Indicates Matter Stricken
Indicates New Matter
The House assembled at 10:00 A.M.
Deliberations were opened with prayer by the Chaplain of the House of Representatives, the Rev. Dr. Alton C. Clark, as follows:
God of all mankind Whose goodness never fails, help us to fill the swift passing hours of this day with worthy deeds, to bear the fret of care, the sting of criticism, and the drudgery of unapplauded toil. With Your help may we think clearly, act kindly and play well our part. Save us from compromise that crucifies principle, from shoddy workmanship which betrays the best. Send us forth to our waiting tasks, gratefully aware of our heritage worth living for and working for. Amen.
Pursuant to Rule 6.3, the House of Representatives was led in the Pledge of Allegiance to the Flag of the United States of America by the SPEAKER.
After corrections to the Journal of the proceedings of yesterday, the SPEAKER ordered it confirmed.
Rep. VAUGHN moved that when the House adjourns, it adjourn in memory of Hazel Truman, Treasurer of Greenville County, which was agreed to.
The following was received.
Columbia, S.C., April 28, 1999
Mr. Speaker and Members of the House:
The Senate respectfully informs you Honorable Body that it concurs in the amendments proposed by the House to S. 56:
S. 56 (Word version) -- Senators Alexander and Elliott: A BILL TO AMEND SECTION 58-5-710, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE PUBLIC SERVICE COMMISSION'S REGULATION OF WATER AND SEWER UTILITIES' ADEQUACY OF SERVICE, ISSUANCE OF AN ORDER TO PROVIDE ADEQUATE AND PROPER SERVICE, FINE OR PENALTY, AND LIEN ON PROPERTY OF THE UTILITY, SO AS TO REQUIRE RATHER THAN PERMIT THE ISSUANCE OF AN ORDER UNDER CERTAIN CIRCUMSTANCES, REQUIRE RATHER THAN PERMIT THE IMPOSITION OF A PENALTY OR FINE UNDER CERTAIN CONDITIONS, AND INCREASE THE AMOUNT OF THE PENALTY OR FINE; AND TO AMEND SECTION 58-5-720, RELATING TO THE FILING OF A BOND OR CERTIFICATES OF DEPOSIT PRIOR TO APPROVAL BY THE PUBLIC SERVICE COMMISSION OF CONSTRUCTION OR OTHER WORK ON A WATER OR SEWER SYSTEM, SO AS TO INCREASE THE AMOUNT OF THE BOND.
and has ordered the Bill enrolled for ratification.
Very respectfully,
President
The following was received.
Columbia, S.C., April 28, 1999
Mr. Speaker and Members of the House:
The Senate respectfully informs you Honorable Body that it concurs in the amendments proposed by the House to S. 539:
S. 539 (Word version) -- Banking and Insurance Committee: A BILL TO AMEND SECTION 38-43-60, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO RESIDENT INSURANCE AGENTS, COUNTERSIGNATURE REQUIREMENT, AND EXCEPTIONS, SO AS TO PROVIDE THAT BUSINESS DONE IN THIS STATE BY INSURERS MUST BE TRANSACTED BY THEIR REGULARLY AUTHORIZED AGENTS LICENSED IN THIS STATE AND TO ELIMINATE THE REQUIREMENT THAT THE AGENTS ACTUALLY RESIDE IN SOUTH CAROLINA, DELETE THE REQUIREMENTS PROVIDING THAT ALL INSURANCE POLICIES, EXCEPT HEALTH AND ACCIDENT AND LIFE INSURANCE POLICIES AND CERTIFICATES ISSUED UNDER GROUP INSURANCE POLICIES, MUST BE PERSONALLY OR MECHANICALLY COUNTERSIGNED ON BEHALF OF THE AGENT, AND DELETE THE PROVISION THAT AN INSURER MAY AMEND OR REPLACE ITS OUTSTANDING POLICIES WITH A NEWLY REVISED POLICY FORM OR NECESSARY ENDORSEMENTS WITHOUT COMPLYING WITH THE COUNTERSIGNATURE REQUIREMENT; TO AMEND SECTION 38-45-30, AS AMENDED, RELATING TO THE REQUIREMENTS FOR A NONRESIDENT TO BE LICENSED AS AN INSURANCE BROKER, SO AS TO DELETE THE REQUIREMENT OF PERSONAL COUNTERSIGNATURE BY A LICENSED RESIDENT AGENT OF THE SURETY, WITH RESPECT TO THE REQUIRED FILING OF A BOND EXECUTED BY A CORPORATE SURETY LICENSED TO TRANSACT SURETY INSURANCE IN SOUTH CAROLINA; AND TO REPEAL SECTION 38-87-60 RELATING TO REGULATION AND TAXATION OF RISK RETENTION GROUPS AND PURCHASING GROUPS UNDER THE SOUTH CAROLINA INSURANCE LAWS AND THE PROVISION THAT A POLICY OF INSURANCE ISSUED TO A RISK RETENTION GROUP OR ANY MEMBER OF THAT GROUP IS NOT REQUIRED TO BE COUNTERSIGNED AS OTHERWISE PROVIDED IN SECTION 38-43-60.
and has ordered the Bill enrolled for ratification.
Very respectfully,
President
Rep. HARRIS, from the Chesterfield Delegation, submitted a favorable report on:
H. 3106 (Word version) -- Rep. Harris: A BILL TO PROVIDE FOR THE PER DIEM AND MILEAGE FOR MEMBERS OF THE BOARD OF THE CHESTERFIELD COUNTY SCHOOL DISTRICT AND TO REPEAL ACT 235 OF 1981, RELATING TO PER DIEM AND MILEAGE FOR MEMBERS OF THE BOARD OF THE CHESTERFIELD COUNTY SCHOOL DISTRICT AND MAKE THESE PROVISIONS EFFECTIVE JULY 1, 1999.
On motion of Rep. HARRIS, with unanimous consent, the following Bill was taken up for immediate consideration:
H. 3106 (Word version) -- Rep. Harris: A BILL TO PROVIDE FOR THE PER DIEM AND MILEAGE FOR MEMBERS OF THE BOARD OF THE CHESTERFIELD COUNTY SCHOOL DISTRICT AND TO REPEAL ACT 235 OF 1981, RELATING TO PER DIEM AND MILEAGE FOR MEMBERS OF THE BOARD OF THE CHESTERFIELD COUNTY SCHOOL DISTRICT AND MAKE THESE PROVISIONS EFFECTIVE JULY 1, 1999.
The Bill was read the second time and ordered to third reading.
The following was introduced:
H. 4008 (Word version) -- Rep. Harvin: A CONCURRENT RESOLUTION EXPRESSING THE APPRECIATION OF THE MEMBERS OF THE GENERAL ASSEMBLY TO DEPARTMENT OF NATURAL RESOURCES OFFICERS, SERGEANT TIMOTHY BAXLEY AND CORPORAL DON "BUBBA" MORRIS, FOR THEIR QUICK ACTION IN RESCUING A SUMTER GIRL THROWN FROM A BOAT IN WYBOO CREEK IN THE CLARENDON COUNTY AREA OF LAKE MARION.
The Concurrent Resolution was agreed to and ordered sent to the Senate.
The following was introduced:
H. 4009 (Word version) -- Reps. Harvin, Ott and M. McLeod: A CONCURRENT RESOLUTION TO EXPRESS THE SINCERE GRATITUDE AND APPRECIATION OF THE GENERAL ASSEMBLY OF THE STATE OF SOUTH CAROLINA TO SHERIFF JOHN J. MCDOUGALL OF LEE COUNTY, FLORIDA, FOR HIS TRULY GOOD SAMARITAN DEED OF RESCUING NINE YEAR-OLD KENDALL COGDILL OF PINEWOOD FROM THE MIDDLE OF INTERSTATE 95 IN CLARENDON COUNTY DURING A BLINDING RAINSTORM WHEN KENDALL WAS FRANTICALLY SEEKING HELP AFTER A TRAGIC AUTOMOBILE ACCIDENT WHICH CLAIMED THE LIFE OF HIS GRANDMOTHER, MRS. JEAN B. PARKS.
The Concurrent Resolution was agreed to and ordered sent to the Senate.
The following was introduced:
H. 4010 (Word version) -- Reps. McGee, Simrill, Robinson, Haskins, Allen, Altman, Askins, Barrett, Campsen, Canty, Easterday, Gourdine, Hawkins, M. Hines, Limehouse, Maddox, McKay and Pinckney: A CONCURRENT RESOLUTION CONDEMNING AND DENOUNCING ALL SUGGESTIONS IN A RECENTLY PUBLISHED STUDY BY THE AMERICAN PSYCHOLOGICAL ASSOCIATION THAT SEXUAL RELATIONSHIPS BETWEEN ADULTS AND WILLING CHILDREN ARE LESS HARMFUL THAN BELIEVED AND MIGHT EVEN BE POSITIVE FOR WILLING CHILDREN AND URGING THE UNITED STATES CONGRESS AND THE PRESIDENT OF THE UNITED STATES TO REJECT AND CONDEMN THE SUGGESTIONS MADE IN THIS RECENTLY PUBLISHED STUDY.
The Concurrent Resolution was ordered referred to the Committee on Invitations and Memorial Resolutions.
The Senate sent to the House the following:
S. 765 (Word version) -- Senator Hutto: A CONCURRENT RESOLUTION TO EXTEND BEST WISHES FROM THE MEMBERS OF THE GENERAL ASSEMBLY TO FOYE JONES COVINGTON ON THE OCCASION OF HER RETIREMENT AS MAGISTRATE FOR ORANGEBURG COUNTY.
The Concurrent Resolution was agreed to and ordered returned to the Senate with concurrence.
The following Bills and Joint Resolutions were introduced, read the first time, and referred to appropriate committees:
H. 4011 (Word version) -- Rep. Bowers: A BILL TO AMEND SECTION 34-39-140, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EXEMPTIONS FROM REGULATION AS A DEFERRED PRESENTMENT SERVICE, AND SECTION 34-41-30, RELATING TO EXEMPTIONS FROM REGULATION AS A CHECK-CASHING SERVICE, BOTH SO AS TO EXEMPT A RETAILER OF SALES OR SERVICES WHO, INCIDENTAL TO THE SALES OR SERVICES OFFERED, CASHES CHECKS FOR NO FEE OR FOR A NOMINAL FEE AND TO DEFINE "NOMINAL FEE".
Referred to Committee on Labor, Commerce and Industry
H. 4012 (Word version) -- Reps. Neal, J. Brown, Quinn, Bales, Cotty, Harrison, Lourie, Rutherford, Scott, F. Smith and J. Smith: A JOINT RESOLUTION TO DIRECT THE DEPARTMENT OF TRANSPORTATION TO ESTABLISH FORTY-FIVE MILE AN HOUR SPEED ZONES AND INSTALL FLASHING TRAFFIC SIGNALS AT CHURCHES LOCATED ON HIGHWAY 601 FROM THE KERSHAW COUNTY LINE TO HIGHWAY 378.
On motion of Rep. NEAL, with unanimous consent, the Joint Resolution was ordered placed on the Calendar without reference.
H. 4013 (Word version) -- Rep. Bowers: A BILL TO AMEND SECTION 46-41-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO AGRICULTURAL PRODUCTS DEFINITIONS, SO AS TO REDEFINE "AGRICULTURAL PRODUCTS"; TO AMEND SECTION 46-41-200, RELATING TO THE NAME OF THE SOUTH CAROLINA DEALERS AND HANDLERS GUARANTY FUND, SO AS TO RENAME THE FUND THE "SOUTH CAROLINA GRAIN AND COTTON DEALERS AND HANDLERS FUND"; TO AMEND SECTION 46-41-210, AS AMENDED, RELATING TO DEALERS AND HANDLERS GUARANTY FUND DEFINITIONS, SO AS TO REDEFINE "FAIR MARKET VALUE" AND TO PROVIDE DEFINITIONS FOR "COTTON" AND "COTTON DEALERS"; TO AMEND ARTICLE 2, CHAPTER 41 OF TITLE 46, RELATING TO THE SOUTH CAROLINA DEALERS AND HANDLERS GUARANTY FUND, BY ADDING SECTION 46-41-225 SO AS TO PROVIDE FOR AN INITIAL ASSESSMENT TO BE IMPOSED ON COTTON DELIVERED TO COTTON GINS LICENSED UNDER THIS CHAPTER; BY ADDING SECTION 46-41-235 SO AS TO PROVIDE FOR COLLECTION, ADMINISTRATION, AND INVESTMENT OF ASSESSMENTS, FOR AUDITS TO VERIFY LOSS, FOR PRESENTATION AND PAYMENT OF CLAIMS, AND FOR REDUCTION IN THE AMOUNTS AND REINSTITUTION OF ASSESSMENTS, FOR PRO RATA PAYMENTS IF THERE ARE INSUFFICIENT FUNDS TO COVER ALL CLAIMS, AND FOR SUBROGATION UPON PAYMENT OF CLAIMS; BY ADDING SECTION 46-41-245 SO AS TO PROVIDE FOR REMITTANCE AND REPORTING OF ASSESSMENTS AND FOR PENALTIES FOR FAILURE TO REMIT OR REPORT ASSESSMENTS; AND BY ADDING SECTION 46-41-255, RELATING TO THE APPLICABILITY OF SECTION 46-41-250, SO AS TO PROVIDE THAT SECTION 46-41-250 DOES NOT APPLY TO PRODUCERS AND DEALERS OF COTTON.
Referred to Committee on Agriculture, Natural Resources and Environmental Affairs
H. 4014 (Word version) -- Reps. Neal, J. Smith, Clyburn, Vaughn, Quinn, Knotts, Limehouse, Lourie, Altman, Bailey, Bales, Barrett, Battle, Beck, Breeland, H. Brown, J. Brown, Carnell, Cato, Cooper, Cotty, Davenport, Emory, Gourdine, Govan, J. Hines, M. Hines, Hinson, Inabinett, Jennings, Kennedy, Klauber, Lanford, Leach, Lee, Littlejohn, Lloyd, Mack, McGee, McMahand, Miller, Ott, Parks, Phillips, Pinckney, Riser, Robinson, Rutherford, Scott, Sharpe, F. Smith, Stille, Taylor, Tripp, Walker, Whatley, Whipper, Wilder, Woodrum and Young-Brickell: A BILL TO AMEND SECTION 56-3-3310, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO SPECIAL MOTOR VEHICLE LICENSE PLATES FOR RECIPIENTS OF THE PURPLE HEART, SO AS TO PROVIDE THAT NO FEE MAY BE CHARGED FOR THIS PLATE.
Referred to Committee on Education and Public Works
H. 4015 (Word version) -- Rep. Beck: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 16-13-465 SO AS TO ESTABLISH THE OFFENSE OF CRIMINAL USE OF AN ARTICLE WITH AN ALTERED IDENTIFICATION MARK, AND TO PROVIDE A PENALTY.
Referred to Committee on Judiciary
H. 4016 (Word version) -- Rep. Davenport: A BILL TO AMEND SECTION 59-47-10, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE BOARD OF COMMISSIONERS OF THE SCHOOL FOR THE DEAF AND BLIND, SO AS TO INCREASE THE BOARD BY THREE MEMBERS WHO MUST BE PARENTS OF STUDENTS OR FORMER STUDENTS ONE OF WHOM MUST BE BLIND, ONE DEAF, AND ONE MULTIHANDICAPPED.
Referred to Committee on Education and Public Works
H. 4017 (Word version) -- Ways and Means Committee: A BILL TO MAKE FINDINGS OF LEGISLATIVE INTENT WITH RESPECT TO THE SPECIAL NEEDS OF THE MEDICAL UNIVERSITY HOSPITALS AND CLINICS TO MAINTAIN MAXIMUM FLEXIBILITY IN MANAGEMENT AND OPERATIONS; TO AMEND SECTION 59-123-60, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ORGANIZATION AND POWERS OF THE BOARD OF TRUSTEES OF THE MEDICAL UNIVERSITY OF SOUTH CAROLINA, SO AS TO PROVIDE THAT THE BOARD OF TRUSTEES OF THE MEDICAL UNIVERSITY OF SOUTH CAROLINA SHALL CONSTITUTE THE MEDICAL UNIVERSITY HOSPITAL AUTHORITY FOR THE MANAGEMENT AND OPERATION OF THE MEDICAL UNIVERSITY HOSPITALS AND CLINICS IN ORDER TO PROVIDE A HIGH LEVEL OF MANAGEMENT AND OPERATIONAL FLEXIBILITY TO THE AUTHORITY AND REMOVE THE HOSPITALS AND CLINICS FROM CENTRAL STATE PROGRAM REGULATION OF PROCUREMENT, REAL PROPERTY, AND HUMAN RESOURCES, TO SET FORTH THE DUTIES AND POWERS OF THE BOARD OF TRUSTEES AS THE MEDICAL UNIVERSITY HOSPITAL AUTHORITY; TO AMEND SECTION 8-11-260, AS AMENDED, RELATING TO EXEMPTIONS FROM STATE PERSONNEL POLICIES AND REQUIREMENTS, SO AS TO EXEMPT EMPLOYEES OF THE HOSPITALS AND CLINICS FROM BUDGET AND CONTROL BOARD PERSONNEL ADMINISTRATION; TO AMEND SECTION 8-17-370, AS AMENDED, RELATING TO EXEMPTIONS FROM STATE EMPLOYEE GRIEVANCE PROCEDURES, SO AS TO EXEMPT MEDICAL UNIVERSITY HOSPITAL AND CLINIC EMPLOYEES FROM THE STATE EMPLOYEE GRIEVANCE ACT; AND TO AMEND SECTION 11-35-710, AS AMENDED, RELATING TO EXEMPTIONS FROM THE STATE PROCUREMENT CODE, SO AS TO ADD AN EXEMPTION TO THE SOUTH CAROLINA CONSOLIDATED PROCUREMENT CODE FOR THE MEDICAL UNIVERSITY HOSPITALS AND CLINICS.
Without reference
S. 543 (Word version) -- Senator Gregory: A BILL TO AMEND SECTION 22-2-190, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO JURY AREAS FOR MAGISTRATES' COURTS ESTABLISHED FOR LANCASTER COUNTY, SO AS TO PROVIDE FOR A COUNTYWIDE JURY AREA.
On motion of Rep. EMORY, with unanimous consent, the Bill was ordered placed on the Calendar without reference.
S. 558 (Word version) -- Senators Elliott, Waldrep, Glover, Ford, Holland and Saleeby: A BILL TO AMEND TITLE 1, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE ADMINISTRATION OF GOVERNMENT, BY ADDING CHAPTER 32 SO AS TO PROVIDE FOR THE SOUTH CAROLINA INDIAN AFFAIRS COMMISSION, AND TO PROVIDE FOR ITS PURPOSE, MEMBERSHIP, AND DUTIES.
Referred to Committee on Judiciary
S. 749 (Word version) -- Senator Passailaigue: A JOINT RESOLUTION AUTHORIZING THE DEPARTMENT OF REVENUE TO EXTEND INDIVIDUAL INCOME TAX RETURN AND INDIVIDUAL INCOME TAX PAYMENT DUE DATES FOR MILITARY PERSONNEL SERVING IN OPERATION ALLIED FORCE, TO PROVIDE FOR THE WAIVER OF PENALTIES AND INTEREST DURING THESE SPECIAL EXTENSIONS, AND TO SUSPEND COLLECTION ACTIVITIES WITH RESPECT TO THESE TAXPAYERS UNTIL THEIR RETURN.
Referred to Committee on Ways and Means
S. 758 (Word version) -- Senators Patterson, Courson, Giese and Jackson: A BILL TO AMEND SECTION 7-7-465, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DESIGNATION OF VOTING PRECINCTS IN RICHLAND COUNTY, SO AS TO ESTABLISH NEW PRECINCTS AND RENAME CERTAIN EXISTING PRECINCTS.
On motion of Rep. BALES, with unanimous consent, the Bill was ordered placed on the Calendar without reference.
On motion of Rep. SCOTT, with unanimous consent, the following was taken up for immediate consideration:
H. 4018 (Word version) -- Reps. Scott, Allen, Allison, Altman, Askins, Bailey, Bales, Barfield, Barrett, Battle, Beck, Bowers, Breeland, G. Brown, H. Brown, J. Brown, T. Brown, Campsen, Canty, Carnell, Cato, Chellis, Clyburn, Cobb-Hunter, Cooper, Cotty, Dantzler, Davenport, Delleney, Easterday, Edge, Emory, Fleming, Gamble, Gilham, Gourdine, Govan, Hamilton, Harrell, Harris, Harrison, Harvin, Haskins, Hawkins, Hayes, J. Hines, M. Hines, Hinson, Howard, Inabinett, Jennings, Keegan, Kelley, Kennedy, Kirsh, Klauber, Knotts, Koon, Lanford, Law, Leach, Lee, Limehouse, Littlejohn, Lloyd, Loftis, Lourie, Lucas, Mack, Maddox, Martin, Mason, McCraw, McGee, McKay, M. McLeod, W. McLeod, McMahand, Meacham, Miller, Moody-Lawrence, Neal, Neilson, Ott, Parks, Phillips, Pinckney, Quinn, Rhoad, Rice, Riser, Robinson, Rodgers, Rutherford, Sandifer, Seithel, Sharpe, Sheheen, Simrill, D. Smith, F. Smith, J. Smith, R. Smith, Stille, Stuart, Taylor, Townsend, Tripp, Trotter, Vaughn, Walker, Webb, Whatley, Whipper, Wilder, Wilkes, Wilkins, Witherspoon, Woodrum and Young-Brickell: A CONCURRENT RESOLUTION DESIGNATING MAY 2, 1999, AS "SARAH ANN POTEE OWENS STATE PRAYER DAY", IN RECOGNITION OF MRS. SARAH ANN POTEE OWENS' EFFORTS TO ESTABLISH A SPECIAL DAY OF PRAYER TO ADDRESS OUR NATION'S CRIME PROBLEM.
Whereas, Mrs. Sarah Ann Potee Owens was born in Columbia, South Carolina, on May 2, 1912, and departed this life on April 21, 1999; and
Whereas, for fifty-three years she was the devoted wife of the late Mr. Thomas C. Owens, and together they were the parents of eight successful children; and
Whereas, at an early age she dedicated her life to Christ and at the age of thirteen she began teaching Sunday school at Emmanuel A.M.E. Church where she was a life member; and
Whereas, Mrs. Owens devoted forty-one years of her life as a teacher and administrator in the public school system in this State; and
Whereas, in 1991, in response to the serious crime problem that grips our nation, she petitioned former President George Bush to establish a special day of prayer to address that issue; and
Whereas, although her dream of establishing a national day of prayer to address the issue of crime was not realized, in the wake of a number of recent serious acts of violence across our nation, it is imperative that the members of the General Assembly establish a state day of prayer to address this issue. Now, therefore,
Be it resolved by the House of Representatives, the Senate concurring:
That the General Assembly of the State of South Carolina, by this resolution, designates May 2, 1999, as "Sarah Ann Potee Owens State Prayer Day" in recognition of Mrs. Sarah Ann Potee Owens' efforts to establish a special day of prayer to address our nation's crime problem.
Be it further resolved that a copy of this resolution be presented to the family of the late Sarah Ann Potee Owens.
The Concurrent Resolution was agreed to and ordered sent to the Senate.
The roll call of the House of Representatives was taken resulting as follows:
Allen Allison Altman Bailey Bales Barfield Barrett Battle Beck Bowers Breeland Brown G. Brown H. Brown J. Brown T. Campsen Carnell Cato Chellis Clyburn Cobb-Hunter Cooper Dantzler Delleney Easterday Edge Emory Fleming Gamble Gilham Gourdine Govan Hamilton Harrell Harris Harvin Haskins Hawkins Hayes Hines M. Hinson Howard Inabinett Jennings Keegan Kelley Kennedy Kirsh Klauber Knotts Leach Lee Littlejohn Lloyd Loftis Lourie Lucas Mack Maddox Martin Mason McCraw McGee McKay McLeod M. McLeod W. McMahand Meacham Miller Moody-Lawrence Neal Neilson Ott Parks Phillips Pinckney Rhoad Rice Riser Robinson Rodgers Sandifer Scott Seithel Sharpe Sheheen Simrill Smith D. Smith F. Smith J. Smith R. Stille Stuart Taylor Townsend Tripp Trotter Vaughn Walker Webb Whatley Whipper Wilder Wilkes Wilkins Witherspoon Woodrum Young-Brickell
I came in after the roll call and was present for the Session on Thursday, April 29.
Harry Askins Ralph Canty Bill Cotty Ralph Davenport James Harrison Jesse Hines Larry Koon Steve Lanford James Law H.B. "Chip" Limehouse Richard Quinn Todd Rutherford
SPECIAL PRESENTATION
Reps. MOODY-LAWRENCE, SIMRILL, MEACHAM, DELLENEY and MCCRAW presented to the House the Clinton Junior College Golden Bears Men's Basketball Team, winners of the Region Ten Basketball Tournament, their coaches and other college officials.
On motion of Rep. Carnell, Rep. Inabinett's remarks were ordered printed in the Journal as follows:
Seven years ago, by way of a Concurrent Resolution, the first Thursday in May was set aside as "Legislative Family Day" and each first Thursday since has been observed.
Our families make tremendous sacrifices while we are in Columbia attending to our legislative duties and quite often their responsibilities and support of us goes unnoticed by the general public.
Next week May 6, 1999, is "Legislative Family Day 1999". Please in your own way recognize your family members for their support and let them know that we truly appreciate their patience, understanding, and continued love as we carry out our duties in the South Carolina General Assembly.
Rep. CURTIS INABINETT
Announcement was made that Drs. William Brannon and Verne Prosser are the Doctors of the Day for the General Assembly.
