Indicates Matter Stricken
Indicates New Matter

The House assembled at 10:00 a.m.
Deliberations were opened with prayer by Rep. CATO as follows:

Eternal Father, when the way is hard and the hours long, we come to You as our unfailing Helper who never leaves or forsakes us. When we become unmindful of You, remind us of Your nearness, Your wisdom, Your understanding. Take us as we are, reinforce us in the knowledge of Your past blessings, and use us in shaping those policies and programs for the well being of Your people. We ask not to be delivered from our work, but for strength with which to do it. And to You, Lord God, shall be our praise and thanksgiving. Amen.

Pursuant to Rule 6.3, the House of Representatives was led in the Pledge of Allegiance to the Flag of the United States of America by the SPEAKER.

After corrections to the Journal of the proceedings of yesterday, the SPEAKER ordered it confirmed.

Rep. TALLEY moved that when the House adjourns, it adjourn in memory of Winfred Page of Spartanburg, which was agreed to.

The following was received:

Columbia, S.C., June 6, 2001
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it concurs in the amendments proposed by the House to S. 301:

S. 301 (Word version) -- Senator Fair: A BILL TO AMEND TITLE 17, CHAPTER 5, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE QUALIFICATIONS, POWERS, AND DUTIES OF CORONERS AND MEDICAL EXAMINERS, SO AS TO CONSOLIDATE AND CLARIFY THE DUTIES OF CORONERS AND MEDICAL EXAMINERS; AND TO AMEND SECTIONS 20-7-5915 AND 20-7-

Very respectfully,
President
Received as information.

The following was received:

Columbia, S.C., June 6, 2001
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it has adopted the report of the Committee of Conference on S. 349:

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

The following was received:

Columbia, S.C., June 6, 2001
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it concurs in the amendments proposed by the House to S. 557:

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 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.
and has ordered the Bill Enrolled for Ratification.

Very respectfully,
President
Received as information.

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

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.

Rep. HARRISON explained the Senate Amendments.

The House refused to agree to the Senate amendments and a message was ordered sent accordingly.

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

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.

Rep. HARRISON explained the Senate Amendments.

Rep. HARRISON moved to waive Rule 5.15, which was agreed to by a division vote of 57 to 9.

The following was received from the Senate:

Columbia, S.C., June 6, 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 H. 3974:

H. 3974 (Word version) -- Rep. Cato: A BILL TO AMEND SECTION 37-17-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO REGULATION OF PERSONS WHO SELL PRESCRIPTION DRUG DISCOUNT CARDS, SO AS TO PROVIDE THAT SUCH PERSONS MUST REGISTER AND REPORT TO THE DEPARTMENT OF CONSUMER AFFAIRS, RATHER THAN TO THE DEPARTMENT OF INSURANCE; TO AMEND SECTION 38-5-80, AS AMENDED, RELATING TO REQUIREMENTS TO OBTAIN A LICENSE TO CONDUCT INSURANCE BUSINESS IN THIS STATE, SO AS TO CLARIFY WHAT BOOKS AND RECORDS OF AN INSURER MUST BE MAINTAINED IN THIS STATE; TO AMEND SECTION 38-31-20, AS AMENDED, RELATING TO DEFINITIONS IN THE SOUTH CAROLINA PROPERTY AND CASUALTY INSURANCE GUARANTY ASSOCIATION ACT, SO AS TO INCLUDE NEW DEFINITIONS AND REVISE CERTAIN EXISTING DEFINITIONS; TO AMEND SECTION 38-31-60, RELATING TO THE POWERS AND DUTIES OF THE SOUTH CAROLINA PROPERTY AND CASUALTY GUARANTY ASSOCIATION, SO AS TO PROVIDE THAT THE ASSOCIATION'S OBLIGATION TO AN INSURED CEASES WHEN TEN MILLION DOLLARS HAS BEEN PAID TO OR ON BEHALF OF THE INSURED AND TO ALLOW FOR ALLOCATION OF PAYMENTS WHEN THERE IS MORE THAN ONE CLAIMANT WITH A COVERED CLAIM; TO AMEND SECTION 38-31-70, AS AMENDED, RELATING TO THE PLAN OF OPERATION FOR THE ADMINISTRATION OF THE GUARANTY ASSOCIATION, SO AS TO AUTHORIZE REPORTING AND THE DELEGATION OF CERTAIN AUTHORITY TO AN ASSOCIATION SIMILAR TO THE

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

Whereupon, the Chair appointed Reps. BALES, TRIPP and CATO to the Committee of Conference on the part of the House and a message was ordered sent to the Senate accordingly.

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

H. 3160 (Word version) -- Reps. Lee and Whipper: A BILL TO AMEND SECTIONS 15-27-155 AND 17-1-50, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE APPOINTMENT OF INTERPRETERS IN CIVIL AND CRIMINAL PROCEEDINGS WHENEVER A PARTY OR WITNESS DOES NOT SUFFICIENTLY SPEAK ENGLISH, SO AS TO PROVIDE AND REVISE DEFINITIONS FOR CERTAIN TERMS, TO REVISE THE CIRCUMSTANCES UPON WHICH AN INTERPRETER IS APPOINTED, WHO MAY APPOINT AN INTERPRETER, WHOSE TESTIMONY MAY BE INTERPRETED, AND AN INTERPRETER'S QUALIFICATIONS, TO PROVIDE FOR THE CREATION OF A COURT INTERPRETERS ADVISORY PANEL WHOSE PURPOSE IS TO ASSIST THE SUPREME COURT AND COURT ADMINISTRATION IN DEVELOPING POLICIES RELATING TO INTERPRETERS, TO PROVIDE THAT THE DIVISION OF COURT ADMINISTRATION'S CENTRALIZED LIST OF INTERPRETERS SHALL INCLUDE CERTIFIED AND OTHERWISE QUALIFIED INTERPRETERS TO INTERPRET PROCEEDINGS TO THE PRINCIPAL IN INTEREST AND TESTIMONY OF A WITNESS, AND TO PROVIDE THAT A PRINCIPAL PARTY IN INTEREST OR A WITNESS, MAY USE AN INTERPRETER WHO DOES NOT APPEAR ON THE CENTRALIZED LIST IF HE SUBMITS TO A VOIR DIRE BY THE APPOINTING AUTHORITY.

Rep. MCGEE 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.

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

H. 3175 (Word version) -- Reps. Clyburn, Wilder, Cobb-Hunter and Whipper: A BILL TO AMEND SECTION 9-1-1795, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE EXEMPTION FROM THE EARNINGS LIMITATION FOR RETIRED CERTIFIED TEACHERS EMPLOYED IN GEOGRAPHIC OR CRITICAL ACADEMIC NEED AREAS, SO AS TO PROVIDE THAT BEGINNING JUNE 1, 2001, ANY RETIRED CERTIFIED SCHOOL DISTRICT EMPLOYEE WHO IS NOT A CERTIFIED TEACHER MAY RETURN TO SUCH CERTIFIED EMPLOYMENT IN A SCHOOL OR SCHOOL DISTRICT WHICH IS IN A CRITICAL GEOGRAPHIC NEED AREA, WHICH HAS RECEIVED A "BELOW AVERAGE" OR "UNSATISFACTORY" ACADEMIC PERFORMANCE RATING PURSUANT TO THE EDUCATION ACCOUNTABILITY ACT, OR WHICH HAS BEEN DECLARED "IMPAIRED" AS PROVIDED BY LAW WITHOUT AFFECTING THE MONTHLY ALLOWANCE HE OR SHE IS RECEIVING FROM THE SYSTEM, AND TO PROVIDE THAT BEGINNING JUNE 1, 2001, A CERTIFIED TEACHER ALSO MAY RETURN TO TEACH IN THE CLASSROOM IN HIS AREA OF CERTIFICATION IN A SCHOOL OR SCHOOL DISTRICT WHICH HAS RECEIVED A "BELOW AVERAGE" OR "UNSATISFACTORY" ACADEMIC PERFORMANCE RATING PURSUANT TO THE EDUCATION ACCOUNTABILITY ACT, OR WHICH HAS BEEN DECLARED "IMPAIRED" AS PROVIDED BY LAW.

Rep. KELLEY 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 of 40 to 5.

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

H. 3885 (Word version) -- Reps. Meacham-Richardson, Simrill, Kirsh and Vaughn: A BILL TO AMEND SECTION 12-24-40, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EXEMPTIONS FROM DEED RECORDING FEES AND SECTION 12-36-2120, RELATING TO EXEMPTIONS FROM SALES TAX, SO AS TO PROVIDE EXEMPTIONS FROM SALES TAX AND DEED RECORDING FEES FOR SALES, EXCHANGES, AND TRANSFERS OF ELECTRIC TRANSMISSION FACILITIES; AND TO AMEND SECTION 12-6-3410, RELATING TO THE CORPORATE INCOME TAX CREDIT FOR CORPORATE HEADQUARTERS, SO AS TO ALLOW CERTAIN LIMITED LIABILITY COMPANIES TO BE TREATED AS CORPORATIONS FOR THIS PURPOSE.

Rep. J. R. SMITH proposed the following Amendment No. 2A (Doc Name COUNCIL\DKA\AMEND\4556MM01), which was adopted:
Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/ SECTION   1.   Section 12-24-40 of the 1976 Code is amended by adding a new item (15) to read:

"(15)   transferring title to facilities for transmitting electricity that is transferred, sold, or exchanged by electrical utilities, municipalities, electric cooperatives, or political subdivisions to a limited liability company which is subject to regulation under the Federal Power Act (16 U.S.C. Section 791(a)) and which is formed to operate or to take functional control of electric transmission assets as defined in the Federal Power Act;"
SECTION   2.   Section 12-36-2120 of the 1976 Code is amended by adding a new item (59) to read:

"(59)   facilities for transmitting electricity that is transferred, sold, or exchanged by electrical utilities, municipalities, electric cooperatives, or political subdivisions to a limited liability company which is subject to regulation under the Federal Power Act (16 U.S.C. Section 791(a)) and which is formed to operate or to take functional control of electric transmission assets as defined in the Federal Power Act;"

"(9)   'corporation', 'corporate', 'company', and 'taxpayer' for purposes of this section also include a limited liability company which is subject to regulation under the Federal Power Act (16 U.S.C. Section 791(a)) and which is formed to operate or to take functional control of electric transmission assets as defined in the Federal Power Act regardless of whether the limited liability company is treated as a partnership or as a corporation for South Carolina income tax purposes. If treated as a partnership, a limited liability company that qualifies for a credit under this section passes the credit through to its members in proportion to their interests in the limited liability company. Each member's share of the credit is nonrefundable but is allowed as a credit against any tax under Section 12-6-530 or Section 12-20-50. Each member may carry any unused credit forward as provided in subsection (F). The limited liability company may not carry forward a credit that passes through to its members."
SECTION   4.   Chapter 10, Title 12 of the 1976 Code is amended by adding:

"Section 12-10-95.   (A)   Subject to the conditions in this section, a business engaged in manufacturing or processing operations or technology intensive activities at a manufacturing, processing, or technology intensive facility as defined in Section 12-6-3360(M) and that meets the requirements of Section 12-10-50(B) may negotiate with the council to claim as a credit against withholding five hundred dollars a year for the retraining of a production or technology employee if retraining is necessary for the qualifying business to remain competitive or to introduce new technologies. In addition to the yearly limits, the retraining credit claimed against withholding may not exceed two thousand dollars over five consecutive years for each retrained production or technology employee.

(B)   A qualifying business is eligible to claim as a retraining credit against withholding the lower amount of the following:

(1)   the retraining credit for the applicable withholding period as determined by subsection (A); or

(2)   withholding paid to the State for the applicable withholding period.

(C)   All retraining must be approved by a technical college under the jurisdiction of the State Board for Technical and Comprehensive Education. A qualifying business must submit a retraining program for approval by the appropriate technical college. The approving technical

(D)   Travel and lodging expenses and wages for retraining participants are not reimbursable.

(E)   The qualifying business must match on a dollar-for-dollar basis the amount claimed as a credit against withholding for retraining. When applicable, the total amount of retraining credits and matching funds must be paid to the technical college that provides the training. All training costs, including costs in excess of the retraining credits and matching funds, are the responsibility of the business.

(F)   A qualifying business claiming retraining credits pursuant to this section is subject to the reporting and audit requirements in Section 12-10-80(A).

(G)   A qualifying business may not claim retraining credit for training provided to the following production or technology employees:

(a)   temporary or contract employees; and

(b)   employees who are subject to a revitalization agreement, including a preliminary revitalization agreement."
SECTION   5.   Section 12-2-25 of the 1976 Code is amended to read:

"Section 12-2-25.   (A)   As used in this title and unless otherwise required by the context:

(1)   'partnership' includes a limited liability company taxed for South Carolina income tax purposes as a partnership.;

(2)   'partner'   includes any a member of a limited liability company taxed for South Carolina income tax purposes as a partnership.;

(3)   'corporation' includes a limited liability company or professional or other association taxed for South Carolina income tax purposes as a corporation.; and

(4)   'shareholder' includes any a member of a limited liability company taxed for South Carolina income tax purposes as a corporation.

(B)   Single-member limited liability companies which are not taxed for South Carolina income tax purposes as a corporation, and grantor trusts, to the extent they are grantor trusts, will be ignored for all South Carolina tax purposes. For South Carolina tax purposes:

(1)   a single-member limited liability company, which is not taxed for South Carolina income tax purposes as a corporation, is not regarded as an entity separate from its owner;

(2)   a 'qualified subchapter 'S' subsidiary', as defined in Section 1361(b)(3)(B) of the Internal Revenue Code, is not regarded as an entity separate from the 'S' corporation that owns the stock of the qualified subchapter 'S' subsidiary; and

(3)   a grantor trust, to the extent that it is a grantor trust, is not regarded as an entity separate from its grantor.

(C)   For purposes of this section, the Internal Revenue Code reference is as provided in Section 12-6-40(A)."
SECTION   6.   Section 12-6-40 of the 1976 Code, as last amended by Section 7, Part II, Act 387 of 2000, is further amended to read:

"Section 12-6-40.   (A)(1)   'Internal Revenue Code' means the Internal Revenue Code of 1986 as amended through December 31, 1999 2000, and includes the effective date provisions contained therein in it.

(2)(a)   For purposes of this title, 'Internal Revenue Code' is deemed to contain all changes necessary for the State to administer its provisions. Unless a different meaning is required:

( i)   'Secretary', 'Secretary of the Treasury', or 'Commissioner' means the Director of the Department of Revenue.

( ii)   'Internal Revenue Service' means the department.

(iii)   'Return' means the appropriate state return.

( iv)   'Income' includes the modifications required by Article 9 of this chapter and allocation and apportionment as provided in Article 17 of this chapter.

Other terms in the Internal Revenue Code must be given the meanings necessary to effectuate this item.

(b)   For purposes of Internal Revenue Code Sections 67 (Two Percent Floor on Miscellaneous Itemized Deductions), 71 (Alimony and Separate Maintenance Payments), 85 (Unemployment Compensation), 165 (Losses), 170 (Charitable Contributions), 213 (Medical and Dental Expenses), 219 (Retirement Savings), 469 (Passive Activity Losses and Credits Limited), and 631 (Gain or Loss in the Case of Timber, Coal, or Domestic Iron Ore), 'Adjusted Gross Income' for South Carolina income tax purposes means a taxpayer's adjusted gross income for federal income tax purposes without regard to the adjustments required by Article 9 and Article 17 of this chapter.

(c)   For a taxpayer utilizing the provisions of Internal Revenue Code Section 1341 (Computation of Tax where Taxpayer Restores Substantial Amount Held under Claim of Right) for South Carolina tax purposes the phrase 'taxes imposed by this chapter' means taxes imposed by Chapter 6 of this title.

(d)   The terms defined in Internal Revenue Code Sections 7701, 7702, and 7703 have the same meaning for South Carolina income tax purposes, unless a different meaning is clearly required.

(B)   All elections made for federal income tax purposes in connection with Internal Revenue Code Sections adopted by this State automatically apply for South Carolina income tax purposes unless otherwise provided. A taxpayer may not make an election solely for South Carolina income tax purposes except for elections not applicable for federal purposes, including filing a combined or composite return as provided in Sections 12-6-5020 and 12-6-5030, respectively.

(C)   For purposes of Internal Revenue Code Sections 67 (Two Percent Floor on Miscellaneous Itemized Deductions), 71 (Alimony and Separate Maintenance Payments), 85 (Unemployment Compensation), 165 (Losses), 170 (Charitable Contributions), 213 (Medical and Dental Expenses), 219 (Retirement Savings), 469 (Passive Activity Losses and Credits Limited), and 631 (Gain or Loss in the Case of Timber, Coal, or Domestic Iron Ore), "Adjusted Gross Income" for South Carolina income tax purposes means a taxpayer's adjusted gross income for federal income tax purposes without regard to the adjustments required by Article 9 and Article 17 of this chapter.

(D)   For a taxpayer utilizing the provisions of Internal Revenue Code Section 1341 (Computation of Tax where Taxpayer Restores Substantial Amount Held under Claim of Right) for South Carolina tax purposes the phrase "taxes imposed by this chapter" means taxes imposed by Chapter 6 of this title.

(E)   The terms defined in Internal Revenue Code Sections 7701, 7702, and 7703 have the same meaning for South Carolina income tax purposes, unless a different meaning is clearly required.

(F)(C)   If a taxpayer complies with the provisions of Internal Revenue Code Section 367 (Foreign Corporations), it is not necessary for the taxpayer to obtain the approval of the department. The taxpayer shall attach a copy of the approval received from the Internal Revenue Service to its next South Carolina income tax return."
SECTION   7.   Section 12-6-50(11) of the 1976 Code is amended to read:

"(11)   Sections 861 through 908, 912, and 931 through 940, and 944 through 989 relating to the taxation of foreign income;"
SECTION   8.   Section 12-6-2210(A) of the 1976 Code is amended to read:

"(A)   If the entire business of a taxpayer is transacted or conducted within this State, the income tax as provided in this chapter is measured

"(2)   The term 'South Carolina earned income' means income which that is earned income within the meaning of Internal Revenue Code Section 911(d)(2) or 401(c)(2)(C) which and is taxable in this State, except that:

(a)   it does not include an amount:

( i)   received from a retirement plan or an annuity;

( ii)   paid or distributed from an individual retirement plan as defined in Internal Revenue Code Section 7701(a)(37);

(iii)   received as deferred compensation; or

( iv)   received for services performed by an individual employed by his spouse within the meaning of Internal Revenue Code Section 3121(b)(3)(A)(B) as amended through December 31, 1987; and

(b)   Internal Revenue Code Section 911(d)(2)(B) must be applied without regard to the phrase 'not in excess of thirty percent of his share of net profits of such trade or business'."
SECTION   10.   Section 12-6-3410(J)(1) and (4) are amended to read:

"(1)   'Corporate headquarters' means the facility or portion of a facility where corporate staff employees are physically employed, and where the majority of the company's financial, personnel, legal, planning, information technology, or other headquarters related functions are handled either on a regional or national basis. A corporate headquarters must be a regional corporate headquarters or a national corporate headquarters as defined below:

(a)   National corporate headquarters must be the sole corporate headquarters in the nation and handle headquarters related functions on a national basis. A national headquarters shall be deemed to handle headquarters related functions on a national basis from this State if the corporation has a facility in this State from which the corporation

(b)   Regional corporate headquarters must be the sole corporate headquarters within the region and must handle headquarters related functions on a regional basis. For purposes of this section, 'region' or 'regional' means a geographic area comprised of either:

( i)   at least five states, including this State, or

(ii)   two or more states, including this State, if the entire business operations of the corporation are performed within fewer than five states.

(4)   'Headquarters related functions and services' are those functions involving financial, personnel, administrative, legal, planning, information technology, or similar business functions."
SECTION   11.   Section 12-6-3500 of the 1976 Code is amended to read:

"Section 12-6-3500.   If the right to receive retirement income by a taxpayer allowed the deduction pursuant to Section 12-6-1170 was earned by the taxpayer while residing in another state which imposed state income tax on the employee's contributions, a credit is allowed against the taxpayer's South Carolina income tax liability in an amount sufficient to offset the taxes paid the other state. This credit must be claimed over the taxpayer's lifetime. The department shall prescribe the amount of the annual credit based on the taxpayer's life expectancy at the time of the election made pursuant to the taxpayer first claims the retirement income deduction pursuant to Section 12-6-1170, and may require the documentation it determines necessary to verify the amount of income tax paid the other state on the contributions. Regardless of the tax rates applicable on the contributions in the other state, the total of the credit allowed may not exceed an amount determined by multiplying the contributions taxed in each year by the marginal South Carolina individual income tax rate for that year."
SECTION   12.   Section 12-6-3520 of the 1976 Code is amended to read:

"Section 12-6-3520.   (A)   There shall be is allowed as a tax credit against the income tax liability of a taxpayer an amount equal to fifty percent of the costs incurred by the taxpayer for habitat management or construction and maintenance of improvements on real property that are made to land as described in Section 50-15-55(A) and which meets meet the requirements of regulations promulgated by the Department of Natural Resources pursuant to Section 50-15-55(A). For purposes of this section, 'costs incurred' means those monies spent or revenue

(B)   All costs must be incurred on land that has been designated as a certified management area for endangered species enumerated in Section 50-15-40 or for nongame and wildlife species determined to be in need management under Section 50-15-30.

(C)   The tax credit allowed by this section must be claimed in the year that such the costs, as provided in subsection (B), are incurred as provided for in subsection (B). The This credit established by this section taken in one year may not exceed fifty percent of the taxpayer's income tax liability due pursuant to Section 12-6-510 or 12-6-530 for that year. If the amount of the credit exceeds the taxpayer's income tax liability for that taxable year, the taxpayer may carry forward any the excess for up to ten years.

(D)   If during any taxable year the landowner voluntarily chooses to leave the agreement made concerning the certified areas during any taxable year after taking the tax credit, then the taxpayer's tax liability for the current taxable year must be increased by the full amount of any credit claimed in prior previous years with respect to the property.

(E)(1)   An 'S' corporation, limited liability company, or partnership that qualifies for the credit under pursuant to this section as an 'S' corporation or partnership entitles may pass through the credit earned to each shareholder of the 'S' corporation, member of the limited liability company, or partner of the partnership to a nonrefundable credit against taxes. Any credit generated by an 'S' corporation must first be used against any tax liability of the 'S' corporation under Section 12-6-530. Any remaining credit passes through to the shareholders of the 'S' corporation.

(2)   The amount of the credit allowed a shareholder, member, or partner, or owner of a limited liability company pursuant to this section is equal to the shareholder's percentage of stock ownership, the member's interest in the limited liability company, or the partner's interest in the partnership, for the taxable year, multiplied by the amount of the credit that the taxpayer would have been entitled to if it were taxed as a corporation earned by the entity. Credit earned by an 'S' corporation owing corporate level income tax must be used first at the entity level. Only the remaining credit passes through to the shareholders of the 'S' corporation.

(3)   For purposes of this subsection, 'limited liability company' means a limited liability company taxed like a partnership."

"Section 12-10-30.   As used in this chapter:

(1)   'Council' means the Advisory Coordinating Council for Economic Development.

(2)   'Department' means the South Carolina Department of Revenue.

(3)   'Employee' means an employee of the qualifying business who works full time within the enterprise zone at the project.

(4)   'Gross wages' means wages subject to withholding.

(5)   'Job development credit' means the amount a qualifying business may claim as a credit against employee withholding pursuant to Sections 12-10-80 and 12-10-81 and a revitalization agreement.

(6)   'New job' means a job created or reinstated as defined in Section 12-6-3360(M)(3).

(7)   'Qualifying business' means a business that meets the requirements of Section 12-10-50 and other applicable requirements of this chapter and, where required pursuant to Section 12-10-50, enters into a revitalization agreement with the council to undertake a project pursuant to the provisions of this chapter.

(8)   'Project' means an investment for one or more purposes pursuant to this chapter needed for a qualifying business to locate, remain, or expand in this State and otherwise fulfill the requirements of this chapter.

(9)   'Preliminary revitalization agreement' means the application by the qualifying business for benefits pursuant to Section 12-10-80 or 12-10-81 if the council approves the application and agrees in writing at the time of approval to allow the approved application to serve as the preliminary revitalization agreement. The date of the preliminary revitalization agreement is the date of the council approval.

(10)   'Revitalization agreement' means an executed agreement entered into between the council and a qualifying business that describes the project and the negotiated terms and conditions for a business to qualify for a job development credit pursuant to Section 12-10-80 or 12-10-81.

(11)   'Qualifying expenditures' means those expenditures that meet the requirements of Section 12-10-80(C) or 12-10-81(D).

(12)   'Withholding' means employee withholding pursuant to Chapter 8 of this title.

(13)   'Technology employee' means an employee whose job qualifies for jobs tax credit pursuant to at a technology intensive

(14)   'Production employee' means an employee directly engaged in manufacturing or processing at a manufacturing or processing facility as defined in Section 12-6-3360(M).

(15)   'Retraining agreement' means an agreement entered into between a business and the council in which a qualifying business is entitled to retraining credit pursuant to Section 12-10-95.

(16)   'Retraining credit' means the amount that a business may claim as a credit against withholding pursuant to Section 12-10-95 and the retraining agreement.

(17)   'Technology intensive activities' means the design, development, and introduction of new products or innovative manufacturing processes, or both, through the systematic application of scientific and technical knowledge at a technology intensive facility as defined in Section 12-6-3360(M)."
SECTION   14.   Section 12-10-50 of the 1976 Code, as last amended by Act 399 of 2000, is further amended to read:

"Section 12-10-50.   (A)   To qualify for the benefits provided in this chapter, a business must be located within this State and must:

(1)   be engaged primarily in a business of the type identified in Section 12-6-3360;

(2)   provide a benefits package, including health care, to full-time employees at the project;

(3)   enter into a revitalization agreement that is approved by the council and that describes a minimum job requirement and minimum capital investment requirement for the project as provided in Section 12-10-90, except that a revitalization agreement is not required for a qualifying business with respect to Section 12-10-80(D); and

(4)   have negotiated incentives that council has determined are appropriate for the project, and the council shall certify that:

(a)   the total benefits of the project exceed the costs to the public; and

(b)   the business otherwise fulfills the requirements of this chapter.

(B)   To qualify for benefits pursuant to Section 12-10-95, a business must:

(1)   be engaged in manufacturing or processing operations or technology intensive activities at a manufacturing, processing, or technology intensive facility as defined in Section 12-6-3360(M);

(2)   provide a benefits package, including health care, to employees being retrained; and

(3)   enter into a retraining agreement with the council."
SECTION   15.   Section 12-10-80 of the 1976 Code, as last amended by Act 399 of 2000, is further amended to read:

"Section 12-10-80.   (A)   A business that qualifies pursuant to Section 12-10-50(A) and has certified to the council that the business has met the minimum job requirement and minimum capital investment provided for in the revitalization agreement may claim job development credits as determined by this section.

(1)   A business may claim job development credits against its withholding on its quarterly state withholding tax return for the amount of job development credits allowable pursuant to this section.

(2)   A business that is current with respect to its withholding tax and other tax due and owing the State and that has maintained its minimum employment and investment levels identified in the revitalization agreement may claim the credit on a quarterly basis beginning with the first quarter after the council's certification to the department that the minimum employment and capital investment levels were met for the entire quarter. If a qualifying business is not current as to all taxes due and owing to the State as of the date of the return on which the credit would be claimed, without regard to extensions, the business is barred from claiming the credit that would otherwise be allowed for that quarter.

(3)   A qualifying business may receive claim its initial job development credit only after the council has certified to the department that the qualifying business has met the required minimum employment and capital investment levels.

(4)   To be eligible to apply to the council to claim a job development credit, a qualifying business shall create at least ten new, full-time jobs, as defined in Section 12-6-3360(M), at the project described in the revitalization agreement within five years of the effective date of the agreement.

(5)   A qualifying business is eligible to claim a job development credit pursuant to the revitalization agreement for not more than fifteen years.

(6)   To the extent any return of an overpayment of withholding that results from claiming job development credits is not used as permitted by subsection (C) or (D) by Section 12-10-95, it must be treated as misappropriated employee withholding.

(7)   Except as provided in subsection (D), Job development credits may not be claimed for purposes of this section with regard to an employee whose job was created in this State before the taxable year of the qualifying business in which it enters into a preliminary revitalization agreement.

(8)   If a qualifying business claims job development credits pursuant to this section, it shall make its payroll books and records available for inspection by the council and the department at the times the council and the department request. Each qualifying business claiming job development credits pursuant to this section shall file with the council and the department the information and documentation requested by the council or department respecting employee withholding, the job development credit, and the use of any overpayment of withholding resulting from the claiming of a job development credit according to the revitalization agreement.

(9)   Each qualifying business claiming in excess of ten thousand dollars in a calendar year must furnish an audited report prepared by an independent certified public accountant that itemizes the sources and uses of the funds. The audited report must be filed with the council and the department no later than June thirtieth following the calendar year in which the job development credits are claimed, except when a qualifying business obtains the written approval by the council for an extension of that date. Extensions may be granted only for good cause shown. The department shall impose a penalty pursuant to Section 12-54-210 for all reports filed after June thirtieth or the approved extension date, whichever is later.

