South Carolina General Assembly
114th Session, 2001-2002
Journal of the House of Representatives


Printed Page 3870 . . . . . Tuesday, May 29, 2001

Tuesday, May 29, 2001
(Statewide Session)

Indicates Matter Stricken
Indicates New Matter

The House assembled at 12:00 noon.
Deliberations were opened with prayer by Rep. KENNEDY as follows:

We come to You, Father God, asking that You look with favor upon all who serve in places of leadership in government. Grant unto us wisdom of mind, strength of character, and goodness of hearts. Cause us to know that the world's best tranquilizer is the knowledge of work well done. As You are merciful and forgiving, may we show these same attributes in our dealing with one another knowing always that "to err is human, to forgive divine." In gratitude for all that we daily receive from Your bountiful hand, may we unselfishly share our blessings and perform faithfully our duties. Lord, in Your mercy, hear our prayer. 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 Friday, the SPEAKER ordered it confirmed.

MOTION ADOPTED

Rep. A. YOUNG moved that when the House adjourns, it adjourn in memory of Jane Whatley of Summerville, sister-in-law of Representative Whatley, which was agreed to.

H. 3602--COMMITTEE OF CONFERENCE APPOINTED

The following was received from the Senate:

MESSAGE FROM THE SENATE

Columbia, S.C., May 24, 2001
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it insists upon its amendments to H. 3602:


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H. 3602 (Word version) -- Reps. Townsend and Harrell: A BILL TO AMEND SECTION 59-6-10, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE EDUCATION OVERSIGHT COMMITTEE, SO AS TO ADD THE STATE SUPERINTENDENT OF EDUCATION OR THE SUPERINTENDENT'S DESIGNEE AS AN EX OFFICIO NONVOTING MEMBER.
and asks for a Committee of Conference and has appointed Senators Ravenel, Setzler and Matthews of the Committee of Conference on the part of the Senate.

Very respectfully,
President

Whereupon, the Chair appointed Reps. WALKER, LLOYD and TOWNSEND to the Committee of Conference on the part of the House and a message was ordered sent to the Senate accordingly.

HOUSE RESOLUTION

The following was introduced:

H. 4189 (Word version) -- Rep. Govan: A HOUSE RESOLUTION JOINING THE CONGREGATION OF ANDREW CHAPEL BAPTIST CHURCH IN ORANGEBURG AND PASTOR D. E. GREENE, JR., IN CELEBRATION OF THE FIRST OFFICIAL WORSHIP SERVICE IN THEIR NEW CHURCH BUILDING ON SUNDAY, MAY 27, 2001.

The Resolution was adopted.

HOUSE RESOLUTION

The following was introduced:

H. 4190 (Word version) -- Rep. Wilkins: A HOUSE RESOLUTION TO COMMEND AND CONGRATULATE THE MEMBERS OF THE J.L. MANN ACADEMY BOYS TRACK TEAM OF GREENVILLE UPON WINNING THE CLASS AAA STATE CHAMPIONSHIP IN COLUMBIA SATURDAY, MAY 12, 2001, AND WISH THEM MUCH ATHLETIC AND ACADEMIC SUCCESS IN THE FUTURE.

The Resolution was adopted.


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HOUSE RESOLUTION

The following was taken up for immediate consideration:

H. 4191 (Word version) -- Rep. Wilkins: A HOUSE RESOLUTION TO EXTEND THE PRIVILEGE OF THE FLOOR OF THE HOUSE OF REPRESENTATIVES OF THE STATE OF SOUTH CAROLINA TO THE MEMBERS OF THE J.L. MANN ACADEMY BOYS TRACK TEAM OF GREENVILLE ON WEDNESDAY, MAY 30, 2001, AT A TIME TO BE DETERMINED BY THE SPEAKER, TO COMMEND AND CONGRATULATE THEM UPON WINNING THE CLASS AAA STATE TRACK CHAMPIONSHIP IN COLUMBIA SATURDAY, MAY 12, 2001, AND WISH THEM MUCH ATHLETIC AND ACADEMIC SUCCESS IN THE FUTURE.

Be it resolved by the House of Representatives:

That the members of the House of Representatives of the State of South Carolina, by this resolution, extend the privilege of the floor to the members of the J.L. Mann Academy Boys Track Team of Greenville on Wednesday, May 30, 2001, at a time to be determined by the Speaker, to commend and congratulate them upon winning the Class AAA State Track Championship in Columbia Saturday, May 12, 2001, and wish them much athletic and academic success in the future.

The Resolution was adopted.

CONCURRENT RESOLUTION

The following was introduced:

H. 4192 (Word version) -- Reps. J. E. Smith and Lourie: A CONCURRENT RESOLUTION OFFERING THE SINCERE CONGRATULATIONS OF THE MEMBERS OF THE GENERAL ASSEMBLY OF THE STATE OF SOUTH CAROLINA TO BEEBE JAMES, EXECUTIVE DIRECTOR OF PREVENT CHILD ABUSE SOUTH CAROLINA, ON THE OCCASION OF HER RETIREMENT.

The Concurrent Resolution was agreed to and ordered sent to the Senate.


Printed Page 3873 . . . . . Tuesday, May 29, 2001

HOUSE RESOLUTION

The following was introduced:

H. 4193 (Word version) -- Reps. Emory and J. M. Neal: A HOUSE RESOLUTION TO CONGRATULATE THE INDIAN LAND HIGH SCHOOL LADY WARRIORS SOFTBALL TEAM OF LANCASTER COUNTY ON WINNING ITS FOURTH CLASS A STATE CHAMPIONSHIP TITLE IN THE LAST FIVE YEARS.

The Resolution was adopted.

INTRODUCTION OF BILLS

The following Bills and Joint Resolutions were introduced, read the first time, and referred to appropriate committees:

H. 4194 (Word version) -- Reps. Easterday, Barrett, Bingham, Campsen, Hamilton, Haskins, Merrill, Owens, Quinn, Rice, Riser, Robinson, Sandifer and Scarborough: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 1-3-60 SO AS TO PROVIDE THAT "EXTRAORDINARY OCCASIONS" FOR THE PURPOSE OF THE GOVERNOR CONVENING THE GENERAL ASSEMBLY IN EXTRA SESSION DO NOT INCLUDE THE LACK OF ENACTMENT OF A SPECIFIC PIECE OF LEGISLATION.
Rep. EASTERDAY asked unanimous consent to have the Bill placed on the Calendar without reference.
Rep. SCOTT objected.
Referred to Committee on Judiciary

S. 171 (Word version) -- Senator Moore: A BILL TO AMEND SECTION 56-3-3310, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO SPECIAL LICENSE PLATES FOR RECIPIENTS OF THE PURPLE HEART, SO AS TO ELIMINATE THE FEE FOR THE LICENSE PLATES.
Referred to Committee on Labor, Commerce and Industry

S. 698 (Word version) -- Medical Affairs Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL, RELATING TO WATER CLASSIFICATIONS AND STANDARDS, DESIGNATED AS REGULATION DOCUMENT NUMBER 2572, PURSUANT TO THE


Printed Page 3874 . . . . . Tuesday, May 29, 2001

PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.
Referred to Committee on Agriculture, Natural Resources and Environmental Affairs

S. 699 (Word version) -- Medical Affairs Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL, RELATING TO WELL STANDARDS, DESIGNATED AS REGULATION DOCUMENT NUMBER 2616, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.
Rep. SHARPE asked unanimous consent to have the Joint Resolution placed on the Calendar without reference.
Rep. SCOTT objected.
Referred to Committee on Agriculture, Natural Resources and Environmental Affairs

S. 713 (Word version) -- Senators Verdin and O'Dell: A BILL TO INCLUDE WITHIN ANDERSON SCHOOL DISTRICT NO. 2 IN ANDERSON COUNTY A CERTAIN AREA OF GREENVILLE COUNTY.

RULE 5.12 WAIVED

Rep. TOWNSEND moved to waive Rule 5.12, which was agreed to by a division vote of 24 to 0.

On motion of Rep. TOWNSEND, with unanimous consent, the Bill was ordered placed on the Calendar without reference.

HOUSE RESOLUTION

The following was introduced:

H. 4195 (Word version) -- Rep. Weeks: A HOUSE RESOLUTION TO COMMEND DR. LUNS RICHARDSON, PRESIDENT OF MORRIS COLLEGE IN SUMTER, FOR HAVING SERVED AS THE COLLEGE'S PRESIDENT FOR TWENTY-SEVEN YEARS, THUS ATTAINING THE STATURE OF BEING THE LONGEST SERVING COLLEGE PRESIDENT IN SOUTH CAROLINA.

The Resolution was adopted.


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CONCURRENT RESOLUTION

The following was introduced:

H. 4196 (Word version) -- Rep. Sandifer: A CONCURRENT RESOLUTION TO COMMEND THE PLAYERS, COACHES, AND STAFF OF THE SENECA HIGH SCHOOL SOFTBALL TEAM ON THEIR TERRIFIC SEASON OF COMPETITION AND TO CONGRATULATE THE "LADY BOBCATS" ON WINNING THE 2001 CLASS AAA SOFTBALL STATE CHAMPIONSHIP.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

CONCURRENT RESOLUTION

The following was introduced:

H. 4197 (Word version) -- Rep. J. Hines: A CONCURRENT RESOLUTION TO EXPRESS THE PROFOUND SORROW OF THE MEMBERS OF THE SOUTH CAROLINA GENERAL ASSEMBLY UPON THE DEATH OF MRS. THELMA FRAZIER RIVERS OF THE TOWN OF TIMMONSVILLE AND TO EXTEND DEEPEST SYMPATHY TO HER FAMILY AND MANY FRIENDS.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

CONCURRENT RESOLUTION

The following was introduced:

H. 4198 (Word version) -- Rep. Cobb-Hunter: A CONCURRENT RESOLUTION TO COMMEND JAMES R. BETHUNE, SR., FOR HIS LOYAL AND DEDICATED SERVICE TO THE ORANGEBURG AREA DEVELOPMENT CENTER, A CIVIC AND SERVICE ORGANIZATION, AND FOR HIS MANY CONTRIBUTIONS TO THE COMMUNITY AND ITS CITIZENS.

The Concurrent Resolution was agreed to and ordered sent to the Senate.


Printed Page 3876 . . . . . Tuesday, May 29, 2001

ROLL CALL

The roll call of the House of Representatives was taken resulting as follows:

Allison                Altman                 Bales
Barfield               Barrett                Battle
Bingham                Bowers                 Breeland
Brown, G.              Brown, J.              Brown, R.
Campsen                Carnell                Cato
Chellis                Clyburn                Coates
Cobb-Hunter            Coleman                Cooper
Cotty                  Dantzler               Davenport
Delleney               Easterday              Emory
Fleming                Freeman                Frye
Gilham                 Gourdine               Govan
Hamilton               Harrell                Harrison
Haskins                Hayes                  Hines, J.
Hines, M.              Hinson                 Hosey
Howard                 Huggins                Jennings
Keegan                 Kelley                 Kennedy
Kirsh                  Klauber                Knotts
Koon                   Law                    Leach
Lee                    Limehouse              Littlejohn
Lloyd                  Loftis                 Lourie
Lucas                  Martin                 McCraw
McGee                  McLeod                 Meacham-Richardson
Merrill                Miller                 Neal, J.H.
Neal, J.M.             Ott                    Owens
Parks                  Perry                  Phillips
Quinn                  Rhoad                  Rice
Riser                  Rivers                 Robinson
Rodgers                Rutherford             Sandifer
Scarborough            Scott                  Sharpe
Sheheen                Simrill                Sinclair
Smith, D.C.            Smith, G.M.            Smith, J.E.
Smith, J.R.            Smith, W.D.            Snow
Stille                 Stuart                 Talley
Taylor                 Thompson               Townsend
Trotter                Vaughn                 Walker
Webb                   Weeks                  Whatley

Printed Page 3877 . . . . . Tuesday, May 29, 2001

Whipper                White                  Wilder
Wilkins                Young, A.              Young, J.

STATEMENT OF ATTENDANCE

I came in after the roll call and was present for the Session on Tuesday, May 29.

Karl Allen                        Tracy Edge
Bessie Moody-Lawrence             Harry Askins
David Mack                        Alex Harvin

Total Present--120

LEAVE OF ABSENCE

The SPEAKER granted Rep. NEILSON a leave of absence for the week due to a car accident.

LEAVE OF ABSENCE

The SPEAKER granted Rep. WITHERSPOON a leave of absence for the week due to surgery.

LEAVE OF ABSENCE

The SPEAKER granted Rep. MACK a temporary leave of absence.

DOCTOR OF THE DAY

Announcement was made that Dr. Gary Culbertson of Sumter is the Doctor of the Day for the General Assembly.

CO-SPONSOR ADDED

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


Printed Page 3878 . . . . . Tuesday, May 29, 2001

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."

CO-SPONSOR ADDED

Bill Number:   H. 3695 (Word version)
Date:   ADD:
05/29/01   KNOTTS

S. 63--AMENDED AND DEBATE ADJOURNED

The following Bill was taken up:

S. 63 (Word version) -- Senators Mescher, Grooms, Richardson, McGill, Elliott, Reese and Branton: A BILL TO AMEND SECTION 7-13-40, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO FILING FEES FOR PARTY PRIMARIES, SO AS TO PROVIDE THAT THE COUNTY POLITICAL PARTY MAY RETAIN TEN PERCENT OF THE FILING FEES PAID BY CANDIDATES.

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name COUNCIL\PT\AMEND\1531DW01), which was adopted:
Amend the bill, as and if amended, by striking Section 7-13-40 as contained in SECTION 1 and inserting:
/   "Section 7-13-40.   In the event that a party nominates candidates by party primary, a party primary must be held by the party and conducted by the State Election Commission and the respective county election commissions on the second Tuesday in June of each general election year, and a second and third primary each two weeks successively thereafter, if necessary. Written certification of the names of all candidates to be placed on primary ballots must be made by the political party chairman, vice chairman, or secretary to the State Election Commission or the county election commission, whichever is responsible under law for preparing the ballot, not later than twelve o'clock noon on April ninth, or if April ninth falls on a Saturday or Sunday, not later than twelve o'clock noon on the following Monday. Political parties nominating candidates by party primary must verify the qualifications of those candidates prior to certification to the appropriate election commission of the names of candidates to be placed on primary ballots. The written verification required by this section must contain a statement that each candidate certified meets, or will meet by the time of the general election, or as otherwise required


Printed Page 3879 . . . . . Tuesday, May 29, 2001

by law, the qualifications for office for which he has filed. Political parties must not accept the filing of any candidate who does not or will not by the time of the general election, or as otherwise required by law, meet the qualifications for the office for which the candidate desires to file, and such candidate's name shall not be placed on a primary ballot. The filing fees for all candidates filing to run in all primaries, except municipal primaries, must be transmitted by the respective political parties to the State Election Commission, except that the county political parties may retain ten percent of the amount collected. and placed by the The executive director of the election commission must place the amount sent by the political parties in a special account designated for use in conducting primary elections and must be used for that purpose. The filing fee for each office is one percent of the total salary for the term of that office or one hundred dollars, whichever amount is greater." /
Amend title to conform.

Rep. FLEMING explained the amendment.
The amendment was then adopted.

Rep. KLAUBER proposed the following Amendment No. 2 (Doc Name COUNCIL\PT\AMEND\1532DW01), which was ruled out of order:
Amend the bill, as and if amended, by adding an appropriately numbered SECTION to read:
/ SECTION   1.   Section 7-13-350 of the 1976 Code, as last amended by Act 392 of 2000, is amended by adding:

"(C)(1)   A candidate may not be nominated by more than one party and, a candidate nominated by a party may not also be a candidate by petition.

(2)   The authority charged by law with printing the ballot shall print the name of a candidate with the one political party which nominates him and may not print his name as nominated by more than one party or method." /
Renumber sections to conform.
Amend title to conform.

Rep. SHARPE explained the amendment.


Printed Page 3880 . . . . . Tuesday, May 29, 2001

POINT OF ORDER

Rep. SCOTT raised the Point of Order that Amendment No. 2 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.

Reps. QUINN and MERRILL proposed the following Amendment No. 3 (Doc Name COUNCIL\DKA\AMEND\4527DW01):
Amend the bill, as and if amended, by striking Section 7-13-40, as contained in SECTION 1, in its entirety and inserting:
/ "Section 7-13-40.   In the event that a party nominates candidates by party primary, a party primary must be held by the party and conducted by the State Election Commission and the respective county election commissions on the second Tuesday in June of each general election year, and a second and third primary each two weeks successively thereafter, if necessary. Written certification of the names of all candidates to be placed on primary ballots must be made by the political party chairman, vice chairman, or secretary to the State Election Commission or the county election commission, whichever is responsible under law for preparing the ballot, not later than twelve o'clock noon on April ninth, or if April ninth falls on a Saturday or Sunday, not later than twelve o'clock noon on the following Monday. Political parties nominating candidates by party primary must verify the qualifications of those candidates prior to certification to the appropriate election commission of the names of candidates to be placed on primary ballots. The written verification required by this section must contain a statement that each candidate certified meets, or will meet by the time of the general election, or as otherwise required by law, the qualifications for office for which he has filed. Political parties must not accept the filing of any candidate who does not or will not by the time of the general election, or as otherwise required by law, meet the qualifications for the office for which the candidate desires to file, and such candidate's name shall not be placed on a primary ballot. The filing fees for all candidates filing to run in all primaries, except municipal primaries, must be transmitted by the respective political parties to the State Election Commission, except that the state political parties may retain ten percent of the amount collected. and placed by the The executive director of the election commission must place the amount sent by the political parties in a special account designated for use in conducting primary elections and must be used for that purpose. The filing fee for each office is one percent of the total salary for the


Printed Page 3881 . . . . . Tuesday, May 29, 2001

term of that office or one hundred dollars, whichever amount is greater." /
Renumber sections to conform.
Amend totals and title to conform.

Rep. QUINN explained the amendment.

Rep. QUINN moved to adjourn debate on the Bill, which was agreed to.

S. 321--DEBATE ADJOURNED

Rep. HARRISON moved to adjourn debate upon the following Bill until Thursday, May 31, which was adopted:

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.

ORDERED TO THIRD READING

The following Bills were taken up, read the second time, and ordered to a third reading:

S. 229 (Word version) -- Senators Hayes, Wilson, Branton, Hawkins, Ravenel and Leventis: A BILL TO AMEND CHAPTER 1, TITLE 25, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE MILITARY CODE BY ADDING SECTION 25-1-160 SO AS TO ENCOURAGE OWNERS OF LAND TO MAKE LAND AND WATER AREAS AVAILABLE TO THE MILITARY DEPARTMENT FOR TRAINING AND OPERATIONAL PURPOSES BY DEFINING AND LIMITING THE OWNER'S DUTY OF CARE AND LIMITING THE OWNER'S LIABILITY TOWARD MILITARY PERSONS ENTERING THE OWNER'S LAND; BY ADDING SECTION 25-1-2260 SO AS TO PROVIDE FOR THE GRANTING OF CONTINUANCES IN COURT CASES WHEN A PARTY OR HIS ATTORNEY IS ABSENT BY REASON OF ATTENDANCE ON ACTIVE DUTY AS A MEMBER OF THE NATIONAL GUARD; BY ADDING SECTION 25-1-2957 SO AS TO


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PROVIDE THAT A PERSON SUBJECT TO THE MILITARY CODE WHO RECKLESSLY ENDANGERS THE LIFE OR SAFETY OF ANOTHER MAY BE PUNISHED AS A COURT-MARTIAL MAY DIRECT; TO AMEND SECTION 25-1-10, RELATING TO DEFINITIONS, SO AS TO DEFINE "UNIT MAINTENANCE FUND"; TO AMEND SECTION 25-1-40, RELATING TO APPLICABILITY OF THE UNIFORM CODE OF MILITARY JUSTICE, SO AS TO PROVIDE WHEN PRECEDENTS ESTABLISHED IN THE UNIFORM CODE OF MILITARY JUSTICE SHALL BE IN FORCE AND REGARDED AS PART OF THE MILITARY CODE; TO AMEND SECTION 25-1-60, RELATING TO COMPOSITION AND CLASSES OF MILITIA, SO AS TO INCLUDE PERSONS WHO CONTRACTUALLY BIND THEMSELVES WITHIN THE MILITIA OF THE STATE; TO AMEND SECTION 25-1-110, RELATING TO BURIAL FLAGS, SO AS TO PROVIDE THAT BURIAL FLAGS SHALL BE OBTAINED FROM THE UNITED STATES WHEN AVAILABLE; TO AMEND SECTION 25-1-340, RELATING TO VACANCIES IN THE OFFICE OF ADJUTANT GENERAL, SO AS TO DELETE THE PROVISION THAT THE GOVERNOR MAY APPOINT AN OFFICER WHO IS OF FIELD GRADE RANK OR HIGHER AND PROVIDE THAT THE GOVERNOR MAY APPOINT AN OFFICER WHO IS AT LEAST THE RANK OF COLONEL AND MEETS THE ELIGIBILITY REQUIREMENTS FOR A CONSTITUTIONAL OFFICER; TO AMEND SECTION 25-1-510, RELATING TO APPOINTMENT, QUALIFICATIONS, AND TENURE OF COMMISSIONED AND WARRANT OFFICERS, SO AS TO DELETE THE REQUIREMENT THAT A COMMISSIONED OR WARRANT OFFICER BE A RESIDENT OF THIS STATE AND PROVIDE THAT A COMMISSIONED OR WARRANT OFFICER MUST MEET FEDERAL RESIDENCY REQUIREMENTS FOR THE APPOINTMENT; TO AMEND SECTION 25-1-560, RELATING TO THE RELATIVE RANK OF OFFICERS, SO AS TO CONFORM THE RELATIVE RANK LIST TO FEDERAL MILITARY LAW; TO AMEND SECTION 25-1-580, RELATING TO THE SENIOR OFFICER ON DUTY BEING IN COMMAND, SO AS TO PROVIDE THAT A COMMANDER MAY APPOINT AN OFFICER TO COMMAND A SUBORDINATE OR DETACHED UNIT, AND THAT IF NONE IS APPOINTED, THE SENIOR OFFICER OF THE LINE ON DUTY IS IN COMMAND; TO AMEND SECTION 25-1-610, RELATING TO THE DISCHARGE OF OFFICERS, SO AS TO

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PROVIDE THAT THE ADJUTANT GENERAL MAY INVESTIGATE THE CONDUCT, CAPACITY, AND GENERAL COMPETENCE OF OFFICERS AND TO REVISE THE GROUNDS FOR THE DISCHARGE OF OFFICERS; TO AMEND SECTION 25-1-810, RELATING TO PROMOTIONS UNDER THE RESERVE OFFICER PERSONNEL ACT, SO AS TO DELETE THE OBSOLETE REFERENCE TO THE RESERVE OFFICER PERSONNEL ACT AND REPLACE IT WITH A REFERENCE TO FEDERAL LAW; TO AMEND SECTION 25-1-830, RELATING TO OFFICER SELECTION BOARDS, SO AS TO DELETE CERTAIN OBSOLETE PROVISIONS RELATING TO BRIGADIER GENERAL AND COLONEL SELECTION BOARDS; TO AMEND SECTION 25-1-850, RELATING TO TRANSFER OF OFFICERS WITHIN THE ARMY NATIONAL GUARD, SO AS TO DELETE A PROVISION THAT A TRANSFER MUST BE MUTUALLY ACCEPTABLE TO COMMANDERS CONCERNED; TO AMEND SECTION 25-1-870, RELATING TO A VACANCY IN THE GRADE OF MAJOR GENERAL, SO AS TO PROVIDE THAT A VACANCY IN THE GRADE OF MAJOR GENERAL MUST BE FILLED BY A FULLY QUALIFIED OFFICER; TO AMEND SECTION 25-1-880, RELATING TO A VACANCY IN THE GRADE OF BRIGADIER GENERAL, SO AS TO DELETE OBSOLETE LANGUAGE RELATING TO THE BRIGADIER GENERAL SELECTION BOARD AND PROVIDE THAT A VACANCY IN THE GRADE OF BRIGADIER GENERAL MUST BE FILLED BY THE PROMOTION OF THE BEST QUALIFIED OFFICER IN THE NEXT LOWER GRADE AS DETERMINED BY THE ADJUTANT GENERAL; TO AMEND SECTION 25-1-1110, RELATING TO PROMOTIONS UNDER THE RESERVE OFFICER PERSONNEL ACT, SO AS TO DELETE REFERENCES TO THE RESERVE OFFICER PERSONNEL ACT AND PROVIDE FOR PROMOTIONS UNDER FEDERAL LAW; TO AMEND SECTION 25-1-1140, RELATING TO A VACANCY IN THE HEADQUARTERS OF THE AIR NATIONAL GUARD, SO AS TO DELETE A PROVISION THAT NO OFFICER SHALL BE ASSIGNED TO HEADQUARTERS, AIR NATIONAL GUARD, UNTIL HE HAS COMPLETED THREE YEARS COMMISSIONED SERVICE IN THE SOUTH CAROLINA AIR NATIONAL GUARD; TO AMEND SECTION 25-1-1330, RELATING TO ANNUAL SETTLEMENTS FOR FEDERAL AND STATE PROPERTY, SO AS TO DELETE REFERENCES TO RESPONSIBLE OFFICER AND REPLACE THEM WITH

