court, Court of Appeals, or Supreme Court when any of the following occurs: a term expires; a new judicial position is created; or a judge can no longer serve due to resignation, retirement, disciplinary action, disability, or death.

(B) The commission, upon receiving notice of a judicial vacancy, ascertaining that a judicial vacancy shall occur, or receiving the decision of an incumbent judge regarding his seeking reelection, shall notify the Supreme Court of the vacancy for publication in the advance sheets provided by the Clerk of the Supreme Court at least thirty days prior to closing applications for the vacancy. The commission shall, if practicable, also notify the South Carolina Bar, other professional legal organizations it considers appropriate, and each newspaper of this State with daily circulation of the vacancy at least thirty days prior to closing applications for the vacancy. This notice must include, but not be limited to, the judicial office in which the vacancy occurs, the address to which, and the date by which interested candidates may apply.

(C) The Judicial Merit Selection Commission shall announce and publicize vacancies and forthcoming vacancies in the administrative law judge division or on the family court, circuit court, Court of Appeals, or Supreme Court. A person who may desire to be considered for nomination as justice or judge may make application to the commission. The commission shall announce the names of those persons who have applied.

(D) Any person wishing to seek an a judicial office, which is elected by the General Assembly, shall file a notice of intention to seek the office with the ~~joint committee~~ Judicial Merit Selection Commission. Upon receipt of ~~such~~ the notice of intention, the ~~joint committee~~ commission shall begin to conduct ~~such~~ the investigation of the candidate as it ~~deems~~ considers appropriate and may in ~~such~~ the investigation utilize the services of any agency of ~~State~~ state government. ~~Any such~~ This agency shall, upon request, cooperate fully with the ~~joint committee~~ commission.

Section 2-19-25. The Judicial Merit Selection Commission is authorized to investigate and obtain information relative to any candidate for an administrative law judgeship or a family court, circuit court, Court of Appeals, or Supreme Court judgeship from any state agency or other group including, but not limited to, court administration and any law enforcement agency, to the extent permitted by law. The chairman of the commission shall notify the president of the South Carolina Bar of the judgeships to be filled and of the candidates for those judgeships no later than four weeks before the scheduled date for the public hearing. The chairman of the commission shall also request the South Carolina Bar to offer the commission an assessment of each candidate's qualifications for the judgeship sought, and the date by which the assessment must be returned to the commission. This assessment must specify the bar's finding as to whether each candidate is qualified or unqualified for the judgeship sought and the reasons for that finding. The commission may receive the bar's assessment in that form and at that time it desires but shall attach the assessments to its findings of fact in such form as the commission considers appropriate. Failure of the bar to return the assessment by the date requested is not a ground for delaying the applicable hearings or election.

Section 2-19-30. (A) Upon completion of the investigation, the ~~chairman~~ Chairman of the ~~joint committee~~ Judicial Merit Selection Commission shall schedule a public hearing concerning the qualifications of the candidates. ~~Such hearings shall be conducted no later than two weeks prior to the date set in the election resolution for such election.~~ Any person who desires to testify at the hearing, including candidates, shall furnish a written statement of his proposed testimony to the ~~chairman of the joint committee~~ commission. ~~Such~~ The statements ~~shall~~ must be furnished no later than forty-eight hours ~~prior to~~ before the date and time set for the hearing. The ~~joint committee~~ commission shall determine the persons who shall testify at the hearing. All testimony, including documents furnished to the ~~joint committee~~ commission, ~~shall~~ must be submitted under oath and persons knowingly furnishing false information either orally or in writing ~~shall be~~ are subject to the penalties provided by law for perjury and false swearing.

(B) During the course of the investigation, the ~~joint committee~~ commission may schedule an executive session at which each candidate, and other persons whom the ~~committee~~ commission wishes to interview, may be interviewed by the ~~joint committee~~ commission on matters pertinent to the candidate's qualification for the office to be filled.

(C) A reasonable time thereafter the ~~committee~~ commission shall render its tentative findings as to whether the candidate is qualified for the office to be filled and its reasons therefor as to each candidate.

(D) As soon as possible after the completion of the hearing, a verbatim copy of the testimony, documents submitted at the hearing, and findings of fact ~~shall~~ must be transcribed and published ~~in the Journals of both houses~~ or otherwise made available in a reasonable number of copies to the members of both houses prior to the date of the scheduled election, and a copy thereof shall be furnished to each candidate and anyone else upon request. A charge for these copies may be made as authorized in the Freedom of Information Act.

(E) A candidate may withdraw at any stage of the proceedings and in ~~such~~ this event no further inquiry, report on, or consideration of his candidacy shall be made.

Section 2-19-35. Where a vacancy on a board of trustees of a college or university of this State, requiring election by the General Assembly to fill, has occurred for any reason other than expiration of the term and is unfilled at the beginning of an annual session of the General Assembly, a joint review committee to consider applicants for this vacancy and others of similar circumstances must be appointed within six legislative days after the annual session of the General Assembly convenes, and the election to fill this vacancy must occur within six weeks after the joint review committee is appointed unless no candidates for the office are offering for election who have been reviewed by the committee. (A) The responsibility of the Judicial Merit Selection Commission is to investigate and consider the qualifications of the candidates for judicial office in the administrative law judge division or on the family court, circuit court, Court of Appeals, or Supreme Court. Investigations and consideration of the commission should include, but are not limited to, the following areas:

(1) constitutional qualifications;

(2) ethical fitness;

(3) professional and academic ability;

(4) character;

(5) reputation;

(6) physical health;

(7) mental stability;

(8) experience; and

(9) judicial temperament.

(B) In making nominations, race, gender, national origin, and other demographic factors should be considered by the commission to ensure nondiscrimination to the greatest extent possible as to all segments of the population of the State.

Section 2-19-40. Notwithstanding the provisions of this chapter, when there is no known opposition to a candidate, and there appears to be no substantial reason for having a public hearing, whether or not he a candidate is be an incumbent, and no request is made by at least ~~ten~~ six members of the ~~House of Representatives and five members of the Senate~~ Judicial Merit Selection Commission for a public hearing, the ~~joint committee~~ commission chairman upon recommendation of the ~~joint committee~~ commission may determine that ~~such~~ the public hearing is unnecessary and it ~~shall~~ may not be held.~~, but no election shall be held prior to such a determination.~~

Section 2-19-50. All records, information and other material that the ~~joint committee~~ Judicial Merit Selection Commission has obtained or used to make its findings of fact, except ~~such~~ materials, records, and information presented under oath at the public hearing, ~~shall~~ must be kept strictly confidential. After the ~~joint committee~~ commission has reported its findings of fact, or after a candidate withdraws his name from consideration, all records, information, and material required to be kept confidential ~~shall~~ must be destroyed.

Section 2-19-60. The ~~joint committee~~ Judicial Merit Selection Commission in the discharge of its duties may administer oaths and affirmations, take depositions, and issue subpoenas to compel the attendance of witnesses and the production of books, papers, correspondence, memoranda, and other records ~~deemed~~ considered necessary in connection with the investigation of ~~such joint committee~~ the candidate.

No person shall be excused from attending and testifying or from producing books, papers, correspondence, memoranda, or other records before the ~~joint committee~~ Judicial Merit Selection Commission on the ground that the testimony or evidence, documentary or otherwise, required of him may tend to incriminate him or subject him to a penalty or forfeiture. But no individual shall be prosecuted or subjected to any criminal penalty based upon testimony or evidence submitted or forfeiture for or on account of any transaction, matter or thing concerning which he is compelled, after having claimed his privilege against self incrimination, to testify or produce evidence, documentary or otherwise, except that ~~such~~ the individual so testifying shall not be exempt from prosecution and punishment for perjury and false swearing committed in so testifying.

In case of contumacy by any person or refusal to obey a subpoena issued to any person, any circuit court of this State or circuit judge thereof within the jurisdiction of which ~~such~~ the person guilty of contumacy or refusal to obey is found, resides, or transacts business, upon application by the ~~joint committee~~ Judicial Merit Selection Commission may issue to ~~such persons~~ this person an order requiring him to appear before the ~~joint committee~~ commission to produce evidence if so ordered or to give testimony touching the matter under investigation. Any failure to obey an order of the court may be punished as a contempt hereof. Subpoenas shall be issued in the name of the ~~joint committee~~ Judicial Merit Selection Commission and shall be signed by the ~~joint committee~~ commission chairman. Subpoenas shall be issued to ~~such~~ those persons as the ~~joint committee~~ commission may designate.

Section 2-19-70. (A) No member of the General Assembly may be elected to a judicial office while he is serving in the General Assembly nor shall that person be elected to a judicial office for a period of one year after he either:

(1) ceases to be a member of the General Assembly; or

(2) fails to file for election to the General Assembly in accordance with Section 7-11-15.

(B) The privilege of the floor in either house of the General Assembly may not be granted to a former member during the time his application is pending before the commission and during the time his nomination by the commission for election to a particular judicial office is pending in the General Assembly.

(C) No candidate for judicial office may seek directly or indirectly the pledge of a member of the General Assembly's vote or, directly or indirectly, contact a member of the General Assembly regarding screening for the judicial office until the qualifications of all candidates for that office have been determined by the ~~judicial screening committee~~ Judicial Merit Selection Commission and the commission has formally released its report as to the qualifications of all candidates for the vacancy to the General Assembly~~, nor may a~~. No member of the General Assembly may offer ~~the~~ his pledge until the qualifications of all candidates for that office have been determined by the ~~judicial screening committee~~ Judicial Merit Selection Commission and until the commission has formally released its report as to the qualifications of its nominees to the General Assembly. The formal release of the report of qualifications shall occur no earlier than forty-eight hours after the nominees have been initially released to members of the General Assembly. For purposes of this section, indirectly seeking a pledge means the candidate, or someone acting on behalf of and at the request of the candidate, requesting a person~~, before screening,~~ to contact a member of the General Assembly on behalf of the candidate before nominations for that office are formally made by the commission. The prohibitions of this section do not extend to an announcement of candidacy by the candidate and statements by the candidate detailing the candidate's qualifications.

(D) No member of the General Assembly may trade anything of value, including pledges to vote for legislation or for other candidates, in exchange for another member's pledge to vote for a candidate for judicial office.

(E) Violations of this section may be considered by the ~~screening committee~~ merit selection commission when it considers the candidate's qualifications. Violations of this section by members of the General Assembly shall be reported by the commission to the House or Senate Ethics Committee, as may be applicable. Violations of this section by non-legislative commission members shall be reported by the commission to the State Ethics Commission. A violation of this section is a misdemeanor and, upon conviction, the violator must be fined not more than one thousand dollars or imprisoned not more than ninety days. Cases tried under this section may not be transferred from general sessions court pursuant to Section 22-3-545.

Section 2-19-80. Where the joint committee finds an incumbent judge for a family court, circuit court, court of appeals, or Supreme Court judgeship not qualified for the office sought, or an incumbent judge running for that judgeship withdraws or dies before the election after filing, the election for that office may not be held until additional candidates, if any, for a period of fourteen days from the date of the reopening of filing for that office have been given an opportunity to file notice of intention to seek the office pursuant to Section 2-19-20, hearings on these candidates, if necessary, have been conducted, pursuant to Section 2-19-30, and the joint committee has rendered its report concerning these additional candidates. (A) The commission shall make nominations to the General Assembly of candidates and their qualifications for election to the Supreme Court, Court of Appeals, circuit court, family court, and the administrative law judge division. It shall review the qualifications of all applicants for a judicial office and select therefrom and submit to the General Assembly the names and qualifications of the three candidates whom it considers best qualified for the judicial office under consideration. If fewer than three persons apply to fill a vacancy or if the commission concludes there are fewer than three candidates qualified for a vacancy, it shall submit to the General Assembly only the names and qualifications of those who are considered to be qualified, with a written explanation for submitting fewer than three names.

(B) The nominations of the commission for any judgeship are binding on the General Assembly, and it shall not elect a person not nominated by the commission. Nothing shall prevent the General Assembly from rejecting all persons nominated. In this event, the commission shall submit another group of names and qualifications for that position. Further nominations in the manner required by this chapter must be made until the office is filled.

(C)(1) If the commission does not find the incumbent justice or judge qualified for the judicial office held and sought, his name shall not be submitted to the General Assembly for reelection and upon expiration of his then current term of office, he shall cease serving in that judicial position.

(2) If the commission finds an incumbent judge not qualified for the office sought, or if an incumbent judge dies, withdraws, or becomes otherwise disqualified for the office sought between the time he makes application for the office and the date of the election therefor, the election for the office may not be held at that scheduled time and the commission shall proceed in accordance with the provisions of this chapter to make other nominations for the office as though a new vacancy without an incumbent exists in that office, including reopening the application process with all required notices. Nothing prevents the commission from including in its new nominations the names and qualifications of persons other than the incumbent judge it included in its previous nominations.

(D) The commission shall accompany its nominations to the General Assembly with reports or recommendations as to the qualifications of particular candidates.

(E) A period of at least three weeks must elapse between the date of the commission's nominations to the General Assembly and the date the General Assembly conducts the election for these judgeships.

Section 2-19-90. The General Assembly shall meet in joint session for the election of judges. The date and time for the joint session shall be set by concurrent resolution upon the recommendation of the Judicial Merit Selection Commission. The Chairman of the Judicial Merit Selection Commission shall announce the commission's nominees for each judicial race, and no further nominating or seconding speeches shall be allowed by members of the General Assembly. In order to be elected, a candidate must receive a majority of the vote of the members of the General Assembly voting in joint session.

Section 2-19-100. In order to be eligible for appointment by the Chief Justice to serve, any retired justice or judge of this State must have been reviewed by the Judicial Merit Selection Commission under procedures it shall establish to review retired judges' qualifications for continued judicial service and be found by the commission to be qualified to serve in these situations within two years of the date of his appointment to serve, except that if a justice or judge retired before the expiration of his then current term, no further review of that justice or judge is required until that term would have expired.

Section 2-19-110. In order to be eligible to be appointed by the Governor to serve, a master-in-equity must have been reviewed by the Judicial Merit Selection Commission under the procedures established pursuant to this chapter and be found by the commission to be qualified to serve. If a nominee is found to be not qualified by the commission, the Governor shall submit another name to the General Assembly for consideration."

PART II

SECTION 2. Title 2 of the 1976 Code is amended by adding:

"CHAPTER 20
Non-Judicial Screening and Election

Section 2-20-10. Except as otherwise provided in Section 58-3-26, whenever an election is to be held by the General Assembly in joint session, except for members of the judiciary, a joint committee composed of eight members, four of whom must be members of the House of Representatives and four of whom must be members of the Senate, must be appointed to consider the qualifications of the candidates. Each body shall determine how its respective members are selected. Each joint committee shall meet as soon after its appointment as practicable and elect one of its members as chairman, one as secretary, and other officers as it considers desirable.

Section 2-20-15. For any office filled by election of the General Assembly for which screening is required pursuant to this chapter, except for judicial offices, the joint committee may not accept a notice of intention to seek the office from any candidate as provided by Section 2-20-10, until the clerk of the House or Senate, as appropriate, has certified that the proper notices required by this section have been published or provided or until the time for the publication of the notices has expired.

(3) If the office to be filled is from a congressional district, judicial circuit, or other area of the State but not from the State at large, notices of the position vacancy also must be provided to each member of the General Assembly representing a portion of that district, circuit, or area. If it is a position filled from the State at large, each member of the General Assembly shall receive the notice.

(4) The cost of the notification process required by this section must be absorbed and paid from the approved accounts of both houses as contained in the annual general appropriation act.

Nothing in this section prevents the joint committee from providing notices other than those required by this section, which the committee believes are appropriate.

Section 2-20-20. Any person wishing to seek an office, which is elected by the General Assembly, shall file a notice of intention to seek the office with the joint committee. Upon receipt of the notice of intention, the joint committee shall begin to conduct investigation of the candidate as it considers appropriate and may in the investigation utilize the services of any agency of state government. The agency shall, upon request, cooperate fully with the joint committee.

Section 2-20-30. Upon completion of the investigation, the chairman of the joint committee shall schedule a public hearing concerning the qualifications of the candidates. The hearing shall be conducted no later than two weeks prior to the date set in the election resolution for the election. Any person who desires to testify at the hearing, including candidates, shall furnish a written statement of his proposed testimony to the chairman of the joint committee. These statements shall be furnished no later than forty-eight hours prior to the date and time set for the hearing. The joint committee shall determine the persons who shall testify at the hearing. All testimony, including documents furnished to the joint committee, shall be submitted under oath and persons knowingly furnishing false information either orally or in writing shall be subject to the penalties provided by law for perjury and false swearing. During the course of the investigation, the joint committee may schedule an executive session at which each candidate, and other persons whom the committee wishes to interview, may be interviewed by the joint committee on matters pertinent to the candidate's qualification for the office to be filled. A reasonable time thereafter the committee shall render its tentative findings as to whether the candidate is qualified for the office to be filled and its reasons therefor as to each candidate.

As soon as possible after the completion of the hearing, a verbatim copy of the testimony, documents submitted at the hearing, and findings of fact shall be transcribed and published in the journals of both houses or otherwise made available in a reasonable number of copies to the members of both houses prior to the date of the scheduled election, and a copy thereof shall be furnished to each candidate.

A candidate may withdraw at any stage of the proceedings, and in this event no further inquiry, report on, or consideration of his candidacy shall be made.

Section 2-20-35. Where a vacancy on a board of trustees of a college or university of this State, requiring election by the General Assembly to fill, has occurred for any reason other than expiration of the term and is unfilled at the beginning of an annual session of the General Assembly, a joint review committee to consider applicants for this vacancy and others of similar circumstances must be appointed within six legislative days after the annual session of the General Assembly convenes, and the election to fill this vacancy must occur within six weeks after the joint review committee is appointed unless no candidates for the office are offering for election who have been reviewed by the committee.

Section 2-20-40. Notwithstanding the provisions of this chapter, when there is no known opposition to a candidate, and there appears to be no substantial reason for having a public hearing, whether or not the candidate be an incumbent, and no request is made by at least ten members of the House of Representatives and five members of the Senate for a public hearing, the joint committee chairman upon recommendation of the joint committee may determine that a public hearing is unnecessary and shall not be held, but no election shall be held prior to this determination.

Section 2-20-50. All records, information, and other material that the joint committee has obtained or used to make its findings of fact, except materials, records, and information presented under oath at the public hearing, shall be kept strictly confidential. After the joint committee has reported its findings of fact, or after a candidate withdraws his name from consideration, all records, information, and material required to be kept confidential shall be destroyed.

Section 2-20-60. The joint committee in the discharge of its duties may administer oaths and affirmations, take depositions, and issue subpoenas to compel the attendance of witnesses and the production of books, papers, correspondence, memoranda, and other records considered necessary in connection with the investigation of the joint committee.

No person shall be excused from attending and testifying or from producing books, papers, correspondence, memoranda, or other records before the joint committee on the ground that the testimony or evidence, documentary or otherwise, required of him may tend to incriminate him or subject him to a penalty or forfeiture. However, no individual shall be prosecuted or subjected to any criminal penalty based upon testimony or evidence submitted or forfeiture for or on account of any transaction, matter, or thing concerning which he is compelled, after having claimed his privilege against self incrimination, to testify or produce evidence, documentary or otherwise, except that the individual so testifying shall not be exempt from prosecution and punishment for perjury and false swearing committed in so testifying.

In case of contumacy by any person or refusal to obey a subpoena issued to any person, any circuit court of this State or circuit judge thereof within the jurisdiction of which the person guilty of contumacy or refusal to obey is found, resides, or transacts business, upon application by the joint committee may issue to the person an order requiring him to appear before the joint committee to produce evidence if so ordered or to give testimony touching the matter under investigation. Any failure to obey an order of the court may be punished as a contempt hereof. Subpoenas shall be issued in the name of the joint committee and shall be signed by the joint committee chairman. Subpoenas shall be issued to those persons as the joint committee may designate."

PART III

SECTION 3. Section 20-7-1370(A) of the 1976 Code, as last amended by Act 17 of 1989, is further amended to read:

"(A) No person shall be eligible to the office of family court judge who is not at the time of his assuming the duties of such office a citizen of the United States and of this State, and has not attained the age of ~~twenty-six~~ thirty-two years, has not been a licensed attorney at law for at least ~~five~~ eight years, and has not been a resident of this State for five years next preceding his election, and is not a resident of the circuit wherein the family court of which he is a judge is located. Notwithstanding any other provision of law, any former member of the General Assembly may be elected to the office of family court judge.

Any family court judge serving in office on the effective date of the provisions of this section requiring a family court judge to be at least thirty-two years of age and to have at least eight years of service as a licensed attorney at law who is not of that age or who has not been licensed for this required period of time may continue to serve for the remainder of his current term and is considered to have the requisite age and years of service as a licensed attorney at law for purposes of future reelections to the office of family court judge."

PART IV

SECTION 4. Section 14-1-215 of the 1976 Code is amended to read:

"Section 14-1-215. ~~(A)~~ A retired judge or justice from the Supreme Court, Court of Appeals, or circuit court of this State may be assigned by the Chief Justice of the Supreme Court to preside over any official proceeding in any circuit court of this State. A retired judge or justice from the Supreme Court or Court of Appeals of this State may be assigned by the Chief Justice of the Supreme Court to act as an associate justice or judge in any proceeding before the Supreme Court or Court of Appeals. A retired judge from the family court of this State may be assigned by the Chief Justice of the Supreme Court to preside over any official proceeding in any family court of this State.

In order to be eligible to be appointed by the Chief Justice to serve, any retired justice or judge of this State must have been ~~screened~~ reviewed in the manner provided in Section 2-19-10 et seq. and found by the ~~committee~~ commission to be qualified to serve in these situations within two years of the date of his appointment to serve, except that if a justice or judge retired before the expiration of his then current term, no further ~~screening~~ review of that justice or judge is required until that term would have expired.

(B) Except as provided by subsection (A), prior to any person appointed or elected to serve as a justice of the Supreme Court, Court of Appeals Judge, Circuit Court Judge, or Family Court Judge acting in that capacity, that person shall be screened in the manner provided by Section 2-19-10 and found by the committee to be qualified to serve."

PART V

SECTION 5. Section 14-11-20 of the 1976 Code is amended to read:

"Section 14-11-20. Masters-in-equity must be appointed by the Governor with the advice and consent of the General Assembly for a term of six years and until their successors are appointed and qualify. No person is eligible to hold the office of master-in-equity who is not at the time of his appointment a citizen of the United States and of this State, has not attained the age of ~~twenty-six~~ thirty-two years upon his appointment, has not been a licensed attorney for at least ~~five~~ eight years upon his appointment, ~~and~~ has not been a resident of this State for five years immediately preceding his appointment, and has not been found qualified by the Judicial Merit Selection Commission.

Each master-in-equity of this State qualifies by taking the oath required by the Constitution of this State before a justice of the Supreme Court, a judge of the Court of Appeals, the President of the Senate, the Speaker of the House of Representatives, a circuit judge, the Clerk of the Supreme Court, a clerk of the Court of Common Pleas, or a probate judge of the county and immediately enters upon his duties. The oath must be filed in the office of the Secretary of State.

A full-time master-in-equity is prohibited from engaging in the practice of law. A part-time master-in-equity may practice law but is prohibited from appearing before another master-in-equity. A standing master-in-equity may not serve as the probate judge of any county."

PART VI

SECTION 6. If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this act is for any reason held to be unconstitutional or invalid, such holding shall not affect the constitutionality or validity of the remaining portions of this act, the General Assembly hereby declaring that it would have passed this act, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more other sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words hereof may be declared to be unconstitutional, invalid, or otherwise ineffective.

SECTION 7. (A) This act, except as otherwise provided in subsections (B), (C), and (D) of this section, takes effect July 1, 1997, and is contingent upon a ratification of an amendment to Article V of the Constitution of this State authorizing the establishment of a Judicial Merit Selection Commission to assist the General Assembly in the election of Supreme Court justices, judges of the Court of Appeals and the circuit court, and judges of other courts of this State who are elected by the General Assembly.