In accordance with House Rule 5.2 below:
"5.2 Every bill before presentation shall have its title endorsed; every report, its title at length; every petition, memorial, or other paper, its prayer or substance; and, in every instance, the name of the member presenting any paper shall be endorsed and the papers shall be presented by the member to the Speaker at the desk. After a bill or resolution has been presented and given first reading, no further names of co-sponsors may be added. A member may add his name to a bill or resolution or a co-sponsor of a bill or resolution may remove his name at any time prior to the bill or resolution receiving passage on second reading. The member or co-sponsor shall notify the Clerk of the House in writing of his desire to have his name added or removed from the bill or resolution. The Clerk of the House shall print the member's or co-sponsor's written notification in the House Journal. The removal or addition of a name does not apply to a bill or resolution sponsored by a committee."
Bill Number: H. 3974 (Word version)
Date: ADD:
04/29/99 BARFIELD
The following Bills were taken up, read the third time, and ordered sent to the Senate:
H. 4001 (Word version) -- Reps. Jennings and Harris: A BILL TO AMEND ACT 256 OF 1981, AS AMENDED, RELATING TO THE SCHOOL DISTRICT OF MARLBORO COUNTY, SO AS TO REQUIRE CANDIDATES FOR THE SCHOOL BOARD TO FILE THE WRITTEN NOTICE OF CANDIDACY BY AUGUST FIRST OF EACH GENERAL ELECTION YEAR RATHER THAN THIRTY DAYS BEFORE THE ELECTION.
H. 3393 (Word version) -- Reps. Law, H. Brown and Young-Brickell: A BILL TO AMEND CHAPTER 23, TITLE 50, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO WATERCRAFT AND MOTOR TITLING, BY ADDING SECTION 50-23-295 SO AS TO PROVIDE THAT A CERTIFICATE OF TITLE TO WATERCRAFT MAY NOT BE TRANSFERRED IF THE DEPARTMENT OF NATURAL RESOURCES HAS NOTICE THAT PROPERTY TAXES ARE OWED ON THE WATERCRAFT OR OUTBOARD MOTOR.
H. 3911 (Word version) -- Reps. Robinson, D. Smith, Kelley, Barrett, Allison, Easterday, Wilkins, H. Brown, Harrell, Woodrum, Simrill, Allen, Altman, Barfield, Beck, Campsen, Cato, Cooper, Dantzler, Davenport, Edge, Fleming, Gamble, Hamilton, Harrison, Haskins, Hinson, Keegan, Knotts, Leach, Limehouse, Littlejohn, Loftis, Lucas, Maddox, Martin, Mason, McGee, Meacham, Rice, Riser, Rodgers, Sandifer, Sharpe, R. Smith, Taylor, Townsend, Tripp, Trotter, Vaughn, Walker, Webb, Whatley, Witherspoon, Young-Brickell and Gilham: A BILL TO AMEND SECTION 12-36-2120, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO SALES AND USE TAX EXEMPTIONS, SO AS TO PHASE IN AN EXEMPTION FOR FOOD ITEMS WHICH LAWFULLY MAY BE PURCHASED WITH UNITED STATES DEPARTMENT OF AGRICULTURE FOOD COUPONS, TO PROVIDE FOR THE USE OF THE REVENUE FROM THE REDUCED RATES OF TAX DURING THE PHASE-IN PERIOD, TO PROVIDE THAT GENERAL FUND REVENUES MUST BE CREDITED TO THE EIA FUND IN FISCAL YEARS 1999-00 THROUGH 2003-04 TO ENSURE THAT EIA REVENUES ATTRIBUTABLE TO FOOD SALES ARE NOT LESS THAN SUCH REVENUES IN FISCAL YEAR 1998-99, AND TO PROVIDE FOR THE APPLICATION OF LOCAL SALES AND USE TAXES ON SALES AND CONSUMPTION OF THESE FOOD ITEMS REGARDLESS OF THE STATE EXEMPTION FOR THESE ITEMS.
H. 3835 (Word version) -- Rep. Robinson: A BILL TO AMEND ARTICLE 1, CHAPTER 54, TITLE 12, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO COLLECTION AND ENFORCEMENT OF TAXES LEVIED BY THE DEPARTMENT OF REVENUE, BY ADDING SECTIONS 12-54-43 SO AS TO PROVIDE FOR CIVIL PENALTIES AND 12-54-44 SO AS TO PROVIDE FOR CRIMINAL PENALTIES; TO AMEND SECTIONS 4-12-30, AS AMENDED, AND 4-29-67, AS AMENDED, BOTH RELATING TO A PROJECT PAYING A FEE IN LIEU OF PROPERTY TAXES, SO AS TO DEFINE "REPLACEMENT PROPERTY" AS REPLACING THE OLDEST PROPERTY IN THE PROJECT SUBJECT TO THE FEE; TO AMEND SECTION 4-29-68, AS AMENDED, RELATING TO A PROJECT PAYING A FEE IN LIEU OF PROPERTY TAXES, SO AS TO ADD CERTAIN CROSS REFERENCES; TO AMEND SECTION 6-1-320, RELATING TO LIMITATIONS ON MILLAGE RATE INCREASES, SO AS TO REFERENCE THE CALENDAR YEAR INSTEAD OF THE FISCAL YEAR AND TO PROVIDE FOR COMPUTATION OF THE ROLLBACK MILLAGE; TO AMEND SECTION 11-1-10, RELATING TO OFFICIAL RECEIPTS FOR MONIES COLLECTED, SO AS TO LIMIT RELEASE OF DOCUMENTS BY THE DEPARTMENT OF REVENUE; TO AMEND SECTION 12-6-50, AS AMENDED, RELATING TO PROVISIONS OF THE INTERNAL REVENUE CODE NOT ADOPTED BY THE STATE, SO AS TO ADOPT SECTION 6015; TO AMEND SECTION 12-6-3360, AS AMENDED, RELATING TO JOB TAX CREDIT, SO AS TO DESCRIBE SPECIFICALLY THE DATA USED TO RANK AND DESIGNATE THE STATE'S COUNTIES AS THE AVAILABLE PER CAPITA INCOME DATA AND UNEMPLOYMENT RATE DATA FROM THE LAST THREE YEARS AND THE DATA USED FOR DETERMINATION OF THE PER CAPITA INCOME OF A COUNTY AS THE LATEST AVAILABLE DATA AND TO PROVIDE FOR THE PASS THROUGH OF THE UNUSED CREDIT TO MEMBERS OF CERTAIN ENTITIES CLAIMING THE CREDIT; TO AMEND SECTION 12-6-4910, RELATING TO THOSE TAXPAYERS REQUIRED TO FILE INCOME TAX RETURNS, SO AS TO REFERENCE THE DEDUCTION FOR RETIREMENT INCOME; TO AMEND SECTIONS 12-6-5060, 12-6-5065, 12-6-5070, AND 12-6-5080, ALL RELATING TO DESIGNATIONS ON THE TAX RETURNS FOR VOLUNTARY CONTRIBUTIONS, SO AS TO PROVIDE THAT THE DEPARTMENT OF REVENUE IS NOT SUBJECT TO THE PROVISIONS OF THE SOUTH CAROLINA SOLICITATION OF CHARITABLE FUNDS ACT; TO AMEND SECTION 12-21-2550, AS AMENDED, RELATING TO FAILURE TO MAKE A CORRECT TAX RETURN OR TO FILE A RETURN, SO AS TO PROVIDE FOR THE DEPARTMENT OF REVENUE TO ESTIMATE THE TAX LIABILITY AND ISSUE A PROPOSED ASSESSMENT; TO AMEND SECTION 12-36-2120, AS AMENDED, RELATING TO SALES AND USE TAX EXEMPTIONS, SO AS TO INCLUDE PROCEEDS FROM THE SALE OF LIQUEFIED PETROLEUM GAS; TO AMEND SECTION 12-37-251, AS AMENDED, RELATING TO THE HOMESTEAD EXEMPTION FROM PROPERTY TAX, SO AS TO DELETE REFERENCE TO CALCULATION OF ROLLBACK MILLAGE; TO AMEND SECTION 12-54-55, AS AMENDED, RELATING TO INTEREST ON UNDERPAYMENT OF ESTIMATED TAX, SO AS TO DELETE LANGUAGE MAKING THE PENALTY INTEREST THE EXCLUSIVE REMEDY; TO AMEND SECTION 12-54-240, AS AMENDED, RELATING TO PROHIBITION OF THE DISCLOSURE OF RECORDS FILED WITH THE DEPARTMENT OF REVENUE, SO AS TO ALLOW THE DISCLOSURE OF NAMES AND ADDRESSES TO THE STATE RETIREMENT SYSTEM IN CONNECTION WITH INACTIVE ACCOUNTS; TO AMEND SECTION 12-56-20, AS AMENDED, RELATING TO DEFINITIONS FOR PURPOSES OF THE SETOFF DEBT COLLECTION ACT, SO AS TO ADD THE UNITED STATES DEPARTMENT OF EDUCATION AS A CLAIMANT AGENCY AND TO CHANGE "INDIVIDUAL" TO "PERSON"; AND TO REPEAL SECTIONS 12-6-5590 RELATING TO REVISION OF THE ASSESSED TAX, 12-54-35 RELATING TO SPOUSAL LIABILITY FOR TAX, AND 12-54-40 RELATING TO PENALTIES IN CONNECTION WITH COLLECTION AND ENFORCEMENT OF TAXES.
H. 3649 (Word version) -- Rep. Tripp: A BILL TO AMEND SECTION 12-6-3360, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DEFINITION OF "NEW JOB" FOR PURPOSES OF CLAIMING THE JOB TAX CREDIT, SO AS TO INCLUDE A JOB REINSTATED AFTER THE EMPLOYER HAS REBUILT A FACILITY DUE TO INVOLUNTARY CONVERSION, BY EMINENT DOMAIN OR CONDEMNATION, OF A PRIOR EXISTING FACILITY; AND TO AMEND SECTIONS 12-10-30, AS AMENDED, AND 12-10-35, BOTH RELATING TO QUALIFICATION OF A BUSINESS PURSUANT TO THE ENTERPRISE ZONE ACT OF 1995, SO AS TO CONFORM CRITERIA TO INCLUDE THE DEFINITION OF "NEW JOB" AS A JOB CREATED OR REINSTATED PURSUANT TO SECTION 12-6-3360.
H. 3118 (Word version) -- Reps. Haskins, Edge, Robinson, Harrison, Simrill, Sandifer and Vaughn: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 41-31-85 SO AS TO PROVIDE FOR THE APPLICABLE CONTRIBUTION RATES WITH RESPECT TO THE COMPUTATION OF THE STATEWIDE RESERVE RATIO FOR EMPLOYER CONTRIBUTIONS TO THE STATE UNEMPLOYMENT COMPENSATION FUND FOR THE PERIOD JANUARY 1, 1999, THROUGH DECEMBER 31, 1999, AND FOR EACH SUCH ANNUAL PERIOD THEREAFTER.
H. 3522 (Word version) -- Rep. Altman: A BILL TO AMEND SECTION 59-123-60, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE ORGANIZATION AND POWERS OF THE BOARD OF TRUSTEES OF THE MEDICAL UNIVERSITY OF SOUTH CAROLINA, SO AS TO AUTHORIZE THE BOARD TO PURCHASE, SELL, OR LEASE REAL AND PERSONAL PROPERTY FOR ITS AUTHORIZED PURPOSES UNDER CERTAIN CONDITIONS.
H. 3904 (Word version) -- Rep. Lanford: A BILL TO AMEND TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 153 SO AS TO PROVIDE FOR THE INVESTMENT OF ENDOWMENT FUNDS OF STATE-SUPPORTED INSTITUTIONS OF HIGHER LEARNING, PROVIDE FOR DEFINITIONS, FIDUCIARY DUTIES, INVESTMENT PLANS, AND RESPONSIBILITIES, PROVIDE FOR THE USE OF AN ANNUAL PLAN SUBMITTED BY THE STATE RETIREMENT SYSTEM INVESTMENT PANEL IN DETERMINING EACH INSTITUTION'S INVESTMENT PLAN, TO DESIGNATE THE BOARD OF TRUSTEES OF EACH INSTITUTION OF HIGHER LEARNING AS TRUSTEE FOR THE FUNDS HELD BY THE STATE TREASURER AND THE STATE TREASURER AS THE AGENT OF EACH TRUSTEE FOR THE PURPOSE OF CARRYING OUT THE APPROVED INVESTMENT PLAN OF EACH RESPECTIVE INSTITUTION OF HIGHER LEARNING, PROVIDE FOR THE TRUSTEE'S POWERS AND DUTIES, PROVIDE FOR CERTAIN INVESTMENT CONSIDERATIONS WHICH MUST BE FOLLOWED BY THE TRUSTEE, AND PROVIDE FOR THE LIABILITY OF A TRUSTEE WHO BREACHES HIS DUTY IMPOSED BY CHAPTER 153 OF TITLE 59; BY ADDING SECTIONS 11-5-245 AND 11-5-260 SO AS TO PROVIDE FOR REPORTS FROM THE STATE TREASURER TO THE RESPECTIVE BOARDS OF TRUSTEES ON A PERIODIC BASIS, AND TO AUTHORIZE THE STATE TREASURER TO INVEST THESE ENDOWMENT FUNDS HELD BY HIM IN EQUITY SECURITIES FOR EACH RESPECTIVE INSTITUTION AS DIRECTED BY ITS BOARD OF TRUSTEES; AND TO AMEND SECTIONS 30-4-40 AND 30-4-70, BOTH AS AMENDED, RELATING TO MATTERS EXEMPT FROM DISCLOSURE AND MEETINGS WHICH MAY BE CLOSED FOR PURPOSES OF THE FREEDOM OF INFORMATION ACT, SO AS TO EXEMPT RECORDS RELATING TO INVESTMENTS OR OTHER FINANCIAL MATTERS OF THE ENDOWMENT INVESTMENT SYSTEMS IF DISCLOSURE WOULD JEOPARDIZE INVESTMENT DECISIONS OR OBJECTIVES AND TO ALLOW THE RESPECTIVE BOARDS OF TRUSTEES MEETING AS TRUSTEES OF THE RESPECTIVE ENDOWMENT FUNDS TO MEET IN EXECUTIVE SESSION IF DISCLOSURE WOULD JEOPARDIZE INVESTMENT DECISIONS OR OBJECTIVES; AND TO PROVIDE FOR THE SEVERABILITY OF THE PROVISIONS OF THIS ACT.
H. 3218 (Word version) -- Rep. Miller: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 6-1-120 SO AS TO MAKE CONFIDENTIAL THE INFORMATION PROVIDED BY A TAXPAYER IN A RETURN, REPORT, OR APPLICATION FILED WITH A COUNTY OR MUNICIAPLITY, TO PROVIDE EXCEPTIONS, AND TO PROVIDE A CRIMINAL PENALTY AND DISMISSAL FROM OFFICE OR POSITION FOR AN EMPLOYEE OR OFFICER WHO VIOLATES THIS REQUIREMENT, AND TO DISQUALIFY FOR FIVE YEARS FROM PUBLIC OFFICE A COUNTY OR MUNICIPAL OFFICER VIOLATING THIS REQUIREMENT; TO AMEND SECTION 12-54-240, AS AMENDED, RELATING TO THE CONFIDENTIALITY REQUIREMENTS OF STATE TAX RETURNS, SO AS TO EXTEND THIS REQUIREMENT TO THE ADMISSIONS LICENSE TAX; AND TO AMEND SECTION 30-4-40, AS AMENDED, RELATING TO MATTERS EXEMPT FROM DISCLOSURE UNDER THE FREEDOM OF INFORMATION ACT, SO AS TO CONFORM THE EXEMPTION TO THE CONFIDENTIALITY PROVISIONS PROVIDED BY THIS ACT.
The following Bill was read the third time, passed and having received three readings in both Houses, it was ordered that the title be changed to that of an Act and that it be enrolled for Ratification:
S. 358 (Word version) -- Senator Peeler: A BILL TO AMEND SECTION 50-11-390, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE TAKING OF ANTLERLESS DEER, SO AS TO PROVIDE THAT THE DEPARTMENT OF NATURAL RESOURCES MAY ISSUE INDIVIDUAL TAGS FOR TAKING ANTLERLESS DEER STATEWIDE EXCEPT ON PROPERTIES RECEIVING ANTLERLESS DEER QUOTA PERMITS.
Debate was resumed on the following Bill, the pending question being the consideration of Amendment No. 1, Rep. CAMPSEN having the floor:
H. 3216 (Word version) -- Reps. Campsen and Rodgers: A BILL TO AMEND SECTION 24-3-40, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DISPOSITION OF WAGES OF A PRISONER ALLOWED TO WORK AT PAID EMPLOYMENT SO AS TO PROVIDE A DISTRIBUTION PLAN FOR THE WAGES THAT INCLUDES PAYMENTS FOR VICTIM RESTITUTION, CHILD SUPPORT, PRISONER ROOM AND BOARD, PRISONER INCIDENTALS, AND PRISONER ESCROW ACCOUNT.
The Judiciary Committee proposed the following Amendment No. 1 (Doc Name BBM\AMEND\9279SOM99):
Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/ SECTION 1. Section 24-3-40 of the 1976 Code, as last amended by Act 7 of 1995, is further amended to read:
"Section 24-3-40. (A) Unless otherwise provided by law, the employer of a prisoner authorized to work at paid employment in the community under Sections 24-3-20 to 24-3-50 or in a prison industry program provided under Article 3 of this chapter shall pay the prisoner's wages directly to the Department of Corrections. The Director of the Department of Corrections shall withhold five percent of the gross wages and promptly place these funds on deposit with the State Treasurer for credit to a special account to support victim assistance programs established pursuant to the "Victims of Crime Act of 1984, Public Law 98-473, Title II, Chapter XIV, Section 1404". The director may withhold from the wages costs incident to the prisoner's confinement as the Department of Corrections considers appropriate and reasonable. These withholdings must be deposited to the maintenance account of the Department of Corrections. The balance of the wages, in the discretion of the director and in proportions determined by the director, may be disbursed to the prisoner, the prisoner's dependents, and the victim of the crime or deposited to the credit of the prisoner.
The Director of the Department of Corrections shall deduct the following amounts from the gross wages of the prisoner:
(1) If restitution to a particular victim or victims has been ordered by the court, then twenty percent must be used to fulfill the restitution obligation. If a restitution payment schedule has been ordered by the court pursuant to Section 17-25-322, the twenty percent must be applied to the scheduled payments. If restitution to a particular victim or victims has been ordered but a payment schedule has not been specified by the court, the director shall impose a payment schedule of equal monthly payments and use twenty percent to meet the payment schedule so imposed.
(2) If restitution to a particular victim or victims has not been ordered by the court, or if court-ordered restitution to a particular victim or victims has been satisfied, then the twenty percent referred to in subsection (1) must be placed on deposit with the State Treasurer for credit to a special account to support victim assistance programs established pursuant to the 'Victims of Crime Act of 1984', Public Law 98-473, Title II, Chapter XIV, Section 1404, if the prisoner is engaged in work at paid employment in the community. If the prisoner is employed in a prison industry program, then the twenty percent referred to in subsection (1) must be applied to the South Carolina Victims Compensation Fund.
(3) Twenty percent must be used to pay the prisoner's child support obligations pursuant to law, court order, or agreement of the prisoner. These child support monies must be disbursed to the appropriate clerks of court for application toward payment of child support obligations. If there are no child support obligations, then one-half of the twenty percent referred to in this subsection must be used by the Department of Corrections to defray the cost of the prisoner's room and board. This is in addition to the fifteen percent used for the same purpose in subsection (4). Furthermore, if there are no child support obligations, then the other half of the twenty percent referred to in this subsection must be made available to the inmate during his incarceration for the purchase of incidentals. This is in addition to the ten percent used for the same purpose in subsection (5).
(4) Fifteen percent must be used by the Department of Corrections to defray the cost of the prisoner's room and board.
(5) Ten percent must be available to the inmate during his incarceration for the purchase of incidentals. Any monies made available to the inmate for the purchase of incidentals also may be distributed to the person or persons of the inmate's choice.
(6) Ten percent must be held in an interest bearing escrow account for the benefit of the prisoner.
(7) The remaining balance must be used to pay federal and state taxes required by law. Any monies not used to satisfy federal and state taxes must be made available to the inmate for the purchase of incidentals.
(B) The Department of Corrections shall return a prisoner's wages held in escrow pursuant to subsection (A) as follows:
(1) A prisoner released without community supervision must be given his escrowed wages upon his release.
(2) A prisoner serving life in prison shall be given the option of having his escrowed wages included in his estate or distributed to the persons or entities of his choice.
(3) A prisoner released to community supervision shall receive two hundred dollars or the escrow balance, whichever is less, upon his release. Any remaining balance must be dispersed to the Department of Probation, Parole and Pardon Services. The prisoner's supervising agent shall apply this balance toward payment of the prisoner's housing and basic needs and dispense any balance to the prisoner at the end of the supervision period."
SECTION 2. This act takes effect upon approval by the Governor and applies to wages earned beginning with the first day of the second month after the signature of the Governor. /
Amend title to conform.
Rep. CAMPSEN continued speaking.
Rep. SCOTT moved to adjourn debate on the Bill.
Rep. D. SMITH moved to table the motion, which was agreed to.
Reps. SCOTT, PINCKNEY, LLOYD, PARKS, CLYBURN, HOWARD, JENNINGS, MOODY-LAWRENCE, LEE, COBB-HUNTER, PHILLIPS, MCMAHAND, D. SMITH, CAMPSEN, FLEMING, WOODRUM, ALTMAN, WHIPPER and KENNEDY requested debate on the Bill.
The following Bill was taken up:
H. 3745 (Word version) -- Reps. Campsen, Altman, Barrett, Barfield, Cato, Cooper, Davenport, Delleney, Easterday, Edge, Emory, Gilham, Govan, Hamilton, Harrison, Haskins, Inabinett, Kelley, Leach, Littlejohn, Loftis, McCraw, McMahand, Neal, Phillips, Pinckney, Sandifer, Sharpe, Simrill, J. Smith, Stille, Tripp, Vaughn, Wilkins, Witherspoon, Lourie and Knotts: A BILL TO AMEND CHAPTER 1, TITLE 20, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO MARRIAGE, BY ADDING ARTICLE 7 SO AS TO PROVIDE FOR THE "SOUTH CAROLINA FAMILY RESPECT ACT", TO PROVIDE THE LANGUAGE OF THE SOUTH CAROLINA FAMILY RESPECT PAMPHLET, AND TO PROVIDE TO WHOM THE PAMPHLET SHALL BE DISTRIBUTED; TO AMEND CHAPTER 3, TITLE 53, RELATING TO THE CELEBRATION OF SPECIAL DAYS, SO AS TO PROVIDE FOR A FAMILY RESPECT DAY AND TO PROVIDE THE DAY IS OBSERVED IN THE PUBLIC HIGH SCHOOLS; TO AMEND SECTION 20-1-240, RELATING TO INFORMATION GIVEN TO MARRIAGE APPLICANTS, SO AS TO PROVIDE THE SOUTH CAROLINA FAMILY RESPECT PAMPHLET IS DISTRIBUTED TO APPLICANTS; TO AMEND SECTION 44-63-80, AS AMENDED, RELATING TO THE ISSUANCE OF CERTIFIED COPIES OF BIRTH CERTIFICATES, SO AS TO PROVIDE THE FAMILY RESPECT PAMPHLET IS INCLUDED WITH EACH CERTIFIED COPY OF THE BIRTH CERTIFICATE; AND TO AMEND SECTION 44-122-40, RELATING TO THE OPERATION OF COUNTY FUNDED ADOLESCENT PREGNANCY PREVENTION INITIATIVES, SO AS TO PROVIDE FOR THE DISTRIBUTION AND DISCUSSION OF THE FAMILY RESPECT PAMPHLET WITH ADOLESCENTS INVOLVED IN THE INITIATIVES.
The Judiciary Committee proposed the following Amendment No. 1 (Doc Name \BBM\AMEND\9243SOM99):
Amend the bill, as and if amended, SECTION 1, page 10, by striking item (6) on lines 11 and 12 and inserting:
/ (6) all state and local agencies and institutions that provide health services including, but not limited to, family planning services and distribution of contraceptives, to be given to all pregnant minors, persons receiving birth control, and persons receiving information on family planning or sexually transmitted diseases; /
Amend title to conform.
Rep. CAMPSEN explained the amendment.
Rep. T. BROWN raised a Point of Order that Amendment No. 1 was out of order in that it was not germane to the Bill.
SPEAKER WILKINS overruled the Point of Order.
Rep. CAMPSEN continued speaking.
Rep. LEE requested debate on the Bill.
Rep. EASTERDAY spoke in favor of the amendment.
Rep. KENNEDY objected to the Bill.
Reps. MOODY-LAWRENCE, PARKS, GOVAN, HOWARD, MACK, EASTERDAY, DAVENPORT, BECK, LEACH, D. SMITH and CLYBURN requested debate on the Bill.