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REFERENCES TO RESPONSIBLE PARTY AND TO AUTHORIZE COLLECTION ACTIONS FOR PAYMENTS FROM PARTIES LIABLE ON PROPERTY ACCOUNTS; TO AMEND SECTION 25-1-1370, RELATING TO UNIT MAINTENANCE FUND ALLOWANCES, SO AS TO DELETE REFERENCES TO THE MILITARY BOARD, DELETE REFERENCES TO CERTAIN DATES FOR PAYMENTS OF APPROPRIATIONS AND PROVIDE FOR PAYMENTS PERIODICALLY, AND TO PROVIDE THAT UNIT MAINTENANCE FUNDS FROM SOURCES OUTSIDE THE ANNUAL APPROPRIATION MUST BE REGULATED AND AUDITED BY THE ADJUTANT GENERAL; TO AMEND SECTION 25-1-1620, RELATING TO THE CUSTODIAN AND USE OF TRAINING FACILITIES, SO AS TO PROVIDE THAT THE ADJUTANT GENERAL IS THE MANAGER AS WELL AS CUSTODIAN OF TRAINING FACILITIES AND THAT FACILITIES OWNED OR LEASED FOR THE MILITARY DEPARTMENT MAY BE RENTED OR SUBLEASED WHEN NOT IN USE FOR TRAINING; TO AMEND SECTION 25-1-1820, RELATING TO WHEN THE NATIONAL GUARD IS SUBJECT TO ACTIVE DUTY, SO AS TO DELETE THE CIRCUMSTANCE OF WHEN THE PRESIDENT IS UNABLE WITH THE REGULAR FORCES TO EXECUTE THE LAWS OF THE UNITED STATES AND PROVIDE THAT THE NATIONAL GUARD IS SUBJECT TO ACTIVE DUTY WHEN THE PRESIDENT ISSUES ORDERS TO EXECUTE THE LAWS OF THE UNITED STATES; TO AMEND SECTION 25-1-2110, RELATING TO TERMS OF ENLISTMENT, SO AS TO DELETE THE THREE-YEAR PROVISION AND PROVIDE THAT ORIGINAL ENLISTMENTS IN THE NATIONAL GUARD MUST BE FOR A PERIOD TO COMPLY WITH GOVERNING DEPARTMENT OF DEFENSE REGULATIONS; TO AMEND SECTION 25-1-2220, RELATING TO TRANSFER OF ENLISTED MEN, SO AS TO DELETE THE PROVISION THAT THE TRANSFER BE APPROVED BY THE COMMANDING OFFICERS OF THE UNITS INVOLVED; TO AMEND SECTION 25-1-2230, RELATING TO DISCHARGES, SO AS TO REVISE THE AUTHORITY FOR DISCHARGES OF ENLISTED PERSONS; TO AMEND SECTION 25-1-2420, RELATING TO DEFINITIONS, SO AS TO INCLUDE PERSONS ATTACHED OR ASSIGNED TO STATE UNITS WITHIN THE DEFINITION OF "MILITARY FORCES"; TO AMEND SECTION 25-1-2420, RELATING TO DEFINITIONS, BY ADDING A NEW SUBPARAGRAPH

Printed Page 3885 . . . . . Tuesday, May 29, 2001

APPROPRIATELY NUMBERED SO AS TO DEFINE "OFFICER"; TO AMEND SECTION 25-1-2450, RELATING TO APPOINTMENT OF THE STATE JUDGE ADVOCATE, SO AS TO PROVIDE THAT, ABSENT SEPARATE APPOINTMENT, THE SENIOR JUDGE ADVOCATE OF THE NATIONAL GUARD IS THE STATE JUDGE ADVOCATE; TO AMEND SECTION 25-1-2460, RELATING TO APPREHENSION, SO AS TO DELETE REFERENCES TO CIVIL OFFICERS HAVING AUTHORITY TO APPREHEND OFFENDERS AND PROVIDE FOR APPREHENSION BY ANY OFFICER UNDER THE LAWS OF THE UNITED STATES OR OF SOUTH CAROLINA; TO AMEND SECTION 25-1-2520, RELATING TO NONJUDICIAL PUNISHMENT, SO AS TO DELETE A REFERENCE TO THE INSPECTOR GENERAL; TO AMEND SECTION 25-1-2530, RELATING TO TYPES OF COURTS-MARTIAL, SO AS TO PROVIDE FOR A SUMMARY COURT-MARTIAL CONSISTING OF ONE OFFICER RATHER THAN ONE COMMISSIONED OFFICER; TO AMEND SECTION 25-1-2550, RELATING TO JURISDICTION OF GENERAL COURTS-MARTIAL, SO AS TO INCREASE THE FINE THAT MAY BE IMPOSED BY GENERAL COURTS-MARTIAL FROM TWO THOUSAND DOLLARS TO THREE THOUSAND DOLLARS; TO AMEND SECTION 25-1-2560, RELATING TO JURISDICTION OF SPECIAL COURTS-MARTIAL, SO AS TO DELETE THE LANGUAGE EXCLUDING OFFICERS FROM THE JURISDICTION OF SPECIAL COURTS-MARTIAL AND TO INCREASE THE AMOUNT OF FINE THAT MAY BE IMPOSED BY SPECIAL COURTS-MARTIAL FROM FIVE HUNDRED DOLLARS TO ONE THOUSAND DOLLARS; TO AMEND SECTION 25-1-2570, RELATING TO JURISDICTION OF SUMMARY COURTS-MARTIAL, SO AS TO INCREASE THE AMOUNT OF FINE THAT MAY BE IMPOSED BY SUMMARY COURTS-MARTIAL FROM TWO HUNDRED DOLLARS TO FIVE HUNDRED DOLLARS; TO AMEND SECTION 25-1-2580, RELATING TO APPOINTMENT OF GENERAL COURTS-MARTIAL, SO AS TO PROVIDE THAT GENERAL COURTS-MARTIAL MAY BE APPOINTED BY THE ADJUTANT GENERAL AS WELL AS THE GOVERNOR; TO AMEND SECTION 25-1-2610, RELATING TO WHO MAY SERVE ON COURTS-MARTIAL, SO AS TO REMOVE REFERENCES TO COMMISSIONED AND WARRANT OFFICERS, AND PROVIDE THAT ANY OFFICER ON OR OFF DUTY WITH THE MILITARY

Printed Page 3886 . . . . . Tuesday, May 29, 2001

FORCES MAY SERVE ON COURTS-MARTIAL; TO AMEND SECTION 25-1-2725, RELATING TO THE STATUTE OF LIMITATIONS, SO AS TO DELETE PROVISIONS RELATING TO DESERTION DURING TIMES OF PEACE AND CERTAIN OTHER OFFENSES PUNISHABLE UNDER THE MILITARY CODE AND PROVIDE THAT A PERSON CHARGED WITH ANY OFFENSE IS NOT LIABLE TO BE TRIED BY COURT-MARTIAL IF THE OFFENSE WAS COMMITTED MORE THAN THREE YEARS BEFORE RECEIPT OF SWORN CHARGES OR THE IMPOSITION OF PUNISHMENT; TO AMEND SECTION 25-1-2750, RELATING TO CONTEMPT, SO AS TO INCREASE THE AMOUNT OF FINE THAT MAY BE IMPOSED BY A COURT-MARTIAL FOR CONTEMPT FROM TWENTY-FIVE DOLLARS TO FIVE HUNDRED DOLLARS; TO AMEND SECTION 25-1-2780, RELATING TO RECORDS OF TRIAL OF COURTS-MARTIAL, SO AS TO PROVIDE THAT SUMMARY COURT-MARTIAL PROCEEDINGS MUST USE DOCUMENTS PROMULGATED BY REGULATIONS OF THE ADJUTANT GENERAL; TO AMEND SECTION 25-1-2795, RELATING TO SENTENCES OF COURTS-MARTIAL, SO AS TO DELETE CERTAIN REFERENCES TO GENERAL COURT-MARTIAL JURISDICTION SO AS TO MAKE CERTAIN PROVISIONS OF THE SECTION APPLICABLE TO COURT-MARTIAL JURISDICTION RATHER THAN ONLY TO THE JURISDICTION OF A GENERAL COURT-MARTIAL; TO AMEND SECTION 25-1-2935, RELATING TO THE OFFENSE OF DISRESPECT TOWARD A SUPERIOR COMMISSIONED OFFICER, BY DELETING THE REFERENCE TO COMMISSIONED OFFICER AND INCLUDING NONCOMMISSIONED OFFICERS, SO AS TO MAKE THE OFFENSE OF DISRESPECT APPLICABLE TO SUPERIOR OFFICERS OR NONCOMMISSIONED OFFICERS; TO AMEND SECTION 25-1-2940, RELATING TO THE OFFENSE OF ASSAULTING OR WILLFULLY DISOBEYING A SUPERIOR COMMISSIONED OFFICER, BY DELETING THE REFERENCE TO COMMISSIONED OFFICER AND INCLUDING NONCOMMISSIONED OFFICERS, SO AS TO MAKE THE OFFENSES OF ASSAULT AND WILLFULLY DISOBEYING A LAWFUL COMMAND APPLICABLE TO SUPERIOR OFFICERS OR NONCOMMISSIONED OFFICERS; TO AMEND SECTION 25-1-2945, RELATING TO INSUBORDINATE CONDUCT TOWARD A WARRANT OFFICER OR NONCOMMISSIONED OFFICER, BY

Printed Page 3887 . . . . . Tuesday, May 29, 2001

DELETING REFERENCES TO WARRANT OFFICER, SO AS TO MAKE THE OFFENSE OF INSUBORDINATE CONDUCT APPLICABLE TO OFFICERS AND NONCOMMISSIONED OFFICERS; TO AMEND SECTION 25-1-2950, RELATING TO THE OFFENSES OF FAILURE TO OBEY ORDERS AND REGULATIONS AND DERELICTION OF DUTY, SO AS TO INCLUDE THE VIOLATION OF A STATUTE WITHIN THE OFFENSE; TO AMEND SECTION 25-1-3065, RELATING TO CONDUCT UNBECOMING AN OFFICER AND A GENTLEMAN, BY DELETING REFERENCES TO COMMISSIONED OFFICER AND A GENTLEMAN, SO AS TO PROVIDE THAT ANY OFFICER WHO IS CONVICTED OF CONDUCT UNBECOMING AN OFFICER MAY BE PUNISHED AS A COURT-MARTIAL MAY DIRECT; TO AMEND SECTION 25-1-3085, RELATING TO THE AUTHORITY TO ADMINISTER OATHS, BY DELETING REFERENCES TO COMMISSIONED OFFICER, SO AS TO PROVIDE THAT ALL OFFICERS HAVE THE AUTHORITY TO ADMINISTER OATHS; TO AMEND SECTION 25-1-3095, RELATING TO COMPLAINTS AGAINST OFFICERS, BY DELETING THE REQUIREMENT THAT COMPLAINTS BE FORWARDED TO THE ADJUTANT GENERAL, SO AS TO PROVIDE THAT ANY MEMBER OF THE MILITARY FORCE MAY COMPLAIN TO HIS NEXT SUPERIOR COMMISSIONED OFFICER; TO AMEND SECTION 25-1-3155, RELATING TO DELEGATION OF AUTHORITY, SO AS TO PROVIDE THAT THE POWER GIVEN THE ADJUTANT GENERAL BY SECTION 25-1-2580 MAY NOT BE DELEGATED; TO AMEND SECTION 25-1-3235, RELATING TO THE NATIONAL GUARD PENSION FUND, SO AS TO PROVIDE THAT CERTAIN PERSONS WITH A BREAK IN SERVICE REMAIN ELIGIBLE FOR PENSION BENEFITS; TO AMEND SECTION 25-17-30, AS AMENDED, RELATING TO MAINTENANCE OF THE MUSEUM, SO AS TO DELETE THE PROVISION THAT NO STATE FUNDS MAY BE USED FOR MAINTENANCE OF THE MUSEUM; AND TO REPEAL SECTIONS 25-1-330, 25-1-950, 25-1-1340, 25-1-1390, 25-1-1400, 25-1-2130, AND 25-1-2160.

Rep. BREELAND explained the Bill.

S. 498 (Word version) -- Senator McConnell: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 2A


Printed Page 3888 . . . . . Tuesday, May 29, 2001

TO TITLE 36 SO AS TO ADD GENERAL PROVISIONS TO THE UNIFORM COMMERCIAL CODE REGARDING LEASES AND TO PROVIDE FOR THE FORMATION, CONSTRUCTION, EFFECT, PERFORMANCE, AND DEFAULT OF A LEASE CONTRACT; TO AMEND SECTION 36-1-201, AS AMENDED, RELATING TO GENERAL DEFINITIONS OF THE UNIFORM COMMERCIAL CODE, SO AS TO DIFFERENTIATE BETWEEN A SECURITY INTEREST AND A LEASE; TO AMEND CHAPTER 8, TITLE 36, RELATING TO THE UNIFORM COMMERCIAL CODE REGARDING INVESTMENT SECURITIES, SO AS TO, INTER ALIA, TRANSFER THE STATUTORY LAW CONCERNING CREATION AND PERFECTION OF SECURITY INTERESTS IN INVESTMENT SECURITIES TO CHAPTER 9, TITLE 36, RELATING TO SECURED TRANSACTIONS, TO CODIFY INDUSTRY PRACTICES OF HOLDING INVESTMENT SECURITIES INDIRECTLY THROUGH INTERMEDIARIES, TO INCREASE LIQUIDITY AND CERTAINTY IN THE SECURITIES MARKETS BY ESTABLISHING FINALITY IN SECURITIES TRANSACTIONS, AND TO CLARIFY CHOICE OF LAW RULES IN SECURITIES TRANSACTIONS; TO AMEND SECTIONS 36-4-104, AND 36-5-114, AS AMENDED, ALL RELATING TO VARIOUS COMMERCIAL PRACTICES AND TRANSACTIONS GOVERNED BY THE UNIFORM COMMERCIAL CODE, SO AS TO CONFORM THE REMAINING CHAPTERS IN THE UNIFORM COMMERCIAL CODE TO THE MODIFICATIONS MADE IN CHAPTER 8, INVESTMENT SECURITIES; TO MAKE CORRESPONDING CHANGES TO APPROPRIATE OFFICIAL COMMENTS AS NECESSARY TO REFLECT THE CHANGES TO CHAPTER 8; TO AMEND SECTION 33-6-260, RELATING TO RESTRICTION ON TRANSFER OR REGISTRATION OF SECURITIES, SO AS TO CONFORM THE REFERENCE TO "SECURITIES"; TO AMEND CHAPTER 9, TITLE 36, RELATING TO THE UNIFORM COMMERCIAL CODE REGARDING SECURED TRANSACTIONS, SO AS TO, INTER ALIA, EXPAND THE SCOPE OF THE PROVISIONS TO INCLUDE ADDITIONAL TYPES OF PROPERTY AS COLLATERAL, INCLUDING INVESTMENT SECURITIES FORMERLY ADDRESSED IN CHAPTER 8, AND NEW KINDS OF TRANSACTIONS; TO PROVIDE FOR CLARITY OF METHODS OF PERFECTION AND FOR CENTRALIZED AND ELECTRONIC FILING OF FINANCING STATEMENTS; TO PROVIDE THAT THE

Printed Page 3889 . . . . . Tuesday, May 29, 2001

LOCATION OF THE DEBTOR DETERMINES THE PLACE OF FILING AND THE EFFECT OF PERFECTION; TO PROVIDE NEW DEFAULT AND ENFORCEMENT RULES FOR DEALING WITH GUARANTORS, NEW KINDS OF PROPERTY, AND SUBORDINATE CREDITORS; TO DISTINGUISH MORE CLEARLY THE TREATMENT OF A CONSUMER TRANSACTION INVOLVING A SECURITY INTEREST AND THE PROTECTIONS AFFORDED A CONSUMER DEBTOR; TO CLARIFY CERTAIN AMBIGUITIES ARISING FROM CONFLICTING JUDICIAL INTERPRETATIONS OF THE APPLICATIONS OF SOME PROVISIONS; TO PROVIDE FOR INCREASED UNIFORMITY IN THE TREATMENT OF SECURED TRANSACTIONS INVOLVING OIL AND GAS AND AGRICULTURE; TO AMEND SECTION 36-1-105, RELATING TO CHOICE OF LAW GENERALLY. SO AS TO CONFORM ITS PROVISIONS TO THE PROVISIONS OF CHAPTER 2A AND THE REVISIONS TO CHAPTER 9; TO REPEAL CHAPTER 6, TITLE 36, RELATING TO BULK TRANSFERS AND TO REPEAL CHAPTER 7, TITLE 35, RELATING TO THE "UNIFORM ACT FOR SIMPLIFICATION OF FIDUCIARY SECURITY TRANSFERS"; AND TO MAKE THE EFFECTIVENESS OF CHAPTERS 8 AND 9 SIMULTANEOUS ON JULY 1, 2001.

Rep. EASTERDAY explained the Bill.

S. 489 (Word version) -- Senator McConnell: A BILL TO AMEND SECTION 16-23-440, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DISCHARGING FIREARMS AT OR INTO DWELLINGS OR OCCUPIED STRUCTURES, SO AS TO ADD A PROHIBITION AGAINST DISCHARGING FIREARMS AT OR INTO ANY VEHICLE, AIRCRAFT, WATERCRAFT, OR OTHER CONVEYANCE, DEVICE, OR EQUIPMENT WHILE IT IS OCCUPIED.

Rep. HARRISON explained the Bill.

H. 4115--REQUESTS FOR DEBATE

The following Joint Resolution was taken up:

H. 4115 (Word version) -- Reps. Wilkins and W. D. Smith: A JOINT RESOLUTION TO PROVIDE THAT THE TIME PERIODS


Printed Page 3890 . . . . . Tuesday, May 29, 2001

STIPULATED IN THE ADMINISTRATIVE PROCEDURES ACT FOR THE GENERAL ASSEMBLY TO APPROVE, DISAPPROVE, OR OTHERWISE ACT ON REGULATIONS ARE TOLLED FROM JUNE 7, 2001, UNTIL THE DATE THE GENERAL ASSEMBLY RECONVENES FOR ITS 2002 SESSION, TO PROVIDE THAT THE AUTHORITY FOR THE GENERAL ASSEMBLY TO APPROVE, DISAPPROVE, OR OTHERWISE ACT ON REGULATIONS ALSO CEASES FROM JUNE 7, 2001, UNTIL THE DATE THE GENERAL ASSEMBLY RECONVENES FOR ITS 2002 SESSION, AND TO PROVIDE THAT FROM JUNE 7, 2001, UNTIL THE DATE THE GENERAL ASSEMBLY RECONVENES FOR ITS 2002 SESSION, EMERGENCY REGULATIONS OR THE RENEWAL OF EMERGENCY REGULATIONS ARE PERMITTED AS THOUGH THE GENERAL ASSEMBLY WERE NOT IN SESSION.

Reps. SCOTT, RUTHERFORD, HOWARD, GOVAN, KENNEDY, BREELAND, J. HINES and EMORY requested debate on the Joint Resolution.

S. 469--ORDERED TO THIRD READING

The following Bill was taken up:

S. 469 (Word version) -- Senators Martin, Fair and McConnell: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 16-3-5, SO AS TO PROVIDE THAT THE COMMON LAW "YEAR-AND-A-DAY RULE" IS ABROGATED IN THIS STATE; AND TO AMEND SECTION 50-21-115, RELATING TO RECKLESS HOMICIDE BY OPERATION OF A BOAT, SO AS TO DELETE LANGUAGE REQUIRING DEATH TO HAVE OCCURRED WITHIN ONE YEAR AS A PROXIMATE RESULT OF AN INJURY; TO AMEND SECTION 56-5-2910, RELATING TO RECKLESS HOMICIDE, SO AS TO DELETE LANGUAGE REQUIRING DEATH TO HAVE OCCURRED WITHIN ONE YEAR AS A PROXIMATE CAUSE RESULT OF AN INJURY.

Reps. KNOTTS and WHATLEY proposed the following Amendment No. 1 (Doc Name COUNCIL\NBD\AMEND\ 11831MM01), which was ruled out of order:
Amend the bill, as and if amended, by adding an appropriately numbered SECTION to read:


Printed Page 3891 . . . . . Tuesday, May 29, 2001

SECTION   __.   Section 56-5-2934 of the 1976 Code as added by Act 390 of 2000, is amended by adding a new undesignated paragraph at the end to read:

"The State Law Enforcement Division is not required to implement the compulsory testimony provisions of the Illegal Per Se statutes until the General Assembly is able adequately to fund the program./
Renumber sections to conform.
Amend totals and title to conform.

Rep. KNOTTS explained the amendment.

POINT OF ORDER

Rep. KIRSH raised the Point of Order that Amendment No. 1 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. HARRISON explained the Bill.

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

S. 492--ORDERED TO THIRD READING

The following Bill was taken up:

S. 492 (Word version) -- Senators McConnell and Giese: A BILL TO AMEND SECTION 23-3-620, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PERSONS REQUIRED TO PROVIDE A SAMPLE FOR THE STATE DNA DATABASE, SO AS TO PROVIDE THAT PERSONS CONVICTED OF BURGLARY, SECOND DEGREE (SECTION 16-11-312(A)) MUST PROVIDE A SAMPLE FOR THE STATE DNA DATABASE.

Reps. KNOTTS and WHATLEY proposed the following Amendment No. 1 (Doc Name COUNCIL\NBD\AMEND\ 11830MM01), which was ruled out of order:
Amend the bill, as and if amended, by adding an appropriately numbered SECTION to read:
SECTION   __.   Section 56-5-2934 of the 1976 Code as added by Act 390 of 2000, is amended by adding a new undesignated paragraph at the end to read:


Printed Page 3892 . . . . . Tuesday, May 29, 2001

"The State Law Enforcement Division is not required to implement the compulsory testimony provisions of the Illegal Per Se statutes until the General Assembly is able adequately to fund the program./
Renumber sections to conform.
Amend totals and title to conform.

Rep. KNOTTS explained the amendment.

POINT OF ORDER

Rep. FLEMING raised the Point of Order that Amendment No. 1 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. HARRISON explained the Bill.

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

S. 339--DEBATE ADJOURNED

Rep. SCOTT moved to adjourn debate upon the following Bill until Wednesday, May 30, which was adopted:

S. 339 (Word version) -- Senators Ryberg, Grooms, Branton, Waldrep, Fair, Thomas, Leatherman, Wilson, Hayes, Giese, Gregory and Verdin: A BILL TO AMEND SECTION 44-23-1150, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE OFFENSE OF A STATE OR LOCAL GOVERNMENT EMPLOYEE HAVING SEXUAL INTERCOURSE WITH A PATIENT OR TRAINEE OF A MENTAL HEALTH FACILITY OR AN INMATE OF A CORRECTIONAL FACILITY SO AS TO BROADEN THE SCOPE OF THE STATUTE TO COVER SUPERVISORY SITUATIONS OUTSIDE OF AN INSTITUTION, TO PROVIDE DEFINITIONS, TO PROVIDE AN OFFENSE OF SEXUAL MISCONDUCT THAT DOES NOT INCLUDE INTERCOURSE, AND TO PROVIDE AN OFFENSE OF FALSELY REPORTING SEXUAL MISCONDUCT.


Printed Page 3893 . . . . . Tuesday, May 29, 2001

H. 4060--OBJECTIONS AND REQUESTS FOR DEBATE

The following Bill was taken up:

H. 4060 (Word version) -- Reps. Limehouse, Harrell, Ott, Owens, Scarborough and D. C. Smith: A BILL TO AMEND SECTION 50-5-1705, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CATCH LIMITS FOR RED DRUM AND CERTAIN OTHER FISH, SO AS TO CHANGE THE CATCH LIMIT FOR RED DRUM FROM FIVE FISH IN POSSESSION PER DAY TO ONE FISH IN POSSESSION PER DAY; AND TO AMEND SECTION 50-5-1710, RELATING TO SIZE LIMITS FOR RED DRUM AND CERTAIN OTHER FISH, SO AS TO CHANGE THE MINIMUM SIZE LIMIT FOR RED DRUM FROM FOURTEEN INCHES TO SEVENTEEN INCHES AND PROVIDE THAT IT IS UNLAWFUL TO TAKE RED DRUM OF LESS THAN SEVENTEEN INCHES IN TOTAL LENGTH, OR MORE THAN TWENTY-SEVEN INCHES IN TOTAL LENGTH.