(B) Notwithstanding the provisions of subsection (A), upon the approval of this act by the Governor, the powers, duties, and responsibilities of the Joint Committee to Review Judicial Candidates pursuant to Chapter 19 of Title 2 of the 1976 Code are hereby devolved upon the Judicial Merit Selection Commission established by this act and for this purpose the members of the Judicial Merit Selection Commission may be appointed and at this time the commission may organize and adopt rules of procedure. The commission in performing these screening duties shall apply existing provisions of law as applicable without regard to the provisions as added by this act, and its findings as to candidates' qualifications shall be advisory only and not binding on the General Assembly in the same manner the findings of the legislative screening committee for judicial candidates in regard to their qualifications applied to the General Assembly.

When the amendment to Article V of the Constitution authorizing the establishment of the commission is ratified, the commission shall begin making binding nominations to the General Assembly for judicial vacancies which occur on or after July 1, 1997, in the manner provided in this act. If this amendment to Article V of the Constitution authorizing the establishment of the commission is not ratified, the commission after July 1, 1997, shall continue to act as the legislative screening committee for judicial vacancies which are filled by election of the General Assembly as above provided.

(C) Section 3 of this act takes effect upon ratification of an amendment to Section 15 of Article V of the Constitution of this State providing for a thirty-two-year-old age requirement and an eight-year requirement as a licensed attorney at law for Supreme Court justices and judges of the Court of Appeals and the circuit court.

(D) Sections 4 and 5 take effect upon approval of this act by the Governor./

Amend title to conform.

/s/Glenn F. McConnell             /s/Francis G. "Greg" Delleney, Jr.
/s/Thomas L. Moore                /s/William D. "Doug" Smith
/s/John E. Courson                /s/Ronald N. Fleming
On Part of the Senate.            On Part of the House.

, and a message was sent to the House accordingly.

H. 3961--Enrolled for Ratification

The Report of the Committee of Free Conference having been adopted by both Houses, ordered that the title be changed to that of an Act and the Act enrolled for Ratification.

A message was sent to the House accordingly.

Statement by Senator PASSAILAIGUE

I voted against free conference on judicial reform because the original free conference report adopted last week was changed by the House. The reason given for the change was the Speaker of the House insisted upon five appointments to a ten-member panel versus the original three adopted by the Conference Committee last week.

Message from the House

Columbia, S.C., May 28, 1996

Mr. President and Senators:

The House respectfully informs your Honorable Body that it has granted Free Conference Powers and appointed Reps. Delleney, D. Smith and Fleming of the Committee of Free Conference on the part of the House on:

H. 3962 -- Reps. Wilkins, Harrison, D. Smith, Huff, Wells, Witherspoon, H. Brown, Sharpe, Meacham, Fulmer, Fleming, Mason, Wright, A. Young, Keegan, Cain, Tripp, Rice, Riser, Herdklotz, Seithel, Kelley, Trotter, Haskins, Simrill, Hutson, Wofford, Marchbanks, Cotty, Fair, R. Smith, Harrell, Stuart, Klauber, Walker and Sandifer: A JOINT RESOLUTION PROPOSING AN AMENDMENT TO SECTION 3, ARTICLE V OF THE CONSTITUTION OF SOUTH CAROLINA, 1895, RELATING TO THE SUPREME COURT; SECTION 8, ARTICLE V, RELATING TO THE COURT OF APPEALS; SECTION 13, ARTICLE V, RELATING TO THE JUDICIAL CIRCUITS AND THE COURTS THEREOF; SECTION 17, ARTICLE V, RELATING TO THE REMOVAL OR RETIREMENT OF JUDGES OF THE UNIFIED COURT SYSTEM; AND SECTION 18, ARTICLE V, RELATING TO VACANCIES IN THE SUPREME COURT, COURT OF APPEALS, AND THE CIRCUIT COURT, SO AS TO PROVIDE THAT JUDGES OF THESE COURTS MUST BE APPOINTED BY THE GOVERNOR FROM A LIST OF NOMINEES SUBMITTED BY THE SOUTH CAROLINA JUDICIAL MERIT SELECTION COMMISSION; AND TO AMEND ARTICLE V OF THE CONSTITUTION OF THIS STATE RELATING TO THE JUDICIAL DEPARTMENT BY ADDING SECTION 27 SO AS TO ESTABLISH THE SOUTH CAROLINA JUDICIAL MERIT SELECTION COMMISSION TO NOMINATE CANDIDATES FOR THE ABOVE JUDICIAL OFFICES AND FOR JUDGES OF OTHER COURTS OF UNIFORM JURISDICTION AS THE GENERAL ASSEMBLY MAY PROVIDE BY LAW.
Very respectfully,
Speaker of the House

Received as information.

Message from the House

Columbia, S.C., May 28, 1996

Mr. President and Senators:

The House respectfully informs your Honorable Body that it has adopted the report of the Committee of Free Conference on:

Received as information.

H. 3962--FREE CONFERENCE POWERS GRANTED
FREE CONFERENCE COMMITTEE APPOINTED
REPORT OF THE COMMITTEE OF FREE CONFERENCE
PASSED BY "AYES" AND "NAYS" AND ADOPTED

The Report of the Committee of Conference was taken up for immediate consideration.

Senator McCONNELL argued in favor of the adoption of the report.

H. 3962--Free Conference Powers Granted

Senator McCONNELL moved for Free Conference Powers.

The "ayes" and "nays" were demanded and taken, resulting as follows:

Ayes 39; Nays 5

AYES

Alexander                 Boan                      Bryan
Cork                      Courson                   Courtney
Drummond                  Elliott                   Fair
Giese                     Gregory                   Hayes
Holland                   Hutto                     Jackson
Land                      Lander                    Leventis
Martin                    McConnell                 McGill
Mescher                   Moore                     O'Dell
Peeler                    Rankin                    Reese
Richter                   Rose                      Russell
Ryberg                    Saleeby                   Setzler
Short                     Smith, G.                 Smith, J.V.
Thomas                    Waldrep                   Wilson

TOTAL--39

NAYS

Glover                    Matthews                  Passailaigue
Patterson                 Washington

TOTAL--5

Free Conference Powers were granted.

Committee of Free Conference Appointed

Whereupon, the PRESIDENT appointed Senators McCONNELL, MOORE and COURSON to the Committee of Free Conference on the part of the Senate and a message was sent to the House accordingly.

On motion of Senator McCONNELL, with unanimous consent, the Report of the Committee of Free Conference was adopted and the text of the Report was printed upon the pages of the Journal:

FREE CONFERENCE REPORT
The General Assembly, Columbia, S.C., May 22, 1996

The COMMITTEE OF FREE CONFERENCE, to whom was referred:

That the same do pass with the following amendments:

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

SECTION 1. It is proposed that Article V, Section 15 of the Constitution of South Carolina, 1895, be amended to read:

"Section 15. No person shall be eligible to the office of Chief Justice, Associate Justice of the Supreme Court, judge of the Court of Appeals, or judge of the ~~Circuit Court~~ circuit court who is not at the time of his election a citizen of the United States and of this State, and has not attained the age of at least ~~twenty-six~~ thirty-two years, has not been a licensed attorney at law for at least ~~five~~ eight years, and has not been a resident of this State for five years next preceding his election.

Any justice or judge serving in office on the effective date of the provisions of this section requiring a justice or judge to be at least thirty-two years of age and to have at least eight years of service as a licensed attorney at law who is not of that age or who has not been licensed for this required period of time may continue to serve for the remainder of his current term and is considered to have the requisite age and years of service as a licensed attorney for purposes of future reelections to that judicial office."

SECTION 2. The proposed amendment must be submitted to the qualified electors at the next general election for representatives. Ballots must be provided at the various voting precincts with the following words printed or written on the ballots:

"Shall Section 15 of Article V of the Constitution of this State relating to qualifications for justices of the Supreme Court and judges of the Court of Appeals and the circuit court be amended so as to increase from twenty-six to thirty-two the age requirement for election to these offices, to increase from five to eight the number of years which a person must have been a licensed attorney at law in order to be eligible for election to these offices, and to provide that any justice or judge serving in office on the effective date of the provisions of this section requiring a justice or judge to be at least thirty-two years of age and to have at least eight years of service as a licensed attorney at law who is not of that age or who has not been licensed for this required period of time may continue to serve for the remainder of his current term and is considered to have the requisite age and years of service as a licensed attorney at law for purposes of future reelections to that judicial office?

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'."

SECTION 3. It is proposed that Article V of the Constitution of this State be amended by adding:

"Section 27. In addition to the qualifications for circuit court and Court of Appeals judges and Supreme Court justices contained in this article, the General Assembly by law shall establish a Judicial Merit Selection Commission to consider the qualifications and fitness of candidates for all judicial positions on these courts and on other courts of this State which are filled by election of the General Assembly. The General Assembly must elect the judges and justices from among the nominees of the commission to fill a vacancy on these courts.

No person may be elected to these judicial positions unless he or she has been found qualified by the commission. Before a sitting member of the General Assembly may submit an application with the commission for his nomination to a judicial office, and before the commission may accept or consider such an application, the member of the General Assembly must first resign his office and have been out of office for a period established by law. Before a member of the commission may submit an application with the commission for his nomination to a judicial office, and before the commission may accept or consider such an application, the member of the commission must not have been a member of the commission for a period to be established by law."

SECTION 4. The proposed amendment must be submitted to the qualified electors at the next general election for representatives. Ballots must be provided at the various voting precincts with the following words printed or written on the ballots:

"Shall Article V of the Constitution of this State be amended by adding Section 27 so as to provide that the General Assembly by law shall establish a judicial merit selection commission to nominate candidates for election to judicial positions on the courts of this State which are filled by election of the General Assembly, to provide that the General Assembly must elect judges and justices for these courts from among these nominees, to provide that no person may be elected to these judicial positions unless he or she has been found qualified by the commission, and to provide that before a sitting member of the General Assembly may submit an application with the commission for his nomination to a judicial office, and before the commission may accept or consider such an application, the member of the General Assembly must first resign his office and have been out of office for a period established by law. Before a member of the commission may submit an application with the commission for his nomination to a judicial office, and before the commission may accept or consider such an application, the member of the commission must not have been a member of the commission for a period established by law?

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'."

Amend title to conform.

/s/Glenn F. McConnell             /s/F. G. Delleney, Jr.
/s/Thomas L. Moore                /s/William Douglas Smith
/s/John E. Courson                /s/Ronald N. Fleming
On Part of the Senate.            On Part of the House.

, and a message was sent to the House accordingly.

H. 3962--Enrolled for Ratification

The Report of the Committee of Free Conference having been adopted by both Houses, ordered that the title be changed to that of an Act and the Act enrolled for Ratification.

A message was sent to the House accordingly.

Presentation of Service Pins

In commemoration of continuous service with the State of South Carolina, Senator DRUMMOND, PRESIDENT Pro Tempore of the Senate, presented certificates and awarded service pins to the following Senators for their respective years of service:

Senator Thomas Alexander 10 years

Senator Nikki Setzler 20 years

Senator Warren Giese 40 years

Senator DRUMMOND presented certificates and awarded service pins to the following Senate staff commemorating their respective years of state service:

Steve Clark 10 years

Robin Moseley 10 years

Marie Waller 20 years

Jane Fallaw 30 years

All were highly commended for their devoted and loyal service.

RECESS

At 11:55 A.M., the Senate receded from business for the purpose of attending the Joint Assembly.

JOINT ASSEMBLY
Elections

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 the Joint Assembly had convened under the terms of a Concurrent Resolution adopted by both Houses.

S. 1391 -- Senator Courtney: A CONCURRENT RESOLUTION TO FIX WEDNESDAY, MAY 29, 1996, AT 12:00 NOON, AS THE TIME FOR ELECTING SUCCESSORS TO THE MEMBERS OF THE SOUTH CAROLINA CONSUMER AFFAIRS COMMISSION FOR SEATS 2 AND 4, SO AS TO FILL THE TERMS WHICH EXPIRE AUGUST 31, 1996.

Election of a Successor to a Position on the
South Carolina Consumer Affairs Commission, Seat #2

The PRESIDENT announced that nominations were in order to elect a successor to a position on the South Carolina Consumer Affairs Commission, Seat #2.

Senator COURTNEY, Chairman of the Screening Committee, stated that Mr. Lonnie Randolph, Jr. of Columbia, S.C., had been screened and found qualified to serve and placed his name in nomination.

Rep. Bailey moved that the nominations be closed and, with unanimous consent, the vote was taken by acclamation, resulting in the election of the nominee.

Whereupon, the PRESIDENT announced that the Honorable Lonnie Randolph, Jr. was elected to a position on the South Carolina Consumer Affairs Commission, Seat #2, for the term prescribed by law.

Election of a Successor to a position on the
South Carolina Consumer Affairs Commission, Seat #4

The PRESIDENT announced that nominations were in order to elect a successor to a position on the South Carolina Consumer Affairs Commission, Seat #4.

Senator COURTNEY, Chairman of the Screening Committee, stated that Ms. Barbara B. League of Greenville, S.C., had been screened and found qualified to serve and placed her name in nomination.

Rep. BAILEY moved that the nominations be closed and, with unanimous consent, the vote was taken by acclamation, resulting in the election of the nominee.

Whereupon, the PRESIDENT announced that the Honorable Barbara B. League was elected to a position on the South Carolina Consumer Affairs Commission, Seat #4, for the term prescribed by law.

The purposes of the Joint Assembly having been accomplished, the PRESIDENT declared it adjourned; whereupon, the Senate returned to its Chamber, and was called to order by its PRESIDENT.

At 12:25 P.M., the Senate reconvened.

RECESS

At 12:26 P.M., on motion of Senator DRUMMOND, the Senate receded from business until 2:30 P.M.

AFTERNOON SESSION

The Senate reassembled at 2:35 P.M. and was called to order by the PRESIDENT.

RECESS

At 2:35 P.M., on motion of Senator LEVENTIS, the Senate receded from business not to exceed ten minutes.

At 2:45 P.M., the Senate resumed.

MESSAGE FROM THE GOVERNOR
STATE OF SOUTH CAROLINA
OFFICE OF THE GOVERNOR

May 28, 1996

Mr. President and Members of the Senate:

I am transmitting herewith appointments for confirmation. These appointments are made with the "advice and consent of the Senate," and are, therefore, submitted for your consideration.

Respectfully,
David M. Beasley

Local Appointments

Reappointments, Laurens County Magistrate, with terms to commence April 30, 1995, and to expire April 30, 1999:

Honorable Paul Dean Lyles, Route 4, Box 90, Laurens, S.C. 29360-9452

Honorable Oscar L. Tribble, Route 7, Box 2069, Laurens, S.C. 29360

Received as information.

RECALLED, READ THE SECOND TIME
WITH NOTICE OF GENERAL AMENDMENTS

H. 4557 -- Rep. Kirsh: A BILL TO AMEND CHAPTER 21, TITLE 12, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO BUSINESS LICENSE TAXES, BY ADDING ARTICLE 24 ENACTING THE BINGO TAX ACT OF 1996 SO AS TO REGULATE THE GAME OF BINGO AND PROVIDE CIVIL AND CRIMINAL PENALTIES FOR VIOLATIONS; TO AMEND SECTION 12-6-1140, AS AMENDED, RELATING TO DEDUCTIONS FROM SOUTH CAROLINA TAXABLE INCOME FOR PURPOSES OF THE STATE INCOME TAX, SO AS TO ALLOW THE DEDUCTION OF BINGO PRIZES AND WINNINGS; TO AMEND SECTION 12-8-530, AS AMENDED, RELATING TO INCOME TAX WITHHOLDING, SO AS TO EXEMPT BINGO PRIZES AND WINNINGS FROM WITHHOLDING, TO PROVIDE THAT ALL CURRENT BINGO LICENSES EXPIRE AFTER SEPTEMBER 30, 1997, TO SAVE PROCEEDINGS UNDERWAY ON OCTOBER 1, 1997, AND PROVIDE FOR THEIR DISPOSITION UNDER FORMER LAW; TO REPEAL ARTICLE 23, CHAPTER 21, TITLE 12, RELATING TO BINGO REGULATION; AND TO PROVIDE THAT THE BINGO TAX ACT OF 1996 TAKES EFFECT OCTOBER 1, 1997.

Senator GREG SMITH asked unanimous consent to make a motion to recall the Bill from the Committee on Finance.

There was no objection.

The Senate proceeded to a consideration of the Bill. The question being the second reading of the Bill.

The Bill was read the second time and ordered placed on the third reading Calendar with notice of general amendments.

RECALLED, READ THE SECOND TIME
WITH NOTICE OF GENERAL AMENDMENTS

H. 5027 -- Labor, Commerce and Industry Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF LABOR, LICENSING AND REGULATION, BOARD OF PROFESSIONAL ENGINEERS AND LAND SURVEYORS, RELATING TO CONTINUING PROFESSIONAL COMPETENCY, DESIGNATED AS REGULATION DOCUMENT NUMBER 1912, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Senator ALEXANDER asked unanimous consent to make a motion to recall the Resolution from the Committee on Labor, Commerce and Industry.

There was no objection.

The Senate proceeded to a consideration of the Resolution. The question being the second reading of the Resolution.

The Resolution was read the second time and ordered placed on the third reading Calendar with notice of general amendments.

INTRODUCTION OF BILLS AND RESOLUTIONS

The following were introduced:

S. 1435 -- Senator Reese: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLE 10 TO CHAPTER 19, TITLE 50, SO AS TO PROVIDE THE DEPARTMENT OF NATURAL RESOURCES THE AUTHORITY TO PROMULGATE REGULATIONS TO MANAGE AND PROTECT FISHERIES IN LAKE WILLIAM C. BOWEN, LAKE BLALOCK, AND SPARTANBURG MUNICIPAL RESERVOIR #1 IN SPARTANBURG COUNTY.

Read the first time and ordered placed on the local and uncontested Calendar without reference.

S. 1436 -- Senator Giese: A CONCURRENT RESOLUTION TO COMMEND ALBERT BELL, JR., REPRODUCTION DIRECTOR OF THE SOUTH CAROLINA LEGISLATIVE COUNCIL, FOR HIS LONG AND DEDICATED CAREER OF PUBLIC SERVICE TO THE STATE OF SOUTH CAROLINA UPON THE OCCASION OF HIS UPCOMING RETIREMENT.

Whereas, the members of the General Assembly have learned with deep regret that Albert Bell, Jr., Reproduction Director of the South Carolina Legislative Council, will be retiring on December thirty-first of this year; and

Whereas, Albert Bell began his career of public service in 1953, at the South Carolina Department of Mental Health where he was employed as a psychiatric aide at Crafts-Farrow State Hospital in Columbia. Known for his kindness and generosity, he rendered, during those years, excellent care to the mentally ill and those unable to care for themselves; and

Whereas, after a period of time in the private sector, Mr. Bell joined the Division of General Services of the State Budget and Control Board in 1966 as Custodial Supervisor; and

Whereas, in 1977, he joined the staff of the South Carolina Legislative Council as a machine operator in the print shop where he worked tirelessly and conscientiously for the members of the General Assembly and where he quickly became known as the man to see when printing services were needed; and

Whereas, in 1994, he was promoted to the position of Reproduction Director, continuing his excellent record of providing prompt and efficient reproduction services for the General Assembly, House and Senate committees and staff, the Legislative Council, the State Register, and the Budget Division of the Division of General Services, State Budget and Control Board; and

Whereas, Albert Bell, without question, is one of the nicest and most personable individuals ever to work in the State Capitol complex, and he will be missed by his many friends throughout state government; and

Whereas, the members of the General Assembly, by this resolution, would like to publicly recognize and thank Albert Bell, Jr., for his truly outstanding service to the State of South Carolina in many varied capacities upon the occasion of his upcoming retirement. Now, therefore,

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

That the members of the General Assembly hereby commend Albert Bell, Jr., Reproduction Director of the South Carolina Legislative Council, for his long and dedicated career of public service to the State of South Carolina upon the occasion of his upcoming retirement.

Be it further resolved that a copy of this resolution be forwarded to Mr. Albert Bell, Jr.

The Concurrent Resolution was adopted, ordered sent to the House.

H. 5025 -- Reps. McAbee, P. Harris and Carnell: A CONCURRENT RESOLUTION REQUESTING THE DEPARTMENT OF TRANSPORTATION TO NAME THE PORTION OF SOUTH CAROLINA HIGHWAY 81 FROM ANDERSON TO INTERSTATE 85 IN HONOR OF OUR DISTINGUISHED FRIEND AND COLLEAGUE, REPRESENTATIVE JOHN W. TUCKER, JR., OF ANDERSON.

The Concurrent Resolution was adopted, ordered returned to the House.

CONCURRENCE

H. 4663 -- Rep. Tucker: A BILL TO AMEND SECTION 18-1-90, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE GRANTING OF BAIL FOR A DEFENDANT APPEALING A CONVICTION, SO AS TO MAKE THE GRANTING OF BAIL DISCRETIONARY FOR DEFENDANTS CONVICTED OF CERTAIN OFFENSES.

The House returned the Bill with amendments.

On motion of Senators McCONNELL and HOLLAND, the Senate concurred in the House amendments and a message was sent to the House accordingly. Ordered that the title be changed to that of an Act and the Act enrolled for Ratification.

NONCONCURRENCE

H. 4627 -- Reps. Cato, J. Brown, H. Brown, Boan, Vaughn, Wright, Tripp and Lanford: A BILL TO AMEND TITLE 40, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 2 SO AS TO REENACT THE REGULATION OF CERTIFIED PUBLIC ACCOUNTANTS AND PUBLIC ACCOUNTANTS PREVIOUSLY PROVIDED FOR IN CHAPTER 1 OF TITLE 40; TO AMEND TITLE 40, CHAPTER 1, AS AMENDED, RELATING TO THE REGULATION OF CERTIFIED PUBLIC ACCOUNTANTS AND PUBLIC ACCOUNTANTS, SO AS TO DELETE ALL PROVISIONS AND TO PROVIDE, AMONG OTHER THINGS, FOR THE POWERS AND DUTIES COMMON TO ALL OCCUPATIONAL AND PROFESSIONAL LICENSING BOARDS UNDER THE ADMINISTRATION OF THE DEPARTMENT OF LABOR, LICENSING AND REGULATION; AND TO REPEAL CHAPTER 73, TITLE 40, RELATING TO PROFESSIONS AND OCCUPATIONS ADMINISTERED BY THE DEPARTMENT OF LABOR, LICENSING, AND REGULATION.

The House returned the Bill with amendments.

On motion of Senator McCONNELL, the Senate nonconcurred in the House amendments and a message was sent to the House accordingly.

S. 943--CONFERENCE COMMITTEE APPOINTED

The PRESIDENT appointed Senators McCONNELL, MOORE and WALDREP of the Committee of Conference on the part of the Senate and a message was sent to the House accordingly.

S. 1293--REPORT OF THE
COMMITTEE OF CONFERENCE ADOPTED

S. 1293 -- Senators Thomas, Giese, Courson, Fair, Hayes, Jackson, Passailaigue, Russell and Wilson: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 16-3-1535 SO AS TO PROVIDE THAT ALL LAW ENFORCEMENT AGENCIES SHALL PROVIDE CRIME VICTIMS WITH A COPY OF THE CRIME INCIDENT REPORT RELATING TO THEIR CASE AND CERTAIN OTHER INFORMATION; TO ADD SECTION 16-3-1537 SO AS TO REQUIRE A CRIMINAL SENTENCING JUDGE TO APPLY AMOUNTS FORFEITED TO THE COURT BY A PERSON PURSUANT TO SECTION 17-15-90 TOWARD THE PAYMENT OF RESTITUTION THE COURT ORDERS THE PERSON TO PAY; TO ADD SECTION 17-1-18 SO AS TO REQUIRE THE STATE SUPREME COURT TO PROMULGATE RULES TO ALLOW AN APPEAL OF CERTAIN COURT ORDERS IF A VICTIM IMPACT STATEMENT WAS NOT CONSIDERED BY THE COURT OR IF A REASONABLE AMOUNT OF RESTITUTION WAS NOT ORDERED; TO ADD SECTION 24-21-490 SO AS TO PROVIDE THAT THE DEPARTMENT OF PROBATION, PAROLE AND PARDON SERVICES SHALL COLLECT AND DISTRIBUTE RESTITUTION, THE PROCEDURE FOR COLLECTING AND DISTRIBUTING RESTITUTION, THE MAINTENANCE OF A MINIMUM NUMBER OF RESTITUTION BEDS AND PUBLISHING OF AN ANNUAL REPORT CONCERNING THE STATE'S EFFORTS TO COLLECT RESTITUTION AND OTHER FEES; TO AMEND SECTION 16-3-1110, AS AMENDED, RELATING TO DEFINITIONS CONTAINED IN CERTAIN PROVISIONS REGARDING THE COMPENSATION OF VICTIMS OF CRIME, SO AS TO PROVIDE A DEFINITION OF "RESTITUTION"; AND TO AMEND SECTION 16-3-1530, AS AMENDED, RELATING TO THE RIGHTS OF VICTIMS AND WITNESSES, SO AS TO PROVIDE THE AMOUNT OF RESTITUTION A JUDGE MUST ORDER AN OFFENDER TO PAY.