The following Bills were taken up, read the second time, and ordered to a third reading:
H. 3888 (Word version) -- Rep. Cato: A BILL TO AMEND SECTION 31-3-340, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO COMMISSIONERS OF MUNICIPAL HOUSING AUTHORITIES, SO AS TO DELETE CERTAIN PROVISIONS, PROVIDE FOR THE APPOINTMENT OF NOT LESS THAN FIVE NOR MORE THAN SEVEN PERSONS AS COMMISSIONERS OF THE AUTHORITY, PROVIDE FOR AT LEAST ONE OF THE COMMISSIONERS TO BE A PERSON WHO IS DIRECTLY ASSISTED BY THE AUTHORITY, PROVIDE FOR EXCEPTIONS, PROVIDE FOR TERMS OF OFFICE OR CONDITIONS FOR SERVICE, AND PROVIDE FOR THE MATTERS WHICH DISQUALIFY THE COMMISSIONER DIRECTLY ASSISTED BY THE AUTHORITY FROM VOTING; TO AMEND SECTION 31-3-370, AS AMENDED, RELATING TO REMOVAL FROM OFFICE OF COMMISSIONERS OF MUNICIPAL HOUSING AUTHORITIES, SO AS TO ADD PROVISIONS REGARDING THE REMOVAL OF THE COMMISSIONER WHO IS DIRECTLY ASSISTED BY THE AUTHORITY; TO AMEND SECTION 31-3-960, RELATING TO THE APPOINTMENT OF COMMISSIONERS OF REGIONAL HOUSING AUTHORITIES, SO AS TO PROVIDE THAT, IF THE AREA OF OPERATION OF SUCH AUTHORITY AT ANY TIME CONSISTS OF AN EVEN NUMBER OF COUNTIES, THE COMMISSIONERS OF THE AUTHORITY APPOINTED BY THE SENATORS OF SUCH COUNTIES SHALL APPOINT NOT LESS THAN ONE NOR MORE THAN THREE PERSONS AS COMMISSIONERS, INSTEAD OF APPOINTING "ONE ADDITIONAL COMMISSIONER" UNDER SUCH CIRCUMSTANCES, PROVIDE THAT AT LEAST ONE OF THESE COMMISSIONERS SO APPOINTED SHALL BE A PERSON WHO IS DIRECTLY ASSISTED BY THE AUTHORITY, PROVIDE FOR EXCEPTIONS, AND PROVIDE FOR RELATED MATTERS CONCERNING THE MEMBER DIRECTLY ASSISTED BY THE AUTHORITY; TO AMEND SECTION 31-3-980, RELATING TO TERMS OF OFFICE OF COMMISSIONERS OF REGIONAL HOUSING AUTHORITIES, SO AS TO PROVIDE THAT THE TERM OF THE COMMISSIONER DIRECTLY ASSISTED BY THE AUTHORITY SHALL CONTINUE AS LONG AS HE REMAINS AN ASSISTED RESIDENT; AND TO AMEND SECTION 31-3-990, RELATING TO REMOVAL OF COMMISSIONERS OF REGIONAL HOUSING AUTHORITIES, SO AS TO PROVIDE THAT THE COMMISSIONER WHO IS DIRECTLY ASSISTED BY THE AUTHORITY MUST REMAIN AS AN ASSISTED RESIDENT IN ORDER TO CONTINUE SERVICE ON THE BOARD OF COMMISSIONERS, AND PROVIDE THAT, IF THIS PERSON VACATES THE ASSISTED HOUSING UNIT OR IS EVICTED THEREFROM, HE SHALL BE AUTOMATICALLY REMOVED FROM THE BOARD WITH NO OPPORTUNITY TO BE HEARD OR TO CONTEST THE REMOVAL.
Rep. BAILEY explained the Bill.
S. 728 (Word version) -- Medical Affairs Committee: A BILL TO AMEND TITLE 44 OF THE CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO HEALTH, BY ADDING CHAPTER 76, THE "SOUTH CAROLINA AUTOMATED EXTERNAL DEFIBRILLATOR ACT".
Rep. WILDER explained the Bill.
H. 3994 (Word version) -- Reps. Barfield, Edge, Keegan, Kelley and Witherspoon: A BILL TO AMEND SECTION 7-7-320, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO VOTING PRECINCTS IN HORRY COUNTY, SO AS TO REDESIGNATE THESE PRECINCTS, DESIGNATE A MAP NUMBER ON WHICH LINES OF THESE PRECINCTS ARE DELINEATED, AND PROVIDE THAT POLLING PLACES FOR THESE PRECINCTS MUST BE DETERMINED BY THE HORRY COUNTY BOARD OF REGISTRATION AND ELECTIONS WITH THE APPROVAL OF A MAJORITY OF THE HORRY COUNTY LEGISLATIVE DELEGATION.
H. 3779 (Word version) -- Reps. Dantzler and Law: A BILL TO AMEND SECTION 41-18-40, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEFINITIONS USED IN THE SOUTH CAROLINA AMUSEMENT RIDERS SAFETY CODE, SO AS TO REVISE THE DEFINITION OF "SERIOUS INJURY" TO INCLUDE DEATH, IMMEDIATE INPATIENT HOSPITALIZATION, FRACTURES, AND DISFIGUREMENTS.
Rep. LAW explained the Bill.
On motion of Rep. BAILEY, with unanimous consent, it was ordered that H. 3888 be read the third time tomorrow.
On motion of Rep. WILDER, with unanimous consent, it was ordered that S. 728 be read the third time tomorrow.
On motion of Rep. KELLEY, with unanimous consent, it was ordered that H. 3994 be read the third time tomorrow.
On motion of Rep. LAW, with unanimous consent, it was ordered that H. 3779 be read the third time tomorrow.
The following Bill was taken up:
H. 3037 (Word version) -- Rep. Miller: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 7 TO TITLE 31 SO AS TO PROVIDE FOR THE ISSUANCE OF INDEBTEDNESS BY COUNTIES IN CONNECTION WITH REDEVELOPMENT PROJECTS AND THE PAYMENT OF SUCH INDEBTEDNESS FROM ADDED INCREMENTS OF TAX REVENUES.
Rep. KIRSH made the Point of Order that the Bill was improperly before the House for consideration since its number and title have not been printed in the House Calendar at least one statewide legislative day prior to second reading.
The SPEAKER sustained the Point of Order.
The following Bill was taken up:
H. 3641 (Word version) -- Reps. Harrison, Seithel, Altman, Wilkins and Edge: A BILL TO AMEND CHAPTER 1, TITLE 6, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO LOCAL GOVERNMENT, BY ADDING ARTICLE 9 SO AS TO PROVIDE FOR THE IMPOSITION OF A DEVELOPMENT IMPACT FEE BY A COUNTY OR MUNICIPALITY BY ORDINANCE; TO PROVIDE FOR AN ADVISORY COMMITTEE FOR RECOMMENDING, AND PROCEDURES FOR ADOPTING, LAND USE ASSUMPTIONS, A CAPITAL IMPROVEMENTS PLAN, AND IMPACT FEES; TO PROVIDE FOR COMPUTATION OF THE PROPORTIONATE SHARE OF COSTS OF NEW PUBLIC FACILITIES NEEDED TO SERVE NEW GROWTH AND DEVELOPMENT; AND TO LIMIT THE USES OF THE REVENUE COLLECTED FROM A DEVELOPMENT IMPACT FEE TO APPLICATION TOWARD THE INCREASED COST OF SERVING NEW GROWTH AND DEVELOPMENT.
Rep. EDGE made the Point of Order that the Bill was improperly before the House for consideration since its number and title have not been printed in the House Calendar at least one statewide legislative day prior to second reading.
The SPEAKER sustained the Point of Order.
The following Bill was taken up:
H. 3359 (Word version) -- Reps. Dantzler, Bailey, R. Smith, Hinson, Rodgers, Witherspoon, Chellis, McKay, McGee, Law, Simrill, Rhoad, Littlejohn and Bowers: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 12-37-224 SO AS TO PROVIDE THAT A MOTOR HOME ON WHICH THE INTEREST PORTION OF INDEBTEDNESS IS DEDUCTIBLE PURSUANT TO THE INTERNAL REVENUE CODE AS AN INTEREST EXPENSE ON A QUALIFIED PRIMARY OR SECOND RESIDENCE IS ALSO A PRIMARY OR SECOND RESIDENCE FOR PURPOSES OF AD VALOREM PROPERTY TAXATION IN THIS STATE AND IS CONSIDERED REAL PROPERTY RATHER THAN PERSONAL PROPERTY FOR PROPERTY TAX PURPOSES.
Rep. WITHERSPOON proposed the following Amendment No. 1 (Doc Name \PSD\AMEND\7441AC99):
Amend the bill, as and if amended, by adding an appropriately numbered SECTION to read:
SECTION __. The 1976 Code is amended by adding:
"Section 12-37-225. A boat on which the interest portion of any indebtedness thereon is or would be deductible under the Internal Revenue Code as an interest expense on a qualified primary or second residence is also deemed to be a primary or second residence for purposes of ad valorem property taxation in this State and as such is considered real rather than personal property for these purposes."
Renumber sections to conform.
Amend totals and title to conform.
Rep. WITHERSPOON explained the amendment.
Rep. COOPER made the Point of Order that the Bill was improperly before the House for consideration since its number and title have not been printed in the House Calendar at least one statewide legislative day prior to second reading.
The SPEAKER sustained the Point of Order.
The following Joint Resolution was taken up:
H. 4007 (Word version) -- Reps. Sheheen, G. Brown and Harris: A JOINT RESOLUTION TO REINSTATE THE SOUTH CAROLINA COMMISSION ON SPORTING DOGS AND FIELD TRIALS TO ASSESS THE IMPACT ON THE STATE FOR DEVELOPING FIELD TRIAL FACILITIES AND TO DEVELOP A PLAN FOR THE FACILITIES; TO PROVIDE FOR THE MEMBERS OF THE COMMISSION AND AN ADVISORY COMMITTEE; TO AUTHORIZE CONSULTATION WITH PUBLIC AND PRIVATE AGENCIES AND ORGANIZATIONS; AND TO PROVIDE REPORTING REQUIREMENTS AND FOR TERMINATION OF THE COMMISSION JANUARY 1, 2002.
Rep. KOON made the Point of Order that the Joint Resolution was improperly before the House for consideration since its number and title have not been printed in the House Calendar at least one statewide legislative day prior to second reading.
The SPEAKER sustained the Point of Order.
Upon the withdrawal of requests for debate by Reps. WHIPPER, HAMILTON and FLEMING the following Bill was taken up:
H. 3404 (Word version) -- Reps. W. McLeod and Scott: A BILL TO PROVIDE FOR NONPARTISAN ELECTIONS FOR MEMBERS OF THE ALLENDALE COUNTY BOARD OF EDUCATION TO BE HELD AT THE TIME OF THE GENERAL ELECTION BEGINNING IN 2000; TO PROVIDE PROCEDURES WHEREBY A PERSON MAY DECLARE HIS CANDIDACY AND WHEREBY THE ELECTIONS ARE CONDUCTED AND RESULTS DETERMINED; TO PROVIDE FOR THE GENERAL POWERS AND DUTIES OF THE BOARD; AND TO PROVIDE FOR THE TERMS OF THE MEMBERS SO ELECTED.
Rep. FLEMING explained the Bill.
The Bill was read the second time and ordered to third reading.
On motion of Rep. W. MCLEOD, with unanimous consent, it was ordered that H. 3404 be read the third time tomorrow.
Rep. RODGERS asked unanimous consent to recall H. 3077 from the Committee on Ways and Means.
Rep. KIRSH objected.
On motion of Rep. RISER, with unanimous consent, the following Bill was ordered recalled from the Committee on Ways and Means:
H. 3894 (Word version) -- Rep. D. Smith: A BILL TO AMEND SECTION 9-8-50, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CREDITED SERVICE AND TRANSFER OF CREDITED SERVICE FOR PURPOSES OF THE RETIREMENT SYSTEM FOR JUDGES AND SOLICITORS, SO AS TO CONFORM THE VESTING REQUIREMENT FOR TRANSFERRING CREDITED SERVICE TO THE SOUTH CAROLINA RETIREMENT SYSTEM FOR A JUDGE OR SOLICITOR WHO ON TERMINATION DOES NOT QUALIFY FOR A BENEFIT UNDER THE JUDICIAL SYSTEM FROM TWELVE YEARS TO THE CURRENT REQUIREMENT FOR VESTING UNDER THE JUDICIAL RETIREMENT SYSTEM OF TEN YEARS FOR JUDGES AND EIGHT YEARS FOR SOLICITORS.
Rep. LIMEHOUSE asked unanimous consent to recall H. 3883 from the Committee on Agriculture, Natural Resources and Environmental Affairs.
Rep. KELLEY objected.
Rep. FLEMING asked unanimous consent to recall H. 3701 from the Committee on Judiciary.
Rep. SHEHEEN objected.
Rep. HAMILTON asked unanimous consent to recall H. 4000 from the Committee on Education and Public Works.
Rep. MOODY-LAWRENCE objected.
Rep. PINCKNEY asked unanimous consent to recall S. 60 from the Committee on Judiciary.
Rep. HARRISON objected.
Rep. SCOTT asked unanimous consent to recall H. 3885 from the Committee on Ways and Means.
Rep. H. BROWN objected.
Rep. KNOTTS asked unanimous consent to recall H. 3681 from the Committee on Medical, Military, Public and Municipal Affairs.
Rep. KENNEDY objected.
On motion of Rep. COTTY, with unanimous consent, the following Bill was ordered recalled from the Committee on Judiciary:
H. 3128 (Word version) -- Reps. Cotty, Edge, Moody-Lawrence and Meacham: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 16-23-435 SO AS TO PROVIDE THAT IT IS UNLAWFUL TO DISCHARGE A FIREARM WITHIN A RADIUS OF ONE-HALF MILE OF A SCHOOL UNDER CERTAIN CIRCUMSTANCES, AND TO PROVIDE A PENALTY.
Rep. D. SMITH asked unanimous consent to recall H. 3041 from the Committee on Education and Public Works.
Rep. TOWNSEND objected.
Rep. LLOYD asked unanimous consent to recall H. 3005 from the Committee on Ways and Means.
Rep. H. BROWN objected.
The Senate amendments to the following Joint Resolution were taken up for consideration:
H. 3697 (Word version) -- Ways and Means Committee: A JOINT RESOLUTION TO APPROPRIATE MONIES FROM THE CAPITAL RESERVE FUND FOR FISCAL YEAR 1998-99.
Rep. H. BROWN moved to adjourn debate on the Senate amendments, which was agreed to.
The Senate amendments to the following Bill were taken up for consideration:
H. 3696 (Word version) -- Ways and Means Committee: THE GENERAL APPROPRIATION BILL (Abbreviated Title)
Rep. H. BROWN moved to adjourn debate on the Senate amendments, which was agreed to.
The Senate amendments to the following Bill were taken up for consideration:
S. 36 (Word version) -- Senators Waldrep, Elliott, Ryberg and Reese: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 2-20-25 SO AS TO REQUIRE A PERSON SERVING IN AN OFFICE ELECTED BY THE GENERAL ASSEMBLY WHO IS NOT SEEKING REELECTION TO GIVE WRITTEN NOTICE OF SUCH TO THE JOINT COMMITTEE FOR THE REVIEW OF CANDIDATES.
Rep. FLEMING explained the Senate amendment.
The Senate amendments were agreed to, and the Bill having received three readings in both Houses, it was ordered that the title be changed to that of an Act and that it be enrolled for Ratification:
The Senate amendments to the following Bill were taken up for consideration:
H. 3158 (Word version) -- Reps. Campsen, Knotts, R. Smith, Loftis, Barfield, Tripp, Altman, Wilder, Easterday, Edge, Harrison, Robinson, Wilkins, J. Brown, Miller, Hamilton, Barrett, Rice, Cato, J. Smith, Delleney, Gilham, Lourie, Rhoad, Bailey, Sharpe, Kirsh, Bales, Jennings, M. Hines, Neilson, Kennedy, Cobb-Hunter, Ott, Hayes, Gourdine, J. Hines, Inabinett, Breeland, Lee, Moody-Lawrence, F. Smith, McMahand, Mack, Maddox, Riser, Simrill, Sandifer and Leach: A BILL TO AMEND TITLE 1, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE ADMINISTRATION OF GOVERNMENT, BY ADDING CHAPTER 32 SO AS TO ENACT THE "SOUTH CAROLINA RELIGIOUS FREEDOM ACT" UNDER WHICH THE STATE OF SOUTH CAROLINA AND ANY POLITICAL SUBDIVISION OF THE STATE IS PROHIBITED FROM BURDENING A PERSON'S CONSTITUTIONAL EXERCISE OF RELIGION EXCEPT UNDER CERTAIN CONDITIONS AND UNDER WHICH A PERSON WHOSE EXERCISE OF RELIGION HAS BEEN BURDENED IN VIOLATION OF THIS CHAPTER MAY ASSERT THAT VIOLATION AS A CLAIM OR DEFENSE IN A JUDICIAL PROCEEDING AND OBTAIN APPROPRIATE RELIEF AGAINST THE STATE OR ANY POLITICAL SUBDIVISION OF THE STATE.
Reps. CAMPSEN and HARRISON proposed the following Amendment No. 1A (Doc Name \BBM\AMEND\9289SOM99), which was adopted.
Amend the bill, as and if amended, in Section 1, page 3, beginning on line 14, by striking Section 1-32-45 in its entirety and inserting:
/ Section 1-32-45. This chapter does not affect the application of and must be applied in conjunction with Chapter 27 of Title 24, concerning inmate litigation. /
Amend the bill further, as and if amended, page 4, line 19, by striking Section 2 in its entirety and inserting:
/ SECTION 2. Chapter 27 of Title 24 of the 1976 Code, as added by Act No. 455 of 1996, is amended by adding:
Section 24-27-500. For the purposes of Chapter 32 of Title 1:
(A) A state or local correctional facility's regulation must be considered 'in furtherance of a compelling state interest' if the facility demonstrates that the religious activity:
(1) sought to be engaged by a prisoner is presumptively dangerous to the health or safety of that prisoner; or
(2) poses a direct threat to the health, safety, or security of other prisoners, correctional staff, or the public.
(B) A state or local correctional facility regulation may not be considered the 'least restrictive means' of furthering a compelling state interest if a reasonable accommodation can be made to protect the safety or security of prisoners, correctional staff, or the public." /
Amend title to conform.
Rep. CAMPSEN explained the amendment.
The amendment was then adopted.
The Senate amendments, as amended, were then agreed to and the Bill was ordered returned to the Senate.
The Senate amendments to the following Joint Resolution were taken up for consideration:
S. 620 (Word version) -- Senators Martin, J. Verne Smith, Bryan, Giese, Leventis, Wilson, Alexander, Waldrep and Courson: A JOINT RESOLUTION TO PROHIBIT THE DEPARTMENT OF PUBLIC SAFETY FROM SELLING, OR OTHERWISE FURNISHING, SOCIAL SECURITY NUMBERS, DIGITIZED PHOTOGRAPHS, AND DIGITIZED SIGNATURES, AND TO PROHIBIT ANY PRIVATE PERSON OR ENTITY FROM USING AN ELECTRONICALLY-STORED VERSION OF THE PHOTOGRAPH, SOCIAL SECURITY NUMBER, OR SIGNATURE OF ANY PERSON FOR ANY PURPOSE, WHEN SUCH ELECTRONICALLY-STORED INFORMATION WAS OBTAINED FROM A DRIVER'S LICENSE RECORD.
Rep. KLAUBER explained the Senate amendment.
The Senate amendments were agreed to, and the Joint Resolution having received three readings in both Houses, it was ordered that the title be changed to that of an Act and that it be enrolled for Ratification.
The following Bill was taken up, read the third time, and ordered sent to the Senate:
H. 3620 (Word version) -- Reps. J. Smith, Allen, Bailey, Bales, Battle, Bowers, Breeland, J. Brown, T. Brown, Carnell, Cobb-Hunter, Emory, Gourdine, Harris, Hayes, M. Hines, Howard, Inabinett, Jennings, Kennedy, Lee, Lourie, Mack, Maddox, McCraw, M. McLeod, W. McLeod, McMahand, Miller, Moody-Lawrence, Neal, Neilson, Ott, Phillips, Pinckney, Rhoad, Sheheen, Whipper, Wilder, Wilkes, Scott, Lloyd and J. Hines: A BILL TO AMEND TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EDUCATION, BY ADDING CHAPTER 152 SO AS TO ENACT THE "SOUTH CAROLINA FIRST STEPS TO SCHOOL READINESS ACT" WHICH INCLUDES PROVISIONS FOR EXPANDED PARENTAL AND MATERNITY CARE, ADDITIONAL NUTRITION AND HEALTH CARE FOR CHILDREN, AND INCENTIVES FOR APPROPRIATE PRESCHOOL PROGRAMS; TO AMEND ARTICLE 17, CHAPTER 7, TITLE 20 OF THE 1976 CODE, RELATING TO THE CHILDREN'S TRUST FUND OF SOUTH CAROLINA, SO AS TO CHANGE THE NAME OF THE FUND TO CHILDREN'S FIRST STEPS TRUST FUND, PROVIDE THAT IT SHALL OVERSEE THE FIRST STEPS TO SCHOOL READINESS ACT, AND FURTHER PROVIDE FOR ITS GOVERNING BOARD, FUNCTIONS, DUTIES, AND FUNDING; TO ADD SECTIONS 43-1-240, 43-3-120, AND 44-1-280 SO AS TO PROVIDE THAT THE DEPARTMENT OF SOCIAL SERVICES, AND EACH COUNTY BOARD AND OFFICE OF SOCIAL SERVICES, AND THE BOARD AND DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL, IN ESTABLISHING PRIORITIES AND FUNDING FOR PROGRAMS AND SERVICES WHICH IMPACT ON CHILDREN AND FAMILIES DURING THE FIRST YEARS OF A CHILD'S LIFE MUST SUPPORT THE FIRST STEPS TO SCHOOL READINESS ACT AT THE STATE AND LOCAL LEVELS; TO STATE THE INTENT OF THE GENERAL ASSEMBLY THAT STATE AGENCIES SUPPORT THE FIRST STEPS TO SCHOOL READINESS ACT; TO REQUIRE THE CODE COMMISSIONER TO REVISE REFERENCES IN THE SOUTH CAROLINA CODE TO CONFORM TO THIS ACT, AS FEASIBLE; AND TO PROVIDE THAT THE TERMS OF BOARD MEMBERS OF THE CHILDREN'S TRUST FUND OF SOUTH CAROLINA EXPIRE ON THIS ACT'S EFFECTIVE DATE.
The motion period was dispensed with on motion of Rep. RICE.
Rep. HARRISON moved that the House recur to the morning hour, which was agreed to.
The following Bill was introduced, read the first time, and referred to appropriate committee:
H. 4019 (Word version) -- Rep. Mason: A BILL TO AMEND SECTION 39-57-20, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DEFINITION OF "BUSINESS OPPORTUNITY", SO AS TO REDEFINE "BUSINESS OPPORTUNITY" AND PROVIDE A DEFINITION FOR "GUARANTEE", TO AMEND SECTION 39-57-50, AS AMENDED, RELATING TO REGISTRATION AND FILING OF INFORMATION WITH THE SECRETARY OF STATE, SO AS TO REQUIRE REGISTRATION AND FILING OF REGISTRATION STATEMENTS BY SELLERS OF BUSINESS OPPORTUNITIES, TO AMEND SECTION 39-57-55, AS AMENDED, RELATING TO REGISTRATION PERIODS, SO AS TO PROVIDE THAT THE SECRETARY OF STATE MAY INVESTIGATE OFFERS TO SELL AND SALES OF BUSINESS OPPORTUNITIES FOR VIOLATIONS OF THE BUSINESS OPPORTUNITY SALES ACT, TO PROVIDE FOR NOTICE OF VIOLATIONS OF THE BUSINESS OPPORTUNITY SALES ACT, ADMINISTRATIVE FINES, AND EVIDENTIARY HEARINGS IN CONNECTION WITH ADMINISTRATIVE FINES UNDER THE ADMINISTRATIVE PROCEDURES ACT, TO AMEND CHAPTER 57, TITLE 39, RELATING TO THE SALE OF BUSINESS OPPORTUNITIES BY ADDING SECTION 39-57-57, SO AS TO PROVIDE FOR THE APPLICATION OF THE BUSINESS OPPORTUNITY SALES ACT TO THE SALE OF BUSINESS OPPORTUNITIES IN THIS STATE; AND BY ADDING SECTION 39-57-90, SO AS TO PROVIDE THAT THE FIRST TWO HUNDRED THOUSAND DOLLARS IN ADMINISTRATIVE FINE REVENUE EACH FISCAL YEAR MAY BE RETAINED BY THE SECRETARY OF STATE TO OFFSET THE EXPENSES OF ENFORCING THIS CHAPTER, AND TO PROVIDE FOR FURTHER DISPOSITION OF ADMINISTRATIVE FINE REVENUE.
Referred to Committee on Labor, Commerce and Industry
On motion of Rep. TAYLOR, with unanimous consent, the following was taken up for immediate consideration:
H. 4020 (Word version) -- Rep. Taylor: A HOUSE RESOLUTION TO EXTEND THE PRIVILEGE OF THE FLOOR OF THE HOUSE OF REPRESENTATIVES TO THE BASKETBALL TEAM, COACHES, SUPPORT PERSONNEL, AND OFFICIALS OF LAURENS DISTRICT 55 HIGH SCHOOL LADY RAIDERS BASKETBALL TEAM, ON TUESDAY, MAY 4, 1999, FOR THE PURPOSE OF BEING RECOGNIZED AND CONGRATULATED ON WINNING THE 1999 CLASS AAAA STATE BASKETBALL CHAMPIONSHIP.
Be it resolved by the House of Representatives:
That the privilege of the floor of the House of Representatives be extended to the basketball team, coaches, support personnel, and officials of Laurens District 55 High School Lady Raiders Basketball Team, on Tuesday, May 4, 1999, for the purpose of being recognized and congratulated on winning the 1999 Class AAAA state basketball championship.
The Resolution was adopted.
The following was introduced:
H. 4021 (Word version) -- Reps. Taylor, Wilder and Carnell: A CONCURRENT RESOLUTION TO HONOR THE LAURENS DISTRICT 55 HIGH SCHOOL LADY RAIDERS BASKETBALL TEAM FOR THEIR SECOND STATE BASKETBALL TITLE IN AS MANY YEARS.
