Indicates Matter Stricken
Indicates New Matter
The House assembled at 9:30 a.m.
Deliberations were opened with prayer by Rep. EASTERDAY as follows:
Keep us always aware, Lord God, of the far reaching effects of the things said and done here - not only the people of today, but those of generations to come. Cause us, then, to plan well and to act with wisdom knowing that it is better to look ahead and prepare than to look backward and regret. Take our words and actions as humble offerings as we strive to do Your will. Help us to do what is right in Your sight and only what is good for our people. With Your benediction, may we face the awaiting tasks before us with honest dealings, clear thinking and worthwhile purpose. And to You, our God, we give thanksgiving and praise. Amen.
Pursuant to Rule 6.3, the House of Representatives was led in the Pledge of Allegiance to the Flag of the United States of America by the SPEAKER.
After corrections to the Journal of the proceedings of yesterday, the SPEAKER ordered it confirmed.
Rep. ROBINSON moved that when the House adjourns, it adjourn in memory of Mary H. Hamby, which was agreed to.
The Senate returned to the House with amendments the following:
H. 3850 (Word version) -- Reps. Carnell, Sheheen, Rhoad, Allison, Altman, Bales, Barfield, Barrett, Battle, Bingham, Bowers, Breeland, G. Brown, J. Brown, R. Brown, Campsen, Cato, Chellis, Clyburn, Cobb-Hunter, Coleman, Cooper, Cotty, Dantzler, Davenport, Delleney, Easterday, Edge, Emory, Fleming, Freeman, Frye, Gilham, Gourdine, Govan, Hamilton, Harrell, Harrison, Harvin, Haskins, Hayes, J. Hines, M. Hines, Hinson, Hosey, Howard, Huggins, Jennings, Keegan, Kelley, Kennedy, Kirsh, Klauber, Knotts, Koon, Law, Leach, Lee, Limehouse, Littlejohn, Lloyd, Lourie, Lucas, Mack, Martin, McCraw, McGee, McLeod, Meacham-Richardson, Merrill, Miller, Moody-Lawrence, J. H. Neal, J. M. Neal, Ott, Owens, Parks, Perry, Phillips, Quinn, Rice, Riser, Rivers, Robinson, Rodgers, Rutherford, Sandifer, Scarborough, Scott, Sharpe, Simrill, Sinclair, D. C. Smith, F. N. Smith, G. M. Smith, J. E. Smith, J. R. Smith, W. D. Smith, Snow, Stille, Stuart, Talley, Taylor, Thompson, Townsend, Tripp, Trotter, Vaughn, Walker, Webb, Weeks, Whatley, Whipper, White, Wilder, Wilkins, Witherspoon, A. Young, J. Young, Allen, Askins, Coates and Loftis: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 1-1-706 SO AS TO DESIGNATE CAMDEN MILITARY ACADEMY AS THE OFFICIAL STATE MILITARY ACADEMY.
The Senate amendments were agreed to, and the Bill having received three readings in both Houses, it was ordered that the title be changed to that of an Act, and that it be enrolled for ratification.
Document No. 2602
Agency: Department of Natural Resources
Chapter: 123
Statutory Authority: 1976 Code Section 50-11-2200
Hunt Units and Wildlife Management Area Regulations
Received by Speaker of the House of Representatives
February 28, 2001
Referred to Agriculture, Natural Resources and Environmental Affairs Committee
Legislative Review Expiration July 5, 2001 (Subject to Sine Die Revision)
20010501 Resubmitted
Rep. CATO, from the Committee on Labor, Commerce and Industry, submitted a favorable report with amendments on:
S. 537 (Word version) -- Banking and Insurance Committee: A BILL TO AMEND TITLE 38, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO INSURANCE, BY ADDING SECTION 38-90-25 SO AS TO PROVIDE FOR A CAPTIVE REINSURANCE COMPANY TO BE LICENSED TO WRITE REINSURANCE CONTRACTS IN SOUTH CAROLINA; BY ADDING SECTION 38-90-45 SO AS TO PROVIDE FOR MINIMUM CAPITALIZATION OR RESERVES FOR LICENSING OF A CAPTIVE REINSURANCE COMPANY; BY ADDING SECTION 38-90-55 SO AS TO REQUIRE THE INCORPORATION OF A CAPTIVE REINSURANCE COMPANY AS A STOCK INSURER; BY ADDING SECTION 38-90-75 SO AS TO PROVIDE FOR A CAPTIVE REINSURANCE COMPANY TO DISCOUNT ITS LOSS AND LOSS ADJUSTMENT EXPENSE RESERVES; BY ADDING SECTION 38-90-145 SO AS TO PROVIDE FOR AN ANNUAL CAPTIVE REINSURANCE TAX OF FIVE THOUSAND DOLLARS; BY ADDING SECTION 38-90-185 SO AS TO PROVIDE FOR IN-STATE MANAGEMENT OF THE ASSETS OF A CAPTIVE REINSURANCE COMPANY; TO AMEND SECTION 38-90-10, RELATING TO DEFINITIONS FOR PURPOSES OF REGULATION OF CAPTIVE INSURANCE COMPANIES, SO AS TO PROVIDE DEFINITIONS FOR "CAPTIVE REINSURANCE COMPANY" AND CERTAIN ACCOUNTING TERMS; TO AMEND SECTION 38-90-70, RELATING TO FINANCIAL REPORTING TO THE DIRECTOR OF THE SOUTH CAROLINA DEPARTMENT OF INSURANCE, SO AS TO REQUIRE AN ANNUAL REPORT FROM A CAPTIVE REINSURANCE COMPANY; TO AMEND SECTION 38-90-220, RELATING TO SPONSORS OF CAPTIVE INSURANCE COMPANIES, SO AS TO REQUIRE STATE LICENSING OR AUTHORIZATION OR, IN THE ALTERNATIVE, A TRUST FUND SECURING LOSSES; TO AMEND SECTION 38-10-10, RELATING TO THE PURPOSES OF ESTABLISHING PROTECTED CELLS OF A DOMESTIC INSURER, SO AS TO INCLUDE A CAPTIVE INSURER; TO AMEND SECTION 38-10-20, RELATING TO DEFINITIONS FOR PURPOSES OF PROTECTED CELL INSURANCE COMPANIES, SO AS TO INCLUDE A CAPTIVE INSURER; AND TO AMEND SECTION 38-9-200, AS AMENDED, RELATING TO CREDIT ALLOWANCE FOR INSURANCE COMPANIES, SO AS TO PROHIBIT CREDIT FOR REINSURANCE BASED ON THE STATUS OF A CAPTIVE REINSURANCE COMPANY.
Ordered for consideration tomorrow.
Rep. FLEMING, from the Committee on Invitations and Memorial Resolutions, submitted a favorable report on:
H. 3937 (Word version) -- Reps. Sinclair, Allison, Bales, Battle, Littlejohn, Lourie, Miller, J. M. Neal, Owens, Rivers, Sandifer, J. E. Smith, W. D. Smith, Stille, Walker, Weeks and Wilder: A CONCURRENT RESOLUTION TO REQUEST THE UNITED STATES POSTAL SERVICE TO CREATE A REIDVILLE MAILING ADDRESS FOR THOSE RESIDENTS LIVING IN AND NEAR THE TOWN OF REIDVILLE IN SPARTANBURG COUNTY.
Ordered for consideration tomorrow.
Rep. FLEMING, from the Committee on Invitations and Memorial Resolutions, submitted a favorable report on:
H. 3389 (Word version) -- Reps. W. D. Smith, Wilkins, Barrett, Keegan, Klauber, Robinson, Simrill, Tripp, Vaughn, Walker, Coates, Knotts, Sharpe, Lourie, D. C. Smith, Rodgers, J. Young, Townsend, Kelley, Altman, Sandifer, Quinn, McGee, Fleming, Riser, Harrison, Allison, Bingham, Campsen, Cato, Chellis, Cotty, Dantzler, Delleney, Easterday, Freeman, Gilham, Hamilton, Haskins, Hinson, Law, Leach, Littlejohn, Loftis, Martin, Merrill, Neilson, Scarborough, G. M. Smith, J. R. Smith, Talley, Taylor, Thompson, Trotter, Whatley, White, Witherspoon and A. Young: A HOUSE RESOLUTION TO ESTABLISH THE RONALD WILSON REAGAN COMMEMORATIVE COMMITTEE TO SELECT AN ARTIST TO PAINT A PORTRAIT OF THE HONORABLE RONALD WILSON REAGAN, FORTIETH PRESIDENT OF THE UNITED STATES, TO REQUIRE THE COMMITTEE TO PERFORM CERTAIN OTHER FUNCTIONS, INCLUDING THE RAISING OF PRIVATE FUNDING FOR THE PORTRAIT, AND TO PROVIDE THAT THE PORTRAIT SHALL BE PLACED APPROPRIATELY IN THE HALL OF THE HOUSE OF REPRESENTATIVES UPON COMPLETION.
Ordered for consideration tomorrow.
The following Bills and Joint Resolution were introduced, read the first time, and referred to appropriate committees:
H. 4052 (Word version) -- Reps. Wilkins, Harrell, J. R. Smith and Robinson: A BILL TO AMEND SECTION 4-29-67, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE FEE IN LIEU OF PROPERTY TAX ALLOWED CERTAIN DEVELOPMENT PROJECTS, SO AS TO PROVIDE ADDITIONAL TIME FOR THE REQUIRED NEW INVESTMENT THRESHOLDS TO BE MET IN THE CASE OF A BUSINESS ELIGIBLE FOR THE FOUR PERCENT ASSESSMENT RATIO IN THE FEE AGREEMENT.
Referred to Committee on Ways and Means
H. 4053 (Word version) -- Reps. Robinson, Simrill, Quinn, Koon, Knotts, Whatley, Limehouse, Loftis, Law, Easterday, Perry, Allison, Altman, Cato, Chellis, Dantzler, Davenport, Edge, Frye, Harrell, Haskins, Hinson, Huggins, Keegan, Kirsh, Leach, Merrill, Owens, Rice, Sandifer, W. D. Smith, Stille, Thompson, Tripp, Trotter, Vaughn, Webb, White, Wilkins and A. Young: A JOINT RESOLUTION TO ESTABLISH THE SOUTH CAROLINA HIGHER EDUCATION REALIGNMENT COMMISSION TO EXAMINE EACH PUBLIC INSTITUTION OF HIGHER LEARNING IN THIS STATE AND MAKE RECOMMENDATIONS AS TO WHICH INSTITUTIONS OR PROGRAMS SHOULD BE PERMANENTLY REALIGNED OR MERGED WITH OR TRANSFERRED TO OTHER INSTITUTIONS OR PROGRAMS, TO PROVIDE FOR THE MEMBERSHIP OF THE COMMISSION, TO PROVIDE THE PROCEDURES FOR THE CONSIDERATION OF THE COMMISSION'S REPORT INCLUDING A PROVISION THAT IT IS DEEMED ADOPTED UNLESS DISAPPROVED BY CONCURRENT RESOLUTION OF THE GENERAL ASSEMBLY AND THAT BEYOND SUCH DISAPPROVAL THE GENERAL ASSEMBLY MAY MAKE NO FURTHER CHANGES IN OR AMENDMENTS TO THE REPORT, TO PROVIDE TRANSITIONAL PROVISIONS FOR THOSE INSTITUTIONS OR PROGRAMS WHICH ARE CLOSED, MERGED, OR TRANSFERRED, AND TO PROVIDE THAT THE COMMISSION IS TERMINATED ON JULY 1, 2004.
Referred to Committee on Education and Public Works
H. 4054 (Word version) -- Rep. Walker: A BILL TO AMEND SECTION 59-25-115, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO AN APPLICANT FOR INITIAL EDUCATION CERTIFICATION BEING REQUIRED TO UNDERGO A STATE FINGERPRINT REVIEW, SO AS TO REVISE THE TIME WHEN SUCH AN APPLICANT MUST UNDERGO THIS REVIEW, THE MANNER OF THIS REVIEW, AND THE INDIVIDUALS TO WHOM THIS PROVISION APPLIES.
Referred to Committee on Education and Public Works
S. 321 (Word version) -- Senator Leatherman: A BILL TO AMEND ARTICLE 7, CHAPTER 4, TITLE 61, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ALCOHOLIC BEVERAGE CONTROL LAWS AFFECTING WINE ONLY, BY ADDING SECTION 61-4-737 SO AS TO AUTHORIZE THE HOLDER OF A RETAIL WINE PERMIT TO CONDUCT NOT MORE THAN SIX WINE TASTINGS AT THE RETAIL LOCATION IN A CALENDAR YEAR.
Referred to Committee on Judiciary
The Senate sent to the House the following:
S. 652 (Word version) -- Senators Alexander, Anderson, Bauer, Branton, Courson, Drummond, Elliott, Fair, Ford, Giese, Glover, Gregory, Grooms, Hawkins, Hayes, Holland, Hutto, Jackson, Land, Leatherman, Leventis, Martin, Matthews, McConnell, McGill, Mescher, Moore, O'Dell, Passailaigue, Patterson, Peeler, Pinckney, Rankin, Ravenel, Reese, Richardson, Ritchie, Ryberg, Saleeby, Setzler, Short, J. V. Smith, Thomas, Verdin, Waldrep and Wilson: A CONCURRENT RESOLUTION MEMORIALIZING THE CONGRESS OF THE UNITED STATES TO WAIVE THE MATCHING FUNDS REQUIREMENT FOR FEDERAL HIGHWAY FUNDS AVAILABLE TO SOUTH CAROLINA PURSUANT TO THE REVENUE ALIGNED BUDGET AUTHORITY ACT (RABA).
The Concurrent Resolution was ordered referred to the Committee on Invitations and Memorial Resolutions.
On motion of Rep. J. E. SMITH, with unanimous consent, the following was taken up for immediate consideration:
H. 4055 (Word version) -- Rep. J. E. Smith: A CONCURRENT RESOLUTION TO PROCLAIM MAY 3, 2001, ASTHMA DAY IN THE STATE OF SOUTH CAROLINA, AND TO RECOGNIZE THAT IT TAKES PERSISTENT AND COLLECTIVE EFFORTS AT THE LOCAL, STATE, NATIONAL, AND GLOBAL LEVELS TO CONQUER THIS GROWING PUBLIC HEALTH PROBLEM.
Whereas, the members of the General Assembly of the State of South Carolina are happy to proclaim May 3, 2001, Asthma Day in order to promote awareness of the issues surrounding this illness; and
Whereas, nearly two hundred six thousand South Carolina residents suffer from asthma and approximately fifty-nine thousand of those cases are children. Employing proper daily maintenance techniques can control asthma, a potentially deadly disease with no cure. Asthma is characterized by excessive sensitivity of the lungs to various stimuli resulting in continual underlying inflammation; and
Whereas, nationally, asthma is the leading serious chronic illness among children under the age of fifteen and is the leading case of school absenteeism due to chronic illness. Asthma is the third-ranking cause of hospitalization among children under the age of fifteen. It cost $3.2 billion annually to treat children under eighteen and accounts for one in six of all pediatric emergency room visits; and
Whereas, World Asthma Day 2001 will take place on May 3, 2001, as a kickoff event to Asthma and Allergy Month during May. The theme for the third annual World Asthma Day is Joining Together Against Asthma; and
Whereas, its goal is to bring attention to asthma by: 1) raising awareness that asthma is a serious public health problem; 2) increasing recognition of the symptoms of asthma; 3) communicating scientific progress being made to conquer this deadly disease; 4) involving public authorities and patient organizations with the implementation of effective asthma management programs; and
Whereas, it is important that every person with asthma be diagnosed, receive appropriate treatment, learn how to manage his asthma, and reduce exposure to environmental factors that make his asthma worse; and
Whereas, in order to help promote these goals, the General Assembly of the State of South Carolina is glad to pause in its deliberations to proclaim May 3, 2001, as Asthma Day in South Carolina. Now, therefore,
Be it resolved by the House of Representatives, the Senate concurring:
That the members of the General Assembly of the State of South Carolina, by this resolution, proclaim May 3, 2001, Asthma Day in the State of South Carolina and to recognize the importance of joining together against asthma in recognition that it takes persistent and collective efforts at the local, state, national, and global levels to conquer this growing public health problem.
Be it further resolved that a copy of this resolution be presented to the American Lung Association of South Carolina.
The Concurrent Resolution was agreed to and ordered sent to the Senate.
The roll call of the House of Representatives was taken resulting as follows:
Allen Allison Altman Bales Barfield Barrett Battle Bingham Bowers Breeland Brown, G. Brown, J. Brown, R. Carnell Cato Chellis Clyburn Coates Coleman Cooper Cotty Dantzler Delleney Easterday Edge Emory Fleming Freeman Frye Gilham Gourdine Hamilton Harrell Harrison Haskins Hayes Hines, J. Hines, M. Hinson Hosey Huggins Jennings Keegan Kelley Kirsh Klauber Knotts Koon Law Leach Littlejohn Lloyd Loftis Lourie Mack Martin McCraw McGee McLeod Merrill Miller Moody-Lawrence Neal, J.M. Owens Parks Perry Phillips Rhoad Rice Riser Rivers Robinson Rodgers Sandifer Scarborough Scott Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, J.E. Smith, J.R. Smith, W.D. Snow Stille Stuart Taylor Thompson Townsend Trotter Vaughn Walker Webb Whatley Whipper White Wilder Wilkins Young, A.
I came in after the roll call and was present for the Session on Wednesday, May 2.
Gilda Cobb-Hunter Harry Ott David Weeks Brenda Lee H.B. "Chip" Limehouse George Campsen G. Murrell Smith Jeff Young Richard Quinn James Lucas Todd Rutherford Jerry Govan Ralph Davenport Fletcher Smith Daniel Tripp Joseph Neal Leon Howard Alex Harvin Harry Askins Scott Talley Kenneth Kennedy
LEAVE OF ABSENCE
The SPEAKER granted Rep. MEACHAM-RICHARDSON a leave of absence for the day due to a death in the family.
The SPEAKER granted Rep. KENNEDY a temporary leave of absence due to a death in his family.
Announcement was made that Dr. William B. Jones of Greenville is the Doctor of the Day for the General Assembly.
Reps. G. BROWN and LUCAS presented to the House the Lee Central High School Lady Stallions Basketball Team, the 2001 South Carolina Class AA Champions, their coaches and other school officials.
In accordance with House Rule 5.2 below:
"5.2 Every bill before presentation shall have its title endorsed; every report, its title at length; every petition, memorial, or other paper, its prayer or substance; and, in every instance, the name of the member presenting any paper shall be endorsed and the papers shall be presented by the member to the Speaker at the desk. After a bill or resolution has been presented and given first reading, no further names of co-sponsors may be added. A member may add his name to a bill or resolution or a co-sponsor of a bill or resolution may remove his name at any time prior to the bill or resolution receiving passage on second reading. The member or co-sponsor shall notify the Clerk of the House in writing of his desire to have his name added or removed from the bill or resolution. The Clerk of the House shall print the member's or co-sponsor's written notification in the House Journal. The removal or addition of a name does not apply to a bill or resolution sponsored by a committee."
Bill Number: H. 3764 (Word version)
Date: ADD:
05/02/01 LOURIE
Bill Number: H. 3563 (Word version)
Date: ADD:
05/02/01 LOURIE
Bill Number: H. 3802 (Word version)
Date: ADD:
05/02/01 LOURIE
Rep. TOWNSEND moved to adjourn debate upon the following Bill until Tuesday, May 8, which was adopted:
H. 3385 (Word version) -- Reps. Townsend and Stille: A BILL TO PROVIDE FOR THE AUTHORITY OF THE ANDERSON COUNTY BOARD OF EDUCATION IN REGARD TO SCHOOL BUDGETARY MATTERS INCLUDING THE AUTHORITY TO PROVIDE THAT UP TO TWO MILLS OF COUNTYWIDE AD VALOREM PROPERTY TAX LEVIES FOR SCHOOL OPERATIONS BE DISTRIBUTED TO DISTRICTS MEETING CERTAIN CRITERIA ESTABLISHED BY THE BOARD.
The following Bills and Joint Resolution were taken up, read the second time, and ordered to a third reading:
S. 579 (Word version) -- Senator Elliott: A BILL TO PROVIDE FOR PAYMENT OF AN ADDITIONAL ANNUAL PER DIEM FOR THE CHAIRMAN OF THE DILLON COUNTY TRANSPORTATION COMMITTEE.
H. 4018 (Word version) -- Reps. Stille, Carnell, Townsend and Klauber: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 1-1-709 SO AS TO DESIGNATE THE HISTORIC ABBEVILLE OPERA HOUSE IN ABBEVILLE, SOUTH CAROLINA, AS THE OFFICIAL STATE RURAL DRAMA THEATER.
S. 624 (Word version) -- Senator J. V. Smith: A JOINT RESOLUTION TO REDUCE FROM EIGHT HUNDRED EIGHTY DOLLARS TO EIGHT HUNDRED SEVENTEEN DOLLARS THE ANNUAL FEE FOR THE AUTOMOBILE MANUFACTURED STANDARD LICENSE PLATE FOR VEHICLES IN ITS EMPLOYEE BENEFIT PROGRAM AND FOR THE TESTING, DISTRIBUTION, EVALUATION, AND PROMOTION OF ITS VEHICLES, TO LIMIT THE REDUCED FEE TO APPLICATIONS FILED IN 2002, AND TO PROPORTIONATELY REDUCE THE ALLOCATIONS OF THIS FEE REVENUE.
Rep. VAUGHN explained the Joint Resolution.
The following Bills were taken up, read the third time, and ordered sent to the Senate:
H. 4015 (Word version) -- Reps. Breeland, Whipper, Harrell, Weeks, Limehouse, Allison, Bowers, R. Brown, Dantzler, Emory, Gourdine, J. Hines, M. Hines, Hosey, Law, Lloyd, Mack, Meacham-Richardson, Miller, J. M. Neal, Rivers, Scarborough, Snow and Stuart: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 1-1-693 SO AS TO DESIGNATE PORGY AND BESS AS THE OFFICIAL OPERA OF THIS STATE AND TO PROVIDE THAT COPYRIGHTED OR PROPRIETARY MATERIAL FROM PORGY AND BESS MAY NOT BE USED WITHOUT THE PERMISSION OF THE OWNERS OF THAT MATERIAL.
H. 3946 (Word version) -- Reps. Cooper, Townsend, White, Thompson, Martin and Stille: A BILL TO AMEND CHAPTER 36 OF TITLE 33, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLE 8 SO AS TO PROVIDE THAT THE MEMBERSHIP OF A NONPROFIT CORPORATION ORGANIZED UNDER THE PROVISIONS OF CHAPTER 36 MAY ELECT FOR THE CORPORATION TO BECOME A PUBLIC BODY POLITIC AND CORPORATE.
The following Bill was read the third time, passed and, having received three readings in both Houses, it was ordered that the title be changed to that of an Act, and that it be enrolled for ratification:
S. 67 (Word version) -- Senators Mescher and Branton: A BILL TO AMEND SECTION 7-7-120, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DESIGNATION OF VOTING PRECINCTS IN BERKELEY COUNTY, SO AS TO ESTABLISH NEW PRECINCTS AND RENAME CERTAIN EXISTING PRECINCTS.
The following Bill was taken up:
S. 556 (Word version) -- Senators O'Dell, Glover, Bauer, Ford, Short, Peeler, Holland, McGill, Waldrep, Passailaigue, Elliott, Moore, Setzler, Reese, Land, Patterson, Rankin, Pinckney, Hutto, Drummond, Alexander, Ritchie, Martin, Branton, Mescher, Thomas, Ravenel, Hayes and Hawkins: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 1-1-706 SO AS TO DESIGNATE CAMDEN MILITARY ACADEMY AS THE OFFICIAL STATE MILITARY ACADEMY.
Rep. CARNELL moved to commit the Bill to the Committee on Education and Public Works, which was agreed to.
Rep. CATO moved to adjourn debate upon the following Bill until Thursday, May 3, which was adopted:
H. 3822 (Word version) -- Reps. Cato, Tripp, Bales, Barfield, Edge, Limehouse, McCraw, Meacham-Richardson, Merrill, Robinson, Sandifer, Scott and Whatley: A BILL TO AMEND CHAPTER 77, TITLE 38, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO AUTOMOBILE INSURANCE, BY ADDING ARTICLE 12 SO AS TO PROVIDE THE DIRECTOR OF THE DEPARTMENT OF INSURANCE THE AUTHORITY TO ISSUE TO A RENTAL COMPANY A LIMITED LICENSE WHICH AUTHORIZES THE COMPANY TO OFFER OR SELL INSURANCE IN CONNECTION WITH THE RENTAL OF A MOTOR VEHICLE.
The following Bill was taken up:
H. 3307 (Word version) -- Reps. Scott, Knotts, Jennings, Carnell, Govan, Whatley, Dantzler, Lee, Miller, Snow, Breeland, Hosey, Rutherford, J. E. Smith, Rivers, Weeks and Rhoad: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 57 TO TITLE 33 SO AS TO ENACT THE "SOUTH CAROLINA EDUCATION LOTTERY ACT"; TO PROVIDE FOR A STATE LOTTERY AND TO CREATE THE SOUTH CAROLINA EDUCATION LOTTERY CORPORATION TO CONDUCT THE STATE LOTTERY; TO PROVIDE FOR THE CORPORATION'S BOARD MEMBERSHIP, DUTIES, AND POWERS; TO PROVIDE FOR THE CREATION OF A LOTTERY RETAILERS ADVISORY COMMITTEE; TO PROVIDE FOR THE METHOD OF CONTRACTING WITH VENDORS AND RETAILERS; TO PROVIDE FOR THE SALE OF LOTTERY GAME TICKETS AND THE DISTRIBUTION OF PRIZES; TO PROVIDE FOR ALLOCATION OF LOTTERY PROCEEDS WHICH MUST BE USED FOR EDUCATIONAL PURPOSES AND PROGRAMS; TO PROVIDE CRIMINAL PENALTIES FOR SELLING A LOTTERY TICKET TO A MINOR, PURCHASING A LOTTERY TICKET AS A MINOR, AND DEFRAUDING OR OTHERWISE TAMPERING WITH THE LOTTERY OR MAKING MATERIAL REPRESENTATIONS IN AN APPLICATION OR REPORT IN CONNECTION WITH THE LOTTERY; TO CREATE A SOUTH CAROLINA EDUCATION LOTTERY OVERSIGHT COMMITTEE; TO PROVIDE FOR SET-OFF DEBT COLLECTION FROM PRIZE WINNINGS; TO ESTABLISH THE SOUTH CAROLINA EDUCATION LOTTERY ACCOUNT INTO WHICH THE NET REVENUE RECEIVED FROM THE STATE EDUCATION LOTTERY MUST BE DEPOSITED AND TO PROVIDE APPROPRIATIONS FROM THE EDUCATION LOTTERY ACCOUNT BEGINNING IN FISCAL YEAR 2001-02 FOR SPECIFIED PURPOSES; AND TO AMEND SECTION 1-3-240, AS AMENDED, RELATING TO THE ENTITIES FROM WHICH AN APPOINTEE BY THE GOVERNOR MAY BE REMOVED IN CERTAIN CONDITIONS, SO AS TO ADD THE SOUTH CAROLINA EDUCATION LOTTERY CORPORATION TO THAT LIST OF ENTITIES.
The Ways and Means Committee proposed the following Amendment No. 1 (Doc Name DKA\AMEND\4347MM01), which was adopted:
Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/ SECTION 1. The General Assembly finds that:
(1) net proceeds of lottery games conducted pursuant to this chapter must be used to support improvements and enhancements for educational purposes and programs as provided by the General Assembly and that the net proceeds must be used to supplement, not supplant, existing resources for educational purposes and programs;
(2) lottery games are an entrepreneurial enterprise and that the State shall create an instrumentality of the State and public body, corporate and politic, known as the South Carolina Lottery Commission, with the comprehensive and extensive powers as generally exercised by commissions engaged in entrepreneurial pursuits;
(3) lottery games must be operated and managed in a manner which ensures that the lottery is operated with integrity and dignity and free of political influence, maximizes the use of revenues, and provides continuing entertainment to the public;
(4) the South Carolina Lottery Commission must be accountable to the General Assembly and to the public through a system of audits and reports; and
(5) this act is not a bill appropriating money out of the State Treasury as contemplated by Section 21 of Article IV of the Constitution of this State and, therefore, is not subject to a line item or section objection or veto by the Governor. It is the intent of the General Assembly that this act merely specify the educational purposes and programs, and parameters, for funding by the General Assembly through the annual general appropriations bill or any bill appropriating monies for previous or current fiscal years.
SECTION 2. Title 59 of the 1976 Code is amended by adding:
Section 59-150-10. This chapter may be cited as the 'South Carolina Education Lottery Act'.
Section 59-150-20. As used in this chapter:
(1) 'Administrative expenses' means operating expenses, excluding amounts set aside for prizes, regardless of whether the prizes are claimed, and excluding amounts held as a fidelity fund pursuant to Section 59-150-170.
(2) 'Board' means the Board of Commissioners of the South Carolina Lottery Commission.
(3) 'Commission' means the South Carolina Lottery Commission.
(4) 'Educational purposes and programs' means educational expenses and scholarships as defined in Section 59-150-350(C).
(5) 'Executive Director' means the Executive Director of the South Carolina Lottery Commission or his designee.
(6) 'Immediate family' means a person who is:
(a) a spouse;
(b) a child residing in the same household; or
(c) claimed as a dependent for income tax purposes.
(7) 'Lottery', 'lotteries', 'lottery game', or 'lottery games' means a game of chance approved by the General Assembly and operated pursuant to this chapter including, but not limited to, instant tickets, on-line lottery games, drawing numbers, and lottery games using mechanical or electronic devices but excluding keno, pari-mutuel betting, and casino gambling as defined in this section. The operation of the lottery games excludes machines and lottery games, including video poker lottery games, prohibited by Sections 12-21-2710, 16-19-40, except a machine or device dispensing a lottery ticket, and 16-19-50. The access and use of an electronic or mechanical machine designed for a lottery game authorized pursuant to this chapter must be limited to a lottery retailer and their employees only in order to facilitate retail sales of lottery tickets, and such a machine must not dispense anything other than lottery tickets.
As used in this item, 'casino gambling' means a location or business for the purpose of conducting unlawful gambling activities, but excluding the sale and purchase of lottery game tickets or shares; and 'pari-mutuel betting' means a method or system of wagering on actual races including races involving horses or dogs at tracks and the distribution of winnings by pools.
(8) 'Lottery retailer' means a person who sells lottery game tickets or shares on behalf of the South Carolina Lottery Commission pursuant to a contract.
(9) 'Lottery vendor' means a person who provides or proposes to provide goods or services to the South Carolina Lottery Commission pursuant to a procurement contract, but does not include an employee of the commission, a lottery retailer, or a state agency or instrumentality of the State. The term includes a corporation whose shares are traded publicly and which is the parent company of the contracting party in a procurement contract.
(10) 'Major procurement contract' means a gaming product or service costing in excess of seventy-five thousand dollars including, but not limited to, major advertising contracts, annuity contracts, prize payment agreements, consulting services, equipment, tickets, and other products and services unique to the South Carolina lottery but not including materials, supplies, equipment, and services common to the ordinary operations of a business.
(11) 'Member' or 'members' means a Commissioner or Commissioners of the Board of the South Carolina Lottery Commission.
(12) 'Minority business' means a business which meets the definition of a socially and economically disadvantaged small business as described in Article 21, Chapter 35, Title 11, specifically a small business concern which:
(a) is at least fifty-one percent owned by one or more citizens of the United States who are determined to be socially and economically disadvantaged;
(b) in the case of a concern which is a corporation, at least fifty-one percent of all classes of voting stock of such corporation is owned by an individual determined to be socially and economically disadvantaged; or
(c) in the case of a concern which is a partnership, at least fifty-one percent of the partnership interest is owned by an individual or individuals determined to be socially and economically disadvantaged or whose management and daily business operations are controlled by individuals determined to be socially and economically disadvantaged. Those individuals must be involved in the daily management and operations of the business concerned.
'Small business' as used in this item means a business which meets the definition of a small business for purposes of the Small Business Administration, an agency of the United States.
(13) 'Net proceeds' means all revenue derived from the sale of lottery game tickets or shares and all other monies derived from the lottery games, less operating expenses and prizes.
(14) 'Operating expenses' means all costs of doing business including, but not limited to, prizes, commissions, and other compensation paid to a lottery retailer, advertising and marketing costs, rental fees, personnel costs, capital costs, depreciation of property and equipment, funds for compulsive gambling education and treatment, amounts held in or paid from a fidelity fund pursuant to Section 59-150-170, and other operating costs, including funds to the Commission on Higher Education and the Administrative Law Judge Division toward their expenses incurred in performance of their duties pursuant to this chapter.
(15) 'Person' means an individual, corporation, partnership, unincorporated association, or other legal entity.
(16) 'Prize' means an award, gift, or anything of value regardless of whether there are conditions or restrictions attached to its receipt.
(17) 'Proceeds' means all lottery revenue derived from the sale of lottery game tickets or shares and all other monies derived from the lottery or received by the commission.
(18) 'Share' means intangible evidence of participation in a lottery game.
(19) 'Ticket' means tangible evidence issued by the South Carolina Lottery Commission to provide participation in a lottery game.
Section 59-150-30. (A) There is created a commission to be known as the South Carolina Lottery Commission, which is deemed to be a public commission and an instrumentality of the State. The commission and its employees are subject to the South Carolina Consolidated Procurement Code, South Carolina Administrative Procedures Act, South Carolina Ethics Reform Act, and South Carolina Freedom of Information Act. Venue for the commission is in Richland County.
(B) Beginning in December 2004 and every three years after that, or by legislative request, the Legislative Audit Council shall conduct a management performance audit of the commission. The cost of this audit, up to one hundred thousand dollars, is an operating expense of the commission. The commission shall pay directly to the Legislative Audit Council the cost of the management performance audit.
Section 59-150-40. (A) The commission is governed by a board composed of nine members to be appointed as follows: three members must be appointed by the Governor, three members must be appointed by the President Pro Tempore of the Senate, and three members must be appointed by the Speaker of the House of Representatives.
(B) A member must:
(1) be a resident of the State of South Carolina;
(2) not have been convicted of a felony offense or bookmaking or other form of unlawful gambling. A background investigation must be conducted on each board nominee. The commission shall pay for the cost of the investigation and may contract with the State Law Enforcement Division (SLED) or appropriate federal agency for the performance of the investigation;
(3) meet the qualifications for electors as provided in Section 7-5-120;
(4) not have been an elected public official, as provided in Section 24, Article III of the Constitution of this State and Section 2-1-100, for at least two years before appointment; and
(5) have been screened by a panel pursuant to procedures it establishes and found by the panel to meet the statutory qualifications and considerations for appointment to the board. The Governor, Speaker of the House of Representatives, and the President Pro Tempore of the Senate each shall submit the names of his potential board appointees to the panel. If the panel finds the potential appointee meets or does not meet the statutory qualifications, it shall notify the appointing authority who submitted the name. A potential appointee found not statutorily qualified by the panel may not be appointed to the board. The screening panel is composed of ten members: five selected by the President Pro Tempore of the Senate and five selected by the Speaker of the House of Representatives. The President Pro Tempore of the Senate and the Speaker of the House of Representatives shall each select three members of their respective bodies and two members from the public to serve on the screening panel. The members of the panel serve four-year terms. The investigation and consideration by the panel of a potential appointee is limited to the statutory qualifications established pursuant to this chapter. A panel member may be removed upon unanimous vote of the appointing authorities, or for cause by his appointing authority for malfeasance, incompetency, conflict of interest, misconduct, persistent neglect of duty in office, or incapacity.
(C) In making appointments to the board, the Governor, the President Pro Tempore of the Senate, and the Speaker of the House of Representatives, as appropriate, shall consider legal, financial, accounting, and marketing experience and race, gender, and other demographics factors to ensure nondiscrimination, inclusion, and representation of all segments of the State to the greatest extent possible.
(D) The members shall serve terms of three years, except that of the initial appointments the Governor shall appoint two members, each to serve a two-year term, and one member to serve a four-year term; the Speaker of the House of Representatives shall appoint three members, each to serve a two-year term, co-terminus with the Speaker; and the President Pro Tempore of the Senate shall appoint three members, each to serve an initial four-year term. A vacancy that occurs on the board must be filled by appointment by the Governor, the President Pro Tempore of the Senate, or the Speaker of the House of Representatives, as appropriate, for the remainder of the unexpired term.
(E) A member shall not serve on the board if he is an officer or employee of the commission or if he has an immediate family member employed by the commission.
(F) A member of the board may receive per diem, subsistence, and mileage at the rate provided by law for members of state boards, committees, and commissions.
(G) The board shall elect from their membership officers of the board, including the chair.
(H) The board may delegate to the executive director of the commission those powers and duties it considers proper.
(I) A majority of members in office or at least five members, whichever is greater, constitutes a quorum for the transaction of business and for the exercise of a power or function of the commission.
(J) Action may be taken and motions and resolutions adopted by the board at a board meeting by affirmative vote of a majority of present and voting board members. This subsection does not relieve the board from the requirements of the South Carolina Freedom of Information Act.
(K) A vacancy in the membership of the board does not impair the right of the members to exercise all the powers and perform all the duties of the board.
(L) A member is appointed to the board for a term and may be removed from the board before the expiration of his term only upon unanimous vote of the appointing authorities, or for cause by his appointing authority for malfeasance, incompetency, conflict of interest, misconduct, persistent neglect of duty in office, or incapacity.
(M) A member of the board shall not contribute to the campaign of a candidate for the General Assembly or a statewide constitutional office; to a political party, as defined in Section 8-13-1300(26); or to a committee, as defined in Section 8-13-1300(6); or make an independent expenditure to advance or defeat a measure related to the lottery.
Section 59-150-50. The board shall:
(1) approve, disapprove, amend, or modify the budget recommended by the executive director for the operation of the commission;
(2) approve, disapprove, amend, or modify the terms of procurements recommended by the executive director;
(3) hear appeals of hearings required by this chapter;
(4) promulgate regulations and adopt policies and procedures regulating the conduct of lottery games pursuant to the Administrative Procedures Act and as specified in Section 59-150-60(A)(19); and
(5) perform other functions specified by this chapter.
Section 59-150-60. (A) The commission has all the powers necessary or convenient to carry out and effectuate the purposes and provisions of this chapter which are not in conflict with the Constitution and laws of this State and which generally are exercised by commissions engaged in entrepreneurial pursuits on behalf of the State including, but not limited to, the powers to:
(1) sue and be sued in contract and in tort and to complain and defend in all courts, subject to the South Carolina Tort Claims Act;
(2) adopt and alter a corporate seal and symbol;
(3) promulgate regulations and adopt policies and procedures for the regulation of its affairs and the conduct of its business; to elect and prescribe the duties of officers and employees of the commission; and to perform other matters as the commission may determine;
(4) procure or to provide self-insurance;
(5) hold copyrights, trademarks, and service marks and enforce its rights with respect to them;
(6) organize, initiate, supervise, and administer the operation of the lottery as provided by this chapter and regulations promulgated and policies and procedures adopted pursuant to this chapter;
(7) enter into written agreements with one or more other states for the operation, participation in marketing, and promotion of a joint lottery or joint lottery games;
(8) conduct necessary or appropriate market research, which may include an analysis of the demographic characteristics of the players of the lottery game and an analysis of advertising, promotion, public relations, incentives, and other aspects of communication;
(9) acquire or lease real property and make improvements on it and acquire by lease or by purchase personal property including, but not limited to, computers; mechanical, electronic, and on-line equipment and terminals; and intangible property including, but not limited to, computer programs, systems, and software. To achieve cost savings and efficiency, the commission shall use the telecommunications network service of the Budget and Control Board's Office of Information Resources pursuant to Sections 1-11-430 and 11-35-1580 provided that the commission certifies that the service is secure;
(10) administer oaths, take depositions, issue subpoenas, and compel the attendance of witnesses and the production of books, papers, documents, and other evidence relative to any investigation or proceeding conducted by the commission;
(11) appoint, select, or hire officers, agents, and employees, including professional and administrative staff, personnel, and hearing officers to conduct hearings required by this chapter, and to fix their compensation and pay their expenses. Notwithstanding another provision of law, the commission has exclusive authority to contract for legal services. All employees of the commission are employees-at-will and are eligible for participation in the South Carolina Retirement System and may elect optional retirement program coverage in the same manner as provided in Section 9-20-10(2)(a), the State Health Insurance Group plans, and are encompassed by the South Carolina Tort Claims Act;
(12) make pension payments to the South Carolina Retirement System or other system approved by the State Retirement System and pay contributions to the Office of Insurance Services for dental and health plans on behalf of personnel or employees employed by the commission who qualify in the same manner as other state employees in the executive branch of government;
(13) select and contract with a lottery vendor and a lottery retailer;
(14) enter into contracts or agreements with state or other law enforcement agencies for the performance of law enforcement, background investigations, and security checks;
(15) enter into contracts on such terms and conditions as the commission may determine, except that the commission shall not enter into contracts to incur debt in its own name or enter into financing agreements with the State, agencies, or instrumentalities of the State, or with a commercial bank or credit provider; however, necessary start-up monies may be borrowed from the Insurance Reserve Fund of the Budget and Control Board, subject to the loan repayment terms of the Budget and Control Board, for effectuating its purpose, including payment of the initial expenses of initiation, administration, and operation of the commission and the lottery, if and only if sufficient start-up monies are not appropriated from the general fund;
(16) enter into contracts of any type on the terms and conditions the commission determines, except that it may not enter into a contract with an entity for the purpose of having that entity assume or otherwise undertake the organization and conduct of the lottery;
(17) advertise and promote the lottery and lottery games in a dignified manner befitting the State, but only in compliance with the same state and federal standards of truth in advertising which govern private advertisers engaged in interstate commerce and including the restrictions described in this item. The board shall review, at least quarterly, all past lottery advertising and proposed concepts for major media campaigns to ensure that the advertising did not and does not target with the intent to exploit specific ethnic groups or economic classes of people, and that the content is accurate and not misleading. The commission shall promote fair and responsible play, including disclosure of the odds of winning, and shall ensure that any advertising used does not exhort the public to bet by misrepresenting, directly or indirectly, a person's chance of winning a prize. The commission may use interviews, pictures, or statements from people who have won lottery prizes to show that prizes are won and awarded. If the board finds that advertising conflicts with these policies, the board shall cause the cessation of that advertising.
Advertising and promotion of the lottery and lottery games as defined in Section 59-150-20(7) is restricted to: expenditure of one-half of one percent of gross lottery revenues; contracts of one year or less and awarded by the board after competitive bidding; information about how the game is played; identification of amounts or recipients, or both of them, of funding from the proceeds of ticket sales; explanation of the permitted uses of lottery proceeds; probability of winning; an entertainment context; encouragement of responsible play; information about recognizing and seeking treatment for compulsive gambling; sites and methods designed to reach the responsible adult player; and advertisements and promotions placed exclusively by the commission in newspapers or periodicals or on the commission official web site.
Advertising and promotion of the lottery and lottery games must not include: inducements to play; targeting with the intent to exploit specific ethnic groups or economic classes of people; representations of the game as an investment or the answer to financial concerns; exaggeration of odds of winning; the name or image, or both, of an elected official, or the State Seal or its likeness; praise of a lottery player or denigration of a nonplayer; implication that the game is one of skill; suggestion that the lottery player is contributing money for the good of the State; any advertising outside of the lottery retailer's business premises; and advertising in connection with or at the site of a public school or institution of higher learning or sponsorship of an activity at a public school or institution of higher learning.
Lottery advertising and promotion also: must include posting of warnings of the dangers and risks of gambling, and the odds of winning, on a three by two foot sign in a conspicuous location in all lottery retailer facilities; must otherwise encourage responsible decision making regarding lottery play by adults, discourage abusive use of the lottery product; and, other than as permitted in the provisions of this chapter for the commission and the lottery retailer, may not be undertaken by another entity or individual;
(18) act as a lottery retailer, conduct promotions which involve the dispensing of lottery game tickets or shares, and establish and operate a sales facility to sell lottery game tickets or shares and related merchandise, except that the commission shall not establish, operate, or authorize a lottery sales facility at any state Welcome Center or state rest area; and
(19) promulgate regulations and adopt and amend policies and procedures as necessary to carry out and implement its powers and duties, organize and operate the commission, regulate the conduct of lottery games as defined in Section 59-150-20(7), and other matters necessary or desirable for the efficient and effective operation of the lottery for the convenience of the public. The promulgation of the regulations and adoption of the policies and procedures are subject to the requirements of the Administrative Procedures Act.
(B) The powers enumerated in subsection (A) are cumulative of and in addition to those powers enumerated elsewhere in this chapter, and do not limit or restrict other powers of the commission.
(C) The commission is prohibited from distributing monies other than as prescribed by this chapter including, but not limited to, the prohibition of contributing to the campaign of a candidate for the General Assembly or a statewide constitutional office; to a political party, as defined in Section 8-13-1300(26); or to a committee, as defined in Section 8-13-1300(6); and the prohibition of making an independent expenditure to advance or defeat a measure related to the lottery.
(D) The commission is not authorized to use any machine specifically prohibited by Sections 12-21-2710, 16-19-40, except a machine or device dispensing a lottery ticket, and 16-19-50.
(E) The commission is subject to the limitations upon, and exemptions from, liability and damages provided in the South Carolina Tort Claims Act.
(F) The commission shall not issue, sell, or authorize the sale of lottery tickets or shares at a location licensed to provide deferred presentment services pursuant to Chapter 39 of Title 34.
(G) The commission shall not enter into a contract for the purpose of influencing a political decision in connection with the operation of the lottery, and the commission may not employ, contract with, or otherwise authorize a lobbyist, as defined in Section 2-17-10(13), to engage in lobbying, as defined in Section 2-17-10(12), on behalf of the commission.
(H) The commission may not sell or give away tickets for promotional purposes.
Section 59-150-70. In accordance with the Administrative Procedures Act, the board may promulgate regulations and adopt policies and procedures regulating the conduct of lottery games in general; except the commission may promulgate temporary regulations and adopt policies and procedures to implement the provisions of this chapter which must be consistent with this chapter, except as otherwise provided in this section. The commission shall have tickets available for purchase by the public no later than November 1, 2001, or as soon as practicable. These temporary regulations, polices, and procedures are not considered regulations as defined by the Administrative Procedures Act; however, these temporary regulations, policies, and procedures have the force and effect of law. The only lottery games that may be played pursuant to these temporary regulations, policies, and procedures are instant tickets, dollar tickets, and dollar joint- or multi-state lottery games. The commission shall submit regulations to the General Assembly for review in accordance with the Administrative Procedures Act at the January 15, 2002, legislative session. The temporary regulations authorized in this section are repealed on July 15, 2004, or on the effective date of regulations promulgated pursuant to the Administrative Procedures Act, whichever date occurs first. If regulations promulgated pursuant to the Administrative Procedures Act have not taken effect by July 15, 2004, the commission may promulgate the temporary regulations authorized by this section as emergency regulations pursuant to Section 1-23-130. For purposes of this section, the circumstances required for emergency regulations in Section 1-23-130(A) do not apply, but all other provisions of Section 1-23-130 are applicable. The regulations, policies, and procedures must specify, but are not limited to specifying, the:
(1) type of lottery games as described in Section 59-150-20(7). The lottery games may include the selling of lottery game tickets or shares or the use of electronic or mechanical devices, except those electronic or mechanical devices prohibited by Section 59-150-20(7), and except that the game or activity in which the winner is selected must not be based upon the outcome of a football, basketball, baseball, or similar game or sports event;
(2) sale price of lottery game tickets or shares and the manner of sale, except that all sales must be for cash only. Payment by checks, credit cards, charge cards, or other form of deferred payment and payment by debit card are prohibited;
(3) number and amount of prizes;
(4) method and location of selecting or validating winning lottery game tickets or shares;
(5) manner and time of payment of prizes, which may include lump sum payments or installments over a period of years, except that the State is not liable for the nonpayment of a prize;
(6) manner of payment of prizes by a lottery retailer to the holders of a winning lottery game ticket or share including, without limitation, provision for payment of prizes not exceeding six hundred dollars after deducting the price of the lottery game ticket or share and after performing validation procedures appropriate to the game and as specified by the board;
(7) frequency of lottery games and drawings or selection of winning lottery game tickets or shares;
(8) means of conducting drawings, except that an elected or appointed official, other than the members of the board or its designee, must not preside or appear at a drawing, and except that the drawing may be aired publicly only by means of a public service announcement and carried by any news outlet that makes public service time available for that purpose;
(9) method to be used in selling lottery game tickets or shares, which may include the use of electronic or mechanical devices, but the devices must be placed on the premises of the lottery retailer in a location which is only accessible to the lottery retailer or his employees;
(10) manner and amount of compensation to a lottery retailer within the limits of this chapter;
(11) other matters necessary or desirable toward ensuring the efficient and effective operation of lottery games as defined in Section 59-150-20(7), the continued entertainment and convenience of the public, and the integrity of the lottery.
Section 59-150-80. (A) The board shall appoint and provide for the compensation of an executive director who must be an employee of the commission and who directs the day-to-day operations and management of the commission and is vested with powers and duties specified by the board and by law. The executive director serves at the pleasure of the board.
(B) The board shall hire and provide for the compensation of an internal auditor and necessary staff who must be employees of the commission and who are vested with the powers and duties specified by the board and by law. The internal auditor shall report directly to the board.
Section 59-150-90. (A) The executive director of the commission shall direct and supervise all administrative and technical activities as provided for in this chapter, according to the terms and conditions as may be established by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years and with the regulations promulgated and policies and procedures adopted by the board. It is the duty of the executive director to facilitate the initiation and supervise and administer the operation of the lottery games as defined in Section 59-150-20(7); employ and direct necessary personnel; employ by contract and compensate necessary persons and firms, except that the contract may not be with an entity for the purpose of having that entity undertake the organization and conduct of the lottery; promote or provide for promotion of the lottery and functions related to the commission; prepare a budget for the approval of the board; require bond from a lottery retailer and a lottery vendor in amounts required by the board; report monthly to the State Auditor and the board a full and complete statement of lottery revenues and expenses for the preceding month; and perform other duties generally associated with an executive director of a commission of an entrepreneurial nature.
(B) The executive director for good cause may suspend, revoke, or refuse to renew a contract entered into as provided by the provisions of this chapter or the regulations, policies, and procedures of the board.
(C) The executive director or his designee may conduct hearings and administer oaths to persons for the purpose of assuring the security or integrity of lottery operations or to determine the qualifications of or compliance by a lottery vendor and a lottery retailer.
(D) The executive director shall not contribute to the campaign of a candidate for the General Assembly or a statewide constitutional office; to a political party, as defined in Section 8-13-1300(26); or to a committee, as defined in Section 8-13-1300(6); or make an independent expenditure to advance or defeat a measure related to the lottery.
Section 59-150-100. (A) The commission shall establish and maintain a personnel program for its employees and fix the compensation and terms of compensation of its employees.
(B) An employee of the commission or an immediate family member of an employee of the commission, as defined in Section 59-150-20(6), may not have a financial interest in a lottery vendor doing business or proposing to do business with the commission and is otherwise subject to the South Carolina Ethics Reform Act.
(C) An employee of the commission who has decision-making authority shall not participate in a decision involving a lottery retailer with whom the employee has an economic interest as defined in the South Carolina Ethics Reform Act.
(D) Notwithstanding any other provision of law, an employee of the commission who leaves his employment may not represent a lottery vendor or lottery retailer before the commission for a period of two years following termination of employment with the commission.
(E) A background investigation must be conducted on each applicant who has reached the final selection process before employment by the commission at the level of division director and above and at any level within any division of security and as otherwise required by the board. The commission shall pay for the actual cost of the investigations and may contract with SLED for the performance of the investigations. The results of a background investigation are not a record open to the public pursuant to the Freedom of Information Act.
(F) A person who has been convicted of a felony or bookmaking or other forms of illegal gambling or of a crime involving moral turpitude may not be employed by the commission.
(G) The commission shall bond commission employees who have access to commission funds or lottery revenue in an amount provided by the board and may bond other employees as necessary.
Section 59-150-110. (A) The Governor shall appoint a Lottery Retailer Advisory Board to be composed of ten lottery retailers, representing the broadest possible spectrum of geographical, racial, gender, and business characteristics of a lottery retailer. The Governor also shall appoint the chairman of the advisory board. The function of the advisory board is to advise the lottery board on retail aspects of the lottery and to present the concerns of a lottery retailer throughout the State. The advisory board may establish a consumer representatives committee to help provide additional insight on other aspects of lottery retail sales.
(B) Members appointed to the advisory board serve terms of two years, except that four of the initial lottery retailer appointees serve initial terms of one year and five serve initial terms of two years. The chairman of the advisory board serves co-terminus with the Governor.
(C) The advisory board shall establish its own rules and internal operating procedures. Members of the advisory board serve without compensation or the per diem, subsistence, or mileage provided by law for members of state boards, committees, and commissions. The advisory board may report to the board of commissioners in writing at any time. The board of commissioners may invite the advisory board to make an oral presentation to the commissioners at regular meetings of the board.
Section 59-150-120. The commission shall provide training programs and other educational activities to enable small and minority businesses to compete for contracts on an equal basis. The board shall monitor the results of small and minority business participation and shall report the results of small and minority business participation to the State Human Affairs Commission on at least an annual basis pursuant to Section 1-13-110.