On motion of Senator MARTIN, with unanimous consent, the Report of the Committee of Conference was taken up for immediate consideration.

Senator MARTIN spoke on the report.

On motion of Senator MARTIN, the Report of the Committee of Conference to S. 1293 was adopted as follows:

S. 1293--Conference Report
The General Assembly, Columbia, S.C., May 23, 1996

The COMMITTEE OF CONFERENCE, to whom was referred:

That the same do pass with the following amendments:

Amend the bill, as and if amended, by striking Section 16-3-1535 of the 1976 Code as contained in SECTION 1 and inserting:

/Section 16-3-1535. General law enforcement agencies shall provide crime victims, free of charge, a copy of the crime incident report relating to their case and a document which describes the statutory rights the State grants crime victims in criminal cases that lists the local crime victim assistance providers. The statutory rights contained in this document shall include all rights contained in Section 16-3-1530./

Amend the bill further, as and if amended, by striking SECTION 8 and inserting:

/SECTION 8. Implementation of the changes in law effectuated by this act to Sections 16-3-1110, 16-3-1535, 17-25-322, 17-25-324, and 24-21-490 of the 1976 Code and the requirements thereunder or in any new provisions of law contained herein which would necessitate funding are contingent upon appropriations of sufficient funding by the General Assembly. Nothing herein shall relieve the various agencies and authorities within the offices of the respective clerks of court or judicial, correctional, and parole systems of this State from continuing to meet, enforce, and address those provisions of law related to restitution in effect prior to the enactment hereof./

Amend title to conform.

/s/David L. Thomas                /s/William F. Cotty
/s/Darrell Jackson                /s/Jerry N. Govan, Jr.
/s/Larry A. Martin                /s/Sandra S. Wofford
On Part of the Senate.            On Part of the House.

, and a message was sent to the House accordingly.

S. 1293--Enrolled for Ratification

The Report of the Committee of Conference having been adopted by both Houses, ordered that the title be changed to that of an Act and the Act enrolled for Ratification.

A message was sent to the House accordingly.

RETURN REQUESTED FROM THE HOUSE
THE HOUSE RETURNED THE BILL AS REQUESTED
THIRD READING RECONSIDERED
AMENDED, READ THE THIRD TIME
RETURNED TO THE HOUSE WITH AMENDMENTS

H. 4755 -- Labor, Commerce and Industry Committee: A BILL TO AMEND SECTION 38-73-540, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO INSURANCE, CASUALTY AND SURETY RATES, AND ASSIGNED RISK, SO AS TO, AMONG OTHER THINGS, AUTHORIZE THE MAKING OF ASSIGNED RISK AGREEMENTS AMONG INSURERS, DELETE CERTAIN LANGUAGE AND PROVISIONS, PROVIDE THAT A RESIDUAL MARKET AGREEMENT AND ANY MECHANISM DESIGNED TO IMPLEMENT SUCH AGREEMENT MUST BE SUBMITTED IN WRITING TO THE DIRECTOR OF THE DEPARTMENT OF INSURANCE OR HIS DESIGNEE FOR APPROVAL PRIOR TO USE, PROVIDE THAT THE DIRECTOR OR HIS DESIGNEE MAY ALLOW INSURERS TO SUBMIT WRITTEN REQUESTS TO BE DESIGNATED AS A STATE SERVICING CARRIER FOR THE ASSIGNED RISK POOL FOR WORKERS' COMPENSATION INSURANCE, AND PROVIDE FOR RELATED MATTERS.

Senator SALEEBY asked unanimous consent to make a motion to request return of the Bill from the House of Representatives.

There was no objection.

A message was sent to the House accordingly.

The House returned the Bill as requested.

The Senate proceeded to a consideration of the Bill. The question being reconsideration of third reading of the Bill.

Senators SALEEBY and McCONNELL proposed the following amendment (4755R003.EES), which was adopted:

Amend the bill, as and if amended, page 2, by striking lines 23 through 35 and inserting:

/(3) "The servicing carriers for the workers' compensation assigned risk pool must be competitively bid as provided for in this subsection.

The director or his designee must appoint a committee(s) of such individuals as he deems qualified to establish standards and procedures for the consideration and evaluations of bids. Insurers, or other vendors in conjunction with a licensed workers' compensation insurer, may submit bids. The committee(s) must evaluate and award contracts pursuant to the bidding process established by the committee(s), subject to the final approval of the director or his designee. The director may require a bid fee to cover the expenses of implementing this section."/

Renumber sections to conform.

Amend title to conform.

Senator SALEEBY explained the amendment.

There being no further amendments, the Bill was read the third time and ordered returned to the House with amendments.

THE SENATE PROCEEDED TO A CALL OF THE UNCONTESTED LOCAL AND STATEWIDE CALENDAR.

ORDERED ENROLLED FOR RATIFICATION

The following Bill was read the third time and having received three readings in both Houses, it was ordered that the title be changed to that of an Act and enrolled for Ratification:

H. 3182 -- Reps. L. Whipper, Breeland, J. Brown, Davenport, Harvin, Inabinett, Kirsh, Lloyd and Vaughn: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 44-43-720 SO AS TO PROHIBIT BODY PARTS FROM A DEAD BODY REMOVED DURING AN AUTOPSY TO BE USED FOR ORGAN OR TISSUE DONATION UNLESS CONSENT HAS BEEN OBTAINED; TO AMEND SECTIONS 44-43-330 AND 44-43-950, BOTH AS AMENDED, AND BOTH RELATING TO CONSENT FOR ORGAN AND TISSUE DONATION, SO AS TO REQUIRE THAT COUNSELING AND A WRITTEN STATEMENT REGARDING THE DONATION AND ITS PROPOSED USE BE GIVEN TO THE PERSON CONSENTING; AND TO AMEND SECTION 44-43-960 RELATING TO CIRCUMSTANCES REQUIRING PERMISSION FROM THE MEDICAL EXAMINER OR CORONER FOR ORGAN OR TISSUE RECOVERY, SO AS TO CLARIFY THAT THIS PERMISSION IS IN ADDITION TO THE CONSENT OF THE DECEDENT OR NEXT-OF-KIN.

HOUSE BILL RETURNED

The following House Bill was read the third time and ordered returned to the House with amendments:

H. 4833 -- Reps. Robinson, Herdklotz, Waldrop, Fulmer, Trotter, Sandifer, Marchbanks, Rice, Haskins and Harrell: A BILL TO AMEND SECTION 12-28-795, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO INTEREST DUE ON GASOLINE TAX REFUNDS, SO AS TO CORRECT THE REFERENCE TO THE PROVISIONS ON INTEREST ON TAX OVERPAYMENTS AND UNDERPAYMENTS; TO AMEND SECTION 12-28-2360, RELATING TO REFUNDS OF GASOLINE TAX INSPECTION FEES, SO AS TO EXTEND THE GENERAL LIMITATIONS ON THE ASSESSMENT OF STATE TAXES TO CLAIMS FOR REFUNDS; TO AMEND SECTION 12-37-2680, AS AMENDED, RELATING TO VALUATION OF MOTOR VEHICLES FOR PURPOSES OF PROPERTY TAXES, SO AS TO DELETE AN OBSOLETE REFERENCE WITH RESPECT TO THE AUDITOR'S DUTIES; TO AMEND SECTION 12-43-300, AS AMENDED, RELATING TO APPEALS OF VALUATION FOR PURPOSES OF THE PROPERTY, SO AS TO DELETE REDUNDANT PROVISIONS AND CORRECT A REFERENCE; TO AMEND SECTION 12-54-25, RELATING TO INTEREST ON TAX UNDERPAYMENTS AND OVERPAYMENTS, SO AS TO ALLOW THE DEPARTMENT OF REVENUE AND TAXATION TO INCREASE FROM FIFTEEN TO THIRTY DAYS THE TIME FOR WHICH INTEREST MAY BE WAIVED FOR ADMINISTRATIVE CONVENIENCE; TO AMEND SECTION 12-54-85, RELATING TO LIMITATIONS ON TAX ASSESSMENTS AND COLLECTIONS, SO AS TO PROVIDE THE DATES WHEN CERTAIN TAXES ARE CONSIDERED TO HAVE BEEN PAID OR RETURNS FILED; TO AMEND SECTION 12-60-30, RELATING TO DEFINITIONS FOR PURPOSES OF THE TAX APPEALS, SO AS TO REVISE DEFINITIONS; TO AMEND SECTION 12-60-40, RELATING TO WAIVER OF TIME LIMITATIONS FOR PURPOSES OF TAX APPEALS, SO AS TO ALLOW THE DEPARTMENT TO EXTEND ANY TIME LIMITATIONS; TO AMEND SECTION 12-60-50, RELATING TO THE PROVISIONS APPLICABLE WHEN TIME PERIODS EXPIRE ON WEEKENDS OR LEGAL HOLIDAYS, SO AS TO CLARIFY THAT THESE PROVISIONS APPLY TO ALL TAXES; TO AMEND SECTION 12-60-410, RELATING TO LIMITATIONS ON ASSESSMENTS FOR A TAX PERIOD FOR WHICH A FINAL ADMINISTRATIVE OR JUDICIAL ORDER HAS BEEN ISSUED, SO AS TO EXEMPT FROM THESE AN ORDER ABATING A JEOPARDY ASSESSMENT OR ASSESSMENT ARISING FROM ADDITIONAL INTERNAL REVENUE SERVICE ASSESSMENTS; TO AMEND SECTION 12-60-440, RELATING TO DEFICIENCY ASSESSMENT RESTRICTIONS, SO AS TO PROVIDE ADDITIONAL EXEMPTIONS FROM THESE RESTRICTIONS; TO AMEND SECTION 12-60-920, RELATING TO JEOPARDY ASSESSMENTS, SO AS TO PROVIDE FURTHER FOR ASSESSMENTS AND APPEALS IN THESE CASES; TO AMEND SECTION 12-60-1350, RELATING TO THE EXCLUSIONS OF APPEALS UNDER THE SOUTH CAROLINA REVENUE PROCEDURES ACT, SO AS TO EXTEND THESE EXCLUSIONS TO LICENSES SUSPENDED OR REVOKED BY THE CHILD SUPPORT ENFORCEMENT DIVISION OF THE STATE DEPARTMENT OF SOCIAL SERVICES AND TO PROVIDE FOR APPEALS OF THESE MATTERS TO BE HANDLED BY THE STATE DEPARTMENT OF SOCIAL SERVICES; TO AMEND SECTION 12-60-2130, RELATING TO PROPERTY TAX ASSESSMENT APPEALS OF PROPERTY VALUED BY THE DEPARTMENT OF REVENUE AND TAXATION, SO AS TO DELETE THE AUTHORITY OF A COUNTY ASSESSOR TO APPEAL A DEPARTMENTAL DETERMINATION; TO AMEND SECTION 12-60-2150, RELATING TO CLAIMS FOR REFUND BASED ON PROPERTY TAX EXEMPTIONS, SO AS TO CHANGE A REFERENCE FROM PROTEST TO CLAIM FOR REFUND; AND TO REPEAL SECTIONS 12-4-760, 12-47-75, AND 12-54-60, RELATING RESPECTIVELY TO APPEALS TO THE TAX BOARD OF REVIEW, THE PROPER CREDITING OF TAXES ERRONEOUSLY CREDITED, AND AUTHORITY OF THE DEPARTMENT OF REVENUE AND TAXATION TO ESTIMATE TAXES DUE WHEN A REQUIRED REPORT OR RETURN IS NOT FILED.

AMENDED, READ THE THIRD TIME
RETURNED TO THE HOUSE

H. 3141 -- Reps. Neilson, Inabinett, Hines, Lloyd and T. Brown: A BILL TO AMEND SECTION 6-11-91, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO COMPENSATION AND BENEFITS FOR THE GOVERNING BODY OF A SPECIAL PURPOSE DISTRICT OR PUBLIC SERVICE DISTRICT, SO AS TO PROVIDE FOR REIMBURSEMENT FOR EXPENSES ACTUALLY INCURRED, TO DELETE THE RESTRICTIONS ON INSURANCE BENEFITS, AND TO ALLOW THE DISTRICT TO SET THE AMOUNT OF PER DIEM.

The Senate proceeded to a consideration of the Bill. The question being the third reading of the Bill.

Senators SALEEBY and WILSON proposed the following amendment (JUD3141.001), which was adopted:

Amend the bill, as and if amended, page 1, beginning on line 32, in Section 6-11-91, as contained in SECTION 1, by striking lines 32 through 34 and inserting therein the following:

/of state boards, committees, and commissions, and insurance benefits shall not exceed those provided for state employees ~~and per diem shall not exceed thirty-five dollars a day~~."/

Amend title to conform.

Senator SALEEBY explained the amendment.

The amendment was adopted.

There being no further amendments, the Bill was read the third time and ordered returned to the House of Representatives with amendments.

AMENDED, READ THE THIRD TIME
RETURNED TO THE HOUSE

H. 4782 -- Rep. Easterday: A BILL TO AMEND SECTION 37-5-203, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE CONSUMER PROTECTION CODE, DEBTORS' REMEDIES, AND CIVIL LIABILITY FOR VIOLATION OF DISCLOSURE PROVISIONS, SO AS TO PROVIDE THAT CERTAIN PROVISIONS OF THIS SUBSECTION SHALL NOT BE CONSTRUED TO IMPOSE CIVIL LIABILITY OR PENALTIES ON AN ARRANGER OF CREDIT WHEN DISCLOSURE CONSTITUTING A VIOLATION OF THE FEDERAL TRUTH IN LENDING ACT IS ACTUALLY COMMITTED BY ANOTHER PERSON AND THE ARRANGER OF THE CREDIT HAS NO KNOWLEDGE OF THE VIOLATION WHEN IT OCCURRED, AND TO REQUIRE THE CREDITOR TO PROVIDE A COPY OF THE FINAL CLOSING DOCUMENTS TO THE ARRANGER OF CREDIT; TO AMEND SECTION 40-58-20, AS AMENDED, RELATING TO DEFINITIONS UNDER THE PROVISIONS OF LAW ON THE REGISTRATION OF MORTGAGE LOAN BROKERS, SO AS TO DEFINE "REGULAR BUSINESS HOURS", "SATELLITE OFFICE", AND "TABLE-FUNDED TRANSACTION", AND TO MAKE CERTAIN CHANGES TO THE DEFINITION OF "EXEMPT PERSON OR ORGANIZATION"; TO AMEND THE 1976 CODE BY ADDING SECTION 40-58-35 SO AS TO PROVIDE THAT A MORTGAGE LOAN BROKER MAY CONTRACT FOR AND RECEIVE A LOAN BROKER'S FEE AS SET FORTH IN THE BROKER'S FEE AGREEMENT WITH THE APPLICANT, AND PERMIT THE AGREEMENT TO INCLUDE A NONREFUNDABLE APPLICATION FEE; TO AMEND SECTION 40-58-65, RELATING TO THE REGISTRATION OF MORTGAGE LOAN BROKERS, RECORDS, CONFIDENTIALITY, THE PHYSICAL PRESENCE OF A MORTGAGE BROKER IN THE STATE, AND OFFICIAL PLACE OF BUSINESS, SO AS TO PROVIDE, AMONG OTHER THINGS, THAT A REGISTERED MORTGAGE LOAN BROKER WITH AN OFFICIAL PLACE OF BUSINESS WITHIN SOUTH CAROLINA ALSO MAY MAINTAIN ONE OR MORE SATELLITE OFFICES UNDER CERTAIN CONDITIONS; TO AMEND SECTION 40-58-110, AS AMENDED, RELATING TO THE REGISTRATION OF MORTGAGE LOAN BROKERS, FIRST TIME REGISTRANTS' PROCESSING FEES, AND ANNUAL RENEWAL OF REGISTRATION, SO AS TO PROVIDE THAT A BROKER SHALL PAY AN INITIAL FEE OF FIFTY DOLLARS WHEN REGISTERING EACH SATELLITE LOCATION AND THAT THERE SHALL BE NO RENEWAL FEE CHARGED A SATELLITE OFFICE, REQUIRE THE BROKER TO GIVE WRITTEN NOTICE OF TEN DAYS BEFORE THE OPENING OF A NEW, OFFICIAL BRANCH OR SATELLITE LOCATION, AND PROVIDE THAT NO FEE IS REQUIRED WHEN THE REGISTRANT GIVES NOTICE OF A CHANGE OF ADDRESS FOR AN OFFICIAL BRANCH OR SATELLITE LOCATION; TO AMEND SECTION 37-10-102, AS AMENDED, RELATING TO THE CONSUMER PROTECTION CODE, MISCELLANEOUS LOAN PROVISIONS, AND ATTORNEY'S FEES AND OTHER CHARGES ON MORTGAGE LOANS FOR PERSONAL, FAMILY, OR HOUSEHOLD PURPOSES, SO AS TO DELETE CERTAIN PROVISIONS AND PROVIDE INSTEAD THAT AN ATTORNEY LICENSED TO PRACTICE LAW IN SOUTH CAROLINA MUST BE INVOLVED IN THE CLOSING OF THE LOAN FOR CERTAIN PURPOSES, AND TO PROVIDE THAT THE TITLE INSURANCE MUST BE ISSUED THROUGH A TITLE INSURANCE COMPANY LICENSED TO CONDUCT BUSINESS IN SOUTH CAROLINA AND MUST BE ACCEPTABLE TO THE LENDER; AND TO AMEND SECTION 37-3-201, AS AMENDED, RELATING TO THE CONSUMER PROTECTION CODE, LOANS, MAXIMUM CHARGES, AND THE LOAN FINANCE CHARGE FOR CONSUMER LOANS OTHER THAN SUPERVISED LOANS, SO AS TO PROVIDE THAT THIS SECTION DOES NOT APPLY TO A MORTGAGE LOAN BROKER AS DEFINED IN SECTION 40-58-20.

The Senate proceeded to a consideration of the Bill. The question being the third reading of the Bill.

Senator MOORE proposed the following amendment (4782R001.TLM), which was adopted:

Amend the bill, as and if amended, page 5, after line 9, by adding appropriately numbered new SECTIONS to read:

/SECTION ____. Section 29-3-680 of the 1976 Code is amended to read:

"Section 29-3-680. (A) In any real estate foreclosure proceeding a defendant against whom a personal judgment be is taken or asked, whether he has theretofore appeared in the action or not, may within thirty days after the sale of the mortgaged property apply by verified petition to the clerk of court in which the decree or order of sale was taken for an order of appraisal.

(B) Except in any real estate foreclosure proceeding relating to a dwelling place, as defined in Section 12-37-250, or to a consumer credit transaction, as defined in Section 37-1-301(11), a defendant against whom a personal judgment may be taken on a real estate secured transaction may waive the appraisal rights as provided by this section if the debtors, makers, borrowers, and/or guarantors are notified in writing before the transaction that a waiver of appraisal rights will be required and upon signing a statement during the transaction similar to the following:

'The laws of South Carolina provide that in any real estate foreclosure proceeding a defendant against whom a personal judgment is taken or asked may within thirty days after the sale of the mortgaged property apply to the court for an order of appraisal. The statutory appraisal value as approved by the court would be substituted for the high bid and may decrease the amount of any deficiency owing in connection with the transaction. THE UNDERSIGNED HEREBY WAIVES AND RELINQUISHES THE STATUTORY APPRAISAL RIGHTS WHICH MEANS THE HIGH BID AT THE JUDICIAL FORECLOSURE SALE WILL BE APPLIED TO THE DEBT REGARDLESS OF ANY APPRAISED VALUE OF THE MORTGAGED PROPERTY.'

This waiver may be in any document relating to the transaction; however, the required language must be on a page containing the signature of the person making the waiver and the capitalized sentence must be underlined, in capital letters, or disclosed in another prominent manner."

SECTION . Section 29-3-700 of the 1976 Code is amended to read:

"Section 29-3-700. Upon the filing of such petition and deposit with the clerk of a sufficient sum to pay the costs of the subsequent proceedings he shall issue an order that the property be appraised at its true value as of the date of sale by three disinterested ~~freeholders of the county in which the property is located~~ individuals who must be state certified general real estate appraisers as defined in Section 40-60-20(20), state certified residential real estate appraisers as defined by Section 40-60-20(21), or state licensed real estate appraisers as defined by Section 40-60-20(22), who shall not be parties to the action or connected in business with or related by blood or marriage within the sixth degree to any such party."/

Renumber sections to conform.

Amend title to conform.

Senator MOORE explained the amendment.

The amendment was adopted.

There being no further amendments, the Bill was read the third time and ordered returned to the House of Representatives with amendments.

AMENDED, READ THE THIRD TIME
THIRD READING RECONSIDERED, OBJECTION

H. 4825 -- Rep. Boan: A BILL TO AMEND SECTION 12-28-310, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE TAX ON GASOLINE AND DIESEL FUEL, SO AS TO PROVIDE THAT THE LICENSE TAX IMPOSED BY THIS SECTION IS IN LIEU OF ALL SALES, USE, OR OTHER EXCISE TAX WHICH MAY OTHERWISE BE IMPOSED BY ANY MUNICIPALITY, COUNTY, OR OTHER LOCAL POLITICAL SUBDIVISION; AND TO AMEND SECTION 12-28-2520, RELATING TO THE TAX ON MOTOR FUELS, REPORTS AND BOND REQUIREMENTS, AND OIL COMPANY BOND EXEMPTION BASED ON STATEMENT OF ASSETS AND LIABILITIES, SO AS TO PROVIDE THAT "A MOTOR FUEL LICENSEE", RATHER THAN "AN OIL COMPANY", MAY FURNISH A STATEMENT OF ASSETS AND LIABILITIES AND THAT IF IN THE JUDGMENT OF THE ADMINISTERING AGENCY, THE PROPERTY OWNED BY THE "MOTOR FUEL LICENSEE", RATHER THAN "THE OIL COMPANY", IS SUFFICIENT TO PROTECT THE STATE IN THE PAYMENT OF ALL "MOTOR FUEL TAXES", RATHER THAN "GASOLINE TAXES", DUE, A BOND IS NOT REQUIRED; AND TO REPEAL SECTION 12-28-2510, RELATING TO THE TAX ON MOTOR FUELS AND THE ANNUAL REPORTING REQUIREMENT OF GALLONS SOLD THROUGH RETAIL OUTLETS. (ABBREVIATED TITLE)

The Senate proceeded to a consideration of the Bill. The question being the third reading of the Bill.