Reps. LLOYD, SCOTT, KENNEDY, HOWARD, G. BROWN, J. HINES and BALES objected to the Bill.

Reps. OTT, LIMEHOUSE, SCARBOROUGH, CAMPSEN, J. R. SMITH, RICE, TALLEY, DAVENPORT and D. C. SMITH requested debate on the Bill.

S. 394--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up:

S. 394 (Word version) -- Judiciary Committee: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 20-7-135, SO AS TO PROVIDE THAT COURT-APPOINTED GUARDIANS AD LITEM IN CUSTODY CASES MUST MAKE CERTAIN DISCLOSURES UPON THEIR APPOINTMENT.

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name COUNCIL\NBD\AMEND\11796AC01), which was adopted:
Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/SECTION   1.   (A)   There is created the South Carolina Guardian Ad Litem Study Committee to be composed of:


Printed Page 3894 . . . . . Tuesday, May 29, 2001

(1)   two family court judges to be appointed by the Chief Justice of the South Carolina Supreme Court;

(2)   two members of the House of Representatives to be appointed by the Speaker of the House of Representatives, who shall serve ex officio;

(3)   two Senators to be appointed by the President Pro Tempore of the Senate, who shall serve ex officio;

(4)   the Director of the Children's Law Office, or his designee;

(5)   two private family court practitioners to be appointed by the Governor upon the recommendation of the Family Law Section of the South Carolina Bar Association;

(6)   one professor from the University of South Carolina, School of Law to be appointed by the Governor upon the recommendation of the Dean of the Law School;

(7)   An attorney with the Department of Social Services familiar with guardians ad litem in family court to be appointed by the Director of the Department of Social Services;

(8)   the Director of the South Carolina Guardian Ad Litem Program;

(9)   a representative of a volunteer guardian ad litem program to be appointed by the Governor;

(10)   two interested citizens to be appointed by the Governor.

(B)   The study committee shall review the procedures and practices of guardians ad litem appointed by the family court for custody and visitation cases including, but not limited to, qualifications of guardians ad litem, attorney versus nonattorney guardians ad litem, methods of selecting guardians ad litem for appointment, training programs, supervision and oversight for guardians ad litem, remuneration, and quality of service rendered. The committee also shall review any legislation related to guardians ad litem that is pending in the 2001 legislative session of the General Assembly.

(C)   The members of the committee may not receive compensation but are entitled to receive mileage, per diem, and subsistence, from approved accounts of the House of Representatives and the Senate, as provided by law for members of state boards, committees, and commissions.

(D)   The committee shall submit a report containing its findings and recommendations to the Governor, the President Pro Tempore of the Senate, and the Speaker of the House of Representatives before January 1, 2002. Upon submission of the report the committee is abolished.


Printed Page 3895 . . . . . Tuesday, May 29, 2001

(E)   The committee must be staffed by personnel as provided and assigned by the President Pro Tempore of the Senate, by the Speaker of the House of Representatives, and by the Governor./
Renumber sections to conform.
Amend totals and title to conform.

Rep. EASTERDAY explained the amendment.
The amendment was then adopted.

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

S. 182--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up:

S. 182 (Word version) -- Senators Hawkins, Ritchie, Reese and Branton: A BILL TO AMEND SECTION 16-3-20, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE SENTENCING PROCEEDING TO DETERMINE WHETHER A PERSON CONVICTED OF MURDER SHOULD BE SENTENCED TO DEATH, SO AS TO PROVIDE THAT THE MURDER OF A COUNTY DETENTION FACILITY OFFICER IS A STATUTORY AGGRAVATING CIRCUMSTANCE.

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name COUNCIL\GGS\AMEND\22131CM01), which was adopted:
Amend the bill, as and if amended, Section 16-3-20(C)(a)(7), as contained in SECTION 1, by striking Section 16-3-20(C)(a)(7), and inserting:
/   (7)   The murder of a federal, state, or local law enforcement officer, peace officer or former peace officer, corrections officer or former corrections officer, including county and municipal corrections officers, a county detention facility employee or former county detention facility employee, or fireman or former fireman during or because of the performance of his official duties. /
Amend the bill further by adding the following appropriately numbered SECTION.
/ SECTION   ____.   Section 56-5-2934 of the 1976 Code, as added by Act 390 of 2000, is amended by adding at the end:


Printed Page 3896 . . . . . Tuesday, May 29, 2001

"The State Law Enforcement Division is not required to implement the compulsory testimony provisions of the Illegal Per Se statutes until the General Assembly adequately funds the program." /
Renumber Sections to conform
Amend title to conform.

Rep. HARRISON explained the amendment.

POINT OF ORDER

Rep. KIRSH raised the Point of Order that Amendment No. 1 was out of order in that it was not germane to the Bill.
SPEAKER WILKINS overruled the Point of Order.

Rep. KIRSH moved to divide the question.

Rep. KNOTTS moved to table the motion, which was agreed to.

The amendment was then adopted.

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

Rep. HARRISON moved that the House recede until 2:45 p.m., which was agreed to.

THE HOUSE RESUMES

At 2:45 p.m. the House resumed, the SPEAKER in the Chair.

LEAVE OF ABSENCE

The SPEAKER granted Rep. HAYES a leave of absence for the remainder of the day due to a house emergency.

ACTING SPEAKER RICE IN CHAIR

POINT OF QUORUM

The question of a quorum was raised.
A quorum was later present.

SPEAKER IN CHAIR


Printed Page 3897 . . . . . Tuesday, May 29, 2001

RECURRENCE TO THE MORNING HOUR

Rep. HARRISON moved that the House recur to the Morning Hour, which was agreed to.

MESSAGE FROM THE SENATE

The following was received:

Columbia, S.C., May 29, 2001
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it nonconcurs in the amendments proposed by the House to S. 147:

S. 147 (Word version) -- Senators Hawkins, Waldrep and Ritchie: A BILL TO AMEND SECTION 48-1-320, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CRIMINAL PENALTIES FOR VIOLATIONS OF THE POLLUTION CONTROL ACT, SO AS TO PROVIDE THAT SUCH PENALTIES ARE FOR GROSS NEGLIGENCE OR RECKLESSNESS RATHER THAN SIMPLE NEGLIGENCE.

Very respectfully,
President

S. 147--HOUSE RECEDES FROM ITS AMENDMENTS

On motion of Rep. SHARPE, the House receded from its amendments, and a message was ordered sent to the Senate accordingly.

MESSAGE FROM THE SENATE

The following was received:

Columbia, S.C., May 29, 2001
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it has appointed Senators Leatherman, Peeler and Setzler of the Committee of Conference on the part of the Senate on H. 3687:

H. 3687 -- Ways and Means Committee: A BILL TO MAKE APPROPRIATIONS TO MEET THE ORDINARY EXPENSES OF STATE GOVERNMENT FOR FISCAL YEAR BEGINNING JULY 1, 2001, TO REGULATE THE EXPENDITURE OF THESE FUNDS,


Printed Page 3898 . . . . . Tuesday, May 29, 2001

AND TO FURTHER PROVIDE FOR THE OPERATION OF STATE GOVERNMENT DURING THE FISCAL YEAR AND FOR OTHER PURPOSES.

Very respectfully,
President
Received as information.

MESSAGE FROM THE SENATE

The following was received:

Columbia, S.C., May 29, 2001
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it has reconsidered nonconcurrence and concurs in the amendments proposed by the House to S. 627:

S. 627 (Word version) -- Senator Saleeby: A BILL TO PROVIDE FOR THE BUDGET AND TAX LEVIES OF FLORENCE COUNTY SCHOOL DISTRICT FOUR, AND TO PROVIDE FOR THE MANNER OF ELECTION OF THE BOARD OF TRUSTEES OF FLORENCE COUNTY SCHOOL DISTRICT FOUR; AND TO PROVIDE THAT FLORENCE COUNTY SCHOOL DISTRICT FOUR IS EXEMPTED FROM THE REQUIREMENTS OF ACT 806 OF 1952, AS AMENDED, RELATING TO THE ELECTION OF SCHOOL BOARD TRUSTEES, BUDGETS, AND APPROVAL OF TAX LEVIES.
and has ordered the Bill enrolled for ratification.

Very respectfully,
President
Received as information.

REPORT OF STANDING COMMITTEE

Rep. HARRISON, from the Committee on Judiciary, submitted a favorable report with amendments on:

H. 3167 (Word version) -- Reps. J. Young, Davenport, Vaughn, Sandifer, Whatley, Simrill, Altman, Robinson, Loftis and White: A BILL TO ENACT THE "SOUTH CAROLINA EXILE ACT OF 2001" INCLUDING PROVISIONS TO AMEND SECTION 16-23-50, AS AMENDED,


Printed Page 3899 . . . . . Tuesday, May 29, 2001

CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PENALTIES FOR OFFENSES INVOLVING WEAPONS, SO AS TO PROVIDE INCREASED PENALTIES FOR AN OFFENDER WITH A PREVIOUS CONVICTION FOR A VIOLENT CRIME; TO AMEND SECTION 16-23-490, AS AMENDED, RELATING TO PENALTIES FOR POSSESSION OF A FIREARM DURING COMMISSION OF A VIOLENT CRIME, SO AS TO PROVIDE A SEPARATE OFFENSE FOR THE POSSESSION OF A FIREARM DURING AN OFFENSE INVOLVING A CONTROLLED SUBSTANCE AND TO PROVIDE A SEPARATE, MANDATORY MINIMUM TERM OF IMPRISONMENT UPON CONVICTION; TO AMEND SECTION 17-15-10, RELATING TO BAIL AND RECOGNIZANCE, SO AS TO ADD OTHER CONDITIONS OF RELEASE AND MAKE TECHNICAL CHANGES; TO AMEND SECTION 17-15-15, RELATING TO THE DEPOSIT OF CASH PERCENTAGE IN LIEU OF BOND, SO AS TO MAKE TECHNICAL CHANGES; TO AMEND SECTION 17-15-30, RELATING TO THE COURT'S CONSIDERATION OF CERTAIN FACTORS WHEN MAKING A BAIL DECISION, SO AS TO PROVIDE ADDITIONAL FACTORS AND TO REQUIRE THE COURT TO CONSIDER EACH FACTOR WHEN MAKING ITS DECISION; AND TO AMEND SECTION 22-5-510, AS AMENDED, RELATING TO BOND HEARINGS, SO AS TO PROVIDE ADDITIONAL OFFENSES FOR WHICH THE MAGISTRATE MAY DENY BAIL AND TO REQUIRE THE MAGISTRATE TO OBTAIN, WHEN FEASIBLE, THE PERSON'S CRIMINAL HISTORY FROM THE ARRESTING LAW ENFORCEMENT AGENCY BEFORE CONDUCTING THE BOND HEARING AND TO PROVIDE A DEFINITION OF CRIMINAL HISTORY.
Ordered for consideration tomorrow.

CONCURRENT RESOLUTION

The Senate sent to the House the following:

S. 717 (Word version) -- Senators Grooms, Pinckney and Matthews: A CONCURRENT RESOLUTION TO REQUEST THAT THE DEPARTMENT OF TRANSPORTATION ERECT DIRECTIONAL SIGNS AT LOCATIONS WHICH ARE VISIBLE TO THE MOTORING PUBLIC READING "SOUTH CAROLINA ARTISANS CENTER" AND THAT THESE SIGNS MUST BE PLACED AT


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APPROPRIATE LOCATIONS ON INTERSTATE 95 NEAR EXITS 53 AND 57 IN COLLETON COUNTY.
The Concurrent Resolution was ordered referred to the Committee on Invitations and Memorial Resolutions.

INTRODUCTION OF BILLS

The following Bills and Joint Resolutions were introduced, read the first time, and referred to appropriate committees:

H. 4199 (Word version) -- Reps. Haskins, Howard, Weeks, Knotts, Whatley, Clyburn, J. R. Smith, Allison, Barrett, Battle, Bowers, G. Brown, J. Brown, R. Brown, Cato, Coates, Davenport, Delleney, Emory, Frye, Gourdine, Hayes, J. Hines, Hinson, Hosey, Huggins, Keegan, Klauber, Leach, Lee, McCraw, Meacham-Richardson, Merrill, Miller, J. H. Neal, J. M. Neal, Owens, Phillips, Rhoad, Rice, Rivers, Robinson, Simrill, Sinclair, J. E. Smith, Snow, Stille, Taylor, Thompson, Trotter, Vaughn, Walker, Webb, White and A. Young: A BILL TO AMEND SECTION 12-36-2120, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO SALES TAX EXEMPTIONS, SO AS TO EXEMPT PRESCRIPTION ORTHOTIC DEVICES AND REPLACEMENT PARTS FOR PRESCRIPTION PROSTHETIC AND ORTHOTIC DEVICES.
Referred to Committee on Ways and Means

H. 4200 (Word version) -- Rep. Davenport: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 40-1-195 SO AS TO REQUIRE BOARDS UNDER THE DEPARTMENT OF LABOR, LICENSING AND REGULATION TO INCLUDE IN LICENSURE AND RENEWAL INFORMATION THAT WORKPLACE NOTICES AND SIGNAGE REQUIRED BY LAW TO BE POSTED ARE AVAILABLE FROM THE APPROPRIATE STATE AGENCY.
Referred to Committee on Labor, Commerce and Industry

H. 4201 (Word version) -- Rep. Davenport: A JOINT RESOLUTION TO PROVIDE THAT THE EFFECTIVE DATE IS JULY 1, 2002, FOR AMENDMENTS ADOPTED BY THE SOUTH CAROLINA BUILDING CODES COUNCIL ON MAY 24, 2000, TO THE INTERNATIONAL BUILDING, RESIDENTIAL, PLUMBING, MECHANICAL, FUEL GAS, AND FIRE CODES AND THE AMENDMENTS ADOPTED BY THE COUNCIL ON JANUARY 26,


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2001, PERTAINING TO THE INTERNATIONAL AND RESIDENTIAL BUILDING CODES.
Referred to Committee on Labor, Commerce and Industry

H. 4202 (Word version) -- Reps. Askins, Coates, J. Hines, M. Hines and McGee: A BILL TO AUTHORIZE FLORENCE COUNTY SCHOOL DISTRICTS 1, 2, 3, 4, AND 5 TO CHARGE AND COLLECT INCIDENTAL FEES FROM PUPILS, TO PROVIDE A WAIVER OF THESE FEES UNDER CERTAIN CONDITIONS, AND TO MAKE THE ABOVE PROVISIONS RETROACTIVE TO JULY 1, 2000.
On motion of Rep. ASKINS, with unanimous consent, the Bill was ordered placed on the Calendar without reference.

S. 560 (Word version) -- Senators Rankin and Wilson: A BILL TO AMEND CHAPTER 37, TITLE 5, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO MUNICIPAL IMPROVEMENTS, BY ADDING SECTION 5-37-46 SO AS TO PROVIDE THAT THE PROVISIONS OF SECTION 5-37-45 DO NOT APPLY TO ANY AREA PROPOSED FOR INCLUSION WITHIN AN IMPROVEMENT DISTRICT WHICH, WITHIN THREE YEARS PRIOR TO THE DATE OF THE ADOPTION OF THE RESOLUTION REQUIRED BY SECTION 5-37-50, IS SUBJECT TO A DEVELOPMENT AGREEMENT PURSUANT TO THE SOUTH CAROLINA LOCAL GOVERNMENT DEVELOPMENT AGREEMENT ACT.
Referred to Committee on Judiciary

S. 706 (Word version) -- Judiciary Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE PUBLIC SERVICE COMMISSION, RELATING TO THE DEFINITION OF A LIMOUSINE, DESIGNATED AS REGULATION DOCUMENT NUMBER 2586, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.
Referred to Committee on Labor, Commerce and Industry

S. 63--DEBATE ADJOURNED

Rep. FLEMING moved to adjourn debate upon the following Bill, which was adopted:

S. 63 (Word version) -- Senators Mescher, Grooms, Richardson, McGill, Elliott, Reese and Branton: A BILL TO AMEND SECTION 7-13-40, CODE


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OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO FILING FEES FOR PARTY PRIMARIES, SO AS TO PROVIDE THAT THE COUNTY POLITICAL PARTY MAY RETAIN TEN PERCENT OF THE FILING FEES PAID BY CANDIDATES.

H. 4044--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up:

H. 4044 (Word version) -- Rep. Campsen: A BILL TO ENACT THE SOUTH CAROLINA TRUSTS, ESTATES, AND PROBATE REFORM ACT; TO AMEND SUBARTICLE 5, ARTICLE 3, CHAPTER 7, TITLE 20, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE UNIFORM GIFTS TO MINORS ACT, SO AS TO DESIGNATE SUBARTICLE 5 AS THE "UNIFORM TRANSFERS TO MINORS ACT", TO CHANGE THE AGE OF DISTRIBUTION TO TWENTY-ONE YEARS, INCLUDE BOTH GRATUITOUS TRANSFERS AND TRANSFERS FOR CONSIDERATION TRANSFERS AND BOTH LIFETIME TRANSFERS AND TRANSFERS FROM TRUSTS, ESTATES, AND GUARDIANSHIPS, AND LIMIT THE MINOR'S LIABILITY TO THIRD PARTIES TO CASES OF PERSONAL FAULTY; TO AMEND SECTION 62-7-302, AS AMENDED, RELATING TO A TRUSTEE'S STANDARD OF CARE, SO AS TO DESIGNATE THE SECTION AS THE "UNIFORM PRUDENT INVESTOR ACT", TO RECOGNIZE THE PRUDENT INVESTOR RULE AND THE TOTAL RETURN THEORY OF INVESTMENT MANAGEMENT; TO AMEND PART 4, ARTICLE 7, CHAPTER 7, TITLE 62, RELATING TO THE UNIFORM PRINCIPAL AND INCOME ACT, SO AS TO DESIGNATE PART 4 AS THE "UNIFORM PRINCIPAL AND INCOME ACT OF 1997"; TO PERMIT THE ALLOCATION OF BENEFICIARY RECEIPTS BY A TRUSTEE TO INCOME INSTEAD OF TO PRINCIPAL UNDER CERTAIN SPECIFIED CIRCUMSTANCES AND IN RECOGNITION OF TOTAL RETURN THEORY OF INVESTMENT; TO AMEND SECTION 62-5-501, AS AMENDED, RELATING TO THE DURABLE POWER OF ATTORNEY, SO AS TO PROVIDE FOR REASONABLE COMPENSATION FOR AN ATTORNEY-IN-FACT ACTING PURSUANT TO A DURABLE POWER OF ATTORNEY, AND TO PROVIDE FOR PROTECTION OF THIRD PARTIES RELYING ON THE ACTS OF AN INDIVIDUAL ACTING PURSUANT TO A DURABLE POWER OF ATTORNEY; TO AMEND ARTICLE 2, CHAPTER 2, TITLE 62,


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RELATING TO INTESTACY, SUCCESSION AND WILLS, SO AS TO CHANGE THE TITLE OF THE ARTICLE TO "INTESTACY, WILLS, AND DONATIVE TRANSFERS; TO AMEND PART 7, ARTICLE 2, CHAPTER 2, TITLE 62, RELATING TO CONTRACTUAL ARRANGEMENTS RELATING TO DEATH, SO AS TO REPLACE PART 7 WITH RULES FOR CONSTRUCTION OF WILLS AND OTHER INSTRUMENTS GOVERNING TRANSFERS; TO AMEND SECTION 62-2-803, RELATING TO THE EFFECT OF HOMICIDE ON INTESTATE SUCCESSION, WILLS, JOINT ASSETS, LIFE INSURANCE, AND BENEFICIARY DESIGNATIONS, SO AS TO PROVIDE FOR A JUDICIAL DETERMINATION OF CRIMINAL ACCOUNTABILITY, USING THE PREPONDERANCE OF THE EVIDENCE STANDARD, IN THE ABSENCE OF A CRIMINAL CONVICTION; TO AMEND PART 8, ARTICLE 2, CHAPTER 2, TITLE 62, RELATING TO GENERAL PROVISIONS AS TO INTESTATE SUCCESSION, BY ADDING SECTION 62-2-805 SO AS TO PROVIDE FOR REVOCATION OF PROBATE AND NONPROBATE TRANSFERS BY DIVORCE AND ANNULMENT; TO AMEND SECTION 34-19-120, RELATING TO ACCESS TO A LOCKBOX TO OBTAIN A POWER OF ATTORNEY, SO AS TO FACILITATE ACCESS CONDITIONED ON A VERIFIED DOCUMENT; AND TO AMEND SECTION 27-7-40, RELATING TO THE CREATION AND SEVERANCE OF A JOINT TENANCY, SO AS TO CLARIFY THAT A JOINT TENANCY WITH A RIGHT OF SURVIVORSHIP IN REAL ESTATE MAY TRANSFER HIS INTEREST WITHOUT JOINDER OF THE OTHER JOINT TENANTS.

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name COUNCIL\DKA\AMEND\4511MM01), which was adopted:
Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/ SECTION   1.   Section 62-7-204 of the 1976 Code, as last amended by Act 521 of 1990, is further amended to read:

"Section 62-7-204.   (A)   The probate court has concurrent jurisdiction with the circuit courts of this State of actions and proceedings to determine the existence or nonexistence of trusts created other than by will, of actions by or against creditors or debtors of trusts, and of other actions and proceedings involving trustees and


Printed Page 3904 . . . . . Tuesday, May 29, 2001

third parties. Venue is determined by the rules generally applicable to civil actions.

(B)   The probate court has concurrent jurisdiction with the circuit courts of this State over attorney's fees. Attorney's fees may be set at a fixed or hourly rate or by contingency fee."
SECTION   2.   Section 62-7-302 of the 1976 Code, as last amended by Act 449 of 1994, is further amended to read:

'Section 62-7-302.   (a) Except as otherwise provided by the terms or limitations set forth in any will, agreement, court order, or other instrument creating or defining the fiduciary's duties and powers (the terms "legal investment" or "authorized investment" or words of similar import, as used in any such instrument being taken, however, to mean any investment which is permitted by the terms of this section), in acquiring, investing, reinvesting, exchanging, retaining, selling, and managing property for the benefit of another, a fiduciary shall exercise the judgment and care under the circumstances then prevailing, that a prudent person acting in a like capacity and familiar with such matters would use to attain the purposes of the fiduciary account. In making investment decisions, a fiduciary may consider the general economic conditions, the anticipated tax consequences of the investment, the anticipated duration of the fiduciary account, the needs and objectives of its beneficiaries, and other prevailing circumstances. Within the limitations of the foregoing standard and considering individual investments as part of an overall investment strategy, a fiduciary is authorized to:
(1) acquire and retain every kind of property and every kind of investment, specifically including, but not by way of limitation, bonds, debentures, and other corporate obligations, and stocks, preferred or common, and securities of any open-end or closed-end management-type investment company or investment trust registered under the Federal Investment Company Act of 1940, as amended;
(2) retain property properly acquired, without limitation as to time and without regard to its suitability for original purchase;
(3) retain the property received by such fiduciary on the creation of the estate, guardianship, trust, or other fiduciary account (including, in the case of a corporate fiduciary, stock or other securities of its own issue or of its parent corporation's issue) without regard to its suitability for original purchase;
(4) retain the securities into which corporate securities owned by the fiduciary may be converted or which may be derived therefrom as a result of merger, consolidation, stock dividends, splits, liquidations,


Printed Page 3905 . . . . . Tuesday, May 29, 2001

and similar procedures (and may exercise by purchase or otherwise any rights, warrants, or conversion features attaching to any such securities);
(5) purchase or otherwise acquire and retain any security underwritten by a syndicate, even if the fiduciary or its affiliate (defined as any entity which owns or is owned by, in whole or in part, the fiduciary or is owned by the same entity that owns the fiduciary) participates or has participated as a member of the syndicate, provided the fiduciary does not purchase the security from itself, its affiliate, or from another member of the underwriting syndicate or its affiliate pursuant to an implied or express reciprocal agreement between the fiduciary or its affiliate, and such other member or its affiliate, to purchase all or part of each other's underwriting participation commitment within the syndicate. The propriety of an investment decision is to be determined by what the fiduciary knew or should have known at the time of the decision about the inherent nature and expected performance of the investment, the attributes of the portfolio, the general economic conditions, the anticipated tax consequences of the investment, the anticipated duration of the fiduciary account, the needs and objectives of the beneficiaries of the account, and other pertinent circumstances as they existed at the time of the decision. Any determination of liability for investment performance shall consider not only the performance of a particular investment but also the performance of the portfolio as a whole. Any fiduciary acting under a governing instrument shall not be liable to anyone whose interests arise from that instrument for the fiduciary's good faith reliance on the express provisions of such instrument. The standards set forth in this section may be expanded, restricted, or eliminated by express provisions in a governing instrument; and
(6) invest and reinvest in the securities of an open-end or closed-end management investment company or of an investment trust registered under the Investment Company Act of 1940, as amended. A bank or trust company may invest in these securities even if the bank or trust company, or an affiliate of the bank or trust company, provides services to the investment company or investment trust such as that of an investment advisor, custodian, transfer agent, registrar, sponsor, distributor, manager, or otherwise, and receives reasonable remuneration for those services.
(b) The provisions of this section shall not be construed as restricting the power of a court of proper jurisdiction to permit a fiduciary to deviate from the terms of any will, agreement, or other instrument

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relating to the acquisition, investment, reinvestment, exchange, retention, sale, or management of fiduciary property.
(c) When a fiduciary shall invest the property in his charge in whole or in part in the manner authorized by this section such fiduciary shall not be chargeable in his account at a greater rate of interest, as to such property so invested, than such property shall have so earned.
(d) Whenever a trust instrument reserves unto the trustor, or vests in an advisory or investment committee or in any other person or persons, including a co-trustee, to the exclusion of the trustee or to the exclusion of one or more of several trustees, authority to direct the making or retention of investments or of any investment, the excluded trustee or co-trustee shall be liable, if at all, only as a ministerial agent and shall not be liable as trustee or co-trustee for any loss resulting from the making or retention of any investment pursuant to such authorized direction.
(e) Notwithstanding subsections (a) through (d), the duties of a trustee with respect to acquiring or retaining a contract of insurance upon the life of the trustor, or upon the lives of the trustor and the trustor's spouse, children, or parents do not include a duty to:
(i) determine whether any such contract is or remains a proper investment;
(ii) exercise policy options available under any such contract; or
(iii) diversify any such contract.
The trustee is not liable to the beneficiaries under the instrument or to any other party for any loss arising from the absence of this duty upon the trustee. Except as specifically provided in the trust instrument, the provisions of this subsection apply to any trust established before or after the effective date of this subsection and to any life insurance policy acquired by the trustee before or after the effective date of this subsection. (A)   This section may be cited as the South Carolina Uniform Prudent Investor Act.