Section 59-150-130. (A) In coordination with SLED, the commission shall investigate the financial responsibility, security, and integrity of a lottery vendor who is a finalist in submitting a bid, proposal, or offer as part of a procurement. To defray a portion of the expense of this investigation, each lottery vendor finalist shall submit a certified check for five thousand dollars to the commission. This sum must be placed in an escrow account from which SLED must be paid to conduct the investigation pursuant to this section. If five thousand dollars is not sufficient to complete the investigation, the commission shall require the lottery vendor finalist to remit additional funds. Any funds remaining in the escrow account after the investigation is complete must be returned to the lottery vendor finalist. At the time of submitting the bid, proposal, or offer to the commission, the commission shall require disclosure of the:
(1) lottery vendor's name and address and, as applicable, the names and addresses of the following, if the lottery vendor is:
(a) a corporation, the officers and directors and each stockholder in the corporation, except that in the case of owners of equity securities of a publicly-traded corporation, the names and addresses of only those known to the corporation to own beneficially five percent or more of the securities must be disclosed;
(b) a trust, the trustee and all persons entitled to receive income or benefits from the trust;
(c) an association, the members, officers, and directors; and
(d) a partnership or joint venture, all of the general partners, limited partners, or joint venturers;
(2) states and jurisdictions in which the lottery vendor does business and the nature of the business for each such state or jurisdiction;
(3) states and jurisdictions in which the lottery vendor has contracts to supply gaming goods or services including, but not limited to, lottery goods and services, and the nature of the goods or services involved for each state or jurisdiction;
(4) states and jurisdictions in which the lottery vendor has applied for, sought renewal of, received, been denied, or had revoked, or has issuance pending of, a lottery or gaming license of any kind or had fines or penalties assessed to his license, contract, or operation and the disposition of each in each state or jurisdiction. If a lottery or gaming license or contract has been revoked or has not been renewed or a lottery or gaming license or application has been denied or is pending and has remained pending for more than six months, all of the facts and circumstances underlying the failure to receive a license must be disclosed;
(5) details of a finding or any plea, conviction, or adjudication of guilt in a state or federal court of the lottery vendor for a felony or other criminal offense other than a traffic violation. A fingerprint exemplar may be required to satisfy this item;
(6) details of any bankruptcy, insolvency, reorganization, or corporate or individual purchase or takeover of another corporation, including bonded indebtedness, or pending litigation of the lottery vendor;
(7) contributions made to the campaign of a candidate for the General Assembly or statewide constitutional office, to any political party, as defined in Section 8-13-1300(26), or to a committee, as defined in Section 8-13-1300(6), or independent expenditures made to advance or defeat a measure related to the lottery for the twelve-month period before the application and up to the date of disqualification of the applicant or the awarding of the contract, whichever occurs first; and
(8) additional information the commission determines appropriate for the procurement involved. If at least twenty percent of the cost of a lottery vendor's contract is subcontracted, the lottery vendor shall disclose all of the information required by this section for the subcontractor as if the subcontractor were itself a lottery vendor.
(B) A lottery procurement contract must not be entered into with a lottery vendor who has not complied with the disclosure requirements described in subsection (A), and a contract with a noncomplying lottery vendor is voidable at the option of the commission. The commission may terminate a contract with a lottery vendor who does not comply with the requirements for periodically updating the disclosures during the time specified in the contract. The provisions of this section must be construed broadly and liberally to achieve the ends of full disclosure of all information necessary to allow for a full and complete evaluation by the commission of the competence, integrity, background, and character of a lottery vendor for procurements.
(C) A procurement contract must not be entered into with a lottery vendor who has been found guilty of a felony related to the security or integrity of the lottery in this or any other jurisdiction.
(D) A procurement contract must not be entered into with a lottery vendor if the lottery vendor has an ownership interest in an entity that supplied consultation services under contract to the commission regarding the request for proposals pertaining to those particular goods or services.
(E) A lottery vendor or applicant for a major procurement contract may not pay, give, or otherwise make available an economic opportunity, gift, loan, gratuity, special discount, favor, hospitality, or service, excluding food and beverages having an aggregate value not exceeding twenty-five dollars in one day or two hundred dollars in a calendar year, or any other thing of value, to the executive director, a board member, or an employee of the commission or to a member of his immediate family residing in the same household. For purposes of this subsection all terms are used as defined in Section 8-13-100.
(F) A lottery vendor who has entered into the competitive solicitation process for a procurement contract or has been awarded a procurement contract with the commission shall not contribute, for a period of twelve months before entering into the procurement process, except that during the first twelve months the period must be from the date of enactment, and during the term of the contract, to the campaign of a candidate for the General Assembly or a statewide constitutional office; to a political party, as defined in Section 8-13-1300(26); or to a committee, as defined in Section 8-13-1300(6); or make an independent expenditure to advance or defeat a measure related to the lottery.
(G) A former public official holding public office, a former public member holding public membership, or a former public employee having public employment on or after the effective date of this chapter may not serve a lottery vendor for a period of two years after terminating his public service or employment.
(H) A lottery vendor may not enter into a contract for the purpose of influencing a political decision in connection with the operation of the lottery, and a lottery vendor may not employ, contract with, or otherwise authorize a lobbyist, as defined in Section 2-17-10(13), to engage in lobbying, as defined in Section 2-17-10(12), on behalf of the lottery vendor.
(I) A lottery vendor may not advertise or promote the lottery or its business relationship with the commission.
(J) A lottery vendor that is a contractor with the State or any agency, commission, or department of the State shall disclose, upon written inquiry, the amount of any commission, referral fee, finder's fee, consulting fee, contingency fee, or other monies paid in connection with obtaining the contract and the name of the person to whom the monies were paid.
(K) The prohibitions and restrictions described in item (A)(7) and subsections (F) and (H) specifically apply to a lottery vendor as defined in Section 59-150-20(9) and its employees, members of its board, and holders of an interest in it of more than ten percent, and their immediate family members, as defined in Section 59-150-20(6).
(L) If a court of competent jurisdiction rules that item (A)(7) or subsection (F) or (H) are unconstitutional or otherwise unenforceable, then the commission is prohibited from entering into a contract with a lottery vendor if the fee or commission payable in connection with the contract is based on sales or profitability.
Section 59-150-140. (A) At the execution of the contract with the commission, a lottery vendor shall post a performance bond or letter of credit from a bank or credit provider acceptable to the commission in an amount determined by the commission for that particular bid or contract. Instead of the bond, a lottery vendor, to assure the faithful performance of its obligations, may deposit and maintain with the commission securities that are interest bearing or accruing and that are rated in one of the three highest classifications by an established nationally recognized investment rating service. Securities eligible pursuant to this section are limited to:
(1) certificates of deposit issued by solvent banks or savings associations which are organized and existing under the laws of this State or under the laws of the United States and are approved by the commission;
(2) United States bonds, notes, and bills for which the full faith and credit of the government of the United States is pledged for the payment of principal and interest; and
(3) corporate bonds approved by the commission. The corporation that issued the bonds must not be an affiliate or subsidiary of the depositor. The securities must be held in trust and must have at all times a market value equal at least to the full amount estimated to be paid annually to the lottery vendor under contract.
(B) Each lottery vendor must be qualified to do business in this State and shall file appropriate tax returns as provided by the laws of this State. All contracts pursuant to this section are governed by the laws of this State.
(C) A contract may not be let with a lottery vendor in which a public official has an ownership interest unless the letting of the contract complies with Section 8-13-775.
(D) Procurement contracts must be handled in accordance with the South Carolina Consolidated Procurement Code.
(E) In all contracts entered into in connection with this chapter, the resident lottery vendor preference provided in Section 11-35-1524 must apply to procurements made by the commission, except that the following additional provisions apply:
(1) the preference also must apply to the procurement of services, as defined in Section 11-35-310(29), and advertising;
(2) with respect to the procurement of services or advertising, the definition of the term 'resident lottery vendor' must be modified as provided in this item. Section 11-35-1524(B)(6)(c) does not apply to a lottery vendor providing services or advertising. Instead of Section 11-35-1524(B)(6)(c), the lottery vendor shall provide services or advertising which are representative of the general type of services or advertising on which the bid is submitted;
(3) with respect to the procurement of services or advertising, instead of providing the certifications provided in Section 11-35-1524(C), the lottery vendor shall certify in writing in the bid:
(a) that he is resident of the State;
(b) the services or advertising is available; and
(c) the cost of the services or advertising is not unreasonable.
Section 59-150-150. (A) The commission shall develop and maintain a statewide network of lottery retailers to serve the public convenience and promote the sale of tickets or shares and the playing of lottery games as defined in Section 59-150-20(7) while ensuring the integrity of the lottery operations, games, and activities. A lottery retailer's sales of lottery tickets or shares may not exceed sixty percent annually of its total business as measured by gross revenues. The Department of Revenue shall provide data concerning a lottery retailer's gross revenues to assist the commission in verifying compliance with this provision. The commission also shall provide a small retailer a chance to participate in the sales of lottery tickets or shares; provide for compensation to a lottery retailer in the form of commissions in an amount of seven percent of gross sales and a one percent incentive for cashing winning tickets for prizes less than six hundred dollars; and issue a license to each person with whom it contracts as a lottery retailer for purposes of display. Each lottery retailer shall post and display conspicuously its license on the disclosure sign required by Section 59-150-60(A)(17). A license is not assignable or transferable.
(B) The board shall develop a list of objective criteria upon which the qualification of a lottery retailer must be based. Separate criteria must be developed to govern the selection of a lottery retailer of instant tickets and on-line a lottery retailer. In developing these criteria, the board shall consider factors such as the applicant's financial responsibility, integrity, and reputation, and the security of the applicant's place of business or activity, and accessibility to the public. The board shall not consider political affiliation or activities or monetary contributions to political organizations or candidates for public office. The criteria must include, but is not limited to, the following:
(1) The applicant must be current in filing all applicable tax returns to the State of South Carolina and in payment of all taxes, interest, and penalties owed to the State of South Carolina, excluding items under formal appeal pursuant to applicable statutes. The Department of Revenue shall provide this information to the commission.
(2) A person, partnership, unincorporated association, corporation, or other business entity must not be selected as a lottery retailer if he or it:
(a) has been convicted of a criminal offense related to the security or integrity of the lottery in this or another jurisdiction;
(b) has been convicted of unlawful gambling activity, false statements, false swearing, or perjury in this or another jurisdiction or convicted of a crime punishable by more than one year of imprisonment or a fine of more than one thousand dollars, or both, unless the person's civil rights have been restored and at least five years have elapsed from the date of the completion of the sentence without a subsequent conviction of a crime described in this subitem;
(c) has been found to have violated the provisions of this chapter or a regulation, policy, or procedure of the commission, unless either ten years have passed since the violation or the board finds the violation both minor and unintentional in nature;
(d) is a lottery vendor or an employee or agent of a lottery vendor doing business with the commission;
(e) resides in the same household as an officer of the commission;
(f) has made a statement of material fact to the commission knowing the statement is false;
(g) has a business of selling lottery tickets or shares that accounts for more than sixty percent annually of its gross revenues, except that the commission may not sell or give away lottery tickets or shares as a lottery retailer, as provided in Section 59-150-210;
(h) has not attained the age of twenty-one years, except that this age restriction applies only to the lottery retailer or lottery retailer applicant and not to a bona fide employee of the lottery retailer; and
(i) has its place of business located within three hundred feet of a church, school, or playground situated within a municipality or within five hundred feet of a church, school, or playground situated outside of a municipality. These distances must be measured in a straight line, without regard to intervening structures or objects, from the nearest property line of the lot on which a building or structure is used as a lottery retailer to the nearest property line of the location of the church, school, or playground, which are defined as follows:
(i) 'church' means an establishment, other than a private dwelling, where religious services are usually conducted;
(ii) 'school' means an establishment, other than a private dwelling, where the usual processes of education are usually conducted; and
(iii) 'playground' means a place, other than grounds at a private dwelling, which is provided by the public or members of a community for recreation.
The restrictions in subitem (i) do not apply to the renewal of a license or to a new application for a location that is licensed at the time the new application is filed with the commission.
(3) A person applying to become a lottery retailer must be charged a uniform application fee for each lottery outlet. A lottery retailer who participates in on-line lottery games must be charged a uniform application fee for each on-line outlet.
(4) A lottery retailer contract executed pursuant to this chapter may be suspended, revoked, or terminated for good cause by the executive director or his designee if the lottery retailer is found to have violated a provision of this chapter or the regulations, policies, and procedures established by the board. Review of activities is subject to the Administrative Procedures Act.
(5) Lottery retailer contracts may be renewable annually at the discretion of the commission, unless sooner canceled or terminated.
(6) A lottery retailer or lottery retailer applicant shall not pay, give, or otherwise make available anything of value to a member of the board of directors of the commission in violation of provisions of the South Carolina Ethics Reform Act.
(7) A lottery retailer who enters into a contract with the commission shall file an initial certified report with the State Ethics Commission showing all contributions or donations made to a committee, as defined in Section 8-13-1300(6). The lottery retailer shall file additional certified reports within ten days following the end of each calendar quarter and for the duration of the contract with the commission.
Section 59-150-160. (A) A lottery retailer contract is not transferable or assignable. A lottery retailer shall not contract with a person for lottery goods or services except with the approval of the board.
(B) Lottery game tickets and shares must be sold only by the lottery retailer named on the lottery retailer certificate.
(C) A lottery retailer may not advertise or promote the lottery outside of the lottery retailer's business premises, and is restricted to the advertising and promotion as permitted in Section 59-150-60(A)(17).
Section 59-150-170. (A) The commission shall establish a fidelity fund separate from all other funds and shall assess each lottery retailer a one-time fee not to exceed one hundred dollars for each sales location. Monies deposited into the fund may be used to cover losses the commission may experience due to nonfeasance, misfeasance, or malfeasance of a lottery retailer. The monies may be invested by the commission pursuant to state investment practices. All earnings attributable to the investments accrue to the fund. In addition, the funds may be used to purchase blanket bonds covering the commission against losses from all a lottery retailer. At the end of each fiscal year, the commission shall pay to the Education Lottery Account any amount in the fidelity fund which exceeds five hundred thousand dollars, and the funds paid must be treated as net proceeds from the lottery.
(B) A reserve account may be established as a general operating expense to cover amounts considered uncollectible from the a lottery retailer. The commission shall establish procedures for minimizing losses that may be experienced by reason of nonfeasance, misfeasance, or malfeasance of a lottery retailer, and shall exercise and exhaust all available options in the procedures before amounts are written off to this account.
(C) The commission may require a lottery retailer to post an appropriate bond, as determined by the commission, using an insurance company acceptable to the commission. The amount must not exceed the applicable district sales average of lottery game tickets for two billing periods.
(D)(1) In its discretion, the commission may allow a lottery retailer to deposit and maintain with the commission securities that are interest bearing or accruing. Securities eligible pursuant to this item are limited to:
(a) certificates of deposit issued by solvent banks or savings associations organized and existing under the laws of this State or under the laws of the United States;
(b) United States bonds, notes, and bills for which the full faith and credit of the United States is pledged for the payment of principal and interest; and
(c) federal agency securities by an agency or instrumentality of the United States government.
(2) The securities must be held in trust in the name of the commission.
Section 59-150-180. (A) A retail contract executed by the commission pursuant to this chapter must specify the reasons for which the contract may be canceled, suspended, revoked, or terminated by the commission including, but not be limited to:
(1) a violation of this chapter, a regulation, or a policy or procedure of the commission;
(2) failure to account accurately or timely for lottery game tickets, lottery games, revenues, or prizes as required by the commission;
(3) fraud, deceit, or misrepresentation;
(4) insufficient sales;
(5) conduct prejudicial to public confidence in the lottery;
(6) filing for or placement in bankruptcy or receivership of the lottery retailer;
(7) a material change, as determined in the sole discretion of the commission, in a matter considered material by the commission in executing the contract with the lottery retailer; or
(8) failure to meet any of the objective criteria established by the commission pursuant to this chapter.
(B) If cancellation, denial, revocation, suspension, or rejection of renewal of a lottery retailer contract is in the best interest of the lottery, the public welfare, or the State of South Carolina, the executive director or his designee, in his discretion, may cancel, suspend, revoke, or terminate, after notice and a right to a hearing, a contract issued pursuant to this chapter. A hearing must be held within sixty days of notice of cancellation, suspension, revocation, or termination and conducted by the executive director or his designee. A party to the contract aggrieved by the decision of the executive director or his designee may appeal the adverse decision to the board, and then to the Administrative Law Judge Division, pursuant to the Administrative Procedures Act.
Section 59-150-190. (A) All proceeds from the sale of the lottery game tickets or shares constitute a trust fund until paid to the commission either directly or through the commission's authorized collection representative. A lottery retailer and officers of a lottery retailer's business have a fiduciary duty to preserve and account for lottery proceeds, and a lottery retailer personally is liable for all proceeds. Proceeds include unsold instant tickets received by a lottery retailer and cash proceeds of the sale of lottery products, net of allowable sales commissions and credit for lottery prizes sold or paid to winners by a lottery retailer. Sales proceeds and unused instant tickets must be delivered to the commission or its authorized collection representative upon demand.
(B) The commission shall require a lottery retailer to place all lottery proceeds due the commission in accounts in institutions insured by the Federal Deposit Insurance Corporation (FDIC) no later than the close of the next banking day after the date of their collection by the lottery retailer until the date they are paid over to the commission. At the time of the deposit, lottery proceeds are considered the property of the commission, and a lottery retailer personally is liable for those proceeds due the commission. The commission may require a lottery retailer to establish a single separate electronic funds transfer account where available for the purpose of receiving monies from ticket or share sales, making payments to the commission, and receiving payments for the commission. Unless otherwise authorized in writing by the commission, each lottery retailer shall establish a separate bank account for lottery proceeds which must be kept separate and apart from all other funds and assets, and must not be commingled with any other funds or assets. A lottery retailer, upon the deposit of lottery proceeds in excess of insurance coverage by the FDIC, shall furnish an indemnity bond from a responsible surety company authorized to do business in this State in an amount sufficient to protect the State against loss in the event of insolvency or liquidation of the institution or for another cause. A lottery retailer, instead of the indemnity bond, may pledge as collateral for the deposits, obligations of the United States, obligations fully guaranteed both as to principal and interest by the United States, obligations of the Federal National Mortgage Association, the Federal Home Loan Bank, Federal Farm Credit Bank, the Federal Home Loan Mortgage Corporation, or general obligations of this State or a political subdivision of it. The State Treasurer shall exercise prudence in accepting the securities listed as collateral. The surety or collateral must be filed with the State Treasurer at time of deposit.
(C) Proceeds from the sale of lottery game tickets or shares received by a lottery retailer who becomes insolvent or dies insolvent, are due the commission from the person or his estate in preference over all debts or demands.
(D) A lottery retailer is not required to pay for lottery tickets or shares until the tickets or shares have been activated by the commission.
Section 59-150-200. If a lottery retailer's rental payments for the business premises are contractually computed, in whole or in part, on the basis of a percentage of retail sales and the computation of retail sales is not defined explicitly to include sales of lottery game tickets or shares in a state operated or state managed lottery, only the compensation received by the lottery retailer from the commission may be considered the amount of the lottery retail sale for purposes of computing the rental payment.
Section 59-150-210. (A) A person shall not sell a lottery game ticket or share at a price other than that established by the commission. A person, other than a duly certified lottery retailer, shall not sell lottery game tickets, but a person may purchase lawfully lottery game tickets or shares and make a gift of the lottery game tickets or shares to another. The commission may designate certain agents and employees to sell lottery game tickets or shares directly to the public.
(B) A lottery retailer shall not sell a lottery game ticket or share except from the locations listed in the lottery retailer's contract and as evidenced by the lottery retailer's certificate of authorization unless the commission authorizes, in writing, a temporary location not listed in the lottery retailer's contract.
(C) Lottery game tickets or shares must not be sold to persons under eighteen years of age, but a person eighteen years of age or older may purchase lawfully lottery game tickets or shares and make a gift to a person of any age. If a minor lawfully receives a winning lottery game ticket, the commission may direct payment of proceeds of a lottery prize in an amount not exceeding two thousand five hundred dollars to the parent or guardian of the minor without court approval and without appointment of a conservator. In the case of a lottery prize greater than two thousand five hundred dollars and not exceeding twenty-five thousand dollars, payment must be made in accordance with the procedures outlined in Section 62-5-103 as they relate to distribution. In the case of a prize in an amount greater than twenty-five thousand dollars, payment must be made to a duly appointed conservator to be held for the benefit of the minor, pursuant to Section 62-5-433.
(D) A lottery ticket or share may not be sold on the date of any general elections; within three hundred feet of a church, school, or playground, as provided in Section 59-150-150(B)(2)(i); to a lottery game other than that defined in Section 59-150-20(7); or to a lottery game with corporate sponsorship.
Section 59-150-220. (A)(1) Upon the theft of instant tickets, a lottery retailer shall report immediately the theft to both the local law enforcement authority and to the commission's division of security.
(2) If tickets are stolen before the book is activated, and no tickets within the book have been sold:
(a) the lottery retailer must be charged a nonrefundable service fee for each incident in an amount determined by the commission to cover its costs only, so long as the name of the local law enforcement agency contacted and the assigned case number are furnished promptly to the commission;
(b) if the name of the local law enforcement agency and the assigned case number are not provided to the commission within thirty calendar days after the discovery by the lottery retailer of the theft, the commission shall charge the lottery retailer in accordance with subsection (3)(b).
(3) If tickets are stolen after the book has been activated or tickets within the book have been sold:
(a) a lottery retailer must be charged the net sales value (retail sales value less commission) for each book, less the low tier prize values of stolen tickets not paid at the time of the incident, so long as the lottery retailer furnished the name of the local law enforcement agency and the assigned case number to the commission;
(b) if the name of a law enforcement agency and case number are not provided to the commission within thirty calendar days after the discovery by the lottery retailer of the theft, credit for the unpaid low tier prizes must not be given and the lottery retailer must be charged the net sales value (retail sales value less commission) for each book.
(4) The commission shall adjust charges described in item (3) for the following reasons:
(a) the commission shall charge a lottery retailer the low tier prize value of tickets that are presented to the commission as claims subsequent to the date of the incident. The commission shall determine which prizes must be subsequently paid based upon the facts of the incident, and that amount must be charged to the lottery retailer;
(b) the commission shall provide credit for recovered stolen tickets as follows:
(i) the net sales value of the tickets recovered must be compared to the total value of the uncashed low tier prizes for each book of tickets. The lottery retailer shall receive credit for the greater of these two values;
(ii) recovered tickets must be returned to the commission by the declared end of game redemption deadline or one hundred eighty days from the date of the incident, whichever is later. The game, book, and ticket number must be legible on each ticket for the lottery retailer to receive credit. If tickets are being held as evidence in a criminal investigation by a law enforcement agency, the commission shall accept a property report from that agency by the declared end of the game redemption deadline or one hundred eighty days from the date of the incident, whichever is later, detailing the game, book, and ticket number or Void If Removed Number (VIRN) for the tickets being held, as documentation to provide credit;
(iii) recovered scratched tickets may be accepted for credit only if that condition of the tickets is identified in documentation provided to the commission by the local law enforcement agency;
(iv) the lottery retailer shall receive no credit for recovered tickets that have been validated;
(v) the commission shall determine the credits provided based upon the facts of the incident, and that amount must be credited to the lottery retailer.
(5) Books reported to the commission as stolen must be marked in the commission's records to prevent validation and payment of prizes within the book.
(B)(1) Upon the loss or damage of instant tickets, a lottery retailer immediately shall report the loss or damage to the both the local law enforcement authority and to the commission's division of security.
(2) If tickets are damaged before the book is activated, no tickets within the book are sold, and all tickets in the book are returned to the commission, a lottery retailer may not be charged a service fee. If tickets are lost before the book is activated and no tickets within the book have been sold, a lottery retailer must be charged a nonrefundable service fee of twenty-five dollars for each incident for up to four books and five dollars for each book over four books.
(3) If tickets are lost or damaged after the book is activated or if tickets within the book are sold, a lottery retailer must be charged the net sales value (retail sales value less commission) for each book.
(4) Upon the written approval by the commission, the commission shall provide credit for recovered lost or damaged tickets for the net sales value of the tickets recovered.
(a) To receive approval, the lottery retailer shall provide the facts of the incident in writing to the commission for consideration.
(b) The written request and recovered tickets must be returned to the commission by the redemption deadline and the game, book, and ticket number must be legible on each ticket in order for the lottery retailer to receive credit.
(c) Scratched tickets must not be accepted for credit. A scratched ticket is one that in the commission's judgment has been compromised as to the security and integrity of the ticket due to removal of latex.
(d) Tickets identified as validated before the recovery result in no credit to the lottery retailer.
(5) Books reported to the commission as lost or damaged must be marked as such in the commission's records to prevent validation and payment of prizes within the book.
(6) In the event of acts of God, occurrences of nature, or other natural disasters, the commission may waive the requirements of this subsection.
Section 59-150-230. (A) Lottery prizes are subject to the South Carolina state income tax. Residents and nonresidents of this State who receive a lottery prize in excess of five hundred dollars are subject to a mandatory withholding of state income tax as required by law. Federal income tax must be withheld from lottery prizes in excess of five thousand dollars. Neither the State nor a county, municipality, or other political subdivision of this State may impose a tax on the sale of a lottery ticket or share or on the payment of a prize pursuant to this chapter; nor may a county, municipality, or other political or public subdivision assess an ad valorem tax against a lottery ticket or share bought or sold pursuant to this chapter.
(B) Except as otherwise provided in this chapter, attachments, garnishments, or executions authorized and issued pursuant to law must be withheld if timely served upon the commission. This subsection does not apply to a lottery retailer.
(C) The commission shall promulgate regulations and adopt policies and procedures to establish a system of verifying the validity of lottery games tickets or shares claimed to win prizes and to effect payment of prizes.
(1) A prize, a portion of a prize, or a right of a person to a prize awarded is not assignable except as provided in this section. A prize or a portion of a prize remaining unpaid at the death of a prize winner must be paid to the estate of the deceased prize winner or to the trustee of a trust established by the deceased prize winner as settlor if a copy of the trust document or instrument has been filed with the commission with a notarized letter of direction from the settlor and no written notice of revocation has been received by the commission before the settlor's death. Following a settlor's death and before payment to a trustee, the commission shall obtain from the trustee a written agreement to indemnify and hold the commission harmless with respect to claims that may be asserted against the commission arising from payment to or through the trust. Notwithstanding any other provisions of this section, a person, pursuant to an appropriate judicial order, may be paid the prize to which a winner is entitled.
(2) (a) If the winner of a lottery game prize elects to receive his prize by way of deferred payments, the commission must deposit, in the same quarter as the prize was won and in a restricted account, the total amount of the prize. The deferred payments to the winner of the lottery game prize must be paid out only from that restricted account.
(b) The restricted account provided in subitem (a) must be known as the 'Deferred Lottery Prize Payment Account'. The monies in the restricted account may be used only for the purpose of making deferred payments of a lottery game prize as elected by a prize winner. The monies in the Deferred Lottery Prize Payment Account may not be used to determine the assets of the commission, except to manifest them as encumbered.
(c) The State Treasurer may invest the monies deposited in the Deferred Lottery Prize Payment Account as provided by law.
(3) A prize must not be paid if it:
(a) arises from claimed lottery game tickets that are stolen, counterfeit, altered, fraudulent, unissued, produced or issued in error, unreadable, not received, or not recorded by the commission within applicable deadlines;
(b) lacks captions that conform and agree with the play symbols as appropriate to the particular lottery game involved; or
(c) fails to comply with additional specific regulations and public or confidential validation and security tests of the commission appropriate to the particular lottery game involved.
(4) A particular prize in a lottery game must not be paid more than once, and if more than one person is entitled to a particular prize, the sole remedy of those persons is the award to each of them of an equal share in the prize.
(5) A holder of a winning lottery game ticket or share from a lottery game, multi-state, or multi-sovereign lottery game must claim a cash prize within one hundred eighty days after the drawing in which the cash prize was won. In a South Carolina lottery game in which the player may determine instantly if he has won or lost, he must claim a cash prize within ninety days, or for a multi-state lottery game within one hundred eighty days, after the end of the lottery game. If a valid claim is not made for a cash prize within the applicable period, the cash prize is an unclaimed prize for purposes of this chapter.
(D) A prize must not be paid upon a lottery game ticket or share purchased or sold in violation of this chapter and is an unclaimed prize for purposes of this section.
(E) The commission is discharged of all liability upon payment of a prize.
(F) A lottery game ticket or share must not be purchased by and a prize must not be paid to a member of the board, an officer or employee of the commission, or a spouse, child, brother, sister, or parent residing as a member of the same household in his principal place of residence. A lottery game ticket or share must not be purchased by and a prize must not be paid to an officer, employee, agent, or a subcontractor of a lottery vendor, or a spouse, child, brother, sister, or parent residing as a member of the same household in his principal place of residence if he has access to confidential information that may compromise the integrity of the lottery.
(G) A lottery prize may not be paid to a person who is incarcerated or on probation or parole. A lottery prize payment received in violation of this subsection must be returned immediately and in full to the commission.
(H) The use of an electronic or mechanical machine designed for a lottery game authorized pursuant to this chapter must be limited to a lottery retailer and their employees only in order to facilitate retail sales of lottery tickets, and such a machine must not dispense as a prize coins or currency. The operation of the lottery games excludes machines and lottery games, including video poker lottery games, prohibited by Sections 12-21-2710, 16-19-40 and 16-19-50.
(I) Unclaimed prize money must be deposited in the Education Lottery Account each year. At least five hundred thousand dollars of the unclaimed prize money in the Education Lottery Account must be allocated by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years to the South Carolina Department of Alcohol and Other Drug Abuse Services for the treatment of compulsive gambling disorder and educational programs related to that disorder, including a gambling hotline. If unclaimed prize money does not amount to at least five hundred thousand dollars in any one year of operation, the commission shall provide the Education Lottery Account, through the operating funds of the commission, the monies for DAODAS for the provision of those services, in an amount equal to the difference between the unclaimed prize monies and at least five hundred thousand dollars; except that the amount of funding for DAODAS, at least five hundred thousand dollars, must be allocated by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years. The Director of the DAODAS shall report to the board on the programs implemented with these funds, and provide a copy of the report to the General Assembly.
Section 59-150-240. (A) The commission is subject to the provisions of Chapter 4, Title 30, the South Carolina Freedom of Information Act.
(B) The commission shall perform full criminal background investigations before the execution of a lottery vendor contract.
(C) The commission or its authorized agent shall:
(1) conduct criminal background investigations and credit investigations on all potential a lottery retailer and employees;
(2) supervise lottery game ticket or share validation and lottery drawings;
(3) inspect, at times determined solely by the commission, the facilities or operations of a lottery vendor or lottery retailer to determine the integrity of the lottery vendor's product or compliance by the lottery retailer or lottery vendor with its contract;
(4) report suspected violations of this chapter to the appropriate investigative and prosecutorial agency having jurisdiction over the violation; and
(5) upon request, provide assistance to a solicitor, the Attorney General, or a law enforcement agency investigating a violation of this chapter.
Section 59-150-250. (A) A person who knowingly sells a lottery game ticket or share to a person under eighteen years of age or permits a person under eighteen years of age to play a lottery game is guilty of a misdemeanor and, upon conviction, must be fined not less than one hundred dollars nor more than five hundred dollars or be imprisoned not less than thirty days nor more than sixty days, or both, in the discretion of the court. It is an affirmative defense to a charge of a violation of this section that the lottery retailer reasonably and in good faith relied upon representation of proof of age in making the sale.
(B) A person under eighteen years of age who knowingly purchases a lottery game ticket is guilty of a misdemeanor and, upon conviction, must perform twenty hours of community service or must be fined not less than one hundred dollars and not more than five hundred dollars.
(C) A lottery ticket or share must bear a conspicuous label prohibiting the play of the game by a person under eighteen years of age.
(D) A lottery game using an electronic or mechanical device must bear a conspicuous label prohibiting the use of the device by a person under eighteen years of age. Electronic or mechanical device does not include machines and other gaming devices including video poker and games prohibited by Sections 12-21-2710, 16-19-40, and 16-19-50.
(E) A person who is incarcerated or on probation or parole who knowingly accepts a lottery prize is guilty of a misdemeanor and, upon conviction, must be fined not less than ten dollars nor more than one hundred dollars or imprisoned for not less than two days nor more than thirty days, or both.
(F) A person who is convicted of a violation of subsection (A) subjects his employer, for a first violation, to a fine not less than one hundred dollars nor more than two hundred fifty dollars; for a second violation, to a fine not less than two hundred fifty-one dollars nor more than five hundred dollars; and for a third and subsequent violation, to a fine not less than five hundred and one dollars and immediate license revocation by the commission.
Section 59-150-260. (A) A person who, with intent to defraud, falsely makes, alters, forges, utters, passes, or counterfeits a state lottery game ticket is guilty of a felony and, upon conviction, must be fined not more than fifty thousand dollars or imprisoned not more than five years, or both.
(B) A person who influences or attempts to influence the winning of a prize through the use of coercion, fraud, deception, or tampering with lottery equipment or materials is guilty of a felony and, upon conviction, must be fined not more than fifty thousand dollars or imprisoned not more than five years, or both.
(C) A person who is convicted of a violation of subsection (A) or (B) must not be the recipient of an award of a lottery prize or a portion of a lottery prize, and is ineligible for employment by the commission.
Section 59-150-270. (A) A person must not knowingly or intentionally make a material false statement in an application for a license or proposal to conduct lottery activities or a material false entry in a book or record which is compiled or maintained or submitted to the board or its designee pursuant to the provisions of this chapter. A person who violates the provisions of this section is guilty of a felony and, upon conviction, must be fined not more than twenty-five thousand dollars or the dollar amount of the false entry or statement, whichever is greater, or imprisoned for not more than five years, or both.
(B) A person who is convicted of a violation of subsection (A) also must surrender his license immediately and is ineligible to be issued a license by the commission.
Section 59-150-280. (A) The commission may enter into intelligence sharing, reciprocal use, or restricted use agreements with the federal government, law enforcement agencies, lottery regulation agencies, and gaming enforcement agencies of other jurisdictions which provide for and regulate the use of information provided and received pursuant to the agreement.
(B) Records, documents, and information in the possession of the commission received pursuant to an intelligence sharing, reciprocal use, or restricted use agreement entered into by the commission with a federal department or agency, a law enforcement agency, or the lottery regulation or gaming enforcement agency of a jurisdiction are considered investigative records of a law enforcement agency and are subject to the confidentiality and disclosure policies, and must not be released without the permission of the person or agency providing the record or information, except as may be required by the Freedom of Information Act.
Section 59-150-290. The commission shall enter into its contracts for procurements in compliance with the South Carolina Consolidated Procurement Code.
Section 59-150-300. (A) Any lottery retailer, lottery vendor, applicant for a lottery retailer license, or lottery game ticket holder aggrieved by an action of the board may appeal that decision to the Administrative Law Judge Division. The action is subject to review by an administrative law judge on the record of the board, upon petition of the aggrieved person within ten days from receipt of official notice from the board of the action of which review is sought. Service of notice is presumed conclusively ten days after mailing by registered or certified mail to the applicant or licensee of notice at his last known address. An appeal to the Administrative Law Judge Division pursuant to this section is a contested case as defined by the Administrative Procedures Act, and subject to the procedural due process requirements provided for in Article 5, Chapter 23, Title 1 and the Rules of Procedure of the Administrative Law Judge Division. Appeals regarding lottery vendor contracts must be brought pursuant to the South Carolina Procurement Code.
(B) The Administrative Law Judge Division shall hear appeals from decisions of the board and, based upon the record of the proceedings before the board, may reverse the decision of the board only if the appellant proves the decision to be:
(1) in violation of constitutional or statutory provisions;
(2) in excess of the statutory authority of the board;
(3) made upon unlawful procedure;
(4) affected by other error of law;
(5) clearly erroneous in view of the reliable, probative, and substantial evidence on the whole record; or
(6) arbitrary or capricious or characterized by abuse of discretion or clearly unwarranted exercise of discretion.
(C) The Administrative Law Judge Division may remand an appeal to the board to conduct further hearings.
(D) For judicial review of a final decision of an administrative law judge in a case involving the commission, the petition by an aggrieved party must be filed with the circuit court and served on the opposing party not more than thirty days after the aggrieved party receives the final decision and order of the administrative law judge. Appeal in these matters is by right.
(E) A lottery vendor who appeals the award of a procurement contract for the supply of a lottery game ticket system, share system, or an on-line or other mechanical or electronic system is liable for all costs of appeal and defense if the appeal is denied or the contract award is upheld. Cost of appeal and defense specifically includes, but is not limited to, administrative proceedings, court costs, bond, legal fees, and loss of income to the commission resulting from institution of the appeal if, upon the motion of the commission, the court finds the appeal was frivolous.
(F) All actions and proceedings for review pursuant to this chapter, and all actions and proceedings to which the commission may be a party and in which a question arises pursuant to this chapter or pursuant to or concerning any order or decision of the commission must be given priority of hearing in all courts and reviewing entities over all other civil causes except election cases irrespective of position on the calendar.
Section 59-150-310. (A) The commission may expend, pursuant to the provisions of this chapter, monies received from any source, including income from the commission's operations, for effectuating its purposes, including the payment of the initial expenses of organization, administration, and operation of the commission and the lottery.
(B) The commission must be self-sustaining and self-funded. Monies in the state general fund may not be used or obligated to pay the expenses of the commission or prizes of the lottery, and a claim for the payment of an expense of the lottery or prizes of the lottery may not be made against monies other than monies credited to the commission operating account.
(C) The commission may purchase, lease, or lease-purchase goods or services necessary for effectuating the purposes of this chapter. The commission may make procurements which integrate functions such as lottery game design, lottery ticket distribution to a lottery retailer, supply of goods and services, and advertising. In all procurement decisions, the commission shall act to promote and ensure security, honesty, fairness, and integrity in the operation and administration of the lottery and the objectives of raising net proceeds for the benefit of educational programs and purposes.
Section 59-150-320. To ensure the financial integrity of the lottery, the commission, through its board, shall:
(1) submit quarterly and annual reports to the Governor, the President Pro Tempore of the Senate, the Speaker of the House of Representatives, the State Auditor, the Comptroller General, the State Treasurer, and the Chairmen of the House Ways and Means Committee and the Senate Finance Committee disclosing the total lottery revenues, prize disbursements, operating expenses, and administrative expenses of the commission during the reporting period. The annual report additionally must describe the organizational structure of the commission, summarize the functions performed by each organizational division within the commission, and contain a detailed budget for the next fiscal year. The quarterly reports must be submitted within fifteen days of the end of the quarter, and the annual report must be submitted by October fifteenth;
(2) adopt a system of internal audits;
(3) maintain weekly or more frequently records of lottery transactions including the distribution of lottery game tickets or shares to a lottery retailer, revenues received, claims for prizes, prizes paid, prizes forfeited, and other financial transactions of the commission;
(4) authorize the State Auditor to contract with a certified public accountant or firm for an independently audited financial statement prepared in accordance with generally accepted accounting principles, to be submitted to the Comptroller General's office each year no later than October fifteenth. The certified public accountant or firm shall not have a financial interest in a lottery vendor with whom the commission is under contract. The certified public accountant or firm shall evaluate the internal auditing controls in effect during the audit period. The cost of this annual financial audit is an operating expense of the commission. The State Auditor may at any time conduct an audit of any phase of the operations of the commission at the expense of the State and shall receive a copy of the annual independent financial audit. A copy of an interim audit performed by the certified public accountant or firm or the State Auditor must be transmitted after the close of the commission's fiscal year to the Governor, the President Pro Tempore of the Senate, the Speaker of the House of Representatives, the State Auditor, the State Treasurer, the Comptroller General, and the Chairmen of the House Ways and Means Committee and the Senate Finance Committee;
(5) submit, for informational purposes only, to the Office of State Budget of the Budget and Control Board and the State Auditor by June thirtieth of each year a copy of the annual operating budget for the commission for the next fiscal year. This annual operating budget must be approved by the South Carolina Lottery Commission Board;
(6) submit, for informational purposes only, to the Office of State Budget on November tenth of each year a proposed operating budget for the commission for the upcoming fiscal year;
(7) adopt the same fiscal year as that used by state government; and
(8) authorize the Legislative Audit Council to contract with an independent firm experienced in security procedures including, but not limited to, computer security and systems security, to periodically conduct a comprehensive study and evaluation of all aspects of security in the operation of the commission and the lottery. This firm may not have a financial interesting a lottery vendor with whom the commission is under contract The cost of this evaluation is an operating expense of the commission. The commission shall pay directly to the Legislative Audit Council the cost of the evaluation.
Section 59-150-330. (A) All claimant agencies of this State and persons on whose behalf the State and its claimant agencies act, in conjunction with the commission, shall cooperate in identifying debtors who owe money to the State and who qualify for prizes pursuant to this chapter from the commission; and the sum of any debt owed to the State or to persons on whose behalf the State and its claimant agencies act must be set off against a prize awarded pursuant to this chapter. This section must be liberally construed to effectuate these purposes.
(B) As used in this section:
(1) 'Claimant agency' means any state or local agency, department, board, bureau, commission, or authority to which an individual owes a debt or which acts on behalf of an individual to collect a debt.
(2) 'Debt' means a liquidated sum due and owing a claimant agency, which sum has accrued through contract, subrogation, tort, or operation of law regardless of whether there is an outstanding judgment for the sum, or a sum which is due and owing a person and is enforceable by the State or any of its agencies or departments.
(3) 'Debtor' means an individual owing money to or having a delinquent account with a claimant agency, which obligation has not been adjudicated as satisfied by court order, set aside by court order, or discharged in bankruptcy.
(4) 'Prize' means the proceeds of a lottery prize awarded pursuant to this chapter.
(C) The collection remedy authorized by this section is in addition to and not in substitution for any other remedy available by law.
(D)(1) A claimant agency may submit to the commission a list of the names of all persons owing debts in excess of one hundred dollars to the claimant agency or to persons on whose behalf the claimant agency acts. The full amount of the debt is collectible from lottery winnings without regard to limitations on the amounts that may be collectible in increments through garnishment or other proceedings. The list constitutes a valid lien upon and claim of lien against the lottery winnings of a debtor named in the list. The list must contain the names of the debtors, their Social Security numbers if available, and other information which would assist the commission in identifying the debtors named in the list.
(2) The commission shall withhold winnings subject to the lien created by this section and send notice to the winner by certified mail, return receipt requested, of such action and the reason why the winnings were withheld. If the winner appears and claims winnings in person, the commission shall notify the winner at that time, by hand delivery, of the action. If the debtor does not protest, in writing, the withholding of the funds within thirty days of notice, the commission shall pay the funds over to the claimant agency. If the debtor protests the withholding of funds, in writing, within thirty days of the notice, the commission shall file an action in interpleader in the circuit court of the county in which the debtor resides, pay the disputed sum into the court, and give notice to the claimant agency and debtor of the initiation of the action.
(3) The liens created by this section rank among themselves as follows:
(a) taxes due the State;
(b) delinquent child support;
(c) delinquent student loans; and
(d) all other judgments and liens in order of the date entered or perfected.
(4) The commission is not required to deduct claimed debts from prizes paid out by a lottery retailer or entities other than the commission.
(5) A list of debtors and debts must be provided, pursuant to this section, periodically as the commission determines by rules and regulations, and the commission is not obligated to retain the lists or deduct debts appearing on the lists beyond the period determined by the rules and regulations.
(6) The commission may prescribe forms, propose rules, and promulgate regulations necessary to carry out the provisions of this section.
(7) The commission and a claimant agency do not incur civil or criminal liability for good faith adherence to the provisions of this section.
(8) The claimant agency shall pay the commission for all costs incurred by the commission in setting off debts in the manner provided in this section. The commission may retain this fee as part of administrative expenses.
(E)(1) Notwithstanding Section 59-150-240 or other confidentiality law, the commission may provide to a claimant agency all information necessary to accomplish and effectuate the intent of this section.
(2) The information obtained by a claimant agency from the commission pursuant to this section must retain its confidentiality and may be used only by a claimant agency in the pursuit of its debt collection duties and practices. An employee or former employee of a claimant agency who unlawfully discloses this information for another purpose, except as otherwise specifically authorized by law, is subject to penalties as provided by law.
(F) The provisions of this section apply to prizes of six hundred dollars or more.
Section 59-150-340. The net proceeds received from the state lottery for education as provided by law must be deposited by the State Treasurer in a fund separate and distinct from the state general fund entitled the 'Education Lottery Account'. All interest or income earned by the fund must be retained in the account and used for its stated purposes. However, all revenue received by the Education Lottery Account in any fiscal year together with earnings on it for that year must be disbursed as required by Section 59-150-350 and as appropriated by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years. It is the intent of the General Assembly in creating this Education Lottery Account that its funds be managed so as to establish and fund these programs permanently. Upon receipt of monies transferred to the Education Lottery Account held by the State Treasurer, these monies must be appropriated by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years to the programs and for the purposes stipulated in Section 59-150-350. The Comptroller General shall record these revenues received on a cash basis, and disbursements for the purposes provided also must be on a cash basis; however, unexpended funds at the end of a fiscal year after disbursement to the programs authorized to receive the funds as provided in Section 59-150-350 and as appropriated by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years may be carried forward to future years and expended for the same purposes.
Section 59-150-350. (A) All lottery proceeds are the property of the commission, to be held in a separate and distinct account, apart from the State Treasury. Annual administrative expenses may not exceed fifteen percent of gross lottery revenues for the year, including lottery retailer commissions and incentives. The commission shall provide the Education Lottery Account, through the operating funds of the commission, monies in the amount of at least one hundred thirty thousand dollars for the Commission on Higher Education and at least one hundred twenty-five thousand for the Administrative Law Judge Division, both to help defray their expenses incurred in the performance of their duties pursuant to this chapter; except that the amount of funding for the Commission on Higher Education and the Administrative Law Judge Division, at least one hundred thirty thousand dollars and one hundred twenty-five thousand dollars, respectively, must be allocated by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years. As nearly as practical, an amount no less than forty-five percent of the amount of money from the actual sale of lottery tickets or shares must be made available as prize money, except that this item does not create a lien, an entitlement, a cause of action, or other private right, and rights of holders of tickets or shares must be determined by the commission in setting the terms of its lottery or lotteries.
(B) Before the sixteenth day of each month, the commission shall deposit to the State Treasurer, for credit to the Education Lottery Account for the preceding month, the amount of all net proceeds from the preceding month. The State Comptroller General shall account separately for net proceeds by establishing and maintaining a restricted account known as the Education Lottery Account. Upon their deposit with the State, monies representing a deposit of net proceeds become the unencumbered property of the State of South Carolina and the commission may not agree or undertake otherwise. The monies may be invested by the State Treasurer pursuant to state investment practices. All earnings attributable to the investments are also the unencumbered property of the State and accrue to the credit of the Education Lottery Account.
(C) At the beginning of the first fiscal year after the state lottery becomes operational, the Comptroller General shall certify the amount of net proceeds including investment earnings on the net proceeds credited to and accrued in the Education Lottery Account during the preceding fiscal year. The sum of certified net proceeds and investment earnings must be designated as annual lottery proceeds. Appropriations from the Education Lottery Account must be allocated only for educational purposes and programs by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years. Funds made available from the Education Lottery Account may not exceed the previous year's net proceeds and investment earnings as certified by the Comptroller General and must be allocated to full funding of the LIFE Scholarship for eligible resident students attending a four-year or two-year public institution or technical college as provided in Sections 59-149-10(E) and 59-149-50(D), and funding with all the remaining revenues for: elementary and secondary public education as determined pursuant to the Education Accountability Act of 1998 and education improvement legislation enacted into law after the effective date of this chapter, new programs enacted by the General Assembly for public institutions of higher learning, including public four-year colleges and universities and their branches and two-year colleges, as defined in Section 59-103-5, and state technical schools, which programs may include the creation of endowed chairs at the state's universities, with an emphasis in the areas of, but not limited to, engineering, computer science, and the sciences, and Youth Education Scholarships of up to and not to exceed one thousand dollars, to be determined in the annual general appropriations bill, to resident parents of a four-year-old who attains the age of four years by September first of the school year the scholarship is received and who attends a public or private, for profit or nonprofit kindergarten, preschool, or child development center program provided in this State. The scholarship is payable from the lottery proceeds through the Department of Education directly to the school in the name of the attending child. These programs may include, but are not limited to, language and literacy programs that help the child understand and tell stories, recognize pictures and words, learn the alphabet, and understand that writing is communication; math concepts that teach the child to count and sort objects into groups, recognize shapes, and make comparisons of size, shape, length, and weight; science concepts that teach the child to explore the natural environment, observe seasonal changes, communicate observations, and use tools to measure; art concepts that help the child express ideas and thoughts in creative ways, paint, draw, and sculpt, listen to music and sing songs, and recognize colors; and physical development activities that help the child move with balance and coordination, participate in indoor and outdoor physical activity, and use writing tools, puzzles, scissors, blocks, clay, and computers. The proportion of total recurring general fund and special fund revenues of the State expended for the total of public elementary, secondary, and higher education allocations in any fiscal year may not be less than the proportions in the fiscal year immediately before the fiscal year in which education revenues are first received from a state lottery, and may not be reduced or supplanted later by revenues received from a state lottery.
(D) Appropriations by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years for educational purposes and programs from the account not committed during the fiscal year must be credited to the Education Lottery Account.
(E)(1) A program or project started specifically from lottery proceeds may not be continued from the general fund, but the programs must be adjusted or discontinued according to available lottery proceeds, unless the General Assembly by general law establishes eligibility requirements and later appropriates specific funds within the general appropriations act. The provisions of this subsection do not prohibit the providing of supplemental funding to programs or projects in existence on the effective date of this chapter from lottery proceeds; provided, that funding for these existing programs or projects from the state general fund, the Education Improvement Act, or other nonlottery sources may not be reduced below that provided on the effective date of this chapter.
(2) A surplus in the Education Lottery Account may not be reduced by the General Assembly to correct any nonlottery deficiencies in sums available for general appropriations and vice versa, and a surplus in the Education Lottery Account may not be included in a surplus calculated for setting aside any nonlottery reserve, specifically, without limitation, the General Reserve Fund or the Capital Reserve Fund.
SECTION 3. Section 59-149-10 of the 1976 Code is amended by adding at the end to read:
"(E)(1) Beginning with school year 2002-2003, the annual amount of a LIFE Scholarship for eligible resident students attending a four-year or two-year public institution or technical college as defined in this chapter is increased to the cost of tuition for thirty credit hours a year or its equivalent plus a three hundred dollar a year book allowance. Tuition for this purpose means the amount charged for registering for credit hours of instruction and shall not include other fees, charges, or costs of textbooks except for the referenced three hundred dollar book allowance.
(2) Beginning with school year 2002-2003, the annual amount of a LIFE Scholarship for eligible resident students attending a four-year independent institution must continue to be the cost of attendance up to a maximum of three thousand dollars a year, and the annual amount for eligible resident students attending a two-year independent institution must increase to the cost of attendance up to a maximum of no more than the cost of tuition at a two-year regional public institution for thirty credit hours a year or its equivalent.
(3) Beginning with the school year 2002-2003, the requirement that high school completion be accomplished on or after May 1995, for eligibility for the LIFE Scholarship is waived."
SECTION 4. Section 59-149-50 of the 1976 Code is amended by adding subsections (D) and (E) to read:
"(D) Beginning with school year 2002-2003, an entering freshman to be eligible for a LIFE Scholarship in addition to the other requirements of this chapter shall meet two of the following three criteria:
(1) have the grade point average required by this section;
(2) have the Scholastic Aptitude Test (SAT) or equivalent ACT score required by this section;
(3) be in the top thirty percent of his high school graduating class.
For home school students and students whose high school graduating class is less than fifty students, the Commission on Higher Education may define alternative criteria for students to meet the requirement of item (3).
After receipt of a LIFE Scholarship by an entering freshman beginning with school year 2002-2003, a student shall meet the criteria established in this chapter to retain or regain the scholarship.
(E) Notwithstanding the provisions of this section and the other requirements of this chapter, beginning with school year 2002-2003, students attending a technical college of this State taking not less than eighteen credit hours of instruction a year but less than thirty credit hours a year who are otherwise eligible for a LIFE scholarship shall receive a LIFE scholarship equal to one-half the amount that eligible students receive at the technical college who take at least thirty credit hours of instruction a year."
SECTION 5. The 1976 Code is amended by adding:
"Section 2-15-63. (A) Beginning in December 2004 and every three years after that, the Legislative Audit Council shall conduct a management performance audit of the South Carolina Lottery Commission. The cost of this audit, up to one hundred thousand dollars, is an operating expense of the commission. The commission shall pay directly to the Legislative Audit Council the cost of the management performance audit.
(B) Nothing in this section limits, abridges, or otherwise affects the provisions of Section 2-15-60.
(C) The Legislative Audit Council may contract with an independent firm experienced in security procedures including, but not limited to, computer security and systems security, to periodically conduct a comprehensive study and evaluation of all aspects of security in the operation of the commission and the lottery. This firm may not have a financial interest in a lottery vendor with whom the commission is under contract. The cost of this evaluation is an operating expense of the commission. The commission shall pay directly to the Legislative Audit Council the cost of the evaluation."
SECTION 6. Section 12-36-2120 of the 1976 Code is amended by adding an appropriately numbered item to read:
"( ) a lottery ticket sold pursuant to Chapter 150 of Title 59;"
SECTION 7. Section 59-63-210 of the 1976 Code is amended to read:
"Section 59-63-210. (A) Any district board of trustees may authorize or order the expulsion, suspension, or transfer of any pupil for a the commission of any crime, gross immorality, gross misbehavior, persistent disobedience, or for violation of written rules and promulgated regulations established by the district board, county board, or the State Board of Education, or when the presence of the pupil is detrimental to the best interest of the school. Every Each expelled pupil shall have has the right to petition for readmission for the succeeding school year. Expulsion or suspension shall must be construed to prohibit a pupil from entering the school, or school grounds, except for a prearranged conference with an administrator, attending any day or night school functions, or riding a school bus. The provisions of this section shall do not preclude enrollment and attendance in any adult or night school.
(B) A district board of trustees shall not authorize or order the expulsion, suspension, or transfer of any pupil for a violation of Section 59-150-250(B)."
SECTION 8. Except for Section 59-150-350(C), (D), and (E), provisions of this chapter relating to guidelines for the appropriation of lottery proceeds must not be amended in a general appropriations act, but only in a separate piece of legislation solely for that purpose and by a majority vote of those present and voting in both houses of the General Assembly.
SECTION 9. The General Assembly shall review and evaluate, on a regular basis but at least biannually, the operation of the South Carolina Education Lottery and the success and efficiency with which the South Carolina Lottery Commission has undertaken that responsibility. The General Assembly, after each review and evaluation, may determine to:
(1) transfer the whole or any part of the functions of the commission to the jurisdiction and control of any other agency;
(2) consolidate, coordinate, or combine the functions of the commission with any other agency;
(3) redirect any mission of the commission;
(4) abolish any mission of the commission in whole or any part; or
(5) abolish all or any part of the functions of the commission.
SECTION 10. Criminal penalties contained in Chapter 150, Title 59 apply only to offenses committed on or after the effective date of this act.
SECTION 11. The repeal or amendment by this act of any law, whether temporary or permanent or civil or criminal, does not affect pending actions, rights, duties, or liabilities founded thereon, or alter, discharge, release, or extinguish any penalty, forfeiture, or liability incurred under the repealed or amended law, unless the repealed or amended provision so expressly provides. After the effective date of this act, all laws repealed or amended by this act must be taken and treated as remaining in full force and effect for the purpose of sustaining any pending or vested right, civil action, special proceeding, criminal prosecution, or appeal existing as of the effective date of this act, and for the enforcement of rights, duties, penalties, forfeitures, and liabilities as they stood under the repealed or amended laws.