Amendment No. 2

Senators THOMAS and ROSE proposed the following Amendment No. 2 (4825R006.DLT), which was adopted:

Amend the bill, as and if amended, by adding the following new SECTIONS to be appropriately numbered to read:

/SECTION ____. Section 12-36-910(B)(1) of the 1976 Code, as last amended by Act 361 of 1992, is further amended to read:

"(1) gross proceeds accruing or proceeding from the business of providing or furnishing any laundering, dry-cleaning, dyeing, or pressing service, but does not apply to the gross proceeds derived from coin-operated laundromats and dry-cleaning machines; provided, that beginning June 30, 1997, the sales tax shall not apply to these services in the manner provided in Section 12-36-2120;"

SECTION ____. Section 12-36-2120 of the 1976 Code is amended by adding an appropriately numbered item to read:

"( ) laundry, dry-cleaning, dyeing, and pressing services according to the following schedule:

(a) a sales tax of three percent of the gross proceeds of such sales shall be imposed beginning June 30, 1997;

(b) a sales tax of one percent of the gross proceeds of such sales shall be imposed beginning June 30, 1998; and

The term 'laundry, dry-cleaning, dyeing, and pressing services' as used in this item does not include coin-operated laundromats and dry-cleaning machines which are exempt from the sales tax as provided in Section 12-36-910 and shall continue to be so exempt after the effective date of this item."

SECTION ____. A. Section 12-36-2120(24) of the 1976 Code, as last amended by Act 506 of 1994, is further amended to read:

"(24) ~~supplies and~~ machinery used by laundries, cleaning, dyeing, or pressing~~, or~~ establishments and supplies and machinery used by garment or other textile rental establishments in the direct performance of their primary function, but not sales of supplies and machinery used by coin-operated laundromats;"

B. This section takes effect July 1, 1998./

Renumber sections to conform.

Amend title to conform.

Senator ROSE explained the amendment.

Senator ROSE moved that the amendment be adopted.

The amendment was adopted.

Amendment No. 3

Senator MOORE proposed the following Amendment No. 3 (4825R007.TLM), which was adopted:

Amend the bill, as and if amended, page 7, SECTION 6, by deleting section 6 in its entirety.

Amend further, page 12, lines 12 and 13 as contained in SECTION 20 by striking the word /gasoline/ and inserting the words /all motor fuels/.

Amend further, page 12 by striking SECTION 23 in its entirety.

Amend further, page 14, by striking SECTION 27 in its entirety.

Renumber sections to conform.

Amend title to conform.

Senator MOORE explained the amendment.

Senator MOORE moved that the amendment be adopted.

The amendment was adopted.

There being no further amendments, the Bill was read the third time, passed and ordered returned to the House of Representatives with amendments.

Motion to Reconsider Adopted

Having voted on the prevailing side, Senator DRUMMOND moved to reconsider the vote whereby the Bill was given a third reading.

The motion to reconsider the vote whereby the Bill was given a third reading was adopted.

The question then was the third reading of the Bill.

Adoption of Amendment No. 2 Reconsidered
Amendment No. 2 Tabled

Having voted on the prevailing side, Senator DRUMMOND moved to reconsider the vote whereby Amendment No. 2 (4825R006.DLT) proposed by Senators THOMAS and ROSE was adopted.

The motion to reconsider was adopted.

The question then was the adoption of Amendment No. 2.

Senator DRUMMOND moved to lay Amendment No. 2 on the table.

Amendment No. 2 was laid on the table.

Recorded Vote

Senators GIESE, LANDER, ROSE and WILSON desired to be recorded as voting against the motion to table Amendment No. 2.

There being no further amendments, the Bill was read the third time, passed and ordered returned to the House of Representatives with amendments.

Objection

Having voted on the prevailing side, Senator ROSE moved to reconsider the vote whereby the Bill was given a third reading.

Senator PATTERSON objected.

Point of Personal Privilege

Senator ROSE rose to a Point of Personal Privilege.

On motion of Senator ROSE, with unanimous consent, the Bill was taken up for immediate consideration.

Senator ROSE spoke on the Bill.

Senator DRUMMOND spoke on the Bill.

Motion to Reconsider Adopted

Having voted on the prevailing side, Senator ROSE moved to reconsider the vote whereby the Bill was given a third reading.

The motion to reconsider was adopted.

Motion to Reconsider Adopted
Amendment No. 2

Having voted on the prevailing side, Senator ROSE moved to reconsider the vote whereby Amendment No. 2 was laid on the table.

The motion to reconsider was adopted.

The question then was the adoption of Amendment No. 2.

Senator DRUMMOND moved to table the amendment.

The "ayes" and "nays" were demanded and taken, resulting as follows:

Ayes 11; Nays 30

AYES

Bryan                     Courtney                  Drummond
Glover                    Jackson                   Land
Matthews                  Patterson                 Saleeby
Smith, J.V.               Washington

TOTAL--11

NAYS

Alexander                 Boan                      Courson
Fair                      Giese                     Gregory
Hayes                     Holland                   Hutto
Lander                    Leventis                  Martin
McConnell                 McGill                    Mescher
Moore                     O'Dell                    Passailaigue
Peeler                    Rankin                    Richter
Rose                      Russell                   Ryberg
Setzler                   Short                     Smith, G.
Thomas                    Waldrep                   Wilson

TOTAL--30

The Senate refused to table the amendment. The question then was the adoption of Amendment No. 2.

Senator DRUMMOND objected to further consideration.

AMENDED, AMENDMENT PROPOSED, OBJECTION

H. 4445 -- Reps. Harrison, Baxley, Martin, D. Smith, Wofford, Jennings, Kelley and J. Young: A BILL TO AMEND SECTION 1-23-320, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PROCEDURES IN CONTESTED CASES UNDER THE ADMINISTRATIVE PROCEDURES ACT, SO AS TO PROVIDE THAT ALL CONTESTED CASE PROCEEDINGS BEFORE AN ADMINISTRATIVE LAW JUDGE SHALL BE GOVERNED BY THE RULES OF PROCEDURE OF THE ADMINISTRATIVE LAW JUDGE DIVISION; TO AMEND SECTION 1-23-330, RELATING TO EVIDENTIARY MATTERS IN CONTESTED CASES, SO AS TO PROVIDE THAT THE STANDARD OF PROOF SHALL BE THE PREPONDERANCE OF THE EVIDENCE EXCEPT IN PROFESSIONAL LICENSING CASES IN WHICH THE STANDARD OF PROOF SHALL BE CLEAR AND CONVINCING EVIDENCE; TO AMEND SECTION 1-23-570, RELATING TO THE CHIEF JUDGE OF THE ADMINISTRATIVE LAW JUDGE DIVISION BEING RESPONSIBLE FOR THE ADMINISTRATION OF THE DIVISION, SO AS TO PROVIDE THAT THE CHIEF JUDGE SHALL ASSIGN JUDGES TO HEAR ALL CASES RATHER THAN CONTESTED CASES COMING BEFORE THE DIVISION; TO AMEND SECTION 1-23-580, RELATING TO THE CLERK OF THE ADMINISTRATIVE LAW JUDGE DIVISION AND OTHER SUPPORT STAFF, SO AS TO FURTHER PROVIDE FOR THE AUTHORITY OF THE CHIEF JUDGE TO HIRE AND SUPERVISE CERTAIN SUPPORT STAFF, AND TO PROVIDE THAT EACH ADMINISTRATIVE LAW JUDGE MAY APPOINT, HIRE, CONTRACT, AND SUPERVISE AN ADMINISTRATIVE ASSISTANT AS INDIVIDUALLY ALLOTTED AND AUTHORIZED IN THE ANNUAL GENERAL APPROPRIATIONS ACT; TO AMEND SECTION 1-23-650, AS AMENDED, RELATING TO RULES OF THE ADMINISTRATIVE LAW JUDGE DIVISION, SO AS TO FURTHER PROVIDE FOR THESE RULES AND THEIR PROMULGATION AND REVIEW; AND TO AMEND SECTION 48-39-160, AS AMENDED, RELATING TO JURISDICTION OF THE CIRCUIT COURT TO RESTRAIN VIOLATIONS OF COASTAL ZONE PROVISIONS, SO AS TO TRANSFER THIS JURISDICTION TO THE ADMINISTRATIVE LAW JUDGE DIVISION.

The Senate proceeded to a consideration of the Bill. The question being the second reading of the Bill.

Amendment No. 1

Senator COURTNEY proposed the following Amendment No. 1 (JUD4445.001), which was adopted:

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

/SECTION ___. Section 1-23-650 of the 1976 Code, as last amended by Act 452 of 1994, is further amended to read:

"Section 1-23-650. Rules governing the ~~internal administration and operations of~~ practice and procedure before the administrative law judge division ~~shall be:~~

~~(1) proposed by the chief judge of the division and adopted by a majority of the judges of the division; or~~

~~(2) proposed by any judge of the division and adopted by seventy-five percent of the judges of the division.~~

Each administrative law judge may appoint, hire, contract, and supervise the support staff he is individually allotted pursuant to Section 1-23-580(B). Rules governing practice and procedure before the division which are:

(1) consistent with the rules of procedure governing civil actions in courts of common pleas; and

(2) not otherwise expressed in Chapter 23 of Title 1 ~~of the 1976 Code~~;

shall upon approval by a majority of the judges of the division be promulgated by the division, and shall be subject to review as are rules of procedure promulgated by the Supreme Court under Article V of the Constitution; provided, however, the division shall adopt the South Carolina Rules of Civil Procedure as its temporary rules of procedure to remain in effect until permanent rules are promulgated pursuant to this section during the 1995 session of the General Assembly."/

Renumber sections to conform.

Amend title to conform.

Senator COURTNEY explained the amendment.

Senator COURTNEY moved that the amendment be adopted.

The amendment was adopted.

Amendment No. 2

Senator RICHTER proposed the following Amendment No. 2 (4445R001.LER):

Amend the bill, as and if amended, page 3, after line 31, by adding appropriately numbered new SECTIONS to read:

/SECTION ___. Section 1-11-140 of the 1976 Code is amended to read:

"Section 1-11-140(A). The State Budget and Control Board, through the Office of Insurance Services, is authorized to provide insurance for the State, its departments, agencies, institutions, commissions, boards, and the personnel employed by the State in its departments, agencies, institutions, commissions, and boards so as to protect the State against tort liability and to protect these personnel against tort liability arising in the course of their employment. The insurance also may be provided for physicians or dentists employed by the State, its departments, agencies, institutions, commissions, or boards against any tort liability arising out of the rendering of any professional services as a physician or dentist for which no fee is charged or professional services rendered of any type whatsoever so long as any fees received are directly payable to the employer of a covered physician or dentist~~, or to any practice plan authorized by the employer whether or not the practice plan is incorporated and registered with the Secretary of State~~; provided, any insurance coverage provided by the Budget and Control Board may be on the basis of claims made or upon occurrences. The insurance also may be provided for students of high schools, South Carolina Technical Schools, or state-supported colleges and universities while these students are engaged in work study, distributive education, or apprentice programs on the premises of private companies. Premiums for the insurance must be paid from appropriations to or funds collected by the various entities, except that in the case of the above-referenced students in which case the premiums must be paid from fees paid by students participating in these training programs. The board has the exclusive control over the investigation, settlement, and defense of claims against the various entities and personnel for whom it provided insurance coverage and may promulgate regulations in connection therewith."

SECTION ___. The second paragraph of Section 15-78-30(c) of the 1976 Code is further amended to read:

"On or after January 1, 1989, 'Employee' means any officer, employee, or agent of the State or its political subdivisions, including elected or appointed officials, law enforcement officers, and persons acting on behalf or in service of a governmental entity in the scope of official duty, whether with or without compensation, but the term does not include an independent contractor doing business with the State or any political subdivision thereof. Custody of prisoners by the State or any of its political subdivisions does not in and of itself create an employer and employee relationship between the State and the prisoner. Provided, the provisions of this section shall in no way limit or modify the liability of a licensed physician or dentist, acting within the scope of his profession, with respect to any action or claim brought hereunder which involved services for which the physician or dentist was paid, should have been paid, or expected to be paid at the time of the rendering of the services from any source other than the salary appropriated by the governmental entity ~~or fees received from any practice plan authorized by the employer whether or not the practice plan is incorporated and registered with the Secretary of State~~."

SECTION ___. The second paragraph of Section 15-78-70(c) of the 1976 Code is further amended to read:

"On or after January 1, 1989, a person, when bringing an action against a governmental entity under the provisions of this chapter, shall name as a party defendant only the agency or political subdivision for which the employee was acting and is not required to name the employee individually, unless the agency or political subdivision for which the employee was acting cannot be determined at the time the action is instituted. In the event that the employee is individually named, the agency or political subdivision for which the employee was acting must be substituted as the party defendant. The provisions of this section in no way shall limit or modify the liability of a licensed physician or dentist, acting within the scope of his profession, with respect to any action or claim brought hereunder which involved services for which the physician or dentist was paid, should have been paid, or expected to be paid at the time of the rendering of the services from any source other than the salary appropriated by the governmental entity ~~or fees received from any practice plan authorized by the employer whether or not the practice plan is incorporated and registered with the Secretary of State~~."

SECTION ___. Section 15-78-120(a)(5) of the 1976 Code is amended to read:

"(5) The provisions of Section 15-78-120(a)(3) and (a)(4) shall in no way limit or modify the liability of a licensed physician or dentist, acting within the scope of his profession, with respect to any action or claim brought hereunder which involved services for which the physician or dentist was paid, should have been paid, or expected to be paid at the time of the rendering of the services from any source other than the salary appropriated by the governmental entity ~~or fees received from any practice plan authorized by the employer whether or not the practice plan is incorporated and registered with the Secretary of State~~."/

Renumber sections to conform.

Amend title to conform.

Senator LAND objected to further consideration of the Bill.

RECALLED FROM ORANGEBURG COUNTY DELEGATION
HOUSE AMENDMENTS AMENDED
RETURNED TO THE HOUSE WITH AMENDMENTS

S. 1375 -- Senator Matthews: A BILL TO PROVIDE THAT ORANGEBURG COUNTY ON JULY 1, 1997, SHALL CONSIST OF THREE CONSOLIDATED SCHOOL DISTRICTS, EACH TO BE COMPOSED OF CERTAIN OF THE EIGHT PRESENT SCHOOL DISTRICTS OF THE COUNTY WITH THESE EIGHT PRESENT SCHOOL DISTRICTS OF THE COUNTY BEING ABOLISHED ON JULY 1, 1997; TO PROVIDE THAT EACH CONSOLIDATED SCHOOL DISTRICT SHALL BE GOVERNED BY A BOARD OF TRUSTEES WHO SHALL BE ELECTED IN NONPARTISAN ELECTIONS ON SPECIFIED DATES; TO PROVIDE FOR THE COMPOSITION AND MANNER OF ELECTION OF EACH CONSOLIDATED BOARD; TO ESTABLISH AN ORANGEBURG COUNTY BOARD OF EDUCATION ON JULY 1, 1997, TO BE COMPOSED OF SEVEN MEMBERS ELECTED IN NONPARTISAN ELECTIONS IN THE MANNER SPECIFIED; TO PROVIDE FOR THE POWERS AND DUTIES OF THE COUNTY BOARD AND THE CONSOLIDATED BOARDS; TO PROVIDE FOR THE MANNER IN WHICH SCHOOL BUDGETS MUST BE PREPARED AND SCHOOL TAX MILLAGE DETERMINED AND LEVIED; TO AUTHORIZE FINANCIAL INCENTIVES FOR SCHOOL YEAR 1997-98 ONLY TO ENCOURAGE THE RETIREMENT OF SCHOOL DISTRICT PERSONNEL CURRENTLY WORKING BEYOND RETIREMENT AGE; TO PROVIDE FOR THE TRANSFER OF THE ASSETS, LIABILITIES, AND BONDED INDEBTEDNESS OF THE EIGHT PRESENT SCHOOL DISTRICTS TO THE COUNTY BOARD WITH CERTAIN EXCEPTIONS; TO PROVIDE FOR THE MANNER IN WHICH THE CONSTITUTIONAL DEBT LIMITATION OF THE COUNTY BOARD FOR THE ISSUANCE OF GENERAL OBLIGATION BONDS MUST BE DETERMINED; AND TO PROVIDE FOR THE REALIZATION OF CERTAIN ADMINISTRATIVE COST SAVINGS BY JULY 1, 2000.

On motion of Senator MATTHEWS, with unanimous consent, the Bill was recalled from the Orangeburg County Delegation.

There was no objection.

Senator MATTHEWS asked unanimous consent to take the Bill up for immediate consideration.

There was no objection.

The Senate proceeded to a consideration of the Bill. The question being concurrence in the House amendments.

Senators MATTHEWS and HUTTO proposed the following amendment (S-EDUC\1375.07), which was adopted:

Amend the bill, as and if amended, by striking all of SECTIONS 3 through 8 and inserting:

/SECTION 3. (A) There is also established an Orangeburg County Board of Education on July 1, 1997. The county board of education shall consist of seven members elected in nonpartisan elections beginning in 1997 from the same seven single-member election districts as are members of the governing body of the county. The 1997 nonpartisan election shall be held on the third Tuesday in January, 1997. After the 1997 election, members of the board shall thereafter be elected at nonpartisan elections to be conducted on the first Tuesday after the first Monday in November every two or four years thereafter as applicable beginning in 1999. Members of the board shall be elected for four-year terms and until their successors are elected and qualify, except that of the seven members elected in 1997, the four members elected with the largest number of votes shall serve for initial terms to expire in November, 2001, when their successors elected at the 2001 election qualify and take office, and the three members elected with the fewest number of votes shall serve for initial terms to expire in November, 1999, when their successors elected at the 1999 election qualify and take office. In the event of a vacancy on the board occurring for any reason other than expiration of a term, the board shall call a special election to fill the unexpired term, so long as the vacancy does not occur within one hundred eighty days of a regular trustee election. In this case, the vacancy must be filled for the unexpired term through appointment by the county legislative delegation. All members of the county board shall serve until their successors are elected and quality.

Each member of the board must be elected by the qualified electors of the single-member district from which he seeks election. All persons desiring to qualify as a candidate shall file written notice of candidacy with the county election commission on forms furnished by the commission. This notice of candidacy must be a sworn statement and must include the candidate's name, age, election district from which he resides and seeks election, voting precinct, period of residence in the county and election district, and other information as the county election commission requires. The filing period opens on the first day of November, 1996, at noon to run for two weeks for the 1997 election to expire at noon of the last day of the filing period and thereafter is as provided in Section 7-13-352 of the 1976 Code.

The county commissioners of election shall conduct and supervise the elections for members of the county board in the manner governed by the election laws of this State, mutatis mutandis. The commissioners shall prepare the necessary ballots, appoint managers for the voting precincts, and do all things necessary to carry out the elections, including the counting of ballots and declaring the results. The commission shall publish notices of the elections in the same manner provided in Section 7-13-35 of the 1976 Code. The results of the elections must be determined by the nonpartisan plurality method as contained in Section 5-15-61 of the 1976 Code.

The members of the board elected in these nonpartisan elections shall take office one week following certification of their election as provided in Section 59-19-315 of the 1976 Code.

(B) The primary role of the county board of education shall be to equalize funding among the three consolidated districts in the manner provided by this act.

(C) The county board of education shall have only those powers, duties, and functions as provided in this act and not as provided by the general law, all of the other powers, duties, and functions being reserved to the boards of the particular consolidated school districts.

(D) The county board of education shall serve as a fiscal agent to distribute the countywide school millage levy for operating and debt service purposes to the three consolidated school districts of the county as provided in this act.

(E) The county board of education also shall:

(1) serve as arbitrator in disputes concerning school district lines;

(2) receive a copy of each district's annual audit of its financial affairs;

(3) adopt a budget for the operations of the county board which at no time may in dollar terms exceed the value of one-half mill; and

(4) prescribe a uniform salary schedule for all certified teachers to be effective beginning with school year 1997-98.

(F) The county board of education, in consultation with the boards of the three consolidated school districts, shall review annually the impact of the formula established in SECTION 5 of this act and shall recommend revisions as necessary or shall develop a new formula to provide for the equalization of the districts' per pupil funding to within plus or minus five percent of the county average local and EFA revenue per pupil, taking into consideration any differences in local tax effort, within five years of the effective date if this act. The recommendations on the formula must be presented to the county legislative delegation no later than March 30 of each year.

SECTION 4. (A) The board of trustees of each consolidated school district, before July first of each year beginning in 1997, shall prepare a school district budget for the ensuing school year. Before September second of each year beginning in 1997, the board shall notify the county auditor and treasurer in writing of the millage required for the operation of the schools in the district for the ensuing school year. The notice by the board constitutes authority for the levying and collection of the millage upon all of the real and personal property within the school district. The levy must be placed to the credit of the district and expended for the district. Beginning in 1997, a school district may raise its millage by not more than three mills over that levied for the previous year, adjusted for the EFA inflation factor and sufficient to meet the requirements of Section 59-21-1030 of the 1976 Code; however the millage increase above the EFA and EIA requirements must be approved by the county board. Any increase above the three mills may be levied only after a majority of the registered electors of the district voting in a referendum called by the county board and conducted by the county election commission vote in favor of the millage increase. However, Consolidated District Four shall be permitted to adjust millage to compensate for the loss of Education Finance Act funding attributable to the assessed valuation of the Cope Electric Generating Station. The amount of decrease in the Education Finance Act funding resulting from the generating station must be certified by the State Department of Education. This millage adjustment shall occur only once and shall be limited to the millage needed to replace the Education Finance Act funds.

(B) Each consolidated board shall hold a public hearing prior to its final approval of the budget for the district. Notice of these public hearings must be placed in a newspaper of general circulation in the district at least fifteen days before the public hearing.

(C) For purposes of 1997 only, the millage levied for the previous year of a consolidated district must be derived by dividing the total revenue raised in 1996 from school tax millage by each of the former school districts of the county now a part of that consolidated district by the total 1996 assessed value of all taxable property of those former districts less thirty mills.

SECTION 5. (A) Beginning with the year 1997, a countywide school tax millage levy of twenty-five mills for operating purposes is hereby imposed and shall be distributed by the county board to the consolidated school districts on the following formula:

Step 1. Determine the countywide wealth per student by dividing the total value of a countywide mill by the total average daily membership (ADM) of the three consolidated districts. The ADM will be determined by the prior year one hundred thirty-five day report for each district.

Step 2. Determine each district's wealth per student by dividing the total value of the district's mill by its ADM.

Step 3. Determine the variance of each district's wealth per student from the highest district's wealth per student.

Step 4. Equalize the wealth per student for the least wealthy district by multiplying that district's variance from the highest wealth per student by the district's ADM and multiplying by 25 mills; equalize the next least wealthy district by multiplying that district's variance from ninety-five percent of the highest wealth per student by the district's ADM and multiplying by 25 mills.

Step 5. The district with the lowest wealth per student is assigned one mill.

Step 6. Consolidated District Five will receive five mills for hold harmless purposes. These mills will be phased out by reducing the hold harmless mills by one each year beginning in 1998. The amount of hold harmless funds will be calculated by multiplying the value of a countywide mill times the number of hold harmless mills; less the district's equalized funds from the wealth pr student calculation; plus the district share of the mill assigned to the district with the lowest wealth per student.

Step 7. The remaining funds from the countywide millage shall be divided equally among the three districts based on their percentage of the county's ADM.

(B) Beginning with the year 1997, a countywide school tax millage levy of five mills for capital improvements or debt service purposes is hereby imposed and shall be distributed by the county board to the consolidated school districts on the following formula:

Step 2. Determine each district's wealth per student by dividing the total value of the district's mill by its ADM.

Step 3. Determine the variance of each district's wealth per student from the highest district's wealth per student.

Step 5. The district with the lowest wealth per student is assigned one mill.

Step 6. The remaining funds from the countywide millage shall be divided equally among the three districts based on their percentage of the county's ADM.

(C) The county board of education shall make the determinations and allocations required by the formula established in this section.

(D) The county board of education, before July first of each year beginning in 1998, shall determine whether the countywide tax millage levy of twenty-five mills is sufficient to meet the five-year phase-in of equalization of funding. Before September second of each year, the board shall notify the county auditor and treasurer in writing of the increase in countywide millage required for the equalization of funding. The notice by the county board constitutes authority for the levying and collection of the increase in countywide millage upon all the real and personal property within the county. Beginning in 1998, the county board may raise the countywide millage by no more than three mills over that levied for the previous year. This millage shall be added to the formula as the county board determines best contributes to the phase-in of equalization.

(E) The county board shall hold a public hearing prior to its final approval of any increase in the countywide millage. Notice of these public hearing must be placed in a newspaper of general circulation in the county at least fifteen days before the public hearing.

