Indicates Matter Stricken
Indicates New Matter

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

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

Beloved, St. James once wrote (Epistle of James) (v. 8):

"Draw near to God, and He will draw near to you."
Let us pray.

Merciful Father, we are wearied by living and working in a strange and changing world.

We seek with all our hearts to keep our bearing and find our directions by loyalty to the truths and principles that do not change.

We, Lord, for whom time could be short, turn to You, whose days have no ending, with a prayer for help!

You have sustained us through this session and through the silent watches of the nights. We pray that You will be our morning star of hope and guidance and, also, our light at evening time.

Father, we draw near to You! Draw near to us!
Amen.

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

The following appointments were transmitted by the Honorable James H. Hodges:

Initial Appointment, Cherokee County Magistrate, with term to commence April 30, 1998, and to expire April 30, 2002:

Donna B. Elder, 1045 Old Post Road, Gaffney, S.C. 29340 VICE Roland T. Hardy

Reappointment, Laurens County Magistrate, with term to commence April 30, 1999, and to expire April 30, 2003:

Paul Dean Lyles, Post Office Box 925, Laurens, S.C. 29360

The following was received:

Document No. 2372
Agency: Department of Health and Environmental Control
SUBJECT: Procedures for Contested Cases
Received by Lieutenant Governor January 20, 1999
Referred to Medical Affairs Committee
Legislative Review Expiration May 20, 1999
February 19, 1999 House Judiciary Committee Requested Withdrawal
120 Day Period Tolled
March 24, 1999 Withdrawn and Resubmitted
May 26, 1999 House Judiciary Committee Requested Withdrawal
May 26, 1999 Withdrawn and Resubmitted

At 12:30 P.M., Senator RYBERG requested a leave of absence until 3:15 P.M.

At 1:00 P.M., Senator RUSSELL requested a leave of absence until 1:30 P.M.

At 1:50 P.M., Senator GREGORY requested a leave of absence until Tuesday at Noon.

At 1:50 P.M., Senator MESCHER requested a leave of absence until Tuesday at Noon.

At 3:20 P.M., Senator SALEEBY requested a leave of absence until Tuesday at Noon.

On motion of Senator DRUMMOND, with unanimous consent, the Senate agreed to go into Executive Session prior to adjournment.

S. 727 (Word version) -- Education Committee: A BILL TO AMEND CHAPTER 63 OF TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PUPILS, BY ADDING ARTICLE 13 SO AS TO PROVIDE FOR A SYSTEM OF ALTERNATIVE SCHOOLS FOR SPECIFIED STUDENTS IN GRADES 6-12 FOR WHICH A SCHOOL DISTRICT SHALL RECEIVE CERTAIN FUNDING IF IT CHOOSES TO ESTABLISH, MAINTAIN, AND OPERATE AN ALTERNATIVE SCHOOL EITHER INDIVIDUALLY OR THROUGH A COOPERATIVE AGREEMENT WITH OTHER DISTRICTS, AND TO REPEAL SECTION 59-18-1900 RELATING TO COMPETITIVE GRANTS TO FUND ALTERNATIVE SCHOOLS.

The House returned the Bill with amendments.

Senator SETZLER proposed the following amendment (727R002.NGS), which was adopted:

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

/   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 READINESS ACT" WHICH IS AN INITIATIVE FOR IMPROVING EARLY CHILDHOOD DEVELOPMENT BY PROVIDING GRANTS TO LOCAL PARTNERSHIPS TO PROVIDE SERVICES AND SUPPORT TO CHILDREN AND THEIR FAMILIES TO ENABLE CHILDREN TO REACH SCHOOL READY TO LEARN; TO ESTABLISH GOALS FOR THIS INITIATIVE; TO PROVIDE FOR THE FUNCTIONS AND DUTIES OF THE OFFICE IMPLEMENTING AND OPERATING THE INITIATIVE; TO ESTABLISH ELIGIBILITY CRITERIA AND PROGRAM PARAMETERS FOR LOCAL PARTNERSHIPS; AND TO ESTABLISH FISCAL GUIDELINES, CRITERIA FOR LOCAL MATCHING FUNDS, AND EVALUATION REQUIREMENTS FOR LOCAL PARTNERSHIPS; TO AMEND ARTICLE 17, CHAPTER 7, TITLE 20 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 TO REVISE THE PURPOSES OF THE TRUST FUND AND TO FURTHER PROVIDE FOR ITS GOVERNING BOARD, FUNCTIONS, DUTIES, AND FUNDING; TO ADD SECTIONS 43-1-240 AND 44-1-280 SO AS TO PROVIDE THAT THE DEPARTMENT OF SOCIAL SERVICES AND THE BOARD AND THE 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; TO PROVIDE THAT THE TERMS OF BOARD MEMBERS OF THE CHILDREN'S TRUST FUND OF SOUTH CAROLINA EXPIRE ON THIS ACT'S EFFECTIVE DATE; AND TO PROVIDE THAT FUNDS IN THE TRUST FUND PRIOR TO THIS ACT'S EFFECTIVE DATE MUST BE EXPENDED IN ACCORDANCE WITH THE PURPOSES OF THE FUND BEFORE AMENDMENT BY THIS ACT; AND TO AMEND CHAPTER 63 OF TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PUPILS, BY ADDING ARTICLE 13 SO AS TO PROVIDE THE CONDITIONS, REQUIREMENTS, AND PROCEDURES UNDER WHICH LOCAL SCHOOL BOARDS OF TRUSTEES BEGINNING WITH SCHOOL YEAR 1999-2000 SHALL ESTABLISH AND OPERATE A PROGRAM OF ALTERNATIVE SCHOOLS FOR CERTAIN STUDENTS IN THEIR DISTRICTS, TO PERMIT THESE ALTERNATIVE SCHOOL PROGRAMS TO BE OPERATED EITHER INDIVIDUALLY OR AS A COOPERATIVE AGREEMENT WITH OTHER SCHOOL DISTRICTS, AND TO PROVIDE FOR THE MANNER IN WHICH THESE ALTERNATIVE SCHOOLS SHALL BE FUNDED.

Whereas, recent research has shown that children's brains develop more rapidly and earlier than previously understood and that early stimulation of the brain increases the learning ability of a child; and

Whereas, recent research in neuroscience supports the critical importance of the early childhood years and its life-long effects on a child's development; and

Whereas, the General Assembly realizes that without proper care, nurturing, and support during the early years of life, children have difficulty learning when they enter school; and

Whereas, parents have the primary role and duty to raise, educate, and transmit values to their children, while communities can support parents as the primary caregivers and educators of their young children; and

Whereas, the members of the General Assembly recognize that improving results for children and their families can best be accomplished when state government works in partnership with communities and families to define common goals, expected results, and benchmarks for services to children and families; joins with communities and families in building the capacity to accomplish shared results; and supports local efforts through more efficient state accountability, data collection, and administrative systems. Now, therefore,

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

SECTION   1.   This act may be cited as the "South Carolina First Steps to School Readiness Act".

SECTION   2.   Title 59 of the 1976 Code is amended by adding:

Section 59-152-10.     There is established South Carolina First Steps to School Readiness, a comprehensive, results-oriented initiative for improving early childhood development by providing, through public and private funds and support through local partnerships, high-quality early childhood development and education services for children from the prenatal development period through age five and by supporting their families' efforts toward enabling their children to reach school ready to learn.

Section 59-152-20.   The purpose of the First Steps initiative is to develop, promote, and assist efforts of agencies, private providers, and public and private organizations and entities, at the state level and the community level, to collaborate and cooperate in order to focus and intensify services, assure the most efficient use of all available resources, and eliminate duplication of efforts to serve young children and their families. First Steps funds must not be used to supplant or replace any other funds being spent on services but must be used to expand, extend, improve, or increase access to services or to enable a community to begin to offer new or previously unavailable services in their community. The First Steps office, First Steps board, and the local partnerships shall assure that collaboration, the development of partnerships, and the sharing and maximizing of resources is occurring before funding for the implementation/management grants, as provided for in this chapter, is made available.

Section 59-152-30.     The goals for South Carolina First Steps to School Readiness are to:

(1)   increase comprehensive prenatal and maternity care so that fewer premature babies who are at increased risk for major physical, developmental, and learning problems are born to South Carolina mothers;

(2)   provide services so all children receive the protection, nutrition, and health care needed to thrive at birth and in the early years so they arrive at school ready to learn;

(3)   provide parents with access to the support they might seek and want to strengthen their families and to promote the optimal development of their preschool children;

(4)   promote high quality and appropriate preschool programs that provide a healthy environment that will promote normal growth and development;

(5)   mobilize communities to focus efforts on providing enhanced services to support families and their young children so as to enable every child to reach school healthy and ready to learn.

Section 59-152-40.     The Board of Trustees for the Children's First Steps Trust Fund of South Carolina, established in Section 20-7-5020, shall oversee the South Carolina First Steps to School Readiness initiative. The staff employed pursuant to Section 20-7-5040 shall serve as the office of First Steps.

Section 59-152-50.     The office of South Carolina First Steps to School Readiness shall:

(1)   provide to the board information on best practice, successful strategies, model programs, and financing mechanisms;

(2)   review the local partnerships' plans and budgets in order to provide technical assistance and recommendations regarding local grant proposals and improvement in meeting statewide and local goals;

(3)   provide technical assistance, consultation, and support to local partnerships to facilitate their success including, but not limited to, model programs, strategic planning, leadership development, best practice, successful strategies, collaboration, financing, and evaluation;

(4)   recommend to the board the applicants to be selected as First Steps partnerships and the grants to be awarded;

(5)   submit an annual report to the board by November first which includes, but is not limited to, the statewide needs and resources available to meet the goals and purposes of First Steps, the ongoing progress and results of First Steps statewide and locally, fiscal information on the expenditure of funds, and recommendations and legislative proposals to further implement South Carolina First Steps statewide;

(6)   provide for on-going data collection and contract for an in-depth performance audit every three years to ensure that statewide goals and requirements of First Steps are being met; and

(7)   coordinate the First Steps initiative with all other state, federal, and local public and private efforts to promote good health and school readiness of young children.

Section 59-152-60.     To be eligible to become a First Steps partnership, a private nonprofit corporation organized under Section 501(c)(3) of the Internal Revenue Code must be formed or expanded in a county or group of counties; however, developing partnerships which have not yet received 501(c)(3) status may qualify for grants if they have received a state charter for incorporation and meet other criteria as established by the board.

To be designated a developing partnership, an organization must have broad-based membership and meet any other requirements outlined by the First Steps board.

To be designated a First Steps partnership, the organization must:

(1)   agree to coordinate a collaborative effort at the county or multi-county level which will bring the community together to identify the area needs related to the goals of First Steps to School Readiness; develop a comprehensive long-term plan for meeting those needs; and develop specific initiatives to implement the elements of the long-term plan;

(2)   agree to coordinate and oversee the implementation of the partnership's initiatives, which may include such activities as direct service provision, contracting for service provision, and organization and management of volunteer programs;

(3)   agree to a governing board for the partnership which is broad-based, as specified by the First Steps board and, to the extent possible within the area covered by the partnership, includes representatives from such groups as are on the First Steps board, school districts, local service agencies, and other persons with resources, skills, or knowledge that could contribute to the accomplishment of the goals of First Steps to School Readiness;

(4)   implement fiscal policies and procedures as required by the First Steps office and as needed to ensure fiscal accountability;

(5)   have policies and procedures for conducting meetings and disclosing records comparable to those provided for in the Freedom of Information Act; and

(6)   agree to collect information and otherwise participate in the annual review and the three-year evaluation of operations and programs.

Section 59-152-70.     Three levels of First Steps grants may be awarded as follows:

(1)   Level One for the development of the collaborative effort and initiating a comprehensive plan;

(2)   Level Two for development of the initiative and finalizing a comprehensive plan; and

(3)   Level Three for implementation/management of activities and programs.

The level of grant awarded to a local partnership must be based on the readiness of the local partnership to implement the First Steps initiative. The First Steps board shall establish the criteria for qualifying for each grant level and the allocation amount for each. However, the allocations for the grants shall take into consideration the quality of the grant proposal, the population of children birth to age five contained in the area served by the partnership, the percentage of students in grades 1-3 who are eligible for the free and reduced price lunch program, and the area's ability to support the initiative.

Section 59-152-80.     It is the intent of the General Assembly that First Steps be implemented as soon as local partnerships are ready to utilize the funds efficiently and effectively to improve services. To that end, for the first year of the initiative, no more than twelve Level Three implementation/management grants may be awarded; with at least one in each congressional district, if the local partnerships meet the criteria established by the First Steps board for an implementation/management grant. There are no limits to the number of Level One and Level Two grants that may be awarded; however, the First Steps board shall evaluate applicants based on their demonstrated capacity and the established criteria for each grant level.

Section 59-152-90.     To obtain a grant, a First Steps partnership or developing partnership shall submit an application to the First Steps office in a format specified by the First Steps board. The application shall include, as appropriate to the level of grant applied for, a plan specifying the grant applied for, the level of funding requested, a description of need, assets, and resources based on the local needs assessment, and the proposed strategies to address the goals of South Carolina First Steps to School Readiness. Each grant may be awarded for up to three years and is renewable based upon criteria established by the First Steps board, including the results of performance audits.

Section 59-152-100.   (A)   To receive a Level Three implementation/management grant for First Steps to School Readiness, a First Steps partnership must develop a comprehensive, long-range plan to provide high quality early childhood development and education services. The plan must identify the needs of children and their families in the local area; determine how supports and services are to be organized and delivered; and establish interim goals for meeting the local and state goals for First Steps. In developing these plans, the First Steps partnership must be given sufficient flexibility, but they must be accountable for fiscal management, program management, and program results.

(B)   All activities and services provided by a local partnership must be made available to young children and families on a voluntary basis and may include, but are not limited to:

(1)   health services:

(a)   prenatal and postpartum care and support;

(b)   health care and early and periodic screenings, including developmental screenings and dental, vision, and hearing screenings;

(c)   required immunizations;

(d)   transportation services to health care;

(e)   health and developmental services for children with disabilities;

(f)   parent education services provided by health and education practitioners to parents of infants and young children;

(g)   initiatives to reduce injuries to infants and toddlers;

(h)   technical assistance and consultation for parents and child care providers on health and safety issues;

(2)   education readiness:

(a)   programs for building the foundations of reading and mathematics in young children;

(b)   training incentives for child care and development workers;

(c)   access to quality child care and development resources;

(d)   technical assistance and professional development for child care and development providers;

(e)   subsidized child-related services, including assistance for special needs children;

(3)   family literacy and parenting:

(a)   family literacy initiatives;

(b)   parent education programs;

(c)   other family-focused services.

Section 59-152-110.   (A)   Implementation/management grants provided to First Steps partnerships must be used to address the needs of young children and their families as identified in the partnerships' comprehensive plans. The funds must be used to expand, extend, or improve the quality of provided services if there is evidence as to existing programs' effectiveness, offer new or previously unavailable services in the area, or increase access to services. Grant funds may not supplant current expenditures by counties or state agencies on behalf of young children and their families and may not be used where other state or federal funding sources are available or could be made available to the geographic area covered by the partnership.

(B)   A maximum of forty percent of all funds provided for local partnerships may be used to improve access to child care and development services, develop new child care services, or improve the quality of child care and development services in all settings, including in-home child care and development. However, only child care providers licensed or registered by the State may be beneficiaries or recipients of these funds.

(C)   Funds for overhead costs must not exceed fifteen percent or a lesser rate as determined by the First Steps board based on audit findings.

(D)   The grant may be used for capital expenses or to support activities and services for children, families, and providers. However, grant funds designated for activities and services may not be used for capital expenses unless the facilities are owned or operated by a public entity or a private nonprofit 501(c)(3) organization and the local partnership demonstrates to the satisfaction of the First Steps office that the capital expenditure is:

(1)   a priority need for the local initiative and other state or federal funds for such projects are insufficient; and

(2)   necessary to provide services to under-served children and families.

Funds approved for capital expenditures, as defined by the standard fiscal accountability system provided for in Section 59-152-130, may not exceed the level established by the First Steps board which must be a percent annually of the total funds for direct services applied to a local partnership's allocation.

Section 59-152-120.   (A)   The First Steps board, in conjunction with local partnerships and developing partnerships shall provide an annual statewide aggregate match as established by the First Steps board after consulting with business and foundation leadership. However, it shall be a goal that the statewide aggregate match be equal to ten percent of the state funds appropriated for the initiative. The First Steps board shall establish the match required of each local partnership and developing partnership and the timeframe within which the match must be provided. The match required of individual partnerships by the First Steps board should take into consideration such factors as:

(1)   local wealth, using such indicators as the number and percentage of children eligible for free and reduced lunches in grades 1-3; and

(2)   in-kind donated resources. Only in-kind donations, as defined by the standard fiscal accountability plan provided for in Section 59-152-130, which meet the criteria established by the First Steps board and that are quantifiable may be applied to the in-kind match requirement.

Expenses, including those paid both by cash and through in-kind contributions, incurred by other nonstate entities participating in local partnerships may be included in determining matching funds.

(B)   The First Steps office shall establish guidelines and reporting formats for local partnerships to document expenses to ensure they meet matching fund requirements. The office shall compile a report annually on the private cash and in-kind contributions received by the First Steps Trust Fund and local partnerships.

Section 59-152-130.   To ensure effective use of funds, awards under contract for local partnerships, with the approval of the First Steps office, may be carried forward and used in the following fiscal year. Funds appropriated to South Carolina First Steps to School Readiness may also be carried forward into subsequent years.

Section 59-152-140.   (A)   The First Steps office shall develop and require partnerships to adopt and implement a standard fiscal accountability system including, but not limited to, a uniform, standardized system of accounting, internal controls, payroll, fidelity bonding, chart of accounts, and contract management and monitoring. Additionally, the accountability system shall require competitive bids for the purchase or procurement of goods and services of ten thousand dollars or more. A bid other than the lowest bid may be accepted if other considerations outweigh the cost factor; however, written justification must be filed with the First Steps office. The First Steps office may contract with outside firms to develop and ensure implementation of this standard fiscal accountability system, and the First Steps office may inspect fiscal and program records of local partnerships and developing partnerships to ensure their compliance with the required system. The First Steps office may contract with a state entity with existing means for developing contracts and disbursing funds in order to make use of the existing infrastructure, if it is efficient and not administratively burdensome to partnerships.

(B)   Each local partnership shall expend funds through the First Steps board or its fiscal designees until the capacity of the local partnership to manage its fiscal and administrative responsibilities in compliance with the standard accountability system has been reviewed and certified by the First Steps board or its designee.

Section 59-152-150.   The First Steps board shall establish internal evaluation policies and procedures for local partnerships and developing partnerships for an annual review of the functioning of the partnership, implementation of strategies, and progress toward the interim goals and benchmarks as appropriate to the level of grant received. In instances where no progress has been made, the First Steps office shall provide targeted assistance and the First Steps board may terminate the grant. In addition, a program evaluation of the statewide and local First Steps to School Readiness must be conducted every three years by an independent, external evaluator under contract with the First Steps board; however, the selected evaluator shall be approved, and the evaluation overseen, by a committee consisting of three members, one appointed by the First Steps board, one appointed by the President Pro Tempore of the Senate, and one appointed by the Speaker of the House and these committee members must be professionally recognized as proficient in child development, early childhood education, or a closely related field. Local partnerships must agree to participate in such an evaluation in order to receive a First Steps grant. Subsequent grant approval and grant allocations must be dependent, in part, on the results of the evaluations. If an evaluation finds no progress has been made in meeting local goals or implementing strategies as agreed to in the First Steps grant, the grant must be terminated.

The purpose of the evaluation is to assess progress toward achieving the First Steps goals and to determine the impact of the initiative on children and families at the state and local levels. The impact assessment shall include, but is not limited to, school readiness measures, benefits from child development services, immunization status, low birth-weight rates, parent literacy, parental involvement, and developmental screening results. Program evaluation reports must be reported to the General Assembly no later than three months after conclusion of the evaluation. All partnerships shall cooperate fully in collecting and providing data and information for the evaluation.

During the ninth year of the First Steps initiative, the Legislative Audit Council, using the cyclical evaluations as a basis, shall review the success and effectiveness of the initiative at the state and local levels and report to the General Assembly no later than January 1, 2009."

SECTION   3.   Article 17, Chapter 7, Title 20 of the 1976 Code is amended to read:

Section 20-7-5010.     There is established the Children's First Steps Trust Fund of South Carolina, an eleemosynary corporation, the resources of which shall stimulate oversee the South Carolina First Steps to School Readiness initiative, a broad range of innovative child abuse and neglect prevention programs early childhood development and education, family support, health services, and prevention efforts to meet critical needs of South Carolina's children through the awarding of grants to private nonprofit organizations at the local level as provided for in Section 59-152-50. The trust fund shall may accept gifts, bequests, and grants from any person or foundation. The trust fund and grants from the fund shall supplement and augment, but not take the place of, services provided by state agencies. No state agency is eligible to receive funds under this article. The board of trustees for the trust fund shall carry out activities necessary to administer the fund including assessing service needs and gaps, soliciting proposals to address identified service needs, and establishing criteria for the awarding of grants.

Section 20-7-5020.     There is created the Board of Trustees for the Children's First Steps Trust Fund of South Carolina chaired by the Governor, who shall serve as an ex officio voting member of the board, or his designee. The board is composed of:

(1)   nine fifteen members appointed by the Governor with the advice and consent of the Senate and shall include representatives of the following:

(a)   parents of young children;

(b)   the business community;

(c)   the medical community;

(d)   early childhood educators;

(e)   child care and development providers; and

(f)   First Steps partnership chairs, to be added when the first implementation/management grants are awarded;

(2)   the State Superintendent of Education or his designee, as an ex officio voting member, who shall not serve as an officer of the board; and

(3)   and the following ex officio nonvoting members:

(a)   the Chairman of the Senate Education Committee or his designee;

(b)   the Chairman of the House Education and Public Works Committee or his designee;

(c)   the Director of the Department of Social Services or his designee;

(d)   the Director of the Department of Health and Environmental Control or his designee;

(e)   the Director of the Department of Health and Human Services or his designee;

(f)   the Director of the Department of Mental Health or his designee;

(g)   the Director of the Department of Disabilities and Special Needs or his designee; and

(h)   the Director of the Department of Alcohol and Other Drug Abuse Services or his designee.

The Governor shall give consideration to recommendations for appointment made by the Joint Legislative Committee on Children. Of the members appointed by the Governor, one member must be appointed from each congressional district of the State, and three members must be appointed at large for the membership must be representative of all areas and regions of the State. The terms of the members are for four years and until successors are appointed and qualify, except members appointed from even-numbered congressional districts and one at-large member must be initially shall draw lots at the first meeting of the board to stagger the terms of office and determine one-half of the members to be appointed for terms of two years only. Vacancies for any reason must be filled in the manner of the original appointment for the unexpired term. No member shall serve more than two terms or eight years, whichever is longer. Members who miss more than three consecutive meetings without excuse or members who resign must be replaced by the Governor and shall serve until a successor is appointed or until the replaced member's term expires, whichever is earlier.

Three members must be knowledgeable in banking, finance, investments, tax laws, or business. Three members must be knowledgeable in the organization and administration of volunteer community services and grant administration. Three members must be knowledgeable in child development, child health, child psychology, education, juvenile delinquency, or other related field.

Members may be paid per diem, mileage, and subsistence as established by the board not to exceed standards provided by law for boards, committees, and commissions.

A complete report of the activities of the trust fund must be made annually to the General Assembly and the State Auditor.

Section 20-7-5030.     To carry out its assigned functions, the board is authorized, but not limited to:

(A)(1)   assess the critical child abuse and neglect prevention needs of children in cooperation with state agencies, establish priorities, and develop goals and objectives for the Trust fund; develop the First Steps comprehensive, long-range initiative for improving early childhood development by providing, through public and private means through local projects, high-quality early childhood development and education services for children from the prenatal development period through age five and by providing support for their families;

(2)   establish guidelines, policies, and procedures for implementing South Carolina First Steps to School Readiness;

(3)   establish outcome measures and assess whether the services provided to children and families received through First Steps are meeting the goals and achieving the outcomes established for First Steps pursuant to Chapter 152, Title 59;

(4)   assess and develop recommendations for ensuring coordination and increasing the efficiency and effectiveness of state programs and funding and other programs and funding sources, as allowable, as necessary to carry out the First Steps to School Readiness initiative, including additional fiscal strategies, redeployment of state resources, and development of new programs;

(5)   establish the criteria for selection of First Steps partnerships and for the allocations for grants to the partnerships;

(6)   select the First Steps partnerships and award the grants to the partnerships;

(7)   provide for an information center for programs, grants, and technical assistance sources, contracting for the center and for technical assistance as needed;

(8)   provide oversight on the implementation of First Steps at the state and local levels;

(9)   report annually to the General Assembly by January first on activities and progress of First Steps, including recommendations for changes and legislative initiatives, and the results of the program evaluations;

(B)(10)   receive gifts, bequests, and devises for deposit and investment into the trust fund and for awarding grants to private nonprofit organizations;

(C)(11)   invest trust fund monies;

(D)   solicit proposals for programs which will be aimed at meeting identified child abuse and neglect prevention needs;

(E)   provide technical assistance to private, nonprofit organizations, when requested, in preparing proposals for submission to the Trust fund;

(F)   establish criteria for awarding of grants for child abuse and neglect prevention which shall include the consideration of at least:

(1)   the priority of the service need that the proposal addresses;

(2)   the quality and soundness of the proposal and its probable effectiveness in accomplishing its objectives;

(3)   a cost-benefit analysis of the project;

(4)   the degree of community support for the proposal;

(5)   the utilization of local resources including volunteers, when appropriate, and matching or in-kind contributions which may be, but are not required;

(6)   the qualifications of employees to be hired under the grant;

(7)   the experience of the proposed project administrators in providing on- going accountability for the program.

(G)   enter into contracts for the awarding of grants to private nonprofit organizations for child abuse and neglect prevention.

Section 20-7-5040.     The board of trustees Governor may employ a director of the office of South Carolina First Steps to School Readiness and other staff as necessary to carry out the South Carolina First Steps to School Readiness initiative, established in Title 59, Chapter 152, and the duties and responsibilities assigned by the board. The director, with the approval of the board, shall hire such staff as is considered necessary to carry out the provisions of the initiative.

Section 20-7-5050.     Until the Assets of the trust fund exceed five million dollars, not more than seventy-five percent of the amount deposited in the Trust fund each year from contributions plus all earnings from the investment of monies of the Trust fund credited during the previous fiscal year, after allowances for operating expenses, is available for disbursement upon the authorization of the board of trustees.

When the assets in the Trust fund exceed five million dollars, all credited earnings plus all future annual deposits to the Trust fund from contributions are available for disbursement upon the authorization of the board. At least six of the board members shall authorize the disbursement of funds and any other funds received by the board from private donations or appropriations from the General Assembly are subject to the provisions of Title 59, Chapter 152.

Section 20-7-5060.     Funds from the receipt of contributions pursuant to Section 12-7-2416 12-6-5060 must be deposited in the trust fund for disbursement as prescribed by this article."

SECTION   4.   The 1976 Code is amended by adding:

"Section 43-1-240.     The State Department of Social Services in establishing priorities and funding for programs and services which impact on children and families during the first years of a child's life, within the powers and duties granted to it, must support, as appropriate, the South Carolina First Steps to School Readiness initiative, as established in Title 59, Chapter 152, at the state and local levels."

SECTION   5.   The 1976 Code is amended by adding:

"Section 44-1-280.     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, within the powers and duties granted to it, must support, as appropriate, the South Carolina First Steps to School Readiness initiative, as established in Title 59, Chapter 152, at the state and local levels."

SECTION   6.   It is the intent of the General Assembly that state agencies involved in early child care and development and education and in health and support services to families with young children shall actively support the South Carolina First Steps to School Readiness initiative. In addition to those agencies answering directly to the Governor, those agencies headed by boards and commissions or constitutional officers shall use their resources to support, as appropriate, the goals of the First Steps initiative reflected in Section 59-152-20 and the long-term plans of the First Steps partnerships and to assure that relevant planning documents or processes are consistent with, and supportive of, the goals of the First Steps initiative and plans of the partnerships.

SECTION   7.   Where the name of the Children's Trust Fund of South Carolina occurs in the 1976 Code or in any other provision of law, it must be construed to mean the Children's First Steps Trust Fund of South Carolina. The Code Commissioner shall change "Children's Trust Fund of South Carolina" to "Children's First Steps Trust Fund of South Carolina" in the 1976 Code as is practical and economically feasible.

SECTION   8.   The provisions of Article 17, Chapter 7, Title 20 of the 1976 Code, amended in Section 3 of this act, that affect the designation of the Children's Trust Fund on state income tax forms apply to taxable years beginning after 1998.

SECTION   9.   The terms of the members of the Board of Trustees of the Children's Trust Fund of South Carolina, provided for in Section 20-7-5020 of the 1976 Code prior to amendment by this act, expire on this act's effective date. Funds remaining in the Children's Trust Fund of South Carolina immediately prior to this act's effective date must be expended in accordance with the purposes provided for in Section 20-7-5010 of the 1976 Code prior to amendment by this act.

SECTION   10.   Chapter 63, Title 59 of the 1976 Code is amended by adding:

Section 59-63-1300.     The General Assembly finds that a child who does not complete his education is greatly limited in obtaining employment, achieving his full potential, and becoming a productive member of society. It is, therefore, the intent of this article to encourage district school boards throughout the State to establish alternative school programs. These programs shall be designed to provide appropriate services to students who for academic or behavioral reasons are not benefiting from the regular school program or may be interfering with the learning of others. It is further the intent of this article that cooperative agreements may be developed among school districts in order to implement innovative exemplary programs.

Section 59-63-1310.     School districts which choose to establish, maintain, and operate, either individually or as a cooperative agreement among districts, alternative school programs shall be eligible for funding provided by the General Assembly for this purpose. The program must be operated at a site separate from other schools unless operated at a time when those schools are not in session or in another building on campus or in a defined area within a building which would provide complete separation from other students. These programs shall be provided for, but not limited to, students in grades 6-12.

Section 59-63-1320.     Alternative school programs may differ from traditional education programs and schools in scheduling, administrative structure, curriculum, or setting and state requirements may be waived in these areas if such waiver assists the alternative school in meeting its purpose.

Section 59-63-1330.   To be eligible for funding, a district or consortium must submit a plan for the program which includes:

(a)   purposes of the school,

(b)   the policy for the basis of enrollment in the school, and

(c)   description of how the school will focus on the educational and behavioral needs of the students. This description must include strategies for individual student instruction plans, evaluations at regular intervals of the student's educational and behavioral progress, instructional methods in meeting academic achievement standards in the core academic areas, provisions for a low pupil-teacher ratio, utilization of available technology, strict codes of student conduct, counseling, strategies to gain strong parental input and support, strategies to ensure students will adapt to a regular school setting upon departure from the alternative school program, and student time lines for meeting the academic and conduct standards set. The alternative program may be provided in conjunction with the adult education program, where appropriate. Goals and interim goals and data collection for program evaluation must be a part of the program plan.

The instructional program should enable students to make the transition to a regular school program, earn a high school diploma or GED, or seek postsecondary education. Steps should be taken to ensure that credit earned by students participating in the alternative school program can be transferred to other public schools in the State; provided, nothing herein shall prohibit school districts and/or the South Carolina Department of Education from establishing and providing new and innovative programs as may be authorized otherwise under law to meet the unique needs of alternative school students who otherwise might drop out of school or never be able successfully to complete the requirements for a diploma.

Alternative school programs may differ from traditional education programs and schools in scheduling, administrative structure, curriculum, or setting and state requirements may be waived in these areas if such waiver assists the alternative school in meeting its purpose.

Section 59-63-1340.     A school district or consortium must establish guidelines to provide transportation to students attending an alternative school.

Section 59-63-1350.     Boards of trustees, following local policies, should consider placement in the alternative school as an option to expulsion. However, nothing in this article shall abrogate the authority of any public school district and its governing board to take such disciplinary action as it is otherwise empowered by law to take against any student for misconduct including, but not limited to, expulsion and nothing in this chapter shall require that any student be assigned to such an alternative school.

Section 59-63-1360.     Each school district or consortium shall establish procedures for ensuring that teachers assigned to alternative school programs possess the pedagogical and content-related skills necessary to meet the needs of the student population served by the school. Each school board also shall ensure that adequate staff development activities are available for alternative school program faculty and staff and ensure that the faculty and staff participate in these activities. The State Department of Education in consultation with other appropriate entities shall provide assistance to school districts in the development of staff development programs which include best practices. These programs shall be made available to all district teachers.

Section 59-63-1370.     A school district shall allocate to an alternative school program the same per student expenditure to include federal, state, and local funds that would be allocated to the student's school if the student were attending the student's regularly assigned school. This shall include any appropriate special education funding.

Districts or consortia meeting the eligibility requirements for alternative school funding shall receive a base funding minimum of $50,000 or up to $200,000 depending on the student population of the district or consortium and the projected school population. However, districts in a multi-district county with a total student population of less than 7,000 will not qualify for base funding for an alternative school unless in consortium. The State Board of Education shall establish guidelines for determining the amount of base funding for eligible programs. It is the intent of the General Assembly that eligible programs, beginning with school year 2000-2001, shall also receive per pupil funding based on the average daily membership of the students served by the program at an Education Finance Act weighting of 1.74. Per pupil funds for the alternative school program shall be distributed through the EFA formula provided for in Section 59-20-40. These funds shall be used for the establishment, maintenance, and operation of alternative schools programs.

Districts or consortia developing plans for the establishment of an alternative school shall be eligible for a planning grant of no more than $5,000.

Section 59-63-1380.     The State Department of Education shall review alternative school plans for eligibility for funding and provide technical assistance for planning, establishing, and implementing an alternative school based on best practice. The department shall assist any district or consortia whose plan does not meet the eligibility criteria; however, no funding will be approved until the plan ensures implementation of appropriate services for students served by the alternative school.

Section 59-63-1390.     Clear procedures shall be established for an annual review of the implementation and progress of the alternative school programs and a three-year cycle evaluation shall examine the success of this initiative. If an annual review or the evaluation finds a program is not making progress to carry out the alternative school plan or meet the locally established outcome measures, the Department of Education shall provide technical assistance and future funding may be terminated."

SECTION   11.   Section 59-18-1900 of the 1976 Code is repealed.

SECTION   12.   This act takes effect upon approval by the Governor.

Renumber sections to conform.

Amend title to conform.

Senator SETZLER explained the House amendments.

The amendment was adopted.

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

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.

Senator HUTTO asked unanimous consent to make a motion to recall the Bill from Legislative Council.

There was no objection.

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

There was no objection.

Senator HUTTO asked unanimous consent to make a motion to reconsider the vote whereby the Bill was given third reading and enrolled for Ratification.

There was no objection.

The Bill was returned from Legislative Council, third reading was reconsidered and it was ordered returned to the third reading local and uncontested Calendar.

S. 649 (Word version) -- Senators Matthews, Washington, Patterson and Elliott: 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.

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

There was no objection.

The Bill was recalled and ordered placed on the Calendar.

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.

Senator McCONNELL asked unanimous consent to make a motion to recall the Bill from the Committee on Judiciary.

There was no objection.

The Bill was recalled and ordered placed on the Calendar.

H. 3357 (Word version) -- Reps. Fleming, Wilder, Klauber and Hayes: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 6-25-115 SO AS TO AUTHORIZE A JOINT MUNICIPAL WATER SYSTEM ORGANIZED FOR THE PURPOSE OF CREATING A FINANCING POOL TO ISSUE CONSTRUCTION NOTES; BY ADDING SECTION 6-25-129 SO AS TO EXEMPT FROM STATE TAXES THE INCOME OF A JOINT MUNICIPAL WATER SYSTEM; BY ADDING SECTION 6-25-131 SO AS TO PROVIDE THAT NO INCOME, PROFITS, OR ASSETS OF A JOINT SYSTEM MAY INURE TO THE BENEFIT OF ANY INDIVIDUAL OR PRIVATE ENTITY; TO AMEND SECTION 6-25-20, AS AMENDED, RELATING TO DEFINITIONS FOR JOINT MUNICIPAL WATER SYSTEMS, SO AS TO DEFINE "CONSTRUCTION NOTE OR NOTES", "FINANCING AGREEMENT", "FINANCING POOL", "GOVERNMENT", AND "INTERIM FINANCING"; TO AMEND SECTION 6-25-30, RELATING TO THE CREATION OF A JOINT SYSTEM, SO AS TO AUTHORIZE THE GOVERNING BODIES OF MUNICIPALITIES TO CREATE A JOINT SYSTEM FOR THE PURPOSE OF CREATING A FINANCING POOL, AND TO LIMIT THE PURPOSES FOR WHICH A JOINT SYSTEM MAY BE CREATED; TO AMEND SECTION 6-25-40, RELATING TO THE NOTICE OF THE INSTRUMENT CREATING A JOINT SYSTEM, SO AS TO EXEMPT A JOINT SYSTEM FROM THE NOTICE PROVISIONS IF IT IS FORMED FOR THE PURPOSE OF CREATING A FINANCING POOL; TO AMEND SECTION 6-25-50, RELATING TO THE APPOINTMENT OF A MUNICIPAL REPRESENTATIVE TO THE JOINT SYSTEM, SO AS TO ADD TO THE REQUIREMENTS OF THE APPLICATION FILED WITH THE SECRETARY OF STATE THE PURPOSE FOR THE CREATION OF THE JOINT SYSTEM; TO AMEND SECTION 6-25-60, AS AMENDED, RELATING TO THE MANAGEMENT AND CONTROL OF THE JOINT SYSTEM, SO AS TO CLARIFY THAT EACH VOTING MEMBER OF A JOINT SYSTEM SHALL APPOINT A REPRESENTATIVE WHO MUST BE A COMMISSIONER OF THE JOINT SYSTEM AND TO AUTHORIZE THE COMMISSIONERS TO MEET BIENNIALLY, IF ITS BYLAWS PROVIDE FOR IT; TO AMEND SECTION 6-25-70, RELATING TO CHANGE IN MEMBERSHIP OF A JOINT SYSTEM, SO AS TO EXEMPT A JOINT SYSTEM ORGANIZED FOR THE PURPOSE OF CREATING A FINANCING POOL FROM FILING A CHANGE IN MEMBERSHIP WITH THE SECRETARY OF STATE; TO AMEND SECTION 6-25-80, RELATING TO THE DISSOLUTION OF A JOINT SYSTEM, SO AS TO PROVIDE THAT INCOME OWNED BY THE JOINT SYSTEM AT THE TIME OF DISSOLUTION MUST BE DISBURSED TO THE VOTING MEMBERS OF THE MEMBERS OF THE JOINT SYSTEM ACCORDING TO ITS BYLAWS; TO AMEND SECTION 6-25-100, AS AMENDED, RELATING TO POWERS OF JOINT MUNICIPAL WATER SYSTEMS, SO AS TO AUTHORIZE THE SYSTEMS TO LOAN THE PROCEEDS OF ANY BORROWING TO ANY MEMBER OF THE JOINT SYSTEM WITH PAYMENT FOR BONDS OR NOTES AUTHORIZED TO BE PAID FROM LOAN REPAYMENT OF MEMBERS, AND TO PROVIDE THAT CERTAIN POWERS ARE NOT GRANTED WHEN A JOINT SYSTEM IS ORGANIZED SOLELY FOR THE PURPOSE OF CREATING A FINANCING POOL; TO AMEND SECTION 6-25-110, AS AMENDED, RELATING TO THE AUTHORIZATION OF A JOINT SYSTEM TO INCUR DEBT AND ISSUE BONDS, SO AS TO AUTHORIZE A JOINT SYSTEM FORMED FOR THE PURPOSE OF CREATING A FINANCING POOL TO ISSUE NOTES IN ANTICIPATION OF THE ISSUANCE OF BONDS BY ITS MEMBERS TO THE GOVERNMENT; TO AMEND SECTION 6-25-120, AS AMENDED, RELATING TO PAYMENT OF NOTES, OBLIGATIONS, OR BONDS, SO AS TO INCLUDE CONSTRUCTION NOTES WITHIN THE LIST OF OBLIGATIONS WHICH MAY NOT BE PLEDGED AS FULL FAITH, CREDIT, OR TAXING POWER OF ANY MEMBER OF THE JOINT SYSTEM; TO AMEND SECTION 6-25-126, RELATING TO THE AUTHORIZATION OF A JOINT SYSTEM TO TEMPORARILY INVEST FUNDS PENDING DISBURSEMENTS IN SECURITIES, SO AS TO INCLUDE CONSTRUCTION NOTES IN ADDITION TO BONDS WHICH MAY BE AUTHORIZED IN THE RESOLUTION; TO AMEND SECTION 6-25-127, RELATING TO THE ENFORCEMENT OF RIGHTS OF BONDHOLDERS, SO AS TO INCLUDE HOLDERS OF CONSTRUCTION NOTES AS HAVING THOSE RIGHTS; TO AMEND SECTION 6-25-145, RELATING TO THE PROHIBITION OF CERTAIN FIDUCIARIES TO INVEST MONIES IN THEIR HANDS IN BONDS ISSUED UNDER THE PROVISIONS OF CHAPTER 25 OF TITLE 6, SO AS TO ADD A REFERENCE TO CONSTRUCTION NOTES; TO AMEND SECTION 6-25-155, RELATING TO BONDS AS INVESTMENT SECURITIES FOR PURPOSES OF CHAPTER 8 OF TITLE 36, SO AS TO ADD CONSTRUCTION NOTES TO THOSE EVIDENCES OF INDEBTEDNESS CONSIDERED INVESTMENT SECURITIES; AND TO AMEND SECTION 6-25-160, RELATING TO THE TAX-EXEMPT STATUS OF EVIDENCES OF INDEBTEDNESS ISSUED BY A JOINT SYSTEM, SO AS TO INCLUDE CONSTRUCTION NOTES, AND ADD A REFERENCE TO SECTION 12-2-50.