SECTION 12. If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this act is for any reason held to be unconstitutional or invalid, such holding does not affect the constitutionality or validity of the remaining portions of this act, the General Assembly hereby declaring that it would have passed this chapter, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more other sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words hereof may be declared to be unconstitutional, invalid, or otherwise ineffective; except that Section 59-150-40(A) through (L), Section 59-150-60(A)(17) and (19), and Section 59-150-350 are hereby declared by the General Assembly to be nonseverable from each other and a finding of invalidity or ineffectiveness for whatever reason of any of those cited sections renders the other of the cited sections invalid or ineffective.
SECTION 13. Upon approval by the Governor, this act takes effect upon ratification of the amendment to Section 7, Article XVII of the Constitution of this State. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. HARRELL explained the amendment.
Rep. KEEGAN spoke in favor of the amendment.
Rep. SCOTT spoke against the amendment.
Rep. WALKER spoke against the amendment.
Rep. OTT spoke upon the amendment.
Rep. J. E. SMITH spoke against the amendment.
Rep. J. E. SMITH spoke against the amendment.
Rep. GOVAN spoke against the amendment.
Rep. RHOAD spoke against the amendment.
Rep. JENNINGS spoke against the amendment.
Rep. JENNINGS spoke against the amendment.
Rep. SCOTT moved to table the amendment.
Rep. SIMRILL demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Bales Battle Bowers Breeland Brown, G. Brown, J. Brown, R. Carnell Cobb-Hunter Coleman Emory Freeman Gourdine Govan Hayes Hines, J. Hines, M. Hosey Howard Jennings Kirsh Lee Lloyd Lourie Mack McCraw McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Phillips Rhoad Rivers Rutherford Scott Sheheen Smith, F.N. Smith, J.E. Snow Weeks Whatley Whipper Wilder
Those who voted in the negative are:
Allison Altman Barfield Barrett Bingham Campsen Cato Chellis Coates Cooper Cotty Dantzler Davenport Delleney Easterday Edge Fleming Frye Gilham Hamilton Harrell Harrison Haskins Hinson Huggins Keegan Kelley Klauber Koon Law Leach Limehouse Littlejohn Loftis Lucas Martin McGee Merrill Owens Perry Quinn Rice Riser Robinson Rodgers Sandifer Scarborough Sharpe Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Stille Stuart Taylor Thompson Townsend Tripp Trotter Vaughn Walker Webb White Wilkins Young, A. Young, J.
So, the House refused to table the amendment.
Rep. LEACH spoke in favor of the amendment.
The amendment was then adopted.
I wish the Journal to reflect that I would have voted in favor of Amendment No. 1.
Rep. Scott Talley
Reps. KLAUBER and HASKINS proposed the following Amendment No. 2 (Doc Name SKB\AMEND\18456SOM01), which was adopted:
Amend the bill, as and if amended, in Section 59-150-210(D) as contained in SECTION 2 by striking:
/ A lottery ticket or share may not be sold on the date of any general elections; / and inserting:
/ A lottery ticket or share may not be sold on the date of any general elections or on any Sunday; /
Renumber sections to conform.
Amend title to conform.
Rep. KLAUBER explained the amendment.
Rep. LOURIE moved to table the amendment.
Rep. KLAUBER demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Battle Bowers Breeland Brown, G. Brown, J. Brown, R. Chellis Clyburn Cobb-Hunter Coleman Cotty Dantzler Edge Govan Harrell Hines, J. Hinson Hosey Howard Jennings Keegan Kelley Kirsh Knotts Law Lee Lloyd Lourie Mack McLeod Miller Moody-Lawrence Rhoad Rivers Rodgers Rutherford Scarborough Scott Smith, F.N. Smith, J.E. Snow Stuart Webb Weeks Whatley Whipper Young, A.
Those who voted in the negative are:
Allison Altman Bales Barfield Barrett Bingham Campsen Carnell Cato Coates Cooper Davenport Delleney Easterday Emory Fleming Freeman Frye Gilham Gourdine Hamilton Harrison Haskins Hines, M. Huggins Klauber Koon Leach Limehouse Littlejohn Loftis Lucas Martin McCraw McGee Merrill Neal, J.H. Neal, J.M. Ott Owens Parks Perry Phillips Quinn Rice Riser Robinson Sandifer Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Stille Taylor Thompson Townsend Tripp Trotter Vaughn Walker White Wilder Wilkins Young, J.
So, the House refused to table the amendment.
The question then recurred to the adoption of the amendment, which was agreed to.
I voted in error as I intended to vote against tabling this amendment. I am against sale of lottery tickets on Sunday.
Rep. Jake Knotts
I intended to vote not to table Amendment No. 2. It was my intent to vote against Sunday sales. I voted in error on the tabling amendment.
Rep. Mickey Whatley
I wish the Journal to reflect that I would have voted not to table Amendment No. 2.
Rep. Scott Talley
Rep. STUART proposed the following Amendment No. 3 (Doc Name COUNCIL\SWB\AMEND\5392SOM01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-350(C) as contained in SECTION 2 by adding immediately before the last sentence:
/ Funding made available for the Education Lottery Account may be allocated for school construction and the repayment of existing school bonds. /
Renumber sections to conform.
Amend title to conform.
Rep. STUART explained the amendment.
Rep. LITTLEJOHN spoke in favor of the amendment.
Rep. KEEGAN moved to table the amendment.
Rep. STUART demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Altman Barrett Battle Breeland Brown, G. Brown, J. Brown, R. Campsen Carnell Cato Chellis Clyburn Coates Coleman Cooper Dantzler Delleney Easterday Edge Emory Freeman Gilham Gourdine Govan Harrell Harrison Haskins Hayes Hines, M. Hinson Hosey Howard Jennings Keegan Kelley Kirsh Klauber Knotts Law Leach Lee Limehouse Lloyd Lucas Mack McCraw McGee Merrill Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Owens Parks Perry Quinn Rice Rivers Robinson Rodgers Rutherford Sandifer Scott Sheheen Simrill Smith, D.C. Smith, F.N. Smith, G.M. Smith, J.E. Smith, J.R. Taylor Thompson Townsend Tripp Trotter Weeks Whatley White Wilkins Young, A. Young, J.
Those who voted in the negative are:
Allison Bales Bingham Bowers Cotty Davenport Fleming Frye Hamilton Hines, J. Huggins Koon Littlejohn Loftis Lourie Martin McLeod Phillips Rhoad Riser Scarborough Sharpe Sinclair Smith, W.D. Snow Stille Stuart Vaughn Walker Webb Whipper Wilder
So, the amendment was tabled.
I wish the Journal to reflect that I would have voted to table Amendment No. 3.
Rep. Scott Talley
Rep. STILLE proposed the following Amendment No. 4 (Doc Name COUNCIL\SKB\AMEND\18459SOM01), which was adopted:
Amend the bill, as and if amended, in Section 59-150-30(B) as contained in Section 2 by striking the first sentence and inserting:
/ Beginning in December 2004 and every three years after that, or by the request of five members of the House of Representatives or five members of the Senate, the Legislative Audit Council shall conduct a management performance audit of the commission. /
Renumber sections to conform.
Amend title to conform.
Rep. STILLE explained the amendment.
The amendment was then adopted.
Rep. STILLE proposed the following Amendment No. 6 (Doc Name COUNCIL\SKB\AMEND\18458SOM01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-60(11) as contained in SECTION 2 by adding before the sentence which begins:
/ Notwithstanding another provision of law, ... / the sentence:
/ The commission may not hire as a hearing officer a person who has been employed by the State for any period within the previous five years. /
Renumber sections to conform.
Amend title to conform.
Rep. STILLE explained the amendment.
Rep. MOODY-LAWRENCE moved to table the amendment.
Rep. KIRSH demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Altman Bales Battle Bowers Breeland Brown, G. Brown, J. Brown, R. Carnell Chellis Clyburn Cobb-Hunter Coleman Cotty Dantzler Emory Fleming Freeman Frye Gourdine Govan Harrell Harrison Hayes Hines, J. Hines, M. Hinson Hosey Howard Huggins Jennings Keegan Kelley Knotts Law Lee Lloyd Lourie Mack McCraw Merrill Miller Moody-Lawrence Neal, J.M. Ott Owens Parks Perry Phillips Quinn Rhoad Rice Riser Rivers Rutherford Sandifer Scarborough Scott Sharpe Sheheen Sinclair Smith, D.C. Smith, F.N. Smith, J.E. Smith, J.R. Stuart Taylor Thompson Tripp Trotter Webb Weeks Whatley Whipper White Wilder Wilkins Young, A. Young, J.
Those who voted in the negative are:
Allison Barfield Barrett Bingham Campsen Cato Coates Cooper Davenport Delleney Easterday Edge Gilham Hamilton Haskins Kirsh Klauber Koon Leach Littlejohn Loftis Lucas Martin McGee McLeod Robinson Rodgers Simrill Smith, W.D. Snow Stille Townsend Vaughn Walker
So, the amendment was tabled.
Rep. STILLE proposed the following Amendment No. 8 (Doc Name COUNCIL\BBM\AMEND\10278HTC01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-150(B), by adding an appropriately numbered item at the end of the subsection to read:
/ ( ) A lottery retailer or lottery retailer applicant may not have been a public official of this State, as defined in Section 8-13-100(27) or a public employee of this State, as defined in Section 8-13-100(25) in the preceding five years. /
Amend title to conform.
Rep. STILLE explained the amendment.
Rep. SCOTT moved to table the amendment, which was agreed to.
Rep. STILLE proposed the following Amendment No. 9 (Doc Name COUNCIL\SKB\AMEND\18463SOM01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-150(B)(2)(d) as contained in SECTION 2 by inserting after / commission / the following/ in the State of South Carolina /
Renumber sections to conform.
Amend title to conform.
Rep. STILLE explained the amendment.
Rep. SCOTT moved to table the amendment, which was agreed to.
Rep. STILLE proposed the following Amendment No. 11 (Doc Name COUNCIL\BBM\AMEND\10279HTC01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-350(A), by striking in the second sentence /fifteen / and inserting / thirteen /
Amend title to conform.
Rep. STILLE explained the amendment.
Rep. KEEGAN moved to table the amendment, which was agreed to.
Rep. STILLE proposed the following Amendment No. 12 (Doc Name COUNCIL\SKB\AMEND\18461SOM01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-130 as contained in SECTION 2 by inserting a new subsection (K) to read:
/ (K) A lottery vendor shall not be a licensed vendor supplying gaming goods or services for any other state, territorial, or sovereign country lottery. / and renumber subsequent subsections.
Renumber sections to conform.
Amend title to conform.
Rep. STILLE explained the amendment.
Rep. KEEGAN moved to table the amendment, which was agreed to.
Rep. HARRELL moved that the House recede until 2:15 p.m., which was agreed to.
Further proceedings were interrupted by the House receding, the pending question being consideration of amendments.
At 2:15 p.m. the House resumed, the SPEAKER in the Chair.
The question of a quorum was raised.
A quorum was later present.
Debate was resumed on the following Bill, the pending question being the consideration of amendments:
H. 3307 (Word version) -- Reps. Scott, Knotts, Jennings, Carnell, Govan, Whatley, Dantzler, Lee, Miller, Snow, Breeland, Hosey, Rutherford, J. E. Smith, Rivers, Weeks and Rhoad: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 57 TO TITLE 33 SO AS TO ENACT THE "SOUTH CAROLINA EDUCATION LOTTERY ACT"; TO PROVIDE FOR A STATE LOTTERY AND TO CREATE THE SOUTH CAROLINA EDUCATION LOTTERY CORPORATION TO CONDUCT THE STATE LOTTERY; TO PROVIDE FOR THE CORPORATION'S BOARD MEMBERSHIP, DUTIES, AND POWERS; TO PROVIDE FOR THE CREATION OF A LOTTERY RETAILERS ADVISORY COMMITTEE; TO PROVIDE FOR THE METHOD OF CONTRACTING WITH VENDORS AND RETAILERS; TO PROVIDE FOR THE SALE OF LOTTERY GAME TICKETS AND THE DISTRIBUTION OF PRIZES; TO PROVIDE FOR ALLOCATION OF LOTTERY PROCEEDS WHICH MUST BE USED FOR EDUCATIONAL PURPOSES AND PROGRAMS; TO PROVIDE CRIMINAL PENALTIES FOR SELLING A LOTTERY TICKET TO A MINOR, PURCHASING A LOTTERY TICKET AS A MINOR, AND DEFRAUDING OR OTHERWISE TAMPERING WITH THE LOTTERY OR MAKING MATERIAL REPRESENTATIONS IN AN APPLICATION OR REPORT IN CONNECTION WITH THE LOTTERY; TO CREATE A SOUTH CAROLINA EDUCATION LOTTERY OVERSIGHT COMMITTEE; TO PROVIDE FOR SET-OFF DEBT COLLECTION FROM PRIZE WINNINGS; TO ESTABLISH THE SOUTH CAROLINA EDUCATION LOTTERY ACCOUNT INTO WHICH THE NET REVENUE RECEIVED FROM THE STATE EDUCATION LOTTERY MUST BE DEPOSITED AND TO PROVIDE APPROPRIATIONS FROM THE EDUCATION LOTTERY ACCOUNT BEGINNING IN FISCAL YEAR 2001-02 FOR SPECIFIED PURPOSES; AND TO AMEND SECTION 1-3-240, AS AMENDED, RELATING TO THE ENTITIES FROM WHICH AN APPOINTEE BY THE GOVERNOR MAY BE REMOVED IN CERTAIN CONDITIONS, SO AS TO ADD THE SOUTH CAROLINA EDUCATION LOTTERY CORPORATION TO THAT LIST OF ENTITIES.
Rep. STUART proposed the following Amendment No. 17 (Doc Name COUNCIL\DKA\AMEND\4401MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-350(C), SECTION 2, by inserting after /clay, and computers./ in the penultimate sentence, the following sentence to read:
/ Funds also must be allocated, in an amount determined by the General Assembly in the annual general appropriations bill, to the Department of Education for the purchase of new school buses, supplemental to any bond bills authorizing the purchase of new school buses. /
Amend title to conform.
Rep. STUART explained the amendment.
Rep. KEEGAN moved to table the amendment.
Rep. STUART demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Bales Barfield Barrett Breeland Brown, R. Campsen Cato Chellis Clyburn Coleman Dantzler Delleney Fleming Freeman Gilham Gourdine Harrell Harrison Hines, M. Hinson Hosey Jennings Keegan Kelley Kirsh Klauber Limehouse Lloyd Mack McCraw Merrill Miller Ott Owens Perry Rice Riser Rivers Robinson Rodgers Sandifer Scott Sheheen Smith, J.E. Smith, W.D. Talley Taylor Thompson Whatley White Wilkins Young, A. Young, J.
Those who voted in the negative are:
Allison Askins Davenport Easterday Frye Hamilton Haskins Hines, J. Huggins Knotts Leach Littlejohn Loftis Lourie Lucas Martin McGee McLeod Parks Phillips Scarborough Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Snow Stille Stuart Townsend Vaughn Walker Webb Wilder
So, the amendment was tabled.
Reps. HARRELL, KEEGAN and KELLEY proposed the following Amendment No. 19 (Doc Name DKA\AMEND\4393MM01), which was adopted:
Amend the bill, as and if amended, by deleting SECTION 12 in its entirety and inserting:
/ SECTION 12. If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this act is for any reason held to be unconstitutional or invalid, such holding does not affect the constitutionality or validity of the remaining portions of this act, the General Assembly hereby declaring that it would have passed this chapter, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more other sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words hereof may be declared to be unconstitutional, invalid, or otherwise ineffective. /
Amend title to conform.
Rep. HARRELL explained the amendment.
The amendment was then adopted.
Reps. HARRELL, KEEGAN and KELLEY proposed the following Amendment No. 20 (Doc Name DKA\AMEND\4394MM01), which was adopted:
Amend the bill, as and if amended, Section 59-150-30(B), by deleting the second and third sentence which reads: /The cost of this audit, up to one hundred thousand dollars, is an operating expense of the commission. The commission shall pay directly to the Legislative Audit Council the cost of the management performance audit./ and inserting:
/ The cost of this audit is an operating expense of the commission. /
Amend further, Section 59-150-230(I), by deleting the subsection and inserting:
/ (I) Unclaimed prize money must be deposited in the Education Lottery Account each year. A portion, in an amount to be determined by the General Assembly, of the unclaimed prize money in the Education Lottery Account, must be allocated by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years to the South Carolina Department of Alcohol and Other Drug Abuse Services for the treatment of compulsive gambling disorder and educational programs related to that disorder, including a gambling hotline. The Director of the DAODAS shall report to the board on the programs implemented with these funds, and provide a copy of the report to the General Assembly. /
Amend further, Section 59-150-350(A), by deleting the subsection and inserting:
/ (A) All lottery proceeds are the property of the commission, to be held in a separate and distinct account, apart from the State Treasury. Annual administrative expenses may not exceed fifteen percent of gross lottery revenues for the year, including lottery retailer commissions and incentives. The General Assembly shall consider, in the allocation of funds from the Education Lottery Account, the allocation of monies in the amount the General Assembly determines for the Commission on Higher Education and for the Administrative Law Judge Division, both to help defray their expenses incurred in the performance of their duties pursuant to this chapter; except that the amount of funding for the Commission on Higher Education and the Administrative Law Judge Division must be allocated by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years. As nearly as practical, an amount no less than forty-five percent of the amount of money from the actual sale of lottery tickets or shares must be made available as prize money, except that this item does not create a lien, an entitlement, a cause of action, or other private right, and rights of holders of tickets or shares must be determined by the commission in setting the terms of its lottery or lotteries. /
Amend further, Section 2-15-63(A), SECTION 5, by deleting the second and third sentence which reads: /The cost of this audit, up to one hundred thousand dollars, is an operating expense of the commission. The commission shall pay directly to the Legislative Audit Council the cost of the management performance audit./ and inserting:
/ The cost of this audit is an operating expense of the commission. /
Amend title to conform.
Rep. HARRELL explained the amendment.
The SPEAKER granted Rep. J. BROWN a temporary leave of absence to attend a funeral.
The amendment was then adopted.
Reps. VAUGHN and ROBINSON proposed the following Amendment No. 21 (Doc Name COUNCIL\BBM\AMEND\ 10283HTC01), which was adopted:
Amend the bill, as and if amended, in Section 59-150-230(A), in the fourth sentence, by striking /impose a tax/ and inserting / impose a tax, other than the state sales tax imposed pursuant to Chapter 36 of Title 12 and local sales taxes authorized by state law, /
Amend further, as and if amended, by striking SECTION 6 and inserting:
/ SECTION 6. Section 12-36-110(1) of the 1976 Code is amended by adding an appropriately lettered subitem at the end to read:
"( ) sales of lottery tickets pursuant to Chapter 150 of Title 59." /
Amend title to conform.
Rep. VAUGHN explained the amendment.
Rep. VAUGHN spoke in favor of the amendment.
Rep. SIMRILL spoke in favor of the amendment.
Rep. KEEGAN moved to table the amendment.
Rep. VAUGHN demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Barrett Battle Bowers Breeland Carnell Chellis Clyburn Coleman Cotty Dantzler Edge Gourdine Harrell Harvin Hayes Hines, M. Hinson Hosey Jennings Keegan Kelley Kirsh Law Limehouse Lloyd Lourie McCraw Parks Quinn Rhoad Riser Rivers Scott Smith, F.N. Smith, J.E. Smith, J.R. Snow Thompson Webb Whipper White Wilkins Young, A.
Those who voted in the negative are:
Allison Barfield Bingham Brown, G. Brown, R. Campsen Cato Coates Cobb-Hunter Davenport Delleney Easterday Emory Fleming Freeman Frye Gilham Govan Hamilton Harrison Haskins Hines, J. Howard Huggins Klauber Knotts Koon Leach Lee Littlejohn Loftis Lucas McGee McLeod Merrill Moody-Lawrence Neal, J.H. Neal, J.M. Owens Perry Phillips Rice Robinson Rodgers Sandifer Scarborough Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, G.M. Smith, W.D. Stille Stuart Talley Taylor Townsend Trotter Vaughn Walker Weeks Whatley Wilder Young, J.
So, the House refused to table the amendment.
The question then recurred to the adoption of the amendment, which was agreed to.
Rep. KNOTTS moved to reconsider the vote whereby Amendment No. 21 was adopted.
Rep. COATES moved to table the motion to reconsider.
Rep. SCOTT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Bingham Campsen Cato Coates Cobb-Hunter Davenport Delleney Easterday Fleming Freeman Frye Gilham Hamilton Harrison Haskins Huggins Klauber Knotts Koon Leach Littlejohn Loftis Lucas Martin McGee McLeod Merrill Miller Moody-Lawrence Phillips Rhoad Rice Robinson Rodgers Scarborough Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, F.N. Smith, G.M. Smith, W.D. Stille Talley Taylor Townsend Trotter Vaughn Walker Weeks Whatley Young, J.
Those who voted in the negative are:
Askins Bales Barfield Barrett Battle Bowers Breeland Brown, G. Brown, R. Carnell Chellis Clyburn Coleman Cooper Cotty Dantzler Edge Emory Gourdine Govan Harrell Harvin Hayes Hines, J. Hines, M. Hinson Hosey Jennings Keegan Kelley Kirsh Law Limehouse Lloyd Lourie Mack McCraw Neal, J.H. Neal, J.M. Ott Parks Quinn Riser Rivers Rutherford Sandifer Scott Smith, J.E. Smith, J.R. Snow Stuart Thompson Webb Whipper White Wilder Wilkins Young, A.
So, the House refused to table the motion to reconsider.
The question then recurred to the motion to reconsider.
Rep. J. YOUNG demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Askins Barrett Battle Bowers Breeland Brown, G. Brown, R. Carnell Chellis Clyburn Coleman Cotty Dantzler Edge Emory Gourdine Govan Harrell Harvin Hayes Hines, J. Hines, M. Hinson Hosey Jennings Keegan Kelley Kirsh Law Limehouse Lloyd Lourie Mack McCraw Miller Neal, J.M. Ott Quinn Rhoad Riser Rivers Rutherford Sandifer Scott Smith, F.N. Smith, J.E. Smith, J.R. Snow Thompson Webb Weeks Whatley Whipper White Wilder Wilkins Young, A.
Those who voted in the negative are:
Allison Bales Barfield Bingham Campsen Cato Coates Cobb-Hunter Cooper Davenport Delleney Easterday Fleming Freeman Frye Gilham Hamilton Harrison Haskins Huggins Klauber Knotts Koon Leach Littlejohn Loftis Lucas Martin McGee McLeod Merrill Moody-Lawrence Neal, J.H. Perry Phillips Rice Robinson Rodgers Scarborough Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, G.M. Smith, W.D. Stille Stuart Talley Taylor Townsend Trotter Vaughn Walker Young, J.
So, the motion to reconsider was agreed to.
Rep. VAUGHN moved to adjourn debate on the amendment, which was agreed to.
Rep. STILLE proposed the following Amendment No. 26 (Doc Name COUNCIL\PT\AMEND\1462DW01), which was adopted:
Amend the bill, as and if amended, Section 59-150-20 as contained in SECTION 2, by adding an appropriately numbered item at the end to read:
/ ( ) 'Panel' means the House and Senate members appointed by the President Pro Tempore of the Senate and the Speaker of the House of Representatives pursuant to the provisions of Section 59-150-40(B)(5). /
Renumber sections to conform.
Amend title to conform.
Rep. STILLE explained the amendment.
The amendment was then adopted.
Rep. STILLE proposed the following Amendment No. 27 (Doc Name COUNCIL\BBM\AMEND\10286HTC01), which was tabled:
Amend the bill, as and if amended, by striking Section 59-150-60(A)(7) and inserting:
/ (7) Reserved; /
Amend title to conform.
Rep. STILLE explained the amendment.
Rep. SCOTT moved to table the amendment, which was agreed to by a division vote of 54 to 11.
Rep. HAMILTON proposed the following Amendment No. 29 (Doc Name COUNCIL\GJK\AMEND\20591SD01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-10 of the 1976 Code, as contained in SECTION 2, by striking /Education/ on line 2.
Renumber sections to conform.
Amend totals and title to conform.
Rep. HAMILTON explained the amendment.
Rep. SCOTT moved to table the amendment.
Rep. DAVENPORT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Askins Battle Bowers Breeland Brown, G. Brown, R. Carnell Chellis Clyburn Cobb-Hunter Coleman Cotty Dantzler Edge Emory Freeman Gourdine Govan Harrell Harvin Hayes Hines, J. Hines, M. Hinson Hosey Huggins Jennings Kelley Kirsh Knotts Law Lee Limehouse Lloyd Lourie Lucas Mack McCraw McGee McLeod Merrill Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Perry Phillips Rhoad Riser Rivers Scarborough Scott Sharpe Sheheen Simrill Smith, F.N. Smith, J.E. Smith, J.R. Snow Stuart Taylor Thompson Townsend Webb Weeks Whatley Whipper Wilder Young, A.
Those who voted in the negative are:
Allison Bales Barfield Barrett Bingham Campsen Cato Coates Cooper Davenport Delleney Easterday Fleming Frye Gilham Hamilton Haskins Keegan Klauber Koon Leach Littlejohn Loftis Martin Rice Robinson Rodgers Sandifer Sinclair Smith, D.C. Stille Talley Tripp Vaughn Walker White Wilkins
So, the amendment was tabled.
Rep. LEACH proposed the following Amendment No. 31 (Doc Name COUNCIL\DKA\AMEND\4412MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-210(C) and (D), SECTION 2, by striking the subsections and inserting:
/ (C) Lottery game tickets or shares must not be sold to persons under twenty-one years of age.
(D) A lottery ticket or share may not be sold on the date of any general elections; within three hundred feet of a church, school, or playground, as provided in Section 59-150-150(B)(2)(i); to a lottery game other than that defined in Section 59-150-20(7); to a lottery game with corporate sponsorship; on Sunday; or at a location that serves on-premise consumption of alcohol. /
Amend the bill further by striking Section 59-150-250(A) and (B) and inserting:
/ (A) A person who knowingly sells a lottery game ticket or share to a person under twenty-one years of age or permits a person under twenty-one years of age to play a lottery game is guilty of a misdemeanor and, upon conviction, must be fined not less than one hundred dollars nor more than five hundred dollars or be imprisoned not less than thirty days nor more than sixty days, or both, in the discretion of the court. It is an affirmative defense to a charge of a violation of this section that the lottery retailer reasonably and in good faith relied upon representation of proof of age in making the sale.
(B) A person under twenty-one years of age who knowingly purchases a lottery game ticket is guilty of a misdemeanor and, upon conviction, must perform twenty hours of community service or must be fined not less than one hundred dollars and not more than five hundred dollars. /
Amend title to conform.
Rep. LEACH explained the amendment.
Rep. RUTHERFORD moved to table the amendment.
Rep. LEACH demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Battle Bingham Bowers Breeland Brown, R. Chellis Clyburn Cobb-Hunter Coleman Cooper Cotty Dantzler Edge Emory Freeman Gourdine Govan Harrell Harrison Harvin Hayes Hines, J. Hines, M. Hinson Hosey Jennings Keegan Kelley Kirsh Knotts Law Lee Limehouse Lloyd Lourie Lucas Mack McCraw McLeod Merrill Miller Moody-Lawrence Neal, J.H. Ott Owens Parks Perry Rivers Rodgers Rutherford Sandifer Scott Sheheen Simrill Smith, G.M. Smith, J.E. Smith, J.R. Snow Stuart Thompson Trotter Webb Weeks Whatley Whipper White Wilder Wilkins Young, A. Young, J.
Those who voted in the negative are:
Allison Bales Barrett Campsen Carnell Cato Davenport Delleney Easterday Fleming Frye Hamilton Haskins Klauber Koon Leach Littlejohn Loftis Martin McGee Neal, J.M. Phillips Rice Riser Robinson Scarborough Sharpe Sinclair Smith, D.C. Smith, F.N. Smith, W.D. Stille Talley Townsend Tripp Walker
So, the amendment was tabled.
Rep. LEACH proposed the following Amendment No. 35 (Doc Name COUNCIL\PT\AMEND\1449DW01), which was tabled:
Amend the bill, as and if amended, Section 59-150-20(7) as contained in SECTION 2, by adding the following sentence at the end to read:
/ A lottery ticket only may be sold for one dollar for each ticket sold at the time of the sale. /
Amend title to conform.
Rep. LEACH explained the amendment.
Rep. SCOTT moved to table the amendment.
Rep. DELLENEY demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Battle Bowers Breeland Brown, R. Carnell Chellis Clyburn Coleman Cotty Dantzler Edge Emory Freeman Gourdine Harrell Harrison Harvin Hayes Hines, J. Hines, M. Hinson Hosey Jennings Keegan Kelley Kirsh Knotts Law Lee Limehouse Littlejohn Lloyd Lourie McCraw Merrill Miller Moody-Lawrence Ott Owens Parks Perry Phillips Riser Rivers Rutherford Scott Smith, J.E. Smith, J.R. Snow Stuart Talley Thompson Webb Weeks Whatley Whipper Wilder Young, A.
Those who voted in the negative are:
Allison Bales Barfield Barrett Bingham Campsen Cato Coates Cooper Davenport Delleney Easterday Fleming Frye Gilham Govan Haskins Klauber Koon Leach Loftis Lucas Martin McGee McLeod Rice Robinson Rodgers Sandifer Scarborough Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, G.M. Smith, W.D. Stille Townsend Tripp Trotter Vaughn Walker White Wilkins Young, J.
So, the amendment was tabled.
Rep. LEACH proposed the following Amendment No. 36 (Doc Name COUNCIL\DKA\AMEND\4406MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-60(A)(17), SECTION 2, by deleting in the last sentence of the second paragraph / the commission official web site/ and by inserting:
/ taxicabs or at bus stops /
Amend title to conform.
Rep. LEACH explained the amendment.
Rep. KEEGAN moved to table the amendment, which was agreed to.
Rep. LEACH proposed the following Amendment No. 38 (Doc Name COUNCIL\GJK\AMEND\20576SD01), which was ruled out of order:
Amend the bill, as and if amended, by adding a new SECTION appropriately numbered to read:
/SECTION ___. The 1976 Code is amended by adding:
"Section 59-29-85. Each public school of this State shall include within the ninth grade curriculum two hours of instruction each school year on the negative societal consequences of gambling. "/
Renumber sections to conform.
Amend totals and title to conform.
Rep. LEACH explained the amendment.
Rep. J. E. SMITH raised the Point of Order that Amendment No. 38 was out of order in that it was not germane to the Bill.
SPEAKER WILKINS sustained the Point of Order and ruled the amendment out of order.
Rep. LEACH proposed the following Amendment No. 39 (Doc Name COUNCIL\DKA\AMEND\4408MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-20(7), SECTION 2, by deleting in the first sentence /instant tickets/.
Amend further, the first paragraph of Section 59-150-70, SECTION 2, by deleting in the fourth sentence /only/ and by inserting after /may/ the word / not /.
Amend further, the first paragraph of Section 59-150-150(B), SECTION 2, by deleting in the second sentence / instant tickets and on-line a / and inserting / an on-line /.
Amend further, Section 59-150-190(A), SECTION 2, by deleting in the penultimate sentence / unsold instant tickets received by a lottery retailer and /; and by deleting in the last sentence / and unused instant tickets /.
Amend further, by deleting Section 59-150-220 in its entirety and inserting:
/ Section 59-150-220 Reserved. /
Amend further, by deleting Section 59-150-230(C)(5), SECTION 2, and inserting:
/ (5) A holder of a winning lottery game ticket or share from a lottery game, multi-state, or multi-sovereign lottery game must claim a cash prize within one hundred eighty days after the drawing in which the cash prize was won. If a valid claim is not made for a cash prize within the applicable period, the cash prize is an unclaimed prize for purposes of this chapter. /
Amend title to conform.
Rep. LEACH explained the amendment.
Rep. KEEGAN moved to table the amendment, which was agreed to.
Rep. LEACH proposed the following Amendment No. 41 (Doc Name COUNCIL\SWB\AMEND\5412DJC01), which was tabled:
Amend the bill, as and if amended, SECTION 2, Section 59-150-150(B)(2)(i), by striking subitem (i) in its entirety and inserting:
/ (i) has its place of business located within one thousand feet of the nearest property line of a church, school, playground, or residence. These distances must be measured in a straight line, without regard to intervening structures or objects, from the nearest property line of the lot on which a building or structure is used as a lottery retailer to the nearest property line of the location of the church, school, playground, or residence which are defined as follows:
(i) 'church' means an establishment, other than a private dwelling, where religious services are usually conducted;
(ii) 'school' means an establishment, other than a private dwelling, where the usual processes of education are usually conducted;
(iii) 'playground' means a place, other than grounds at a private dwelling, which is provided by the public or members of a community for recreation; and
(iv) 'residence' means a private dwelling. /
Amend the bill further, as and if amended, SECTION 2, Section 59-150-210(D), by striking subparagraph (D) in its entirety and inserting:
/ (D) A lottery ticket or share may not be sold on the date of any general elections; within one thousand feet of the nearest property line of a church, school, playground, or residence as provided in Section 59-150-150(B)(2)(i); to a lottery game other than that defined in Section 59-150-20(7); or to a lottery game with corporate sponsorship./
Renumber sections to conform.
Amend title to conform.
Rep. LEACH explained the amendment.
Rep. KELLEY moved to table the amendment, which was agreed to.
Rep. LEACH proposed the following Amendment No. 44 (Doc Name COUNCIL\DKA\AMEND\4364MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-30(A), SECTION 2, by deleting the first sentence and inserting:
/ There is created a commission to be known as the South Carolina Lottery Commission, which is deemed to be a public not-for-profit commission and an instrumentality of the State. /
Amend further, Section 59-150-40(A), by deleting the subsection and inserting:
/ (A) The commission is governed by a board composed of sixteen members to be appointed by the General Assembly, with one appointment from each state judicial circuit. /
Amend further, Section 59-150-40(C), by deleting / Governor, the President Pro Tempore of the Senate, and the Speaker of the House of Representatives, as appropriate, / and inserting:
/ General Assembly /.
Amend further, Section 59-150-40(D), by deleting the subsection and inserting:
/ (D) The members shall serve terms of four years, except that of the initial appointments: six members each shall serve a two-year initial term, six members each shall serve a three-year initial term, and four members each shall serve a four-year initial term. A vacancy that occurs on the board must be filled by the General Assembly for the remainder of the unexpired term. /
Amend further, Section 59-150-40(I), by deleting / five / and inserting / nine /.
Amend further, Section 59-150-40(L), by deleting the subsection and inserting:
/ (L) A member is appointed to the board for a term and may be removed from the board before the expiration of his term only upon a two-thirds vote of each chamber of the General Assembly, or for cause by a simple majority vote of each chamber of the General Assembly for malfeasance, incompetency, conflict of interest, misconduct, persistent neglect of duty in office, or incapacity. /
Amend title to conform.
Rep. LEACH explained the amendment.
Rep. SCOTT moved to table the amendment, which was agreed to.
Rep. LEACH proposed the following Amendment No. 45 (Doc Name COUNCIL\DKA\AMEND\4371MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-210(D), by inserting at the end after /sponsorship/:
/ ; or at a location that offers or sells or otherwise makes available beer, wine, or other alcoholic beverages for on-premises consumption /.
Amend title to conform.
Rep. LEACH explained the amendment.
Rep. SCOTT moved to table the amendment, which was agreed to.
Rep. LEACH proposed the following Amendment No. 46 (Doc Name COUNCIL\GGS\AMEND\22051CM01), which was tabled:
Amend the bill, as and if amended, by striking Section 59-150-210(D) as contained in SECTION 2, and inserting:
/ (D) A lottery ticket or share may not be sold on the date of any general elections; within three hundred feet of a church, school, or playground, as provided in Section 59-150-150(B)(2)(i); to a lottery game other than that defined in Section 59-150-20(7); to a lottery game with corporate sponsorship; or in a full-service grocery store or supermarket. /
Amend title to conform.
Rep. LEACH explained the amendment.
Rep. SCOTT moved to table the amendment.
Rep. HAMILTON demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Bales Battle Bowers Breeland Brown, R. Carnell Chellis Clyburn Coleman Cotty Dantzler Edge Freeman Gourdine Harrell Harrison Hayes Hines, J. Hines, M. Hinson Hosey Jennings Keegan Kelley Kirsh Knotts Law Lee Limehouse Lloyd Lourie Mack McCraw McLeod Merrill Miller Moody-Lawrence Ott Parks Phillips Rhoad Rice Rivers Robinson Rutherford Scott Sheheen Smith, F.N. Smith, J.E. Smith, J.R. Smith, W.D. Snow Stuart Taylor Thompson Trotter Webb Weeks Whatley Whipper White Wilder Wilkins Young, A.
Those who voted in the negative are:
Barfield Barrett Bingham Campsen Cato Coates Davenport Delleney Easterday Emory Fleming Frye Gilham Hamilton Haskins Huggins Koon Leach Littlejohn Loftis Lucas McGee Neal, J.M. Owens Riser Sandifer Scarborough Sharpe Simrill Sinclair Smith, D.C. Smith, G.M. Talley Tripp Vaughn Walker Young, J.
So, the amendment was tabled.
Rep. LEACH proposed the following Amendment No. 48 (Doc Name COUNCIL\SKB\AMEND\18457SOM01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-20(7) as contained in SECTION 2 by adding after:
/ The operation of the lottery games excludes machines and lottery games, including video poker lottery games, prohibited by Sections 12-21-2710, 16-19-40, except a machine or device dispensing a lottery ticket, and 16-19-50. /
/ The operation of lottery games also excludes multi-state lottery promotions, including, but not limited to, power-ball games. /
Amend the bill further by striking Section 59-150-50(7) in its entirety and renumber items.
Amend the bill in Section 59-150-70 by deleting the fourth sentence which reads:
/ The only lottery games that may be played pursuant to these temporary regulations, policies, and procedure are instant tickets, dollar tickets, and dollar joint- or multi-state lottery games. / and inserting
/ The only lottery games that may be played pursuant to these temporary regulations, policies, and procedures are instant tickets and dollar tickets. /
Amend the bill further by striking Section 59-150-230(C)(5) in its entirety and inserting:
/ (5) A holder of a winning lottery game ticket or share from a lottery game must claim a cash prize within one hundred eighty days after the drawing in which the cash prize was won. In a South Carolina lottery game in which the player may determine instantly if he has won or lost, he must claim a cash prize within ninety days after the end of the lottery game. If a valid claim is not made for a cash prize within the applicable period, the cash prize is an unclaimed prize for purposes of this chapter. /
Renumber sections to conform.
Amend title to conform.
Rep. LEACH explained the amendment.
Rep. KELLEY moved to table the amendment.
Rep. EASTERDAY demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Allison Bales Battle Bowers Breeland Brown, G. Brown, R. Carnell Chellis Clyburn Coleman Cotty Edge Freeman Gourdine Govan Harrell Harvin Hines, J. Hines, M. Hinson Jennings Keegan Kelley Kirsh Knotts Lee Limehouse Littlejohn Lloyd Lourie Mack Martin McCraw McLeod Merrill Miller Moody-Lawrence Ott Owens Parks Perry Phillips Rhoad Riser Rivers Rodgers Rutherford Sandifer Scarborough Scott Sheheen Smith, D.C. Smith, F.N. Smith, J.E. Smith, J.R. Snow Stuart Talley Taylor Thompson Townsend Webb Weeks Whatley Whipper White Wilder Wilkins Young, A.
Those who voted in the negative are:
Barfield Barrett Cato Coates Cooper Delleney Easterday Emory Fleming Frye Gilham Hamilton Haskins Koon Leach Loftis Lucas McGee Neal, J.M. Rice Simrill Sinclair Smith, G.M. Stille Tripp Vaughn Walker Young, J.
So, the amendment was tabled.
Rep. ROBINSON proposed the following Amendment No. 49 (Doc Name COUNCIL\DKA\AMEND\4384MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-20(7), SECTION 2, by deleting in the first sentence /instant tickets/.
Amend further, the first paragraph of Section 59-150-70, SECTION 2, by deleting in the fourth sentence / instant tickets, /.
Amend further, the first paragraph of Section 59-150-150(B), SECTION 2, by deleting in the second sentence / instant tickets and on-line a / and inserting / an on-line /.
Amend further, Section 59-150-190(A), SECTION 2, by deleting in the penultimate sentence / unsold instant tickets received by a lottery retailer and /; and by deleting in the last sentence / and unused instant tickets /.
Amend further, by deleting Section 59-150-220 in its entirety and inserting:
/ Section 59-150-220 Reserved. /
Amend further, by deleting Section 59-150-230(C)(5), SECTION 2, and inserting:
/ (5) A holder of a winning lottery game ticket or share from a lottery game, multi-state, or multi-sovereign lottery game must claim a cash prize within one hundred eighty days after the drawing in which the cash prize was won. If a valid claim is not made for a cash prize within the applicable period, the cash prize is an unclaimed prize for purposes of this chapter. /
Amend title to conform.
Rep. ROBINSON explained the amendment.
Rep. SCOTT moved to table the amendment.
Rep. ROBINSON demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Battle Bowers Breeland Brown, G. Brown, R. Chellis Clyburn Coleman Cotty Dantzler Emory Freeman Govan Harrell Harrison Harvin Hines, J. Hines, M. Hinson Hosey Jennings Keegan Kelley Kirsh Knotts Lee Limehouse Lloyd McCraw Merrill Miller Moody-Lawrence Owens Rhoad Riser Rivers Rutherford Scarborough Scott Smith, J.E. Smith, J.R. Snow Stuart Thompson Webb Weeks Whatley Whipper Young, A.
Those who voted in the negative are:
Allison Bales Barfield Barrett Carnell Cato Coates Cooper Delleney Easterday Edge Frye Gilham Gourdine Hamilton Haskins Koon Leach Littlejohn Loftis Lourie Lucas Martin McGee Ott Perry Phillips Rice Robinson Rodgers Sandifer Sheheen Simrill Sinclair Smith, D.C. Smith, F.N. Smith, G.M. Smith, W.D. Stille Talley Taylor Townsend Tripp Trotter Vaughn Walker White Wilder Wilkins
So, the amendment was tabled.
Rep. CLYBURN proposed the following Amendment No. 50 (Doc Name COUNCIL\SWB\AMEND\5413DJC01), which was tabled:
Amend the bill, as and if amended, SECTION 2, Section 59-150-230, by adding a new subparagraph appropriately numbered at the end to read:
/ ( ) A person distributing prizes or winnings to a resident or nonresident of five hundred dollars or more shall withhold seven percent of each distribution made to an individual, partnership, trust, or estate and five percent of each distribution made to a corporation or other entity. In lieu of the provisions of Section 12-8-530 the prize recipient may elect to have the person distributing the prize pay over the amount withheld to a public school, public school district, or public institution of higher learning in this State as designated by the prize recipient. /
Renumber sections to conform.
Amend title to conform.
Rep. CLYBURN explained the amendment.
Rep. A. YOUNG moved to table the amendment.
Rep. CLYBURN demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Barrett Battle Bingham Cato Chellis Coates Coleman Cooper Cotty Dantzler Davenport Easterday Edge Emory Fleming Freeman Frye Gilham Hamilton Harrell Haskins Hayes Hinson Huggins Keegan Kelley Kirsh Knotts Koon Leach Limehouse Littlejohn Lucas Martin McCraw McGee Merrill Miller Owens Perry Phillips Quinn Rice Riser Robinson Rodgers Sandifer Scarborough Simrill Smith, G.M. Smith, J.E. Smith, J.R. Stille Stuart Talley Taylor Townsend Tripp Trotter Vaughn Walker Weeks White Wilder Wilkins Young, A. Young, J.
Those who voted in the negative are:
Allen Askins Bales Barfield Bowers Breeland Brown, G. Clyburn Cobb-Hunter Delleney Govan Harvin Hines, J. Hines, M. Hosey Jennings Lloyd Lourie McLeod Moody-Lawrence Neal, J.M. Ott Parks Rhoad Rivers Rutherford Scott Sheheen Sinclair Smith, D.C. Smith, F.N. Snow Thompson Webb Whipper
So, the amendment was tabled.
Rep. WALKER proposed the following Amendment No. 53 (Doc Name COUNCIL\GJK\AMEND\20580SD01), which was adopted:
Amend the bill, as and if amended, in Section 59-150-350(C) of the 1976 Code, as contained in SECTION 2, by striking in the fourth sentence of the subsection: / and must be allocated to full funding of the LIFE Scholarship for eligible resident students attending a four-year or two-year public institution or technical college as provided in Sections 59-149-10(E) and 59-149-50(D), and funding/ and inserting:
/ and must first be used to provide Palmetto Fellows Scholarships to all eligible applicants, then used to provide LIFE Scholarships for eligible resident students attending two-year or four-year public institutions or technical colleges in those amounts provided by law /
Renumber sections to conform.
Amend totals and title to conform.
Rep. WALKER explained the amendment.
The amendment was then adopted.
Reps. JENNINGS and SCOTT proposed the following Amendment No. 56 (Doc Name COUNCIL\PT\AMEND\1452DW01), which was tabled:
Amend the bill, as and if amended, by striking Section 59-150-40 as contained in SECTION 2 in its entirety and inserting:
/ Section 59-150-40. (A) The commission is governed by a board composed of seven members to be appointed by the Governor, with the advice and consent of the Senate. The Governor shall appoint one person representing each of the six congressional districts and one person from the State at large. The at-large appointee shall serve as chair of the board.
(B) A member must:
(1) be a resident of the State of South Carolina;
(2) be a prominent person in a business or profession; and
(3) not have been convicted of a felony offense. A background investigation must be conducted on each board nominee. The commission shall pay for the cost of the investigation and may contract with the State Law Enforcement Division for the performance of the investigation;
(4) meet the qualifications for electors as provided in Section 7-5-120;
(5) not be an elected public official, as provided in Section 24, Article III, of the Constitution of this State and Section 2-1-100.
(C) The Governor shall consider in making the appointments to the board:
(1) legal, financial, accounting, and marketing experience; and
(2) race, gender, and other demographics factors to ensure nondiscrimination, inclusion, and representation of all segments of the State to the greatest extent possible.
(D) The chair must be appointed for a term of four years. The other members serve terms of four years, except that of the initial members appointed, three must be appointed for initial terms of two years and three must be appointed for initial terms of four years. A vacancy that occurs on the board must be filled by appointment by the Governor for the remainder of the unexpired term.
(E) A member appointed when the General Assembly is not in regular session serves until a confirmation vote of the full Senate. If the appointment is not confirmed during the regular legislative session, the confirmation fails.
(F) A member of the board must comply with Ethics Reform Act requirements while performing official board duties. A member may not serve on the board if he is an officer or employee of the commission or if he has an immediate family member employed by the commission.
(G) A member of the board may receive per diem, subsistence, and mileage at the rate provided by law for members of state boards, committees, and commissions.
(H) The board shall elect from their membership officers of the board, other than the chair, as prescribed by the bylaws of the commission.
(I) The board may delegate to any one or more of its members, to the chief executive officer of the commission, or to an agent or employee of the commission, those powers and duties it considers proper.
(J) A majority of members in office, to include members appointed but awaiting confirmation from the Senate, constitutes a quorum for the transaction of business and for the exercise of a power or function of the commission.
(K) Action may be taken and motions and resolutions adopted by the board at a board meeting by the affirmative vote of a majority of present and voting board members. This subsection does not relieve the board from the requirements of the South Carolina Freedom of Information Act.
(L) A vacancy in the membership of the board does not impair the right of the members to exercise all the powers and perform all the duties of the board.
(M) A member is appointed to the board for a term and may be removed from the board before the expiration of his term only as provided in Section 1-3-240(C). /
Amend title to conform.
Rep. JENNINGS explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. SCOTT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Bales Barfield Barrett Bingham Breeland Campsen Cato Chellis Coates Cooper Cotty Dantzler Davenport Delleney Easterday Edge Fleming Frye Gilham Hamilton Harrell Harrison Haskins Hinson Huggins Keegan Kelley Knotts Koon Leach Limehouse Littlejohn Loftis Lucas Martin McGee Merrill Owens Perry Quinn Rice Riser Robinson Rodgers Sandifer Scarborough Sharpe Simrill Sinclair Smith, D.C. Smith, F.N. Smith, G.M. Smith, J.R. Smith, W.D. Stuart Talley Taylor Thompson Tripp Vaughn Walker Webb White Young, A. Young, J.
Those who voted in the negative are:
Allen Askins Battle Bowers Brown, G. Brown, R. Carnell Clyburn Emory Freeman Gourdine Govan Harvin Hayes Hines, J. Hines, M. Hosey Jennings Kirsh Lee Lloyd Lourie Mack McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Phillips Rhoad Rivers Rutherford Scott Sheheen Smith, J.E. Snow Stille Weeks Whatley Whipper Wilder
So, the amendment was tabled.
Reps. JENNINGS and SCOTT proposed the following Amendment No. 57 (Doc Name COUNCIL\PT\AMEND\1454DW01), which was tabled:
Amend the bill, as and if amended, by striking Section 59-150-40 as contained in SECTION 2 in its entirety and inserting:
/ Section 59-150-40. (A) The commission is governed by a board composed of nine members to be appointed as follows, with mandatory inclusion from each of the state's congressional districts:
(1) five members shall be appointed by the Governor with the advice and consent of the Senate, one of whom must be designated by the Governor an at-large member who shall serve as chairman of the board; of the remaining four members, none shall reside in the same congressional district as the others;
(2) two members shall be appointed by the President Pro Tempore of the Senate, neither of whom may reside in the same congressional district as the other; and
(3) two members shall be appointed by the Speaker of the House of Representatives, neither of whom may reside in the same congressional district as the other.
(B) A member must:
(1) be a resident of the State of South Carolina;
(2) not have been convicted of a felony offense or bookmaking or other form of unlawful gambling. A background investigation must be conducted on each board nominee. The commission must pay for the cost of the investigation and may contract with the State Law Enforcement Division for the performance of the investigation;
(3) meet the qualifications for electors as provided in Section 7-5-120; and
(4) not have been an elected public official, as provided in Section 24, Article III, of the Constitution of this State and Section 2-1-100, for at least one year before appointment.
(C) The Governor, the President Pro Tempore, and the Speaker, as appropriate, must consider the following in making appointments to the board:
(1) legal, financial, accounting, and marketing experience; and
(2) race, gender, and other demographics factors to ensure nondiscrimination, inclusion, and representation of all segments of the State to the greatest extent possible.
(D) The members shall serve terms of four years, except that all members' regular terms shall be co-terminus with their appointing official. The initial appointments shall be as follows:
(1) the Governor must appoint three members to serve initial two-year terms, and two members to serve regular terms. The chairman appointed by the Governor must serve an initial term of two years;
(2) the Speaker must appoint two members to serve regular terms; and
(3) the President Pro Tempore must appoint two members to serve regular terms.
A vacancy that occurs on the board must be filled by appointment by the Governor, the President Pro Tempore, or the Speaker, as appropriate, for the remainder of the unexpired term.
(E) A member appointed when the General Assembly is not in regular session serves until a confirmation vote of the full Senate. If the appointment is not confirmed during the regular legislative session, the confirmation fails.
(F) A member of the board must comply with Ethics Reform Act requirements while performing official board duties. A member shall not serve on the board if he is an officer or employee of the corporation or if he has an immediate family member employed by the commissions.
(G) A member of the board may receive per diem, subsistence, and mileage at the rate provided by law for members of state boards, committees, and commission.
(H) The board must elect from their membership officers of the board, other than the chair, as prescribed by the bylaws of the commission.
(I) The board may delegate to any one or more of its members, to the chief executive officer of the commission, or to an agent or employee of the commission, those powers and duties it considers proper.
(J) A majority of members in office, to include members appointed but awaiting confirmation from the Senate, constitutes a quorum for the transaction of business and for the exercise of a power or function of the commission.
(K) Action may be taken and motions and resolutions adopted by the board at a board meeting by the affirmative vote of a majority of present and voting board members. This subsection does not relieve the board from the requirements of the South Carolina Freedom of Information Act.
(L) A vacancy in the membership of the board does not impair the right of the members to exercise all the powers and perform all the duties of the board.
(M) A member is appointed to the board for a term and may be removed from the board before the expiration of his term only as provided in Section 1-3-240(C).
(N) A member of the board must not contribute to or make independent expenditures relative to the campaign of a candidate for the General Assembly or a statewide constitutional office; to a political party, as defined in Section 8-13-1300(26); or to a committee, as defined in Section 8-13-1300(6). A member of the board who violates this section must be dismissed summarily.
(O) The board must not enter into a contract for goods or services, or otherwise do business, with a person who is a member of the General Assembly, an immediate family member of a member of the General Assembly, a person who has been a member of the General Assembly within one year prior to the date of the contract, or an individual with whom the member, former member, or immediate family member is associated in partnership or a business, company, corporation, or partnership where the member's, former member's, or immediate family member's interest is greater than five percent. For purposes of this subsection, the terms used herein are as set forth in Chapter 13 of Title 8. /
Amend title to conform.
Rep. JENNINGS explained the amendment.
Rep. SCOTT spoke in favor of the amendment.
Rep. A. YOUNG moved to table the amendment.
Rep. SCOTT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barfield Barrett Bingham Campsen Cato Chellis Coates Cooper Cotty Dantzler Delleney Easterday Edge Frye Gilham Hamilton Harrell Harrison Haskins Hinson Huggins Keegan Kelley Klauber Koon Law Leach Limehouse Littlejohn Loftis Lucas Martin McGee Merrill Owens Perry Quinn Rice Riser Robinson Rodgers Sandifer Scarborough Sharpe Simrill Sinclair Smith, D.C. Smith, J.R. Smith, W.D. Stille Stuart Talley Taylor Thompson Townsend Tripp Trotter Walker Webb White Wilkins Young, A. Young, J.
Those who voted in the negative are:
Allen Askins Bales Battle Bowers Breeland Brown, G. Brown, R. Carnell Clyburn Emory Freeman Gourdine Govan Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Kirsh Knotts Lee Lloyd Lourie Mack McCraw McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Phillips Rhoad Rivers Rutherford Scott Sheheen Smith, J.E. Snow Weeks Whatley Whipper Wilder
So, the amendment was tabled.
Rep. STILLE proposed the following Amendment No. 61 (Doc Name COUNCIL\DKA\AMEND\4403MM01), which was tabled:
Amend the bill, as and if amended, first sentence, second paragraph, Section 59-150-60(A)(17), SECTION 2, by deleting /expenditure of one-half of one percent/, and inserting:
/expenditure of one-quarter of one percent/
Amend title to conform.
Rep. STILLE explained the amendment.
Rep. A. YOUNG moved to table the amendment, which was agreed to by a division vote of 56 to 28.