(F) Notwithstanding the requirements of this section, if new construction and improvements are not exempted from any roll back millage requirement, the formula shall not be implemented until the millage can be adjusted to generate the projected revenue needed to fund the formula.

SECTION 6. The board of trustees of each consolidated district shall have the powers, duties, and responsibilities as are provided by law including:

(1) employ a superintendent as the chief executive officer;

(2) establish other administrative departments upon the recommendation of the superintendent;

(3) adopt the proposed budget of the school district;

(4) have the power to inquire into the conduct of any office, department, or agency of the school district;

(5) adopt and modify attendance zones of schools within the school district except that through school year 1998-99, existing attendance zones cannot be changed;

(6) provide for an independent annual audit of the books and business affairs of the school district and for a general survey of school district business;

(7) cooperate to establish and maintain a central purchasing system for the purchase of contractual services, equipment, and supplies;

(8) cooperate to establish and maintain educational consortia; and

(9) be responsible for policymaking action and the review of regulations established to put these policies into operation.

SECTION 7. (A) On July 1, 1997, the assets and liabilities of the eight present school districts shall be transferred to the respective consolidated district of which they are a part. The records and employees of the eight present school districts of the county must be transferred to and, if applicable, assumed by the consolidated school district of which they become a part.

(B) The constitutional debt limitation on the issuance of general obligation bonds applicable to consolidated districts is to be computed based on the assessed value of all taxable property in the consolidated district minus that bonded indebtedness of each of the present school districts made a part of the consolidated district which was includable against the constitutional debt limit of those present school districts.

SECTION 8. In creating the consolidated districts, it is anticipated that there will be savings in the total district level administrative costs from the former individual districts; therefore, district level administrative costs in each consolidated district will be no more than four percent of federal, state, and local revenues by July 1, 2000. Administrative costs shall be those defined in the State Department of Education financial analysis model./.

Amend title to conform.

Senator MATTHEWS explained the amendment.

There being no further amendments, the Bill was amended and ordered returned to the House with amendments.

THE CALL OF THE UNCONTESTED CALENDAR HAVING BEEN COMPLETED, THE SENATE PROCEEDED TO THE MOTION PERIOD.

MOTION ADOPTED

On motion of Senator LEVENTIS, the Senate agreed to dispense with the Motion Period.

MOTION WITHDRAWN

H. 4706 -- Reps. Wilkins, Kennedy, Harrell, Hutson, Neilson, S. Whipper, J. Hines, Harvin, Howard, Askins, White, Fleming, Jennings, Keegan, Anderson, L. Whipper, M. Hines, Cobb-Hunter, Breeland, Neal, Young-Brickell, Easterday, J. Harris, Koon, Meacham, J. Young, Harrison, Clyburn, Herdklotz, Knotts, Inabinett, Wright, Lloyd, Law, Gamble, Delleney, Cave, Govan, H. Brown, Felder, Robinson, Mason, Carnell, D. Smith, Rice, Sharpe, Boan, Fulmer, Chamblee, Stuart, Shissias, Klauber, T. Brown, Spearman, Williams, Kinon, Limbaugh, Scott, Riser, McTeer, McElveen, Hodges and Richardson: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, TO ENACT THE "SOUTH CAROLINA RURAL DEVELOPMENT ACT OF 1996" (ABBREVIATED TITLE)

Senator MOORE asked unanimous consent to make a motion to take the Bill up for immediate consideration.

Parliamentary Inquiry

Senator BRYAN made a Parliamentary Inquiry as to whether or not Senator BRYAN could, at a later time, if the Bill became contested, place his name on the Bill as objecting to further consideration.

Senator MOORE spoke on the inquiry.

The PRESIDENT stated that if the unanimous consent request by Senator MOORE were agreed to, the Senate would be on H. 4706 until the Senate disposed of the matter.

Senator BRYAN objected.

On motion of Senator MOORE, with unanimous consent, the motion was withdrawn.

Objection

Senator ROSE asked unanimous consent to make a motion that H. 4706 be made a Special Order.

Senator BRYAN objected and Senator ROSE withdrew the motion.

THE SENATE PROCEEDED TO THE SPECIAL ORDERS.

READ THE SECOND TIME
WITH NOTICE OF GENERAL AMENDMENTS

S. 1142--Banking and Insurance Committee: A BILL TO AMEND THE MOTOR VEHICLE FINANCIAL RESPONSIBILITY ACT AND TITLE 56, RELATING TO MOTOR VEHICLE REGISTRATION AND FINANCIAL SECURITY, TO PROVIDE FOR THE ESTABLISHMENT OF AN UNINSURED MOTORIST FUND; TO PROVIDE THAT THERE SHALL BE AN ASSIGNED RISK PLAN, KNOWN AS THE "SOUTH CAROLINA AUTOMOBILE INSURANCE PLAN"; AMONG OTHER THINGS, (ABBREVIATED TITLE)

The Senate proceeded to a consideration of the Bill. The question being the second reading of the Bill.

On motion of Senator McCONNELL, with unanimous consent, the Bill was read the second time, with notice of general amendments, carrying over all amendments to third reading.

READ THE SECOND TIME
WITH NOTICE OF GENERAL AMENDMENTS

H. 4469 -- Reps. Wilkins, Sharpe, Haskins, Cato, D. Smith, Townsend, J. Brown and Harrison: A BILL TO ENACT THE "SOUTH CAROLINA EFFECTIVE DEATH PENALTY ACT OF 1996" INCLUDING PROVISIONS TO ADD SECTION 16-3-21, CODE OF LAWS OF SOUTH CAROLINA, 1976, TO PROHIBIT, WITHOUT PRIOR COURT APPROVAL, CONTACT WITH JURORS WHO SENTENCED AN INDIVIDUAL TO DEATH BY ATTORNEYS OR AGENTS OF THAT INDIVIDUAL; BY ADDING SECTION 17-25-375 SO AS TO FURTHER PROVIDE FOR PROCEDURES FOR THE SETTING OF EXECUTION DATES; BY AMENDING SECTION 17-25-380, RELATING TO NOTICES OF THE INTENT TO EXECUTE A DEATH SENTENCE, SO AS TO FURTHER PROVIDE FOR THESE NOTICE REQUIREMENTS; BY ADDING SECTION 17-27-130 SO AS TO CLARIFY THE CIRCUMSTANCES WHEN THE ATTORNEY-CLIENT PRIVILEGE IS WAIVED IN STATE POST-CONVICTION PROCEEDINGS, AND TO PROVIDE FOR CERTAIN ACCESS OF NEW COUNSEL TO THE FILES OF PRIOR COUNSEL IN CASES OF DEFENDANTS SENTENCED TO DEATH; BY ADDING SECTION 17-27-140 SO AS TO REQUIRE THE SENTENCING TRIAL JUDGE IN CAPITAL CASES TO PRESIDE OVER COLLATERAL REVIEW PROCEEDINGS UNLESS ACTUAL BIAS OR PREJUDICE IS FOUND TO EXIST; BY ADDING SECTION 17-27-150 SO AS TO PROVIDE THAT DISCOVERY PROCESSES ARE ONLY AVAILABLE TO THE PARTIES IN A STATE POST-CONVICTION RELIEF CASE UPON A SHOWING OF GOOD CAUSE; AND BY ADDING SECTION 17-27-160 SO AS TO PROVIDE FOR TIME LIMITS IN CERTAIN MATTERS IN STATE POST-CONVICTION RELIEF CASES INVOLVING A SENTENCE OF DEATH FOR THE PURPOSE OF EXPEDITING REVIEW OF SUCH CASES, AND TO FURTHER PROVIDE FOR THE APPOINTMENT AND COMPENSATION OF COUNSEL IN THESE CASES.

The Senate proceeded to a consideration of the Bill. The question being the adoption of the amendment proposed by the Committee on Judiciary.

On motion of Senator McCONNELL, with unanimous consent, the Bill was read the second time, with notice of general amendments, carrying over all amendments to third reading.

Leave of Absence

At 3:50 P.M., Senator WASHINGTON requested a leave of absence for the balance of the day.

CONSIDERATION INTERRUPTED

H. 3544 -- Rep. McTeer: A BILL TO AMEND SECTION 59-39-100, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO STATE HIGH SCHOOL DIPLOMAS AND THE UNITS REQUIRED FOR GRADUATION, SO AS TO PROVIDE THAT BEGINNING WITH THE 1998-99 SCHOOL YEAR, A MINIMUM OF FOUR UNITS IN MATHEMATICS RATHER THAN THREE AND A MINIMUM OF THREE UNITS IN SCIENCE RATHER THAN TWO, MUST BE EARNED.

The Senate proceeded to a consideration of the Bill. The question being the adoption of Amendment No. 3 (GJK\22421JM.96) proposed by Senator GIESE and previously printed in the Journal of March 28, 1996.

Senator BRYAN spoke on the Bill.

Consideration was interrupted.

THE SENATE PROCEEDED TO A CALL OF THE CONTESTED STATEWIDE AND LOCAL CALENDAR.

CARRIED OVER

H. 4005 -- Reps. Richardson and Cato: A BILL TO AMEND SECTION 38-77-510, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO AUTOMOBILE INSURANCE AND THE SOUTH CAROLINA REINSURANCE FACILITY AND THE FACILITY'S DUTIES GENERALLY, SO AS TO PROVIDE THAT FOR MULTI-VEHICLE INSURANCE POLICIES, ONE OR MORE VEHICLES MAY BE CEDED TO THE FACILITY AS LONG AS THE INSURER IDENTIFIES TO THE FACILITY AND THE INSURED PRECISELY WHICH VEHICLES ARE RETAINED AND WHICH ARE CEDED AND THE RATE LEVEL FOR EACH VEHICLE.

The Senate proceeded to a consideration of the Bill. The question being the adoption of Amendment No. 1 (S-INS-001) proposed by Senators LAND and SALEEBY and previously printed in the Journal of January 31, 1996.

On motion of Senator ALEXANDER, the Bill was carried over.

COMMITTEE AMENDMENT AMENDED AND ADOPTED AMENDED, READ THE THIRD TIME
RETURNED TO THE HOUSE

Senator MOORE asked unanimous consent to make a motion to take the Bill up for immediate consideration.

The Senate proceeded to a consideration of the Bill. The question being the adoption of the amendment proposed by the Committee on Finance.

Senator LEVENTIS spoke on the Bill.

Amendment No. P-3

Senators PEELER, LANDER, SHORT and BRYAN proposed the
following Amendment No. P-3 (4706R014.HSP), which was adopted:

Amend the commitee report, as and if amended, page 4706-23, by adding after line 4 the following:

/Amend the Bill, as and if amended, page 37, by adding an appropriately numbered subsection after line 41, to read:

( ) Notwithstanding the designations in Section 12-6-3360, Laurens, Cherokee, and Union counties shall qualify for the next increased credit designation./

Renumber sections to conform.

Amend title to conform.

Senator DRUMMOND moved that the amendment be adopted.

The amendment was adopted.

Amendment No. P-7

Senator LEVENTIS proposed the following Amendment No. P-7 (JIC\6103SD.96), which was adopted:

Amend the Report of the Committee on Finance, as and if amended, by striking subsections (A) and (B) of Section 12-6-3345 of the 1976 Code, which begin on line 34 of page 4706-13, and inserting:

/(A) A corporation qualifying for the credit allowed under Section 12-6-3360 is allowed an additional credit of ten percent of the first five million dollars of the cost for establishing, expanding, or adding to a facility in a 'least developed' or 'under developed' county, as provided in Section 12-6-3360, against any tax due pursuant to Section 12-6-530 or Section 12-20-50 as provided in this section.

(B) In order to qualify for this credit, each of the following criteria must be satisfied: the qualifying real property costs of the establishment, expansion, or addition must be at least five million dollars. Qualifying real property costs are:

(1) costs incurred in the design, preparation, and development of establishing, expanding, or adding to a facility, and

(2)(a) direct construction costs, or

(b) with respect to leased facilities, direct lease costs during the first five years of operations for the facility./

Amend the report further, in Section 12-6-3345, by adding at the end of subsection (r), which begins on line 38 of page 4706-14:

/No corporation qualifying for the tax credits hereunder may reduce its tax liability in any year by more than fifty percent of the liability shown on the return./

Amend totals and title to conform.

Senator LEVENTIS explained the amendment.

Senator LEVENTIS moved that the amendment be adopted.

The amendment was adopted.

Amendment No. P-8

Senator LEVENTIS proposed the following Amendment No. P-8 (JIC\6104SD.96), which was adopted:

Amend the Report of the Committee on Finance, as and if amended, by striking subitem (b) of Section 4-12-30(D)(4) of the 1976 Code, which begins on line 37 of page 4706-2, and by striking subitem (b) of Section 4-29-67(D)(4), which begins on line 26 of page 4706-5.

Amend title to conform.

Senator LEVENTIS explained the amendment.

Senator LEVENTIS moved that the amendment be adopted.

The amendment was adopted.

Amendment No. P-6

Senator HOLLAND asked unanimous consent to take up Amendment No. P-6 for immediate consideration.

There was no objection.

Senators HOLLAND, MOORE, LAND, LEATHERMAN, ELLIOTT, RANKIN, PEELER and LANDER proposed the following Amendment No. P-6 (4706R031.DHH), which was adopted:

Amend the Report of the Committee on Finance, as and if amended, by striking on page 4706-12 beginning on line 9, by striking lines nine through 43 and on page 4706-13 by striking lines 1 through 10 and inserting in lieu thereof the following:

/Amend further by adding the following new SECTIONS to be appropriately numbered to read:

SECTION ____. Article 25, Chapter 6, Title 12 of the 1976 Code is amended by adding:

"Section 12-6-3490. (A) Any company subject to a license tax under Section 12-20-100 may apply for a credit against its tax liability for amounts paid in cash to provide infrastructure for a project qualifying for income tax credits under Chapter 6 of Title 12, withholding tax credits under Chapter 10 of Title 12, income tax credits under Chapter 14 of Title 12, and fees in lieu of property taxes under Chapter 12 of Title 4.

(B) For the purpose of this section 'infrastructure' means improvements to a building or the land for water, sewer, gas, steam, electric energy, and communication services which are considered necessary, suitable, or useful to a project qualifying for income tax credits under Chapter 6 of Title 12, withholding tax credits under Chapter 10 of Title 12, income tax credits under Chapter 14 of Title 12, and fees in lieu of property taxes under Chapter 12 of Title 4. These improvements include, but are not limited to:

(1) improvements to both public or private water and sewer systems;

(2) improvements to both public or private electric, natural gas, and telecommunication systems including, but not limited to, ones owned or leased by an electric cooperative, electrical utility, or electric supplier as defined by Chapter 27, Title 58;

(3) fixed transportation facilities including highway, rail, water, and air.

(C) A company is not allowed the credit provided by this section for actual expenses it incurs in the construction and operation of electric system improvements or building electric facilities it owns, leases, manages, or operates.

(D) The maximum aggregate credit that may be claimed in any tax year by a single company is three hundred thousand dollars.

(E) The credits allowed by this section may not reduce the license tax liability of the company below zero. If the applicable credit exceeds the liability and is otherwise deductible under subsection (D) the amount of the excess may be carried forward and deducted in the succeeding taxable year."/

Renumber sections to conform.

Amend title to conform.

Senator LAND explained the amendment.

Senator DRUMMOND moved that the amendment be adopted.

The amendment was adopted.

Amendment No. P-12

Senator SETZLER proposed the following Amendment No. P-12 (4706R023.NGS), which was adopted:

Amend the committee report, as and if amended, page 4706-10, by inserting after line 10 the following:

/Amend further, SECTION 10B, page 37, by striking line 27 and 28 and inserting in lieu thereof the following:

(5)(a) A county, any portion of which is located within twenty-five miles of the boundaries of an applicable military installation or/

Renumber sections to conform.

Amend title to conform.

Senator SETZLER explained the amendment.

Senator SETZLER moved that the amendment be adopted.

The amendment was adopted.

Amendment No. P-5

Senator THOMAS proposed the following Amendment No. P-5 (GJK\22944SD.96), which was withdrawn:

Amend the Report of the Committee on Finance, as and if amended, by adding the following new SECTIONS to be appropriately numbered to read:

/SECTION ____. Section 12-36-910(B)(1) of the 1976 Code, as last amended by Act 361 of 1992, is further amended to read:

SECTION ____. Section 12-36-2120 of the 1976 Code is amended by adding an appropriately numbered item to read:

"( ) laundry, dry-cleaning, dyeing, and pressing services according to the following schedule:

(a) a sales tax of three percent of the gross proceeds of such sales shall be imposed beginning June 30, 1997;

(b) a sales tax of one percent of the gross proceeds of such sales shall be imposed beginning June 30, 1998; and

SECTION ____. A. Section 12-36-2120(24) of the 1976 Code, as last amended by Act 506 of 1994, is further amended to read:

B. This section takes effect July 1, 1998./

Renumber sections to conform.

Amend totals and title to conform.

Senator THOMAS explained the amendment.

Point of Order

Senator DRUMMOND raised a Point of Order that the amendment was out of order inasmuch as it was not germane to the Bill.

Senators ROSE, MATTHEWS and McCONNELL spoke on the Point of Order.

The PRESIDENT overruled the Point of Order.

Senator LEVENTIS argued contra to the adoption of the amendment.

Senator LEVENTIS moved to lay the amendment on the table.

The "ayes" and "nays" were demanded and taken, resulting as follows:

Ayes 19; Nays 21

AYES

Bryan                     Courtney                  Drummond
Ford                      Glover                    Hutto
Land                      Leventis                  Martin
Matthews                  Moore                     O'Dell
Passailaigue              Patterson                 Peeler
Reese                     Saleeby                   Short
Smith, J.V.

TOTAL--19

NAYS

Alexander                 Boan                      Cork
Courson                   Fair                      Giese
Gregory                   Hayes                     Lander
McConnell                 McGill                    Mescher
Rankin                    Richter                   Rose
Russell                   Ryberg                    Setzler
Smith, G.                 Thomas                    Wilson

TOTAL--21

The Senate refused to table the amendment. The question then was the adoption of the amendment.

Senator DRUMMOND objected to further consideration of the Bill.

Senator DRUMMOND, with unanimous consent, withdrew his objection to the Bill.

Senator LEVENTIS spoke on the amendment.

ACTING PRESIDENT PRESIDES

At 5:02 P.M., Senator MARTIN assumed the Chair.

Senator LEVENTIS spoke on the amendment.

On motion of Senator ROSE, with unanimous consent, Amendment No. P-5 was withdrawn.

Leave of Absence

On motion of Senator HAYES, at 4:50 P.M., Senator WALDREP was granted a leave of absence for the balance of the day.

Amendment No. P-10

Senator RANKIN proposed the following Amendment No. P-10 (4706R022.LAR), which was tabled:

Amend the committee report, as and if amended, page [4706-9], by striking lines 28 through 40 in their entirety.

Renumber sections to conform.

Amend title to conform.

Senator RANKIN explained the amendment.

Senator LEVENTIS spoke on the amendment.

Senator LEVENTIS moved to lay the amendment on the table.

The "ayes" and "nays" were demanded and taken, resulting as follows:

Ayes 26; Nays 15

AYES

Alexander                 Boan                      Bryan
Courson                   Courtney                  Drummond
Fair                      Giese                     Glover
Hayes                     Land                      Lander
Leventis                  Martin                    Matthews
McGill                    Moore                     O'Dell
Patterson                 Peeler                    Ryberg
Saleeby                   Setzler                   Short
Smith, J.V.               Thomas

TOTAL--26

NAYS

Cork                      Elliott                   Ford
Hutto                     Jackson                   McConnell
Mescher                   Passailaigue              Rankin
Reese                     Richter                   Rose
Russell                   Smith, G.                 Wilson

TOTAL--15

The amendment was laid on the table.

Amendment No. P-13

Senator LEVENTIS proposed the following Amendment No. P-13 (4706R024.PPL), which was adopted:

Amend the committee report, as and if amended, page 4706-23, by adding after line 4 the following to read:

/Amend the bill further, page 56, by striking SECTION 25, lines 8 through 29 in their entirety./

Renumber sections to conform.

Amend title to conform.

Senator LEVENTIS explained the amendment.

Senator LEVENTIS moved that the amendment be adopted.

The amendment was adopted.

The question then was the adoption of the amendment proposed by the Committee on Finance.

The Committee on Finance proposed the following amendment (GJK\22905HTC.96), which was adopted, as amended, as follows:

Amend the bill, as and if amended, by striking SECTIONS 3, 21, 22, 23, and 24 in their entirety.

Amend further, Section 12-10-85, as contained in SECTION 4, page 6, by inserting on line 27:

/However, up to twenty-five percent of the funds annually available in excess of five million dollars must be set aside for grants to areas of moderately developed and developed counties. County governing bodies must apply to the council for these set aside grants stating the reasons that certain areas of their county qualify for these grants because they are comparable to those conditions qualifying a county as 'least developed' or 'under developed'./

Amend further, Section 12-10-85, as contained in SECTION 4, page 6, by inserting immediately after line 31:

/(D) The council shall submit a report to the Governor and General Assembly by March fifteenth covering activities for the prior calendar year./

Amend further, by striking Section 12-10-88(D), as contained in SECTION 5A, page 7, beginning on line 24, and inserting:

/(D) Neither the federal employer nor the applicable redevelopment authority is required to meet the requirements of Section 12-10-50 for subsection (A) to apply and the restrictions contained in Section 12-10-80(C) do not apply to redevelopment fees./

Amend further, Section 4-12-30(B)(5)(b), as contained in SECTION 7B, page 8, line 26, by striking /such/; and beginning on line 27, by striking /as the county council or county councils desire,/; and by striking SECTION 7C beginning on page 8.

Amend further, by striking Section 4-12-30(D)(4), as contained in SECTION 7E, page 11, beginning on line 15, and inserting:

/(4) (a) The assessment ratio may not be lower than four percent:

(i) in the case of a business which is investing at least two hundred million dollars, which when added to the previous investments, results in a total investment of at least four hundred million dollars, and which is creating at least two hundred new full-time jobs at the site qualifying for the fee;

(ii) in the case of a business which is investing at least four hundred million dollars and which is creating at least two hundred new full-time jobs at a site qualifying for the fee; or

(iii) in the case of investments totalling at least four hundred million dollars, in a county classified as either least developed or underdeveloped, by a limited liability company and/or one or more of the members or equity holders where a member or equity holder is creating, at a site qualifying for the fee, at least one hundred new full-time jobs with an average annual salary of at least forty thousand dollars within four years of the date of execution of the millage rate agreement.

(b) The new full-time jobs requirement of this item does not apply in the case of a taxpayer which for more than the twenty-five years ending on the date of the agreement paid more than fifty percent of all property taxes actually collected in the county.

(c) In an instance in which the governing body of a county has by contractual agreement provided for a change in fee-in-lieu of taxes arrangements conditioned on a future legislative enactment, any new enactment shall not bind the original parties to the agreement unless the change is approved by a referendum of the county's voters in the next general election and ratified by the governing body of the county.

(5) Notwithstanding the use of the term 'assessment ratio', a business qualifying under items (2) or (4) of this subsection may negotiate an inducement agreement with a county using differing assessment ratios for different assessment years covered by the agreement. However, the lowest assessment ratio allowed is the lowest ratio for which the business may qualify under this section./

Amend further, SECTION 7I, by striking Section 4-12-30(K)(3), page 14, beginning on line 31, and inserting:

/(3) A county or municipality or special purpose district that receives and retains revenues from a payment in lieu of taxes may use a portion of this revenue for the purposes outlined in Section 4-29-68 without the requirement of issuing special source revenue bonds or the requirements of Section 4-29-68(A)(4)./

Amend further, SECTION 7J, by striking Section 4-12-30(M)(1), page 15, beginning on line 3, and inserting:

/(1) Any interest in an inducement agreement, millage rate agreement, lease agreement, and property to which the agreement relates may be transferred to any other entity at any time. Notwithstanding any other provision of this chapter, any equity interest in any entity with an interest in any inducement agreement, millage rate agreement, or lease agreement may be transferred to any other entity or person at any time.