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

There was no objection.

The Bill was recalled and ordered placed on the Calendar.

On motion of Senator PEELER, with unanimous consent, the Bill was read the second time, passed and ordered to a third reading.

H. 4110 (Word version) -- Rep. Campsen: A BILL TO AMEND CHAPTER 21, TITLE 50, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE OPERATION OF WATERCRAFT, BY ADDING SECTION 50-21-133 SO AS TO ESTABLISH A NO WAKE ZONE FROM NAUTICAL DAY MARKER NUMBER 125 AT COVE INLET TO THE WESTERNMOST TIP OF SULLIVAN'S ISLAND.

Senator PEELER asked unanimous consent to make a motion to recall the Bill from the Committee on Fish, Game and Forestry.

There was no objection.

The Bill was recalled and ordered placed on the Calendar.

S. 668 (Word version) -- Senator Bryan: A BILL TO AMEND SECTION 11-27-40 OF THE CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE ISSUANCE OF BONDS FOR POLITICAL SUBDIVISIONS PURSUANT TO ARTICLE X OF THE SOUTH CAROLINA CONSTITUTION SO AS TO PROVIDE THE TERM AND AMOUNT OF BONDS THAT MAY BE SOLD AT PRIVATE SALE AND WITHOUT ADVERTISEMENT AND TO PROVIDE PROCEDURES FOR THE ISSUANCE AND REDEMPTION OF BONDS MATURING BETWEEN FIVE AND THIRTY YEARS FROM THE DATE OF ISSUE; TO AMEND SECTION 11-27-50 RELATING TO THE ISSUANCE OF BONDS FOR SCHOOL DISTRICTS PURSUANT TO ARTICLE X OF THE SOUTH CAROLINA CONSTITUTION SO AS TO PROVIDE THAT THE CONSENT OF ANOTHER BODY IS NOT REQUIRED TO ISSUE GENERAL OBLIGATION BONDS OF A SCHOOL DISTRICT AFTER AN ELECTION AND TO PROVIDE PROCEDURES FOR THE ISSUANCE AND REDEMPTION OF BONDS MATURING BETWEEN FIVE AND THIRTY YEARS; AND TO AMEND SECTION 11-15-440, RELATING TO THE EXTENT TO WHICH REFUNDING BONDS MAY BE ISSUED, SO AS TO MAKE THIS PROVISION APPLICABLE TO REVENUE BONDS AND TO PROVIDE THAT THE ISSUER MAY UTILIZE THE PROVISIONS OF SECTIONS 11-27-40 AND 11-27-50 IN CONNECTION WITH THE ISSUANCE OF SUCH REFUNDING BONDS.

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

There was no objection.

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

There was no objection.

Senator BRYAN asked unanimous consent to give the Bill a second reading.

There was no objection.

The Bill was recalled, read the second time and ordered placed on the third reading Calendar.

H. 3477 (Word version) -- Reps. Neilson, Seithel, Sharpe, J. Brown, J. Smith, R. Smith, Rhoad, Lucas, Davenport, Lee, Mason, Altman, Keegan, Harrison, McCraw, Clyburn, J. Hines, Bales, Lourie, Lanford, Bauer and Tripp: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 43-21-190 SO AS TO CREATE A MODEL LEGISLATURE ON AGING ISSUES TO BE ADMINISTERED BY THE SOUTH CAROLINA SILVER HAIRED LEGISLATURE, INC.; TO PROVIDE FOR THE PURPOSES OF THE LEGISLATURE; AND TO PROVIDE THAT MEMBERS MUST BE SELECTED BY THE SOUTH CAROLINA SILVER HAIRED LEGISLATURE IN COORDINATION WITH THE STATE'S NETWORK OF AGING PROGRAMS.

Senator ELLIOTT asked unanimous consent to make a motion to recall the Bill from the Committee on Medical Affairs.

There was no objection.

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

There was no objection.

Senator ELLIOTT asked unanimous consent to give the Bill a second reading with notice of general amendments.

There was no objection.

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

H. 3698 (Word version) -- Ways and Means Committee: A JOINT RESOLUTION TO MAKE SUPPLEMENTAL APPROPRIATIONS FOR THE OPERATIONS OF STATE GOVERNMENT OF SURPLUS FISCAL YEAR 1997-98 GENERAL FUND REVENUES.

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

There was no objection.

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

There was no objection.

Senator McCONNELL asked unanimous consent to give the Bill a second reading with notice of general amendments.

There was no objection.

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

The following were introduced:

S. 871 (Word version) -- Senators Hayes, Peeler, Short and Gregory: A CONCURRENT RESOLUTION TO HONOR THE WINTHROP UNIVERSITY EAGLES BASEBALL TEAM ON ITS 1999 BIG SOUTH CONFERENCE CHAMPIONSHIP.

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

S. 872 (Word version) -- Senator Bauer: A CONCURRENT RESOLUTION TO REQUEST THAT THE DEPARTMENT OF TRANSPORTATION PLACE SIGNS THAT CONTAIN THE CAPTION "HISTORIC DOWNTOWN NEWBERRY" AND THAT INDICATE THE DIRECTION TO THE HISTORIC AREA ON INTERSTATE 26 AT EXITS 72, 74, AND 76.

On motion of Senator BAUER, with unanimous consent, the Concurrent Resolution was introduced and ordered placed on the Calendar without reference.

S. 873 (Word version) -- Senator Giese: A CONCURRENT RESOLUTION RECOGNIZING THE LADY CARDINAL SOCCER TEAM OF CARDINAL NEWMAN HIGH SCHOOL OF RICHLAND COUNTY ON WINNING THE 1999 SCISA STATE CHAMPIONSHIP IN GIRLS SOCCER.

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

S. 874 (Word version) -- Senator Giese: A CONCURRENT RESOLUTION CONGRATULATING THE CARDINAL SOCCER TEAM OF CARDINAL NEWMAN HIGH SCHOOL OF RICHLAND COUNTY ON BECOMING 1999 SCISA CHAMPIONS IN BOYS SOCCER.

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

S. 875 (Word version) -- Senator Elliott: A BILL TO AMEND SECTION 12-60-1760, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE REQUIREMENT THAT A COUNTY MUST PAY REASONABLE ATTORNEY'S FEES, EXPENSES, DAMAGES, AND COSTS RESULTING FROM DEFENDING AN ACTION BROUGHT AGAINST A COUNTY OFFICER FOR PERFORMING A DUTY IMPOSED ON HIM BY TITLE 12 IF THE PLAINTIFF PREVAILS IN THE ACTION AND IT AFFECTS THE INTEREST OF THE COUNTY, SO AS TO DELETE THE REQUIREMENT THAT THE DUTY WAS IMPOSED BY TITLE 12 AND SUBSTITUTE THAT THE DUTY WAS IMPOSED BY LAW AND DELETE THE REQUIREMENT THAT THE PLAINTIFF MUST PREVAIL AND IT MUST AFFECT THE INTEREST OF THE COUNTY.

Read the first time and referred to the Committee on Finance.

S. 876 (Word version) -- Senator Thomas: A BILL TO AMEND SECTION 8-13-320, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DUTIES AND POWERS OF THE STATE ETHICS COMMISSION, SO AS TO REQUIRE THE COMMISSION TO PAY A WITNESS IT HAS SUBPOENAED THE SAME AMOUNT PAID TO A PERSON SUBPOENAED IN A CIVIL ACTION.

Read the first time and referred to the Committee on Judiciary.

S. 877 (Word version) -- Senator Thomas: A BILL TO AMEND CHAPTER 25, TITLE 16, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CRIMINAL DOMESTIC VIOLENCE, BY ADDING SECTION 16-25-95 SO AS TO PROVIDE THAT IT IS UNLAWFUL FOR A PERSON CONVICTED OF A MISDEMEANOR CRIMINAL DOMESTIC VIOLENCE OFFENSE TO SHIP, TRANSPORT, POSSESS, OR RECEIVE A FIREARM OR AMMUNITION IF THE CONVICTION MEETS CERTAIN CONDITIONS AND TO PROVIDE PENALTIES; AND TO AMEND CHAPTER 4, TITLE 20, RELATING TO PROTECTION FROM DOMESTIC ABUSE, BY ADDING SECTION 20-4-150, SO AS TO PROVIDE THAT IT IS UNLAWFUL FOR A PERSON SUBJECT TO A PROTECTION ORDER, UNDER CERTAIN CONDITIONS, TO SHIP, TRANSPORT, POSSESS, OR RECEIVE A FIREARM OR AMMUNITION AND TO PROVIDE PENALTIES.

Read the first time and referred to the Committee on Judiciary.

S. 878 (Word version) -- Senator Elliott: A BILL TO AMEND SECTION 41-29-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE MEMBERSHIP OF THE EMPLOYMENT SECURITY COMMISSION, SO AS TO INCREASE THE MEMBERSHIP FROM THREE TO FIVE MEMBERS.

Read the first time and referred to the Committee on Labor, Commerce and Industry.

S. 879 (Word version) -- Senator Waldrep: A BILL TO AMEND SECTION 44-96-170, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO WASTE TIRES, SO AS PROVIDE A SCHEDULE FOR REFUNDS FOR WASTE TIRES DELIVERED TO A PERMITTED WASTE TIRE DISPOSAL FACILITY BY A WHOLESALER, RETAILER, OR ANY OTHER PERSON WHO DELIVERS OR ARRANGES DELIVERY OF WASTE TIRES TO A PERMITTED WASTE TIRE DISPOSAL FACILITY, AND TO ELIMINATE THE PROVISION THAT A REFUND MAY NOT BE APPROVED FOR A NUMBER OF TIRES DELIVERED IN EXCESS OF THE NUMBER OF NEW TIRES SOLD BY THE WHOLESALER OR RETAILER.

Read the first time and referred to the Committee on Medical Affairs.

S. 880 (Word version) -- Senator Thomas: A BILL TO AMEND ARTICLE 3, CHAPTER 19, TITLE 56, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CERTIFICATES OF TITLE, BY ADDING SECTION 56-19-490 SO AS TO PROVIDE FOR THE RECOUPMENT OF CLOSING COSTS INCURRED BY A MOTOR VEHICLE DEALER IN CONNECTION WITH A SALE UNDER CERTAIN CIRCUMSTANCES; AND TO AMEND SECTION 37-2-202, AS AMENDED, RELATING TO ALLOWABLE ADDITIONAL CHARGES IN CONNECTION WITH A CONSUMER CREDIT SALE, SO AS TO PROVIDE FOR A UNIFORM ADDITIONAL CHARGE BY A MOTOR VEHICLE DEALER TO RECOUP ITS CLOSING COSTS, TO REQUIRE THAT THE CHARGE ALSO APPLY TO CASH BUYERS, TO LIMIT THE CHARGE TO NINETY-NINE DOLLARS AND FIFTY CENTS, AND TO REQUIRE WRITTEN DISCLOSURE.

Read the first time and referred to the Committee on Transportation.

S. 881 (Word version) -- Senators Setzler, Courson, Short, Waldrep, Glover and Anderson: A JOINT RESOLUTION TO PROVIDE THAT FOR FISCAL YEAR 1999-2000, FOR PURPOSES OF A SCHOOL DISTRICT USING FUNDS AVAILABLE PURSUANT TO CHAPTER 144 OF TITLE 59 OF THE 1976 CODE, THE TERM "SCHOOL FACILITIES" INCLUDES PORTABLE CLASSROOMS.

Read the first time and, on motion of Senator SETZLER, with unanimous consent, ordered placed on the Calendar without reference.

H. 3455 (Word version) -- Reps. Lloyd, Clyburn, Parks, J. Hines, Scott, Bales, Taylor, Rutherford and M. Hines: A BILL TO AMEND SECTION 56-1-3350, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE ISSUANCE OF SPECIAL IDENTIFICATION CARDS, SO AS TO REVISE THE AGE OF A PERSON WHO MAY APPLY FOR A SPECIAL IDENTIFICATION CARD.

Read the first time and referred to the Committee on Transportation.

H. 3647 (Word version) -- Reps. Miller, Rodgers, Chellis, Keegan, Altman, Kennedy, Limehouse, Gilham, Barfield, Witherspoon, Dantzler, Bowers, Kelley, Bailey and Young-Brickell: A CONCURRENT RESOLUTION TO MEMORIALIZE THE CONGRESS OF THE UNITED STATES, THE U.S. ARMY CORPS OF ENGINEERS, AND THE FEDERAL EMERGENCY MANAGEMENT AGENCY TO REVISIT THE CURRENT REGULATIONS TO ALLOW FOR THE REINSTATEMENT OF PREVIOUSLY APPROVED EMERGENCY SHELTERS IN THE COASTAL COUNTIES AND TO APPROVE SHELTERS RECOMMENDED BY LOCAL CITY AND COUNTY GOVERNMENTS OF GEORGETOWN, HORRY, CHARLESTON, BEAUFORT, AND COLLETON.

The Concurrent Resolution was introduced and referred to the Committee on Judiciary.

H. 3720 (Word version) -- Rep. Bauer: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 59-4-65 SO AS TO PROVIDE THAT IN THE EVENT THE STATE OF SOUTH CAROLINA DETERMINES BY LAW OR OTHERWISE THAT THE SOUTH CAROLINA TUITION PREPAYMENT PROGRAM AND ITS FUND SHOULD BE DISCONTINUED AND ALL TUITION PREPAYMENT CONTRACTS CANCELED, CONTRIBUTORS SHALL BE ENTITLED TO A REFUND OF ALL PAYMENTS TO THE FUND PLUS INTEREST ON THESE CONTRIBUTIONS AT THE RATE OF FOUR PERCENT PER ANNUM, AND TO PROVIDE THAT IF THE FUND DOES NOT HAVE SUFFICIENT MONIES TO MAKE SUCH REFUNDS, THE DEFICIENCIES SHALL BE PAID FROM THE GENERAL FUND OF THE STATE.

Read the first time and on motion of Senator BAUER, with unanimous consent, ordered placed on the Calendar without reference.

On motion of Senator BAUER, with unanimous consent, H. 3720 was ordered to receive a second reading tomorrow.

H. 3858 (Word version) -- Reps. Battle and M. Hines: A BILL TO AMEND SECTION 4-9-82, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE TRANSFER OF THE ASSETS, PROPERTIES, AND RESPONSIBILITIES OF A PUBLIC SERVICE DISTRICT FOR THE DELIVERY OF CLINICAL MEDICAL SERVICES TO ANOTHER POLITICAL SUBDIVISION OR AN APPROPRIATE HEALTH CARE PROVIDER LOCATED WITHIN THE DISTRICT, SO AS TO DELETE THE REQUIREMENT THAT THE SERVICES MUST BE CLINICAL AND THAT THE TRANSFER MUST BE TO ANOTHER POLITICAL SUBDIVISION OR AN APPROPRIATE HEALTH CARE PROVIDER IN THE DISTRICT, LIMIT THE APPLICATION OF THIS SECTION TO A HOSPITAL PUBLIC SERVICE DISTRICT, PROVIDE THAT THE REFERENDUM REQUIREMENT IS NOT NECESSARY FOR A TRANSFER TO CERTAIN ENTITIES, AND PROVIDE THAT THE DISTRICT MAY BE DISSOLVED UPON THE COMPLETION OF THE TRANSFER AND ASSUMPTION OF THE RESPONSIBILITIES AND OBLIGATIONS OF THE DISTRICT.

Read the first time and referred to the Committee on Judiciary.

H. 4118 (Word version) -- Reps. Robinson, Simrill, Knotts, Haskins, McGee, Law, Allen, Allison, Altman, Barrett, Cato, Easterday, Fleming, Gourdine, Hamilton, Harvin, Inabinett, Kennedy, Lanford, Leach, Loftis, Maddox, Mason, McCraw, McKay, Meacham, Moody-Lawrence, Neilson, Phillips, Rice, Rodgers, Sandifer, Stille, Taylor, Trotter, Vaughn and Webb: A CONCURRENT RESOLUTION TO MEMORIALIZE THE PRESIDENT, THE SECRETARY OF DEFENSE, AND THE CONGRESS OF THE UNITED STATES TO SUPPORT THE BERRY AMENDMENT AND "BUY AMERICAN" LAWS, WHICH REQUIRE THE DEPARTMENT OF DEFENSE TO PURCHASE GOODS, MATERIALS, AND SUPPLIES MADE IN AMERICA FOR AMERICA'S MILITARY AND DEFENSE NEEDS AND TO DEFEAT ANY MEASURE OR PROPOSAL INTRODUCED IN THE CONGRESS OF THE UNITED STATES THAT WOULD HAVE THE EFFECT OF SUSPENDING OR REPEALING THE BERRY AMENDMENT OR ALLOW THE SECRETARY OF DEFENSE TO WAIVE "BUY AMERICAN" LAWS.

On motion of Senator MARTIN, with unanimous consent, the Concurrent Resolution was introduced and ordered placed on the Calendar without reference.

H. 4170 (Word version) -- Rep. Koon: A CONCURRENT RESOLUTION TO EXPRESS THE SYMPATHY OF THE MEMBERS OF THE GENERAL ASSEMBLY TO THE FAMILY, MANY FRIENDS, AND COLLEAGUES OF CITY OF CHARLESTON POLICE OFFICER PERRIN RICHARD "RICKY" LOVE, WHO WAS KILLED IN THE LINE OF DUTY ON MAY 21, 1999.

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

H. 4184 (Word version) -- Rep. Sandifer: A CONCURRENT RESOLUTION CONGRATULATING THE LADY CATS OF SENECA HIGH SCHOOL ON WINNING THE 1999 CLASS AAA STATE SOFTBALL CHAMPIONSHIP.

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

Senator ANDERSON from the Committee on Medical Affairs submitted a favorable with amendment report on:

S. 95 (Word version) -- Senators Giese and Elliott: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 44-71-65 SO AS TO PROVIDE THAT A HOSPICE CARE FACILITY IS SUBJECT TO REGULATIONS PROMULGATED BY THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL PURSUANT TO TITLE 44, CHAPTER 71 AND THAT SUCH FACILITIES ARE NOT SUBJECT TO REGULATIONS PERTAINING TO THE LICENSURE AND REGULATION OF NURSING HOMES OR COMMUNITY RESIDENTIAL CARE FACILITIES; TO AMEND SECTION 44-7-130, AS AMENDED, RELATING TO DEFINITIONS IN THE STATE CERTIFICATION OF NEED AND HEALTH FACILITY LICENSURE ACT AND SECTION 44-7-170, AS AMENDED, RELATING TO EXEMPTIONS FROM THE CERTIFICATE OF NEED PROCESS, BOTH SO AS TO EXEMPT HOSPICE CARE FACILITIES FROM THE CERTIFICATE OF NEED PROCESS; TO AMEND SECTION 44-71-20, RELATING TO DEFINITIONS FOR THE LICENSURE OF HOSPICE PROGRAMS, SO AS TO CLARIFY THE SCOPE OF INPATIENT HOSPICE SERVICES AND TO DEFINE HOSPICE CARE FACILITIES; AND TO AMEND SECTION 44-71-60, RELATING TO THE PROMULGATION OF REGULATIONS FOR HOSPICE PROGRAMS, SO AS TO INCLUDE REGULATIONS FOR HOSPICE CARE FACILITIES.

Ordered for consideration tomorrow.

Senator HUTTO from the Committee on Medical Affairs submitted a favorable with amendment report on:

H. 3498 (Word version) -- Reps. Lourie, J. Smith, Campsen, Lee, Davenport, Taylor, Kirsh, Leach, Loftis, Maddox, Allen, Klauber, W. McLeod, Breeland, Pinckney, J. Brown, Wilder, Parks, Hawkins, Rutherford, Lucas, Neilson, McMahand, Harrison, Quinn, Mack, Phillips, McCraw, F. Smith, Battle, R. Smith, Cato, Moody-Lawrence, Simrill, Robinson, Hamilton, Easterday, Rice, Delleney, Bales, Bowers, Rhoad, Wilkes, M. McLeod, Knotts, McGee, Canty, Townsend, Stille, Rodgers, Gourdine, Hinson, Riser, Bailey, Jennings, Harris, Neal, Scott, Howard, Sandifer, Hayes, Barfield and Seithel: A BILL TO AMEND TITLE 44, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 117 SO AS TO ENACT THE "PRESCRIPTION INFORMATION PRIVACY ACT" WHICH PROHIBITS PATIENT PRESCRIPTION DRUG INFORMATION FROM BEING TRANSFERRED WITHOUT THE WRITTEN CONSENT OF THE PATIENT, AND TO PROVIDE EXCEPTIONS AND PENALTIES.

Ordered for consideration tomorrow.

H. 3498 (Word version) -- Reps. Lourie, J. Smith, Campsen, Lee, Davenport, Taylor, Kirsh, Leach, Loftis, Maddox, Allen, Klauber, W. McLeod, Breeland, Pinckney, J. Brown, Wilder, Parks, Hawkins, Rutherford, Lucas, Neilson, McMahand, Harrison, Quinn, Mack, Phillips, McCraw, F. Smith, Battle, R. Smith, Cato, Moody-Lawrence, Simrill, Robinson, Hamilton, Easterday, Rice, Delleney, Bales, Bowers, Rhoad, Wilkes, M. McLeod, Knotts, McGee, Canty, Townsend, Stille, Rodgers, Gourdine, Hinson, Riser, Bailey, Jennings, Harris, Neal, Scott, Howard, Sandifer, Hayes, Barfield and Seithel: A BILL TO AMEND TITLE 44, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 117 SO AS TO ENACT THE "PRESCRIPTION INFORMATION PRIVACY ACT" WHICH PROHIBITS PATIENT PRESCRIPTION DRUG INFORMATION FROM BEING TRANSFERRED WITHOUT THE WRITTEN CONSENT OF THE PATIENT, AND TO PROVIDE EXCEPTIONS AND PENALTIES.

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

There was no objection.

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

The Medical Affairs Committee proposed the following amendment (3498.SMA.010.doc), which was adopted:

Amend the committee report, as and if amended, page 2, Section 44-117-30, by deleting line 5 in its entirety and inserting in lieu thereof the following:

/     "may be transferred or received by a person without the written consent of the patient or a"     /

Amend the committee report, as and if amended, page 3, Section 44-117-30, by adding an appropriately numbered subsection at the end to read:

/     "(13)   information necessary to disclose to third parties in order for a health plan licensed by the South Carolina Department of Insurance to perform case management, utilization management, and disease management for individuals enrolled in that health plan, if the third party makes no other use or further disclosure of the information."/

Amend the committee report further, as and if amended, page 2, Section 44-117-30, by deleting lines 8 through 10 and inserting in lieu thereof the following:

/     "(1)   the lawful transmission of a prescription drug order in accordance with all state and federal laws pertaining to the practice of pharmacy."     /

Amend the committee report further, as and if amended, page 3, Section 44-117-50, by striking lines 11 through 24 in their entirety and inserting in lieu thereof the following:

/     "Section 44-117-50.   This chapter does not invalidate:
(a) any other provision of law concerning medical records or patient prescription drug information, the alteration of medical records or patient prescription drug information, any interest a patient has in the information contained within the medical record or patient prescription drug information, or any civil action brought in the state or federal courts alleging negligence by a practitioner or pharmacist;
(b) the authority of a court to issue a subpoena for medical records and patient prescription drug information;
(c) the authority of a licensing or disciplinary board of this State to obtain these records as provided by law; or
(d) the authority of the Department of Health and Environmental Control to obtain medical records or patient prescription drug information as provided by state and federal law."     / (e)

Amend the committee report further, as and if amended, page 3, by striking SECTION 2, lines 26 and 27 in their entirety and inserting in lieu thereof the following:

/     "SECTION 2.   Section 44-30-90. The department and each licensing board shall promulgate regulations necessary to accomplish the purposes set forth in this chapter and to comply with public law no later than October 1, 1992. All orders for medication dispensed or treatment provided in a hospital shall be authenticated according to hospital policy. The orders shall be taken by personnel qualified by hospital medical staff rules and shall include the date, time, and name of persons who gave the order, and the signature of the person taking the order. The Department of Health and Environmental Control shall promulgate regulations consistent with this provision."     /

Amend the committee report further, as and if amended, page 3, by adding an appropriately numbered SECTION to read:

/     "SECTION 3.   Section 44-115-80.   A physician, or other owner of medical records as provided for in Section 44-115-130, may charge a fee for the search and duplication of a medical record, but the fee may not exceed sixty-five cents per page for the first thirty pages and fifty cents per page for all other pages, and a clerical fee for searching and handling not to exceed fifteen dollars per request plus actual postage and applicable sales tax. However, no fee may be charged for records copied at the request of a health care provider or for records sent to a health care provider at the request of the patient for the purpose of continuing medical care. A physician, health care provider, or other owner of medical records must provide a patient's medical records at no charge when the patient is referred by the physician, health care provider, or an employee, agent, or contractor of the owner of the record, to another physician or health care provider for continuation of treatment for a specific condition or conditions. The physician may charge a patient or the patient's representative no more than the actual cost of reproduction of an X-ray. Actual cost means the cost of materials and supplies used to duplicate the X-ray and the labor and overhead costs associated with the duplication."     /

Amend the committee report further, as and if amended, by adding at the end an appropriately numbered SECTION to read:

/     "SECTION 4.   As listed above, SECTION 1 becomes effective on March 1, 2000. As listed above, SECTION 2 becomes effective upon approval by the Governor, provided, however, SECTION 2 shall remain in effect until such time as the department shall promulgate and implement new regulations consistent with the standards outlined in SECTION 2. As listed above, SECTION 3 becomes effective upon approval by the Governor."     /

Renumber sections to conform.

Amend title to conform.

The amendment was adopted.

There being no further amendments, the Bill was read the second time and ordered placed on the third reading Calendar with notice of general amendments.

Senator PEELER from the Committee on Fish, Game and Forestry submitted a favorable report on:

H. 3591 (Word version) -- Reps. Koon, R. Smith, Sharpe and Riser: A JOINT RESOLUTION TO PROVIDE FOR A THREE-YEAR PILOT PROGRAM IN ALL GAME ZONES OF THE STATE TO SHORTEN THE HUNTING SEASON FOR RACCOONS TO A PERIOD FROM THANKSGIVING DAY THROUGH MARCH 1; TO ALLOW HUNTING WITH DOGS ONLY FOR THE REMAINDER OF THE YEAR; AND TO IMPOSE A MINIMUM FINE OF FIVE HUNDRED DOLLARS FOR A PERSON VIOLATING THESE PROVISIONS, WITH EIGHTY PERCENT OF THE FINE RETAINED BY THE DEPARTMENT OF NATURAL RESOURCES AND USED FOR LAW ENFORCEMENT AND TWENTY PERCENT OF THE FINE FORWARDED TO THE APPROPRIATE GAME FUND IN THE COUNTY IN WHICH THE VIOLATION OCCURRED.

Ordered for consideration tomorrow.

Senator PEELER from the Committee on Fish, Game and Forestry submitted a favorable with amendment report on:

H. 3617 (Word version) -- Reps. Witherspoon, Sharpe, Sandifer, Breeland, Miller, Riser, Rodgers, Campsen, Beck, Altman, Seithel, M. McLeod, Cobb-Hunter, Ott, Harrell, Inabinett, Whatley, Battle and McGee: A BILL TO AMEND CHAPTER 5, TITLE 50, CODE OF LAWS OF SOUTH CAROLINA, 1976, AS AMENDED, RELATING TO THE MARINE RESOURCES DIVISION OF THE SOUTH CAROLINA DEPARTMENT OF MARINE RESOURCES, SO AS TO ENACT THE "SOUTH CAROLINA MARINE RESOURCES ACT OF 1999", AND TO REVISE PROVISIONS REGULATING MARINE RESOURCES AND THE MANNER THAT MARINE LIFE MAY BE HARVESTED, DEFINITIONS, OFFENSES, JURISDICTION, LAW ENFORCEMENT AUTHORITY, PROGRAMS, SUSPENSION OF PRIVILEGES, PENALTIES, ZONES, AND BOARDING OF VESSELS; TO PROVIDE FOR MARINE LICENSES AND PERMITS; TO PROVIDE FOR THE USE OF FISHING EQUIPMENT; TO PROVIDE FOR AND REGULATE TRAWLING, THE TAKING OF SHELL FISH, SHRIMP, ANADROMOUS AND CATADROMOUS FINFISH, ESTUARINE AND SALTWATER FINFISH, RECREATIONAL FISHERIES CONSERVATION AND MANAGEMENT, MARICULTURE, AND TO PROVIDE MISCELLANEOUS PROVISIONS NECESSARY TO REGULATION AND MANAGEMENT OF MARINE RESOURCES, TO PROVIDE FOR A POINT SYSTEM FOR VIOLATIONS OF MARINE RESOURCES LAWS, TO PROVIDE FOR INTERJURISDICTIONAL FISHERY MANAGEMENT; TO AMEND SECTION 44-1-152, RELATING TO REVENUE FROM FINES AND FORFEITURES, SO AS TO FURTHER PROVIDE FOR THE DISPOSITION OF REVENUE FROM FINES AND FORFEITURES; TO ADD SECTION 50-1-295 SO AS TO PROHIBIT REMOVING OR DISTURBING SIGNS, BUOYS, OR OTHER DEVICES USED BY THE DEPARTMENT, AND TO PROVIDE PENALTIES FOR VIOLATIONS OF THIS SECTION; TO AMEND SECTION 50-13-650, RELATING TO THE USE OF NETS OR SEINES IN THE SAVANNAH RIVER; TO AMEND SECTION 50-13-730, RELATING TO THE USE OF NETS TO TAKE NONGAME FISH IN GAME ZONE 9, SO AS TO MAKE THE PROVISIONS OF THIS SECTION APPLICABLE STATEWIDE AND PROVIDE THAT THE PROVISIONS OF THIS SECTION SHALL NOT AFFECT SHAD, HERRING, OR STURGEON; TO ADD SECTION 50-21-175 SO AS TO REQUIRE THE OPERATOR AND CREW OF ANY WATERCRAFT OPERATING IN STATE WATERS TO HEAVE TO WHEN SIGNALED OR HAILED AND TO ALLOW BOARDING, AND TO PROVIDE PENALTIES FOR VIOLATIONS; TO REDESIGNATE SECTION 50-13-990 AS SECTION 50-21-180; AND TO REPEAL CHAPTERS 7, 17, AND 20 OF TITLE 50, AND SECTIONS 50-5-130, 50-13-190, 50-13-320, 50-13-530, 50-13-700, 50-13-735, 50-13-770, 50-13-795, 50-13-800, 50-13-805, 50-13-815, 50-19-320, AND 50-19-330 OF THE 1976 CODE; AND TO PROVIDE THAT ALL RIGHTS, DUTIES, AND LIABILITIES ACCRUING TO A PERSON PRIOR TO THE EFFECTIVE DATE OF THIS ACT ARE PRESERVED, AND THAT ALL CASES AND APPEALS ARISING OR PENDING UNDER THE LAW BEFORE THE EFFECTIVE DATE OF THIS ACT ARE SAVED.

On motion of Senator PEELER, with unanimous consent, the Bill was recommitted to the Committee on Fish, Game and Forestry, retaining its place on the Calendar.

Senator MOORE from the Committee on Medical Affairs submitted a favorable report on:

H. 3825 (Word version) -- Medical, Military, Public and Municipal Affairs Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF LABOR, LICENSING AND REGULATION, STATE BOARD OF NURSING, RELATING TO DEFINITION OF ORIENTATION, DESIGNATED AS REGULATION DOCUMENT NUMBER 2421, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Ordered for consideration tomorrow.

Senator MOORE from the Committee on Medical Affairs submitted a favorable report on:

H. 4067 (Word version) -- Medical, Military, Public and Municipal Affairs Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF LABOR, LICENSING AND REGULATION, STATE BOARD OF PHARMACY, RELATING TO FACILITY PERMIT CLASSIFICATIONS, DESIGNATED AS REGULATION DOCUMENT NUMBER 2426, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Ordered for consideration tomorrow.

Senator BRYAN from the Committee on Medical Affairs submitted a favorable report on:

H. 4072 (Word version) -- Agriculture, Natural Resources and Environmental Affairs Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL, RELATING TO ENVIRONMENTAL PROTECTION FEES, DESIGNATED AS REGULATION DOCUMENT NUMBER 2374, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Ordered for consideration tomorrow.

Senator BRYAN from the Committee on Medical Affairs submitted a favorable report on:

H. 4073 (Word version) -- Agriculture, Natural Resources and Environmental Affairs Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL, RELATING TO INDIVIDUAL RESIDENTIAL WELL AND IRRIGATION WELL PERMITTING, DESIGNATED AS REGULATION DOCUMENT NUMBER 2351, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Ordered for consideration tomorrow.

S. 27 (Word version) -- Senator Leventis: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 47-1-210 SO AS TO MAKE IT UNLAWFUL TO GIVE AWAY A LIVE ANIMAL AS A PRIZE FOR, OR AS AN INDUCEMENT TO ENTER, ANY CONTEST, GAME, OR OTHER COMPETITION, OR AS AN INDUCEMENT TO ENTER A PLACE OF AMUSEMENT, OR AS AN INCENTIVE TO ENTER INTO ANY BUSINESS AGREEMENT IF THE OFFER MADE WAS FOR THE PURPOSE OF ATTRACTING TRADE, AND PROVIDE FOR PENALTIES, EXCEPTIONS, AND RELATED MATTERS.

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

Senator LEVENTIS spoke on the report.

On motion of Senator LEVENTIS, the Report of the Committee of Conference to S. 27 was adopted as follows:

The COMMITTEE OF CONFERENCE, to whom was referred:

S. 27 (Word version) -- Senator Leventis: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 47-1-210 SO AS TO MAKE IT UNLAWFUL TO GIVE AWAY A LIVE ANIMAL AS A PRIZE FOR, OR AS AN INDUCEMENT TO ENTER, ANY CONTEST, GAME, OR OTHER COMPETITION, OR AS AN INDUCEMENT TO ENTER A PLACE OF AMUSEMENT, OR AS AN INCENTIVE TO ENTER INTO ANY BUSINESS AGREEMENT IF THE OFFER MADE WAS FOR THE PURPOSE OF ATTRACTING TRADE, AND PROVIDE FOR PENALTIES, EXCEPTIONS, AND RELATED MATTERS.
Beg leave to report that they have duly and carefully considered the same and recommend:

That the same do pass with the following amendments:

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

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

"Section 47-1-210.   (A)   It is unlawful to give away a live animal including, but not limited to, a fish, bird, fowl, or reptile, as a prize for, or as an inducement to enter, any contest, game, or other competition, or as an inducement to enter a place of amusement, or for these species to be used as an incentive to enter into any business agreement if the offer made was for the purpose of attracting trade.

(B)   Nothing in this section may be construed to prohibit an auction or raffle of a live animal including, but not limited to, a fish, bird, fowl, or reptile. Further, the giving away or the testing of game or fowl for breeding purposes only is lawful and is not prohibited by this section as an incentive to enter into a business agreement if the person giving away or testing game or fowl is engaged in that trade.

(C)   A person who violates this section is guilty of a misdemeanor and, upon conviction, must be punished for each separate offense by a fine not to exceed three hundred dollars or imprisonment not to exceed thirty days, or both.

(D)   This section does not apply when a live animal is given away as follows:

(1)   by individuals or organizations operating in conjunction with a cooperative extension education program or agricultural vocational program sanctioned by the State Department of Education or local school districts;

(2)   by individuals or organizations operating in conjunction with field trials approved by the Department of Natural Resources; or

(3)   by kennels that advertise in national publications in regard to dogs that are registered with the United Kennel Club or the American Kennel Club."

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

Amend title to conform.

/s/ Senator Phil P. Leventis      /s/ Rep. Dwight A. Loftis
Senator Darrell Jackson           /s/ Rep. William D. Witherspoon
/s/ Senator Robert L. Waldrep     /s/ Rep. Thomas N. Rhoad
On Part of the Senate.            On Part of the House.

and a message was sent to the House accordingly.