The Concurrent Resolution was agreed to and ordered sent to the Senate.
The Senate amendments to the following Joint Resolution were taken up for consideration:
H. 3697 (Word version) -- Ways and Means Committee: A JOINT RESOLUTION TO APPROPRIATE MONIES FROM THE CAPITAL RESERVE FUND FOR FISCAL YEAR 1998-99.
Rep. H. BROWN proposed the following Amendment No. 1A (Doc Name PT\AMEND\1500DW99), which was adopted.
Amend the resolution, as and if amended, by striking SECTION 1 and inserting:
/ SECTION 1. In accordance with the provisions of Article III, Section 36(B)(2) and (3), Constitution of South Carolina, 1895, and Section 11-11-320(C) and (D) of the 1976 Code, there is appropriated from the monies available in the Capital Reserve Fund for fiscal year 1998-99 the following amounts:
(1) Aid to Subdivisions - Local
Government Fund(maintain
FY 1998-99 funding level) 6,500,000
(2) Commission on Higher Education
Institutional Funding 39,000,000
(3) Department of Health and
Human Services
(a) Edgefield County Hospital
Wellness Center 300,000
(b) Phyllis Wheatley
Community Center Capital
Campaign - Greenville 200,000
(4) Department of Public Safety
(a) DMV Computer System 10,000,000
(b) Trooper Class, Vehicles
and Equip 6,562,283
(5) Department of Health
and Environmental Control
SC Beach Restoration
and ImprovementTrust Act 3,000,000
(6) Department of Mental Health
Beckman Community
Mental Health Center 2,400,000
(7) Commission for the Blind
(a) Facilities Upgrade 38,358
(b) Building Renovation/
Maintenance 230,000
(8) Department of Commerce
(a) Advertising 1,950,000
(b) Lake Marion Regional
Water Project 2,000,000
(c) Spartanburg Renaissance
Project 2,000,000
(d) Columbia Conference
Center 2,500,000
(e) Union County
Airport Improvements 500,000
(9) Forestry Commission
(a) Headquarters Roof 80,000
(b) Headquarters HVAC
System 198,000
(10) Department of
Natural Resources
(a) Aircraft Maintenance 95,000
(b) MRD: Maintenance
and Equipment 530,000
(c) Statewide Boat
Ramp Maintenance 50,000
(d) Lake Ashwood Facility 50,000
(11) Department of Corrections
(a) Inmate Clothing,
Pillows/Mattresses,
Legal Library 2,000,000
(b) Institutional
Maintenance 2,000,000
(c) Transportation/
Communication
Equipment 1,558,050
(12) Department of Probation,
Parole, and Pardon
Services
Safety Equipment
for Agents 247,907
(13) Human Affairs Commission
Computer System -
Y2K Compliance 95,697
(14) Commission on Minority
Affairs
(a) Relocation Funding 24,788
(b) Men's Service Centers 13,891
(15) Governor's Office -
Mansion and Grounds
Mansion Renovation 2,604,224
(16) State Treasurer
Y2K Compliance 119,350
(17) Election Commission
(a) Year 2000 Primary
and Runoff 1,673,440
(b) Automated Voting
System (Orangeburg
County) 280,000
(18) Budget and Control Board
(a) Division of Budget and
Analyses Confederate
Relic Room - Relocation/
Building Renovation 451,880
(b) Division of Regional
Development
(1) Water and Sewer
for Newry 600,000
(2) Anderson County
Broadway Lake
Revitalization
Project 1,000,000
(19) State Ethics Commission
(a) Computer System 52,000
(b) Executive Director
Retirement Payout 11,454
(20) Department of Agriculture
(a) Lexington Livestock
Arena 250,000
(b) Coker Experimental
Seed Farm Preservation 350,000
(21) Patriots Point
Development Authority
Cold War Submarine
Memorial 250,000
TOTAL $91,766,322/
Renumber sections to conform.
Amend totals and title to conform.
Rep. H. BROWN explained the amendment.
The amendment was then adopted.
The Senate amendments, as amended, were then agreed to and the Joint Resolution was ordered returned to the Senate.
The Senate amendments to the following Bill were taken up for consideration:
H. 3696 (Word version) -- Ways and Means Committee: THE GENERAL APPROPRIATION BILL (Abbreviated Title)
Rep. SHEHEEN proposed the following Amendment No. 1A (Doc Name \dka\amend\3303mm99.doc), which was rejected.
Amend the bill, as and if amended, PART II, by adding an appropriately numbered SECTION to read:
TO AMEND SECTIONS 12-21-2710, AS AMENDED, 12-21-2712, 12-21-2720, AS AMENDED, AND 12-21-2726, AS AMENDED, OF THE 1976 CODE, RELATING TO COIN-OPERATED MACHINES OR DEVICES, SO AS TO EXTEND THE PROHIBITION ON SLOT MACHINES AND OTHER MACHINES OR DEVICES PERTAINING TO GAMES OF CHANCE TO VIDEO GAMES WITH A FREE PLAY FEATURE OR ANY OTHER COIN-OPERATED MACHINE OR DEVICE USED FOR GAMBLING AND PROVIDE FOR THE ENFORCEMENT OF THIS SECTION, TO EXTEND THE SEIZURE AND DESTRUCTION PROVISIONS APPLICABLE TO GAMES OF CHANCE TO THESE EXPANDED PROHIBITIONS, TO CONFORM EXISTING LICENSING REQUIREMENTS FOR COIN-OPERATED MACHINES AND DEVICES TO THESE EXPANDED PROHIBITIONS AND TO DELETE REFERENCES TO PROVISIONS OF LAW REPEALED BY THIS SECTION; TO AMEND SECTION 12-54-40, AS AMENDED, RELATING TO TAX CRIMES AND PENALTIES, SO AS TO DELETE THE OFFENSE OF OPERATING AN UNMETERED VIDEO GAME WITH A FREE PLAY FEATURE; TO AMEND SECTIONS 16-19-40 AND 16-19-50, RELATING TO THE OFFENSE OF GAMBLING, SO AS TO EXTEND THESE OFFENSES SPECIFICALLY TO PLAYING OR MAINTAINING ANY LICENSED COIN-OPERATED MACHINE OR DEVICE USED FOR GAMBLING PURPOSES; AND TO REPEAL SECTIONS 12-21-2703, 16-19-60, AND ARTICLE 20, CHAPTER 21 OF TITLE 12, RELATING RESPECTIVELY TO THE RETAIL LICENSE REQUIREMENT FOR A LOCATION WITH VIDEO GAMES WITH A FREE PLAY FEATURE, THE EXEMPTION OF VIDEO GAMES WITH A FREE PLAY FEATURE FROM THE GAMBLING OFFENSES, AND THE VIDEO GAMES MACHINES ACT.
A. Section 12-21-2710 of the 1976 Code, as amended by Act 155 of 1997, is further amended to read:
"Section 12-21-2710. It is unlawful for any person to keep on his premises or operate or permit to be kept on his premises or operated within this State any vending or slot machine, or any video game machine with a free play feature operated by a slot in which is deposited a coin or thing of value, or other device operated by a slot in which is deposited a coin or thing of value for the play of poker, blackjack, keno, lotto, bingo, or craps, or any machine or device licensed pursuant to Section 12-21-2720 and used for gambling or any punch board, pull board, or other device pertaining to games of chance of whatever name or kind, including those machines, boards, or other devices that display different pictures, words, or symbols, at different plays or different numbers, whether in words or figures or, which deposit tokens or coins at regular intervals or in varying numbers to the player or in the machine, but the provisions of this section do not extend to coin-operated nonpayout pin tables, in-line pin games, and video games with free play feature which meet the technical requirements provided for in Section 12-21-2782 and Section 12-21-2783, or to automatic weighing, measuring, musical, and vending machines which are constructed as to give a certain uniform and fair return in value for each coin deposited and in which there is no element of chance.
Any person violating the provisions of this section is guilty of a misdemeanor and, upon conviction, must be fined not more than five hundred dollars or imprisoned for a period of not more than one year, or both. The Department of Revenue, the State Law Enforcement Division, and other law enforcement agencies having appropriate jurisdiction shall enforce the provisions of this section."
B. Section 12-21-2712 of the 1976 Code is amended to read:
"Section 12-21-2712. Any vending or slot machine, punch board, or other device pertaining to games of chance prohibited by Section 12-21-2710 must be seized by any officer of the law law enforcement officer and at once taken before any magistrate of the county in which the machine, board, or device is seized who shall immediately examine it, and if he is satisfied that it is in violation of Section 12-21-2710 or any other law of this State, he shall direct that it be immediately destroyed."
C. Section 12-21-2720(A)(3) of the 1976 Code, as last amended by Section 148, Act 181 of 1993, is further amended to read:
"(3) a machine of the nonpayout type, or in-line pin game, or video game with free play feature operated by a slot in which is deposited a coin or thing of value except machines of the nonpayout pin table type with levers or 'flippers' operated by the player by which the course of the balls may be altered or changed."
D. Section 12-21-2720(C) of the 1976 Code, as last amended by Act 145 of 1995, is further amended to read:
"(C) The owner or operator of any coin-operated device which is exempt from Section 16-19-60 and is subject to licensing under Section 12-21-2720(A)(3) and which has multi-player stations, shall purchase a separate license for each such station and any such multi-player station counts as a machine when determining the number of machines authorized for licensure under Section 12-21-2804(A)."
E. Section 12-21-2720 of the 1976 Code, as last amended by Act 155 of 1997, is further amended by deleting subsections (E) and (F), which read:
"(E) The department shall not issue a license for the operation of a video game with a free play feature which is located or intended to be located on a watercraft or vessel plying the territorial waters of this State.
(F) Four hundred dollars of the four thousand dollar license fee imposed in subsection (A) may be retained by the department and expended in budgeted operations for the implementation and ongoing operation of the monitoring system required by law or in other programs and services as the director may determine necessary and appropriate."
F. Section 12-21-2726 of the 1976 Code, as last amended by Act 164 of 1993, is further amended to read:
"Section 12-21-2726. Every person who maintains for use or permits the use of, on a place or premises occupied by him, a machine subject to the license imposed by this article by way of proof of licensing must have a current license displayed conspicuously on the front of the machine. Except for the provisions of Sections 12-21-2774 and 12-21-2776, each machine licensed pursuant to this section must be operated in a stand-alone fashion and may not be linked in any way to another coin-operated machine or device."
G. Section 12-54-40 of the 1976 Code, as last amended by Act 387 of 1998, is further amended by deleting subsection (M) which reads:
"(M) A machine owner or distributor, as defined in Article 20, Chapter 21 of this title, who allows or causes a machine to be operated without a metering device, or who wilfully places a machine on location or who wilfully allows or causes a machine to be operated with a metering device that does not accurately record the information required under Article 20, Chapter 21 of this title is guilty of a felony and, upon conviction, must be imprisoned for not less than one year nor more than ten years, without benefit of probation, parole, or suspension of sentence, and in addition may be fined not more than twenty-five thousand dollars."
H. Section 16-19-40 of the 1976 Code is amended to read:
"Section 16-19-40. If any person shall play at any tavern, inn, store for the retailing of spirituous liquors or in any house used as a place of gaming, barn, kitchen, stable or other outhouse, street, highway, open wood, race field or open place at (a) any game with cards or dice, (b) any gaming table, commonly called A, B, C, or E, O, or any gaming table known or distinguished by any other letters or by any figures, (c) any roley-poley table, (d) rouge et noir, (e) any faro bank or (f) any other table or bank of the same or the like kind under any denomination whatsoever or (g) any machine or device licensed pursuant to Section 12-21-2720 and used for gambling purposes, except the games of billiards, bowls, backgammon, chess, draughts or whist when there is no betting on any such game of billiards, bowls, backgammon, chess, draughts or whist, or shall bet on the sides or hands of such as do game, upon being convicted thereof, before any magistrate, shall be imprisoned for a period of not over thirty days or shall suffer a fine of fined not over one hundred dollars, and every person so keeping such tavern, inn, retail store, public place or house used as a place for gaming or such other house shall, upon being convicted thereof, upon indictment, be imprisoned for a period not exceeding twelve months and forfeit a sum not exceeding two thousand dollars, for each and every offense."
I. Section 16-19-50 of the 1976 Code is amended to read:
"Section 16-19-50. Any person who shall set up, keep or use any (a) gaming table, commonly called A, B, C, or E, O, or any gaming table known or distinguished by any other letters or by any figures, (b) roley-poley table, (c) table to play at rouge et noir, (d) faro bank or (e) any other gaming table or bank of the like kind or of any other kind for the purpose of gaming, or (f) any machine or device licensed pursuant to Section 12-21-2720 and used for gambling purposes except the games of billiards, bowls, chess, draughts and backgammon, upon being convicted thereof, upon indictment, shall forfeit a sum not exceeding five hundred dollars and not less than two hundred dollars."
J. Of the funds appropriated to the Employment Security Commission under the Unemployment Insurance Program for other operating expenses, the Commission shall provide assistance to employees of owners or operators of any coin-operated devices who lose their jobs as a result of the loss of revenue caused by this act. Assistance provided shall include individualized re-employment services such as job counseling, job search, and placement of those who have transferable job skills. For those who do not have transferable job skills, occupational training must be made available at no cost to the individuals.
K. Sections 12-21-2703, 16-19-60, and Article 20, Chapter 21 of Title 12, all of the 1976 Code are repealed.
L. Section J takes effect July 1, 1999, the remaining sections take effect June 1, 2000. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. SHEHEEN explained the amendment.
Rep. JENNINGS spoke against the amendment.
Rep. ALTMAN spoke in favor of the amendment.
Rep. DELLENEY spoke in favor of the amendment.
Rep. DELLENEY continued speaking.
Rep. J. SMITH inquired about the existence of an amendment which would in effect amend the Bill back to the House version of the Appropriations Bill.
SPEAKER PRO TEMPORE HASKINS stated that the amendment which would amend the Bill back to the House version of the Appropriations Bill was on the desk to be taken up.
Rep. DELLENEY continued speaking.
Rep. SHEHEEN inquired as to whether Amendment 1A, if adopted, would stand or would Amendment 2A, if adopted, strike the Senate version of the Appropriation Bill along with the previously adopted Amendment 1A.
SPEAKER PRO TEMPORE HASKINS stated that Amendment 2A merely struck the Senate version and inserted the House version of the Appropriation Bill and that Amendment 1A, if adopted, would be cumulative and would remain.
Rep. KELLEY moved to table the amendment.
Rep. SHEHEEN demanded the yeas and nays, which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Allison Askins Bailey Barfield Battle Bowers Breeland Brown G. Brown H. Brown J. Chellis Cobb-Hunter Cotty Dantzler Edge Harrell Harrison Harvin Hayes Hines J. Hinson Howard Inabinett Jennings Keegan Kelley Kennedy Knotts Law Lee Limehouse Lloyd Lourie Mack Maddox McLeod M. McLeod W. Ott Parks Quinn Rhoad Rodgers Rutherford Sandifer Scott Seithel Smith D. Smith J. Stuart Taylor Whatley Whipper Wilder Wilkes Wilkins Woodrum Young-Brickell
Those who voted in the negative are:
Altman Bales Barrett Brown T. Campsen Canty Carnell Cato Cooper Davenport Delleney Easterday Emory Fleming Gamble Gilham Gourdine Govan Hamilton Harris Haskins Hawkins Hines M. Kirsh Klauber Koon Leach Littlejohn Loftis Lucas Martin Mason McCraw McGee McKay McMahand Meacham Miller Moody-Lawrence Neal Neilson Phillips Pinckney Rice Riser Robinson Sharpe Sheheen Simrill Smith F. Smith R. Stille Townsend Tripp Trotter Vaughn Webb Witherspoon
So, the House refused to table the amendment.
Rep. SIMRILL spoke in favor of the amendment.
Rep. EMORY spoke in favor of the amendment.
Rep. WILKES spoke against the amendment.
Rep. WILKES continued speaking.
Rep. HAWKINS spoke in favor of the amendment.
Rep. MEACHAM spoke in favor of the amendment.
Rep. MEACHAM continued speaking.
Rep. JENNINGS inquired about the potential effect of the adoption of forthcoming Amendment 3A which would have the effect of conflicting with some of the code sections that were amended by pending Amendment 1A.
SPEAKER WILKINS stated that any forthcoming amendments, which would be in conflict with code sections adopted in prior amendments, would have the effect of superseding and invalidating the prior amendment. The Speaker further stated that it appeared that Amendment 3A, if adopted, would supersede pages 3 through 9 of Amendment 1A.
The question then recurred to the adoption of the amendment.
Rep. EASTERDAY demanded the yeas and nays, which were taken, resulting as follows:
Those who voted in the affirmative are:
Altman Bales Barrett Beck Campsen Canty Carnell Cato Cooper Delleney Easterday Emory Fleming Gamble Gilham Gourdine Govan Hamilton Harris Haskins Hawkins Hines M. Kirsh Klauber Koon Leach Littlejohn Loftis Lucas Martin Mason McCraw McGee McKay McMahand Meacham Moody-Lawrence Neal Neilson Phillips Pinckney Rice Riser Robinson Sharpe Sheheen Simrill Smith F. Smith R. Stille Tripp Trotter Vaughn Walker Webb Witherspoon
Those who voted in the negative are:
Allen Allison Askins Bailey Barfield Battle Bowers Breeland Brown G. Brown H. Brown J. Brown T. Chellis Cobb-Hunter Cotty Dantzler Davenport Edge Harrell Harrison Harvin Hayes Hines J. Hinson Howard Inabinett Jennings Keegan Kelley Kennedy Knotts Law Lee Limehouse Lloyd Lourie Mack Maddox McLeod M. McLeod W. Miller Ott Parks Quinn Rhoad Rodgers Rutherford Sandifer Scott Seithel Smith D. Smith J. Stuart Taylor Townsend Whatley Whipper Wilder Wilkes Wilkins Woodrum Young-Brickell
So, the amendment was rejected.
Rep. H. BROWN proposed the following Amendment No. 2A (Doc Name GJK\AMEND\20642HTC99), which was adopted.
Amend the bill, as and if amended, by striking PART IA as passed by the Senate and inserting PART IA as passed by the House.
Amend further, as and if amended, by striking PART IB as passed by the Senate and inserting PART IB as passed by the House except that Paragraph 72.83 is deleted and a new paragraph 72.88 is added at the end to read:
/72.88 (GP: Local Government Study) A local government funding system study shall be undertaken by the Comptroller General. The Center for Governance of the University of South Carolina's Institute of Public Affairs shall provide staffing for the project./
Amend further, as and if amended, by striking PART II as passed by the Senate and inserting Part II as passed by the House except that there is added at the end of PART II as passed by the House:
TO AMEND SECTION 12-36-2120, AS AMENDED, OF THE 1976 CODE, RELATING TO SALES AND USE TAX EXEMPTIONS, SO AS TO PHASE IN AN EXEMPTION FOR FOOD ITEMS WHICH LAWFULLY MAY BE PURCHASED WITH UNITED STATES DEPARTMENT OF AGRICULTURE FOOD COUPONS, TO PROVIDE FOR THE USE OF THE REVENUE FROM THE REDUCED RATES OF TAX DURING THE PHASE-IN PERIOD, TO PROVIDE THAT GENERAL FUND REVENUES MUST BE CREDITED TO THE EIA FUND IN FISCAL YEARS 1999-00 THROUGH 2003-04 TO ENSURE THAT EIA REVENUES ATTRIBUTABLE TO FOOD SALES ARE NOT LESS THAN SUCH REVENUES IN FISCAL YEAR 1998-99, AND TO PROVIDE FOR THE APPLICATION OF LOCAL SALES AND USE TAXES ON SALES AND CONSUMPTION OF THESE FOOD ITEMS REGARDLESS OF THE STATE EXEMPTION FOR THESE ITEMS.
A. Section 12-36-2120 of the 1976 Code is amended by adding an appropriately numbered item at the end to read:
"( ) effective January 1, 2004, food items eligible for purchase with United States Department of Agriculture food coupons, not including restaurant meals, but this exemption does not apply to local sales and use taxes except where such taxes specifically exempt these items."
B. Notwithstanding the rates of tax imposed pursuant to Chapter 36, Title 12 of the 1976 Code, the rate of tax imposed pursuant to that chapter on the gross proceeds of sales, or the sale price of food items eligible for purchase with United States Department of Agriculture food coupons, not including restaurant meals, is four percent for sales or consumption from January 1, 2000, through December 31, 2000, three percent for such sales or consumption from January 1, 2001, through December 31, 2001, two percent for such sales or consumption from January 1, 2002, through December 31, 2002, and one percent for such sales or consumption from January 1, 2003, through December 31, 2003. For fiscal years 1999-00 through 2003-04, general fund revenues must be credited to the EIA fund in amounts sufficient to ensure that EIA revenues attributable to food sales are not less than the amount of such revenues in fiscal year 1998-99. Eighty percent of the revenues from sales taxes imposed by this section must be credited to the general fund of this State and used as sales taxes are used, and the remainder must be credited to the Education Improvement Act Fund. Except where otherwise exempt, the local sales and use taxes authorized by law continue to apply to those sales subject to the reduced state rate of tax provided in this section. /
Amend further, as and if amended, by striking PART III as passed by the Senate and inserting:
SUPPLEMENTAL APPROPRIATIONS OF SURPLUS FISCAL YEAR 1997-98 GENERAL FUND REVENUES.
SECTION 1. The following sums are appropriated from fiscal year 1997-98 surplus general fund revenues for the purposes stated:
(1) SC State Ports Authority
Charleston Harbor Dredging 24,000,000
(2) Higher Education Tuition Grants
Tuition Grants Increase 600,000
(3) Board for Technical and Comprehensive
Education
Special Schools - Annualization 1,000,000
(4) Department of Health and Human Services
Medicaid - Continuation of FY 1998-99
Funding 20,000,000
(5) Department of Social Services
Emotionally Disturbed Children -
Annualization 5,500,000
(6) Citadel
Continuation of Assimilation of Women 772,500
(7) Clemson Municipal Services 1,117,000
(7.1) The funds appropriated for municipal services must be used to pay for the unique costs for maintenance of municipal corporation services including personnel, operations, equipment and facilities necessary for a municipal court, fire protection, and emergency medical services.
(8) Commission for the Blind
Building Renovation for Projects with Industry 250,000
(9) Dept. of Corrections
Operating Funds for Four 256-Bed Additions 3,175,754
Correctional Officer Pay Increase - 3% 3,900,000
(10) Division of Regional Development
Local Government Grant Fund 4,000,000
(11) Arts Commission
Grantmaking 600,000
(12) Matching Funds for FEMA Assistance 863,381
(13) Judicial Department
Information Technology 343,200
(13.1) (Supplemental Carry Forward) These funds originally appropriated to the department by SECTION 2 (22)(b), Part III, Act 155 of 1997, for Judicial Commitment are by this item reappropriated to the department for the purpose stated.
Total Appropriations 66,121,835
SECTION 2. Unexpended funds appropriated pursuant to this part may be carried forward to succeeding fiscal years and used for the same purposes. /
Amend further, as and if amended, by striking PART IV as passed by the Senate and inserting:
SUPPLEMENTAL APPROPRIATIONS OF SURPLUS FISCAL YEAR 1998-99 GENERAL FUND REVENUES AND TAXING THE NET MACHINE INCOME OF VIDEO MACHINES WITH A FREE PLAY FEATURE AND APPROPRIATING CERTAIN OF THESE REVENUES..
SECTION 1. The source of general fund revenues appropriated in Section 2 of this part are:
(1) Fiscal year 1998-99 projected surplus 127,484,984
(2) Unemployment compensation fund 9,566,170
(3) Excess debt service appropriated for
fiscal year 1998-99 4,651,107
Total, All sources 141,702,261
SECTION 2. The following sources are appropriated from 1998-99 surplus general fund revenues for the purpose stated to the extent that unobligated surplus revenues are available:
(1) General Reserve Fund Contribution
(3 percent FY 1997-98 Revenue) 7,721,564
(2) Department of Parks, Recreation and Tourism
(a) Alternative Funding Plan 7,000,000
(b) US Youth Games 25,000
(c) PRT Grants 6,900,000
(3) State Tech: Motorcycle Safety Education 100,000
(2.1) (Robert Mills Courthouse) The Department of Parks, Recreation and Tourism shall provide $250,000 in state funds to match $500,000 in locally raised funds for restoring and renovating the Robert Mills Courthouse in Camden. No state funds must be provided if the locality does not match the $250,000 in state funds with local funds.
(2.2) (Williamson Park) The Department of Parks, Recreation and Tourism shall provide $64,429 to match $16,107 in raised local funds to the city of Darlington for improvements to the main trail that traverses Williamson Park. No state funds must be provided if the locality does not match the $64,429 in state funds with local funds of $16,107.
(3) Employee Benefits
Annualization of FY 1997-98 Pay Plan 3,059,113
(4) Commission on Higher Education
Performance Funding 13,752,661
(5) Winthrop
Science Equipment 1,000,000
(6) Department of Health & Human Services
(a) Population Growth 2,300,000
(b) Pharmaceuticals 3,500,000
(c) Hospital Rebase 4,200,000
(d) Nursing Home Rate Adjustment 3,900,000
(e) Physician and Lab & X-ray Adjustment 1,150,000
(f) Dental Rate Adjustment 1,000,000
(g) Nursing Home Staff Ratio Adjustment 1,000,000
(h) Partners for Healthy Children (CHIP) 5,000,000
(i) Partners for Healthy Children (CHIP) Replace
Hospital Matching Funds 3,000,000
(j) Area Aging Agencies Volunteer Coordinators 300,000
(k) Residential Care Facilities
Optional Supplement 2,640,000
(l) Dental Program 3,900,000
(m) Hospital Medicaid Program 11,000,000
(n) A Child's Haven - Child Care Center 50,000
(6.1) (Children's Dental Care) The Department of Health and Human Services shall develop and implement a plan to increase patient access and participation of dental providers in caring for the needs of Medicaid-eligible children. The department shall implement a reimbursement schedule based on the 75th percentile of the current usual and customary rate schedule and on the funds appropriated to the dental program.