Reps. DELLENEY, LUCAS, SIMRILL and MCGEE proposed the following Amendment No. 65 (Doc Name COUNCIL\DKA\AMEND\ 4377MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-30, by an appropriately lettered subsection to read:
/ ( )(1) A person who receives a pecuniary benefit, directly or indirectly, from a contractual, employment, regulatory, or other operational decision by the South Carolina Lottery Commission is prohibited from making a contributions to a political party or to a political candidate for statewide office or from hiring a lobbyist to represent his pecuniary interests.
(2) This prohibition applies to a lottery vendor or a lottery retailer, an employee or a member of the board of the commission, or a member of his immediate family or an individual with whom he is associated, as defined in Section 8-13-1300(19) of the State Ethics Reform Act.
(3) A covered person who has hired a lobbyist to represent his pecuniary interests or made a contribution to a political party or to a political candidate for statewide office before the date of the contractual, employment, regulatory, or other operational decision by the commission may not benefit from the decision until twenty-four months from the date of the most recent employment or contribution.
(4) A covered person who wilfully violates this section may not receive a pecuniary benefit from a contractual, employment, regulatory, or other operational decision by the commission for a period of ten years from the date of the discovery of the violation. /
Reletter subsections to conform.
Amend title to conform.
Rep. DELLENEY explained the amendment.
Rep. KEEGAN moved to table the amendment.
Rep. DELLENEY demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Allison Altman Askins Battle Bingham Breeland Brown, R. Campsen Carnell Chellis Clyburn Cotty Dantzler Edge Gilham Gourdine Govan Harrell Harrison Harvin Hayes Hines, J. Hines, M. Hinson Hosey Huggins Jennings Keegan Kelley Kirsh Knotts Law Lee Limehouse Lloyd Lourie Mack Martin McLeod Merrill Miller Moody-Lawrence Ott Owens Parks Perry Quinn Rhoad Riser Rodgers Rutherford Sandifer Scarborough Scott Smith, D.C. Smith, J.E. Smith, J.R. Snow Stuart Talley Thompson Trotter Webb Whatley White Wilder Wilkins Young, A.
Those who voted in the negative are:
Bales Barfield Barrett Bowers Cato Coates Cooper Davenport Delleney Easterday Fleming Freeman Frye Hamilton Haskins Klauber Koon Leach Littlejohn Loftis Lucas McCraw McGee Neal, J.H. Neal, J.M. Phillips Rice Rivers Robinson Sheheen Simrill Sinclair Smith, G.M. Stille Taylor Townsend Tripp Vaughn Walker Weeks Young, J.
So, the amendment was tabled.
Reps. DELLENEY, LUCAS, SIMRILL and MCGEE proposed the following Amendment No. 67 (Doc Name COUNCIL\DKA\AMEND\ 4381MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-40(D), by deleting the subsection and inserting:
/ (D) The member shall serve co-terminus with the official who appoints him. A vacancy that occurs on the board must be filled by appointment by the Governor, the President Pro Tempore of the Senate, or the Speaker of the House of Representatives, as appropriate, for the remainder of the unexpired term. /
Amend further, Section 59-150-40(L), by deleting the subsection and inserting:
/ (L) A member is appointed to the board for a term, but serves at the pleasure of the official who appointed him. /
Amend title to conform.
Rep. DELLENEY explained the amendment.
Rep. KEEGAN moved to table the amendment.
Rep. DELLENEY demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Allison Askins Barrett Breeland Brown, G. Carnell Cato Chellis Cooper Cotty Dantzler Easterday Edge Fleming Govan Harrell Harvin Hayes Hines, M. Hinson Hosey Huggins Jennings Keegan Kelley Kirsh Knotts Law Lee Limehouse Lloyd Lourie Mack Martin Merrill Moody-Lawrence Neal, J.H. Owens Parks Quinn Rice Riser Rivers Rodgers Rutherford Sandifer Scarborough Scott Sharpe Sinclair Smith, D.C. Smith, J.E. Smith, J.R. Talley Taylor Trotter Weeks Whatley Whipper White Wilder Wilkins Young, A.
Those who voted in the negative are:
Altman Bales Barfield Battle Bingham Bowers Campsen Clyburn Coates Davenport Delleney Emory Freeman Frye Hamilton Harrison Haskins Klauber Koon Leach Littlejohn Loftis Lucas McCraw McGee McLeod Miller Neal, J.M. Perry Phillips Robinson Sheheen Simrill Smith, F.N. Smith, G.M. Smith, W.D. Snow Stille Stuart Tripp Vaughn Walker Webb Young, J.
So, the amendment was tabled.
Reps. DELLENEY, LUCAS and SIMRILL proposed the following Amendment No. 69 (Doc Name COUNCIL\DKA\AMEND\ 4375MM01), which was adopted:
Amend the bill, as and if amended, by inserting:
/ Section 59-150-275. A person who specifically is made subject to the South Carolina Ethics Reform Act by this chapter and who knowingly violates a provision of this chapter that prohibits contributions to political campaigns or parties, independent expenditures to advance or defeat a lottery-related issue, employment of a lobbyist, representation of a client before the board as a former employee, or other prohibitions or restrictions relating to the unfair receipt of a pecuniary benefit from his association with the lottery, is guilty of a felony and, upon conviction, must be fined not more than twenty-five thousand dollars or imprisoned for not more than five years, or both. /
Amend title to conform.
Rep. DELLENEY explained the amendment.
Rep. RUTHERFORD moved to table the amendment.
Rep. LEACH demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Battle Breeland Brown, G. Carnell Clyburn Cooper Govan Hines, J. Hines, M. Hosey Law Lee Lloyd Mack Miller Moody-Lawrence Owens Parks Rutherford Scott Weeks Whipper
Those who voted in the negative are:
Allison Altman Askins Bales Barfield Barrett Bingham Bowers Campsen Cato Chellis Coates Cotty Dantzler Davenport Delleney Easterday Edge Emory Fleming Freeman Frye Hamilton Harrison Harvin Haskins Hinson Huggins Jennings Keegan Kelley Kirsh Klauber Koon Leach Limehouse Littlejohn Loftis Lourie Lucas Martin McCraw McGee McLeod Merrill Neal, J.M. Perry Phillips Rice Riser Rivers Robinson Rodgers Sandifer Scarborough Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, F.N. Smith, G.M. Smith, J.R. Smith, W.D. Snow Stille Stuart Talley Taylor Thompson Townsend Tripp Trotter Vaughn Walker Webb Whatley White Wilder Wilkins Young, A. Young, J.
So, the House refused to table the amendment.
The question then recurred to the adoption of the amendment, which was agreed to.
Reps. DELLENEY, LUCAS, SIMRILL and MCGEE proposed the following Amendment No. 70 (Doc Name COUNCIL\GGS\AMEND\ 22041CM01), which was tabled:
Amend the bill, as and if amended, by striking Section 59-150-20(7) and inserting:
/ (7) 'Lottery', 'lotteries', 'lottery game', or 'lottery games' means a game of chance approved by the General Assembly, operated pursuant to this chapter, and limited to the sale of one dollar lottery tickets containing a number with one drawing of a winning number during each week and excluding keno, pari-mutuel betting, and casino gambling as defined in this section. The operation of the lottery games excludes machines and lottery games, including video poker lottery games, prohibited by Sections 12-21-2710, 16-19-40, except a machine or device dispensing a lottery ticket, and 16-19-50. The access and use of an electronic or mechanical machine designed for a lottery game authorized pursuant to this chapter must be limited to a lottery retailer and their employees only in order to facilitate retail sales of lottery tickets, and such a machine must not dispense anything other than lottery tickets.
As used in this item, 'casino gambling' means a location or business for the purpose of conducting unlawful gambling activities, but excluding the sale and purchase of lottery game tickets or shares; and 'pari-mutuel betting' means a method or system of wagering on actual races including races involving horses or dogs at tracks and the distribution of winnings by pools. /
Amend title to conform.
Rep. DELLENEY explained the amendment.
Rep. SCOTT moved to table the amendment.
Rep. CAMPSEN demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Allison Askins Bales Battle Bingham Bowers Breeland Brown, G. Brown, J. Brown, R. Carnell Chellis Clyburn Cotty Dantzler Gourdine Govan Harrell Harrison Harvin Hayes Hines, J. Hines, M. Hinson Hosey Howard Huggins Jennings Keegan Kelley Kirsh Knotts Law Lee Limehouse Lloyd Lourie Mack Martin McLeod Miller Moody-Lawrence Ott Owens Parks Quinn Riser Rivers Rodgers Rutherford Sandifer Scarborough Scott Sheheen Smith, D.C. Smith, J.E. Smith, J.R. Snow Stuart Thompson Webb Weeks Whatley Whipper Wilkins Young, A.
Those who voted in the negative are:
Altman Barfield Barrett Campsen Cato Coates Cooper Davenport Delleney Easterday Emory Fleming Freeman Frye Hamilton Haskins Klauber Koon Leach Littlejohn Loftis Lucas McCraw McGee Perry Phillips Rice Robinson Sharpe Simrill Sinclair Smith, G.M. Smith, W.D. Stille Talley Taylor Townsend Vaughn Walker White Wilder Young, J.
So, the amendment was tabled.
Rep. MACK proposed the following Amendment No. 76 (Doc Name COUNCIL\DKA\AMEND\4419MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-60(A)(17), SECTION 2, by deleting at the end of the second paragraph:
/; and advertisements and promotions placed exclusively by the commission in newspapers or periodicals or on the commission official web site/.
Amend title to conform.
Rep. MACK explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. MACK demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Bales Barfield Barrett Bingham Campsen Cato Chellis Cooper Cotty Davenport Delleney Easterday Fleming Frye Gilham Hamilton Harrell Harrison Hinson Huggins Keegan Klauber Knotts Koon Leach Limehouse Littlejohn Loftis Lucas Martin McCraw McGee Owens Perry Phillips Quinn Rice Riser Robinson Sandifer Scarborough Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Stille Talley Taylor Trotter Vaughn Webb White Wilder Wilkins Young, J.
Those who voted in the negative are:
Allen Askins Battle Bowers Breeland Brown, G. Brown, J. Brown, R. Carnell Clyburn Dantzler Emory Freeman Govan Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Kirsh Law Lee Lloyd Lourie McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Rivers Rodgers Rutherford Scott Smith, F.N. Smith, J.E. Snow Stuart Thompson Townsend Weeks Whatley Whipper Young, A.
So, the amendment was tabled.
Reps. CARNELL, BARRETT, D.C. SMITH, RODGERS, COLEMAN, WILDER, MILLER, HAYES, J. H. NEAL, J. M. NEAL, EMORY, JENNINGS, ASKINS, KLAUBER, BOWERS, BREELAND, HARVIN, PARKS, G. BROWN, BALES, SNOW, MCCRAW, PHILLIPS, OTT, COBB-HUNTER, CLYBURN, MCLEOD, BATTLE, HOSEY, KENNEDY, M. HINES, RHOAD, GILHAM, LLOYD, STILLE, FREEMAN and J.E. SMITH proposed the following Amendment No. 77 (Doc Name COUNCIL\DKA\ AMEND\4397MM01):
Amend the bill, as and if amended, Section 59-150-350(C), SECTION 2, by deleting the subsection and inserting:
/ (C) At the beginning of the first fiscal year after the state lottery becomes operational, the Comptroller General shall certify the amount of net proceeds including investment earnings on the net proceeds credited to and accrued in the Education Lottery Account during the preceding fiscal year. The sum of certified net proceeds and investment earnings must be designated as annual lottery proceeds. Appropriations from the Education Lottery Account must be allocated only for educational purposes and programs by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years. Funds made available from the Education Lottery Account may not exceed the previous year's net proceeds and investment earnings as certified by the Comptroller General and must be allocated to full funding of the LIFE Scholarship for eligible resident students attending a four-year or two-year public institution or technical college as provided in Sections 59-149-10(E) and 59-149-50(D), up to one percent of net proceeds to the South Carolina State Library for public library state aid, to be distributed to county public libraries on a per capita basis and to be used for educational technology delivery, upgrade, and maintenance, and funding with all the remaining revenues for: elementary and secondary public education as determined pursuant to the Education Accountability Act of 1998 and education improvement legislation enacted into law after the effective date of this chapter, new programs enacted by the General Assembly for public institutions of higher learning, including public four-year colleges and universities and their branches and two-year colleges, as defined in Section 59-103-5, and state technical schools, which programs may include the creation of endowed chairs at the state's universities, with an emphasis in the areas of, but not limited to, engineering, computer science, and the sciences, and Youth Education Scholarships of up to and not to exceed one thousand dollars, to be determined in the annual general appropriations bill, to resident parents of a four-year-old who attains the age of four years by September first of the school year the scholarship is received and who attends a public or private, for profit or nonprofit kindergarten, preschool, or child development center program provided in this State. The scholarship is payable from the lottery proceeds through the Department of Education directly to the school in the name of the attending child. These programs may include, but are not limited to, language and literacy programs that help the child understand and tell stories, recognize pictures and words, learn the alphabet, and understand that writing is communication; math concepts that teach the child to count and sort objects into groups, recognize shapes, and make comparisons of size, shape, length, and weight; science concepts that teach the child to explore the natural environment, observe seasonal changes, communicate observations, and use tools to measure; art concepts that help the child express ideas and thoughts in creative ways, paint, draw, and sculpt, listen to music and sing songs, and recognize colors; and physical development activities that help the child move with balance and coordination, participate in indoor and outdoor physical activity, and use writing tools, puzzles, scissors, blocks, clay, and computers. The proportion of total recurring general fund and special fund revenues of the State expended for the total of public elementary, secondary, and higher education allocations in any fiscal year may not be less than the proportions in the fiscal year immediately before the fiscal year in which education revenues are first received from a state lottery, and may not be reduced or supplanted later by revenues received from a state lottery. /
Amend title to conform.
Rep. CARNELL explained the amendment.
Rep. W. D. SMITH spoke against the amendment.
Rep. W. D. SMITH moved to adjourn debate on the amendment, which was agreed to.
Rep. DAVENPORT proposed the following Amendment No. 80 (Doc Name COUNCIL\PT\AMEND\1471DW01), which was tabled:
Amend the bill, as and if amended, by deleting Section 59-150-210(D) as contained in SECTION 2 and inserting:
/ (D) A lottery ticket or share may not be sold in a business that sells alcoholic liquor, beer, or wine for consumption on the premises; within three hundred feet of a church, school, or playground, as provided in Section 59-150-150(B)(2)(i); to a lottery game other than that defined in Section 59-150-20(7); or to a lottery game with corporate sponsorship. /
Amend title to conform.
Rep. DAVENPORT explained the amendment.
Rep. SCOTT moved to table the amendment.
Rep. DAVENPORT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Altman Askins Bales Battle Bowers Breeland Brown, G. Brown, J. Carnell Chellis Clyburn Cotty Dantzler Emory Gourdine Harrell Harrison Harvin Hayes Hines, J. Hines, M. Hinson Hosey Howard Jennings Keegan Kelley Kirsh Knotts Law Lee Limehouse Lloyd Lourie McCraw Miller Ott Parks Perry Phillips Quinn Rhoad Rivers Rodgers Rutherford Sandifer Scott Smith, F.N. Smith, J.E. Smith, W.D. Snow Stuart Taylor Trotter Webb Weeks Whatley Whipper Wilkins Young, A.
Those who voted in the negative are:
Allison Barfield Barrett Bingham Brown, R. Campsen Cato Coates Cooper Davenport Delleney Easterday Fleming Freeman Frye Gilham Govan Hamilton Haskins Koon Leach Littlejohn Loftis Lucas Martin McGee Rice Robinson Sharpe Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Stille Talley Thompson Townsend Vaughn Walker White Wilder Young, J.
So, the amendment was tabled.
Rep. HARRELL gave notice of offering amendments on third reading if necessary, pursuant to Rule 9.2.
Rep. DAVENPORT proposed the following Amendment No. 81 (Doc Name COUNCIL\BBM\AMEND\10288HTC01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-230(A), by striking the first two sentences which read:
/ Lottery prizes are subject to the South Carolina state income tax. Residents and nonresidents of this State who receive a lottery prize in excess of five hundred dollars are subject to a mandatory withholding of state income tax as required by law. /
Amend further, by adding an appropriately numbered SECTION to read:
/ SECTION ____. Section 12-6-1140 of the 1976 Code is amended by adding an appropriately numbered item at the end to read:
"( ) prizes awarded pursuant to Chapter 150 of Title 59. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. DAVENPORT explained the amendment.
Rep. KEEGAN moved to table the amendment.
Rep. DAVENPORT demanded the yeas and nays, which were not ordered.
The amendment was then tabled by a division vote of 57 to 17.
Rep. LOURIE proposed the following Amendment No. 82 (Doc Name COUNCIL\BBM\AMEND\10290HTC01), which was tabled:
Amend the bill, as and if amended, by inserting a new SECTION after SECTION 4 to read:
/ SECTION 4.A.(1) Section 59-149-50(B) of the 1976 Code is amended to read:
"(B) Students receiving a LIFE Scholarship to retain it and students currently enrolled in an eligible institution to receive such a scholarship must earn a 2.5 cumulative grade point average on a 4.0 scale for the first year and a 3.0 cumulative grade point average on a 4.0 scale each successive year and earn at least thirty credit hours each year for the maximum of semesters permitted at that institution by Section 59-149-60."
(2) Notwithstanding the general effective date of this act, this section is effective beginning with the 2002-2003 academic year. /
Renumber sections to conform.
Amend title to conform.
Rep. LOURIE explained the amendment.
Rep. LOURIE continued speaking.
Rep. KEEGAN moved to table the amendment.
Rep. LOURIE demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barrett Bingham Campsen Cato Chellis Coates Cooper Cotty Dantzler Davenport Delleney Easterday Fleming Frye Gilham Hamilton Harrell Haskins Hinson Huggins Keegan Kelley Kirsh Klauber Knotts Koon Law Leach Limehouse Littlejohn Loftis Lucas Owens Perry Quinn Rice Robinson Sandifer Scarborough Sharpe Smith, D.C. Smith, J.R. Smith, W.D. Stille Stuart Talley Taylor Trotter Vaughn Walker Webb White Wilkins Young, A.
Those who voted in the negative are:
Allen Askins Bales Barfield Bowers Breeland Brown, G. Brown, J. Brown, R. Carnell Clyburn Cobb-Hunter Emory Freeman Gourdine Govan Harrison Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Lee Lloyd Lourie McCraw McLeod Miller Moody-Lawrence Neal, J.M. Ott Parks Phillips Rhoad Rivers Rodgers Rutherford Scott Sheheen Simrill Sinclair Smith, F.N. Smith, G.M. Smith, J.E. Snow Thompson Townsend Weeks Whatley Whipper Wilder Young, J.
So, the amendment was tabled.
Reps. WALKER and BALES proposed the following Amendment No. 83 (Doc Name COUNCIL\SWB\AMEND\5428DJC01), which was rejected:
Amend the bill, as and if amended, Section 59-149-50 as contained in SECTION 2, by striking subsection (e) in its entirety and inserting:
/ (E) Notwithstanding the provisions of this section and the other requirements of this chapter, beginning with school year 2002-2003, students attending a two-year college of this State taking not less than six credit hours per term (Fall, Spring, Summer) or eighteen credit hours of instruction a year but less than thirty credit hours a year who are otherwise eligible for a LIFE scholarship shall receive a LIFE scholarship equal to one-half the amount that eligible students receive at the two-year college who take at least thirty credit hours of instruction a year. To be eligible, two-year college students must have graduated in the top fifty percent of their high school graduating class or have a GPA of 2.5 or higher. Continuing eligibility requirements are that students meet all general eligibility requirements and earn a minimum of six credit hours per term (Fall, Spring, Summer) for a total of eighteen credit hours per year and earn a 2.5 grade point average by the end of the year. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. WALKER explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. WALKER demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Altman Barrett Campsen Cato Chellis Cooper Cotty Dantzler Easterday Fleming Freeman Gilham Hamilton Harrell Harrison Haskins Hinson Keegan Kelley Kirsh Klauber Law Leach Limehouse Lucas Owens Perry Quinn Rice Robinson Rodgers Sandifer Scarborough Smith, J.R. Talley Taylor Thompson Trotter Webb White Wilkins Young, A.
Those who voted in the negative are:
Allen Askins Bales Barfield Battle Bingham Bowers Breeland Brown, G. Brown, J. Brown, R. Carnell Clyburn Cobb-Hunter Davenport Delleney Emory Frye Gourdine Govan Harvin Hayes Hines, J. Hines, M. Hosey Howard Huggins Jennings Knotts Koon Lee Littlejohn Lloyd Lourie McCraw McGee McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Phillips Rhoad Rivers Rutherford Scott Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, F.N. Smith, G.M. Smith, J.E. Snow Stille Stuart Townsend Vaughn Walker Weeks Whatley Whipper Wilder Young, J.
So, the House refused to table the amendment.
Rep. HARRELL spoke against the amendment.
Rep. HARRELL spoke against the amendment.
Rep. WALKER spoke in favor of the amendment.
Rep. BALES spoke in favor of the amendment.
Rep. WEBB spoke against the amendment.
Rep. OTT spoke in favor of the amendment.
Rep. WHITE spoke against the amendment.
The question then recurred to the adoption of the amendment.
Rep. KEEGAN demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Bales Battle Bowers Breeland Brown, G. Brown, R. Carnell Clyburn Cobb-Hunter Davenport Emory Freeman Gourdine Govan Harvin Hayes Hines, J. Hines, M. Hosey Jennings Kennedy Knotts Lee Lloyd Lourie Mack McLeod Miller Moody-Lawrence Neal, J.H. Ott Parks Rhoad Rivers Rutherford Scott Sheheen Sinclair Smith, D.C. Smith, F.N. Smith, J.E. Snow Stille Stuart Vaughn Walker Weeks Whatley Whipper Wilder
Those who voted in the negative are:
Allison Altman Barfield Barrett Bingham Campsen Cato Chellis Coates Cooper Cotty Dantzler Delleney Easterday Edge Fleming Frye Gilham Hamilton Harrell Harrison Haskins Hinson Huggins Keegan Kelley Kirsh Klauber Koon Law Leach Limehouse Littlejohn Loftis Lucas Martin McCraw McGee Merrill Owens Perry Phillips Quinn Rice Robinson Rodgers Sandifer Scarborough Sharpe Simrill Smith, G.M. Smith, J.R. Smith, W.D. Talley Taylor Thompson Townsend Tripp Trotter Webb White Wilkins Young, A. Young, J.
So, the amendment was rejected.
Rep. HARRELL moved cloture on the entire matter.
Rep. SCOTT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barfield Barrett Bingham Chellis Cotty Dantzler Edge Fleming Frye Gilham Harrell Harrison Harvin Haskins Hinson Huggins Keegan Kelley Klauber Knotts Koon Law Leach Limehouse Littlejohn Lucas Martin Merrill Owens Perry Phillips Quinn Rhoad Rice Robinson Rodgers Sandifer Scarborough Sharpe Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Snow Stille Stuart Talley Taylor Thompson Townsend Vaughn Walker Webb White Wilder Wilkins Young, A. Young, J.
Those who voted in the negative are:
Allen Askins Bales Battle Bowers Breeland Brown, G. Brown, J. Brown, R. Campsen Carnell Cato Clyburn Cobb-Hunter Cooper Davenport Delleney Easterday Emory Freeman Gourdine Govan Hamilton Hayes Hines, J. Hines, M. Hosey Howard Jennings Kennedy Kirsh Lee Lloyd Loftis Lourie Mack McCraw McLeod Miller Moody-Lawrence Neal, J.H. Ott Parks Rivers Rutherford Scott Sheheen Smith, F.N. Smith, J.E. Tripp Trotter Weeks Whatley Whipper
So, cloture was ordered.
Rep. STILLE proposed the following Amendment No. 84 (Doc Name COUNCIL\NBD\AMEND\11627AC01), which was tabled:
Amend the bill, as and if amended, by deleting Section 59-150-130 (G) and inserting:
/(G) A former public official holding public office, a former public member holding public membership, or a former public employee having public employment on or after the effective date of this chapter may not serve a lottery vendor for a period of five years after terminating his public service or employment./
Renumber sections to conform.
Amend totals and title to conform.
Rep. STILLE moved to table the amendment, which was agreed to.
Rep. WALKER proposed the following Amendment No. 86 (Doc Name COUNCIL\GJK\AMEND\20592SD01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-350(C) of the 1976 Code, as contained in SECTION 2, by striking all after the third sentence in the subsection and inserting: / Funds made available from the Education Lottery Account may not exceed the previous year's net proceeds and investment earnings as certified by the Comptroller General. One-half of such proceeds in any year shall be used for higher education purposes in this State and one-half used for K-12 purposes. The higher education portion in any year shall be used to provide LIFE Scholarships for eligible resident students attending two-year or four-year public institutions or technical colleges in those amounts provided by law. The remaining one-half of the proceeds in any year for K-12 purposes shall be split into two parts with the first part used to provide youth education scholarships of up to and not to exceed one thousand dollars, to be determined in the annual general appropriations act, to resident parents of a four-year-old who attains the age of four years by September first of the school year the scholarship is received and who attends a public or private, for profit or nonprofit kindergarten, preschool, or child development center program provided in this State. The scholarship is payable from the lottery proceeds through the Department of Education directly to the school in the name of the attending child.
The remaining part of the K-12 funds shall be allocated equally between providing public school facility support and the maintenance and acquisition of school buses as the General Assembly shall provide by law. The proportion of total recurring general fund and special fund revenues of the State expended for the total of public elementary, secondary, and higher education allocations in any fiscal year may not be less than the proportions in the fiscal year immediately before the fiscal year in which education revenues are first received from a state lottery, and may not be reduced or supplanted later by revenues received from a state lottery.
Renumber sections to conform.
Amend totals and title to conform.
Rep. WALKER moved to table the amendment, which was agreed to.
Reps. HARRELL, KEEGAN and KELLEY proposed the following Amendment No. 87 (Doc Name COUNCIL\DKA\AMEND\ 4421MM01), which was adopted:
Amend the bill, as and if amended, Section 59-150-20(7), SECTION 2, by deleting the item and inserting:
/ (7) 'Lottery', 'lotteries', 'lottery game', or 'lottery games' means a game of chance approved by the General Assembly and operated pursuant to this chapter including, but not limited to, instant tickets, on-line lottery games, and drawing numbers, but excluding keno, pari-mutuel betting, and casino gambling as defined in this section. The operation of the lottery games excludes machines and lottery games, including video poker lottery games, prohibited by Sections 12-21-2710, 16-19-40, and 16-19-50. The access and use of an electronic or a mechanical machine designed for a lottery game authorized pursuant to this chapter must be limited to a lottery retailer and his employees only in order to facilitate retail sales of lottery tickets, and such a machine must not dispense anything other than lottery tickets.
As used in this item, 'casino gambling' means a location or business for the purpose of conducting unlawful gambling activities, but excluding the sale and purchase of lottery game tickets or shares; and 'pari-mutuel betting' means a method or system of wagering on actual races including races involving horses or dogs at tracks and the distribution of winnings by pools. /
Amend further, Section 59-150-60(D), by deleting the subsection and inserting:
/(D) The commission is not authorized to use any machine specifically prohibited by Sections 12-21-2710, 16-19-40 and 16-19-50. /
Amend title to conform.
Rep. HARRELL explained the amendment.
The amendment was then adopted.
Rep. HASKINS proposed the following Amendment No. 94 (Doc Name COUNCIL\SWB\AMEND\5425DJC01), which was tabled:
Amend the bill, as and if amended, Section 59-150-70 as contained in SECTION 2, by inserting between the sixth and seventh sentences of Section 59-150-70 two new sentences to read:
/ The commission must submit regulations for new games to the General Assembly for review in accordance with the Administrative Procedures Act. The commission may not start a new game until and unless the regulations governing the new game are approved by the General Assembly. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. HASKINS moved to table the amendment, which was agreed to.
Rep. SCOTT proposed the following Amendment No. 95 (Doc Name COUNCIL\BBM\AMEND\10296HTC01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-60(A)(17), by striking the second paragraph of item (17) and inserting:
/ Advertising and promotion of the lottery and lottery games as defined in Section 59-150-20(7) is restricted to: expenditure of one-half of one percent of gross lottery revenues; contracts of one year or less and awarded by the board after competitive bidding; information about how the game is played; identification of amounts or recipients, or both of them, of funding from the proceeds of ticket sales; explanation of the permitted uses of lottery proceeds; probability of winning; an entertainment context; encouragement of responsible play; information about recognizing and seeking treatment for compulsive gambling; sites and methods designed to reach the responsible adult player; and advertisements and promotions placed by the commission in newspapers or periodicals, in television or radio advertising, on billboards, and on the commission's official web site. /
Amend title to conform.
Rep. SCOTT explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. SCOTT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barfield Barrett Bingham Campsen Cato Chellis Cooper Cotty Davenport Delleney Easterday Edge Frye Gilham Hamilton Harrell Harrison Haskins Hinson Huggins Keegan Kelley Klauber Koon Leach Limehouse Littlejohn Lucas Martin McCraw McGee Merrill Owens Perry Phillips Quinn Rice Robinson Rodgers Sandifer Scarborough Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, F.N. Smith, G.M. Smith, J.R. Smith, W.D. Stille Talley Taylor Townsend Tripp Vaughn Walker Webb White Wilder Wilkins Young, J.
Those who voted in the negative are:
Allen Bales Battle Bowers Breeland Brown, G. Brown, J. Brown, R. Carnell Clyburn Coates Cobb-Hunter Dantzler Emory Freeman Gourdine Govan Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Kirsh Law Lee Lloyd Lourie Mack McLeod Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Rhoad Rivers Scott Smith, J.E. Snow Stuart Thompson Weeks Whatley Whipper
So, the amendment was tabled.
Rep. SCOTT proposed the following Amendment No. 97 (Doc Name COUNCIL\BBM\AMEND\10297HTC01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-60(A)(17), by striking the second paragraph of item (17) and inserting:
/ Advertising and promotion of the lottery and lottery games as defined in Section 59-150-20(7) is restricted to: expenditure of one-half of one percent of gross lottery revenues; contracts of one year or less and awarded by the board after competitive bidding; information about how the game is played; identification of amounts or recipients, or both of them, of funding from the proceeds of ticket sales; explanation of the permitted uses of lottery proceeds; probability of winning; an entertainment context; encouragement of responsible play; information about recognizing and seeking treatment for compulsive gambling; sites and methods designed to reach the responsible adult player; and advertisements and promotions placed exclusively by the commission in newspapers, periodicals, radio, or on the commission's official web site. /
Amend title to conform.
Rep. SCOTT explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. SCOTT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barfield Barrett Bingham Campsen Cato Chellis Cooper Cotty Davenport Delleney Easterday Edge Frye Gilham Hamilton Harrell Harrison Haskins Hinson Huggins Klauber Koon Leach Limehouse Littlejohn Lucas Martin McCraw McGee Merrill Owens Perry Quinn Rice Robinson Rodgers Sandifer Scarborough Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Stille Talley Taylor Townsend Tripp Walker Webb White Wilkins Young, A. Young, J.
Those who voted in the negative are:
Allen Askins Bales Battle Bowers Breeland Brown, G. Brown, R. Clyburn Coates Cobb-Hunter Dantzler Emory Freeman Govan Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Kirsh Law Lee Lloyd Lourie McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Phillips Rhoad Rivers Scott Smith, J.E. Snow Stuart Thompson Weeks Whatley Whipper Wilder
So, the amendment was tabled.
Rep. SCOTT proposed the following Amendment No. 98 (Doc Name COUNCIL\BBM\AMEND\10298HTCOA), which was tabled:
Amend the bill, as and if amended, in Section 59-150-60(A)(17), by striking the second paragraph of item (17) and inserting:
/ Advertising and promotion of the lottery and lottery games as defined in Section 59-150-20(7) is restricted to: expenditure of one-half of one percent of gross lottery revenues; contracts of one year or less and awarded by the board after competitive bidding; information about how the game is played; identification of amounts or recipients, or both of them, of funding from the proceeds of ticket sales; explanation of the permitted uses of lottery proceeds; probability of winning; an entertainment context; encouragement of responsible play; information about recognizing and seeking treatment for compulsive gambling; sites and methods designed to reach the responsible adult player; and advertisements and promotions placed exclusively by the commission in newspapers, periodicals, televsion, or on the commission's official web site. /
Amend title to conform.
Rep. SCOTT explained the amendment.
Rep. JENNINGS spoke in favor of the amendment.
Rep. HARRELL moved to table the amendment.
Rep. SCOTT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barfield Barrett Bingham Campsen Cato Coates Cooper Cotty Davenport Delleney Easterday Edge Fleming Frye Gourdine Hamilton Harrell Harrison Haskins Hinson Huggins Keegan Klauber Koon Leach Limehouse Littlejohn Lucas Martin McCraw McGee Merrill Owens Perry Phillips Rice Robinson Rodgers Sandifer Scarborough Sheheen Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Stille Talley Taylor Townsend Tripp Vaughn Webb White Wilder Wilkins Young, J.
Those who voted in the negative are:
Allen Askins Bales Battle Bowers Breeland Brown, G. Brown, J. Brown, R. Carnell Chellis Clyburn Cobb-Hunter Dantzler Emory Freeman Govan Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Kennedy Kirsh Knotts Law Lee Lloyd Lourie Mack McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Rhoad Rivers Scott Smith, J.E. Snow Stuart Thompson Weeks Whatley Whipper
So, the amendment was tabled.
Rep. SCOTT proposed the following Amendment No. 99 (Doc Name COUNCIL\BBM\AMEND\10299HTC01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-60(A)(17), by striking the second paragraph of item (17) and inserting:
/ Advertising and promotion of the lottery and lottery games as defined in Section 59-150-20(7) is restricted to: expenditure of one-half of one percent of gross lottery revenues; contracts of one year or less and awarded by the board after competitive bidding; information about how the game is played; identification of amounts or recipients, or both of them, of funding from the proceeds of ticket sales; explanation of the permitted uses of lottery proceeds; probability of winning; an entertainment context; encouragement of responsible play; information about recognizing and seeking treatment for compulsive gambling; sites and methods designed to reach the responsible adult player; and advertisements and promotions placed exclusively by the commission in newspapers, periodicals, billboards, or on the commission's official web site. /
Amend title to conform.
Rep. SCOTT explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. SCOTT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barfield Barrett Bingham Campsen Cato Coates Cooper Delleney Easterday Fleming Frye Harrell Harrison Haskins Hinson Huggins Keegan Kelley Kirsh Klauber Koon Leach Limehouse Littlejohn Lucas Martin McCraw McGee Merrill Owens Perry Phillips Rice Robinson Rodgers Sandifer Scarborough Sharpe Simrill Sinclair Smith, D.C. Smith, J.R. Smith, W.D. Stille Talley Taylor Townsend Tripp Vaughn Walker Webb Wilder Wilkins Young, A.
Those who voted in the negative are:
Allen Askins Bales Battle Bowers Breeland Brown, G. Brown, J. Brown, R. Carnell Chellis Clyburn Cotty Dantzler Davenport Edge Emory Freeman Gourdine Govan Harvin Hayes Hines, J. Hines, M. Hosey Jennings Kennedy Knotts Law Lee Lloyd Lourie Mack McLeod Miller Moody-Lawrence Neal, J.M. Ott Parks Rhoad Rivers Scott Sheheen Smith, J.E. Snow Stuart Thompson Weeks Whatley Whipper White
So, the amendment was tabled.
Rep. EASTERDAY proposed the following Amendment No. 101 (Doc Name COUNCIL\BBM\AMEND\10295HTC01), which was adopted:
Amend the bill, as and if amended, by striking Section 59-150-130(C) and inserting:
/ (C) a procurement contract must not be entered into with a lottery vendor if he or it has:
(1) been convicted of a criminal offense related to the security or integrity of the lottery in this or another jurisdiction;
(2) been convicted of unlawful gambling activity, false statements, false swearing, or perjury in this or another jurisdiction or convicted of a crime punishable by more than one year of imprisonment or a fine of more than one thousand dollars, or both, unless the person's civil rights have been restored and at least five years have elapsed from the date of the completion of the sentence without a subsequent conviction of a crime described in this subitem; or
(3) been found to have violated the provisions of this chapter or a regulation, policy, or procedure of the commission, unless either ten years have passed since the violation or the board finds the violation both minor and unintentional in nature. /
Amend title to conform.
Rep. EASTERDAY explained the amendment.
The amendment was then adopted.
Rep. STILLE proposed the following Amendment No. 102 (Doc Name COUNCIL\GGS\AMEND\22048MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-230(I) as contained in SECTION 2, by deleting in its entirety and inserting:
/ (I) Unclaimed prize money must be deposited in the Education Lottery Account each year. At least one percent of the gross total prize money in the Education Lottery Account must be allocated by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years to the South Carolina Department of Alcohol and Other Drug Abuse Services for the treatment of compulsive gambling disorder and educational programs related to that disorder, including a gambling hotline. If unclaimed prize money does not amount to at least five hundred thousand dollars in any one year of operation, the commission shall provide the Education Lottery Account, through the operating funds of the commission, the monies for DAODAS for the provision of those services, in an amount equal to the difference between the unclaimed prize monies and at least five hundred thousand dollars; except that the amount of funding for DAODAS, at least five hundred thousand dollars, must be allocated by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years. The Director of the DAODAS shall report to the board on the programs implemented with these funds, and provide a copy of the report to the General Assembly. /
Amend title to conform.
Rep. STILLE explained the amendment.
Rep. HARRELL moved to table the amendment, which was agreed to.
Rep. W.D. SMITH proposed the following Amendment No. 103 (Doc Name COUNCIL\GJK\AMEND\20595SD01), which was adopted:
Amend the bill, as and if amended, by adding a new SECTION appropriately numbered to read:
/SECTION ___. A statewide advisory referendum shall be held at the same time as the November 2004 general election as to whether or not the qualified electors of this State want to continue a State Education Lottery. Ballots must be provided at the various voting precincts with the following words printed or written on the ballot:
"Do you favor continuing the Sate Education Lottery?
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'."
The results of the advisory referendum shall be reported by the State Election Commission to the General Assembly and the Governor in January 2005. The cost of this statewide advisory referendum shall be paid by the State. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. W. D. SMITH explained the amendment.
Rep. JENNINGS spoke against the amendment.
Rep. SCOTT raised the Point of Order that Amendment No. 103 was out of order in that it was not germane to the Bill.
SPEAKER WILKINS overruled the Point of Order.
Rep. KNOTTS spoke against the amendment.
Rep. SCOTT moved to table the amendment.
Rep. ROBINSON demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Bales Battle Breeland Brown, G. Brown, R. Carnell Chellis Clyburn Cobb-Hunter Cotty Emory Freeman Gourdine Govan Harvin Hayes Hines, J. Hines, M. Hosey Jennings Kennedy Kirsh Knotts Law Lee Lloyd Lourie Mack McCraw McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Phillips Rhoad Rivers Scott Sheheen Smith, J.E. Snow Weeks Whatley Whipper Wilder
Those who voted in the negative are:
Allison Altman Barfield Barrett Bingham Bowers Campsen Cato Coates Cooper Davenport Delleney Easterday Edge Fleming Frye Hamilton Harrell Harrison Haskins Hinson Huggins Keegan Kelley Klauber Koon Leach Limehouse Littlejohn Loftis Lucas Martin McGee Merrill Owens Perry Rice Robinson Rodgers Sandifer Scarborough Simrill Sinclair Smith, D.C. Smith, G.M. Smith, W.D. Stille Stuart Talley Taylor Thompson Tripp Vaughn Walker Webb White Wilkins Young, A. Young, J.
So, the House refused to table the amendment.
The question then recurred to the adoption of the amendment.
Rep. KNOTTS demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barfield Barrett Bingham Bowers Campsen Cato Chellis Coates Cooper Davenport Delleney Easterday Edge Fleming Frye Hamilton Harrell Harrison Haskins Hinson Keegan Kelley Klauber Koon Leach Limehouse Littlejohn Loftis Lucas Martin McGee Merrill Owens Perry Rice Robinson Rodgers Sandifer Scarborough Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Stille Stuart Talley Taylor Thompson Townsend Tripp Vaughn Walker Webb White Wilkins Young, A. Young, J.
Those who voted in the negative are:
Allen Askins Bales Battle Breeland Brown, G. Brown, R. Clyburn Cobb-Hunter Cotty Dantzler Emory Freeman Govan Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Kennedy Kirsh Knotts Law Lee Lloyd Lourie Mack McCraw McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Phillips Rhoad Rivers Scott Sharpe Sheheen Smith, J.E. Snow Weeks Whatley Whipper Wilder
So, the amendment was adopted.
Rep. WHITE proposed the following Amendment No. 104 (Doc Name COUNCIL\BBM\AMEND\10303DJC01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-60(A)(17) as contained in SECTION 2, by adding a new sentence at the end of the third paragraph to read:
/ Consistent with this item and applicable law, the lottery may be advertised on billboards along interstate highways in this State. /
Amend title to conform.
Rep. WHITE moved to table the amendment, which was agreed to.
Reps. HINSON and A. YOUNG proposed the following Amendment No. 105 (Doc Name COUNCIL\SWB\AMEND\ 5442MM01), which was adopted:
Amend the bill, as and if amended, Section 59-149-50 as contained in SECTION 4, by adding at the end:
/ (F) In the absence of official school records to document the required grade point average for students attending a technical college, a satisfactory score on an admissions exam administered by the technical college is sufficient to meet the grade point average requirement./
Renumber sections to conform.
Amend title to conform.
Rep. HINSON explained the amendment.
The amendment was then adopted.
Rep. KNOTTS proposed the following Amendment No. 106 (Doc Name COUNCIL\GJK\AMEND\20601SD01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-60(A)(17) of the 1976 Code, as contained in SECTION 2, by adding at the end of the item: /Advertising as permitted in this item includes outdoor advertising; /
Amend further, as and if amended, in Section 59-150-160(C), as contained in SECTION 2, by adding at the end of the subsection:
/Advertising permitted by a lottery retailer under this subsection includes outdoor advertising located on the lottery retailer's business premises. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. KNOTTS moved to table the amendment, which was agreed to.
Rep. CAMPSEN proposed the following Amendment No. 108 (Doc Name COUNCIL\BBM\AMEND\10300HTC01), which was tabled:
Amend the bill, as and if amended, by striking Section 59-149-10(2), as contained in SECTION 3, and inserting:
/ (2) Beginning with school year 2002-2003, the annual amount of a LIFE Scholarship for eligible resident students attending a four-year independent institution must continue to be the cost of attendance up to a maximum of four thousand dollars a year, and the annual amount for eligible resident students attending a two-year independent institution must increase to the cost of attendance up to a maximum of no more than the cost of tuition at a two-year regional public institution for thirty credit hours a year or its equivalent. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. CAMPSEN moved to table the amendment, which was agreed to.
Rep. CAMPSEN proposed the following Amendment No. 109 (Doc Name COUNCIL\NBD\AMEND\11629AC01), which was adopted:
Amend the bill, as and if amended, by deleting Section 59-150-80(A) and inserting:
/(A) The board shall appoint and provide for the compensation of an executive director which must not be based upon or a function of profitability or percentage of sales. The executive director must be an employee of the commission who directs the day-to-day operations and management of the commission and is vested with powers and duties specified by the board and by law. The executive director serves at the pleasure of the board./
Renumber sections to conform.
Amend totals and title to conform.
Rep. CAMPSEN explained the amendment.
Rep. SCOTT moved to table the amendment.
Rep. KENNEDY demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Bales Breeland Carnell Chellis Clyburn Cobb-Hunter Emory Govan Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Keegan Kelley Kennedy Law Lee Lloyd Mack Miller Moody-Lawrence Neal, J.H. Ott Parks Scott Sheheen Snow Whatley Whipper Young, A.
Those who voted in the negative are:
Allison Altman Barfield Barrett Battle Bingham Bowers Brown, J. Brown, R. Campsen Cato Coates Cooper Cotty Dantzler Davenport Delleney Easterday Edge Fleming Freeman Frye Gourdine Hamilton Harrell Harrison Haskins Hinson Huggins Kirsh Klauber Knotts Koon Leach Littlejohn Loftis Lourie Lucas Martin McGee McLeod Neal, J.M. Perry Phillips Quinn Rice Rivers Robinson Rodgers Sandifer Scarborough Sharpe Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.E. Smith, J.R. Smith, W.D. Stille Stuart Talley Thompson Townsend Tripp Vaughn Walker Webb Weeks White Wilkins Young, J.
So, the House refused to table the amendment.
Rep. SCOTT spoke against the amendment.
Rep. JENNINGS spoke against the amendment.
Rep. CAMPSEN spoke in favor of the amendment.
The question then recurred to the adoption of the amendment.
Rep. EASTERDAY demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barfield Barrett Bingham Brown, J. Campsen Cato Chellis Coates Cooper Cotty Dantzler Davenport Delleney Easterday Edge Fleming Frye Hamilton Harrell Harrison Haskins Hinson Huggins Kirsh Klauber Koon Leach Limehouse Littlejohn Loftis Lucas Martin McGee Merrill Owens Perry Phillips Quinn Rice Robinson Rodgers Sandifer Scarborough Sharpe Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Stille Stuart Talley Taylor Thompson Townsend Tripp Vaughn Walker Webb Whipper White Wilkins Young, A. Young, J.
Those who voted in the negative are:
Allen Askins Bales Battle Bowers Breeland Brown, R. Carnell Clyburn Emory Freeman Govan Harvin Hayes Hines, J. Hosey Howard Jennings Keegan Kelley Kennedy Knotts Law Lee Lloyd Lourie Mack McCraw McLeod Miller Moody-Lawrence Ott Parks Rivers Scott Sheheen Smith, J.E. Weeks Whatley
So, the amendment was adopted.
Rep. HASKINS proposed the following Amendment No. 111 (Doc Name COUNCIL\SWB\AMEND\5436DJC01), which was tabled:
Amend the bill, as and if amended, Section 59-150-60(A)(17) as contained in SECTION 2, by inserting a new sentence to read:
/ Notwithstanding any other provision of law, advertising relating to the lottery is limited to black and white print media and must not contain subliminal messages of any kind. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. HASKINS moved to table the amendment, which was agreed to.
Reps. J. YOUNG and COATES proposed the following Amendment No. 112 (Doc Name COUNCIL\BBM\AMEND\10302HTC01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-230(A), in the fourth sentence, by striking /impose a tax/ and inserting / impose a tax, other than the state sales tax imposed pursuant to Chapter 36 of Title 12 and local sales taxes authorized by state law, /
Amend further, as and if amended, by striking SECTION 6 and inserting:
/ SECTION 6. Section 12-36-110(1) of the 1976 Code is amended by adding an appropriately lettered subitem at the end to read:
"( ) sales of lottery tickets pursuant to Chapter 150 of Title 59." /
Amend title to conform.
Rep. J. YOUNG moved to table the amendment, which was agreed to.
Rep. DAVENPORT proposed the following Amendment No. 113 (Doc Name COUNCIL\GJK\AMEND\20602SD01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-350(C) of the 1976 Code, as contained in SECTION 2, by striking in the fourth sentence of the subsection: / and must be allocated to full funding of the LIFE Scholarship for eligible resident students attending a four-year or two-year public institution or technical college as provided in Sections 59-149-10(E) and 59-149-50(D), and funding/ and inserting:
/ and must be used to provide Palmetto Fellows Scholarships to all eligible applicants, and to provide LIFE Scholarships for eligible resident students attending two-year or four-year public institutions or technical colleges in those amounts provided by law /
Renumber sections to conform.
Amend totals and title to conform.
Rep. DAVENPORT moved to table the amendment, which was agreed to.
Rep. CAMPSEN proposed the following Amendment No. 114 (Doc Name COUNCIL\BBM\AMEND\10301HTC01), which was ruled out of order:
Amend the bill, as and if amended, by adding a new SECTION appropriately numbered to read:
/ SECTION ____. A. Section 59-104-20 of the 1976 Code, as last amended by Act 289 of 2000, is further amended by adding a new paragraph at the end to read:
"Beginning with Palmetto Fellows Scholarship awards for school year 2001-2002, Palmetto Fellows Scholarship Funds shall not be allocated to individual higher education institutions or between public and independent institutions but instead shall be awarded from funds provided for this scholarship by the General Assembly to students based on academic criteria established by the Commission on Higher Education. These students may then use these scholarship funds to attend any institution of higher learning in this State."
B. Section 59-143-30 of the 1976 Code, as added by Act 458 of 1996, is amended to read:
"Section 59-143-30. (1) Of the funds made available for higher education scholarship grants from the higher education scholarship grant allocation under Section 59-143-10 of the 1976 Code for any year, a percentage thereof must be allocated for higher education scholarships and grants for students attending South Carolina independent colleges of higher learning in this State. This percentage shall be equivalent to the percentage of the independent colleges' share of the total South Carolina resident undergraduate full-time (FTE) enrollment of all public and independent higher education institutions in South Carolina based on the previous year's data as determined by the Commission on Higher Education and the South Carolina Tuition Grants Commission.
(2) The allocation each year to students at the South Carolina independent colleges under item (1) above shall be used to provide tuition grants under Chapter 113 of Title 59 of the 1976 Code, and Palmetto Fellows Scholarships under Section 59-104-20 of the 1976 Code in the manner the General Assembly shall provide in the annual general appropriations act. Of the funds allocated to independent college students, fifty percent shall be awarded for South Carolina Tuition Grants and fifty percent shall be awarded under the Palmetto Fellows Program. The funds allocated for South Carolina Tuition Grants to South Carolina independent colleges students under this subsection shall be included in the annual appropriation to the Commission on Higher Education and transferred annually into the budget of the South Carolina Tuition Grants Commission in the amount prescribed in item (1) above. The funds allocated for Palmetto Fellows Scholarships to South Carolina independent college students under this subsection shall be included in the annual appropriation to the Commission on Higher Education and may only be awarded to eligible students attending South Carolina independent colleges combined together with the Palmetto Fellows allocation for public institutions and included in the annual appropriation therefor to the Commission on Higher Education.
(3) Independent colleges for purposes of this subsection means those institutions eligible to participate in the South Carolina Tuition Grants Program as defined by Section 59-113-50.
(4) Public institutions shall receive the remaining allocation each year of the funds made available for higher education scholarship grants under Section 59-143-10. One-half shall be used to provide higher education need-based grants as provided for in this act or otherwise provided for in state law, and one-half shall be combined together with the Palmetto Fellows allocation for independent institutions and used to provide Palmetto Fellows Scholarships under Section 59-104-20 of the 1976 Code in the manner the General Assembly shall provide in the annual general appropriations act.
(5) The maximum amount of funding provided for awards to students attending South Carolina independent colleges from the Children's Education Endowment Fund for South Carolina Tuition Grants and Palmetto Fellows Scholarships shall not exceed the percentage funding calculation described under item (1) above.
(6) Beginning with Palmetto Fellows Scholarship awards for school year 2001-2002 and thereafter, the allocation for Palmetto Fellows Scholarship grants for public institutions and independent institutions under this section shall not be allocated between public and independent institutions but instead shall be pooled into one sum of money and awarded and used as provided in Section 59-104-20(B)." /
Renumber sections to conform.
Amend title to conform.
Rep. CAMPSEN explained the amendment.
Rep. WEEKS raised the Point of Order that Amendment No. 114 was out of order in that it was not germane to the Bill.
SPEAKER WILKINS sustained the Point of Order and ruled the amendment out of order.
Rep. BALES proposed the following Amendment No. 115 (Doc Name COUNCIL\BBM\AMEND\10305MM01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-60(A)(17), as contained in SECTION 2, the last sentence of the second paragraph, after /periodicals or on / by inserting / outdoor billboards or /
Amend title to conform.
Rep. BALES moved to table the amendment, which was agreed to.
Rep. COBB-HUNTER proposed the following Amendment No. 116 (Doc Name COUNCIL\BBM\AMEND\10304MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-20, SECTION 2, by deleting (4) in its entirety and inserting:
/ (4) 'Educational purposes and programs' means nonrecurring new or supplemental educational expenses and scholarships including, but not limited to, merit based scholarships and need-based grants funding; delivery, upgrade, and maintenance of technology to public schools grades K-12; purchase of public school buses for grades K-12; and delivery and upgrade of public education programs to grades K-12. Scholarships or grants, as defined in this subitem, may be provided only to citizens of this State to enable them to attend only public institutions of higher learning, as defined in Section 59-103-5, and state technical schools and independent institutions of higher learning in this State, as defined in Section 59-113-50. /
Amend further, Section 59-150-320(1), SECTION 2, by deleting item (1) and inserting:
/ (1) submit quarterly and annual reports to the Governor, the President Pro Tempore of the Senate, the Speaker of the House of Representatives, the State Auditor, the Comptroller General, the State Treasurer, and the Chairmen of the House Ways and Means Committee and the Senate Finance Committee disclosing the total lottery revenues, prize disbursements, operating expenses, and administrative expenses of the commission during the reporting period. The annual report additionally must describe the organizational structure of the commission, summarize the functions performed by each organizational division within the commission, and contain a detailed budget for the next fiscal year. The quarterly reports must be submitted within fifteen days of the end of the quarter, and the annual report must be submitted by October fifteenth. Both the quarterly and annual reports must break down lottery revenues and prize disbursements by zip code; / .
Amend further, by deleting Section 59-150-340, SECTION 2, in its entirety and inserting:
/ Section 59-150-340. The net proceeds received from the state lottery for education as provided by law must be deposited by the State Treasurer in a fund separate and distinct from the state general fund entitled the 'Education Lottery Account'. All interest or income earned by the fund must be retained in the account and used for its stated purposes. However, all revenue received by the Education Lottery Account in any fiscal year together with earnings on it for that year must be disbursed as required by Section 59-150-350. It is the intent of the General Assembly in creating this Education Lottery Account that its funds be managed so as to establish and fund these programs permanently. Upon receipt of monies transferred to the Education Lottery Account by the State Treasurer, these monies must be appropriated to the programs and for the purposes stipulated in Section 59-150-350, in the order and according to the pro rata share of proceeds as designated. The Comptroller General must record these revenues received on a cash basis, and disbursements for the purposes provided also must be on a cash basis; however, unexpended funds at the end of a fiscal year after disbursement to the programs authorized to receive the funds as provided in Section 59-150-350 may be carried forward to future years and expended for the same purposes. /
Amend further, by deleting subsection (C) of Section 59-150-350, SECTION 2, in its entirety and inserting:
/ (C)At the beginning of the first fiscal year after the state lottery becomes operational, the Comptroller General shall certify the amount of net proceeds including investment earnings on the net proceeds credited to and accrued in the Education Lottery Account during the preceding fiscal year. The sum of certified net proceeds and investment earnings must be designated as annual lottery proceeds. Appropriations by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years from the Education Lottery Account must be allocated for educational purposes and programs only. Funds made available from the Education Lottery Account may not exceed the previous year's net proceeds and investment earnings as certified by the Comptroller General and must be allocated so that up to fifty million dollars or fifty percent of the net proceeds, whichever is greater, is used for funding an increase in the base student costs for elementary and secondary public schools, with funds distributed to a school district according to the wealth-sensitive formula prescribed by the Education Finance Act of 1977, Chapter 20, Title 59; and the remaining fifty percent of net proceeds or the funds remaining, if any, after up to fifty million dollars of net proceeds, are distributed to and used by the Department of Education as follows: thirty percent of the remainder must be allocated for the purchase of public school buses, supplemental to any amounts appropriated for that purpose in the general appropriations act, by supplemental appropriations, or by a statewide bond bill; thirty percent of the remainder must be allocated equally between funding needs-based grants as defined in Chapter 142, Title 59, and tuition grants, as defined in Chapter 113, Title 59, with student eligibility to be determined in both cases, as appropriate, by "need" as defined by Title IV, Student Aid Programs for determining eligibility for federal financial aid for students; and forty percent of the remainder must be allocated for the delivery, upgrade, and maintenance of technology in educational facilities of public elementary and secondary schools. The proportion of total recurring general fund and special fund revenues of the State expended for the total of public elementary, secondary, and higher education allocations in any fiscal year may not be less than the proportions in the fiscal year immediately before the fiscal year in which education revenues are first received from a state lottery, and may not be reduced or supplanted later by revenues received from a state lottery. /
Amend title to conform.