(10)   Each qualifying business claiming ten thousand dollars or less in any calendar year must furnish a report prepared by the company that itemizes the sources and uses of the funds. This report must be filed with the council and the department no later than June thirtieth following the calendar year in which the job development credits are claimed, except when a qualifying business obtains the written approval by the council for an extension of that date. Extensions may be granted only for good cause shown. The department shall impose a penalty pursuant to Section 12-54-210 for all reports filed after June thirtieth or the approved extension date, whichever is later.

(11)   An employer may not claim an amount that results in an employee's receiving a smaller amount of wages on either a weekly or on an annual basis than the employee would receive otherwise in the absence of this chapter.

(B)(1)   The maximum job development credit a qualifying business may claim for new employees is limited to the lesser of withholding tax paid to the State on a quarterly basis or the sum of the following amounts:

(a)   two percent of the gross wages of each new employee who earns 6.74 dollars $6.95 or more an hour but less than 8.99 dollars $9.27 an hour;

(b)   three percent of the gross wages of each new employee who earns 8.99 dollars 9.27 or more an hour but less than 11.23 dollars $11.58 an hour;

(c)   four percent of the gross wages of each new employee who earns 11.23 dollars $11.58 or more an hour but less than 16.85 dollars $17.38 an hour; and

(d)   five percent of the gross wages of each new employee who earns 16.85 dollars $17.38 or more an hour.

(2)   The hourly gross wage figures in item (1) must be adjusted annually by an inflation factor determined by the State Budget and Control Board. The amount that may be claimed by a qualifying business is limited by subsection (C) and the revitalization agreement. The council may approve a waiver of ninety-five percent of the limits pursuant to subsection (C) for qualifying businesses making a significant capital investment as defined in Section 4-12-30(D)(4) or Section 4-29-67(D)(4).

(C)   To claim a job development credit, the qualifying business must incur qualified expenditures at the project or for utility or transportation improvements that serve the project. To be qualified, the expenditures must be:

(1)   incurred during the term of the revitalization agreement, including a preliminary revitalization agreement, or within sixty days before the execution of a revitalization agreement, including a preliminary revitalization agreement council's receipt of an application for benefits pursuant to this section;

(2)   authorized by the revitalization agreement; and

(3)   used for any of the following purposes:

(a)   training costs and facilities;

(b)   acquiring and improving real estate whether constructed or acquired by purchase, or in cases approved by the council, acquired by lease or otherwise;

(c)   improvements to both public and private utility systems including water, sewer, electricity, natural gas, and telecommunications;

(d)   fixed transportation facilities including highway, rail, water, and air;

(e)   construction or improvements of real property and fixtures constructed or improved primarily for the purpose of complying with local, state, or federal environmental laws or regulations;

(f)   employee relocation expenses associated with new or expanded technology intensive facilities as defined in Section 12-6-3360(M)(14);

(g)   financing the costs of a purpose described in items (a) through (f).

(D)(1)   The amount of job development credits a qualifying business may claim for its use for qualifying expenditures is limited according to the designation of the county as defined in Section 12-6-3360(B) as follows:

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

(2)(b)   eighty-five percent of the maximum job development credits may be claimed by businesses located in counties designated as 'underdeveloped';

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

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

(2)   The amount that may be claimed as a job development credit by a qualifying business is limited by this subsection and by the revitalization agreement. The council may approve a waiver of ninety-five percent of the limits provided in item (1) for a qualifying business making a significant capital investment as defined in Section 4-12-30(D)(4), 4-29-67(D)(4), or 12-44-30(8).

(3)   The county designation of the county in which the project is located at the time the qualifying business enters into a preliminary revitalization agreement with the council remains in effect for the entire period of the revitalization agreement, except as to additional jobs created pursuant to an amendment to a revitalization agreement entered into before June 1, 1997, as provided in Section 12-10-60. In that case the county designation on the date of the amendment remains in effect for the remaining period of the revitalization agreement as to

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

(D)Subject to the conditions in this section, a qualifying business in this State may negotiate with the council to claim a job development credit for retraining according to the procedure in subsection (A) in an amount equal to five hundred dollars a year for each production and technology employee being retrained, where this retraining is necessary for the qualifying business to remain competitive or to introduce new technologies. This retraining must be approved and performed by the appropriate technical college under the jurisdiction of the State Board for Technical and Comprehensive Education. The technical college may provide the retraining program delivery directly or contract with other training entities to accomplish the required training outcomes. In addition to the yearly limits, the amount claimed as a job development credit for retraining may not exceed two thousand dollars over five years for each production employee being retrained. Additionally, the qualifying business must match on a dollar-for-dollar basis the amount claimed as a job development credit for retraining. The total amount claimed as job development credits for retraining and all of the matching funds of the qualifying business must be paid to the technical college that provides the training to defray the cost of the training program. Training cost in excess of the job development credits for retraining and matching funds is the responsibility of the qualifying business based on negotiations with the technical college.

(E)(F)   Any job development credit of a qualifying business permanently lapses upon expiration or termination of the revitalization agreement. If an employee is terminated, the qualifying business immediately must cease to claim job development credits as to that employee.

(F)   The statute of limitations provided by Section 12-54-85 is suspended until the end of the five-year period described in item (4) of subsection (A) with respect to state withholding taxes pursuant to this section for a business subject to this section.

(G)   For purposes of the job development credit allowed by this section, an employee is a person whose job was created in this State.

(H)   Job development credits may not be claimed by a governmental employer who employs persons at a closed or realigned military installation as defined in Section 12-10-88(E)."
SECTION   16.   Section 12-10-81 of the 1976 Code, as last amended by Act 399 of 2000, is further amended to read:

"Section 12-10-81.   (A)   A business may claim a job development credit as determined by this section if the:

(1)   council approves the use of this section for the business;

(2)   business qualifies pursuant to Section 12-10-50; and

(3)   business is a tire manufacturer that has more than four hundred twenty-five million dollars in capital invested in this State and employs more than one thousand employees in this State and that commits within a period of five years from the date of a revitalization agreement, to invest an additional three hundred fifty million dollars and create an additional three hundred fifty jobs in this State qualifying for job development fees or credits pursuant to current or future revitalization agreements; except that the business must certify to the council that the business has satisfied all minimum capital investment and job requirements identified in the revitalization agreements but not certified by the council to the department before July 1, 2001. The council, in its discretion, may extend the five-year period for two additional years if the business has made a commitment to the additional three hundred fifty million dollars and makes substantial progress toward satisfying the goal before the end of the initial five-year period. A business that represents to the council its intent to qualify pursuant to this section and is approved by the council may put job development fees computed pursuant to this section into an escrow account until the date the business satisfies certifies to the council that the business has satisfied the capital and job requirements of this section.

(B)(1)   A business qualifying pursuant to this section may claim its job development credit against its withholding on its quarterly state withholding tax return for the amount of job development credit allowable pursuant to this section for not more than fifteen years. Job development credits allowed pursuant to subsection (C)(1)(a) through (d) of this section apply only to withholding on jobs created pursuant to a revitalization agreement adopted pursuant to this section and to the amounts withheld on wages and salaries on those jobs.

(2)   A business that is current with respect to its withholding tax as well as any other tax due and owing the State and that has maintained its minimum employment and investment levels identified in the revitalization agreement may claim the credit on a quarterly basis beginning with the quarter subsequent to the council's certification to the department that the minimum employment and capital investment levels have been met for the entire quarter. If a qualifying business is not current as to all taxes due and owing to the State as of the date of the return on which the credit would be claimed, without regard to extensions, the business is barred from claiming the credit that would otherwise be allowed for that quarter.

(3)   To be eligible to apply to the council to claim a job development credit pursuant to this section, a qualifying business must create at least ten new, full-time jobs as defined in Section 12-6-3360(M) at the project or projects described in the revitalization agreement.

(4)   To the extent a return of an overpayment of withholding that results from claiming job development credits is not used as permitted by subsection (D), it must be treated as misappropriated employee withholding.

(5)   Job development credits may not be claimed for purposes of this section with regard to an employee whose job was created in this State before the taxable year the qualifying business enters into a preliminary revitalization agreement.

(6)   If a qualifying business claims job development credits pursuant to this section, it must make its payroll books and records available for inspection by the council and the department at the times the council and the department request. Each qualifying business claiming job development credits pursuant to this section must file with the council and the department the information and documentation they request respecting employee withholding, the job development credit, and the use of overpayment of withholding resulting from the claiming of a job development credit according to the revitalization agreement.

(7)   Each qualifying business must furnish an audited report prepared by an independent certified public accountant that itemizes the sources and uses of the funds. The audited report must be filed with the council and the department no later than June thirtieth following the calendar year in which the job development credits are claimed, except when a qualifying business obtains written approval of council for an extension of that date. Extensions may be granted for good cause shown. The department shall impose a penalty pursuant to Section

(8)   An employer may not claim an amount that results in an employee's receiving a smaller amount of wages on either a weekly or on an annual basis than the employee would otherwise receive in the absence of this chapter.

(C)(1)   The maximum job development credit a qualifying business may claim for new employees is determined by the sum of the following amounts:

(a)   two percent of the gross wages of each new employee who earns $6.74 $6.95 or more an hour but less than $8.99 $9.27 an hour;

(b)   three percent of the gross wages of each new employee who earns $8.99 $9.27 or more an hour but less than $11.23 $11.58 an hour;

(c)   four percent of the gross wages of each new employee who earns $11.23 $11.58 or more an hour but less than $16.85 $17.38 an hour;

(d)   five percent of the gross wages of each new employee who earns $16.85 $17.38 or more an hour; and

(e)   the increase in the state sales and use tax of the business from the year of the effective date of its revitalization agreement pursuant to this section and subsequent years, over its state sales and use tax for the first of the three years preceding the effective date of this revitalization agreement.

(2)   The hourly base wages in item (1) must be adjusted annually by the inflation factor determined by the State Budget and Control Board. The amount that may be claimed by a qualifying business is limited by subsection (E) and the negotiated terms of the revitalization agreement. The business may proceed by using either the job development fee escrow procedure available pursuant to revitalization agreements with effective dates before 1997, or the job development credit, or a combination of the two. For a business qualifying pursuant to this section, the council also may approve or waive sections of a revitalization agreement and the council's rules as needed, in the council's discretion, to assist the business.

(D)   To claim a job development credit, the qualifying business must incur expenditures at the project or for utility or transportation improvements that serve the project. To be qualified, the expenditures must be:

(1)   incurred during the term of the revitalization agreement, including a preliminary revitalization agreement, or within sixty days before council's receipt of an application for benefits pursuant to this section;

(2)   authorized by the revitalization agreement; and

(3)   used to reimburse the business for:

(a)   training costs and facilities;

(b)   acquiring and improving real estate whether constructed or acquired by purchase, or in cases approved by the council, acquired by lease or otherwise;

(c)   improvements to both public and private utility systems including water, sewer, electricity, natural gas, and telecommunication;

(d)   fixed transportation facilities including highway, rail, water, and air; or

(e)   construction or improvements of real property and fixtures constructed or improved primarily for the purpose of complying with local, state, or federal environmental laws or regulations.

(E)(1)   For purposes of subsection (C)(1)(a) through (d), the amount of job development credits a qualifying business may claim for its use for qualifying expenditures is limited according to the designation of the county as defined in Section 12-6-3360(B) as follows:

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

(b)   eighty-five percent of the maximum job development credits may be claimed by businesses located in counties designated as 'underdeveloped';

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

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

(2)   For purposes of this subsection, the county designation of the county in which the project is located at the time the qualifying business enters into a preliminary revitalization agreement with the council remains in effect for the entire period of the revitalization agreement.

(3)   The amount claimed by a qualifying business is limited by this subsection and the terms of the revitalization agreements. The business may use either the job development escrow procedure pursuant to revitalization agreements with effective dates before 1997 or the job development credit, or a combination of the two. For a business qualifying pursuant to this section, the council also may approve or waive sections of a revitalization agreement and rules of the council, in the council's discretion, to assist the business.

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

(F)   A job development credit of a qualifying business permanently lapses upon expiration or termination of the revitalization agreement. If an employee is terminated, the qualifying business immediately must cease to claim job development credits as to that employee.

(G)   The statute of limitations provided by Section 12-54-85 is suspended until the end of the five-year or seven-year period described in item (3) of subsection (A) with respect to state withholding taxes pursuant to this section for a business subject to this section.

(H)   For purposes of the job development credit allowed by this section, an employee is a person whose job was created in this State."
SECTION   17.   Section 12-13-20 of the 1976 Code is amended to read:

"Section 12-13-20.   The term 'net income', as used in this chapter, means taxable income as determined for a regular corporation in Chapter 7 6 of this title after deducting all earnings accrued, paid, credited, or set aside for the benefit of holders of savings or investment accounts, any additions to reserves which are required by law, regulation, or direction of appropriate supervisory agencies, and a bad debt deduction. The bad debt deduction allowable for South Carolina income tax purposes is the amount determined under the Internal Revenue Code and the applicable regulations as amended through December 31, 1986 as defined in Section 12-6-40. No deductions from income are allowed for any additions to undivided profits or surplus accounts other than herein required, and for the purposes of this chapter, a state-organized association is allowed the same deductions for bad debt reserves as those allowed to federally organized

"Section 12-13-60.   For the purpose of administration, enforcement, collection, liens, penalties, and other similar provisions, all of the provisions of Chapter 7 6 of this title that may be are appropriate or applicable are adopted and made a part of this chapter, including the requirement to make declarations requirements of declaration and payment of estimated tax and make estimated tax payments."
SECTION   19.   Section 12-20-90 of the 1976 Code is amended to read:

"Section 12-20-90.   The amount of the license fee required by Section 12-20-50 for a bank holding company, insurance holding company system, and savings and loan holding company must be measured by the capital stock and paid-in surplus of the holding company exclusive of the capital stock and paid-in surplus of a bank, insurer, or savings and loan association that is a subsidiary of the holding company. For the purposes of this section, 'bank', 'bank holding company', and 'subsidiary' of a bank holding company have the same definitions as in Section 34-24-20; 'insurer', 'insurance holding company system', and a 'subsidiary' of an insurance holding company system have the same definitions as in Section 38-21-10; and savings and loan 'association', 'savings and loan holding company', and a 'subsidiary' of a savings and loan company have the same definitions as in Section 34-28-300."
SECTION   20.   Section 12-20-110 of the 1976 Code is amended to read:

"Section 12-20-110.   The provisions of this chapter do not apply to any:

(1)   nonprofit corporation organized under Article 1 of pursuant to Chapter 31 or 33 of Title 33 and exempt from income taxes pursuant to Section 501 of the Internal Revenue Code of 1986;

(2)   volunteer fire department and rescue squad;

(3)   cooperative organized under Chapter 45 or 47 of pursuant to Title 33;

(4)   bank, building and loan association, or credit union doing a strictly mutual business;

(5)   insurance company or association including any a fraternal, beneficial, or mutual protection insurance company; or

(6)   foreign corporation whose entire income is not included in excluded from gross income for federal income tax purposes due to any a treaty obligation of the United States; or

(7)   homeowners' association within the meaning of Internal Revenue Code Section 528(c)(1)."
SECTION   21.   Section 12-28-1135(A) of the 1976 Code is amended to read:

"(A)   Each person who engages in the business of selling taxable motor fuel at wholesale or retail or storing or distributing purchases taxable motor fuel for resale within this State from a licensed terminal supplier first shall obtain a fuel vendor license which is operative for all locations controlled or operated by that licensee in this State or in any other state from which the person removes fuel for delivery and use in South Carolina."
SECTION   22.   A.   Section 12-28-1730(E) of the 1976 Code is amended to read:

"(E)   The department may impose a civil penalty against every terminal operator who wilfully fails to meet shipping paper issuance requirements under Sections 12-28-920, 12-28-1500, and 12-28-1575 or wilfully files a return without the supporting schedules as required by the department pursuant to Sections 12-28-1330 and 12-28-1340. The civil penalty imposed on the terminal operator is the same as the civil penalty imposed under subsection (B)."
B.   Section 12-28-1730 of the 1976 Code is amended by adding:

"(H)   If a person liable for the tax files a return and wilfully fails to provide all information required by the department, the department may add to the tax the amount provided in Section 12-54-43(C)(1)."
SECTION   23.   Section 12-36-90(2)(h) of the 1976 Code is amended to read:

"(h)   the sales price, not including sales tax, of property on sales which are actually charged off as bad debts or uncollectible accounts for state income tax purposes. A taxpayer who pays the tax on the unpaid balance of an account which has been found to be worthless and is actually charged off for state income tax purposes may take credit for the tax paid a deduction for the sales price charged off as a bad debt or uncollectible account on a return filed pursuant to this chapter, except that if an amount charged off is later paid in whole or in part to the

"The term 'sales price' as defined in this section, also does not include the sales price, not including tax, of property on sales which are actually charged off as bad debts or uncollectible accounts for state income tax purposes. A taxpayer who pays the tax on the unpaid balance of an account which has been found to be worthless and is actually charged off for state income tax purposes may take a deduction for the sales price charged of as a bad debt or uncollectible account on a return filed pursuant to this chapter, except that if an amount charged off is later paid in whole or in part to the taxpayer, the amount paid must be included in the first return filed after the collection and the tax paid. The deduction allowed by this paragraph must be taken within one year of the month the amount was determined to be a bad debt or uncollectible account."
SECTION   25.   Section 12-36-910(B)(3) of the 1976 Code is amended to read:

"(3)   gross proceeds accruing or proceeding from the charges for the ways or means for the transmission of the voice or messages, including the charges for use of equipment furnished by the seller or supplier of the ways or means for the transmission of the voice or messages. Charges for mobile telecommunications services subject to the tax under this item must be sourced in accordance with the Mobile Telecommunications Sourcing Act as provided in Title 4 of the United States Code. The term 'charges for mobile telecommunications services' is defined for purposes of this section the same as it is defined in the Mobile Telecommunications Sourcing Act. All other definitions and provisions of the Mobile Telecommunications Sourcing Act as provided in Title 4 of the United States Code are adopted;"
SECTION   26.   Section 12-36-910(B) of the 1976 Code is amended by adding:

"(5)   gross proceeds accruing or proceeding from the sale or recharge at retail or prepaid wireless calling arrangements.

(a)   'Prepaid wireless calling arrangements' means communication services that:

( i)   are used exclusively to purchase wireless telecommunications;

( ii)   are purchased in advance;

(iii)   allow the purchaser to originate telephone calls by using an access number, authorization code, or other means entered manually or electronically; and

( iv)   are sold in units or dollars which decline with use in a known amount.

(b)   All charges for prepaid wireless calling arrangements must be sourced to the:

( i)   location in this State where the over-the-counter sale took place;

( ii)   shipping address if the sale did not take place at the seller's location and an item is shipped; or

(iii)   either the billing address or location associated with the mobile telephone number if the sale did not take place at the seller's location and no item is shipped."
SECTION   27.   Section 12-36-940 of the 1976 Code is amended to read:

"Section 12-36-940.   (A)   Every Each retailer may add to the sales price as a result of the five percent state sales tax:

(1)   no amount on sales of ten cents or less;

(2)   one cent on sales of eleven cents and over, but not in excess of through twenty cents;

(3)   two cents on sales of twenty-one cents and over, but not in excess of through forty cents;

(4)   three cents on sales of forty-one cents and over, but not in excess of through sixty cents;

(5)   four cents on sales of sixty-one cents and over, but not in excess of through eighty cents;

(6)   five cents on sales of eighty-one cents and over, but not in excess of through one dollar;

(7)   one cent additional for each twenty cents or major fraction thereon in excess of it over of one dollar.

(B)   The inability, impracticability, refusal, or failure to add these amounts to the sales price and collect them from the purchaser does not relieve the taxpayer from the tax levied by this article.

(C)   For purposes of the state sales tax on accommodations and applicable combined state sales and local tax for counties imposing a local sales tax collected by the department on their behalf, retailers may add to the sales price an amount equal to the total state and local sales

"(3)   gross proceeds accruing or proceeding from the charges for the ways or means for the transmission of the voice or messages, including the charges for use of equipment furnished by the seller or supplier of the ways or means for the transmission of the voice or messages. Charges for mobile telecommunications services subject to the tax under this item must be sourced in accordance with the Mobile Telecommunications Sourcing Act as provided in Title 4 of the United States Code. The term 'charges for mobile telecommunications services' is defined for purposes of this section the same as it is defined in the Mobile Telecommunications Sourcing Act. All other definitions and provisions of the Mobile Telecommunications Sourcing Act as provided in Title 4 of the United States Code are adopted;"
SECTION   29.   Section 12-37-220(C) of the 1976 Code is amended to read:

"(C)   Upon approval by the governing body of the county, the five-year partial exemption allowed pursuant to subsections (A)(7), and (B)(32), and (B)(34) is extended to an unrelated purchaser who acquires the facilities in an arms-length transaction and who preserves the existing facilities and existing number of jobs. The partial exemption applies for the purchaser for five years if the purchaser otherwise meets the exemption requirements."
SECTION   30.   Section 12-54-43 of the 1976 Code, as last amended by Act 399 of 2000, is further amended by adding an appropriately lettered subsection to read:

"( )   A failure to deposit or pay taxes deducted and withheld pursuant to Article 5 of Chapter 8 subjects the withholding agent to a penalty of not less than ten dollars nor more than one thousand dollars. The penalty imposed by this item applies to failure to comply with the provisions of Section 12-54-250."
SECTION   31.   Section 12-54-44(C) of the 1976 Code is amended to read:

"(C)   A failure to deposit or pay taxes deducted and withheld pursuant to Article 5 of Chapter 8 subjects the withholding agent to a penalty of not less than ten dollars nor more than one thousand dollars. The penalty imposed by this item applies to failure to comply with the provisions of Section 12-54-250. Reserved"
SECTION   32.   Chapter 54, Title 12 of the 1976 Code is amended by adding:

"Section 12-54-195.   (A)   As used in this section, 'responsible person' includes any officer, partner, or employee of the taxpayer who has a duty to pay to the department the sales tax due by the taxpayer or use tax required or authorized to be collected by the retailer pursuant to Chapter 36 of this title.

(B)   If a retailer adds and collects the sales tax as permitted by Section 12-36-940, or collects the use tax from the purchaser as required by Section 12-36-1350, but the retailer fails to remit the tax collected to the department, then any responsible person may be held liable, individually and personally, for a penalty equal to one hundred percent of the tax collected but not remitted to the department. The tax is not collectible from the retailer to the extent the penalty imposed by this subsection is collected from a responsible person."
SECTION   33.   Section 12-54-85 of the 1976 Code, as last amended by Act 399 of 2000, is further amended by adding an appropriately numbered subsection at the end to read:

"( )(1)   An individual taxpayer is 'financially disabled' if he is unable to manage his financial affairs by reason of a medically determinable physical or mental impairment that is expected to result in death or that has lasted or is expected to last for a continuous period of not less than twelve months. An individual taxpayer does not have that impairment for this purpose unless proof of the existence of the impairment is provided to the department in the form and manner the department requests.

(2)   The running of the period of limitation provided in subsection (F) is suspended during a period an individual taxpayer is considered financially disabled.

(3)   An individual taxpayer may not be treated as financially disabled during a period that his spouse or another person is authorized lawfully to act on his behalf in financial matters."
SECTION   34.   Section 12-54-85(F) of the 1976 Code is amended to read:

"(F)(1) Except as provided in subsection (D) above, claims for credit or refund must be filed within three years of from the time the

(2)   If the claim was filed by the taxpayer during the three-year period prescribed in item (1), the amount of the credit or refund may not exceed the portion of the tax paid within the period, immediately preceding the filing of the claim, equal to three years plus the period of any extension of time for filing the return.

(3)   If the claim was not filed within the three-year period, the amount of the credit or refund may not exceed the portion of the tax paid during the two years immediately preceding the filing of the claim.

(4)   If no claim was filed, the credit or refund may not exceed the amount which would be allowable under item (2) or (3), as the case may be, as if a claim were filed on the date the credit or refund is allowed.

(5)   For the purposes of this subsection:

(a)   A return filed before the last day prescribed for the filing is considered as filed on the last day. Payment of any portion of the tax made before the last day prescribed for the payment of the tax is considered made on the last day. The last day prescribed for filing the return or paying the tax must be determined without regard to any extension of time.

(b)   Any tax actually withheld at the source in respect of the recipient of income, is considered to have been paid by the recipient on the last day prescribed for filing his return for the taxable year, determined without regard to any extension of time for filing the return, with respect to which the taxpayer would be allowed a credit for the amount withheld.

(c)   Any amount paid as estimated income tax for any taxable year is considered to have been paid on the last day prescribed for filing the return for the taxable year, determined without regard to any extension of time for filing the return.

(6)   In the case of an individual, the running of the period specified in this subsection is suspended for a period of the individual's life during which he is financially disabled. For purposes of this item,

(a)   a written statement signed by a physician qualified to make the determination that provides the:

( i)   name and a brief description of the physical or mental impairment;

( ii)   physician's medical opinion that the physical or mental impairment prevented the taxpayer from managing his financial affairs;

(iii)   physician's medical opinion that the taxpayer's physical or mental impairment resulted in, or is expected to result in, death, or that it has lasted, or is expected to last, for a continuous period of not less than twelve months; and

( iv)   specific time period during which the taxpayer was prevented by the physical or mental impairment from managing his financial affairs, to the best of the physician's knowledge; and

(b)   a written statement by the taxpayer or the person signing the claim for credit or refund that the person, including the taxpayer's spouse, was not authorized to act on his behalf in financial matters for the period during which he was unable to manage his own financial affairs. Alternatively, if a person was authorized to act on the taxpayer's behalf in financial matters during part of that period of disability, the statement must contain the beginning and ending dates of the period of time the person was authorized; and

(c)   other information the department may require.

The department, in its discretion, may adopt a determination made by the Internal Revenue Service with respect to an individual, and may follow rules issued by the Internal Revenue Service or Department of Treasury with regard to interpreting Internal Revenue Code section 6511(h)."
SECTION   35.   Section 12-54-200 of the 1976 Code is amended to read:

"Section 12-54-200.   (a)(A)   The department, at its discretion, after notification as provided in subsection (b) of this section, may

(B)   The amount of the bond must be determined by the department and may not be greater than three times the estimated average liability each filing period of the person required to file the return. A cash bond must be held by the State Treasurer, without interest, as surety conditioned upon prompt payment of all taxes, penalties, and interest imposed by law upon the person.

(C)   If a person is required to maintain a separate account, he must give the name of the financial institution, the account number, and other information the department requires. Taxes, penalties, and interest due must be withdrawn from the account by preprinted, consecutively numbered checks signed by a properly authorized officer, partner, manager, employee, or member of the taxpayer and made payable to the department. Monies deposited in the account may not be commingled with other funds. The department, at its discretion, may apply Section 12-54-250, if the amount due from the taxpayer is twenty thousand dollars or more.

(D)   When any a person required to post a bond or maintain a separate account, or both, complies with all requirements of law and regulations for a period of twenty-four consecutive months, the department shall return the bond and cancel the bonding and separate account requirements.

(b)(E)   The department shall may serve the notice required by subsection (b) of this section by certified mail, or by delivery by an authorized agent of the department delivering the notice to the person in hand or by leaving the notice at the person's last or usual place of abode or at his place of business or employment. For corporations, partnerships, or trusts, the notice may be delivered by certified mail, or by delivery by an authorized agent for of the department delivering the notice to an officer, partner, or trustee in hand, or by leaving the notice at the officer's, partner's, or trustee's last or usual place of abode or at his place of business or employment.

(F)   A person who fails to comply with this section is guilty of a misdemeanor and, upon conviction, must be fined not more than five hundred dollars or imprisoned not more than thirty days, or both.

"(2)   For purposes of this section, 'delinquent tax claim' means a tax liability that is due and owing for a period longer than six months and for which the taxpayer has been given at least three notices requesting payment and for any subsequent tax debts issued, one notice of which has been sent by certified or registered mail. The notice sent by certified or registered mail must include includes a statement that the taxpayer's delinquency may be referred to a collection agency in the taxpayer's home state."
SECTION   37.   Section 12-54-240(B)(6) of the 1976 Code is amended to read:

"(6)   disclosure of a deficiency assessment to a probate court or to an attorney conducting a closing, the filing of a tax lien for uncollected taxes, and the issuance of a notice of levy;"
SECTION   38.   Section 12-56-120 of the 1976 Code is amended to read:

"Section 12-56-120.   The department is and Internal Revenue Service are exempt from the notice and appeal procedures of this chapter. The sole and exclusive appeal procedures procedure for the setoff of any a debt owed to the department is governed by the provisions of Chapter 60 of Title 12 which provides the sole and exclusive remedy for these procedures. The appeal procedure in connection with a liability to the Internal Revenue Service is governed by Title 26 of the United States Code."
SECTION   39.   Section 12-58-185(A) of the 1976 Code is amended to read:

"(A)   The department, in its discretion, may accept installment payment for amounts due for a period not to exceed one year from the date the payment was due originally. Interest accrues during the installment period, pursuant to Section 12-54-25. In addition, the department may extend the time for payment of an amount due it for a period not to exceed eighteen months from the date fixed for the payment and, in exceptional cases, for a further period not to exceed twelve months. An extension under pursuant to this section may be granted only where if it is shown to the satisfaction of the department that the payment of the amount due it upon the date originally fixed for the payment will result in undue hardship to the taxpayer."