Five percent of the total funding must be set aside for treatment of special needs patients as defined by the department as follows:
Children with special health care needs are those who have a chronic physical, developmental, behavioral, or emotional condition and who also require health and related services of a type or amount beyond that required by children generally.
Patients meeting this criteria must be clearly identified on the Medicaid card and treatment of these patients must be at an enhanced reimbursement level.
(7) Department of Health and Environmental Control
(a) Water Quality Improvement -
Water Pollution Control 1,400,000
(b) Preventive Services for Seniors 400,000
(c) Family Health 500,000
(d) Hazardous Waste Program 300,000
(e) Osteoporosis Prevention & Education 100,000
(f) Lancaster-Kershaw Rural Health Center 200,000
(g) Sickle Cell Proviso - Prevention,
Education and Testing 900,000
(8) Department of Mental Health
(a) Sexual Violent Predator
Eval. & Treatment Program 3,241,826
(b) Juvenile Justice Lawsuit Subclass
Medicaid Match 2,000,000
(c) Crisis Stabilization. 1,800,000
(d) TLC Case Management &
Supervised Housing 700,000
(e) Nursing Program 1,450,000
(f) Family Assistance for the Elderly 450,000
(g) CMHC - Alzheimer's Family Respite &
Diagnostic Services 450,000
(h) Gateway House - Greenville 53,300
(9) Department of Disabilities and Special Needs
(a) Aging Caregivers/Residential
Crisis Response 3,074,000
(b) Crisis Prevention: Individual Family
Support Services 2,294,000
(c) Residential: Aging Caregivers 2,000,000
(10) Department of Alcohol and
Other Drug Abuse Services
(a) The Bridge - Annualization 300,000
(b) Omega Therapeutic Community 60,000
(c) Rehabilitation Services (Medicaid Match) 1,500,000
(11) Department of Social Services
(a) Increase Payment to Foster Care Parents
(by $4 per day) 1,644,618
(b) Increase Adoption Subsidy for
Special Needs Children (by $4 per day) 2,641,814
(12) Commission for the Blind
(a) Vocational Rehabilitation Field Services 30,000
(b) Computer Equipment for VR
Employment Specialist 15,191
(c) Computers 100,000
(13) Department of Agriculture
Lab Services Renovations (Year 1 of 10) 38,000
(14) Clemson - PSA
(a) Fire Ant Research and Education (Year 2 of 5) 200,000
(b) Eastern Jr. Angus Show 10,000
(15) Department of Natural Resources
(a) Wildlife Diversity 237,300
(b) Game: Operating 250,000
(c) Officer Body Armor 50,000
(d) Conservation Officers Equipment 71,500
(e) NPS Cost Share Program 414,000
(f) Water Monitoring 150,000
(g) Aquatic Weeds 400,000
(16) Department of Commerce
(a) Information Technology 150,000
(b) Tokyo Office 100,000
(c) Southeast Asia Trade Office 365,000
(d) Office Space in Capital Center 131,597
(e) Technology Council 200,000
(17) Judicial Department
Alternative Dispute Resolution Pilot Program 501,039
(18) Prosecution Coordination Commission
(a) Judicial Circuits Support Expansion 1,081,144
(b) Richland/Kershaw Drug Court Prog.
Annualization 110,506
(c) Rent, Tort Liability and Property Insurance
Increases 18,926
(19) Commission on Indigent Defense
(a) Conflict Fund Increases 500,000
(b) Operating Expenses (PCR) 340,000
(19.1) (Appellate Conflict Fund) The purpose of this fund is to provide money to pay attorneys for representing indigent defendants on appeal when the Office of Appellate Defense is unable to do so. Funds designated for appellate use in conflict cases must be administered by the Office of Indigent Defense. The Office of Appellate Defense must first determine that it is unable to provide representation. Funds appropriated must be divided into twelve equal amounts, no more than one part (or 1/12 of the total) of which may be paid out in any one month period except as designated below. However, funds designated for a particular month's payment which are unused in that month may be carried forward into the next month and paid out in that month along with that month's funds. First priority for payment is to use these funds to pay attorney's fees in capital appeals and in capital Post Conviction Relief cases. The cases must be paid first during any one month, and if insufficient funds are available to completely satisfy any obligation payable during that month, funds may be advanced from the following month or months, to pay capital appeal fees. Once capital appeals are paid, remaining funds designated for that month may be used to pay noncapital appeals. Fees are $40 per hour for out of court work and $60 for in court work, with a maximum of $3,500 per case for noncapital appeals. Fees are $50 per hour for out of court work and $75 per hour for in court work in capital appeals with a maximum of $10,000 per capital appeal. The clerks of the Supreme Court or the court of appeals shall review and approve vouchers for payment for appellate conflict cases. The Office of Appellate Defense shall continue to provide printing and other support functions currently provided from their resources. On June thirtieth of each year, the Office of Indigent Defense shall review all outstanding obligations in this fund. Any unspent and unobligated money must be used to pay outstanding vouchers in the Death Penalty Trial Fund or the Conflict Fund, provided the designated fund has become exhausted during the year.
(20) Department of Corrections
(a) Operating Funds for Four 256-
Bed Additions 4,074,246
(b) Medical Expenses -
Increase & HIV Treatment 2,700,000
(20)(a) Tax Relief 4,150,000
(21) Department of Probation,
Parole, and Pardon Services
(a) Collection and Distribution of Restitution 1,000,000
(b) Offender Supervision - Furlough Program 233,892
(c) Increase Restitution Center
Beds to Requirement 40,842
(d) Offender Drug Testing 100,397
(22) Department of Juvenile Justice
(a) Funding for Smaller Decentralized Facilities 5,233,119
(b) Other Funding 1,978,916
(23) Governor's Office - SLED
Relieve Overtime Problem 1,250,000
(24) Commission on Minority Affairs
Men's Service Centers 34,609
(25) Codification of Laws & Legislative Council
Rent 65,000
(26) Department of Archives and History
Microfilming of Historic County Records 100,000
(27) Legislative Information Systems
House of Representatives Repair/Refurbishing &
Licensing 100,000
(27.1) (House of Representatives Repair/Refurbishing & Licenses) The funds appropriated to Legislative Information Systems, must be used only for the purpose of repair, spare parts, refurbishing, or replacement of components of the voting, sound, or video projection systems and license increases for the House of Representatives. Any unexpended funds in this category may be carried forward and used for the same purpose.
(28) Governor's Office - OEPP
(a) Governor's School at College of Charleston 100,000
(b) Protection & Advocacy for
People w/Disabilities 125,400
(c) Veteran Affairs - Korean War Memorial 200,000
(29) Secretary of State
Information Technology 600,000
(30) Adjutant General
(a) Emergency Preparedness State Match 451,260
(b) Armory Operations 500,000
(c) State Guard Equipment & Training 116,580
(d) National Guard Retirement Fund 585,907
(31) Election Commission
Poll Manager Increase $35/day to $45/day 683,760
(31.1) (Poll Managers Increase) Managers and clerks of state and county elections shall receive a per diem of $45.00; but managers must not be paid for more than two days for any election and clerks for not more than three days for any election. The commission may adjust the per diem of $45 for the managers and clerks of the statewide election to a higher level only to the extent that the appropriation for the statewide election is sufficient to bear the added cost of increasing the per diem and the cost of the statewide election.
(32) Budget & Control Board
(a) Division of Executive Director
Statewide Performance Audit 300,000
(b) Division of Budget and Analyses
(1) Confederate Relic Room - Rent Increase 208,518
(2) Geodetic Survey - State Ortho Mapping 100,000
(3) Geodetic Survey - State Boundary Program 100,000
(c) Division of Regional Development
Salkehatchie Leadership Center 125,000
(32.1) (State Boundary Program) The funds appropriated in this item for State Boundary Mapping may not be used for county boundary determination. The funds must be used only for the State Boundary resolution between South and North Carolina.
(33) Department of Revenue
Electronic Document Processing System 1,000,000
Total Supplemental Appropriation 141,679,545
SECTION 3. The appropriations in Section 2 of this part are listed in priority order beginning with item (1) and each separate appropriation item or subitem must be fully funded before the next item or subitem in order is paid. Unexpended funds appropriated pursuant to this part may be carried forward to succeeding fiscal years and expended for the same purposes.
SECTION 4. Except as otherwise stated, this part takes effect upon approval by the Governor, but no appropriation in Section 2 may be paid until thirty days after the Comptroller General closes the state's books on fiscal year 1998-99, and these appropriations are not available to agencies before September 1, 1999. Appropriations contained in this part must be posted in fiscal year 1999-2000.
SECTION 5. 72.83. (A) (1) Twenty million dollars is provided herein for automobile tax relief in Fiscal Year 1999-2000. These funds shall be used to lower automobile taxes beginning January 1, 2000. It is the intent of the General Assembly to reduce automobile taxes while lowering the assessment ratio through partnering with local government to reduce taxes for South Carolina's families.
(2) Twenty-four million dollars is provided herein for reduction in the sales and use tax on food in Fiscal Year 1999-00. These funds must be used to offset a reduction in revenues resulting from reducing the sales tax rate on food from five to four percent, effective January 1, 2000. It is the intent of the General Assembly to eliminate the state sales tax on food by reducing the applicable rate in annual increments of one percent so that food sales are wholly exempt from state sales tax after December 31, 2003.
(3) If revenue derived from regulations, licensing fees, or taxation of coin-operated devices licensed pursuant to Section 12-21-2720(A)(3) of the 1976 Code does not exceed $150,000,000, in order to fund the items listed in this paragraph, each item funded in the first $150 million, excluding First Steps and Department of Education (H63) items, must be reduced pro rata to ensure that tax relief is funded at $35,000,000.
(B) A tax at the rate of fifteen percent is imposed on machine owners on the net income of every machine license pursuant to Section 12-21-2720(A)(3) of the 1976 Code, due and payable monthly by the twentieth day of the month for the prior month.
(C) Coin-Operated Devices - Education Fund) Any revenue above $50 million derived from regulations, licensing fees or the taxation of coin-operated devices licensed pursuant to Section 12-21-2720(A)(3) of the 1976 Code must be deposited in the School Improvement Fund to be used solely for non-recurring educational and other purposes and tax relief in the priority order listed herein.
(1) Department of Education (H63)
(a) School Building Funds $20,000,000
(b) Hold Harmless Fringe 8,500,000
(c) Instructional Materials 5,000,000
(d) Bus Purchases 4,770,000
(e) Technology 9,000,000
(f) First Steps 10,000,000
(2) School for the Deaf & Blind (H75)
(a) Houston Hall - Electrical & A/C $588,500
(b) Voss Gymnasium 110,250
(c) Spring Annex (Window Replacement) 105,000
(d) Memminger Hall 132,900
(e) Replace Chiller, Cooling Tower, &
or Dehumidifiers 100,210
(f) Voss (Paint Ceiling & Duct Work,
Replace Heater & Exhaust Fan 16,890
(g) Roof Repairs 60,000
(h) Building Repairs 55,000
(i) Asphalt Paving/Concrete 40,000
(j) HVAC 25,000
(k) Painting, Carpentry 20,000
(l) Plumbing 15,000
(m) Gutters/Storm Sewers/Drainage 12,000
(n) Electrical 10,000
(o) Security/Fire Alarm 8,000
(p) Replace 10 Vehicles 160,000
(q) Upgrade for Safety & Compliance 280,000
(r) Facilities Improvement 309,823
(s) Resident's Instruction
(Educational Technology) 659,437
(t) Facility Accessibility and
Safety Improvements 1,202,877
(u) Vocational School Equipment 221,663
(3) Wil Lou Gray Opportunity School (H71)
(a) Replace Dorm/Cafeteria Furnishings 145,000
(b) Library Automation 25,000
(4) John de la Howe School (L12)
(a) Equipment 50,000
(b) Replace HVAC 250,000
(5) Governor's School for the Arts (H63)
(a) Project Completion Funding 1,494,437
(b) Furniture & Equipment 2,275,312
(6) Educational Television Commission (H67)
(a) Conversion to Digital Signal 5,000,000
(b) Partnership for Distance Learning 697,900
(7) Department of Education (H63)
Roper Mountain Science Center 2,000,000
(8) General Assembly House of Representatives
Legal expenses 250,000
Senate Legal Expenses 250,000
(9) Clemson PSA (P20)
Agriculture Teachers Summer Employment 110,000
(10) Capital Projects (Prioritized)
(a) State TEC - Education and Equipment 4,600,000
(b) SC State - Business School Accreditation 500,000
(c) USC - Law Library - Annualization 289,301
(d) CHE - EPSCOR Match 2,500,000
(e) CHE - SCAMP Match 600,000
(f) LIFE Scholarship Shortfall 743,000
(g) Clemson - Adv. Engineering
Fibers & Films 1,000,000
(h) CHE - Competitive Technology
Grants Match 500,000
(i) CHE - Competitive Research Grants Match 500,000
(j) Clemson PSA - Agri-Systems
Productivity & Profitability 1,500,000
(k) Greenville TEC - Upstate Training
Alliance Match 200,000
(l) Archives & History - Grant Program 500,000
(m) State Library - Renovate Former
Archives Building 125,000
(n) Francis Marion - Deferred maint.,
renovation equip. 525,000
(o) Coastal Carolina - Humanities
Building Completion 5,601,500
(p) Clemson PSA - Ag. & Life Sciences
Bio-Tech Building 10,000,000
(q) Horry-Georgetown TEC -
Library/Student Support Center 7,136,000
(r) USC - School of Public Health - Match 3,500,000
(s) Clemson - Littlejohn Coliseum 6,000,000
(t) Univ. of Charleston - Health & P.E. Complex 8,000,000
(u)
(u) USC - Arena 5,000,000
(v) SC State - Hodge Hall Renovation 4,000,000
(w) Trident TEC - Electro-Mechanical
Lab Match 800,000
(x) Spartanburg TEC - Student Services Building 3,000,000
(xi)
(y) USC - Union - Renov. Of Truluck
Activities Center 200,000
(z) Central Carolina TEC - Renovation
FE Dubose Career Ctr. 1,500,000
(aa) School of Law Building Match 5,000,000
(bb) Tri-County TEC - Renovate
Classrooms and Labs 2,000,000
(cc) Greenville Tech - Continuing
Education Renovation 900,000
(dd) USC - Aiken - Student Activities
Center Renovation 1,000,000
(ee) Lander - Campus Electronic Communications Infrastructure 950,000
(ff) Piedmont TEC - Edgefield
Renovation Additional Costs 900,000
(gg) Williamsburg Tech - Roof Repair 500,000
(hh) Chesterfield Marlboro TEC -
Campus Loop Road 180,000
(ii) Citadel - Padgett Thomas Barracks 3,000,000
(jj) USC - Baruch Institute National
Estuarine Research Reserve 500,000
(kk) DHHS - Dental Program Tech.
Ed. College Clinics 100,000
(ll) Charleston County Courthouse/State House
(mm)
Renov. 1,000,000
(mm) Veteran's Nursing Home 3,500,000
Notwithstanding any other provision of law, funds appropriated for this purpose shall be retained and not expended until an equal or greater amount in private sector match funds has been made available for expenditure. Private sector funds are available for expenditure when a local community guarantees to the State a combination of cash and in-kind property contributions acceptable to the federal government totaling three and one-half million or more dollars. When the State Comptroller General certifies as available three and one-half million or more dollars, the State shall disburse to that local community three and one-half million dollars of State appropriations as the State's share for a veteran's nursing home.
The community that achieves the match for State funds should demonstrate that its application meets all state and federal criteria and standards as set by the United States Department of Veterans Affairs, State Home Construction program and that its site for the nursing home is based on demonstrated need. Communities seeking these matching funds are encouraged to explore current needs and trends identified by the nursing home industry and as encouraged by the United States Department of Veterans Affairs, including, but not limited to, construction of a new site, the Eden Alternative, special care units for dementia patients, and proximity to an acute care hospital. The location and match package should reflect the philosophy of family involvement and quality of life.
This proviso expires when any community fails to meet the State match requirement by March 1, 2000, whereupon all State funds will revert to the General Fund.
(11) Additional Items (Prioritized)
(a) Tax Relief 35,000,000
(b) School Buildings 19,000,000
(c) Aid to CNTY Libraries 435,000
(d) School Buses, Parts and Fuel 3,000,000
(e) MUSC - Oncology Center 7,000,000
(f) USC Sumter - Alice Drive Acquisition 1,050,000
(g) Midlands Tech - Information
Technology Center 5,200,000
(g) Trident Tech Industrial/Economic
Development Center 3,000,000
(i) SC State - Emergency Funding
And Transportation Center Match 1,900,000
(j) SC State - Deferred Maintenance 4,000,000
(k) USC - Beaufort - New River Facility 1,000,000
(l) USC - Spartanburg -
Deferred Maintenance 2,000,000
(m)Piedmont Tech - Laurens
Education Center 1,900,000
(n) York Tech - Machine Tools
Technology Center 1,000,000
(o) Governor's School for Science & Math 2,000,000
(p) Sumter-Maysville Education
Archives And Historical Learning Center 315,000
(q) USC - Strom Thurmond Fitness
& Wellness Center 2,000,000
(r) Department of Commerce
1) Newberry Airport Improvement 10,000
2) Saluda Airport Improvement 10,000
(s) Greenwood Learning Center 180,000
(12) Tuition Grants 611,600
Total - Video Poker/Other Funds 252,911,600/
Renumber sections to conform.
Amend totals and title to conform.
Rep. H. BROWN explained the amendment.
The amendment was then adopted.
Reps. JENNINGS and ALLEN proposed the following Amendment No. 3A (Doc Name \GJK\AMEND\20636SD99):
Amend the bill, as and if amended, PART II, by adding a new SECTION appropriately numbered to read:
TO AMEND TITLE 12 OF THE 1976 CODE RELATING TO TAXATION, BY ADDING CHAPTER 22 SO AS TO PROVIDE FOR THE REGULATION, LICENSING, TAXATION, AND CIVIL AND CRIMINAL ENFORCEMENT OF VIDEO GAME MACHINES WITH A FREE PLAY FEATURE, ARCADE GAME MACHINES, AND OTHER DEVICES INCLUDING PROVISIONS TO VEST PRIMARY ENFORCEMENT AND REGULATORY POWERS IN THE DEPARTMENT OF REVENUE AND THE SOUTH CAROLINA LAW ENFORCEMENT DIVISION, TO PROVIDE FOR LICENSE FEES ON MACHINE MANUFACTURERS, DISTRIBUTORS, TECHNICIANS, OWNERS, AND OPERATORS, TO PROVIDE LICENSE FEES FOR MACHINES AND LICENSED ESTABLISHMENTS, TO PROVIDE FOR AN IMPOSITION OF TAXES ON NET MACHINE INCOME AND ON PLAYER PAYOUTS, TO PROVIDE FOR THE USE OF REVENUES GENERATED BY THIS CHAPTER, TO PROVIDE FOR LOCATION RESTRICTIONS AND CASINO PROHIBITIONS AND THE PHASING OUT OF EXISTING CASINOS, TO PROVIDE FOR PUBLIC NOTICE AND OTHER NOTIFICATION PROVISIONS TO THE GENERAL PUBLIC, TO PROVIDE FOR THE MANNER IN WHICH AND REQUIREMENTS UNDER WHICH THESE MACHINES MAY BE PLAYED INCLUDING PROHIBITING THE OFFERING OF INDUCEMENTS, THE REGULATION OF ADVERTISING, AND CERTAIN LIMITATIONS ON BETS AND PAYOUTS, TO PROVIDE FOR TECHNICAL STANDARDS AND SPECIFICATIONS FOR THESE MACHINES AND THEIR EQUIPMENT, TO PROVIDE FOR BACKGROUND INVESTIGATIONS OF PERSONS ASSOCIATED WITH THE OPERATION OF THESE MACHINES AND THE ACTIONS THE DEPARTMENT MAY TAKE AS A RESULT OF THE BACKGROUND INVESTIGATIONS, TO PROVIDE PROCEDURES FOR LICENSE REVOCATIONS AND PENALTIES, TO PERMIT CIVIL ACTIONS UNDER SPECIFIED CONDITIONS FOR CERTAIN VIOLATIONS, TO PROVIDE CRIMINAL PENALTIES FOR CERTAIN VIOLATIONS, TO PROVIDE FOR THE MANNER IN WHICH COUNTIES AND MUNICIPALITIES MAY ALSO LICENSE AND TAX THESE MACHINES, AND TO PROVIDE FOR SEPARATE REQUIREMENTS FOR THE REGULATION, LICENSING, TAXATION, AND ENFORCEMENT OF ARCADE GAME MACHINES AND OTHER AMUSEMENT DEVICES INCLUDING A PROVISION THAT PROHIBITS CASH PAYOUTS; TO AMEND SECTION 12-60-3370, RELATING TO BOND REQUIRED PRIOR TO A TAXPAYER APPEAL TO CIRCUIT COURT, SO AS TO REQUIRE A BOND OF A PERSON APPEALING CERTAIN VIDEO GAME MACHINE VIOLATIONS TO THE CIRCUIT COURT AND TO PROVIDE CIVIL MONETARY SANCTIONS IF THE APPEAL IS UNSUCCESSFUL; TO AMEND SECTION 61-4-580, RELATING TO PROHIBITED ACTS REGARDING BEER AND WINE, SO AS TO PROVIDE THAT ACTIVITIES AUTHORIZED BY CHAPTER 22 OF TITLE 12 ABOVE ON THE PREMISES OF ESTABLISHMENTS LICENSED TO SELL BEER AND WINE ARE NOT A PROHIBITED ACT IN ESTABLISHMENTS PERMITTED FOR OFF PREMISES CONSUMPTION AND TO REQUIRE A SEPARATE ROOM FOR MACHINES IN PREMISES WITH ON PREMISES CONSUMPTION PERMITS AND LICENSES AND TO PROHIBIT THE CONSUMPTION OF ALCOHOLIC LIQUORS, BEER, AND WINE IN THIS SEPARATE ROOM AND TO PROVIDE FOR REVOCATION OF LICENSES AND PERMITS FOR VIOLATIONS; TO ADD SECTIONS 16-19-65, 16-19-66, AND 16-19-67 SO AS TO MAKE IT UNLAWFUL FOR ANY PERSON TO KEEP CERTAIN TYPES OF GAME OR SLOT MACHINES ON HIS PREMISES, TO MAKE IT UNLAWFUL FOR ANY PERSON TO OPERATE SUCH MACHINES, TO MAKE IT UNLAWFUL FOR ANY PERSON TO CHEAT OR DEFRAUD THE OWNER OF A LAWFUL MACHINE OF ITS CONTENTS, TO PROVIDE PENALTIES FOR VIOLATIONS AND AUTHORIZE THE SEIZURE OF UNLAWFUL MACHINES, TO PROVIDE STANDARDS FOR VIDEO GAME MACHINES, MODEMS, LOCATION CONTROLLERS, SOFTWARE, HARDWARE, THE CENTRAL COMPUTER MONITORING SYSTEM, AND ASSOCIATED EQUIPMENT UNTIL THE DEPARTMENT OF REVENUE ADOPTS SUCH STANDARDS PURSUANT TO CHAPTER 22 OF TITLE 12 ABOVE; AND TO REPEAL ARTICLE 19, CHAPTER 21 OF TITLE 12 RELATING TO COIN-OPERATING MACHINES, DEVICES, AND OTHER AMUSEMENTS AND ARTICLE 20, CHAPTER 21 OF TITLE 12 RELATING TO THE VIDEO GAME MACHINES ACT.
1. Title 12 of the 1976 Code is amended by adding:
General Provisions
Section 12-22-10. As used in this chapter, unless the context clearly requires otherwise:
(1) 'Director" means the Director of the Department of Revenue.
(2) 'Chief' means the Chief of the South Carolina State Law Enforcement Division.
(3) 'Division' means the South Carolina State Law Enforcement Division.
(4) 'Associated equipment' means a device, machine, replacement part, or part used in the manufacture, operation, or maintenance of a machine including, but not limited to, integrated circuit chips, printed wired assembly, printed wired boards, printing mechanisms, video display monitors, and metering devices.
(5) 'Background investigation' means the investigation conducted in accordance with Article 13 of this chapter.
(6) 'Central computer monitoring system' or similar term means the computing system administered by the department for communicating with and retrieving information from machines, and activating and disabling machines.
(7) 'Contraband machine,' or 'contraband device,' means a machine, location controller or its modem, the computer chips of a machine or location controller, or any other part of the machine, location controller or modem not meeting the requirements of this chapter. A 'machine' that does not meet the requirements of this chapter is a 'contraband machine' regardless of whether the machine issues payout tickets redeemable for cash.
(8) 'Disable' or 'disabling' means the process of executing a command from the central computer monitoring system or the location controller which causes a machine to cease functioning.
(9) 'Distributor' means any person who sells, buys and sells, or leases machines or associated equipment. A distributor may also own, operate, service, or repair machines in this State.
(10) 'Establishment' or 'location' means premises with machines.
(11) 'Machine' means a nonpayout electronic machine with a free play feature that, upon insertion of cash is available to play or simulate the play of games utilizing a video display and microprocessors in which the player may receive free games or credits that may be redeemed for cash. Each player station of a multi-player unit is a separate machine.
(12) 'Machine owner' means any person, other than a distributor, who owns one or more machines.
(13) 'Machine operator' means any person who owns or manages an establishment with one or more machines.