Rep. COBB-HUNTER explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. COBB-HUNTER demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Altman Bales Barfield Barrett Bingham Bowers Chellis Coates Cotty Dantzler Davenport Easterday Edge Emory Fleming Frye Hamilton Harrell Harrison Harvin Haskins Hinson Huggins Keegan Kelley Kennedy Kirsh Klauber Koon Law Leach Limehouse Littlejohn Loftis Lucas McCraw McGee Merrill Owens Perry Quinn Rice Rivers Robinson Rodgers Sandifer Sharpe Simrill Sinclair Smith, D.C. Smith, J.R. Smith, W.D. Stille Talley Thompson Tripp Webb Wilkins
Those who voted in the negative are:
Allen Askins Battle Breeland Brown, J. Brown, R. Carnell Cato Clyburn Cobb-Hunter Cooper Delleney Freeman Gourdine Govan Hayes Hines, J. Hines, M. Hosey Howard Lee Lloyd Lourie Mack McLeod Miller Moody-Lawrence Neal, J.H. Ott Parks Phillips Rutherford Scarborough Scott Smith, G.M. Smith, J.E. Stuart Taylor Townsend Whipper White Wilder Young, J.
So, the amendment was tabled.
Rep. HARRISON proposed the following Amendment No. 117 (Doc Name COUNCIL\GJK\AMEND\20598AC01), which was adopted:
Amend the bill, as and if amended, by deleting Section 59-150-300(A) and inserting:
/(A) Any lottery retailer, lottery vendor, applicant for a lottery retailer license, or lottery game ticket holder aggrieved by an action of the board may appeal that decision to the Administrative Law Judge Division. The action is subject to review by an administrative law judge on the record of the board, upon petition of the aggrieved person within ten days from receipt of official notice from the board of the action of which review is sought. Service of notice is presumed conclusively ten days after mailing by registered or certified mail to the applicant or licensee of notice at his last known address. An appeal to the Administrative Law Judge Division pursuant to this section is not a contested case as defined by the Administrative Procedures Act; however, the appeal is subject to the procedural due process requirements provided for in Article 5, Chapter 23, Title 1 and the Rules of Procedure of the Administrative Law Judge Division. Appeals regarding lottery vendor contracts must be brought pursuant to the South Carolina Procurement Code. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. HARRISON explained the amendment.
The amendment was then adopted.
Rep. MCGEE proposed the following Amendment No. 118 (Doc Name COUNCIL\DKA\AMEND\4426MM01), which was adopted:
Amend the bill, as and if amended, by deleting Section 59-150-130(L) as contained in SECTION 2, and inserting:
/(L) The commission is prohibited from contracting with a lottery vendor if the fee or commission payable in connection with the service or product is contingent, in whole or in part, upon performance of lottery sales or other lottery profitability measure./
Amend title to conform.
Rep. MCGEE explained the amendment.
The amendment was then adopted.
Rep. KNOTTS proposed the following Amendment No. 119 (Doc Name COUNCIL\SWB\AMEND\5439HTC01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-60(A)(17) of the 1976 Code, as contained in SECTION 2, by adding at the end of the item: /Advertising as permitted in this item includes billboards if the billboards are located along interstate highways. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. KNOTTS explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. SCOTT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barfield Barrett Campsen Cato Chellis Cooper Davenport Delleney Easterday Edge Fleming Hamilton Harrell Harrison Haskins Hinson Kelley Klauber Koon Leach Limehouse Lucas Martin McCraw McGee Merrill Owens Perry Phillips Quinn Rice Robinson Sandifer Scarborough Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Talley Taylor Townsend Tripp Vaughn Walker Webb Whipper Wilder Young, A. Young, J.
Those who voted in the negative are:
Allen Askins Bales Battle Bowers Breeland Brown, J. Brown, R. Carnell Clyburn Cotty Dantzler Emory Freeman Gourdine Govan Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Kennedy Kirsh Knotts Lee Littlejohn Lloyd Lourie Mack McLeod Miller Moody-Lawrence Neal, J.M. Ott Parks Rivers Rodgers Rutherford Scott Smith, J.E. Stuart Thompson Weeks Whatley White
So, the amendment was tabled.
Rep. KNOTTS proposed the following Amendment No. 120 (Doc Name COUNCIL\BBM\AMEND\10312HTC01), which was adopted:
Amend the bill, as and if amended, in Section 59-150-350(C), by striking beginning at the end of the third sentence /or child development center provided in this State. The scholarship is payable from the lottery proceeds through the Department of Education directly to the school in the name of the attending child. These programs may include, but are not limited to, / and inserting / home school, or child development center program provided in this State. The scholarship is payable from the lottery proceeds through the Department of Education directly to the school in the name of the attending child after the department confirms that the program meets the following criteria that include, but are not limited to, /.
Amend title to conform.
Rep. KNOTTS explained the amendment.
Rep. MOODY-LAWRENCE moved to table the amendment.
Rep. MOODY-LAWRENCE demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Breeland Cotty Emory Howard Lloyd McLeod Moody-Lawrence Perry Rodgers
Those who voted in the negative are:
Allison Altman Askins Bales Barfield Barrett Battle Bingham Bowers Brown, J. Brown, R. Campsen Carnell Cato Chellis Clyburn Coates Cooper Dantzler Davenport Delleney Easterday Edge Fleming Freeman Frye Gourdine Govan Hamilton Harrell Harrison Harvin Haskins Hayes Hinson Hosey Huggins Jennings Keegan Kelley Kirsh Klauber Knotts Koon Law Leach Lee Limehouse Lourie Lucas Martin McCraw McGee Merrill Miller Neal, J.M. Ott Owens Parks Phillips Quinn Rice Robinson Rutherford Sandifer Scarborough Scott Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.E. Smith, J.R. Smith, W.D. Stille Stuart Talley Taylor Thompson Townsend Tripp Vaughn Walker Webb Whatley Whipper White Wilder Wilkins Young, A. Young, J.
So, the House refused to table the amendment.
The question then recurred to the adoption of the amendment, which was agreed to.
Rep. LEACH proposed the following Amendment No. 121 (Doc Name COUNCIL\DKA\AMEND\4425MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-60(A)(17), SECTION 2, by deleting the item in its entirety and inserting:
/ (17) The board shall review, at least quarterly, all past lottery advertising and proposed concepts for major media campaigns to ensure that the advertising was and is in a dignified manner befitting the State. /
Amend further, page [3307-21], Section 59-159-150(A), by deleting beginning on line 14 / Each lottery retailer shall post and display conspicuously its license on the disclosure sign required by Section 59-150-60(A)(17). / and by inserting after line 17 a new paragraph to read:
/ Each lottery retailer shall post and display its license on a conspicuous sign located at the point of play and disclosing the odds of winning and the problem of gambling addiction. Any advertising or promotion of the lottery may be undertaken and contracted for exclusively by licensed lottery retailers. /
Amend title to conform.
Rep. LEACH moved to table the amendment, which was agreed to.
Rep. BARRETT proposed the following Amendment No. 122 (Doc Name COUNCIL\BBM\AMEND\10308HTC01), which was tabled:
Amend the bill, as and if amended, by adding a penultimate section appropriately numbered to read:
/ SECTION ____. Chapter 150, Title 59 of the 1976 Code is repealed effective July 1, 2011, and for Chapter 150 of Title 59 of the 1976 Code to continue in effect, that chapter must be affirmatively reenacted by the General Assembly. /
Renumber sections to conform.
Amend title to conform.
Rep. BARRETT explained the amendment.
Rep. KELLEY moved to table the amendment.
Rep. BARRETT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Bales Battle Bingham Bowers Breeland Brown, J. Brown, R. Carnell Chellis Clyburn Cotty Dantzler Edge Emory Freeman Frye Gourdine Govan Harrell Harrison Harvin Hayes Hines, J. Hines, M. Hinson Hosey Howard Huggins Jennings Keegan Kelley Kirsh Knotts Koon Law Lee Limehouse Lloyd Lourie Lucas Mack McLeod Miller Ott Parks Phillips Quinn Rivers Rodgers Scarborough Scott Smith, J.E. Smith, J.R. Stuart Thompson Townsend Webb Weeks Whipper Wilder Wilkins Young, A.
Those who voted in the negative are:
Allison Barfield Barrett Cato Coates Cooper Davenport Delleney Easterday Fleming Hamilton Haskins Klauber Leach Littlejohn Loftis Martin McGee Merrill Moody-Lawrence Perry Rice Robinson Sandifer Sheheen Simrill Sinclair Smith, D.C. Stille Talley Tripp Vaughn Walker White
So, the amendment was tabled.
Rep. BARRETT proposed the following Amendment No. 123 (Doc Name COUNCIL\BBM\AMEND\10307HTC01), which was tabled:
Amend the bill, as and if amended, by adding a penultimate section appropriately numbered to read:
/ SECTION ____. Chapter 150, Title 59 of the 1976 Code is repealed effective July 1, 2006, and for Chapter 150 of Title 59 of the 1976 Code to continue in effect, that chapter must be affirmatively reenacted by the General Assembly. /
Renumber sections to conform.
Amend title to conform.
Rep. BARRETT moved to table the amendment, which was agreed to.
Rep. HASKINS proposed the following Amendment No. 124 (Doc Name COUNCIL\BBM\AMEND\10309MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-20 as contained in SECTION 2, by deleting items (18) and (19) and inserting:
/ (18) 'Ticket' means tangible evidence issued by the South Carolina Lottery Commission to provide participation in a lottery game. /
Amend further, by deleting the words /or share/ in every place it appears in the bill after the words /lottery game ticket/ and by deleting /or shares/ every place it appears in the bill after the words /lottery game tickets/.
Amend title to conform.
Rep. HASKINS moved to table the amendment, which was agreed to.
Rep. STILLE proposed the following Amendment No. 125 (Doc Name COUNCIL\PT\AMEND\1456DW01), which was tabled:
Amend the bill, as and if amended, Section 59-150-150(A) as contained in SECTION 2, the third sentence from the end, by striking /seven/ and inserting / not more than five /
Amend title to conform.
Rep. STILLE explained the amendment.
Rep. A. YOUNG moved to table the amendment, which was agreed to.
Rep. CAMPSEN proposed the following Amendment No. 126 (Doc Name COUNCIL\GGS\AMEND\22062CM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-110(A), as contained in SECTION 2, by striking Section 59-150-110(A) and inserting:
/ (A) There is created a Lottery Retailer Advisory Board to be composed of ten lottery retailers, representing the broadest possible spectrum of geographical, racial, gender, and business characteristics of a lottery retailer. The Governor also shall appoint the chairman and five other members of the advisory board. Two members of the advisory board shall be appointed by the Speaker Pro Tempore of the Senate, and two members shall be appointed by the Speaker of the House of Representatives. The function of the advisory board is to advise the lottery board on retail aspects of the lottery and to present the concerns of a lottery retailer throughout the State. The advisory board may establish a consumer representatives committee to help provide additional insight on other aspects of lottery retail sales. /
Amend title to conform.
Rep. CAMPSEN explained the amendment.
Rep. HOWARD spoke against the amendment.
Rep. A. YOUNG moved to table the amendment.
Rep. MCGEE demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Allison Askins Bales Battle Bingham Bowers Breeland Brown, R. Carnell Chellis Clyburn Cooper Cotty Dantzler Emory Frye Gourdine Govan Harrell Harvin Hayes Hines, J. Hines, M. Hinson Hosey Huggins Jennings Keegan Kelley Kirsh Koon Law Lee Limehouse Lourie Lucas McCraw McLeod Merrill Miller Moody-Lawrence Neal, J.H. Ott Owens Parks Perry Phillips Rhoad Rivers Rodgers Sandifer Scarborough Sharpe Sheheen Sinclair Smith, D.C. Smith, J.E. Smith, J.R. Talley Taylor Thompson Townsend Tripp Webb Weeks Whatley Whipper Wilkins Young, A.
Those who voted in the negative are:
Barfield Barrett Campsen Cato Coates Cobb-Hunter Davenport Delleney Easterday Edge Fleming Freeman Hamilton Harrison Kennedy Klauber Leach Littlejohn Lloyd Loftis McGee Rice Robinson Simrill Smith, G.M. Stille Stuart Vaughn Walker White Young, J.
So, the amendment was tabled.
Rep. CAMPSEN proposed the following Amendment No. 127 (Doc Name COUNCIL\DKA\AMEND\4427MM01), which was adopted:
Amend the bill, as and if amended, Section 59-149-10, SECTION 3, by deleting item (2) as contained in subsection (E), and inserting:
/ Beginning with school year 2002-2003, the annual amount of a LIFE Scholarship for eligible resident students attending a four-year independent institution must be the cost of attendance up to a maximum of the average annual cost of tuition at the state's four-year public institutions of higher learning in the corresponding academic year, and the annual amount for eligible resident students attending a two-year independent institution must increase to the cost of attendance up to a maximum of the cost of tuition at a two-year regional public institution, both for thirty credit hours a year or its equivalent. /
Amend title to conform.
Rep. CAMPSEN explained the amendment.
The amendment was then adopted.
Reps. DELLENEY and MCGEE proposed the following Amendment No. 128 (Doc Name COUNCIL\BBM\AMEND\ 10310MM01):
Amend the bill, as and if amended, Section 59-150-20, as contained in SECTION 2, by deleting item (7) and inserting:
/(7) 'Lottery', 'lotteries', 'lottery game', or 'lottery games' means a game of chance approved by the General Assembly and operated pursuant to this chapter including, but not limited to, instant tickets, on-line lottery games, drawing numbers, and lottery games using mechanical or electronic devices but excluding keno, pari-mutuel betting, and casino gambling as defined in this section. A lottery game may not exceed the price of one dollar for one play. The operation of the lottery games excludes machines and lottery games, including video poker lottery games, prohibited by Sections 12-21-2710, 16-19-40, except a machine or device dispensing a lottery ticket, and 16-19-50. The access and use of an electronic or mechanical machine designed for a lottery game authorized pursuant to this chapter must be limited to a lottery retailer and their employees only in order to facilitate retail sales of lottery tickets, and such a machine must not dispense anything other than lottery tickets.
As used in this item, 'casino gambling' means a location or business for the purpose of conducting unlawful gambling activities, but excluding the sale and purchase of lottery game tickets or shares; and 'pari-mutuel betting' means a method or system of wagering on actual races including races involving horses or dogs at tracks and the distribution of winnings by pools. /
Amend further, in Section 59-150-70(2), before /cash only/ by inserting /no more than one dollar and /.
Amend title to conform.
Rep. MCGEE explained the amendment.
Rep. HARRELL moved to adjourn debate on the amendment, which was agreed to.
Reps. CAMPSEN and HARRELL proposed the following Amendment No. 129 (Doc Name COUNCIL\DKA\AMEND\ 4430MM01), which was adopted:
Amend the bill, as and if amended, Section 59-150-60(A), SECTION 2, page [3307-10], line 10, by inserting / not more than / before /one-half/.
Amend further, Section 59-150-150(A), SECTION 2, page [3307-21], by deleting line 11 and inserting:
/ amount of not more than seven percent of gross sales and not more than a one percent incentive /
Amend title to conform.
Rep. CAMPSEN explained the amendment.
The amendment was then adopted.
Reps. KNOTTS, OTT, BALES, RHOAD and WHATLEY proposed the following Amendment No. 130 (Doc Name COUNCIL\ SWB\AMEND\5439DJC01), which was tabled:
Amend the bill, as and if amended, Section 59-149-50(D) as contained in SECTION 4, by striking subsection (D) in its entirety and inserting:
/"(D) Beginning with school year 2002-2003, an entering freshman to be eligible for a LIFE Scholarship in addition to the other requirements of this chapter shall meet two of the following five criteria:
(1) have the grade point average of C (2.0 GPA) or better required by this section;
(2) have the Scholastic Aptitude Test (SAT) or equivalent ACT score required by this section;
(3) be in the top fifty percent of his high school graduating class;
(4) be a general education degree (GED) recipient;
(5) successfully complete the first semester of college with a grade point average of C (2.0 GPA) or better.
For home school students and students whose high school graduating class is less than fifty students, the Commission on Higher Education may define alternative criteria for students to meet the requirement of item (3).
After receipt of a LIFE Scholarship by an entering freshman beginning with school year 2002-2003, a student shall meet the criteria established in this chapter to retain or regain the scholarship./
Renumber sections to conform.
Amend totals and title to conform.
Rep. OTT moved to table the amendment, which was agreed to.
Rep. HAMILTON proposed the following Amendment No. 131 (Doc Name COUNCIL\GJK\AMEND\20605SD01), which was tabled:
Amend the bill, as and if amended, in SECTION 1 by striking item (3) and inserting:
/ (3) lottery games must be operated and managed in a manner which ensures that the lottery is operated with integrity and dignity and free of political influence and maximizes the use of revenues; /
Renumber sections to conform.
Amend totals and title to conform.
Rep. HAMILTON moved to table the amendment, which was agreed to.
Rep. HAMILTON proposed the following Amendment No. 132 (Doc Name COUNCIL\GJK\AMEND\20610SD01), which was tabled:
Amend the bill, as and if amended, Section 59-150-20(7) as contained in SECTION 2, by inserting after the first sentence / The operation of the lottery games excludes joint or multi-state, or multi-sovereign lottery games. /
Amend further, Section 59-150-60(A) as contained in SECTION 2, by deleting item (7) in its entirety.
Amend further, Section 59-150-70 as contained in SECTION 2, by striking the fourth sentence and inserting:
/ The only lottery games that may be played pursuant to these temporary regulations, policies, and procedures are instant tickets and dollar tickets. /
Amend further, Section 59-150-230(C) as contained in SECTION 2 by deleting item (5) and inserting:
/ (5) A holder of a winning lottery game ticket or share from a lottery game or lottery must claim a cash prize within one hundred eighty days after the drawing in which the cash prize was won. In a South Carolina lottery game in which the player may determine instantly if he has won or lost, he must claim a cash prize within ninety days after the end of the lottery game. If a valid claim is not made for a cash prize within the applicable period, the cash prize is an unclaimed prize for purposes of this chapter. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. HAMILTON explained the amendment.
Rep. KELLEY moved to table the amendment, which was agreed to.
Rep. HAMILTON proposed the following Amendment No. 133 (Doc Name COUNCIL\GJK\AMEND\20606SD01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-20(7), as contained in SECTION 2, by striking /on-line lottery games,/ on line 4 of the item.
Renumber sections to conform.
Amend totals and title to conform.
Rep. HAMILTON explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. HAMILTON demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Bales Battle Bingham Bowers Breeland Brown, G. Brown, R. Carnell Chellis Cotty Dantzler Emory Gourdine Harrell Harrison Harvin Hayes Hines, J. Hines, M. Hinson Huggins Jennings Keegan Kelley Kirsh Knotts Koon Law Lee Lloyd Lucas Mack Martin McCraw Merrill Miller Moody-Lawrence Owens Parks Perry Phillips Quinn Rhoad Rutherford Scarborough Scott Sheheen Smith, J.E. Smith, J.R. Snow Stuart Talley Taylor Thompson Townsend Webb Weeks Whatley Whipper Wilkins Young, A.
Those who voted in the negative are:
Allison Barfield Barrett Campsen Cato Coates Cooper Davenport Delleney Easterday Edge Fleming Freeman Frye Hamilton Haskins Klauber Leach Loftis Lourie McLeod Rice Rivers Sandifer Sharpe Simrill Sinclair Smith, D.C. Smith, G.M. Stille Tripp Vaughn Walker White Wilder Young, J.
So, the amendment was tabled.
Rep. EASTERDAY proposed the following Amendment No. 135 (Doc Name COUNCIL\BBM\AMEND\10311HTC01), which was tabled:
Amend the bill, as and if amended, by striking Section 59-150-60(A)(7) and inserting:
/ (7) enter into written agreements with one or more other states for the operation, participation in marketing, and promotion of a joint lottery or joint lottery games, but such marketing and promotion is subject to the restrictions on advertising and promotion provided in item (17) of this section; /
Amend title to conform.
Rep. EASTERDAY explained the amendment.
Rep. JENNINGS spoke against the amendment.
Rep. A. YOUNG moved to table the amendment.
Rep. EASTERDAY demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Allison Askins Bales Battle Bowers Breeland Brown, R. Carnell Chellis Clyburn Cotty Dantzler Edge Emory Freeman Gourdine Govan Harrell Harrison Harvin Hayes Hines, J. Hines, M. Hinson Hosey Huggins Jennings Keegan Kelley Kennedy Kirsh Knotts Law Lee Limehouse Littlejohn Lourie Lucas Martin McCraw McLeod Merrill Miller Moody-Lawrence Neal, J.M. Ott Owens Parks Perry Quinn Rhoad Rivers Rodgers Rutherford Sandifer Scott Sheheen Smith, J.E. Smith, J.R. Snow Stuart Talley Taylor Thompson Townsend Tripp Webb Weeks Whatley Whipper White Wilder Wilkins Young, A.
Those who voted in the negative are:
Barfield Barrett Campsen Cato Coates Cooper Davenport Delleney Easterday Fleming Frye Hamilton Haskins Howard Klauber Koon Leach Loftis McGee Rice Robinson Scarborough Sharpe Simrill Sinclair Smith, G.M. Smith, W.D. Stille Vaughn Walker Young, J.
So, the amendment was tabled.
Rep. HAMILTON proposed the following Amendment No. 136 (Doc Name COUNCIL\GJK\AMEND\20608SD01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-20(13), as contained in SECTION 2, by striking / and prizes / on line 3 of the item.
Renumber sections to conform.
Amend totals and title to conform.
Rep. HAMILTON moved to table the amendment, which was agreed to.
Rep. HAMILTON proposed the following Amendment No. 137 (Doc Name COUNCIL\GJK\AMEND\20609SD01), which was adopted:
Amend the bill, as and if amended, in Section 59-150-60(A)(13), as contained in SECTION 2, by striking the item and inserting:
/(13) select and contract with lottery vendors and lottery retailers; /
Renumber sections to conform.
Amend totals and title to conform.
Rep. HAMILTON explained the amendment.
The amendment was then adopted.
Rep. HAMILTON proposed the following Amendment No. 138 (Doc Name COUNCIL\GJK\AMEND\20611SD01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-70(1), as contained in SECTION 2, by striking / or the use of electronic or mechanical devices / on line 3 of the item.
Renumber sections to conform.
Amend totals and title to conform.
Rep. HAMILTON moved to table the amendment, which was agreed to.
Rep. W. D. SMITH proposed the following Amendment No. 139 (Doc Name COUNCIL\GGS\AMEND\22059MM01), which was adopted:
Amend the bill, as and if amended, Section 59-150-350(C), as contained in SECTION 2, by deleting the subsection and inserting:
/ (C) At the beginning of the first fiscal year after the state lottery becomes operational, the Comptroller General shall certify the amount of net proceeds including investment earnings on the net proceeds credited to and accrued in the Education Lottery Account during the preceding fiscal year. The sum of certified net proceeds and investment earnings must be designated as annual lottery proceeds. Appropriations from the Education Lottery Account must be allocated only for educational purposes and educational programs by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years. Funds made available from the Education Lottery Account may not exceed the previous year's net proceeds and investment earnings as certified by the Comptroller General and must be allocated to full funding of the LIFE Scholarship for eligible resident students attending a four-year or two-year public institution or technical college as provided in Sections 59-149-10(E) and 59-149-50(D), up to one percent of net proceeds to the South Carolina State Library for public library state aid, to be distributed to county public libraries on a per capita basis and to be used for educational technology delivery, upgrade, and maintenance, except that a public library that offers public access to the internet must use an internet screening or filtering program to receive this funding, and funding with all the remaining revenues for: elementary and secondary public education as determined pursuant to the Education Accountability Act of 1998 and education improvement legislation enacted into law after the effective date of this chapter, new programs enacted by the General Assembly for public institutions of higher learning, including public four-year colleges and universities and their branches and two-year colleges, as defined in Section 59-103-5, and state technical schools, which programs may include the creation of endowed chairs at the state's universities, with an emphasis in the areas of, but not limited to, engineering, computer science, and the sciences, and Youth Education Scholarships of up to and not to exceed one thousand dollars, to be determined in the annual general appropriations bill, to resident parents of a four-year-old who attains the age of four years by September first of the school year the scholarship is received and who attends a public or private, for profit or nonprofit kindergarten, preschool, or child development center program provided in this State. The scholarship is payable from the lottery proceeds through the Department of Education directly to the school in the name of the attending child. These programs may include, but are not limited to, language and literacy programs that help the child understand and tell stories, recognize pictures and words, learn the alphabet, and understand that writing is communication; math concepts that teach the child to count and sort objects into groups, recognize shapes, and make comparisons of size, shape, length, and weight; science concepts that teach the child to explore the natural environment, observe seasonal changes, communicate observations, and use tools to measure; art concepts that help the child express ideas and thoughts in creative ways, paint, draw, and sculpt, listen to music and sing songs, and recognize colors; and physical development activities that help the child move with balance and coordination, participate in indoor and outdoor physical activity, and use writing tools, puzzles, scissors, blocks, clay, and computers. The proportion of total recurring general fund and special fund revenues of the State expended for the total of public elementary, secondary, and higher education allocations in any fiscal year may not be less than the proportions in the fiscal year immediately before the fiscal year in which education revenues are first received from a state lottery, and may not be reduced or supplanted later by revenues received from a state lottery. /
Amend title to conform.
Rep. QUINN explained the amendment.
Rep. MILLER spoke against the amendment.
Rep. CARNELL spoke against the amendment.
Rep. WHIPPER raised the Point of Order that Amendment No. 139 was out of order in that it was not germane to the Bill.
SPEAKER WILKINS overruled the Point of Order.
Rep. CARNELL continued speaking.
Rep. CARNELL moved to table the amendment.
Rep. CARNELL demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Askins Bales Battle Breeland Brown, R. Carnell Clyburn Cobb-Hunter Emory Freeman Gourdine Govan Harvin Hayes Hines, J. Hines, M. Hinson Hosey Howard Jennings Kennedy Kirsh Lee Lloyd Mack McCraw McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Owens Parks Phillips Rhoad Rivers Rodgers Rutherford Scarborough Scott Sheheen Smith, J.E. Snow Stille Webb Weeks Whatley Whipper Wilder
Those who voted in the negative are:
Allison Altman Barfield Barrett Bingham Bowers Campsen Cato Chellis Coates Cooper Cotty Delleney Easterday Edge Fleming Frye Hamilton Harrell Harrison Haskins Huggins Keegan Kelley Klauber Knotts Koon Leach Limehouse Littlejohn Loftis Lourie Lucas Martin McGee Merrill Ott Perry Quinn Rice Riser Robinson Sandifer Sharpe Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Stuart Talley Taylor Thompson Townsend Tripp Vaughn Walker White Wilkins Young, A. Young, J.
So, the House refused to table the amendment.
The question then recurred to the adoption of the amendment, which was agreed to.
I support protecting our children from pornography in public libraries by installing Internet filters that screen out pornographic material. On Amendment No. 139 by Rep. W.D. Smith I voted to table the amendment because spending lottery monies on public libraries violates South Carolina constitutional provisions that mandate all these funds be spent on education.
Rep. Wallace B. Scarborough
I support protecting our children from pornography in public libraries by installing Internet filters that screen out pornographic material. On Amendment No. 139 by Rep. W.D. Smith I voted to table the amendment because spending lottery monies on public libraries violates South Carolina constitutional provisions that mandate all these funds be spent on education.
Rep. Phil Sinclair
Rep. HASKINS proposed the following Amendment No. 140 (Doc Name COUNCIL\DKA\AMEND\4433MM01), which was adopted:
Amend the bill, as and if amended, Section 59-150-20(18), SECTION 2, pages 3307-4, beginning on line 35, by deleting the item and inserting:
/ (18) 'Share' means an intangible interest in a lottery ticket, by way of assignment, contractual participation, or other claim or right, subject to proof. /
Amend title to conform.
Rep. HASKINS explained the amendment.
The amendment was then adopted.
Rep. ROBINSON proposed the following Amendment No. 141 (Doc Name COUNCIL\BBM\AMEND\10314HTC01), which was tabled:
Amend the bill, as and if amended, the first paragraph of Section 59-150-70, SECTION 2, by deleting in the fourth sentence /instant tickets, /
Amend title to conform.
Rep. ROBINSON explained the amendment.
Rep. A. YOUNG moved to table the amendment.
Rep. ROBINSON demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Altman Askins Bales Battle Bowers Breeland Brown, R. Carnell Chellis Clyburn Cotty Dantzler Emory Freeman Frye Govan Harrell Harrison Harvin Hayes Hines, J. Hines, M. Hinson Hosey Howard Huggins Jennings Keegan Kelley Kirsh Knotts Koon Lee Limehouse Lloyd Lucas Mack McCraw McLeod Miller Moody-Lawrence Ott Owens Parks Quinn Rhoad Riser Rivers Rodgers Rutherford Sandifer Scarborough Scott Smith, D.C. Smith, J.E. Smith, J.R. Snow Stuart Talley Thompson Webb Weeks Whatley Whipper Wilkins Young, A.
Those who voted in the negative are:
Allison Barfield Barrett Bingham Campsen Cato Coates Cooper Davenport Delleney Easterday Edge Fleming Hamilton Haskins Klauber Leach Littlejohn Loftis Lourie Martin Merrill Perry Phillips Rice Robinson Sharpe Sheheen Simrill Sinclair Smith, G.M. Stille Taylor Tripp Vaughn Walker White Wilder Young, J.
So, the amendment was tabled.
Rep. HINSON proposed the following Amendment No. 142 (Doc Name COUNCIL\DKA\AMEND\4432MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-350, SECTION 2, by striking subsection (C) and inserting:
/ (C) At the beginning of the first fiscal year after the state lottery becomes operational, the Comptroller General shall certify the amount of net proceeds including investment earnings on the net proceeds credited to and accrued in the Education Lottery Account during the preceding fiscal year. The sum of certified net proceeds and investment earnings must be designated as annual lottery proceeds. Appropriations from the Education Lottery Account must be allocated only for educational purposes and educational programs by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years. Funds made available from the Education Lottery Account may not exceed the previous year's net proceeds and investment earnings as certified by the Comptroller General and must be allocated to the Department of Education for funding of the State's school districts based on the weighted formula of the Education Finance Act. The funds distributed to each district may be expended as determined by the district's board of trustees for K4-12 educational purposes and educational programs. In distributing monies to K-4 programs, a district must distribute funds to qualifying resident parents of a four-year-old who attends a private or nonprofit kindergarten, preschool, or child development center program provided in that district outside of its publicly offered K4 programs. Eligible parents must file certificates of eligibility with the appropriate school district in a manner prescribed by the Department of Education. The proportion of total recurring general fund and special fund revenues and bond revenues of the State expended for the total of public kindergarten, elementary, and secondary allocations in any fiscal year may not be less than the proportions in the fiscal year immediately before the fiscal year in which education revenues are first received from a state lottery, and may not be reduced or supplanted later by revenues received from a state lottery. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. HINSON explained the amendment.
Rep. HARRELL moved to table the amendment, which was agreed to.
Rep. KNOTTS proposed the following Amendment No. 143 (Doc Name COUNCIL\SWB\AMEND\5448HTC01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-60(A)(17) of the 1976 Code, as contained in SECTION 2, by adding at the end of the item: /Advertising as permitted in this item includes billboards if the billboards are located along interstate highways. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. KNOTTS moved to table the amendment, which was agreed to.
Reps. KNOTTS, OTT, BALES and WHATLEY proposed the following Amendment No. 144 (Doc Name COUNCIL\GGS\ AMEND\22065CM01), which was tabled:
Amend the bill, as and if amended, by adding a new SECTION to be appropriately numbered and to read:
/ SECTION ____. The 1976 Code is amended by adding:
"Section 59-149-55. In addition to the other requirements of this chapter for eligibility for a life scholarship, students who have received a GED score equivalent to a 'C' and determined by the Department of Education, meet the academic requirements to receive a life scholarship to attend a technical college of this State." /
Renumber sections to conform.
Amend title to conform.
Rep. KNOTTS moved to table the amendment, which was agreed to.
Reps. KNOTTS, OTT, BALES and WHATLEY proposed the following Amendment No. 145 (Doc Name COUNCIL\GGS\AMEND \22066SD01), which was adopted:
Amend the bill, as and if amended, by adding a new SECTION to be appropriately numbered to read:
/ SECTION ____. The 1976 Code is amended by adding:
"Section 59-149-56. Notwithstanding any other provision of law, students attending a technical college of this State after having received a GED certificate who have a 3.0 average on a 4.0 scale after the first semester meet the requirements for receiving a life scholarship under this chapter." /
Renumber sections to conform.
Amend title to conform.
Rep. KNOTTS explained the amendment.
The amendment was then adopted.
Reps. OTT, BALES and KNOTTS proposed the following Amendment No. 146 (Doc Name COUNCIL\GJK\AMEND\ 20613SD01), which was tabled:
Amend the bill, as and if amended, by adding a new SECTION appropriately numbered to read:
/SECTION ___. The 1976 Code is amended to read:
"Section 59-149-58. Notwithstanding any other provision of law, students attending a technical college of this State who are at least twenty-five years of age and who have a 3.0 average on a 4.0 scale after the first semester meet the academic requirements for receiving a life scholarship under this chapter at that technical college." /
Renumber sections to conform.
Amend totals and title to conform.
Rep. OTT explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. OTT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barfield Barrett Cato Chellis Coates Cooper Cotty Dantzler Davenport Edge Fleming Frye Harrell Harrison Haskins Hinson Keegan Kelley Kirsh Law Limehouse Littlejohn McGee Merrill Owens Perry Rice Riser Robinson Sandifer Scarborough Sharpe Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Talley Thompson Tripp Walker Webb White Wilkins Young, A. Young, J.
Those who voted in the negative are:
Askins Bales Battle Bingham Bowers Breeland Brown, J. Brown, R. Carnell Clyburn Cobb-Hunter Delleney Emory Freeman Gourdine Govan Hamilton Harvin Hayes Hines, J. Hines, M. Hosey Jennings Kennedy Klauber Knotts Koon Leach Lloyd Loftis Lourie Lucas Mack McCraw McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Rhoad Rivers Rutherford Scott Sheheen Simrill Smith, J.E. Snow Stille Stuart Taylor Townsend Weeks Whatley Whipper Wilder
So, the House refused to table the amendment.
Rep. HARRELL spoke against the amendment.
Rep. HARRELL moved to adjourn debate on the amendment, which was agreed to by a division vote of 46 to 38.
Reps. OTT, BALES and KNOTTS proposed the following Amendment No. 147 (Doc Name COUNCIL\PT\AMEND\ 1478DW01), which was tabled:
Amend the bill, as and if amended, by adding a new SECTION to be appropriately numbered to read:
/ SECTION ___. The 1976 Code is amended by adding:
"Section 59-149-57. Notwithstanding any other provision of law, students attending a technical college of this State who have graduated from high school with a minimum of a 2.0 cumulative grade average on a 4.0 scale and are ranked in the top fifty percent of their class meet the academic requirements to receive a LIFE Scholarship to attend a technical college of this State." /
Amend further, Section 59-149-50 as contained in SECTION 4, by deleting subsection (D) and inserting:
/ "(D) Except has provided in Section 59-149-57, beginning with school year 2002-2003, an entering freshman to be eligible for a LIFE Scholarship in addition to the other requirements of this chapter shall meet two of the following three criteria:
(1) have the grade point average required by this section;
(2) have the Scholastic Aptitude Test (SAT) or equivalent ACT score required by this section;
(3) be in the top thirty percent of his high school graduating class.
For home school students and students whose high school graduating class is less than fifty students, the Commission on Higher Education may define alternative criteria for students to meet the requirement of item (3).
After receipt of a LIFE Scholarship by an entering freshman beginning with school year 2002-2003, a student shall meet the criteria established in this chapter to retain or regain the scholarship." /
Renumber sections to conform.
Amend title to conform.
Rep. OTT moved to table the amendment, which was agreed to.
Reps. CATO, A. YOUNG and THOMPSON proposed the following Amendment No. 148 (Doc Name COUNCIL\BBM\AMEND\ 10315HTC01), which was adopted:
Amend the bill, as and if amended, in Section 59-150-210, by adding an appropriately lettered subsection at the end to read:
/ ( ) a lottery ticket or share may not be sold on the campus of a public institution of higher learning as defined in Section 59-103-5. /
Amend title to conform.
Rep. CATO explained the amendment.
The amendment was then adopted.
Reps. STUART and LOURIE proposed the following Amendment No. 149 (Doc Name COUNCIL\NBD\AMEND\11634MM01), which was adopted:
Amend the bill, as and if amended, Section 59-150-230(I) by inserting after the first sentence:
/ A portion of the unclaimed prized money, in an amount to be determined by the General Assembly in its annual general appropriations bill and other bills appropriating monies for previous or current fiscal years, must be allocated to the Department of Education for the purchase of new school buses./
Renumber sections to conform.
Amend totals and title to conform.
Rep. STUART explained the amendment.
The amendment was then adopted.
Reps. DELLENEY, LUCAS and SIMRILL proposed the following Amendment No. 150 (Doc Name COUNCIL\SKB\AMEND\ 18478SOM01), which was adopted:
Amend the bill, as and if amended, by deleting Section 59-150-40(L) and inserting:
/ (L) A member is appointed to the board for a term, but serves at the pleasure of the official who appointed him. /
Renumber sections to conform.
Amend title to conform.
Rep. DELLENEY explained the amendment.
The amendment was then adopted.
Rep. HAMILTON proposed the following Amendment No. 151 (Doc Name COUNCIL\GJK\AMEND\20612SD01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-70(6), as contained in SECTION 2, by striking / after deducting the price of the lottery game ticket or share/ beginning on line 4 of the item.
Renumber sections to conform.
Amend totals and title to conform.
Rep. HAMILTON moved to table the amendment, which was agreed to.
Rep. HAMILTON proposed the following Amendment No. 152 (Doc Name COUNCIL\SWB\AMEND\5447DJC01), which was tabled:
Amend the bill, as and if amended, Section 59-150-20(7) as contained in SECTION 2, by striking the first sentence of item (7) and inserting:
/(7) 'Lottery', 'lotteries', 'lottery game', or 'lottery games' means a game of chance approved by the General Assembly and operated pursuant to this chapter including instant tickets and drawing numbers, and excluding lottery games using mechanical or electronic devices, keno, pari-mutuel betting, and casino gambling as defined in this section. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. HAMILTON moved to table the amendment, which was agreed to.
Reps. JENNINGS, SCOTT and CARNELL proposed the following Amendment No. 154 (Doc Name COUNCIL\DKA\AMEND\ 4418MM01), which was tabled:
Amend the bill, as and if amended, SECTION 1, by deleting item (5) in its entirety.
Amend further, Section 59-150-90(A), SECTION 2, by deleting the subsection and inserting:
/ (A) The executive director of the commission shall direct and supervise all administrative and technical activities as provided by this chapter and by the regulations promulgated and policies and procedures adopted by the commission. It is the duty of the executive director to:
(1) oversee the initiation, supervision, and administration of the operation of the lottery games;
(2) employ and direct necessary personnel;
(3) employ by contract and compensate necessary persons and firms;
(4) promote or provide for promotion of the lottery and functions related to the commission;
(5) prepare a budget for the approval of the commission;
(6) require bond from retailers and vendors in amounts required by the commission;
(7) report quarterly to the board with a full and complete statement of lottery revenues and expenses for the preceding quarter; and
(8) perform other duties generally associated with an executive director of a commission of an entrepreneurial nature. /
Amend further by inserting:
/ Section 59-150-335. (A)(1) All lottery proceeds are the property of the commission.
(2) From its lottery proceeds, the commission shall pay the operating expenses of the commission. Approximately fifty percent of the amount of money from the actual sale of lottery game tickets or shares must be made available as prize money, except that this item does not create any lien, entitlement, cause of action, or other private right, and rights of holders of lottery games tickets or shares must be determined by the commission in setting the terms of its lottery or lotteries.
(B)(1) On or before the twentieth day of each month, the commission shall transfer to the Education Lottery Account, the amount of all net proceeds during the preceding month. The State Treasurer shall account separately for net proceeds by establishing and maintaining a Education Lottery Account. These proceeds may not be commingled with any other funds.
(2) Upon their deposit with the State, monies representing a deposit of net proceeds become the unencumbered property of the State of South Carolina and the commission may not agree or undertake otherwise. The monies may be invested by the State Treasurer pursuant to state investment practices. All earnings attributable to the investments are also the unencumbered property of the State and accrue to the credit of the Education Lottery Account.
(3)(a) A reserve account must be maintained within the Education Lottery Account. The amount of the reserve account must equal ten percent of the total amount of lottery proceeds deposited into the Education Lottery Account for the preceding fiscal year. For the first twelve months of operation, ten percent of the lottery proceeds received by the State must be credited to the reserve account. After the end of the first complete fiscal year, the reserve account must be maintained at the ten percent level.
(b) If the reserve account is drawn upon during the fiscal year, the account must be brought back to the appropriate level during the following fiscal year.
(c) The reserve account may only be drawn upon if the net proceeds are insufficient to meet the required funding for the scholarships as provided in Section 59-150-350.
(C)(1) Pursuant to Section 11-9-880, the Board of Economic Advisors, in conjunction with the commission, shall provide to the General Assembly, in a separate estimate, the amount of projected net lottery proceeds for the upcoming fiscal year. The State Treasurer's Office shall estimate the annual interest earnings from commission funds. All interest earnings and other net proceeds must be used for educational purposes and programs.
(2) Appropriations from the Education Lottery Account must be for educational purposes and programs only as defined in Section 59-150-350. These appropriations must be used to supplement and not supplant existing funds used for education.
(3) If expenditures for particular educational purposes or programs as defined in this chapter are less than the amounts appropriated, the excess may be retained in the account and expended the following fiscal year for those particular purposes or programs.
(D)(1) A deficiency in the Education Lottery Account may not be replenished by book entries reducing a nonlottery reserve of general funds including specifically, but without limitation, the General Reserve Fund or the Capital Reserve Fund.
(2) A surplus in the Education Lottery Account may not be reduced to correct nonlottery deficiencies in sums available for general appropriations, and a surplus in the Education Lottery Account may not be included in a surplus calculated for setting aside a nonlottery reserve, specifically, without limitation, the General Reserve Fund or the Capital Reserve Fund. /
Amend further by deleting Section 59-150-340, SECTION 2, and inserting:
/ Section 59-150-340. The net proceeds received from the state lottery for education as provided by law must be deposited by the State Treasurer in a fund separate and distinct from the state general fund entitled the 'Education Lottery Account'. All interest or income earned by the fund must be retained in the account and used for its stated purposes. However, all revenue received by the Education Lottery Account in any fiscal year together with earnings on it for that year must be disbursed as required by Section 59-150-350. It is the intent of the General Assembly in creating this Education Lottery Account that its funds be managed so as to establish and fund these programs permanently. Upon receipt of monies transferred to the Education Lottery Account by the State Treasurer, these monies must be appropriated to the programs and for the purposes stipulated in Section 59-150-350 in priority order with the programs ranked in higher order being fully funded first before other programs in lesser order are funded to any degree. The Comptroller General shall record these revenues received on a cash basis and disbursements for the purposes provided also must be on a cash basis; except, that unexpended funds at the end of a fiscal year after disbursement to the programs authorized to receive the funds as provided in Section 59-150-350 may be carried forward to future years and expended for the same purposes. /
Amend further by deleting Section 59-150-350, SECTION 2, and inserting:
/ Section 59-150-350. (A) There is appropriated for the following purposes and programs annually from the Education Lottery Account in priority order on a fiscal year basis beginning with fiscal year 2002-2003 the amounts indicated as provided in this section. Notwithstanding any other provision of law, no distribution may be made from the Education Lottery Account until net proceeds in the account exceed thirty-five million dollars.
(B) The first one hundred million dollars in the Education Lottery Account must be appropriated as follows:
(1) fifty percent to the Commission on Higher Education for free tuition at state technical colleges and two-year public institutions as provided in Section 59-150-360 of this chapter. Lottery tuition assistance at independent two-year institutions must be the same as the maximum in-state tuition rate at a two-year public institution;
(2) forty percent for the SC HOPE Scholarship Program established pursuant to Section 59-150-370 of this chapter; however, from these funds, the University of South Carolina-Aiken and the University of South Carolina-Spartanburg must be reimbursed the total cost of tuition for those students enrolled in the associate degree nursing program; this amount is in lieu of HOPE scholarships for those eligible students. The Commission on Higher Education may use up to one hundred thirty thousand dollars of these funds to help defray its expenses incurred in the performance of its duties pursuant to this chapter;
(3) nine percent to the Department of Education to be allocated to K-12 school technology;
(4) one percent to the State Library for public library state aid.
(C) After the items provided in subsection (B) are funded, the remaining proceeds in the Lottery Education Account are appropriated as follows:
(1) thirty percent to the Commission on Higher Education for state technical colleges and two-year public institutions for an "institutional impact fee" to mitigate the impact of increased enrollment at these colleges and institutions as a result of the provision of free tuition;
(2) forty percent to the Commission on Higher Education for higher education assistance, including twenty percent for need-based grants, eight percent for tuition grants, eight percent for grants to teachers for advanced education with priority to annual grants earmarked for teachers working toward their masters' degree or advanced education in their areas of certification, or both, and four percent for the National Guard Tuition Repayment Program; a portion of the needs-based grants generated by the South Carolina Education Lottery must be designated to help off-set the cost of attendance of Pell Grant recipients at two-year public institutions; funding shall not be allocated to institutions to cover the cost of tuition for a student to the extent that a student's tuition is paid by other grants, scholarships, or other financial aid. A student must not receive reduced financial aid as a result of the implementation of this section;
(3) twenty-seven percent to the Department of Education to be allocated K-12 school technology;
(4) three percent to the State Library for public library state aid.
(D) Distributions must be made from the Education Lottery Account on a quarterly basis by the last day of January, April, July, and October of each year, beginning in July 2002. Any net proceeds received during fiscal year 2001-2002 must be carried forward for distribution in fiscal year 2002-2003. This distribution schedule may be adjusted during the lottery's first and second year of operation as revenue permits. The State Treasurer must distribute all available funds in the Education Lottery Account each quarter to the programs or for the purposes indicated in subsections (B) and (C). /
Amend further by inserting at the end of SECTION 2:
/ Section 59-150-360. (A) SC HOPE Scholarships are hereby established and are provided by the State. These scholarships cover the cost of attendance, as defined by the Commission on Higher Education by regulation, up to a maximum of two thousand dollars per year, except as provided in item (2) of this subsection, to eligible resident students attending four-year public and independent institutions as defined in subsection (B),
(B) For purposes of this chapter, a 'public or independent institution' which a student may attend to receive an SC HOPE Scholarship includes the following:
(1) a South Carolina four-year public institution as defined in Section 59-103-5 and a four-year independent institution as defined in Section 59-113-50;
(2) a public or independent bachelor's level institution chartered before 1962 whose major campus and headquarters are located within South Carolina; or an independent bachelor's level institution which is accredited by the Southern Association of Colleges and Secondary Schools; or an independent bachelor's level institution which is accredited by the New England Association of Colleges and Schools. Institutions whose sole purpose is religious or theological training, or the granting of professional degrees do not meet the definition of 'public or independent institution' for purposes of this chapter.
(C) A student is eligible to receive and maintain a SC HOPE Scholarship if he meets the criteria for receiving and maintaining the Legislative Incentives for Future Excellence (LIFE) Scholarship; except that a minimum Scholastic Aptitude Test or ACT score is not required for eligibility for the SC HOPE Scholarship. These SC HOPE Scholarships must be granted and awarded as provided in this section.
(D) A student receiving a LIFE or Palmetto Fellows Scholarship must also receive an SC HOPE Scholarship pursuant to this section.
(E) These SC HOPE Scholarships in combination with all other grants and scholarships must not exceed the cost of attendance at the particular institutions referenced in subsection (B).
(F) The Commission on Higher Education must promulgate regulations and establish procedures to administer the provisions of this section. In addition, the commission must ensure accountability for the scholarship by monitoring the distribution of grades at the institutions that receive these scholarship funds.
(G) All institutions participating in the SC HOPE Scholarship Program must report their enrollment and other relevant data as solicited by the Commission on Higher Education which may audit these institutions to ensure compliance with this provision.
(H) If there are insufficient funds in the Education Lottery Account to provide full two thousand dollar scholarships to each eligible recipient for any particular year, the amount of each eligible recipient's scholarship must be reduced on a pro rata basis for that year as necessary to reflect the funds available.
Section 59-150-370. The State Department of Education, in consultation with the Budget and Control Board's Office of Information Resources, the State Library, and the Education Television Commission, shall administer primary and secondary technology funding provided for in Section 59-150-350(B)(3) and (C)(3). These funds are intended to provide technology connectivity, hardware, software, and training for the K-12 public schools throughout the State and, to the maximum extent possible, involve public-private sector collaborative efforts. Funds allocated to the local school districts for technology expenditures must be distributed based on the number of students eligible for the free and reduced lunch program in grades 1-3. /
Amend further by deleting SECTION 8 and inserting:
/ SECTION 8. Provisions of this chapter relating to guidelines for the appropriation of lottery proceeds must not be amended in a general appropriations act, but only in a separate piece of legislation solely for that purpose and by a majority vote of those present and voting in both houses of the General Assembly. /
Amend further by deleting SECTIONS 3, 4, and 12 in their entirety.
Renumber items and reletter subsections to conform.
Amend title to conform.
Rep. J. E. SMITH explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. SCOTT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barfield Barrett Bingham Campsen Cato Chellis Cooper Cotty Dantzler Davenport Delleney Easterday Edge Frye Hamilton Harrell Haskins Hinson Huggins Keegan Kelley Klauber Knotts Koon Law Leach Limehouse Littlejohn Loftis Lucas Martin McGee Merrill Owens Perry Quinn Rice Riser Robinson Rodgers Scarborough Sharpe Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Stille Stuart Talley Taylor Thompson Townsend Tripp Vaughn Walker Webb White Wilkins Young, A. Young, J.
Those who voted in the negative are:
Askins Bales Battle Bowers Breeland Brown, J. Brown, R. Carnell Clyburn Emory Freeman Gourdine Govan Harvin Hayes Hines, J. Hines, M. Hosey Jennings Kirsh Lee Lloyd Lourie McCraw McLeod Miller Moody-Lawrence Neal, J.H. Ott Rivers Rutherford Scott Sheheen Smith, J.E. Snow Weeks Whatley Whipper Wilder
So, the amendment was tabled.
Rep. COATES proposed the following Amendment No. 155 (Doc Name COUNCIL\SWB\AMEND\5445DJC01), which was adopted:
Amend the bill, as and if amended, Section 59-150-210(D), SECTION 2, by adding a new sentence at the end of subsection (d) to read:
/ A lottery ticket or share may not be sold at a location that serves alcohol for on-premise consumption./
Renumber sections to conform.
Amend totals and title to conform.
Rep. COATES explained the amendment.
Rep. A. YOUNG moved to table the amendment.
Rep. DAVENPORT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Bales Battle Bowers Breeland Brown, J. Chellis Clyburn Cotty Dantzler Freeman Frye Gourdine Harrell Harvin Hayes Hines, J. Hines, M. Hinson Hosey Jennings Keegan Kelley Kirsh Knotts Koon Law Limehouse Lloyd Lourie Lucas Martin McLeod Moody-Lawrence Ott Rhoad Rivers Sandifer Smith, G.M. Snow Stuart Webb Weeks Whatley Whipper Wilkins Young, A. Young, J.
Those who voted in the negative are:
Altman Askins Barfield Barrett Bingham Brown, R. Campsen Carnell Cato Coates Cooper Davenport Delleney Easterday Edge Fleming Hamilton Harrison Haskins Klauber Leach Lee Loftis McCraw McGee Miller Owens Perry Phillips Quinn Rice Riser Robinson Rodgers Scarborough Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, J.R. Smith, W.D. Stille Talley Taylor Thompson Townsend Tripp Vaughn Walker White Wilder
So, the House refused to table the amendment.
The question then recurred to the adoption of the amendment.
Rep. WEEKS demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Altman Askins Barfield Barrett Bingham Brown, R. Campsen Carnell Cato Coates Cobb-Hunter Cooper Davenport Delleney Easterday Edge Fleming Frye Hamilton Harrison Haskins Kennedy Klauber Knotts Koon Leach Loftis Lucas McCraw McGee Parks Perry Phillips Quinn Rice Riser Robinson Scarborough Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Stille Talley Taylor Thompson Townsend Tripp Vaughn Walker White Wilder Young, J.
Those who voted in the negative are:
Allison Bales Battle Bowers Breeland Brown, J. Chellis Clyburn Cotty Dantzler Emory Freeman Gourdine Govan Harrell Harvin Hayes Hines, J. Hines, M. Hinson Hosey Jennings Keegan Kelley Kirsh Law Lee Limehouse Littlejohn Lloyd Lourie Martin McLeod Miller Moody-Lawrence Ott Owens Rhoad Rivers Rodgers Sandifer Scott Smith, J.E. Snow Stuart Webb Weeks Whatley Whipper Wilkins Young, A.
So, the amendment was adopted.
Rep. COATES proposed the following Amendment No. 156 (Doc Name COUNCIL\SWB\AMEND\5446DJC01), which was adopted:
Amend the bill, as and if amended, Section 59-150-60(A)(17), SECTION 2, by striking /probability of winning;/ between /explanation of the permitted use of lottery proceeds;/ and /an entertainment context;/ in the second paragraph of item (17) and inserting /probability of winning and losing;/
Renumber sections to conform.