(B)(1)   Except as otherwise provided in item (2), a trustee who invests and manages trust assets owes a duty to the beneficiaries of the trust to comply with the prudent investor rule in this section.

(2)   The prudent investor rule is a default rule that may be expanded, restricted, eliminated, or otherwise altered by the provisions of a trust. A trustee is not liable to a beneficiary to the extent that the trustee acted in reasonable reliance on the provisions of the trust.

(C)(1)   A trustee shall invest and manage trust assets as a prudent investor would by considering the purposes, terms, distribution


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requirements, and other circumstances of the trust. In satisfying this standard, the trustee shall exercise reasonable care, skill, and caution.

(2)   A trustee's investment and management decisions respecting individual assets must be evaluated not in isolation but in the context of the trust portfolio as a whole and as a part of an overall investment strategy having risk and return objectives reasonably suited to the trust.

(3)   A trustee shall consider in investing and managing trust assets those circumstances of the following as are relevant to the trust or its beneficiaries:

(a)   general economic conditions;

(b)   the possible effect of inflation or deflation;

(c)   the expected tax consequences of investment decisions or strategies;

(d)   the role that each investment or course of action plays within the overall trust portfolio, including financial assets, interests in closely held enterprises, tangible and intangible personal property, and real property;

(e)   the expected total return from income and the appreciation of capital;

(f)   other resources of the beneficiaries;

(g)   needs for liquidity, regularity of income, and preservation or appreciation of capital; and

(h)   an asset's special relationship or special value to the purposes of the trust or to one or more of the beneficiaries.

(4)   A trustee shall make a reasonable effort to verify facts relevant to the investment and management of trust assets.

(5)   A trustee may invest in any kind of property or type of investment consistent with the standards of this section.

(6)   A trustee who has special skills or expertise, or is named trustee in reliance upon the trustee's representation that the trustee has special skills or expertise, has a duty to use those special skills or expertise.

(D)   A trustee shall diversify the investments of the trust unless the trustee reasonably determines that, because of special circumstances, the purposes of the trust are better served without diversifying.

(E)   Within a reasonable time after accepting a trusteeship or receiving trust assets, a trustee shall review the trust assets and make and implement decisions concerning the retention and disposition of assets in order to bring the trust portfolio into compliance with the


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purposes, terms, distribution requirements, and other circumstances of the trust and with the requirements of this section.

(F)   A trustee shall:

(1)   invest and manage the trust assets solely in the interest of the beneficiaries;

(2)   act impartially in investing and managing the trust assets, taking into account any differing interests of the beneficiaries if a trust has two or more beneficiaries;

(3)   incur only costs that are appropriate and reasonable in relation to the assets, the purposes of the trust, and the skills of the trustee in investing and managing trust assets.

(G)   Compliance with the prudent investor rule is determined in light of the facts and circumstances existing at the time of a trustee's decision or action and not by hindsight.

(H)(1)   A trustee may delegate investment and management functions if it is prudent to do so under the circumstances. The trustee shall exercise reasonable care, skill, and caution in:

(a)   selecting an agent;

(b)   establishing the scope and terms of the delegation, consistent with the purposes and terms of the trust; and

(c)   periodically reviewing the actions of the agent to monitor his performance and compliance with the terms of the delegation.

(2)   In performing a delegated function, an agent owes a duty to the trust to exercise reasonable care to comply with the terms of the delegation.

(3)   A trustee who complies with the requirements of item (1) is not liable to the beneficiaries or to the trust for the decisions or actions of the agent to whom the function was delegated.

(4)   By accepting the delegation of a trust function from the trustee of a trust that is subject to the law of this State, an agent submits to the jurisdiction of the courts of this State.

(I)   The following terms or comparable language in the provisions of a trust, unless otherwise limited or modified, authorize any investment or strategy permitted pursuant to this section: 'investments permissible by law for investment of trust funds', 'legal investments', 'authorized investments', 'using the judgment and care under the circumstances then prevailing that persons of prudence, discretion, and intelligence exercise in the management of their own affairs, not in regard to speculation but in regard to the permanent disposition of their funds, considering the probable income as well as


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the probable safety of their capital', 'prudent man rule', 'prudent trustee rule', 'prudent person rule', and 'prudent investor rule'.

(J)(1)   Notwithstanding provisions of this section to the contrary, the duties of a trustee with respect to acquiring a contract of insurance upon the life of the trustor or upon the lives of the trustor and the trustor's spouse, children, or parents do not include a duty to:

(a)   determine whether the contract is or remains a proper investment;

(b)   exercise policy options available under the contract; or

(c)   diversify the contract.

(2)   The trustee is not liable to the beneficiaries of the contract of insurance or to another party for loss arising from this subsection.

(3)   Except as specifically provided in the trust instrument, the provisions of this subsection apply to trust established before or after the effective date of this subsection and to a life insurance policy acquired by the trustee before or after the effective date of this section.

(K)   This section applies to 'charitable remainder trusts'. 'Charitable remainder trust' means a trust that provides for a specified distribution at least annually for either life or a term of years to one or more beneficiaries, at least one of which is not a charity with an irrevocable remainder interest to be held for the benefit of, or paid over to, charity.

(L)   This section must be applied and construed to effectuate its general purpose to make uniform the law with respect to the subject of this section among the States enacting it."
SECTION   3.   Part 4, Article 7, Chapter 7, Title 62 of the 1976 Code is amended to read:
"Part 4
Revised South Carolina Uniform Principal And Income Act

Section 62-7-401.   This part [Sections 62-7-401 et seq.] may be cited as the Revised Uniform Principal and Income Act.

Section 62-7-402.   As used in this part:
(1) "Income beneficiary" means the person to whom income is presently payable or for whom it is accumulated for distribution as income.
(2) "Inventory value" means the cost of property purchased by the trustee and the market value of other property at the time it was made subject to the trust, but in the case of a testamentary trust the trustee may use any value finally determined for the purposes of an estate or inheritance tax.


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(3) "Remainderman" means the person entitled to principal, including income which has been accumulated and added to principal. and
(4) "Trustee" means an original trustee and any succeeding or added trustee.

Section 62-7-403.   Except as specifically provided in the trust instrument or the will or in this part [Sections 62-7-401 et seq.], this part shall apply to any receipt or expense received or incurred by any trust or decedent's estate whether established before or after June 3, 1963, and whether the asset involved was acquired by the trustee before or after June 3, 1963; provided, however, it shall not be applied to upset apportionments or allocations of corporate distributions declared by the corporation or heretofore made in fact by trustees or to disturb any rights heretofore vested in the life beneficiary.

Section 62-7-404.   (a)   A trust shall be administered with due regard to the respective interests of income beneficiaries and remaindermen. A trust is so administered with respect to the allocation of receipts and expenditures if a receipt is credited or an expenditure is charged to income or principal or partly to each:
(1) in accordance with the terms of the trust instrument, notwithstanding contrary provisions of this part [Sections 62-7-401 et seq.];
(2) in the absence of any contrary terms of the trust instrument, in accordance with the provisions of this part [Sections 62-7-401 et seq.]; or
(3) if neither of the preceding rules of administration is applicable, in accordance with what is reasonable and equitable in view of the interests of those entitled to income as well as of those entitled to principal, and in view of the manner in which men of ordinary prudence, discretion, and judgment would act in the management of their own affairs.
(b) If the trust instrument gives the trustee discretion in crediting a receipt or charging an expenditure to income or principal or partly to each, no inference of imprudence or partiality arises from the fact that the trustee has made an allocation contrary to the provisions of this part [Sections 62-7-401 et seq.].

Section 62-7-405.   Income is the return in money or property derived from the use of principal, including return received as:
(1) rent of real or personal property, including sums received for cancellation or renewal of a lease;


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(2) interest on money lent, including sums received as consideration for the privilege of prepayment of principal except as provided in Section 62-7-410 on bond premium and bond discount;
(3) income earned during administration of a decedent's estate as provided in Sections 62-7-408 and 62-7-419;
(4) corporate distributions as provided in Section 62-7-409;
(5) accrued increment on bonds or other obligations issued at discount as provided in Section 62-7-410;
(6) receipts from principal used in business and farming as provided in Section 62-7-411;
(7) receipts from disposition of natural resources as provided in Sections 62-7-412 and 62-7-413;
(8) receipts from other principal subject to depletion as provided in Section 62-7-414; or
(9) receipts from disposition of underproductive property as provided in Section 62-7-415.

Section 62-7-406.   Principal is the property which has been set aside by the owner or the person legally empowered so that it is held in trust eventually to be delivered to a remainderman while the return or use of the principal is in the meantime taken or received by or held for accumulation for an income beneficiary. Principal includes:
(1) consideration received by the trustee on the sale or other transfer of principal or on repayment of a loan or as a refund or replacement or change in the form of principal;
(2) proceeds of property taken on eminent domain proceedings;
(3) proceeds of insurance upon property forming part of the principal except proceeds of insurance upon a separate interest of an income beneficiary;
(4) stock dividends, receipts on liquidation of a corporation, and other corporate distributions as provided in Section 62-7-409;
(5) receipts from the disposition of corporate securities as provided in Section 62-7-410;
(6) royalties and other receipts from disposition of natural resources as provided in Sections 62-7-412 and 62-7-413;
(7) receipts from other principal subject to depletion as provided in Section 62-7-414;
(8) any profit resulting from any change in the form of principal except as provided in Section 62-7-415 on underproductive property;
(9) receipts from disposition of underproductive property as provided in Section 62-7-415; or


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(10) any allowances for depreciation established under Sections 62-7-411 and 62-7-417(2).

Section 62-7-407.   (a)   An income beneficiary is entitled to income from the date specified in the trust instrument, or, if none is specified, from the date an asset becomes subject to the trust. In the case of an asset becoming subject to a trust by reason of a will, it becomes subject to the trust as of the date of the death of the testator even though there is an intervening period of administration of the testator's estate.
(b) In the administration of a decedent's estate or a testamentary trust or in the case of an asset received under a will by a trustee:
(1) receipts due but not paid at the date of death of the testator are principal;
(2) receipts in the form of periodic payments (other than corporate distributions to stockholders), such as rent, interest, or annuities, not due at the date of the death of the testator shall be treated as accruing from day to day. That portion of such a receipt accruing before the date of death is principal and the balance is income.
(c) In all other cases, any receipt from an income producing asset is income even though the receipt was earned or accrued in whole or in part before the date when the asset became subject to the trust.
(d) On termination of an income interest, the income beneficiary whose interest is terminated, or his estate, is entitled to:
(1) income undistributed on the date of termination;
(2) income due but not paid to the trustee on the date of termination; or
(3) income in the form of periodic payments (other than corporate distributions to stockholders), such as rent, interest, or annuities, not due on the date of termination, accrued from day to day.
(e) Corporate distributions to stockholders shall be treated as due on the day fixed by the corporation for determination of stockholders of record entitled to distribution or, if no date is fixed, on the date of declaration of the distribution by the corporation.

Section 62-7-408.   Unless the will otherwise provides, income from the assets of a decedent's estate after the death of the testator and before distribution, including income from property used to discharge liabilities, shall be determined in accordance with the rules applicable to a trustee under this Part [Sections 62-7-401 et seq.,] and distributed as follows:
(1) to specific legatees and devisees, the income from the property bequeathed or devised to them respectively, less taxes, ordinary repairs,


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and other expenses of management and operation of the property, and an appropriate portion of interest accrued since the death of the testator and of taxes imposed on income (excluding taxes on capital gains) which accrue during the period of administration;
(2)(i) for one year after the first appointment of a personal representative, to all other legatees and devisees, except legatees of pecuniary bequests not in trust, the balance of the income, less the balance of taxes, ordinary repairs, and other expenses of management and operation of all property from which the State is entitled to income, interest accrued since the death of the testator, and taxes imposed on income (excluding taxes on capital gains) which accrue during the period of administration, in proportion to their respective interests in the undistributed assets of the estate computed at times of distribution on the basis of inventory value. Income received by a trustee under this section shall be treated as income of the trust.
(ii) beginning one year after the first appointment of a personal representative, to all other legatees and devisees, the balance of the income less the balance of taxes, ordinary repairs, and other expenses of management and operation of all property from which the State is entitled to income, interest accrued since the death of the testator, and taxes imposed on income (excluding taxes on capital gains) which accrue during the period of administration, in proportion to their respective interests in the undistributed assets of the estate computed at times of distribution on the basis of inventory value. Income received by a trustee under this section shall be treated as income of the trust.

Section 62-7-409.   (a)   Corporate distributions of shares of the distributing corporation, including distributions in the form of a stock split or stock dividend, are principal. A right to subscribe to shares or other securities issued by the distributing corporation accruing to stockholders on account of their stock ownership and the proceeds of any sale of the right are principal.
(b) Except to the extent that the corporation indicates that some part of a corporate distribution is a settlement of preferred to guaranteed dividends accrued since the trustee became a stockholder or is in lieu of an ordinary cash dividend, a corporate distribution is principal if the distribution is pursuant to:
(1) a call of shares;
(2) a merger, consolidation, reorganization, or other plan by which assets of the corporation are acquired by another corporation; or
(3) a total or partial liquidation of the corporation. For the purposes of this section, a distribution is pursuant to a liquidation if the


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corporation so indicates, or if the corporation is making a distribution of assets, other than cash, pursuant to a court decree or final administrative order by a government agency ordering distribution of the particular assets.
(c) Distributions made from ordinary income by a regulated investment company or by a trust qualifying and electing to be taxed as a real estate investment trust under federal law are income. All other distributions made by such a company or trust, including distributions from capital gains, depreciation, or depletion, whether in the form of cash or an option to take new stock or cash or an option to purchase additional shares, are principal.
(d) Except as provided in subsections (a), (b), and (c), all corporate distributions are income, including cash dividends, distributions of, or rights to, subscribe to shares or securities or obligations of corporations other than the distributing corporation, and the proceeds of such rights or property distributions. Except as provided in subsections (b) and (c), if the distributing corporation gives a stockholder an option to receive a distribution either in cash or in its own shares, the distribution chosen is income.
(e) The trustee may rely upon any statement of the distributing corporation as to any fact relevant under any provision of this part [Sections 62-7-401 et seq.] concerning the source or character of dividends or distributions of corporate assets.

Section 62-7-410.   (a)   Bonds or other obligations for the payment of money are principal at their inventory value, except as provided in subsection (b) for discount bonds. No provision shall be made for amortization of bond premiums or for accumulation for discount. The proceeds of sale, redemption, or other disposition of the bonds or obligations are principal.
(b) The increment in value of a bond or other obligation for the payment of money payable at a future time in accordance with a fixed schedule of appreciation in excess of the price at which it was issued, and the amount of the accretion of a bond or other obligation for the payment of money bearing no stated interest but redeemable at maturity or at a future time in an amount in excess of the amount in consideration for which it was issued, is distributable as income. The increment in value is distributable to the beneficiary who was the income beneficiary at the time of increment from the first principal cash available or, if none is available, when realized by sale, redemption, or other disposition. Whenever unrealized increment is


Printed Page 3915 . . . . . Tuesday, May 29, 2001

distributed as income but out of principal, the principal shall be reimbursed for the increment when realized.

Section 62-7-411.   (a)   If a trustee uses any part of the principal in the continuance of a business of which the settlor was a sole proprietor or a partner, the net profits of the business, computed in accordance with generally accepted accounting principles for a comparable business, are income. If a loss results in any fiscal or calendar year, the loss falls on principal and shall not be carried into any other fiscal or calendar year for the purposes of calculating net income.
(b) Generally accepted accounting principles shall be used to determine income from an agricultural or farming operation, including the raising of animals or the operation of a nursery.

Section 62-7-412.   (a)   If any part of the principal consists of a right to receive royalties, overriding or limited royalties, working interests, production payments, net profit interests, or other interests in minerals or other natural resources in, on, or under land, the receipts from taking the natural resources from the land shall be allocated as follows:
(1) If received as rent on a lease or extension payments on a lease, the receipts are income.
(2) If received from a production payment, the receipts are income to the extent of any factor for interest or its equivalent provided in the governing instrument. There shall be allocated to principal the fraction of the balance of the receipts which the unrecovered cost of the production payment bears to the balance owed on the production payment, exclusive of any factor for interest or its equivalent. The receipts not allocated to principal are income.
(3) If received as a royalty, overriding or limited royalty, or as a bonus, or from a working interest or net profit, or from any other interest in minerals or other natural resources, receipts not provided for in the preceding paragraphs of this section shall be apportioned on a yearly basis in accordance with this paragraph whether or not any natural resource was being taken from the land at the time the trust was established. Twenty-seven and one-half percent of the gross receipts (but not to exceed fifty percent of the net receipts remaining after payment of all expenses, direct and indirect, computed without allowance for depletion) shall be added to principal as an allowance for depletion. The balance of the gross receipts, after payment therefrom of all expenses, direct and indirect, is income.


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(b) If a trustee, on June 3, 1963, held an item of depletable property of a type specified in this section, he shall allocate receipts from the property in the manner used before June 3, 1963, but as to all depletable property acquired after June 3, 1963, by an existing or new trust, the method of allocation provided herein shall be used.
(c) This section does not apply to timber, water, soil, sod, dirt, turf, or mosses.

Section 62-7-413.   If any part of the principal consists of land from which merchantable timber may be removed, the receipts from taking the timber from the land shall be allocated in accordance with paragraph (3) of Section 62-7-404.

Section 62-7-414.   Except as provided in Sections 62-7-412 and 62-7-413, if the principal consists of property subject to depletion, including leaseholds, patents, copyrights, royalty rights, and rights to receive payments on a contract for deferred compensation, the receipts from the property not in excess of five percent per year of its inventory value are income and the balance is principal.

Section 62-7-415.   (a)   Except as otherwise provided in this section, a portion of the net proceeds of sale of any part of principal which has not produced an average net income of at least one percent per year of its inventory value for more than a year (including as income the value of any beneficial use of the property by the income beneficiary) shall be treated as delayed income to which the income beneficiary is entitled as provided in this section. The net proceeds of sale are the gross proceeds received, including the value of any property received in substitution for the property disposed of, less the expenses, including capital gains tax, if any, incurred in disposition and less any carrying charges which have been paid while the property was underproductive.
(b) The sum allocated as delayed income is the difference between the net proceeds and the amount which, had it been invested at simple interest at four percent per year while the property was underproductive, would have produced the net proceeds. This sum plus any carrying charges and expenses previously charged against income while the property was underproductive, less any income received by the income beneficiary from the property and less the value of any beneficial use of the property by the income beneficiary, is income, and the balance is principal.
(c) An income beneficiary or his estate is entitled to delayed income under this section as if it accrued from day to day during the time he was a beneficiary.


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(d) If principal subject to this section is disposed of by conversion into property which cannot be apportioned easily, including land or mortgages (for example, realty acquired by or in lieu of foreclosure), the income beneficiary is entitled to the net income from any form of property or obligation into which the original principal was converted while the property or obligation is held. If within five years after the conversion the property into which the underproductive property is converted has not been further converted into easily apportionable property, no allocation as provided in this section shall be made.

Section 62-7-416.   After determining income and principal in accordance with the terms of the trust instrument or of this part, the trustee shall charge to income or principal expenses and other charges as provided in Sections 62-7-417, 62-7-418, and 62-7-420.

Section 62-7-417.   (a)   The following charges shall be made against income:
(1) ordinary expenses incurred in connection with the administration, management, and preservation of the trust property, including regularly recurring taxes assessed against any portion of the principal, water rates, premiums on insurance taken upon the interests of the income beneficiary, remainderman or trustee, interest paid by the trustee, and ordinary repairs;
(2) a reasonable allowance for depreciation on property subject to depreciation under generally accepted accounting principles, but no allowance shall be made for depreciation of that portion of any real property used by a beneficiary as a residence; nor for depreciation of any property held by the trustee on June 3, 1963, (except as to subsequent expenses incurred for extraordinary repairs or capital improvements to such property), for which the trustee was not then making an allowance for depreciation;
(3) one-half of court costs, attorney's fees, and other fees on periodic judicial accounting, unless the court directs otherwise;
(4) court costs, attorney's fees, and other fees on other accountings or judicial proceedings if the matter primarily concerns the income interest, unless the court directs otherwise;
(5) one-half of the trustee's regular compensation, whether based on a percentage of principal or income, and all expenses reasonably incurred for current management of principal and application of income;
(6) any tax levied upon receipts defined as income under this part [Sections 62-7-401 et seq.] or the trust instrument and payable by the trustee.


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(b) If charges against income are of unusual amount, the trustee may by means of reserves or other reasonable means charge them over a reasonable period of time and withhold from distribution sufficient sums to regularize distributions.

Section 62-7-418.   The following charges shall be made against principal:
(1) trustee's compensation not chargeable to income under subsection (a), items (4) and (5) of Section 62-7-417, including special compensation of trustees and expenses reasonably incurred in connection with the principal, court costs, and attorney's fees concerning matters of principal, and trustee's compensation computed on principal as an acceptance, distribution, or termination fee;
(2) charges not provided for in Section 62-7-417(a) including the cost of investing and reinvesting principal, the payments on principal of an indebtedness (including a mortgage amortized by periodic payments of principal), expenses for preparation of property for rental or sale, and, unless the court directs otherwise, expenses incurred in maintaining or defending any action to protect or construe the trust or the property or assure the title of any trust property;
(3) extraordinary repairs or expenses incurred in making a capital improvement of principal, including special assessments, but, to the extent permitted by Section 62-7-411 and subsection (a), item (2), of Section 62-7-417 a trustee may establish an allowance for depreciation out of income;
(4) any tax levied upon profit, gain, or other receipts allocated to principal notwithstanding denomination of the tax as an income tax by the taxing authority;
(5) if an estate or inheritance tax is levied in respect of a trust in which both an income beneficiary and a remainderman have an interest, any amount apportioned to the trust, including interest and penalties, even though the income beneficiary also has rights in the principal.

Section 62-7-419.   Unless the will otherwise provides and subject to Section 62-7-408, all expenses incurred in connection with the settlement of a decedent's estate, including debts, funeral expenses, estate taxes, interest and penalties concerning taxes, family allowances, fees of attorneys and personal representatives, and court costs shall be charged against the principal of the estate.

Section 62-7-420.   Regularly recurring charges payable from income shall be apportioned to the same extent and in the same manner that income is apportioned under Section 62-7-407.


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Section 62-7-421.   This part [Sections 62-7-401 et seq.] shall be so construed as to effectuate its general purpose to make uniform the law of those states which enact it.