S. 398 (Word version) -- Senator Setzler: A BILL TO AMEND TITLE 40, CHAPTER 22 OF THE CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PROFESSIONAL ENGINEERS AND LAND SURVEYORS, SO AS TO CONFORM THIS CHAPTER TO THE STATUTORY ORGANIZATIONAL FRAMEWORK OF TITLE 40, CHAPTER 1 FOR BOARDS UNDER THE ADMINISTRATION OF THE DEPARTMENT OF LABOR, LICENSING AND REGULATION AND TO FURTHER PROVIDE FOR THE LICENSURE AND REGULATION OF ENGINEERS AND LAND SURVEYORS INCLUDING, BUT NOT LIMITED TO, AUTHORIZING THE BOARD TO REGULATE CROSS-BORDER ENGINEERING.

Whereupon, the PRESIDENT Pro Tempore appointed Senators MOORE, O'DELL and ALEXANDER of the Committee of Conference on the part of the Senate and a message was sent to the House accordingly.

Columbia, S.C., May 26, 1999
Mr. President and Senators:

The House respectfully informs your Honorable Body that it concurs in the amendments proposed by the Senate to:
H. 3174 (Word version) -- Rep. Simrill: A BILL TO AMEND SECTION 45-1-50, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO A PERSON WHO DEFRAUDS A HOTEL, MOTEL, INN, BOARDING HOUSE, ROOMING HOUSE, CAFE, OR RESTAURANT OWNER AND THE PENALTIES, SO AS TO ADD CAMPGROUND TO THE LISTED LODGING ACCOMMODATIONS AND TO PROVIDE A DEFINITION OF 'CAMPGROUND'.
and has ordered the Bill Enrolled for Ratification.

Very respectfully,
Speaker of the House

Received as information.

Columbia, S.C., May 26, 1999
Mr. President and Senators:

The House respectfully informs your Honorable Body that it concurs in the amendments proposed by the Senate to:
H. 3301 (Word version) -- Reps. Beck, Mason, Hamilton and Easterday: A BILL TO AMEND SECTION 20-7-1800, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO APPEALS OF ADOPTION PROCEEDINGS, SO AS TO PROVIDE THAT APPEALS MAY BE TAKEN FROM FINAL ORDERS OF ADOPTION IN THE SAME MANNER AS OTHER FAMILY COURT MATTERS, THAT AFTER A FINAL ORDER IS ENTERED, NO PARTY, OR PERSON CLAIMING UNDER A PARTY, MAY QUESTION THE VALIDITY OF THE ADOPTION BECAUSE OF A DEFECT; TO PROVIDE THAT ONLY A PARTY TO AN ADOPTION MAY ATTACK THE ADOPTION DIRECTLY OR COLLATERALLY; TO PROVIDE THAT A PARENT WHOSE CONSENT WAS OBTAINED BY FRAUD OR DURESS MAY, WITHIN SIX MONTHS OF THE FINAL ORDER OR OF DISCOVERING THE FRAUD OR DURESS, MOVE TO HAVE THE ORDER SET ASIDE; AND TO PROVIDE THAT A PARENT WHOSE CONSENT WAS REQUIRED BUT NOT OBTAINED MAY, WITHIN SIX MONTHS OF THE OMISSION OR OF DISCOVERING THE OMISSION, MOVE TO HAVE THE ORDER SET ASIDE.
and has ordered the Bill Enrolled for Ratification.

Very respectfully,
Speaker of the House

Received as information.

Columbia, S.C., May 26, 1999
Mr. President and Senators:

The House respectfully informs your Honorable Body that it concurs in the amendments proposed by the Senate to:
H. 3547 (Word version) -- Rep. Davenport: A BILL TO AMEND SECTION 34-11-70, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO COLLECTION AND PROSECUTION PROCEDURES FOR CHECKS DRAWN WITH INSUFFICIENT FUNDS ON DEPOSIT, SO AS TO INCREASE THE SERVICE CHARGE FROM TWENTY-FIVE TO THIRTY DOLLARS.
and has ordered the Bill Enrolled for Ratification.

Very respectfully,
Speaker of the House

Received as information.

Columbia, S.C., May 27, 1999
Mr. President and Senators:

The House respectfully informs your Honorable Body that it insists upon the amendments proposed by the House to:
H. 3035 (Word version) -- Rep. Knotts: A BILL TO AMEND SECTION 14-25-65, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE MAXIMUM PENALTIES THAT A MUNICIPAL JUDGE MAY IMPOSE, SO AS TO PROVIDE THAT THE JUDGE MAY ORDER RESTITUTION IN AN AMOUNT NOT TO EXCEED ONE THOUSAND DOLLARS IN ADDITION TO CRIMINAL PENALTIES; TO AMEND SECTION 22-3-550, AS AMENDED, RELATING TO A MAGISTRATE'S CRIMINAL JURISDICTION, SO AS TO PROVIDE THAT THE MAGISTRATE MAY ORDER RESTITUTION IN AN AMOUNT NOT TO EXCEED ONE THOUSAND DOLLARS; AND TO AMEND SECTION 22-3-1000, RELATING TO PROVISIONS APPLICABLE TO BOTH CIVIL AND CRIMINAL CASES, SO AS TO PROVIDE THAT A MAGISTRATE'S ORDER OF RESTITUTION MAY BE APPEALED SEPARATELY FROM AN APPEAL RELATING TO CONVICTION.
asks for a Committee of Conference, and has appointed Reps. F. Smith, Hawkins and Knotts of the committee on the part of the House.

Very respectfully,
Speaker of the House

H. 3035 (Word version) -- Rep. Knotts: A BILL TO AMEND SECTION 14-25-65, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE MAXIMUM PENALTIES THAT A MUNICIPAL JUDGE MAY IMPOSE, SO AS TO PROVIDE THAT THE JUDGE MAY ORDER RESTITUTION IN AN AMOUNT NOT TO EXCEED ONE THOUSAND DOLLARS IN ADDITION TO CRIMINAL PENALTIES; TO AMEND SECTION 22-3-550, AS AMENDED, RELATING TO A MAGISTRATE'S CRIMINAL JURISDICTION, SO AS TO PROVIDE THAT THE MAGISTRATE MAY ORDER RESTITUTION IN AN AMOUNT NOT TO EXCEED ONE THOUSAND DOLLARS; AND TO AMEND SECTION 22-3-1000, RELATING TO PROVISIONS APPLICABLE TO BOTH CIVIL AND CRIMINAL CASES, SO AS TO PROVIDE THAT A MAGISTRATE'S ORDER OF RESTITUTION MAY BE APPEALED SEPARATELY FROM AN APPEAL RELATING TO CONVICTION.

Whereupon, the PRESIDENT Pro Tempore appointed Senators BRYAN, WILSON and HUTTO of the Committee of Conference on the part of the Senate and a message was sent to the House accordingly.

Columbia, S.C., May 27, 1999
Mr. President and Senators:

The House respectfully informs your Honorable Body that it insists upon the amendments proposed by the House to:
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, Lloyd, Scott 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 READINESS ACT" WHICH IS AN INITIATIVE FOR IMPROVING EARLY CHILDHOOD DEVELOPMENT BY PROVIDING GRANTS TO LOCAL PARTNERSHIPS TO PROVIDE SERVICES AND SUPPORT TO CHILDREN AND THEIR FAMILIES TO ENABLE CHILDREN TO REACH SCHOOL READY TO LEARN; TO ESTABLISH GOALS FOR THIS INITIATIVE; TO PROVIDE FOR THE FUNCTIONS AND DUTIES OF THE OFFICE IMPLEMENTING AND OPERATING THE INITIATIVE; TO ESTABLISH ELIGIBILITY CRITERIA AND PROGRAM PARAMETERS FOR LOCAL PARTNERSHIPS; AND TO ESTABLISH FISCAL GUIDELINES, CRITERIA FOR LOCAL MATCHING FUNDS, AND EVALUATION REQUIREMENTS FOR LOCAL PARTNERSHIPS; TO AMEND ARTICLE 17, CHAPTER 7, TITLE 20 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 TO REVISE THE PURPOSES OF THE TRUST FUND AND TO FURTHER PROVIDE FOR ITS GOVERNING BOARD, FUNCTIONS, DUTIES, AND FUNDING; TO ADD SECTIONS 43-1-240 AND 44-1-280 SO AS TO PROVIDE THAT THE DEPARTMENT OF SOCIAL SERVICES AND THE BOARD AND THE 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; TO PROVIDE THAT THE TERMS OF BOARD MEMBERS OF THE CHILDREN'S TRUST FUND OF SOUTH CAROLINA EXPIRE ON THIS ACT'S EFFECTIVE DATE; AND TO PROVIDE THAT FUNDS IN THE TRUST FUND PRIOR TO THIS ACT'S EFFECTIVE DATE MUST BE EXPENDED IN ACCORDANCE WITH THE PURPOSES OF THE FUND BEFORE AMENDMENT BY THIS ACT; AND TO AMEND CHAPTER 63 OF TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PUPILS, BY ADDING ARTICLE 13 SO AS TO PROVIDE THE CONDITIONS, REQUIREMENTS, AND PROCEDURES UNDER WHICH LOCAL SCHOOL BOARDS OF TRUSTEES BEGINNING WITH SCHOOL YEAR 1999-2000 SHALL ESTABLISH AND OPERATE A PROGRAM OF ALTERNATIVE SCHOOLS FOR CERTAIN STUDENTS IN THEIR DISTRICTS, TO PERMIT THESE ALTERNATIVE SCHOOL PROGRAMS TO BE OPERATED EITHER INDIVIDUALLY OR AS A COOPERATIVE AGREEMENT WITH OTHER SCHOOL DISTRICTS, AND TO PROVIDE FOR THE MANNER IN WHICH THESE ALTERNATIVE SCHOOLS SHALL BE FUNDED.
asks for a Committee of Conference, and has appointed Reps. Townsend, Stille and Walker of the committee on the part of the House.

Very respectfully,
Speaker of the House

The House respectfully informs your Honorable Body that it insists upon the amendments proposed by the House to:
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, Lloyd, Scott 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 READINESS ACT" WHICH IS AN INITIATIVE FOR IMPROVING EARLY CHILDHOOD DEVELOPMENT BY PROVIDING GRANTS TO LOCAL PARTNERSHIPS TO PROVIDE SERVICES AND SUPPORT TO CHILDREN AND THEIR FAMILIES TO ENABLE CHILDREN TO REACH SCHOOL READY TO LEARN; TO ESTABLISH GOALS FOR THIS INITIATIVE; TO PROVIDE FOR THE FUNCTIONS AND DUTIES OF THE OFFICE IMPLEMENTING AND OPERATING THE INITIATIVE; TO ESTABLISH ELIGIBILITY CRITERIA AND PROGRAM PARAMETERS FOR LOCAL PARTNERSHIPS; AND TO ESTABLISH FISCAL GUIDELINES, CRITERIA FOR LOCAL MATCHING FUNDS, AND EVALUATION REQUIREMENTS FOR LOCAL PARTNERSHIPS; TO AMEND ARTICLE 17, CHAPTER 7, TITLE 20 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 TO REVISE THE PURPOSES OF THE TRUST FUND AND TO FURTHER PROVIDE FOR ITS GOVERNING BOARD, FUNCTIONS, DUTIES, AND FUNDING; TO ADD SECTIONS 43-1-240 AND 44-1-280 SO AS TO PROVIDE THAT THE DEPARTMENT OF SOCIAL SERVICES AND THE BOARD AND THE 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; TO PROVIDE THAT THE TERMS OF BOARD MEMBERS OF THE CHILDREN'S TRUST FUND OF SOUTH CAROLINA EXPIRE ON THIS ACT'S EFFECTIVE DATE; AND TO PROVIDE THAT FUNDS IN THE TRUST FUND PRIOR TO THIS ACT'S EFFECTIVE DATE MUST BE EXPENDED IN ACCORDANCE WITH THE PURPOSES OF THE FUND BEFORE AMENDMENT BY THIS ACT; AND TO AMEND CHAPTER 63 OF TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PUPILS, BY ADDING ARTICLE 13 SO AS TO PROVIDE THE CONDITIONS, REQUIREMENTS, AND PROCEDURES UNDER WHICH LOCAL SCHOOL BOARDS OF TRUSTEES BEGINNING WITH SCHOOL YEAR 1999-2000 SHALL ESTABLISH AND 4PERATE A PROGRAM OF ALTERNATIVE SCHOOLS FOR CERTAIN STUDENTS IN THEIR DISTRICTS, TO PERMIT THESE ALTERNATIVE SCHOOL PROGRAMS TO BE OPERATED EITHER INDIVIDUALLY OR AS A COOPERATIVE AGREEMENT WITH OTHER SCHOOL DISTRICTS, AND TO PROVIDE FOR THE MANNER IN WHICH THESE ALTERNATIVE SCHOOLS SHALL BE FUNDED.

Whereupon, the PRESIDENT Pro Tempore appointed Senators BRYAN, SHORT and MATTHEWS of the Committee of Conference on the part of the Senate and a message was sent to the House accordingly.

Columbia, S.C., May 27, 1999
Mr. President and Senators:

The House respectfully informs your Honorable Body that it insists upon the amendments proposed by the House to:
H. 3833 (Word version) -- Rep. Robinson: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 12-54-75 SO AS TO PROVIDE FOR ELECTRONIC COLLECTION OF REVENUES BY A STATE AGENCY PURSUANT TO A CONTRACT NEGOTIATED AND ENTERED INTO BY THE STATE TREASURER ON BEHALF OF THE AGENCY.
asks for a Committee of Conference, and has appointed Reps. Vaughn, Clyburn and Robinson of the committee on the part of the House.

Very respectfully,
Speaker of the House

H. 3833 (Word version) -- Rep. Robinson: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 12-54-75 SO AS TO PROVIDE FOR ELECTRONIC COLLECTION OF REVENUES BY A STATE AGENCY PURSUANT TO A CONTRACT NEGOTIATED AND ENTERED INTO BY THE STATE TREASURER ON BEHALF OF THE AGENCY.

Whereupon, the PRESIDENT Pro Tempore appointed Senators THOMAS, PATTERSON and McGILL of the Committee of Conference on the part of the Senate and a message was sent to the House accordingly.

S. 177 (Word version) -- Senator Jackson: A BILL TO AMEND ARTICLE 9, CHAPTER 1, TITLE 1 OF THE CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO STATE EMBLEMS, PLEDGES TO THE STATE, AND OFFICIAL OBSERVANCES, BY ADDING SECTION 1-1-687 SO AS TO DESIGNATE THE "SPIRITUAL" AS THE OFFICIAL MUSIC OF THE STATE.

The House returned the Bill with amendments.

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

H. 3777 (Word version) -- Reps. R. Smith, Clyburn and Mason: A BILL TO PROVIDE FOR THE AUTHORIZED TAX MILLAGE FOR THE OPERATION OF THE SCHOOL DISTRICT OF AIKEN COUNTY, TO DEVOLVE UPON THE AIKEN COUNTY SCHOOL BOARD OF EDUCATION THE AUTHORITY, SUBJECT TO CERTAIN LIMITATIONS, TO PROVIDE FOR AN ADJUSTMENT IN THE TAX MILLAGE LEVIED FOR THE GENERAL OPERATIONS OF THE SCHOOL DISTRICT OF AIKEN COUNTY, AND TO REPEAL ACT 268 OF 1989 AND ACT 579 OF 1994 RELATING TO AUTHORIZED TAX MILLAGE FOR THE SCHOOL DISTRICT OF AIKEN COUNTY.

The House returned the Bill with amendments.

Senator MOORE explained the House amendments.

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

Senators MOORE and SETZLER desired to be recorded as voting in favor of concurrence in the House amendments.

Senator RYBERG desired to be recorded as voting against concurrence in the House amendments.

The Aiken County School Board requested limited fiscal autonomy from the Aiken County Legislative Delegation. I wholeheartedly agree that the delegation should approve limited fiscal autonomy of up to 9 mills. Limited fiscal autonomy was the Senate plan which I endorsed and voted for. I still strongly support the 9 mill limited fiscal autonomy and vote for this limited fiscal autonomy. My vote thus was to nonconcur with the House amendment to H. 3777.

S. 730 (Word version) -- Senators Leventis, Giese and Leatherman: A CONCURRENT RESOLUTION TO MEMORIALIZE THE PRESIDENT, THE CONGRESS, AND THE GOVERNMENT OF THE UNITED STATES TO MAINTAIN ITS COMMITMENT TO AMERICA'S MILITARY RETIREES BY PROVIDING LIFETIME HEALTH CARE FOR MILITARY RETIREES OVER THE AGE OF SIXTY-FIVE YEARS, TO PROVIDE AMERICA'S MILITARY RETIREES AND THEIR FAMILIES WITH THE HEALTH CARE THEY WERE PROMISED AND EARNED BY ENACTING COMPREHENSIVE LEGISLATION THAT AFFORDS MILITARY RETIREES ACCESS TO HEALTH CARE THROUGH MILITARY TREATMENT FACILITIES OR THE MILITARY'S NETWORK OF HEALTH CARE PROVIDERS, AND BY ENACTING LEGISLATION OPENING THE FEDERAL EMPLOYEES HEALTH BENEFIT PROGRAM TO UNIFORM SERVICES BENEFICIARIES ELIGIBLE FOR MEDICARE ON THE SAME BASIS AND CONDITIONS THAT APPLY TO FEDERAL CIVILIAN EMPLOYEES.

Returned with concurrence.

Received as information.

S. 831 (Word version) -- Senators Wilson, Bryan, Giese and Glover: A CONCURRENT RESOLUTION TO FIX WEDNESDAY, JUNE 2, 1999, IMMEDIATELY FOLLOWING THE ELECTION OF JUDGES AS THE TIME TO ELECT A MEMBER OF THE BOARD OF TRUSTEES OF FRANCIS MARION UNIVERSITY REPRESENTING THE THIRD CONGRESSIONAL DISTRICT, SEAT SIX.

Returned with concurrence.

Received as information.

S. 865 (Word version) -- Senator Matthews: A CONCURRENT RESOLUTION EXPRESSING THE SINCERE DESIRE OF THE GENERAL ASSEMBLY TO RECOGNIZE AND CONGRATULATE THE CONGREGATION OF THE BROOKLAND BAPTIST CHURCH UPON THE OCCASION OF THE DEDICATION OF THE NEW EDIFICE IN WEST COLUMBIA, SOUTH CAROLINA, WHICH HAS AND WILL CONTINUE TO BE A SPECIAL BLESSING TO THE ENTIRE COMMUNITY.

Returned with concurrence.

Received as information.

S. 869 (Word version) -- Senators Leventis and Land: A CONCURRENT RESOLUTION TO COMMEND ANDRENA ELIZABETH RAY OF SUMTER, ONE OF SOUTH CAROLINA'S MOST DISTINGUISHED EDUCATORS AND SCHOOL ADMINISTRATORS, FOR HER ACCOMPLISHMENTS AND MANY YEARS OF PUBLIC SERVICE IN THE FIELD OF EDUCATION AND TO CONGRATULATE HER FOR A JOB WELL DONE ON THE OCCASION OF HER RETIREMENT AS SUPERINTENDENT OF SUMTER SCHOOL DISTRICT 17.

Returned with concurrence.

Received as information.

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

H. 3522 (Word version) -- Rep. Altman: 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.

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

There was no objection.

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

Senator PASSAILAIGUE explained the Bill.

Senator PASSAILAIGUE proposed the following amendment (3522R004.WHB), which was adopted:

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

/   SECTION   1.   The General Assembly finds that the:

(1)   Medical University Hospitals and Clinics are required to provide critical medical and hospital care while at the same time serving the role of teaching hospitals and clinics supporting the training of medical professionals;

(2)   Medical University Hospitals and Clinics operate in a highly competitive health care environment and of necessity must have maximum flexibility in their management and operations to realize greater efficiencies, enhance revenues, and reduce expenditures in order for the hospitals and clinics to continue to succeed in their critical and comprehensive public mission;

(3)   Board of Trustees of the Medical University of South Carolina should have greater management and operational autonomy to achieve these goals.

SECTION   2.   Section 59-123-60 of the 1976 Code is amended to read:

"Section 59-123-60.   (A)   The board of trustees shall elect one of its number to be chairman and is authorized to elect a university president, one or more vice-presidents, and a secretary, prescribe their duties and terms of office, and fix their compensation. It shall elect teachers of professorial rank in the various colleges which make up the Medical University of South Carolina and other officers and employees as may be necessary for the proper conduct of the university and fix their compensation, the fees and charges of students, and the rules for the government of the university. The board of trustees also has the following powers:

(1)   to make bylaws and regulations considered expedient for the management of its affairs and its own operations not inconsistent with the Constitution and laws of this State or of the United States;

(2)   to confer the appropriate degrees in medicine, dental medicine, pharmacy, nursing, health related professions, and graduate studies in related health fields upon students and other persons as in the opinion of the board of trustees may be qualified to receive them.

(B)   The Board of Trustees of the Medical University of South Carolina is the governing body of the Medical University Hospitals and Clinics (hereinafter 'hospital'). Whenever the board functions in its capacity as the governing authority of the hospital, the board of trustees is constituted and designated as the Medical University Hospital Authority. The board, as the authority, has the full power and authority to manage the business, operations, and affairs of the hospital and to take any action the board may consider advisable, necessary, or convenient in carrying out its duties. Provided, however, the expenditure of funds by the authority must be made pursuant to written guidelines developed by the board of the authority. In establishing these guidelines, the board of the authority must take into account the public nature of the authority.

The powers of the board of the authority specifically include, but are not limited to, the authority to:

(1)   have perpetual succession as a corporation;

(2)   sue and be sued;

(3)   adopt, use, and alter a corporate seal;

(4)   make and amend bylaws for its governance consistent with the purposes of this chapter;

(5)   make bylaws for the management, regulation, and operation of the hospital;

(6)   make contracts and guarantees, to incur liabilities, to issue its notes, bonds, and other obligations, and secure any of its obligations by mortgage or pledge of any of its property or income in a manner to be in the best interest of the hospital; any guarantee or indebtedness of the hospital or of the Medical University Hospital Authority shall not create an obligation of the State, nor shall such guarantee or indebtedness be considered a debt against the general revenue of the State;

(7)   purchase, receive, lease, or otherwise acquire and own, hold, improve any legal or equitable interest in property wherever located; these activities are exempt from the authority and approval of the Budget and Control Board; provided, the Budget and Control Board is notified of all transactions that have been entered involving real property on a quarterly basis;

(8)   sell, convey, lease, exchange, and otherwise dispose of all, substantially all, or a major part of its property subject to the authority and approval of the Budget and Control Board. These activities are exempt from the South Carolina Consolidated Procurement Code and regulations and general laws governing disposal of surplus government property.

(9)   receive contributions, donations, and payments and invest and disburse its funds; provided, however, that these funds are public funds and that the authority may not use or authorize the use of funds, property, or time to influence the outcome of an election;

(10)   construct, operate, and maintain the hospital and related premises, buildings and facilities, and infrastructure;

(11)   make contracts and execute all instruments considered by the authority to be advisable, necessary or convenient for the carrying out of its activities and affairs; these contracts are exempt from the South Carolina Procurement Code and regulations; provided, however, the authority must adopt a procurement process which will govern procurements by the authority and a copy of the procurement process must be filed with the Budget and Control Board for its review and approval;

(12)   delegate its power and authority related to the management and operations of the hospital to any agent, public or private, and to establish any committee in order to accomplish the purposes of the hospital;

(13)   appoint such officers, employees, personnel, and agents of the hospital and define such duties, and fix their compensation in such manner as necessary and convenient to carry out the hospital's activities and affairs; the appointments, duties, and compensation of personnel and employees are exempt from Budget and Control Board personnel administration and the State Employee Grievance Act; provided, however, the authority shall adopt a grievance procedure to govern personnel and employees of the hospital and this grievance procedure must be filed with the Budget and Control Board; all personnel employed at the hospital are employees-at-will and are not considered state employees except for eligibility for participation in the South Carolina Retirement System; the State Health Insurance Group Plans; and pursuant to the South Carolina Tort Claims Act;

(14)   make pension payments to the South Carolina Retirement Systems on behalf of personnel or employees employed at the hospital who qualify in the same manner as other state employees in the executive branch of government;

(15)   pay contributions to the Office of Insurance Services for health and dental plans on behalf of personnel employed at the hospital who qualify in the same manner as other state employees in the executive branch of government;

(16)   transact and conduct any lawful activity that will assist the authority in carrying out its responsibilities related to the hospital;

(17)   receive, expend, and control under its own name and account any appropriated funds, federal funds, donations, and grants made available to the hospital; provided, however, that these funds are public funds and that the authority may not use or authorize the use of funds, property, or time to influence the outcome of an election;

(18)   conduct an annual fiscal audit by certified public accountants selected by the authority, who shall review the accounts of the hospital and report such findings of the audit to the Governor and the General Assembly in accordance with generally accepted auditing standards;

(19)   prepare and submit an annual budget to the Budget and Control Board for review;

(20)   establish management controls and staffing of personnel as the authority deems most appropriate for the prudent conduct of the activities and affairs of the hospital; provided, that they establish an internal audit function that would report directly to the authority;

(21)   establish such not-for-profit corporations as the authority considers necessary, advisable, or convenient to assist the authority in carrying out its functions;

(22)   upon review of the audit report required in Section 59-123-60 (B) (18), the legislature by joint resolution or the Governor by Executive Order may request audits to be completed by the State Auditors Office and/or the Legislative Audit Council. Based on the findings reported in the audit required in Section 59-123-60 (B) (18), by the State Auditors Office or by the Legislative Audit Council, the legislature, by joint resolution may require intervention by the Budget and Control Board for the purposes of rectifying any material findings reflected in the audits;

(23)   a trustee serving on the Board of Trustees of the Medical University Hospitals and Clinics, who has been found guilty of malfeasance, misfeasance, incompetence, absenteeism, conflict of interest, misconduct, persistent neglect of duty in office, or incapacity shall be subject to removal by the Governor upon any of the foregoing causes being made to appear to the satisfaction of the Governor. But before removing any such trustee, the Governor shall inform him in writing of the specific charges against him and give him an opportunity on reasonable notice to be heard. The Governor shall appoint a successor to fill the vacancy created by his removal. The successor appointed by the Governor is to serve in that position until a successor is elected and qualified in accordance with Section 59-123-50;

(24)   the Medical University Hospitals and Clinics shall offer and provide to the Medical University of South Carolina the services necessary for the training and education of health professionals so long as the services are requested and required by the university;

(25)   beginning in fiscal year 2000-2001 state appropriations to the Medical University of South Carolina for support of the Medical University Hospitals and Clinics shall be redirected to the Department of Health and Human Services. These funds shall be used as match funds for the Disproportionate Share for Hospitals federal program. Any excess funding may be used for hospital base rate increases. The Department of Health and Human Services shall transfer an amount equal to the 1999-2000 appropriation for the Medical University Hospitals and Clinics in addition to any other funds that are available to the Medical University Hospitals and Clinics through the state Medicaid program inclusive of the Disproportionate Share program. The Medical University Hospitals and Clinics shall continue to be a health provider for the citizens of South Carolina and the clinical site for the education and training programs of the Medical University of South Carolina."

SECTION   3.   Section 8-11-260 of the 1976 Code, as last amended by Act 452 of 1994, is further amended by adding a new item to be appropriately lettered to read:

"(__)   Employees of the Medical University Hospitals and Clinics."

SECTION   4.   Section 8-17-370 of the 1976 Code as last amended by Act 284 of 1996, is further amended by adding a new item to be appropriately numbered which shall read:

"(__)   Employees of the Medical University Hospitals and Clinics, provided the Medical University Hospital Authority has promulgated an employee grievance plan in accordance with its enabling provision."

SECTION   5.   Section 11-35-710 of the 1976 Code, as last amended by Act 153 of 1997, is further amended by adding a new item to be appropriately lettered to read:

"(__)   Medical University Hospitals and Clinics, provided the Medical University Hospital Authority has promulgated a procurement process in accordance with its enabling provision."

SECTION   6.   If any term or provision of a section of this act is found to be illegal or unenforceable, the remainder of this act is to remain in full force and effect and the illegal or unenforceable term or provision is deemed severable from the other provisions of this act.

SECTION   7.   This act takes effect upon approval by the Governor. /   Renumber sections to conform.

Amend title to conform.

Senator PASSAILAIGUE explained the amendment.

The amendment was adopted.

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

Senator THOMAS desired to be recorded as voting against the third reading of the Bill.

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.

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

Senator PASSAILAIGUE proposed the following amendment (3904R001.ELP), which was adopted:

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

/   SECTION   ___.   Section 9-16-310 of the 1976 Code is amended to read:

"Section 9-16-310.     There is created the State Retirement Systems Investment consisting of five members., one each One member shall be appointed by the Governor, upon the advice and consent of the Senate, to serve as chairman of the panel. The State Treasurer, the Comptroller General, the Chairman of the Ways and Means Committee of the House of Representatives, and the Chairman of the Senate Finance Committee shall each appoint one member of the panel. The member appointed by the Governor shall serve as chairman. All members appointed to the panel must possess substantial financial investment experience. No person may be appointed or continue to serve who is an elected or appointed officer or employee of the State or any of its political subdivisions, including school districts. Members shall serve for terms of two years and until their successors are appointed and qualify. Vacancies must be filled for the unexpired term in the manner of the original appointment. Members shall serve without compensation, but may receive the mileage, subsistence, and per diem authorized by law for members of state boards, commissions, and committees."   /

Renumber sections to conform.

Amend title to conform.

Senator PASSAILAIGUE explained the amendment.

The amendment was adopted.

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

H. 3836 (Word version) -- Rep. Robinson: A BILL TO AMEND SECTION 4-10-65, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO UNIDENTIFIED LOCAL OPTION SALES TAX REVENUES, SO AS TO MAKE TECHNICAL CHANGES; TO AMEND SECTION 4-10-330, RELATING TO LOCAL CAPITAL PROJECT SALES TAX, SO AS TO CHANGE THE REFERENDUM CERTIFICATION DATE FROM DECEMBER THIRTY-FIRST TO NOVEMBER THIRTIETH; TO AMEND SECTION 4-10-350, RELATING TO THE ADMINISTRATION AND COLLECTION OF LOCAL SALES TAX, SO AS TO DELETE REFERENCES TO MUNICIPALITIES; TO AMEND SECTION 4-10-360, RELATING TO LOCAL SALES TAX REVENUES AND MISALLOCATIONS, SO AS TO PROVIDE FOR PROSPECTIVE CORRECTION OF A MISALLOCATION RESULTING FROM A LOCAL CODE ERROR; TO AMEND ARTICLE 3, CHAPTER 10, TITLE 4, RELATING TO LOCAL SALES TAX, BY ADDING SECTION 4-10-380 SO AS TO PROVIDE FOR DISTRIBUTION OF UNIDENTIFIED LOCAL OPTION CAPITAL PROJECT SALES TAX; TO AMEND SECTION 4-37-30, AS AMENDED, RELATING TO FINANCING OF LOCAL TRANSPORTATION FACILITIES, SO AS TO CHANGE THE REFERENDUM CERTIFICATION DATE FROM SIXTY DAYS OF THE REFERENDUM TO NOVEMBER THIRTIETH AND TO PROVIDE FOR IMPOSITION OF THE TAX ON MAY FIRST FOLLOWING, INSTEAD OF ONE HUNDRED EIGHTY DAYS AFTER, THE REFERENDUM, AND TO PROVIDE FOR PROSPECTIVE CORRECTION OF MISALLOCATED REVENUES RESULTING FROM LOCAL CODE ERRORS; TO AMEND CHAPTER 37, TITLE 4, RELATING TO LOCAL SALES AND USE TAXES FOR FINANCING TRANSPORTATION FACILITIES, BY ADDING SECTION 4-37-50 SO AS TO PROVIDE FOR DISTRIBUTION OF UNIDENTIFIED REVENUE; TO AMEND ACT 588 OF 1994, AS AMENDED, RELATING TO THE CHEROKEE COUNTY SCHOOL DISTRICT 1 SCHOOL BOND-PROPERTY RELIEF ACT, SO AS TO PROVIDE FOR PROSPECTIVE CORRECTION OF A MISALLOCATION OF REVENUES RESULTING FROM A LOCAL CODE ERROR AND FOR DISTRIBUTION OF UNIDENTIFIED LOCAL OPTION SCHOOL DISTRICT TAX REVENUE; TO AMEND SECTION 12-4-580, RELATING TO AUTHORITY OF THE DEPARTMENT OF REVENUE TO COLLECT OUTSTANDING LIABILITIES OWED A GOVERNMENTAL ENTITY, SO AS TO ALLOW THE DEPARTMENT TO CHARGE, RETAIN, EXPEND, AND CARRY OVER FEES FOR COLLECTION; AND TO AMEND SECTION 12-54-240, AS AMENDED, RELATING TO DISCLOSURE OF RECORDS, REPORTS, AND RETURNS BY DEPARTMENT OF REVENUE EMPLOYEES, SO AS TO ALLOW DISCLOSURE OF THE FILING OF A LIEN OR ISSUANCE OF A NOTICE OF LEVY FOR UNCOLLECTED TAXES.

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

There was no objection.

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

Senator LAND proposed the following Amendment No. 2 (3836R004.jcl), which was adopted:

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

/   SECTION ___ Title 6 of the 1976 Code is amended by adding:

Section 6-33-10.   This chapter may be cited as the 'Tax Increment Financing Act for Counties'.

Section 6-33-20.   (A)   The General Assembly finds that:

(1)   Section 14(10) of Article X of the Constitution of South Carolina provides that the General Assembly may authorize by general law that indebtedness for the purpose of redevelopment within counties may be incurred and that the debt service of such indebtedness be provided from the added increments of tax revenues to result from the project.

(2)   An increasing demand for public services must be provided from a limited tax base. Incentives must be provided for redevelopment in areas which are, or threaten to become, predominantly slum or blighted.

(3)   There exist in many counties of this State blighted, conservation, and sprawl areas; the sprawl and conservation areas are rapidly deteriorating and declining and may soon become blighted areas if their decline is not checked; the stable economic and physical development of the blighted areas, conservation areas, and sprawl areas are endangered by the presence of blighting factors as manifested by progressive and advanced deterioration of structures, by the overuse of housing and other facilities, by a lack of physical maintenance of existing structures, by obsolete and inadequate community facilities, and a lack of sound community planning, by obsolete platting, diversity of ownership, excessive tax, and special assessment delinquencies, or by a combination of these factors; that as a result of the existence of blighted areas, areas requiring conservation, and sprawl areas, there is an excessive and disproportionate expenditure of public funds, inadequate public and private investment, unmarketability of property, growth in delinquencies and crime, and housing and zoning law violations in such areas together with an abnormal exodus of families and businesses so that the decline of these areas impairs the value of private investments and threatens the sound growth and the tax base of taxing districts in such areas, and threatens the health, safety, morals, and welfare of the public.

(4)   In order to promote and protect the health, safety, morals, and welfare of the public, blighted conditions need to be eradicated and conservation measures instituted, sprawl areas controlled, and redevelopment of such areas undertaken; to remove and alleviate adverse conditions it is necessary to encourage private investment and restore and enhance the tax base of the taxing districts in such areas by the redevelopment of project areas. The eradication of blighted areas and treatment and improvement of sprawl areas and conservation areas by redevelopment projects is declared to be essential to the public interest.

(5)   The use of incremental tax revenues derived from the tax rates of various taxing districts in redevelopment project areas for the payment of redevelopment project costs is of benefit to the taxing districts because taxing districts located in redevelopment project areas would not derive the benefits of an increased assessment base without the benefits of tax increment financing. All surplus tax revenues are turned over to the taxing districts in redevelopment project areas, and all taxing districts benefit from the removal of blighted conditions, the eradication of conditions requiring conservation measures, and control of sprawl conditions.

(B)   The General Assembly intends to implement the authorization granted in Article X, Section 14 of the Constitution of this State. The authorization in this chapter provides for this State an essential method for financing redevelopment. The governing bodies of the counties are vested with all powers consistent with the Constitution necessary, useful, and desirable to enable them to accomplish redevelopment in areas which are or threaten to become blighted and to sufficiently meet all constitutional requirements pertaining to incurring indebtedness for the purpose of redevelopment and funding the debt service of such indebtedness from the added increment of tax revenues to result from such redevelopment as provided in Section 14(10) of Article X of the Constitution of this State. The indebtedness incurred pursuant to Section 14(10) of Article X of the Constitution is exempt from all debt limitations imposed by Article X. The powers granted in this chapter must be in all respects exercised for the benefit of the inhabitants of the State, for the increase of its commerce, and for the promotion of its welfare and prosperity.

(C)   All action taken by any county in carrying out the purposes of this chapter shall perform essential governmental functions.

(D)   Pursuant to the authorization granted in Article VIII, Section 13 of the Constitution of this State, if a redevelopment project area is located in more than one county, the powers granted herein may be exercised jointly.

Section 6-33-30.     Unless the context clearly indicates otherwise:

(1)   'Blighted area' means any improved or vacant area within the boundaries of a redevelopment project area located within the territorial limits of a county where:

(a)   if improved, industrial, commercial, and residential buildings or improvements, because of a combination of five or more of the following factors: age; dilapidation; obsolescence; deterioration; illegal use of individual structures; presence of structures below minimum code standards; excessive vacancies; overcrowding of structures and community facilities; lack of ventilation, light, or sanitary facilities; inadequate utilities; excessive land coverage; deleterious land use or layout; depreciation of physical maintenance; lack of community planning, are detrimental to the public safety, health, morals, or welfare; or

(b)   if vacant, the sound growth is impaired by:

(i)     a combination of two or more of the following factors: obsolete platting of the vacant land; diversity of ownership of such land; tax and special assessment delinquencies on such land; deterioration of structures or site improvements in neighboring areas adjacent to the vacant land; or

(ii)   the area immediately prior to becoming vacant qualified as a blighted area. Any area within a redevelopment plan established by Chapter 10 of Title 31 is deemed to be a blighted area.

(2)   'Conservation area' means any vacant or improved area within the boundaries of a redevelopment project area located within the territorial limits of a county that is not yet a blighted area but, because of a combination of three or more of the following factors: dilapidation; obsolescence; deterioration; illegal use of structures; presence of structures below minimum code standards; abandonment; excessive vacancies; overcrowding of structures and community facilities; lack of ventilation, light, or sanitary facilities; inadequate utilities; excessive land coverage; depreciation of physical maintenance; or lack of community planning, is detrimental to the public safety, health, morals, or welfare and may become a blighted area.

(3)   'Sprawl area' means a vacant or improved area within the boundaries of a redevelopment project area located within the territorial limits of the unincorporated area of a county that is not yet a blighted area nor a conservation area but, because of the existence of one or more of the following conditions, has the potential to become blighted or in need of conservation:

(a)   The sprawl area is an unincorporated urban zone, UUZ, which is an area within the unincorporated portion of the county issuing the finding and has a population density equal to or greater than the average population density of the incorporated municipalities within the territorial limits of the county issuing the finding.