Amend totals and title to conform.
Rep. COATES explained the amendment.
The amendment was then adopted.
Reps. KNOTTS, G.M. SMITH and WHATLEY proposed the following Amendment No. 157 (Doc Name COUNCIL\SKB\ AMEND\18477SOM01), which was adopted:
Amend the bill, as and if amended, in Section 59-150-30 as contained in SECTION 2 by adding an appropriately numbered subsection to read:
/ (C) Jurisdiction for investigation of allegations of violations and for enforcement of the penalties for violations of the provisions of this chapter lies with the Statewide Grand Jury. /
Renumber sections to conform.
Amend title to conform.
Rep. KNOTTS explained the amendment.
The amendment was then adopted.
Rep. STUART proposed the following Amendment No. 161 (Doc Name COUNCIL\NBD\AMEND\11637AC01), which was tabled:
Amend the bill, as and if amended, by deleting Section 59-149-50(E) and inserting:
/(E) Notwithstanding the provisions of this section and the other requirements of this chapter, beginning with school year 2002-2003, students attending a technical college of this State taking not less than twelve credit hours of instruction a year but less than thirty credit hours a year who are otherwise eligible for a LIFE scholarship shall receive a LIFE scholarship equal to one-third the amount that eligible students receive at the technical college who take at least thirty credit hours of instruction a year."
SECTION 5. The 1976 Code is amended by adding:/
Renumber sections to conform.
Amend totals and title to conform.
Rep. STUART explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. STUART demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barrett Brown, R. Campsen Cato Chellis Clyburn Cooper Cotty Davenport Delleney Easterday Edge Fleming Harrell Harrison Harvin Hinson Hosey Jennings Keegan Kelley Kennedy Kirsh Klauber Leach Limehouse Lucas Martin McCraw Merrill Moody-Lawrence Perry Phillips Quinn Rice Riser Robinson Sandifer Sharpe Sheheen Simrill Smith, D.C. Smith, G.M. Smith, J.R. Stille Talley Taylor Thompson Townsend Tripp Vaughn Walker Weeks White Wilkins Young, A. Young, J.
Those who voted in the negative are:
Askins Bales Bowers Breeland Brown, J. Carnell Coates Cobb-Hunter Dantzler Govan Hamilton Hayes Hines, J. Hines, M. Koon Lee Littlejohn Lloyd Lourie Mack McGee McLeod Ott Parks Rivers Rodgers Scott Sinclair Smith, J.E. Snow Stuart Webb Whipper Wilder
So, the amendment was tabled.
Rep. HASKINS proposed the following Amendment No. 162 (Doc Name COUNCIL\DKA\AMEND\4433MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-20(18), SECTION 2, pages 3307-4, beginning on line 35, by deleting the item and inserting:
/ (18) 'Share' means an intangible interest in a lottery ticket, by way of assignment, contractual participation, or other claim or right, subject to proof. /
Amend title to conform.
Rep. HASKINS moved to table the amendment, which was agreed to.
Rep. LOURIE proposed the following Amendment No. 165 (Doc Name COUNCIL\NBD\AMEND\11638AC01), which was tabled:
Amend the bill, as and if amended, by inserting a new SECTION after SECTION 4 to read:
/ SECTION 4.A.(1) Section 59-149-50(B) of the 1976 Code is amended to read:
"(B) Students receiving a LIFE Scholarship to retain it and students currently enrolled in an eligible institution to receive such a scholarship must earn a 2.5 cumulative grade point average on a 4.0 scale for the first thirty hours and a 3.0 cumulative grade point average on a 4.0 scale each successive year and earn at least thirty credit hours each year for the maximum of semesters permitted at that institution by Section 59-149-60."
(2) Notwithstanding the general effective date of this act, this section is effective beginning with the 2002-2003 academic year. /
Renumber sections to conform.
Amend title to conform.
Rep. LOURIE explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. LOURIE demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barfield Barrett Campsen Cato Chellis Coates Cooper Cotty Dantzler Delleney Easterday Edge Fleming Frye Hamilton Harrell Haskins Hinson Keegan Kelley Kirsh Klauber Knotts Koon Law Leach Limehouse Littlejohn Loftis Merrill Owens Perry Quinn Rice Riser Robinson Rodgers Sandifer Scarborough Sharpe Smith, D.C. Smith, J.R. Smith, W.D. Stille Talley Taylor Townsend Tripp Vaughn Walker Webb White Wilkins Young, A.
Those who voted in the negative are:
Askins Bales Battle Bowers Breeland Brown, J. Brown, R. Carnell Clyburn Cobb-Hunter Davenport Emory Freeman Gourdine Govan Harrison Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Kennedy Lee Lloyd Lourie Lucas Mack Martin McCraw McGee McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Phillips Rhoad Rivers Rutherford Sheheen Simrill Sinclair Smith, G.M. Smith, J.E. Snow Thompson Weeks Whatley Whipper Wilder Young, J.
So, the amendment was tabled.
Rep. BALES proposed the following Amendment No. 166 (Doc Name COUNCIL\BBM\AMEND\10316HTC01), which was tabled:
Amend the bill, as and if amended, in Section 59-149-10(E) as contained in SECTION 3, by striking in items (1) and (2) /thirty credit hours/ and inserting / twenty-seven credit hours /.
Amend further, in Section 59-149-50(E) as contained in SECTION 4, by striking /thirty credit hours/ both times it appears and inserting / twenty-seven credit hours /.
Amend further, by inserting a new SECTION immediately after SECTION 3 to read:
/ SECTION 3.A. Subsections (B) and (C) of Section 59-149-50 of the 1976 Code, as last amended by Act 289 of 2000, are further amended to read:
"(B) Students receiving a LIFE Scholarship to retain it and students currently enrolled in an eligible institution to receive such a scholarship must earn a 3.0 cumulative grade point average on a 4.0 scale each year and earn at least thirty twenty-seven credit hours each year for the maximum of semesters permitted at that institution by Section 59-149-60.
(C) Students who were LIFE Scholarship recipients seeking a degree at such a public or independent institution of this State during their freshman or other year who failed to earn a cumulative 3.0 at the end of the term they attempted the requisite number of hours required by subsection (B) may regain eligibility if their cumulative grade average is a 3.0 at the end of the term they have attempted at least sixty fifty-four hours if they are a sophomore or ninety eighty-one hours if they are a junior./
Amend title to conform.
Rep. BALES explained the amendment.
Rep. KELLEY moved to table the amendment, which was agreed to by a division vote of 45 to 33.
Rep. HASKINS proposed the following Amendment No. 167 (Doc Name COUNCIL\SKB\AMEND\18482SOM01), which was adopted:
Amend the bill, as and if amended, in Section 59-150-160(A)(17) as contained in SECTION 2, by inserting a new sentence to read:
/ Notwithstanding any other provision of law, advertising relating to the lottery must not contain subliminal messages or images of any kind./
Renumber sections to conform.
Amend title to conform.
Rep. HASKINS explained the amendment.
The amendment was then adopted.
Rep. HASKINS proposed the following Amendment No. 168 (Doc Name COUNCIL\SKB\AMEND\18481SOM01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-160(A)(17) as contained in SECTION 2, by inserting a new sentence to read:
/ Notwithstanding any other provision of law, advertising relating to the lottery is limited to black and white print media. /
Renumber sections to conform.
Amend title to conform.
Rep. HASKINS explained the amendment.
Rep. KENNEDY moved to table the amendment, which was agreed to.
Rep. MERRILL proposed the following Amendment No. 169 (Doc Name COUNCIL\BBM\AMEND\10313HTC01), which was tabled:
Amend the bill, as and if amended, by striking Section 59-150-40 and inserting:
/ Section 59-150-40. (A) The commission is governed by a board composed of nine members to be selected as follows: three members must be appointed by the Governor, three members must be elected by the Senate, and three members must be elected by the House of Representatives.
(B) A member must:
(1) be a resident of the State of South Carolina;
(2) not have been convicted of a felony offense or bookmaking or other form of unlawful gambling. A background investigation must be conducted on each board nominee. The commission shall pay for the cost of the investigation and may contract with the State Law Enforcement Division (SLED) or appropriate federal agency for the performance of the investigation;
(3) meet the qualifications for electors as provided in Section 7-5-120;
(4) not have been an elected public official, as provided in Section 24, Article III, of the Constitution of this State and Section 2-1-100, for at least two years before appointment; and
(5) have been screened by a panel pursuant to procedures it establishes and found by the panel to meet the statutory qualifications and considerations for appointment or election to the board. The Governor shall submit the names of his potential board appointees to the panel and a member of the General Assembly must submit the names of a person he nominates for election. If the panel finds the potential member meets or does not meet the statutory qualifications, it shall notify the authority who submitted the name. A potential member found not statutorily qualified by the panel may not be appointed or elected to the board. The screening panel is composed of ten members: five selected by the President Pro Tempore of the Senate and five selected by the Speaker of the House of Representatives. The President Pro Tempore of the Senate and the Speaker of the House of Representatives shall each select three members of their respective bodies and two members from the public to serve on the screening panel. The members of the panel serve four-year terms. The investigation and consideration by the panel of a potential appointee is limited to the statutory qualifications established pursuant to this chapter. A panel member may be removed upon unanimous vote of the appointing authorities, or for cause by his appointing authority for malfeasance, incompetency, conflict of interest, misconduct, persistent neglect of duty in office, or incapacity.
(C) In making appointments to and electing members to the board, the Governor, the Senate, and the House of Representatives, as appropriate, shall consider legal, financial, accounting, and marketing experience and race, gender, and other demographics factors to ensure nondiscrimination, inclusion, and representation of all segments of the State to the greatest extent possible.
(D) The members shall serve terms of three years, except that of the initial members the Governor shall appoint two members, each to serve a two-year term, and one member to serve a four-year term; the members elected by the House of Representatives shall serve an initial two-year term, and the members elected by the Senate shall serve an initial four-year term. A vacancy that occurs on the board must be filled in the manner of the original appointment or election for the remainder of the unexpired term.
(E) A member shall not serve on the board if he is an officer or employee of the commission or if he has an immediate family member employed by the commission.
(F) A member of the board may receive per diem, subsistence, and mileage at the rate provided by law for members of state boards, committees, and commissions.
(G) The board shall elect from their membership officers of the board, including the chair.
(H) The board may delegate to the executive director of the commission those powers and duties it considers proper.
(I) A majority of members in office or at least five members, whichever is greater, constitutes a quorum for the transaction of business and for the exercise of a power or function of the commission.
(J) Action may be taken and motions and resolutions adopted by the board at a board meeting by affirmative vote of a majority of present and voting board members. This subsection does not relieve the board from the requirements of the South Carolina Freedom of Information Act.
(K) A vacancy in the membership of the board does not impair the right of the members to exercise all the powers and perform all the duties of the board.
(L) A member is appointed or elected to the board for a term and may be removed from the board before the expiration of his term only upon unanimous vote of the appointing or electing authorities, or for cause by his appointing or electing authority for malfeasance, incompetency, conflict of interest, misconduct, persistent neglect of duty in office, or incapacity. A majority vote of the House of Representatives or Senate is deemed a unanimous vote for purposes of this subsection.
(M) A member of the board shall not contribute to the campaign of a candidate for the General Assembly or a statewide constitutional office; to a political party, as defined in Section 8-13-1300(26); or to a committee, as defined in Section 8-13-1300(6); or make an independent expenditure to advance or defeat a measure related to the lottery. /
Amend title to conform.
Rep. MERRILL explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. KENNEDY demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Bales Barrett Bingham Brown, J. Campsen Cato Coates Cooper Cotty Delleney Easterday Fleming Frye Gilham Hamilton Harrell Harrison Haskins Huggins Keegan Kelley Klauber Koon Law Leach Limehouse Littlejohn Lloyd Lucas Martin McCraw Owens Parks Perry Phillips Quinn Rhoad Rice Riser Robinson Rodgers Sandifer Scarborough Scott Sharpe Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Snow Stille Stuart Talley Taylor Thompson Townsend Trotter Vaughn Walker Webb White Wilkins Young, J.
Those who voted in the negative are:
Askins Barfield Battle Bowers Breeland Brown, R. Carnell Chellis Clyburn Cobb-Hunter Dantzler Davenport Edge Emory Freeman Gourdine Govan Harvin Hayes Hines, J. Hines, M. Hinson Hosey Howard Jennings Kennedy Kirsh Lee Lourie Mack McGee McLeod Merrill Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Rivers Rutherford Sheheen Smith, J.E. Weeks Whatley Whipper Wilder Young, A.
So, the amendment was tabled.
Rep. COBB-HUNTER proposed the following Amendment No. 170 (Doc Name COUNCIL\SWB\AMEND\5432DJC01), which was tabled:
Amend the bill, as and if amended, Section 59-150-230(G), SECTION 2, by deleting:
/ or on probation or parole /.
Amend further Section 59-150-250(E), SECTION 2, by deleting:
/ or on probation or parole /.
Renumber sections to conform.
Amend title to conform.
Rep. HOWARD explained the amendment.
Rep. HARRELL moved to table the amendment, which was agreed to by a division vote of 54 to 25.
Reps. JENNINGS and SCOTT proposed the following Amendment No. 171 (Doc Name COUNCIL\GGS\AMEND\22058CM01), which was tabled:
Amend the bill, as and if amended, by striking Section 59-150-60 and inserting:
/ Section 59-150-60. (A) The board has all the powers necessary or convenient to carry out and effectuate the purposes and provisions of this chapter which are not in conflict with the Constitution of this State and which are generally exercised by boards engaged in entrepreneurial pursuits including, but not limited to, the powers to:
(1) sue and be sued in contract and in tort and to complain and defend in all courts;
(2) adopt and alter a seal and symbol;
(3) adopt, amend, and repeal bylaws, promulgate regulations, and adopt policies and procedures for the regulation of its affairs and the conduct of its business; to elect and prescribe the duties of officers and employees of the board; and to perform other matters as the board may determine;
(4) procure or to provide self-insurance;
(5) hold copyrights, trademarks, and service marks and enforce its rights with respect to them;
(6) organize, initiate, supervise, and administer the operation of the lottery as provided by this chapter and regulations promulgated and policies and procedures adopted pursuant to this chapter;
(7) enter into written agreements with one or more other states or sovereigns for the operation, participation in marketing, and promotion of a joint lottery or joint lottery games;
(8) conduct necessary or appropriate market research;
(9) acquire or lease real property and make improvements on it and acquire by lease or by purchase personal property including, but not limited to, computers; mechanical, electronic, and on-line equipment and terminals; and intangible property including, but not limited to, computer programs, systems, and software. To achieve cost savings and efficiency, the board shall use, to the maximum extent possible, the telecommunications network service of the Budget and Control Board's Office of Information Resources pursuant to Sections 1-11-430 and 11-35-1580;
(10) enter into contracts to incur debt in its own name and enter into financing agreements with the State, agencies or instrumentalities of the State, or with a commercial bank or credit provider; however, no obligation is assumed by the State;
(11) administer oaths, take depositions, issue subpoenas, and compel the attendance of witnesses and the production of books, papers, documents, and other evidence relative to any investigation or proceeding conducted by the board;
(12) appoint, select, or hire officers, agents, and employees, including professional and administrative staff and personnel and hearing officers to conduct hearings required by this chapter, and to fix their compensation and pay their expenses. Notwithstanding another provision of law, the board has exclusive authority to contract for legal services. All employees of the board are employees-at-will and are eligible for participation in the South Carolina Retirement System, the State Health Insurance Group plans, and are encompassed by the South Carolina Tort Claims Act;
(13) make pension payments to the South Carolina Retirement System and pay contributions to the Office of Insurance Services for dental and health plans on behalf of personnel or employees employed by the board who qualify in the same manner as other state employees in the executive branch of government;
(14) select and contract with vendors and retailers;
(15) enter into contracts or agreements with state or local law enforcement agencies for the performance of law enforcement, background investigations, and security checks;
(16) enter into contracts of any and all types on such terms and conditions as the board may determine;
(17) establish and maintain banking relationships including, but not limited to, establishment of checking and savings accounts and lines of credit;
(18) advertise and promote the lottery and lottery games in a dignified manner befitting the State. The amount spent on advertising may not exceed 7.5 million dollars during the first two fiscal years of operation of the lottery. For the third and subsequent fiscal years of operation of the lottery, the amount spent on advertising may not exceed two percent of the previous year's gross sales. The board must establish an advertising policy to ensure that advertising content and practices do not target with the intent to exploit specific ethnic groups or economic classes of people, and that the content of the advertising is accurate and not misleading. Lottery advertising must not contain the name or picture of an elected official or State Seal or its likeness. The board must review, at least quarterly, all past lottery advertising and proposedd concepts for major media campaigns to ensure that the advertising did not and does not target with the intent to exploit specific ethnic groups or economic classes of people, and that the content is accurate and not misleading. The commission must promote fair and responsible play, including disclosure of the odds of winning, and must ensure that any advertising used does not exhort the public to bet by misrepresenting, directly or indirectly, a person's chance of winning a prize. The commission may use interviews, pictures, or statements from people who have won lottery prizes to show that prizes are won and awarded. If the board finds that advertising conflicts with these policies, the board must cause the cessation of that advertising. In addition, wherever lottery game tickets are sold, the commission must provide information regarding resources for persons with gambling problems. Wherever lottery game tickets are sold, a lottery retailer must post a conspicuous sign in a prominent location, inside the retailer's premises and adjacent to the point of sale, clearly warning of the dangers and risks of gambling and the odds of winning and the odds of losing;
(19) act as a retailer, conduct promotions which involve the dispensing of lottery game tickets or shares, and establish and operate a sales facility to sell lottery game tickets or shares and related merchandise; and
(20) promulgate regulations and adopt and amend policies and procedures necessary to carry out and implement its powers and duties, organize and operate the board, regulate the conduct of lottery games in general, and other matters necessary or desirable for the efficient and effective operation of the lottery or the convenience of the public.
(B) The powers enumerated in subsection (A) of this section are cumulative of and in addition to those powers enumerated elsewhere in this chapter, and do not limit or restrict other powers of the board.
(C) The board is prohibited from distributing monies other than as prescribed by this chapter.
(D) The board is not authorized to use any machine specifically prohibited by Sections 12-21-2710, 16-19-40, and 16-19-50.
(E) The board is subject to the limitations upon, and exemptions from, liability and damages provided in the South Carolina Tort Claims Act. /
Amend title to conform.
Rep. JENNINGS explained the amendment.
Rep. KELLEY moved to table the amendment, which was agreed to by a division vote of 49 to 34.
Reps. CARNELL and SCOTT proposed the following Amendment No. 172 (Doc Name COUNCIL\SKB\AMEND\18480SOM01), which was tabled:
Amend the bill, as and if amended, by striking Section 59-150-40 as contained in SECTION 2 in its entirety and inserting:
/ Section 59-150-40. (A) The commission is governed by a board composed of seven members to be appointed by the Governor, with the advice and consent of the Senate. The Governor shall appoint one person representing each of the six congressional districts and one person from the State at large. The at-large appointee shall serve as chair of the board.
(B) A member must:
(1) be a resident of the State of South Carolina;
(2) be a prominent person in a business or profession; and
(3) not have been convicted of a felony offense. A background investigation must be conducted on each board nominee. The commission shall pay for the cost of the investigation and may contract with the State Law Enforcement Division for the performance of the investigation;
(4) meet the qualifications for electors as provided in Section 7-5-120;
(5) not be an elected public official, as provided in Section 24, Article III of the Constitution of this State and Section 2-1-100.
(C) The Governor shall consider in making the appointments to the board:
(1) legal, financial, accounting, and marketing experience; and
(2) race, gender, and other demographics factors to ensure nondiscrimination, inclusion, and representation of all segments of the State to the greatest extent possible.
(D) The chair must be appointed for a term of four years. The other members serve terms of six years, except that of the initial members appointed, two must be appointed for initial terms of two years, two must be appointed for initial terms of four years, and two must be appointed for initial terms of six years. A vacancy that occurs on the board must be filled by appointment by the Governor for the remainder of the unexpired term.
(E) A member appointed when the General Assembly is not in regular session serves until a confirmation vote of the full Senate. If the appointment is not confirmed during the regular legislative session, the confirmation fails.
(F) A member of the board must comply with Ethics Reform Act requirements while performing official board duties. A member may not serve on the board if he is an officer or employee of the commission or if he has an immediate family member employed by the commission.
(G) A member of the board may receive per diem, subsistence, and mileage at the rate provided by law for members of state boards, committees, and commissions.
(H) The board shall elect from their membership officers of the board, other than the chair, as prescribed by the bylaws of the commission.
(I) The board may delegate to any one or more of its members, to the chief executive officer of the commission, or to an agent or employee of the commission, those powers and duties it considers proper.
(J) A majority of members in office, to include members appointed but awaiting confirmation from the Senate, constitutes a quorum for the transaction of business and for the exercise of a power or function of the commission.
(K) Action may be taken and motions and resolutions adopted by the board at a board meeting by the affirmative vote of a majority of present and voting board members. This subsection does not relieve the board from the requirements of the South Carolina Freedom of Information Act.
(L) A vacancy in the membership of the board does not impair the right of the members to exercise all the powers and perform all the duties of the board.
(M) A member is appointed to the board for a term and may be removed from the board before the expiration of his term only as provided in Section 1-3-240(C). In addition, a member may be removed from the board before the expiration of his term by a two-thirds vote of the members of each house of the General Assembly. /
Amend title to conform.
Renumber sections to conform.
Rep. CARNELL explained the amendment.
Rep. KELLEY moved to table the amendment, which was agreed to by a division vote of 39 to 26.
Reps. CARNELL and SCOTT proposed the following Amendment No. 173 (Doc Name COUNCIL\SKB\AMEND\18479SOM01), which was tabled:
Amend the bill, as and if amended, by striking Section 59-150-40 as contained in SECTION 2 in its entirety and inserting:
/ Section 59-150-40. (A) The commission is governed by a board composed of seven members to be appointed by the Governor, with the advice and consent of the Senate. The Governor shall appoint one person representing each of the six congressional districts and one person from the State at large. The at-large appointee shall serve as chair of the board.
(B) A member must:
(1) be a resident of the State of South Carolina;
(2) be a prominent person in a business or profession; and
(3) not have been convicted of a felony offense. A background investigation must be conducted on each board nominee. The commission shall pay for the cost of the investigation and may contract with the State Law Enforcement Division for the performance of the investigation;
(4) meet the qualifications for electors as provided in Section 7-5-120;
(5) not be an elected public official, as provided in Section 24, Article III of the Constitution of this State and Section 2-1-100.
(C) The Governor shall consider in making the appointments to the board:
(1) legal, financial, accounting, and marketing experience; and
(2) race, gender, and other demographics factors to ensure nondiscrimination, inclusion, and representation of all segments of the State to the greatest extent possible.
(D) The chair must be appointed for a term of four years. The other members serve terms of six years, except that of the initial members appointed, two must be appointed for initial terms of two years, two must be appointed for initial terms of four years, and two must be appointed for initial terms of six years. A vacancy that occurs on the board must be filled by appointment by the Governor for the remainder of the unexpired term.
(E) A member appointed when the General Assembly is not in regular session serves until a confirmation vote of the full Senate. If the appointment is not confirmed during the regular legislative session, the confirmation fails.
(F) A member of the board must comply with Ethics Reform Act requirements while performing official board duties. A member may not serve on the board if he is an officer or employee of the commission or if he has an immediate family member employed by the commission.
(G) A member of the board may receive per diem, subsistence, and mileage at the rate provided by law for members of state boards, committees, and commissions.
(H) The board shall elect from their membership officers of the board, other than the chair, as prescribed by the bylaws of the commission.
(I) The board may delegate to any one or more of its members, to the chief executive officer of the commission, or to an agent or employee of the commission, those powers and duties it considers proper.
(J) A majority of members in office, to include members appointed but awaiting confirmation from the Senate, constitutes a quorum for the transaction of business and for the exercise of a power or function of the commission.
(K) Action may be taken and motions and resolutions adopted by the board at a board meeting by the affirmative vote of a majority of present and voting board members. This subsection does not relieve the board from the requirements of the South Carolina Freedom of Information Act.
(L) A vacancy in the membership of the board does not impair the right of the members to exercise all the powers and perform all the duties of the board.
(M) A member is appointed to the board for a term and may be removed from the board before the expiration of his term only as provided in Section 1-3-240(C). /
Amend title to conform.
Renumber sections to conform.
Rep. CARNELL moved to table the amendment, which was agreed to.
Reps. JENNINGS and SCOTT proposed the following Amendment No. 174 (Doc Name COUNCIL\DKA\AMEND\4395MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-230(C), SECTION 2, by deleting the subsection and inserting:
/ (C) The commission shall promulgate regulations and adopt policies and procedures to establish a system of verifying the validity of lottery games tickets or shares claimed to win prizes and to effect payment of prizes.
(1) A prize, a portion of a prize, or a right of a person to a prize awarded is not assignable except as provided in this section. A prize or a portion of a prize remaining unpaid at the death of a prize winner must be paid to the estate of the deceased prize winner or to the trustee of a trust established by the deceased prize winner as settlor if a copy of the trust document or instrument has been filed with the commission with a notarized letter of direction from the settlor and no written notice of revocation has been received by the commission before the settlor's death. Following a settlor's death and before payment to a trustee, the commission shall obtain from the trustee a written agreement to indemnify and hold the commission harmless with respect to claims that may be asserted against the commission arising from payment to or through the trust. Notwithstanding any other provisions of this section, a person, pursuant to an appropriate judicial order, may be paid the prize to which a winner is entitled.
(2) A prize must not be paid if it:
(a) arises from claimed lottery game tickets that are stolen, counterfeit, altered, fraudulent, unissued, produced or issued in error, unreadable, not received, or not recorded by the commission within applicable deadlines;
(b) lacks captions that conform and agree with the play symbols as appropriate to the particular lottery game involved; or
(c) fails to comply with additional specific regulations and public or confidential validation and security tests of the commission appropriate to the particular lottery game involved.
(3) A particular prize in a lottery game must not be paid more than once, and if more than one person is entitled to a particular prize, the sole remedy of those persons is the award to each of them of an equal share in the prize.
(4) A holder of a winning lottery game ticket or share from a lottery game, multi-state, or multi-sovereign lottery game must claim a cash prize within one hundred eighty days after the drawing in which the cash prize was won. In a South Carolina lottery game in which the player may determine instantly if he has won or lost, he must claim a cash prize within ninety days, or for a multi-state lottery game within one hundred eighty days, after the end of the lottery game. If a valid claim is not made for a cash prize within the applicable period, the cash prize is an unclaimed prize for purposes of this chapter. /
Amend title to conform.
Rep. JENNINGS explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. J. E. SMITH demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barfield Barrett Bingham Campsen Cato Chellis Coates Cooper Davenport Easterday Fleming Frye Gilham Hamilton Harrell Harrison Hinson Huggins Keegan Kelley Klauber Koon Leach Limehouse Loftis Lucas Martin McGee Merrill Owens Perry Quinn Rice Riser Robinson Rodgers Sandifer Scarborough Sharpe Simrill Sinclair Smith, D.C. Smith, J.R. Smith, W.D. Stuart Talley Taylor Trotter Vaughn White Wilkins Young, A. Young, J.
Those who voted in the negative are:
Askins Battle Bowers Breeland Brown, J. Carnell Clyburn Dantzler Delleney Edge Emory Freeman Gourdine Govan Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Kirsh Knotts Lourie Mack McCraw McLeod Miller Neal, J.H. Neal, J.M. Ott Phillips Rhoad Rivers Rutherford Sheheen Smith, J.E. Snow Thompson Webb Weeks Whatley Whipper Wilder
So, the amendment was tabled.
Rep. ALTMAN proposed the following Amendment No. 16 (Doc Name COUNCIL\BBM\AMEND\10280HTC01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-350(C) by striking in the fourth sentence /as certified by the Comptroller General and must be / and inserting / as certified by the Comptroller General and must be allocated in an amount between fifty million dollars and one hundred million dollars a year upon appropriation in the general appropriations bill for reading programs in grades K-5, then amounts remaining must be /
Amend title to conform.
Rep. ALTMAN explained the amendment.
Rep. KELLEY moved to table the amendment, which was agreed to by a division vote of 44 to 25.
Rep. HARRELL proposed the following Amendment No. 18 (Doc Name COUNCIL\GJK\AMEND\20588SD01), which was adopted:
Amend the bill, as and if amended, by striking SECTION 13 and inserting:
/SECTION 13. This act takes effect upon approval by the Governor. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. HARRELL explained the amendment.
The amendment was then adopted.
Reps. VAUGHN and ROBINSON proposed the following Amendment No. 21 (Doc Name COUNCIL\BBM\AMEND\ 10283HTC01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-230(A), in the fourth sentence, by striking /impose a tax/ and inserting / impose a tax, other than the state sales tax imposed pursuant to Chapter 36 of Title 12 and local sales taxes authorized by state law, /
Amend further, as and if amended, by striking SECTION 6 and inserting:
/ SECTION 6. Section 12-36-110(1) of the 1976 Code is amended by adding an appropriately lettered subitem at the end to read:
"( ) sales of lottery tickets pursuant to Chapter 150 of Title 59." /
Amend title to conform.
Rep. VAUGHN explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. VAUGHN demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Bales Barrett Battle Bowers Breeland Brown, J. Brown, R. Carnell Chellis Clyburn Cotty Dantzler Edge Gilham Gourdine Govan Harrell Harrison Harvin Hayes Hines, J. Hines, M. Hinson Jennings Keegan Kelley Kirsh Knotts Law Limehouse Lloyd Lourie Mack McCraw Merrill Miller Ott Phillips Rhoad Riser Rivers Rutherford Sandifer Scott Smith, J.E. Smith, J.R. Snow Thompson Webb Weeks Whatley Whipper White Wilder Wilkins Young, A.
Those who voted in the negative are:
Allison Altman Barfield Bingham Campsen Cato Coates Cooper Davenport Delleney Easterday Emory Fleming Freeman Frye Hamilton Haskins Hosey Klauber Koon Leach Littlejohn Loftis Lucas Martin McGee McLeod Neal, J.M. Owens Perry Quinn Rice Robinson Rodgers Scarborough Sharpe Simrill Sinclair Smith, D.C. Smith, G.M. Smith, W.D. Stille Stuart Talley Taylor Trotter Vaughn Walker Young, J.
So, the amendment was tabled.
Rep. SANDIFER proposed the following Amendment No. 55 (Doc Name COUNCIL\NBD\AMEND\11635MM01), which was rejected:
Amend the bill, as and if amended, Section 59-150-30, SECTION 2, by adding an appropriately numbered subsection to read:
/ (C) The Attorney General, or his designee, has the duty and the authority to investigate allegations of fraud and corruption in the commission, and to ensure that the lottery operates and is administered with integrity and free of political influence. The costs of these investigations and enforcement efforts are an operating expense of the commission. /
Reletter subsections to conform.
Amend title to conform.
Rep. SANDIFER explained the amendment.
Rep. WHIPPER moved to table the amendment, which was rejected by a division vote of 39 to 40.
The question then recurred to the adoption of the amendment.
Rep. SCOTT demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Barfield Barrett Bingham Brown, J. Campsen Cato Coates Cooper Cotty Delleney Easterday Edge Frye Gilham Hamilton Harrell Harrison Hinson Klauber Koon Leach Limehouse Littlejohn Lucas Martin McGee Merrill Owens Rice Riser Robinson Rodgers Sandifer Scarborough Simrill Smith, G.M. Stille Talley Taylor Thompson Trotter Walker Webb White Wilkins Young, J.
Those who voted in the negative are:
Allen Askins Bales Battle Bowers Breeland Brown, R. Carnell Chellis Clyburn Dantzler Emory Fleming Freeman Gourdine Govan Harvin Haskins Hayes Hines, J. Hines, M. Hosey Jennings Keegan Kelley Kennedy Kirsh Knotts Lloyd Lourie Mack McCraw McLeod Miller Neal, J.H. Neal, J.M. Ott Perry Rhoad Rivers Rutherford Scott Sharpe Sheheen Sinclair Smith, D.C. Smith, J.E. Smith, J.R. Smith, W.D. Snow Stuart Vaughn Weeks Whatley Whipper Wilder
So, the amendment was rejected.
Reps. CARNELL, BARRETT, D.C. SMITH, RODGERS, COLEMAN, WILDER, MILLER, HAYES, J. H. NEAL, J. M. NEAL, EMORY, JENNINGS, ASKINS, KLAUBER, BOWERS, BREELAND, HARVIN, PARKS, G. BROWN, BALES, SNOW, MCCRAW, PHILLIPS, OTT, COBB-HUNTER, CLYBURN, MCLEOD, BATTLE, HOSEY, KENNEDY, M. HINES, RHOAD, GILHAM, LLOYD, STILLE, FREEMAN and J.E. SMITH proposed the following Amendment No. 77 (Doc Name COUNCIL\DKA\AMEND\4397MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-350(C), SECTION 2, by deleting the subsection and inserting:
/ (C) At the beginning of the first fiscal year after the state lottery becomes operational, the Comptroller General shall certify the amount of net proceeds including investment earnings on the net proceeds credited to and accrued in the Education Lottery Account during the preceding fiscal year. The sum of certified net proceeds and investment earnings must be designated as annual lottery proceeds. Appropriations from the Education Lottery Account must be allocated only for educational purposes and programs by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years. Funds made available from the Education Lottery Account may not exceed the previous year's net proceeds and investment earnings as certified by the Comptroller General and must be allocated to full funding of the LIFE Scholarship for eligible resident students attending a four-year or two-year public institution or technical college as provided in Sections 59-149-10(E) and 59-149-50(D), up to one percent of net proceeds to the South Carolina State Library for public library state aid, to be distributed to county public libraries on a per capita basis and to be used for educational technology delivery, upgrade, and maintenance, and funding with all the remaining revenues for: elementary and secondary public education as determined pursuant to the Education Accountability Act of 1998 and education improvement legislation enacted into law after the effective date of this chapter, new programs enacted by the General Assembly for public institutions of higher learning, including public four-year colleges and universities and their branches and two-year colleges, as defined in Section 59-103-5, and state technical schools, which programs may include the creation of endowed chairs at the state's universities, with an emphasis in the areas of, but not limited to, engineering, computer science, and the sciences, and Youth Education Scholarships of up to and not to exceed one thousand dollars, to be determined in the annual general appropriations bill, to resident parents of a four-year-old who attains the age of four years by September first of the school year the scholarship is received and who attends a public or private, for profit or nonprofit kindergarten, preschool, or child development center program provided in this State. The scholarship is payable from the lottery proceeds through the Department of Education directly to the school in the name of the attending child. These programs may include, but are not limited to, language and literacy programs that help the child understand and tell stories, recognize pictures and words, learn the alphabet, and understand that writing is communication; math concepts that teach the child to count and sort objects into groups, recognize shapes, and make comparisons of size, shape, length, and weight; science concepts that teach the child to explore the natural environment, observe seasonal changes, communicate observations, and use tools to measure; art concepts that help the child express ideas and thoughts in creative ways, paint, draw, and sculpt, listen to music and sing songs, and recognize colors; and physical development activities that help the child move with balance and coordination, participate in indoor and outdoor physical activity, and use writing tools, puzzles, scissors, blocks, clay, and computers. The proportion of total recurring general fund and special fund revenues of the State expended for the total of public elementary, secondary, and higher education allocations in any fiscal year may not be less than the proportions in the fiscal year immediately before the fiscal year in which education revenues are first received from a state lottery, and may not be reduced or supplanted later by revenues received from a state lottery. /
Amend title to conform.
Rep. CARNELL explained the amendment.
Rep. HARRELL moved to table the amendment.
Rep. CARNELL demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Bingham Campsen Cato Chellis Coates Cooper Cotty Dantzler Delleney Easterday Edge Fleming Frye Gilham Gourdine Hamilton Harrell Haskins Hinson Huggins Keegan Kelley Kirsh Klauber Knotts Koon Leach Limehouse Littlejohn Loftis Martin McGee Merrill Owens Perry Quinn Rice Riser Robinson Rodgers Sandifer Scarborough Sharpe Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Stuart Talley Taylor Thompson Trotter Walker White Wilkins Young, A. Young, J.
Those who voted in the negative are:
Allen Askins Bales Barfield Barrett Battle Bowers Breeland Brown, J. Brown, R. Carnell Clyburn Cobb-Hunter Emory Freeman Govan Harvin Hayes Hines, J. Hines, M. Hosey Jennings Lloyd Lourie Lucas McCraw McLeod Miller Neal, J.M. Ott Parks Phillips Rhoad Rivers Scott Sheheen Smith, J.E. Snow Stille Weeks Whatley Whipper Wilder
So, the amendment was tabled.
Reps. CARNELL, BARRETT, D.C. SMITH, RODGERS, COLEMAN, WILDER, MILLER, HAYES, J. H. NEAL, J. M. NEAL, EMORY, JENNINGS, ASKINS, KLAUBER, BOWERS, BREELAND, HARVIN, PARKS, G. BROWN, BALES, SNOW, MCCRAW, PHILLIPS, OTT, COBB-HUNTER, CLYBURN, MCLEOD, BATTLE, HOSEY, KENNEDY, M. HINES, RHOAD, GILHAM, LLOYD, STILLE, FREEMAN and J.E. SMITH proposed the following Amendment No. 78 (Doc Name COUNCIL\DKA\AMEND\4399MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-350(C), SECTION 2, by deleting the subsection and inserting:
/ (C) At the beginning of the first fiscal year after the state lottery becomes operational, the Comptroller General shall certify the amount of net proceeds including investment earnings on the net proceeds credited to and accrued in the Education Lottery Account during the preceding fiscal year. The sum of certified net proceeds and investment earnings must be designated as annual lottery proceeds. Appropriations from the Education Lottery Account must be allocated only for educational purposes and programs by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years. Funds made available from the Education Lottery Account may not exceed the previous year's net proceeds and investment earnings as certified by the Comptroller General and must be allocated to full funding of the LIFE Scholarship for eligible resident students attending a four-year or two-year public institution or technical college as provided in Sections 59-149-10(E) and 59-149-50(D), up to one percent not exceeding one million dollars to the South Carolina State Library for public library state aid, to be distributed to county public libraries on a per capita basis and to be used for educational technology delivery, upgrade, and maintenance, and funding with all the remaining revenues for: elementary and secondary public education as determined pursuant to the Education Accountability Act of 1998 and education improvement legislation enacted into law after the effective date of this chapter, new programs enacted by the General Assembly for public institutions of higher learning, including public four-year colleges and universities and their branches and two-year colleges, as defined in Section 59-103-5, and state technical schools, which programs may include the creation of endowed chairs at the state's universities, with an emphasis in the areas of, but not limited to, engineering, computer science, and the sciences, and Youth Education Scholarships of up to and not to exceed one thousand dollars, to be determined in the annual general appropriations bill, to resident parents of a four-year-old who attains the age of four years by September first of the school year the scholarship is received and who attends a public or private, for profit or nonprofit kindergarten, preschool, or child development center program provided in this State. The scholarship is payable from the lottery proceeds through the Department of Education directly to the school in the name of the attending child. These programs may include, but are not limited to, language and literacy programs that help the child understand and tell stories, recognize pictures and words, learn the alphabet, and understand that writing is communication; math concepts that teach the child to count and sort objects into groups, recognize shapes, and make comparisons of size, shape, length, and weight; science concepts that teach the child to explore the natural environment, observe seasonal changes, communicate observations, and use tools to measure; art concepts that help the child express ideas and thoughts in creative ways, paint, draw, and sculpt, listen to music and sing songs, and recognize colors; and physical development activities that help the child move with balance and coordination, participate in indoor and outdoor physical activity, and use writing tools, puzzles, scissors, blocks, clay, and computers. The proportion of total recurring general fund and special fund revenues of the State expended for the total of public elementary, secondary, and higher education allocations in any fiscal year may not be less than the proportions in the fiscal year immediately before the fiscal year in which education revenues are first received from a state lottery, and may not be reduced or supplanted later by revenues received from a state lottery. /
Amend title to conform.
Rep. CARNELL explained the amendment.
Rep. A. YOUNG moved to table the amendment.
Rep. CARNELL demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Bingham Campsen Cato Chellis Coates Cooper Cotty Delleney Easterday Edge Fleming Frye Hamilton Harrell Harrison Hinson Keegan Kelley Kirsh Klauber Koon Leach Limehouse Littlejohn Loftis Martin McGee Merrill Owens Perry Quinn Rice Robinson Sandifer Scarborough Sharpe Simrill Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Talley Taylor Thompson Townsend Trotter Vaughn Walker White Wilkins Young, A. Young, J.
Those who voted in the negative are:
Allen Askins Bales Barrett Battle Bowers Breeland Brown, R. Carnell Clyburn Cobb-Hunter Emory Freeman Gilham Gourdine Govan Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Kennedy Lloyd Lourie Lucas McCraw McLeod Miller Neal, J.H. Neal, J.M. Ott Parks Phillips Rhoad Rivers Rodgers Rutherford Scott Sheheen Smith, J.E. Snow Stille Stuart Webb Weeks Whatley Wilder
So, the amendment was tabled.
Rep. QUINN moved to reconsider the vote whereby Amendment No. 135 was tabled, which was agreed to.
Rep. EASTERDAY explained the amendment.
Rep. RUTHERFORD moved to table the amendment.
Rep. MCGEE demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Bales Battle Bowers Breeland Brown, R. Carnell Chellis Clyburn Dantzler Emory Govan Harvin Hayes Hines, J. Hines, M. Hosey Jennings Kirsh Law Lee Lloyd Mack McLeod Miller Parks Rivers Rutherford Scott Smith, J.E. Snow Stuart Weeks Wilder
Those who voted in the negative are:
Allison Barfield Barrett Bingham Brown, J. Campsen Cato Coates Cotty Davenport Delleney Easterday Edge Fleming Freeman Frye Gilham Hamilton Harrell Harrison Haskins Hinson Keegan Kennedy Klauber Knotts Koon Leach Limehouse Littlejohn Loftis Lourie Lucas Martin McCraw McGee Merrill Owens Perry Phillips Quinn Rice Robinson Rodgers Sandifer Scarborough Sharpe Sheheen Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Stille Talley Taylor Thompson Townsend Trotter Vaughn Walker Webb White Wilkins Young, J.
So, the House refused to table the amendment.
The amendment was then adopted.
Reps. ROBINSON, VAUGHN and HASKINS proposed the following Amendment No. 79 (Doc Name COUNCIL\GJK\ AMEND\20577SD01), which was tabled:
Amend the bill, as and if amended, by adding a new SECTION appropriately numbered to read:
/SECTION ___. A statewide advisory referendum shall be held at the same time as the November 2006 general election as to whether or not the qualified electors of this State want to continue a State Education Lottery. Ballots must be provided at the various voting precincts with the following words printed or written on the ballot:
"Do you favor continuing the Sate Education Lottery?
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'."
The results of the advisory referendum shall be reported by the State Election Commission to the General Assembly and the Governor in January 2007. The cost of this statewide advisory referendum shall be paid by the State. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. ROBINSON moved to table the amendment, which was agreed to.
Rep. DAVENPORT proposed the following Amendment No. 96 (Doc Name COUNCIL\PT\AMEND\1474DW01), which was tabled:
Amend the bill, as and if amended, Section 59-150-350(C) as contained in SECTION 2, by deleting the fourth sentence and inserting:
/ Funds made available from the Education Lottery Account may not exceed the previous year's net proceeds and investment earnings as certified by the Comptroller General and must be allocated to full funding of the LIFE Scholarship for eligible resident students attending a four-year or two-year public or independent institution or technical college as provided in Sections 59-149-10(E) and 59-149-50(D), and funding with all the remaining revenues for: elementary and secondary public education as determined pursuant to the Education Accountability Act of 1998 and education improvement legislation enacted into law after the effective date of this chapter, new programs enacted by the General Assembly for public institutions of higher learning, including public four-year colleges and universities and their branches and two-year colleges, as defined in Section 59-103-5, and state technical schools, which programs may include the creation of endowed chairs at the state's universities, with an emphasis in the areas of, but not limited to, engineering, computer science, and the sciences, and Youth Education Scholarships of up to and not to exceed one thousand dollars, to be determined in the annual general appropriations bill, to resident parents of a four-year-old who attains the age of four years by September first of the school year the scholarship is received and who attends a public or private, for profit or nonprofit kindergarten, preschool, or child development center program provided in this State. /
Amend further, by deleting SECTION 3 and inserting:
/ SECTION 3. Section 59-149-10 of the 1976 Code is amended by adding at the end to read:
"(E)(1) Beginning with school year 2002-2003, the annual amount of a LIFE Scholarship for eligible resident students attending a four-year or two-year public or independent institution or technical college as defined in this chapter is increased to the cost of tuition for thirty credit hours a year or its equivalent plus a three hundred dollar a year book allowance. Provided, however, the annual amount for eligible resident students attending a two-year independent institution may be no more than the cost of tuition at a two-year regional public institution for thirty credit hours a year or its equivalent. Tuition for this purpose means the amount charged for registering for credit hours of instruction and shall not include other fees, charges, or costs of textbooks except for the referenced three hundred dollar book allowance.
(2) Beginning with the school year 2002-2003, the requirement that high school completion be accomplished on or after May 1995, for eligibility for the LIFE Scholarship is waived." /
Renumber sections to conform.
Amend title to conform.
Rep. DAVENPORT moved to table the amendment, which was agreed to.
Rep. MOODY-LAWRENCE proposed the following Amendment No. 100 (Doc Name COUNCIL\SWB\AMEND\5424DJC01), which was tabled:
Amend the bill, as and if amended, Section 59-149-10, as contained in SECTION 3, by adding a new subsection appropriately numbered to read:
/ Notwithstanding any other provision of law, the income or wealth of a student or the student's parents may not be used as a factor in determining eligibility for this scholarship. /
Renumber sections to conform.
Amend title to conform.
Rep. MOODY-LAWRENCE moved to table the amendment, which was agreed to.
Rep. CAMPSEN proposed the following Amendment No. 107 (Doc Name COUNCIL\NBD\AMEND\11628AC01), which was tabled:
Amend the bill, as and if amended, in the first paragraph of Section 59-150-60(A)(17) by deleting:
/The commission shall promote fair and responsible play, including disclosure of the odds of winning, and shall ensure that any advertising used does not exhort the public to bet by misrepresenting, directly or indirectly, a person's chance of winning a prize./ and inserting:
/The commission shall promote fair and responsible play and shall include conspicuous disclosure of the odds of winning, and shall ensure that any advertising used does not exhort the public to bet by misrepresenting, directly or indirectly, a person's chance of winning a prize./
Amend the bill further, in the first paragraph of Section 59-150-60(A)(17) by deleting:
/Lottery advertising and promotion also: must include posting of warnings of the dangers and risks of gambling, and the odds of winning, on a three by two foot sign in a conspicuous location in all lottery retailer facilities;/ and inserting:
/Lottery advertising and promotion also: must include conspicuous posting of warnings of the dangers and risks of gambling, and the odds of winning, on a three by two foot sign in a conspicuous location in all lottery retailer facilities;/
Renumber sections to conform.
Amend totals and title to conform.
Rep. CAMPSEN moved to table the amendment, which was agreed to.
Rep. CAMPSEN proposed the following Amendment No. 110 (Doc Name COUNCIL\PT\AMEND\1477DW01), which was tabled:
Amend the bill, as and if amended, Section 59-150-130 as contained in SECTION 2, by striking subsection (L) and inserting:
/ (L) The commission is prohibited from entering into a contract with a lottery vendor if the fee or commission payable in connection with the contract is based on sales or profitability. /
Amend title to conform.
Rep. CAMPSEN moved to table the amendment, which was agreed to.
Reps. DELLENEY and MCGEE proposed the following Amendment No. 128 (Doc Name COUNCIL\BBM\AMEND\ 10310MM01), which was adopted:
Amend the bill, as and if amended, Section 59-150-20, as contained in SECTION 2, by deleting item (7) and inserting:
/(7) 'Lottery', 'lotteries', 'lottery game', or 'lottery games' means a game of chance approved by the General Assembly and operated pursuant to this chapter including, but not limited to, instant tickets, on-line lottery games, drawing numbers, and lottery games using mechanical or electronic devices but excluding keno, pari-mutuel betting, and casino gambling as defined in this section. A lottery game may not exceed the price of one dollar for one play. The operation of the lottery games excludes machines and lottery games, including video poker lottery games, prohibited by Sections 12-21-2710, 16-19-40, except a machine or device dispensing a lottery ticket, and 16-19-50. The access and use of an electronic or mechanical machine designed for a lottery game authorized pursuant to this chapter must be limited to a lottery retailer and their employees only in order to facilitate retail sales of lottery tickets, and such a machine must not dispense anything other than lottery tickets.
As used in this item, 'casino gambling' means a location or business for the purpose of conducting unlawful gambling activities, but excluding the sale and purchase of lottery game tickets or shares; and 'pari-mutuel betting' means a method or system of wagering on actual races including races involving horses or dogs at tracks and the distribution of winnings by pools. /
Amend further, in Section 59-150-70(2), before /cash only/ by inserting /no more than one dollar and /.
Amend title to conform.
Rep. MCGEE explained the amendment.
The amendment was then adopted.
Rep. KELLEY proposed the following Amendment No. 134 (Doc Name COUNCIL\SWB\AMEND\5443DJC01), which was adopted:
Amend the bill, as and if amended, Section 59-150-70 as contained in SECTION 2, by inserting after the third sentence of Section 59-150-70 a new sentence to read:
/ The temporary regulations must include all policies and procedures deemed by the commission to be necessary to fully implement the games included in Section 59-150-70./
Renumber sections to conform.
Amend totals and title to conform.
Rep. KELLEY explained the amendment.
The amendment was then adopted.
Rep. HARRELL moved to reconsider the vote whereby Amendment No. 128 was adopted.
Rep. RUTHERFORD moved to table the motion to reconsider, which was rejected by a division vote of 25 to 60.
The question then recurred to the motion to reconsider, which was agreed to.
Rep. HARRELL moved to table the amendment, which was agreed to.
Reps. OTT, BALES and KNOTTS proposed the following Amendment No. 146 (Doc Name COUNCIL\GJK\AMEND\ 20613SD01), which was adopted:
Amend the bill, as and if amended, by adding a new SECTION appropriately numbered to read:
/SECTION ___. The 1976 Code is amended to read:
"Section 59-149-58. Notwithstanding any other provision of law, students attending a technical college of this State who are at least twenty-five years of age and who have a 3.0 average on a 4.0 scale after the first semester meet the academic requirements for receiving a life scholarship under this chapter at that technical college." /
Renumber sections to conform.
Amend totals and title to conform.
Rep. HARRELL explained the amendment.
The amendment was then adopted.
Reps. JENNINGS and SCOTT proposed the following Amendment No. 153 (Doc Name COUNCIL\GJK\AMEND\20590AC01), which was tabled:
Amend the bill, as and if amended, by deleting Section 59-150-30 and inserting:
/ Section 59-150-30. (A) There is created a commission to be known as the South Carolina Lottery Commission, which is deemed to be a public commission and an instrumentality of the State. The commission and its employees are subject to the South Carolina Consolidated Procurement Code, South Carolina Ethics Reform Act, and South Carolina Freedom of Information Act. Venue for the commission is in Richland County.
(B) Beginning in December 2004 and every three years after that, or by legislative request, the Legislative Audit Council shall conduct a management performance audit of the commission. The cost of this audit, up to one hundred thousand dollars, is an operating expense of the commission. The commission shall pay directly to the Legislative Audit Council the cost of the management performance audit. /
Amend further, as and if amended, by deleting Section 59-150-50 and inserting:
/Section 59-150-50. The board shall:
(1) approve, disapprove, amend, or modify the budget recommended by the chief executive officer for the operation of the commission;
(2) approve, disapprove, amend, or modify the terms of procurements recommended by the chief executive officer;
(3) hear appeals of hearings required by this chapter;
(4) promulgate regulations and adopt policies and procedures relating to the conduct of lottery games and as specified in Section 59-150-70; and
(5) perform functions ordinarily and customarily performed by boards corporate and politic so long as they are not inconsistent with the requirements of this chapter. /
Amend further, as and if amended, by deleting Section 59-159-60(A)(19) and inserting:
/(19) promulgate regulations and adopt and amend policies and procedures necessary to carry out and implement its powers and duties, organize and operate the corporation, regulate the conduct of lottery games in general, and other matters necessary or desirable for the efficient and effective operation of the lottery or the convenience of the public; /
Amend further, as and if amended, in Section 59-150-60 by deleting subsections (G) and (H) and inserting:
/(G) The commission may not give away tickets for promotional purposes. /
Amend further, as and if amended, by deleting Section 59-150-70 and inserting:
/Section 59-150-70. The board may promulgate regulations and adopt policies and procedures regulating the conduct of lottery games in general including, but not limited to, regulations, policies, and procedures specifying the:
(1) type of lottery games as described in Section 59-150-20(7). The lottery games may include the selling of lottery game tickets or shares or the use of electronic or mechanical devices, except those electronic or mechanical devices prohibited by Section 59-150-20(7);
(2) sale price of lottery game tickets or shares and the manner of sale, except that all sales must be for cash or debit card only. Payment by checks, credit cards, charge cards, or other form of deferred payment is prohibited;
(3) number and amount of prizes;
(4) method and location of selecting or validating winning lottery game tickets or shares;
(5) manner and time of payment of prizes, which may include lump sum payments or installments over a period of years;
(6) manner of payment of prizes by retailers to the holders of a winning lottery game ticket or share including, without limitation, provision for payment of prizes not exceeding six hundred dollars after deducting the price of the lottery game ticket or share and after performing validation procedures appropriate to the game and as specified by the board. The board may provide for a limited number of retailers who may pay prizes of up to five thousand dollars after performing validation procedures appropriate to the game and as specified by the board without regard to where the lottery game ticket or share was purchased;
(7) frequency of lottery games and drawings or selection of winning lottery game tickets or shares;
(8) means of conducting drawings;
(9) method to be used in selling lottery game tickets or shares, which may include the use of electronic or mechanical devices but the devices may be placed only in locations on the premises of the lottery retailer which are within the view of the retailer or his employee;
(10) manner and amount of compensation to lottery retailers; and
(11) other matters necessary, desirable, or convenient toward ensuring the efficient and effective operation of lottery games, the continued entertainment and convenience of the public, and the integrity of the lottery. /
Amend further, as and if amended, by deleting Section 59-150-90(A) and inserting:
/(A) The executive director of the commission shall direct and supervise all administrative and technical activities as provided by this chapter and by the regulations promulgated and policies and procedures adopted by the board. It is the duty of the executive director to:
(1) oversee the initiation, supervision, and administration of the operation of the lottery games;
(2) employ and direct necessary personnel;
(3) employ by contract and compensate necessary persons and firms;
(4) promote or provide for promotion of the lottery and functions related to the corporation;
(5) prepare a budget for the approval of the board;
(6) require bond from retailers and vendors in amounts required by the board;
(7) report quarterly to the board with a full and complete statement of lottery revenues and expenses for the preceding quarter; and
(8) perform other duties generally associated with an executive director of an entity. /
Amend further, as and if amended, immediately after Section 59-150-350 by inserting:
/Section 59-150-360. (A) There is created as a committee, the South Carolina Education Lottery Oversight Committee, to be composed of twelve members. The members of the committee are appointed as follows: the Speaker of the House of Representatives appoints three members; the President Pro Tempore of the Senate appoints three members; the Chairman of the South Carolina Commission on Higher Education appoints three members; and the Chairman of the South Carolina Education Oversight Committee appoints three members. The Speaker of the House of Representatives and the President Pro Tempore of the Senate shall each appoint one co-chairman from the membership of the South Carolina Education Lottery Oversight Committee. The oversight committee periodically shall inquire into and review the operations of the commission, and periodically shall review and evaluate the success with which the authority is accomplishing its statutory duties and functions as provided in this chapter. The oversight committee may conduct an independent audit or investigation of the authority as necessary.