Section 62-7-401.   This part may be cited as the South Carolina Uniform Principal and Income Act.

Section 62-7-402.   As used in this part:

(1)   'Accounting period' means a calendar year unless another twelve-month period is selected by a fiduciary. The term includes a portion of a calendar year or other twelve-month period that begins when an income interest begins or ends when an income interest ends.

(2)   'Beneficiary' includes, in the case of a decedent's estate, an heir, legatee, and devisee and, in the case of a trust, an income beneficiary and a remainder beneficiary.

(3)   'Fiduciary' means a personal representative or a trustee. The term includes an executor, administrator, successor personal representative, special administrator, and a person performing substantially the same function.

(4)   'Income' means money or property that a fiduciary receives as current return from a principal asset. The term includes a portion of receipts from a sale, exchange, or liquidation of a principal asset, to the extent provided in Section 62-7-410 through Section 62-7-424.

(5)   'Income beneficiary' means a person to whom net income of a trust is or may be payable.

(6)   'Income interest' means the right of an income beneficiary to receive all or part of net income, whether the terms of the trust require it to be distributed or authorize it to be distributed in the trustee's discretion.

(7)   'Mandatory income interest' means the right of an income beneficiary to receive net income that the terms of the trust require the fiduciary to distribute.

(8)   'Net income' means the total receipts allocated to income during an accounting period minus the disbursements made from income during the period, plus or minus transfers under this part to or from income during the period.

(9)   'Person' means an individual, a corporation, a business trust, an estate, a trust, a partnership, a limited liability company, an association, a joint venture, a government or a governmental subdivision, an agency, or an instrumentality; a public corporation, or other legal or commercial entity.

(10)   'Principal' means property held in trust for distribution to a remainder beneficiary when the trust terminates.


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(11)   'Remainder beneficiary' means a person entitled to receive principal when an income interest ends.

(12)   'Terms of a trust' means the manifestation of the intent of a settlor or decedent with respect to the trust, expressed in a manner that admits of its proof in a judicial proceeding, whether by written or spoken words or by conduct.

(13)   'Trustee' includes an original, additional, or successor trustee, whether or not appointed or confirmed by a court.

Section 62-7-403.   (A)   In allocating receipts and disbursements to or between principal and income, and with respect to any matter within the scope of Sections 62-7-405 and 62-7-409, a fiduciary:

(1)   shall administer a trust or estate in accordance with the terms of the trust or the will, even if there is a different provision in this part;

(2)   may administer a trust or estate by the exercise of a discretionary power of administration given to the fiduciary by the terms of the trust or the will, even if the exercise of the power produces a result different from a result required or permitted by this part;

(3)   shall administer a trust or estate in accordance with this part if the terms of the trust or the will do not contain a different provision or do not give the fiduciary a discretionary power of administration; and

(4)   shall add a receipt or charge a disbursement to principal to the extent that the terms of the trust and this part do not provide a rule for allocating the receipt or disbursement to or between principal and income.

(B)   In exercising the power to adjust pursuant to Section 62-7-404(A) or a discretionary power of administration regarding a matter within the scope of this part, whether granted by the terms of a trust, a will, or this part, a fiduciary shall administer a trust or estate impartially, based on what is fair and reasonable to all of the beneficiaries, except to the extent that the terms of the trust or the will clearly manifest an intention that the fiduciary shall or may favor one or more of the beneficiaries. A determination in accordance with this part is presumed to be fair and reasonable to all of the beneficiaries.

Section 62-7-404.   (A)   A trustee may adjust between principal and income to the extent the trustee considers necessary if the trustee invests and manages trust assets as a prudent investor, the terms of the trust describe the amount that may or must be distributed to a beneficiary by referring to the trust's income, and the trustee


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determines, after applying the provisions in Section 62-7-403(A), that the trustee is unable to comply with Section 62-7-403(B).

(B)   In deciding whether and to what extent to exercise the power of adjustment in subsection (A), a trustee shall consider all factors relevant to the trust and its beneficiaries, including:

(1)   nature, purpose, and expected duration of the trust;

(2)   intent of the settlor;

(3)   identity and circumstances of the beneficiaries;

(4)   needs for liquidity, regularity of income, and preservation and appreciation of capital;

(5)   assets held in the trust and the extent to which they consist of financial assets, interests in closely held enterprises, tangible and intangible personal property, or real property and the extent to which an asset is used by a beneficiary, and whether an asset was purchased by the trustee or received from the settlor;

(6)   net amount otherwise allocated to income and the increase or decrease in the value of the principal assets, which the trustee may estimate as to assets for which market values are not readily available;

(7)   terms of the trust and whether and to what extent they give the trustee the power to, or prohibit him from, invade principal or accumulate income or prohibit the trustee from invading principal or accumulating income, and the extent to which the trustee has exercised a power from time to time to invade principal or accumulate income;

(8)   actual and anticipated effect of economic conditions on principal and income and effects of inflation and deflation; and

(9)   anticipated tax consequences of an adjustment.

(C)   A trustee may not make an adjustment:

(1)   that diminishes the income interest in a trust that requires all of the income to be paid at least annually to a surviving spouse and for which an estate tax or gift tax marital deduction is allowed, in whole or in part, if the trustee did not have the power to make the adjustment;

(2)   that reduces the actuarial value of the income interest in a trust to which a person transfers property with the intent to qualify for a gift tax exclusion;

(3)   that changes the amount payable to a beneficiary as a fixed annuity or a fixed fraction of the value of the trust assets;

(4)   from any amount that is permanently set aside for charitable purposes under a will or the terms of a trust unless both income and principal are so set aside;


Printed Page 3922 . . . . . Tuesday, May 29, 2001

(5)   if possessing or exercising the power to make an adjustment is determinative in causing an individual to be treated as the owner of all or part of the trust for income tax purposes;

(6)   if possessing or exercising the power to make an adjustment is determinative in causing all or part of the trust assets to be included for estate tax purposes in the estate of an individual who has the power to remove a trustee or appoint a trustee, or both;

(7)   if the trustee is a beneficiary of the trust; or

(8)   if the trustee is not a beneficiary, but the adjustment benefits the trustee directly or indirectly.

(D)   If subsection (C)(5), (6), (7), or (8) applies to a trustee and there is more than one trustee, a cotrustee to whom the provision does not apply may make the adjustment unless the exercise of the power by the remaining trustee or trustees is not permitted by the terms of the trust.

(E)   A trustee may release the entire power of adjustment in by subsection (A) or may release only the power to adjust from income to principal or the power to adjust from principal to income if the trustee is uncertain about whether possessing or exercising the power causes a result described in subsections (C)(1) through (6) or (C)(8) or if the trustee determines that possessing or exercising the power may deprive the trust of a tax benefit or impose a tax burden not contemplated in subsection (C). The release may be permanent or for a specified period, including a period measured by the life of an individual.

(F)   Terms of a trust that limit the power of a trustee to make an adjustment between principal and income do not affect the application of this section unless it is clear from the terms of the trust that the terms are intended to deny the trustee the power of adjustment in subsection (A).

Section 62-7-405.   After a decedent dies, in the case of an estate, or after an income interest in a trust ends, a fiduciary:

(1)   of an estate or of a terminating income interest shall determine the amount of net income and net principal receipts received from property specifically given to a beneficiary pursuant to Sections 62-7-407 through 62-7-430 which apply to trustees and the provisions of item (5). The fiduciary shall distribute the net income and net principal receipts to the beneficiary who is to receive the specific property;

(2)   shall determine the remaining net income of a decedent's estate or a terminating income interest pursuant to Sections 62-7-407 through 62-7-430 which apply to trustees and by:


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(a)   including in net income all income from property used to discharge liabilities;

(b)   paying from income or principal, in the fiduciary's discretion, fees of attorneys, accountants, and fiduciaries, court costs and other expenses of administration, and interest on death taxes; except that the fiduciary may pay those expenses from income of property passing to a trust for which the fiduciary claims an estate tax marital or charitable deduction only to the extent that the payment of those expenses from income does not cause the reduction or loss of the deduction; and

(c)   paying from principal all other disbursements made or incurred in connection with the settlement of a decedent's estate or the winding up of a terminating income interest, including debts, funeral expenses, disposition of remains, family allowances, and death taxes and related penalties that are apportioned to the estate or terminating income interest by the will, the terms of the trust, or applicable law;

(3)   shall distribute to a beneficiary who receives a pecuniary amount outright the interest or other amount provided by the will, the terms of the trust, or applicable law from net income as determined by item (2) or from principal to the extent that net income is insufficient. If a beneficiary is to receive a pecuniary amount outright from a trust after an income interest ends and no interest or other amount is provided for by the terms of the trust or applicable law, the fiduciary shall distribute the interest or other amount to which the beneficiary would be entitled under applicable law if the pecuniary amount were required to be paid under a will;

(4)   shall distribute the net income remaining after distributions required by item (3) in the manner pursuant to Section 62-7-406 to all other beneficiaries, including a beneficiary who receives a pecuniary amount in trust, even if the beneficiary holds an unqualified power to withdraw assets from the trust or other presently exercisable general power of appointment over the trust; and

(5)   may not reduce principal or income receipts from property described in item (1) because of a payment pursuant to Sections 62-7-424 and 62-7-425 to the extent that the will, the terms of the trust, or applicable law requires the fiduciary to make the payment from assets other than the property or to the extent that the fiduciary recovers or expects to recover the payment from a third party. The net income and principal receipts from the property are determined by including all of the amounts the fiduciary receives or pays with respect to the property, whether those amounts accrued or became due before, on, or


Printed Page 3924 . . . . . Tuesday, May 29, 2001

after the date of a decedent's death or an income interest's terminating event, and by making a reasonable provision for amounts that the fiduciary believes the estate or terminating income interest may become obligated to pay after the property is distributed.

Section 62-7-406.   (A)   Each beneficiary described in Section 62-7-405(4) is entitled to receive a portion of the net income equal to his fractional interest in undistributed principal assets, using values as of the distribution date. If a fiduciary makes more than one distribution of assets to beneficiaries to whom this section applies, each beneficiary, including one who does not receive part of the distribution, is entitled, as of each distribution date, to the net income the fiduciary has received after the date of death or terminating event or earlier distribution date but has not distributed as of the current distribution date.

(B)   In determining a beneficiary's share of net income, the:

(1)   beneficiary is entitled to receive a portion of the net income equal to his fractional interest in the undistributed principal assets immediately before the distribution date, including assets that later may be sold to meet principal obligations.

(2)   fractional interest of the beneficiary in the undistributed principal assets must be calculated without regard to property specifically given to a beneficiary and property required to pay pecuniary amounts not in trust.

(3)   fractional interest of the beneficiary in the undistributed principal assets must be calculated on the basis of the aggregate value of those assets as of the distribution date without reducing the value by any unpaid principal obligation; and

(4)   distribution date for purposes of this section may be the date as of which the fiduciary calculates the value of the assets if that date is reasonably near the date on which assets are actually distributed.

(C)   If a fiduciary does not distribute all of the collected but undistributed net income to each person as of a distribution date, the fiduciary shall maintain appropriate records showing the interest of each beneficiary in that net income.

(D)   A trustee may apply the provisions of this section, to the extent that the trustee considers it appropriate, to net gain or loss realized after the date of death or terminating event or earlier distribution date from the disposition of a principal asset if this section applies to the income from the asset.

Section 62-7-407.   (A)   An income beneficiary is entitled to net income from the date on which the income interest begins. An income


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interest begins on the date specified in the terms of the trust or, if no date is specified, on the date an asset becomes subject to a trust or successive income interest.

(B)   An asset becomes subject to a trust on the date:

(1)   it is transferred to the trust, in the case of an asset that is transferred to a trust during the transferor's life;

(2)   the testator dies, in the case of an asset that becomes subject to a trust by reason of a will, even if there is an intervening period of administration of the estate; or

(3)   the individual dies, in the case of an asset that is transferred to a fiduciary by a third party because of the death of the individual.

(C)   An asset becomes subject to a successive income interest on the day after the preceding income interest ends, as determined pursuant to subsection (D), even if there is an intervening period of administration to wind up the preceding income interest.

(D)   An income interest ends on the day before an income beneficiary dies or another terminating event occurs or on the last day of a period during which there is no beneficiary to whom a trustee may distribute income.

Section 62-7-408.   (A)   A trustee shall allocate an income receipt or disbursement, other than one subject to Section 62-7-405(1), to principal if its due date occurs before a decedent dies in the case of an estate or before an income interest begins in the case of a trust or successive income interest.

(B)   A trustee shall allocate an income receipt or disbursement to income if its due date occurs on or after the date on which a decedent dies or an income interest begins and it is a periodic due date. An income receipt or disbursement must be treated as accruing from day to day if its due date is not periodic or it has no due date. The portion of the receipt or disbursement accruing before the date on which a decedent dies or an income interest begins must be allocated to principal and the balance must be allocated to income.

(C)   An item of income or an obligation is due on the date the payer is required to make a payment. If a payment date is not stated, there is no due date for the purposes of this part. Distributions to shareholders or other owners from an entity subject to Section 62-7-410 are considered due on the date fixed by the entity for determining who is entitled to receive the distribution or, if no date is fixed, on the declaration date for the distribution. A due date is periodic for receipts or disbursements that must be paid at regular


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intervals under a lease or an obligation to pay interest or if an entity customarily makes distributions at regular intervals.

Section 62-7-409.   (A)   In this section, 'undistributed income' means net income received before the date on which an income interest ends. The term does not include an item of income or expense that is due or accrued or net income that has been added or must be added to principal under the terms of the trust.

(B)   When a mandatory income interest ends, the trustee shall pay to a mandatory income beneficiary who survives that date, or the estate of a deceased mandatory income beneficiary whose death causes the interest to end, the beneficiary's share of the undistributed income that is not disposed of under the terms of the trust, unless the beneficiary has an unqualified power to revoke more than five percent of the trust immediately before the income interest ends. In that case, the undistributed income from the portion of the trust that may be revoked must be added to principal.

(C)   When the obligation of a trustee to pay a fixed annuity or a fixed fraction of the value of the trust assets ends, the trustee shall prorate the final payment if, and to the extent, required by applicable law to accomplish a purpose of the trust or its settlor relating to income, gift, estate, or other tax requirements.

Section 62-7-410.   (A)   In this section, 'entity' means a corporation, partnership, limited liability company, regulated investment company, real estate investment trust, common trust fund, or other organization in which a trustee has an interest other than a trust or estate subject to Section 62-7-411, a business or activity to which Section 62-7-412 applies, or an asset-backed security to which Section 62-7-424 applies.

(B)   Except as otherwise provided in this section, a trustee shall allocate to income money received from an entity.

(C)   A trustee shall allocate the following receipts from an entity to principal:

(1)   property other than money;

(2)   money received in one distribution or a series of related distributions in exchange for part or all of a trust's interest in the entity;

(3)   money received in total or partial liquidation of the entity; and

(4)   money received from an entity that is a regulated investment company or a real estate investment trust if the money distributed is a capital gain dividend for federal income tax purposes.

(D)   Money is received in partial liquidation:


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(1)   to the extent that the entity, at or near the time of a distribution, indicates that it is a distribution in partial liquidation; or

(2)   if the total amount of money and property received in a distribution or series of related distributions is greater than twenty percent of the entity's gross assets of the entity, as shown by the its year-end financial statements immediately preceding the initial receipt.

(E)   Money is not received in partial liquidation, nor may it be taken into account pursuant to subsection (D)(2), to the extent that it does not exceed the amount of income tax that a trustee or beneficiary must pay on taxable income of the entity that distributes the money.

(F)   A trustee may rely upon a statement made by an entity about the source or character of a distribution if the statement is made at or near the time of distribution by the its board of directors or other person or group of persons authorized to exercise powers to pay money or transfer property comparable to those of a corporation's board of directors.

Section 62-7-411.   A trustee shall allocate to income an amount received as a distribution of income from a trust or an estate in which the trust has an interest other than a purchased interest, and shall allocate to principal an amount received as a distribution of principal from such a trust or estate. If a trustee purchases an interest in a trust that is an investment entity, or a decedent or donor transfers an interest in such a trust to a trustee, Section 62-7-410 or 62-7-424 applies to a receipt from the trust.

Section 62-7-412.   (A)   If a trustee who conducts a business or other activity determines that it is in the best interest of all the beneficiaries to account separately for the business or activity instead of accounting for it as part of the general accounting records of the trust, the trustee may maintain separate accounting records for its transactions, whether or not its assets are segregated from other trust assets.

(B)   A trustee who accounts separately for a business or other activity may determine the extent to which its net cash receipts must be retained for working capital, the acquisition or replacement of fixed assets, and other reasonably foreseeable needs of the business or activity, and the extent to which the remaining net cash receipts are accounted for as principal or income in the trust's general accounting records. If a trustee sells assets of the business or other activity, other than in the ordinary course of the business or activity, the trustee shall account for the net amount received as principal in the general accounting records of the trust to the extent the trustee determines that


Printed Page 3928 . . . . . Tuesday, May 29, 2001

the amount received is no longer required in the conduct of the business.

(C)   Activities for which a trustee may maintain separate accounting records include:

(1)   retail, manufacturing, service, and other traditional business activities;

(2)   farming;

(3)   raising and selling livestock and other animals;

(4)   management of rental properties;

(5)   extraction of minerals and other natural resources;

(6)   timber operations; and

(7)   activities subject to Section 62-7-423.

Section 62-7-413.   A trustee shall allocate to principal:

(1)   to the extent not allocated to income pursuant to this part, assets received from a transferor during his lifetime, a decedent's estate, a trust with a terminating income interest, or a payer under a contract naming the trust or its trustee as beneficiary;

(2)   money or other property received from the sale, exchange, liquidation, or change in form of a principal asset, including realized profit;

(3)   amounts recovered from third parties to reimburse the trust because of disbursements described in Section 62-7-426(A)(7) or for other reasons to the extent not based on the loss of income;

(4)   proceeds of property taken by eminent domain, but a separate award made for the loss of income with respect to an accounting period during which a current income beneficiary had a mandatory income interest is income;

(5)   net income received in an accounting period during which there is no beneficiary to whom a trustee may or must distribute income; and

(6)   other receipts as provided in Sections 62-7-417 through 62-7-424.

Section 62-7-414.   To the extent that a trustee accounts for receipts from rental property pursuant to this section, the trustee shall allocate to income an amount received as rent of real or personal property, including an amount received for cancellation or renewal of a lease. An amount received as a refundable deposit, including a security deposit or a deposit applied as rent for future periods, must be added to principal and held subject to the terms of the lease and is not available for distribution to a beneficiary until the trustee's contractual obligations have been satisfied with respect to that amount.


Printed Page 3929 . . . . . Tuesday, May 29, 2001

Section 62-7-415.   (A)   An amount received as interest, whether determined at a fixed, variable, or floating rate, on an obligation to pay money to the trustee, including an amount received as consideration for prepaying principal, must be allocated to income without provision for amortization of premium.

(B)   A trustee shall allocate to principal an amount received from the sale, redemption, or other disposition of an obligation to pay money to the trustee more than one year after it is purchased or acquired by the trustee, including an obligation whose purchase price or value when it is acquired is less than its value at maturity. If the obligation matures within one year after it is purchased or acquired by the trustee, an amount received in excess of its purchase price or its value when acquired by the trust must be allocated to income.

(C)   This section does not apply to an obligation subject to Section 62-7-418, 62-7-419, 62-7-420, 62-7-421, or 62-7-424.

Section 62-7-416.   (A)   Except as otherwise provided in subsection (B), a trustee shall allocate to principal the proceeds of a life insurance policy or other contract in which the trust or its trustee is named as beneficiary, including a contract that insures the trust or its trustee against loss for damage to, destruction of, or loss of title to a trust asset. The trustee shall allocate dividends on an insurance policy to income if the premiums on the policy are paid from income, and to principal if the premiums are paid from principal.

(B)   A trustee shall allocate to income proceeds of a contract that insures the trustee against loss of occupancy or other use by an income beneficiary, loss of income, or, subject to Section 62-7-412, loss of profits from a business.

(C)   This section does not apply to a contract subject to Section 62-7-418.

Section 62-7-417.   If a trustee determines that an allocation between principal and income required by Section 62-7-418, 62-7-419, 62-7-420, 62-7-421, or 62-7-424 is insubstantial, the trustee may allocate the entire amount to principal unless one of the circumstances provided in Section 62-7-404(C) applies to the allocation. This power may be exercised by a cotrustee in the circumstances provided in Section 62-7-404(D) and may be released for the reasons and in the manner provided in Section 62-7-404(E). An allocation is presumed to be insubstantial if:

(1)   the amount of the allocation increases or decreases net income in an accounting period, as determined before the allocation, by less than ten percent; or


Printed Page 3930 . . . . . Tuesday, May 29, 2001

(2)   the value of the asset producing the receipt for which the allocation is made is less than ten percent of the total value of the assets of the trust at the beginning of the accounting period.

Section 62-7-418.   (A)   In this section, 'payment' means a payment that a trustee may receive over a fixed number of years or during the life of one or more individuals because of services rendered or property transferred to the payer in exchange for future payments. The term includes a payment made in money or property from the payer's general assets or from a separate fund created by the payer, including a private or commercial annuity, an individual retirement account, and a pension, profit-sharing, stock-bonus, or stock-ownership plan.

(B)   To the extent that a payment is characterized as interest or a dividend or a payment made instead of interest or a dividend, a trustee shall allocate it to income. The trustee shall allocate to principal the balance of the payment and any other payment received in the same accounting period that is not characterized as interest, a dividend, or an equivalent payment.

(C)   If part of a payment is not characterized as interest, a dividend, or an equivalent payment, and all or part of the payment is required to be made, a trustee shall allocate to income ten percent of the part that is required to be made during the accounting period and the balance to principal. If a part of a payment is not required to be made or the payment received is the entire amount to which the trustee is entitled, the trustee shall allocate the entire payment to principal. For purposes of this subsection, a payment is not 'required to be made' to the extent that it is made because the trustee exercises a right of withdrawal.

(D)   If, to obtain an estate tax marital deduction for a trust, a trustee must allocate more of a payment to income than provided for by this section, the trustee shall allocate to income the additional amount necessary to obtain the marital deduction.

(E)   This section does not apply to payments subject to Section 62-7-419.

Section 62-7-419.   (A)   In this section, 'liquidating asset' means an asset whose value diminishes or terminates because the asset is expected to produce receipts for a period of limited duration. The term includes a leasehold, patent, copyright, royalty right, and right to receive payments during a period of more than one year under an arrangement that does not provide for the payment of interest on the unpaid balance. The term does not include a payment subject to


Printed Page 3931 . . . . . Tuesday, May 29, 2001

Section 62-7-418, resources subject to Section 62-7-420, timber subject to Section 62-7-421, an activity subject to Section 62-7-423, an asset subject to Section 62-7-424, or any asset for which the trustee establishes a reserve for depreciation pursuant to Section 62-7-427.

(B)   A trustee shall allocate to income ten percent of the receipts from a liquidating asset and the balance to principal.

Section 62-7-420.   (A)   To the extent that a trustee accounts for receipts from an interest in minerals or other natural resources pursuant to this section, the trustee shall allocate them if:

(1)   received as nominal delay rental or nominal annual rent on a lease, a receipt must be allocated to income;

(2)   received from a production payment, a receipt must be allocated to income if and to the extent that the agreement creating the production payment provides a factor for interest or its equivalent. The balance must be allocated to principal;

(3)   an amount received as a royalty, shut-in-well payment, take-or-pay payment, bonus, or delay rental is more than nominal, ninety percent must be allocated to principal and the balance to income;

(4)   an amount is received from a working interest or any other interest not otherwise provided for in this subsection, ninety percent of the net amount received must be allocated to principal and the balance to income.

(B)   An amount received on account of an interest in water that is renewable must be allocated to income. If the water is not renewable, ninety percent of the amount must be allocated to principal and the balance to income.

(C)   This part applies whether or not a decedent or donor was extracting minerals, water, or other natural resources before the interest became subject to the trust.

(D)   If a trust owns an interest in minerals, water, or other natural resources on the effective date of this part, the trustee may allocate receipts from the interest as provided in this part or in the manner used by the trustee before the effective date of this part. If the trust acquires an interest in minerals, water, or other natural resources after the effective date of this part, the trustee shall allocate receipts from the interest as provided in this part.

Section 62-7-421.   (A)   To the extent that a trustee accounts for receipts from the sale of timber and related products pursuant to this section, the trustee shall allocate the net receipts to:


Printed Page 3932 . . . . . Tuesday, May 29, 2001

(1)   income, to the extent that the amount of timber removed from the land does not exceed the rate of growth of the timber during the accounting periods in which a beneficiary has a mandatory income interest;

(2)   principal, to the extent that the amount of timber removed from the land exceeds the rate of growth of the timber or the net receipts are from the sale of standing timber;

(3)   or between income and principal, if the net receipts are from the lease of timberland or from a contract to cut timber from land owned by a trust, by determining the amount of timber removed from the land under the lease or contract and applying items (1) and (2); or

(4)   principal, to the extent that advance payments, bonuses, and other payments are not otherwise allocated pursuant this subsection.