(b)   The sprawl area is a linear service zone, LSZ, which is an area within the unincorporated portion of the county issuing the finding which is or is likely to become an area no more than two miles wide at its widest point and no less than three miles in length and which, due to development within the zone, represents an impediment to vehicular and pedestrian traffic so that the county finds its existence a detriment to the:

( i)   economic health and well-being of the county;

( ii)   health or safety of the persons living, working, or traveling through the zone; or

(iii)   efficient provision of governmental services both within and without the zone.

(c)   The sprawl area is a rural redevelopment zone, RRZ, which is an area within the unincorporated portion of the county issuing the finding which consists primarily of vacant land which, if provided with certain environmental, energy, transportation, or communications infrastructure, could be developed as a planned community consisting of a minimum of one thousand contiguous acres of land, inclusive of flooded land.

(4)   'Municipality' means an incorporated municipality of this State.

(5)   'Obligations' means bonds, notes, or other evidence of indebtedness issued by the county to carry out a redevelopment project or to refund outstanding obligations.

(6)   'Redevelopment plan' means the comprehensive program of the county for redevelopment intended by the payment of redevelopment costs to reduce or eliminate those conditions which qualified the redevelopment project area as a blighted area, conservation area, or sprawl area, or combination of two or three of them, and to enhance the tax bases of the taxing districts which extend into the project redevelopment area. Each redevelopment plan shall set forth in writing the program to be undertaken to accomplish the objectives and shall include, but not be limited to, estimated redevelopment project costs, the anticipated sources of funds to pay costs, the nature and term of any obligations to be issued, the most recent equalized assessed valuation of the project area, an estimate as to the equalized assessed valuation after redevelopment, and the general land uses to apply in the redevelopment project area. A redevelopment plan established by Chapter 10 of Title 31 is deemed a redevelopment plan for purposes of this item.

(7)   'Redevelopment project' means any buildings, improvements, including street improvements, water, sewer and storm drainage facilities, parking facilities, and recreational facilities. Any project or undertaking authorized under Section 6-21-50 may also qualify as a redevelopment project under this chapter. All such projects are to be publicly owned.

(8)   'Redevelopment project area' means an area designated by the county, which is not less in the aggregate than one and one-half acres and in respect to which the county has made a finding that there exist conditions that cause the area to be classified as a blighted area, a conservation area, or a sprawl area, or a combination of two or three of them. The total aggregate amount of all redevelopment project areas of any one county may not exceed five percent of the total acreage of the county.

(9)   'Redevelopment project costs' means and includes the sum total of all reasonable or necessary costs incurred or estimated to be incurred and any costs incidental to a redevelopment project. The costs include, without limitation:

(a)   costs of studies and surveys, plans, and specifications; professional service costs including, but not limited to, architectural, engineering, legal, marketing, financial, planning, or special services;

(b)   property assembly costs including, but not limited to, acquisition of land and other property, real or personal, or rights or interest therein, demolition of buildings, and the clearing and grading of land;

(c)   costs of rehabilitation, reconstruction, repair, or remodeling of a redevelopment project;

(d)   costs of the construction of a redevelopment project;

(e)   financing costs including, but not limited to, all necessary and incidental expenses related to the issuance of obligations and which may include payment of interest on any obligations issued under the provisions of this chapter accruing during the estimated period of construction of any redevelopment project for which the obligations are issued and including reasonable reserves related thereto;

(f)   relocation costs to the extent that a county determines that relocation costs must be paid or required by federal or state law.

(10)   'Taxing districts' means counties, incorporated municipalities, schools, special purpose districts, and public and any other municipal corporations or districts with the power to levy taxes. Taxing districts include school districts which have taxes levied on their behalf.

(11)   'Vacant land' means any parcel or combination of parcels of real property without industrial, commercial, and residential buildings.

(12)   'County' means any county in the State.

Section 6-33-40.   Obligations secured by the special tax allocation fund set forth in Section 6-33-70 for the redevelopment project area may be issued to provide for redevelopment project costs. The obligations, when so issued, must be retired in the manner provided in the ordinance authorizing the issuance of the obligations by the receipts of taxes levied as specified in Section 6-33-110 against the taxable property included in the area and other revenue as specified in Section 6-33-110 designated by the county which source does not involve revenues from any tax or license. In the ordinance the county may pledge all or any part of the funds in and to be deposited in the special tax allocation fund created pursuant to Section 6-33-70 to the payment of the redevelopment project costs and obligations. Any pledge of funds in the special tax allocation fund must provide for distribution to the taxing districts of monies not required for payment and securing of the obligations and the excess funds are surplus funds. In the event a county only pledges a portion of the monies in the special tax allocation fund for the payment of redevelopment project costs or obligations, any funds remaining in the special tax allocation fund after complying with the requirements of the pledge are also considered surplus funds. All surplus funds must be distributed annually to the taxing districts in the redevelopment project area by being paid by the county to the county treasurer. The county treasurer shall immediately thereafter make distribution to the respective taxing districts in the same manner and proportion as the most recent distribution by the county treasurer to the affected districts of real property taxes from real property in the redevelopment project area. In addition to obligations secured by the special tax allocation fund, the county may pledge for a period not greater than the term of the obligations toward payment of the obligations any part of the revenues remaining after payment of operation and maintenance, of all or part of any redevelopment project. The obligations may be issued in one or more series, may bear such date or dates, may mature at such time or times not exceeding thirty years from their respective dates, may bear such rate or rates of interest as the governing body shall determine, may be in such denomination or denominations, may be in such form, either coupon or registered, may carry such registration and conversion privileges, may be executed in such manner, may be payable in such medium of payment, at such place or places, may be subject to such terms of redemption, with or without premium, may be declared or become due before the maturity date thereof, may provide for the replacement of mutilated, destroyed, stolen, or lost bonds, may be authenticated in such manner and upon compliance with such conditions, and may contain such other terms and covenants, as may be provided by the governing body of the county. If the governing body determines to sell any obligations, the obligations must be sold at public or private sale in such manner and upon such terms as the governing body considers best for the interest of the county.

A certified copy of the ordinance authorizing the issuance of the obligations must be filed with the treasurer of each county in which any portion of a redevelopment project is situated and shall constitute the authority for the extension and collection of the taxes to be deposited in the special tax allocation fund.

A county also may issue its obligations to refund in whole or in part obligations previously issued by the county under the authority of this chapter, whether at or prior to maturity, and all references in this chapter to 'obligations' are considered to include these refunding obligations. The debt incurred by a county pursuant to this chapter is exclusive of any statutory limitation upon the indebtedness a taxing district may incur. All obligations issued pursuant to this chapter shall contain a statement on the face of the obligation specifying the sources from which payment is to be made and shall state that the full faith, credit, and taxing powers are not pledged for the obligations.

The trustee or depositary under any indenture may be such persons or corporations as the governing body designates, or they may be nonresidents of South Carolina or incorporated under the laws of the United States or the laws of other states of the United States.

Section 6-33-50.   The proceeds from obligations issued under authority of this chapter must be applied only for the purpose for which they were issued. Any premium and accrued interest received in any such sale must be applied to the payment of the principal of or the interest on the obligations sold. Any portion of the proceeds not needed for redevelopment project costs must be applied to the payment of the principal of or the interest on the obligations.

Section 6-33-60.   The obligations authorized by this chapter and the income from the obligations and all security agreements and indentures executed as security for the obligations made pursuant to the provisions of this chapter and the revenue derived from the obligations are exempt from all taxation in the State of South Carolina except for inheritance, estate, or transfer taxes and all security agreements and indentures made pursuant to the provisions of this chapter are exempt from all state stamp and transfer taxes.

Section 6-33-70.   A county, within five years after the date of adoption of an ordinance providing for approval of a redevelopment plan pursuant to Section 6-33-80, may issue obligations under this chapter to finance the redevelopment project upon adoption of an ordinance providing that:

(1)   after the issuance of the obligations; and

(2)   after the total equalized assessed valuation of the taxable real property in a redevelopment project area exceeds the certified 'total initial equalized assessed value' established in accordance with Section 6-33-100(B) of all taxable real property in the project area, the ad valorem taxes, if any, arising from the levies upon taxable real property in the project area by taxing districts and tax rates determined in the manner provided in Section 6-33-100(B) each year after the obligations have been issued until obligations issued under this chapter have been retired and redevelopment project costs have been paid must be divided as follows:

(a)   that portion of taxes levied upon each taxable lot, block, tract, or parcel of real property which is attributable to the total initial equalized assessed value of all taxable real property in the redevelopment project area must be allocated to and when collected must be paid by the county treasurer to the respective affected taxing districts in the manner required by law in the absence of the adoption of the redevelopment plan; and

(b)   that portion, if any, of taxes which is attributable to the increase in the current total equalized assessed valuation of all taxable real property in the redevelopment project area over and above the total initial equalized assessed value of taxable real property in the redevelopment project area must be allocated to and when collected must be paid to the county which shall deposit the taxes into a special fund called the special tax allocation fund of the county for the purpose of paying redevelopment project costs and obligations incurred in the payment of the costs and obligations. The county may pledge in the ordinance the funds in and to be deposited in the special tax allocation fund for the payment of the costs and obligations.

Any ordinance adopted based on acts of the county occurring before the effective date of this chapter must incorporate by reference and adopt those prior acts undertaken in accordance with the procedures of this chapter as if they had been undertaken pursuant to this chapter.

When obligations issued under this chapter have been retired and redevelopment project costs incurred under this chapter have been paid or budgeted pursuant to the redevelopment plan, as evidenced by resolution of the governing body of the county, all surplus funds then remaining in the special tax allocation fund must be paid by the county treasurer immediately to the taxing districts in the redevelopment project area in the same manner and proportion as the most recent distribution by the treasurer to the affected districts of real property taxes from real property in the redevelopment project area.

Upon the payment of all redevelopment project costs, retirement of all obligations of a county issued under this chapter, and the distribution of any surplus monies pursuant to this section, the county shall adopt an ordinance dissolving the tax allocation fund for the project redevelopment area and terminating the designation of the redevelopment project area as a redevelopment project area for purposes of this chapter. Thereafter, the rates of the taxing districts must be extended and taxes levied, collected, and distributed in the manner applicable in the absence of the adoption of a redevelopment plan and the issuance of obligations under this chapter.

If five years have passed from the time a redevelopment project area is designated and the county has not issued obligations under this chapter to finance the redevelopment project, upon the expiration of the five-year term, the county shall adopt an ordinance terminating the designation of the redevelopment project area.

Section 6-33-75.   If a municipality annexes a tract of property located in a redevelopment project area, the value of each parcel of real property therein for purposes of the ad valorem taxes of the municipality shall be that which is attributable to its initial equalized assessed value before the redevelopment project and not to the increase in its equalized assessed value due to the redevelopment project.

Section 6-33-80.     (A)   Prior to the issuance of any obligations under this chapter, the county shall set forth by way of ordinance the following:

(1)   a copy of the redevelopment plan containing a statement of the objectives of a county with regard to the plan;

(2)   a statement indicating the need for and proposed use of the proceeds of the obligations in relationship to the redevelopment plan;

(3)   a statement containing the cost estimates of the redevelopment plan and redevelopment project and the projected sources of revenue to be used to meet the costs including estimates of tax increments and the total amount of indebtedness to be incurred;

(4)   a list of all real property in the redevelopment project area;

(5)   the duration of the redevelopment plan;

(6)   a statement of the estimated impact of the redevelopment plan upon the revenues of all taxing districts in which a redevelopment project area is located and, if residential development is included in the plan, the estimated impact on public school enrollment;

(7)   findings that:

(a)   the redevelopment project area is a blighted, conservation, or sprawl area and that private initiatives are unlikely to alleviate these conditions without substantial public assistance,

(b)   property values in the area would remain static or decline without public intervention, and

(c)   redevelopment is in the interest of the health, safety, and general welfare of the citizens of the county.

(B)   Before approving any redevelopment plan under this chapter, the governing body of the county must hold a public hearing on the redevelopment plan after published notice in a newspaper of general circulation in the county in which the county and any taxing district affected by the redevelopment plan is located not less than fifteen days and not more than thirty days prior to the hearing. The notice shall include:

(1)   the time and place of the public hearing;

(2)   the boundaries of the proposed redevelopment project area;

(3)   a notification that all interested persons will be given an opportunity to be heard at the public hearing;

(4)   a description of the redevelopment plan and redevelopment project; and

(5)   the maximum estimated term of obligations to be issued under the redevelopment plan.

Not less than forty-five days prior to the date set for the public hearing, the county shall give notice to all taxing districts of which taxable property is included in the redevelopment project area, and in addition to the other requirements of the notice set forth in the section, the notice shall request each taxing district to submit comments to the county concerning the subject matter of the hearing prior to the date of the public hearing.

(C)   If a taxing district does not file an objection to the redevelopment plan at or prior to the date of the public hearing, the taxing district is considered to have consented to the redevelopment plan and the issuance of obligations under this chapter to finance the redevelopment project, provided that the actual term of obligations issued is equal to or less than the term stated in the notice of public hearing. The county may issue obligations to finance the redevelopment project to the extent that each affected taxing district consents to the redevelopment plan. The tax increment for a taxing district that does not consent to a redevelopment plan as defined in this chapter must not be included in the special tax allocation fund established pursuant to this chapter.

(D)   If the redevelopment plan includes residential development, then to the extent that the findings pursuant to subsection (A)(6) demonstrate increased public school enrollment because of this development, then an amount of the increment equal to the average property tax collected per pupil in the district multiplied by the estimated increased enrollment is not credited to the special tax allocation fund but is instead allocated to the affected school district as other school tax revenue.

(E)   Prior to the adoption of an ordinance approving a redevelopment plan pursuant to Section 6-33-80, changes may be made in the redevelopment plan which do not alter the exterior boundaries or do not substantially affect the general land use established in the plan or substantially change the nature of the redevelopment project, without further hearing or notice, provided that notice of the changes is given by mail to each affected taxing district and by publication in a newspaper or newspapers of general circulation within the taxing districts not less than ten days prior to the adoption of the changes by ordinance. Notice of the adoption of the ordinance must be published by the county in a newspaper having general circulation in the affected taxing districts. Any interested party may, within twenty days after the date of publication of the notice of adoption of the redevelopment plan, but not afterward, challenge the validity of such adoption by action de novo in the court of common pleas in the county in which the redevelopment plan is located.

(F)   After adoption of an ordinance approving a redevelopment plan, any alteration in the exterior boundaries, general land uses established pursuant to the redevelopment plan, maximum term of maturity of obligations to be issued under the plan, or the redevelopment project must be approved by resolution of each affected taxing district in accordance with the procedures provided in this chapter for the initial approval of a redevelopment project and designation of a redevelopment project area.

Section 6-33-90.   When there are any persons residing in the area covered by the redevelopment plan:

(1)   the redevelopment plan shall include:

(a)   an assessment of the displacement impact of the redevelopment project and provisions for the relocation of all persons who would be displaced by the project, provided that no residents may be displaced by a redevelopment project unless housing is made available to them pursuant to the terms of this section;

(b)   provisions for the creation of housing opportunities to the extent feasible to enable a substantial number of the displaced persons to relocate within or in close proximity to the area covered by the redevelopment plan.

(2)   Prior to authorizing the demolition of any residential units in connection with a tax increment financing plan, the governing body of the county must ensure that the redevelopment plan complies with the requirements of this section and further that standard housing is made available to all persons to be displaced.

(3)   Persons displaced by a redevelopment plan are entitled to the benefits and protections available under Section 28-11-10. The costs of the relocation are proper expenditures for the proceeds of any obligations issued under this chapter.

Section 6-33-100.   (A)   If a county by ordinance approves a redevelopment plan pursuant to Section 6-33-80, the auditor of the county, immediately after adoption of the ordinance pursuant to Section 6-33-80, upon request of the county, must determine and certify:

(1)   the most recently ascertained equalized assessed value of all taxable real property within the redevelopment project area, as of the date of adoption of the ordinance adopted pursuant to Section 6-33-80, which value is the 'initial equalized assessed value' of the property; and

(2)   the total equalized assessed value of all taxable real property within the redevelopment project area and certifying the amount as the 'total initial equalized assessed value' of the taxable real property within the redevelopment project area.

(B)   After the county auditor has certified the total initial equalized assessed value of the taxable real property in the area, then in respect to every taxing district containing a redevelopment project area, the county auditor or any other official required by law to ascertain the amount of the equalized assessed value of all taxable property within the district for the purpose of computing the rate percent of tax to be extended upon taxable property within such district, shall in every year that obligations are outstanding for redevelopment projects in the redevelopment area ascertain the amount of value of taxable property in a project redevelopment area by including in the amount the certified total initial equalized assessed value of all taxable real property in the area in lieu of the equalized assessed value of all taxable real property in the area. The rate percent of tax determined must be extended to the current equalized assessed value of all property in the redevelopment project area in the same manner as the rate percent of tax is extended to all other taxable property in the taxing district. The method of extending taxes established under this section terminates when the county adopts an ordinance dissolving the special tax allocation fund for the redevelopment project.

Section 6-33-110.   Revenues received by the county from any property, building, or facility owned by the county or any agency or authority established by the county in the redevelopment project area may be used to pay redevelopment project costs or reduce outstanding obligations of the county incurred under this chapter for redevelopment project costs. If the obligations are used to finance the extension or expansion of a system as defined in Section 6-21-40 in the redevelopment project area, all or a portion of the revenues of the system, whether or not located entirely within the redevelopment project area, including the revenues of the redevelopment project, may be pledged to secure the obligations issued under this chapter. The county is fully empowered to use any of the powers granted by either or both of the provisions of Chapter 17 of Title 6 (The Revenue Bond Refinancing Act of 1937) or the provisions of Chapter 21 of Title 6 (Revenue Bond Act for Utilities). In exercising the powers conferred by the provisions, the county may make any pledges and covenants authorized by any provision of those chapters. The county may place the revenues in the special tax allocation fund or a separate fund which must be held by the county or financial institution designated by the county. Revenue received by the county from the sale or other disposition of real property acquired by the county with the proceeds of obligations issued under the provisions of this chapter must be deposited by the county in the special tax allocation fund or a separate fund which must be held by the county or financial institution designated by the county. Proceeds of grants may be pledged by the county and deposited in the special tax allocation fund or a separate fund.

Section 6-33-120.   Counties and municipalities may jointly adopt redevelopment plans and authorize obligations as provided under the provisions of this chapter and Chapter 6 of Title 31."     /

Renumber sections to conform.

Amend title to conform.

Senator LAND explained the amendment.

The amendment was adopted.

Senator McCONNELL proposed the following Amendment No. 1 (3836R005.GFM), which was adopted:

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

/   SECTION   ___.   Section 12-37-220(B) of the 1976 Code is amended by adding an appropriately numbered item to read:

"( )   All real property of charitable trusts and foundations held for historic preservation of forts and battlegrounds which extends beyond the buildings and premises actually occupied by the charitable trusts and foundations which own the real property if no profit or benefit from any operation on the charitable trusts and foundations' real property inures to the benefit of any private stockholder or individual and no income producing ventures are located on the charitable trusts and foundations' real property. This exemption does not change any exemption provided for charitable trusts and foundations in item (4) of subsection (A) of this section and item (d), Section 3, Article X of the Constitution of this State but is an additional exemption for charitable trusts and foundations for historic preservation as provided in this item."     /

Renumber sections to conform.

Amend title to conform.

Senator McCONNELL explained the amendment.

The amendment was adopted.

Senator SETZLER proposed the following Amendment No. 3 (SBD/3836.002), which was adopted:

Amend the bill, as and if amended, by adding the following:

/ SECTION   .   A.   Items (3) and (4) of Section 12-37-220(A) of the 1976 Code are amended to read:

"(3) all property of all public libraries, churches, parsonages, and burying grounds, but this exemption for real property does not extend beyond the buildings and premises actually occupied by the owners of the real property;

(4) all property of all charitable trusts and foundations used exclusively for charitable and public purposes, but this exemption for real property does not extend beyond the buildings and premises actually occupied by the owners of the real property;"

B.     Section 12-37-220(A) of the 1976 Code is amended by deleting the last paragraph, which reads:

"The exemptions provided in items (3) and (4) for real property shall not extend beyond the buildings and premises actually occupied by the owners of such real property."

C.     That portion of Section 12-37-220(B) of the 1976 Code which precedes item (1) is amended to read:

"In addition to the exemptions provided in subsection (A), the following classes of property shall be are exempt from ad valorem taxation subject to the provisions of Section 12-3-145 12-4-720:"

D.     Section 12-37-220 of the 1976 Code is amended by adding an appropriately lettered subsection at the end to read:

"( )   If a church acquires ownership of real property which will be exempt under this section when owned by the church, the transferor's liability for property taxes on the property ceases on the church acquiring the property, and any exemptions provided in this section then apply, subject to the requirements of Section 12-4-720. The property taxes accruing up to the date of the acquisition by the church, if any, must be paid to the county where the property is located within thirty days of the acquisition date. If the millage has not yet been set for the year when the acquisition occurs, the county auditor shall apply the previous year's millage in determining any taxes owed. If the millage has been determined, the auditor shall apply the current year's millage in determining any taxes owed. All taxes, assessments, penalties, and interest on the property acquired by a church are a first lien on the property taxed, the lien attaching December 31 of the year immediately preceding the calendar year during which the tax is levied."

E. Not withstanding any other provisions on this act, this section applies for property tax years beginning after 1997. /

Renumber sections to conform.

Amend title to conform.

Senator SETZLER explained the amendment.

The amendment was adopted.

Senator PASSAILAIGUE proposed the following Amendment No. 4 (3836R002.ELP), which was adopted:

Amend the bill, as and if amended, by adding the following new SECTION to read:

/   SECTION   ___.   A.   Chapter 37, Title 12 of the 1976 Code is amended by adding:

"Section 12-37-223.     As authorized by Section 3, Article X of the South Carolina Constitution, the General Assembly hereby authorizes the governing body of a county by ordinance to exempt an amount of fair market value of real property located in the county sufficient to limit to fifteen percent any valuation increase attributable to the implementation in the county of a countywide appraisal and equalization program. An exemption allowed by this section does not apply to:

(1)   real property valued for property tax purposes by the unit valuation method;

(2)   value attributable to permanent improvements not included in the value of the property in the most recently implemented countywide appraisal and equalization program;

(3)   property transferred after the implementation of the most recent countywide equalization program, except property transfers between spouses or transfers that are not subject to income tax as defined by the Internal Revenue Code and incorporated by reference or otherwise enacted by the General Assembly.

Assessed value exempted from ad valorem taxation by an ordinance enacted pursuant to this section is nevertheless considered taxable property for purposes of any formula using assessed value of property to determine state aid to school districts for public education and computing the bonded indebtedness limit for a political subdivision or school district.

The ordinance allowed by this section may be given retroactive effect, but no refund of property tax shall result from the retroactive effect of the ordinance."

B.   Section 12-43-217 of the 1976 Code, as last amended by Act 431 of 1996, is further amended to read:

"Section 12-43-217.     (A)   Notwithstanding any other provision of law, once every fifth year each county or the State shall appraise and equalize those properties under its jurisdiction. Property valuation must be complete at the end of December of the fourth year and the county or State shall notify every taxpayer of any change in value or classification if the change is one thousand dollars or more. In the fifth year, the county or State shall implement the program and assess all property on the newly appraised values.

A county by ordinance may postpone for not more than one property tax year the implementation of revised values resulting from the equalization program provided pursuant to subsection (A). The postponement ordinance applies to all revised values, including values for state-appraised property. The postponement allowed pursuant to this subsection does not affect the schedule of the appraisal and equalization program required pursuant to subsection (A) of this section."

C.   Notwithstanding any other provision of this act, this section takes effect July 1, 1999. /

Renumber sections to conform.

Amend title to conform.

Senator PASSAILAIGUE explained the amendment.

The amendment was adopted.

Senator RANKIN proposed the following Amendment No. 5 (3836R003.LAR), which was adopted:

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

/   SECTION   ___.   Section 6-1-530(A) of the 1976 Code, as added by Act 138 of 1997, is amended to read:

"(A)   The revenue generated by the local accommodations tax must be used exclusively for the following purposes:

(1)   tourism-related buildings, including, but not limited to, civic centers, coliseums, and aquariums;

(2)   tourism-related cultural, recreational, or historic facilities;

(3)   beach access and renourishment;

(4)   highways, roads, streets, and bridges providing access to tourist destinations;

(5)   advertisements and promotions related to tourism development; or

(6)   water and sewer infrastructure to serve tourism-related demand."

SECTION   ___.     Section 6-1-730(A) of the 1976 Code, as added by Act 138 of 1997, is amended to read:

"(A)   The revenue generated by the hospitality tax must be used exclusively for the following purposes:

(1)   tourism-related buildings, including, but not limited to, civic centers, coliseums, and aquariums;

(2)   tourism-related cultural, recreational, or historic facilities;

(3)   beach access and renourishment;

(4)   highways, roads, streets, and bridges providing access to tourist destinations;

(5)   advertisements and promotions related to tourism development; or

(6)   water and sewer infrastructure to serve tourism-related demand."     /

Renumber sections to conform.

Amend title to conform.

Senator RANKIN explained the amendment.

The amendment was adopted.

The question then was the third reading of the Bill.

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

Alexander                 Anderson                  Bauer
Branton                   Bryan                     Cork
Courson                   Courtney                  Drummond
Elliott                   Fair                      Ford
Giese                     Glover                    Gregory
Grooms                    Hayes                     Holland
Hutto                     Jackson                   Land
Leatherman                Leventis                  Martin
Matthews                  McConnell                 McGill
Mescher                   Moore                     O'Dell
Passailaigue              Patterson                 Peeler
Rankin                    Ravenel                   Reese
Russell                   Ryberg                    Saleeby
Setzler                   Short                     Smith, J. Verne
Thomas                    Waldrep                   Washington
Wilson

The Bill was read the third time, passed and ordered returned to the House of Representatives with amendments.

The following Bills and Joint Resolutions were read the third time and ordered sent to the House of Representatives:

S. 565 (Word version) -- Senators Setzler, Moore, Leatherman and Leventis: A BILL TO AMEND CHAPTER 5, TITLE 29, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO MECHANICS LIENS, BY ADDING SECTION 29-5-440 SO AS TO PROVIDE FOR THE RIGHT TO SUE ON A PAYMENT BOND, UNDER CERTAIN CONDITIONS AND CIRCUMSTANCES, FOR THE AMOUNT, OR BALANCE, UNPAID AT THE TIME OF INSTITUTING THE SUIT AND TO PROSECUTE THE ACTION TO FINAL EXECUTION AND JUDGMENT FOR THE SUM OR SUMS JUSTLY DUE; TO AMEND SECTION 11-35-3030, AS AMENDED, RELATING TO THE PROVISIONS FOR BOND AND SECURITY AND CONSTRUCTION SERVICES UNDER THE SOUTH CAROLINA CONSOLIDATED PROCUREMENT CODE, SO AS TO DELETE CERTAIN PROVISIONS RELATIVE TO THE RIGHT TO INSTITUTE SUITS ON PAYMENT BONDS, AND TO ADD PROVISIONS FOR, AMONG OTHER THINGS, THE REQUIRED GIVING OF TWO WRITTEN NOTICES; TO AMEND SECTION 57-5-1660, AS AMENDED, RELATING TO THE STATE HIGHWAY SYSTEM, CONSTRUCTION CONTRACTS AND PURCHASES, AND AMOUNTS OF AND ACTIONS ON CONTRACTORS' BONDS, SO AS TO DELETE CERTAIN PROVISIONS, AND TO ADD PROVISIONS FOR, AMONG OTHER THINGS, THE REQUIRED GIVING OF TWO WRITTEN NOTICES; AND TO AMEND THE 1976 CODE BY ADDING SECTION 11-1-120 SO AS TO PROVIDE FOR THE PROVISIONS APPLICABLE TO THE INSTITUTION OF A SUIT WHEN THE STATE OR A COUNTY, A MUNICIPALITY, OR A POLITICAL SUBDIVISION OF THE STATE, A COUNTY, OR A MUNICIPALITY CONTRACTS FOR CONSTRUCTION AND REQUIRES THE PERSON OR ENTITY PERFORMING THE WORK TO FURNISH A PAYMENT BOND, NOT GOVERNED BY CERTAIN OTHER PROVISIONS OF LAW, IN THE FULL AMOUNT OF THE CONTRACT FOR THE PROTECTION OF PERSONS WHO FURNISH LABOR OR MATERIAL TO THE CONTRACTOR OR HIS SUBCONTRACTORS FOR THE WORK SPECIFIED IN THE CONTRACT.

S. 861 (Word version) -- Education Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE BOARD OF EDUCATION, RELATING TO FREE TEXTBOOKS, DESIGNATED AS REGULATION DOCUMENT NUMBER 2362, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

S. 862 (Word version) -- Education Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE BOARD OF EDUCATION, RELATING TO TEXTBOOK ADOPTION REGULATION, DESIGNATED AS REGULATION DOCUMENT NUMBER 2425, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

S. 863 (Word version) -- Education Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF EDUCATION, RELATING TO DEFINED PROGRAM GRADES 9-12, DESIGNATED AS REGULATION DOCUMENT NUMBER 2317, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

S. 864 (Word version) -- Education Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE BOARD OF EDUCATION, RELATING TO COMPUTING EXPERIENCE FOR TEACHERS, DESIGNATED AS REGULATION DOCUMENT NUMBER 2400, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

S. 661 (Word version) -- Banking and Insurance Committee: A BILL TO AMEND TITLE 37 OF THE SOUTH CAROLINA CODE OF LAWS, 1976, RELATING TO THE CONSUMER PROTECTION CODE, BY ADDING CHAPTER 17, "SOUTH CAROLINA TITLE LENDERS ACT", WHICH ESTABLISHES A LICENSURE AND REGULATION FRAMEWORK FOR TITLE LENDERS.

S. 848 (Word version) -- Senators Glover, McGill and Land: A BILL TO PROVIDE FOR PAYMENT FOR THE ATTENDANCE OF MEETINGS BY THE FLORENCE COUNTY TRANSPORTATION COMMITTEE.

On motion of Senator ELLIOTT, with unanimous consent, the name of Senator ELLIOTT was added as a co-sponsor of the Bill.

H. 3379 (Word version) -- Reps. Wilkins, Cotty, Allen, Allison, Altman, Bailey, Bales, Barrett, Battle, Bauer, Beck, G. Brown, H. Brown, T. Brown, Campsen, Canty, Cave, Cobb-Hunter, Davenport, Delleney, Easterday, Edge, Emory, Fleming, Harrell, Harrison, Harvin, Hayes, J. Hines, Inabinett, Klauber, Knotts, Lanford, Leach, Limehouse, Littlejohn, Lloyd, Lourie, Lucas, Mack, Martin, Mason, McCraw, McGee, McKay, M. McLeod, McMahand, Meacham, Miller, Moody-Lawrence, Ott, Phillips, Pinckney, Quinn, Rhoad, Rice, Rodgers, Sandifer, Sharpe, Simrill, F. Smith, J. Smith, R. Smith, Spearman, Stille, Stuart, Taylor, Tripp, Trotter, Walker, Webb, Whipper, Wilkes, Woodrum, Govan and Riser: A BILL TO ENACT "THE MAGISTRATES COURT REFORM ACT OF 1999" INCLUDING PROVISIONS TO AMEND SECTION 22-1-10, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO APPOINTMENT OF MAGISTRATES, SO AS TO PROVIDE THAT, WITH EXCEPTIONS, MAGISTRATES APPOINTED AFTER JANUARY 1, 2000, MUST HAVE, AT THE TIME OF APPOINTMENT, A FOUR-YEAR BACCALAUREATE DEGREE; TO ADD SECTION 22-1-12 SO AS TO REQUIRE THAT A MAGISTRATE COMPLETE CERTAIN TRIAL OBSERVATIONS PRIOR TO TRYING CASES; TO AMEND SECTION 22-1-15, RELATING TO THE PERSONS PRESENTLY SERVING AS MAGISTRATES, SO AS TO REQUIRE THAT MAGISTRATES APPOINTED AFTER JANUARY 1, 2000, MUST HAVE RECEIVED A FOUR-YEAR BACCALAUREATE DEGREE AND MUST PRESENT CERTIFIED PROOF TO THE SOUTH CAROLINA COURT ADMINISTRATION AND TO PROVIDE THAT MAGISTRATES SERVING ON JANUARY 1, 2000, SHALL NOT BE REQUIRED TO MEET THE HIGHER EDUCATION REQUIREMENTS OF SECTION 22-1-10 DURING THEIR TENURE IN OFFICE; TO ADD SECTION 22-1-17 SO AS TO ESTABLISH A TWO-YEAR PROGRAM AVAILABLE TO MAGISTRATES WHO HAVE SUCCESSFULLY COMPLETED THE CERTIFICATION EXAMINATION; TO ADD SECTION 22-1-19 SO AS TO ESTABLISH AN ADVISORY COUNCIL TO MAKE RECOMMENDATIONS TO THE SUPREME COURT REGARDING THE ELIGIBILITY EXAMINATION, CERTIFICATION EXAMINATION, AND CONTINUING EDUCATION REQUIREMENTS FOR MAGISTRATES; TO AMEND SECTION 22-1-30, AS AMENDED, RELATING TO SUSPENSION OR REMOVAL OF MAGISTRATES, SO AS TO PROVIDE THAT A MAGISTRATE'S FAILURE TO COMPLY WITH RETIREMENT, TRAINING, OR EXAMINATION REQUIREMENTS MAY SUBJECT THE MAGISTRATE TO SUSPENSION OR REMOVAL BY ORDER OF THE SUPREME COURT; TO ADD SECTION 22-2-5 SO AS TO ESTABLISH AN ELIGIBILITY EXAMINATION THE RESULTS OF WHICH MUST BE USED BY THE SENATORIAL DELEGATION IN MAKING NOMINATION FOR MAGISTERIAL APPOINTMENTS; TO AMEND SECTION 22-2-200, RELATING TO ACCOMMODATIONS TAX REVENUE AS AFFECTING NUMBER OF MAGISTRATES, SO AS TO CONFORM THE PROVISION WITH APPOINTMENT OF ADDITIONAL MAGISTRATES DEPENDENT UPON ACCOMMODATIONS TAX REVENUES; TO AMEND SECTION 22-3-10, AS AMENDED, RELATING TO THE CIVIL JURISDICTION OF MAGISTRATES, SO AS TO RAISE THE JURISDICTIONAL AMOUNT TO SEVEN THOUSAND FIVE HUNDRED DOLLARS; TO AMEND SECTION 22-8-40, RELATING TO FULL-TIME AND PART-TIME MAGISTRATES AND SALARIES, SO AS TO PROVIDE FOR A NEW SALARY SCHEDULE AND FOR ADDITIONAL MAGISTRATES TO BE APPOINTED DEPENDENT UPON ACCOMMODATIONS TAX REVENUES; TO AMEND SECTION 8-21-1010, AS AMENDED, RELATING TO THE COLLECTION OF FEES AND COSTS BY MAGISTRATES, SO AS TO INCREASE CERTAIN FEES; TO AMEND SECTION 34-11-70, AS AMENDED, RELATING TO THE DISMISSAL OF FRAUDULENT CHECK CASES FOR CERTAIN REASONS, SO AS TO INCREASE THE ADMINISTRATIVE COSTS; TO AMEND SECTION 34-11-90, RELATING TO THE PUNISHMENT IN FRAUDULENT CHECK CASES, SO AS TO INCREASE THE COURT COSTS; AND TO REQUEST THE SUPREME COURT TO MAKE A REPORT TO THE CHAIRMEN OF THE SENATE AND HOUSE OF REPRESENTATIVES JUDICIARY COMMITTEES RECOMMENDING ADDITIONAL CHANGES IN THE MAGISTRATES' COURTS SYSTEM.

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

There was no objection.

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

Senator HOLLAND asked unanimous consent to make a motion to adopt all the amendments on the desk, direct the Clerk to conform all amendments and give the Bill a second reading.

There was no objection.

Senator MOORE proposed the following Amendment No. P1 (JUD3379.004), which was adopted:

Amend the committee amendment, as and if amended, page [3379-11], beginning on line 6, in Section 22-8-40(B)(3), as contained in SECTION 11, by striking lines 6 and 7 in their entirety and inserting therein the following:

/ (3)   Notwithstanding the provisions of item (2), for any county which has no municipal courts, the magistrates must be paid at a minimum according to the salary range in subitem (2)(b) which is thirty-nine to forty-five percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his fourth year in office, a magistrate in this category shall be paid thirty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his eighth year in office, a magistrate in this category shall be paid forty-one percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his twelfth year in office, a magistrate in this category shall be paid forty-three percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his sixteenth year in office, a magistrate in this category shall be paid forty-five percent of a circuit judge's salary for the state's previous fiscal year.

(4)   The provisions of this subsection are effective January 1, 2000. /

Renumber sections to conform.

Amend title to conform.

The amendment was adopted.

Senator BRYAN proposed the following Amendment No. P2 (JUD3379.005), which was adopted:

Amend the committee amendment, as and if amended, page [3379-7], lines 22 and 23, in Section 22-1-19(8), as contained in SECTION 7, by striking /Legal Services Association/ and inserting / Appleseed Legal Justice Center /.

Amend the committee amendment further, as and if amended, page [3379-10], line 4, in Section 22-8-40(B)(2)(b), as contained in SECTION 11, by striking /base salary/ and inserting / base salary range /.

Amend the committee amendment further, as and if amended, page [3379-10], line 23, in Section 22-8-40(B)(2)(c), as contained in SECTION 11, by striking /base salary/ and inserting / base salary range /.

Renumber sections to conform.

Amend title to conform.

The amendment was adopted.

Senator CORK proposed the following Amendment No. P3 (JUD3379.003), which was adopted:

Amend the committee report, as and if amended, page [3379-2], beginning on line 9, by striking lines 9 through 13, and inserting therein the following:

/ APPOINTMENT MUST HAVE RECEIVED A FOUR-YEAR BACCALAUREATE DEGREE; BY AMENDING SECTION 22-1-15, RELATING TO THE PERSONS SERVING AS MAGISTRATES, SO AS TO PROVIDE THAT THE REQUIREMENT OF A FOUR-YEAR BACCALAUREATE DEGREE /

Amend the committee report further, as and if amended, page [3379-5], line 26, in Section 22-1-10(B)(2), as contained in SECTION 3, by striking /two-year associate/ and inserting / four-year baccalaureate /.

Amend title to conform.

The amendment was adopted.

Senator BRYAN proposed the following Amendment No. P5 (JUD3379.006), which was adopted:

Amend the committee amendment, as and if amended, page [3379-10], beginning on line 19, in Section 22-8-40(B)(2), as contained in SECTION 11, by striking lines 19 through 40 and inserting therein the following:

/       (c)   for those counties with a population of at least one hundred twenty thousand but not more than one hundred forty-nine thousand, nine hundred ninety-nine, according to the latest official United States Decennial Census, the base salary range is twenty-five thousand dollars twenty-nine to thirty-five percent of a circuit court judge's salary for the state's previous fiscal year;. Upon completion of his fourth year in office, a magistrate in this population category shall be paid twenty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his eighth year in office, a magistrate in this population category shall be paid thirty-one percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his twelfth year in office, a magistrate in this population category shall be paid thirty-three percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his sixteenth year in office, a magistrate in this population category shall be paid thirty-five percent of a circuit judge's salary for the state's previous fiscal year.