"(C)   Taxpayers may be represented during the administrative tax process by:

(1)   the same individuals who can may represent them in administrative tax proceedings with the Internal Revenue Service pursuant to Section 10.3 (a), (b), and (c), Section 10.7 (a), (1) (c)(i) through (4) and (7) (c)(vi), and (c)(viii), and Section 10.7 (b) (d) and (c) (e) of United States Treasury Department Circular No. 230; and

(2)   a real estate appraiser who is registered, licensed, or certified pursuant to Chapter 60 of Title 40 during the administrative tax process in a matter limited to questions concerning the valuation of real property."
SECTION   41.   Section 4-37-30(A)(15) of the 1976 Code, as amended by Act 368 of 2000, is further amended to read:

"(15)   The revenues of the tax collected in each county pursuant to this section must be remitted to the State Treasurer and credited to a fund separate and distinct from the general fund of the State. After deducting the amount of refunds made and costs to the Department of Revenue of administering the tax, not to exceed one percent of the revenues, the State Treasurer shall distribute the revenues and all interest earned on the revenues while on deposit with him quarterly to the county in which the tax is imposed and these revenues and interest earnings must be used only for the purpose stated in the imposition ordinance. The State Treasurer may correct misallocation misallocations costs or refunds by adjusting later distributions, but these adjustments must be made in the same fiscal year as the misallocation misallocations. However, allocations made as a result of city or county code errors must be corrected prospectively."
SECTION   42.   A.   Section 6(A) of Act 588 of 1994 is amended to read:

"(A)   The revenues of the tax collected in the county under this act must be remitted to the State Treasurer and credited to a fund separate and distinct from the general fund of the State. After deducting the amount of refunds made and costs to the Department of Revenue and Taxation of administering the tax, not to exceed one percent of the revenues, the State Treasurer shall distribute the revenues quarterly to the county treasurer who holds the debt service funds established for payment of principal and interest on the bonds to which the tax is applicable. The State Treasurer may correct misallocation misallocations costs or refunds by adjusting subsequent distributions,

"(D)   Annually, in the month of June, funds collected by the Department of Revenue from the Cherokee County School District 1 School Bond-Property Tax Relief Act which are not identified as to the governmental unit due the tax after reasonable effort by the department to determine the source of collection must be transferred to the State Treasurer's Office. The State Treasurer shall distribute these funds to the county treasurer in the county area in which the tax is imposed and the revenues must be used only for the purposes stated in the imposition resolution. The State Treasurer shall calculate this supplemental distribution on a proportional basis based on the current fiscal year's county area revenue collections."
SECTION   43.   A.   Section 7A of Act 441 of 2000 is amended to read:

"(A)   The revenues of the tax collected in the county under this act must be remitted to the State Treasurer and credited to a fund separate and distinct from the general fund of the State. After deducting the amount of refunds made and costs to the department of administering the tax, not to exceed one percent of the revenues, the State Treasurer shall distribute the revenues quarterly to the county treasurer, who shall hold the debt service funds for payment of principal and interest on the bonds to which the tax is applicable. The State Treasurer may correct misallocation costs or refunds misallocations by adjusting subsequent distributions, but these adjustments must be made in the same fiscal year as the misallocation. However, allocations made as a result of city or county code errors must be corrected prospectively."
B.   Section 7 of Act 441 of 2000 is amended by adding at the end:

"(D)   Annually, in the month of June, funds collected by the Department of Revenue from the Chesterfield County School District School Bond-Property Tax Relief Act which are not identified as to the governmental unit due the tax after reasonable effort by the department to determine the source of collection must be transferred to the State Treasurer's Office. The State Treasurer shall distribute these funds to the county treasurer in the county area in which the tax is imposed and the revenues must be used only for the purposes stated in the imposition resolution. The State Treasurer shall calculate this

"(1)   'governmental entity' means the State and any state agency, board, committee, department, department, private or public institution of higher learning; all political subdivisions of the State; and all federal agencies, boards, and departments. 'Political subdivision' includes the Municipal Association of South Carolina and the South Carolina Association of Counties when these organizations submit claims on behalf of their members."
SECTION   45.   RESERVED
SECTION   46.   Chapter 43, Title 12, of the 1976 Code is amended by adding:

"Section 12-43-285.   (A)   The governing body of a political subdivision on whose behalf a property tax is billed by the county auditor shall certify in writing to the county auditor that the millage rate levied is in compliance with laws limiting the millage rate imposed by that political subdivision.

(B)   If a millage rate is in excess of that authorized by law, the county treasurer shall either issue refunds or transfer the total amount in excess of that authorized by law, upon collection, to a separate, segregated fund, which must be credited to taxpayers in the following year as instructed by the governing body of the political subdivision on whose behalf the millage was levied. An entity submitting a millage rate in excess of that authorized by law shall pay the costs of implementing this subsection or a pro rata share of the costs if more than one entity submits an excessive millage rate."
SECTION   47.   Section 4-1-170 of the 1976 Code is amended to read:

"Section 4-1-170.   (A)   By written agreement, counties may develop jointly an industrial or business park with other counties within the geographical boundaries of one or more of the member counties as provided in Section 13 of Article VIII of the Constitution of this State. The written agreement entered into by the participating counties must include provisions which:

(1)   address sharing expenses of the park;

(2)   specify by percentage the revenue to be allocated to each county;

(3)   specify the manner in which revenue must be distributed to each of the taxing entities within each of the participating counties.

(B)   For the purpose of bonded indebtedness limitation and for the purpose of computing the index of taxpaying ability pursuant to Section 59-20-20(3), allocation of the assessed value of property within the park to the participating counties and to each of the taxing entities within the participating counties must be identical to the allocation of revenue received and retained by each of the counties and by each of the taxing entities within the participating counties. Misallocations may be corrected by adjusting later distributions, but these adjustments must be made in the same fiscal year as the misallocations. Provided, however, that the computation of bonded indebtedness limitation is subject to the requirements of Section 4-29-68(E).

(C)   If the industrial or business park encompasses all or a portion of a municipality, the counties must obtain the consent of the municipality prior to the creation of the multi-county industrial park."
SECTION   48.   Section 12-51-90(B) of the 1976 Code, as last amended by Act 334 of 2000, is further amended to read:

"(B)   The lump sum amount of interest is due on the whole amount of the delinquent tax sale based on the month during the redemption period the property is redeemed and that rate relates back to the beginning of the redemption period according to the following schedule:

Month of Redemption Period     Amount of Interest Imposed

Property Redeemed

First three months             three percent of the bid amount

Months four, five, and six       six percent of the bid amount

Months seven, eight, and nine   nine percent of the bid amount

Last three months             twelve percent of the bid amount

However, in every redemption, the amount of interest due must not exceed the amount of the bid on the property submitted on behalf of the forfeited land commission pursuant to Section 12-51-55."
SECTION   49.   Section 33-44-211(c) of the 1976 Code, as last amended by Act 395 of 2000, is further amended to read:

"(c)   The first annual report must be delivered to the Secretary of State between January first and April first of the year following the calendar year in which a limited liability company was organized or a foreign company was authorized to transact business. Subsequent annual reports must be delivered to the Secretary of State on or before the fifteenth day of the third fourth month following the close of the taxable year."
SECTION   50.   A.   Section 12-36-2620(2) of the 1976 Code is amended to read:

"(2)   a one percent tax, which must be credited as provided in Section 59-21-1010(B). The one percent tax specified in this item does not apply to the issuance of certificates of title or other proof of ownership to an individual eighty-five years of age or older titling or registering a motor vehicle, motorcycle, boat, motor, or airplane for his own personal use, if at the time of sale, the individual requests the one percent exclusion from tax and provides the retailer with proof of age."
B.   Section 12-36-2630(2) of the 1976 Code is amended to read:

"(2)   a one percent tax, which must be credited as provided in Section 59-21-1010(B). The one percent tax specified in this item (2) does not apply to sales to an individual eighty-five years of age or older purchasing tangible personal property for his own personal use, if at the time of sale, the individual requests the one percent exclusion from tax and provides the retailer with proof of age; and"
C.   Section 12-36-2640(2) of the 1976 Code is amended to read:

"(2)   a one percent tax which must be credited as provided in Section 59-21-1010(B). The one percent tax specified in this item does not apply to the issuance of certificates of title or other proof of ownership to an individual eighty-five years of age or older titling or registering a motor vehicle, motorcycle, boat, motor, or airplane for his own personal use, if at the time of sale, the individual requests the one percent exclusion from tax and provides the retailer with proof of age."
D.   Article 25, Chapter 36, Title 12 of the 1976 Code is amended by adding:

"Section 12-36-2646.   (A)   Retailers shall post a sign at each entrance or each cash register which advises individuals eighty-five years of age or older of the one percent exclusion from tax available under Sections 12-36-2620, 12-36-2630, and 12-36-2640.

(B)   A retailer who fails to post the required signs is subject to a penalty of up to one hundred dollars for each month or portion of the month the sign or signs are not posted. Continued failure to post the signs after a written warning from the Department of Revenue may result in revocation of the retailer's retail license in accordance with Section 12-54-90. Failure to post the signs does not give rise to a cause of action by an individual eighty-five years of age or older who failed to request the exclusion and provide proof of age at the time of sale."
SECTION   51.   A. Section 4-12-30(D)(4)(a) of the 1976 Code, as last amended by Act 399 of 2000, is further amended to read:

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

(i)   in the case of a business which is investing at least two hundred million dollars, which, when added to the previous

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

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

(iv)   in the case of a sponsor and a sponsor affiliate, who together are investing at least four hundred million dollars and creating at least two hundred new full time jobs at the site qualifying for the fee and:

a.   the investment by the sponsor affiliate is considered necessary and suitable for the operation of the sponsor facility;

b.   the sponsor affiliate is located contiguous to the sponsor project;

c.   one hundred percent of the output of the sponsor affiliate is provided to the sponsor for the project; and

d.   the sponsor affiliate is not considered a supplier of manufactured parts or of any value added output of the sponsor."
B.   Section 4-12-30(G) of the 1976 Code, as last amended by Act 399 of 2000, is further amended to read:

"(G)(1)   The county and the sponsor may enter into an agreement to establish the millage rate, a millage rate agreement, for purposes of calculating payments under subsection (D)(2)(a), and the first five years under subsection (D)(2)(b). This millage rate agreement must may be executed on the date of the inducement agreement or at any time thereafter up to and including, but not later than, the date of the initial lease agreement. This millage rate agreement may be a separate agreement or may be made a part of either the inducement agreement or the initial lease agreement.

(2)   The millage rate established pursuant to subsection (G)(1) must cannot be lower than the a cumulative property tax millage rate legally levied by or on behalf of all taxing entities within which the subject property is to be located which is the cumulative rate that is

(3)   For purposes of determining the cumulative property tax millage rate under pursuant to subsection (G)(2), the millage rate assessed by a municipality must may not be included in the computation even if the subject property was located in the jurisdiction of the taxing entity as of June thirtieth preceding the calendar year in which the millage rate agreement is executed, if, pursuant to agreement on the part of the taxing entity at the time of execution of the millage rate agreement, the taxing entity de-annexes the subject property before execution of the initial lease."
C.   Section 4-29-10(3) of the 1976 Code, as last amended by Act 151 of 1997, is further amended to read:

"(3)   'Project' means any land and any buildings and other improvements on the land including, without limiting the generality of the foregoing, water, sewage treatment and disposal facilities, air pollution control facilities, and all other machinery, apparatus, equipment, office facilities, and furnishings which are considered necessary, suitable, or useful by the following investors or any combination of them:

(a)   any enterprise for the manufacturing, processing, or assembling of any agricultural or manufactured products;

(b)   any commercial enterprise engaged in storing, warehousing, distributing, transporting, or selling products of agriculture, mining, or industry, or engaged in providing laundry services to hospitals, to convalescent homes, or to medical treatment facilities of any type, public or private, within or outside of the issuing county or incorporated municipality and within or outside of the State;

(c)   any enterprise for research in connection with any of the foregoing or for the purpose of developing new products or new processes or improving existing products or processes;

(d)   any enterprise engaged in commercial business including, but not limited to, wholesale, retail, or other mercantile establishments; residential and mixed use developments of two thousand five hundred acres or more; office buildings; computer centers; tourism, sports, and

(e)   any enlargement, improvement, or expansion of any existing facility in subitems (a), (b), (c), and (d) of this item.

The term 'project' does not include facilities for an enterprise primarily engaged in the sale or distribution to the public of electricity, gas, or telephone services. A project may be located in one or more counties or incorporated municipalities. The term 'project' also includes any structure, building, machinery, system, land, interest in land, water right, or other property necessary or desirable to provide facilities to be owned and operated by any person, firm, or corporation for the purpose of providing drinking water, water, or wastewater treatment services or facilities to any public body, agency, political subdivision, or special purpose district. This definition is for purposes of industrial revenue bonds only."
D.   Section 4-29-10 of the 1976 Code, as last amended by Act 151 of 1997, is further amended by adding at the end:

"(9)   'Investor' means one or more entities that sign the inducement agreement with the county and also includes an investor affiliate unless the context clearly indicates otherwise.

(10)   'Investor affiliate' means an entity that joins with, or is an affiliate of, an investor and that participates in the investment in, or financing of, a project.

(11)   'Business' means a single entity or two or more entities if they meet the qualifications of Section 4-12-30."
E.   Section 4-29-67 of the 1976 Code, as last amended by Act 279 of 2000, is further amended to read:

"Section 4-29-67.   (A)   Notwithstanding the provisions of Section 4-29-60, in the case of a financing agreement in the form of one or more lease agreements for a project qualifying under pursuant to subsection (B), the county and the investor may enter into an inducement agreement which that provides for payment of a fee in lieu of taxes (fee) as provided in this section. All A references reference in this section to a lease agreement shall be deemed also to refer is considered a reference also to a lease purchase agreement.

(B)   In order for For property to qualify for the fee as provided in subsection (D)(2), which was adopted:

(1)   Title to the property must be held by the county or, in the case of a project located in an industrial development park as defined in

(2)   The investment must be a project which that is located in a single county or an industrial development park as defined in Section 4-1-170. A project located on a contiguous tract of land in more than one county, but not in such an industrial development park, may qualify for the fee provided if:

(a)   the counties agree on the terms of the fee and the distribution of the fee payment;

(b)   the minimum millage rate cannot be is not lower than the millage rate applicable to the county in which the greatest amount of investment occurs; and

(c)   all such the counties must be parties to all agreements establishing the terms of the fee.

(3)   The minimum level of investment must be at least forty-five million dollars and must be invested within the time period provided in subsection (C).

(4)(a)   Except as provided in subsections (B)(4)(b) and (D)(4)(a), the investment must be made by a single entity. For purposes of this section, (i) any partnership or other association which properly files its South Carolina income tax returns as a partnership for South Carolina income tax purposes will be treated as a single entity and as a partnership, and (ii) any corporation or other association which properly files its South Carolina income tax returns as a corporation for South Carolina income tax purposes will be treated as a single entity and as a corporation. A corporation and a partnership, which partnership is a "controlled partnership" of the corporation, as provided under Section 707(b)(1) of the Internal Revenue Code as defined in Chapter 6 of Title 12, as of the date of the execution of the inducement agreement, and both of which will construct their projects on the same site qualifying for the fee, must be treated as a single entity for purposes of this subsection and subsections (B)(3) and (D)(4). Investment may be made by a business or a combination of businesses, except that each business must invest at least five million dollars at the project.

(b)(i)   The members of the same controlled group of corporations can qualify for the fee if the combined investment in the county by the members meets the minimum investment requirements. The county and the members investors and investor affiliates who are

(ii)   The Department of Revenue must be notified in writing of all members investors and investor affiliates which that have investments subject to the fee before or within thirty days after the execution of the lease agreement covering the investment by the member investor or investor affiliate. The Department of Revenue may extend the thirty-day period upon written request. Failure to meet this notice requirement will does not affect adversely affect the fee, but a penalty of up to ten thousand dollars a month or portion of a month with the total penalty not to exceed one hundred twenty thousand dollars may be assessed by the Department of Revenue for late notification for up to ten thousand dollars a month or portion of a month with the total penalty not to exceed one hundred twenty thousand dollars. Members of the controlled group must provide the information considered necessary by the Department of Revenue to ensure that the investors are part of a controlled group.

(iii)   If, at any time, the controlled group or any former member (who has left the controlled group) no longer has the minimum forty-five million dollars of investment (without regard to depreciation), that group or former member no longer holding the minimum amount of investment as provided in subsection (B)(3) (without regard to depreciation) will investment at the project falls

(iv)   For purposes of this section, 'controlled group' or 'controlled group of corporations' shall have the meaning provided under Section 1563(a) of the Internal Revenue Code as defined in Chapter 6 of Title 12 as of the date of the execution of the inducement agreement (without regard to amendments or replacements thereof), without regard to subsections (a)(4) and (b) of Section 1563 If, at any time, a business no longer has a minimum investment of five million dollars at the project, without regard to depreciation, the investor or investor affiliate no longer qualifies for the fee.

(C)(1)   From the end of the property tax year in which the investor and the county execute an inducement agreement, the investor has seven years in which to enter into an initial lease agreement with the county.

(2)(a)   From the end of the property tax year in which the investor and the county execute the initial lease agreement, the investor has five years in which to complete its investment for purposes of qualifying for this section. If the investor does not anticipate completing the project within five years, the investor may apply to the county before the end of the five-year period for an extension of time, up to two years, to complete the project. If the The county county's agrees agreement to grant the extension, the county must do so be in writing, and a copy must be delivered to the Department of Revenue within thirty days of the date the extension was granted. The extension may not exceed two years in which to complete the project.

(b)   There is no An extension allowed for of the five-year period in which to meet the minimum level of investment is not allowed. If the minimum level of investment is not met within five years, all property under covered by the lease agreement or agreements reverts retroactively to the payments required by Section 4-29-60. The difference between the fee actually paid by the investor and the payment which is due under pursuant to Section 4-29-60 is subject to interest, as provided in Section 12-54-25(D).

(c)   Unless property qualifies as replacement property under pursuant to a contract provision enacted pursuant to subsection (F)(2), any property placed in service after the five-year period, or seven years in the case of a project which has received an extension, is not part of the fee agreement under pursuant to subsection (D)(2) and is subject to the payments required by Section 4-29-60 if the county has title to:

(i)   the property,; or

(ii)   to property taxes, as provided in Chapter 37 of Title 12, if the investor has title to the property.

(d)   For purposes of those businesses qualifying under pursuant to Section 4-29-67(D)(4), the five-year period referred to in this subsection is eight years and the seven-year period is ten years.

(3)   The annual fee provided by subsection (D)(2) is available for no more than twenty years. For projects which are completed and placed in service during a period of more than one year, each year's investment may be subject to the fee in subsection (D)(2) for twenty years to a maximum total of twenty-seven years for the fee for a single project which has been granted an extension. For those businesses qualifying under pursuant to subsection (D)(4), the annual fee is available for no more than thirty years and for those projects placed in service in more than one year, the annual fee is available for a maximum of thirty-seven years.

(4)   Annually, during During the time period allowed to meet the minimum investment level, the investor annually must provide inform the total amount invested to the appropriate county official of the total amount invested.

(D)   The inducement agreement must provide for fee payments, to the extent applicable, as follows:

(1)(a)   Any property, If title to which is of property is transferred to the county, will be the property is subject, before being placed in service, to an annual fee payment as provided in Section 4-29-60 before being placed in service.

(b)   Any undeveloped land, If title to which undeveloped land, is transferred to the county, will be the undeveloped land is subject, before being developed and placed in service, to an annual fee payment as provided in Section 4-29-60 developed land is before being developed and placed in service. The time during which fee payments are made under pursuant to Section 4-29-60 will not be considered are not part of the maximum periods provided in subsections subsection (C)(2) and (C)(3), and no a lease shall be considered is not an 'initial lease agreement' for purposes of this section unless and until the first day of the calendar year for which a fee payment is due under pursuant to subsection (D)(2) in connection with such the lease.

(2)   After property qualifying under pursuant subsection (B) is placed in service, an annual fee payment, determined in accordance with one of the following, is due:

(a)   an annual payment in an amount not less than the property taxes that would be due on the project if it were taxable, but using:

(i)   an assessment ratio of not less than at least six percent, except as provided in subsection (D)(4),; and

(ii)   a fixed millage rate as provided in subsection (G),: and

(iii)   a fair market value estimate determined by the South Carolina Department of Revenue as follows:. (i) The estimate for real property using is the original income tax basis for South Carolina income tax purposes without regard to depreciation. However, if real property is constructed for the fee or is purchased in an arm's length transaction, fair market value is deemed to equal equals the original income tax basis, otherwise the Department of Revenue will shall determine fair market value by appraisal; and. The estimate (ii) for personal property using is the original income tax basis for South Carolina income tax purposes, less depreciation allowable for property tax purposes,; except that the investor is not entitled to any extraordinary obsolescence.;

(b)   an annual payment based on any an alternative arrangement yielding a net present value of the sum of the fees for the life of the agreement not less than the net present value of the fee schedule as calculated under pursuant to subsection (D)(2)(a). Net present value calculations performed under pursuant to this subsection must use a discount rate equivalent to the yield in effect for new or existing United States Treasury bonds of similar maturity as published during the month in which the inducement agreement is executed. If no yield is available for the month in which the inducement agreement is executed, the last published yield for the appropriate maturity must be used. If there are no bonds of appropriate maturity available, bonds of different maturities may be averaged to obtain the appropriate maturity.; or

(c)   an annual payment using a formula that results in a fee not less than the amount required pursuant to subsection (D)(2)(a), except that every fifth year the applicable millage rate is allowed to may increase or decrease in step with the average actual millage rate applicable in the district where the project is located based on the preceding five-year period.

(3)   At the conclusion of the payments determined pursuant to items (1) and (2) of this subsection, an annual payment the annual fee payment is equal to the taxes due on the project as if it were taxable.

(a)   with respect to real property, based on the fair market value as of the latest reassessment date for similar taxable property; and

(b)   with respect to personal property, based on the then-depreciated value applicable to such the property under the fee, and thereafter after that continuing with the South Carolina property tax depreciation schedule.

(4)(a)   The assessment ratio may not be lower than must be at least four percent:

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

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

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

(iv)   in the case of a business which is investing at least six hundred million dollars in this State.

(v)   in the case of investments totaling at least four hundred million dollars and creating at least two hundred new full-time jobs at the site qualifying for the fee and:

a.   the investment by the investor affiliate is considered necessary and suitable for the operation of the sponsor facility;

b.   the investor affiliate is located contiguous to the investor project;

c.   one hundred percent of the output of the investor affiliate is provided to the investor for the project; and

d.   the investor affiliate is not considered a supplier of manufactured parts or of any value added output of the investor.

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

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

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

(E)   Calculations pursuant to subsection (D)(2) must be made on the basis that the property, if taxable, is allowed all applicable property tax exemptions except the exemption allowed under pursuant to Section 3(g) of Article X of the Constitution of this State and the exemption exemptions allowed pursuant to Section 12-37-220B(32) and (34).

(F)   With regard to calculation of the fee provided in subsection (D)(2), the inducement agreement may provide for the disposal of property and the replacement of property subject to the fee as follows:

(1)(a)   If an investor disposes of property subject to the fee, the fee must be reduced by the amount of the fee applicable to that property. (b) Property is disposed of only when it is scrapped or sold in accordance with the lease agreement. (c) If the investor used any method to compute the fee other than that provided in subsection (D)(2)(a), the fee on the property which was disposed of must be recomputed in accordance with subsection (D)(2)(a) and to the extent that the amount which that would have been paid under pursuant to subsection (D)(2)(a) exceeds the fee actually paid by the investor, the investor must pay the difference with the next fee payment due after the property is disposed of. If the investor used the method provided in

(2)   Any property Property which is placed in service as a replacement for property which that is subject to the fee payment may become part of the fee payment as provided in this item:

(a)   Replacement property does not have to serve the same may have a function as that differs from the property it is replacing. Replacement property is deemed considered to replace the oldest real or personal property subject to the fee, whether real or personal, which is and disposed of in the same property tax year as the replacement property is placed in service. Replacement property qualifies for fee treatment provided in subsection (D)(2) only up to the original income tax basis of fee property it is replacing replaces. More than one piece of replacement property can may replace a single piece of fee property. To the extent that the income tax basis of the replacement property exceeds the original income tax basis of the property which it is replacing replaces, the excess amount is subject to payments as provided in Section 4-29-60. Replacement property is entitled to the fee payment for the period of time remaining on the twenty-year fee period for the property which it is replacing replaces.

(b)   The new replacement property which that qualifies for the fee provided in subsection (D)(2) is recorded using its income tax basis, and the fee is calculated using the millage rate and assessment ratio provided on the original fee property. The fee payment for replacement property must be based on subsections subsection (D)(2)(a) or (D)(2)(c), if the investor originally used this that method, without regard to present value.

(c)   In order to To qualify as replacement property, title to the replacement property must be held by the county.

(d)   If there is no provision in the inducement agreement dealing with replacement property, any property placed in service after the time period allowed for investments as provided by subsection (C)(2), is subject to the payments required by Section 4-29-60 if the county has title to:

(i)   the property,; or

(ii)   to property taxes, as provided in Chapter 37 of Title 12, if the investor has title to the property.

(G)(1)   The county and the investor may enter into an agreement to establish the millage rate (millage rate agreement) for purposes of calculating payments under pursuant to subsection (D)(2)(a) and the first five years under pursuant to subsection (D)(2)(c). This millage rate agreement must may be executed on the date of the inducement agreement or at anytime any time thereafter up to and including, but not later than, the date of the initial lease agreement. This millage rate agreement may be a separate agreement or may be made a part of either the inducement agreement or the initial lease agreement.

(2)   The millage rate established pursuant to item (1) of this subsection cannot must be lower than the a cumulative property tax millage rate legally levied by or on behalf of all taxing entities within which the subject property is to be located which is the cumulative rate that is applicable during the period beginning on the thirtieth day of June preceding the calendar year in which the millage rate agreement is executed and ending on the date the initial lease agreement is executed. If no a millage rate agreement is not executed on or before the date of the initial lease agreement, the millage rate is deemed to be the cumulative property tax millage rate applicable on the thirtieth day of June preceding the calendar year in which the initial lease agreement is executed by the parties.

(H)(1)   Upon agreement of the parties county, investors, and investor affiliates, and except as provided in subsection (H)(2), an inducement agreement, a millage rate agreement, or both, may be amended or terminated and replaced with regard to all matters including, but not limited to, the addition or removal of controlled group members investors or investor affiliates.

(2)   No An amendment or a replacement of an inducement agreement or millage rate agreement may not be used to change the millage rate, discount rate, assessment ratio, or length duration of the agreement under any such agreement.; However, except that an existing inducement agreements agreement which that have has not yet been implemented by the execution and delivery of a millage rate agreement or a lease purchase agreement, may be amended up to the date of execution and delivery of a millage rate agreement or a lease purchase agreement in the discretion of the governing body.

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

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

(2)   before the end of the applicable time period for investments referenced in subsections subsection (C)(2) and (C)(3).

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

(J)(1)   Subject to subsection (K), project investment expenditures which are incurred within the applicable time period provided in subsection (I) by an entity investor whose investments are not being computed in at the level of investment for purposes of subsections subsection (B) or (C) shall qualify as investment expenditures subject to the fee in subsection (D)(2) where if the:

(a)   such expenditures are part of the original cost of the property which is that is transferred, within the applicable time period provided in subsection (I), to one or more other entities which are members of the same controlled group as the transferor entity and investors or investor affiliates whose investments are being computed in at the level of investment for purposes of subsections subsection (B) or (C); and

(b)   such property would have qualified for the fee in subsection (D)(2) if it had been initially acquired by the transferee entity rather than instead of the transferor entity.

(2)   The income tax basis of such the property immediately before such the transfer must equal the income tax basis of such the property immediately after such the transfer; provided, however, except that, to the extent income tax basis of such the property immediately after such the transfer unintentionally exceeds the income tax basis of such the property immediately before such the transfer, such the excess shall be is subject to payments under pursuant to Section 4-29-60.

(3)   The county must agree to any an inclusion in the fee of the property described in subsection (J)(1).

(K)(1)   Property which has been previously subject to property taxes in South Carolina will does not qualify for the fee except as provided in this subsection:

(a)   land, excluding improvements thereon on it, on which a new project will be is located may qualify for the fee even if it has previously been subject to South Carolina property taxes;

(b)   property which that has been subject previously to South Carolina property taxes, but which has never been placed in service in South Carolina, may qualify for the fee; and

(c)   property which has been placed in service in South Carolina and subject to South Carolina property taxes which that is purchased in a transaction other than between any of the entities specified in Section 267(b) of the Internal Revenue Code, as defined under pursuant to Chapter 6 of Title 12 as of the time of the transfer, may qualify for the fee provided if the fee-paying entity investor invests at least an additional forty-five million dollars in the project.