Amend further, by striking Section 4-12-40, as contained in SECTION 7L, page 17, and inserting:

/Section 4-12-40. Projects with ~~respect to which~~ a lease agreement ~~has been~~ entered into before January 1, 1996, ~~the effective date of this chapter~~ are required to use the provisions of Section 4-29-67. Projects with ~~respect to which a~~ lease ~~agreement~~ agreements is entered into after December 31, 1995, are required to use the provisions contained in this chapter. However, those projects with lease agreements entered into after December 31, 1995, in which the total investment exceeds forty-five million dollars within the time provided in subsection (C)(2), ~~have the option of using~~ may elect to use the provisions ~~contained in~~ of Section 4-29-67 or 4-12-30, but not both./

Amend further, page 17, by striking SECTION 7M and inserting:

/M. Section 4-12-30(B)(4)(a) of the 1976 Code, as added by Act 125 of 1995, is amended to read:

"(a) Except as provided in ~~subsection~~ subsections (B)(4)(b) and (D)(4)(a), the investment must be made by a single entity. For purposes of this section:

(i) any partnership or other association which properly files its South Carolina income tax returns as a partnership for South Carolina income tax purposes must be treated as a single entity and as a partnership,

(ii) any corporation or other association which properly files its South Carolina income tax returns as a corporation for South Carolina tax purposes must be treated as a single entity and as a corporation, and

(iii) any limited liability companies must be treated as a single entity."

N. Section 4-12-30(I) of the 1976 Code, as added by Act 125 of 1995, is amended to read:

"(I) Investment expenditures ~~made or~~ incurred by any investor in connection with a project, or relevant phase of a project in connection with a project completed and placed in service in more than one year, ~~qualifies~~ qualify as expenditures subject to the fee in subsection (D)(2), so long as ~~these~~ those expenditures are ~~made~~ incurred:

(1) after, or within sixty days before, the county takes action reflecting or identifying the project or proposed project or investment including, but not limited to, the adoption of an inducement or similar resolution by county council; and

(2) before the end of the applicable five- or seven-year period referenced in subsection (C)(2) and (C)(3). An inducement agreement must be executed within two years after the date on which the county takes action reflecting or identifying the project or proposed project or investment including, but not limited to, the adoption of an inducement or similar resolution by county council; otherwise, only investment expenditures made or incurred by any investor after the date of the inducement agreement in connection with a project qualifies as expenditures subject to the fee in subsection (D)(2)."

O. The amendments made in this section to Chapter 12, Title 4 of the 1976 Code are effective upon signature by the Governor. These amendments may be applied to inducement resolutions, inducement agreements, millage rate agreements, and lease agreements with regard to projects for which lease agreements have been entered into prior to the effective date of this act, if the parties to each such agreement agree to modify such agreement to provide for the application of the appropriate provisions. However, except as provided in Section 4-12-30(H) of the 1976 Code, no amendment to such agreements may reduce the millage rate or assessment ratio under such agreements./

Amend further, SECTION 8A, page 18, by striking line 17 and inserting:

/(4)(a) Except as provided in ~~subsection~~ subsections (B)(4)(b) and (D)(4)(a), the investment/

Amend further, SECTION 8A, page 22, by striking Section 4-29-67(D)(4), beginning on line 13, and inserting:

/(4)(a) The assessment ratio may not be lower than four percent:

(i) in the case of a business which is investing at least two hundred million dollars which, when added to the previous investments, results in a total investment of at least four hundred million dollars, and which is creating at least two hundred new full-time jobs at the site qualifying for the fee;

(ii) in the case of a business which is investing at least four hundred million dollars and which is creating at least two hundred new full-time jobs at a site qualifying for the fee; or

(iii) in the case of investments totalling at least four hundred million dollars, in a county classified as either least developed or underdeveloped, by a limited liability company and/or one or more of its members or equity holders where the member or equity holder is creating, at the site qualifying for the fee, at least one hundred new full-time jobs with an annual average salary of at least forty thousand dollars within four years of the date of execution of a millage rate agreement.

Amend further, SECTION 8A, page 25, by striking Section 4-29-67(I), beginning on line 5, and inserting:

"(I) ~~Any and all~~ Investment expenditures ~~made or~~ incurred by any investor in connection with a project, (or relevant phase ~~thereof in connection with a~~ of a project for those ~~project~~ projects completed and placed in service in more than one year), ~~shall~~ qualify as expenditures subject to the fee in subsection (D)(2), so long as ~~such~~ these expenditures are ~~made~~ incurred:

(2) before the end of the applicable ~~five or seven-year period~~ time period for investments referenced in subsection (C)(2) and (C)(3).

An inducement agreement must be executed within two years after the date on which the county takes action reflecting or identifying the project or proposed project or investment including, but not limited to, the adoption of an inducement or similar resolution by county council; otherwise, only investment expenditures made or incurred by any investor after the date of such inducement agreement in connection with a project shall qualify as expenditures subject to the fee in subsection (D)(2)./

Amend further, SECTION 8A, by striking Section 4-29-67(L)(3), page 27, beginning on line 8 and inserting:

Amend further, SECTION 8A, by striking SECTION 4-29-67(O)(1), beginning on page 27, line 34, and inserting:

/(O)(1)~~(a)~~ Any ~~corresponding~~ interest in ~~each of~~ an inducement agreement, millage rate agreement, and lease agreement, and property to which the agreement relates, (collectively referred to as a 'fee interest'), representing an investment of at least eighty-five million dollars (based on income tax basis without regard to depreciation, and regardless of whether such investment comprises all or part of a project), may be transferred to any other entity at any time. Notwithstanding any other provision of this chapter, any equity interest in any entity with an interest in any inducement agreement, millage rate agreement, or lease agreement may be transferred to any other entity or person at any time. by an entity to any entity, whether or not such transferee entity is a member of the same controlled group of which the transferor entity is a members, and (b) any or all equity interests, in any partnership, corporation, or other association which properly files its South Carolina income tax returns as partnership or corporation and which has an interest in an inducement agreement, millage rate agreement, and lease agreement (such equity interest collectively and individually referred to as an 'entity interest') may be transferred by any entity to any entity, whether or not such transferee entity is a member of the same controlled group of which the entity in which one or more interests is being transferred is a member, provided that the entity or entities whose entity interest is or are being transferred hold at least an eighty-five million dollar investment (based on income tax basis without regard to depreciation) in the project as of the time of the transfer./

Amend further, SECTION 8A, page 34, by striking Section 4-29-67(U), beginning on line 34, and inserting:

/(U) Notwithstanding any other provision of this section to the contrary, if at any time following the period provided in subsection (C)(2), the investment based on income tax basis without regard to depreciation falls below the eighty-five million dollar minimum investment to which the fee relates and is held by an entity or controlled group of entities, the fee provided in subsection (D)(2) is no longer available and the investor is required to make the payments which are due under Section 4-29-60 for the remainder of the lease period.

(1) Notwithstanding any other provision of this section, if an investor fails to make the minimum investment required under subsection (D)(2) within the time provided in subsection (C)(2), then if and to the extent allowed pursuant to an applicable agreement between the investor and the county, the investor is entitled to the benefits of Chapter 12 of this title. Otherwise, the fee provided in subsection (D)(2) is no longer available and the investor is required to make the payments which are due under Section 4-29-60 for the remainder of the lease period.

(2) Notwithstanding any other provision of this section, if at any time following the period provided in subsection (C)(2), the investment based income tax basis without regard to depreciation falls below the forty-five million dollar minimum investment to which the fee relates and is held by an entity or controlled group of entities, then if and to the extent allowed pursuant to any applicable agreement between the investor and the county, the investor is entitled to the benefits provided under Chapter 12 of this title. Otherwise, the fee provided in subsection (D)(2) is no longer available and the investor is required to make the payments which are due under Section 4-29-60 for the remainder of the lease period./

Amend further, page 35, by striking SECTION 8C, beginning on line 28, and inserting:

/C. The amendments to Section 4-29-67 of the 1976 Code contained in this section are effective for inducement resolutions, inducement agreements, millage rate agreements, and lease agreements with regard to projects for which lease agreements are entered into after December 31, 1995. However, the provisions affecting Section 4-29-67(B)(3), (B)(4)(b)(iii), (H), (K)(1)(c), (O), and (U) of the 1976 Code are effective for inducement resolutions, inducement agreements, millage rate agreements, and lease agreements with regard to projects for which lease agreements have been entered into on or before December 31, 1995, if the investor and the county agree to modify the agreement to allow these provisions to apply to their agreement. However, except as provided in Section 4-29-67(H) of the 1976 Code, no amendment to an inducement agreement or millage rate agreement may reduce the millage rate, discount rate, or assessment ratio under such agreements./

Amend further, SECTION 10, beginning on page 36, by striking subsections (A) and (C) of Section 12-6-3360 and inserting:

/(A) Taxpayers that operate manufacturing, tourism, processing, warehousing, distribution, research and development, ~~and~~ corporate office, and qualifying service-related facilities are allowed an annual job tax credit as provided in this section. Credits under this section ~~can~~ may be claimed against income taxes imposed by Sections 12-6-510 or ~~Section~~ 12-6-530, and insurance premium taxes imposed pursuant to Chapter 7 of Title 38, and are limited in use to fifty percent of the taxpayer's South Carolina ~~corporate~~ income tax, or insurance premium tax liability. In computing any tax payable by a taxpayer under Section 38-7-90, the credit allowable under this section must be treated as a premium tax paid under Section 38-7-20.

(C) Subject to the conditions provided in subsection (N) of this section, a job tax credit is allowed for five years beginning in year two after the creation of the job for each new full-time job created if the minimum level of new jobs is maintained. The credit is only available to taxpayers that increase employment by ten or more full-time jobs, and no credit is allowed for the year or any subsequent year in which the net employment increase falls below the minimum level of ten. The amount of the initial job credit ~~and the minimum level of new jobs required~~ is as follows:

(1) ~~One~~ Three thousand dollars for each new full-time job created in ~~less~~ least developed counties. The credit is only available to taxpayers that increase employment by ten or more, and no credit is allowed for the year or any subsequent year in which the net employment increase falls below the minimum level of ten.

(2) ~~Six~~ Two thousand five hundred dollars for each new full-time job created in ~~moderately~~ under developed counties. The credit is only available to taxpayers that increase employment by eighteen or more, and no credit is allowed for the year or any subsequent year in which the net employment increase falls below the minimum level of eighteen.

(3) ~~Three~~ One thousand ~~hundred~~ dollars for each new full-time job created in moderately developed counties. The credit is only available to taxpayers that increase employment by fifty or more, and no credit is allowed for the year or any subsequent year in which the net employment increase falls below the minimum level of fifty.

(4) Five hundred dollars for each new full-time jobs created in developed counties./

Amend further, SECTION 10A, by striking Section 12-6-3360(M)(8), (12), and (13) on pages 41 and 42, and inserting:

/(8) 'Distribution facility' means an establishment where shipments of tangible personal property are processed for delivery to customers. The term does not include an establishment where retail sales of tangible personal property are made to retail customers on more than twelve days a year except for a facility which processes customer sales orders by mail, telephone, or electronic means, if the facility also processes shipments of tangible personal property to customers and if at least seventy-five percent of the dollar amount of goods sold through the facility are sold to customers outside of South Carolina.

(12) 'Tourism facility' means an establishment used for a theme park; amusement park; historical, educational, or trade museum; botanical garden; cultural center; theater; motion picture production studio; convention center; arena; auditorium; or a spectator or participatory sports facility; and similar establishments where entertainment, education, or recreation is provided to the general public. Tourism facility also includes new hotel and motel construction, except that to qualify for the credits allowed by this section and regardless of the county in which the facility is located, the number of new jobs that must be created by the new hotel or motel is twenty or more. It does not include that portion of an establishment where retail merchandise or retail services are sold directly to retail customers.

(13) 'Qualifying service-related facility' means (a) an establishment engaged in an activity or activities listed under the Standard Industrial Classification (SIC) Code 80 according to the Federal Office of Management and Budget Standard Industrial Classification Manual, 1987 edition; or, (b) a business for which over fifty percent of the gross receipts are from providing services, as opposed to manufacturing or selling or dealing in tangible personal property and which creates at least two hundred fifty jobs at a single location./

Amend further, page 43, SECTION 10B, by adding on line 8 /The provisions of Section 12-10-70(1)(b) of the 1976 Code, as amended by Act 231 of 1996, relating to the transferring of jobs, continue to apply for an affected project notwithstanding the repeal of Section 12-10-70 of the 1976 Code contained in this act./

Amend further, Section 12-6-3450(A), as contained in SECTION 12, page 46, line 1, by striking /, (2), and (4)/ and inserting /and (2)/ and by striking lines 21 through 30 and inserting /applicable federal facility." Amend further, SECTION 18A, beginning on page 50, by striking Section 12-10-80(A) and inserting:

/(A) Upon certification by the council to the department of the council's determination that a business is a qualifying business, a qualifying business may collect a job development fee by retaining an amount of employee withholding permitted by subsection ~~(C)~~ (B) or (D), or both, for the purposes permitted by subsection ~~(B)~~ (C) or (D), respectively. To qualify for a job development fee, a qualifying business shall create at least ten new, full-time jobs at the South Carolina facility described in the revitalization agreement. A qualifying business may collect a job development fee under the revitalization agreement for not more than fifteen years. The amount retained is the property of the business, subject to all of the conditions in this section including the later possible requirement that the funds be transferred to this State as withholding and the possible forfeiture of the funds to this State as misappropriated withholding. The retained withholding must be maintained in an escrow account with a bank which is insured by the Federal Deposit Insurance Corporation. To the extent the money is not used as permitted by subsection ~~(B)~~ (C) or (D), it must be treated as misappropriated employee withholding. Employee withholding may not be retained ~~from~~ for purposes of (B) and (C) with regard to an any employee whose job was created in this State before the ~~entry~~ taxable year of the qualifying business in which it enters into a revitalization agreement. If a qualifying business retains employee withholding under this section, it shall make its payroll books and records available for inspection by the council and the department at the times the council and the department request. Each qualifying business retaining employee withholding under this section shall file with the council and the department the information and documentation respecting the retention and use of the employee withholding according to the revitalization agreement. Each qualifying business which retains in excess of ten thousand dollars in any calendar year shall furnish an audited report prepared by an independent certified public accountant which itemizes the sources and uses of the funds. The audited report must be filed with the council and the department no later than June thirtieth following the calendar year of the retention. Each qualifying business retaining employee withholding under this section is allowed a credit against the withholding tax liability provided in Chapter 9 8 of this title otherwise owed to the State, the credit not to exceed the lesser of the amount of such tax or the aggregate amount of employee withholding retained. No employer may withhold an amount that results in any employee ever receiving a smaller amount of wages on either a weekly or on an annual basis than the employee would otherwise receive in the absence of this chapter./

Amend further, Section 12-10-80(B), as contained in SECTION 18A., page 52, line 28, by striking /waiver/ and inserting /waiver of ninety-five percent/.

Amend further, SECTION 18A, page 53, by striking Section 12-10-80(C)(6), and inserting:

/(6) the amount of job development fees a qualifying business may retain for its use for qualifying expenditures is limited according to the designation of the county as defined in Section 12-6-3360 as follows:

(a) one hundred percent of the maximum job development fees may be retained by businesses located in counties designated as 'least developed';

(b) eighty-five percent of the maximum job development fees may be retained by businesses located in counties designated as 'under developed';

(c) seventy percent of the maximum job development fees may be retained by businesses located in counties designated as 'moderately developed'; or

(d) fifty-five percent of the maximum job development fees may be retained by businesses located in counties designated as 'developed'.

The council shall certify to the department the maximum job development fee for each qualifying business. After receiving certification, the department shall remit an amount equal to the difference between the maximum job development fee and the job development fee actually retained to the State Rural Infrastructure Fund as defined and provided in Section 12-10-85./

Amend further, page 56, by striking SECTION 25B, beginning on line 27, and inserting:

/B. The first unnumbered item added in Section 12-36-2120 of the 1976 Code by subsection A of this section takes effect March 1, 1996. The second unnumbered item so added takes effect on the first day of the second month following approval by the Governor./

Amend further, by adding the following new SECTIONS, appropriately numbered, to read:

/SECTION ___. Article 25, Chapter 6, Title 12 of the 1976 Code is amended by adding:

"Section 12-6-3490. (A) Any taxpayer claiming one or more credits under this chapter in connection with the construction, establishment, or operation of a distribution facility as defined under Section 12-6-3360(M) that invests at least fifty million dollars beginning January 1, 1996, and ending December 31, 1998, and that, within one year after the end of the year in which the facility is placed in service, creates at least two hundred new jobs and that within five years after the end of the year in which the facility is placed in service creates a total of at least four hundred new jobs, may apply any and all such credits against any state taxes, license fees, and other assessments imposed under this title. These credits may be carried forward for no more than fifteen years from the taxable year in which the credit is earned by the taxpayer. Each dollar of credit may be used only once.

(B) Subject to the limitations in this subsection, the credits earned in subsection (A) are refundable. This credit is refundable only to the extent it cannot be used against the taxpayer's tax liabilities in any given year. The total amount the taxpayer can receive during its existence as a refund under this subsection is the amount the taxpayer actually paid to the State in sales and use taxes after March 1, 1996, and on or before the tenth anniversary of the date on which the facility described in subsection (A) was placed in service.

(C) Each user of one or more of the provisions of subsection (A) or (B) may apply for and receive a sales and use tax exemption certificate and, for purposes of this section, is deemed to be the taxpayer under Chapter 36 of this title. This exemption certificate has the same effects as a resale certificate has under Section 12-36-950.

(D) Each taxpayer may utilize this section on or before meeting the minimum investment and job requirements of subsection (A) so long as the taxpayer notifies the department of its intent to do so on or before the time the taxpayer files a return utilizing this section. If the minimum investment and job requirements are not met within the time specified in subsection (A), the taxpayer is liable to the department in an amount equal to the total taxes that would have been due to the department in the absence of this section. Any such amount is subject to interest as provided in this title.

(E) For a taxpayer who meets the requirements of subsection (A), the running of the statute of limitations provided by subsections (A) through (F) of Section 12-54-85 is suspended from January 1, 1996, until ten years after the facility described in subsection (A) was placed in service."

SECTION ___. Section 4-29-68(A)(2) of the 1976 Code, as last amended by Act 125 of 1995, is further amended to read:

"(2) The bonds are issued solely for the purpose of paying the cost of designing, acquiring, constructing, improving, or expanding the infrastructure serving the issuer and for improved or unimproved real estate used in the operation of a manufacturing or commercial enterprise in order to enhance the economic development of the issuer and costs of issuance of the bonds. ~~For purposes of this section, infrastructure includes improved and unimproved real property.~~ Bonds issued pursuant to this section to finance the acquisition of real or personal property may be additionally secured by a mortgage of that real or personal property."

SECTION ___. With respect to the amendments in this act made to Section 12-10-80 of the 1976 Code and the implementation of Section 12-10-85 of the 1976 Code, as added by this act, only amounts equal to the difference between the maximum job development fee and the amount actually retained as described in Section 12-10-80 of the 1976 Code received on or after January 1, 1997, must be transferred to the State Rural Infrastructure Fund. All such amounts received before that date must be transferred to the general fund of the State.

SECTION _____. Article 25, Chapter 6, Title 12 of the 1976 Code is amended by adding:

"Section 12-6-3345. (A) A corporation qualifying for the credit allowed under Section 12-6-3360 is allowed an additional credit of ten percent of the cost for establishing, expanding, or adding to a facility in a 'least developed' or 'under developed' county, as provided in Section 12-6-3360, against any tax due pursuant to Section 12-6-530 or Section 12-20-50 as provided in this section.

(B) In order to qualify for this credit, each of the following criteria must be satisfied: the qualifying real property costs of the establishment, expansion, or addition must be at least fifty thousand dollars. Qualifying real property costs are:

(1) costs incurred in the design, preparation, and development of establishing, expanding, or adding to a facility, and

(2)(a) direct construction costs, or

(b) with respect to leased facilities, direct lease costs during the first five years of operations for the facility.

(C) A facility establishment, expansion, or addition which meets the criteria of subsection (B) of this section is entitled to an additional credit equal to ten percent of cost for tangible personal property if the following conditions are met: the personal property is:

(1) capitalized as personal property for income tax purposes under the Internal Revenue Code; and

(2) purchased for the establishment, expansion, or addition of a facility.

(D)(1) For facilities which are constructed, the credit can be claimed only for the taxable year when the establishment, expansion, or addition is placed in service for federal income tax purposes. For construction projects completed in phases and placed in service for federal income tax purposes in more than one taxable year, the corporation can claim the credit on the South Carolina income tax return for the taxable year in which property, which qualifies for the credit, is placed in service. Credits cannot be obtained for costs incurred more than three taxable years after the taxable year in which the first property for which the credit is claimed is placed in service. Notwithstanding any other provisions of this subsection, if the entire project is not completed by the end of the three taxable years, the corporation may claim the credit for all property placed in service within the time limitation set forth in the preceding sentence. The credit may not be claimed for personal property which is replacing personal property for which the credit can be claimed. The department may for good cause extend the time for incurring additional costs and for claiming the credit if the project is not completed within the time period allowed by this subsection. For purposes of this subsection the term 'property' includes qualifying real property and, where the conditions of subsection (C) are met, personal property.

(2) For leased real property the credit must be claimed in the taxable year in which the first direct lease costs are incurred.

(E) The credit provided in this section is nonrefundable, but an unused credit may be carried forward for fifteen years.

(F) If a fee-in-lieu arrangement is entered into with respect to all or part of property involving a facility, and the corporation claiming the credit provided under this section is treated as the owner of the property for federal income tax purposes, then the corporation must be treated as the owner of the property for purposes of the credit provided by this section.

(G) To the extent that this credit applies to the cost of certain property, the basis of the property for South Carolina income tax purposes must be reduced by the amount of the credit claimed with respect to the property. This basis reduction does not reduce the basis or limit or disallow any depreciation allowable under the law of this State for other than income tax purposes, even if the depreciation is based upon or otherwise relates to income tax depreciation including, without limitation, basis or depreciation which is allowable under this title for property tax purposes.

(H) The amount of credit allowed under this section must be reduced by any amount paid for with, or reimbursed from, job development fees pursuant to Section 12-10-80, and by the amount of any past-due debt owed this State by the taxpayer. The reduction of the credit under this subsection will not reduce the amount of any debt owed this State.

(I) For the purposes of this section, the property with respect to which a credit is allowed under this section is referred to as investment credit property. If during any taxable year, investment credit property is disposed of, removed from the State, or otherwise ceases to be investment credit property with respect to the taxpayer, before it has been in service for five full years, then the tax under this chapter for such taxable years must be increased by the recapture percentage of the aggregate decrease in the credits allowed under this section for all prior taxable years which would have resulted solely from reducing to zero any credit determined under this section with respect to such property. Recapture of the credit under this subsection shall not result in any increase in basis.

(J) For purposes of subsection (I), the recapture percentage must be determined in accordance with the following table:
If the property ceases to be The recapture
investment credit property within: percentage is

(1) One full year after placed in service 100

(2) One full year after the close of the period described in clause (1) 80

(3) One full year after the close of the period described in clause (2) 60

(4) One full year after the close of the period described in clause (3) 40

(5) One full year after the close of the period described in clause (4) 20."/

SECTION ___. A. Title 12 of the 1976 Code is amended by adding:

"CHAPTER 12
Deferral of Recognition of Gain

Section 12-12-10. As used in this chapter:

(1) 'Capital asset' means an asset defined as a capital asset under Section 1221 of the Internal Revenue Code, except that it includes property, used in the taxpayer's trade or business, of a character that is subject to the allowance for depreciation provided in Section 167 of the Internal Revenue Code, or real property used in the taxpayer's trade or business.

(2) 'Commercial domicile' means the principal place from which the trade or business of the taxpayer is directed or managed.