(d)   for those counties with a population of at least fifty thousand but not more than ninety-nine thousand, nine hundred ninety-nine, less than twenty thousand according to the latest official United States Decennial Census, the base salary range is twenty-two thousand twenty-seven to thirty-three percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his fourth year in office, a magistrate in this population category shall be paid twenty-seven percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his eighth year in office, a magistrate in this population category shall be paid twenty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his twelfth year in office, a magistrate in this population category shall be paid thirty-one percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his sixteenth year in office, a magistrate in this population category shall be paid thirty-three percent of a circuit judge's salary for the state's previous fiscal year. /

Renumber sections to conform.

Amend title to conform.

The amendment was adopted.

Senator BRYAN proposed the following Amendment No. P6A (JUD3379.007), which was adopted:

Amend the committee amendment, as and if amended, page [3379-8], after line 21, by adding an appropriately numbered SECTION to read:

/ SECTION   ___.     Section 22-2-40 of the 1976 Code is amended to read:

"Section 22-2-40.     (A)   The General Assembly shall provide for the number and location of magistrates in each county. The provisions of this chapter shall not be construed to prevent more than one magistrate from being assigned to the same jury area.

(B)   In each county, a magistrate or magistrates may be designated by the Governor with the advice and consent of the Senate as ministerial magistrates for the purpose of carrying out the following responsibilities:

1. (1)   To to issue criminal warrants;

2. (2)   To to approve and accept written bonds in criminal matters, or in lieu of written bonds to approve and accept cash bonds;

3. (3)   To to order the release of prisoners when proper and adequate bonds have been duly posted; and

4. (4)   To to transfer any such warrant and written or cash bond to a magistrate having proper jurisdiction.

Ministerial magistrates shall be available at nighttime and on weekends during such hours as may be designated by the Chief Magistrate.

(C)   Notwithstanding the provisions of subsection (A), Section 22-1-10(A), or Section 22-8-40(C) and (D), the number, location, and full-time or part-time status of magistrates in the county may be varied from the required and permissive provisions in Section 22-8-40(C) and (D) by filing with Court Administration a written agreement between the members of the Senate delegation for the county and the county governing body; however, a magistrate's compensation must not be decreased throughout his term in office." /

Renumber sections to conform.

Amend title to conform.

The amendment was adopted.

Senator LEATHERMAN proposed the following Amendment No. P7 (JUD3379.013.), which was adopted:

Amend the committee amendment, as and if amended, page [3379-13], lines 4-7, in Section 22-8-40, as contained in SECTION 11, by striking subsection (L) in its entirety and inserting therein the following:

/   (K)(L)   Nothing in this section may be interpreted as prohibiting a county from paying a magistrate more than the base salary established for that county or from paying a magistrate a merit raise in addition to the salary established for that county. /.

Renumber sections to conform.

Amend title to conform.

The amendment was adopted.

Senator McCONNELL proposed the following Amendment No. P8 (JUD3379.015), which was adopted:

Amend the committee amendment, as and if amended, page [3379-5], after line 11, by adding an appropriately numbered SECTION to read:

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

"Section 22-1-5.   A Magistrates' Oversight Committee may be established in each county. Each committee shall be composed of six members as follows: two appointed by the county governing body, two appointed by the senatorial delegation, and two appointed by the Chief Justice of the Supreme Court. The committee shall (1) oversee the operation of the magistrates' courts in the county; (2) hear concerns relating to the uniformity of operation, hours of operation, caseloads, efficiency of the respective offices, adequacy of facilities, and conveniences to the public; and (3) make recommendations to the county governing body, senatorial delegation, Chief Justice, and chief magistrate in the county on the committee's findings and concerns. The members of a Magistrates' Oversight Committee shall serve without per diem, mileage, subsistence, or other compensation." /

Renumber sections to conform.

Amend title to conform.

The amendment was adopted.

Senator McCONNELL proposed the following Amendment No. P9 (JUD3379.016), which was adopted:

Amend the committee amendment, as and if amended, page [3379-8], line 8, in Section 22-2-5(A), as contained in SECTION 9, by striking line 8 in its entirety and inserting therein the following:

/ eligibility examinations to assist in its selection of nominees. No person is eligible to be appointed as a magistrate unless he receives a passing score on the eligibility examination. The /.

Renumber sections to conform.

Amend title to conform.

The amendment was adopted.

Senator ALEXANDER proposed the following Amendment No. P10 (JUD3379.011), which was adopted:

Amend the committee amendment, as and if amended, page [3379-5], line 12, by adding an appropriately numbered SECTION to read:

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

"Section 9-11-28.   (A)   On and after January 1, 2000, any person who is a fulltime municipal judge appointed pursuant to Section 14-25-15 shall participate in the South Carolina Police Officers Retirement System for his service as a municipal judge if the municipality he serves participates in the South Carolina Police Officers Retirement System.

(B)   From January 1, 2000, to July 1, 2000, if a fulltime municipal judge who serves a municipality that participates in the South Carolina Police Officers Retirement System elects to transfer credited service received under the South Carolina Retirement System to the South Carolina Police Officers Retirement System, he may do so upon payment of the accumulated employer and employee contributions and interest in the South Carolina Retirement System plus five percent of his annual salary in effect as of July 1, 1999, for each year of service prorated for periods of less than a year. After July 1, 2000, a fulltime municipal judge who serves a municipality that participates in the South Carolina Police Officers Retirement System may elect to transfer credited service he received under the South Carolina Retirement System to the South Carolina Police Officers Retirement System as provided in Section 9-11-40(9)." /

Renumber sections to conform.

Amend title to conform.

The amendment was adopted.

Senator REESE proposed the following Amendment No. P11 (JUD3379.009), which was adopted:

Amend the committee amendment, as and if amended, page [3379-12], line 32, in Section 22-8-40 (G), as contained in SECTION 11, after /duties./ by inserting a new sentence to read:

/ In a county with a population of two hundred thousand or more, the term of office for chief magistrate is two years, and the office must be rotated among the magistrates as determined by the South Carolina Court Administration. A new rotation must begin on January 1, 2000, and a magistrate serving as chief magistrate on December 31, 1999, is not eligible to be appointed as chief magistrate for the term beginning on January 1, 2000. /

Renumber sections to conform.

Amend title to conform.

The amendment was adopted.

Senator LEATHERMAN proposed the following amendment (JUD3379.012), which was adopted:

Amend the committee amendment, as and if amended, page [3379-8], beginning on line 40, in Section 22-8-40, as contained in SECTION 11, by striking subsection (B) in its entirety and inserting therein the following:

/   (B)   All magistrates Each magistrate in this State must be paid according to the following base salary ranges as determined by the following factors by the county which he serves:

(1)   There is established a base salary range for each population category depending upon the number of years served as follows:

(a)   for those counties with a population of two one hundred fifty thousand and above, according to the latest official United States Decennial Census, the base salary range is twenty-nine thousand dollars forty-nine to fifty-five percent of a circuit judge's salary for the state's previous fiscal year;. Upon being appointed a magistrate, a magistrate in this population category shall be paid forty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his fourth year in office, a magistrate in this population category shall be paid fifty-five percent of a circuit judge's salary for the state's previous fiscal year.

(b)   for those counties with a population of at least one hundred fifty thousand but not more than one hundred ninety-nine forty-nine thousand, nine hundred ninety-nine, according to the latest official United States Decennial Census, the base salary is twenty-seven thousand dollars thirty-nine to forty-five percent of a circuit judge's salary for the state's previous fiscal year; . Upon being appointed a magistrate, a magistrate in this population category shall be paid thirty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his fourth year in office, a magistrate in this population category shall be paid forty-five percent of a circuit judge's salary for the state's previous fiscal year.       (c)   for those counties with a population of at least one hundred thousand but not more than one hundred forty-nine thousand, nine hundred ninety-nine, less than fifty thousand according to the latest official United States Decennial Census, the base salary is twenty-five thousand dollars twenty-nine to thirty-five percent of a circuit court judge's salary for the state's previous fiscal year;. Upon being appointed a magistrate, a magistrate in this population category shall be paid twenty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his fourth year in office, a magistrate in this population category shall be paid thirty-five percent of a circuit judge's salary for the state's previous fiscal year       (d)   for those counties with a population of at least fifty thousand but not more than ninety-nine thousand, nine hundred ninety-nine, according to the latest official United States Decennial Census, the base salary is twenty-two thousand.

(e)   for those counties with a population of at least thirty-five thousand but not more than forty-nine thousand, nine hundred ninety-nine, according to the latest official United States Decennial Census, the base salary is nineteen thousand dollars; and

(f)   for those counties with a population of less than thirty-five thousand, according to the latest official United States Decennial Census, the base salary is seventeen thousand dollars.

(2)   The provisions of this subsection are effective January 1, 2000. /

Renumber sections to conform.

Amend title to conform.

The amendment was adopted.

Senators RAVENEL and JACKSON proposed the following Amendment No. P13 (JUD3379.017), which was adopted:

Amend the committee amendment, as and if amended, page [3379-5], lines 26 and 27, in Section 22-1-10(B)(2), as contained in SECTION 3, by striking lines 26 and 27 in their entirety and inserting therein the following:

/ appointment, and (4) has not received a two-year associate degree. A person who has not received a two-year associate degree may be eligible for an initial appointment on and after July 1, 1999, if he has received a high school diploma or its equivalent educational training as recognized by the State Department of Education and agrees to satisfactorily complete the educational program described in Section 22-1-17 within four years of his initial appointment; however, if he does not satisfactorily complete the educational program within four years of his initial appointment, he is subject to removal by order of the Chief Justice and may not be reappointed as a magistrate. " /

Renumber sections to conform.

Amend title to conform.

The amendment was adopted.

The Committee on Judiciary proposed the following amendment (JUD3379.002), which was adopted:

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

TO ENACT THE "MAGISTRATES COURTS REFORM ACT OF 1999" BY AMENDING SECTION 8-21-1010, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO FEES AND COSTS TO BE COLLECTED BY MAGISTRATES, SO AS TO INCREASE THE FEE FOR CIVIL ACTIONS AND COMPLAINTS FROM TWENTY-FIVE TO FORTY DOLLARS AND TO INCREASE THE FEE FOR PROCEEDINGS BY A LANDLORD AGAINST A TENANT FROM TEN TO TWENTY-FIVE DOLLARS; BY AMENDING SECTION 22-1-10, RELATING TO APPOINTMENT OF MAGISTRATES, SO AS TO PROVIDE THAT ON OR AFTER JULY 1, 1999, A MAGISTRATE AT THE TIME OF HIS APPOINTMENT MUST HAVE RECEIVED A TWO-YEAR ASSOCIATE DEGREE; BY AMENDING SECTION 22-1-15, RELATING TO THE PERSONS SERVING AS MAGISTRATES, SO AS TO PROVIDE THAT THE REQUIREMENT OF A TWO-YEAR ASSOCIATE DEGREE DOES NOT APPLY TO A MAGISTRATE SERVING ON JULY 1, 1999, DURING HIS TENURE IN OFFICE; BY AMENDING SECTION 22-1-30, RELATING TO SUSPENSION OR REMOVAL OF MAGISTRATES, SO AS TO PROVIDE THAT A MAGISTRATE'S FAILURE TO COMPLY WITH RETIREMENT, TRAINING, OR EXAMINATION REQUIREMENTS MAY SUBJECT THE MAGISTRATE TO SUSPENSION OR REMOVAL BY ORDER OF THE SUPREME COURT; BY AMENDING SECTION 22-2-200, RELATING TO ACCOMMODATIONS TAX REVENUES AS AFFECTING THE NUMBER OF MAGISTRATES, SO AS TO CONFORM THE PROVISION REGARDING APPOINTMENT OF ADDITIONAL MAGISTRATES DEPENDENT UPON ACCOMMODATIONS TAX REVENUES; BY AMENDING SECTION 22-8-40, RELATING TO FULL-TIME AND PART-TIME MAGISTRATES AND SALARIES, SO AS TO PROVIDE FOR A NEW SALARY SCHEDULE AND FOR ADDITIONAL MAGISTRATES TO BE APPOINTED DEPENDENT UPON ACCOMMODATIONS TAX REVENUES; BY AMENDING SECTION 34-11-70, RELATING TO EVIDENCE OF FRAUDULENT INTENT IN DRAWING A CHECK AND PROBABLE CAUSE FOR PROSECUTION, SO AS TO INCREASE THE FEE A DEFENDANT MUST PAY FOR ADMINISTRATIVE COSTS, WHEN THE CASE IS DISMISSED FOR WANT OF PROSECUTION OR WHEN THE CASE IS DISMISSED ON SATISFACTORY PROOF OR RESTITUTION AND REPAYMENT, FROM TWENTY TO THIRTY-FIVE DOLLARS; BY AMENDING SECTION 34-11-90, RELATING TO JURISDICTION OVER OFFENSES CONCERNING FRAUDULENT CHECKS, SO AS TO INCREASE A MAGISTRATE'S JURISDICTION OVER INSTRUMENTS OF FIVE HUNDRED DOLLARS OR LESS TO JURISDICTION OVER INSTRUMENTS OF ONE THOUSAND DOLLARS OR LESS, TO PROVIDE THE CIRCUMSTANCES OF A CONVICTION IN MAGISTRATE'S COURT THAT ARE PUNISHABLE BY IMPRISONMENT OR FINES, TO INCREASE THE AMOUNT OF REASONABLE COURT COSTS THAT A DEFENDANT MUST PAY WHEN THE COURT SUSPENDS A FIRST OFFENSE CONVICTION FOR DRAWING AND UTTERING A FRAUDULENT CHECK FROM TWENTY TO THIRTY-FIVE DOLLARS, AND TO INCREASE THE AMOUNT OF REASONABLE COURT COSTS THAT A DEFENDANT MUST PAY AFTER A CONVICTION OR PLEA FOR DRAWING AND UTTERING A FRAUDULENT CHECK; AND BY ADDING SECTION 9-11-27, SO AS TO PROVIDE THAT A MAGISTRATE MAY PARTICIPATE IN THE SOUTH CAROLINA POLICE OFFICERS RETIREMENT SYSTEM; BY ADDING SECTION 22-1-12, SO AS TO REQUIRE THAT A MAGISTRATE COMPLETE CERTAIN TRIAL EXPERIENCES PRIOR TO TRYING CASES; BY ADDING SECTION 22-1-17, SO AS TO ESTABLISH A TWO-YEAR CONTINUING EDUCATION PROGRAM AVAILABLE TO MAGISTRATES WHO HAVE SUCCESSFULLY COMPLETED THE CERTIFICATION EXAMINATION; BY ADDING SECTION 22-1-19, SO AS TO ESTABLISH AN ADVISORY COUNCIL TO MAKE RECOMMENDATIONS TO THE SUPREME COURT REGARDING THE ELIGIBILITY EXAMINATION, CERTIFICATION EXAMINATION, AND CONTINUING EDUCATION REQUIREMENTS FOR MAGISTRATES; AND BY ADDING SECTION 22-2-5, SO AS TO ESTABLISH AN ELIGIBILITY EXAMINATION, THE RESULTS OF WHICH MUST BE USED BY THE SENATORIAL DELEGATION IN MAKING NOMINATIONS FOR MAGISTERIAL APPOINTMENTS; AND BY REQUESTING THAT THE SUPREME COURT MAKE A REPORT TO THE CHAIRMEN OF THE SENATE AND HOUSE OF REPRESENTATIVES JUDICIARY COMMITTEES RECOMMENDING FURTHER NECESSARY CHANGES TO THE MAGISTRATES COURT SYSTEM.

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

SECTION   1.   Section 8-21-1010 of the 1976 Code is amended to read:

"Section 8-21-1010.   Except as otherwise expressly provided, the following fees and costs must be collected by the magistrates and deposited in the general fund of the county:

(1)   for taking civil recognizance, with or without sureties, five dollars;

(2)   for granting an order for civil special bail, with or without sureties, five dollars;

(3)   for receiving and filing bond in claim and delivery, attachment, five dollars; if justification of sureties required, an additional five dollars;

(4)   for administering and certifying oaths or documents in writing, two dollars;

(5)   for issuing any prerogative writ, five dollars;

(6)   in all civil actions, for issuing a summons and a copy for the defendant, and for giving judgment with or without a hearing, twenty-five forty dollars;

(7)   for issuing execution and renewal thereof, ten dollars;

(8)   for making up, certifying, and forwarding a transcript of record and judgment in a case for purpose of appeal, ten dollars;

(9)   for proceedings by a landlord or lessor against a tenant or lessee, including notices to quit, eviction orders, or recovery of rents, ten twenty-five dollars;

(10)   for proceedings on a coroner's inquest, as prescribed by law, ten dollars, if inquest is demanded by a party other than the State or county or authorized officer of either;

(11)   for proceeding on estrays, including judgment for possession, sale, or damages, ten dollars;

(12)   for qualifying appraisers to set off homestead or qualifying sureties on a bond posted in a case, including bail bonds, five dollars;

(13)   for each tax execution collected, five dollars;

(14)   for filing or issuing any other paper not provided for in this section, five dollars.

No fees or costs may be assessed against a party for summoning jurors or expense of jury service in a criminal case in which a trial by jury is had."

SECTION   2.   The 1976 Code is amended by adding:

"Section 9-11-27.   (A)   On and after January 1, 2000, any person who is a magistrate appointed pursuant to Section 22-1-10 shall participate in the South Carolina Police Officers Retirement System for his service as a magistrate.

(B)   From January 1, 2000, to July 1, 2000, a magistrate who elects to transfer credited service received under the South Carolina Retirement System to the South Carolina Police Officers Retirement System may do so upon payment of the accumulated employer and employee contributions and interest in the South Carolina Retirement System plus five percent of his annual salary in effect as of July 1, 1999, for each year of service prorated for periods of less than a year. After July 1, 2000, a magistrate may elect to transfer credited service received under the South Carolina Retirement System to the South Carolina Police Officers Retirement System as provided in Section 9-11-40(9)."

SECTION   3.   Section 22-1-10(B) of the 1976 Code is amended to read:

"(B)(1)   No person is eligible to hold the office of magistrate who is not at the time of his appointment a citizen of the United States and of this State, and who has not been a resident of this State for at least five years, has not attained the age of twenty-one years upon his appointment, and has not received a high school diploma or its equivalent educational training as recognized by the State Department of Education.

(2)   On and after July 1, 1999, no person is eligible for an initial appointment to hold the office of magistrate who (1) is not at the time of his appointment a citizen of the United States and of this State, (2) has not been a resident of this State for at least five years, (3) has not attained the age of twenty-one years upon his appointment, and (4) has not received a two-year associate degree."

SECTION   4.   The 1976 Code is amended by adding:

"Section 22-1-12.   (A)   A magistrate whose initial appointment begins on or after July 1, 1999, may not try a case until a certificate is filed with the Clerk of the Supreme Court stating that the magistrate has observed ten trials. The certificate shall state the name of the proceeding, the dates and the tribunals involved, and must be attested to by the judge conducting the proceeding.

(B)   The required trial experiences must include the following:

(1)   four criminal cases in a magistrates court, two of which must be in a magistrates court where he will not preside;

(2)   four civil cases in a magistrates court, two of which must be in a magistrates court where he will not preside;

(3)   one criminal jury trial in circuit court; and

(4)   one civil jury trial in circuit court.

(C)   The trial observations may be undertaken and completed any time after a person has been nominated by the senatorial delegation for the position of magistrate."

SECTION   5.   Section 22-1-15 of the 1976 Code is amended to read:

"Section 22-1-15.   (A)   The provisions of Section 22-1-10 (B)(1) do not apply to a magistrate serving on January 1, 1989, during his tenure in office. A magistrate presently holding office after January 1, 1989, must achieve a high school education or the equivalent educational training as recognized by the State Department of Education within two years of January 1, 1989, and must submit a certified copy of his high school diploma or certified proof of its recognized equivalent in educational training as established by the State Department of Education to the South Carolina Court Administration. However, this requirement does not apply to a magistrate with at least five years' service as a magistrate on January 1, 1989. The South Carolina Court Administration must report to the Governor's Office a magistrate's failure to submit the proper documentation, and such a magistrate's violation of this subsection terminates that magistrate's his term of office.

(B)   The provisions of Section 22-1-10(B)(2) do not apply to a magistrate serving on July 1, 1999, during his tenure in office."

SECTION   6.   The 1976 Code is amended by adding:

"Section 22-1-17.   (A)   The South Carolina Court Administration is authorized to establish and determine the number of contact hours to be completed in a two-year continuing education program available to a magistrate who has successfully completed the certification examination. The program must provide extensive instruction in civil and criminal procedures and must encourage magistrates to develop contacts and resources of information in conjunction with their instructors and fellow magistrates.

(B)   The program shall be administered through the state's technical college system and may be used to facilitate continuing legal education opportunities for all magistrates. The technical college system may assess a reasonable fee for each participant in the program in order to pay for the program's expenses.

(C)   The funding for this program must be appropriated from the state's general fund. The provisions of this subsection are effective July 1, 2000; however, the planning and development of this program shall commence on or after July 1, 1999."

SECTION   7.   The 1976 Code is amended by adding:

"Section 22-1-19.   An advisory council shall be established in order to make recommendations to the Supreme Court regarding the eligibility examination, certification examination, and continuing education requirements for magistrates. The council shall submit an annual report to the Chief Justice of the Supreme Court or his designee. The council shall consist of:

(1)   a member appointed by the South Carolina Bar upon the recommendation of the South Carolina Trial Lawyers Association;

(2)   a member appointed by the South Carolina Bar upon the recommendation of the South Carolina Association of Criminal Defense Lawyers;

(3)   a solicitor appointed by the Chief Justice of the Supreme Court;

(4)   a law enforcement officer appointed by the Chief Justice of the Supreme Court;

(5)   a person to represent victims appointed by the Chief Justice of the Supreme Court;

(6)   a representative designated by the Criminal Justice Academy;

(7)   a representative designated by the State Board for Technical and Comprehensive Education;

(8)   a representative designated by the South Carolina Legal Services Association;

(9)   a representative designated by the Summary Court Judges Association;

(10)   a representative designated by the Dean of the University of South Carolina School of Law;

(11)   a representative designated by the Chairman of the Senate Judiciary Committee;

(12)   a representative designated by the Chairman of the House Judiciary Committee; and

(13)   a representative designated by the Governor."

SECTION   8.   Section 22-1-30 of the 1976 Code is amended to read:

"Section 22-1-30.   A magistrate may be suspended or removed by order of the Supreme Court pursuant to its rules for incapacity, misconduct, or neglect of duty. A magistrate's failure to retire in accordance with Section 22-1-25 or a magistrate's failure to comply with the training and examination requirements of Section 22-1-10(C) may subject him to suspension or removal by order of the Supreme Court."

SECTION   9.   The 1976 Code is amended by adding:

"Section 22-2-5.   (A)   The South Carolina Court Administration, in cooperation with the technical college system, shall select and administer an eligibility examination to test basic skills of persons seeking an initial appointment as magistrate on or after July 1, 2000. In determining the persons to be recommended to the Governor for initial appointments as magistrates on or after July 1, 2000, a senatorial delegation must use the results of these eligibility examinations to assist in its selection of nominees. The results of these eligibility examinations are valid for six months before and six months after the time the appointment is to be made.

(B)   The Court Administration shall establish guidelines for exempting persons from taking the examination if certain prescribed educational equivalency requirements have been met.

(C)   The Court Administration, in cooperation with the technical college system, shall develop an optional examination preparatory course. The technical college system may assess a reasonable fee from each participant who takes the examination or the preparatory course in order to pay for administering the examination and course. The planning and development of the eligibility examination and optional examination preparatory course shall commence on or after July 1, 1999."

SECTION   10.   Section 22-2-200 of the 1976 Code is amended to read:

"Section 22-2-200.   The provisions of Sections 8-21-1010, 8-21-1060, 22-1-10, 22-1-15, 22-1-170, 22-2-10, 22-2-210, 22-3-30, and Chapter 8 of Title 22 may in no way be construed to mandate the reduction of the total number of magistrates in any county which generates four million dollars or more annually in accommodations tax revenue. This in no way prohibits the county which generates four million dollars or more annually in accommodations tax revenue from increasing the number of its magistrates notwithstanding the provisions of this chapter or Chapter 8 of Title 22."

SECTION   11.   Section 22-8-40 of the 1976 Code is amended to read:

"Section 22-8-40.   (A)   The county governing body of each county shall designate magistrates serving within the county as either full time or part time. A county is not required to have a full-time magistrate and may have only part-time magistrates.

(B)   All magistrates Each magistrate in this State must be paid according to the following base salary ranges as determined by the following factors by the county which he serves:

(1)   The following salary schedule shall be used to determine a magistrate's annual compensation prior to the completion of his fourth year in office:

(a)   upon being appointed a magistrate, a magistrate shall be paid seventy-five percent of the lowest salary rate for his county's population category as provided in item (2);

(b)   upon completing the requirements of Sections 22-1-10(C) and 22-1-12, a magistrate shall be paid eighty percent of the lowest salary rate for his county's population category as provided in item (2);

(c)   upon the magistrate's completion of his second year in office, a magistrate shall be paid eighty-five percent of the lowest salary rate for his county's population category as provided in item (2);

(d)   upon the magistrate's completion of his third year in office, a magistrate shall be paid ninety percent of the lowest salary rate for his county's population category as provided in item (2);

(e)   upon the magistrate's completion of his fourth year in office, a magistrate shall be paid one hundred percent of the lowest salary rate for his county's population category as provided in item (2).

(2)   There is established a base salary range for each population category depending upon the number of years served as follows:

(a)   for those counties with a population of two one hundred fifty thousand and above, according to the latest official United States Decennial Census, the base salary range is twenty-nine thousand dollars forty-nine to fifty-five percent of a circuit judge's salary for the state's previous fiscal year;. Upon completion of his fourth year in office, a magistrate in this population category shall be paid forty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his eighth year in office, a magistrate in this population category shall be paid fifty-one percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his twelfth year in office, a magistrate in this population category shall be paid fifty-three percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his sixteenth year in office, a magistrate in this population category shall be paid fifty-five percent of a circuit judge's salary for the state's previous fiscal year.

(b)   for those counties with a population of at least one hundred fifty thousand but not more than one hundred ninety-nine forty-nine thousand, nine hundred ninety-nine, according to the latest official United States Decennial Census, the base salary is twenty-seven thousand dollars thirty-nine to forty-five percent of a circuit judge's salary for the state's previous fiscal year; . Upon completion of his fourth year in office, a magistrate in this population category shall be paid thirty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his eighth year in office, a magistrate in this population category shall be paid forty-one percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his twelfth year in office, a magistrate in this population category shall be paid forty-three percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his sixteenth year in office, a magistrate in this population category shall be paid forty-five percent of a circuit judge's salary for the state's previous fiscal year.

(c)   for those counties with a population of at least one hundred thousand but not more than one hundred forty-nine thousand, nine hundred ninety-nine, less than fifty thousand according to the latest official United States Decennial Census, the base salary is twenty-five thousand dollars twenty-nine to thirty-five percent of a circuit court judge's salary for the state's previous fiscal year;. Upon completion of his fourth year in office, a magistrate in this population category shall be paid twenty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his eighth year in office, a magistrate in this population category shall be paid thirty-one percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his twelfth year in office, a magistrate in this population category shall be paid thirty-three percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his sixteenth year in office, a magistrate in this population category shall be paid thirty-five percent of a circuit judge's salary for the state's previous fiscal year.

(d)   for those counties with a population of at least fifty thousand but not more than ninety-nine thousand, nine hundred ninety-nine, according to the latest official United States Decennial Census, the base salary is twenty-two thousand.

(e)   for those counties with a population of at least thirty-five thousand but not more than forty-nine thousand, nine hundred ninety-nine, according to the latest official United States Decennial Census, the base salary is nineteen thousand dollars; and

(f)   for those counties with a population of less than thirty-five thousand, according to the latest official United States Decennial Census, the base salary is seventeen thousand dollars.

(3)   The provisions of this subsection are effective January 1, 2000.

(C)   The number of magistrates shall be determined using the following factors:

(2) (1)   There is established a ratio of one magistrate for every twenty-eight thousand persons in each county of the State based on the latest official United States Decennial Census.

(3) (2)   There is established a ratio of one magistrate for every one hundred fifty square miles of area in each county of the State as a factor to be used in determining the base salary as provided in this section.

(3)   Notwithstanding the provisions of subsection (D), the maximum number of magistrates in each county is the greater of that number determined by taking one magistrate for every twenty-eight thousand persons in each county or that number determined by taking the average of the ratio of one magistrate for every twenty-eight thousand persons in each county as provided by item (2) (1) of this section subsection and the ratio of one magistrate for every one hundred fifty square miles of area in each county as provided in item (3) (2) of this section subsection. However, no county is required to have fewer than the equivalent of one full-time magistrate and one part-time magistrate. If a fraction of a magistrate results, the county must round off the fraction, establishing an additional part-time magistrate. No additional magistrates may be added until a county has less than the ratio.

(D)   In addition to the maximum number of magistrates prescribed in subsection (C), additional magistrates may be appointed as determined using the following formula:

(1)   for counties which collect accommodations tax revenues of five hundred thousand to nine hundred ninety-nine thousand, nine hundred ninety-nine dollars, one additional magistrate may be appointed;

(2)   for counties which collect accommodations tax revenues of one million to two million, nine hundred ninety-nine thousand, nine hundred ninety-nine dollars, two additional magistrates may be appointed;

(3)   for counties which collect accommodations tax revenues of three million to four million, nine hundred ninety-nine thousand, nine hundred ninety-nine dollars, three additional magistrates may be appointed; and

(4)   for counties which collect accommodations tax revenues of five million dollars and above, four additional magistrates may be appointed.

(C)(E)   Part-time magistrates are to be computed at a ratio of four part-time magistrates equals one full-time magistrate.

(D)(F)   Part-time magistrates are entitled to a proportionate percentage of the salary provided for full-time magistrates. This percentage is computed by dividing by forty the number of hours a week the part-time magistrate spends in the performance of his duties. The number of hours a week that a part-time magistrate spends in the exercise of the judicial function, and scheduled to be spent on call, must be the average number of hours worked and is fixed by the county governing body upon the recommendation of the chief magistrate.

(E) A cost of living increase must be paid by the county in the amount provided classified state employees in the annual state general appropriations act of the previous fiscal year. The base salaries provided for in this Part must be adjusted annually based on the percentage amount of the cost of living increase paid to classified state employees in the annual state general appropriations act of the previous fiscal year.

(F)(G)   A full-time chief magistrate must be paid a yearly supplement of three thousand dollars and reimbursed for travel expense expenses as provided by law while in the actual performance of his duties. A part-time chief magistrate must be paid a yearly supplement of fifteen hundred dollars and reimbursed for travel expense expenses as provided by law while in the actual performance of his duties.

(G)(H)   Magistrates in a county are entitled to the same perquisites as those employees of the county of similar position and salary.

(H)(I)   A ministerial magistrate is entitled to the same compensation as a part-time magistrate.

(I)(J)   A magistrate who is receiving a salary greater than provided for his position under the provisions of this chapter must not be reduced in salary during his tenure in office, and must be paid the same percentage annual increase in salary as other magistrates. Tenure in office continues at the expiration of a term if the incumbent magistrate is reappointed.

(J)(K)   No county may pay a magistrate a salary lower than the base salary established for that county by the provisions of subsection (B) of this section.

(K)(L)   Nothing in this section may be interpreted as prohibiting a county from paying a magistrate more than the base salary established for that county.

(L)(M)   The South Carolina Court Administration shall monitor compliance with this section. Nothing contained in this section may be construed as prohibiting a county from paying salaries in excess of the minimum base salaries provided for in this section."

SECTION   12.   Section 34-11-70(b) and (c) of the 1976 Code, as last amended by Act 138 of 1995, is further amended to read:

"(b)   Any court, including magistrate's, may dismiss a case under the provisions of this chapter for want of prosecution. When any prosecutions are initiated under this chapter, the party applying for the warrant is held liable for all reasonable administrative costs accruing not to exceed twenty thirty-five dollars if the case is dismissed for want of prosecution. Unless waived by the court, the party applying for the warrant shall notify, orally or otherwise, the court not less than twenty-four hours before the date and time set for trial that full restitution has been made in connection with the warrant, and the notification relieves that party of the responsibility of prosecution.

(c)   Any court, including magistrate's, may dismiss any prosecution initiated pursuant to the provisions of this chapter on satisfactory proof of restitution and payment by the defendant of all administrative costs accruing not to exceed twenty thirty-five dollars submitted before the date set for trial after the issuance of a warrant."

SECTION   13.   The first two paragraphs of Section 34-11-90 of the 1976 Code are further amended to read:

"A person violating who violates the provisions of this chapter, upon conviction, for a first or second offense must be punished as follows:

If the amount of the instrument is five hundred one thousand dollars or less, it must be tried exclusively in a magistrate's court. A municipal governing body, by ordinance, may adopt by reference the provisions of this chapter as an offense under its municipal ordinances and by so doing authorizes its municipal court to try violations of this chapter. If the amount of the instrument is over five hundred one thousand dollars, it must be tried in the court of general sessions or any other court having concurrent jurisdiction. Notwithstanding the provisions of this paragraph, a person violating who violates the provisions of this chapter, upon conviction for a third or subsequent conviction, may be tried in either a magistrate's court or in the court of general sessions.

(a)   Convictions in a magistrate's court are punishable as follows:

(1)   for a first conviction, if the amount of the instrument is five hundred dollars or less, by a fine of not less than fifty dollars nor more than two hundred dollars or by imprisonment for not more than thirty days;

(2)   for a first conviction, if the amount of the instrument is more than five hundred dollars but not greater than one thousand dollars, by a fine of not less than three hundred nor more than five hundred dollars or by imprisonment for not more than thirty days, or both;

(3)   for a second or subsequent conviction, if the amount of the instrument is five hundred dollars or less, by a fine of two hundred dollars or by imprisonment for thirty days.;

(4)   for a second or subsequent conviction, if the amount of the instrument is more than five hundred dollars but not greater than one thousand dollars, by a fine of not less than five hundred dollars or by imprisonment for not less than thirty days, or both.

(b)   Convictions in the court of general sessions or any other court having concurrent jurisdiction are punishable as follows: for a first conviction by a fine of not less than three hundred dollars nor more than one thousand dollars or by imprisonment for not more than two years, or both; and for a second and each or subsequent conviction by a fine of not less than five hundred dollars nor more than two thousand dollars and imprisonment for not less than thirty days nor more than ten years.

(c)   After a first offense conviction for drawing and uttering a fraudulent check or other instrument in violation of Section 34-11-60 within its jurisdiction, the court shall, at the time of sentence, suspend the imposition or execution of a sentence upon a showing of satisfactory proof of restitution and payment by the defendant of all reasonable court costs accruing not to exceed twenty thirty-five dollars. For a second and or subsequent convictions conviction for a violation of Section 34-11-60, the suspension of the imposition or execution of the sentence shall be is discretionary with the court.

(d)   After a conviction or plea for drawing and uttering a fraudulent check or other instrument in violation of Section 34-11-60 and the defendant is charged or fined, he shall pay in addition to the fine all reasonable court costs accruing, not to exceed twenty thirty-five dollars, and the service charge provided in Section 34-11-70.

(e)   After a conviction under this section on a first offense, the defendant may, after one year from the date of the conviction, apply, or cause someone acting on his behalf to apply, to the court for an order expunging the records of the arrest and conviction. This provision does not apply to any crime classified as a felony. If the defendant has had no other conviction during the one-year period following the conviction under this section, the court shall issue an order expunging the records. No person has any rights under this section more than one time. After the expungement, the South Carolina Law Enforcement Division is required to keep a nonpublic record of the offense and the date of its expungement to ensure that no person takes advantage of the rights permitted by this subsection more than once. This nonpublic record is not subject to release under Section 34-11-95, the Freedom of Information Act, or any other provision of law except to those authorized law or court officials who need to know this information in order to prevent the rights afforded by this subsection from being taken advantage of more than once.

As used in this section the term 'conviction' shall include the entering of a guilty plea, the entering of a plea of nolo contendere, or the forfeiting of bail. A conviction is classified as a felony if the instrument drawn or uttered in violation of this chapter exceeds the amount of five thousand dollars.

Each instrument drawn or uttered in violation of this chapter shall constitute constitutes a separate offense."

SECTION   14.   The Supreme Court is requested to make a report to the respective Chairmen of the Senate and House of Representatives Judiciary committees by March 15, 2000, with recommendations for additional changes in the magistrates courts system.

SECTION   15.   If a provision of this act or the application of a provision of this act to a person or circumstance is held to be invalid, the invalidity does not affect other provisions or applications of this act which can be given effect without the invalid provision or application, and to this end the provisions of this act are severable.

SECTION   16.   This act takes effect upon approval by the Governor. /

Amend title to conform.

The following is a Clerk's Amendment reconciling amendments to H. 3379 (S-Admin\3379C001.fc):
The amendment is drawn in reference to printer's date 5/12/99-S. (3379C001.fc)

Amend the committee amendment, as and if amended, by striking the committee amendment in its entirety and inserting therein the following:

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

SECTION   1.   Section 8-21-1010 of the 1976 Code is amended to read:

"Section 8-21-1010.   Except as otherwise expressly provided, the following fees and costs must be collected by the magistrates and deposited in the general fund of the county:

(1)   for taking civil recognizance, with or without sureties, five dollars;

(2)   for granting an order for civil special bail, with or without sureties, five dollars;

(3)   for receiving and filing bond in claim and delivery, attachment, five dollars; if justification of sureties required, an additional five dollars;

(4)   for administering and certifying oaths or documents in writing, two dollars;

(5)   for issuing any prerogative writ, five dollars;

(6)   in all civil actions, for issuing a summons and a copy for the defendant, and for giving judgment with or without a hearing, twenty-five forty dollars;

(7)   for issuing execution and renewal thereof, ten dollars;

(8)   for making up, certifying, and forwarding a transcript of record and judgment in a case for purpose of appeal, ten dollars;

(9)   for proceedings by a landlord or lessor against a tenant or lessee, including notices to quit, eviction orders, or recovery of rents, ten twenty-five dollars;

(10)   for proceedings on a coroner's inquest, as prescribed by law, ten dollars, if inquest is demanded by a party other than the State or county or authorized officer of either;

(11)   for proceeding on estrays, including judgment for possession, sale, or damages, ten dollars;

(12)   for qualifying appraisers to set off homestead or qualifying sureties on a bond posted in a case, including bail bonds, five dollars;

(13)   for each tax execution collected, five dollars;

(14)   for filing or issuing any other paper not provided for in this section, five dollars.

No fees or costs may be assessed against a party for summoning jurors or expense of jury service in a criminal case in which a trial by jury is had."