(2)   Repairs, alterations, or modifications to real or personal property which are not subject to a fee will are not be eligible for a fee, even if they are capitalized expenditures, except for modifications to existing real property improvements which constitute constituting an expansion of such the improvements.

(L)(1)   For a project not located in an industrial development park as defined in Section 4-1-170, distribution of the fee in lieu of taxes on the project must be made in the same manner and proportion that the millage levied for school and other purposes would be distributed if the property were taxable. For this purpose, the relative proportions must be calculated based on the following procedure: holding constant the millage rate set in subsection (G) and using all tax abatements automatically granted for taxable property, a full schedule of the property taxes that would otherwise have been distributed to each millage-levying entity in the county must be prepared for the life of the agreement, for the maximum time period allowed under pursuant to (C)(3). The property taxes which that would have been paid on the property if it was were owned by the investor to each millage-levying entity as a percentage of the total of such the property taxes for all such the entities determines each entity's relative shares of each year's fee payment for all subsequent years of the agreement.

(2)   For a project located in an industrial development park as defined in Section 4-1-170, distribution of the fee in lieu of taxes on the project must be made in the manner provided for by the agreement establishing the industrial development park.

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

(M)   As a directly foreseeable result of negotiating the fee, gross revenue of a school district in which a project is located in any year a fee negotiated pursuant to this section is paid, may not be less than gross revenues of the district in the year before the first year for which a fee in lieu of taxes is paid. In negotiating the fee, the parties shall assume that the formulas for the distribution of state aid at the time of the execution of the inducement agreement must remain unchanged for the duration of the lease agreement.

(N)   Projects on which a fee in lieu of taxes is paid pursuant to this section are considered taxable property at the level of the negotiated payments for purposes of bonded indebtedness pursuant to Sections 14 and 15 of Article X of the Constitution of this State, and for purposes of computing the index of taxpaying ability pursuant to Section 59-20-20(3). However, for a project located in an industrial development park as defined in Section 4-1-170, projects are considered taxable property in the manner provided in Section 4-1-170 for purposes of bonded indebtedness pursuant to Sections 14 and 15 of Article X of the Constitution of this State, and for purposes of computing the index of taxpaying ability pursuant to Section 59-20-20(3). Provided, however, that the computation of bonded indebtedness limitation is subject to the requirements of Section 4-29-68(E).

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

(2)   A single entity, or two or more entities which are members of a controlled group, An investor or investor affiliate may enter into any a lending, financing, security, or similar arrangement, or succession of such arrangements, with any a financing entity, concerning all or part of a project and may enter into any a sale-leaseback arrangement, including without limitation, an

(3)   All A transfers transfer undertaken with respect to the project to effect a financing authorized under by subsection (O) must meet the following requirements:

(a)   The Department of Revenue must receive written notification, in writing within sixty days after the transfer, of the identity of each transferee and other information required by the department with the appropriate returns. Failure to meet this notice requirement will does not affect adversely affect the fee, but a penalty up to ten thousand dollars a year or portion of a year up to a maximum penalty of one hundred twenty thousand dollars may be assessed by the department for late notification for up to ten thousand dollars a year or portion of a year up to a maximum penalty of one hundred twenty thousand dollars.

(b)   If the financing entity is the income tax owner of property, either:

(i)     the financing entity is primarily liable for the fee as to that portion of the project to which the transfer relates with the original transferor remaining secondarily liable for the payment of the fee; or

(ii)   the original transferor must agree to continue to be primarily liable for the payment of the fee as to that portion of the project to which the transfer relates.

(4)   Before an investor may transfer an inducement agreement, millage rate agreement, lease agreement, or the assets subject to the lease agreement, it must obtain the approval of the county with which it entered into the original inducement agreement, millage rate agreement, or lease agreement. However, no such That approval is not required in connection with transfers to investor affiliates or other financing-related transfers.

(P)   Reserved.

(Q)   Reserved.

(R)   For purposes of subsections (O)(1)(a) and (P), and subject to subsection (U), each transferee, with respect to a project which is the subject of a transfer, shall be considered to have made amounts of qualified investments represented by the property interest which is subject to the fee and which is transferred, without regard to depreciation.

(S)   Reserved.

(T)(P)   No An inducement agreement, a millage rate agreement, or a lease agreement, nor or the rights of any an entity investor or investor affiliate pursuant to any such that agreement, including, without limitation, the availability of the subsection (D)(2) fee, shall may not be adversely affected adversely if the bonds issued pursuant to any such that agreement are purchased by one or more of the entities which that are or become parties to any such agreement investor or investor affiliates.

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

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

(V)(R)   The minimum amount of the initial investment provided in subsection (B)(2) (B)(3) of this section may not be reduced except by a special vote which, for purposes of this section, means an affirmative vote in each branch of the General Assembly by two-thirds of the

(W)(S)(1)   The investor shall file the returns, contracts, and other information which that may be required by the Department of Revenue.

(2)   Fee payments, and returns calculating fee payments, are due at the same time as property tax payments and property tax returns would be due if the property were owned by the party investor or investor affiliate obligated to make such the fee payments and file such returns.

(3)   Failure to make a timely fee payment and file required returns shall result results in penalties being assessed as if the payment or return was were a property tax payment or return.

(4)   The Department of Revenue may issue the rulings and promulgate regulations it determines necessary or appropriate to carry out the purpose of this section.

(5)   The provisions of Chapters 4 and 54 of Title 12, applicable to property taxes, shall apply to this section;, and, for purposes of such that application, the fee shall be considered is considered a property tax. Sections 12-54-20, 12-54-80, and 12-54-155 do not apply to this section.

(6)   Within thirty days of the date of execution of an inducement or lease agreement, a copy of the agreement must be filed with the Department of Revenue and the county auditors auditor and the county assessors assessor for the every county or counties in which the project is located. If the project is located in a multicounty park, the agreements must be filed with the auditors and assessors for all counties participating in the multicounty park.

(X)(T)   Except as otherwise expressly provided in subsection (C)(2), any a loss of fee benefits under pursuant to this section shall be is prospective only from the date of noncompliance and, subject to subsection (U)(Q), only with respect to that portion of the project to which such the noncompliance relates; provided, however, except that such the loss of fee benefits cannot may not result in the recovery from the fee-paying entity investor and investor affiliate of fee payments for more than:

(1)   three years from the date a return concerning the fee is filed for the time period during which the noncompliance occurs,. absent a A showing of bad faith noncompliance, in which case such increases the three-year period shall instead be to a ten-year period; or

(2)   ten years if no such a return is not filed for the time period during which the noncompliance occurs.

(Y)(U)   Section 4-29-65 shall be inapplicable does not apply with respect to this section. All references in this section to taxes shall be considered to mean means South Carolina taxes unless otherwise expressly stated.

(Z)   Reserved.

(AA)(V)(1)   Notwithstanding any other another provision of this section, in the case of a qualified recycling facility the annual fee is available for no more than thirty years, and for those projects constructed or placed in service during a period of more than one year, the annual fee is available for a maximum of thirty-seven years.

(2)   Notwithstanding any other another provision of this section, for a qualified recycling facility, the assessment ratio may not be less than must be at least three percent.

(3)   Any machinery and equipment foundations, port facilities, or railroad track systems used, or to be used, for a qualified recycling facility is considered tangible personal property.

(4)   Notwithstanding subsections (F) and (I) of this section, the total costs of all investments made for a qualified recycling facility are eligible for fee payments as provided in this section.

(5)   For purposes of any fees that may be due on undeveloped property for which title has been transferred to the county by or for the owner or operator of a qualified recycling facility, the assessment ratio is three percent.

(6)   Notwithstanding subsection (D)(2)(b) of this section, in the case of a qualified recycling facility, net present value calculations performed under pursuant to the that subsection must use a discount rate equivalent to the yield in effect for new or existing United States Treasury bonds of similar maturity as published on any day selected by the investor during the year in which assets are placed into service or in which the inducement agreement is executed.

(7)   As used in this subsection, 'qualified recycling facility' and 'investment' have the meaning provided in Section 12-7-1275(A).

(BB)(W)(1)   Notwithstanding any other another provision of this section, the fair market value of property of a pharmaceutical company investing more than four hundred million dollars in one county in this State is the lower of the fair market value estimate (1) as determined determines:

(a)   pursuant to subsection (D)(2)(a)(i),; or

(2)(b)   as determined by the county in which the investment is located as follows:

(a) (i)   for real property, using the original income tax basis for South Carolina income tax purposes without regard to depreciation, less any such basis amount attributable to cost overruns, including capitalized interest overruns; and

(b)(ii)   for personal property, using the original income tax basis for South Carolina income tax purposes, less any such basis amount attributable to cost overruns, including capitalized interest overruns, and less depreciation allowable for property tax purposes, except that the investor is not entitled to any extraordinary obsolescence.

(2)   This subsection applies only to property placed in service before January 1, 2000."
F.   Section 12-44-50(A)(1)(b)(i) of the 1976 Code is amended to read:

"(i)   by the county, which must not be lower than the a cumulative property tax millage rate legally levied by or on behalf of all millage levying entities within which the project is to be located, which is the cumulative rate that is applicable during the period beginning on the thirtieth day of June preceding the calendar year in which the fee agreement is executed and ending on the date the initial lease agreement is executed; or"
G.   Notwithstanding the provisions of Section 4-12-30(H)(2), Section 4-29-67(H)(2), and Section 12-44-40(L)(2), all of the 1976 Code, the parties may agree to change the millage rate under an existing inducement agreement or millage rate agreement for an investment that exceeds two hundred million dollars to a cumulative property tax millage rate legally levied by or on behalf of all taxing entities within which the subject property is to be located that is applicable during the period beginning on the thirtieth day of June preceding the calendar year in which the millage rate agreement is executed and ending on the date the initial lease agreement is executed. A change in millage rates pursuant to this section is applicable prospectively only and not retroactively.
SECTION 52.   Section 12-6-3530(B) and (C) of the 1976 Code, as added by Act 314 of 2000, is amended to read:

"(B)   The total amount of credits allowed pursuant to this section may not exceed in the aggregate five million dollars for all taxpayers and all taxable calendar years and one million dollars for all taxpayers in one taxable calendar year.

(C)   A single community development corporation or community development financial institution may not receive more than

"Section 12-21-1035.   (A)   Beer brewed on a permitted premises pursuant to Article 17, Chapter 4 of Title 61, must be taxed based on the number of gallons of beer produced on the permitted premises and must be taxed at the same rate of taxation for beer provided in Section 12-21-1020. The permittee shall maintain adequate records as determined by the department to ensure the collection of this tax.

(B)   The taxes imposed by the provisions of this section, except as otherwise provided, are due and payable in monthly installments on or before the twentieth day of the month following the month in which the tax accrues.

(C)   On or before the twentieth day of each month, a person on whom the taxes in this section are imposed shall file with the department, on a form designed by it, a true and correct statement showing the total gallons produced and any other information the department may require.

(D)   At the time of making a monthly report, the person shall compute the taxes due and pay to the department the amount of taxes shown to be due. A return is considered to be timely filed if the return is mailed and has a postmark dated on or before the date the return is required by law to be filed."
SECTION   54.   Section 61-4-1730 of the 1976 Code, as added by Act 415 of 1996, is amended to read:

"Section 61-4-1730.   Beer brewed on a permitted premises under pursuant to this article must be taxed as provided in Article 7 of Chapter 21 of Title 12 Section 12-21-1035. The permittee must shall maintain adequate records as determined by the department to ensure the collection of this tax."
SECTION 55.   Section 61-4-520(8) of the 1976 Code, as added by Act 445 of 1996, is amended to read:

"(8)   Notice of application has appeared at least once a week for three consecutive weeks in a newspaper most likely to give notice to interested citizens of the county, city, or community in which the applicant proposes to engage in business. The department must shall determine which newspapers meet the requirements of this section based on available circulation figures. However, if a newspaper is published in the county and historically has been the newspaper where

(a)   be in the legal notices section of the newspaper or an equivalent section if the newspaper has no legal notices section;

(b)   be in large type, covering a space of one column wide and at least two inches deep; and

(c)   state the type license applied for and the exact location of the proposed business.

An applicant for a beer or wine permit and an alcoholic liquor license may use the same advertisement for both if the advertisement is approved by the department."
SECTION 56.   Section 61-6-1820(4) of the 1976 Code, as added by Act 415 of 1996, is amended to read:

"(4)   Notice of application has appeared at least once a week for three consecutive weeks in a newspaper most likely to give notice to interested citizens of the county, municipality, or community in which the applicant proposes to engage in business. The department must shall determine which newspapers meet the requirements of this section based on available circulation figures. However, if a newspaper is published in the county and historically has been the newspaper where the advertisements are published, the advertisements published in that newspaper meet the requirements of this section. The notice must:

(a)   be in the legal notices section of the newspaper or an equivalent section if the newspaper has no legal notices section;

(b)   be in large type, covering a space of one column wide and at least two inches deep; and

(c)   state the type license applied for and the exact location of the proposed business.

An applicant for a beer or wine permit and an alcoholic liquor license may use the same advertisement for both if it is approved by the department."
SECTION   57.   A.   Section 12-43-225 of the 1976 Code, as added by Act 346 of 2000, is amended to read:

"Section 12-43-225.   (A)   For subdivision lots in a conditional or final plat filed recorded on or after 2000 January 1, 2001, and notwithstanding the provisions of Section 12-43-224 , a subdivision lot discount is allowed in the valuation of the platted lots only as provided in subsection (B) of this section, and this discounted value applies for five property tax years or until the lot is sold, or a certificate of occupancy is issued for the improvement on the lot, or the

(B)   To be eligible for a subdivision lot discount, the final or conditional recorded plat filed must contain at least ten building lots. The owner must shall apply for the discount by means of a written application to the assessor on or before May first of the year for which the discount is claimed. The value of each platted building lot is calculated:

(1)   by dividing the total number of platted building lots into the value of the entire parcel as undeveloped real property; and

(2)   as provided in Section 12-43-224 and the difference between the two calculations determined.

The value of a lot as determined under Section 12-43-224 is reduced as follows:

For lots in plats filed recorded in 2001, the value is reduced by thirty percent of the difference.

For lots in plats filed recorded in 2002, the value is reduced by sixty percent.

For lots in plats filed recorded after 2002, the value is reduced by one hundred percent of the difference.

(C)   If a lot allowed the discount provided by this section is sold to the holder of a residential homebuilder's license or general contractor's license, the discount continues through the first tax year which ends twelve months from the date of sale if the purchaser files a written application for the discount with the county assessor by March May first of the year for which the applicant is claiming the discount."
SECTION   58.   The last paragraph of Section 4-29-67(C)(2) of the 1976 Code, as last amended by Act 462 of 1996, is further amended to read:

"For purposes of those businesses qualifying under Section 4-29-67(D)(4), the five-year period referred to in this subsection is eight years and the seven-year period is ten years. However, for those businesses which, after qualifying under Section 4-29-67(D)(4), have more than five hundred million dollars in capital invested in this State and employ more than one thousand people in this State, the five-year period referred to in this subsection is ten years, and the ten-year extended period referred to in the previous sentence is fifteen years."
SECTION   59.   Section 4-29-67(C)(3) of the 1976 Code, as last amended by Act 462 of 1996, is further amended to read:

"(3)   The annual fee provided by subsection (D)(2) is available for no more than twenty years. For projects which are completed and placed in service during more than one year, each year's investment may be subject to the fee in subsection (D)(2) for twenty years to a maximum total of twenty-seven years for the fee for a single project which has been granted an extension. For those businesses qualifying under subsection (D)(4), the annual fee is available for no more than thirty years and for those projects placed in service in more than one year the annual fee is available for a maximum of thirty-seven years forty years or, for those businesses qualifying for the fifteen-year extended period, forty-five years."
SECTION   60.   A.   Section 12-56-20(4) of the 1976 Code is amended by adding at the end:

"'Delinquent debt' also includes any fine, penalty, cost, fee, assessment, surcharge, service charge, restitution, or other amount imposed by a court or as a direct consequence of a final court order which is received by or payable to the clerk of the appropriate court or treasurer of the entity where the court is located."
B.   The 1976 Code is amended by adding:

"Section 14-1-202.   (A)   The clerk of the appropriate court, or county treasurer or municipal treasurer, as appropriate, is authorized to collect any fine, penalty, cost, fee, assessment, surcharge, service charge, restitution, or other amount imposed by a court or as a direct consequence of a court order.

(B)   The clerk of the appropriate court, or county treasurer or municipal treasurer, as appropriate, may compromise any fine, penalty, cost, fee, assessment, surcharge, service charge, restitution, or other amount imposed by a court or as a direct consequence of a court order to the extent necessary to collect these items. If a clerk or treasurer compromises an amount pursuant to this subsection, the proceeds representing the collected amount must be distributed pro rata to the entities that otherwise would have received the original amount."
SECTION   61.   A.   Section 12-44-80 of the 1976 Code is amended by adding at the end:

"(C)   Misallocations of the distribution of the fee payments on the project pursuant to this chapter may be corrected by adjusting later distributions, but these adjustments must be made in the same fiscal year as the misallocations."
B.     Section 4-12-30(K) of the 1976 Code is amended by adding at the end:

"(4)   Misallocations of the distribution of the fee-in-lieu of taxes on the project pursuant to this chapter may be corrected by adjusting later distributions, but these adjustments must be made in the same fiscal year as the misallocations."
C.     Section 4-29-67(L) of the 1976 Code, as last amended by Act 462 of 1996, is further amended by adding at the end:

"(4)   Misallocations of the distribution of the fee-in-lieu of taxes on the project pursuant to this chapter may be corrected by adjusting later distributions, but these adjustments must be made in the same fiscal year as the misallocations."
SECTION   62.   A.   The 1976 Code is amended by adding:

"Section 12-45-35.   (A)   A county treasurer may appoint an employee in his office to be his deputy. The appointment must be filed with the Comptroller General and the governing body of that county. When the appointment is filed, the deputy may act for and on behalf of the county treasurer when the treasurer is incapacitated by reason of a physical or mental disability or during a temporary absence.

(B)   If there is a vacancy in the office of county treasurer by reason of death, resignation, or disqualification, the appointed deputy shall carry out the duties of the office until a successor is appointed or elected or qualified."
B.   Section 12-39-40 of the 1976 Code is amended to read:

"Section 12-39-40.   (A)   In the event of a vacancy by reason of death, resignation or disqualification in the office of county auditor in any county in this State having a chief clerk in the auditor's office, the duties and functions of such office shall be discharged by the chief clerk in the interval between the occurrence of such vacancy and the appointment and qualification of a successor. A county auditor may appoint an employee in his office to be his deputy. The appointment must be filed with the Comptroller General and the governing body of that county. When the appointment is filed, the deputy may act for and on behalf of the county auditor when the auditor is incapacitated by reason of a physical or mental disability or during a temporary absence.

(B)   If there is a vacancy in the office of county auditor by reason of death, resignation, or disqualification, the appointed deputy shall carry out the duties of the office until a successor is appointed or elected and qualified."
SECTION   63.   Section 12-36-90(2) of the 1976 Code, is amended by adding an appropriately lettered subitem to read:

"( )   interest, fees, or charges however described, imposed on a customer for late payment of a bill for electricity or natural gas, or

"(3)   The annual fee provided by subsection (D)(2) is available for no more than twenty years. For projects which are completed and placed in service during more than one year, each year's investment may be subject to the fee in subsection (D)(2) for twenty years to a maximum total of twenty-seven years for the fee for a single project which has been granted an extension. For those businesses qualifying under subsection (D)(4), the annual fee is available for no more than thirty years and for those projects placed in service in more than one year the annual fee is available for a maximum of thirty-seven years forty years or, for those businesses qualifying for the fifteen-year extended period, forty-five years."
SECTION 65.   A.   Section 4-12-30(D)(4)(a) of the 1976 Code, as last amended by Act 462 of 1996, is amended by adding at the end:

"(iv)   in the case of a business including a corporation, its subsidiaries, and its limited liability company members, that (A) builds a gas-fired combined-cycle power facility and invests at least four hundred million dollars and creates at least twenty-five full-time jobs as defined in Section 12-6-3360(M) at that facility and (B) invests an additional five hundred million dollars in this State."
B.   Section 4-29-67(D)(4)(a) of the 1976 Code, as last amended by Act 151 of 1997, is further amended by adding at the end:

"(v)   in the case of a business including a corporation, its subsidiaries, and its limited liability company members, that (A) builds a gas-fired combined-cycle power facility and invests at least four hundred million dollars and creates at least twenty-five full-time jobs as defined in Section 12-6-3360(M) at that facility and (B) invests an additional five hundred million dollars in this State."
C. Section 12-44-30(8) of the 1976 Code is amended by adding at the end:

"(d)   at least four hundred million dollars in the building of a gas-fired combined-cycle power facility and creates at least twenty-five full-time jobs as defined in Section 12-6-3360(M) at that facility and invests an additional five hundred million dollars in this State."
SECTION   66.   Section 12-6-3360(B)(5) of the 1976 Code is amended by adding a lettered subitem to read:

"(e)   For a job created in a county that is not traversed by an interstate highway, the credit allowed is one tier higher than the credit

Rep. J. R. SMITH explained the amendment.
The amendment was then adopted.

The Senate amendments, as amended, were then agreed to and the Bill was ordered returned to the Senate.

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

H. 4270 (Word version) -- Reps. Haskins and Townsend: A CONCURRENT RESOLUTION TO REQUEST THE DEPARTMENT OF EDUCATION TO NOTIFY SCHOOL DISTRICTS WHEN FEDERAL FUNDING IS AVAILABLE UNDER THE CHILDREN'S INTERNET PROTECTION ACT AND TO URGE SCHOOL DISTRICTS TO APPLY FOR FUNDING THAT WILL BE AVAILABLE UNDER THE CHILDREN'S INTERNET PROTECTION ACT TO IMPLEMENT INTERNET SAFETY POLICY.

The following Concurrent Resolution was taken up:

H. 4270 (Word version) -- Reps. Haskins and Townsend: A CONCURRENT RESOLUTION TO REQUEST THE DEPARTMENT OF EDUCATION TO NOTIFY SCHOOL DISTRICTS WHEN FEDERAL FUNDING IS AVAILABLE UNDER THE CHILDREN'S INTERNET PROTECTION ACT AND TO URGE SCHOOL DISTRICTS TO APPLY FOR FUNDING THAT WILL BE AVAILABLE UNDER THE CHILDREN'S INTERNET PROTECTION ACT TO IMPLEMENT INTERNET SAFETY POLICY.

Whereas, under federal law in order for schools to receive discounts for Internet access and internal connection services under the universal service support mechanism, school authorities must certify that they are enforcing a policy of internet safety that includes the means to block or filter Internet access for students to certain visual depictions and monitor the online activities of students; and

Whereas, in order to receive these discounts, school authorities must also certify that they have adopted and implemented an Internet safety policy addressing specific issues; and

Whereas, for this funding year, schools must certify by October 28, 2001, that they have the policies and technology measures in place, or that they are undertaking such actions, including any necessary procurement procedures, to put them in place for the following funding year; and

Whereas, federal funding to meet these requirements to receive discounts will be available to schools under the federal Children's Internet Protection Act; and

Whereas, with such federal funding available to schools to put Internet filtering mechanisms and access and monitoring devices in place, it is imperative that South Carolina schools avail themselves of this funding opportunity to ensure the safety and protection of all South Carolina school children. Now, therefore,

That the members of the South Carolina General Assembly, by this resolution, request the Department of Education to notify each school district when federal funding becomes available under the federal Children's Internet Protection Act, and each school district is urged to apply for this funding to put measures in place to filter or block Internet access for students to visual depictions that are obscene, child pornography, or harmful to minors and to adopt and implement an Internet safety policy.

Be it further resolved that a copy of this resolution be forwarded to the Superintendent of the Department of Education who is requested to distribute the resolution to the superintendents of all school districts.

Rep. TOWNSEND explained the Resolution.
The Concurrent Resolution was adopted and sent to the Senate.

The following was introduced:

H. 4277 (Word version) -- Reps. Chellis, Barrett, Battle, Coleman, Delleney, Harrison, Klauber, Rivers, Scarborough and J. Young: A HOUSE RESOLUTION TO COMMEND THE CITADEL "BULLDOGS" BASEBALL TEAM FOR ITS MAGNIFICENT SEASON AND TO CONGRATULATE THE "BULLDOGS" ON WINNING THE 2001 SOUTHERN CONFERENCE BASEBALL TOURNAMENT CHAMPIONSHIP.

Whereas, rated 27th by Collegiate Baseball in its preseason poll and having been ranked as high as 18th nationally during the 2001 season, including a span of three weeks in the Top-25, The Citadel's 2001 "Bulldogs" Baseball Team defeated the University of North Carolina Greensboro 5-3 in the championship game played Saturday, May 19th, 2001, to win the Southern Conference Baseball Tournament Championship in Joseph P. Riley, Jr. Park, Charleston, South Carolina; and

Whereas, three members of The Citadel's tournament championship team were named to the 2001 Southern Conference Baseball

Whereas, noted for pitching its way into the National Collegiate Athletic Association Regionals, the 2001 "Bulldogs" are led offensively by Southern Conference Player-of-the-Year first baseman, Philip Hartig, and third baseman, Dallas McPherson, both All-America candidates. On the mound, The Citadel boasts the Southern Conference's lowest earned run average and is led by four quality starters: Eric Talbert, Paul Williams, T.A. Fulmer, and T.W. Mincey. The relief corps is led by junior set-up man Matt Hamer and Southern Conference Tournament Most Outstanding Player, Randy Corn. Corn, an All-American candidate from Columbia, currently ranks second nationally with 14.14 strikeouts per nine innings.

Whereas, overcoming all trials and tribulations, the 2001 team is recognized as having grown together and as being one of the most talented groups fielded by The Citadel in recent years;

Whereas, coached by Fred Jordan, The Citadel, Class of 1979, and assistant coaches Chris Lemonis, and Gregg Mucerino, volunteer assistant coach, Chris Gibson, and strength coach, Todd Lair, the 2001 Citadel "Bulldogs" Baseball Team also include: David Griffin, Orlando Garcia, Matt Dean, Andy Phillips, Dusty Stepp, Jonathan Ellis, John Pollock, Hudson Belk, Hal Chafey, Stuart Jordan, Daryl Byrd, Michael Mainor, Chip Cannon, Mandy Fernandez, Jason Randall, Raymond Jenkins, Chris Eckert, Ryan Benton, Jarret Jernigan, and Bo Southard; and

Whereas, the Southern Conference Championship win places the "Bulldogs" back in the National Collegiate Athletic Association Regional playoffs for the third time in four years. Holding a 10-6 record against teams competing in the field of sixty-four, the "Bulldogs" received the Number 3 seed and will face the "Gamecocks" in the National Collegiate Athletic Association Regionals that will be hosted by the University of South Carolina in Columbia, South Carolina. Now, therefore,

That the members of the House of Representatives, by this resolution, commend The Citadel "Bulldogs" Baseball Team, for its magnificent season and congratulate the "Bulldogs" on winning the 2001 Southern Conference Baseball Tournament and the Southern Conference Baseball Championship.

Be it further resolved that a copy of this resolution be presented to The Citadel "Bulldogs" 2001 Southern Conference Championship Baseball Team of Charleston.

The Resolution was adopted.

The following was introduced:

H. 4278 (Word version) -- Rep. Haskins: A HOUSE RESOLUTION TO OFFER THE CONGRATULATIONS OF THE MEMBERS OF THE HOUSE OF REPRESENTATIVES OF THE STATE OF SOUTH CAROLINA TO MR. AND MRS. SALOMON ARIAS OF GREENVILLE, SOUTH CAROLINA, UPON THE OCCASION OF THEIR RECENT FIFTIETH WEDDING ANNIVERSARY CELEBRATION ON MARCH 31, 2001, AND TO EXTEND BEST WISHES TO THEM AND THEIR FAMILY IN ALL THEIR FUTURE ENDEAVORS.

The Resolution was adopted.

On motion of Rep. LOURIE, with unanimous consent, the following was taken up for immediate consideration:

H. 4279 (Word version) -- Reps. Lourie, McLeod and J. E. Smith: A HOUSE RESOLUTION TO AUTHORIZE THE SOUTH CAROLINA SILVERHAIRED LEGISLATURE TO USE THE CHAMBER OF THE SOUTH CAROLINA HOUSE OF REPRESENTATIVES ON TUESDAY THROUGH THURSDAY, SEPTEMBER 11 THROUGH SEPTEMBER 13, 2001, PROVIDED THE HOUSE IS NOT IN SESSION, AND TO PROVIDE FOR THE USE OF THE HOUSE CHAMBER ON ALTERNATE DATES AND TIMES AS MAY BE SELECTED BY THE SPEAKER.

That the South Carolina Silverhaired Legislature is authorized to use the Chamber of the South Carolina House of Representatives on Tuesday through Thursday, September 11 through September 13, 2001, provided the House of Representatives is not in session on that date. If the House of Representatives is in statewide session, the house chamber may not be used on those dates but may be used by the South Carolina Silverhaired Legislature on alternate dates and times as may be selected by the Speaker.

Be it further resolved that the use of the Chamber of the South Carolina House of Representatives by the South Carolina Silverhaired Legislature must be in accordance with the policies and rules of the South Carolina House of Representatives.