(B)   In determining net receipts to be allocated pursuant to subsection (A), a trustee shall deduct and transfer to principal a reasonable amount for depletion.

(C)   This part applies whether or not a decedent or transferor was harvesting timber from the property before it become subject to the trust.

(D)   If a trust owns an interest in timberland on the effective date of this part, the trustee may allocate net receipts from the sale of timber and related products as provided in this part or in the manner used by the trustee before the effective date of this part. If the trust acquires an interest in timberland after the effective date of this part, the trustee shall allocate net receipts from the sale of timber and related products as provided in this part.

Section 62-7-422.   (A)   If a marital deduction is allowed for all or part of a trust whose assets consist substantially of property that does not provide the surviving spouse with sufficient income from or use of the trust assets, and if the amounts that the trustee transfers from principal to income pursuant to Section 62-7-404 and distributes to the spouse from principal pursuant to the terms of the trust are insufficient to provide the spouse with the beneficial enjoyment required to obtain the marital deduction, the spouse may require the trustee to make property productive of income, convert property within a reasonable time, or exercise the power in Section 62-7-404(A). The trustee may decide which action or combination of actions to take.

(B)   If subsection (A) is inapplicable, proceeds from the sale or other disposition of an asset are principal without regard to the amount of income the asset produces during any accounting period.


Printed Page 3933 . . . . . Tuesday, May 29, 2001

Section 62-7-423.   (A) In this section, 'derivative' means a contract or financial instrument or a combination of contracts and financial instruments which gives a trust the right or obligation to participate in some or all changes in the price of a tangible or intangible asset or group of assets, or changes in a rate, an index of prices or rates, or other market indicator for an asset or a group of assets.

(B)   To the extent that a trustee does not account pursuant to Section 62-7-412 for transactions in derivatives, the trustee shall allocate to principal receipts from and disbursements made in connection with those transactions.

(C)   If a trustee grants an option to buy property from the trust, whether or not the trust owns the property when the option is granted, grants an option that permits another person to sell property to the trust, or acquires an option to buy property for the trust or an option to sell an asset owned by the trust, and the trustee or other owner of the asset is required to deliver the asset if the option is exercised, an amount received for granting the option must be allocated to principal. An amount paid to acquire the option must be paid from principal. A gain or loss realized upon the exercise of an option, including an option granted to a settlor of the trust for services rendered, must be allocated to principal.

Section 62-7-424.   (A)   In this section, 'asset-backed security' means an asset whose value is based upon the right it gives the owner to receive distributions from the proceeds of financial assets that provide collateral for the security. The term includes an asset that gives the owner the right to receive from the collateral financial assets only the interest or other current return or only the proceeds other than interest or current return. The term does not include an asset subject to Section 62-7-409 or 62-7-418.

(B)   If a trust receives a payment from interest or other current return and from other proceeds of the collateral financial assets, the trustee shall allocate to income the portion of the payment which the payer identifies as being from interest or other current return and shall allocate the balance of the payment to principal.

(C)   If a trust receives one or more payments in exchange for the its entire interest in an asset-backed security in one accounting period, the trustee shall allocate the payments to principal. If a payment is one of a series of payments that results in the liquidation of the interest of the trust in the security over more than one accounting period, the


Printed Page 3934 . . . . . Tuesday, May 29, 2001

trustee shall allocate ten percent of the payment to income and the balance to principal.

Section 62-7-425.   A trustee shall make the following disbursements from income to the extent that they are not disbursements subject to Section 62-7-405(2)(b) or (c), which was adopted:

(1)   one-half of the regular compensation of the trustee and of any person providing investment advisory or custodial services to the trustee;

(2)   one-half of all expenses for accountings, judicial proceedings, or other matters that involve both the income and remainder interests;

(3)   all of the other ordinary expenses incurred in connection with the administration, management, or preservation of trust property and the distribution of income, including interest, ordinary repairs, regularly recurring taxes assessed against principal, and expenses of a proceeding or other matter that concerns primarily the income interest; and

(4)   recurring premiums on insurance covering the loss of a principal asset or the loss of income from or use of the asset.

Section 62-7-426.   (A)   A trustee shall make the following disbursements from principal:

(1)   the remaining one-half of the disbursements provided in Section 62-7-425(1) and (2);

(2)   all of the trustee's compensation calculated on principal as a fee for acceptance, distribution, or termination, and disbursements made to prepare property for sale;

(3)   payments on the principal of a trust debt;

(4)   expenses of a proceeding that concerns primarily principal, including a proceeding to construe the trust or to protect the trust or its property;

(5)   premiums paid on a policy of insurance not provided in Section 62-7-425(4) of which the trust is the owner and beneficiary;

(6)   estate, inheritance, and other transfer taxes, including penalties, apportioned to the trust; and

(7)   disbursements related to environmental matters, including reclamation, assessing environmental conditions, remedying and removing environmental contamination, monitoring remedial activities and the release of substances, preventing future releases of substances, collecting amounts from persons liable or potentially liable for the costs of those activities, penalties imposed under environmental laws or


Printed Page 3935 . . . . . Tuesday, May 29, 2001

regulations and other payments made to comply with those laws or regulations, statutory or common law claims by third parties, and defending claims based on environmental matters.

(B)   If a principal asset is encumbered with an obligation that requires income from that asset to be paid directly to the creditor, the trustee shall transfer from principal to income an amount equal to the income paid to the creditor in reduction of the principal balance of the obligation.

Section 62-7-427.   (A)   In this section, 'depreciation' means a reduction in value due to wear, tear, decay, corrosion, or gradual obsolescence of a fixed asset having a useful life of more than one year.

(B)   A trustee may transfer to principal a reasonable amount of the net cash receipts from a principal asset that is subject to depreciation, but may not transfer any amount for depreciation:

(1)   of that portion of real property used or available for use by a beneficiary as a residence or of tangible personal property held or made available for the personal use or enjoyment of a beneficiary;

(2)   during the administration of a decedent's estate; or

(3)   under this section if the trustee is accounting pursuant to Section 62-7-412 for the business or activity in which the asset is used.

(C)   An amount transferred to principal need not be held as a separate fund.

Section 62-7-428.   (A)   If a trustee makes or expects to make a principal disbursement described in this section, the trustee may transfer an appropriate amount from income to principal in one or more accounting periods to reimburse principal or to provide a reserve for future principal disbursements.

(B)   A principal disbursement for purposes of this section includes the following, but only to the extent that the trustee has not been, and does not expect to be, reimbursed by a third party:

(1)   an amount chargeable to income but paid from principal because it is unusually large, including extraordinary repairs;

(2)   a capital improvement to a principal asset, whether in the form of changes to an existing asset or the construction of a new asset, including special assessments;

(3)   a disbursement made to prepare property for rental, including tenant allowances, leasehold improvements, and broker's commissions;


Printed Page 3936 . . . . . Tuesday, May 29, 2001

(4)   a periodic payment on an obligation secured by a principal asset to the extent that the amount transferred from income to principal for depreciation is less than the periodic payments; and

(5)   a disbursement described in Section 62-7-426(A)(7).

(C)   If the asset whose ownership gives rise to the disbursements becomes subject to a successive income interest after an income interest ends, a trustee may continue to transfer amounts from income to principal as provided in subsection (A).

Section 62-7-429.   (A)   A tax required to be paid by a trustee based on receipts allocated to income must be paid from income.

(B)   A tax required to be paid by a trustee based on receipts allocated to principal must be paid from principal, even if the tax is called an income tax by the taxing authority.

(C)   A tax required to be paid by a trustee on the trust's share of the taxable income of the entity must be paid proportionately from:

(1)   income, to the extent that receipts from the entity are allocated to income; and

(2)   principal, to the extent that:

(a)   receipts from the entity are allocated to principal; and

(b)   the trust's share of the taxable income of the entity exceeds the total receipts described in items (1) and (2)(a).

(D)   For purposes of this section, receipts allocated to principal or income must be reduced by the amount distributed to a beneficiary from principal or income for which the trust receives a deduction in calculating the tax.

Section 62-7-430.   (A)   A fiduciary may make adjustments between principal and income to offset the shifting of economic interests or tax benefits between income beneficiaries and remainder beneficiaries which arise from:

(1)   elections and decisions, other than those provided in subsection (B), that the fiduciary makes from time to time regarding tax matters;

(2)   an income tax or any other tax that is imposed upon the fiduciary or a beneficiary as a result of a transaction involving or a distribution from the estate or trust; or

(3)   the ownership by an estate or trust of an interest in an entity whose taxable income, whether or not distributed, is includable in the taxable income of the estate, trust, or a beneficiary.

(B)   If the amount of an estate tax marital deduction or charitable contribution deduction is reduced because a fiduciary deducts an amount paid from principal for income tax purposes instead of


Printed Page 3937 . . . . . Tuesday, May 29, 2001

deducting it for estate tax purposes, and as a result estate taxes paid from principal are increased and income taxes paid by an estate, trust, or beneficiary are decreased, each estate, trust, or beneficiary that benefits from the decrease in income tax shall reimburse the principal from which the increase in estate tax is paid. The total reimbursement must equal the increase in the estate tax to the extent that the principal used to pay the increase would have qualified for a marital deduction or charitable contribution deduction but for the payment. The proportionate share of the reimbursement for each estate, trust, or beneficiary whose income taxes are reduced must be the same as its proportionate share of the total decrease in income tax. An estate or trust shall reimburse principal from income.

Section 62-7-431.   In applying and construing this Uniform Act, consideration must be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it.

Section 62-7-432.   (A)   A court shall not change a fiduciary's decision to exercise or not to exercise a discretionary power conferred by this part unless it determines that the decision was an abuse of the fiduciary's discretion. A court shall not determine that a fiduciary abused its discretion merely because the court would have exercised the discretion in a different manner or would not have exercised the discretion.

(B)   The decisions subject to subsection (a) include a determination:

(1)   pursuant to Section 62-7-404(A) of whether and to what extent an amount should be transferred from principal to income or from income to principal; and

(2)   of the factors that are relevant to the trust and its beneficiaries, the extent to which they are relevant, and the weight, if any, to be given to the relevant factors, in deciding whether and to what extent to exercise the power in Section 62-7-404(A).

(C)   If a court determines that a fiduciary has abused its discretion, the remedy is to restore the income and remainder beneficiaries to the positions they would have occupied if the fiduciary had not abused its discretion, according to the following rules:

(1)   to the extent that the abuse of discretion has resulted in no distribution to a beneficiary or a distribution that is too small, the court shall require the fiduciary to distribute from the trust to the beneficiary an amount that the court determines will restore the beneficiary, in whole or in part, to his or her appropriate position;


Printed Page 3938 . . . . . Tuesday, May 29, 2001

(2)   to the extent that the abuse of discretion has resulted in a distribution to a beneficiary that is too large, the court shall restore the beneficiaries, the trust, or both, in whole or in part, to their appropriate positions by requiring the fiduciary to withhold an amount from one or more future distributions to the beneficiary who received the distribution that was too large or requiring that beneficiary to return some or all of the distribution to the trust;

(3)   to the extent that the court is unable, after applying items (1) and (2), to restore the beneficiaries, the trust, or both, to the positions they would have occupied if the fiduciary had not abused its discretion, the court may require the fiduciary to pay an appropriate amount from its own funds to one or more of the beneficiaries or the trust or both.

(D)   Upon a petition by the fiduciary, the court having jurisdiction over the trust or estate shall determine whether a proposed exercise or nonexercise by the fiduciary of a discretionary power in this part results in an abuse of the fiduciary's discretion. If the petition describes the proposed exercise or nonexercise of the power and contains sufficient information to inform the beneficiaries of the reasons for the proposal, the facts upon which the fiduciary relies, and an explanation of how the income and remainder beneficiaries are affected by the proposed exercise or nonexercise of the power, a beneficiary who challenges the proposed exercise or nonexercise has the burden of establishing that it will result in an abuse of discretion."
SECTION   4.   If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this act is for any reason held to be unconstitutional or invalid, such holding shall not affect the constitutionality or validity of the remaining portions of this act, the General Assembly hereby declaring that it would have passed this act, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more other sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words hereof may be declared to be unconstitutional, invalid, or otherwise ineffective.
SECTION   5.   This act takes effect upon approval by the Governor. SECTION 2 applies to trusts existing on and created after its effective date, except that as applied to trusts existing on its effective date, SECTION 2 governs only decisions or actions occurring after that date. SECTION 3 applies to every trust or decedent's estate existing on the effective date of this act, except as otherwise expressly provided in the will or terms of the trust or in Section 3. /


Printed Page 3939 . . . . . Tuesday, May 29, 2001

Amend further by amending the title to read:
/TO ENACT THE SOUTH CAROLINA TRUSTEE INVESTMENT ACT; TO AMEND SECTION 62-7-302, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO A TRUSTEE'S STANDARD OF CARE, SO AS TO DESIGNATE THE SECTION AS THE "UNIFORM PRUDENT INVESTOR ACT", TO RECOGNIZE THE PRUDENT INVESTOR RULE AND THE TOTAL RETURN THEORY OF INVESTMENT MANAGEMENT; AND TO AMEND PART 4, ARTICLE 7, CHAPTER 7, TITLE 62, RELATING TO THE UNIFORM PRINCIPAL AND INCOME ACT, SO AS TO DESIGNATE PART 4 AS THE "UNIFORM PRINCIPAL AND INCOME ACT OF 1997"; TO PERMIT THE ALLOCATION OF BENEFICIARY RECEIPTS BY A TRUSTEE TO INCOME INSTEAD OF TO PRINCIPAL UNDER CERTAIN SPECIFIED CIRCUMSTANCES AND IN RECOGNITION OF TOTAL RETURN THEORY OF INVESTMENT. /

Rep. CAMPSEN explained the amendment.
The amendment was then adopted.

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

S. 557--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up:

S. 557 (Word version) -- Senators Matthews, Patterson, Hutto, Saleeby, Land, O'Dell, Jackson, Ford, Glover and Anderson: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 59-127-85 SO AS TO AUTHORIZE THE BOARD OF TRUSTEES OF SOUTH CAROLINA STATE UNIVERSITY TO ENTER INTO A GROUND LEASE AGREEMENT WITH A PRIVATE ENTITY FOR PROVIDING ALL SERVICES NECESSARY TO THE CREATION AND OPERATION OF AN ON-CAMPUS STUDENT HOUSING FACILITY INCLUDING, BUT NOT LIMITED TO, FINANCING, DESIGNING, CONSTRUCTING, MANAGING, OPERATING, MAINTAINING, AND RELATED SERVICES, TO PROVIDE FOR THE TERMS AND CONDITIONS OF THIS GROUND LEASE AGREEMENT INCLUDING APPROVAL BY THE BUDGET AND CONTROL BOARD, AND TO PROVIDE THAT THE COMMISSION ON HIGHER


Printed Page 3940 . . . . . Tuesday, May 29, 2001

EDUCATION SHALL EVALUATE THE VIABILITY AND SUCCESS OF THIS GROUND LEASE AGREEMENT AUTHORIZATION FOR POSSIBLE IMPLEMENTATION STATEWIDE FOR ALL PUBLIC INSTITUTIONS OF HIGHER LEARNING WHICH PROVIDE ON-CAMPUS STUDENT HOUSING.

The Education and Public Works Committee proposed the following Amendment No. 1 (Doc Name COUNCIL\GJK\AMEND\20713SD01), which was adopted:
Amend the bill, as and if amended, by striking SECTION 4 and inserting:
/SECTION   4.   The Commission on Higher Education, after a period of three years from the effective date of this act, shall evaluate the viability and success of the authorizations for South Carolina State University, Winthrop University, and the College of Charleston contained in Sections 59-127-85, 59-125-130, and 59-130-60, respectively, and shall make a report thereon to the General Assembly by January 1, 2005. Based on this report, the General Assembly shall consider granting these types of agreement authority to all public institutions of higher learning in this State which provide housing for students. /
Renumber sections to conform.
Amend totals and title to conform.

Rep. STILLE explained the amendment.
The amendment was then adopted.

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

H. 3678--DEBATE ADJOURNED

Rep. TOWNSEND moved to adjourn debate upon the following Bill until Wednesday, May 30, which was adopted:

H. 3678 (Word version) -- Rep. Rice: A BILL TO AMEND SECTION 56-3-210, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE GRACE PERIOD FOR REGISTERING A MOTOR VEHICLE, SO AS TO PROVIDE THAT A MOTOR VEHICLE DEALER MUST ISSUE A TEMPORARY LICENSE PLATE TO CERTAIN PURCHASERS OF NEW OR USED MOTOR


Printed Page 3941 . . . . . Tuesday, May 29, 2001

VEHICLES, TO PROVIDE A DESCRIPTION OF THE TEMPORARY LICENSE PLATE AND ITS CONTENTS, TO PROVIDE THAT CERTAIN PERSONS WHO OBTAIN MOTOR VEHICLES FROM A PERSON OTHER THAN A DEALER MUST SUBMIT AN APPLICATION TO THE DEPARTMENT OF PUBLIC SAFETY FOR AN INTERIM LICENSE PLATE AND REGISTRATION CARD, TO PROVIDE A DESCRIPTION OF THE INTERIM LICENSE PLATE AND ITS CONTENTS, TO PROVIDE A PENALTY FOR A VIOLATION OF THIS PROVISION; AND TO REPEAL SECTION 56-3-220, RELATING TO THE ATTACHMENT AND DISPLAY OF DEALER "SOLD" CARDS.

H. 3867--DEBATE ADJOURNED

The following Bill was taken up:

H. 3867 (Word version) -- Reps. Limehouse, Altman, Breeland, R. Brown, Campsen, Scarborough and Whipper: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 57-5-195, SO AS TO NAME THE I-526 BRIDGE AND INTERCHANGE THAT SPANS U.S. HIGHWAY 17 AND U.S. HIGHWAY 7 IN CHARLESTON COUNTY AS THE "BOB HARRELL BRIDGE AND INTERCHANGE" IN HONOR OF THIS DISTINGUISHED SOUTH CAROLINIAN.

Rep. MARTIN explained the Bill.

Rep. KNOTTS moved to adjourn debate on the Bill until Wednesday, May 30, which was agreed to.

ORDERED TO THIRD READING

The following Bill and Joint Resolutions were taken up, read the second time, and ordered to a third reading:

S. 211 (Word version) -- Senator Ryberg: A BILL TO AMEND SECTION 56-1-440, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PENALTIES FOR DRIVING A MOTOR VEHICLE WITHOUT A DRIVER'S LICENSE, SO AS TO REVISE THE PERIOD OF TIME IN WHICH A PERSON MAY HAVE A CHARGE OF DRIVING A MOTOR VEHICLE WITHOUT A DRIVER'S LICENSE DISMISSED; TO AMEND SECTION 56-10-225, AS AMENDED, RELATING TO MAINTAINING PROOF IN A


Printed Page 3942 . . . . . Tuesday, May 29, 2001

REGISTERED MOTOR VEHICLE AT ALL TIMES THAT THE MOTOR VEHICLE IS INSURED, SO AS TO REVISE THE TIME PERIOD IN WHICH A PERSON CHARGED WITH FAILING TO MAINTAIN PROOF THAT A MOTOR VEHICLE IS INSURED MAY HAVE THE CHARGE DISMISSED.

Rep. MARTIN explained the Bill.

H. 4184 (Word version) -- Education and Public Works Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE COMMISSION ON HIGHER EDUCATION, RELATING TO PALMETTO FELLOWS SCHOLARSHIP PROGRAM, DESIGNATED AS REGULATION DOCUMENT NUMBER 2601, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Rep. STILLE explained the Joint Resolution.

H. 4185 (Word version) -- Education and Public Works Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE COMMISSION ON HIGHER EDUCATION, RELATING TO NEED-BASED GRANTS PROGRAM, DESIGNATED AS REGULATION DOCUMENT NUMBER 2600, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Rep. STILLE explained the Joint Resolution.

S. 536--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up:

S. 536 (Word version) -- Senator Wilson: A BILL TO AMEND SECTION 56-5-4030, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE MAXIMUM ALLOWABLE WIDTH OF A VEHICLE, SO AS TO PROVIDE THAT APPURTENANCES ON CERTAIN VEHICLES MAY EXCEED THE MAXIMUM WIDTH REQUIREMENT AS LONG AS THEY REMAIN INSIDE THE EXTERIOR REAR VIEW MIRRORS OF THE VEHICLE, OR ITS TOW VEHICLE; AND TO AMEND SECTION 56-5-4070, RELATING TO LIMITATIONS PLACED ON THE LENGTH OF COMBINATION VEHICLES, SO AS TO INCREASE THE MAXIMUM LENGTH OF CERTAIN VEHICLES THAT TRAVEL


Printed Page 3943 . . . . . Tuesday, May 29, 2001

ALONG THE STATE'S HIGHWAYS FROM FORTY FEET TO FORTY-FIVE FEET.

The Education and Public Works Committee proposed the following Amendment No. 1 (Doc Name COUNCIL\GGS\AMEND\ 22132CM01), which was adopted:
Amend the bill, as and if amended, Section 56-5-4030(C), as contained in SECTION 1, by inserting / on one side and four inches on the other / after / inches / on line 2, page 2.
As amended Section 56-5-4030(C) shall read:

"(C)   Appurtenances on motor homes, house trailers, and truck campers may extend to a maximum of six inches on one side and four inches on the other beyond the maximum width requirement contained in subsection (B)."
Amend the bill further Section 56-5-4070(B), as contained in SECTION 2, by striking / be / and inserting / not exceed / on line 17, page 2.
As amended Section 56-5-4070(B) shall read:

"(B)   No motor vehicle, exclusive of truck tractors being used in two or three unit combinations on the National System of Interstate and Defense Highways, on those qualifying federal-aid highways so designated by the United States Secretary of Transportation, and on other highways as designated by the Department of Transportation in accordance with Section 56-5-4075, may exceed a length of forty feet extreme overall dimension, inclusive of front and rear bumpers and load carried on it, except buses and motor homes as approved by the department, or motor homes which may not exceed forty-five feet in length, if the turning radius of the motor home is forty-eight feet or less."
Amend the bill further Section 57-3-150(B), as contained in SECTION 4, by striking / 56-5-4030(A) and inserting / 56-5-4030(B) / on line 13, page 3.
As amended, Section 57-3-150(B) shall read:

"(B)   The Department of Transportation may issue to a motor home, house trailer, or truck camper manufacturer, dealer, or transporter an annual trip permit authorizing the unlimited commercial movement of a motor home, house trailer, or truck camper in the manufacturer's, transporter's, or dealer's possession which exceeds the maximum width specified in Section 56-5-4030(B). Notwithstanding the provisions contained in subsection (A), additional permit requirements must not be imposed on the commercial movement of


Printed Page 3944 . . . . . Tuesday, May 29, 2001

motor homes, house trailers, or truck campers if they comply with the provisions contained in Section 56-5-4030."
Amend the bill further, by adding the following appropriately numbered SECTIONS:
/ SECTION   ____.   Section 56-3-7750(A) of the 1976 Code, as added by Act 63 of 1999, is amended to read:

"(A) The department may issue special motor vehicle license plates to owners of private passenger-carrying motor vehicles or light pickups having an empty weight of six seven thousand pounds or less and a gross weight of nine thousand pounds or less registered in their names which may have imprinted on the plate an emblem, a seal, or other symbol the department considers appropriate to a certified service fraternity or sorority. A fraternity or sorority may submit to the department for its approval the emblem, seal, or other symbol it desires to be used for its respective special license plate. Before a design is approved, however, the organization must submit to the department written authorization for the use of any copyrighted or registered logo, trademark, or design. A fraternity or sorority also may request a change in the emblem, seal, or other symbol once the existing supply has been exhausted. The fee for this special license plate is seventy dollars every two years in addition to the regular motor vehicle license fee set forth in Article 5, Chapter 3 of this title. This special license plate must be of the same size and general design of regular motor vehicle license plates. The special license plates must be issued or revalidated for a biennial period which expires twenty-four months from the month they are issued."
SECTION   ____.   Section 56-3-7910(A) of the 1976 Code, as added by Act 63 of 1999, is amended to read:

"(A) The department may issue special motor vehicle license plates to owners of private passenger-carrying motor vehicles or light pickups having an empty weight of six seven thousand pounds or less and a gross weight of nine thousand pounds or less registered in their names which may have imprinted on the plate an emblem, a seal, logo, or other symbol of the H.L. Hunley submarine. The Hunley Commission shall submit to the department for its approval the emblem, seal, logo, or other symbol it desires to be used for this special license plate. The Hunley Commission may request a change in the emblem, seal, logo, or other symbol not more than once every five years. The fee for this special license plate is one hundred dollars every two years in addition to the regular motor vehicle registration fee set forth in Article 5, Chapter 3 of this title. This special license plate


Printed Page 3945 . . . . . Tuesday, May 29, 2001

must be of the same size and general design of regular motor vehicle license plates. The special license plates must be issued or revalidated for a biennial period which expires twenty-four months from the month they are issued."
SECTION   ____.   Section 56-3-8000(A) of the 1976 Code, as last amended by Act 286 of 2000, is further amended to read:

"(A) The department may issue special motor vehicle license plates to owners of private passenger-carrying motor vehicles or light pickups having an empty weight of six seven thousand pounds or less and a gross weight of nine thousand pounds or less registered in their names which may have imprinted on the plate the emblem, a seal, or other symbol the department considers appropriate of an organization which has obtained certification pursuant to either Section 501(C)(3) or 501(C)(7) of the Federal Internal Revenue Code. The fee for this special license plate is the fee contained in Section 56-3-2020.