(B) The commission shall provide the oversight committee, no later than December first of each year, a complete report of the level of participation of minority businesses in all retail and procurement contracts awarded by the commission. /
Amend further, as and if amended, by deleting SECTION 9 in its entirety.
Renumber sections to conform.
Amend title to conform.
Rep. JENNINGS explained the amendment.
Rep. KELLEY spoke against the amendment and moved to table the amendment.
Rep. JENNINGS demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Barfield Barrett Bingham Campsen Cato Chellis Coates Cooper Davenport Delleney Easterday Edge Fleming Frye Gilham Hamilton Harrell Harrison Haskins Hinson Huggins Keegan Kelley Kirsh Klauber Knotts Koon Limehouse Littlejohn Loftis Lucas Martin McGee Merrill Owens Perry Phillips Quinn Rice Riser Robinson Sandifer Scarborough Sharpe Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Stille Stuart Talley Taylor Thompson Townsend Trotter Vaughn Walker Webb White Wilkins Young, A. Young, J.
Those who voted in the negative are:
Allen Askins Bales Battle Bowers Breeland Brown, R. Carnell Clyburn Dantzler Emory Freeman Govan Harvin Hayes Hines, M. Hosey Jennings Law Lee Lloyd Lourie Mack McCraw McLeod Miller Moody-Lawrence Ott Parks Rhoad Rivers Rutherford Scott Sheheen Smith, J.E. Snow Weeks Whatley Wilder
So, the amendment was tabled.
Rep. WALKER proposed the following Amendment No. 158 (Doc Name COUNCIL\NBD\AMEND\11636AC01), which was tabled:
Amend the bill, as and if amended, in Section 59-150-350(C) of the 1976 Code, as contained in SECTION 2, by striking all after the third sentence in the subsection and inserting: / Funds made available from the Education Lottery Account may not exceed the previous year's net proceeds and investment earnings as certified by the Comptroller General. Not less than forty-five percent of such proceeds in any year shall be used for higher education purposes in this State and not less than forty-five percent used for K-12 purposes. Any remaining proceeds must be used for the higher education purposes or the K-12 purposes or both that are permitted by this section as the General Assembly shall provide in a separate appropriations bill. The higher education portion in any year shall be used to provide Palmetto Fellows Scholarships to all eligible applicants and then used to provide LIFE Scholarships for eligible resident students attending two-year or four-year public institutions or technical colleges in those amounts provided by law. The K-12 portion in any year shall be split into two parts with the first part used to provide youth education scholarships of up to and not to exceed one thousand dollars, to be determined in the annual general appropriations act, to resident parents of a four-year-old who attains the age of four years by September first of the school year the scholarship is received and who attends a public or private, for profit or nonprofit kindergarten, preschool, or child development center program provided in this State. The scholarship is payable from the lottery proceeds through the Department of Education directly to the school in the name of the attending child.
The remaining part of the K-12 funds shall be allocated equally between providing public school facility support and the maintenance and acquisition of school buses as the General Assembly shall provide by law upon fully funding the above listed items, remaining revenues shall be used for elementary and secondary public education as determined pursuant to the Education Accountability Act of 1998 and education improvement legislation enacted into law after the effective date of this chapter, new programs enacted by the General Assembly for public institutions of higher learning, including public four-year colleges and universities and their branches and two-year colleges, as defined in Section 59-103-5, and state technical schools, which programs may include the creation of endowed chairs at the state's universities, with an emphasis in the areas of, but not limited to, engineering, computer science, and the sciences in a separate appropriations act. The proportion of total recurring general fund and special fund revenues of the State expended for the total of public elementary, secondary, and higher education allocations in any fiscal year may not be less than the proportions in the fiscal year immediately before the fiscal year in which education revenues are first received from a state lottery, and may not be reduced or supplanted later by revenues received from a state lottery.
Renumber sections to conform.
Amend totals and title to conform.
Rep. WALKER explained the amendment.
Rep. HARRELL spoke against the amendment.
Rep. WALKER spoke in favor of the amendment.
Rep. HARRELL moved to table the amendment, which was agreed to.
Rep. HARRELL proposed the following Amendment No. 159 (Doc Name COUNCIL\GJK\AMEND\20596SD01), which was tabled:
Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/ SECTION 1. The General Assembly finds that:
(1) net proceeds of lottery games conducted pursuant to this chapter must be used to support improvements and enhancements for educational purposes and educational programs as provided by the General Assembly and that the net proceeds must be used to supplement, not supplant, existing resources for educational purposes and programs;
(2) lottery games are an entrepreneurial enterprise and that the State shall create an instrumentality of the State and public body, corporate and politic, known as the South Carolina Lottery Commission, with the comprehensive and extensive powers as generally exercised by commissions engaged in entrepreneurial pursuits;
(3) lottery games must be operated and managed in a manner which ensures that the lottery is operated with integrity and dignity and free of political influence, maximizes the use of revenues, and provides continuing entertainment to the public;
(4) the South Carolina Lottery Commission must be accountable to the General Assembly and to the public through a system of audits and reports; and
(5) this act is not a bill appropriating money out of the State Treasury as contemplated by Section 21 of Article IV of the Constitution of this State and, therefore, is not subject to a line item or section objection or veto by the Governor. It is the intent of the General Assembly that this act merely specify the educational purposes and programs, and parameters, for funding by the General Assembly through the annual general appropriations bill or any bill appropriating monies for previous or current fiscal years.
SECTION 2. Title 59 of the 1976 Code is amended by adding:
Section 59-150-10. This chapter may be cited as the 'South Carolina Education Lottery Act'.
Section 59-150-20. As used in this chapter:
(1) 'Administrative expenses' means operating expenses, excluding amounts set aside for prizes, regardless of whether the prizes are claimed, and excluding amounts held as a fidelity fund pursuant to Section 59-150-170.
(2) 'Board' means the Board of Commissioners of the South Carolina Lottery Commission.
(3) 'Commission' means the South Carolina Lottery Commission.
(4) 'Educational purposes and programs' means educational expenses and scholarships as defined in Section 59-150-350(C).
(5) 'Executive Director' means the Executive Director of the South Carolina Lottery Commission or his designee.
(6) 'Immediate family' means a person who is:
(a) a spouse;
(b) a child residing in the same household; or
(c) claimed as a dependent for income tax purposes.
(7) ''Lottery', 'lotteries', 'lottery game', or 'lottery games' means a game of chance approved by the General Assembly and operated pursuant to this chapter including, but not limited to, instant tickets, on-line lottery games, and drawing numbers, but excluding keno, pari-mutuel betting, and casino gambling as defined in this section. The operation of the lottery games excludes machines and lottery games, including video poker lottery games, prohibited by Sections 12-21-2710, 16-19-40, and 16-19-50. The access and use of an electronic or a mechanical machine designed for a lottery game authorized pursuant to this chapter must be limited to a lottery retailer and his employees only in order to facilitate retail sales of lottery tickets, and such a machine must not dispense anything other than lottery tickets.
As used in this item, 'casino gambling' means a location or business for the purpose of conducting unlawful gambling activities, but excluding the sale and purchase of lottery game tickets or shares; and 'pari-mutuel betting' means a method or system of wagering on actual races including races involving horses or dogs at tracks and the distribution of winnings by pools.
(8) 'Lottery retailer' means a person who sells lottery game tickets or shares on behalf of the South Carolina Lottery Commission pursuant to a contract.
(9) 'Lottery vendor' means a person who provides or proposed to provide goods or services to the South Carolina Lottery Commission pursuant to a procurement contract, but does not include an employee of the commission, a lottery retailer, or a state agency or instrumentality of the State. The term includes a corporation whose shares are traded publicly and which is the parent company of the contracting party in a procurement contract.
(10) 'Major procurement contract' means a gaming product or service costing in excess of seventy-five thousand dollars including, but not limited to, major advertising contracts, annuity contracts, prize payment agreements, consulting services, equipment, tickets, and other products and services unique to the South Carolina lottery but not including materials, supplies, equipment, and services common to the ordinary operations of a business.
(11) 'Member' or 'members' means a Commissioner or Commissioners of the Board of the South Carolina Lottery Commission.
(12) 'Minority business' means a business which meets the definition of a socially and economically disadvantaged small business as described in Article 21, Chapter 35, Title 11, specifically a small business concern which:
(a) is at least fifty-one percent owned by one or more citizens of the United States who are determined to be socially and economically disadvantaged;
(b) in the case of a concern which is a corporation, at least fifty-one percent of all classes of voting stock of such corporation is owned by an individual determined to be socially and economically disadvantaged; or
(c) in the case of a concern which is a partnership, at least fifty-one percent of the partnership interest is owned by an individual or individuals determined to be socially and economically disadvantaged or whose management and daily business operations are controlled by individuals determined to be socially and economically disadvantaged. Those individuals must be involved in the daily management and operations of the business concerned.
'Small business' as used in this item means a business which meets the definition of a small business for purposes of the Small Business Administration, an agency of the United States.
(13) 'Net proceeds' means all revenue derived from the sale of lottery game tickets or shares and all other monies derived from the lottery games, less operating expenses and prizes.
(14) 'Operating expenses' means all costs of doing business including, but not limited to, prizes, commissions, and other compensation paid to a lottery retailer, advertising and marketing costs, rental fees, personnel costs, capital costs, depreciation of property and equipment, funds for compulsive gambling education and treatment, amounts held in or paid from a fidelity fund pursuant to Section 59-150-170, and other operating costs, including funds to the Commission on Higher Education and the Administrative Law Judge Division toward their expenses incurred in performance of their duties pursuant to this chapter.
(15) 'Person' means an individual, corporation, partnership, unincorporated association, or other legal entity.
(16) 'Prize' means an award, gift, or anything of value regardless of whether there are conditions or restrictions attached to its receipt.
(17) 'Proceeds' means all lottery revenue derived from the sale of lottery game tickets or shares and all other monies derived from the lottery or received by the commission.
(18) 'Share' means intangible evidence of participation in a lottery game.
(19) 'Ticket' means tangible evidence issued by the South Carolina Lottery Commission to provide participation in a lottery game.
(20) 'Panel' means the House and Senate members appointed by the President Pro Tempore of the Senate and the Speaker of the House of Representatives pursuant to the provisions of Section 59-150-40(B)(5).
Section 59-150-30. (A) There is created a commission to be known as the South Carolina Lottery Commission, which is deemed to be a public commission and an instrumentality of the State. The commission and its employees are subject to the South Carolina Consolidated Procurement Code, South Carolina Administrative Procedures Act, South Carolina Ethics Reform Act, and South Carolina Freedom of Information Act. Venue for the commission is in Richland County.
(B) Beginning in December 2004 and every three years after that, or by the request of five members of the House of Representatives or five members of the Senate, the Legislative Audit Council shall conduct a management performance audit of the commission. The cost of this audit is an operating expense of the commission.
Section 59-150-40. (A) The commission is governed by a board composed of nine members to be appointed as follows: three members must be appointed by the Governor, three members must be appointed by the President Pro Tempore of the Senate, and three members must be appointed by the Speaker of the House of Representatives.
(B) A member must:
(1) be a resident of the State of South Carolina;
(2) not have been convicted of a felony offense or bookmaking or other form of unlawful gambling. A background investigation must be conducted on each board nominee. The commission shall pay for the cost of the investigation and may contract with the State Law Enforcement Division (SLED) or appropriate federal agency for the performance of the investigation;
(3) meet the qualifications for electors as provided in Section 7-5-120;
(4) not have been an elected public official, as provided in Section 24, Article III, of the Constitution of this State and Section 2-1-100, for at least two years before appointment; and
(5) have been screened by a panel pursuant to procedures it establishes and found by the panel to meet the statutory qualifications and considerations for appointment to the board. The Governor, Speaker of the House of Representatives, and the President Pro Tempore of the Senate each shall submit the names of his potential board appointees to the panel. If the panel finds the potential appointee meets or does not meet the statutory qualifications, it shall notify the appointing authority who submitted the name. A potential appointee found not statutorily qualified by the panel may not be appointed to the board. The screening panel is composed of ten members: five selected by the President Pro Tempore of the Senate and five selected by the Speaker of the House of Representatives. The President Pro Tempore of the Senate and the Speaker of the House of Representatives shall each select three members of their respective bodies and two members from the public to serve on the screening panel. The members of the panel serve four-year terms. The investigation and consideration by the panel of a potential appointee is limited to the statutory qualifications established pursuant to this chapter. A panel member may be removed upon unanimous vote of the appointing authorities, or for cause by his appointing authority for malfeasance, incompetency, conflict of interest, misconduct, persistent neglect of duty in office, or incapacity.
(C) In making appointments to the board, the Governor, the President Pro Tempore of the Senate, and the Speaker of the House of Representatives, as appropriate, shall consider legal, financial, accounting, and marketing experience and race, gender, and other demographics factors to ensure nondiscrimination, inclusion, and representation of all segments of the State to the greatest extent possible.
(D) The members shall serve terms of three years, except that of the initial appointments the Governor shall appoint two members, each to serve a two-year term, and one member to serve a four-year term; the Speaker of the House of Representatives shall appoint three members, each to serve a two-year term, co-terminus with the Speaker; and the President Pro Tempore of the Senate shall appoint three members, each to serve an initial four-year term. A vacancy that occurs on the board must be filled by appointment by the Governor, the President Pro Tempore of the Senate, or the Speaker of the House of Representatives, as appropriate, for the remainder of the unexpired term.
(E) A member shall not serve on the board if he is an officer or employee of the commission or if he has an immediate family member employed by the commission.
(F) A member of the board may receive per diem, subsistence, and mileage at the rate provided by law for members of state boards, committees, and commissions.
(G) The board shall elect from their membership officers of the board, including the chair.
(H) The board may delegate to the executive director of the commission those powers and duties it considers proper.
(I) A majority of members in office or at least five members, whichever is greater, constitutes a quorum for the transaction of business and for the exercise of a power or function of the commission.
(J) Action may be taken and motions and resolutions adopted by the board at a board meeting by affirmative vote of a majority of present and voting board members. This subsection does not relieve the board from the requirements of the South Carolina Freedom of Information Act.
(K) A vacancy in the membership of the board does not impair the right of the members to exercise all the powers and perform all the duties of the board.
(L) A member is appointed to the board for a term and may be removed from the board before the expiration of his term only upon unanimous vote of the appointing authorities, or for cause by his appointing authority for malfeasance, incompetency, conflict of interest, misconduct, persistent neglect of duty in office, or incapacity.
(M) A member of the board shall not contribute to the campaign of a candidate for the General Assembly or a statewide constitutional office; to a political party, as defined in Section 8-13-1300(26); or to a committee, as defined in Section 8-13-1300(6); or make an independent expenditure to advance or defeat a measure related to the lottery.
Section 59-150-50. The board shall:
(1) approve, disapprove, amend, or modify the budget recommended by the executive director for the operation of the commission;
(2) approve, disapprove, amend, or modify the terms of procurements recommended by the executive director;
(3) hear appeals of hearings required by this chapter;
(4) promulgate regulations and adopt policies and procedures regulating the conduct of lottery games pursuant to the Administrative Procedures Act and as specified in Section 59-150-60(A)(19); and
(5) perform other functions specified by this chapter.
Section 59-150-60. (A) The commission has all the powers necessary or convenient to carry out and effectuate the purposes and provisions of this chapter which are not in conflict with the Constitution and laws of this State and which generally are exercised by commissions engaged in entrepreneurial pursuits on behalf of the State including, but not limited to, the powers to:
(1) sue and be sued in contract and in tort and to complain and defend in all courts, subject to the South Carolina Tort Claims Act;
(2) adopt and alter a corporate seal and symbol;
(3) promulgate regulations and adopt policies and procedures for the regulation of its affairs and the conduct of its business; to elect and prescribe the duties of officers and employees of the commission; and to perform other matters as the commission may determine;
(4) procure or to provide self-insurance;
(5) hold copyrights, trademarks, and service marks and enforce its rights with respect to them;
(6) organize, initiate, supervise, and administer the operation of the lottery as provided by this chapter and regulations promulgated and policies and procedures adopted pursuant to this chapter;
(7) enter into written agreements with one or more other states for the operation, participation in marketing, and promotion of a joint lottery or joint lottery games;
(8) conduct necessary or appropriate market research, which may include an analysis of the demographic characteristics of the players of the lottery game and an analysis of advertising, promotion, public relations, incentives, and other aspects of communication;
(9) acquire or lease real property and make improvements on it and acquire by lease or by purchase personal property including, but not limited to, computers; mechanical, electronic, and on-line equipment and terminals; and intangible property including, but not limited to, computer programs, systems, and software. To achieve cost savings and efficiency, the commission shall use the telecommunications network service of the Budget and Control Board's Office of Information Resources pursuant to Sections 1-11-430 and 11-35-1580 provided that the commission certifies that the service is secure;
(10) administer oaths, take depositions, issue subpoenas, and compel the attendance of witnesses and the production of books, papers, documents, and other evidence relative to any investigation or proceeding conducted by the commission;
(11) appoint, select, or hire officers, agents, and employees, including professional and administrative staff, personnel, and hearing officers to conduct hearings required by this chapter, and to fix their compensation and pay their expenses. Notwithstanding another provision of law, the commission has exclusive authority to contract for legal services. All employees of the commission are employees-at-will and are eligible for participation in the South Carolina Retirement System and may elect optional retirement program coverage in the same manner as provided in Section 9-20-10(2)(a), the State Health Insurance Group plans, and are encompassed by the South Carolina Tort Claims Act;
(12) make pension payments to the South Carolina Retirement System or other system approved by the State Retirement System and pay contributions to the Office of Insurance Services for dental and health plans on behalf of personnel or employees employed by the commission who qualify in the same manner as other state employees in the executive branch of government;
(13) select and contract with a lottery vendor and a lottery retailer;
(14) enter into contracts or agreements with state or other law enforcement agencies for the performance of law enforcement, background investigations, and security checks;
(15) enter into contracts on such terms and conditions as the commission may determine, except that the commission shall not enter into contracts to incur debt in its own name or enter into financing agreements with the State, agencies, or instrumentalities of the State, or with a commercial bank or credit provider; however, necessary start-up monies may be borrowed from the Insurance Reserve Fund of the Budget and Control Board, subject to the loan repayment terms of the Budget and Control Board, for effectuating its purpose, including payment of the initial expenses of initiation, administration, and operation of the commission and the lottery, if and only if sufficient start-up monies are not appropriated from the general fund;
(16) enter into contracts of any type on the terms and conditions the commission determines, except that it may not enter into a contract with an entity for the purpose of having that entity assume or otherwise undertake the organization and conduct of the lottery;
(17) advertise and promote the lottery and lottery games in a dignified manner befitting the State, but only in compliance with the same state and federal standards of truth in advertising which govern private advertisers engaged in interstate commerce and including the restrictions described in this item. The board shall review, at least quarterly, all past lottery advertising and proposed concepts for major media campaigns to ensure that the advertising did not and does not target with the intent to exploit specific ethnic groups or economic classes of people, and that the content is accurate and not misleading. The commission shall promote fair and responsible play, including disclosure of the odds of winning, and shall ensure that any advertising used does not exhort the public to bet by misrepresenting, directly or indirectly, a person's chance of winning a prize. The commission may use interviews, pictures, or statements from people who have won lottery prizes to show that prizes are won and awarded. If the board finds that advertising conflicts with these policies, the board shall cause the cessation of that advertising;
advertising and promotion of the lottery and lottery games as defined in Section 59-150-20(7) is restricted to: expenditure of not more than one-half of one percent of gross lottery revenues; contracts of one year or less and awarded by the board after competitive bidding; information about how the game is played; identification of amounts or recipients, or both of them, of funding from the proceeds of ticket sales; explanation of the permitted uses of lottery proceeds; probability of winning; an entertainment context; encouragement of responsible play; information about recognizing and seeking treatment for compulsive gambling; sites and methods designed to reach the responsible adult player; and advertisements and promotions placed exclusively by the commission in newspapers or periodicals or on the commission official web site;
advertising and promotion of the lottery and lottery games must not include: inducements to play; targeting with the intent to exploit specific ethnic groups or economic classes of people; representations of the game as an investment or the answer to financial concerns; exaggeration of odds of winning; the name or image, or both, of an elected official, or the State Seal or its likeness; praise of a lottery player or denigration of a nonplayer; implication that the game is one of skill; suggestion that the lottery player is contributing money for the good of the State; any advertising outside of the lottery retailer's business premises; and advertising in connection with or at the site of a public school or institution of higher learning or sponsorship of an activity at a public school or institution of higher learning;
lottery advertising and promotion also: must include posting of warnings of the dangers and risks of gambling, and the odds of winning, on a three by two foot sign in a conspicuous location in all lottery retailer facilities; must otherwise encourage responsible decision making regarding lottery play by adults, discourage abusive use of the lottery product; and, other than as permitted in the provisions of this chapter for the commission and the lottery retailer, may not be undertaken by another entity or individual;
(18) act as a lottery retailer, conduct promotions which involve the dispensing of lottery game tickets or shares, and establish and operate a sales facility to sell lottery game tickets or shares and related merchandise, except that the commission shall not establish, operate, or authorize a lottery sales facility at any state Welcome Center or state rest area; and
(19) promulgate regulations and adopt and amend policies and procedures as necessary to carry out and implement its powers and duties, organize and operate the commission, regulate the conduct of lottery games as defined in Section 59-150-20(7), and other matters necessary or desirable for the efficient and effective operation of the lottery for the convenience of the public. The promulgation of the regulations and adoption of the policies and procedures are subject to the requirements of the Administrative Procedures Act.
(B) The powers enumerated in subsection (A) are cumulative of and in addition to those powers enumerated elsewhere in this chapter, and do not limit or restrict other powers of the commission.
(C) The commission is prohibited from distributing monies other than as prescribed by this chapter including, but not limited to, the prohibition of contributing to the campaign of a candidate for the General Assembly or a statewide constitutional office; to a political party, as defined in Section 8-13-1300(26); or to a committee, as defined in Section 8-13-1300(6); and the prohibition of making an independent expenditure to advance or defeat a measure related to the lottery.
(D) The commission is not authorized to use any machine specifically prohibited by Sections 12-21-2710, 16-19-40, and 16-19-50.
(E) The commission is subject to the limitations upon, and exemptions from, liability and damages provided in the South Carolina Tort Claims Act.
(F) The commission shall not issue, sell, or authorize the sale of lottery tickets or shares at a location licensed to provide deferred presentment services pursuant to Chapter 39 of Title 34.
(G) The commission shall not enter into a contract for the purpose of influencing a political decision in connection with the operation of the lottery, and the commission may not employ, contract with, or otherwise authorize a lobbyist, as defined in Section 2-17-10(13), to engage in lobbying, as defined in Section 2-17-10(12), on behalf of the commission.
(H) The commission may not sell or give away tickets for promotional purposes.
Section 59-150-70. In accordance with the Administrative Procedures Act, the board may promulgate regulations and adopt policies and procedures regulating the conduct of lottery games in general; except the commission may promulgate temporary regulations and adopt policies and procedures to implement the provisions of this chapter which must be consistent with this chapter, except as otherwise provided in this section. The commission shall have tickets available for purchase by the public no later than November 1, 2001, or as soon as practicable. These temporary regulations, polices, and procedures are not considered regulations as defined by the Administrative Procedures Act; however, these temporary regulations, policies, and procedures have the force and effect of law. The only lottery games that may be played pursuant to these temporary regulations, policies, and procedures are instant tickets, dollar tickets, and dollar joint- or multi-state lottery games. The commission shall submit regulations to the General Assembly for review in accordance with the Administrative Procedures Act at the January 15, 2002, legislative session. The temporary regulations authorized in this section are repealed on July 15, 2004, or on the effective date of regulations promulgated pursuant to the Administrative Procedures Act, whichever date occurs first. If regulations promulgated pursuant to the Administrative Procedures Act have not taken effect by July 15, 2004, the commission may promulgate the temporary regulations authorized by this section as emergency regulations pursuant to Section 1-23-130. For purposes of this section, the circumstances required for emergency regulations in Section 1-23-130(A) do not apply, but all other provisions of Section 1-23-130 are applicable. The regulations, policies, and procedures must specify, but are not limited to specifying, the:
(1) type of lottery games as described in Section 59-150-20(7). The lottery games may include the selling of lottery game tickets or shares or the use of electronic or mechanical devices, except those electronic or mechanical devices prohibited by Section 59-150-20(7), and except that the game or activity in which the winner is selected must not be based upon the outcome of a football, basketball, baseball, or similar game or sports event;
(2) sale price of lottery game tickets or shares and the manner of sale, except that all sales must be for cash only. Payment by checks, credit cards, charge cards, or other form of deferred payment and payment by debit card are prohibited;
(3) number and amount of prizes;
(4) method and location of selecting or validating winning lottery game tickets or shares;
(5) manner and time of payment of prizes, which may include lump sum payments or installments over a period of years, except that the State is not liable for the nonpayment of a prize;
(6) manner of payment of prizes by a lottery retailer to the holders of a winning lottery game ticket or share including, without limitation, provision for payment of prizes not exceeding six hundred dollars after deducting the price of the lottery game ticket or share and after performing validation procedures appropriate to the game and as specified by the board;
(7) frequency of lottery games and drawings or selection of winning lottery game tickets or shares;
(8) means of conducting drawings, except that an elected or appointed official, other than the members of the board or its designee, must not preside or appear at a drawing, and except that the drawing may be aired publicly only by means of a public service announcement and carried by any news outlet that makes public service time available for that purpose;
(9) method to be used in selling lottery game tickets or shares, which may include the use of electronic or mechanical devices, but the devices must be placed on the premises of the lottery retailer in a location which is only accessible to the lottery retailer or his employees;
(10) manner and amount of compensation to a lottery retailer within the limits of this chapter;
(11) other matters necessary or desirable toward ensuring the efficient and effective operation of lottery games as defined in Section 59-150-20(7), the continued entertainment and convenience of the public, and the integrity of the lottery.
Section 59-150-80. (A) The board shall appoint and provide for the compensation of an executive director who must be an employee of the commission and who directs the day-to-day operations and management of the commission and is vested with powers and duties specified by the board and by law. The executive director serves at the pleasure of the board.
(B) The board shall hire and provide for the compensation of an internal auditor and necessary staff who must be employees of the commission and who are vested with the powers and duties specified by the board and by law. The internal auditor shall report directly to the board.
Section 59-150-90. (A) The executive director of the commission shall direct and supervise all administrative and technical activities as provided for in this chapter, according to the terms and conditions as may be established by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years and with the regulations promulgated and policies and procedures adopted by the board. It is the duty of the executive director to facilitate the initiation and supervise and administer the operation of the lottery games as defined in Section 59-150-20(7); employ and direct necessary personnel; employ by contract and compensate necessary persons and firms, except that the contract may not be with an entity for the purpose of having that entity undertake the organization and conduct of the lottery; promote or provide for promotion of the lottery and functions related to the commission; prepare a budget for the approval of the board; require bond from a lottery retailer and a lottery vendor in amounts required by the board; report monthly to the State Auditor and the board a full and complete statement of lottery revenues and expenses for the preceding month; and perform other duties generally associated with an executive director of a commission of an entrepreneurial nature.
(B) The executive director for good cause may suspend, revoke, or refuse to renew a contract entered into as provided by the provisions of this chapter or the regulations, policies, and procedures of the board.
(C) The executive director or his designee may conduct hearings and administer oaths to persons for the purpose of assuring the security or integrity of lottery operations or to determine the qualifications of or compliance by a lottery vendor and a lottery retailer.
(D) The executive director shall not contribute to the campaign of a candidate for the General Assembly or a statewide constitutional office; to a political party, as defined in Section 8-13-1300(26); or to a committee, as defined in Section 8-13-1300(6); or make an independent expenditure to advance or defeat a measure related to the lottery.
Section 59-150-100. (A) The commission shall establish and maintain a personnel program for its employees and fix the compensation and terms of compensation of its employees.
(B) An employee of the commission or an immediate family member of an employee of the commission, as defined in Section 59-150-20(6), may not have a financial interest in a lottery vendor doing business or proposing to do business with the commission and is otherwise subject to the South Carolina Ethics Reform Act.
(C) An employee of the commission who has decision-making authority shall not participate in a decision involving a lottery retailer with whom the employee has an economic interest as defined in the South Carolina Ethics Reform Act.
(D) Notwithstanding any other provision of law, an employee of the commission who leaves his employment may not represent a lottery vendor or lottery retailer before the commission for a period of two years following termination of employment with the commission.
(E) A background investigation must be conducted on each applicant who has reached the final selection process before employment by the commission at the level of division director and above and at any level within any division of security and as otherwise required by the board. The commission shall pay for the actual cost of the investigations and may contract with SLED for the performance of the investigations. The results of a background investigation are not a record open to the public pursuant to the Freedom of Information Act.
(F) A person who has been convicted of a felony or bookmaking or other forms of illegal gambling or of a crime involving moral turpitude may not be employed by the commission.
(G) The commission shall bond commission employees who have access to commission funds or lottery revenue in an amount provided by the board and may bond other employees as necessary.
Section 59-150-110. (A) The Governor shall appoint a Lottery Retailer Advisory Board to be composed of ten lottery retailers, representing the broadest possible spectrum of geographical, racial, gender, and business characteristics of a lottery retailer. The Governor also shall appoint the chairman of the advisory board. The function of the advisory board is to advise the lottery board on retail aspects of the lottery and to present the concerns of a lottery retailer throughout the State. The advisory board may establish a consumer representatives committee to help provide additional insight on other aspects of lottery retail sales.
(B) Members appointed to the advisory board serve terms of two years, except that four of the initial lottery retailer appointees serve initial terms of one year and five serve initial terms of two years. The chairman of the advisory board serves co-terminus with the Governor.
(C) The advisory board shall establish its own rules and internal operating procedures. Members of the advisory board serve without compensation or the per diem, subsistence, or mileage provided by law for members of state boards, committees, and commissions. The advisory board may report to the board of commissioners in writing at any time. The board of commissioners may invite the advisory board to make an oral presentation to the commissioners at regular meetings of the board.
Section 59-150-120. The commission shall provide training programs and other educational activities to enable small and minority businesses to compete for contracts on an equal basis. The board shall monitor the results of small and minority business participation and shall report the results of small and minority business participation to the State Human Affairs Commission on at least an annual basis pursuant to Section 1-13-110.
Section 59-150-130. (A) In coordination with SLED, the commission shall investigate the financial responsibility, security, and integrity of a lottery vendor who is a finalist in submitting a bid, proposal, or offer as part of a procurement. To defray a portion of the expense of this investigation, each lottery vendor finalist shall submit a certified check for five thousand dollars to the commission. This sum must be placed in an escrow account from which SLED must be paid to conduct the investigation pursuant to this section. If five thousand dollars is not sufficient to complete the investigation, the commission shall require the lottery vendor finalist to remit additional funds. Any funds remaining in the escrow account after the investigation is complete must be returned to the lottery vendor finalist. At the time of submitting the bid, proposal, or offer to the commission, the commission shall require disclosure of the:
(1) lottery vendor's name and address and, as applicable, the names and addresses of the following, if the lottery vendor is:
(a) a corporation, the officers and directors and each stockholder in the corporation, except that in the case of owners of equity securities of a publicly-traded corporation, the names and addresses of only those known to the corporation to own beneficially five percent or more of the securities must be disclosed;
(b) a trust, the trustee and all persons entitled to receive income or benefits from the trust;
(c) an association, the members, officers, and directors; and
(d) a partnership or joint venture, all of the general partners, limited partners, or joint venturers;
(2) states and jurisdictions in which the lottery vendor does business and the nature of the business for each such state or jurisdiction;
(3) states and jurisdictions in which the lottery vendor has contracts to supply gaming goods or services including, but not limited to, lottery goods and services, and the nature of the goods or services involved for each state or jurisdiction;
(4) states and jurisdictions in which the lottery vendor has applied for, sought renewal of, received, been denied, or had revoked, or has issuance pending of, a lottery or gaming license of any kind or had fines or penalties assessed to his license, contract, or operation and the disposition of each in each state or jurisdiction. If a lottery or gaming license or contract has been revoked or has not been renewed or a lottery or gaming license or application has been denied or is pending and has remained pending for more than six months, all of the facts and circumstances underlying the failure to receive a license must be disclosed;
(5) details of a finding or any plea, conviction, or adjudication of guilt in a state or federal court of the lottery vendor for a felony or other criminal offense other than a traffic violation. A fingerprint exemplar may be required to satisfy this item;
(6) details of any bankruptcy, insolvency, reorganization, or corporate or individual purchase or takeover of another corporation, including bonded indebtedness, or pending litigation of the lottery vendor;
(7) contributions made to the campaign of a candidate for the General Assembly or statewide constitutional office, to any political party, as defined in Section 8-13-1300(26), or to a committee, as defined in Section 8-13-1300(6), or independent expenditures made to advance or defeat a measure related to the lottery for the twelve-month period before the application and up to the date of disqualification of the applicant or the awarding of the contract, whichever occurs first; and
(8) additional information the commission determines appropriate for the procurement involved. If at least twenty percent of the cost of a lottery vendor's contract is subcontracted, the lottery vendor shall disclose all of the information required by this section for the subcontractor as if the subcontractor were itself a lottery vendor.
(B) A lottery procurement contract must not be entered into with a lottery vendor who has not complied with the disclosure requirements described in subsection (A), and a contract with a noncomplying lottery vendor is voidable at the option of the commission. The commission may terminate a contract with a lottery vendor who does not comply with the requirements for periodically updating the disclosures during the time specified in the contract. The provisions of this section must be construed broadly and liberally to achieve the ends of full disclosure of all information necessary to allow for a full and complete evaluation by the commission of the competence, integrity, background, and character of a lottery vendor for procurements.
(C) A procurement contract must not be entered into with a lottery vendor who has been found guilty of a felony related to the security or integrity of the lottery in this or any other jurisdiction.
(D) A procurement contract must not be entered into with a lottery vendor if the lottery vendor has an ownership interest in an entity that supplied consultation services under contract to the commission regarding the request for proposals pertaining to those particular goods or services.
(E) A lottery vendor or applicant for a major procurement contract may not pay, give, or otherwise make available an economic opportunity, gift, loan, gratuity, special discount, favor, hospitality, or service, excluding food and beverages having an aggregate value not exceeding twenty-five dollars in one day or two hundred dollars in a calendar year, or any other thing of value, to the executive director, a board member, or an employee of the commission or to a member of his immediate family residing in the same household. For purposes of this subsection all terms are used as defined in Section 8-13-100.
(F) A lottery vendor who has entered into the competitive solicitation process for a procurement contract or has been awarded a procurement contract with the commission shall not contribute, for a period of twelve months before entering into the procurement process, except that during the first twelve months the period must be from the date of enactment, and during the term of the contract, to the campaign of a candidate for the General Assembly or a statewide constitutional office; to a political party, as defined in Section 8-13-1300(26); or to a committee, as defined in Section 8-13-1300(6); or make an independent expenditure to advance or defeat a measure related to the lottery.
(G) A former public official holding public office, a former public member holding public membership, or a former public employee having public employment on or after the effective date of this chapter may not serve a lottery vendor for a period of two years after terminating his public service or employment.
(H) A lottery vendor may not enter into a contract for the purpose of influencing a political decision in connection with the operation of the lottery, and a lottery vendor may not employ, contract with, or otherwise authorize a lobbyist, as defined in Section 2-17-10(13), to engage in lobbying, as defined in Section 2-17-10(12), on behalf of the lottery vendor.
(I) A lottery vendor may not advertise or promote the lottery or its business relationship with the commission.
(J) A lottery vendor that is a contractor with the State or any agency, commission, or department of the State shall disclose, upon written inquiry, the amount of any commission, referral fee, finder's fee, consulting fee, contingency fee, or other monies paid in connection with obtaining the contract and the name of the person to whom the monies were paid.
(K) The prohibitions and restrictions described in item (A)(7) and subsections (F) and (H) specifically apply to a lottery vendor as defined in Section 59-150-20(9) and its employees, members of its board, and holders of an interest in it of more than ten percent, and their immediate family members, as defined in Section 59-150-20(6).
(L) If a court of competent jurisdiction rules that item (A)(7) or subsection (F) or (H) are unconstitutional or otherwise unenforceable, then the commission is prohibited from entering into a contract with a lottery vendor if the fee or commission payable in connection with the contract is based on sales or profitability.
Section 59-150-140. (A) At the execution of the contract with the commission, a lottery vendor shall post a performance bond or letter of credit from a bank or credit provider acceptable to the commission in an amount determined by the commission for that particular bid or contract. Instead of the bond, a lottery vendor, to assure the faithful performance of its obligations, may deposit and maintain with the commission securities that are interest bearing or accruing and that are rated in one of the three highest classifications by an established nationally recognized investment rating service. Securities eligible pursuant to this section are limited to:
(1) certificates of deposit issued by solvent banks or savings associations which are organized and existing under the laws of this State or under the laws of the United States and are approved by the commission;
(2) United States bonds, notes, and bills for which the full faith and credit of the government of the United States is pledged for the payment of principal and interest; and
(3) corporate bonds approved by the commission. The corporation that issued the bonds must not be an affiliate or subsidiary of the depositor. The securities must be held in trust and must have at all times a market value equal at least to the full amount estimated to be paid annually to the lottery vendor under contract.
(B) Each lottery vendor must be qualified to do business in this State and shall file appropriate tax returns as provided by the laws of this State. All contracts pursuant to this section are governed by the laws of this State.
(C) A contract may not be let with a lottery vendor in which a public official has an ownership interest unless the letting of the contract complies with Section 8-13-775.
(D) Procurement contracts must be handled in accordance with the South Carolina Consolidated Procurement Code.
(E) In all contracts entered into in connection with this chapter, the resident lottery vendor preference provided in Section 11-35-1524 must apply to procurements made by the commission, except that the following additional provisions apply:
(1) the preference also must apply to the procurement of services, as defined in Section 11-35-310(29), and advertising;
(2) with respect to the procurement of services or advertising, the definition of the term 'resident lottery vendor' must be modified as provided in this item. Section 11-35-1524(B)(6)(c) does not apply to a lottery vendor providing services or advertising. Instead of Section 11-35-1524(B)(6)(c), the lottery vendor shall provide services or advertising which are representative of the general type of services or advertising on which the bid is submitted;
(3) with respect to the procurement of services or advertising, instead of providing the certifications provided in Section 11-35-1524(C), the lottery vendor shall certify in writing in the bid:
(a) that he is resident of the State;
(b) the services or advertising is available; and
(c) the cost of the services or advertising is not unreasonable.
Section 59-150-150. (A) The commission shall develop and maintain a statewide network of lottery retailers to serve the public convenience and promote the sale of tickets or shares and the playing of lottery games as defined in Section 59-150-20(7) while ensuring the integrity of the lottery operations, games, and activities. A lottery retailer's sales of lottery tickets or shares may not exceed sixty percent annually of its total business as measured by gross revenues. The Department of Revenue shall provide data concerning a lottery retailer's gross revenues to assist the commission in verifying compliance with this provision. The commission also shall provide a small retailer a chance to participate in the sales of lottery tickets or shares; provide for compensation to a lottery retailer in the form of commissions in an amount of not more than seven percent of gross sales and not more than one percent incentive for cashing winning tickets for prizes less than six hundred dollars; and issue a license to each person with whom it contracts as a lottery retailer for purposes of display. Each lottery retailer shall post and display conspicuously its license on the disclosure sign required by Section 59-150-60(A)(17). A license is not assignable or transferable.
(B) The board shall develop a list of objective criteria upon which the qualification of a lottery retailer must be based. Separate criteria must be developed to govern the selection of a lottery retailer of instant tickets and an on-line lottery retailer. In developing these criteria, the board shall consider factors such as the applicant's financial responsibility, integrity, and reputation, and the security of the applicant's place of business or activity, and accessibility to the public. The board shall not consider political affiliation or activities or monetary contributions to political organizations or candidates for public office. The criteria must include, but is not limited to, the following:
(1) The applicant must be current in filing all applicable tax returns to the State of South Carolina and in payment of all taxes, interest, and penalties owed to the State of South Carolina, excluding items under formal appeal pursuant to applicable statutes. The Department of Revenue shall provide this information to the commission.
(2) A person, partnership, unincorporated association, corporation, or other business entity must not be selected as a lottery retailer if he or it:
(a) has been convicted of a criminal offense related to the security or integrity of the lottery in this or another jurisdiction;
(b) has been convicted of unlawful gambling activity, false statements, false swearing, or perjury in this or another jurisdiction or convicted of a crime punishable by more than one year of imprisonment or a fine of more than one thousand dollars, or both, unless the person's civil rights have been restored and at least five years have elapsed from the date of the completion of the sentence without a subsequent conviction of a crime described in this subitem;
(c) has been found to have violated the provisions of this chapter or a regulation, policy, or procedure of the commission, unless either ten years have passed since the violation or the board finds the violation both minor and unintentional in nature;
(d) is a lottery vendor or an employee or agent of a lottery vendor doing business with the commission;
(e) resides in the same household as an officer of the commission;
(f) has made a statement of material fact to the commission knowing the statement is false;
(g) has a business of selling lottery tickets or shares that accounts for more than sixty percent annually of its gross revenues, except that the commission may not sell or give away lottery tickets or shares as a lottery retailer, as provided in Section 59-150-210;
(h) has not attained the age of twenty-one years, except that this age restriction applies only to the lottery retailer or lottery retailer applicant and not to a bona fide employee of the lottery retailer; and
(i) has its place of business located within three hundred feet of a church, school, or playground situated within a municipality or within five hundred feet of a church, school, or playground situated outside of a municipality. These distances must be measured in a straight line, without regard to intervening structures or objects, from the nearest property line of the lot on which a building or structure is used as a lottery retailer to the nearest property line of the location of the church, school, or playground, which are defined as follows:
(i) 'church' means an establishment, other than a private dwelling, where religious services are usually conducted;
(ii) 'school' means an establishment, other than a private dwelling, where the usual processes of education are usually conducted; and
(iii) 'playground' means a place, other than grounds at a private dwelling, which is provided by the public or members of a community for recreation.
The restrictions in subitem (i) do not apply to the renewal of a license or to a new application for a location that is licensed at the time the new application is filed with the commission.
(3) A person applying to become a lottery retailer must be charged a uniform application fee for each lottery outlet. A lottery retailer who participates in on-line lottery games must be charged a uniform application fee for each on-line outlet.
(4) A lottery retailer contract executed pursuant to this chapter may be suspended, revoked, or terminated for good cause by the executive director or his designee if the lottery retailer is found to have violated a provision of this chapter or the regulations, policies, and procedures established by the board. Review of activities is subject to the Administrative Procedures Act.
(5) Lottery retailer contracts may be renewable annually at the discretion of the commission, unless sooner canceled or terminated.
(6) A lottery retailer or lottery retailer applicant shall not pay, give, or otherwise make available anything of value to a member of the board of directors of the commission in violation of provisions of the South Carolina Ethics Reform Act.
(7) A lottery retailer who enters into a contract with the commission shall file an initial certified report with the State Ethics Commission showing all contributions or donations made to a committee, as defined in Section 8-13-1300(6). The lottery retailer shall file additional certified reports within ten days following the end of each calendar quarter and for the duration of the contract with the commission.
Section 59-150-160. (A) A lottery retailer contract is not transferable or assignable. A lottery retailer shall not contract with a person for lottery goods or services except with the approval of the board.
(B) Lottery game tickets and shares must be sold only by the lottery retailer named on the lottery retailer certificate.
(C) A lottery retailer may not advertise or promote the lottery outside of the lottery retailer's business premises, and is restricted to the advertising and promotion as permitted in Section 59-150-60(A)(17).
Section 59-150-170. (A) The commission shall establish a fidelity fund separate from all other funds and shall assess each lottery retailer a one-time fee not to exceed one hundred dollars for each sales location. Monies deposited into the fund may be used to cover losses the commission may experience due to nonfeasance, misfeasance, or malfeasance of a lottery retailer. The monies may be invested by the commission pursuant to state investment practices. All earnings attributable to the investments accrue to the fund. In addition, the funds may be used to purchase blanket bonds covering the commission against losses from all a lottery retailer. At the end of each fiscal year, the commission shall pay to the Education Lottery Account any amount in the fidelity fund which exceeds five hundred thousand dollars, and the funds paid must be treated as net proceeds from the lottery.
(B) A reserve account may be established as a general operating expense to cover amounts considered uncollectible from the a lottery retailer. The commission shall establish procedures for minimizing losses that may be experienced by reason of nonfeasance, misfeasance, or malfeasance of a lottery retailer, and shall exercise and exhaust all available options in the procedures before amounts are written off to this account.
(C) The commission may require a lottery retailer to post an appropriate bond, as determined by the commission, using an insurance company acceptable to the commission. The amount must not exceed the applicable district sales average of lottery game tickets for two billing periods.
(D)(1) In its discretion, the commission may allow a lottery retailer to deposit and maintain with the commission securities that are interest bearing or accruing. Securities eligible pursuant to this item are limited to:
(a) certificates of deposit issued by solvent banks or savings associations organized and existing under the laws of this State or under the laws of the United States;
(b) United States bonds, notes, and bills for which the full faith and credit of the United States is pledged for the payment of principal and interest; and
(c) federal agency securities by an agency or instrumentality of the United States government.
(2) The securities must be held in trust in the name of the commission.
Section 59-150-180. (A) A retail contract executed by the commission pursuant to this chapter must specify the reasons for which the contract may be canceled, suspended, revoked, or terminated by the commission including, but not be limited to:
(1) a violation of this chapter, a regulation, or a policy or procedure of the commission;
(2) failure to account accurately or timely for lottery game tickets, lottery games, revenues, or prizes as required by the commission;
(3) fraud, deceit, or misrepresentation;
(4) insufficient sales;
(5) conduct prejudicial to public confidence in the lottery;
(6) filing for or placement in bankruptcy or receivership of the lottery retailer;
(7) a material change, as determined in the sole discretion of the commission, in a matter considered material by the commission in executing the contract with the lottery retailer; or
(8) failure to meet any of the objective criteria established by the commission pursuant to this chapter.
(B) If cancellation, denial, revocation, suspension, or rejection of renewal of a lottery retailer contract is in the best interest of the lottery, the public welfare, or the State of South Carolina, the executive director or his designee, in his discretion, may cancel, suspend, revoke, or terminate, after notice and a right to a hearing, a contract issued pursuant to this chapter. A hearing must be held within sixty days of notice of cancellation, suspension, revocation, or termination and conducted by the executive director or his designee. A party to the contract aggrieved by the decision of the executive director or his designee may appeal the adverse decision to the board, and then to the Administrative Law Judge Division, pursuant to the Administrative Procedures Act.
Section 59-150-190. (A) All proceeds from the sale of the lottery game tickets or shares constitute a trust fund until paid to the commission either directly or through the commission's authorized collection representative. A lottery retailer and officers of a lottery retailer's business have a fiduciary duty to preserve and account for lottery proceeds, and a lottery retailer personally is liable for all proceeds. Proceeds include unsold instant tickets received by a lottery retailer and cash proceeds of the sale of lottery products, net of allowable sales commissions and credit for lottery prizes sold or paid to winners by a lottery retailer. Sales proceeds and unused instant tickets must be delivered to the commission or its authorized collection representative upon demand.
(B) The commission shall require a lottery retailer to place all lottery proceeds due the commission in accounts in institutions insured by the Federal Deposit Insurance Corporation (FDIC) no later than the close of the next banking day after the date of their collection by the lottery retailer until the date they are paid over to the commission. At the time of the deposit, lottery proceeds are considered the property of the commission, and a lottery retailer personally is liable for those proceeds due the commission. The commission may require a lottery retailer to establish a single separate electronic funds transfer account where available for the purpose of receiving monies from ticket or share sales, making payments to the commission, and receiving payments for the commission. Unless otherwise authorized in writing by the commission, each lottery retailer shall establish a separate bank account for lottery proceeds which must be kept separate and apart from all other funds and assets, and must not be commingled with any other funds or assets. A lottery retailer, upon the deposit of lottery proceeds in excess of insurance coverage by the FDIC, shall furnish an indemnity bond from a responsible surety company authorized to do business in this State in an amount sufficient to protect the State against loss in the event of insolvency or liquidation of the institution or for another cause. A lottery retailer, instead of the indemnity bond, may pledge as collateral for the deposits, obligations of the United States, obligations fully guaranteed both as to principal and interest by the United States, obligations of the Federal National Mortgage Association, the Federal Home Loan Bank, Federal Farm Credit Bank, the Federal Home Loan Mortgage Corporation, or general obligations of this State or a political subdivision of it. The State Treasurer shall exercise prudence in accepting the securities listed as collateral. The surety or collateral must be filed with the State Treasurer at time of deposit.
(C) Proceeds from the sale of lottery game tickets or shares received by a lottery retailer who becomes insolvent or dies insolvent, are due the commission from the person or his estate in preference over all debts or demands.
(D) A lottery retailer is not required to pay for lottery tickets or shares until the tickets or shares have been activated by the commission.
Section 59-150-200. If a lottery retailer's rental payments for the business premises are contractually computed, in whole or in part, on the basis of a percentage of retail sales and the computation of retail sales is not defined explicitly to include sales of lottery game tickets or shares in a state operated or state managed lottery, only the compensation received by the lottery retailer from the commission may be considered the amount of the lottery retail sale for purposes of computing the rental payment.
Section 59-150-210. (A) A person shall not sell a lottery game ticket or share at a price other than that established by the commission. A person, other than a duly certified lottery retailer, shall not sell lottery game tickets, but a person may purchase lawfully lottery game tickets or shares and make a gift of the lottery game tickets or shares to another. The commission may designate certain agents and employees to sell lottery game tickets or shares directly to the public.
(B) A lottery retailer shall not sell a lottery game ticket or share except from the locations listed in the lottery retailer's contract and as evidenced by the lottery retailer's certificate of authorization unless the commission authorizes, in writing, a temporary location not listed in the lottery retailer's contract.
(C) Lottery game tickets or shares must not be sold to persons under eighteen years of age, but a person eighteen years of age or older may purchase lawfully lottery game tickets or shares and make a gift to a person of any age. If a minor lawfully receives a winning lottery game ticket, the commission may direct payment of proceeds of a lottery prize in an amount not exceeding two thousand five hundred dollars to the parent or guardian of the minor without court approval and without appointment of a conservator. In the case of a lottery prize greater than two thousand five hundred dollars and not exceeding twenty-five thousand dollars, payment must be made in accordance with the procedures outlined in Section 62-5-103 as they relate to distribution. In the case of a prize in an amount greater than twenty-five thousand dollars, payment must be made to a duly appointed conservator to be held for the benefit of the minor, pursuant to Section 62-5-433.
(D) A lottery ticket or share may not be sold on the date of any general elections or on any Sunday; within three hundred feet of a church, school, or playground, as provided in Section 59-150-150(B)(2)(i); to a lottery game other than that defined in Section 59-150-20(7); or to a lottery game with corporate sponsorship.
Section 59-150-220. (A)(1) Upon the theft of instant tickets, a lottery retailer shall report immediately the theft to both the local law enforcement authority and to the commission's division of security.
(2) If tickets are stolen before the book is activated, and no tickets within the book have been sold:
(a) the lottery retailer must be charged a nonrefundable service fee for each incident in an amount determined by the commission to cover its costs only, so long as the name of the local law enforcement agency contacted and the assigned case number are furnished promptly to the commission;
(b) if the name of the local law enforcement agency and the assigned case number are not provided to the commission within thirty calendar days after the discovery by the lottery retailer of the theft, the commission shall charge the lottery retailer in accordance with subsection (3)(b).
(3) If tickets are stolen after the book has been activated or tickets within the book have been sold:
(a) a lottery retailer must be charged the net sales value (retail sales value less commission) for each book, less the low tier prize values of stolen tickets not paid at the time of the incident, so long as the lottery retailer furnished the name of the local law enforcement agency and the assigned case number to the commission;
(b) if the name of a law enforcement agency and case number are not provided to the commission within thirty calendar days after the discovery by the lottery retailer of the theft, credit for the unpaid low tier prizes must not be given and the lottery retailer must be charged the net sales value (retail sales value less commission) for each book.
(4) The commission shall adjust charges described in item (3) for the following reasons:
(a) the commission shall charge a lottery retailer the low tier prize value of tickets that are presented to the commission as claims subsequent to the date of the incident. The commission shall determine which prizes must be subsequently paid based upon the facts of the incident, and that amount must be charged to the lottery retailer;
(b) the commission shall provide credit for recovered stolen tickets as follows:
(i) the net sales value of the tickets recovered must be compared to the total value of the uncashed low tier prizes for each book of tickets. The lottery retailer shall receive credit for the greater of these two values;
(ii) recovered tickets must be returned to the commission by the declared end of game redemption deadline or one hundred eighty days from the date of the incident, whichever is later. The game, book, and ticket number must be legible on each ticket for the lottery retailer to receive credit. If tickets are being held as evidence in a criminal investigation by a law enforcement agency, the commission shall accept a property report from that agency by the declared end of the game redemption deadline or one hundred eighty days from the date of the incident, whichever is later, detailing the game, book, and ticket number or Void If Removed Number (VIRN) for the tickets being held, as documentation to provide credit;
(iii) recovered scratched tickets may be accepted for credit only if that condition of the tickets is identified in documentation provided to the commission by the local law enforcement agency;
(iv) the lottery retailer shall receive no credit for recovered tickets that have been validated;
(v) the commission shall determine the credits provided based upon the facts of the incident, and that amount must be credited to the lottery retailer.