This resolution supersedes the previous resolution to authorize the South Carolina Silverhaired Legislature to use the Chamber of the South Carolina House of Representatives on Tuesday through Thursday, September 11 through September 13, 2001.

The Resolution was adopted.

The following was introduced:

H. 4280 (Word version) -- Reps. White, Cooper, Martin, Thompson and Townsend: A CONCURRENT RESOLUTION TO CONGRATULATE KEVIN L. BRYANT OF ANDERSON, THE OUTGOING CHAIRMAN OF THE ANDERSON COUNTY REPUBLICAN PARTY, FOR HIS DISTINGUISHED PUBLIC SERVICE IN BUILDING THE REPUBLICAN PARTY IN ANDERSON COUNTY.

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

The following was introduced:

H. 4281 (Word version) -- Reps. Miller and Snow: A CONCURRENT RESOLUTION TO RECOGNIZE MR. SAMUEL B. HUDSON, SR.,

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

The following was introduced:

H. 4282 (Word version) -- Reps. Wilkins and Harrison: A CONCURRENT RESOLUTION TO EXPRESS THE SINCERE GRATITUDE OF THE MEMBERS OF THE GENERAL ASSEMBLY TO SUSAN "SUE" OLSON MCNAMEE FOR HER YEARS OF DEDICATED SERVICE TO THE SOUTH CAROLINA GENERAL ASSEMBLY, AS COUNSEL TO THE HOUSE JUDICIARY COMMITTEE AND AS STAFF ATTORNEY WITH THE LEGISLATIVE COUNCIL, AND TO WISH HER GODSPEED AND BEST WISHES IN ALL HER FUTURE ENDEAVORS AS SHE JOINS HER HUSBAND, JIM, IN MARYLAND.

Whereas, Susan "Sue" Olson McNamee began her career with the South Carolina General Assembly in March 1986 as assistant staff counsel to the House Judiciary Committee under the chairmanship of Robert J. Sheheen; and

Whereas, Sue came to the General Assembly with distinguished records of academic achievement and outstanding service to both the federal and state judiciaries; and

Whereas, Sue was a senior research fellow and a Phi Beta Kappa undergraduate of Denison University in Granville, Ohio. She was awarded a Master's degree in political science from Rutgers University and a juris doctorate from the University of South Carolina, where she was an articles editor on the University of South Carolina Law Review; and

Whereas, after having served as a law clerk for the Honorable Matthew J. Perry, Jr., United States District Judge for the District of

Whereas, Sue served as assistant staff attorney for the Judiciary Committee from 1986 to 1988 under Robert Sheheen and David Wilkins, becoming chief staff attorney in 1988 and serving under chairmen James Hodges and James Harrison; and

Whereas, during her service to the committee, always efficient and effective in her staff responsibilities, Sue briefed and advised the chairman and members on numerous complex issues, including judicial selection reform, House reapportionment, government restructuring, and welfare reform; and

Whereas, in October of 1998, Sue joined the South Carolina Legislative Council as a staff attorney and with her extensive legislative experience, dedication, and strong work ethic, quickly became a highly valued member of the council staff; and

Whereas, Sue will be leaving South Carolina to join her husband, Jim, in his new position as an Associate Dean at the University of Maryland School of Medicine; and

Whereas, this highly respected staff attorney and colleague will be greatly missed not only for her professionalism, integrity, and legal skills, but also for her loyalty, compassion, and thoughtfulness, not to mention her warm smile and keen sense of humor; and

Whereas, the members of the General Assembly wish to take this opportunity to pause in their deliberations to express their high regard and deep respect for this outstanding public servant and dear friend. Now, therefore,

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

That the members of the South Carolina General Assembly, by this resolution, express their sincere gratitude to Susan "Sue" Olson McNamee for her years of dedicated service to the South Carolina General Assembly, as counsel to the House Judiciary Committee and as staff attorney with the Legislative Council, and wish her Godspeed

Be it further resolved that a copy of this resolution be presented to Susan Olson McNamee.

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

The following was introduced:

H. 4283 (Word version) -- Rep. W. D. Smith: A HOUSE RESOLUTION TO COMMEND AND CONGRATULATE STEPHEN H. SMITH OF SPARTANBURG ON BEING NAMED THE AMERICAN DIABETES ASSOCIATION'S NATIONAL CHAIR OF THE BOARD AND TO THANK HIM FOR HIS SUSTAINED DEDICATION TO THE AMERICAN DIABETES ASSOCIATION IN SOUTH CAROLINA AND ON A NATIONAL LEVEL.

The Resolution was adopted.

The following was introduced:

H. 4284 (Word version) -- Reps. Barrett, White and Sandifer: A CONCURRENT RESOLUTION TO MEMORIALIZE THE UNITED STATES CONGRESS TO STOP THE UNITED STATES CORPS OF ENGINEERS FROM GRANTING THE REQUEST OF HABERSHAM COUNTY IN GEORGIA TO WITHDRAW AND TRANSFER WATER FROM LAKE TUGALOO IN GEORGIA AND THE SAVANNAH RIVER TO THE CHATTAHOOCHEE RIVER.
The Concurrent Resolution was ordered referred to the Committee on Invitations and Memorial Resolutions.

The following was introduced:

H. 4285 (Word version) -- Rep. Allen: A HOUSE RESOLUTION TO RECOGNIZE AND COMMEND REVEREND JAMES B. ADAMS, SR., PASTOR OF VICTORY TEMPLE MISSIONARY BAPTIST CHURCH IN

The Resolution was adopted.

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

H. 4286 (Word version) -- Rep. Campsen: A BILL TO AMEND CHAPTER 39, TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO HIGH SCHOOLS, BY ADDING SECTION 59-39-112 SO AS TO ENACT THE "SOUTH CAROLINA RELEASED TIME CREDIT ACT", TO PROVIDE THAT A SCHOOL DISTRICT BOARD OF TRUSTEES MAY AWARD HIGH SCHOOL STUDENTS ELECTIVE CARNEGIE UNITS FOR THE COMPLETION OF RELEASED TIME CLASSES IN RELIGIOUS INSTRUCTION AND TO PROVIDE THAT THE RELEASED TIME CLASSES MUST BE EVALUATED ON THE BASIS OF PURELY SECULAR CRITERIA.
Referred to Committee on Education and Public Works

H. 4287 (Word version) -- Reps. Allen, Weeks, Clyburn, Hosey, Whipper, F. N. Smith, J. H. Neal, Jennings, Govan, Bales, Barfield, Bowers, Breeland, G. Brown, J. Brown, R. Brown, Cato, Cobb-Hunter, Coleman, Davenport, Delleney, Fleming, Gourdine, Hamilton, Harrison, Haskins, Hayes, J. Hines, M. Hines, Howard, Kennedy, Kirsh, Law, Leach, Lee, Lloyd, Loftis, Lourie, Mack, McCraw, Miller, Ott, Parks, Phillips, Riser, Rivers, Rutherford, Scarborough, Scott, Sheheen, Sinclair, G. M. Smith, Snow, Talley, Taylor, Tripp and Vaughn: A BILL TO AMEND SECTION 17-22-100, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE FILING OF AN APPLICATION TO ENTER AN INTERVENTION PROGRAM, SO AS TO PROVIDE THAT A CHIEF ADMINISTRATIVE JUDGE MAY APPROVE THE APPLICATION OF AN OFFENDER WHO SEEKS ADMISSION INTO AN INTERVENTION PROGRAM.
Referred to Committee on Judiciary

The following was introduced:

H. 4288 (Word version) -- Rep. Perry: A HOUSE RESOLUTION TO EXPRESS THE CONGRATULATIONS OF THE MEMBERS OF THE HOUSE OF REPRESENTATIVES OF THE STATE OF SOUTH CAROLINA TO THE SOUTH AIKEN HIGH SCHOOL "THOROUGHBREDS" GOLF TEAM AND HEAD COACH DONNIE HOLLAND, ON CAPTURING THE 2001 CLASS AAAA STATE GOLF CHAMPIONSHIP.

The Resolution was adopted.

The Senate sent to the House the following:

S. 749 (Word version) -- Senator Hawkins: A CONCURRENT RESOLUTION DESIGNATING FOOTHILLS BBQ JAMBOREE AND ITS BBQ COOKOFF CONTEST IN SPARTANBURG COUNTY AS "THE KANSAS CITY BARBEQUE SOCIETY (KCBS) STATE OF SOUTH CAROLINA CHAMPIONSHIP BARBEQUE".

The Concurrent Resolution was agreed to and ordered returned to the Senate with concurrence.

The following was introduced:

H. 4289 (Word version) -- Reps. Chellis, Harrell, Owens and A. Young: A CONCURRENT RESOLUTION TO COMMEND AND CONGRATULATE COLONEL GERALD MUSSELMAN OF DORCHESTER COUNTY FOR HIS SERVICE AND COMMITMENT TO THE UNITED STATES AIR FORCE FROM 1964 TO 1986 AND WISH HIM MUCH HAPPINESS AND GOOD FORTUNE UPON HIS RETIREMENT FROM THE DORCHESTER COUNTY VETERANS AFFAIRS OFFICE.

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

The following was introduced:

H. 4290 (Word version) -- Rep. Knotts: A HOUSE RESOLUTION EXPRESSING THE CONGRATULATIONS AND BEST WISHES OF THE MEMBERS OF THE HOUSE OF REPRESENTATIVES TO GLORIA ROWE DEMPSEY OF LEXINGTON COUNTY ON THE OCCASION OF HER SEVENTY-FIFTH BIRTHDAY ON JULY 31, 2001, AND WISHING HER A JOYOUS CELEBRATION AND MANY RETURNS OF THE DAY.

The Resolution was adopted.

The following was introduced:

H. 4291 (Word version) -- Rep. Sandifer: A HOUSE RESOLUTION TO COMMEND AND CONGRATULATE ALECA JOHNSON OF SENECA FOR HER NUMEROUS SOFTBALL ACCOMPLISHMENTS AND EXCEPTIONAL PLAY, AND TO WISH HER MUCH ATHLETIC AND ACADEMIC SUCCESS IN THE YEARS TO COME AT THE UNIVERSITY OF SOUTH CAROLINA.

The Resolution was adopted.

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            Cooper                 Cotty
Dantzler               Delleney               Easterday
Emory                  Fleming                Freeman
Frye                   Gilham                 Gourdine
Govan                  Hamilton               Harrell
Harrison               Harvin                 Haskins

Hayes                  Hines, J.              Hinson
Hosey                  Howard                 Huggins
Jennings               Keegan                 Kelley
Kennedy                Kirsh                  Klauber
Knotts                 Koon                   Law
Leach                  Lee                    Limehouse
Littlejohn             Lloyd                  Loftis
Lourie                 Lucas                  Mack
Martin                 McCraw                 McGee
McLeod                 Meacham-Richardson     Merrill
Miller                 Moody-Lawrence         Neal, J.H.
Neal, J.M.             Ott                    Owens
Parks                  Perry                  Phillips
Quinn                  Rhoad                  Rice
Riser                  Rivers                 Robinson
Rodgers                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               Tripp
Trotter                Vaughn                 Walker
Webb                   Weeks                  Whatley
Whipper                White                  Wilder
Wilkins                Witherspoon            Young, A.
Young, J.

I came in after the roll call and was present for the Session on Thursday, June 7.

Tracy Edge                        Todd Rutherford
Creighton Coleman                 Karl Allen
Harry Askins                      Fletcher Smith
Ralph Davenport

Rep. WILKINS presented to the House Susan "Sue" Olson McNamee for her years of dedicated service to the South Carolina General Assembly as counsel to the House Judiciary Committee and as staff attorney with the Legislative Council.

Reps. HOWARD, CARNELL and COBB-HUNTER presented to the House Ronald G. "Ben" Benjamin, assistant to the Sergeant at Arms of the South Carolina House of Representatives, for his service to the State, his community and the House of Representatives.

The following Bills and Joint Resolution were read the third time, passed and, having received three readings in both Houses, it was ordered that the title of each be changed to that of an Act, and that they be enrolled for ratification:

S. 693 (Word version) -- Senator Hutto: A JOINT RESOLUTION TO PROVIDE THAT THE SCHOOL DAYS MISSED BY THE KINDERGARTEN THROUGH FOURTH GRADE STUDENTS OF BARNWELL ELEMENTARY SCHOOL IN BARNWELL SCHOOL DISTRICT 45 ON SEPTEMBER 27, 28, AND 29, 2000, BECAUSE OF THE FLOODING OF THE SCHOOL BE EXEMPTED FROM THE MAKE-UP REQUIREMENT OF THE DEFINED MINIMUM PLAN PROVIDING THAT FULL SCHOOL DAYS MISSED DUE TO EXTREME WEATHER OR OTHER CIRCUMSTANCES BE MADE UP.

S. 519 (Word version) -- Senator Pinckney: A BILL TO ENACT THE JASPER COUNTY SCHOOL DISTRICT SCHOOL BOND-PROPERTY TAX RELIEF ACT SO AS TO AUTHORIZE THE IMPLEMENTATION FOLLOWING REFERENDUM APPROVAL OF A SALES AND USE TAX IN JASPER COUNTY NOT TO EXCEED ONE PERCENT FOR DEBT SERVICE ON GENERAL OBLIGATION BONDS ISSUED FOR SCHOOL CONSTRUCTION AND RENOVATION OR FOR DIRECT PAYMENTS FOR SCHOOL CONSTRUCTION AND RENOVATION.

The following Bill was taken up, read the third time, and ordered sent to the Senate:

H. 4257 (Word version) -- Rep. Quinn: A BILL TO ESTABLISH SINGLE MEMBER ELECTION DISTRICTS FROM WHICH TRUSTEES OF RICHLAND-LEXINGTON SCHOOL DISTRICT 5 ARE ELECTED.

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

S. 729 (Word version) -- Senators Matthews and Hutto: A BILL TO AMEND SECTION 7-7-440, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO VOTING PRECINCTS IN ORANGEBURG COUNTY, SO AS TO DESIGNATE A MAP NUMBER FOR THE MAP ON WHICH LINES OF PRECINCTS ARE DELINEATED AND MAINTAINED BY THE OFFICE OF RESEARCH AND STATISTICAL SERVICES OF THE STATE BUDGET AND CONTROL BOARD, REDESIGNATE CERTAIN PRECINCTS, AND PROVIDE FOR THE APPROVAL OF POLLING PLACES BY THE ORANGEBURG COUNTY LEGISLATIVE DELEGATION.

H. 4272 (Word version) -- Rep. Edge: A BILL TO AMEND SECTION 7-7-320, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO VOTING PRECINCTS IN HORRY COUNTY, SO AS TO REDESIGNATE CERTAIN PRECINCTS AND DESIGNATE A MAP NUMBER ON WHICH LINES OF THESE PRECINCTS ARE DELINEATED.

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

S. 718 (Word version) -- Senator Leatherman: A BILL TO AMEND SECTION 4-29-67, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE FEE IN LIEU OF PROPERTY TAX ALLOWED CERTAIN DEVELOPMENT PROJECTS, SO AS TO PROVIDE ADDITIONAL TIME FOR THE REQUIRED NEW INVESTMENT THRESHOLDS TO BE MET IN THE CASE OF A BUSINESS ELIGIBLE FOR THE FOUR PERCENT ASSESSMENT RATIO IN THE FEE AGREEMENT.

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

H. 3294 (Word version) -- Reps. Hinson, Law, Dantzler, Gourdine and Merrill: A BILL TO DEVOLVE THE AUTHORITY FOR APPOINTMENTS AND BUDGETARY APPROVALS FOR CERTAIN OFFICES, BOARDS, AND COMMISSIONS FROM THE JOINT LEGISLATIVE DELEGATION REPRESENTING BERKELEY COUNTY TO THE GOVERNING BODY OF BERKELEY COUNTY.

The Senate amendments were agreed to, and the Bill having received three readings in both Houses, it was ordered that the title be changed to that of an Act, and that it be enrolled for ratification.

The following Bill was taken up, read the third time, and ordered sent to the Senate:

H. 3167 (Word version) -- Reps. J. Young, Davenport, Vaughn, Sandifer, Whatley, Simrill, Altman, Robinson, Loftis, White, Lourie and Campsen: A BILL TO ENACT THE "SOUTH CAROLINA EXILE ACT OF 2001" INCLUDING PROVISIONS TO AMEND SECTION 16-23-50, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PENALTIES FOR OFFENSES INVOLVING WEAPONS, SO AS TO PROVIDE INCREASED PENALTIES FOR

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

The House stood at ease, subject to the call of the Chair.

At 12:05 p.m. the House resumed, the SPEAKER in the Chair.

The following was received from the Senate:

Columbia, S.C., June 7, 2001
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it insists upon its amendments to S. 394:

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.
and asks for a Committee of Conference and has appointed Senators Hayes, Martin and Leventis of the Committee of Conference on the part of the Senate.

Very respectfully,
President

Whereupon, the Chair appointed Reps. J. E. SMITH, G. M. SMITH and EASTERDAY to the Committee of Conference on the part of the House and a message was ordered sent to the Senate accordingly.

The following was received:

Columbia, S.C., June 7, 2001
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it has adopted the report of the Committee of Conference on H. 3288:

H. 3288 (Word version) -- Reps. Cato, Edge and White: A BILL TO AMEND CHAPTER 29, TITLE 40, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE BUSINESS OF MANUFACTURED HOUSING, SO AS TO CONFORM THE CHAPTER TO THE STATUTORY ORGANIZATIONAL FRAMEWORK OF CHAPTER 1, TITLE 40 FOR BOARDS UNDER THE ADMINISTRATION OF THE DEPARTMENT OF LABOR, LICENSING AND REGULATION AND TO FURTHER PROVIDE

Very respectfully,
President
Received as information.

The following Bill was taken up:

S. 718 (Word version) -- Senator Leatherman: A BILL TO AMEND SECTION 4-29-67, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE FEE IN LIEU OF PROPERTY TAX ALLOWED CERTAIN DEVELOPMENT PROJECTS, SO AS TO PROVIDE ADDITIONAL TIME FOR THE REQUIRED NEW INVESTMENT THRESHOLDS TO BE MET IN THE CASE OF A BUSINESS ELIGIBLE FOR THE FOUR PERCENT ASSESSMENT RATIO IN THE FEE AGREEMENT.

Rep. MEACHAM-RICHARDSON proposed the following Amendment No. 1 (Doc Name COUNCIL\SKB\AMEND\ 18633SOM01), which was adopted:
Amend the bill, as and if amended, by adding an appropriately numbered SECTION to read:
/ SECTION __.   A.   Section 12-24-40 of the 1976 Code, as last amended by Act 395 of 2000, is further amended by adding a new item to read:

"(15)   transferring title to facilities for transmitting electricity that is transferred, sold, or exchanged by electrical utilities, municipalities, electric cooperative, or political subdivisions to a limited liability company which is subject to regulation under the Federal Power Act (16. U.S.C. Section 791 (a)) and which is formed to operate or to take functional control of electric transmission assets as defined in the Federal Power Act."
B.     Section 12-36-2120 of the 1976 Code, as last amended by Act 404 of 2000, is further amended by adding a new item to read:

"(59)   facilities for transmitting electricity that is transferred, sold, or exchanged by electrical utilities, municipalities, electric

"(9)   'corporation', 'corporate', 'company', and 'taxpayer' for purposes of this section also include a limited liability company which is subject to regulation under the Federal Power Act (16 U.S.C. Section 791(a)) and which is formed to operate or to take functional control of electric transmission assets as defined in the Federal Power Act regardless of whether the limited liability company is treated as a partnership or as a corporation for South Carolina income tax purposes. If treated as a partnership, a limited liability company that qualifies for a credit under this section passes the credit through to its members in proportion to their interests in the limited liability company. Each member's share of the credit is nonrefundable, but is allowed as a credit against any tax under Section 12-6-530 or 12-20-50. Each member may carry any unused credit forward as provided in subsection (F). The limited liability company may not carry forward a credit that passes through to its members."
D.   This section takes effect upon approval by the Governor and subsections A. and B. apply with respect to sales or deeds made or recorded after this date, and subsection C. is applicable to taxable years beginning after December 31, 2000. Provided, however, the corporate income tax credit taken against the cost of tangible personal property pursuant to Section 12-6-3410(D) authorized to be taken by those corporations or companies referred to in Section 12-6-3410(J)(9) may be taken for taxable years beginning after December 31, 2002. /
Renumber sections to conform.
Amend title to conform.

Rep. J. R. SMITH explained the amendment.
The amendment was then adopted.

Rep. MEACHAM-RICHARDSON proposed the following Amendment No. 2 (Doc Name COUNCIL\DKA\AMEND\ 4551MM01), which was adopted:

"(iv)   in the case of a business including a corporation, its subsidiaries, and its limited liability company members, that (A) builds a gas-fired combined-cycle power facility and invests at least four hundred million dollars and creates at least twenty-five full-time jobs as defined in Section 12-6-3360(M) at that facility and (B) invests an additional five hundred million dollars in this State."
B.   Section 4-29-67(D)(4)(a) of the 1976 Code, as last amended by Act 151 of 1997, is further amended by adding at the end:

"(v)   in the case of a business including a corporation, its subsidiaries, and its limited liability company members, that (A) builds a gas-fired combined-cycle power facility and invests at least four hundred million dollars and creates at least twenty-five full-time jobs as defined in Section 12-6-3360(M) at that facility and (B) invests an additional five hundred million dollars in this State."
C.   Section 12-44-30(8) of the 1976 Code is amended by adding at the end:

"(d)   at least four hundred million dollars in the building of a gas-fired combined-cycle power facility and creates at least twenty-five full-time jobs as defined in Section 12-6-3360(M) at that facility and invests an additional five hundred million dollars in this State." /
Renumber sections to conform.
Amend totals and title to conform.

Rep. MEACHAM-RICHARDSON explained the amendment.
The amendment was then adopted.

Rep. J.R. SMITH proposed the following Amendment No. 4 (Doc Name COUNCIL\DKA\AMEND\4557MM01), which was adopted:
Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/ SECTION   1.   Section 12-24-40 of the 1976 Code is amended by adding a new item (15) to read:

"(15)   transferring title to facilities for transmitting electricity that is transferred, sold, or exchanged by electrical utilities, municipalities, electric cooperatives, or political subdivisions to a limited liability company which is subject to regulation under the Federal Power Act (16 U.S.C. Section 791(a)) and which is formed to operate or to take

"(59)   facilities for transmitting electricity that is transferred, sold, or exchanged by electrical utilities, municipalities, electric cooperatives, or political subdivisions to a limited liability company which is subject to regulation under the Federal Power Act (16 U.S.C. Section 791(a)) and which is formed to operate or to take functional control of electric transmission assets as defined in the Federal Power Act;"
SECTION   3.   Section 12-6-3410(J) of the 1976 Code is amended by adding a new item to read:

"(9)   'corporation', 'corporate', 'company', and 'taxpayer' for purposes of this section also include a limited liability company which is subject to regulation under the Federal Power Act (16 U.S.C. Section 791(a)) and which is formed to operate or to take functional control of electric transmission assets as defined in the Federal Power Act regardless of whether the limited liability company is treated as a partnership or as a corporation for South Carolina income tax purposes. If treated as a partnership, a limited liability company that qualifies for a credit under this section passes the credit through to its members in proportion to their interests in the limited liability company. Each member's share of the credit is nonrefundable but is allowed as a credit against any tax under Section 12-6-530 or Section 12-20-50. Each member may carry any unused credit forward as provided in subsection (F). The limited liability company may not carry forward a credit that passes through to its members."
SECTION   4.   Chapter 10, Title 12 of the 1976 Code is amended by adding:

"Section 12-10-95.   (A)   Subject to the conditions in this section, a business engaged in manufacturing or processing operations or technology intensive activities at a manufacturing, processing, or technology intensive facility as defined in Section 12-6-3360(M) and that meets the requirements of Section 12-10-50(B) may negotiate with the council to claim as a credit against withholding five hundred dollars a year for the retraining of a production or technology employee if retraining is necessary for the qualifying business to remain competitive or to introduce new technologies. In addition to the yearly limits, the retraining credit claimed against withholding may not

(B)   A qualifying business is eligible to claim as a retraining credit against withholding the lower amount of the following:

(1)   the retraining credit for the applicable withholding period as determined by subsection (A); or

(2)   withholding paid to the State for the applicable withholding period.

(C)   All retraining must be approved by a technical college under the jurisdiction of the State Board for Technical and Comprehensive Education. A qualifying business must submit a retraining program for approval by the appropriate technical college. The approving technical college may provide the retraining itself, subject to the retraining program, or contract with other training entities to provide the required retraining.

(D)   Travel and lodging expenses and wages for retraining participants are not reimbursable.

(E)   The qualifying business must match on a dollar-for-dollar basis the amount claimed as a credit against withholding for retraining. When applicable, the total amount of retraining credits and matching funds must be paid to the technical college that provides the training. All training costs, including costs in excess of the retraining credits and matching funds, are the responsibility of the business.

(F)   A qualifying business claiming retraining credits pursuant to this section is subject to the reporting and audit requirements in Section 12-10-80(A).

(G)   A qualifying business may not claim retraining credit for training provided to the following production or technology employees:

(a)   temporary or contract employees; and

(b)   employees who are subject to a revitalization agreement, including a preliminary revitalization agreement."
SECTION   5.   Section 12-2-25 of the 1976 Code is amended to read:

"Section 12-2-25.   (A)   As used in this title and unless otherwise required by the context:

(1)   'partnership' includes a limited liability company taxed for South Carolina income tax purposes as a partnership.;

(2)   'partner'   includes any a member of a limited liability company taxed for South Carolina income tax purposes as a partnership.;

(3)   'corporation' includes a limited liability company or professional or other association taxed for South Carolina income tax purposes as a corporation.; and

(4)   'shareholder' includes any a member of a limited liability company taxed for South Carolina income tax purposes as a corporation.

(B)   Single-member limited liability companies which are not taxed for South Carolina income tax purposes as a corporation, and grantor trusts, to the extent they are grantor trusts, will be ignored for all South Carolina tax purposes. For South Carolina tax purposes:

(1)   a single-member limited liability company, which is not taxed for South Carolina income tax purposes as a corporation, is not regarded as an entity separate from its owner;

(2)   a 'qualified subchapter 'S' subsidiary', as defined in Section 1361(b)(3)(B) of the Internal Revenue Code, is not regarded as an entity separate from the 'S' corporation that owns the stock of the qualified subchapter 'S' subsidiary; and

(3)   a grantor trust, to the extent that it is a grantor trust, is not regarded as an entity separate from its grantor.

(C)   For purposes of this section, the Internal Revenue Code reference is as provided in Section 12-6-40(A)."
SECTION   6.   Section 12-6-40 of the 1976 Code, as last amended by Section 7, Part II, Act 387 of 2000, is further amended to read:

"Section 12-6-40.   (A)(1)   'Internal Revenue Code' means the Internal Revenue Code of 1986 as amended through December 31, 1999 2000, and includes the effective date provisions contained therein in it.

(2)(a)   For purposes of this title, 'Internal Revenue Code' is deemed to contain all changes necessary for the State to administer its provisions. Unless a different meaning is required:

( i)   'Secretary', 'Secretary of the Treasury', or 'Commissioner' means the Director of the Department of Revenue.

( ii)   'Internal Revenue Service' means the department.

(iii)   'Return' means the appropriate state return.

( iv)   'Income' includes the modifications required by Article 9 of this chapter and allocation and apportionment as provided in Article 17 of this chapter.

Other terms in the Internal Revenue Code must be given the meanings necessary to effectuate this item.

(b)   For purposes of Internal Revenue Code Sections 67 (Two Percent Floor on Miscellaneous Itemized Deductions), 71

(c)   For a taxpayer utilizing the provisions of Internal Revenue Code Section 1341 (Computation of Tax where Taxpayer Restores Substantial Amount Held under Claim of Right) for South Carolina tax purposes the phrase 'taxes imposed by this chapter' means taxes imposed by Chapter 6 of this title.

(d)   The terms defined in Internal Revenue Code Sections 7701, 7702, and 7703 have the same meaning for South Carolina income tax purposes, unless a different meaning is clearly required.

(B)   All elections made for federal income tax purposes in connection with Internal Revenue Code Sections adopted by this State automatically apply for South Carolina income tax purposes unless otherwise provided. A taxpayer may not make an election solely for South Carolina income tax purposes except for elections not applicable for federal purposes, including filing a combined or composite return as provided in Sections 12-6-5020 and 12-6-5030, respectively.

(C)   For purposes of Internal Revenue Code Sections 67 (Two Percent Floor on Miscellaneous Itemized Deductions), 71 (Alimony and Separate Maintenance Payments), 85 (Unemployment Compensation), 165 (Losses), 170 (Charitable Contributions), 213 (Medical and Dental Expenses), 219 (Retirement Savings), 469 (Passive Activity Losses and Credits Limited), and 631 (Gain or Loss in the Case of Timber, Coal, or Domestic Iron Ore), "Adjusted Gross Income" for South Carolina income tax purposes means a taxpayer's adjusted gross income for federal income tax purposes without regard to the adjustments required by Article 9 and Article 17 of this chapter.