SECTION   2.   The 1976 Code is amended by adding:

"Section 9-11-27.   (A)   On and after January 1, 2000, any person who is a magistrate appointed pursuant to Section 22-1-10 shall participate in the South Carolina Police Officers Retirement System for his service as a magistrate.

(B)   From January 1, 2000, to July 1, 2000, a magistrate who elects to transfer credited service received under the South Carolina Retirement System to the South Carolina Police Officers Retirement System may do so upon payment of the accumulated employer and employee contributions and interest in the South Carolina Retirement System plus five percent of his annual salary in effect as of July 1, 1999, for each year of service prorated for periods of less than a year. After July 1, 2000, a magistrate may elect to transfer credited service received under the South Carolina Retirement System to the South Carolina Police Officers Retirement System as provided in Section 9-11-40(9)."

SECTION   3.   The 1976 Code is amended by adding:

"Section 9-11-28.   (A)   On and after January 1, 2000, any person who is a fulltime municipal judge appointed pursuant to Section 14-25-15 shall participate in the South Carolina Police Officers Retirement System for his service as a municipal judge if the municipality he serves participates in the South Carolina Police Officers Retirement System.

(B)   From January 1, 2000, to July 1, 2000, if a fulltime municipal judge who serves a municipality that participates in the South Carolina Police Officers Retirement System elects to transfer credited service received under the South Carolina Retirement System to the South Carolina Police Officers Retirement System, he may do so upon payment of the accumulated employer and employee contributions and interest in the South Carolina Retirement System plus five percent of his annual salary in effect as of July 1, 1999, for each year of service prorated for periods of less than a year. After July 1, 2000, a fulltime municipal judge who serves a municipality that participates in the South Carolina Police Officers Retirement System may elect to transfer credited service he received under the South Carolina Retirement System to the South Carolina Police Officers Retirement System as provided in Section 9-11-40(9)."

SECTION   4.   The 1976 Code is amended by adding:

"Section 22-1-5.   A Magistrates' Oversight Committee may be established in each county. Each committee shall be composed of six members as follows: two appointed by the county governing body, two appointed by the senatorial delegation, and two appointed by the Chief Justice of the Supreme Court. The committee shall (1) oversee the operation of the magistrates' courts in the county; (2) hear concerns relating to the uniformity of operation, hours of operation, caseloads, efficiency of the respective offices, adequacy of facilities, and conveniences to the public; and (3) make recommendations to the county governing body, senatorial delegation, Chief Justice, and chief magistrate in the county on the committee's findings and concerns. The members of a Magistrates' Oversight Committee shall serve without per diem, mileage, subsistence, or other compensation."

SECTION   5.   Section 22-1-10(B) of the 1976 Code is amended to read:

"(B)(1)   No person is eligible to hold the office of magistrate who is not at the time of his appointment a citizen of the United States and of this State, and who has not been a resident of this State for at least five years, has not attained the age of twenty-one years upon his appointment, and has not received a high school diploma or its equivalent educational training as recognized by the State Department of Education.

(2)   On and after July 1, 1999, no person is eligible for an initial appointment to hold the office of magistrate who (1) is not at the time of his appointment a citizen of the United States and of this State, (2) has not been a resident of this State for at least five years, (3) has not attained the age of twenty-one years upon his appointment, and (4) has not received a four-year baccalaureate degree."

SECTION   6.   Section 22-1-10(B) of the 1976 Code is amended to read:

"(B)(1)   No person is eligible to hold the office of magistrate who is not at the time of his appointment a citizen of the United States and of this State, and who has not been a resident of this State for at least five years, has not attained the age of twenty-one years upon his appointment, and has not received a high school diploma or its equivalent educational training as recognized by the State Department of Education.

(2)   On and after July 1, 1999, no person is eligible for an initial appointment to hold the office of magistrate who (1) is not at the time of his appointment a citizen of the United States and of this State, (2) has not been a resident of this State for at least five years, (3) has not attained the age of twenty-one years upon his appointment, and (4) has not received a two-year associate degree. A person who has not received a two-year associate degree may be eligible for an initial appointment on and after July 1, 1999, if he has received a high school diploma or its equivalent educational training as recognized by the State Department of Education and agrees to satisfactorily complete the educational program described in Section 22-1-17 within four years of his initial appointment; however, if he does not satisfactorily complete the educational program within four years of his initial appointment, he is subject to removal by order of the Chief Justice and may not be reappointed as a magistrate."

SECTION   7.   The 1976 Code is amended by adding:

"Section 22-1-12.   (A)   A magistrate whose initial appointment begins on or after July 1, 1999, may not try a case until a certificate is filed with the Clerk of the Supreme Court stating that the magistrate has observed ten trials. The certificate shall state the name of the proceeding, the dates and the tribunals involved, and must be attested to by the judge conducting the proceeding.

(B)   The required trial experiences must include the following:

(1)   four criminal cases in a magistrates court, two of which must be in a magistrates court where he will not preside;

(2)   four civil cases in a magistrates court, two of which must be in a magistrates court where he will not preside;

(3)   one criminal jury trial in circuit court; and

(4)   one civil jury trial in circuit court.

(C)   The trial observations may be undertaken and completed any time after a person has been nominated by the senatorial delegation for the position of magistrate."

SECTION   8.   Section 22-1-15 of the 1976 Code is amended to read:

"Section 22-1-15.   (A)   The provisions of Section 22-1-10 (B)(1) do not apply to a magistrate serving on January 1, 1989, during his tenure in office. A magistrate presently holding office after January 1, 1989, must achieve a high school education or the equivalent educational training as recognized by the State Department of Education within two years of January 1, 1989, and must submit a certified copy of his high school diploma or certified proof of its recognized equivalent in educational training as established by the State Department of Education to the South Carolina Court Administration. However, this requirement does not apply to a magistrate with at least five years' service as a magistrate on January 1, 1989. The South Carolina Court Administration must report to the Governor's Office a magistrate's failure to submit the proper documentation, and such a magistrate's violation of this subsection terminates that magistrate's his term of office.

(B)   The provisions of Section 22-1-10(B)(2) do not apply to a magistrate serving on July 1, 1999, during his tenure in office."

SECTION   9.   The 1976 Code is amended by adding:

"Section 22-1-17.   (A)   The South Carolina Court Administration is authorized to establish and determine the number of contact hours to be completed in a two-year continuing education program available to a magistrate who has successfully completed the certification examination. The program must provide extensive instruction in civil and criminal procedures and must encourage magistrates to develop contacts and resources of information in conjunction with their instructors and fellow magistrates.

(B)   The program shall be administered through the state's technical college system and may be used to facilitate continuing legal education opportunities for all magistrates. The technical college system may assess a reasonable fee for each participant in the program in order to pay for the program's expenses.

(C)   The funding for this program must be appropriated from the state's general fund. The provisions of this subsection are effective July 1, 2000; however, the planning and development of this program shall commence on or after July 1, 1999."

SECTION   10.   The 1976 Code is amended by adding:

"Section 22-1-19.   An advisory council shall be established in order to make recommendations to the Supreme Court regarding the eligibility examination, certification examination, and continuing education requirements for magistrates. The council shall submit an annual report to the Chief Justice of the Supreme Court or his designee. The council shall consist of:

(1)   a member appointed by the South Carolina Bar upon the recommendation of the South Carolina Trial Lawyers Association;

(2)   a member appointed by the South Carolina Bar upon the recommendation of the South Carolina Association of Criminal Defense Lawyers;

(3)   a solicitor appointed by the Chief Justice of the Supreme Court;

(4)   a law enforcement officer appointed by the Chief Justice of the Supreme Court;

(5)   a person to represent victims appointed by the Chief Justice of the Supreme Court;

(6)   a representative designated by the Criminal Justice Academy;

(7)   a representative designated by the State Board for Technical and Comprehensive Education;

(8)   a representative designated by the South Carolina Appleseed Legal Justice Center;

(9)   a representative designated by the Summary Court Judges Association;

(10)   a representative designated by the Dean of the University of South Carolina School of Law;

(11)   a representative designated by the Chairman of the Senate Judiciary Committee;

(12)   a representative designated by the Chairman of the House Judiciary Committee; and

(13)   a representative designated by the Governor."

SECTION   11.   Section 22-1-30 of the 1976 Code is amended to read:

"Section 22-1-30.   A magistrate may be suspended or removed by order of the Supreme Court pursuant to its rules for incapacity, misconduct, or neglect of duty. A magistrate's failure to retire in accordance with Section 22-1-25 or a magistrate's failure to comply with the training and examination requirements of Section 22-1-10(C) may subject him to suspension or removal by order of the Supreme Court."

SECTION   12.   The 1976 Code is amended by adding:

"Section 22-2-5.   (A)   The South Carolina Court Administration, in cooperation with the technical college system, shall select and administer an eligibility examination to test basic skills of persons seeking an initial appointment as magistrate on or after July 1, 2000. In determining the persons to be recommended to the Governor for initial appointments as magistrates on or after July 1, 2000, a senatorial delegation must use the results of these eligibility examinations to assist in its selection of nominees. No person is eligible to be appointed as a magistrate unless he receives a passing score on the eligibility examination. The results of these eligibility examinations are valid for six months before and six months after the time the appointment is to be made.

(B)   The Court Administration shall establish guidelines for exempting persons from taking the examination if certain prescribed educational equivalency requirements have been met.

(C)   The Court Administration, in cooperation with the technical college system, shall develop an optional examination preparatory course. The technical college system may assess a reasonable fee from each participant who takes the examination or the preparatory course in order to pay for administering the examination and course. The planning and development of the eligibility examination and optional examination preparatory course shall commence on or after July 1, 1999."

SECTION   13.   Section 22-2-200 of the 1976 Code is amended to read:

"Section 22-2-200.   The provisions of Sections 8-21-1010, 8-21-1060, 22-1-10, 22-1-15, 22-1-170, 22-2-10, 22-2-210, 22-3-30, and Chapter 8 of Title 22 may in no way be construed to mandate the reduction of the total number of magistrates in any county which generates four million dollars or more annually in accommodations tax revenue. This in no way prohibits the county which generates four million dollars or more annually in accommodations tax revenue from increasing the number of its magistrates notwithstanding the provisions of this chapter or Chapter 8 of Title 22."

SECTION   14.     Section 22-2-40 of the 1976 Code is amended to read:

"Section 22-2-40.     (A)   The General Assembly shall provide for the number and location of magistrates in each county. The provisions of this chapter shall not be construed to prevent more than one magistrate from being assigned to the same jury area.

(B)   In each county, a magistrate or magistrates may be designated by the Governor with the advice and consent of the Senate as ministerial magistrates for the purpose of carrying out the following responsibilities:

1. (1)   To to issue criminal warrants;

2. (2)   To to approve and accept written bonds in criminal matters, or in lieu of written bonds to approve and accept cash bonds;

3. (3)   To to order the release of prisoners when proper and adequate bonds have been duly posted; and

4. (4)   To to transfer any such warrant and written or cash bond to a magistrate having proper jurisdiction.

Ministerial magistrates shall be available at nighttime and on weekends during such hours as may be designated by the Chief Magistrate.

(C)   Notwithstanding the provisions of subsection (A), Section 22-1-10(A), or Section 22-8-40(C) and (D), the number, location, and full-time or part-time status of magistrates in the county may be varied from the required and permissive provisions in Section 22-8-40(C) and (D) by filing with Court Administration a written agreement between the members of the Senate delegation for the county and the county governing body; however, a magistrate's compensation must not be decreased throughout his term in office."

SECTION   15.   Section 22-8-40 of the 1976 Code is amended to read:

"Section 22-8-40.   (A)   The county governing body of each county shall designate magistrates serving within the county as either full time or part time. A county is not required to have a full-time magistrate and may have only part-time magistrates.

(B)   All magistrates Each magistrate in this State must be paid according to the following base salary ranges as determined by the following factors by the county which he serves:

(1)   The following salary schedule shall be used to determine a magistrate's annual compensation prior to the completion of his fourth year in office:

(a)   upon being appointed a magistrate, a magistrate shall be paid seventy-five percent of the lowest salary rate for his county's population category as provided in item (2);

(b)   upon completing the requirements of Sections 22-1-10(C) and 22-1-12, a magistrate shall be paid eighty percent of the lowest salary rate for his county's population category as provided in item (2);

(c)   upon the magistrate's completion of his second year in office, a magistrate shall be paid eighty-five percent of the lowest salary rate for his county's population category as provided in item (2);

(d)   upon the magistrate's completion of his third year in office, a magistrate shall be paid ninety percent of the lowest salary rate for his county's population category as provided in item (2);

(e)   upon the magistrate's completion of his fourth year in office, a magistrate shall be paid one hundred percent of the lowest salary rate for his county's population category as provided in item (2).

(2)   There is established a base salary range for each population category depending upon the number of years served as follows:

(a)   for those counties with a population of two one hundred fifty thousand and above, according to the latest official United States Decennial Census, the base salary range is twenty-nine thousand dollars forty-nine to fifty-five percent of a circuit judge's salary for the state's previous fiscal year;. Upon completion of his fourth year in office, a magistrate in this population category shall be paid forty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his eighth year in office, a magistrate in this population category shall be paid fifty-one percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his twelfth year in office, a magistrate in this population category shall be paid fifty-three percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his sixteenth year in office, a magistrate in this population category shall be paid fifty-five percent of a circuit judge's salary for the state's previous fiscal year.

(b)   for those counties with a population of at least one hundred fifty thousand but not more than one hundred ninety-nine forty-nine thousand, nine hundred ninety-nine, according to the latest official United States Decennial Census, the base salary range is twenty-seven thousand dollars thirty-nine to forty-five percent of a circuit judge's salary for the state's previous fiscal year; . Upon completion of his fourth year in office, a magistrate in this population category shall be paid thirty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his eighth year in office, a magistrate in this population category shall be paid forty-one percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his twelfth year in office, a magistrate in this population category shall be paid forty-three percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his sixteenth year in office, a magistrate in this population category shall be paid forty-five percent of a circuit judge's salary for the state's previous fiscal year.

(c)   for those counties with a population of at least one hundred twenty thousand but not more than one hundred forty-nine thousand, nine hundred ninety-nine, according to the latest official United States Decennial Census, the base salary range is twenty-five thousand dollars twenty-nine to thirty-five percent of a circuit court judge's salary for the state's previous fiscal year;. Upon completion of his fourth year in office, a magistrate in this population category shall be paid twenty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his eighth year in office, a magistrate in this population category shall be paid thirty-one percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his twelfth year in office, a magistrate in this population category shall be paid thirty-three percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his sixteenth year in office, a magistrate in this population category shall be paid thirty-five percent of a circuit judge's salary for the state's previous fiscal year.

(d)   for those counties with a population of at least fifty thousand but not more than ninety-nine thousand, nine hundred ninety-nine, less than twenty thousand according to the latest official United States Decennial Census, the base salary range is twenty-two thousand twenty-seven to thirty-three percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his fourth year in office, a magistrate in this population category shall be paid twenty-seven percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his eighth year in office, a magistrate in this population category shall be paid twenty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his twelfth year in office, a magistrate in this population category shall be paid thirty-one percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his sixteenth year in office, a magistrate in this population category shall be paid thirty-three percent of a circuit judge's salary for the state's previous fiscal year.

(e)   for those counties with a population of at least thirty-five thousand but not more than forty-nine thousand, nine hundred ninety-nine, according to the latest official United States Decennial Census, the base salary is nineteen thousand dollars; and

(f)   for those counties with a population of less than thirty-five thousand, according to the latest official United States Decennial Census, the base salary is seventeen thousand dollars.

(3)   Notwithstanding the provisions of item (2), for any county which has no municipal courts, the magistrates must be paid at a minimum according to the salary range in subitem (2)(b) which is thirty-nine to forty-five percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his fourth year in office, a magistrate in this category shall be paid thirty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his eighth year in office, a magistrate in this category shall be paid forty-one percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his twelfth year in office, a magistrate in this category shall be paid forty-three percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his sixteenth year in office, a magistrate in this category shall be paid forty-five percent of a circuit judge's salary for the state's previous fiscal year.

(4)   The provisions of this subsection are effective January 1, 2000.

(C)   The number of magistrates shall be determined using the following factors:

(2) (1)   There is established a ratio of one magistrate for every twenty-eight thousand persons in each county of the State based on the latest official United States Decennial Census.

(3) (2)   There is established a ratio of one magistrate for every one hundred fifty square miles of area in each county of the State as a factor to be used in determining the base salary as provided in this section.

(3)   Notwithstanding the provisions of subsection (D), the maximum number of magistrates in each county is the greater of that number determined by taking one magistrate for every twenty-eight thousand persons in each county or that number determined by taking the average of the ratio of one magistrate for every twenty-eight thousand persons in each county as provided by item (2) (1) of this section subsection and the ratio of one magistrate for every one hundred fifty square miles of area in each county as provided in item (3) (2) of this section subsection. However, no county is required to have fewer than the equivalent of one full-time magistrate and one part-time magistrate. If a fraction of a magistrate results, the county must round off the fraction, establishing an additional part-time magistrate. No additional magistrates may be added until a county has less than the ratio.

(D)   In addition to the maximum number of magistrates prescribed in subsection (C), additional magistrates may be appointed as determined using the following formula:

(1)   for counties which collect accommodations tax revenues of five hundred thousand to nine hundred ninety-nine thousand, nine hundred ninety-nine dollars, one additional magistrate may be appointed;

(2)   for counties which collect accommodations tax revenues of one million to two million, nine hundred ninety-nine thousand, nine hundred ninety-nine dollars, two additional magistrates may be appointed;

(3)   for counties which collect accommodations tax revenues of three million to four million, nine hundred ninety-nine thousand, nine hundred ninety-nine dollars, three additional magistrates may be appointed; and

(4)   for counties which collect accommodations tax revenues of five million dollars and above, four additional magistrates may be appointed.

(C)(E)   Part-time magistrates are to be computed at a ratio of four part-time magistrates equals one full-time magistrate.

(D)(F)   Part-time magistrates are entitled to a proportionate percentage of the salary provided for full-time magistrates. This percentage is computed by dividing by forty the number of hours a week the part-time magistrate spends in the performance of his duties. The number of hours a week that a part-time magistrate spends in the exercise of the judicial function, and scheduled to be spent on call, must be the average number of hours worked and is fixed by the county governing body upon the recommendation of the chief magistrate.

(E) A cost of living increase must be paid by the county in the amount provided classified state employees in the annual state general appropriations act of the previous fiscal year. The base salaries provided for in this Part must be adjusted annually based on the percentage amount of the cost of living increase paid to classified state employees in the annual state general appropriations act of the previous fiscal year.

(F)(G)   A full-time chief magistrate must be paid a yearly supplement of three thousand dollars and reimbursed for travel expense expenses as provided by law while in the actual performance of his duties. A part-time chief magistrate must be paid a yearly supplement of fifteen hundred dollars and reimbursed for travel expense expenses as provided by law while in the actual performance of his duties. In a county with a population of two hundred thousand or more, the term of office for chief magistrate is two years, and the office must be rotated among the magistrates as determined by the South Carolina Court Administration. A new rotation must begin on January 1, 2000, and a magistrate serving as chief magistrate on December 31, 1999, is not eligible to be appointed as chief magistrate for the term beginning on January 1, 2000.

(G)(H)   Magistrates in a county are entitled to the same perquisites as those employees of the county of similar position and salary.

(H)(I)   A ministerial magistrate is entitled to the same compensation as a part-time magistrate.

(I)(J)   A magistrate who is receiving a salary greater than provided for his position under the provisions of this chapter must not be reduced in salary during his tenure in office, and must be paid the same percentage annual increase in salary as other magistrates. Tenure in office continues at the expiration of a term if the incumbent magistrate is reappointed.

(J)(K)   No county may pay a magistrate a salary lower than the base salary established for that county by the provisions of subsection (B) of this section.

(K)(L)   Nothing in this section may be interpreted as prohibiting a county from paying a magistrate more than the base salary established for that county or from paying a magistrate a merit raise in addition to the salary established for that county.   (L)(M)   The South Carolina Court Administration shall monitor compliance with this section. Nothing contained in this section may be construed as prohibiting a county from paying salaries in excess of the minimum base salaries provided for in this section."

SECTION   16.   Section 22-8-40 of the 1976 Code is amended to read:

"Section 22-8-40.   (A)   The county governing body of each county shall designate magistrates serving within the county as either full time or part time. A county is not required to have a full-time magistrate and may have only part-time magistrates.

  (B)   All magistrates Each magistrate in this State must be paid according to the following base salary ranges as determined by the following factors by the county which he serves:

(1)   There is established a base salary range for each population category depending upon the number of years served as follows:

(a)   for those counties with a population of two one hundred fifty thousand and above, according to the latest official United States Decennial Census, the base salary range is twenty-nine thousand dollars forty-nine to fifty-five percent of a circuit judge's salary for the state's previous fiscal year;. Upon being appointed a magistrate, a magistrate in this population category shall be paid forty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his fourth year in office, a magistrate in this population category shall be paid fifty-five percent of a circuit judge's salary for the state's previous fiscal year

(b)   for those counties with a population of at least one hundred fifty thousand but not more than one hundred ninety-nine forty-nine thousand, nine hundred ninety-nine, according to the latest official United States Decennial Census, the base salary range is twenty-seven thousand dollars thirty-nine to forty-five percent of a circuit judge's salary for the state's previous fiscal year; . Upon being appointed a magistrate, a magistrate in this population category shall be paid thirty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his fourth year in office, a magistrate in this population category shall be paid forty-five percent of a circuit judge's salary for the state's previous fiscal year.         (c)   for those counties with a population of at least one hundred thousand but not more than one hundred forty-nine thousand, nine hundred ninety-nine, less than fifty thousand according to the latest official United States Decennial Census, the base salary range is twenty-five thousand dollars twenty-nine to thirty-five percent of a circuit court judge's salary for the state's previous fiscal year;. Upon being appointed a magistrate, a magistrate in this population category shall be paid twenty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his fourth year in office, a magistrate in this population category shall be paid thirty-five percent of a circuit judge's salary for the state's previous fiscal year.

(d)   for those counties with a population of at least fifty thousand but not more than ninety-nine thousand, nine hundred ninety-nine, according to the latest official United States Decennial Census, the base salary is twenty-two thousand.

(e)   for those counties with a population of at least thirty-five thousand but not more than forty-nine thousand, nine hundred ninety-nine, according to the latest official United States Decennial Census, the base salary is nineteen thousand dollars; and

(f)   for those counties with a population of less than thirty-five thousand, according to the latest official United States Decennial Census, the base salary is seventeen thousand dollars.

(2)   Notwithstanding the provisions of item (1), for any county which has no municipal courts, the magistrates must be paid at a minimum according to the salary range in subitem (1)(b) which is thirty-nine to forty-five percent of a circuit judge's salary for the state's previous fiscal year. Upon being appointed a magistrate, a magistrate in this population category shall be paid thirty-nine percent of a circuit judge's salary for the state's previous fiscal year. Upon completion of his fourth year in office, a magistrate in this population category shall be paid forty-five percent of a circuit judge's salary for the state's previous fiscal year.

(3)   The provisions of this subsection are effective January 1, 2000.

(C)   The number of magistrates shall be determined using the following factors:

(2) (1)   There is established a ratio of one magistrate for every twenty-eight thousand persons in each county of the State based on the latest official United States Decennial Census.

(3) (2)   There is established a ratio of one magistrate for every one hundred fifty square miles of area in each county of the State as a factor to be used in determining the base salary as provided in this section.

(3)   Notwithstanding the provisions of subsection (D), the maximum number of magistrates in each county is the greater of that number determined by taking one magistrate for every twenty-eight thousand persons in each county or that number determined by taking the average of the ratio of one magistrate for every twenty-eight thousand persons in each county as provided by item (2) (1) of this section subsection and the ratio of one magistrate for every one hundred fifty square miles of area in each county as provided in item (3) (2) of this section subsection. However, no county is required to have fewer than the equivalent of one full-time magistrate and one part-time magistrate. If a fraction of a magistrate results, the county must round off the fraction, establishing an additional part-time magistrate. No additional magistrates may be added until a county has less than the ratio.

(D)   In addition to the maximum number of magistrates prescribed in subsection (C), additional magistrates may be appointed as determined using the following formula:

(1)   for counties which collect accommodations tax revenues of five hundred thousand to nine hundred ninety-nine thousand, nine hundred ninety-nine dollars, one additional magistrate may be appointed;

(2)   for counties which collect accommodations tax revenues of one million to two million, nine hundred ninety-nine thousand, nine hundred ninety-nine dollars, two additional magistrates may be appointed;

(3)   for counties which collect accommodations tax revenues of three million to four million, nine hundred ninety-nine thousand, nine hundred ninety-nine dollars, three additional magistrates may be appointed; and

(4)   for counties which collect accommodations tax revenues of five million dollars and above, four additional magistrates may be appointed.

(C)(E)   Part-time magistrates are to be computed at a ratio of four part-time magistrates equals one full-time magistrate.

(D)(F)   Part-time magistrates are entitled to a proportionate percentage of the salary provided for full-time magistrates. This percentage is computed by dividing by forty the number of hours a week the part-time magistrate spends in the performance of his duties. The number of hours a week that a part-time magistrate spends in the exercise of the judicial function, and scheduled to be spent on call, must be the average number of hours worked and is fixed by the county governing body upon the recommendation of the chief magistrate.

(E) A cost of living increase must be paid by the county in the amount provided classified state employees in the annual state general appropriations act of the previous fiscal year. The base salaries provided for in this Part must be adjusted annually based on the percentage amount of the cost of living increase paid to classified state employees in the annual state general appropriations act of the previous fiscal year.

(F)(G)   A full-time chief magistrate must be paid a yearly supplement of three thousand dollars and reimbursed for travel expense expenses as provided by law while in the actual performance of his duties. A part-time chief magistrate must be paid a yearly supplement of fifteen hundred dollars and reimbursed for travel expense expenses as provided by law while in the actual performance of his duties. In a county with a population of two hundred thousand or more, the term of office for chief magistrate is two years, and the office must be rotated among the magistrates as determined by the South Carolina Court Administration. A new rotation must begin on January 1, 2000, and a magistrate serving as chief magistrate on December 31, 1999, is not eligible to be appointed as chief magistrate for the term beginning on January 1, 2000.

(G)(H)   Magistrates in a county are entitled to the same perquisites as those employees of the county of similar position and salary.

(H)(I)   A ministerial magistrate is entitled to the same compensation as a part-time magistrate.

(I)(J)   A magistrate who is receiving a salary greater than provided for his position under the provisions of this chapter must not be reduced in salary during his tenure in office, and must be paid the same percentage annual increase in salary as other magistrates. Tenure in office continues at the expiration of a term if the incumbent magistrate is reappointed.

(J)(K)   No county may pay a magistrate a salary lower than the base salary established for that county by the provisions of subsection (B) of this section.

(K)(L)   Nothing in this section may be interpreted as prohibiting a county from paying a magistrate more than the base salary established for that county or from paying a magistrate a merit raise in addition to the salary established for that county.   (L)(M)   The South Carolina Court Administration shall monitor compliance with this section. Nothing contained in this section may be construed as prohibiting a county from paying salaries in excess of the minimum base salaries provided for in this section."

SECTION   17.   Section 34-11-70(b) and (c) of the 1976 Code, as last amended by Act 138 of 1995, is further amended to read:

"(b)   Any court, including magistrate's, may dismiss a case under the provisions of this chapter for want of prosecution. When any prosecutions are initiated under this chapter, the party applying for the warrant is held liable for all reasonable administrative costs accruing not to exceed twenty thirty-five dollars if the case is dismissed for want of prosecution. Unless waived by the court, the party applying for the warrant shall notify, orally or otherwise, the court not less than twenty-four hours before the date and time set for trial that full restitution has been made in connection with the warrant, and the notification relieves that party of the responsibility of prosecution.

(c)   Any court, including magistrate's, may dismiss any prosecution initiated pursuant to the provisions of this chapter on satisfactory proof of restitution and payment by the defendant of all administrative costs accruing not to exceed twenty thirty-five dollars submitted before the date set for trial after the issuance of a warrant."

SECTION   18.   The first two paragraphs of Section 34-11-90 of the 1976 Code are further amended to read:

"A person violating who violates the provisions of this chapter, upon conviction, for a first or second offense must be punished as follows:

If the amount of the instrument is five hundred one thousand dollars or less, it must be tried exclusively in a magistrate's court. A municipal governing body, by ordinance, may adopt by reference the provisions of this chapter as an offense under its municipal ordinances and by so doing authorizes its municipal court to try violations of this chapter. If the amount of the instrument is over five hundred one thousand dollars, it must be tried in the court of general sessions or any other court having concurrent jurisdiction. Notwithstanding the provisions of this paragraph, a person violating who violates the provisions of this chapter, upon conviction for a third or subsequent conviction, may be tried in either a magistrate's court or in the court of general sessions.

(a)   Convictions in a magistrate's court are punishable as follows:

(1)   for a first conviction, if the amount of the instrument is five hundred dollars or less, by a fine of not less than fifty dollars nor more than two hundred dollars or by imprisonment for not more than thirty days;

(2)   for a first conviction, if the amount of the instrument is more than five hundred dollars but not greater than one thousand dollars, by a fine of not less than three hundred nor more than five hundred dollars or by imprisonment for not more than thirty days, or both;

(3)   for a second or subsequent conviction, if the amount of the instrument is five hundred dollars or less, by a fine of two hundred dollars or by imprisonment for thirty days.;

(4)   for a second or subsequent conviction, if the amount of the instrument is more than five hundred dollars but not greater than one thousand dollars, by a fine of not less than five hundred dollars or by imprisonment for not less than thirty days, or both.

(b)   Convictions in the court of general sessions or any other court having concurrent jurisdiction are punishable as follows: for a first conviction by a fine of not less than three hundred dollars nor more than one thousand dollars or by imprisonment for not more than two years, or both; and for a second and each or subsequent conviction by a fine of not less than five hundred dollars nor more than two thousand dollars and imprisonment for not less than thirty days nor more than ten years.

(c)   After a first offense conviction for drawing and uttering a fraudulent check or other instrument in violation of Section 34-11-60 within its jurisdiction, the court shall, at the time of sentence, suspend the imposition or execution of a sentence upon a showing of satisfactory proof of restitution and payment by the defendant of all reasonable court costs accruing not to exceed twenty thirty-five dollars. For a second and or subsequent convictions conviction for a violation of Section 34-11-60, the suspension of the imposition or execution of the sentence shall be is discretionary with the court.

(d)   After a conviction or plea for drawing and uttering a fraudulent check or other instrument in violation of Section 34-11-60 and the defendant is charged or fined, he shall pay in addition to the fine all reasonable court costs accruing, not to exceed twenty thirty-five dollars, and the service charge provided in Section 34-11-70.

(e)   After a conviction under this section on a first offense, the defendant may, after one year from the date of the conviction, apply, or cause someone acting on his behalf to apply, to the court for an order expunging the records of the arrest and conviction. This provision does not apply to any crime classified as a felony. If the defendant has had no other conviction during the one-year period following the conviction under this section, the court shall issue an order expunging the records. No person has any rights under this section more than one time. After the expungement, the South Carolina Law Enforcement Division is required to keep a nonpublic record of the offense and the date of its expungement to ensure that no person takes advantage of the rights permitted by this subsection more than once. This nonpublic record is not subject to release under Section 34-11-95, the Freedom of Information Act, or any other provision of law except to those authorized law or court officials who need to know this information in order to prevent the rights afforded by this subsection from being taken advantage of more than once.

As used in this section the term 'conviction' shall include the entering of a guilty plea, the entering of a plea of nolo contendere, or the forfeiting of bail. A conviction is classified as a felony if the instrument drawn or uttered in violation of this chapter exceeds the amount of five thousand dollars.

Each instrument drawn or uttered in violation of this chapter shall constitute constitutes a separate offense."

SECTION   19.   The Supreme Court is requested to make a report to the respective Chairmen of the Senate and House of Representatives Judiciary committees by March 15, 2000, with recommendations for additional changes in the magistrates courts system.

SECTION   20.   If a provision of this act or the application of a provision of this act to a person or circumstance is held to be invalid, the invalidity does not affect other provisions or applications of this act which can be given effect without the invalid provision or application, and to this end the provisions of this act are severable.

SECTION   21.   This act takes effect upon approval by the Governor. /

Amend the Title to read as follows:

/ TO ENACT THE "MAGISTRATES COURTS REFORM ACT OF 1999" BY AMENDING SECTION 8-21-1010, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO FEES AND COSTS TO BE COLLECTED BY MAGISTRATES, SO AS TO INCREASE THE FEE FOR CIVIL ACTIONS AND COMPLAINTS FROM TWENTY-FIVE TO FORTY DOLLARS AND TO INCREASE THE FEE FOR PROCEEDINGS BY A LANDLORD AGAINST A TENANT FROM TEN TO TWENTY-FIVE DOLLARS; BY AMENDING SECTION 22-1-10, RELATING TO APPOINTMENT OF MAGISTRATES, SO AS TO REVISE THE EDUCATIONAL REQUIREMENT FOR APPOINTMENT ON OR AFTER JULY 1, 1999; BY AMENDING SECTION 22-1-15, RELATING TO THE PERSONS SERVING AS MAGISTRATES, SO AS TO PROVIDE THAT THE REVISED REQUIREMENT DOES NOT APPLY TO A MAGISTRATE SERVING ON JULY 1, 1999, DURING HIS TENURE IN OFFICE; BY AMENDING SECTION 22-1-30, RELATING TO SUSPENSION OR REMOVAL OF MAGISTRATES, SO AS TO PROVIDE THAT A MAGISTRATE'S FAILURE TO COMPLY WITH RETIREMENT, TRAINING, OR EXAMINATION REQUIREMENTS MAY SUBJECT THE MAGISTRATE TO SUSPENSION OR REMOVAL BY ORDER OF THE SUPREME COURT; BY AMENDING SECTION 22-2-40, RELATING TO THE NUMBER AND LOCATION OF MAGISTRATES IN A COUNTY, SO AS TO PROVIDE THAT THE MEMBERS OF THE SENATE DELEGATION FOR A COUNTY AND THE COUNTY GOVERNING BODY MAY VARY THE NUMBER, LOCATION, AND FULL-TIME OR PART-TIME STATUS OF MAGISTRATES IN A COUNTY BY WRITTEN AGREEMENT FILED WITH COURT ADMINISTRATION; BY AMENDING SECTION 22-2-200, RELATING TO ACCOMMODATIONS TAX REVENUES AS AFFECTING THE NUMBER OF MAGISTRATES, SO AS TO CONFORM THE PROVISION REGARDING APPOINTMENT OF ADDITIONAL MAGISTRATES DEPENDENT UPON ACCOMMODATIONS TAX REVENUES; BY AMENDING SECTION 22-8-40, RELATING TO FULL-TIME AND PART-TIME MAGISTRATES AND SALARIES, SO AS TO PROVIDE FOR A NEW SALARY SCHEDULE AND FOR ADDITIONAL MAGISTRATES TO BE APPOINTED DEPENDENT UPON ACCOMMODATIONS TAX REVENUES; BY AMENDING SECTION 34-11-70, RELATING TO EVIDENCE OF FRAUDULENT INTENT IN DRAWING A CHECK AND PROBABLE CAUSE FOR PROSECUTION, SO AS TO INCREASE THE FEE A DEFENDANT MUST PAY FOR ADMINISTRATIVE COSTS, WHEN THE CASE IS DISMISSED FOR WANT OF PROSECUTION OR WHEN THE CASE IS DISMISSED ON SATISFACTORY PROOF OR RESTITUTION AND REPAYMENT, FROM TWENTY TO THIRTY-FIVE DOLLARS; BY AMENDING SECTION 34-11-90, RELATING TO JURISDICTION OVER OFFENSES CONCERNING FRAUDULENT CHECKS, SO AS TO INCREASE A MAGISTRATE'S JURISDICTION OVER INSTRUMENTS OF FIVE HUNDRED DOLLARS OR LESS TO JURISDICTION OVER INSTRUMENTS OF ONE THOUSAND DOLLARS OR LESS, TO PROVIDE THE CIRCUMSTANCES OF A CONVICTION IN MAGISTRATE'S COURT THAT ARE PUNISHABLE BY IMPRISONMENT OR FINES, TO INCREASE THE AMOUNT OF REASONABLE COURT COSTS THAT A DEFENDANT MUST PAY WHEN THE COURT SUSPENDS A FIRST OFFENSE CONVICTION FOR DRAWING AND UTTERING A FRAUDULENT CHECK FROM TWENTY TO THIRTY-FIVE DOLLARS, AND TO INCREASE THE AMOUNT OF REASONABLE COURT COSTS THAT A DEFENDANT MUST PAY AFTER A CONVICTION OR PLEA FOR DRAWING AND UTTERING A FRAUDULENT CHECK; AND BY ADDING SECTION 9-11-27, SO AS TO PROVIDE THAT A MAGISTRATE MAY PARTICIPATE IN THE SOUTH CAROLINA POLICE OFFICERS RETIREMENT SYSTEM; BY ADDING SECTION 9-11-28, SO AS TO PROVIDE THAT A FULL-TIME MUNICIPAL JUDGE MAY PARTICIPATE IN THE SOUTH CAROLINA POLICE OFFICERS RETIREMENT SYSTEM IF THE MUNICIPALITY HE SERVES PARTICIPATES IN THE SOUTH CAROLINA POLICE OFFICERS RETIREMENT SYSTEM; BY ADDING 22-1-5, SO AS TO PERMIT A MAGISTRATES' OVERSIGHT COMMITTEE TO BE ESTABLISHED IN EACH COUNTY; BY ADDING SECTION 22-1-12, SO AS TO REQUIRE THAT A MAGISTRATE COMPLETE CERTAIN TRIAL EXPERIENCES PRIOR TO TRYING CASES; BY ADDING SECTION 22-1-17, SO AS TO ESTABLISH A TWO-YEAR CONTINUING EDUCATION PROGRAM AVAILABLE TO MAGISTRATES WHO HAVE SUCCESSFULLY COMPLETED THE CERTIFICATION EXAMINATION; BY ADDING SECTION 22-1-19, SO AS TO ESTABLISH AN ADVISORY COUNCIL TO MAKE RECOMMENDATIONS TO THE SUPREME COURT REGARDING THE ELIGIBILITY EXAMINATION, CERTIFICATION EXAMINATION, AND CONTINUING EDUCATION REQUIREMENTS FOR MAGISTRATES; AND BY ADDING SECTION 22-2-5, SO AS TO ESTABLISH AN ELIGIBILITY EXAMINATION, THE RESULTS OF WHICH MUST BE USED BY THE SENATORIAL DELEGATION IN MAKING NOMINATIONS FOR MAGISTERIAL APPOINTMENTS; AND BY REQUESTING THAT THE SUPREME COURT MAKE A REPORT TO THE CHAIRMEN OF THE SENATE AND HOUSE OF REPRESENTATIVES JUDICIARY COMMITTEES RECOMMENDING FURTHER NECESSARY CHANGES TO THE MAGISTRATES COURT SYSTEM. /

Renumber sections to conform.