(14) 'Manufacturer' means any person that manufactures, assembles, or programs machines, controllers, or associated equipment for sale or use in this State.
(15) 'Net machine income' means the amount of money that goes into the machine less payouts.
(16) 'Payout' means the total amount a player is paid at the end of play, regardless of the amount the player has deposited in the machine.
(17) 'Player' means a person who participates in the playing of a machine.
(18) 'Principal' of a business or entity means:
(a) a person who is an officer of the business or entity which owns the business;
(b) a partner, other than a limited partner who cannot exercise any management control;
(c) a manager of a limited liability company which is managed by managers;
(d) a member of a limited liability company which is managed by members;
(e) a fiduciary, including personal representatives, trustees, guardians, committees and receivers, who manages, holds or controls title to or who is otherwise in direct or indirect control of the business;
(f) a person who owns five percent or more of the total combined voting power of the business or entity;
(g) a person who owns ten percent or more of the value of the business or entity; or
(h) an employee who has day-to-day operational management responsibilities for the business or entity.
(19) 'Records' means all paper or electronic accounts, bank account records, financial statements, business records, contracts, reports and returns, including tax information and returns, and other information the department or division considers necessary to administer and enforce the provisions of this chapter.
(20) 'Type I Technician' means a person qualified to perform basic service, maintenance, and repair on machines.
(21) 'Type II Technician' means a person qualified to perform major machine repairs, configurations, communication, and diagnostic testing of machines.
(22) 'Video Game Machine Identification Number' or 'VGMID' means the permanently assigned unique number issued by the department to identify a specific machine from first delivery in this State until destruction or removal from this State.
Section 12-22-20. Unless specifically granted to the division, the functions, duties, and powers set forth in this chapter are vested in the department. The department shall administer and enforce the provisions of this chapter, and may enter agreements with any agency or the division to execute the provisions of this chapter.
Section 12-22-30. Except as provided in Section 12-54-240, any information obtained by the department or division in the administration and enforcement of the provisions of this chapter is public information, except for proprietary information of the central computer monitoring system. The department may disclose information to the division and to other governmental entities in and outside of this State.
Section 12-22-40. The department has sole and exclusive power to issue all licenses provided for in this chapter. The department has exclusive authority to establish the conditions or restrictions necessary for issuing, suspending, or revoking a license.
Section 12-22-50. The department or the division may issue subpoenas requiring the attendance of witnesses and the production of records, memoranda, papers, and other documents and administer oaths and take testimony thereunder.
Section 12-22-60. The license fees, taxes, and penalties provided for in this chapter are a first preferred lien upon all property of the person charged. The department may execute on the lien.
Section 12-22-70. The only forms of gambling which are legal in this State are bingo, played in accordance with Article 24 of Chapter 21 of Title 12, and games played on licensed machines operated in accordance with this chapter.
Section 12-22-80. The department and the division have the right to examine all records of an applicant and the applicant's principals, those records under their control, and those records in which they have an interest to evaluate statements and documentation supplied with the application. All records must be retained for at least the period for which taxes may be assessed under Section 12-54-85.
Section 12-22-90. Any person otherwise subject to the provisions of this chapter, but who claims the benefit of an exemption from certain of its requirements in any manner, on or before September 1, 1999, shall notify the department in a statement made under penalty of perjury that he is claiming the benefits of a specific provision, shall state all reasons for claiming the benefits of the provision, and shall identify all licenses claimed to be related to that exemption. The person claiming the benefit of such a provision has the burden of proof and shall establish by clear and convincing evidence that he is entitled to the benefits claimed.
Section 12-22-100. If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this chapter for any reason is held to be unconstitutional or invalid, the holding does not affect the constitutionality or validity of the remaining portions of this chapter, the General Assembly declaring that it would have passed this chapter, 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 word hereof may be declared to be unconstitutional, invalid, or otherwise ineffective.
Section 12-22-110. (A) The department shall require that every location and owner of each machine licensed herein to maintain a log of payoffs of the Maximum amount of one hundred twenty-five dollars for at least three years that shall include, at a minimum, the following:
(1) a separate form or record of each person receiving a payoff;
(2) the name and address of the person receiving the payoff;
(3) the social security number of the person receiving the payoff;
(4) a statement of the amount of the payoff;
(5) the driver's license number or other official identification number of the person receiving the payoff, which must be independently verified by the operator prior to any payoff being made;
(6) a signed certification by the machine operator or owner and the player, under penalty of perjury, that the information provided is complete and accurate; and
(7) attachment to the log all validated tickets related to the payoffs.
(B)     The department by regulation may prescribe the form or format of the log required in subsection (A).
Section 12-22-310. (A) Before a machine or associated equipment is manufactured, distributed, sold, or placed for use in this State, the machine owner, machine operator, manufacturer, distributor, and establishment must be licensed by the department as provided for in this chapter.
(B) Before placement or operation, a machine must be licensed.
(C) Licenses issued as provided for in this chapter are the property of the department and must not be transferred, assigned to another person, or pledged as collateral, except as provided in Section 12-22-330(K).
Section 12-22-320. (A) Every two years a manufacturer, distributor, machine owner, machine operator, establishment, type I technician, and type II technician, engaging in business in this State, shall apply for and obtain from the department a license for the privilege of engaging in the business and shall pay the nonrefundable fee levied at the time of license application. The fees are as follows:
(1) Manufacturer $10,000
(2) Distributor $15,000
(3) Machine Owner $2,000
(4) Machine Operator $2,000
(5) Licensed Establishment $1,000
(6) Type I and Type II Technicians $500
(B) Biennial licenses for machine owners, machine operators, distributors, manufacturers, or establishments issued under this chapter expire according to the county where the principal place of business, as determined by the department, of the machine owner, machine operator, distributor, or manufacturer is situated or, in the case of an establishment license, the county where the establishment is situated. The expiration dates are the last day of:
(1) February in years which end in an:
(a) odd number for Allendale, Bamberg, Barnwell, Beaufort, and Berkeley Counties;
(b) even number for Charleston, Clarendon, Colleton, Dorchester, Georgetown, Hampton, Jasper, and Williamsburg Counties;
(2) May in years which end in an:
(a) odd number for Cherokee, Chester, Chesterfield, Darlington, Dillon, Fairfield, Florence, and Horry Counties;
(b) even number for Lancaster, Marion, Marlboro, Union, and York counties;
(3) August in years which end in an:
(a) odd number for Calhoun, Kershaw, Lee, Orangeburg, and Sumter Counties;
(b) even number for Richland County;
(4) November in years which end in an:
(a) odd number for Abbeville, Aiken, Anderson, Edgefield, Greenville, and Greenwood Counties;
(b) even number for Laurens, Lexington, McCormick, Newberry, Oconee, Pickens, Saluda, and Spartanburg Counties.
(5) If a license purchased is for less than twenty-three months because of this section, the license tax must be prorated on a twenty-four month basis with each month representing one twenty-fourth of the license fee imposed under this section and Section 12-22-340.
(C) The department, at its discretion and for the efficient administration of the law, may prorate licenses in any manner to implement or change the expiration date established in this section and to stagger the issuances of the licenses by county or by any other method considered appropriate by the department.
(D) A license authorized in this section must not be issued until the department receives a completed background investigation showing that the standards provided for in Article 13 have been met by the applicant.
(E) An application for a license may be denied or a license may be revoked if the applicant or licensee fails to pay any tax or fee administered by the department.
(F) A license issued under this chapter is a privilege personal to the person to whom it was issued and is not a legal right.
(G) All licenses described in subsection (A) issued before the effective date of this chapter expire May 31, 2000.
Section 12-22-330. (A)(1) Every machine owner making a machine available for play shall apply for and procure a license from the department for the privilege of making use of the machine in this State. The machine owner shall pay a first time nonrefundable biennial fee of four thousand dollars for each machine license and thereafter on all renewals shall pay a nonrefundable fee for each machine license as follows:
Net Income of Machine in Twelve
Months Preceding License Date Biennial License Fee
Not more than $12,000 $3,000
More than $12,000 but not more than $24,000 $4,000
More than $24,000 but not more than $48,000 $6,000
More than $48,000 $8,000.
(2) Except as provided in subsections (C) and (D) below, all licenses begin on June first and, except as provided in subsection (D), all licenses expire May thirty-first of the second year that the license is valid following the date of issue.
(B) The machine owner shall purchase a separate license for each station in a multi-player unit and each station counts as a separate machine when determining the number of machines.
(C) If the license required in subsection (A) is purchased after June thirtieth, the license fee must be prorated on a twenty-four month basis with each month representing one twenty-fourth of the license fee imposed under subsection (A).
(D) As an alternative to the license required in subsection (A), a machine owner may be granted a nonrefundable seasonal license effective April first and expiring September thirtieth, following the date of issue. This license must not be prorated. The fee for this six-month license is one-fourth the biennial license fee.
(E) A municipality, by ordinance, may impose a license fee on machines in an amount not to exceed three hundred sixty dollars for the equivalent license period. A municipality may not limit the number of machines within the boundaries of the municipality.
(F) A county, by ordinance, may impose a license fee on machines located in an unincorporated area of the county in an amount not to exceed three hundred sixty dollars for the equivalent license period.
(G) A license may not be issued for the operation of a machine that is located, or intended to be located, on a watercraft or vessel plying the territorial waters of this State.
(H) A machine licensed under the provisions of subsection (A) must not be operated at an establishment unless the establishment is licensed pursuant to the provisions of this chapter and Chapter 36 of Title 12.
(I) Upon application for a license to operate any machine, the department may presume that the operation of the machine is lawful. The issuance of a license by the department does not make lawful the operation of any machine, the operation of which is unlawful under the laws of this State. When a license has been issued, the sum paid for the license must not be refunded notwithstanding that the operation of the machine or apparatus is prohibited.
(J) Failure to obtain a machine license as required by this chapter makes the machine owner liable for the penalties imposed in this chapter.
(K)(1) A licensed machine owner may transfer a machine with its machine license only to another licensed machine owner. Notification for the transfer of the machine must be made to the department at least thirty days before the transfer. The notification of transfer must include a notarized statement of both parties identifying the machine by VGMID.
(2) A licensed machine owner may transfer a machine license required by this section to any other machine owned by the machine owner if the department is notified before the transfer.
(L) The machine owner shall notify the department within thirty days of any change in its principals. Any addition to the machine owner's principals of a person not already determined to have met the qualifications of this chapter voids the license unless the addition has been approved in advance by the department. The department shall develop forms and procedures for notification and approval of any change.
(M) Four hundred dollars of the license fee imposed in subsection (A) must be retained by the department and expended for the implementation and ongoing operation of the monitoring system, administration, enforcement of this chapter, or other programs and services as the department may determine necessary and appropriate.
(N) No distributor, owner, or operator must be issued a license unless the distributor, owner, or operator has been a resident of the State for two years before the date of application.
Section 12-22-340. The department may issue an initial temporary license pending the approval of the application to any license applicant who has operated machines before the effective date of this chapter if the applicant signs a statement under penalty of perjury that he has no knowledge of any reason for denial of a license. The temporary license may be revoked.
Section 12-22-350. Appeals of department decisions, including appeals of penalties, or of denied, suspended, or revoked licenses, must be conducted in accordance with the South Carolina Revenue Procedures Act in Chapter 60 of this title.
Section 12-22-510. (A) In addition to the license fees, a tax of thirty percent of the net machine income of every machine is imposed on the machine owner.
(B) In addition to the license fees and the tax in subsection (A), an additional tax is levied on the net machine income of every machine within an establishment which is within five hundred feet of another establishment in the same structure, and both establishments have machines with a same owner or principal. The tax is as follows:
(1) five percent of net machine income beginning June 1, 2000; and
(2) ten percent of net machine income beginning June 1, 2001; and
(3) fifteen percent of net machine income beginning June 1, 2002.
(C) An entertainment tax of seven percent on a player's payouts is imposed on the machine owner.
(D) The tax imposed by this section is effective beginning on the first day of the first month following the effective date of this chapter.
Section 12-22-520. For the tax imposed by Section 12-22-510(C), each machine owner shall withhold seven percent of payouts from the player.
Section 12-22-530. (A) Unless the department exempts a taxpayer from this requirement, the taxes in this article must be paid to the department by the machine owner through electronic transfer of funds. The machine owner shall furnish the department all information and bank authorization required to facilitate the timely payment of taxes due to the State. Machine owners shall provide the department thirty days' advance notice of any proposed bank account changes to ensure the uninterrupted electronic transfer of funds.
(B) After notice to taxpayers, the department may draw upon the designated account to satisfy the tax indebtedness under this chapter on the twentieth day of the month following the month for which taxes accrued. The machine owner shall maintain an account balance in an amount sufficient to cover the amount drawn by the department. The failure to maintain an adequate balance in the account as required in this section authorizes the department to find the tax in jeopardy and to disable all licensed machines of the machine owner. Appeals are governed by the jeopardy assessment appeals procedures in Sections 12-60-910 and 12-60-920.
(C) Unless the department determines that such reports are unnecessary, each machine owner, machine operator, and licensed establishment shall report to the department for each calendar quarter, by the twentieth of the month following end of the quarter, the following information for each machine:
(1) name and address of location of the machine;
(2) denomination, whether five cents, etc. of the game;
(3) the name of the game;
(4) the name of the individual or individuals collecting money from the machine and the owner of the machine;
(5) the date or dates of collection;
(6) the date of previous collection;
(7) income number at commencement of the reporting period;
(8) income number at the end of the reporting period;
(9) beginning payout number;
(10) ending payout number;
(11) payout to players;
(12) gross profit; and
(13) the percentage of net profits divided between owner and the location and the formula by which those figures are calculated.
(D) For machines connected to the central computer monitoring system, the department shall determine the tax on net machine income and the tax on payouts as of the last day of each month. The department shall notify the machine owner in the form of a billing statement of the amount of tax the department shall draw from the designated account to satisfy the net machine income tax and the entertainment tax.
Section 12-22-540. As an interim procedure to collect the taxes in this article between the effective date of this chapter and when a machine is connected to the central computer monitoring system, the department shall develop forms and procedures to facilitate the return and payment of these taxes. This interim procedure also must be used during any period when the central computer monitoring system is unable to determine taxes as provided in Section 12-22-530. The taxes are due and payable and the return is due on or before the twentieth day of the month following the month in which the taxes accrue.
Section 12-22-550. An owner shall report to the department any discrepancies in tax between the department's statement and each machine's mechanical and electronic meter readings.
Section 12-22-560. (A) Until a discrepancy under Section 12-22-550 is resolved, the department may not make credit adjustments. The owner shall submit to the department the maintenance log that includes current mechanical meter readings and the audit ticket that contains electronic meter readings generated by the machine's software for each machine that reflects a discrepancy. Electronic accounting meters must not be cleared without an authorized department or division employee present. Any discrepancies that cannot be resolved because the meter was cleared in an unauthorized manner must be resolved in favor of the State.
(B) A licensed establishment may return to a player money which the player deposited into the machine for which the machine did not permit play and would not print a validated payout ticket; and in this event shall obtain and record the date, time, amount, and licensed machine number of the refund, and the name, addresses, telephone number, social security number, and driver's license identification number and state, of that player. Thereafter, the taxpayer may file a claim for refund for any taxes paid under this chapter on the amount returned to the player in accordance with Chapter 60 of this title, but in addition to the information required by Section 12-60-470, the taxpayer shall file the information required to be maintained by the licensed establishment under this subsection.
Section 12-22-570. (A) The State Treasurer shall create a designated account for the deposit of the tax, penalties, and interest imposed by this article. However, before depositing revenues to this account, the department shall retain its costs and the costs of the division. The department and the division may retain, carry forward, and expend the funds withheld for the enforcement and administration costs of this chapter. All interest earned on revenues placed into the account remain with the account and must be distributed in accordance with this section.
(B) Revenue deposited in this account must be distributed in a fiscal year as follows:
(1) four million dollars must be distributed to the South Carolina Department of Alcohol and Other Drug Abuse Services for the development of a program for the treatment of individuals with addictions to gambling. Ninety-five percent of the sum allocated by this item must provide local gambling addiction services in each county. Distribution to each local county office for gambling addiction treatment must be made in accordance with the following formula:
(a) one-half of the funds based on the ratio of the number of licensed machines located in each county to the total licensed machines statewide, as of December thirty-first of the preceding year;
(b) one-half of the funds based on the ratio of the population of each county to the total population of the State;
(2) of amounts remaining in this account, and as the General Assembly shall provide by law, not less than twenty percent must be used for local infrastructure needs including, but not limited to, water and sewer service projects, with the balance used for education projects.
Section 12-22-580. Machine operators may only redeem tickets for credits awarded on licensed machines located in that licensed establishment. A ticket must be validated by the location controller before any payout is made.
Section 12-22-590. Each county or municipality, by ordinance, may determine the zoning of locations for the operation of machines. The zoning restrictions may not be less restrictive than this chapter.
Section 12-22-810. (A) An establishment license must not be issued until the department determines that the location is proper. In determining whether a location is a proper one, the following factors may be considered:
(1) the location's proximity to residences;
(2) the location's proximity to houses of worship, schools, playgrounds, parks, and daycare centers;
(3) the likelihood that large crowds will gather from time to time with attendant breaches of the peace;
(4) the location of automatic teller machines as provided for in Section 12-22-840(6);
(5) the adequacy of law enforcement protection;
(6) the concentration in the area of other licensed establishments;
(7) compliance with Section 12-22-840; and
(8) all other pertinent information the department and division consider appropriate, or other information submitted for consideration.
(B) An establishment license must not be issued if the location is within one hundred feet of another licensed establishment. However, an existing location which operates machines before March 31, 1999, is not governed by the provisions of this subsection while the location continues to be operated in accordance with the single place or premise regulation and the operation of the location continues in the name of the current licensed machine operator. Notwithstanding the provisions of this subsection, the department may issue an establishment license after notice and the procedures in this section if the department otherwise determines that the location is a proper one.
(C) The person applying for the establishment license closer than permitted under subsection (B) shall place a notice at least once a week for three consecutive weeks in a newspaper or newspapers most likely to provide notice to interested citizens of the county, city, or community in which the person seeks to locate the proposed establishment. The department shall determine which newspaper or newspapers meet the requirements of this section based on available circulation figures. If a newspaper is published within the county and historically has been the newspaper where legal notices are published, the advertisements published in that newspaper meet the requirements of this section. Notice also must be given by displaying a sign for fifteen consecutive days at the site of the proposed establishment. The sign shall:
(1) state that a license for the operation of machines is being sought and that the establishment will be able to issue cash payouts from these machines;
(2) tell an interested person where and when to send a written protest of the application;
(3) be in bold print; and
(4) cover a space at least eleven inches wide and eight and one-half inches high.
(D) The department shall determine whether the location is a proper one. Any protestor or the applicant may appeal the department's determination.
(E) The provisions of this section apply to all applications. However, establishments in existence on the effective date of this chapter are not subject to the distance restrictions of subsection (B) of this section and Section 12-22-840 while the license is held by the same person who held the license on March 31, 1999, and the licensee complies with Section 12-22-90.
Section 12-22-820. (A) Except as provided in subsection (B), machines must not be operated, or continue to operate, at any casino, casino-style gaming operations, video gaming mall, or combination of single place or premises, as that term was applied in Regulation 117-190 of the South Carolina Code of Regulations. In determining whether an establishment violates this section, the department shall consider whether more than one licensed establishment operates within a single structure, unless the distance between the licensed establishments exceeds one hundred feet and the licensed establishments are not owned by the same person, do not have any of the same principals, and the owner of one is not a principal of another licensed establishment. Licenses denied under this section are subject to review under Section 12-60-1310.
(B) All establishments which conducted business as a casino or otherwise within a structure which before March 15, 1999, contained more than one single place or premise in accordance with Regulation 117-190 must:
(1) on or before September 1, 1999, conduct business as a single operation and be licensed as a single licensed establishment to maintain on the premises more than five licensed machines;
(2) advise the department of the machine and establishment licenses currently issued for the structure, and return the establishment licenses to the department at the time the new license for the single licensed establishment is approved by the department and issued;
(3) once licensed as a single establishment, never have licenses for any number of machines greater than the total number of machines licensed in the structure as of March 15, 1999, as provided in the statement required in item (5);
(4) never increase the number of machines permitted by this section after any reduction in the number of machines at the licensed establishment. However a reduction, as that term is used in this subsection, does not include the routine removal and replacement of machines for maintenance, repair, service, or similar purpose;
(5) not allow the operation of an automated teller machine or similar machine that dispenses money on the premises of the licensed establishment; and
(6) on or before August 1, 1999, file with the department a sworn statement stating the reasons why it is entitled to the benefits conferred by this subsection and the number of existing machine licenses.
(C) Any person claiming the provisions of subsection (B) has the burden of proof and must establish by clear and convincing evidence that he is entitled to operate the structure as a single licensed establishment with more than five licensed machines. Any transferee of an interest in such an establishment is subject to all limitations of this section.
(D)(1) No entity or entities of whatever description or kind which, before March 15, 1999, conducted business as a casino or otherwise through and by a combination, confederation, or aggregation of 'single place or premises' as that term before March 15, 1999, was interpreted and applied by the Department of Revenue in regulation may operate or continue to operate except as provided in this subsection.
(2) After September 1, 1999, entities as described in this subsection are permitted to re-apply for, and may be granted renewal of a license for a maximum of one biennial licensure period. After completing that period, a new license must not be issued.
Section 12-22-830. (A) A person residing in the county in which an establishment license is requested to be granted, or a person residing within five miles of the establishment for which an establishment license is requested, may, before seven days after the last published notice, protest the issuance of the license if a written protest is filed with the department setting forth:
(1) the name, address, and telephone number of the person filing the protest;
(2) the name of the applicant for the establishment license and the address of the establishment sought to be licensed;
(3) the specific reasons why the application should be denied; and
(4) whether he wishes to attend and offer testimony before a contested case hearing before the Administrative Law Judge Division.
(B) Upon receipt of a timely filed protest, seeking a contested hearing before the Administrative Law Judge Division, the department may not issue the establishment license but shall forward the file and its determination to the Administrative Law Judge Division.
(C) If the protestant expresses no desire to attend a contested hearing and offer testimony, the protest is considered invalid, and the department shall continue to process the application and make its determination of whether all other statutory requirements for the license are met.
Section 12-22-840. (A) A licensed establishment, including its employees and agents, may not:
(1) maintain, possess, or otherwise allow on its premises more than five machines;
(2) advertise, or allow advertising, in any manner for the playing of the machines except as provided in Section 12-22-850;
(3) offer or allow to be offered any inducement to a person for the playing of machines;
(4) allow anyone under the age of twenty-one to receive payouts as a result of playing machines;
(5) operate machines between the hours of two o'clock a.m. and six o'clock a.m. and between two o'clock a.m. Sunday and six o'clock a.m. Monday.
(6) cash any business, personal, or employment checks of any individual or business;
(7) make loans to any individual or business;
(8) accept a credit card or debit card from a player for the exchange or purchase of game credits or for advancement of coins or currency;
(9) extend credit, in any manner, to a player;
(10) be located within five hundred feet within a county, or within three hundred feet in a municipality, of a public or private elementary, middle, or secondary school; a public or private kindergarten; a public playground or park; a public vocational or trade school or technical educational center; a public or private college or university; or house of worship; or
(11) allow playing of machines by a person in an intoxicated condition.
(B) The distances in this article must be computed by determining the shortest distance between the nearest property line of the licensed establishment and the nearest property line of the public or private elementary, middle, or secondary school; a public or private kindergarten; a public playground or park; a public vocational or trade school or technical educational center; a public or private college or university; house of worship; or other establishments with machines.
(C) No establishment which holds a minibottle license or an on premises consumption beer and wine permit may be a licensed establishment under this chapter unless machines located in such an establishment are in a separate room surrounded by finished, permanent walls. Consumption of alcoholic liquor, beer, or wine in this separate room is prohibited and is grounds for revocation of the license issued the establishment under this chapter and its license or permit issued under Title 61.
Section 12-22-850. (A) The offering of an inducement as prohibited in Section 12-22-840 means any attempt to influence a person to play machines including, but not limited to:
(1) free or discounted food or beverages;
(2) free or discounted games other than credits won through authorized play;
(3) prizes, either at the doors or through drawings or other means;
(4) coupons offering any of the above; or
(5) cash other than authorized payouts.
These specified inducements are not exclusive. Other attempts to influence a person to play a machine are prohibited.
(B) A licensed establishment that engages in activities other than the operation of machines may not offer any inducement unless the licensed establishment is able to prove that the inducements offered are not directed at machine players and that the offerings are part of the normal business practice of similar activities in this State.
Section 12-22-860. (A) A licensed establishment may advertise, or allow the advertising of, the playing of machines by utilizing a single green square not exceeding four by four feet which may be placed alone on any side of the building in which the licensed establishment is located.
(B) Nothing in this section prevents a licensed establishment from advertising other goods and services except as otherwise prohibited by law.
(C) No person may advertise in a misleading or deceptive manner.
(D) To protect the public from misleading, deceptive, or aggressive sales practices, no person shall advertise the playing of machines or a business regulated under this chapter in any manner that suggests winning, money, or wealth.
(E) Due to the pervasiveness of the medium and the children in the audience, no person may advertise the playing of machines in any broadcast medium between the hours of 5:00 a.m. and 11:00 p.m.
(F) No person shall advertise in any manner for the playing of machines within one thousand feet of a public or private school, daycare center, kindergarten, residence, park, playground, or church.
(G) Signs and nonbroadcast advertising in existence on the effective date of this chapter are not subject to the provisions of this section until July 1, 2001, if notice is given to the department as required in this chapter.