(D)   For a taxpayer utilizing the provisions of Internal Revenue Code Section 1341 (Computation of Tax where Taxpayer Restores Substantial Amount Held under Claim of Right) for South Carolina tax purposes the phrase "taxes imposed by this chapter" means taxes imposed by Chapter 6 of this title.

(E)   The terms defined in Internal Revenue Code Sections 7701, 7702, and 7703 have the same meaning for South Carolina income tax purposes, unless a different meaning is clearly required.

(F)(C)   If a taxpayer complies with the provisions of Internal Revenue Code Section 367 (Foreign Corporations), it is not necessary for the taxpayer to obtain the approval of the department. The taxpayer shall attach a copy of the approval received from the Internal Revenue Service to its next South Carolina income tax return."
SECTION   7.   Section 12-6-50(11) of the 1976 Code is amended to read:

"(11)   Sections 861 through 908, 912, and 931 through 940, and 944 through 989 relating to the taxation of foreign income;"
SECTION   8.   Section 12-6-2210(A) of the 1976 Code is amended to read:

"(A)   If the entire business of a taxpayer is transacted or conducted within this State, the income tax as provided in this chapter is measured by the entire net income of the taxpayer for the taxable year. The entire business of the taxpayer is transacted and or conducted within the State if the taxpayer is not subject to a net income tax or a franchise tax measured by net income in another state, the District of Columbia, a territory or possession of the United States, or a foreign country, or and would not be subject to a net income tax in another such taxing jurisdiction if the other taxing jurisdiction adopted the net income tax laws of this State."
SECTION   9.   Section 12-6-3330(C)(2) of the 1976 Code is amended to read:

"(2)   The term 'South Carolina earned income' means income which that is earned income within the meaning of Internal Revenue Code Section 911(d)(2) or 401(c)(2)(C) which and is taxable in this State, except that:

(a)   it does not include an amount:

( i)   received from a retirement plan or an annuity;

( ii)   paid or distributed from an individual retirement plan as defined in Internal Revenue Code Section 7701(a)(37);

(iii)   received as deferred compensation; or

( iv)   received for services performed by an individual employed by his spouse within the meaning of Internal Revenue Code Section 3121(b)(3)(A)(B) as amended through December 31, 1987; and

(b)   Internal Revenue Code Section 911(d)(2)(B) must be applied without regard to the phrase 'not in excess of thirty percent of his share of net profits of such trade or business'."
SECTION   10.   Section 12-6-3410(J)(1) and (4) are amended to read:

"(1)   'Corporate headquarters' means the facility or portion of a facility where corporate staff employees are physically employed, and where the majority of the company's financial, personnel, legal, planning, information technology, or other headquarters related functions are handled either on a regional or national basis. A corporate headquarters must be a regional corporate headquarters or a national corporate headquarters as defined below:

(a)   National corporate headquarters must be the sole corporate headquarters in the nation and handle headquarters related functions on a national basis. A national headquarters shall be deemed to handle headquarters related functions on a national basis from this State if the corporation has a facility in this State from which the corporation engages in interstate commerce by providing goods or services for customers outside of this State in return for compensation.

(b)   Regional corporate headquarters must be the sole corporate headquarters within the region and must handle headquarters related functions on a regional basis. For purposes of this section, 'region' or 'regional' means a geographic area comprised of either:

( i)   at least five states, including this State, or

(ii)   two or more states, including this State, if the entire business operations of the corporation are performed within fewer than five states.

(4)   'Headquarters related functions and services' are those functions involving financial, personnel, administrative, legal, planning, information technology, or similar business functions."
SECTION   11.   Section 12-6-3500 of the 1976 Code is amended to read:

"Section 12-6-3500.   If the right to receive retirement income by a taxpayer allowed the deduction pursuant to Section 12-6-1170 was earned by the taxpayer while residing in another state which imposed state income tax on the employee's contributions, a credit is allowed against the taxpayer's South Carolina income tax liability in an amount sufficient to offset the taxes paid the other state. This credit must be claimed over the taxpayer's lifetime. The department shall prescribe the amount of the annual credit based on the taxpayer's life expectancy at the time of the election made pursuant to the taxpayer first claims the retirement income deduction pursuant to Section 12-6-1170, and may require the documentation it determines necessary to verify the amount of income tax paid the other state on the contributions. Regardless of the tax rates applicable on the contributions in the other state, the total of the credit allowed may not exceed an amount determined by

"Section 12-6-3520.   (A)   There shall be is allowed as a tax credit against the income tax liability of a taxpayer an amount equal to fifty percent of the costs incurred by the taxpayer for habitat management or construction and maintenance of improvements on real property that are made to land as described in Section 50-15-55(A) and which meets meet the requirements of regulations promulgated by the Department of Natural Resources pursuant to Section 50-15-55(A). For purposes of this section, 'costs incurred' means those monies spent or revenue foregone for habitat management or construction and maintenance, but does not include revenue foregone as increases in land values or speculative costs related to development.

(B)   All costs must be incurred on land that has been designated as a certified management area for endangered species enumerated in Section 50-15-40 or for nongame and wildlife species determined to be in need management under Section 50-15-30.

(C)   The tax credit allowed by this section must be claimed in the year that such the costs, as provided in subsection (B), are incurred as provided for in subsection (B). The This credit established by this section taken in one year may not exceed fifty percent of the taxpayer's income tax liability due pursuant to Section 12-6-510 or 12-6-530 for that year. If the amount of the credit exceeds the taxpayer's income tax liability for that taxable year, the taxpayer may carry forward any the excess for up to ten years.

(D)   If during any taxable year the landowner voluntarily chooses to leave the agreement made concerning the certified areas during any taxable year after taking the tax credit, then the taxpayer's tax liability for the current taxable year must be increased by the full amount of any credit claimed in prior previous years with respect to the property.

(E)(1)   An 'S' corporation, limited liability company, or partnership that qualifies for the credit under pursuant to this section as an 'S' corporation or partnership entitles may pass through the credit earned to each shareholder of the 'S' corporation, member of the limited liability company, or partner of the partnership to a nonrefundable credit against taxes. Any credit generated by an 'S' corporation must first be used against any tax liability of the 'S' corporation under Section 12-6-530. Any remaining credit passes through to the shareholders of the 'S' corporation.

(2)   The amount of the credit allowed a shareholder, member, or partner, or owner of a limited liability company pursuant to this section is equal to the shareholder's percentage of stock ownership, the member's interest in the limited liability company, or the partner's interest in the partnership, for the taxable year, multiplied by the amount of the credit that the taxpayer would have been entitled to if it were taxed as a corporation earned by the entity. Credit earned by an 'S' corporation owing corporate level income tax must be used first at the entity level. Only the remaining credit passes through to the shareholders of the 'S' corporation.

(3)   For purposes of this subsection, 'limited liability company' means a limited liability company taxed like a partnership."
SECTION   13.   Section 12-10-30 of the 1976 Code, as last amended by Act 399 of 2000, is further amended to read:

"Section 12-10-30.   As used in this chapter:

(1)   'Council' means the Advisory Coordinating Council for Economic Development.

(2)   'Department' means the South Carolina Department of Revenue.

(3)   'Employee' means an employee of the qualifying business who works full time within the enterprise zone at the project.

(4)   'Gross wages' means wages subject to withholding.

(5)   'Job development credit' means the amount a qualifying business may claim as a credit against employee withholding pursuant to Sections 12-10-80 and 12-10-81 and a revitalization agreement.

(6)   'New job' means a job created or reinstated as defined in Section 12-6-3360(M)(3).

(7)   'Qualifying business' means a business that meets the requirements of Section 12-10-50 and other applicable requirements of this chapter and, where required pursuant to Section 12-10-50, enters into a revitalization agreement with the council to undertake a project pursuant to the provisions of this chapter.

(8)   'Project' means an investment for one or more purposes pursuant to this chapter needed for a qualifying business to locate, remain, or expand in this State and otherwise fulfill the requirements of this chapter.

(9)   'Preliminary revitalization agreement' means the application by the qualifying business for benefits pursuant to Section 12-10-80 or 12-10-81 if the council approves the application and agrees in writing at the time of approval to allow the approved application to serve as the

(10)   'Revitalization agreement' means an executed agreement entered into between the council and a qualifying business that describes the project and the negotiated terms and conditions for a business to qualify for a job development credit pursuant to Section 12-10-80 or 12-10-81.

(11)   'Qualifying expenditures' means those expenditures that meet the requirements of Section 12-10-80(C) or 12-10-81(D).

(12)   'Withholding' means employee withholding pursuant to Chapter 8 of this title.

(13)   'Technology employee' means an employee whose job qualifies for jobs tax credit pursuant to at a technology intensive facility as defined in Section 12-6-3360(M)(14) who is directly engaged in technology intensive activities at that facility.

(14)   'Production employee' means an employee directly engaged in manufacturing or processing at a manufacturing or processing facility as defined in Section 12-6-3360(M).

(15)   'Retraining agreement' means an agreement entered into between a business and the council in which a qualifying business is entitled to retraining credit pursuant to Section 12-10-95.

(16)   'Retraining credit' means the amount that a business may claim as a credit against withholding pursuant to Section 12-10-95 and the retraining agreement.

(17)   'Technology intensive activities' means the design, development, and introduction of new products or innovative manufacturing processes, or both, through the systematic application of scientific and technical knowledge at a technology intensive facility as defined in Section 12-6-3360(M)."
SECTION   14.   Section 12-10-50 of the 1976 Code, as last amended by Act 399 of 2000, is further amended to read:

"Section 12-10-50.   (A)   To qualify for the benefits provided in this chapter, a business must be located within this State and must:

(1)   be engaged primarily in a business of the type identified in Section 12-6-3360;

(2)   provide a benefits package, including health care, to full-time employees at the project;

(3)   enter into a revitalization agreement that is approved by the council and that describes a minimum job requirement and minimum capital investment requirement for the project as provided in Section

(4)   have negotiated incentives that council has determined are appropriate for the project, and the council shall certify that:

(a)   the total benefits of the project exceed the costs to the public; and

(b)   the business otherwise fulfills the requirements of this chapter.

(B)   To qualify for benefits pursuant to Section 12-10-95, a business must:

(1)   be engaged in manufacturing or processing operations or technology intensive activities at a manufacturing, processing, or technology intensive facility as defined in Section 12-6-3360(M);

(2)   provide a benefits package, including health care, to employees being retrained; and

(3)   enter into a retraining agreement with the council."
SECTION   15.   Section 12-10-80 of the 1976 Code, as last amended by Act 399 of 2000, is further amended to read:

"Section 12-10-80.   (A)   A business that qualifies pursuant to Section 12-10-50(A) and has certified to the council that the business has met the minimum job requirement and minimum capital investment provided for in the revitalization agreement may claim job development credits as determined by this section.

(1)   A business may claim job development credits against its withholding on its quarterly state withholding tax return for the amount of job development credits allowable pursuant to this section.

(2)   A business that is current with respect to its withholding tax and other tax due and owing the State and that has maintained its minimum employment and investment levels identified in the revitalization agreement may claim the credit on a quarterly basis beginning with the first quarter after the council's certification to the department that the minimum employment and capital investment levels were met for the entire quarter. If a qualifying business is not current as to all taxes due and owing to the State as of the date of the return on which the credit would be claimed, without regard to extensions, the business is barred from claiming the credit that would otherwise be allowed for that quarter.

(3)   A qualifying business may receive claim its initial job development credit only after the council has certified to the department that the qualifying business has met the required minimum employment and capital investment levels.

(4)   To be eligible to apply to the council to claim a job development credit, a qualifying business shall create at least ten new, full-time jobs, as defined in Section 12-6-3360(M), at the project described in the revitalization agreement within five years of the effective date of the agreement.

(5)   A qualifying business is eligible to claim a job development credit pursuant to the revitalization agreement for not more than fifteen years.

(6)   To the extent any return of an overpayment of withholding that results from claiming job development credits is not used as permitted by subsection (C) or (D) by Section 12-10-95, it must be treated as misappropriated employee withholding.

(7)   Except as provided in subsection (D), Job development credits may not be claimed for purposes of this section with regard to an employee whose job was created in this State before the taxable year of the qualifying business in which it enters into a preliminary revitalization agreement.

(8)   If a qualifying business claims job development credits pursuant to this section, it shall make its payroll books and records available for inspection by the council and the department at the times the council and the department request. Each qualifying business claiming job development credits pursuant to this section shall file with the council and the department the information and documentation requested by the council or department respecting employee withholding, the job development credit, and the use of any overpayment of withholding resulting from the claiming of a job development credit according to the revitalization agreement.

(9)   Each qualifying business claiming in excess of ten thousand dollars in a calendar year must furnish an audited report prepared by an independent certified public accountant that itemizes the sources and uses of the funds. The audited report must be filed with the council and the department no later than June thirtieth following the calendar year in which the job development credits are claimed, except when a qualifying business obtains the written approval by the council for an extension of that date. Extensions may be granted only for good cause shown. The department shall impose a penalty pursuant to Section 12-54-210 for all reports filed after June thirtieth or the approved extension date, whichever is later.

(10)   Each qualifying business claiming ten thousand dollars or less in any calendar year must furnish a report prepared by the company that itemizes the sources and uses of the funds. This report

(11)   An employer may not claim an amount that results in an employee's receiving a smaller amount of wages on either a weekly or on an annual basis than the employee would receive otherwise in the absence of this chapter.

(B)(1)   The maximum job development credit a qualifying business may claim for new employees is limited to the lesser of withholding tax paid to the State on a quarterly basis or the sum of the following amounts:

(a)   two percent of the gross wages of each new employee who earns 6.74 dollars $6.95 or more an hour but less than 8.99 dollars $9.27 an hour;

(b)   three percent of the gross wages of each new employee who earns 8.99 dollars 9.27 or more an hour but less than 11.23 dollars $11.58 an hour;

(c)   four percent of the gross wages of each new employee who earns 11.23 dollars $11.58 or more an hour but less than 16.85 dollars $17.38 an hour; and

(d)   five percent of the gross wages of each new employee who earns 16.85 dollars $17.38 or more an hour.

(2)   The hourly gross wage figures in item (1) must be adjusted annually by an inflation factor determined by the State Budget and Control Board. The amount that may be claimed by a qualifying business is limited by subsection (C) and the revitalization agreement. The council may approve a waiver of ninety-five percent of the limits pursuant to subsection (C) for qualifying businesses making a significant capital investment as defined in Section 4-12-30(D)(4) or Section 4-29-67(D)(4).

(C)   To claim a job development credit, the qualifying business must incur qualified expenditures at the project or for utility or transportation improvements that serve the project. To be qualified, the expenditures must be:

(1)   incurred during the term of the revitalization agreement, including a preliminary revitalization agreement, or within sixty days

(2)   authorized by the revitalization agreement; and

(3)   used for any of the following purposes:

(a)   training costs and facilities;

(b)   acquiring and improving real estate whether constructed or acquired by purchase, or in cases approved by the council, acquired by lease or otherwise;

(c)   improvements to both public and private utility systems including water, sewer, electricity, natural gas, and telecommunications;

(d)   fixed transportation facilities including highway, rail, water, and air;

(e)   construction or improvements of real property and fixtures constructed or improved primarily for the purpose of complying with local, state, or federal environmental laws or regulations;

(f)   employee relocation expenses associated with new or expanded technology intensive facilities as defined in Section 12-6-3360(M)(14);

(g)   financing the costs of a purpose described in items (a) through (f).

(D)(1)   The amount of job development credits a qualifying business may claim for its use for qualifying expenditures is limited according to the designation of the county as defined in Section 12-6-3360(B) as follows:

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

(2)(b)   eighty-five percent of the maximum job development credits may be claimed by businesses located in counties designated as 'underdeveloped';

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

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

(2)   The amount that may be claimed as a job development credit by a qualifying business is limited by this subsection and by the

(3)   The county designation of the county in which the project is located at the time the qualifying business enters into a preliminary revitalization agreement with the council remains in effect for the entire period of the revitalization agreement, except as to additional jobs created pursuant to an amendment to a revitalization agreement entered into before June 1, 1997, as provided in Section 12-10-60. In that case the county designation on the date of the amendment remains in effect for the remaining period of the revitalization agreement as to any additional jobs created after the effective date of the amendment. This item does not apply to a business whose application for job development fees or credits pursuant to Section 12-10-81 has been approved by council before the effective date of this act.

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

(D)Subject to the conditions in this section, a qualifying business in this State may negotiate with the council to claim a job development credit for retraining according to the procedure in subsection (A) in an amount equal to five hundred dollars a year for each production and technology employee being retrained, where this retraining is necessary for the qualifying business to remain competitive or to introduce new technologies. This retraining must be approved and performed by the appropriate technical college under the jurisdiction of the State Board for Technical and Comprehensive Education. The technical college may provide the retraining program delivery directly or contract with other training entities to accomplish the required training outcomes. In addition to the yearly limits, the amount claimed as a job development credit for retraining may not exceed two thousand dollars over five years for each production employee being retrained. Additionally, the qualifying business must match on a dollar-for-dollar basis the amount claimed as a job development credit for retraining. The total amount claimed as job development credits for retraining and all of the matching funds of the qualifying business must be paid to the technical college that provides the training to defray the cost of the training

(E)(F)   Any job development credit of a qualifying business permanently lapses upon expiration or termination of the revitalization agreement. If an employee is terminated, the qualifying business immediately must cease to claim job development credits as to that employee.

(F)   The statute of limitations provided by Section 12-54-85 is suspended until the end of the five-year period described in item (4) of subsection (A) with respect to state withholding taxes pursuant to this section for a business subject to this section.

(G)   For purposes of the job development credit allowed by this section, an employee is a person whose job was created in this State.

(H)   Job development credits may not be claimed by a governmental employer who employs persons at a closed or realigned military installation as defined in Section 12-10-88(E)."
SECTION   16.   Section 12-10-81 of the 1976 Code, as last amended by Act 399 of 2000, is further amended to read:

"Section 12-10-81.   (A)   A business may claim a job development credit as determined by this section if the:

(1)   council approves the use of this section for the business;

(2)   business qualifies pursuant to Section 12-10-50; and

(3)   business is a tire manufacturer that has more than four hundred twenty-five million dollars in capital invested in this State and employs more than one thousand employees in this State and that commits within a period of five years from the date of a revitalization agreement, to invest an additional three hundred fifty million dollars and create an additional three hundred fifty jobs in this State qualifying for job development fees or credits pursuant to current or future revitalization agreements; except that the business must certify to the council that the business has satisfied all minimum capital investment and job requirements identified in the revitalization agreements but not certified by the council to the department before July 1, 2001. The council, in its discretion, may extend the five-year period for two additional years if the business has made a commitment to the additional three hundred fifty million dollars and makes substantial progress toward satisfying the goal before the end of the initial five-year period. A business that represents to the council its intent to qualify pursuant to this section and is approved by the council may put job development fees computed pursuant to this section into an escrow

(B)(1)   A business qualifying pursuant to this section may claim its job development credit against its withholding on its quarterly state withholding tax return for the amount of job development credit allowable pursuant to this section for not more than fifteen years. Job development credits allowed pursuant to subsection (C)(1)(a) through (d) of this section apply only to withholding on jobs created pursuant to a revitalization agreement adopted pursuant to this section and to the amounts withheld on wages and salaries on those jobs.

(2)   A business that is current with respect to its withholding tax as well as any other tax due and owing the State and that has maintained its minimum employment and investment levels identified in the revitalization agreement may claim the credit on a quarterly basis beginning with the quarter subsequent to the council's certification to the department that the minimum employment and capital investment levels have been met for the entire quarter. If a qualifying business is not current as to all taxes due and owing to the State as of the date of the return on which the credit would be claimed, without regard to extensions, the business is barred from claiming the credit that would otherwise be allowed for that quarter.

(3)   To be eligible to apply to the council to claim a job development credit pursuant to this section, a qualifying business must create at least ten new, full-time jobs as defined in Section 12-6-3360(M) at the project or projects described in the revitalization agreement.

(4)   To the extent a return of an overpayment of withholding that results from claiming job development credits is not used as permitted by subsection (D), it must be treated as misappropriated employee withholding.

(5)   Job development credits may not be claimed for purposes of this section with regard to an employee whose job was created in this State before the taxable year the qualifying business enters into a preliminary revitalization agreement.

(6)   If a qualifying business claims job development credits pursuant to this section, it must make its payroll books and records available for inspection by the council and the department at the times the council and the department request. Each qualifying business claiming job development credits pursuant to this section must file with the council and the department the information and documentation they

(7)   Each qualifying business must furnish an audited report prepared by an independent certified public accountant that itemizes the sources and uses of the funds. The audited report must be filed with the council and the department no later than June thirtieth following the calendar year in which the job development credits are claimed, except when a qualifying business obtains written approval of council for an extension of that date. Extensions may be granted for good cause shown. The department shall impose a penalty pursuant to Section 12-54-210 for all reports filed after June thirtieth or the approved extension date, whichever is later.

(8)   An employer may not claim an amount that results in an employee's receiving a smaller amount of wages on either a weekly or on an annual basis than the employee would otherwise receive in the absence of this chapter.

(C)(1)   The maximum job development credit a qualifying business may claim for new employees is determined by the sum of the following amounts:

(a)   two percent of the gross wages of each new employee who earns $6.74 $6.95 or more an hour but less than $8.99 $9.27 an hour;

(b)   three percent of the gross wages of each new employee who earns $8.99 $9.27 or more an hour but less than $11.23 $11.58 an hour;

(c)   four percent of the gross wages of each new employee who earns $11.23 $11.58 or more an hour but less than $16.85 $17.38 an hour;

(d)   five percent of the gross wages of each new employee who earns $16.85 $17.38 or more an hour; and

(e)   the increase in the state sales and use tax of the business from the year of the effective date of its revitalization agreement pursuant to this section and subsequent years, over its state sales and use tax for the first of the three years preceding the effective date of this revitalization agreement.

(2)   The hourly base wages in item (1) must be adjusted annually by the inflation factor determined by the State Budget and Control Board. The amount that may be claimed by a qualifying business is limited by subsection (E) and the negotiated terms of the revitalization agreement. The business may proceed by using either the

(D)   To claim a job development credit, the qualifying business must incur expenditures at the project or for utility or transportation improvements that serve the project. To be qualified, the expenditures must be:

(1)   incurred during the term of the revitalization agreement, including a preliminary revitalization agreement, or within sixty days before council's receipt of an application for benefits pursuant to this section;

(2)   authorized by the revitalization agreement; and

(3)   used to reimburse the business for:

(a)   training costs and facilities;

(b)   acquiring and improving real estate whether constructed or acquired by purchase, or in cases approved by the council, acquired by lease or otherwise;

(c)   improvements to both public and private utility systems including water, sewer, electricity, natural gas, and telecommunication;

(d)   fixed transportation facilities including highway, rail, water, and air; or

(e)   construction or improvements of real property and fixtures constructed or improved primarily for the purpose of complying with local, state, or federal environmental laws or regulations.

(E)(1)   For purposes of subsection (C)(1)(a) through (d), the amount of job development credits a qualifying business may claim for its use for qualifying expenditures is limited according to the designation of the county as defined in Section 12-6-3360(B) as follows:

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

(b)   eighty-five percent of the maximum job development credits may be claimed by businesses located in counties designated as 'underdeveloped';

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

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

(2)   For purposes of this subsection, the county designation of the county in which the project is located at the time the qualifying business enters into a preliminary revitalization agreement with the council remains in effect for the entire period of the revitalization agreement.

(3)   The amount claimed by a qualifying business is limited by this subsection and the terms of the revitalization agreements. The business may use either the job development escrow procedure pursuant to revitalization agreements with effective dates before 1997 or the job development credit, or a combination of the two. For a business qualifying pursuant to this section, the council also may approve or waive sections of a revitalization agreement and rules of the council, in the council's discretion, to assist the business.

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

(F)   A job development credit of a qualifying business permanently lapses upon expiration or termination of the revitalization agreement. If an employee is terminated, the qualifying business immediately must cease to claim job development credits as to that employee.

(G)   The statute of limitations provided by Section 12-54-85 is suspended until the end of the five-year or seven-year period described in item (3) of subsection (A) with respect to state withholding taxes pursuant to this section for a business subject to this section.

(H)   For purposes of the job development credit allowed by this section, an employee is a person whose job was created in this State."
SECTION   17.   Section 12-13-20 of the 1976 Code is amended to read:

"Section 12-13-20.   The term 'net income', as used in this chapter, means taxable income as determined for a regular corporation in Chapter 7 6 of this title after deducting all earnings accrued, paid,

"Section 12-13-60.   For the purpose of administration, enforcement, collection, liens, penalties, and other similar provisions, all of the provisions of Chapter 7 6 of this title that may be are appropriate or applicable are adopted and made a part of this chapter, including the requirement to make declarations requirements of declaration and payment of estimated tax and make estimated tax payments."
SECTION   19.   Section 12-20-90 of the 1976 Code is amended to read:

"Section 12-20-90.   The amount of the license fee required by Section 12-20-50 for a bank holding company, insurance holding company system, and savings and loan holding company must be measured by the capital stock and paid-in surplus of the holding company exclusive of the capital stock and paid-in surplus of a bank, insurer, or savings and loan association that is a subsidiary of the holding company. For the purposes of this section, 'bank', 'bank holding company', and 'subsidiary' of a bank holding company have the same definitions as in Section 34-24-20; 'insurer', 'insurance holding company system', and a 'subsidiary' of an insurance holding company system have the same definitions as in Section 38-21-10; and savings and loan 'association', 'savings and loan holding company',

"Section 12-20-110.   The provisions of this chapter do not apply to any:

(1)   nonprofit corporation organized under Article 1 of pursuant to Chapter 31 or 33 of Title 33 and exempt from income taxes pursuant to Section 501 of the Internal Revenue Code of 1986;

(2)   volunteer fire department and rescue squad;

(3)   cooperative organized under Chapter 45 or 47 of pursuant to Title 33;

(4)   bank, building and loan association, or credit union doing a strictly mutual business;

(5)   insurance company or association including any a fraternal, beneficial, or mutual protection insurance company; or

(6)   foreign corporation whose entire income is not included in excluded from gross income for federal income tax purposes due to any a treaty obligation of the United States; or

(7)   homeowners' association within the meaning of Internal Revenue Code Section 528(c)(1)."
SECTION   21.   Section 12-28-1135(A) of the 1976 Code is amended to read:

"(A)   Each person who engages in the business of selling taxable motor fuel at wholesale or retail or storing or distributing purchases taxable motor fuel for resale within this State from a licensed terminal supplier first shall obtain a fuel vendor license which is operative for all locations controlled or operated by that licensee in this State or in any other state from which the person removes fuel for delivery and use in South Carolina."
SECTION   22.   A.   Section 12-28-1730(E) of the 1976 Code is amended to read:

"(E)   The department may impose a civil penalty against every terminal operator who wilfully fails to meet shipping paper issuance requirements under Sections 12-28-920, 12-28-1500, and 12-28-1575 or wilfully files a return without the supporting schedules as required by the department pursuant to Sections 12-28-1330 and 12-28-1340. The civil penalty imposed on the terminal operator is the same as the civil penalty imposed under subsection (B)."
B.   Section 12-28-1730 of the 1976 Code is amended by adding:

"(H)   If a person liable for the tax files a return and wilfully fails to provide all information required by the department, the department may add to the tax the amount provided in Section 12-54-43(C)(1)."
SECTION   23.   Section 12-36-90(2)(h) of the 1976 Code is amended to read:

"(h)   the sales price, not including sales tax, of property on sales which are actually charged off as bad debts or uncollectible accounts for state income tax purposes. A taxpayer who pays the tax on the unpaid balance of an account which has been found to be worthless and is actually charged off for state income tax purposes may take credit for the tax paid a deduction for the sales price charged off as a bad debt or uncollectible account on a return filed pursuant to this chapter, except that if an amount charged off is later paid in whole or in part to the taxpayer, the amount paid must be included in the first return filed after the collection and the tax paid. The deduction allowed by this provision must be taken within one year of the month the amount was determined to be a bad debt or uncollectible account."
SECTION   24.   Section 12-36-130 of the 1976 Code, as last amended by Section 2, Act 283 of 2000, is further amended by adding a paragraph at the end to read:

"The term 'sales price' as defined in this section, also does not include the sales price, not including tax, of property on sales which are actually charged off as bad debts or uncollectible accounts for state income tax purposes. A taxpayer who pays the tax on the unpaid balance of an account which has been found to be worthless and is actually charged off for state income tax purposes may take a deduction for the sales price charged of as a bad debt or uncollectible account on a return filed pursuant to this chapter, except that if an amount charged off is later paid in whole or in part to the taxpayer, the amount paid must be included in the first return filed after the collection and the tax paid. The deduction allowed by this paragraph must be taken within one year of the month the amount was determined to be a bad debt or uncollectible account."
SECTION   25.   Section 12-36-910(B)(3) of the 1976 Code is amended to read:

"(3)   gross proceeds accruing or proceeding from the charges for the ways or means for the transmission of the voice or messages, including the charges for use of equipment furnished by the seller or supplier of the ways or means for the transmission of the voice or messages. Charges for mobile telecommunications services subject to the tax under this item must be sourced in accordance with the Mobile

"(5)   gross proceeds accruing or proceeding from the sale or recharge at retail or prepaid wireless calling arrangements.