There being no further amendments, the Bill was read the second time and ordered placed on the third reading Calendar.

On motion of Senator HOLLAND, with unanimous consent, H. 3379 was ordered to receive a third reading on Friday, May 28, 1999.

H. 3782 (Word version) -- Reps. Campsen, Barfield, Barrett, Beck, Bowers, Cato, Cotty, Davenport, Delleney, Easterday, Edge, Emory, Gilham, Govan, Hamilton, Harrell, Harris, Harrison, Haskins, Klauber, Koon, Leach, Limehouse, Littlejohn, Loftis, Lourie, Lucas, Maddox, M. McLeod, W. McLeod, Meacham, Miller, Neal, Quinn, Rice, Robinson, Sandifer, Sheheen, Simrill, D. Smith, J. Smith, Stille, Stuart, Taylor, Vaughn, Whatley, Whipper and Woodrum: A BILL TO ENACT THE "SOUTH CAROLINA CONSERVATION INCENTIVES ACT" BY AMENDING THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 12-6-3515 SO AS TO ALLOW AN INCOME TAX CREDIT EQUAL TO TWENTY-FIVE PERCENT OF THE VALUE OF A FEDERAL INCOME TAX CHARITABLE DEDUCTION FOR A QUALIFIED CONSERVATION CONTRIBUTION OF A QUALIFIED REAL PROPERTY INTEREST LOCATED IN THIS STATE, TO PROVIDE A CAP ON THIS CREDIT, TO DEFINE THE LANDS OVER WHICH THESE EASEMENTS APPLY WHICH ARE ELIGIBLE FOR THESE CREDITS, TO PROVIDE A CARRY FORWARD OF UNUSED CREDIT AND MAKE THE UNUSED CREDIT TRANSFERABLE UPON NOTICE TO THE DEPARTMENT OF REVENUE WITH THE CREDIT RETAINING ALL ITS ATTRIBUTES IN THE HANDS OF THE TRANSFEREE, AND TO PROVIDE DEFINITIONS; AND BY ADDING ARTICLE 11 IN CHAPTER 3 OF TITLE 50, RELATING TO THE DEPARTMENT OF NATURAL RESOURCES, SO AS TO ESTABLISH THE CONSERVATION GRANT FUND IN THE STATE TREASURY, TO PROVIDE FOR THE PURPOSE, GOVERNANCE, AND SOURCE OF FUNDS FOR THIS FUND INCLUDING THE PROMOTION OF DONATIONS OF CONSERVATION EASEMENTS AND AUTHORIZING THE FUND TO MAKE GRANTS IN FURTHERANCE OF THIS PURPOSE, NOT INCLUDING GRANTS TO PURCHASE ANY INTEREST IN REAL PROPERTY; AND TO AMEND SECTION 62-3-715, AS AMENDED, RELATING TO THE TRANSACTION AUTHORIZED FOR PERSONAL REPRESENTATIVES UNDER THE SOUTH CAROLINA PROBATE CODE, SO AS TO AUTHORIZE A PERSONAL REPRESENTATIVE OR TRUSTEE, AS APPLICABLE, WITH THE CONSENT OF ALL AFFECTED PARTIES TO MAKE A DONATION OF A QUALIFIED CONSERVATION EASEMENT TO OBTAIN A FEDERAL ESTATE TAX AND STATE INCOME TAX CREDIT BENEFIT, AND TO PROVIDE FOR THE METHOD TO OBTAIN THE CONSENT OF PERSONS OTHERWISE UNABLE TO GIVE SUCH CONSENT.

Senator LEVENTIS asked unanimous consent to make a motion to recall the Bill from the Committee on Finance and return it to the Calendar where it retained its place.

There was no objection.

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

There was no objection.

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

Senator LEVENTIS asked unanimous consent to give the Bill a second reading with notice of general amendments.

There was no objection.

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

The following Bills and Joint Resolution, having been read the second time, were ordered placed on the third reading Calendar:

S. 575 (Word version) -- Senator Giese: A BILL TO AMEND SECTION 12-36-2120, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EXEMPTIONS FROM THE SOUTH CAROLINA SALES TAX, SO AS TO PROVIDE FOR THE EXEMPTION OF SPECIFIED MEDICAL AND PHARMACEUTICAL SUPPLIES USED FOR THE INTRAVENOUS ADMINISTRATION OF A PRESCRIPTION DRUG OR MEDICINE IN CERTAIN SITUATIONS.

Senator GIESE explained the Bill.

S. 703 (Word version) -- Senator Hayes: A BILL TO AMEND SECTION 50-3-410, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO USE OF AN OFFICIAL SUMMONS BY ENFORCEMENT OFFICERS OF THE DEPARTMENT OF NATURAL RESOURCES, SO AS TO AUTHORIZE USE OF THE OFFICIAL SUMMONS BY ANY OFFICER DEPUTIZED BY THE DEPARTMENT PURSUANT TO SECTION 27-16-70(C)(2); AND TO AMEND SECTION 50-3-420, AS AMENDED, RELATING TO IMMUNITY FROM PROSECUTION, SO AS TO PROVIDE FOR THE IMMUNITY FOR DEPUTY ENFORCEMENT OFFICERS OF THE DEPARTMENT OF NATURAL RESOURCES.

Senator HAYES explained the Bill.

H. 3710 (Word version) -- Labor, Commerce and Industry Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE BUDGET AND CONTROL BOARD, RELATING TO COMMERCIAL MOBILE RADIO SYSTEM SURCHARGE, DESIGNATED AS REGULATION DOCUMENT NUMBER 2376, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

H. 3746 (Word version) -- Reps. Allison, Seithel, Edge, Bales, Barrett, Battle, Beck, Breeland, Cato, Chellis, Clyburn, Dantzler, Gilham, Gourdine, Govan, Hamilton, Harrison, Harvin, J. Hines, Hinson, Jennings, Kelley, Klauber, Koon, Law, Lee, Littlejohn, Loftis, Maddox, Martin, Mason, McCraw, McGee, Meacham, Parks, Phillips, Rhoad, Rice, Rodgers, Simrill, Stille, Vaughn, Walker, Webb, Whatley, Whipper, Wilder, Witherspoon and Woodrum: A CONCURRENT RESOLUTION TO PROCLAIM THAT THE WOMAN CHOSEN AS MISS SOUTH CAROLINA SHALL SERVE AS THE OFFICIAL HONORARY HOSTESS OF THE STATE OF SOUTH CAROLINA DURING HER TERM AS MISS SOUTH CAROLINA.

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

H. 4122 (Word version) -- Reps. Phillips, Gamble, Littlejohn and Inabinett: A CONCURRENT RESOLUTION TO FIX WEDNESDAY, JUNE 2, 1999, IMMEDIATELY FOLLOWING THE ELECTION OF JUDGES AS THE TIME TO ELECT A MEMBER OF THE BOARD OF TRUSTEES OF FRANCIS MARION UNIVERSITY REPRESENTING THE THIRD CONGRESSIONAL DISTRICT, SEAT SIX.

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

S. 866 (Word version) -- Senator Grooms: A CONCURRENT RESOLUTION TO REQUEST THAT THE DEPARTMENT OF TRANSPORTATION ERECT DIRECTIONAL SIGNS AT LOCATIONS WHICH ARE VISIBLE TO THE MOTORING PUBLIC READING "SOUTH CAROLINA ARTISANS CENTER" AND THAT THESE SIGNS MUST BE PLACED AT APPROPRIATE LOCATIONS ON INTERSTATE 95 NEAR EXITS 53 AND 57 IN WALTERBORO COUNTY.

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

S. 866 (Word version) -- Senator Grooms: A CONCURRENT RESOLUTION TO REQUEST THAT THE DEPARTMENT OF TRANSPORTATION ERECT DIRECTIONAL SIGNS AT LOCATIONS WHICH ARE VISIBLE TO THE MOTORING PUBLIC READING "SOUTH CAROLINA ARTISANS CENTER" AND THAT THESE SIGNS MUST BE PLACED AT APPROPRIATE LOCATIONS ON INTERSTATE 95 NEAR EXITS 53 AND 57 IN WALTERBORO COUNTY.

Having voted on the prevailing side, Senator LAND asked unanimous consent to reconsider the vote whereby the Senate adopted the Concurrent Resolution.

There was no objection.

The Concurrent Resolution was ordered returned to the Calendar.

H. 4052 (Word version) -- Rep. Quinn: A CONCURRENT RESOLUTION TO DECLARE THE MONTH OF AUGUST, 1999, AS "SCHOOL VIOLENCE AWARENESS MONTH" IN SOUTH CAROLINA IN ORDER TO RAISE PUBLIC AWARENESS OF THIS INCREASING PROBLEM IN OUR STATE, AND TO REQUEST THE ATTORNEY GENERAL TO PROVIDE A REPORT TO THE GENERAL ASSEMBLY ON THE STATUS OF SCHOOL VIOLENCE AND OTHER SCHOOL CRIME IN SOUTH CAROLINA.

The Senate proceeded to a consideration of the Concurrent Resolution. The question being the adoption of the Resolution.

Senators LAND, BRYAN, HUTTO, WASHINGTON, WILSON and SETZLER proposed the following amendment (4052R002.JCL), which was adopted:

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

/   TO DECLARE THE MONTH OF AUGUST, 1999, AS "SAFE SCHOOLS AWARENESS MONTH" IN SOUTH CAROLINA IN ORDER TO RAISE PUBLIC AWARENESS THAT IT IS THE RESPONSIBILITY OF ALL THE STATE'S CITIZENS, GROUPS, AND COMMUNITIES TO WORK FOR THE PREVENTION OF SCHOOL VIOLENCE AND THE SAFETY OF THE SCHOOL CHILDREN OF THIS STATE AND TO REQUEST A REPORT ON THE RECOMMENDATIONS OF THE TASK FORCE ON SCHOOL VIOLENCE PREVENTION ESTABLISHED BY THE GOVERNOR, SUPERINTENDENT OF EDUCATION, AND ATTORNEY GENERAL BY SEPTEMBER 15, 1999.

Whereas, school crime has been on the rise in the State of South Carolina; and

Whereas, one of the primary functions of state government is to promote public safety and provide for public education; and

Whereas, the General Assembly desires to promote public safety for the citizens of our State in part by focusing on the prevention of violence and other criminal activities in our schools; and

Whereas, the public, parents, members of the General Assembly, law enforcement officials, and school officials need to be educated on the issue of preventing school violence and other criminal activities; and

Whereas, increased public awareness is needed to prevent school violence. Now, therefore,

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

That, by this resolution, the South Carolina General Assembly declares the month of August, 1999, as "Safe Schools Awareness Month" in South Carolina in order to raise public awareness throughout the State that it is the responsibility of all the state's citizens, groups, and communities to work for the prevention of school violence and the safety of the school children of this State.

Be it further resolved that the task force on school violence prevention established by the Governor, Superintendent of Education, and the Attorney General is requested to provide to the Senate Education Committee and the House Education and Public Works Committee a report on their recommendations no later than September 15, 1999.

Renumber sections to conform.

Amend title to conform.

Senator HUTTO explained the amendment.

The amendment was adopted.

There being no further amendments, the Concurrent Resolution was adopted and ordered returned to the House with amendments.

H. 3759 (Word version) -- Reps. Cobb-Hunter, Wilkins, Seithel, Allison, Altman, Askins, Bailey, Bales, Barfield, Barrett, Battle, Beck, Bowers, Breeland, G. Brown, H. Brown, J. Brown, Campsen, Canty, Carnell, Cato, Chellis, Clyburn, Cooper, Cotty, Dantzler, Davenport, Edge, Emory, Fleming, Gamble, Gilham, Gourdine, Govan, Hamilton, Harrell, Harris, Harvin, Haskins, Hawkins, Hayes, J. Hines, Hinson, Howard, Inabinett, Keegan, Kelley, Kennedy, Kirsh, Klauber, Knotts, Koon, Lanford, Law, Leach, Lee, Limehouse, Littlejohn, Lloyd, Loftis, Mack, Martin, Mason, McCraw, M. McLeod, W. McLeod, McMahand, Meacham, Miller, Moody-Lawrence, Neal, Neilson, Ott, Parks, Phillips, Pinckney, Quinn, Rhoad, Rice, Riser, Robinson, Rodgers, Sandifer, Scott, Sharpe, Simrill, D. Smith, F. Smith, R. Smith, Stille, Townsend, Tripp, Trotter, Vaughn, Walker, Webb, Whatley, Wilder, Wilkes, Witherspoon, Woodrum and Young-Brickell: A BILL TO AMEND TITLE 15, CHAPTER 3, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO LIMITATIONS ON CIVIL ACTIONS, BY ADDING ARTICLE 2 SO AS TO ENACT THE YEAR 2000 COMMERCE PROTECTION ACT IN ORDER TO PROVIDE FOR THE RECOVERY OF A CLAIM FOR A PERSON WHO SUFFERS AN ECONOMIC LOSS AS A RESULT OF THE YEAR 2000 PROBLEM.

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

There was no objection.

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

Senator MARTIN asked unanimous consent to give the Bill a second reading with notice of general amendments.

Senator SALEEBY objected.

H. 3834 (Word version) -- Rep. Robinson: A BILL TO AMEND SECTION 2-7-76, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO FISCAL IMPACT STATEMENTS FOR PROPOSED LEGISLATION AFFECTING COUNTIES OR MUNICIPALITIES, SO AS TO REQUIRE THE ACQUISITION OF A FISCAL IMPACT STATEMENT FROM THE "BOARD OF ECONOMIC ADVISORS" INSTEAD OF FROM THE "DEPARTMENT OF REVENUE" AND TO MAKE TECHNICAL CORRECTIONS; TO AMEND SECTION 12-6-40, AS AMENDED, RELATING TO APPLICATION OF THE INTERNAL REVENUE CODE TO STATE TAX LAWS, SO AS TO ADOPT APPLICATION OF THE INTERNAL REVENUE CODE AS AMENDED THROUGH TAXABLE YEAR 1998; TO AMEND SECTION 12-6-1120, AS AMENDED, RELATING TO COMPUTATION OF GROSS INCOME FOR STATE TAX PURPOSES, SO AS TO MAKE TECHNICAL CHANGES; TO AMEND SECTION 12-6-3410, RELATING TO INCOME TAX CREDIT FOR CORPORATE HEADQUARTERS, SO AS TO PROVIDE FOR DETERMINING THE PER CAPITA INCOME FOR PURPOSES OF CALCULATING ADDITIONAL TAX CREDIT FOR CREATION OF NEW HEADQUARTERS JOBS BY USING THE MOST RECENT PER CAPITA INCOME DATA AVAILABLE AT THE END OF THE TAXABLE YEAR THE JOBS ARE FILLED; TO AMEND SECTION 12-6-3465, RELATING TO RECYCLING FACILITY TAX CREDITS, SO AS TO UPDATE CODE CROSS REFERENCES; TO AMEND SECTION 12-16-20, RELATING TO DEFINITIONS FOR PURPOSES OF THE ESTATE TAX, SO AS TO DEFINE THE INTERNAL REVENUE CODE AS AMENDED THROUGH 1998; TO AMEND SECTION 12-20-20, RELATING TO FILING OF A CORPORATE ANNUAL REPORT, SO AS TO UPDATE A CROSS REFERENCE; TO AMEND SECTION 12-36-510, AS AMENDED, RELATING TO RETAIL LICENSE REQUIREMENTS, SO AS TO DELETE THE REQUIREMENT THAT A FESTIVAL BE LISTED AS A SPECIAL EVENT WITH THE DEPARTMENT OF PARKS, RECREATION, AND TOURISM; TO AMEND SECTION 12-37-251, AS AMENDED, RELATING TO THE HOMESTEAD EXEMPTION, SO AS TO PROVIDE THAT THE BOARD OF ECONOMIC ADVISORS, INSTEAD OF THE DEPARTMENT OF REVENUE, ESTIMATE THE TOTAL SCHOOL TAX REVENUE LOSS FROM THE EXEMPTION; AND TO AMEND SECTION 12-54-85, AS AMENDED, RELATING TO TIME LIMITATIONS FOR ASSESSMENT OF TAXES, SO AS TO INCREASE FROM THIRTY TO NINETY THE NUMBER OF DAYS A CORPORATION HAS TO FILE A CLAIM FOR REFUND AFTER AN ADJUSTMENT TO ITS TAXABLE INCOME IS MADE BY THE INTERNAL REVENUE SERVICE.

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

Senator DRUMMOND proposed the following amendment (KGH\ 15751HTC99), which was adopted:

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

/ SECTION   ___.   Section 2-7-71 of the 1976 Code, as last amended by Act 82 of 1997, is further amended to read:

"Section 2-7-71.   When a bill relating to state taxes is reported out of a standing committee of the Senate or House of Representatives for consideration, there must be attached and printed as a part of the committee report a statement of the estimated revenue impact of the bill on the finances of the State certified by the Board of Economic Research Section of the State Budget and Control Board Advisors. As used in this section, 'statement of estimated revenue impact' means the consensus of the persons executing the required statement as to the increase or decrease in the net tax revenue to the State if the bill concerned is enacted by the General Assembly. In preparing a statement, the Board of Economic Research Section Advisors may request technical advice of the Department of Revenue." /

Renumber sections to conform.

Amend title to conform.

Senator DRUMMOND explained the amendment.

The amendment was adopted.

Senators O'DELL and WALDREP proposed the following amendment (DKA\3584MM99), which was adopted:

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

/ SECTION __.   A.   Chapter 10 of Title 12 of the 1976 Code is amended by adding:

"Section 12-10-81.   (A)   A business may claim a job development credit as determined by this section if the:

(1)   council approves the use of this section for the business;

(2)   business qualifies pursuant to Section 12-10-50; and

(3)   business is a manufacturer which has more than one billion dollars in capital invested in this State and employs more than seven thousand employees in this State and which commits within a period of five years from the date of a revitalization agreement, to invest an additional four hundred million dollars and create an additional four hundred jobs in this State qualifying for job development fees or credits pursuant to current or future revitalization agreements. The council, in its discretion, may extend the five-year period for two additional years if the business has made a commitment to the additional four hundred million dollars and makes substantial progress toward satisfying the goal before the end of the initial five-year period. A business that represents to the council its intent to qualify pursuant to this section and is approved by the council may put job development fees computed pursuant to this section into an escrow account until the date the business satisfies the capital and job requirements of this section. The business may withdraw funds from the escrow account or claim job development credits pursuant to this section before satisfying the capital and job requirements, so long as the business agrees to return the funds, with interest, to the escrow account or to repay the job development credits, with interest, if the capital and job requirements are not satisfied.

(B)(1)   A business qualifying pursuant to this section may claim its job development credit against its withholding on its quarterly state withholding tax return for the amount of job development credit allowable. The credit must be claimed on a quarterly basis. To claim a job development credit, the business must be current with respect to its withholding tax and other tax due and owing the State, and must have maintained its minimum employment requirement for the entire quarter.

(2)   To be eligible to apply to the council to claim a job development credit pursuant to this section, a qualifying business must create at least ten new, full-time jobs at the South Carolina facility or facilities described in the revitalization agreement.

(3)   To the extent a return of an overpayment of withholding that results from claiming job development credits is not used as permitted by subsection (D), it must be treated as misappropriated employee withholding.

(4)   If a qualifying business claims job development credits pursuant to this section, it must make its payroll books and records available for inspection by the council and the department at the times the council and the department request. Each qualifying business claiming job development credits pursuant to this section must file the job development credit and the use of any overpayment of withholding resulting from the claiming of a job development credit according to the revitalization agreement that the council or department requests. Each qualifying business must furnish an audited report prepared by an independent certified public accountant which itemizes the sources and uses of the funds. The audited report must be filed with the council and the department no later than June thirtieth following the calendar year in which the job development credits are claimed. An employer may not claim an amount that results in an employee receiving a smaller amount of wages on either a weekly or on an annual basis than the employee would otherwise receive in the absence of this chapter.

(C)(1)   The maximum job development credit a qualifying business may claim for new employees is determined by the sum of the following amounts:

(a)   two percent of the gross wages of each new employee who earns $6.34 or more an hour but less than $8.45 an hour;

(b)   three percent of the gross wages of each new employee who earns $8.45 or more an hour but less than $10.57 an hour;

(c)   four percent of the gross wages of each new employee who earns $10.57 or more an hour but less than $15.85 an hour;

(d)   five percent of the gross wages of each new employee who earns $15.85 or more an hour; and

(e)   the increase in the state sales and use tax of the business from the year of the effective date of its revitalization agreement pursuant to this section and subsequent years, over its state sales and use tax for the first of the three years preceding the effective date of this revitalization agreement.

(2)   The hourly gross wages in item (1) must be adjusted annually by the inflation factor determined by the State Budget and Control Board for the purposes of Section 12-10-80(3). The amount which may be claimed by a qualifying business is limited by the revitalization agreement. The business may proceed by using either the job development fee escrow procedure available pursuant to revitalization agreements with effective dates before 1997, or the job development credit, or a combination of the two. For a business qualifying pursuant to this section, the council also may approve or waive sections of a revitalization agreement and the council's rules as needed, in the council's discretion, to assist the business.

(D)   To claim a job development credit, the qualifying business must incur expenditures at the facility or for utility or transportation improvements that serve the facility. The expenditures must be incurred during the term of the revitalization agreement or within sixty days before the execution of a revitalization agreement including a preliminary revitalization agreement authorized by the revitalization agreement, and used for:

(1)   training costs and facilities;

(2)   acquiring and improving real estate whether constructed or acquired by purchase, or in cases approved by the council, acquired by lease or otherwise;

(3)   improvements to both public and private utility systems including water, sewer, electricity, natural gas, and telecommunication;

(4)   fixed transportation facilities including highway, rail, water, and air; or

(5)   construction or improvements of real property and fixtures constructed or improved primarily for the purpose of complying with local, state, or federal environmental laws or regulations.

(E)   A job development credit of a qualifying business permanently lapses upon expiration or termination of the revitalization agreement. If an employee is terminated, the qualifying business immediately must cease to claim job development credits.

(F)   The statute of limitations provided by Section 12-54-85 is suspended until the end of the five-year or seven-year period described in item (3) of subsection (A) with respect to state withholding taxes under this section for a business subject to this section.

B.   This section applies to taxable years beginning after 1998. Notwithstanding any to the contrary in this section, no business shall be entitled to any benefits under a revitalization agreement entered into under this section before July 1, 2000. /

Renumber sections to conform.

Amend title to conform.

Senator WALDREP explained the amendment.

The amendment was adopted.

On motion of Senator BRYAN, with unanimous consent, the following amendment was taken up for immediate consideration.

Senator BRYAN proposed the following amendment (3834R002.JEB), which was adopted:

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

/   SECTION   ___.   Sections 11-27-40 and 11-27-50 of the 1976 Code are amended to read:

"Section 11-27-40.   The governing body of each of the political subdivisions of the State shall be empowered to incur general obligation debt for their respective political subdivisions as permitted by Section 14 of New Article X and in accordance with its provisions and limitations. All laws shall continue in force and effect after the ratification date, but each of such laws is amended as follows:

1.   If no election be prescribed in such law and an election is required by New Article X, then in every such instance, a majority vote of the qualified electors of the political subdivision voting in the referendum herein authorized is declared a condition precedent to the issuance of bonds pursuant to such law. The governing body of each of the political subdivisions shall be empowered to order any such referendum as is required by New Article X or any other provision of the Constitution, to prescribe the notice thereof and to conduct or cause such referendum to be conducted in the manner prescribed by Title 7, Code of Laws of South Carolina, 1976.

2.   If an election be prescribed by the provisions of such law, but is not required by the provisions of New Article X, then in every such instance, no election need be held (notwithstanding the requirement therefor in such law) and the remaining provisions of such law shall constitute a full and complete authorization to issue bond in accordance with such remaining provisions.

3.   If a statutory debt limitation be prescribed by any such law, then in lieu thereof, the debt limitation shall be that resulting from the provisions of Section 14 of New Article X.

4.   Notwithstanding any contrary provision in any law, any issue of general obligation bonds maturing not later than eight ten years from their date of issuance and in the amount of not exceeding one million five hundred thousand dollars may be sold at private sale and without advertisement, if not less than ten seven days prior to their delivery, notice of intention to sell such bonds at private sale shall be given by publication in a newspaper of general circulation in such political subdivision. Such notice shall set forth the purchaser, the purchase price, interest rates, and maturity schedule of such bonds.

5.   As permitted by paragraph 8 of Section 14 of New Article X, all political subdivisions are authorized and empowered to incur general obligation debt in anticipation of the collection of ad valorem taxes or licenses (tax anticipation notes). Tax anticipation notes shall be expressed to mature not later than ninety days from the date on which such taxes or license fees may be paid without penalty. In the case of counties and incorporated municipalities, tax anticipation notes shall be issued pursuant to an ordinance adopted in the manner provided by law. In the case of any special purpose district, tax anticipation notes may be authorized by a resolution of its governing body but such action shall be authorized, approved, or ratified by an ordinance of the governing body or governing bodies (as the case may be) of the county or counties wherein such special purpose district is situate. The provisions of this item shall take effect upon May 30, 1977.

6.   The provisions of Chapter 17 of Title 11, relating to the issuance of bond anticipation notes, shall continue in force and effect after the ratification with respect to all political subdivisions and the governing body of each political subdivision is hereby authorized and empowered to issue bond anticipation notes pursuant to and in accordance with the provisions of that chapter and the limitations imposed by paragraph 9 of Section 14 of New Article X.

7.   All laws now in force permitting any political subdivisions to incur indebtedness (and to issue bonds or other evidences of debt) which shall be payable solely from a revenue-producing project or from a special source, which source does not involve revenues from any tax or license, shall continue in force and effect after the ratification date. Evidences of such indebtedness shall contain a statement on the face thereof specifying the sources from which payment is to be made and shall state that the full faith, credit, and taxing powers of the issuer are not pledged therefor.

Any law containing any provisions inconsistent herewith (including Chapter 19 of Title 11, as amended) is herewith amended by the removal therefrom of such inconsistent provisions.

8. The initiative and referendum provisions contained in Article 13, Chapter 9 of Title 4 and Chapter 17 of Title 5 of the 1976 Code, shall not be applicable to any other ordinance authorizing the issuance of general obligation bonds unless a notice, signed by not less than five qualified electors, of the intention to seek a referendum, be filed both in the office of the clerk of court of the county wherein such political subdivision is situate and with the clerk or other recording officer of the political subdivision. Such notices of intention to seek a referendum shall be so filed within twenty days following the publication by the governing body of the political subdivision of notice in a newspaper of general circulation in such political subdivision of the adoption of such ordinance.

9.   Notwithstanding any other provision of law, a political subdivision may issue general obligation bonds in accordance with one or more of the following provisions:

(a)   The principal amount of the bonds maturing in a given year shall be in an amount as prescribed by the governing body of the political subdivision. The first maturing bonds of an issue shall mature within five years from the date on which they are issued; and no bond shall mature later than thirty years from the date on which it is issued.

(b)   The bonds shall be sold at public sale, after advertisement of the sale in a newspaper having general circulation in the State or in a financial publication published in the City of New York. The advertisement must appear not less than seven days prior to the date set for the sale. The advertisement may set as a sale date a fixed date not less than seven days following publication, or the advertisement may advise that the sale date will be at least seven days following the date of publication. If a fixed date of sale is not set forth in the notice of sale published in accordance with this subitem, the date selected for the receipt of bids must be disseminated via an electronic information service at least forty-eight hours prior to the time set for the receipt of bids. If a fixed date of sale is set forth in the notice of sale, it may be modified by notice disseminated via an electronic information service at least forty-eight hours prior to the time set for the receipt of bids on the modified date of sale. No bonds may be sold pursuant to this subitem on a date that is more than sixty days after the date of the most recent publication of the notice of sale. Bids for the purchase of bonds may be received in such form as determined by the governing body of the issuer.

(c)   The bonds may be disposed of at private sale if there are no bids received or if all bids are rejected. The provisions of this section shall not prevent a sale at private sale to the United States of America or any agency thereof.

(d)   Bonds issued pursuant to this section may be issued with a provision for their redemption prior to their maturity at par and accrued interest, plus such redemption premium as may be prescribed by the governing body of the issuer, but no bond shall be redeemable before maturity unless it contains a statement to that effect. In the proceedings authorizing the issuance of the bonds, provisions shall be made specifying the manner of call and the notice that must be given.

Section 11-27-50.   The board of trustees or other governing body (the governing body) of each of the school districts of the State shall be empowered to incur general obligation debt for their respective school districts as permitted by Section 15 of New Article X and in accordance with its provisions and limitations. All laws relating to such matters shall continue in force and effect after the ratification date, but all such laws are amended as follows:

1.   If no election be prescribed in such law and an election is required by New Article X, then in every such instance, a majority vote of the qualified electors of the school district voting in the referendum herein authorized is declared a condition precedent to the issuance of bonds pursuant to such law. The governing body of each of the school districts shall be empowered to order any such referendum as is required by New Article X or any other provisions of the Constitution, to prescribe the notice thereof and to conduct or cause to be conducted such referendum in the manner prescribed by Article 1, Chapter 71, Title 59, Code of Laws of South Carolina, 1976.

2.   If an election be prescribed by the provisions of such law, but is not required by the provisions of New Article X, then in every such instance, no election need be held and the remaining provisions of such law shall constitute a full and complete authorization to issue bonds in accordance with such remaining provisions; provided, however, in no event shall the consent of any other body be required as a condition to the issuance of any general obligation bonds of a school district.

3.   If a statutory debt limitation be prescribed by any such law, then in lieu thereof, the debt limitation shall be that resulting from the provisions of Section 15 of New Article X.

4.   As permitted by paragraph 7 of Section 15 of New Article X, all school districts are authorized and empowered to incur general obligation debt in anticipation of the collection of ad valorem taxes (tax anticipation notes). Tax anticipation notes shall be expressed to mature not later than ninety days from the date as of which such taxes may be paid without penalty. Tax anticipation notes shall be issued pursuant to a resolution adopted by the governing body.

5.   The provisions of Chapter 17 of Title 11, relating to the issuance of bond anticipation notes, shall continue in force and effect after the ratification date with respect to all school districts and the governing body of each school district is hereby authorized and empowered to issue bond anticipation notes pursuant to and in accordance with the provisions of Chapter 17 of Title 11 and the limitations imposed by paragraph 8 of Section 15 of New Article X.

6.   Notwithstanding provision of law to the contrary, an issue of general obligation bonds maturing not later than ten years from their date of issuance and in the amount of not exceeding one million five hundred thousand dollars may be sold at private sale and without advertisement, if not less than seven days prior to their delivery, notice of intention to sell such bonds at private sale is given by publication in a newspaper of general circulation in the school district. Such notice shall set forth the purchaser, the purchase price, interest rates, and maturity schedule of such bonds.

7.   Notwithstanding any other provision of law, a school district may issue general obligation bonds in accordance with one or more of the following provisions:

(a)   The principal amount of the bonds maturing in a given year shall be in an amount as prescribed by the governing body. The first maturing bonds of an issue shall mature within five years from the date on which they are issued; and no bond shall mature later than thirty years from the date on which it is issued.

(b)   The bonds shall be sold at public sale, after advertisement of the sale in a newspaper having general circulation in the State or in a financial publication published in the city of New York or, in the discretion of the authorities, in both publications. The advertisement must appear not less than seven days prior to the date set as a sale date for the sale. The advertisement may set a fixed date not less than seven days following publication, or the advertisement may advise that the sale date will be at least seven days following the date of publication. If a fixed date of sale is not set forth in the notice of sale published in accordance with this subitem, the date selected for the receipt of bids must be disseminated via an electronic information service at least forty-eight hours prior to the time set for the receipt of bids. If a fixed date of sale is set forth in this notice of sale, it may be modified by notice disseminated via an electronic information service at least forty-eight hours prior to the time set for the receipt of bids on the modified date of sale. No bonds may be sold pursuant to this section on a date that is more than sixty days after the date of the most recent publication of the notice of sale. Bids for the purchase of bonds may be received in such form as determined by the governing body of the issuer.

(c)   The bonds may be disposed of at private sale if there are no bids received or if all bids are rejected. The provisions of this section shall not prevent a sale at private sale to the United States of America or any agency thereof.

(d)   Any bonds issued pursuant to this section may be issued with a provision for their redemption prior to their maturity at par and accrued interest, plus such redemption premium as may be prescribed by the governing body of the issuer, but no bond shall be redeemable before maturity unless it contains a statement to that effect. In the proceedings authorizing the issuance of the bonds, provisions shall be made specifying the manner of call and the notice that must be given."

SECTION   ___.   Section 11-15-440 of the 1976 Code is amended to read:

"Section 11-15-440.   The governing body of any issuer may issue general obligation bonds of such issuer to such extent as such issuer shall be indebted by way of principal, interest and redemption premium upon any outstanding general obligation or revenue bonds, maturing or called for redemption, less all sinking funds and other moneys on hand applicable thereto. The issuer may utilize the provisions of Sections 11-27-40 and 11-27-50 in connection with the issuance of such refunding bonds."   /

Renumber sections to conform.

Amend title to conform.

Senator BRYAN explained the amendment.

The amendment was adopted.

Senator RANKIN proposed the following amendment (JUD3834.002):

Amend the bill, as and if amended, page 12, line 25, by adding an appropriately numbered SECTION to read:

/ SECTION   ____.   Chapter 37, Title 5 of the 1976 Code is amended to read:

Section 5-37-10.   This chapter may be referred to as 'the 'Municipal Improvement Act of 1973 1999,'', and any municipal corporation of this State is hereby authorized to exercise the powers and provisions hereof.

Section 5-37-20.     As used in this chapter, the following terms shall have the following meanings:

(1)   'Assessment' means a charge against the real property of an owner within an improvement district created pursuant to this chapter which is based either on assessed value, front footage, area, per parcel basis, the value of improvements to be constructed within the district, or any combination of them, as the basis is determined by the governing body of the municipality. In the event the governing body of a municipality determines that another basis for assessment is appropriate or a more equitable allocation of costs among property owners is appropriate, it may substitute such method for any of the foregoing. An assessment imposed upon real property under this chapter remains valid and enforceable in accordance with the provisions of this chapter even if there is a later subdivision and transfer of the property or a part of it. An improvement plan may provide for a change in the basis of assessment upon the subdivision and transfer of real property or upon such other event as the governing body of a municipality considers appropriate.

(2)   'Improvements' include open or covered malls, parkways, parks and playgrounds, recreation facilities, athletic facilities, pedestrian facilities, parking facilities, parking garages, and underground parking facilities, and facade redevelopment, the widening and dredging of existing channels, canals, and waterways used specifically for recreational or other purposes, the relocation, construction, widening, and paving of streets, roads, and bridges, including demolition of them, underground utilities, all activities authorized by Chapter 1 of Title 31 (State Housing Law), any building or other facilities for public use, any public works eligible for financing under the provisions of Section 6-21-50, and all things incidental to the improvements, including planning, engineering, administration, managing, promotion, marketing, and acquisition of necessary easements and land, and may include facilities for lease or use by a private person, firm, or corporation. However, improvements as defined in this chapter must comply with all applicable state and federal laws and regulations governing these activities. Any such improvements may be designated by the governing body as public works eligible for revenue bond financing pursuant to Section 6-21-50, and such improvements, taken in the aggregate, may be designated by the governing body as a 'system' of related projects within the meaning of Section 6-21-40. The governing body of a municipality, after due investigation and study, may determine that improvements located outside the boundaries of an improvement district confer a benefit upon property inside an improvement district or are necessary to make improvements within the improvement district effective for the benefit of property inside the improvement district.

(3)   'Improvement district' means any area within the municipality designated by the governing body pursuant to the provisions of this chapter and within which an improvement plan is to be accomplished. No special improvement district may include the grounds of the State House in the City of Columbia.

(4)   'Improvement plan' means an overall plan by which the governing body proposes to effect improvements within an improvement district to preserve property values, prevent deterioration of urban areas, and preserve the tax base of the municipality, and includes an overall plan by which the governing body proposes to effect improvements within an improvement district in order to encourage and promote private or public development within the improvement district.

(5)   'Governing body' shall mean means the municipal council or other governing body in which the general governing powers of the municipality are vested.

(6)   'Owner' is defined as any person twenty-one years of age, or older, or the proper legal representative for any person younger than twenty-one years of age, and any firm or corporation, who or which owns legal title to a present possessory interest in real estate equal to a life estate or greater (expressly excluding leaseholds, easements, equitable interests, inchoate rights, dower rights, and future interest) and who owns, at the date of the petition or written consent, at least an undivided one-tenth interest in a single tract and whose name appears on the county tax records as an owner of real estate, and any duly organized group whose total interest is at least equal to a one-tenth interest in a single tract.

It is provided, however, that, if any firm or person has a leasehold interest requiring it or him to pay all municipal taxes, such agreement shall not be applicable to charges of the assessment of the district as only the owner has the right to petition on the assessment charge for the improvement district.

Section 5-37-25.     A municipality must obtain the consent of the county governing body and any other municipality where the improvement is located to use revenue collected pursuant to this chapter for improvements located outside the municipal boundaries in which the improvement district is located.

Section 5-37-30.     The governing body is authorized, within the corporate limits of the city, to acquire, own, construct, establish, install, enlarge, improve, expand, operate, maintain and repair, and sell, lease, and otherwise dispose of any improvement and to finance such acquisition, construction, establishment, installation, enlargement, improvement, expansion, operation, maintenance, and repair, in whole or in part, by the imposition of assessments in accordance with this chapter, by special district bonds, by general obligation bonds of the municipality, or revenue bonds of the municipality from general revenues from any source not restricted from such use by law, or by any combination of such funding sources. In addition to any other authorization provided herein or by other law, the governing body of a municipality may issue its special district bonds or revenue bonds of the municipality under such terms and conditions as the governing body may determine by ordinance subject to the following: such bonds may be sold at public or private sale for such price as is determined by the governing body; such bonds may be secured by a pledge of and be payable from the assessments authorized herein or any other source of funds not constituting a general tax as may be available and authorized by the governing body; such bonds may be issued pursuant to and secured under the terms of a trust agreement or indenture with a corporate trustee and the ordinance authorizing such bonds or trust agreement or indenture pertaining thereto may contain provisions for the establishment of a reserve fund, and such other funds or accounts as are determined by the governing body to be appropriate to be held by the governing body or the trustee. The proceeds of any bonds may be applied to the payment of the costs of any improvements, including expenses associated with the issuance and sale of the bonds and any costs for planning and designing the improvements or planning or arranging for the financing and any engineering, architectural, surveying, testing, or similar costs or expenses necessary or appropriate for the planning, designing, and construction or implementation of any plan in connection with the improvements.