The special license plate must be issued or revalidated for a biennial period which expires twenty-four months from the month it is issued." /
Renumber sections to conform.
Amend title to conform.

Rep. TOWNSEND explained the amendment.
The amendment was then adopted.

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

H. 3996--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up:

H. 3996 (Word version) -- Reps. Edge, Harrison and Jennings: A BILL TO AMEND CHAPTER 37, TITLE 5, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO MUNICIPAL IMPROVEMENTS, BY ADDING SECTION 5-37-46 SO AS TO PROVIDE THAT THE PROVISIONS OF SECTION 5-37-45 DO NOT APPLY TO ANY AREA PROPOSED FOR INCLUSION WITHIN AN IMPROVEMENT DISTRICT WHICH, WITHIN THREE YEARS PRIOR TO THE DATE OF THE ADOPTION OF THE RESOLUTION REQUIRED BY SECTION 5-37-50, IS SUBJECT TO A DEVELOPMENT AGREEMENT PURSUANT TO THE SOUTH


Printed Page 3946 . . . . . Tuesday, May 29, 2001

CAROLINA LOCAL GOVERNMENT DEVELOPMENT AGREEMENT ACT.

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name COUNCIL\SWB\AMEND\5512DJC01), which was adopted:
Amend the bill, as and if amended, by striking SECTION 1 in its entirety and inserting:
/ SECTION   1.   Section 5-37-45 of the 1976 Code as last amended by Act 118 of 1999, is further amended to read:

"Section 5-37-45.   (A)(1)   The governing body may include within an improvement district an area within the municipality in which the proposed improvements have been constructed or are under construction at the time of the establishment of the improvement district.

(2)   Before the commencement of the construction of these improvements, a written agreement with the owner of the area to be improved is must be entered into by the municipality authorizing the construction of the improvements in anticipation of the inclusion of the area which is improved in the improvement district upon such terms and conditions as the governing body agrees, including the reimbursement, as a cost of constructing improvements under this chapter, of any monies expended for the construction before and subsequent to the establishment of the improvement district. Any agreement providing for the construction of the improvements before the establishment of the improvement district must be authorized by an ordinance of the governing body, notice of which must be given by publication in a newspaper of general circulation within the municipality, appearing at least seven days before the final adoption of the ordinance. Any agreements entered into in accordance with the foregoing conditions before the effective date of this section are ratified and confirmed and the area improved declared eligible for inclusion in the improvement district as proposed in the agreement.

(B)   The provisions of item (2) of subsection (A) do not apply to any area proposed for inclusion within an improvement district which, within three years prior to the date of the adoption of the resolution required by Section 5-37-50, is subject to a development agreement pursuant to the South Carolina Local Government Development Agreement Act." /


Printed Page 3947 . . . . . Tuesday, May 29, 2001

When amended SECTION   1 shall read:
/ SECTION   1.   Section 5-37-45 of the 1976 Code as last amended by Act 118 of 1999, is further amended to read:

"Section 5-37-45.   (A)(1)   The governing body may include within an improvement district an area within the municipality in which the proposed improvements have been constructed or are under construction at the time of the establishment of the improvement district.

(2)   Before the commencement of the construction of these improvements, a written agreement with the owner of the area to be improved is must be entered into by the municipality authorizing the construction of the improvements in anticipation of the inclusion of the area which is improved in the improvement district upon such terms and conditions as the governing body agrees, including the reimbursement, as a cost of constructing improvements under this chapter, of any monies expended for the construction before and subsequent to the establishment of the improvement district. Any agreement providing for the construction of the improvements before the establishment of the improvement district must be authorized by an ordinance of the governing body, notice of which must be given by publication in a newspaper of general circulation within the municipality, appearing at least seven days before the final adoption of the ordinance. Any agreements entered into in accordance with the foregoing conditions before the effective date of this section are ratified and confirmed and the area improved declared eligible for inclusion in the improvement district as proposed in the agreement.

(B)   The provisions of item (2) of subsection (A) do not apply to any area proposed for inclusion within an improvement district which, within three years prior to the date of the adoption of the resolution required by Section 5-37-50, is subject to a development agreement pursuant to the South Carolina Local Government Development Agreement Act." /
Renumber sections to conform.
Amend title to conform.

Rep. MCGEE explained the amendment.
The amendment was then adopted.

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


Printed Page 3948 . . . . . Tuesday, May 29, 2001

S. 327--REQUESTS FOR DEBATE

The following Bill was taken up:

S. 327 (Word version) -- Senators Thomas and Hutto: A BILL TO AMEND SECTION 4-9-145, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO COUNTY CODE ENFORCEMENT OFFICERS, SO AS TO AUTHORIZE ENVIRONMENTAL ENFORCEMENT AND LITTER CONTROL OFFICERS, WHO ARE CERTIFIED AT A MINIMUM LEVEL OF CLASS TWO LAW ENFORCEMENT OFFICER, TO PERFORM CUSTODIAL ARRESTS, AND TO LIMIT THE NUMBER OF ENVIRONMENTAL ENFORCEMENT OFFICERS OR LITTER CONTROL OFFICERS TO ONE PER COUNTY OR ONE FOR EVERY THIRTY THOUSAND PERSONS IN THE COUNTY, WHICHEVER NUMBER IS GREATER.

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name COUNCIL\SKB\AMEND\18549SOM01):
Amend the bill, as and if amended, by deleting Section 4-9-145(B) as contained in SECTION 1, page 2, lines 5 through 21 and inserting:
/     (B)(1)   The number of litter control officers vested with custodial arrest authority who are appointed and commissioned pursuant to subsection (A) must not exceed the greater of:

(a)   the number of officers appointed and commissioned by the county on July 1, 2001; or

(b)   one officer for every twenty-five thousand persons in the county, based upon the 2000 census. Each county may appoint and commission at least one officer, without regard to the population of the county.

(2)     A litter control officer appointed and commissioned pursuant to subsection (A) may exercise the power of arrest with respect to his primary duties of litter control laws and ordinances and other state and local laws as may arise incidental to the enforcement of his primary duties if the officer has been certified as a law enforcement officer pursuant to Article 9, Chapter 6, Title 23.

(3)     For purposes of this section, the phrase 'litter control officer' means a code enforcement officer authorized to enforce litter control laws and ordinances. /
Amend the bill further by striking SECTIONS 2 and 3 in their entirety and inserting:


Printed Page 3949 . . . . . Tuesday, May 29, 2001

/ SECTION 2.   This act takes effect upon approval by the Governor. /
Amend title to conform.

Reps. MEACHAM-RICHARDSON, KNOTTS and WEEKS requested debate on the Bill.

Rep. HARRISON explained the amendment.

Reps. WHATLEY, BINGHAM, TROTTER and FRYE requested debate on the Bill.

S. 349--AMENDED AND INTERRUPTED DEBATE

The following Bill was taken up:

S. 349 (Word version) -- Senators Branton, Verdin, Leatherman, Peeler, McConnell, Giese, Grooms, Bauer, Waldrep, Wilson, Mescher, Ryberg, Fair, Hayes, Thomas and Martin: A BILL TO AMEND SECTION 12-21-2420, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE RATE OF THE ADMISSIONS TAX AND EXEMPTIONS FROM THE ADMISSIONS TAX, SO AS TO PROVIDE THAT ENTRY INTO THE PIT AREA OF MOTOR SPEEDWAYS OR RACETRACKS FOR DRIVERS, CREW MEMBERS, SCOREKEEPERS OR OTHER SUPPORT STAFF, CAR OWNERS AND SPONSORS, AND FAMILY MEMBERS THEREOF IS EXEMPT FROM THE ADMISSIONS TAX UNDER CERTAIN CONDITIONS.

Reps. KELLEY and A. YOUNG proposed the following Amendment No. 1 (Doc Name COUNCIL\SKB\AMEND\ 18581HTC01), which was adopted:
Amend the bill, as and if amended, by adding an appropriately numbered SECTION to read:
/ SECTION __.   Section 6-4-5 of the 1976 Code, as added by Act 147 of 1991, is amended by adding at the end:

"(5)   'Tourist' means a person traveling to and staying in places outside his usual environment for one night or more for leisure, business, or any other purpose. A person meeting this definition may be staying in places of public accommodations such as hotels, motels, inns, bed and breakfasts, campgrounds, or the residences of family or friends." /


Printed Page 3950 . . . . . Tuesday, May 29, 2001

Renumber sections to conform.
Amend totals and title to conform.

Rep. KELLEY explained the amendment.
The amendment was then adopted.

Reps. KELLEY and A. YOUNG proposed the following Amendment No. 2 (Doc Name COUNCIL\SKB\AMEND\ 18578HTC01):
Amend the bill, as and if amended, by adding an appropriately numbered SECTION to read:
/ SECTION   __.   A.   Chapter 4, Title 6 of the 1976 Code is amended by adding:

"Section 6-4-35.   (A)   There is established the Tourism Expenditure Review Committee consisting of nine members as follows:

(1)   one member appointed by the Speaker of the House;

(2)   one member appointed by the President Pro Tempore of the Senate;

(3)   the Director of the South Carolina Department of Parks, Recreation and Tourism, or his designee, ex officio;

(4)   six members appointed by the Governor as follows:

(a)   one member on the recommendation of the South Carolina Association of Tourism Regions;

(b)   one member on the recommendation of the South Carolina Association of Convention and Visitors Bureaus;

(c)   one member on the recommendation of the South Carolina Travel and Tourism Coalition;

(d)   one member on the recommendation of the Municipal Association of South Carolina;

(e)   one member on the recommendation of the South Carolina Association of Counties; and

(f)   one member on the recommendation of the Hospitality Association of South Carolina.

Appointed members shall serve for terms of four years and until their successors are appointed and qualify, except that of those first appointed by the Governor, four shall serve for a term of two years and the term must be noted on the appointment. Regardless of the date of appointment, all terms expire July first of the applicable year. Members shall serve without compensation, but may receive the mileage, subsistence, and per diem allowed by law for members of


Printed Page 3951 . . . . . Tuesday, May 29, 2001

state boards, committees, and commissions. Vacancies must be filled in the manner of original appointment for the unexpired portion of the term.

(B)(1)(a)   The Tourism Expenditure Review Committee shall serve as the oversight authority on all questionable tourism-related expenditures and to that end, all reports filed pursuant to Section 6-4-25(D)(3) must be forwarded to the committee for review to determine if they are in compliance with this chapter. The municipality or county must be notified if an expenditure is questioned, and the committee may consider any further supporting information the municipality or county may provide. If the committee finds an expenditure to be in noncompliance, it shall certify the noncompliance to the State Treasurer, who shall withhold the amount of the expenditure found in noncompliance from subsequent distributions in accommodations tax revenue otherwise due the municipality or county. An appeal from an action of the committee under this subitem lies with the Administrative Law Judge Division.

(b)   If the committee determines that a municipality or county has failed to file the reports required pursuant to Section 6-4-25(D)(3), it may impose a fee of five hundred dollars a month or part of a month for each month the report is not filed, but not more than five thousand dollars. The committee shall certify the penalty to the State Treasurer, who shall withhold the amount of the penalty from subsequent distributions otherwise due the municipality or county. An appeal from an action of the committee under this subitem lies with the Administrative Law Judge Division.

(c)   Allocations withheld must be reallocated proportionately to all other recipients.

(2)   The committee has jurisdiction to investigate and research facts on written complaints submitted to it with regard to the appropriate tourism-related expenditures and resolve these complaints as provided in item (1) of this subsection.

(3)   The committee shall forward copies of information submitted by the local governments and regional tourism agencies pursuant to Section 6-4-25 arising under the tourism provisions of this chapter to the Department of Parks, Recreation and Tourism, which shall publish an annual report on the information submitted."
B.   Section 6-4-30 of the 1976 Code, as amended by Act 87 of 1997, is further amended to read:


Printed Page 3952 . . . . . Tuesday, May 29, 2001

"Section 6-4-30.   Local governments covered by this chapter may expend accommodations tax revenues pursuant to this chapter, and the Department of Revenue shall:

(1)   serve as a resource to, answer questions of, and assist advisory committees and local governments in the implementation of the accommodations tax; and

(2)   arrange continuing education programs or workshops for local governmental officials and advisory committee members;

(3)   serve as the oversight authority on questionable expenditures;

(4)   require that complaints relating to the accommodations tax be submitted in writing;

(5)   investigate and research facts on submitted complaints;

(6)   forward copies of information submitted by the local governments and regional tourism agencies in Section 6-4-20 covered by the tourism provisions of this chapter to the Department of Parks, Recreation and Tourism, which shall publish an annual report on the information submitted."
C.   Section 12-36-2630(3) of the 1976 Code is amended to read:

"(3)   a two percent local accommodations tax, which must be credited to the political subdivisions of the State in accordance with Chapter 4 of Title 6. The proceeds of this tax, less the departments department's actual incremental increase in the cost of administration and the expenses of the Tourism Expenditure Review Committee established pursuant to Section 6-4-35, must be remitted quarterly to the municipality or the county in which it is collected. The two percent tax provided by this item may not be increased except upon approval of two-thirds of the membership of each House of the General Assembly. However, the tax may be decreased or repealed by a simple majority of the membership of each House of the General Assembly.

The tax imposed by Section 12-36-920 must be billed and paid in a single item listed as tax, without itemizing the taxes referred to in this section." /
Renumber sections to conform.
Amend totals and title to conform.

Rep. KELLEY explained the amendment.

Further proceedings were interrupted by expiration of time on the uncontested Calendar, the pending question being consideration of Amendment No. 2.


Printed Page 3953 . . . . . Tuesday, May 29, 2001

RECURRENCE TO THE MORNING HOUR

Rep. KELLEY moved that the House recur to the Morning Hour, which was agreed to.

S. 87--COMMITTEE OF CONFERENCE APPOINTED

The following was received from the Senate:

MESSAGE FROM THE SENATE

Columbia, S.C., May 29, 2001
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it nonconcurs in the amendments proposed by the House to S. 87:

S. 87 (Word version) -- Senators Ravenel, Branton, Passailaigue, McGill, Mescher and Elliott: A BILL TO AMEND ARTICLE 5, CHAPTER 23, TITLE 16, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 16-23-443 SO AS TO PROHIBIT SHOOTING A WEAPON, ARCHERY EQUIPMENT, OR OTHER DEVICE THAT SHOOTS OR HURLS A PROJECTILE INTO OR ACROSS PRIVATE PROPERTY WITHOUT THE OWNER'S PERMISSION, TO PROVIDE FOR THE MANNER IN WHICH LAW ENFORCEMENT OFFICERS MAY CHARGE A PERSON FOR A VIOLATION, AND TO PROVIDE EXCEPTIONS AND PENALTIES FOR VIOLATIONS.

Very respectfully,
President

On motion of Rep. SHARPE, the House insisted upon its amendments.

Whereupon, the Chair appointed Reps. OTT, FRYE and COATES to the Committee of Conference on the part of the House and a message was ordered sent to the Senate accordingly.

HOUSE RESOLUTION

The following was introduced:

H. 4203 (Word version) -- Reps. Lourie, Bales, J. Brown, Cotty, Harrison, Howard, J. H. Neal, Quinn, Rutherford, Scott and J. E. Smith: A HOUSE RESOLUTION TO COMMEND THE RICHLAND COUNTY


Printed Page 3954 . . . . . Tuesday, May 29, 2001

PUBLIC LIBRARY FOR THE OUTSTANDING JOB IT DOES PROVIDING SERVICES TO THE CITIZENS OF THE MIDLANDS AND TO RECOGNIZE THAT THE RICHLAND COUNTY PUBLIC LIBRARY HAS BEEN SINGLED OUT WITH THE HIGHEST HONOR A PUBLIC LIBRARY MAY RECEIVE, BEING NAMED THE NATIONAL LIBRARY OF THE YEAR 2001.

The Resolution was adopted.

CONCURRENT RESOLUTION

The following was introduced:

H. 4204 (Word version) -- Rep. Lourie: A CONCURRENT RESOLUTION TO COMMEND THE STUDENTS, TEACHERS, ADMINISTRATORS, AND SUPPORT STAFF OF SATCHEL FORD ELEMENTARY SCHOOL, LOCATED IN COLUMBIA, SOUTH CAROLINA IN RICHLAND SCHOOL DISTRICT ONE ON THEIR OUTSTANDING SCHOOL ENVIRONMENT AND TO CONGRATULATE THEM ON THEIR SCHOOL BEING NAMED A NATIONAL BLUE RIBBON SCHOOL BY THE UNITED STATES DEPARTMENT OF EDUCATION.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

CONCURRENT RESOLUTION

The following was introduced:

H. 4205 (Word version) -- Rep. Lourie: A CONCURRENT RESOLUTION TO COMMEND AND CONGRATULATE THE COACHES AND MEMBERS OF THE RICHLAND NORTHEAST GIRLS SOCCER TEAM OF COLUMBIA UPON WINNING THE CLASS AAAA STATE CHAMPIONSHIP TITLE FRIDAY, MAY 11, 2001, AND WISH THEM MUCH ATHLETIC AND ACADEMIC SUCCESS IN THE FUTURE.

The Concurrent Resolution was agreed to and ordered sent to the Senate.


Printed Page 3955 . . . . . Tuesday, May 29, 2001

CONCURRENT RESOLUTION

The following was introduced:

H. 4206 (Word version) -- Rep. Lourie: A CONCURRENT RESOLUTION TO COMMEND AND CONGRATULATE THE MEMBERS AND COACHES OF THE RICHLAND NORTHEAST HIGH SCHOOL "CAVALIERS" BOYS TRACK AND FIELD TEAM ON WINNING THE 2001 CLASS AAAA STATE CHAMPIONSHIP ON MAY 12, 2001.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

CONCURRENT RESOLUTION

The following was introduced:

H. 4207 (Word version) -- Rep. Cobb-Hunter: A CONCURRENT RESOLUTION TO COMMEND MRS. JANYE CLEMENT OF ORANGEBURG COUNTY FOR HER MANY YEARS OF DEDICATED SERVICE TO THE ORANGEBURG AREA DEVELOPMENT CENTER AND FOR HER COMMITMENT TO IMPROVING THE LIVES OF YOUNG PEOPLE IN HER COMMUNITY AND THIS STATE.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

CONCURRENT RESOLUTION

The following was introduced:

H. 4208 (Word version) -- Rep. Cobb-Hunter: A CONCURRENT RESOLUTION TO RECOGNIZE AND COMMEND MR. ROBERT SHAW EVANS OF ORANGEBURG FOR HIS MANY YEARS OF DEDICATION AND SERVICE TO HIS FELLOW MAN THROUGH HIS WORK WITH THE ORANGEBURG AREA DEVELOPMENT CENTER, HIS COMMUNITY, AND THIS STATE.

The Concurrent Resolution was agreed to and ordered sent to the Senate.


Printed Page 3956 . . . . . Tuesday, May 29, 2001

INTRODUCTION OF BILLS

The following Joint Resolutions were introduced, read the first time, and referred to appropriate committees:

H. 4209 (Word version) -- Reps. Carnell, Keegan, Harrell, Quinn and A. Young: A JOINT RESOLUTION TO REQUIRE THE SOUTH CAROLINA PORTS AUTHORITY TO CONTRIBUTE THE ANNUAL SUM OF FIVE MILLION DOLLARS FOR THE NEXT TWENTY-FIVE YEARS TOWARD THE TOTAL COST OF THE COOPER RIVER BRIDGES PROJECT.
Referred to Committee on Ways and Means

H. 4210 (Word version) -- Reps. Haskins, Wilkins and Townsend: A JOINT RESOLUTION TO REQUIRE THE DEPARTMENT OF EDUCATION TO NOTIFY SCHOOL DISTRICTS WHEN FEDERAL FUNDING IS AVAILABLE UNDER THE CHILDREN'S INTERNET PROTECTION ACT AND TO REQUIRE SCHOOL DISTRICTS TO APPLY FOR SUCH FUNDING, TO ADOPT INTERNET SAFETY POLICIES, AND TO CERTIFY TO THE DEPARTMENT THAT THEY HAVE COMPLIED WITH THE REQUIREMENTS OF THIS JOINT RESOLUTION.
On motion of Rep. TOWNSEND, with unanimous consent, the Joint Resolution was ordered placed on the Calendar without reference.

S. 349--AMENDED AND ORDERED TO THIRD READING

Debate was resumed on the following Bill, the pending question being the consideration of Amendment No. 2:

S. 349 (Word version) -- Senators Branton, Verdin, Leatherman, Peeler, McConnell, Giese, Grooms, Bauer, Waldrep, Wilson, Mescher, Ryberg, Fair, Hayes, Thomas and Martin: A BILL TO AMEND SECTION 12-21-2420, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE RATE OF THE ADMISSIONS TAX AND EXEMPTIONS FROM THE ADMISSIONS TAX, SO AS TO PROVIDE THAT ENTRY INTO THE PIT AREA OF MOTOR SPEEDWAYS OR RACETRACKS FOR DRIVERS, CREW MEMBERS, SCOREKEEPERS OR OTHER SUPPORT STAFF, CAR OWNERS AND SPONSORS, AND FAMILY MEMBERS THEREOF IS EXEMPT FROM THE ADMISSIONS TAX UNDER CERTAIN CONDITIONS.


Printed Page 3957 . . . . . Tuesday, May 29, 2001

Reps. KELLEY and A. YOUNG proposed the following Amendment No. 2 (Doc Name COUNCIL\SKB\AMEND\ 18578HTC01), which was adopted:
Amend the bill, as and if amended, by adding an appropriately numbered SECTION to read:
/ SECTION   __.   A.   Chapter 4, Title 6 of the 1976 Code is amended by adding:

"Section 6-4-35.   (A)   There is established the Tourism Expenditure Review Committee consisting of nine members as follows:

(1)   one member appointed by the Speaker of the House;

(2)   one member appointed by the President Pro Tempore of the Senate;

(3)   the Director of the South Carolina Department of Parks, Recreation and Tourism, or his designee, ex officio;

(4)   six members appointed by the Governor as follows:

(a)   one member on the recommendation of the South Carolina Association of Tourism Regions;

(b)   one member on the recommendation of the South Carolina Association of Convention and Visitors Bureaus;

(c)   one member on the recommendation of the South Carolina Travel and Tourism Coalition;

(d)   one member on the recommendation of the Municipal Association of South Carolina;

(e)   one member on the recommendation of the South Carolina Association of Counties; and

(f)   one member on the recommendation of the Hospitality Association of South Carolina.

Appointed members shall serve for terms of four years and until their successors are appointed and qualify, except that of those first appointed by the Governor, four shall serve for a term of two years and the term must be noted on the appointment. Regardless of the date of appointment, all terms expire July first of the applicable year. Members shall serve without compensation, but may receive the mileage, subsistence, and per diem allowed by law for members of state boards, committees, and commissions. Vacancies must be filled in the manner of original appointment for the unexpired portion of the term.

(B)(1)(a)   The Tourism Expenditure Review Committee shall serve as the oversight authority on all questionable tourism-related expenditures and to that end, all reports filed pursuant to Section


Printed Page 3958 . . . . . Tuesday, May 29, 2001

6-4-25(D)(3) must be forwarded to the committee for review to determine if they are in compliance with this chapter. The municipality or county must be notified if an expenditure is questioned, and the committee may consider any further supporting information the municipality or county may provide. If the committee finds an expenditure to be in noncompliance, it shall certify the noncompliance to the State Treasurer, who shall withhold the amount of the expenditure found in noncompliance from subsequent distributions in accommodations tax revenue otherwise due the municipality or county. An appeal from an action of the committee under this subitem lies with the Administrative Law Judge Division.