(a)   'Prepaid wireless calling arrangements' means communication services that:

( i)   are used exclusively to purchase wireless telecommunications;

( ii)   are purchased in advance;

(iii)   allow the purchaser to originate telephone calls by using an access number, authorization code, or other means entered manually or electronically; and

( iv)   are sold in units or dollars which decline with use in a known amount.

(b)   All charges for prepaid wireless calling arrangements must be sourced to the:

( i)   location in this State where the over-the-counter sale took place;

( ii)   shipping address if the sale did not take place at the seller's location and an item is shipped; or

(iii)   either the billing address or location associated with the mobile telephone number if the sale did not take place at the seller's location and no item is shipped."
SECTION   27.   Section 12-36-940 of the 1976 Code is amended to read:

"Section 12-36-940.   (A)   Every Each retailer may add to the sales price as a result of the five percent state sales tax:

(1)   no amount on sales of ten cents or less;

(2)   one cent on sales of eleven cents and over, but not in excess of through twenty cents;

(3)   two cents on sales of twenty-one cents and over, but not in excess of through forty cents;

(4)   three cents on sales of forty-one cents and over, but not in excess of through sixty cents;

(5)   four cents on sales of sixty-one cents and over, but not in excess of through eighty cents;

(6)   five cents on sales of eighty-one cents and over, but not in excess of through one dollar;

(7)   one cent additional for each twenty cents or major fraction thereon in excess of it over of one dollar.

(B)   The inability, impracticability, refusal, or failure to add these amounts to the sales price and collect them from the purchaser does not relieve the taxpayer from the tax levied by this article.

(C)   For purposes of the state sales tax on accommodations and applicable combined state sales and local tax for counties imposing a local sales tax collected by the department on their behalf, retailers may add to the sales price an amount equal to the total state and local sales tax rate times the sales price. The amount added to the sales price may not be less than the amount added pursuant to subsection (A). In calculating the tax due, retailers may round a fraction of more than one-half of a cent to the next whole cent and a fraction of a cent of one-half or less must be eliminated. The inability, impracticability, refusal, or failure to add the tax to the sales price as allowed by this subsection and collect them from the purchaser does not relieve the taxpayer of his responsibility to pay tax."
SECTION   28.   Section 12-36-1310(B)(3) of the 1976 Code is amended to read:

"(3)   gross proceeds accruing or proceeding from the charges for the ways or means for the transmission of the voice or messages, including the charges for use of equipment furnished by the seller or supplier of the ways or means for the transmission of the voice or messages. Charges for mobile telecommunications services subject to the tax under this item must be sourced in accordance with the Mobile Telecommunications Sourcing Act as provided in Title 4 of the United States Code. The term 'charges for mobile telecommunications services' is defined for purposes of this section the same as it is defined in the Mobile Telecommunications Sourcing Act. All other definitions and provisions of the Mobile Telecommunications Sourcing Act as provided in Title 4 of the United States Code are adopted;"
SECTION   29.   Section 12-37-220(C) of the 1976 Code is amended to read:

"(C)   Upon approval by the governing body of the county, the five-year partial exemption allowed pursuant to subsections (A)(7), and (B)(32), and (B)(34) is extended to an unrelated purchaser who acquires the facilities in an arms-length transaction and who preserves

"( )   A failure to deposit or pay taxes deducted and withheld pursuant to Article 5 of Chapter 8 subjects the withholding agent to a penalty of not less than ten dollars nor more than one thousand dollars. The penalty imposed by this item applies to failure to comply with the provisions of Section 12-54-250."
SECTION   31.   Section 12-54-44(C) of the 1976 Code is amended to read:

"(C)   A failure to deposit or pay taxes deducted and withheld pursuant to Article 5 of Chapter 8 subjects the withholding agent to a penalty of not less than ten dollars nor more than one thousand dollars. The penalty imposed by this item applies to failure to comply with the provisions of Section 12-54-250. Reserved"
SECTION   32.   Chapter 54, Title 12 of the 1976 Code is amended by adding:

"Section 12-54-195.   (A)   As used in this section, 'responsible person' includes any officer, partner, or employee of the taxpayer who has a duty to pay to the department the sales tax due by the taxpayer or use tax required or authorized to be collected by the retailer pursuant to Chapter 36 of this title.

(B)   If a retailer adds and collects the sales tax as permitted by Section 12-36-940, or collects the use tax from the purchaser as required by Section 12-36-1350, but the retailer fails to remit the tax collected to the department, then any responsible person may be held liable, individually and personally, for a penalty equal to one hundred percent of the tax collected but not remitted to the department. The tax is not collectible from the retailer to the extent the penalty imposed by this subsection is collected from a responsible person."
SECTION   33.   Section 12-54-85 of the 1976 Code, as last amended by Act 399 of 2000, is further amended by adding an appropriately numbered subsection at the end to read:

"( )(1)   An individual taxpayer is 'financially disabled' if he is unable to manage his financial affairs by reason of a medically determinable physical or mental impairment that is expected to result in death or that has lasted or is expected to last for a continuous period of not less than twelve months. An individual taxpayer does not have that

(2)   The running of the period of limitation provided in subsection (F) is suspended during a period an individual taxpayer is considered financially disabled.

(3)   An individual taxpayer may not be treated as financially disabled during a period that his spouse or another person is authorized lawfully to act on his behalf in financial matters."
SECTION   34.   Section 12-54-85(F) of the 1976 Code is amended to read:

"(F)(1) Except as provided in subsection (D) above, claims for credit or refund must be filed within three years of from the time the timely filed return, including extensions, was filed, or two years from the date of payment the tax was paid, whichever is later. If no return was filed, a claim for credit or refund must be filed within two years from the date of payment the tax was paid. A credit or refund may not be made after the expiration of the period of limitation prescribed in this item for the filing of a claim for credit or refund, unless the claim for credit or refund is filed by the taxpayer or determined to be due by the department within that period.

(2)   If the claim was filed by the taxpayer during the three-year period prescribed in item (1), the amount of the credit or refund may not exceed the portion of the tax paid within the period, immediately preceding the filing of the claim, equal to three years plus the period of any extension of time for filing the return.

(3)   If the claim was not filed within the three-year period, the amount of the credit or refund may not exceed the portion of the tax paid during the two years immediately preceding the filing of the claim.

(4)   If no claim was filed, the credit or refund may not exceed the amount which would be allowable under item (2) or (3), as the case may be, as if a claim were filed on the date the credit or refund is allowed.

(5)   For the purposes of this subsection:

(a)   A return filed before the last day prescribed for the filing is considered as filed on the last day. Payment of any portion of the tax made before the last day prescribed for the payment of the tax is considered made on the last day. The last day prescribed for filing the return or paying the tax must be determined without regard to any extension of time.

(b)   Any tax actually withheld at the source in respect of the recipient of income, is considered to have been paid by the recipient on the last day prescribed for filing his return for the taxable year, determined without regard to any extension of time for filing the return, with respect to which the taxpayer would be allowed a credit for the amount withheld.

(c)   Any amount paid as estimated income tax for any taxable year is considered to have been paid on the last day prescribed for filing the return for the taxable year, determined without regard to any extension of time for filing the return.

(6)   In the case of an individual, the running of the period specified in this subsection is suspended for a period of the individual's life during which he is financially disabled. For purposes of this item, an individual is financially disabled if he is unable to manage his financial affairs by reason of a medically determinable physical or mental impairment that is not expected to result in death or which has lasted or is expected to last for a continuous period of not less than twelve months. An individual must not be treated as financially disabled for a period during which his spouse or another person is authorized to act on his behalf in financial matters. An individual must not be considered financially disabled unless the following statements are submitted as part of the claim for credit or refund:

(a)   a written statement signed by a physician qualified to make the determination that provides the:

( i)   name and a brief description of the physical or mental impairment;

( ii)   physician's medical opinion that the physical or mental impairment prevented the taxpayer from managing his financial affairs;

(iii)   physician's medical opinion that the taxpayer's physical or mental impairment resulted in, or is expected to result in, death, or that it has lasted, or is expected to last, for a continuous period of not less than twelve months; and

( iv)   specific time period during which the taxpayer was prevented by the physical or mental impairment from managing his financial affairs, to the best of the physician's knowledge; and

(b)   a written statement by the taxpayer or the person signing the claim for credit or refund that the person, including the taxpayer's spouse, was not authorized to act on his behalf in financial matters for the period during which he was unable to manage his own financial affairs. Alternatively, if a person was authorized to act on the

(c)   other information the department may require.

The department, in its discretion, may adopt a determination made by the Internal Revenue Service with respect to an individual, and may follow rules issued by the Internal Revenue Service or Department of Treasury with regard to interpreting Internal Revenue Code section 6511(h)."
SECTION   35.   Section 12-54-200 of the 1976 Code is amended to read:

"Section 12-54-200.   (a)(A)   The department, at its discretion, after notification as provided in subsection (b) of this section, may require any a person subject to provisions of law administered by the department, not including Section 12-35-330, to post a cash or surety bond, deposit and maintain taxes due including associated penalties and interest in a separate account in a bank or other financial institution in this State, or both, if the person fails to file a timely return or pay any a tax for as many as two tax filing periods in a twelve-month period.

(B)   The amount of the bond must be determined by the department and may not be greater than three times the estimated average liability each filing period of the person required to file the return. A cash bond must be held by the State Treasurer, without interest, as surety conditioned upon prompt payment of all taxes, penalties, and interest imposed by law upon the person.

(C)   If a person is required to maintain a separate account, he must give the name of the financial institution, the account number, and other information the department requires. Taxes, penalties, and interest due must be withdrawn from the account by preprinted, consecutively numbered checks signed by a properly authorized officer, partner, manager, employee, or member of the taxpayer and made payable to the department. Monies deposited in the account may not be commingled with other funds. The department, at its discretion, may apply Section 12-54-250, if the amount due from the taxpayer is twenty thousand dollars or more.

(D)   When any a person required to post a bond or maintain a separate account, or both, complies with all requirements of law and regulations for a period of twenty-four consecutive months, the department shall return the bond and cancel the bonding and separate account requirements.

(b)(E)   The department shall may serve the notice required by subsection (b) of this section by certified mail, or by delivery by an authorized agent of the department delivering the notice to the person in hand or by leaving the notice at the person's last or usual place of abode or at his place of business or employment. For corporations, partnerships, or trusts, the notice may be delivered by certified mail, or by delivery by an authorized agent for of the department delivering the notice to an officer, partner, or trustee in hand, or by leaving the notice at the officer's, partner's, or trustee's last or usual place of abode or at his place of business or employment.

(F)   A person who fails to comply with this section is guilty of a misdemeanor and, upon conviction, must be fined not more than five hundred dollars or imprisoned not more than thirty days, or both. Offenses under this section are triable in magistrate's court. These penalties are in addition to other penalties provided by law."
SECTION   36.   Section 12-54-227(A)(2) of the 1976 Code is amended to read:

"(2)   For purposes of this section, 'delinquent tax claim' means a tax liability that is due and owing for a period longer than six months and for which the taxpayer has been given at least three notices requesting payment and for any subsequent tax debts issued, one notice of which has been sent by certified or registered mail. The notice sent by certified or registered mail must include includes a statement that the taxpayer's delinquency may be referred to a collection agency in the taxpayer's home state."
SECTION   37.   Section 12-54-240(B)(6) of the 1976 Code is amended to read:

"(6)   disclosure of a deficiency assessment to a probate court or to an attorney conducting a closing, the filing of a tax lien for uncollected taxes, and the issuance of a notice of levy;"
SECTION   38.   Section 12-56-120 of the 1976 Code is amended to read:

"Section 12-56-120.   The department is and Internal Revenue Service are exempt from the notice and appeal procedures of this chapter. The sole and exclusive appeal procedures procedure for the setoff of any a debt owed to the department is governed by the provisions of Chapter 60 of Title 12 which provides the sole and exclusive remedy for these procedures. The appeal procedure in connection with a liability to the Internal Revenue Service is governed by Title 26 of the United States Code."

"(A)   The department, in its discretion, may accept installment payment for amounts due for a period not to exceed one year from the date the payment was due originally. Interest accrues during the installment period, pursuant to Section 12-54-25. In addition, the department may extend the time for payment of an amount due it for a period not to exceed eighteen months from the date fixed for the payment and, in exceptional cases, for a further period not to exceed twelve months. An extension under pursuant to this section may be granted only where if it is shown to the satisfaction of the department that the payment of the amount due it upon the date originally fixed for the payment will result in undue hardship to the taxpayer."
SECTION   40.   Section 12-60-90(C) of the 1976 Code is amended to read:

"(C)   Taxpayers may be represented during the administrative tax process by:

(1)   the same individuals who can may represent them in administrative tax proceedings with the Internal Revenue Service pursuant to Section 10.3 (a), (b), and (c), Section 10.7 (a), (1) (c)(i) through (4) and (7) (c)(vi), and (c)(viii), and Section 10.7 (b) (d) and (c) (e) of United States Treasury Department Circular No. 230; and

(2)   a real estate appraiser who is registered, licensed, or certified pursuant to Chapter 60 of Title 40 during the administrative tax process in a matter limited to questions concerning the valuation of real property."
SECTION   41.   Section 4-37-30(A)(15) of the 1976 Code, as amended by Act 368 of 2000, is further amended to read:

"(15)   The revenues of the tax collected in each county pursuant to this section must be remitted to the State Treasurer and credited to a fund separate and distinct from the general fund of the State. After deducting the amount of refunds made and costs to the Department of Revenue of administering the tax, not to exceed one percent of the revenues, the State Treasurer shall distribute the revenues and all interest earned on the revenues while on deposit with him quarterly to the county in which the tax is imposed and these revenues and interest earnings must be used only for the purpose stated in the imposition ordinance. The State Treasurer may correct misallocation misallocations costs or refunds by adjusting later distributions, but these adjustments must be made in the same fiscal year as the

"(A)   The revenues of the tax collected in the county under this act must be remitted to the State Treasurer and credited to a fund separate and distinct from the general fund of the State. After deducting the amount of refunds made and costs to the Department of Revenue and Taxation of administering the tax, not to exceed one percent of the revenues, the State Treasurer shall distribute the revenues quarterly to the county treasurer who holds the debt service funds established for payment of principal and interest on the bonds to which the tax is applicable. The State Treasurer may correct misallocation misallocations costs or refunds by adjusting subsequent distributions, but these adjustments must be made in the same fiscal year as the misallocation. However, allocations made as a result of city or county code errors must be corrected prospectively."
B.   Section 6 of Act 588 of 1994, as last amended by Act 458 of 1998, is further amended by adding at the end:

"(D)   Annually, in the month of June, funds collected by the Department of Revenue from the Cherokee County School District 1 School Bond-Property Tax Relief Act which are not identified as to the governmental unit due the tax after reasonable effort by the department to determine the source of collection must be transferred to the State Treasurer's Office. The State Treasurer shall distribute these funds to the county treasurer in the county area in which the tax is imposed and the revenues must be used only for the purposes stated in the imposition resolution. The State Treasurer shall calculate this supplemental distribution on a proportional basis based on the current fiscal year's county area revenue collections."
SECTION   43.   A.   Section 7A of Act 441 of 2000 is amended to read:

"(A)   The revenues of the tax collected in the county under this act must be remitted to the State Treasurer and credited to a fund separate and distinct from the general fund of the State. After deducting the amount of refunds made and costs to the department of administering the tax, not to exceed one percent of the revenues, the State Treasurer shall distribute the revenues quarterly to the county treasurer, who shall hold the debt service funds for payment of principal and interest on the bonds to which the tax is applicable. The State Treasurer may correct misallocation costs or refunds misallocations by adjusting subsequent

"(D)   Annually, in the month of June, funds collected by the Department of Revenue from the Chesterfield County School District School Bond-Property Tax Relief Act which are not identified as to the governmental unit due the tax after reasonable effort by the department to determine the source of collection must be transferred to the State Treasurer's Office. The State Treasurer shall distribute these funds to the county treasurer in the county area in which the tax is imposed and the revenues must be used only for the purposes stated in the imposition resolution. The State Treasurer shall calculate this supplemental distribution on a proportional basis based on the current fiscal year's county area revenue collections."
SECTION   44.   Section 12-4-580(D)(1) is amended to read:

"(1)   'governmental entity' means the State and any state agency, board, committee, department, department, private or public institution of higher learning; all political subdivisions of the State; and all federal agencies, boards, and departments. 'Political subdivision' includes the Municipal Association of South Carolina and the South Carolina Association of Counties when these organizations submit claims on behalf of their members."
SECTION   45.   RESERVED
SECTION   46.   Chapter 43, Title 12, of the 1976 Code is amended by adding:

"Section 12-43-285.   (A)   The governing body of a political subdivision on whose behalf a property tax is billed by the county auditor shall certify in writing to the county auditor that the millage rate levied is in compliance with laws limiting the millage rate imposed by that political subdivision.

(B)   If a millage rate is in excess of that authorized by law, the county treasurer shall either issue refunds or transfer the total amount in excess of that authorized by law, upon collection, to a separate, segregated fund, which must be credited to taxpayers in the following year as instructed by the governing body of the political subdivision on whose behalf the millage was levied. An entity submitting a millage rate in excess of that authorized by law shall pay the costs of implementing this subsection or a pro rata share of the costs if more than one entity submits an excessive millage rate."

"Section 4-1-170.   (A)   By written agreement, counties may develop jointly an industrial or business park with other counties within the geographical boundaries of one or more of the member counties as provided in Section 13 of Article VIII of the Constitution of this State. The written agreement entered into by the participating counties must include provisions which:

(1)   address sharing expenses of the park;

(2)   specify by percentage the revenue to be allocated to each county;

(3)   specify the manner in which revenue must be distributed to each of the taxing entities within each of the participating counties.

(B)   For the purpose of bonded indebtedness limitation and for the purpose of computing the index of taxpaying ability pursuant to Section 59-20-20(3), allocation of the assessed value of property within the park to the participating counties and to each of the taxing entities within the participating counties must be identical to the allocation of revenue received and retained by each of the counties and by each of the taxing entities within the participating counties. Misallocations may be corrected by adjusting later distributions, but these adjustments must be made in the same fiscal year as the misallocations. Provided, however, that the computation of bonded indebtedness limitation is subject to the requirements of Section 4-29-68(E).

(C)   If the industrial or business park encompasses all or a portion of a municipality, the counties must obtain the consent of the municipality prior to the creation of the multi-county industrial park."
SECTION   48.   Section 12-51-90(B) of the 1976 Code, as last amended by Act 334 of 2000, is further amended to read:

"(B)   The lump sum amount of interest is due on the whole amount of the delinquent tax sale based on the month during the redemption period the property is redeemed and that rate relates back to the beginning of the redemption period according to the following schedule:

Month of Redemption Period     Amount of Interest Imposed

Property Redeemed

First three months             three percent of the bid amount

Months four, five, and six       six percent of the bid amount

Months seven, eight, and nine   nine percent of the bid amount

Last three months             twelve percent of the bid amount

However, in every redemption, the amount of interest due must not exceed the amount of the bid on the property submitted on behalf of the forfeited land commission pursuant to Section 12-51-55."
SECTION   49.   Section 33-44-211(c) of the 1976 Code, as last amended by Act 395 of 2000, is further amended to read:

"(c)   The first annual report must be delivered to the Secretary of State between January first and April first of the year following the calendar year in which a limited liability company was organized or a foreign company was authorized to transact business. Subsequent annual reports must be delivered to the Secretary of State on or before the fifteenth day of the third fourth month following the close of the taxable year."
SECTION   50.   A.   Section 12-36-2620(2) of the 1976 Code is amended to read:

"(2)   a one percent tax, which must be credited as provided in Section 59-21-1010(B). The one percent tax specified in this item does not apply to the issuance of certificates of title or other proof of ownership to an individual eighty-five years of age or older titling or registering a motor vehicle, motorcycle, boat, motor, or airplane for his own personal use, if at the time of sale, the individual requests the one percent exclusion from tax and provides the retailer with proof of age."
B.   Section 12-36-2630(2) of the 1976 Code is amended to read:

"(2)   a one percent tax, which must be credited as provided in Section 59-21-1010(B). The one percent tax specified in this item (2) does not apply to sales to an individual eighty-five years of age or older purchasing tangible personal property for his own personal use, if at the time of sale, the individual requests the one percent exclusion from tax and provides the retailer with proof of age; and"
C.   Section 12-36-2640(2) of the 1976 Code is amended to read:

"(2)   a one percent tax which must be credited as provided in Section 59-21-1010(B). The one percent tax specified in this item does not apply to the issuance of certificates of title or other proof of ownership to an individual eighty-five years of age or older titling or registering a motor vehicle, motorcycle, boat, motor, or airplane for his own personal use, if at the time of sale, the individual requests the one percent exclusion from tax and provides the retailer with proof of age."
D.   Article 25, Chapter 36, Title 12 of the 1976 Code is amended by adding:

"Section 12-36-2646.   (A)   Retailers shall post a sign at each entrance or each cash register which advises individuals eighty-five

(B)   A retailer who fails to post the required signs is subject to a penalty of up to one hundred dollars for each month or portion of the month the sign or signs are not posted. Continued failure to post the signs after a written warning from the Department of Revenue may result in revocation of the retailer's retail license in accordance with Section 12-54-90. Failure to post the signs does not give rise to a cause of action by an individual eighty-five years of age or older who failed to request the exclusion and provide proof of age at the time of sale."
SECTION   51.   A. Section 4-12-30(D)(4)(a) of the 1976 Code, as last amended by Act 399 of 2000, is further amended to read:

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

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

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

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

(iv)   in the case of a sponsor and a sponsor affiliate, who together are investing at least four hundred million dollars and creating at least two hundred new full time jobs at the site qualifying for the fee and:

a.   the investment by the sponsor affiliate is considered necessary and suitable for the operation of the sponsor facility;

b.   the sponsor affiliate is located contiguous to the sponsor project;

c.   one hundred percent of the output of the sponsor affiliate is provided to the sponsor for the project; and

d.   the sponsor affiliate is not considered a supplier of manufactured parts or of any value added output of the sponsor."

"(G)(1)   The county and the sponsor may enter into an agreement to establish the millage rate, a millage rate agreement, for purposes of calculating payments under subsection (D)(2)(a), and the first five years under subsection (D)(2)(b). This millage rate agreement must may be executed on the date of the inducement agreement or at any time thereafter up to and including, but not later than, the date of the initial lease agreement. This millage rate agreement may be a separate agreement or may be made a part of either the inducement agreement or the initial lease agreement.

(2)   The millage rate established pursuant to subsection (G)(1) must cannot be lower than the a cumulative property tax millage rate legally levied by or on behalf of all taxing entities within which the subject property is to be located which is the cumulative rate that is applicable during the period beginning on the thirtieth day of June preceding the calendar year in which the millage rate agreement is executed and ending on the date the initial lease agreement is executed. If no a millage rate agreement is not executed on or before the date of the initial lease agreement, the millage rate is deemed considered to be the cumulative property tax millage rate applicable on the thirtieth day of June preceding the calendar year in which the initial lease agreement is executed by the parties.

(3)   For purposes of determining the cumulative property tax millage rate under pursuant to subsection (G)(2), the millage rate assessed by a municipality must may not be included in the computation even if the subject property was located in the jurisdiction of the taxing entity as of June thirtieth preceding the calendar year in which the millage rate agreement is executed, if, pursuant to agreement on the part of the taxing entity at the time of execution of the millage rate agreement, the taxing entity de-annexes the subject property before execution of the initial lease."
C.   Section 4-29-10(3) of the 1976 Code, as last amended by Act 151 of 1997, is further amended to read:

"(3)   'Project' means any land and any buildings and other improvements on the land including, without limiting the generality of the foregoing, water, sewage treatment and disposal facilities, air pollution control facilities, and all other machinery, apparatus, equipment, office facilities, and furnishings which are considered necessary, suitable, or useful by the following investors or any combination of them:

(a)   any enterprise for the manufacturing, processing, or assembling of any agricultural or manufactured products;

(b)   any commercial enterprise engaged in storing, warehousing, distributing, transporting, or selling products of agriculture, mining, or industry, or engaged in providing laundry services to hospitals, to convalescent homes, or to medical treatment facilities of any type, public or private, within or outside of the issuing county or incorporated municipality and within or outside of the State;

(c)   any enterprise for research in connection with any of the foregoing or for the purpose of developing new products or new processes or improving existing products or processes;

(d)   any enterprise engaged in commercial business including, but not limited to, wholesale, retail, or other mercantile establishments; residential and mixed use developments of two thousand five hundred acres or more; office buildings; computer centers; tourism, sports, and recreational facilities; convention and trade show facilities; and public lodging and restaurant facilities if the primary purpose is to provide service in connection with another facility qualifying under this subitem; and

(e)   any enlargement, improvement, or expansion of any existing facility in subitems (a), (b), (c), and (d) of this item.

The term 'project' does not include facilities for an enterprise primarily engaged in the sale or distribution to the public of electricity, gas, or telephone services. A project may be located in one or more counties or incorporated municipalities. The term 'project' also includes any structure, building, machinery, system, land, interest in land, water right, or other property necessary or desirable to provide facilities to be owned and operated by any person, firm, or corporation for the purpose of providing drinking water, water, or wastewater treatment services or facilities to any public body, agency, political subdivision, or special purpose district. This definition is for purposes of industrial revenue bonds only."
D.   Section 4-29-10 of the 1976 Code, as last amended by Act 151 of 1997, is further amended by adding at the end:

"(9)   'Investor' means one or more entities that sign the inducement agreement with the county and also includes an investor affiliate unless the context clearly indicates otherwise.

(10)   'Investor affiliate' means an entity that joins with, or is an affiliate of, an investor and that participates in the investment in, or financing of, a project.

(11)   'Business' means a single entity or two or more entities if they meet the qualifications of Section 4-12-30."
E.   Section 4-29-67 of the 1976 Code, as last amended by Act 279 of 2000, is further amended to read:

"Section 4-29-67.   (A)   Notwithstanding the provisions of Section 4-29-60, in the case of a financing agreement in the form of one or more lease agreements for a project qualifying under pursuant to subsection (B), the county and the investor may enter into an inducement agreement which that provides for payment of a fee in lieu of taxes (fee) as provided in this section. All A references reference in this section to a lease agreement shall be deemed also to refer is considered a reference also to a lease purchase agreement.

(B)   In order for For property to qualify for the fee as provided in subsection (D)(2), which was adopted:

(1)   Title to the property must be held by the county or, in the case of a project located in an industrial development park as defined in Section 4-1-170, title may be held by more than one county, provided each county is a member of the industrial development park. Any real Real property transferred to the county must include a legal description and plat of the property.

(2)   The investment must be a project which that is located in a single county or an industrial development park as defined in Section 4-1-170. A project located on a contiguous tract of land in more than one county, but not in such an industrial development park, may qualify for the fee provided if:

(a)   the counties agree on the terms of the fee and the distribution of the fee payment;

(b)   the minimum millage rate cannot be is not lower than the millage rate applicable to the county in which the greatest amount of investment occurs; and

(c)   all such the counties must be parties to all agreements establishing the terms of the fee.

(3)   The minimum level of investment must be at least forty-five million dollars and must be invested within the time period provided in subsection (C).

(4)(a)   Except as provided in subsections (B)(4)(b) and (D)(4)(a), the investment must be made by a single entity. For purposes of this section, (i) any partnership or other association which properly files its South Carolina income tax returns as a partnership for South Carolina income tax purposes will be treated as a single entity and as a partnership, and (ii) any corporation or other association which

(b)(i)   The members of the same controlled group of corporations can qualify for the fee if the combined investment in the county by the members meets the minimum investment requirements. The county and the members investors and investor affiliates who are part of the inducement agreement may agree that any investments by other members of the controlled group investor affiliates within the time periods provided in subsection (C)(1) and (2) shall qualify for the payment regardless of whether or not the member investor affiliate was part of the inducement agreement; provided, however, in order. to To qualify for the fee, such other members of the controlled group investor affiliates must be specifically approved specifically by the county and must agree to be bound by agreements with the county relating to the fee; provided, however, such controlled group members except that investor affiliates need not be bound by agreements, or portions of agreements, to the extent such those agreements do not affect the county; provided,. further, that with the consent of the county, such members will not be Investor affiliates are not bound by agreements or portions of agreements which do affect the county., if the affected county consents not to bind them. Except as otherwise provided in subsection (B)(2), the investments under pursuant to this subsection (B)(4)(b) must be within the same county or industrial park at the same project. Any controlled group member which is claiming the fee must invest at least ten million dollars in the county or industrial park.

(ii)   The Department of Revenue must be notified in writing of all members investors and investor affiliates which that have investments subject to the fee before or within thirty days after the execution of the lease agreement covering the investment by the member investor or investor affiliate. The Department of Revenue may extend the thirty-day period upon written request. Failure to meet

(iii)   If, at any time, the controlled group or any former member (who has left the controlled group) no longer has the minimum forty-five million dollars of investment (without regard to depreciation), that group or former member no longer holding the minimum amount of investment as provided in subsection (B)(3) (without regard to depreciation) will investment at the project falls below forty-five million dollars, the investor and investor affiliate no longer qualify for the fee.