Section 5-37-40.     (A)   If the governing body finds that:

(1)   improvements would be beneficial within a designated improvement district;

(2)   the improvements would preserve or increase property values within the district;

(3)   in the absence of the improvements, property values within the area would be likely to depreciate, or that the proposed improvements would be likely to encourage development in the improvement district;

(4)   the general welfare and tax base of the city would be maintained or likely improved by creation of an improvement district in the city; and

(5)   it would be fair and equitable to finance all or part of the cost of the improvements by an assessment upon the real property within the district, the governing body may establish the area as an improvement district and implement and finance, in whole or in part, an improvement plan in the district in accordance with the provisions of this chapter. However, no residential property shall be included as part of an improvement district unless the owner of the residential property gives the governing body written permission to include his property within the district.

(B)   If an improvement district is located in a redevelopment project area created under Title 31, Chapter 6, the improvement district being created under the provisions of this chapter must be considered to satisfy items (1) through (5) of subsection (A). The ordinance creating an improvement district may be adopted by a majority of council after a public hearing at which the plan is presented, including the proposed basis and amount of assessment, or upon written petition signed by a majority in number of the owners of real property within the district which is not exempt from ad valorem taxation as provided by law. However, no residential property shall be included as part of an improvement district unless the owner of the residential property gives the governing body written permission to include his property within the district.

Section 5-37-45.     The governing body may include within an improvement district an area within the municipality in which the proposed improvements have been constructed or are under construction at the time of the establishment of the improvement district. Before the commencement of the construction of these improvements, a written agreement with the owner of the area to be improved is entered into by the municipality authorizing the construction of the improvements in anticipation of the inclusion of the area which is improved in the improvement district upon such terms and conditions as the governing body agrees, including the reimbursement, as a cost of constructing improvements under this chapter, of any monies expended for the construction before and subsequent to the establishment of the improvement district. Any agreement providing for the construction of the improvements before the establishment of the improvement district must be authorized by an ordinance of the governing body, notice of which must be given by publication in a newspaper of general circulation within the municipality, appearing at least seven days before the final adoption of the ordinance. Any agreements entered into in accordance with the foregoing conditions before the effective date of this section are ratified and confirmed and the area improved declared eligible for inclusion in the improvement district as proposed in the agreement.

Section 5-37-50.     The governing body shall, by resolution duly adopted, describe the improvement district and the improvement plan to be effected therein, including any property within the improvement district to be acquired and improved, the projected time schedule for the accomplishment of the improvement plan, the estimated cost thereof and the amount of such cost to be derived from assessments, bonds, or other general funds, together with the proposed basis and rates of any assessments to be imposed within the improvement district. However, no residential property shall be included as part of an improvement district unless the owner of the residential property gives the governing body written permission to include his property within the district. Such resolution shall also establish the time and place of a public hearing to be held within the municipality not sooner than twenty days nor more than forty days following the adoption of such resolution at which any interested person may attend and be heard either in person or by attorney on any matter in connection therewith.

Section 5-37-60.     A resolution providing for an improvement district, when adopted, shall be published once a week for two successive weeks in a newspaper of general circulation within the incorporated municipality and the final publication shall be at least ten days prior to the date of the scheduled public hearing. At the public hearing and at any adjournment thereof, all interested persons may be heard either in person or by attorney.

Section 5-37-70.     The governing body may provide by the resolution for the payment of the cost of the improvements and facilities to be constructed within the improvement district by assessments on the property therein as defined in Section 5-37-20, or by the issuance of special district bonds, or by general obligation bonds of the municipality, or from general municipal revenues from any source not restricted from such use by law, or from any combination of such financing sources as may be provided in the improvement plan.

Section 5-37-80.     The financing of improvements by assessments, bonds, or other revenues, and the proportions thereof, shall be in the discretion of the governing body; and the rates of assessments upon property owners within the improvement district need not be uniform but may vary in proportion to improvements made immediately adjacent to or abutting upon the property of each owner therein, as well as other bases as provided in Section 5-37-20.

Section 5-37-90.     The improvements as defined in Section 5-37-20 are to be or become the property of the municipality, State, or other public entity and may at any time be removed, altered, changed, or added to, as the governing body may in its discretion determine; provided, that during the continuance or maintenance of the improvements, the special assessments on property therein may be utilized for the preservation, operation, and maintenance of the improvements and facilities provided in the improvement plan, and for the management and operation of the improvement district as provided in the improvement plan, and for payment of indebtedness incurred therefor.

Section 5-37-100.   Not sooner than ten days nor more than one hundred twenty days following the conclusion of the public hearing provided in Section 5-37-50, the governing body may, by ordinance, provide for the creation of the improvement district as originally proposed or with such changes and modifications therein as the governing body may determine, and provide for the financing thereof by assessment, bonds, or other revenues as herein provided. However, no residential property shall be included as part of an improvement district unless the owner of the residential property gives the governing body written permission to include his property within the district. Such ordinance shall not become effective until at least seven days after it has been published in a newspaper of general circulation in the municipality. Such ordinance may incorporate by reference plats and engineering reports and other data on file in the offices of the municipality; provided, that the place of filing and reasonable hours for inspection are made available to all interested persons.

Section 5-37-110.   In the event all or any part of improvements and facilities within the district are to be financed by assessments on property therein, the governing body shall prepare an assessment roll in which there shall be entered the names of the persons whose properties are to be assessed and the amount assessed against their respective properties with a brief description of the lots or parcels of land assessed. Immediately after such assessment roll has been completed the governing body shall cause one copy thereof to be deposited in the offices of the municipality for inspection by interested parties, and shall cause to be published at least once in a newspaper of general circulation within the municipality a notice of completion of the assessment roll setting forth a description in general terms of the improvements and providing at least ten days' notice of the time fixed for hearing of objections in respect to such assessments. The time for hearing such objections shall be at least thirty days, and hearings may be conducted by one or more members of the governing body of the municipality, but the final decision on each such objection shall be made by vote of the whole governing body at a public session thereof.

Section 5-37-120.   As soon as practicable after the completion of the assessment roll and prior to the publication of the notice provided in Section 5-37-110, the governing body shall mail by registered or certified mail, return receipt requested, to the owner or owners of each lot or parcel of land against which an assessment is to be levied, at the address appearing on the records of the city or county treasurer, a notice stating the nature of the improvement, the total proposed cost thereof, the amount to be assessed against the particular property and the basis upon which the assessment is made, together with the terms and conditions upon which the assessment may be paid. The notice shall contain a brief description of the particular property involved, together with a statement that the amount assessed shall constitute a lien against the property superior to all other liens except property taxes. The notice shall also state the time and place fixed for the hearing of objections in respect to the assessment. Any property owner who fails to file with the municipal council a written objection to the assessment against his property within the time provided for hearing such objections shall be deemed to have consented to such assessment, and the published and written notices prescribed in this chapter shall so state. If all of the owners of property upon which an assessment is to be levied consent in writing to the imposition of such assessment, the provisions of this section shall be deemed satisfied.

Section 5-37-130.   The governing body shall hear the objections as provided herein of all persons who have filed written notice of objection within the time prescribed and who may appear and make proof in relation thereto either in person or by their attorney. The governing body, at the sessions held to make final decisions on objections, may thereupon make such corrections in the assessment roll as it may deem proper and confirm the same, or set it aside and provide for a new assessment. Whenever the governing body shall confirm an assessment, either as originally prepared or as thereafter corrected, a copy thereof certified by the clerk of the municipality shall be filed in the office of the clerk of court of the county in which the municipality is situate, and from the time of such filing the assessment impressed in the assessment roll shall constitute and be a lien on the real property against which it is assessed superior to all other liens and encumbrances, except the lien for property taxes, and shall be annually assessed and collected with the property taxes thereon.

Section 5-37-140.   Upon the confirmation of an assessment, if any, the governing body shall mail a written notice to all persons who have filed written objections as hereinabove provided of the amount of the assessment finally confirmed. Such property owner may appeal such assessment only if he shall, within twenty days after the mailing of the notice to him confirming the assessment, give written notice to the governing body of his intent to appeal his assessment to the court of common pleas of the county in which the property is situate; but no such appeal shall delay or stay the construction of improvements or affect the validity of the assessments confirmed and not appealed. Appeals shall be heard and determined on the record, in the manner of appeals from administrative bodies in this State.

Section 5-37-150.   Nothing contained herein shall be construed to limit or restrict the powers of any incorporated municipality, but the authorizations herein contained shall be in addition to any such powers.

Section 5-37-160.   Any written petition or consent signed by a property owner prior to July 18, 1974, requesting or consenting to an assessment in an improvement district shall be effective and binding upon said property and property owner and all acts of any municipality taken under any other law shall be effective and binding upon all property owners in an improvement district.

Section 5-37-170.   No street in the State highway system shall be included in a mall development without prior written approval of the South Carolina Highway Commission.

Section 5-37-180.   No street which is located in front of the county courthouse and adjacent thereto shall be included in the mall development without prior written approval of the governing body having jurisdiction over such public property. Likewise, no street which shall in effect block the entrance to the courthouse square shall be included in the mall complex without prior written approval of same governing body." /.

Renumber sections to conform.

Amend title to conform.

Senator MOORE objected to further consideration of the Bill.

THE CALL OF THE UNCONTESTED CALENDAR HAVING BEEN COMPLETED, THE SENATE PROCEEDED TO THE INTERRUPTED DEBATE.

H. 3276 (Word version) -- Reps. Wilkins, Cato, Bailey, Barrett, Battle, G. Brown, H. Brown, Carnell, Cobb-Hunter, Easterday, Gamble, Harrell, Harrison, Jennings, Keegan, Kelley, Kirsh, Klauber, Mason, McGee, McKay, Quinn, Sandifer, Sharpe, D. Smith, R. Smith, Tripp, Young-Brickell, Leach, Whatley, Meacham, Law, Seithel, Woodrum, Trotter, Fleming, Chellis, Walker, Loftis, Altman, Riser, Stille, Rodgers, Rice, Bauer, Beck, Edge, Dantzler, Maddox, Cooper, Lanford, Martin, Hamilton, Campsen, Phillips, Lee, Gilham, Robinson and Simrill: A BILL TO AMEND CHAPTER 9 OF TITLE 58, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO TELEPHONE, TELEGRAPH, AND EXPRESS COMPANIES, BY ADDING ARTICLE 20 SO AS TO PROVIDE FOR THE MANNER IN WHICH AND CONDITIONS UNDER WHICH AMOUNTS MAY BE CHARGED BY MUNICIPALITIES TO TELECOMMUNICATIONS COMPANIES FOR THE USE OF THE PUBLIC RIGHTS-OF-WAY AND FOR BUSINESS LICENSE TAXES IN ORDER TO ENSURE THAT SUCH CHARGES ARE IMPOSED ON A COMPETITIVELY NEUTRAL AND NONDISCRIMINATORY BASIS, TO LIMIT OR RESTRICT THE IMPOSITION OF CERTAIN OTHER FEES AND TAXES ON TELECOMMUNICATIONS COMPANIES BY MUNICIPALITIES; AND TO PROVIDE FOR RELATED PROCEDURAL AND OTHER MATTERS.

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

Senator RAVENEL argued contra to the third reading of the Bill.

Senator MOORE moved under Rule 3b to send for the absentee members.

At 12:14 P.M., Rule 3b was invoked.

With Senator RAVENEL retaining the floor, Senator MOORE was recognized to address brief remarks to the Senate.

Senator PASSAILAIGUE asked unanimous consent to make a motion to take up H. 3522 for immediate consideration.

Senator LEATHERMAN objected.

Senator RAVENEL continued arguing contra to the third reading of the Bill.

At 12:41 P.M., Senator RAVENEL made the point that a quorum was not present. It was ascertained that a quorum was present. The Senate resumed.

Senator RAVENEL continued arguing contra to the third reading of the Bill.

At 12:50 P.M., Senator DRUMMOND assumed the Chair.

Senator RAVENEL continued arguing contra to the third reading of the Bill.

At 1:23 P.M., Senator SETZLER assumed the Chair.

Senator RAVENEL continued arguing contra to the third reading of the Bill.

At 1:49 P.M., Senator McGILL assumed the Chair.

Senator RAVENEL continued arguing contra to the third reading of the Bill.

At 1:57 P.M., Senator RAVENEL made the point that a quorum was not present. It was ascertained that a quorum was not present.

Senator MOORE moved that a Call of the Senate be made. The following Senators answered the Call:

Alexander                 Anderson                  Bauer
Branton                   Bryan                     Cork
Courtney                  Drummond                  Elliott
Fair                      Ford                      Giese
Glover                    Gregory                   Grooms
Hayes                     Holland                   Hutto
Land                      Leatherman                Leventis
Martin                    McConnell                 McGill
Moore                     Passailaigue              Patterson
Peeler                    Rankin                    Ravenel
Reese                     Russell                   Saleeby
Setzler                   Short                     Smith, J. Verne
Thomas                    Waldrep                   Washington
Wilson

A quorum being present, the Senate resumed.

On motion of Senator LEVENTIS, with unanimous consent, Senators LEVENTIS, COURSON and PASSAILAIGUE were granted leave to attend a subcommittee meeting of the Senate Finance Committee, to be counted in any quorum calls and were to be notified of any roll call votes.

Senator RAVENEL continued arguing contra to the third reading of the Bill.

At 2:02 P.M., on motion of Senator MOORE, with unanimous consent, the Senate receded from business not to exceed ten minutes, with Senator RAVENEL retaining the floor.

At 2:12 P.M., the Senate resumed.

Senator RAVENEL continued arguing contra to the third reading of the Bill.

At 2:18 P.M., Senator SETZLER assumed the Chair.

Senator RAVENEL continued arguing contra to the third reading of the Bill.

At 2:32 P.M., with Senator RAVENEL retaining the floor, on motion of Senator HUTTO, with unanimous consent, the Senate receded from business not to exceed ten minutes.

At 2:42 P.M., the Senate resumed.

At 2:42 P.M., Senator SETZLER assumed the Chair.

Senators MOORE and RAVENEL proposed the following Amendment No. 15 (JUD3276.004), which was adopted:

Amend the bill, as and if amended, by striking all after the title and inserting therein:

/Whereas, Congress enacted the Telecommunications Act of 1996 to open local telephone markets to competition, and the telecommunications industry is in a state of transition; and

Whereas, in addition to new competitors in traditional local exchange telecommunications markets, a number of new technologies have developed and are developing at a rapid pace, expanding the array of telecommunications providers and services available to consumers; and

Whereas, since the passage of the Telecommunications Act of 1996, competition in telecommunications services and the number of competitors in the telecommunications industry in South Carolina has grown and continues to grow, as evidenced by the hundreds of new entrants into the industry. In South Carolina, over four hundred companies have been authorized to provide long distance service and over seventy companies have been authorized to provide local telephone service. South Carolina now has over one thousand authorized pay phone service providers and numerous digital and analog wireless and paging providers. Telephony may also now be provided over Internet protocol and cable modems; and

Whereas, the citizens of municipalities in South Carolina have long enjoyed the public benefit of dependable local exchange and long distance telecommunications service provided to them by telecommunications carriers that have constructed, operated, and maintained telecommunications facilities to serve those citizens, and that currently occupy the municipal rights-of-way in the State; and

Whereas, Congress has stated that nothing in Section 253 of the Telecommunications Act of 1996 affects the authority of the state or local government to manage the public rights-of-way or to require fair and reasonable compensation from telecommunications providers, on a competitively neutral and nondiscriminatory basis, for use of public rights-of-way on a nondiscriminatory basis, if the compensation required is disclosed by such government. The General Assembly finds that shifting of current taxation and fees from a franchise fee basis to the basis outlined in the attached article is necessary and appropriate due to the transition of the telecommunications industry and is fair and reasonable, and taxes and fees exceeding such amount, except upon extraordinary circumstances, would be unreasonable; and

Whereas, the business license rate set forth in this legislation is in part the result of analyzing revenue projections submitted by members of the telecommunications industry. This bill recognizes that the telecommunications industry is a rapidly growing and changing one in South Carolina. Should the actual revenues of the telecommunications industry as determined by the State Treasurer prove to be twenty-five percent higher or lower than the projections submitted as a part of this legislative process, then the General Assembly of South Carolina shall revisit this issue in order to determine if a business license rate higher or lower than contained in this legislation is necessary. Now, therefore

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

SECTION   1.   Chapter 9 of Title 58 of the 1976 Code is amended by adding:

Section 58-9-2200.     As used in this article:

(1)   'Telecommunications service' means the provision, transmission, conveyance, or routing for a consideration of voice, data, video, or any other information or signals of the purchaser's choosing to a point, or between or among points, specified by the purchaser, by or through any electronic, radio, or similar medium or method now in existence or hereafter devised. The term 'telecommunications service' includes, but is not limited to, local telephone services, toll telephone services, telegraph services, teletypewriter services, teleconferencing services, private line services, channel services, Internet protocol telephony, and mobile telecommunications services and to the extent not already provided herein, those services described in Standard Industrial Classification (SIC) 481 and North American Industry Classification System (NAICS) 5133, except satellite services exempted by law.

(2)   'Retail telecommunications service' includes telecommunications services as defined in item (1) of this section but shall not include:

(a)   telecommunications services which are used as a component part of a telecommunications service, are integrated into a telecommunications service, or are otherwise resold by another provider to the ultimate retail purchaser who originates or terminates the end-to-end communication including, but not limited to, the following:

(i)     carrier access charges;

(ii)   right of access charges;

(iii)   interconnection charges paid by the providers of mobile telecommunications services or other telecommunications services;

(iv)   charges paid by cable service providers for the transmission by another telecommunications provider of video or other programming;

(v)   charges for the sale of unbundled network elements;

(vi)   charges for the use of intercompany facilities; and

(vii)   charges for services provided by shared, not-for-profit public safety radio systems approved by the FCC;

(b)   information and data services including the storage of data or information for subsequent retrieval, the retrieval of data or information, or the processing, or reception and processing, of data or information intended to change its form or content;

(c)   cable services that are subject to franchise fees defined and regulated under 47 U.S.C. Section 542;

(d)   satellite television broadcast services.

(3)   'Telecommunications company' means a provider of one or more telecommunications services.

(4)   'Cable service' includes, but is not limited to, the provision of video programming or other programming service to purchasers, and the purchaser interaction, if any, required for the selection or use of the video programming or other programming service, regardless of whether the programming is transmitted over facilities owned or operated by the cable service provider or over facilities owned or operated by one or more other telecommunications service providers.

(5)   'Mobile telecommunications service' includes, but is not limited to, any one-way or two-way radio communication service carried on between mobile stations or receivers and land stations and by mobile stations communicating among themselves, through cellular telecommunications services, personal communications services, paging services, specialized mobile radio services, and any other form of mobile one-way or two-way communications service.

(6)   'Service address' means the location of the telecommunications equipment from which telecommunications services are originated or at which telecommunications services are received by a retail customer. If this is not a defined location, as in the case of mobile phones, paging systems, maritime systems, and the like, 'service address' means the location of the retail customer's primary use of the telecommunications equipment or the billing address as provided by the customer to the service provider, provided that the billing address is within the licensed service area of the service provider.

(7)   'Bad debt' means any portion of a debt that is related to a sale of telecommunications services and which has become worthless or uncollectable, as determined under applicable federal income tax standards.

Section 58-9-2210.     Nothing in this article shall limit a municipality's authority to enter into and charge for franchise agreements with respect to cable services as governed by 47 U.S.C. Section 542.

Section 58-9-2220.     Notwithstanding any provision of law to the contrary:

(1)   A business license tax levied by a municipality upon retail telecommunications services shall not exceed seventy-five one hundredths of one percent of the gross income derived from the sale of retail telecommunications services for the preceding calendar or fiscal year which either originate or terminate in the municipality and which are charged to a service address within the municipality regardless of where these amounts are billed or paid and on which a business license tax has not been paid to another municipality. For a business in operation for less than one year, the amount of business license tax authorized by this section must be computed based on a twelve-month projected income.

(2)   A business license tax levied by a municipality upon the retail telecommunications services provided by a telecommunications company must be levied in a competitively neutral and nondiscriminatory manner upon all providers of retail telecommunications services.

(3)   The measurement of the amounts derived from the retail sale of telecommunications services does not include:

(a)   an excise tax, sales tax, or similar tax, fee, or assessment levied by the United States or any state or local government including, but not limited to, emergency telephone surcharges, upon the purchase, sale, use, or consumption of a telecommunications service, which is permitted or required to be added to the purchase price of the service; and

(b)   bad debts.

(4)   A business license tax levied by a municipality upon a telecommunications company must be reported and remitted on an annual basis. The municipality may inspect the records of the telecommunications company as they relate to payments under this article.

(5)   The measurement of the amounts derived from the retail sale of mobile telecommunications services shall include only revenues from the fixed monthly recurring charge of customers whose service address is within the boundaries of the municipality.

Section 58-9-2230.     (A)   A municipality must manage its public rights-of-way on a competitively neutral and nondiscriminatory basis and may impose a fair and reasonable franchise or consent fee on a telecommunications company for use of the public streets and public property to provide telecommunications service unless the telecommunications company has an existing contractual, constitutional, statutory, or other right to construct or operate in the public streets and public property including, but not limited to, consent previously granted by a municipality. Any such fair and reasonable franchise or consent fee which may be imposed upon a telecommunications company shall not exceed the annual sum as set forth in the following schedule based on population:

Tier I - 1 - 1,000 - $ 100.00

Tier II - 1,001 - 3,000 - $ 200.00

Tier III - 3,001 - 5,000 - $ 300.00

Tier IV - 5,001 - 10,000 - $ 500.00

Tier V - 10,001 - 25,000 - $ 750.00

Tier VI - Over 25,000 - $1,000.00

(B)   A municipality must manage its public rights-of-way on a competitively neutral and nondiscriminatory basis and may impose an administrative fee upon a telecommunications company which is not subject to subsection (A) in this section that constructs or installs or has previously constructed or installed facilities in the public streets and public property to provide telecommunications service. Any such fee which may be imposed on a telecommunications company shall not exceed the annual sum as set forth in the following schedule based on population:

Tier I - 1 - 1,000 - $ 100.00

Tier II - 1,001 - 3,000 - $ 200.00

Tier III - 3,001 - 5,000 - $ 300.00

Tier IV - 5,001 - 10,000 - $ 500.00

Tier V - 10,001 - 25,000 - $ 750.00

Tier VI - Over 25,000 - $1,000.00

(C)   No municipality shall levy any tax, license, fee, or other assessment on, with respect to, or measured by the receipts from any telecommunications service, other than (a) the business license tax authorized by this article, and (b) franchise fees as defined and regulated under 47 U.S.C. Section 542; provided, however, that nothing herein shall restrict the right of any municipality to impose ad valorem taxes, service fees, sales taxes, or other taxes and fees lawfully imposed on other businesses within the municipalities.

(D)   A telecommunications company, including a mobile telecommunications company providing mobile telecommunications services, shall not be deemed to be using public streets or public property unless it has constructed or installed physical facilities in public streets or on public property, provided that the use of public streets or public property under lease, site license, or other similar contractual arrangement between a municipality and a telecommunications company shall not constitute the use of public streets or public property under this article. Without limiting the generality of the foregoing, a telecommunications company shall not be deemed to be using public streets or public property under this article solely because of its use of airwaves within a municipality. Should any telecommunications company, including a telecommunications company providing mobile telecommunications services, request of a municipality permission to construct or install physical facilities in public streets or on public property, such request shall be considered by such municipality in a manner that is competitively neutral and nondiscriminatory as amongst all telecommunications companies.

Section 58-9-2240.     A municipality may not use its authority over the public streets and public property as a basis for asserting or exercising regulatory control over telecommunications companies regarding matters within the jurisdiction of the Public Service Commission or the Federal Communications Commission including, but not limited to, the operations, systems, service quality, service territory, and prices of a telecommunications company. Nothing in this section shall be construed to limit the authority of a local governmental entity over a cable television company providing cable service as permitted by 47 U.S.C. Section 542.

Section 58-9-2250.       A telecommunications company, its successors or assigns, that is occupying the public streets and public property of a municipality on the effective date of this article with the consent of the municipality to use such public streets and public property shall not be required to obtain additional consent to continue the occupation of those public streets and public property.

Section 58-9-2260.     No municipality may enforce an ordinance or practice which is inconsistent or in conflict with the provisions of this article; provided, however, that as of the time of the effective date of this article, any municipality which had entered into a franchise agreement or other contractual agreement with a telecommunications provider prior to December 31, 1997, may continue to collect fees under such franchise agreement or other contractual agreement through December 31, 2001, regardless of whether such franchise agreement or contractual agreement expires prior to December 31, 2001. Nothing in this article shall be interpreted to interfere with continuing obligations of any franchise or other contractual agreement in the event that such franchise agreement or other contractual agreement should expire after December 31, 2001. In the event that a municipality collects such fees under a franchise agreement or other contractual agreement herein, then such fees shall be in lieu of fees or taxes that might otherwise be authorized by this article. Provided, further, that any municipality that, as of the effective date of this article, has in effect a business license tax ordinance, adopted prior to December 31, 1997, under which the municipality has been imposing and a telecommunications company has been paying, a business license tax higher than that permitted under this article but less than five percent, may continue to collect such tax under the ordinance through December 31, 2001, instead of the business license tax permitted under this article. Provided, however, that any municipality which, by ordinance adopted prior to December 31, 1997, has imposed a business license tax and/or franchise fee on telecommunications companies of five percent or higher of gross income derived from the sale of telecommunications services in the municipality, to which tax and/or fee a telecommunications company has objected, failed to accept, filed suit to oppose, failed to pay any license taxes or franchise fees required thereunder, or paid license taxes or franchise fees under protest, may enforce such ordinance and such ordinance shall continue in full force and effect until December 31, 2001, unless a court of competent jurisdiction declares such ordinance unlawful or invalid. In this event, the municipality is authorized until December 31, 2001, to collect business license taxes and/or franchise fees thereunder, not exceeding three percent of gross income derived from the sale of telecommunications services for the preceding calendar or fiscal year which either originate or terminate in the municipality instead of the business license tax permitted under this article; provided, further, that this proviso shall apply to any business license ordinance and/or telecommunications franchise ordinance notwithstanding that same is amended or has been amended subsequent to December 31, 1997.

SECTION   2.   If a section, paragraph, provision, or portion of this article is held to be unconstitutional or invalid by a court of competent jurisdiction, this holding shall not affect the constitutionality or validity of the remaining portions of this article, and the General Assembly for this purpose hereby declares that the provisions of this article are severable from each other.

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

Renumber sections to conform.

Amend title to conform.

Senator MOORE explained the amendment.

The amendment was adopted.

Senators BRYAN and SHORT desired to be recorded as voting in favor of the adoption of the amendment.

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

THE SENATE PROCEEDED TO THE MOTION PERIOD.

On motion of Senator MOORE, with unanimous consent, the Senate agreed to dispense with the Motion Period.

THE SENATE PROCEEDED TO THE ADJOURNED DEBATES.

S. 415 (Word version) -- Senators Land, Hutto, O'Dell, Hayes, Giese and Holland: A BILL TO AMEND SECTION 56-5-6520, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO MANDATORY USE OF SEAT BELTS, SO AS TO CONFORM THIS PROVISION WITH THE CHILD RESTRAINT PROVISIONS OF ARTICLE 47; TO AMEND SECTION 56-5-6530, RELATING TO EXEMPTIONS FROM SEAT BELT USE, SO AS TO DELETE AN UNNECESSARY PROVISION; AND TO AMEND SECTION 56-5-6540, RELATING TO SEAT BELT USE, SO AS TO AUTHORIZE PRIMARY ENFORCEMENT OF THE REQUIREMENT TO WEAR SEAT BELTS AND TO INCREASE THE FINE FOR FAILURE TO WEAR A SEAT BELT AND TO IMPOSE A FINE ON THE DRIVER OF A MOTOR VEHICLE IF AN OCCUPANT OF THE VEHICLE UNDER THE AGE OF EIGHTEEN IS NOT WEARING A SEAT BELT.

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

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

S. 12 (Word version) -- Senators Leventis, Hutto, Glover, Washington and Short: A BILL TO AMEND TITLE 46, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO AGRICULTURE, BY ADDING CHAPTER 53 SO AS TO ENACT THE "FARM AND FOREST LANDS PROTECTION ACT" WHICH ESTABLISHES STATE AND COUNTY PRIORITY AGRICULTURAL LAND BOARDS, WHICH PROVIDES FOR THEIR POWERS AND DUTIES, WHICH ESTABLISHES CRITERIA AND PROCEDURES FOR CREATING PRIORITY AGRICULTURAL LAND AREAS AND FOR THE PURCHASE OF AGRICULTURAL CONSERVATION EASEMENTS FOR LAND WITHIN THE PRIORITY AREA, WHICH CREATES THE PRIORITY AGRICULTURAL LAND TRUST FUND TO DISBURSE FUNDS FOR THE PURCHASE OF CONSERVATION EASEMENTS, WHICH REQUIRES THE PERIODIC REVIEW OF ALL PRIORITY AGRICULTURAL LAND AREAS, AND WHICH RESTRICTS SOME LOCAL GOVERNMENT ACTIONS WITH REGARD TO PRIORITY AREAS.

The Senate proceeded to a consideration of the Bill. The question being the adoption of the amendment proposed by the Committee on Agriculture and Natural Resources.

On motion of Senator MOORE, with unanimous consent, the Bill was carried over.

THE SENATE PROCEEDED TO THE SPECIAL ORDER.

H. 3677 (Word version) -- Ways and Means Committee: A JOINT RESOLUTION TO PROPOSE AN AMENDMENT TO SECTION 7, ARTICLE XVII OF THE CONSTITUTION OF SOUTH CAROLINA, 1895, SO AS TO DELETE REFERENCES TO THE PROHIBITION ON LOTTERIES, THEIR ADVERTISING, AND TICKET SALES AND TO PROVIDE THAT LOTTERIES MAY BE CONDUCTED ONLY BY THE STATE AND TO PROVIDE FOR THE USE OF THE REVENUES DERIVED FROM THE LOTTERIES.

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

Senator MARTIN proposed the following Amendment No. 1 (3677R003.LAM), which was adopted, later reconsidered and laid on the table:

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

/   TO PROPOSE AN AMENDMENT TO SECTION 7, ARTICLE XVII OF THE CONSTITUTION OF SOUTH CAROLINA, 1895, SO AS TO DELETE REFERENCES TO THE PROHIBITION ON LOTTERIES, THEIR ADVERTISING, AND TICKET SALES; TO DEFINE THE TERM "LOTTERY"; AND TO PROVIDE THAT LOTTERIES MAY BE CONDUCTED ONLY BY THE STATE AND TO PROVIDE FOR THE USE OF THE REVENUES DERIVED FROM THE LOTTERIES.

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

SECTION   1.   It is proposed that Section 7, Article XVII of the Constitution of this State be amended to read:

"Section 7.   No lottery shall ever be allowed or be advertised by newspapers, or otherwise, or its tickets sold in this State. A lottery is a gambling game in which a large number of tickets are sold and a drawing is held for the distribution of certain prizes by chance. Only the State may conduct lotteries, and these lotteries must be conducted in the manner that the General Assembly provides by law. The revenue derived from the lotteries must first be used to pay all operating expenses and prizes for the lotteries. The remaining lottery revenues must be credited to a separate fund in the State Treasury styled the 'Education Lottery Account', and the earnings on this account must be credited to it. Education Lottery Account proceeds may be used only for education purposes as the General Assembly provides by law.

The game of bingo, when conducted by charitable, religious, or fraternal organizations exempt from federal income taxation or when conducted at recognized annual state and county fairs, shall is not be deemed considered a lottery prohibited by this section."

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

"Must Section 7, Article XVII of the Constitution of this State be amended so as to delete references to the prohibition on lotteries, their advertising, and ticket sales, to define the term 'lottery', and to provide that lotteries may be conducted only by the State in the manner that the General Assembly provides by law with the lottery revenues first being used to pay operating expenses and prizes and the remaining revenues credited to a separate 'Education Lottery Account' in the state treasury, the earnings on which are credited to this account, with all account proceeds used only for education as the General Assembly provides by law?

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

Renumber sections to conform.

Amend title to conform.

Senator MARTIN explained the amendment.

The amendment was adopted.

Having voted on the prevailing side, Senator LAND moved to reconsider the vote whereby Amendment No. 1, proposed by Senator MARTIN, was adopted.

Senator MARTIN spoke on the motion.

The motion was adopted.

The question then was the adoption of Amendment No. 1.

Senator LAND moved to lay the amendment on the table.

A roll call vote was ordered.

Senator PASSAILAIGUE raised a Point of Order that the amendment was out of order inasmuch as notice had not been given on second reading and unanimous consent would be required to have the amendment taken up for consideration.

Senator MARTIN spoke on the Point of Order.

Senator McCONNELL spoke on the Point of Order.

The ACTING PRESIDENT stated that a roll call vote had been ordered, the outcome of which would not preclude raising the Point of Order at a later time.

The question then was the motion to table Amendment No. 1.

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

Anderson                  Branton                   Bryan
Cork                      Courson                   Courtney
Drummond                  Elliott                   Ford
Glover                    Holland                   Hutto
Land                      Leventis                  Matthews *
McConnell                 McGill                    Moore
Passailaigue              Patterson                 Peeler
Rankin                    Ravenel                   Reese
Saleeby                   Setzler                   Short
Washington

Alexander                 Bauer                     Fair
Giese                     Grooms                    Hayes
Jackson                   Leatherman                Martin
Russell                   Ryberg                    Smith, J. Verne
Thomas                    Waldrep                   Wilson

*This Senator was not present in the Chamber at the time the vote was taken and the vote was recorded by leave of the Senate, with unanimous consent.

The amendment was laid on the table.

At 3:25 P.M., the PRESIDENT assumed the Chair.

Senator JACKSON spoke on the Bill.

The question then was the third reading of the Bill.

The Joint Resolution was read the third time and ordered enrolled for Ratification.

Senators FAIR and HAYES desired to be recorded as voting against the third reading of the Bill.

On motion of Senator DRUMMOND, the seal of secrecy was removed, so far as the same relates to appointments made by the Governor and the following names were reported to the Senate in open session:

Having been reported favorably from Executive Session, on motion of Senator MARTIN, with unanimous consent, the following appointments were confirmed:

Initial Appointment, Board of the South Carolina Department of Health and Environmental Control, with term to commence June 30, 1999, and to expire June 30, 2003:

6th Congressional District:

Dr. Lawrence Roland Chewning, 552 Wisteria Drive, Florence, S.C. 29501 VICE Roger Leak

Initial Appointment, South Carolina State Board of Pharmacy, with term to commence June 30, 1999, and to expire June 30, 2005:

1st Congressional District:

James R. Bradham, R.Ph., 684 Marsh Point Drive, Charleston, S.C. 29412 VICE Louis H. Hutto, Jr.

Initial Appointment, South Carolina State Board of Pharmacy, with term to commence June 30, 1998, and to expire June 30, 2004:

3rd Congressional District:

Rufus E. Sadler, 205 Calvert Avenue, Clinton, S.C. 29325 VICE Carol V. Bateman

Initial Appointment, South Carolina Mental Health Commission, with term to commence March 21, 1999, and to expire March 21, 2004:

1st Congressional District:

Louise Rodgers Ravenel, 50 Gibbes Street, Charleston, S.C. 29401 VICE Elizabeth L. Forrester

Initial Appointment, South Carolina Mental Health Commission, and to expire March 21, 2002:

2nd Congressional District:

Jean B. Popowski, 3718 Linwood Road, Columbia, S.C. 29205 VICE Brenda H. Council

Initial Appointment, South Carolina State Commission on Higher Education, with term to commence July 1, 1996, and to expire July 1, 2000:

Four-year institutions:

Cathy Brand Harvin, 2 Edwards Drive, Summerton, S.C. 29148 VICE Timothy N. Dangerfield

Initial Appointment, Governing Board of the Department of Natural Resources, with term to commence July 1, 1998, and to expire July 1, 2002:

2nd Congressional District:

Benjamin Harrison Gregg, Jr., 105 S. Gregg Street, Columbia, S.C. 29205 VICE Edward C. Lee

Initial Appointment, Governing Board of the Department of Natural Resources, with term to commence July 1, 1998, and to expire July 1, 2002:

At-Large:

Danny Lee Ford, 833 Bishop Branch Road, Central, S.C. 29630 VICE Marion T. Burnside

Initial Appointment, Governing Board of the Department of Natural Resources, with term to commence July 1, 1998, and to expire July 1, 2002:

1st Congressional District:

Ms. M. Russell Holliday, Jr., 125 West Highway 501, Galivants Ferry, S.C. 29544 VICE Mary Pope Waring

Initial Appointment, Governing Board of the Department of Natural Resources, with term to commence July 1, 1996, and to expire July 1, 2000:

6th Congressional District:

Daniel Malloy McEachin, Jr., 4118 Claussen Road, Claussen, S.C. 29505 VICE Edwin L. Oxner (resigned)

Initial Appointment, Governing Board of the Department of Natural Resources, with term to commence July 1, 1998, and to expire July 1, 2002:

5th Congressional District:

Dr. Douglas Aaron Rucker, P.O. Box 906, Lancaster, S.C. 29721 VICE Cambell D. Coxe (resigned)

Initial Appointment, Governing Board of the Department of Natural Resources, with term to commence July 1, 1998, and to expire July 1, 2002:

3rd Congressional District:

Dr. Julius Lenwood Leary, 106 Liner Drive, Greenwood, S.C. 29646 VICE Thomas W. Miller

Initial Appointment, South Carolina State Board of Financial Institutions, with term to commence June 30, 1998, and to expire June 30, 2002:

Credit Unions:

William Baker Varn, SPC Cooperative Credit Union, Hartsville, S.C. 29551 VICE L. Wayne Pearson

Initial Appointment, South Carolina State Human Affairs Commission, with term to commence June 30, 1999, and to expire June 30, 2002:

At-Large:

C. Edward Bernier, 55 Sycamore Lane, Hilton Head Plantation, Hilton Head Island, S.C. 29926 VICE Leah F. Chase

Having received a favorable report from the Cherokee County Delegation, the following appointment was confirmed in open session:

Initial Appointment, Cherokee County Magistrate, with term to commence April 30, 1998, and to expire April 30, 2002:

Donna B. Elder, 1045 Old Post Road, Gaffney, S.C. 29340 VICE Roland T. Hardy

Having received a favorable report from the Laurens County Delegation, the following appointment was confirmed in open session:

Reappointment, Laurens County Magistrate, with term to commence April 30, 1999, and to expire April 30, 2003:

Paul Dean Lyles, P.O. Box 925, Laurens, S.C. 29360

On motion of Senator MARTIN, with unanimous consent, the Senate stood adjourned out of respect to the memory of Mr. Miles Lee Baker of the Dacusville Community in Pickens, S.C., who passed away on Monday, May 24, 1999.

Senator DRUMMOND moved that, when the Senate adjourns on Friday, May 27, 1999, it stand adjourned to meet next Tuesday, June 1, 1999, at 12:00 Noon, which motion was adopted.

At 1:31 P.M., on motion of Senator DRUMMOND, the Senate adjourned to meet tomorrow at 11:00 A.M. under the provisions of Rule 1 for the purpose of taking up local matters and uncontested matters which have previously received unanimous consent to be taken up.

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