Section 12-22-870. (A) A licensed establishment must have posted and visible to the public at least one sign with the following words printed on it:
(1) 'A person must be twenty-one years of age to receive payouts from a video game machine.'
(2) 'It is illegal to offer inducements to a person to play video game machines.'
(3) 'All games are random. Games are set to issue a minimum theoretical payout of at least ninety percent.'
(4) 'This establishment maintains a copy of the video game machine laws on the premises for review by players at their request.'
(5) 'Validated tickets may be redeemed for cash.'
(6) 'Seven percent is withheld on all payouts.'
(7) 'Violators are subject to civil and criminal penalties.'
(8) 'Violations may be reported to South Carolina Law Enforcement Division or your local law enforcement agency.'
(9) 'No payout of greater than one hundred twenty-five dollars is allowed, regardless of the amount deposited in the machine.'
(B) The sign required by subsection (A) must be placed on the wall behind the machine, but must be visible and readable by the person playing the machine. Each letter on the sign must be at least two inches high.
(C) Each machine licensed under this article must have a prominently displayed sign citing the penalties provided for tampering, skimming, and intentional manipulation as provided for in this article. The sign must be displayed on the wall above the machine or affixed prominently to the machine.
(D) In addition to all other signs required under this section, a white warning label must be prominently and permanently affixed to each machine. The label must contain the phrase 'WARNING: GAMBLING CAN BE ADDICTIVE' in capital black letters not less than two and one-half inches in height and one and one-half inches in width, followed by the phrase 'CALL 1-XXX-XXX-XXXX FOR HELP WITH GAMBLING ADDICTION' in capital black letters not less than one inch in height and one-half inch in width. The toll free number to be inserted on the label must be provided by the South Carolina Department of Alcohol and Other Drug Abuse Services.
Section 12-22-880. (A) A licensed establishment may not derive the primary and substantial portion of its proceeds from machines. A licensed establishment which receives more than fifty percent of its total gross proceeds from machines violates this prohibition. This fifty percent requirement must be maintained each calendar quarter of the calendar year. The department may require reports to be filed as to the amount of gross proceeds at the licensed establishment that are from activities other than machines. Each licensed establishment must maintain records on the premises that show compliance with this section including, but not limited to, gross machine income by months, gross proceeds by month from all other sources, invoices for purchases, cash payouts by month, bank deposits, and all checking, savings, and similar account records.
(B) The department shall revoke the establishment's license and all machine licenses in the establishment if the establishment is in violation of this section.
Section 12-22-890. Each licensed establishment shall maintain on the premises a copy of this chapter for review by the public upon request.
Section 12-22-1010. Before a machine may be connected or remain connected to the central computer monitoring system, the machine must have a current and valid machine license. The machine owner and machine operator, and the establishment at which the machine is located must have current and valid licenses as required by this chapter.
Section 12-22-1020. (A) All machines, location controllers and associated modems, computer chips, and any other part of a machine must be verifiably of a make, model, and software version certified by the department or a testing lab selected by the department before the items may be possessed, owned, operated, or allowed to operate at any place within this State.
(B) A person may not possess, own, operate, or allow the operation of a contraband machine or device at any place within this State.
Section 12-22-1030. (A) Within ninety days after the effective date of this chapter, all machines must meet the following standards, and machine owners shall certify to the department, under oath, and in a form prescribed by the department, that the machines are prepared for connection to the central computer monitoring system. All machines must:
(1) have games that are random and have a minimum payout of between ninety percent and ninety-nine percent, within standard rounding, in which the theoretical payout percentage is determined using standard methods of probability theory at optimal play;
(2) be secure and accountable;
(3) not operate in a misleading or deceptive manner;
(4) not have any means of manipulation that affect the random probabilities of winning a game;
(5) have one or more mechanisms that accept only coins or cash in the form of bills. The mechanisms must be designed to prevent obtaining credits without paying by stringing, slamming, drilling, or other means;
(6) have one or more metering devices that keep a record of (a) all cash inserted or deposited into the machine; (b) credits played, (c) credits won, (d) validated cash ticket amounts, and (e) other information prescribed by the department. Cash records must include total coins and bills accepted and total credit generated by coin and bill acceptors;
(7) be capable of being accessed on demand by telecommunication through a location controller from the central computer monitoring system for purposes of polling or reading device activities and for central computer remote enabling or disabling of machine operations;
(8) be capable of interfacing with a central computer monitoring system through a location controller;
(9) when requested by the department after certification, be connected to the central computer monitoring system through a location controller;
(10) meet the standards set by the department and those set forth in this chapter; and
(11) not offer on the face of the machine or in any pay table the possibility of receiving a payout greater than one hundred twenty-five dollars for a single play or hand or at the time of cashing out.
(B) Machines not meeting the standards of this chapter, or the standards of the department, must not be licensed. The license of any machine which fails to maintain the standards of this chapter, or any standards of the department, must be revoked.
(C) When the department approves the software and logic board of a machine, the division may use a prescribed security seal process to guard against any unauthorized tampering or changes to the erasable programmable read only memory (EPROM) chip or chips, or future, similar such technology. Any repair, replacement, or adjustment to the machine's EPROM chips or similar technology must be done in the presence of a division employee.
Section 12-22-1040. (A) As part of the central computer monitoring system, each location operating machines must provide a location controller and modem meeting department requirements. Each location controller must be capable of receiving, storing, and transmitting to the central computer monitoring system all information received from and required of machines. Each location controller shall be capable of supporting at least five machines.
(B) This section applies to those location controllers which participate in the system as separate hardware entities and any head of string location controller which meets the specifications of this section.
(C) The cost for purchasing, leasing, and installing, the location controller is the responsibility of the licensed establishment in which the machines are located.
(D) Each location controller must be able to perform the following functions:
(1) communicate with machines in an on-line environment;
(2) store log entries of openings of machine game doors;
(3) store log entries of openings of machine coin or currency doors;
(4) authorize a machine to be taken off-line from the location controller and store a log of this event;
(5) disable a machine and store a log entry upon a game door open, and a coin door open;
(6) store a log entry if machine is off-line from the location controller;
(7) store a log entry for machine tampering if the signal received from the machine is discontinuous or corrupted in such a manner as to constitute more than spurious noise in the system;
(8) store a log entry of reenabling a machine that has been disabled;
(9) log entries which include a VGMID for each machine and date/time stamp;
(10) communicate to the central computer system the information which has been gathered from the machines and any log entries stored during the period using a protocol provided by the department or designated agent;
(11) have sufficient storage capacity to maintain at least five days of data generated from the maximum playing sessions from the maximum number of associated machines linked to the location controller. The data must be stored immediately in a manner that allows, on demand, real time access by the central computer monitoring system. Access to data stored in the location controller must be restricted to authorized entry from the central computer monitoring system and other authorized inquiry only access that has been preapproved by the department;
(12) have an internal clock;
(13) be protected from unauthorized interference or tampering by any person or external device or force, such as to corrupt or alter data or corrupt or suspend communication signals or transmitted data from the machines or to the central computer monitoring system. This requirement extends to the location controller as well as its associated communication device, and cabling between the controller, the machines, and communication device;
(14) be constructed of materials and protected in such a manner as to allow it to operate in suboptimal environments such as nonregulated temperature, dusty, tobacco-smoke filled, and humid conditions. Locations using a location controller that is not constructed so as to operate in these environments and that fail to operate properly are not allowed to operate machines until the location controller is repaired or replaced so as to operate in such a suboptimal environment;
(15) be capable of validating tickets printed by a machine.
Section 12-22-1050. The department may set standards for machines, modems, location controllers, the central computer monitoring system, and associated equipment including, but not limited to, technical standards, hardware specifications, software specifications, and standards relating to multiplayer units. Applicants must meet these standards before any license may be issued. The department may revise technical standards as is necessary providing sufficient time for compliance by licensees. The technical standards established by the department must, to the extent possible, within the limitation of this chapter, maximize competition among manufacturers.
Section 12-22-1060. The burden of proof that a machine, game, location controller, modem, or any part of a machine meets the required standards and requirements is the responsibility of the manufacturer or machine owner. The department may require the manufacturer or machine owner to obtain a certification from an approved laboratory indicating that the machine, game, location controller, modem, or any part of a machine meets the required standards and requirements. The cost of this certification is the responsibility of the manufacturer or machine owner. The department shall provide a list of approved laboratories. The department may also review a laboratory to determine if the laboratory should be added or removed from the department's list of approved laboratories. The department may contract with a testing laboratory to ensure and certify that a machine, game, location controller, modem, or any part of a machine meets the required standards and requirements. The department may also establish a state testing laboratory. Payment of the cost of testing by the laboratory is the responsibility of the manufacturer or machine owner.
Section 12-22-1070. A machine owner shall notify the department before a machine is added, moved, replaced, or disconnected.
Section 12-22-1080. The licensed establishment or machine owner shall notify the department before a location controller is added, moved, or disconnected.
Section 12-22-1090. (A) Each location controller must be programmed automatically to disable the play of all machines connected to the location controller, if the location controller has not been polled by the central computer monitoring system for the purpose of collecting meter and event data, for a period to be determined by the department, but not less than seventy-two hours. The machine must be enabled when communication has been restored.
(B) Whenever a machine is disabled during play of a game, the following must occur:
(1) a message must appear on the screen warning the player that the machine is about to be disabled and the player must be informed that one minute remains to complete the game;
(2) a count-down timer must be displayed; and
(3) if the player completes the game, all payouts must be reported on a payouts ticket and no other games are allowed to be played on that machine;
(4) if the player has not completed the game in the minute allotted, then the machine shall complete the hand according to the manufacturer's recommended play strategy, all payouts must be reported on a payouts ticket, and the machine then disabled.
Section 12-22-1100. (A) Each machine placed in operation in this State must have affixed by the manufacturer a VGMID assigned by the department. Each machine owner shall notify the department in writing of the receipt of a machine. Manufacturers, distributors, and machine owners shall make machines and associated equipment available for inspection by the department or division. No machine may be transported out-of-state until the VGMID has been removed. No one other than an authorized department or division employee shall remove the VGMID. For qualifying machines already located in the State, the department shall assign, and the division shall affix, the VGMID. The VGMID must be programmed into the machine and serves as the machine's unique identifier for purposes of logging events and reporting play statistics.
Section 12-22-1110. (A) Every machine owner shall maintain records for each machine showing the manufacturers' serial number; model and type of machine; the VGMID; the license number; the location's name, address, and telephone number; the machine operator; the date the machine entered this State; the date it entered the location; the date the machine went on-line; and the bank account from which the taxes are withdrawn.
(B) The machine owner shall maintain information relating to the payment of any money or compensation paid to any persons to operate the machine. Information required by this section must be available on demand for inspection by a representative of the department or division.
Section 12-22-1120. (A) No person may possess, own, operate, maintain for use or operation, or allow the operation of, any machines that:
(1) allow more than two dollars to be risked, wagered, or played on any one play or hand; or
(2) issue payouts of more than one hundred twenty-five dollars on any one play or hand;
(3) require any minimum number of credits before issuance of a validated payouts ticket;
(4) permit any player to receive a payout at the end of play greater than one hundred twenty-five dollars, regardles of the amount of money deposited into the machine;
(5) produce at the completion of play validated tickets worth more than one hundred twenty-five dollars regardless of the amount deposited in the machine;
(6) allow at the completion of play the production of multiple tickets with a collective value of greater than one hundred twenty-five dollars or any other schemes to evade the one hundred twenty-five dollars per hand and cash out limits provided above; or
(7) offer on the face of the machine or in any pay table the possibility of receiving a payout of greater than one hundred twenty-five dollars for a single play or hand or at the time of cashing out.
(B) The department shall revoke for five years all licenses of the machine owner, machine operator, machines, and the establishment, where any machine violating subsection (A) is found.
Section 12-22-1130. A machine must be disposed of in a manner that makes it incapable of use or operation in any video game or other gaming or amusement activity. A machine may not be disposed of until notice has been given to the department as provided in this section. An owner desiring to dispose of an unsaleable or damaged machine shall notify the department in writing before disposal and provide the following information in a manner as directed by the department:
(1) the full name, address, and license number of the person or entity disposing of the machine;
(2) the manufacturer's serial number of the machine;
(3) the model number and description of the machine;
(4) the manufacturer of the machine;
(5) the VGMID of the machine;
(6) the hard meter readings of the machine;
(7) the licensed establishment at which the machine was located;
(8) the proposed manner, time, and place of disposal.
Section 12-22-1140. A machine must not simulate bingo or a slot machine.
Section 12-22-1150. Each machine must contain a single printing mechanism capable of printing an original ticket and retaining an exact copy which is subject to inspection by the department. Tickets must contain any information the department determines to be reasonable for the efficient administration of this chapter. The department shall provide manufacturers information as to the information needed on a ticket and the placement of information on the ticket.
Section 12-22-1160. All machines, location controllers, and the central computer monitoring system selected by the department must perform correctly before, during, and after the year 2000, with no error in functioning or data caused by failure to correctly interpret and utilize data contained within date fields within the system.
Section 12-22-1170. The department, in its discretion, may approve alternative technical provisions provided that the technology maintains the security, account information, and integrity of the machines, location controllers, and central computer monitoring system.
Section 12-22-1180. The central computer monitoring system shall delete prior to the completion of play and the printing of validated tickets all credits or their equivalents with a value of greater than one hundred twenty-five dollars.
Section 12-22-1310. (A) The division shall conduct background investigations on those persons associated with the operation of machines as provided in this chapter. A background investigation is defined as a security, criminal, and credit investigation of a person associated with the operation of machines or a principal connected to that business. The division shall conduct the investigations and inspections it considers necessary to fulfill its responsibilities under this chapter.
(B) The division shall:
(1) promptly and in a reasonable order, investigate all applications, enforce the provisions of this chapter, and provide to the department all information to allow the department to issue or deny the license;
(2) provide the department with all information necessary for all actions under this chapter and for all proceedings involving enforcement of the provisions of this chapter or any regulations;
(3) investigate violations under this chapter and any regulations;
(4) conduct continuing review of machine operations through on-site observation and other reasonable means, to assure compliance with this chapter;
(5) receive and take appropriate action on any referral from any law enforcement agency or the department relating to any evidence of a violation of this chapter and regulations;
(6) exchange fingerprint data with, and receive criminal history information from, the Federal Bureau of Investigation or other law enforcement agencies;
(7) have the authority to request and receive information, materials, and any other data from any person; and
(8) report to the department any recommendations that promote more efficient operations of the division or the department.
(C) In connection with the responsibilities under this chapter, the division or the department and their employees and agents may:
(1) inspect and examine all establishments where machines are operated;
(2) inspect and examine where machines or equipment are manufactured, sold, distributed, or serviced;
(3) inspect all equipment and supplies in, about, upon, or around the establishment;
(4) seize and remove from such establishments and impound any machines, equipment, or supplies for the purposes of examination and inspection;
(5) inspect, examine, and audit all records pertaining to an applicant's operation;
(6) seize, impound or assume physical control of any book, record, ledger, machine, and boxes and their contents.
(D) The division may obtain warrants for the inspection and seizure of any property possessed, controlled, or otherwise held by any applicant or principal.
(E) The division may inspect any applicant or licensee for compliance with the provisions of this chapter and regulations and to investigate any violations.
Section 12-22-1320. (A) Investigations must be conducted on manufacturers, distributors, establishment owners, machine owners, machine operators, service technicians, and their principals.
(B) As a condition of receiving a license under the provisions of this chapter, each applicant and principal shall agree that the division and the department have unrestricted access and the right to inspect any premises under the control of the applicant or principal in which occurs any activity related to the provisions of this chapter.
(C) Each applicant and principal, by signature of his application, grants the division the authority to access state, national, and international information for validation of information contained on the application. Any information found at the state, national, or international level which would prevent the applicant from obtaining any license required under this chapter must be used to do so.
(D) Each applicant and principal shall cooperate with the division and the department in the performance of their duties.
(E) Each applicant with submission of an application shall submit a valid fingerprint card for every principal or others affiliated with the operation of the licensed business.
Section 12-22-1340. (A) The department shall deny a license if a background investigation of any applicant or principal of an applicant reveals any of the following:
(1) a conviction within fifteen years before the date of the application in any jurisdiction for any of the following offenses:
(a) any offense punishable by imprisonment for two or more years;
(b) any gambling offense;
(c) theft or any crime involving false statements or declarations.
(2) a determination of liability for, or an agreement that he was liable for, a civil judgment based in whole or in part upon conduct described in item (1) of this subsection;
(3) omission of any material facts to the division or the department during initial or subsequent background investigations or a misstatement, or untrue statements, of material facts with respect to such investigation;
(4) association with persons or businesses of known criminal background, or persons of disreputable character, that may adversely affect the general credibility, security, integrity, honesty, fairness, or reputation of the State or to the effective regulation of video poker;
(5) failure to cooperate with any legislative investigative committees or other officially constituted body acting on behalf of the United States or any state, county, or municipality which seeks to investigate crimes related to gambling, corruption of public officials, or any organized criminal activities;
(6) that the applicant owes any federal or state delinquent taxes, penalties, or interest.
(B) The department or division may require any person to appear and testify before the department's or division's agents with regard to any manner within their jurisdiction. This testimony must be under oath and may embrace any matters which the department or the division considers relevant to the discharge of their official duties. Any person required to appear and testify has the right to be represented by counsel. Any testimony taken may be used by the department as evidence in any proceeding or matter then before the division or the department. Failure to appear and testify, unless excused, constitutes grounds for termination of application and may constitute revocation of current licenses.
Section 12-22-1350. (A) Each applicant shall bear all risks of unintentional adverse public notice, embarrassment, criticism, damages, or financial loss which may result from any disclosure or publication of any material or information obtained by the department or division pursuant to action on an application.
(B) Distributors, principals, machine owners, machine operators, and technicians, and any other persons the division or the department considers necessary have an affirmative duty to maintain on file with the department and the division current and correct disclosure of all principals and all material facts required for licensure.
Section 12-22-1360. (A) The applicant for a license shall provide detailed information regarding:
(1) the ownership and management, including information on all principals;
(2) a detailed history and explanation of gambling activities and licenses in other jurisdictions of the applicant and all principals;
(3) federal registration with respect to gambling devices; and
(4) any other information considered necessary by the department for the proper administration and enforcement of this chapter.
(B) The department and the division are authorized to develop applications and other forms.
(C) The forms must require the applicant to disclose any present or previous experience or involvement with machines as a manufacturer, distributor, machine owner, machine operator, technicians, or employees. Present or previous experience or involvement includes the control of gambling devices as a machine owner or machine operator; employment with the machine owner or machine operator gambling devices; employment in establishments where gambling is offered to the public; and conviction of violation of federal, state, or local gaming laws in any jurisdiction.
(D) The applicant shall submit proof with the application that he does not owe any federal or state delinquent taxes, penalties, or interest.
(E) As a condition of receiving a license under the provisions of this chapter, each licensee shall agree that the division, the department, and their agents and employees, shall have unrestricted access and the right to inspect any premises under the control of the licensee in which any activity relating to the provisions of this chapter is conducted.
Section 12-22-1370. (A) The applicant shall provide the local governing authority information related to the application for any license issued under this chapter.
(B) Each applicant shall immediately make available for inspection, by any department or division employee, all records and the establishments where machines are placed or operated, or where machines, devices, or equipment are manufactured, sold, serviced, or distributed.
Section 12-22-1380. (A) The applicant shall file a duplicate application with the department. The department shall forward one of the applications to the division. No time limit is imposed on the division for completion of its investigation. The division shall return the background investigation to the department.
(B) The department shall determine whether the applicant owes any delinquent taxes, fines, penalties, or interest.
(C) The department may not issue any license until the background investigations are concluded. The department shall make affirmative determination that the applicant is qualified and the applicable license or associated fees have been paid before issuing any license.
(D) The department or division shall notify the applicant by mail if an application is incomplete. The notification must be sent to the address on the application. The notification must state the deficiencies in the application. If after the second notice of an incomplete application the applicant has not responded, the department shall consider the application withdrawn.
Section 12-22-1510. (A) The department may revoke licenses required under this chapter held by any person who fails to comply with any provision of this chapter or any provision of a regulation pertaining to this chapter. In lieu of revocation of licenses, the department may suspend licenses. In addition, the department may impose a monetary penalty of not more than five thousand dollars for each failure to comply with a provision of this chapter or any provision of a regulation pertaining to this chapter. Each violation and each day in violation of a provision of this chapter or any provision of a regulation pertaining to this chapter constitutes a separate offense.
(B) With respect to any failure to comply with any provisions of this chapter occurring at a licensed establishment, the machine operator and the machine owner are both liable for any penalty and are both subject to revocation and suspensions as provided in this section.
Section 12-22-1520. (A) A person is guilty of a felony and, upon conviction, the person must be fined not more than twenty-five thousand dollars or imprisoned not more than five years, or both, if:
(1) the person wilfully tampers with a machine, location controller, or associated equipment with intent to interfere with its proper operation or the proper operation of the central computer monitoring system;
(2) the person wilfully excludes, or takes any action in an attempt to exclude, anything or its value from the deposit, counting, collection, or computation of revenues, free games, or credits from machines;
(3) the person wilfully manipulates the outcome, payoff, or operation of a machine;
(4) the person wilfully launders or knowingly allows another to launder money through one or more machines;
(5) the person knowingly possesses, owns, operates, or allows the operation of, a contraband machine, or contraband device, at any place within this State;
(6) on or after September 1, 1999, or the nineteenth day following the effective date of this chapter, whichever is later, the person operates, or allows the operation of, machines that are not connected to the central computer monitoring system in accordance with this chapter;
(7) the person intentionally skims or excludes, or takes any action, in an attempt to exclude anything or its value from the deposit, counting, collection, or computation of revenues from machines;
(8) the person operates an establishment in this State for the playing of machines without having a license;
(9) the person conducts business in this State as a machine or location controller manufacturer, a machine owner, or a distributor without having a license;
(10) the person operates machines without having a machine license; or
(11) the person managing or otherwise having the charge or care of a licensed establishment, or the owner of a video game machine, wilfully violates items (1), (2), (3), (4), (5), (6), (7), (8), (9), or (11) of Section 12-22-840(A), each being a separate offense under this section.
Section 12-22-1525. Conspiring to subvert the provisions of this chapter is a conspiracy as defined and punished in Section 16-17-410.
Section 12-22-1530. (A) The following activities are criminal violations of this chapter:
(1) refusing or otherwise preventing the inspection or examination by the department, the division, or any law enforcement officer, of any establishment, and any premises used for the manufacture, distribution, or storage of machines within this State;
(2) refusing or otherwise preventing the examination by the department or division of revenue, payouts, or net machine income, records or equipment of any licensed or unlicensed machine owner, machine operator, manufacturer, distributor, or establishment.
(B) A violator is guilty of a misdemeanor and, upon conviction, must be punished by a fine of not more than five hundred dollars or imprisonment of not more than thirty days, or both. Each failure to have a license required under this chapter constitutes a separate offense. Offenses under this item are triable in magistrate's court.
Section 12-22-1540. (A) The following activities are additional civil violations of this chapter subject to the penalties in Section 12-22-1510:
(1) tampering with a machine, location controller, or any other part, device, or system to interfere with its proper operation or the proper operation of the central computer monitoring system;
(2) excluding, or take any action in an attempt to exclude, anything or its value from the deposit, counting, collection, or computation of revenues, free games, or credits from machines;
(3) manipulating the outcome, payoff, or operation of a machine;
(4) possessing, owning, operating, or allowing the operation of, a contraband machine or device at any place within this State;
(5) operating, or allowing the operation of, machines that are not connected to the central computer monitoring system in accordance with this chapter; or
(6) conspiring to subvert the provisions of this chapter.
Section 12-22-1550. In addition to all other civil and criminal penalties, any person operating a contraband machine must be assessed a civil penalty in an amount equal to the statewide average of cash placed into a machine for the longer of its time of operation or twelve months.
Section 12-22-1560. (A) The department shall disable machines via the central computer monitoring system for the following reasons:
(1) The establishment at which the machines are located has had its establishment license or retail sales tax license revoked or suspended.
(2) The license assigned to the machine has been revoked or suspended.
(3) The machine owner has had his machine owner's license revoked or suspended.
(4) The machine license has expired and no new license has been issued by the expiration date.
(5) The central computer monitoring system has registered a violation of system integrity by a machine. A machine disabled for this reason must be enabled again as soon as the problem has been resolved.
(6) The central computer monitoring system has disabled a machine, upon request, in order for it to be moved or relocated.
(B) A machine disabled for revocation of licenses as set forth in item (1), (2), or (3) of subsection (A) of this section must not operate in this State for a period of five years from the date of the revocation. The five-year prohibition also applies to any part of the machine. Any machine, to include its parts, which is not allowed to operate in this State under the provisions of this section, must be stored by the owner in a facility approved by the department or division.
Section 12-22-1570. (A) Any person may bring a civil action for any violation of any of the provisions of this chapter. The case must be brought in the name of the State, and may be filed in any state court of competent jurisdiction. The person bringing the case may seek any fine or penalty that the State may seek.
(B) A copy of the complaint must be served on the Attorney General and the director, by the person bringing the action, either of whom may elect to join any action brought by the person.
(C) If the State joins with an action brought by a person under this section, the State, in addition to other fines or penalties, may request the suspension or revocation of licenses. The person shall receive at least fifteen percent but not more than twenty-five percent of the proceeds of the action or settlement of the claim, depending upon the extent to which the person substantially contributed to litigating the action. The person also shall receive an additional amount for reasonable expenses which the court finds to have been necessarily incurred, plus reasonable attorney's fees and costs, to be paid by the defendant.