(3) 'Expansion share' means a unit of ownership of a business that meets all of the following criteria:

(a) The unit has unlimited voting rights and the right to receive a share of the net assets of the business upon dissolution, or may at the option of the holder of the share be converted into shares with these characteristics.

(b) The unit is issued directly to the taxpayer, or to a partnership, limited liability company or S corporation of which the taxpayer is, at the time the unit is issued, a partner, member or shareholder.

(c) The business has less than five million dollars in revenues during the twelve full months immediately preceding the date of the first equity investment in the business by the taxpayer.

(d) At the time the unit is issued, the business has a net equity, adjusted by adding back all dividends or distributions made by the business, that is equal to or less than the sum of all previous equity investments.

(e) At the time the unit is issued, no unit of ownership of the business is publicly traded.

(f) The unit is issued in exchange for money or property to be used in the operations of the business. A unit, the proceeds received by the business of which are used by the business to reacquire an ownership interest or other security of the business, does not constitute an expansion share.

(4) 'Gain' or 'deferred gain' means gain as determined for federal income tax purposes with the modifications contained in Chapter 6 of this title.

(5) 'Qualified business interest' means an ownership interest in a business conducting a qualified business activity.

(6) 'Internal Revenue Code' means the federal Internal Revenue Code as defined in Section 12-6-40(A).

(7) 'Qualified business activity' means a business that is owned by an individual, partnership, limited liability company, S corporation or C corporation, the activity of which meets all of the following criteria:

(a) The activity is an activity listed in the Standard Industrial Classification Manual, 1987 (SIC), as published by the Office of Management and Budget, Executive Office of the President, as being any of the following:

(i) agriculture, forestry, or fishing (Division A);

(ii) mining (Division B);

(iii) construction (Division C);

(iv) manufacturing (Division D);

(v) transportation, communications, electric, gas, or sanitary service (Division E);

(vi) wholesale Trade (Division F);

(vii) retail Trade (Division G);

(viii) personal services (Major Group 72, Division I);

(ix) business services (Major Group 73, Division I);

(x) automotive repair, services or parking (Major Group 75, Division I);

(xi) miscellaneous repair services (Major Group 76, Division I);

(xii) engineering, accounting, research, management or related services (Major Group 87, Division I).

(b) The business generates income from investment property only as an incidental effect of the management of working capital. For purposes of this chapter, ownership interests in entities controlled by the business or directly involved in the support of the qualified business activity of the business do not constitute investment property.

(d)(i) The employment base of the business in this State is at least as large as the employment base of the business outside this State.

(ii) For purposes of this paragraph, the employment base of a business is the sum of the number of full-time equivalent employees and the number of full-time equivalent independent contractors located in this State or outside this State, as the case may be.

(8) 'Qualified business asset' means a capital asset held for use in this State in a qualified business activity.

(9) 'Related party' means an individual who is a member of the taxpayer's family, as defined in Section 267(c)(4) of the Internal Revenue Code.

(10) 'Qualified investment fund' means a partnership, limited liability company or S corporation formed solely for the purpose of acquiring qualified business interests or qualified business assets and that:

(a) invests in qualified business interests or qualified business assets; or

(b) acquires investment property only on an interim basis or an incidental basis until a suitable qualified business interest or qualified business asset is located by the fund.

(11) 'Investment property' means property that has the capacity to produce gross income from:

(a) interest, annuities or royalties not derived in the ordinary course of a trade or business; or

(b) dividends, except that investment property does not include expansion shares.

Section 12-12-20. (A) In addition to any other modifications to federal taxable income made for purposes of Chapter 6 of this title, and upon the filing by the taxpayer of a declaration described under Section 12-12-40(A), a taxpayer who has income for federal income tax purposes, from gain on the sale or other disposition of a capital asset may defer recognition of all or part of the gain in determining the taxes imposed under Chapter 6 of this title by reinvesting the proceeds of the sale or other disposition in a qualified business interest, qualified investment fund or qualified business asset within six months of the date on which the gain would otherwise have been recognized.

(B) For purposes of this chapter, gain is considered to be reinvested in a qualified business interest, qualified investment fund or qualified business asset in the same proportion that the proceeds from the sale or other disposition of the capital asset, net of federal income taxes paid or owing as a result of the sale or other disposition, are reinvested.

(C) Upon the sale or other disposition of a qualified business interest, interest in a qualified investment fund or a qualified business asset with respect to which gain was previously deferred under this section as the result of a prior sale or disposition, the previously deferred gain may continue to be deferred:

(1) only to the extent that an amount equal to the total of all gain deferred under this section is reinvested in one or more qualified business interests or qualified business assets; and

(2) only if a new declaration described under Section 12-12-40(A) is filed with the department.

(D) Gain resulting from the sale or other disposition of a qualified business interest, interest in a qualified investment fund or a qualified business asset that the taxpayer may not continue to defer under subsection (A) of this section must be added to federal taxable income in the manner provided under Section 12-12-60(A).

(E) The department may by regulation further refine the method by which a taxpayer determines whether a transaction constitutes the sale or disposition of a qualified business interest, interest in a qualified investment fund or a qualified business asset with respect to which gain has been deferred.

Section 12-12-30. The following types of gain or income may not be deferred under this chapter:

(1) gain from the sale or other disposition of property received in lieu of salary, wages or other compensation for services performed by the taxpayer, to the extent of the fair market value of the property at the time of receipt by the taxpayer.

(2) gain or income from the sale of inventory, except gain derived from the bulk sale of inventory not in the ordinary course of a trade or business.

(3) gain from the sale of property that is not held for the production of income.

(4) gain from investment property.

(5) gain that is treated or characterized as ordinary income under any provision of the Internal Revenue Code.

Section 12-12-40. (A) A declaration must accompany the income tax return of a taxpayer seeking to defer gain under this chapter. The declaration must state the source and the amount of the gain to be deferred and must declare the intent of the taxpayer to reinvest the gain in a qualified business interest, qualified investment fund or a qualified business asset within six months of the date of sale or other disposition from which the gain is derived.

(B) A taxpayer who has filed a declaration of intent to reinvest shall, with the income tax return for the tax year of reinvestment, file a statement that the reinvestment has occurred. The statement must be on such form as the department may prescribe and must:

(1) identify the qualified business interest, interest in a qualified investment fund, or qualified business asset acquired;

(2) state the basis for qualification as a qualified business interest, qualified investment fund, or qualified business asset; and

(3) give the purchase price or other consideration given for the qualified business interest, interest in the qualified investment fund, or qualified business asset acquired.

(C) The statement described in subsection (B) of this section shall reference the specific declaration of intent to reinvest that is being fulfilled.

Section 12-12-50. The basis of the taxpayer in a qualified business interest, qualified investment fund, or qualified business asset may not be reduced by the amount of gain deferred under this chapter.

Section 12-12-60. (A) If a taxpayer is granted a deferral under this chapter, the amount of the deferred gain that is reinvested in a qualified business interest, qualified investment fund, or qualified business asset is an adjustment to federal taxable income notwithstanding Section 12-12-20 of this chapter when any of the following occur:

(1) The asset ceases to be a qualified business asset.

(2) The investment fund ceases to be a qualified investment fund.

(3) The business ceases day-to-day operations or ceases to be a qualified business.

(4) The current asset value of the qualified business is reduced fifty percent or more as a result of the withdrawal of:

(a) capital assets from the business; or

(b) proceeds from the sale or other disposition of capital assets of the business.

(B) For purposes of subsection (A)(2) of this section, a qualified investment fund may not be disqualified upon the disqualification of one or more of the qualified business activities in which the fund holds interests, if the fund divests itself of the fund's interests in the disqualified business activity within twelve months of the date of disqualification. If the qualified investment fund does not divest itself of the fund's interests in a disqualified business activity within twelve months of the disqualification, only that portion of the gain previously deferred under this chapter that is attributable to the interest in the disqualified business activity may be an adjustment to the federal taxable income of the owners of the fund.

(C)(1) Except as provided in subsection (2) of this subsection, upon the occurrence of an event described in subsection (A) of this section requiring recognition of deferred gain, the deferred gain is added to federal taxable income for the tax year in which the event occurs. Except for adjustments required for purposes of Chapter 6 of this title other than in this chapter, no other adjustment to federal taxable income may be made as a result of an event requiring recognition of deferred gain described in subsection (A) of this section.

(2) A taxpayer who does not own a controlling interest in a business with respect to which an event occurs requiring recognition of gain as described in subsection (A)(1), (2), and (3) of this section may continue to defer gain by timely filing a declaration of intent to reinvest as described in Section 12-12-40.

(3) If a qualified investment fund fails to divest itself of the fund's interest in a disqualified business activity within the twelve-month period described in subsection (B) of this section, the deferred gain that is required to be recognized by subsection (B) of this section must be added to federal taxable income for the tax year in which expires the twelve-month period for divestment.

Section 12-12-70. (A) If a taxpayer sells or otherwise disposes of a qualified business interest or qualified business asset, the statutory period prescribed in Section 12-54-85 for assessing a deficiency attributable to any part of the gain deferred under this chapter does not expire prior to the expiration of three years after the latest of the following dates:

(1) the date of receipt by the department of the statement described in Section 12-12-40(B);

(2) the date of receipt by the department of a statement from the taxpayer declaring an intent not to reinvest;

(3) the date that is six months after the date of sale or disposition resulting in possible deferred gain.

(B) Any gain deferred under this chapter that is later required to be added to federal taxable income under this chapter must be added to federal taxable income for the tax year in which the event causing the addition occurs. Any deficiency attributable to any portion of deferred gain may be assessed before the expiration of the latest date described under subsection (A) of this section.

(C) A taxpayer who files a declaration of intent to reinvest but fails to reinvest as required by Section 12-12-20 is liable for unpaid taxes on the deferred amount and for interest at the rate established under Section 12-54-25(D) for deficiencies from the date that the tax on the deferred gain would have been due had the declaration not been filed to the date of payment.

Section 12-12-80. (A) If, on account of death or disability of the taxpayer, a related party succeeds to a qualified business interest, interest in a qualified investment fund, or qualified business asset upon the acquisition of which gain was deferred under this chapter, then at the election of the related party, the death or disability of the taxpayer does not result in the addition to federal taxable income of the deferred gain.

(B) The related party who succeeds to the qualified business interest, interest in a qualified investment fund, or qualified business asset may dispose of the interest or asset without addition of the deferred gain to federal taxable income if the requirements of reinvestment and other requirements of this chapter are met.

(C) If a taxpayer dies, and the death does not result in the addition of the deferred gain to federal taxable income because of an election under this section, at the time the deferred gain is added to federal taxable income, the amount of gain is determined using the basis that the deceased taxpayer had in the qualified business interest, qualified investment fund, or qualified business asset.

Section 12-12-90. The department may promulgate regulations under this chapter including regulations that define what constitutes an interim holding of investment property by a qualified investment fund and an incidental holding of investment property by a qualified business activity or a qualified investment fund.

Section 12-12-100. This chapter applies to gain incurred from the sale or other disposition of a capital asset in taxable years beginning after 1995, and to investments in qualified business interests, qualified investment funds, or qualified business assets that occur before 2001."

B. The Advisory Coordinating Council for Economic Development shall prepare a report regarding the economic impact of Chapter 12, Title 12 of the 1976 Code and shall present the report to the House Ways and Means Committee and Senate Finance Committee. The purpose of the report is to analyze the job creation and tax implications of the chapter added by this section.

The confidentiality requirements applicable to returns and the information contained therein is not applicable to the Advisory Coordinating Council for Economic Development for purposes of preparing the report described in this subsection./

Amend further, page 57, by striking SECTION 29 and inserting:

/SECTION 29. Except where otherwise specifically provided in this act, this act is effective upon approval by the Governor. In determining qualification for benefits available to a taxpayer, taxpayers entering into revitalization agreements on or before December 31, 1996, may elect to:

(1) use Sections 12-10-10 through 12-10-90 of the 1976 Code as they existed prior to amendment by this act; or

(2) use the provisions of this act.

However, regardless of the election made by the taxpayer under this section, all contracts with schools made pursuant to Section 12-10-80(D) of the 1976 Code after the effective date of this act will be governed by this act. Taxpayers entering into revitalization agreements on or after January 1, 1997, will be governed by this act./

Renumber sections to conform.

Amend totals and title to conform.

Amendment No. 2

Senators PASSAILAIGUE, RANKIN and CORK proposed the following Amendment No. 2 (4706R019.ELP), which was tabled:

Amend the bill, as and if amended, page 57, by adding an appropriately numbered new SECTION after line 2 to read:

/SECTION ___. A. Section 61-9-312 of the 1976 Code, as amended by Section 75A, Part II, Act 145 of 1995, is further amended to read:

"Section 61-9-312. (A) In counties or municipalities where temporary permits are authorized to be issued pursuant to Section 61-5-180, in lieu of the retail permit fee required pursuant to Section 61-9-310, a retail dealer otherwise eligible for the retail permit under that section may elect to apply for a special version of that permit which allows sales for off-premises consumption without regard to the restrictions on the days or hours of sales provided in Sections 61-9-90, 61-9-100, 61-9-110, and 61-9-130. The annual fee for this special retail permit is one thousand dollars.

(B) Revenue generated by the fees must be credited to the general fund of the State except that revenue generated by the fees within a county where a federal military base or installation has been closed, or is designated to be closed and where the federal facility has reduced its permanent civilian employment by ~~three thousand~~ seven hundred fifty or more jobs after December 31, 1990, for a period of ten years after the effective date of Chapter 12 of Title 31, must be credited to a special separate and distinct account with the Budget and Control Board for support of a redevelopment authority created therein pursuant to Chapter 12 of Title 31. All other requirements for retail permits provided in Section 61-9-310 apply to the special permits authorized by this section.

(C) (1) Immediately following the dissolution of a redevelopment authority pursuant to Section 31-12-100(A), the fees distributed to the dissolved redevelopment authority pursuant to subsection (B) must be distributed to the municipality or county in which the retailer who paid the fee is located. The revenue may only be used by the municipality or county for the following purposes:

(a) capital improvements to tourism-related buildings including, but not limited to, civic centers, convention centers, coliseums, aquariums, stadiums, marinas, parks, and recreational facilities;

(b) purchase or renovation of buildings which are historic properties as defined in Section 60-12-10(4) and (5);

(d) acquiring fee and less than fee interest in land while it is still available to be held in perpetuity as wildlife preserves or believed to be needed by the public in the future for active and passive recreation uses and scenic easements, to include the following types of land: ocean, harbor, and pond frontage in the form of beaches, dunes, and adjoining backlands; barrier beaches; fresh and saltwater marshes and adjoining uplands; land for bicycle baths; land protecting existing and future; public water supply, well fields, highway buffering and aquifer recharge areas; and land for wildlife preserves; and land for future public recreational facilities;

(e) nourishment, renourishment (resanding) and maintenance of beaches;

(f) dune restoration, including the planting of grass, sea oats, or other vegetation useful in preserving the dune system;

(g) maintenance of public beach access;

(h) capital improvements to the beaches and beach related facilities, such as public parking areas for beach access; dune walkovers and rest room facilities, with or without changing rooms, at public beach parks; and

(i) construction and maintenance of drainage systems.

(2) The revenue may not be used for operating expenses of tourism-related buildings."

B. Section 61-5-180 of the 1976 Code, as last amended by Section 1584 of Act 181 of 1993, is further amended to read:

"Section 61-5-180. (A) In addition to the provisions of Section 61-5-85, the department may issue a temporary permit to allow the possession, sale, and consumption of alcoholic liquors in sealed containers of two ounces or less. This permit is valid for a period not to exceed twenty-four hours and may be issued only to bona fide nonprofit organizations and business establishments otherwise authorized to be licensed for sales. The department shall charge a nonrefundable filing fee of one hundred dollars for processing each application and a daily permit fee of fifty dollars for each day for which a permit is approved. An application must be filed for each permit requested. The department in its sole discretion shall specify the terms and conditions of the permit.

(B) (1) The permit fees must be ~~credited to the general fund of the State~~ distributed to the municipality or county in which the retailer who paid the fee is located. The revenue may only be used by the municipality or county for the following purposes:

(a) capital improvements to tourism-related buildings including, but not limited to, civic centers, convention centers, coliseums, aquariums, stadiums, marinas, parks, and recreational facilities;

(b) purchase or renovation of buildings which are historic properties as defined in Section 60-12-10(4) and (5);

(d) local youth mentor programs to serve juvenile offenders under the jurisdiction of the family court;

(e) contributions to matching funds necessary for a local government or entity to receive funding from the Legacy Trust Fund pursuant to Chapter 22 of Title 51;

(f) contributions to a redevelopment authority pursuant to Section 31-12-10, et seq.

(g) acquiring fee and less than fee interest in land while it is still available to be held in perpetuity as wildlife preserves or believed to be needed by the public in the future for active and passive recreation uses and scenic easements, to include the following types of land: ocean, harbor, and pond frontage in the form of beaches, dunes, and adjoining backlands; barrier beaches; fresh and saltwater marshes and adjoining uplands; land for bicycle baths; land protecting existing and future; public water supply, well fields, highway buffering and aquifer recharge areas; and land for wildlife preserves; and land for future public recreational facilities;

(h) nourishment, renourishment (resanding) and maintenance of beaches;

(i) dune restoration, including the planting of grass, sea oats, or other vegetation useful in preserving the dune system;

(j) maintenance of public beach access;

(k) capital improvements to the beaches and beach related facilities, such as public parking areas for beach access; dune walkovers and rest room facilities, with or without changing rooms, at public beach parks; and

(l) construction and maintenance of drainage systems.

(2) The revenue may not be used for operating expenses of tourism-related buildings. ~~The department in its sole discretion shall specify the terms and conditions of the permit.~~

(C) Permits authorized by this section may be issued only in those counties or municipalities where a majority of the qualified electors voting in a referendum vote in favor of the issuance of the permits. The county or municipal election commission, as the case may be, shall conduct a referendum upon petition of at least ten percent but not more than twenty-five hundred qualified electors of the county or municipality, as the case may be, in not less than thirty nor more than forty days after receiving the petition. The election commission shall cause a notice to be published in a newspaper circulated in the county or municipality, as the case may be, at least seven days before the referendum. The state election laws shall apply to the referendum, mutatis mutandis. The election commission shall publish the results of the referendum and certify them to the South Carolina Department of Revenue and Taxation. The question on the ballot shall read substantially as follows:

'Shall the South Carolina Department of Revenue and Taxation be authorized to issue temporary permits in this (county)(municipality) for a period not to exceed twenty-four hours to allow the possession, sale, and consumption of alcoholic liquors in sealed containers of two ounces or less to bona fide nonprofit organizations and business establishments otherwise authorized to be licensed for sales?'

A referendum for this purpose may not be held more often than once in forty-eight months.

The expenses of any such referendum must be paid by the county or municipality conducting the referendum."

C. In a county in which temporary permits may be issued pursuant to Section 61-5-180, revenue generated by the fees imposed under that section within a county where a federal military base or installation has been closed, or is designated to be closed and where the federal facility has reduced its permanent civilian employment by seven hundred fifty or more jobs, but not more than two thousand nine hundred ninety-nine jobs, after December 31, 1990, for a period of five years beginning July 1, 1997 must be credited to a special separate and distinct account with the Budget and Control Board for support of a redevelopment authority created therein pursuant to Chapter 12 of Title 31.

D. This section is effective for property tax years beginning after 1996./

Renumber sections to conform.

Amend title to conform.

Senator PASSAILAIGUE explained the amendment.

PRESIDENT PRESIDES

At 5:27 P.M., the PRESIDENT assumed the Chair.

Senator PASSAILAIGUE explained the amendment.

Senator LEVENTIS argued contra to the adoption of the amendment.

Senator LEVENTIS moved to lay the amendment on the table.

The "ayes" and "nays" were demanded and taken, resulting as follows:

Ayes 23; Nays 17

AYES

Alexander                 Boan                      Bryan
Courtney                  Drummond                  Fair
Giese                     Glover                    Hayes
Hutto                     Leventis                  Martin
Matthews                  Moore                     O'Dell
Patterson                 Reese                     Russell
Ryberg                    Saleeby                   Short
Smith, J.V.               Thomas

TOTAL--23

NAYS

Cork                      Courson                   Elliott
Ford                      Gregory                   Jackson
McConnell                 McGill                    Mescher
Passailaigue              Peeler                    Rankin
Richter                   Rose                      Setzler
Smith, G.                 Wilson

TOTAL--17

The amendment was laid on the table.

Amendment No. 4

Senator LEATHERMAN proposed the following Amendment No. 4 (PT\2577HTC.96), which was adopted:

Amend the bill, as and if amended, Section 12-6-3470(D) as contained in SECTION 13A, page 47, by adding at the end of line 30: /An employer shall request documentation as to AFDC eligibility from the South Carolina Employment Security Commission in writing within five days of employment. The commission has sixty days in which to either issue or deny this documentation./

Amend title to conform.

Senator LEVENTIS explained the amendment.

The amendment was adopted.

Motion to Reconsider Adopted

Having voted on the prevailing side, Senator PASSAILAIGUE moved to reconsider the vote whereby Amendment No. P-13 (4706R024.PPL) proposed by Senator LEVENTIS was adopted.

Senator PASSAILAIGUE spoke on the motion.

Senator McCONNELL spoke on the motion.

The motion to reconsider was adopted.

Amendment No. P-13

The question then was the adoption of Amendment No. P-13.

Senator LEVENTIS spoke on the amendment.

On motion of Senator LEVENTIS, Amendment No. P-13 was laid on the table.

Amendment No. 6

Senators McCONNELL, JACKSON, FORD and J. VERNE SMITH proposed the following Amendment No. 6 (4706R018.GFM), which was adopted:

Amend the bill, as and if amended, by striking SECTION 2, beginning on page 4, lines 39 through 42 and continuing onto page 5, lines 1 through 10, and inserting in lieu thereof the following:

/SECTION 2. A. The General Assembly finds that:

(1) The state's economy is centrally connected. As we increase the wealth-generating capacity of South Carolina's businesses, the state's per capita income will also increase. Success breeds success, and rural locations in the State which promote positive economic development momentum will tend to multiply their successes;

(2) Rural economies, left to themselves, with little incentives for positive investment will remain with little economic development momentum. On the other hand, rural economies with significant incentives to induce capital investment and job creation will strengthen the state's economy and well-being;

(3) The inducement provided in this act will encourage the creation of jobs which would not otherwise exist and will create sources of tax revenues for the State and its political subdivisions.

B. The General Assembly further finds that:

(1) As much as our state's economy depends upon economic development in our rural areas, it is equally dependent upon development in urban areas as well, particularly in the state capital;

(2) Economic development in the state capital depends upon, among other things, a strong tourism industry based upon providing a means to attract visitors from around the state to visit the state capital;

(3) The State of South Carolina has, as a matter of state policy, erected various monuments on the State House grounds to honor the contributions of various individuals and groups to the state's history, a policy which attracts thousands of visitors to the site of the monuments and visitors each year;

(4) This policy provides an immeasurable contribution to our state's commerce, as the visitors to a public monument or memorial are apt to make expenditures during their visits, which when cumulated provide a substantial economic contribution to the state capital; and

(5) Some official symbol should be placed on the State House that recognizes the special and unique experiences and contributions of African-Americans in this State, a symbol which should attract thousands of new visitors to the state capital and therefore make a substantial economic contribution to the capital city.

C. Section 12-6-1140 of the 1976 Code is amended by adding an appropriately numbered subsection to read:

"( ) contributions or gifts made to a commission established by law after January 1, 1996 for the placement of a monument upon the State House grounds, not to exceed one hundred dollars."

D. There is hereby established on the grounds of the State House an African-American History Monument. The design and placement of the monument shall be determined by the commission appointed pursuant to subsection B of this section. The commission shall make reasonable efforts to incorporate all eras of African-American history in the design. The monument shall be erected as soon as is reasonably possible after it is approved by the General Assembly by concurrent resolution and the State House Renovation Project is completed.