(b)   If the committee determines that a municipality or county has failed to file the reports required pursuant to Section 6-4-25(D)(3), it may impose a fee of five hundred dollars a month or part of a month for each month the report is not filed, but not more than five thousand dollars. The committee shall certify the penalty to the State Treasurer, who shall withhold the amount of the penalty from subsequent distributions otherwise due the municipality or county. An appeal from an action of the committee under this subitem lies with the Administrative Law Judge Division.

(c)   Allocations withheld must be reallocated proportionately to all other recipients.

(2)   The committee has jurisdiction to investigate and research facts on written complaints submitted to it with regard to the appropriate tourism-related expenditures and resolve these complaints as provided in item (1) of this subsection.

(3)   The committee shall forward copies of information submitted by the local governments and regional tourism agencies pursuant to Section 6-4-25 arising under the tourism provisions of this chapter to the Department of Parks, Recreation and Tourism, which shall publish an annual report on the information submitted."
B.   Section 6-4-30 of the 1976 Code, as amended by Act 87 of 1997, is further amended to read:

"Section 6-4-30.   Local governments covered by this chapter may expend accommodations tax revenues pursuant to this chapter, and the Department of Revenue shall:

(1)   serve as a resource to, answer questions of, and assist advisory committees and local governments in the implementation of the accommodations tax; and

(2)   arrange continuing education programs or workshops for local governmental officials and advisory committee members;


Printed Page 3959 . . . . . Tuesday, May 29, 2001

(3)   serve as the oversight authority on questionable expenditures;

(4)   require that complaints relating to the accommodations tax be submitted in writing;

(5)   investigate and research facts on submitted complaints;

(6)   forward copies of information submitted by the local governments and regional tourism agencies in Section 6-4-20 covered by the tourism provisions of this chapter to the Department of Parks, Recreation and Tourism, which shall publish an annual report on the information submitted."
C.   Section 12-36-2630(3) of the 1976 Code is amended to read:

"(3)   a two percent local accommodations tax, which must be credited to the political subdivisions of the State in accordance with Chapter 4 of Title 6. The proceeds of this tax, less the departments department's actual incremental increase in the cost of administration and the expenses of the Tourism Expenditure Review Committee established pursuant to Section 6-4-35, must be remitted quarterly to the municipality or the county in which it is collected. The two percent tax provided by this item may not be increased except upon approval of two-thirds of the membership of each House of the General Assembly. However, the tax may be decreased or repealed by a simple majority of the membership of each House of the General Assembly.

The tax imposed by Section 12-36-920 must be billed and paid in a single item listed as tax, without itemizing the taxes referred to in this section." /
Renumber sections to conform.
Amend totals and title to conform.

Rep. KELLEY explained the amendment.
The amendment was then adopted.

Rep. HARRELL proposed the following Amendment No. 3 (Doc Name COUNCIL\BBM\AMEND\10443HTC01), which was adopted:
Amend the bill, as and if amended, by adding an appropriately numbered SECTION to read:
/ SECTION__.   Section 12-21-2420(14) of the 1976 Code is amended to read:

"(14)   On admissions to a physical fitness center subject to the provisions of Chapter 79 of Title 44, the Physical Fitness Services Act, that provides only the following activities or facilities:

(a)   aerobics or calisthenics;

(b)   weightlifting equipment;


Printed Page 3960 . . . . . Tuesday, May 29, 2001

(c)   exercise equipment;

(d)   running tracks;

(e)   racquetball;

(f)   swimming pools for aerobics and lap swimming; and

(g)   other similar items approved by the department.

The entire admission charge of a physical fitness center which provides any other activity or facilities is subject to the tax imposed by this article. Physical fitness facilities or centers of the State of South Carolina and any of its political subdivisions which are exempt from the Physical Fitness Services Act, pursuant to Section 44-79-110 and therefore subject to the admissions tax under this article are nevertheless exempt from the admissions tax if they meet other requirements of this subsection." /
Renumber sections to conform.
Amend totals and title to conform.

Rep. HARRELL explained the amendment.
The amendment was then adopted.

Reps. CHELLIS and RICE proposed the following Amendment No. 5 (Doc Name COUNCIL\NBD\AMEND\11837HTC01), which was adopted:
Amend the bill, as and if amended, by striking SECTION 1 and inserting:
/SECTION   1.   Section 12-21-2420 of the 1976 Code is amended by adding a new item appropriately numbered to read:

"( )   for entry into the pit area of NASCAR sanctioned motor speedways or racetracks for drivers, crew members, or car owners where a participation fee is charged these persons by NASCAR, or by the speedway or racetrack, where a charge to these persons is made on a per event basis for entry into the pit area, or where a combination of annual and per event charges to these persons is made for entry into the pit area;" /
Renumber sections to conform.
Amend totals and title to conform.

Rep. CHELLIS explained the amendment.
The amendment was then adopted.

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


Printed Page 3961 . . . . . Tuesday, May 29, 2001

S. 63--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up:

S. 63 (Word version) -- Senators Mescher, Grooms, Richardson, McGill, Elliott, Reese and Branton: A BILL TO AMEND SECTION 7-13-40, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO FILING FEES FOR PARTY PRIMARIES, SO AS TO PROVIDE THAT THE COUNTY POLITICAL PARTY MAY RETAIN TEN PERCENT OF THE FILING FEES PAID BY CANDIDATES.

Reps. QUINN and MERRILL proposed the following Amendment No. 3 (Doc Name COUNCIL\DKA\AMEND\4527DW01), which was tabled:
Amend the bill, as and if amended, by striking Section 7-13-40, as contained in SECTION 1, in its entirety and inserting:
/ "Section 7-13-40.   In the event that a party nominates candidates by party primary, a party primary must be held by the party and conducted by the State Election Commission and the respective county election commissions on the second Tuesday in June of each general election year, and a second and third primary each two weeks successively thereafter, if necessary. Written certification of the names of all candidates to be placed on primary ballots must be made by the political party chairman, vice chairman, or secretary to the State Election Commission or the county election commission, whichever is responsible under law for preparing the ballot, not later than twelve o'clock noon on April ninth, or if April ninth falls on a Saturday or Sunday, not later than twelve o'clock noon on the following Monday. Political parties nominating candidates by party primary must verify the qualifications of those candidates prior to certification to the appropriate election commission of the names of candidates to be placed on primary ballots. The written verification required by this section must contain a statement that each candidate certified meets, or will meet by the time of the general election, or as otherwise required by law, the qualifications for office for which he has filed. Political parties must not accept the filing of any candidate who does not or will not by the time of the general election, or as otherwise required by law, meet the qualifications for the office for which the candidate desires to file, and such candidate's name shall not be placed on a primary ballot. The filing fees for all candidates filing to run in all primaries, except municipal primaries, must be transmitted by the respective political parties to the State Election Commission, except that the state political


Printed Page 3962 . . . . . Tuesday, May 29, 2001

parties may retain ten percent of the amount collected. and placed by the The executive director of the election commission must place the amount sent by the political parties in a special account designated for use in conducting primary elections and must be used for that purpose. The filing fee for each office is one percent of the total salary for the term of that office or one hundred dollars, whichever amount is greater." /
Renumber sections to conform.
Amend totals and title to conform.

Rep. QUINN moved to table the amendment, which was agreed to.

Reps. QUINN and MERRILL proposed the following Amendment No. 4 (Doc Name COUNCIL\GGS\AMEND\22145CM01), which was adopted:
Amend the bill, as and if amended, by striking Section 7-13-40, as contained in SECTION 1, in its entirety and inserting:
/ "Section 7-13-40.   In the event that a party nominates candidates by party primary, a party primary must be held by the party and conducted by the State Election Commission and the respective county election commissions on the second Tuesday in June of each general election year, and a second and third primary each two weeks successively thereafter, if necessary. Written certification of the names of all candidates to be placed on primary ballots must be made by the political party chairman, vice chairman, or secretary to the State Election Commission or the county election commission, whichever is responsible under law for preparing the ballot, not later than twelve o'clock noon on April ninth, or if April ninth falls on a Saturday or Sunday, not later than twelve o'clock noon on the following Monday. Political parties nominating candidates by party primary must verify the qualifications of those candidates prior to certification to the appropriate election commission of the names of candidates to be placed on primary ballots. The written verification required by this section must contain a statement that each candidate certified meets, or will meet by the time of the general election, or as otherwise required by law, the qualifications for office for which he has filed. Political parties must not accept the filing of any candidate who does not or will not by the time of the general election, or as otherwise required by law, meet the qualifications for the office for which the candidate desires to file, and such candidate's name shall not be placed on a primary ballot. The filing fees for all candidates filing to run in all primaries, except


Printed Page 3963 . . . . . Tuesday, May 29, 2001

municipal primaries, must be transmitted by the respective political parties to the State Election Commission, except that the state political parties may retain ten percent of the amount collected and the respective executive committees of the political parties must approve the expenditures from this amount collected. and placed by the The executive director of the election commission must place the amount sent by the political parties in a special account designated for use in conducting primary elections and must be used for that purpose. The filing fee for each office is one percent of the total salary for the term of that office or one hundred dollars, whichever amount is greater." /
Renumber sections to conform.
Amend totals and title to conform.

Rep. QUINN explained the amendment.

The amendment was then adopted by a division vote of 41 to 23.

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

H. 3867--RECONSIDERED AND ORDERED TO THIRD READING

Rep. KNOTTS moved to reconsider the vote whereby debate was adjourned on the following Bill, which was agreed to:

H. 3867 (Word version) -- Reps. Limehouse, Altman, Breeland, R. Brown, Campsen, Scarborough and Whipper: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 57-5-195, SO AS TO NAME THE I-526 BRIDGE AND INTERCHANGE THAT SPANS U.S. HIGHWAY 17 AND U.S. HIGHWAY 7 IN CHARLESTON COUNTY AS THE "BOB HARRELL BRIDGE AND INTERCHANGE" IN HONOR OF THIS DISTINGUISHED SOUTH CAROLINIAN.

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

S. 327--REQUESTS FOR DEBATE WITHDRAWN

Reps. BINGHAM, WHATLEY, KNOTTS and FRYE withdrew their requests for debate on S. 327 (Word version); however, other requests for debate remained on the Bill.


Printed Page 3964 . . . . . Tuesday, May 29, 2001

H. 3695--REQUESTS FOR DEBATE WITHDRAWN AND REQUESTS FOR DEBATE

Upon the withdrawal of requests for debate by Reps. SCARBOROUGH, DAVENPORT and HINSON, the following Bill was taken up:

H. 3695 (Word version) -- Reps. Rodgers, Allison, Freeman, Haskins, Hinson, Lee, Martin, Miller, Moody-Lawrence, Parks, Stuart, A. Young, Cobb-Hunter, Gilham, Meacham-Richardson, Lourie and Knotts: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 20-4-160 SO AS TO ESTABLISH THE DOMESTIC VIOLENCE FUND WITHIN THE STATE TREASURY TO BE ADMINISTERED BY THE DEPARTMENT OF SOCIAL SERVICES FOR THE PURPOSE OF AWARDING GRANTS TO DOMESTIC VIOLENCE CENTERS AND PROGRAMS IN THE STATE THAT MEET CERTAIN CRITERIA; TO ADD SECTION 20-1-375 SO AS TO INCREASE THE MARRIAGE LICENSE FEE BY TWENTY DOLLARS WHICH MUST BE CREDITED TO THE DOMESTIC VIOLENCE FUND; AND TO AMEND SECTION 8-21-310, AS AMENDED, RELATING TO VARIOUS FEES TO BE COLLECTED BY CLERKS OF COURT, SO AS TO INCREASE THE FILING FEE FOR DIVORCE OR SEPARATE MAINTENANCE ACTIONS BY TWENTY DOLLARS WHICH ALSO MUST BE CREDITED TO THE DOMESTIC VIOLENCE FUND.

Rep. STUART proposed the following Amendment No. 2 (Doc Name COUNCIL\NBD\AMEND\11727AC01):
Amend the bill, as and if amended, by deleting Section 20-4-160(C) and inserting:
/(C)   The Domestic Violence Fund shall receive its revenue from that portion of marriage license fees provided for in Section 20-1-375 and donations, contributions, bequests, or other gifts made to the fund. Contributions to the fund may not be used to supplant existing funds appropriated to the department for domestic violence programs and grants. Monies in the fund may be carried forward from one fiscal year to the next, and interest earned on monies in the fund must be retained by the fund./
Amend the bill, further, by deleting Section 3 in its entirety.


Printed Page 3965 . . . . . Tuesday, May 29, 2001

Renumber sections to conform.
Amend totals and title to conform.

Rep. STUART explained the amendment.

Reps. RICE, LAW, MERRILL, KIRSH, LLOYD and DANTZLER requested debate on the Bill.

OBJECTION TO RECALL

Rep. J. BROWN asked unanimous consent to recall S. 570 (Word version) from the Committee on Medical, Military, Public and Municipal Affairs.
Rep. KIRSH objected.

OBJECTION TO RECALL

Rep. HOWARD asked unanimous consent to recall H. 3963 (Word version) from the Committee on Judiciary.
Rep. HARRISON objected.

OBJECTION TO RECALL

Rep. KNOTTS asked unanimous consent to recall S. 253 (Word version) from the Committee on Judiciary.
Rep. HOWARD objected.

OBJECTION TO RECALL

Rep. J. H. NEAL asked unanimous consent to recall S. 46 (Word version) from the Committee on Judiciary.
Rep. DAVENPORT objected.

H. 3695--REQUESTS FOR DEBATE

Reps. HINSON, RODGERS, A. YOUNG, MARTIN, ALLISON and STUART, with unanimous consent, requested debate on the following Bill:

H. 3695 (Word version) -- Reps. Rodgers, Allison, Freeman, Haskins, Hinson, Lee, Martin, Miller, Moody-Lawrence, Parks, Stuart, A. Young, Cobb-Hunter, Gilham, Meacham-Richardson, Lourie and Knotts: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 20-4-160 SO AS TO ESTABLISH THE DOMESTIC VIOLENCE FUND WITHIN THE STATE TREASURY TO BE ADMINISTERED BY THE DEPARTMENT OF SOCIAL SERVICES FOR THE PURPOSE OF AWARDING GRANTS TO


Printed Page 3966 . . . . . Tuesday, May 29, 2001

DOMESTIC VIOLENCE CENTERS AND PROGRAMS IN THE STATE THAT MEET CERTAIN CRITERIA; TO ADD SECTION 20-1-375 SO AS TO INCREASE THE MARRIAGE LICENSE FEE BY TWENTY DOLLARS WHICH MUST BE CREDITED TO THE DOMESTIC VIOLENCE FUND; AND TO AMEND SECTION 8-21-310, AS AMENDED, RELATING TO VARIOUS FEES TO BE COLLECTED BY CLERKS OF COURT, SO AS TO INCREASE THE FILING FEE FOR DIVORCE OR SEPARATE MAINTENANCE ACTIONS BY TWENTY DOLLARS WHICH ALSO MUST BE CREDITED TO THE DOMESTIC VIOLENCE FUND.

OBJECTION TO RECALL

Rep. COBB-HUNTER asked unanimous consent to recall H. 3463 (Word version) from the Committee on Judiciary.
Rep. KNOTTS objected.

H. 3516--SENATE AMENDMENTS CONCURRED IN AND BILL ENROLLED

The Senate amendments to the following Bill were taken up for consideration:

H. 3516 (Word version) -- Rep. Altman: A BILL TO DEVOLVE THE AUTHORITY FOR APPOINTMENTS AND RECOMMENDATIONS FOR APPOINTMENTS FOR BOARDS AND COMMISSIONS FROM THE LEGISLATIVE DELEGATION REPRESENTING CHARLESTON COUNTY TO THE GOVERNING BODY OF CHARLESTON COUNTY AND TO PROVIDE EXCEPTIONS.

Rep. ALTMAN explained the Senate Amendments.

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 by a division vote 8 to 4.

MOTION PERIOD

The motion period was dispensed with on motion of Rep. FLEMING.


Printed Page 3967 . . . . . Tuesday, May 29, 2001

S. 297--AMENDED AND INTERRUPTED DEBATE

The following Bill was taken up:

S. 297 (Word version) -- Senators Moore, Drummond, McConnell, Reese, Land, Richardson, Waldrep, Leventis, Passailaigue, Giese, McGill, O'Dell, Alexander, Hayes, Ravenel, Martin, Ryberg, Rankin, Jackson, Glover, Patterson, Hutto, Matthews, Pinckney, Setzler, Holland, Short and Ritchie: A BILL TO AMEND TITLE 48, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ENVIRONMENTAL PROTECTION AND CONSERVATION BY ADDING CHAPTER 59 ENACTING THE "SOUTH CAROLINA CONSERVATION BANK ACT" SO AS TO ESTABLISH THE SOUTH CAROLINA CONSERVATION BANK FOR THE PURPOSE OF MAKING GRANTS AND LOANS TO PUBLIC OR PRIVATE ENTITIES TO ACQUIRE INTERESTS IN REAL PROPERTY WORTHY OF CONSERVATION, TO PROVIDE FOR THE GOVERNANCE OF THE BANK, TO PROVIDE THOSE ENTITIES ELIGIBLE TO RECEIVE BANK GRANTS, TO ESTABLISH THE SOUTH CAROLINA CONSERVATION BANK TRUST FUND TO RECEIVE BANK REVENUES, AND TO PROVIDE THE CRITERIA WHICH THE BANK MUST USE IN JUDGING APPLICATIONS FOR GRANTS; TO ESTABLISH THE "CONSERVE SOUTH CAROLINA" MOTOR VEHICLE LICENSE PLATE AND PROVIDE THAT THE REVENUE OF THE EXTRA FEE FOR THIS PLATE MUST BE CREDITED TO THE TRUST FUND ESTABLISHED BY THIS ACT; TO PROVIDE THAT REVENUES OF THE STATE PORTION OF THE DEED RECORDING FEE CREDITED TO THE GENERAL FUND OF THE STATE IS INSTEAD CREDITED TO THE TRUST FUND ESTABLISHED BY THIS ACT AND PHASE IN THESE REVENUES OVER TWO FISCAL YEARS; TO EXEMPT FROM THE REQUIREMENT THAT PUBLIC ENTITIES CONVEYING A CONSERVATION EASEMENT HAVE THAT CONVEYANCE APPROVED BY THE ADVISORY BOARD OF THE HERITAGE TRUST PROGRAM CERTAIN EASEMENTS CONVEYED BY COUNTIES AND MUNICIPALITIES THAT INVOLVE GRANTS OR LOANS BY THE SOUTH CAROLINA CONSERVATION BANK; TO REPEAL CHAPTER 59, TITLE 48, ADDED BY THIS ACT AND THE REMAINING PROVISIONS OF THIS ACT JULY 1, 2012, UNLESS THESE PROVISIONS ARE REENACTED OR OTHERWISE EXTENDED BY THE GENERAL


Printed Page 3968 . . . . . Tuesday, May 29, 2001

ASSEMBLY; AND TO PROVIDE FOR THE WINDING-UP OF THE AFFAIRS OF THE BANK.

Rep. CAMPSEN proposed the following Amendment No. 3 (Doc Name COUNCIL\BBM\AMEND\10351HTC01), which was adopted:
Amend the bill, as and if amended, in Section 48-59-80, by adding an appropriately lettered subsection at the end to read:

/ ( )   Where a trust fund grant is used to acquire fee title to land, public access, and use of the land must be permitted, with this access and use being subject only to those rules, regulations, permits, or fees as are reasonable and consistent with the conservation purposes for which the land was acquired. /
Amend title to conform.

Rep. CAMPSEN explained the amendment.

SPEAKER PRO TEMPORE IN CHAIR

Rep. CAMPSEN continued speaking.
Rep. CAMPSEN spoke in favor of the amendment.
Rep. ALTMAN spoke against the amendment.
Rep. ALTMAN spoke against the amendment.

SPEAKER IN CHAIR

Rep. ALTMAN continued speaking.

The amendment was then adopted.

RECURRENCE TO THE MORNING HOUR

Rep. BATTLE moved that the House recur to the Morning Hour, which was agreed to.

Further proceedings were interrupted by the House recurring to the Morning Hour, the pending question being consideration of amendments.


Printed Page 3969 . . . . . Tuesday, May 29, 2001

REPORT OF STANDING COMMITTEE

Rep. FLEMING, from the Committee on Invitations and Memorial Resolutions, submitted a favorable report on:

S. 654 (Word version) -- Senators Patterson, Giese and Ford: A CONCURRENT RESOLUTION TO REQUEST THE SOUTH CAROLINA DEPARTMENT OF CORRECTIONS TO NAME THE DEPARTMENT OF CORRECTIONS HEADQUARTERS BUILDING THE "WILLIAM D. LEEKE BUILDING" AND TO ERECT APPROPRIATE MARKERS OR SIGNS TO THAT EFFECT.
Ordered for consideration tomorrow.

INTRODUCTION OF BILLS

The following Bills and Joint Resolution were introduced, read the first time, and referred to appropriate committees:

H. 4211 (Word version) -- Reps. Cotty, A. Young, Allison, Bales, Campsen, Chellis, Clyburn, Emory, Harrison, Hinson, Hosey, Howard, Kirsh, Leach, Limehouse, Littlejohn, Lourie, Martin, Meacham-Richardson, J. M. Neal, Owens, Parks, Sandifer, Scarborough, Sinclair, J. R. Smith, Snow, Stille, Stuart, Talley, Weeks, White and J. Young: A BILL TO AMEND SECTION 22-3-10, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE CIVIL JURISDICTION OF MAGISTRATES, SO AS TO PROVIDE MAGISTRATES HAVE CONCURRENT JURISDICTION TO GRANT INJUNCTIVE RELIEF OR SUCH OTHER RELIEF AS CONSIDERED APPROPRIATE IN MATTERS INVOLVING REAL ESTATE RESTRICTIVE COVENANTS UPON PETITION OF ANY PARTY AND TO PROVIDE FOR THE APPEAL OF THE MAGISTRATE'S DECISION TO GO TO CIRCUIT COURT, OR BE REFERRED TO THE MASTER OR SPECIAL REFEREE, FOR DE NOVO DETERMINATION.
Referred to Committee on Judiciary

H. 4212 (Word version) -- Reps. Stille, Dantzler, Gilham, Leach, Limehouse, Martin, Phillips and Rodgers: A BILL TO AMEND TITLE 15, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CIVIL REMEDIES AND PROCEDURES BY ADDING CHAPTER 42 SO AS TO ENACT THE "SOUTH CAROLINA GARNISHMENT ACT OF 2001", WHICH PROVIDES PROCEDURES WHICH GRANT TO PERSONS WHO HAVE SUED TO RECOVER CERTAIN DEBTS


Printed Page 3970 . . . . . Tuesday, May 29, 2001

OR HAVE RECOVERED CERTAIN JUDGMENTS AGAINST ANOTHER PERSON A RIGHT TO A WRIT OF GARNISHMENT, SUBJECTING TO GARNISHMENT UP TO SPECIFIED LIMITATIONS INCOME, WAGES, INTEREST, RENTS, DIVIDENDS, CAPITAL GAINS, BONUSES, AND COMMISSIONS OF THE DEBTOR.
Referred to Committee on Judiciary

H. 4213 (Word version) -- Reps. Quinn and Klauber: A JOINT RESOLUTION TO DIRECT THE STATE BUDGET AND CONTROL BOARD TO SETTLE THE CASE OF C. BRUCE LITTLEJOHN, ET AL. V. STATE OF SOUTH CAROLINA, CASE NUMBER 00-CP-40-2666, ONLY UNDER CERTAIN TERMS AND CONDITIONS.
Rep. QUINN asked unanimous consent to have the Joint Resolution placed on the Calendar without reference.
Rep. SHEHEEN objected.
Referred to Committee on Ways and Means

H. 4214 (Word version) -- Rep. Battle: A BILL TO AUTHORIZE THE MARION COUNTY BOARD OF EDUCATION TO CONSOLIDATE MARION COUNTY SCHOOL DISTRICTS THREE AND FOUR, TO PROVIDE THAT THE CONSOLIDATED DISTRICT MAY BE KNOWN AS "MARION COUNTY SCHOOL DISTRICT SEVEN", AND TO PROVIDE FOR THE BOARD OF TRUSTEES OF SUCH CONSOLIDATED SCHOOL DISTRICT.
On motion of Rep. BATTLE, with unanimous consent, the Bill was ordered placed on the Calendar without reference.

Rep. CAMPSEN moved that the House do now adjourn, which was agreed to.

ADJOURNMENT

At 5:00 p.m. the House, in accordance with the motion of Rep. A. YOUNG, adjourned in memory of Jane Whatley of Summerville, sister-in-law of Representative Whatley, to meet at 10:00 a.m. tomorrow.

***

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