(D) If the State does not join with the action under this section, the person bringing the action or settling the claim shall receive an amount which the court decides is reasonable for collecting the civil penalty and revocation. The amount must not be less than twenty-five percent and must not be more than forty percent of the proceeds of the action or settlement, and must be paid out of the proceeds. The person also shall receive an additional amount for reasonable expenses which the court finds to have been necessarily incurred, plus reasonable attorney's fees and costs, to be paid by the defendant.
(E) The State is not liable for expenses which a person incurs in bringing an action under this section.
(F) No settlement may be entered without approval by the department.
(G) Any determination in an action under this section that a licensee has violated a provision of this chapter is grounds for revocation of those licenses and the department may bring a subsequent action for suspension or revocation.
Section 12-22-1580. The penalties authorized by this chapter are effective immediately upon imposition and may not be stayed by any administrative or judicial action.
Section 12-22-1590. In any action under this chapter, no person may raise as a defense that he acted on the advice of his certified public accountant, unless he proves that he supplied that accountant with a copy of this chapter and all relevant regulations.
Section 12-22-1710. Cash payouts are not permitted with respect to the games played on machines and other devices licensed under this article. The provisions of the other articles do not apply to the machines and devices licensed under this article.
Section 12-22-1720. Every person required to obtain a license for any machine or device described in Section 12-22-1730 shall maintain records showing the manufacturer's serial number, model or type of machine, and the location of the machine. The taxpayer shall maintain information relating to the payment of any monies or compensation made to any persons as part of a lease or contractual agreement to operate the machine on the premises of the person. Information required by this section must be available on demand for inspection by a representative of the department.
Section 12-22-1730. (A) Every person who owns and operates, or places for use in another person's place or premises for a share of any revenue, one or more of the following machines or devices shall apply for and procure from the department a license effective for two years for the privilege of making use of the machine or device in this State. The person shall pay for the license a nonrefundable fee of fifty dollars for each machine or device in items (1) and (4), two hundred dollars for each machine or device in item (2), and two thousand dollars for each machine or device in item (3):
(1) a machine for the playing of music or kiddy rides operated by a slot or mechanical amusement devices and juke boxes in which is deposited a coin or thing of value. A machine on which an admissions tax is imposed is exempt from the license provisions of this section;
(2) a machine for the playing of amusements or video games, without free play feature, or machines of the crane type operated by a slot in which is deposited a coin or thing of value and a machine for the playing of games or amusements, which has a free play feature, operated by a slot in which is deposited a coin or thing of value, and the machine is of the nonpayout pin table type with levers or 'flippers' operated by the player by which the course of the balls may be altered or changed. A machine on which an admissions tax is imposed is exempt from the license provisions of this section;
(3) a machine of the nonpayout type, in-line pin game operated by a slot in which is deposited a coin or thing of value except machines of the nonpayout pin table type with levers or 'flippers' operated by the player by which the course of the balls may be altered or changed;
(4) billiard or pocket billiard table, foosball table, bowling lane table, or skeeball table operated for profit.
(B) The license must be purchased in advance on or before the first day of June every two years or before making a machine available for play. All licenses expire May thirty-first the second year of which the license is valid following the date of issue.
(C) Machines which have multiplayer stations must have a separate license for each such station.
(D) As an alternative to the license required in subsection (A), a person may be granted a nonrefundable seasonal license beginning April first and expiring September thirtieth, following the date of issue, which must not be prorated. The fee for this six-month license is one-fourth the biennial license fee.
(E) If the license required in subsection (A) is purchased after June thirtieth, the license fee must be prorated on a twenty-four month basis with each month representing one twenty-fourth of the license fee imposed under subsection (A).
(F) Upon application being made for a license to operate any machine, the department may presume that the operation of the machine is lawful, but the issuance by the department of a license does not make lawful the operation of any machine which is unlawful under the laws of this State. When a license has been issued, the sum paid for the license must not be refunded notwithstanding that the operation of the machine or apparatus is prohibited.
(G) Failure to obtain a license as required by this article makes the person liable for the penalties imposed in this article.
(H) The department, upon notification by the licensee purchasing machines from another licensee, shall allow for the transfer of the license issued pursuant to subsection (A) upon sale of the machine and license to the new owner. Notification for the transfer of the machine must be made to the department at least five days before transfer of the machine. This notification of sale must include a notarized statement of both the purchaser and seller identifying the machine by serial identification number and machine license number.
(I) The license issued pursuant to this section must be displayed conspicuously on the front of the machine on a permanent, nontransferable part of the machine before its operation commences. The license must always be a current and valid license.
Section 12-22-1740. (A) In addition to all other licenses required by this article, a person required to obtain a license for any machine or device described in Section 12-22-1730 shall obtain an owner's license biennially as follows:
(1) fifty dollars for devices in Section 12-22-1730(A)(1) and (A)(4);
(2) two hundred dollars for devices in Sections 12-22-1730(A)(2) and 12-22-1730(A)(3).
(B) Only one license is required regardless of the number or type of devices owned or operated, and the cost of that license is the highest fee enumerated in this section for a device owned or operated.
(C) The license may be purchased in advance on or before the first day of June every two years or before making a machine or device available for play. All licenses expire May thirty-first the second year of which the license is valid following the date of issue.
(D) Failure to pay taxes to the State is grounds for the cancellation of the license provided in this section.
(E) The provisions of this section do not apply to any person with a current and valid machine owner's license issued under Article 3 of this chapter.
Section 12-22-1750. In lieu of the licenses required under Sections 12-22-1730 and 12-22-1740, the department may issue a temporary license to persons making application to operate machines or devices required to be licensed under this article at a recognized county or state fair. The temporary license fee is the total amount of license fees required on all machines or devices for which application is made, based upon one-twenty-fourth of the biennial license required under Sections 12-22-1730 and 12-22-1740. The license is valid for the specific location designated on the license and the number of machines for which application was made and expires when the designated fair officially ends.
Section 12-22-1760. Machines or devices licensed pursuant to Section 12-22-1730(A)(1), (A)(2), and (A)(4) are not subject to confiscation for a violation of Section 16-19-30, 16-19-40, 16-19-50, or 16-19-130.
Section 12-22-1770. A person who fails, neglects, or refuses to comply with the provisions of this article, or who fails to attach the required license to any machine or device as required under this article, is subject to a penalty of five hundred dollars for each failure, and the penalty may be assessed and collected by the department. This penalty may be deposited to the credit of the general fund of the State.
Section 12-22-1780. In addition to the penalties provided in Section 12-22-1770, any machine or device not having the required license attached, or which is improperly licensed, may be seized and confiscated by the division, its agents or employees, and sold at public auction after thirty days' advertisement. Upon payment of the license required, the department may return the property seized and confiscated.
Section 12-22-1790. Municipalities and counties may levy a license tax on the business tax taxed under this article but in no case may the tax exceed twelve dollars and fifty cents.
Section 12-22-1800. A person required to obtain a license for any machine or device described in Section 12-22-1730 must have attached to the machine or device information identifying the owner or operator of the machine or device. The identification must be placed on a part of the machine or device which is visible for inspection purposes. This identification is a condition precedent before the machine or device may be operated on location. Failure to comply with this requirement subjects the violator to the penalty and enforcement provisions of this chapter and of Chapter 54 as applicable.
Section 12-22-1810. If an unlicensed machine is seized by law enforcement as a prohibited machine under the laws of this State, the department shall assess a penalty equal to the amount of the license fee."
2. Section 12-60-3370 of the 1976 Code, as added by Act 60 of 1995, is amended to read:
"Section 12-60-3370. (A) Except as provided below, a taxpayer shall pay, or post a bond for, all taxes, including interest, penalties, and other amounts determined to be due by the Administrative Law Judge or DMV hearing officer before appealing the decision to the circuit court. For property tax cases covered by Section 12-60-2140 or 12-60-2550, the taxpayer need only pay the amount assessed under the appropriate section.
(B) If the revocation or suspension of any license required under Chapter 22 of this title for the disabling of any video game machines via the central computer monitoring system is upheld by a decision of the Administrative Law Judge Division, then the person appealing the decision to the circuit court shall post a cash or surety bond with the department equal to three times the net machine income of the last two calendar quarters for the video game machines in question or in operation at the licensed establishment. As an alternative, the person appealing the decision may pay twice a month, to the department as a cash bond, the net machine income from the video game machines in question or in operation at the licensed establishment. A cash bond must be held by the State Treasurer, without interest, as surety conditioned upon prompt payment of any amount determined by the court to be due.
(C) If the revocation or suspension of licenses or the disabling of machines is upheld upon appeal, the person subject to the revocation, suspension, or disabling is liable for and shall pay to the department an amount equal to the net machine income from the date of the decision by the Administrative Law Judge Division to the date of the final court order."
3. Section 61-4-580(3) of the 1976 Code, as added by Act 415 of 1996, is amended to read:
"(3) permit gambling or games of chance not authorized by Chapter 22 of Title 12;"
4. Chapter 19, Title 16 of the 1976 Code is amended by adding:
"Section 16-19-65. (A) It is unlawful for any person to keep on his premises or operate or permit to be kept on his premises or operated within this State any vending or slot machine, punch board, pull board, or other device pertaining to games or chance of whatever name or kind, including those machines, boards, or other devices that display different pictures, words, or symbols, at different plays or different numbers, whether in words or figures or, which deposit tokens or coins at regular intervals or in varying numbers to the player or in the machine, but the provisions of this section do not extend to coin-operated nonpayout pin tables, in-line pin games, and video games with free play feature which meet the technical requirements provided for in Article 9, Chapter 22 of Title 12, or to automatic weighing, measuring, musical, and vending machines which are constructed as to give a certain uniform and fair return in value for each coin deposited and in which there is no element of chance.
(B) Any person violating the provisions of this section is guilty of a misdemeanor and, upon conviction, must be fined not more than five hundred dollars or imprisoned for a period of not more than one year, or both.
(C) Any vending or slot machine, punch board, or other device pertaining to games of chance prohibited by this section must be seized by any law enforcement officer and at once taken before any magistrate of the county in which the machine, board, or device is seized who shall immediately examine it, and if satisfied that it is in violation of this section or any other law of this State, shall direct that it be immediately destroyed.
Section 16-19-66. (A) It is unlawful for a person to operate, cause to operate, or attempt to operate an automatic vending machine, slot machine, coin-box telephone, or other receptacle designed to receive lawful coin of the United States of America in connection with the sale, use, or enjoyment of property or service by means of a slug or any false, counterfeited, mutilated, sweated, or foreign coin, or by any means not lawfully authorized by the owner, lessee, or licensee of the receptacle.
(B) It is unlawful for a person to take, obtain, or receive from or in connection with any receptacle designed to receive lawful coin of the United States of America in connection with the sale, use, or enjoyment of property or service any goods, wares, merchandise, gas, electric current, or other article of value or the use or enjoyment of any telephone or telegraph facilities, or service, or of any musical instrument, phonograph, or other property, without depositing in and surrendering to the receptacle lawful coin of the United States of America in the amount required by the owner, lessee, or licensee of the receptacle.
(C) A person who violates the provisions of this section is guilty of a misdemeanor and, upon conviction, must be fined in the discretion of the court or imprisoned not more than two years.
Section 16-19-67. A person who, with intent to cheat or defraud the owner, lessee, licensee, or other person entitled to the content of an automatic vending machine, slot machine, coin-box telephone, or other receptacle, depository, or contrivance designed to receive lawful coin of the United States of America in connection with the sale, use, or enjoyment of property or service or who, knowing that the same is intended for unlawful use, manufactures for sale, or sells or gives away any slug, device, or substance intended or calculated to be placed or deposited in the automatic vending machine, slot machine, coin-box telephone, or other receptacle, depository, or contrivance is guilty of a felony and, upon conviction, must be fined in the discretion of the court or imprisoned not more than five years."
5. In accordance with Article 9, Chapter 22, Title 12 of the 1976 Code, the Department of Revenue may set the standards for video game machines, modems, location controllers, software, hardware, the central computer monitoring system, and associated equipment. Failure to comply with these standards subjects the violator to the civil and criminal penalties, including fines, suspensions, and revocations established in Chapter 22 of that title including the provisions of Section 12-22-1580 of the 1976 Code relating to the time such penalties apply without regard to stays. Until the department adopts such standards, the standards provided in Parts 1 through 4 of this section must apply and must be met before issuance of a license. The definitions provided in Section 12-22-10 of the 1976 Code apply for purposes of this section.
(A) Each machine must be able to connect to a monitoring system via a serial communications port to a location controller meeting the requirements set forth by the department and using a communications protocol provided by the department or its designated agent.
(B) Each machine must be capable of monitoring and storing the following items:
(1) The cumulative total of the following for each twenty-four hour period, from 12:00 a.m. to 12:00 a.m., which may be recorded as a "snapshot" of the specified counters at the beginning and ending of each twenty-four hour period:
(a) cash in, defined as money in dollars and cents;
(b) credits purchased;
(c) credits earned or won;
(d) credits played;
(e) credits paid;
(f) cash paid.
(2) The following security events and the time and date of such events:
(a) game door open;
(b) coin-bill/drop door open;
(c) power off/on;
(d) off line/on line to the location controller;
(e) game control board access (logic area).
(C) Each machine must contain Erasable Programmable Read Only Memory (EPROM) containing all game logic, and contain RAM (Random Access Memory) containing all counters and meters in electronic format, or such other technology as may later be designated by the department.
(D) Each machine is not allowed to operate if it is not connected in on-line mode to a location controller meeting the requirements set forth by the department.
(E) A machine must collect the data required in Section 12-22-1040(C) of the 1976 Code and communicate this information to a location controller for storage until requested by the central computer monitoring system. Each security event required in Section 12-22-1040(C) of the 1976 Code may reflect a time and date stamp and the VGMID of the machine.
(F) A machine automatically must disable itself if communication is lost from the location controller. A machine must store this event. A machine must report a disabling event to the location controller when communication is restored.
(G) A machine must be capable of being disabled by the central computer monitoring system or the location controller.
(H) A machine must be capable of being enabled by the central computer monitoring system or by location controller once it has been enabled by the central computer monitoring system.
(I) A machine must be protected from unauthorized interference or tampering by any person or external device so as to not corrupt or suspend the communication signals or transmitted data required for the proper functioning of the machine and the associated location controller.
(J) Each machine must have a surge protector installed on the line that feeds power to the machine and must meet the requirements of the department.
(A) A machine must have electrical and mechanical parts and design principles that do not subject a player to physical hazards.
(B) A machine must have a battery backup or an equivalent for the electronic meters and be capable of maintaining accurate information required by law and regulation for one hundred eighty days after power is discontinued from the machine. The backup device must be kept within the locked logic board compartment of the machine.
(C) A machine must have an on/off switch that controls the electrical current used in the operation of the machine and must be in an accessible place within the interior of the machine.
(D) The operation of each machine must not be adversely affected by static discharge or other electromagnetic interference.
(E) Each machine must have one coin acceptor, either electronic or mechanical, one bill acceptor, either electronic or mechanical, or one of each. Approval letters and test reports of the coin and bill acceptors from other state or federal jurisdictions must be submitted to the department. All coin and bill acceptors are subject to approval by the department.
(F) The internal space of a machine must not be readily accessible when the front door is closed or sealed.
(G) Logic boards and software EPROMs and RAM must be in a separate, locked and sealed area within the machine and must only be accessible only in accordance with guidelines established by the department. The area must be sealed by, and accessible to, the division.
(H) The cash and coin compartment must be contained in a locked area within or attached to the machine. This compartment must be accessible by the machine owner or machine operator.
(I) No switches of any kind, to include but not limited to hardware and software switches, must be installed that alter the pay tables or payout percentages in the operation of a game below the minimum payback of ninety percent, within standard rounding, in which the theoretical payout percentage is determined using standard methods of probability theory. Switches or other devices may be installed to control graphic routines, speed of play, and sound.
(J) A single printing mechanism must be capable of printing an original ticket and retaining an exact, legible copy within the machine. The ticket must record the number of credits, the value of the credit, and a validation number, when credits accrued are printed on a ticket for validation.
(K) The printed ticket is the only allowable method for issuing payouts. Hoppers are prohibited.
(L) A clearly visible identification plate must appear on the front exterior of the machine that contains the manufacturer, the manufacturer's serial number, the model number, the VGMID, and the name of the machine owner. This plate must not be removed. This identification is a condition precedent before the machines may be operated on location. Failure to comply with this requirement subjects the violator to the penalty and enforcement provisions of Chapter 22 of Title 12 of the 1976 Code including the provision of Section 12-22-1580 relating to the time such penalties apply without regard to stays.
(M) Equipment must be installed in a manner that enables a machine to communicate with the department's central computer monitoring system via the location controller using a communications protocol provided to each manufacturer of machines and location controllers provided by the department or its designated agent.
(A) Each machine must maintain electronic accounting meters at all times, regardless of whether the machine is being supplied with power. Each meter must be capable of maintaining totals no less than eight digits in length for the information required by the law and by regulation of the department.
(B) Electronic meters must record the cumulative total of cash in, credits purchased, credits paid, credits earned/won, cash paid, and credits played, per each twenty-four hour period, from 12:00 a.m. to 12:00 a.m. This information may be recorded as a snapshot of the specified counters at the beginning and ending of each twenty-four hour period.
(C) Electronic meters also must record security events, with the time and dates, to include game door open, coin-bill/drop door open, power off/on, off line/on line to the location controller, and game control board access.
(D) No machine may have a mechanism that an error will cause the electronic accounting meters to automatically clear. Clearing of the electronic accounting meters may be completed only after notification and approval by the department and supervised by the division.
(E) Each machine must have a random number generator that determines the occurrence of a specific card or a specific number to be displayed on the video screen. A selection process is considered random if it meets all the following requirements:
(1) each card position or each number position satisfies the ninety-nine percent confidence limit using the standard chi-squared analysis;
(2) each card or number position does not produce a significant statistic with regard to producing patterns of occurrences. Each card or number position is considered random if it meets the ninety-nine percent confidence level with regard to the runs test or any similar pattern testing statistic;
(3) each card or number position is independently chosen without regard to any other card or number drawn within that game play. This test is the "correlation test". Each pair of card or number positions is considered random if they meet the ninety-nine percent confidence level using standard correlation analysis; and
(4) each card or number position meets the serial correlation test, meaning that it is independently chosen without reference to the same card or number position in the previous game. Each card or number position is considered random if it meets the ninety-nine percent confidence level using standard serial correlation analysis.
(F) All costs associated with the machines, to include upgrades or retrofits, in order for such machines to meet the requirements of the laws and regulations of this State are the responsibility of the machine owner.
(A) For purposes of this part, multiplayer units are divided into two general groups:
(1) units that share some common components (Group I); and
(2) units that share most components (Group II).
(B) Group I and Group II units are based on the common principal that they both try to accurately mimic live table play. Both groups may consist of a number of player stations, generally either three or five player units per machine, and some type of dealer display. Both groups of games allow the players to wager on the next hand to be played and the object of the game, and the payout table is based on the player beating the dealer's hand. The player stations and dealer draw from a common deck of cards. Neither of these groups contains any program routines that allow the player or device to gain an unfair advantage or to cheat the device or player.
(C) Group I and Group II units share common elements. The following define the difference in the two groups of multiplayer units:
(1) Group I Units: Group I units have individual logic boards containing player station EPROMs and RAM containing all meter and event information for the individual station, as well as master logic boards in the dealer station containing master meters and the random number generation software used commonly by all of the player stations.
(2) Group II Units: Group II units often do not have any game or logic boards in the individual player stations. The program and game memory are stored in the dealer's station. The player's stations are generally "Dumb Terminals" containing player input buttons and coin or bill acceptors. This group of terminals sends and receives all information directly from the dealer's station. Generally, these stations do not have separate power switches. All electrical leads are fed from the dealer's station to the individual player's station and all game display information is shown on the common video display. The dealer's station controls the operation of the game including the random number generator, all meter information, all display functions, all communications with the central system, all event detection and storage logic, and all processor units and EPROMs used for the game. Individual terminals are not in "direct" communication with the central system, but rather use the dealer's station as a "head of string" device for each of the individual stations. The dealer's station contains all individual station meters as well as master meters for the entire group.
(D) A multiplayer unit must be handled in one of two ways, depending on whether it is a Group I machine or a Group II machine. Implementation of either method does not require modifications of the communications protocol or operational changes for either the department or the individual locations. Both methods may be handled entirely in the program code of the individual machines.
(1) Group I unit stations as described above must be wired as if they are separate machines. Each player station must have an optical connection and each station is responsible for its own communications. All meter and event data must be stored on the individual stations and be transmitted to the system on demand. EPROM signature calculations must include the dealer's station code, but each station must perform individual calculations and transmit the results independently of each other. All security, accounting, cash ticket, and event reporting functions must be supported in full.
(2) Group II games must be set up with a dedicated phone line and location controller in the same manner as every other licensed establishment in the State. The fiber optics must leave the location controller and go directly to the dealer's station and then back to the location controller. All communications must be sent from the central system and the site controller exactly as detailed in the communications protocol. The dealer's station is responsible for handling all of the communications for the player stations. If the system asked for meters for station number one, the dealer's station is responsible for collecting and sending that data to the central system. The central system must behave exactly as if there are five separate machines. EPROM signature calculations must be performed over the dealer's station program code and transmitted back five times just as if there are five machines all running the same game code. All security, accounting, cash ticket, and event reporting functions must be supported in full.
(E) The department may handle on an individual basis, any type of multiplayer units that does not fit in either category Group I or Group II. Other multiplayer units are required to meet all applicable programming, communications, and security rules and regulations.
6. Articles 19 and 20, Chapter 21, Title 12 of the 1976 Code are repealed.
7. The repeal or amendment by this section of any law, whether temporary or permanent or civil or criminal, does not affect pending actions, rights, duties, or liabilities founded thereon, or alter, discharge, release or extinguish any penalty, forfeiture, or liability incurred under the repealed or amended law, unless the repealed or amended provision shall so expressly provide. After the effective date of this Section, all laws repealed or amended by this Section must be taken and treated as remaining in full force and effect for the purpose of sustaining any pending or vested right, civil action, special proceeding, criminal prosecution, or appeal existing as of the effective date of this Section, and for the enforcement of rights, duties, penalties, forfeitures, and liabilities as they stood under the repealed or amended laws.
8. Except where otherwise provided, this section takes effect upon approval by the Governor. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. JENNINGS explained the amendment.
Rep. JENNINGS spoke in favor of the amendment.
Rep. DELLENEY spoke against the amendment.
The SPEAKER granted Rep. MARTIN a leave of absence for the remainder of the day.
Rep. DELLENEY continued speaking.
Rep. HASKINS moved cloture on the entire matter.
Rep. HASKINS demanded the yeas and nays, which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Bailey Barfield Barrett Battle Beck Bowers Brown G. Brown H. Brown T. Carnell Chellis Cotty Dantzler Edge Gamble Gilham Gourdine Govan Harrell Harrison Harvin Haskins Hawkins Hines J. Hinson Inabinett Jennings Keegan Kelley Kennedy Knotts Law Leach Lee Limehouse Lloyd Mason McGee McKay McMahand Neilson Phillips Quinn Rodgers Rutherford Sandifer Seithel Smith D. Smith F. Smith R. Stuart Townsend Vaughn Whatley Wilder Wilkes Wilkins Witherspoon Woodrum Young-Brickell
Those who voted in the negative are:
Bales Campsen Canty Cato Cobb-Hunter Cooper Delleney Easterday Emory Fleming Hamilton Harris Kirsh Klauber Koon Littlejohn Loftis Lourie Lucas Mack McCraw McLeod W. Meacham Miller Moody-Lawrence Neal Ott Parks Pinckney Rhoad Rice Riser Robinson Scott Sharpe Sheheen Simrill Smith J. Stille Taylor Tripp Webb Whipper
So, cloture was ordered.
Rep. D. SMITH moved to adjourn debate on the amendment, which was agreed to.
Rep. KNOTTS moved that the House do now adjourn.
Rep. CATO demanded the yeas and nays, which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Altman Askins Bailey Bales Barfield Beck Bowers Breeland Brown G. Brown H. Brown T. Carnell Cobb-Hunter Cooper Cotty Dantzler Delleney Emory Gamble Gilham Gourdine Govan Hamilton Harvin Hawkins Hayes Hines J. Hines M. Hinson Howard Inabinett Kelley Kennedy Knotts Koon Law Leach Lee Limehouse Littlejohn Lloyd Mack Maddox McKay McLeod M. McLeod W. McMahand Moody-Lawrence Neal Ott Phillips Pinckney Rhoad Rodgers Rutherford Sandifer Scott Seithel Sheheen Smith F. Stille Townsend Tripp Vaughn Webb Whatley Whipper Wilder Wilkes Woodrum
Those who voted in the negative are:
Allison Barrett Battle Campsen Cato Chellis Easterday Edge Fleming Harrell Harris Harrison Haskins Jennings Keegan Kirsh Klauber Loftis Lourie Lucas Mason McCraw McGee Meacham Miller Neilson Parks Quinn Rice Riser Robinson Sharpe Simrill Smith D. Smith J. Smith R. Stuart Taylor Walker Wilkins Witherspoon Young-Brickell
So, the motion to adjourn was agreed to.
Further proceedings were interrupted by adjournment, the pending question being consideration of amendments, cloture having been ordered.
The Senate returned to the House with concurrence the following:
H. 4021 (Word version) -- Reps. Taylor, Wilder and Carnell: A CONCURRENT RESOLUTION TO HONOR THE LAURENS DISTRICT 55 HIGH SCHOOL LADY RAIDERS BASKETBALL TEAM FOR THEIR SECOND STATE BASKETBALL TITLE IN AS MANY YEARS.
At 1:20 P.M. the House in accordance with the motion of Rep. VAUGHN adjourned in memory of Hazel Truman, Treasurer of Greenville County, to meet at 10:00 A.M. tomorrow.
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