E. (1) An African-American History Monument Commission is created to determine the design of the monument and to determine the placement of the monument on the State House grounds. The commission is empowered and directed to raise private funds and to receive gifts and grants to carry out the purpose for which it is created. By January 1, 1997, the commission shall report the proposed design of the monument to the State House Committee for its approval. After action by the committee approving the design, the State House Committee shall cause to be introduced the concurrent resolution serving as the instrument of approval as provided in subsection A of this section. The State shall ensure proper maintenance of the monument as is done for other historical monuments on the State House grounds.

Four members must be appointed by the President Pro Tempore of the Senate, four members must be appointed by the Speaker of the House of Representatives, and one member must be appointed by the Governor. Notwithstanding Section 8-13-770 of the 1976 Code, members of the General Assembly may be appointed to this commission. One of the members appointed by the President Pro Tempore must be a Senator and one of the members appointed by the Speaker must be a member of the House of Representatives.

Commission members are not entitled to receive the subsistence, mileage, and per diem otherwise provided by law for members of state boards, committees, and commissions.

(2) The commission also shall study the feasibility of establishing an African-American History Museum analogous to the Confederate Relic Room and make recommendations with respect to its findings on this subject to the State House Committee. This new museum would collect and display historical artifacts and other items reflecting African-American history in this State. A preliminary report on this study must be made to the State House Committee no later than January 1, 1997, with a final report and recommendations due as soon as practicable thereafter.

(3) The commission established pursuant to this section is dissolved on the later of the dedication of the African-American History Monument or the final report of the commission on the feasibility of establishing an African-American History Museum.

F. The monument placed on the State House Grounds pursuant to this section shall receive the protections from removal, disturbance, or alteration provided by law and any penalty provided by law shall apply with respect to a removal, disturbance, or alteration to the monument erected pursuant to authority granted in this section./

Renumber sections to conform.

Amend title to conform.

Senator McCONNELL explained the amendment.

Senator McCONNELL moved that the amendment be adopted.

The amendment was adopted.

Motion to Reconsider Adopted

Having voted on the prevailing side, Senator PATTERSON moved to reconsider the vote whereby Amendment No. 2 (4706R019.ELP) proposed by Senators PASSAILAIGUE, RANKIN and CORK was adopted.

The motion to reconsider was adopted.

Amendment No. 2

The question then was the adoption of Amendment No. 2.

Senator McCONNELL moved to table the amendment.

The "ayes" and "nays" were demanded and taken, resulting as follows:

Ayes 15; Nays 26

AYES

Alexander                 Boan                      Bryan
Courtney                  Drummond                  Fair
Hayes                     Holland                   Leventis
Martin                    Peeler                    Ryberg
Short                     Smith, J.V.               Thomas

TOTAL--15

NAYS

Cork                      Courson                   Elliott
Ford                      Giese                     Gregory
Hutto                     Jackson                   Land
Lander                    Matthews                  McConnell
McGill                    Mescher                   Moore
O'Dell                    Passailaigue              Patterson
Rankin                    Reese                     Richter
Rose                      Russell                   Setzler
Smith, G.                 Wilson

TOTAL--26

ACTING PRESIDENT PRESIDES

At 6:20 P.M., Senator COURTNEY assumed the Chair.

The Senate refused to table the amendment. The question then was the adoption of Amendment No. 2.

Amendment No. 2 was adopted.

Leave of Absence

At 6:25 P.M., Senator LANDER requested a leave of absence from 6:30 - 9:00 P.M.

Amendment No. 9

Senator CORK proposed the following Amendment No. 9 (4706R020.HAC), which was adopted:

Amend the bill, as and if amended, page 37, by adding an appropriately numbered new subsection after line 41, to read:

/(___) In a county where less than five percent of the work force is in manufacturing, the credit allowed is one tier higher than the credit for which the county would otherwise qualify./

Renumber sections to conform.

Amend title to conform.

The amendment was adopted.

Amendment No. 11

Senator LEVENTIS proposed the following Amendment No. 11 (GJK\22952SD.96), which was adopted:

Amend the bill, as and if amended, in Section 4-12-30(C)(3) of the 1976 Code, by striking /thirty years/ on line 41, page 9, and inserting /twenty years/ and by striking /thirty-seven years/ on line 42, page 9, and inserting /twenty-seven years/;

Amend the bill further, as and if amended, in Section 4-29-67(C)(3) of the 1976 Code, by striking /thirty years/ on line 29, page 20, and inserting /twenty years/ and by striking /thirty-seven years/ on line 30, page 20, and inserting /twenty-seven years/.

Renumber sections to conform.

Amend totals and title to conform.

Senator LEVENTIS moved that the amendment be adopted.

The amendment was adopted.

Amendment No. 10

On motion of Senator LEVENTIS, with unanimous consent, Amendment No. 10 was taken up for immediate consideration.

Senator LEVENTIS proposed the following Amendment No. 10 (GJK\22953SD.96), which was adopted:

Amend the bill, as and if amended, by striking SECTION 11 which begins on line 10 of page 43.

Renumber sections to conform.

Amend totals and title to conform.

Senator LEVENTIS moved that the amendment be adopted.

The amendment was adopted.

Amendment No. 12

Senator LEVENTIS proposed the following Amendment No. 12 (4706R028.PPL), which was adopted:

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

/SECTION _____. Whenever the Governor or a cabinet director or an employee of an executive agency with the authority to act on behalf of the director of the agency promises, offers, or commits to an economic incentive which is, at the time of the promise, offer, or commitment, not statutorily authorized, then, the person making the promise, offer, or commitment must immediately report such promise, offer, or commitment to the Chairmen of the Senate Finance Committee and the House Ways and Means Committee./

Renumber sections to conform.

Amend title to conform.

Senator LEVENTIS explained the amendment.

Senator LEVENTIS moved that the amendment be adopted.

The amendment was adopted.

Amendment No. 13

Senator ELLIOTT proposed the following Amendment No. 13 (4706R027.DE), which was tabled:

Amend the bill, as and if amended, page 42, after line 23, by striking item 12 and inserting in lieu thereof the following:

/(12) 'Tourism facility' means an establishment used for a theme park; amusement park; historical, educational, or trade museum; botanical garden; cultural center; theater; motion picture production studio; convention center; arena; auditorium; hotels; motels; condominiums; or a spectator or participatory sports facility; and similar establishments where entertainment, education, or recreation is provided to the general public. Tourism facility also includes new hotel and motel construction, except that to qualify for the credits allowed by this section and regardless of the county in which the facility is located, the number of new jobs that must be created by the new hotel or motel is twenty or more. It does not include that portion of an establishment where retail merchandise or retail services are sold directly to retail customers./

Renumber sections to conform.

Amend title to conform.

Senator ELLIOTT explained the amendment.

Senator DRUMMOND argued contra to the adoption of the amendment.

Senator DRUMMOND moved to lay the amendment on the table.

The amendment was laid on the table.

There being no further amendments, the Bill was read the third time, passed and ordered returned to the House of Representatives with amendments.

Recorded Vote

Senators LANDER and SALEEBY desired to be recorded as voting in favor of the third reading of H. 4706, the Rural Development Bill.

Senator DRUMMOND, with unanimous consent, spoke on the Bill.

READ THE THIRD TIME, RETURNED TO THE HOUSE

Senator ROSE asked unanimous consent to take up the Bill for immediate consideration.

There was no objection.

The Senate resumed consideration of the Bill. The question being the adoption of Amendment No. 2 (4825R006.DLT), previously proposed by Senators THOMAS and ROSE.

On motion of Senator ROSE, with unanimous consent, Amendment No. 2 was withdrawn.

The Bill was read the third time, passed and ordered returned to the House of Representatives with amendments.

OBJECTION

Senator PEELER asked unanimous consent to make a motion that the Senate take up for consideration the Messages in the Box.

Senator BRYAN objected.

OBJECTION

H. 4443 -- Reps. Wright, Richardson, Cooper, Townsend, Allison, Littlejohn, Kelley and Jaskwhich: A BILL TO AMEND TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EDUCATION, BY ADDING CHAPTER 40 SO AS TO ENACT THE SOUTH CAROLINA CHARTER SCHOOL ACT WHICH PROVIDES FOR THE MANNER IN WHICH A CHARTER SCHOOL SHALL BE FORMED, FUNDED, REGULATED, AND GOVERNED, AND TO ESTABLISH A CHARTER SCHOOLS REVIEW COMMITTEE TO REVIEW THE IMPLEMENTATION AND EFFECTIVENESS OF THIS ACT.

Senator SETZLER asked unanimous consent to make a motion to make the Bill a Special Order.

Senator PATTERSON objected.

REPORT OF STANDING COMMITTEE

Senator COURSON from the Committee on Invitations polled out H. 5067 favorable:

H. 5067 -- Reps. Govan, Allison, Anderson, Askins, Bailey, Baxley, Boan, Breeland, G. Brown, H. Brown, J. Brown, T. Brown, Byrd, Cain, Canty, Carnell, Cato, Cave, Chamblee, Clyburn, Cobb-Hunter, Cooper, Cotty, Cromer, Dantzler, Davenport, Delleney, Easterday, Elliott, Felder, Fleming, Fulmer, Gamble, Hallman, Harrell, J. Harris, P. Harris, Harrison, Harvin, Haskins, Herdklotz, J. Hines, M. Hines, Hodges, Howard, Hutson, Inabinett, Jaskwhich, Jennings, Keegan, Kelley, Kennedy, Keyserling, Kinon, Kirsh, Klauber, Knotts, Koon, Lanford, Law, Lee, Limbaugh, Limehouse, Littlejohn, Lloyd, Loftis, Marchbanks, Martin, Mason, McAbee, McCraw, McElveen, McKay, McMahand, McTeer, Meacham, Moody-Lawrence, Neal, Neilson, Phillips, Quinn, Rhoad, Rice, Richardson, Riser, Robinson, Rogers, Sandifer, Scott, Seithel, Sharpe, Sheheen, Shissias, Simrill, D. Smith, R. Smith, Spearman, Stille, Stoddard, Stuart, Townsend, Tripp, Trotter, Tucker, Vaughn, Waldrop, Walker, Wells, Whatley, L. Whipper, S. Whipper, White, Wilder, Wilkes, Wilkins, Williams, Witherspoon, Wofford, Worley, Wright, J. Young and Young-Brickell: A CONCURRENT RESOLUTION TO DECLARE JUNE 1, 1996, AS "STAND FOR CHILDREN DAY" IN SOUTH CAROLINA, TO ENCOURAGE THE CITIZENS OF SOUTH CAROLINA TO PARTICIPATE IN NATIONAL AND LOCAL EVENTS COMMEMORATING THIS DAY AND TO MAKE A PERSONAL COMMITMENT IN THEIR LIVES TO IMPROVE THE QUALITY OF LIFE FOR CHILDREN IN SOUTH CAROLINA, AND TO RECOGNIZE AND COMMEND ABBIEGAIL HUGINE OF JACK & JILL OF ORANGEBURG AND STATE COORDINATOR FOR "STAND FOR CHILDREN" FOR SPEARHEADING THIS EFFORT IN SOUTH CAROLINA.

Poll of the Invitations Committee on H. 5067
Ayes 9; Nays 0; Not Voting 1

AYES

Courson                   Peeler                    Wilson
Matthews                  Patterson                 Russell
O'Dell                    Passailaigue              McGill

TOTAL--9

NAYS

TOTAL--0

NOT VOTING

Rose

TOTAL--1

Amendment No. 1

Senators GLOVER and FORD proposed the following Amendment No. 1 (JUD5067.001), which was adopted:

Amend the resolution, as and if amended, page 2, by striking lines 1 and 2.

Amend the resolution further, as and if amended, page 2, by striking lines 12 through 27 and inserting therein the following:

/Whereas, Abbiegail Hugine of Jack & Jill of Orangeburg, Lele Severance of Youth Service Charleston, Cassie Barber of the Alliance for South Carolina's Children of Columbia, James Young of Children's Defense Fund Marlboro County Project of Bennettsville, and the Darlington County CAA Head Start, Early Childhood Family Learning Team of Fort Inn, Foothills United Way of Anderson, Junior League of Spartanburg, Pee Dee CAA Head Start of Florence, South Carolina Association for the Education of Young Children of Aiken, South Carolina Fair Share, South Carolina United Methodist Council of Church and Society, Southeastern Association of Community Action Agencies, Women's Missionary Society AME Seventh District of Columbia, Women's Missionary Society of South Carolina of John's Island, YWCA of Greenville, and York County Alliance for Children are to be commended for their tireless efforts to coordinate "Stand For Children" and their dedication and commitment to improving the lives of children in South Carolina. Now, therefore,

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

That, by this resolution, the General Assembly declares June 1, 1996, as "Stand For Children Day" in South Carolina, encourages the citizens of South Carolina to participate in national and local events commemorating this day and to make a personal commitment in their lives to improve the quality of life for children in South Carolina, and recognizes and commends Abbiegail Hugine of Jack & Jill of Orangeburg, Lele Severance of Youth Service Charleston, Cassie Barber of the Alliance for South Carolina's Children of Columbia, James Young of Children's Defense Fund Marlboro County Project of Bennettsville, and the Darlington County CAA Head Start, Early Childhood Family Learning Team of Fort Inn, Foothills United Way of Anderson, Junior League of Spartanburg, Pee Dee CAA Head Start of Florence, South Carolina Association for the Education of Young Children of Aiken, South Carolina Fair Share, South Carolina United Methodist Council of Church and Society, Southeastern Association of Community Action Agencies, Women's Missionary Society AME Seventh District of Columbia, Women's Missionary Society of South Carolina of John's Island, YWCA of Greenville, and York County Alliance for Children for spearheading this effort in South Carolina./

Amend the resolution, as and if amended, page 2, by striking lines 29 and 30.

Amend title to conform.

Senator COURSON explained the amendment.

The amendment was adopted.

Amendment No. 2

Senator BOAN proposed the following Amendment No. 2 (JUD5067.002), which was adopted:

Amend the resolution, as and if amended, page 2, line 12, by adding the following to the WHEREAS clause preceding the "Be it resolved" language:

/Maria Taylor and Rhonda Corley, Co-Chairs of Stand for Children - Greenville, and Doris Ballard, Carol Weatherford, and the Rev. C. Cotton, Committee Members of Stand for Children - Greenville, and South Carolina Early Childhood Association (SCECA), Southern Early Childhood Association (SECA), District V of South Carolina Early Childhood Association, Foothills Chapter of National Association for Children (NAEYC), Elementary School Principals Association - Greenville Chapter, J.L. Hammetts/Hoover Bros., Save Our Sons, Junior League of Greenville, Family Learning Team, Tonya Weiner, Vik Pearce, Golden Strip Career Center, Overbrook Child Development Center, Carol Weatherford, James Shriner, Daughters of Penelope (St. George Church of Greenville), Delta Kappa Gamma of Greenville, Linda Brees Consulting, Greek Orthodox Youth Association, Doris Blazer, Oakview PTA, Alpha Delta Kappa Beta, and Sara Mansbach are to be commended for their tireless efforts to coordinate "Stand For Children" and their dedication and commitment to improving the lives of children in South Carolina. Now, therefore,/

Amend the resolution further, as and if amended, page 2, line 26, by adding the following to the list of those to be recognized and commended:

Amend title to conform.

Senator COURSON explained the amendment.

The amendment was adopted.

Adopted

On immediate consideration, the Concurrent Resolution was adopted, ordered returned to the House with amendments.

OBJECTION

At 6:47 P.M., Senator MOORE asked unanimous consent to make a motion that the Senate stand in recess not to exceed fifteen minutes.

Senator PEELER objected.

RECALLED

H. 4704 -- Reps. McElveen, J. Young, Harvin, Neal, Canty and G. Brown: A BILL TO AMEND TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EDUCATION, BY ADDING CHAPTER 108 SO AS TO ESTABLISH THE MID-CAROLINA COMMISSION FOR HIGHER EDUCATION AND PROVIDE FOR THE MEMBERSHIP, FUNCTIONS, DUTIES, AND POWERS OF THE COMMISSION, TO DEVOLVE THE POWERS AND DUTIES OF THE SUMTER COUNTY COMMISSION FOR HIGHER EDUCATION UPON THE COMMISSION; AND TO REPEAL ACT 50 OF 1965 AND ACT 822 OF 1973 RELATING TO THE SUMTER COUNTY COMMISSION FOR HIGHER EDUCATION.

Senator LEVENTIS asked unanimous consent to make a motion to recall the Bill from the Committee on Education.

There was no objection.

On motion of Senator LEVENTIS, with unanimous consent, the Bill was ordered placed on the Calendar.

THE SENATE RESUMED CONSIDERATION OF THE CONTESTED STATEWIDE AND LOCAL CALENDAR.

CARRIED OVER

The Senate resumed consideration of the Bill. The question being the adoption of Amendment No. 4 (22421JM.96) proposed by Senator GIESE and previously printed in the Journal of March 28, 1996.

On motion of Senator MOORE, the Bill was carried over.

PRESIDENT PRESIDES

At 6:55 P.M., the PRESIDENT assumed the Chair.

RECOMMITTED

S. 1168 -- Senator Martin: A BILL TO AMEND SECTION 40-57-155, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE CONTINUING EDUCATION FOR REAL ESTATE AGENTS, SO AS TO PROVIDE SIXTEEN HOURS OF MANDATORY CONTINUING EDUCATION FOR REAL ESTATE LICENSEES.

The Senate proceeded to a consideration of the Bill. The question being the third reading of the Bill.

On motion of Senator MARTIN, the Bill was recommitted to the Committee on Labor, Commerce and Industry.

COMMITTEE AMENDMENT ADOPTED
READ THE THIRD TIME, SENT TO THE HOUSE

S. 962 -- Senators Giese, Hayes and Bryan: A BILL TO AMEND CHAPTER 5, TITLE 56, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO MOTOR VEHICLES, BY ADDING ARTICLE 28 SO AS TO ENACT THE CHILD BICYCLE SAFETY ACT AND TO REQUIRE CHILDREN TO USE BICYCLE HELMETS WHEN THEY ARE BICYCLE OPERATORS OR PASSENGERS, TO PROVIDE PENALTIES, AND TO ESTABLISH THE "BICYCLE SAFETY FUND" FOR USE IN PROVIDING BICYCLE SAFETY PROGRAMS AND ASSISTING LOW INCOME FAMILIES IN PURCHASING HELMETS.

The Senate proceeded to a consideration of the Bill. The question being the adoption of the amendment proposed by the Committee on Transportation.

The Transportation Committee proposed the following amendment (PFM\7988AC.96), which was adopted as follows:

Amend the bill, as and if amended, by deleting Section 56-5-3560 and inserting:

/Section 56-5-3560. With regard to a bicycle used on a public roadway, public bicycle path, or other public right-of-way, it is unlawful for a parent or legal guardian of a child below the age of sixteen knowingly to allow the child to:

(1) operate or be a passenger on a bicycle unless a protective bicycle helmet of good fit is fastened securely upon the child's head with straps of the helmet;

(2) be a passenger on a bicycle unless:

(a) the child is able to maintain an erect, seated position on the bicycle;

(b) except as provided in subitem (c), the child is properly seated alone on a saddle seat, as on a tandem bicycle; and

(c) with respect to a child who weighs fewer than forty pounds or is less than forty inches in height, the child can be and is properly seated in and adequately secured to a restraining seat or a trailer towed by the bicycle./

Amend further, page 3, by deleting Section 56-5-3570 and inserting:

/Section 56-5-3570. A violation of this article does not constitute negligence per se and is not admissible as evidence in a civil action for purposes of comparative negligence or for any other purpose.

Section 56-5-3575. The Department of Public Safety shall promulgate regulations necessary to carry out this article./

Renumber sections to conform.

Amend title to conform.

There being no further amendments, the Bill was read the third time, passed and ordered sent to the House of Representatives with amendments.

CARRIED OVER

S. 1365 -- Senators Land, Saleeby, Leatherman and Rankin: A BILL TO AMEND TITLE 11, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PUBLIC FINANCE BY ADDING CHAPTER 42 SO AS TO ESTABLISH THE SOUTH CAROLINA TRANSPORTATION INFRASTRUCTURE BANK ACT AND TO PROVIDE FOR ITS POWERS AND DUTIES; TO AUTHORIZE THE BANK TO PROVIDE LOANS AND OTHER FINANCIAL ASSISTANCE TO GOVERNMENT UNITS AND PRIVATE ENTITIES TO FINANCE PUBLIC HIGHWAY AND TRANSIT PROJECTS; TO AUTHORIZE THE DEPARTMENT OF TRANSPORTATION TO FUND THE BANK WITH UP TO FIVE PERCENT OF FUNDS APPROPRIATED FOR THE CONSTRUCTION AND MAINTENANCE OF STATE HIGHWAYS TO ALLOW FEDERAL GRANTS, LOAN REPAYMENTS, AND OTHER AVAILABLE AMOUNTS TO BE CREDITED TO THE BANK; AND TO AUTHORIZE LENDING TO AND BORROWING BY GOVERNMENT UNITS AND PRIVATE ENTITIES THROUGH THE BANK.

The Senate proceeded to a consideration of the Bill. The question being the third reading of the Bill.

On motion of Senator RYBERG, the Bill was carried over.

CARRIED OVER

H. 3203 -- Rep. Stuart: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 59-19-45 SO AS TO PROVIDE THAT ANY PERSON ELECTED TO A SCHOOL DISTRICT BOARD OF TRUSTEES OR APPOINTED OR ELECTED TO A COUNTY BOARD OF EDUCATION AFTER JULY 1, 1995, WHO PREVIOUSLY HAS NOT SERVED IN SUCH OFFICE, SHALL SUCCESSFULLY COMPLETE AN ORIENTATION PROGRAM WITHIN ONE YEAR OF TAKING OFFICE, TO PROVIDE EXCEPTIONS, AND TO PROVIDE THAT THE STATE DEPARTMENT OF EDUCATION SHALL REIMBURSE LOCAL SCHOOL DISTRICTS AND BOARDS OF EDUCATION FOR THE COST OF THESE ORIENTATIONS UP TO A MAXIMUM AMOUNT PER YEAR.

The Senate proceeded to a consideration of the Bill. The question being the third reading of the Bill.

On motion of Senator MATTHEWS, the Bill was carried over.

AMENDED, DEBATE INTERRUPTED

The Senate proceeded to a consideration of the Bill. The question being the third reading of the Bill.

Senator BRYAN spoke on the Bill.

Amendment No. 1

Senator WASHINGTON proposed the following Amendment No. 1 (4443R002.MW), which was adopted:

Amend the bill, as and if amended, on page 4, line 24, by inserting after /staff/ and before the /./ the following:

/; however, if it is a converted charter school, it shall in its discretion hire non-certified teachers in a ratio of up to ten percent of its entire teacher staff/

Renumber sections to conform.

Amend title to conform.

The amendment was adopted.

Amendment No. 3

Senator PATTERSON proposed the following Amendment No. 3 (S-EDUC\4443.09), which was adopted:

Amend the bill, as and if amended, on page 11, line 8 by deleting:

/, and may extend the leave for up to five years at the employee's request./.

Amend title to conform.

The amendment was adopted.

Amendment No. 5

Senator PATTERSON proposed the following Amendment No. 5 (4443R001.KP), which was adopted:

Amend the bill, as and if amended, on page 4, line 24, by inserting after the word /staff/ the following:

/These non-certified teachers must be working toward certification in education./

Renumber sections to conform.

Amend title to conform.

Senator BRYAN explained the amendment.

Senator BRYAN moved that the amendment be adopted.

The amendment was adopted.

Senator PATTERSON spoke on the Bill.

On motion of Senator DRUMMOND, debate was interrupted by adjournment.

LOCAL APPOINTMENTS
Confirmations

Having received a favorable report from the Laurens County Delegation, the following appointments were confirmed in open session:

Reappointments, Laurens County Magistrate, with terms to commence April 30, 1995, and to expire April 30, 1999:

Honorable Paul Dean Lyles, Route 4, Box 90, Laurens, S.C. 29360-9452

Honorable Oscar L. Tribble, Route 7, Box 2069, Laurens, S.C. 29360

ADJOURNMENT

At 7:35 P.M., on motion of Senator DRUMMOND, the Senate adjourned to meet tomorrow at 11:00 A.M.

* * *

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