(5) Books reported to the commission as stolen must be marked in the commission's records to prevent validation and payment of prizes within the book.
(B)(1) Upon the loss or damage of instant tickets, a lottery retailer immediately shall report the loss or damage to the both the local law enforcement authority and to the commission's division of security.
(2) If tickets are damaged before the book is activated, no tickets within the book are sold, and all tickets in the book are returned to the commission, a lottery retailer may not be charged a service fee. If tickets are lost before the book is activated and no tickets within the book have been sold, a lottery retailer must be charged a nonrefundable service fee of twenty-five dollars for each incident for up to four books and five dollars for each book over four books.
(3) If tickets are lost or damaged after the book is activated or if tickets within the book are sold, a lottery retailer must be charged the net sales value (retail sales value less commission) for each book.
(4) Upon the written approval by the commission, the commission shall provide credit for recovered lost or damaged tickets for the net sales value of the tickets recovered.
(a) To receive approval, the lottery retailer shall provide the facts of the incident in writing to the commission for consideration.
(b) The written request and recovered tickets must be returned to the commission by the redemption deadline and the game, book, and ticket number must be legible on each ticket in order for the lottery retailer to receive credit.
(c) Scratched tickets must not be accepted for credit. A scratched ticket is one that in the commission's judgment has been compromised as to the security and integrity of the ticket due to removal of latex.
(d) Tickets identified as validated before the recovery result in no credit to the lottery retailer.
(5) Books reported to the commission as lost or damaged must be marked as such in the commission's records to prevent validation and payment of prizes within the book.
(6) In the event of acts of God, occurrences of nature, or other natural disasters, the commission may waive the requirements of this subsection.
Section 59-150-230. (A) Lottery prizes are subject to the South Carolina state income tax. Residents and nonresidents of this State who receive a lottery prize in excess of five hundred dollars are subject to a mandatory withholding of state income tax as required by law. Federal income tax must be withheld from lottery prizes in excess of five thousand dollars. Neither the State nor a county, municipality, or other political subdivision of this State may impose a tax on the sale of a lottery ticket or share or on the payment of a prize pursuant to this chapter; nor may a county, municipality, or other political or public subdivision assess an ad valorem tax against a lottery ticket or share bought or sold pursuant to this chapter.
(B) Except as otherwise provided in this chapter, attachments, garnishments, or executions authorized and issued pursuant to law must be withheld if timely served upon the commission. This subsection does not apply to a lottery retailer.
(C) The commission shall promulgate regulations and adopt policies and procedures to establish a system of verifying the validity of lottery games tickets or shares claimed to win prizes and to effect payment of prizes.
(1) A prize, a portion of a prize, or a right of a person to a prize awarded is not assignable except as provided in this section. A prize or a portion of a prize remaining unpaid at the death of a prize winner must be paid to the estate of the deceased prize winner or to the trustee of a trust established by the deceased prize winner as settlor if a copy of the trust document or instrument has been filed with the commission with a notarized letter of direction from the settlor and no written notice of revocation has been received by the commission before the settlor's death. Following a settlor's death and before payment to a trustee, the commission shall obtain from the trustee a written agreement to indemnify and hold the commission harmless with respect to claims that may be asserted against the commission arising from payment to or through the trust. Notwithstanding any other provisions of this section, a person, pursuant to an appropriate judicial order, may be paid the prize to which a winner is entitled.
(2) (a) If the winner of a lottery game prize elects to receive his prize by way of deferred payments, the commission must deposit, in the same quarter as the prize was won and in a restricted account, the total amount of the prize. The deferred payments to the winner of the lottery game prize must be paid out only from that restricted account.
(b) The restricted account provided in subitem (a) must be known as the 'Deferred Lottery Prize Payment Account'. The monies in the restricted account may be used only for the purpose of making deferred payments of a lottery game prize as elected by a prize winner. The monies in the Deferred Lottery Prize Payment Account may not be used to determine the assets of the commission, except to manifest them as encumbered.
(c) The State Treasurer may invest the monies deposited in the Deferred Lottery Prize Payment Account as provided by law.
(3) A prize must not be paid if it:
(a) arises from claimed lottery game tickets that are stolen, counterfeit, altered, fraudulent, unissued, produced or issued in error, unreadable, not received, or not recorded by the commission within applicable deadlines;
(b) lacks captions that conform and agree with the play symbols as appropriate to the particular lottery game involved; or
(c) fails to comply with additional specific regulations and public or confidential validation and security tests of the commission appropriate to the particular lottery game involved.
(4) A particular prize in a lottery game must not be paid more than once, and if more than one person is entitled to a particular prize, the sole remedy of those persons is the award to each of them of an equal share in the prize.
(5) A holder of a winning lottery game ticket or share from a lottery game, multi-state, or multi-sovereign lottery game must claim a cash prize within one hundred eighty days after the drawing in which the cash prize was won. In a South Carolina lottery game in which the player may determine instantly if he has won or lost, he must claim a cash prize within ninety days, or for a multi-state lottery game within one hundred eighty days, after the end of the lottery game. If a valid claim is not made for a cash prize within the applicable period, the cash prize is an unclaimed prize for purposes of this chapter.
(D) A prize must not be paid upon a lottery game ticket or share purchased or sold in violation of this chapter and is an unclaimed prize for purposes of this section.
(E) The commission is discharged of all liability upon payment of a prize.
(F) A lottery game ticket or share must not be purchased by and a prize must not be paid to a member of the board, an officer or employee of the commission, or a spouse, child, brother, sister, or parent residing as a member of the same household in his principal place of residence. A lottery game ticket or share must not be purchased by and a prize must not be paid to an officer, employee, agent, or a subcontractor of a lottery vendor, or a spouse, child, brother, sister, or parent residing as a member of the same household in his principal place of residence if he has access to confidential information that may compromise the integrity of the lottery.
(G) A lottery prize may not be paid to a person who is incarcerated or on probation or parole. A lottery prize payment received in violation of this subsection must be returned immediately and in full to the commission.
(H) The use of an electronic or mechanical machine designed for a lottery game authorized pursuant to this chapter must be limited to a lottery retailer and their employees only in order to facilitate retail sales of lottery tickets, and such a machine must not dispense as a prize coins or currency. The operation of the lottery games excludes machines and lottery games, including video poker lottery games, prohibited by Sections 12-21-2710, 16-19-40 and 16-19-50.
(I) Unclaimed prize money must be deposited in the Education Lottery Account each year. A portion, in an amount to be determined by the General Assembly, of the unclaimed prize money in the Education Lottery Account, must be allocated by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years to the South Carolina Department of Alcohol and Other Drug Abuse Services for the treatment of compulsive gambling disorder and educational programs related to that disorder, including a gambling hotline. The Director of the DAODAS shall report to the board on the programs implemented with these funds, and provide a copy of the report to the General Assembly.
Section 59-150-240. (A) The commission is subject to the provisions of Chapter 4, Title 30, the South Carolina Freedom of Information Act.
(B) The commission shall perform full criminal background investigations before the execution of a lottery vendor contract.
(C) The commission or its authorized agent shall:
(1) conduct criminal background investigations and credit investigations on all potential a lottery retailer and employees;
(2) supervise lottery game ticket or share validation and lottery drawings;
(3) inspect, at times determined solely by the commission, the facilities or operations of a lottery vendor or lottery retailer to determine the integrity of the lottery vendor's product or compliance by the lottery retailer or lottery vendor with its contract;
(4) report suspected violations of this chapter to the appropriate investigative and prosecutorial agency having jurisdiction over the violation; and
(5) upon request, provide assistance to a solicitor, the Attorney General, or a law enforcement agency investigating a violation of this chapter.
Section 59-150-250. (A) A person who knowingly sells a lottery game ticket or share to a person under eighteen years of age or permits a person under eighteen years of age to play a lottery game is guilty of a misdemeanor and, upon conviction, must be fined not less than one hundred dollars nor more than five hundred dollars or be imprisoned not less than thirty days nor more than sixty days, or both, in the discretion of the court. It is an affirmative defense to a charge of a violation of this section that the lottery retailer reasonably and in good faith relied upon representation of proof of age in making the sale.
(B) A person under eighteen years of age who knowingly purchases a lottery game ticket is guilty of a misdemeanor and, upon conviction, must perform twenty hours of community service or must be fined not less than one hundred dollars and not more than five hundred dollars.
(C) A lottery ticket or share must bear a conspicuous label prohibiting the play of the game by a person under eighteen years of age.
(D) A lottery game using an electronic or mechanical device must bear a conspicuous label prohibiting the use of the device by a person under eighteen years of age. Electronic or mechanical device does not include machines and other gaming devices including video poker and games prohibited by Sections 12-21-2710, 16-19-40, and 16-19-50.
(E) A person who is incarcerated or on probation or parole who knowingly accepts a lottery prize is guilty of a misdemeanor and, upon conviction, must be fined not less than ten dollars nor more than one hundred dollars or imprisoned for not less than two days nor more than thirty days, or both.
(F) A person who is convicted of a violation of subsection (A) subjects his employer, for a first violation, to a fine not less than one hundred dollars nor more than two hundred fifty dollars; for a second violation, to a fine not less than two hundred fifty-one dollars nor more than five hundred dollars; and for a third and subsequent violation, to a fine not less than five hundred and one dollars and immediate license revocation by the commission.
Section 59-150-260. (A) A person who, with intent to defraud, falsely makes, alters, forges, utters, passes, or counterfeits a state lottery game ticket is guilty of a felony and, upon conviction, must be fined not more than fifty thousand dollars or imprisoned not more than five years, or both.
(B) A person who influences or attempts to influence the winning of a prize through the use of coercion, fraud, deception, or tampering with lottery equipment or materials is guilty of a felony and, upon conviction, must be fined not more than fifty thousand dollars or imprisoned not more than five years, or both.
(C) A person who is convicted of a violation of subsection (A) or (B) must not be the recipient of an award of a lottery prize or a portion of a lottery prize, and is ineligible for employment by the commission.
Section 59-150-270. (A) A person must not knowingly or intentionally make a material false statement in an application for a license or proposal to conduct lottery activities or a material false entry in a book or record which is compiled or maintained or submitted to the board or its designee pursuant to the provisions of this chapter. A person who violates the provisions of this section is guilty of a felony and, upon conviction, must be fined not more than twenty-five thousand dollars or the dollar amount of the false entry or statement, whichever is greater, or imprisoned for not more than five years, or both.
(B) A person who is convicted of a violation of subsection (A) also must surrender his license immediately and is ineligible to be issued a license by the commission.
Section 59-150-275. A person who specifically is made subject to the South Carolina Ethics Reform Act by this chapter and who knowingly violates a provision of this chapter that prohibits contributions to political campaigns or parties, independent expenditures to advance or defeat a lottery-related issue, employment of a lobbyist, representation of a client before the board as a former employee, or other prohibitions or restrictions relating to the unfair receipt of a pecuniary benefit from his association with the lottery, is guilty of a felony and, upon conviction, must be fined not more than twenty-five thousand dollars or imprisoned for not more than five years, or both.
Section 59-150-280. (A) The commission may enter into intelligence sharing, reciprocal use, or restricted use agreements with the federal government, law enforcement agencies, lottery regulation agencies, and gaming enforcement agencies of other jurisdictions which provide for and regulate the use of information provided and received pursuant to the agreement.
(B) Records, documents, and information in the possession of the commission received pursuant to an intelligence sharing, reciprocal use, or restricted use agreement entered into by the commission with a federal department or agency, a law enforcement agency, or the lottery regulation or gaming enforcement agency of a jurisdiction are considered investigative records of a law enforcement agency and are subject to the confidentiality and disclosure policies, and must not be released without the permission of the person or agency providing the record or information, except as may be required by the Freedom of Information Act.
Section 59-150-290. The commission shall enter into its contracts for procurements in compliance with the South Carolina Consolidated Procurement Code.
Section 59-150-300. (A) Any lottery retailer, lottery vendor, applicant for a lottery retailer license, or lottery game ticket holder aggrieved by an action of the board may appeal that decision to the Administrative Law Judge Division. The action is subject to review by an administrative law judge on the record of the board, upon petition of the aggrieved person within ten days from receipt of official notice from the board of the action of which review is sought. Service of notice is presumed conclusively ten days after mailing by registered or certified mail to the applicant or licensee of notice at his last known address. An appeal to the Administrative Law Judge Division pursuant to this section is a contested case as defined by the Administrative Procedures Act, and subject to the procedural due process requirements provided for in Article 5, Chapter 23, Title 1 and the Rules of Procedure of the Administrative Law Judge Division. Appeals regarding lottery vendor contracts must be brought pursuant to the South Carolina Procurement Code.
(B) The Administrative Law Judge Division shall hear appeals from decisions of the board and, based upon the record of the proceedings before the board, may reverse the decision of the board only if the appellant proves the decision to be:
(1) in violation of constitutional or statutory provisions;
(2) in excess of the statutory authority of the board;
(3) made upon unlawful procedure;
(4) affected by other error of law;
(5) clearly erroneous in view of the reliable, probative, and substantial evidence on the whole record; or
(6) arbitrary or capricious or characterized by abuse of discretion or clearly unwarranted exercise of discretion.
(C) The Administrative Law Judge Division may remand an appeal to the board to conduct further hearings.
(D) For judicial review of a final decision of an administrative law judge in a case involving the commission, the petition by an aggrieved party must be filed with the circuit court and served on the opposing party not more than thirty days after the aggrieved party receives the final decision and order of the administrative law judge. Appeal in these matters is by right.
(E) A lottery vendor who appeals the award of a procurement contract for the supply of a lottery game ticket system, share system, or an on-line or other mechanical or electronic system is liable for all costs of appeal and defense if the appeal is denied or the contract award is upheld. Cost of appeal and defense specifically includes, but is not limited to, administrative proceedings, court costs, bond, legal fees, and loss of income to the commission resulting from institution of the appeal if, upon the motion of the commission, the court finds the appeal was frivolous.
(F) All actions and proceedings for review pursuant to this chapter, and all actions and proceedings to which the commission may be a party and in which a question arises pursuant to this chapter or pursuant to or concerning any order or decision of the commission must be given priority of hearing in all courts and reviewing entities over all other civil causes except election cases irrespective of position on the calendar.
Section 59-150-310. (A) The commission may expend, pursuant to the provisions of this chapter, monies received from any source, including income from the commission's operations, for effectuating its purposes, including the payment of the initial expenses of organization, administration, and operation of the commission and the lottery.
(B) The commission must be self-sustaining and self-funded. Monies in the state general fund may not be used or obligated to pay the expenses of the commission or prizes of the lottery, and a claim for the payment of an expense of the lottery or prizes of the lottery may not be made against monies other than monies credited to the commission operating account.
(C) The commission may purchase, lease, or lease-purchase goods or services necessary for effectuating the purposes of this chapter. The commission may make procurements which integrate functions such as lottery game design, lottery ticket distribution to a lottery retailer, supply of goods and services, and advertising. In all procurement decisions, the commission shall act to promote and ensure security, honesty, fairness, and integrity in the operation and administration of the lottery and the objectives of raising net proceeds for the benefit of educational programs and purposes.
Section 59-150-320. To ensure the financial integrity of the lottery, the commission, through its board, shall:
(1) submit quarterly and annual reports to the Governor, the President Pro Tempore of the Senate, the Speaker of the House of Representatives, the State Auditor, the Comptroller General, the State Treasurer, and the Chairmen of the House Ways and Means Committee and the Senate Finance Committee disclosing the total lottery revenues, prize disbursements, operating expenses, and administrative expenses of the commission during the reporting period. The annual report additionally must describe the organizational structure of the commission, summarize the functions performed by each organizational division within the commission, and contain a detailed budget for the next fiscal year. The quarterly reports must be submitted within fifteen days of the end of the quarter, and the annual report must be submitted by October fifteenth;
(2) adopt a system of internal audits;
(3) maintain weekly or more frequently records of lottery transactions including the distribution of lottery game tickets or shares to a lottery retailer, revenues received, claims for prizes, prizes paid, prizes forfeited, and other financial transactions of the commission;
(4) authorize the State Auditor to contract with a certified public accountant or firm for an independently audited financial statement prepared in accordance with generally accepted accounting principles, to be submitted to the Comptroller General's office each year no later than October fifteenth. The certified public accountant or firm shall not have a financial interest in a lottery vendor with whom the commission is under contract. The certified public accountant or firm shall evaluate the internal auditing controls in effect during the audit period. The cost of this annual financial audit is an operating expense of the commission. The State Auditor may at any time conduct an audit of any phase of the operations of the commission at the expense of the State and shall receive a copy of the annual independent financial audit. A copy of an interim audit performed by the certified public accountant or firm or the State Auditor must be transmitted after the close of the commission's fiscal year to the Governor, the President Pro Tempore of the Senate, the Speaker of the House of Representatives, the State Auditor, the State Treasurer, the Comptroller General, and the Chairmen of the House Ways and Means Committee and the Senate Finance Committee;
(5) submit, for informational purposes only, to the Office of State Budget of the Budget and Control Board and the State Auditor by June thirtieth of each year a copy of the annual operating budget for the commission for the next fiscal year. This annual operating budget must be approved by the South Carolina Lottery Commission Board;
(6) submit, for informational purposes only, to the Office of State Budget on November tenth of each year a proposed operating budget for the commission for the upcoming fiscal year;
(7) adopt the same fiscal year as that used by state government; and
(8) authorize the Legislative Audit Council to contract with an independent firm experienced in security procedures including, but not limited to, computer security and systems security, to periodically conduct a comprehensive study and evaluation of all aspects of security in the operation of the commission and the lottery. This firm may not have a financial interesting a lottery vendor with whom the commission is under contract The cost of this evaluation is an operating expense of the commission. The commission shall pay directly to the Legislative Audit Council the cost of the evaluation.
Section 59-150-330. (A) All claimant agencies of this State and persons on whose behalf the State and its claimant agencies act, in conjunction with the commission, shall cooperate in identifying debtors who owe money to the State and who qualify for prizes pursuant to this chapter from the commission; and the sum of any debt owed to the State or to persons on whose behalf the State and its claimant agencies act must be set off against a prize awarded pursuant to this chapter. This section must be liberally construed to effectuate these purposes.
(B) As used in this section:
(1) 'Claimant agency' means any state or local agency, department, board, bureau, commission, or authority to which an individual owes a debt or which acts on behalf of an individual to collect a debt.
(2) 'Debt' means a liquidated sum due and owing a claimant agency, which sum has accrued through contract, subrogation, tort, or operation of law regardless of whether there is an outstanding judgment for the sum, or a sum which is due and owing a person and is enforceable by the State or any of its agencies or departments.
(3) 'Debtor' means an individual owing money to or having a delinquent account with a claimant agency, which obligation has not been adjudicated as satisfied by court order, set aside by court order, or discharged in bankruptcy.
(4) 'Prize' means the proceeds of a lottery prize awarded pursuant to this chapter.
(C) The collection remedy authorized by this section is in addition to and not in substitution for any other remedy available by law.
(D)(1) A claimant agency may submit to the commission a list of the names of all persons owing debts in excess of one hundred dollars to the claimant agency or to persons on whose behalf the claimant agency acts. The full amount of the debt is collectible from lottery winnings without regard to limitations on the amounts that may be collectible in increments through garnishment or other proceedings. The list constitutes a valid lien upon and claim of lien against the lottery winnings of a debtor named in the list. The list must contain the names of the debtors, their Social Security numbers if available, and other information which would assist the commission in identifying the debtors named in the list.
(2) The commission shall withhold winnings subject to the lien created by this section and send notice to the winner by certified mail, return receipt requested, of such action and the reason why the winnings were withheld. If the winner appears and claims winnings in person, the commission shall notify the winner at that time, by hand delivery, of the action. If the debtor does not protest, in writing, the withholding of the funds within thirty days of notice, the commission shall pay the funds over to the claimant agency. If the debtor protests the withholding of funds, in writing, within thirty days of the notice, the commission shall file an action in interpleader in the circuit court of the county in which the debtor resides, pay the disputed sum into the court, and give notice to the claimant agency and debtor of the initiation of the action.
(3) The liens created by this section rank among themselves as follows:
(a) taxes due the State;
(b) delinquent child support;
(c) delinquent student loans; and
(d) all other judgments and liens in order of the date entered or perfected.
(4) The commission is not required to deduct claimed debts from prizes paid out by a lottery retailer or entities other than the commission.
(5) A list of debtors and debts must be provided, pursuant to this section, periodically as the commission determines by rules and regulations, and the commission is not obligated to retain the lists or deduct debts appearing on the lists beyond the period determined by the rules and regulations.
(6) The commission may prescribe forms, propose rules, and promulgate regulations necessary to carry out the provisions of this section.
(7) The commission and a claimant agency do not incur civil or criminal liability for good faith adherence to the provisions of this section.
(8) The claimant agency shall pay the commission for all costs incurred by the commission in setting off debts in the manner provided in this section. The commission may retain this fee as part of administrative expenses.
(E)(1) Notwithstanding Section 59-150-240 or other confidentiality law, the commission may provide to a claimant agency all information necessary to accomplish and effectuate the intent of this section.
(2) The information obtained by a claimant agency from the commission pursuant to this section must retain its confidentiality and may be used only by a claimant agency in the pursuit of its debt collection duties and practices. An employee or former employee of a claimant agency who unlawfully discloses this information for another purpose, except as otherwise specifically authorized by law, is subject to penalties as provided by law.
(F) The provisions of this section apply to prizes of six hundred dollars or more.
Section 59-150-340. The net proceeds received from the state lottery for education as provided by law must be deposited by the State Treasurer in a fund separate and distinct from the state general fund entitled the 'Education Lottery Account'. All interest or income earned by the fund must be retained in the account and used for its stated purposes. However, all revenue received by the Education Lottery Account in any fiscal year together with earnings on it for that year must be disbursed as required by Section 59-150-350 and as appropriated by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years. It is the intent of the General Assembly in creating this Education Lottery Account that its funds be managed so as to establish and fund these programs permanently. Upon receipt of monies transferred to the Education Lottery Account held by the State Treasurer, these monies must be appropriated by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years to the programs and for the purposes stipulated in Section 59-150-350. The Comptroller General shall record these revenues received on a cash basis, and disbursements for the purposes provided also must be on a cash basis; however, unexpended funds at the end of a fiscal year after disbursement to the programs authorized to receive the funds as provided in Section 59-150-350 and as appropriated by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years may be carried forward to future years and expended for the same purposes.
Section 59-150-350. (A) All lottery proceeds are the property of the commission, to be held in a separate and distinct account, apart from the State Treasury. Annual administrative expenses may not exceed fifteen percent of gross lottery revenues for the year, including lottery retailer commissions and incentives. The General Assembly shall consider, in the allocation of funds from the Education Lottery Account, the allocation of monies in the amount the General Assembly determines for the Commission on Higher Education and for the Administrative Law Judge Division, both to help defray their expenses incurred in the performance of their duties pursuant to this chapter; except that the amount of funding for the Commission on Higher Education and the Administrative Law Judge Division must be allocated by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years. As nearly as practical, an amount no less than forty-five percent of the amount of money from the actual sale of lottery tickets or shares must be made available as prize money, except that this item does not create a lien, an entitlement, a cause of action, or other private right, and rights of holders of tickets or shares must be determined by the commission in setting the terms of its lottery or lotteries.
(B) Before the sixteenth day of each month, the commission shall deposit to the State Treasurer, for credit to the Education Lottery Account for the preceding month, the amount of all net proceeds from the preceding month. The State Comptroller General shall account separately for net proceeds by establishing and maintaining a restricted account known as the Education Lottery Account. Upon their deposit with the State, monies representing a deposit of net proceeds become the unencumbered property of the State of South Carolina and the commission may not agree or undertake otherwise. The monies may be invested by the State Treasurer pursuant to state investment practices. All earnings attributable to the investments are also the unencumbered property of the State and accrue to the credit of the Education Lottery Account.
(C) At the beginning of the first fiscal year after the state lottery becomes operational, the Comptroller General shall certify the amount of net proceeds including investment earnings on the net proceeds credited to and accrued in the Education Lottery Account during the preceding fiscal year. The sum of certified net proceeds and investment earnings must be designated as annual lottery proceeds. Appropriations from the Education Lottery Account must be allocated only for educational purposes and programs by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years. Funds made available from the Education Lottery Account may not exceed the previous year's net proceeds and investment earnings as certified by the Comptroller General and must first be used to provide Palmetto Fellows Scholarships to all eligible applicants, then used to provide LIFE Scholarships for eligible resident students attending two-year or four-year public institutions or technical colleges in those amounts provided by law with all the remaining revenues for: elementary and secondary public education as determined pursuant to the Education Accountability Act of 1998 and education improvement legislation enacted into law after the effective date of this chapter, new programs enacted by the General Assembly for public institutions of higher learning, including public four-year colleges and universities and their branches and two-year colleges, as defined in Section 59-103-5, and state technical schools, which programs may include the creation of endowed chairs at the state's universities, with an emphasis in the areas of, but not limited to, engineering, computer science, and the sciences, and Youth Education Scholarships of up to and not to exceed one thousand dollars, to be determined in the annual general appropriations bill, to resident parents of a four-year-old who attains the age of four years by September first of the school year the scholarship is received and who attends a public or private, for profit or nonprofit kindergarten, preschool, or child development center program provided in this State. The scholarship is payable from the lottery proceeds through the Department of Education directly to the school in the name of the attending child. These programs may include, but are not limited to, language and literacy programs that help the child understand and tell stories, recognize pictures and words, learn the alphabet, and understand that writing is communication; math concepts that teach the child to count and sort objects into groups, recognize shapes, and make comparisons of size, shape, length, and weight; science concepts that teach the child to explore the natural environment, observe seasonal changes, communicate observations, and use tools to measure; art concepts that help the child express ideas and thoughts in creative ways, paint, draw, and sculpt, listen to music and sing songs, and recognize colors; and physical development activities that help the child move with balance and coordination, participate in indoor and outdoor physical activity, and use writing tools, puzzles, scissors, blocks, clay, and computers. The proportion of total recurring general fund and special fund revenues of the State expended for the total of public elementary, secondary, and higher education allocations in any fiscal year may not be less than the proportions in the fiscal year immediately before the fiscal year in which education revenues are first received from a state lottery, and may not be reduced or supplanted later by revenues received from a state lottery.
(D) Appropriations by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years for educational purposes and programs from the account not committed during the fiscal year must be credited to the Education Lottery Account.
(E)(1) A program or project started specifically from lottery proceeds may not be continued from the general fund, but the programs must be adjusted or discontinued according to available lottery proceeds, unless the General Assembly by general law establishes eligibility requirements and later appropriates specific funds within the general appropriations act. The provisions of this subsection do not prohibit the providing of supplemental funding to programs or projects in existence on the effective date of this chapter from lottery proceeds; provided, that funding for these existing programs or projects from the state general fund, the Education Improvement Act, or other nonlottery sources may not be reduced below that provided on the effective date of this chapter.
(2) A surplus in the Education Lottery Account may not be reduced by the General Assembly to correct any nonlottery deficiencies in sums available for general appropriations and vice versa, and a surplus in the Education Lottery Account may not be included in a surplus calculated for setting aside any nonlottery reserve, specifically, without limitation, the General Reserve Fund or the Capital Reserve Fund."
SECTION 3. Section 59-149-10 of the 1976 Code is amended by adding at the end to read:
"(E)(1) Beginning with school year 2002-2003, the annual amount of a LIFE Scholarship for eligible resident students attending a four-year or two-year public institution or technical college as defined in this chapter is increased to the cost of tuition for thirty credit hours a year or its equivalent plus a three hundred dollar a year book allowance. Tuition for this purpose means the amount charged for registering for credit hours of instruction and shall not include other fees, charges, or costs of textbooks except for the referenced three hundred dollar book allowance.
(2) Beginning with school year 2002-2003, the annual amount of a LIFE Scholarship for eligible resident students attending a four-year independent institution must continue to be the cost of attendance up to a maximum of three thousand dollars a year, and the annual amount for eligible resident students attending a two-year independent institution must increase to the cost of attendance up to a maximum of no more than the cost of tuition at a two-year regional public institution for thirty credit hours a year or its equivalent.
(3) Beginning with the school year 2002-2003, the requirement that high school completion be accomplished on or after May 1995, for eligibility for the LIFE Scholarship is waived."
SECTION 4. Section 59-149-50 of the 1976 Code is amended by adding subsections (D) and (E) to read:
"(D) Beginning with school year 2002-2003, an entering freshman to be eligible for a LIFE Scholarship in addition to the other requirements of this chapter shall meet two of the following three criteria:
(1) have the grade point average required by this section;
(2) have the Scholastic Aptitude Test (SAT) or equivalent ACT score required by this section;
(3) be in the top thirty percent of his high school graduating class.
For home school students and students whose high school graduating class is less than fifty students, the Commission on Higher Education may define alternative criteria for students to meet the requirement of item (3).
After receipt of a LIFE Scholarship by an entering freshman beginning with school year 2002-2003, a student shall meet the criteria established in this chapter to retain or regain the scholarship.
(E) Notwithstanding the provisions of this section and the other requirements of this chapter, beginning with school year 2002-2003, students attending a technical college of this State taking not less than eighteen credit hours of instruction a year but less than thirty credit hours a year who are otherwise eligible for a LIFE scholarship shall receive a LIFE scholarship equal to one-half the amount that eligible students receive at the technical college who take at least thirty credit hours of instruction a year."
SECTION 5. The 1976 Code is amended by adding:
"Section 2-15-63. (A) Beginning in December 2004 and every three years after that, the Legislative Audit Council shall conduct a management performance audit of the South Carolina Lottery Commission. The cost of this audit is an operating expense of the commission.
(B) Nothing in this section limits, abridges, or otherwise affects the provisions of Section 2-15-60.
(C) The Legislative Audit Council may contract with an independent firm experienced in security procedures including, but not limited to, computer security and systems security, to periodically conduct a comprehensive study and evaluation of all aspects of security in the operation of the commission and the lottery. This firm may not have a financial interest in a lottery vendor with whom the commission is under contract. The cost of this evaluation is an operating expense of the commission. The commission shall pay directly to the Legislative Audit Council the cost of the evaluation."
SECTION 6. Section 12-36-2120 of the 1976 Code is amended by adding an appropriately numbered item to read:
"( ) a lottery ticket sold pursuant to Chapter 150 of Title 59;"
SECTION 7. Section 59-63-210 of the 1976 Code is amended to read:
"Section 59-63-210. (A) Any district board of trustees may authorize or order the expulsion, suspension, or transfer of any pupil for a the commission of any crime, gross immorality, gross misbehavior, persistent disobedience, or for violation of written rules and promulgated regulations established by the district board, county board, or the State Board of Education, or when the presence of the pupil is detrimental to the best interest of the school. Every Each expelled pupil shall have has the right to petition for readmission for the succeeding school year. Expulsion or suspension shall must be construed to prohibit a pupil from entering the school, or school grounds, except for a prearranged conference with an administrator, attending any day or night school functions, or riding a school bus. The provisions of this section shall do not preclude enrollment and attendance in any adult or night school.
(B) A district board of trustees shall not authorize or order the expulsion, suspension, or transfer of any pupil for a violation of Section 59-150-250(B)."
SECTION 8. Except for Section 59-150-350(C), (D), and (E), provisions of this chapter relating to guidelines for the appropriation of lottery proceeds must not be amended in a general appropriations act, but only in a separate piece of legislation solely for that purpose and by a majority vote of those present and voting in both houses of the General Assembly.
SECTION 9. The General Assembly shall review and evaluate, on a regular basis but at least biannually, the operation of the South Carolina Education Lottery and the success and efficiency with which the South Carolina Lottery Commission has undertaken that responsibility. The General Assembly, after each review and evaluation, may determine to:
(1) transfer the whole or any part of the functions of the commission to the jurisdiction and control of any other agency;
(2) consolidate, coordinate, or combine the functions of the commission with any other agency;
(3) redirect any mission of the commission;
(4) abolish any mission of the commission in whole or any part; or
(5) abolish all or any part of the functions of the commission.
SECTION 10. Criminal penalties contained in Chapter 150, Title 59 apply only to offenses committed on or after the effective date of this act.
SECTION 11. The repeal or amendment by this act of any law, whether temporary or permanent or civil or criminal, does not affect pending actions, rights, duties, or liabilities founded thereon, or alter, discharge, release, or extinguish any penalty, forfeiture, or liability incurred under the repealed or amended law, unless the repealed or amended provision so expressly provides. After the effective date of this act, all laws repealed or amended by this act must be taken and treated as remaining in full force and effect for the purpose of sustaining any pending or vested right, civil action, special proceeding, criminal prosecution, or appeal existing as of the effective date of this act, and for the enforcement of rights, duties, penalties, forfeitures, and liabilities as they stood under the repealed or amended laws.
SECTION 12. If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this act is for any reason held to be unconstitutional or invalid, such holding does not affect the constitutionality or validity of the remaining portions of this act, the General Assembly hereby declaring that it would have passed this chapter, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more other sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words hereof may be declared to be unconstitutional, invalid, or otherwise ineffective.
SECTION 13. This act takes effect upon approval by the Governor. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. HARRELL moved to table the amendment, which was agreed to.
Rep. SANDIFER proposed the following Amendment No. 160 (Doc Name COUNCIL\DKA\AMEND\4414MM01), which was tabled:
Amend the bill, as and if amended, Section 59-150-30, SECTION 2, by adding an appropriately numbered subsection to read:
/ (C) The Attorney General, or his designee, has the duty and the authority to investigate allegations of fraud and corruption in the commission, and to ensure that the lottery operates and is administered with integrity and free of political influence. The costs of these investigations and enforcement efforts must be funded out of the budget of the office of the Attorney General. /
Reletter subsections to conform.
Amend title to conform.
Rep. HARRELL moved to table the amendment, which was agreed to.
Rep. KNOTTS moved to reconsider the vote whereby Amendment No. 165 was rejected.
Rep. TROTTER moved to table the motion to reconsider.
Rep. LOURIE demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Barfield Barrett Campsen Cato Chellis Coates Cooper Cotty Dantzler Delleney Easterday Edge Fleming Frye Gilham Hamilton Harrell Haskins Hinson Keegan Kelley Kirsh Klauber Koon Law Leach Limehouse Littlejohn Loftis Lucas Martin Merrill Owens Perry Quinn Rice Riser Robinson Rodgers Sandifer Scarborough Sharpe Smith, D.C. Smith, J.R. Smith, W.D. Stille Talley Taylor Trotter Vaughn Walker Webb White Wilkins Young, A.
Those who voted in the negative are:
Allen Askins Bales Battle Bowers Breeland Brown, G. Brown, J. Brown, R. Carnell Clyburn Cobb-Hunter Davenport Emory Freeman Gourdine Govan Harrison Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Kennedy Knotts Lee Lloyd Lourie Mack McCraw McGee McLeod Miller Neal, J.H. Neal, J.M. Parks Phillips Rhoad Rivers Rutherford Scott Sheheen Simrill Sinclair Smith, G.M. Smith, J.E. Snow Stuart Thompson Weeks Whatley Whipper Wilder Young, J.
So, the House refused to table the motion to reconsider.
The question then recurred to the motion to reconsider.
Rep. HARRELL demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Bales Battle Bowers Breeland Brown, G. Brown, J. Brown, R. Carnell Clyburn Cobb-Hunter Davenport Emory Freeman Gilham Gourdine Govan Harrison Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Kennedy Knotts Lee Lloyd Lourie Mack McCraw McGee McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Phillips Rhoad Rivers Rodgers Rutherford Scott Sheheen Simrill Sinclair Smith, G.M. Smith, J.E. Snow Stuart Thompson Weeks Whatley Whipper Wilder Young, J.
Those who voted in the negative are:
Allison Altman Barfield Barrett Campsen Cato Chellis Coates Cooper Cotty Dantzler Delleney Easterday Edge Fleming Frye Hamilton Harrell Haskins Hinson Keegan Kelley Kirsh Klauber Koon Law Leach Limehouse Littlejohn Loftis Lucas Martin Merrill Owens Perry Quinn Rice Riser Robinson Sandifer Scarborough Sharpe Smith, D.C. Smith, J.R. Smith, W.D. Stille Talley Taylor Trotter Vaughn Walker Webb White Wilkins Young, A.
So, the motion to reconsider was agreed to.
The question then recurred to the adoption of the amendment.
Rep. WALKER demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Bales Battle Bowers Breeland Brown, G. Brown, J. Brown, R. Carnell Clyburn Cobb-Hunter Davenport Emory Freeman Gourdine Govan Harrison Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Kennedy Knotts Lee Lloyd Lourie Mack McCraw McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Phillips Rhoad Rivers Rutherford Scott Sheheen Sinclair Smith, G.M. Smith, J.E. Snow Stuart Thompson Weeks Whatley Whipper Wilder Young, J.
Those who voted in the negative are:
Allison Altman Barfield Barrett Campsen Cato Chellis Coates Cooper Cotty Dantzler Delleney Easterday Edge Fleming Frye Gilham Hamilton Harrell Haskins Hinson Keegan Kelley Kirsh Klauber Koon Law Leach Limehouse Littlejohn Loftis Lucas Martin McGee Merrill Owens Perry Quinn Rice Riser Robinson Rodgers Sandifer Scarborough Sharpe Simrill Smith, D.C. Smith, J.R. Smith, W.D. Stille Talley Taylor Trotter Vaughn Walker Webb White Wilkins Young, A.
So, the amendment was rejected.
Reps. WALKER and BALES proposed the following Amendment No. 163 (Doc Name COUNCIL\GGS\AMEND\22067CM01), which was tabled:
Amend the bill, as and if amended, Section 59-149-50 as contained in SECTION 2, by striking subsection (e) in its entirety and inserting:
/ (E) Notwithstanding the provisions of this section and the other requirements of this chapter, beginning with school year 2002-2003, students attending a two-year college of this State taking not less than nine credit hours per term (Fall, Spring, Summer) or eighteen credit hours of instruction a year but less than thirty credit hours a year who are otherwise eligible for a LIFE scholarship shall receive a LIFE scholarship equal to one-half the amount that eligible students receive at the two-year college who take at least thirty credit hours of instruction a year. To be eligible, two-year college students must have graduated in the top fifty percent of their high school graduating class or have a GPA of 3.0 or higher. Continuing eligibility requirements are that students meet all general eligibility requirements and earn a minimum of six credit hours per term (Fall, Spring, Summer) for a total of eighteen credit hours per year and earn a 3.0 grade point average by the end of the year. /
Renumber sections to conform.
Amend totals and title to conform.
Rep. WALKER explained the amendment.
Rep. KELLEY moved to table the amendment, which was agreed to by a division vote of 53 to 28.
Rep. W. D. SMITH proposed the following Amendment No. 164 (Doc Name COUNCIL\DKA\AMEND\4434MM01), which was tabled:
Amend the bill, as and if amended, 59-150-350(C), as contained in SECTION 2, by deleting the subsection and inserting:
/ (C) At the beginning of the first fiscal year after the state lottery becomes operational, the Comptroller General shall certify the amount of net proceeds including investment earnings on the net proceeds credited to and accrued in the Education Lottery Account during the preceding fiscal year. The sum of certified net proceeds and investment earnings must be designated as annual lottery proceeds. Appropriations from the Education Lottery Account must be allocated only for educational purposes and educational programs by the General Assembly in its annual general appropriations bill or any bill appropriating monies for previous or current fiscal years. Funds made available from the Education Lottery Account may not exceed the previous year's net proceeds and investment earnings as certified by the Comptroller General and must be allocated to full funding of the LIFE Scholarship for eligible resident students attending a four-year or two-year public institution or technical college as provided in Sections 59-149-10(E) and 59-149-50(D), up to one percent of net proceeds to the South Carolina State Library for public library state aid, to be distributed to county public libraries on a per capita basis and to be used for educational technology delivery, upgrade, and maintenance, and funding with all the remaining revenues for: elementary and secondary public education as determined pursuant to the Education Accountability Act of 1998 and education improvement legislation enacted into law after the effective date of this chapter, new programs enacted by the General Assembly for public institutions of higher learning, including public four-year colleges and universities and their branches and two-year colleges, as defined in Section 59-103-5, and state technical schools, which programs may include the creation of endowed chairs at the state's universities, with an emphasis in the areas of, but not limited to, engineering, computer science, and the sciences, and Youth Education Scholarships of up to and not to exceed one thousand dollars, to be determined in the annual general appropriations bill, to resident parents of a four-year-old who attains the age of four years by September first of the school year the scholarship is received and who attends a public or private, for profit or nonprofit kindergarten, preschool, or child development center program provided in this State. The scholarship is payable from the lottery proceeds through the Department of Education directly to the school in the name of the attending child. These programs may include, but are not limited to, language and literacy programs that help the child understand and tell stories, recognize pictures and words, learn the alphabet, and understand that writing is communication; math concepts that teach the child to count and sort objects into groups, recognize shapes, and make comparisons of size, shape, length, and weight; science concepts that teach the child to explore the natural environment, observe seasonal changes, communicate observations, and use tools to measure; art concepts that help the child express ideas and thoughts in creative ways, paint, draw, and sculpt, listen to music and sing songs, and recognize colors; and physical development activities that help the child move with balance and coordination, participate in indoor and outdoor physical activity, and use writing tools, puzzles, scissors, blocks, clay, and computers. The proportion of total recurring general fund and special fund revenues of the State expended for the total of public elementary, secondary, and higher education allocations in any fiscal year may not be less than the proportions in the fiscal year immediately before the fiscal year in which education revenues are first received from a state lottery, and may not be reduced or supplanted later by revenues received from a state lottery. /
Amend title to conform.
Rep. CARNELL explained the amendment.
Rep. HARRELL moved to table the amendment, which was agreed to.
Rep. WALKER raised the Point of Order that the Bill was out of order in that it attempted to set budgets for future years.
Rep. HARRELL argued contra.
SPEAKER WILKINS stated that the Bill was not in the appropriations bill and he overruled the Point of Order.
Rep. SCOTT spoke against the Bill.
Rep. KELLEY spoke in favor of the Bill.
Rep. HOWARD spoke against the Bill.
Rep. KEEGAN spoke in favor of the Bill.
Rep. HINSON spoke in favor of the Bill.
Rep. SCOTT moved to table the Bill.
Rep. A. YOUNG demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allen Askins Bales Barfield Barrett Battle Bowers Breeland Brown, G. Brown, R. Carnell Cato Clyburn Cobb-Hunter Davenport Delleney Easterday Emory Fleming Freeman Gourdine Govan Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Kennedy Kirsh Koon Leach Lee Lloyd Lourie Mack McCraw McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Phillips Rhoad Rivers Rutherford Scott Sheheen Smith, J.E. Snow Vaughn Walker Weeks Whatley Whipper Wilder
Those who voted in the negative are:
Allison Altman Bingham Brown, J. Campsen Chellis Coates Cooper Cotty Dantzler Edge Frye Gilham Hamilton Harrell Harrison Haskins Hinson Huggins Keegan Kelley Klauber Knotts Law Limehouse Littlejohn Loftis Lucas Martin McGee Merrill Owens Perry Quinn Rice Riser Robinson Rodgers Sandifer Scarborough Sharpe Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Stille Stuart Talley Taylor Thompson Townsend Trotter Webb White Wilkins Young, A. Young, J.
So, the House refused to table the Bill.
The question then recurred to the passage of the Bill, as amended, on second reading.
Rep. KENNEDY demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Allison Altman Bingham Brown, J. Campsen Chellis Coates Cotty Dantzler Easterday Edge Frye Gilham Hamilton Harrell Harrison Haskins Hinson Huggins Keegan Kelley Klauber Knotts Law Limehouse Littlejohn Lucas Martin McGee Merrill Owens Perry Quinn Rice Riser Robinson Rodgers Sandifer Scarborough Sharpe Simrill Sinclair Smith, D.C. Smith, G.M. Smith, J.R. Smith, W.D. Stuart Talley Taylor Thompson Townsend Trotter Webb White Wilkins Young, A. Young, J.
Those who voted in the negative are:
Allen Askins Bales Barfield Barrett Battle Bowers Breeland Brown, G. Brown, R. Carnell Cato Clyburn Cobb-Hunter Cooper Davenport Delleney Emory Fleming Freeman Gourdine Govan Harvin Hayes Hines, J. Hines, M. Hosey Howard Jennings Kennedy Kirsh Koon Leach Lee Lloyd Loftis Lourie Mack McCraw McLeod Miller Moody-Lawrence Neal, J.H. Neal, J.M. Ott Parks Phillips Rhoad Rivers Rutherford Scott Sheheen Smith, J.E. Snow Stille Vaughn Walker Weeks Whatley Whipper Wilder
So, the Bill was rejected.
I voted against H. 3307 because it fails to honor the will of the majority of South Carolina voters. Last fall, over 700,000 people voted for a lottery that would provide South Carolinians with free tuition at technical colleges, scholarships for deserving students, and technology in our public schools. The lottery bill, as crafted by the House majority, fails to respect that vote.
The lottery the voters want would impact the lives of the broadest range of South Carolinians by providing free tuition for technical colleges and public two-year institutions and HOPE scholarships for students who have a B average. Free tuition at technical colleges would provide access to higher education for working people who need additional skills to be able to pursue the American dream but don't have the resources to pay the tuition required. The HOPE scholarships would reward academic success and encourage South Carolina's brightest students to remain in-state for their higher education careers. Technology for public schools would enable our children to benefit from the ever-expanding world of technology.
The bill also dooms the lottery to failure because it rejects the basic model that makes the Georgia Lottery a success. Rather than adopting a business model, the House chose to mire the lottery in the bureaucratic maze of state government. Rather than operate free of political influence, it is subject to changing political whims. Rather than funding a clear set of priorities, the use of its proceeds will be debated annually with no protection from supplanting existing education funds.
This bill makes a mockery of the will of the people.
For this reason, I voted NO on H. 3307.
Rep. Harry Askins Rep. Bessie Moody-Lawrence
Rep. Doug Jennings Rep. John Scott, Jr.
Rep. Mack T. Hines Rep. Harry Ott
Rep. Thayer Rivers Rep. Todd Rutherford
Rep. Jesse E. Hines Rep. John Snow
Rep. Marion Carnell Rep. William Clyburn
Rep. Jimmy Bales Rep. David Mack III
Rep. Brenda Lee Rep. James E. Smith, Jr.
Rep. Vida Miller Rep. Thomas Rhoad
Rep. Karl B. Allen Rep. J. David Weeks
Rep. James Battle Rep. Bill Bowers
Rep. Walt McLeod Rep. Kenneth Kennedy
Rep. Jerry Govan Rep. Floyd Breeland
Rep. Anne Parks Rep. Amos Gourdine
Rep. Seth Whipper Rep. Grady Brown
Rep. Lonnie Hosey Rep. Walter Lloyd
To the People of South Carolina:
Over 700,000 South Carolinians voted for the lottery. Just how many people is 700,000? Think of Williams-Brice Stadium with a sellout crowd. Now add a packed house at Death Valley. Now add to that the crowd at S.C. State University homecoming, and all the seats in Johnson-Hagood Stadium at the Citadel. And when you've added up all of those screaming fans, take that number and triple it. That's close to 700,000 people.
Today a majority of House members refused to listen to those screaming 700,000 people who voted in this past election.
Today a majority of House members sent the message that their vote doesn't count.
When the people voted for free technical education, and we as lawmakers refuse to give it to them, it sends the message that your vote doesn't count.
When the people voted for more scholarships, and we as lawmakers don't give it to them, it sends the message that your vote doesn't count.
When the people voted for a lottery that's run like a business, and we as lawmakers give them a lottery run by bureaucrats, it sends a message that your vote doesn't count.
This isn't just about the lottery.
It's about the right of the people to make their voices heard. It's about the responsibility of lawmakers to listen.
There is so much distrust among the people of South Carolina about politics today. A lot of it comes from the fact that people don't think they can make a difference.
And today, we have demonstrated this.
The people believe that their voices aren't being heard.
The people believe that their votes aren't being counted.
Just look at what happened in Florida. People voted, only to find out later that their votes didn't count. What kind of message does that send to our fellow South Carolinians, and our fellow Americans?
We refuse to let 60 or 70 House members undo what 700,000 South Carolinians voted for.
Today, you participated in a sham that made a mockery of the will of the people.
Therefore, it is difficult to vote for a bill that completely changes the lottery and ignores the will of the people.
Rep. John Scott, Jr.
I voted against H. 3307 because the final version, in my opinion, does nothing to address the major educational problem in South Carolina, adequate funding for K-12. A number of studies have concluded that South Carolina does not spend enough per student and that this has negatively impacted on the quality of the education public school students received. The equity lawsuit by forty-two school districts brought much needed attention to this problem and should have signaled some kind of action from legislators to deal with this longstanding issue. I firmly believe the General Assembly missed a golden opportunity to use a new source of potential revenue to deal with equity in funding. H. 3307 will also negatively impact on the very people (poor people) who were strong supporters of the lottery.
Rep. Gilda Cobb-Hunter
I voted against H. 3307 because I believe it fails to honor the will of the majority of South Carolina voters. Last November, the voters voted to have an education lottery, which would provide scholarships and create other education funding opportunities.
Although I personally voted against the referendum in November, I felt an obligation to honor the will of the people and give them a lottery that works and will be successful.
I do not believe in good conscience, for many reasons, that H. 3307 accomplishes the will of the voters and therefore, voted NO.
Rep. Joel Lourie
I voted against H. 3307 because it fails to honor the will of the majority of South Carolina voters. Last fall, over 700,000 people voted for a lottery that would provide South Carolinians with free tuition at technical colleges, scholarships for deserving students, and technology in our public schools. The lottery bills, as crafted by the House majority, fails to respect that vote. The bill also dooms the lottery to failure because it rejects the basic model that makes the Georgia lottery a success. Rather than adopting a business model, the House chose to mire the lottery in the bureaucratic maze of state government. Rather than operate free of political influence, it is subject to changing political whims. Rather than funding a clear set of priorities, the use of its proceeds will be debated annually with no protection from supplanting existing education funds.
The bill makes a mockery of the will of the people.
For this reason, I voted No on H. 3307.
Rep. Mickey Whatley
I voted for H. 3307 even though I voted against the Lottery Referendum in November, 2000. The citizens of South Carolina were forced to go to the polls and vote on the Lottery without enabling legislation letting them know what they were voting for which was a political strategy in hopes of defeating the Lottery in the November election. That enabling legislation is H. 3307 that was debated today. The people of South Carolina still overwhelmingly voted for an Education Lottery in the November 2000 Election. At that time, I vowed to support the Will of the People regardless of the outcome of the election. My vote today was a vote for the people. I strongly feel that when you ask the people to vote on an issue, then you better listen to what they say regardless of your personal position. This bill was set for Special Order by the Rules Committee which I serve on and I voted in favor to set it for Special Order to carry out the Will of the People. This bill does not carry out the Will of the People, but it is the best that we could get since some of the same members that were adamantly opposed to the Lottery obviously continue to try to set the Lottery up for failure, thereby not carrying out the Will of the People. Hopefully, the Senate bill will serve the Will of the People, since we have failed to carry out the Will of the People today. I will also vote for the Senate version tomorrow.
Rep. Jake Knotts
I am voting against the lottery bill H. 3307 for the following reasons:
1. The Bill as presented by the House is a back door attempt to introduce vouchers into the S.C. educational system. The pretext that the lottery would fund "scholarships" for kindergarten is clearly an attempt to use a voucher system without calling it such.
2. Does not benefit the majority of my constituents...in that most of the funds generated go to people other than those most in need.
3. The Bill does not focus on the true education needs of S.C. education. Secondary education is the true critical need area in S.C. education and this Bill does little to bring resources to poor school districts in need of help.
4. This Bill does not resemble what most who voted for it expected and were told would be produced by this body.
5.
It is for these reasons and others that I cast my vote against this Bill.
Rep. Joseph H. Neal Rep. Leon Howard
Due to family considerations, I was unable to be present for the final vote on the lottery. Had I been present, I would have voted No on final passage of H. 3307.
Rep. Dan Tripp
I voted in the affirmative for Bill H. 3307, as amended, although I am opposed to the lottery. I felt H. 3307, as amended, was the best opportunity we have to mitigate the harm a lottery would bring to our State.
Rep. Gloria Haskins
Rep. HARRELL moved that the House do now adjourn, which was agreed to.
The Senate returned to the House with concurrence the following:
H. 4046 (Word version) -- Reps. J. Brown, Breeland, Clyburn and M. Hines: A CONCURRENT RESOLUTION TO HONOR AND COMMEND THE GRADUATES OF ALLEN UNIVERSITY CLASS OF 1951 WHO CELEBRATE THIS YEAR THE GOLDEN ANNIVERSARY OF THEIR GRADUATION AND TO CONGRATULATE THEM ON THE MANY SUCCESSES AND ACHIEVEMENTS WHICH HAVE COME TO THEM AS A RESULT OF THE EXCELLENT EDUCATION RECEIVED AT ALLEN UNIVERSITY.
H. 4047 (Word version) -- Reps. J. Hines and Snow: A CONCURRENT RESOLUTION TO RECOGNIZE THE LATE BUDDY JOHNSON AND HIS SISTER, ELLA JOHNSON, BOTH OF DARLINGTON COUNTY, FOR THEIR EXCEPTIONAL TALENTS AND ACCOMPLISHMENTS IN THE FIELD OF MUSIC ON THE OCCASION OF HIS INDUCTION INTO THE SOUTH CAROLINA MUSIC HALL OF FAME, AND THE UNVEILING OF A HISTORICAL MARKER ON THE GROUNDS OF MAYO HIGH SCHOOL WHICH CHRONICLES THEIR CAREERS IN THE MUSIC INDUSTRY.
H. 4050 (Word version) -- Reps. Carnell, Klauber, Wilder and Harvin: A CONCURRENT RESOLUTION TO RECOGNIZE AND THANK MS. JEAN TILLEY OF COLUMBIA FOR HER OUTSTANDING SERVICE AND GOOD WILL TO THE HOSPICE INDUSTRY IN THE PALMETTO STATE.
H. 4055 (Word version) -- Rep. J. E. Smith: A CONCURRENT RESOLUTION TO PROCLAIM MAY 3, 2001, ASTHMA DAY IN THE STATE OF SOUTH CAROLINA, AND TO RECOGNIZE THAT IT TAKES PERSISTENT AND COLLECTIVE EFFORTS AT THE LOCAL, STATE, NATIONAL, AND GLOBAL LEVELS TO CONQUER THIS GROWING PUBLIC HEALTH PROBLEM.
At 11:15 p.m. the House, in accordance with the motion of Rep. ROBINSON, adjourned in memory of Mary H. Hamby, to meet at 10:00 a.m. tomorrow.
This web page was last updated on Thursday, June 25, 2009 at 1:08 P.M.