(iv)   For purposes of this section, 'controlled group' or 'controlled group of corporations' shall have the meaning provided under Section 1563(a) of the Internal Revenue Code as defined in Chapter 6 of Title 12 as of the date of the execution of the inducement agreement (without regard to amendments or replacements thereof), without regard to subsections (a)(4) and (b) of Section 1563 If, at any time, a business no longer has a minimum investment of five million dollars at the project, without regard to depreciation, the investor or investor affiliate no longer qualifies for the fee.

(C)(1)   From the end of the property tax year in which the investor and the county execute an inducement agreement, the investor has seven years in which to enter into an initial lease agreement with the county.

(2)(a)   From the end of the property tax year in which the investor and the county execute the initial lease agreement, the investor has five years in which to complete its investment for purposes of qualifying for this section. If the investor does not anticipate completing the project within five years, the investor may apply to the county before the end of the five-year period for an extension of time, up to two years, to complete the project. If the The county county's agrees agreement to grant the extension, the county must do so be in writing, and a copy must be delivered to the Department of Revenue within thirty days of the date the extension was granted. The extension may not exceed two years in which to complete the project.

(b)   There is no An extension allowed for of the five-year period in which to meet the minimum level of investment is not allowed. If the minimum level of investment is not met within five years, all property under covered by the lease agreement or agreements reverts retroactively to the payments required by Section 4-29-60. The difference between the fee actually paid by the investor and the payment which is due under pursuant to Section 4-29-60 is subject to interest, as provided in Section 12-54-25(D).

(c)   Unless property qualifies as replacement property under pursuant to a contract provision enacted pursuant to subsection (F)(2), any property placed in service after the five-year period, or seven years in the case of a project which has received an extension, is not part of the fee agreement under pursuant to subsection (D)(2) and is subject to the payments required by Section 4-29-60 if the county has title to:

(i)   the property,; or

(ii)   to property taxes, as provided in Chapter 37 of Title 12, if the investor has title to the property.

(d)   For purposes of those businesses qualifying under pursuant to Section 4-29-67(D)(4), the five-year period referred to in this subsection is eight years and the seven-year period is ten years.

(3)   The annual fee provided by subsection (D)(2) is available for no more than twenty years. For projects which are completed and placed in service during a period of more than one year, each year's investment may be subject to the fee in subsection (D)(2) for twenty years to a maximum total of twenty-seven years for the fee for a single project which has been granted an extension. For those businesses qualifying under pursuant to subsection (D)(4), the annual fee is available for no more than thirty years and for those projects placed in service in more than one year, the annual fee is available for a maximum of thirty-seven years.

(4)   Annually, during During the time period allowed to meet the minimum investment level, the investor annually must provide inform the total amount invested to the appropriate county official of the total amount invested.

(D)   The inducement agreement must provide for fee payments, to the extent applicable, as follows:

(1)(a)   Any property, If title to which is of property is transferred to the county, will be the property is subject, before being placed in service, to an annual fee payment as provided in Section 4-29-60 before being placed in service.

(b)   Any undeveloped land, If title to which undeveloped land, is transferred to the county, will be the undeveloped land is subject, before being developed and placed in service, to an annual fee payment as provided in Section 4-29-60 developed land is before being developed and placed in service. The time during which fee payments are made under pursuant to Section 4-29-60 will not be considered are not part of the maximum periods provided in subsections subsection (C)(2) and (C)(3), and no a lease shall be considered is not an 'initial lease agreement' for purposes of this section unless and until the first day of the calendar year for which a fee payment is due under pursuant to subsection (D)(2) in connection with such the lease.

(2)   After property qualifying under pursuant subsection (B) is placed in service, an annual fee payment, determined in accordance with one of the following, is due:

(a)   an annual payment in an amount not less than the property taxes that would be due on the project if it were taxable, but using:

(i)   an assessment ratio of not less than at least six percent, except as provided in subsection (D)(4),; and

(ii)   a fixed millage rate as provided in subsection (G),: and

(iii)   a fair market value estimate determined by the South Carolina Department of Revenue as follows:. (i) The estimate for real property using is the original income tax basis for South Carolina income tax purposes without regard to depreciation. However, if real property is constructed for the fee or is purchased in an arm's length transaction, fair market value is deemed to equal equals the original income tax basis, otherwise the Department of Revenue will shall determine fair market value by appraisal; and. The estimate (ii) for personal property using is the original income tax basis for South Carolina income tax purposes, less depreciation allowable for property tax purposes,; except that the investor is not entitled to any extraordinary obsolescence.;

(b)   an annual payment based on any an alternative arrangement yielding a net present value of the sum of the fees for the life of the agreement not less than the net present value of the fee schedule as calculated under pursuant to subsection (D)(2)(a). Net present value calculations performed under pursuant to this subsection must use a discount rate equivalent to the yield in effect for new or existing United States Treasury bonds of similar maturity as published during the month in which the inducement agreement is executed. If

(c)   an annual payment using a formula that results in a fee not less than the amount required pursuant to subsection (D)(2)(a), except that every fifth year the applicable millage rate is allowed to may increase or decrease in step with the average actual millage rate applicable in the district where the project is located based on the preceding five-year period.

(3)   At the conclusion of the payments determined pursuant to items (1) and (2) of this subsection, an annual payment the annual fee payment is equal to the taxes due on the project as if it were taxable. When the property is no longer subject to the fee under pursuant to subsection (D)(2), the fee or property taxes must be assessed:

(a)   with respect to real property, based on the fair market value as of the latest reassessment date for similar taxable property; and

(b)   with respect to personal property, based on the then-depreciated value applicable to such the property under the fee, and thereafter after that continuing with the South Carolina property tax depreciation schedule.

(4)(a)   The assessment ratio may not be lower than must be at least four percent:

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

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

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

(iv)   in the case of a business which is investing at least six hundred million dollars in this State.

(v)   in the case of investments totaling at least four hundred million dollars and creating at least two hundred new full-time jobs at the site qualifying for the fee and:

a.   the investment by the investor affiliate is considered necessary and suitable for the operation of the sponsor facility;

b.   the investor affiliate is located contiguous to the investor project;

c.   one hundred percent of the output of the investor affiliate is provided to the investor for the project; and

d.   the investor affiliate is not considered a supplier of manufactured parts or of any value added output of the investor.

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

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

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

(E)   Calculations pursuant to subsection (D)(2) must be made on the basis that the property, if taxable, is allowed all applicable property tax exemptions except the exemption allowed under pursuant to Section 3(g) of Article X of the Constitution of this State and the exemption exemptions allowed pursuant to Section 12-37-220B(32) and (34).

(F)   With regard to calculation of the fee provided in subsection (D)(2), the inducement agreement may provide for the disposal of property and the replacement of property subject to the fee as follows:

(1)(a)   If an investor disposes of property subject to the fee, the fee must be reduced by the amount of the fee applicable to that property. (b) Property is disposed of only when it is scrapped or sold in accordance with the lease agreement. (c) If the investor used any method to compute the fee other than that provided in subsection (D)(2)(a), the fee on the property which was disposed of must be recomputed in accordance with subsection (D)(2)(a) and to the extent that the amount which that would have been paid under pursuant to subsection (D)(2)(a) exceeds the fee actually paid by the investor, the investor must pay the difference with the next fee payment due after the property is disposed of. If the investor used the method provided in subsection (D)(2)(c), the millage rate provided in subsection (D)(2)(c) must be used to calculate the amount which would have been paid under pursuant to subsection (D)(2)(a). (d) If there is no provision in the agreement dealing with the disposal of property in accordance with this subsection, the fee remains fixed and no adjustment to the fee is allowed for disposed property.

(2)   Any property Property which is placed in service as a replacement for property which that is subject to the fee payment may become part of the fee payment as provided in this item:

(a)   Replacement property does not have to serve the same may have a function as that differs from the property it is replacing. Replacement property is deemed considered to replace the oldest real or personal property subject to the fee, whether real or personal, which is and disposed of in the same property tax year as the replacement property is placed in service. Replacement property qualifies for fee treatment provided in subsection (D)(2) only up to the original income tax basis of fee property it is replacing replaces. More than one piece of replacement property can may replace a single piece of fee property. To the extent that the income tax basis of the replacement property exceeds the original income tax basis of the property which it is replacing replaces, the excess amount is subject to payments as provided in Section 4-29-60. Replacement property is entitled to the fee payment for the period of time remaining on the twenty-year fee period for the property which it is replacing replaces.

(b)   The new replacement property which that qualifies for the fee provided in subsection (D)(2) is recorded using its income tax basis, and the fee is calculated using the millage rate and assessment

(c)   In order to To qualify as replacement property, title to the replacement property must be held by the county.

(d)   If there is no provision in the inducement agreement dealing with replacement property, any property placed in service after the time period allowed for investments as provided by subsection (C)(2), is subject to the payments required by Section 4-29-60 if the county has title to:

(i)   the property,; or

(ii)   to property taxes, as provided in Chapter 37 of Title 12, if the investor has title to the property.

(G)(1)   The county and the investor may enter into an agreement to establish the millage rate (millage rate agreement) for purposes of calculating payments under pursuant to subsection (D)(2)(a) and the first five years under pursuant to subsection (D)(2)(c). This millage rate agreement must may be executed on the date of the inducement agreement or at anytime any time thereafter up to and including, but not later than, the date of the initial lease agreement. This millage rate agreement may be a separate agreement or may be made a part of either the inducement agreement or the initial lease agreement.

(2)   The millage rate established pursuant to item (1) of this subsection cannot must be lower than the a cumulative property tax millage rate legally levied by or on behalf of all taxing entities within which the subject property is to be located which is the cumulative rate that is applicable during the period beginning on the thirtieth day of June preceding the calendar year in which the millage rate agreement is executed and ending on the date the initial lease agreement is executed. If no a millage rate agreement is not executed on or before the date of the initial lease agreement, the millage rate is deemed to be the cumulative property tax millage rate applicable on the thirtieth day of June preceding the calendar year in which the initial lease agreement is executed by the parties.

(H)(1)   Upon agreement of the parties county, investors, and investor affiliates, and except as provided in subsection (H)(2), an inducement agreement, a millage rate agreement, or both, may be amended or terminated and replaced with regard to all matters including, but not limited to, the addition or removal of controlled group members investors or investor affiliates.

(2)   No An amendment or a replacement of an inducement agreement or millage rate agreement may not be used to change the millage rate, discount rate, assessment ratio, or length duration of the agreement under any such agreement.; However, except that an existing inducement agreements agreement which that have has not yet been implemented by the execution and delivery of a millage rate agreement or a lease purchase agreement, may be amended up to the date of execution and delivery of a millage rate agreement or a lease purchase agreement in the discretion of the governing body.

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

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

(2)   before the end of the applicable time period for investments referenced in subsections subsection (C)(2) and (C)(3).

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

(J)(1)   Subject to subsection (K), project investment expenditures which are incurred within the applicable time period provided in subsection (I) by an entity investor whose investments are not being computed in at the level of investment for purposes of subsections subsection (B) or (C) shall qualify as investment expenditures subject to the fee in subsection (D)(2) where if the:

(a)   such expenditures are part of the original cost of the property which is that is transferred, within the applicable time period provided in subsection (I), to one or more other entities which are members of the same controlled group as the transferor entity and investors or investor affiliates whose investments are being computed in at the level of investment for purposes of subsections subsection (B) or (C); and

(b)   such property would have qualified for the fee in subsection (D)(2) if it had been initially acquired by the transferee entity rather than instead of the transferor entity.

(2)   The income tax basis of such the property immediately before such the transfer must equal the income tax basis of such the property immediately after such the transfer; provided, however, except that, to the extent income tax basis of such the property immediately after such the transfer unintentionally exceeds the income tax basis of such the property immediately before such the transfer, such the excess shall be is subject to payments under pursuant to Section 4-29-60.

(3)   The county must agree to any an inclusion in the fee of the property described in subsection (J)(1).

(K)(1)   Property which has been previously subject to property taxes in South Carolina will does not qualify for the fee except as provided in this subsection:

(a)   land, excluding improvements thereon on it, on which a new project will be is located may qualify for the fee even if it has previously been subject to South Carolina property taxes;

(b)   property which that has been subject previously to South Carolina property taxes, but which has never been placed in service in South Carolina, may qualify for the fee; and

(c)   property which has been placed in service in South Carolina and subject to South Carolina property taxes which that is purchased in a transaction other than between any of the entities specified in Section 267(b) of the Internal Revenue Code, as defined under pursuant to Chapter 6 of Title 12 as of the time of the transfer, may qualify for the fee provided if the fee-paying entity investor invests at least an additional forty-five million dollars in the project.

(2)   Repairs, alterations, or modifications to real or personal property which are not subject to a fee will are not be eligible for a fee, even if they are capitalized expenditures, except for modifications to existing real property improvements which constitute constituting an expansion of such the improvements.

(L)(1)   For a project not located in an industrial development park as defined in Section 4-1-170, distribution of the fee in lieu of taxes on the project must be made in the same manner and proportion that the millage levied for school and other purposes would be distributed if the property were taxable. For this purpose, the relative proportions must be calculated based on the following procedure: holding constant the millage rate set in subsection (G) and using all tax abatements automatically granted for taxable property, a full schedule of the

(2)   For a project located in an industrial development park as defined in Section 4-1-170, distribution of the fee in lieu of taxes on the project must be made in the manner provided for by the agreement establishing the industrial development park.

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

(M)   As a directly foreseeable result of negotiating the fee, gross revenue of a school district in which a project is located in any year a fee negotiated pursuant to this section is paid, may not be less than gross revenues of the district in the year before the first year for which a fee in lieu of taxes is paid. In negotiating the fee, the parties shall assume that the formulas for the distribution of state aid at the time of the execution of the inducement agreement must remain unchanged for the duration of the lease agreement.

(N)   Projects on which a fee in lieu of taxes is paid pursuant to this section are considered taxable property at the level of the negotiated payments for purposes of bonded indebtedness pursuant to Sections 14 and 15 of Article X of the Constitution of this State, and for purposes of computing the index of taxpaying ability pursuant to Section 59-20-20(3). However, for a project located in an industrial development park as defined in Section 4-1-170, projects are considered taxable property in the manner provided in Section 4-1-170 for purposes of bonded indebtedness pursuant to Sections 14 and 15 of Article X of the Constitution of this State, and for purposes of computing the index of taxpaying ability pursuant to Section 59-20-20(3). Provided, however, that the computation of bonded indebtedness limitation is subject to the requirements of Section 4-29-68(E).

(O)(1)   Any An interest in an inducement agreement, millage rate agreement, and lease agreement, and property to which the agreement

(2)   A single entity, or two or more entities which are members of a controlled group, An investor or investor affiliate may enter into any a lending, financing, security, or similar arrangement, or succession of such arrangements, with any a financing entity, concerning all or part of a project and may enter into any a sale-leaseback arrangement, including without limitation, an assignment, a sublease, or similar arrangement, or succession of such arrangements, with one or more financing entities, concerning all or part of a project, regardless of the identity of the income tax owner of the property which is subject to the fee payment under pursuant to subsection (D)(2). Even though income tax basis is changed for income tax purposes, neither the original transfer to the financing entity nor the later transfer from the financing entity back to the original transferor or members of its controlled group, investor or investor affiliate pursuant to terms in the sale-leaseback agreement, affects the amount of the fee due.

(3)   All A transfers transfer undertaken with respect to the project to effect a financing authorized under by subsection (O) must meet the following requirements:

(a)   The Department of Revenue must receive written notification, in writing within sixty days after the transfer, of the identity of each transferee and other information required by the department with the appropriate returns. Failure to meet this notice requirement will does not affect adversely affect the fee, but a penalty up to ten thousand dollars a year or portion of a year up to a maximum penalty of one hundred twenty thousand dollars may be assessed by the department for late notification for up to ten thousand dollars a year or portion of a year up to a maximum penalty of one hundred twenty thousand dollars.

(b)   If the financing entity is the income tax owner of property, either:

(i)     the financing entity is primarily liable for the fee as to that portion of the project to which the transfer relates with the original transferor remaining secondarily liable for the payment of the fee; or

(ii)   the original transferor must agree to continue to be primarily liable for the payment of the fee as to that portion of the project to which the transfer relates.

(4)   Before an investor may transfer an inducement agreement, millage rate agreement, lease agreement, or the assets subject to the lease agreement, it must obtain the approval of the county with which it entered into the original inducement agreement, millage rate agreement, or lease agreement. However, no such That approval is not required in connection with transfers to investor affiliates or other financing-related transfers.

(P)   Reserved.

(Q)   Reserved.

(R)   For purposes of subsections (O)(1)(a) and (P), and subject to subsection (U), each transferee, with respect to a project which is the subject of a transfer, shall be considered to have made amounts of qualified investments represented by the property interest which is subject to the fee and which is transferred, without regard to depreciation.

(S)   Reserved.

(T)(P)   No An inducement agreement, a millage rate agreement, or a lease agreement, nor or the rights of any an entity investor or investor affiliate pursuant to any such that agreement, including, without limitation, the availability of the subsection (D)(2) fee, shall may not be adversely affected adversely if the bonds issued pursuant to any such that agreement are purchased by one or more of the entities which that are or become parties to any such agreement investor or investor affiliates.

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

(2)   Notwithstanding any other provision of this section, if at any time following the period provided in subsection (C)(2), the investment based income tax basis without regard to depreciation falls

(V)(R)   The minimum amount of the initial investment provided in subsection (B)(2) (B)(3) of this section may not be reduced except by a special vote which, for purposes of this section, means an affirmative vote in each branch of the General Assembly by two-thirds of the members present and voting, but not less than three-fifths of the total membership in each branch.

(W)(S)(1)   The investor shall file the returns, contracts, and other information which that may be required by the Department of Revenue.

(2)   Fee payments, and returns calculating fee payments, are due at the same time as property tax payments and property tax returns would be due if the property were owned by the party investor or investor affiliate obligated to make such the fee payments and file such returns.

(3)   Failure to make a timely fee payment and file required returns shall result results in penalties being assessed as if the payment or return was were a property tax payment or return.

(4)   The Department of Revenue may issue the rulings and promulgate regulations it determines necessary or appropriate to carry out the purpose of this section.

(5)   The provisions of Chapters 4 and 54 of Title 12, applicable to property taxes, shall apply to this section;, and, for purposes of such that application, the fee shall be considered is considered a property tax. Sections 12-54-20, 12-54-80, and 12-54-155 do not apply to this section.

(6)   Within thirty days of the date of execution of an inducement or lease agreement, a copy of the agreement must be filed with the Department of Revenue and the county auditors auditor and the county assessors assessor for the every county or counties in which the project is located. If the project is located in a multicounty park, the agreements must be filed with the auditors and assessors for all counties participating in the multicounty park.

(X)(T)   Except as otherwise expressly provided in subsection (C)(2), any a loss of fee benefits under pursuant to this section shall be

(1)   three years from the date a return concerning the fee is filed for the time period during which the noncompliance occurs,. absent a A showing of bad faith noncompliance, in which case such increases the three-year period shall instead be to a ten-year period; or

(2)   ten years if no such a return is not filed for the time period during which the noncompliance occurs.

(Y)(U)   Section 4-29-65 shall be inapplicable does not apply with respect to this section. All references in this section to taxes shall be considered to mean means South Carolina taxes unless otherwise expressly stated.

(Z)   Reserved.

(AA)(V)(1)   Notwithstanding any other another provision of this section, in the case of a qualified recycling facility the annual fee is available for no more than thirty years, and for those projects constructed or placed in service during a period of more than one year, the annual fee is available for a maximum of thirty-seven years.

(2)   Notwithstanding any other another provision of this section, for a qualified recycling facility, the assessment ratio may not be less than must be at least three percent.

(3)   Any machinery and equipment foundations, port facilities, or railroad track systems used, or to be used, for a qualified recycling facility is considered tangible personal property.

(4)   Notwithstanding subsections (F) and (I) of this section, the total costs of all investments made for a qualified recycling facility are eligible for fee payments as provided in this section.

(5)   For purposes of any fees that may be due on undeveloped property for which title has been transferred to the county by or for the owner or operator of a qualified recycling facility, the assessment ratio is three percent.

(6)   Notwithstanding subsection (D)(2)(b) of this section, in the case of a qualified recycling facility, net present value calculations performed under pursuant to the that subsection must use a discount rate equivalent to the yield in effect for new or existing United States Treasury bonds of similar maturity as published on any day selected by

(7)   As used in this subsection, 'qualified recycling facility' and 'investment' have the meaning provided in Section 12-7-1275(A).

(BB)(W)(1)   Notwithstanding any other another provision of this section, the fair market value of property of a pharmaceutical company investing more than four hundred million dollars in one county in this State is the lower of the fair market value estimate (1) as determined determines:

(a)   pursuant to subsection (D)(2)(a)(i),; or

(2)(b)   as determined by the county in which the investment is located as follows:

(a) (i)   for real property, using the original income tax basis for South Carolina income tax purposes without regard to depreciation, less any such basis amount attributable to cost overruns, including capitalized interest overruns; and

(b)(ii)   for personal property, using the original income tax basis for South Carolina income tax purposes, less any such basis amount attributable to cost overruns, including capitalized interest overruns, and less depreciation allowable for property tax purposes, except that the investor is not entitled to any extraordinary obsolescence.

(2)   This subsection applies only to property placed in service before January 1, 2000."
F.   Section 12-44-50(A)(1)(b)(i) of the 1976 Code is amended to read:

"(i)   by the county, which must not be lower than the a cumulative property tax millage rate legally levied by or on behalf of all millage levying entities within which the project is to be located, which is the cumulative rate that is applicable during the period beginning on the thirtieth day of June preceding the calendar year in which the fee agreement is executed and ending on the date the initial lease agreement is executed; or"
G.   Notwithstanding the provisions of Section 4-12-30(H)(2), Section 4-29-67(H)(2), and Section 12-44-40(L)(2), all of the 1976 Code, the parties may agree to change the millage rate under an existing inducement agreement or millage rate agreement for an investment that exceeds two hundred million dollars to a cumulative property tax millage rate legally levied by or on behalf of all taxing entities within which the subject property is to be located that is applicable during the period beginning on the thirtieth day of June preceding the calendar

"(B)   The total amount of credits allowed pursuant to this section may not exceed in the aggregate five million dollars for all taxpayers and all taxable calendar years and one million dollars for all taxpayers in one taxable calendar year.

(C)   A single community development corporation or community development financial institution may not receive more than twenty-five percent of the total tax credits authorized pursuant to this section in any one taxable calendar year."
SECTION 53.   Article 7, Chapter 21, Title 12 of the 1976 Code is amended by adding:

"Section 12-21-1035.   (A)   Beer brewed on a permitted premises pursuant to Article 17, Chapter 4 of Title 61, must be taxed based on the number of gallons of beer produced on the permitted premises and must be taxed at the same rate of taxation for beer provided in Section 12-21-1020. The permittee shall maintain adequate records as determined by the department to ensure the collection of this tax.

(B)   The taxes imposed by the provisions of this section, except as otherwise provided, are due and payable in monthly installments on or before the twentieth day of the month following the month in which the tax accrues.

(C)   On or before the twentieth day of each month, a person on whom the taxes in this section are imposed shall file with the department, on a form designed by it, a true and correct statement showing the total gallons produced and any other information the department may require.

(D)   At the time of making a monthly report, the person shall compute the taxes due and pay to the department the amount of taxes shown to be due. A return is considered to be timely filed if the return is mailed and has a postmark dated on or before the date the return is required by law to be filed."
SECTION   54.   Section 61-4-1730 of the 1976 Code, as added by Act 415 of 1996, is amended to read:

"Section 61-4-1730.   Beer brewed on a permitted premises under pursuant to this article must be taxed as provided in Article 7 of Chapter 21 of Title 12 Section 12-21-1035. The permittee must shall

"(8)   Notice of application has appeared at least once a week for three consecutive weeks in a newspaper most likely to give notice to interested citizens of the county, city, or community in which the applicant proposes to engage in business. The department must shall determine which newspapers meet the requirements of this section based on available circulation figures. However, if a newspaper is published in the county and historically has been the newspaper where the advertisements are published, the advertisements published in that newspaper meet the requirements of this section. The notice must:

(a)   be in the legal notices section of the newspaper or an equivalent section if the newspaper has no legal notices section;

(b)   be in large type, covering a space of one column wide and at least two inches deep; and

(c)   state the type license applied for and the exact location of the proposed business.

An applicant for a beer or wine permit and an alcoholic liquor license may use the same advertisement for both if the advertisement is approved by the department."
SECTION 56.   Section 61-6-1820(4) of the 1976 Code, as added by Act 415 of 1996, is amended to read:

"(4)   Notice of application has appeared at least once a week for three consecutive weeks in a newspaper most likely to give notice to interested citizens of the county, municipality, or community in which the applicant proposed to engage in business. The department must shall determine which newspapers meet the requirements of this section based on available circulation figures. However, if a newspaper is published in the county and historically has been the newspaper where the advertisements are published, the advertisements published in that newspaper meet the requirements of this section. The notice must:

(a)   be in the legal notices section of the newspaper or an equivalent section if the newspaper has no legal notices section;

(b)   be in large type, covering a space of one column wide and at least two inches deep; and

(c)   state the type license applied for and the exact location of the proposed business.

An applicant for a beer or wine permit and an alcoholic liquor license may use the same advertisement for both if it is approved by the department."
SECTION   57.   A.   Section 12-43-225 of the 1976 Code, as added by Act 346 of 2000, is amended to read:

"Section 12-43-225.   (A)   For subdivision lots in a conditional or final plat filed recorded on or after 2000 January 1, 2001, and notwithstanding the provisions of Section 12-43-224 , a subdivision lot discount is allowed in the valuation of the platted lots only as provided in subsection (B) of this section, and this discounted value applies for five property tax years or until the lot is sold, or a certificate of occupancy is issued for the improvement on the lot, or the improvement is occupied, whichever of them elapses or occurs first. When the discount allowed by this section no longer applies, the lots must be individually valued as provided by law.

(B)   To be eligible for a subdivision lot discount, the final or conditional recorded plat filed must contain at least ten building lots. The owner must shall apply for the discount by means of a written application to the assessor on or before May first of the year for which the discount is claimed. The value of each platted building lot is calculated:

(1)   by dividing the total number of platted building lots into the value of the entire parcel as undeveloped real property; and

(2)   as provided in Section 12-43-224 and the difference between the two calculations determined.

The value of a lot as determined under Section 12-43-224 is reduced as follows:

For lots in plats filed recorded in 2001, the value is reduced by thirty percent of the difference.

For lots in plats filed recorded in 2002, the value is reduced by sixty percent.

For lots in plats filed recorded after 2002, the value is reduced by one hundred percent of the difference.

(C)   If a lot allowed the discount provided by this section is sold to the holder of a residential homebuilder's license or general contractor's license, the discount continues through the first tax year which ends twelve months from the date of sale if the purchaser files a written application for the discount with the county assessor by March May first of the year for which the applicant is claiming the discount."

"For purposes of those businesses qualifying under Section 4-29-67(D)(4), the five-year period referred to in this subsection is eight years and the seven-year period is ten years. However, for those businesses which, after qualifying under Section 4-29-67(D)(4), have more than five hundred million dollars in capital invested in this State and employ more than one thousand people in this State, the five-year period referred to in this subsection is ten years, and the ten-year extended period referred to in the previous sentence is fifteen years."
SECTION   59.   Section 4-29-67(C)(3) of the 1976 Code, as last amended by Act 462 of 1996, is further amended to read:

"(3)   The annual fee provided by subsection (D)(2) is available for no more than twenty years. For projects which are completed and placed in service during more than one year, each year's investment may be subject to the fee in subsection (D)(2) for twenty years to a maximum total of twenty-seven years for the fee for a single project which has been granted an extension. For those businesses qualifying under subsection (D)(4), the annual fee is available for no more than thirty years and for those projects placed in service in more than one year the annual fee is available for a maximum of thirty-seven years forty years or, for those businesses qualifying for the fifteen-year extended period, forty-five years."
SECTION   60.   A.   Section 12-56-20(4) of the 1976 Code is amended by adding at the end:

"'Delinquent debt' also includes any fine, penalty, cost, fee, assessment, surcharge, service charge, restitution, or other amount imposed by a court or as a direct consequence of a final court order which is received by or payable to the clerk of the appropriate court or treasurer of the entity where the court is located."
B.   The 1976 Code is amended by adding:

"Section 14-1-202.   (A)   The clerk of the appropriate court, or county treasurer or municipal treasurer, as appropriate, is authorized to collect any fine, penalty, cost, fee, assessment, surcharge, service charge, restitution, or other amount imposed by a court or as a direct consequence of a court order.

(B)   The clerk of the appropriate court, or county treasurer or municipal treasurer, as appropriate, may compromise any fine, penalty, cost, fee, assessment, surcharge, service charge, restitution, or other amount imposed by a court or as a direct consequence of a court order

"(C)   Misallocations of the distribution of the fee payments on the project pursuant to this chapter may be corrected by adjusting later distributions, but these adjustments must be made in the same fiscal year as the misallocations."
B.     Section 4-12-30(K) of the 1976 Code is amended by adding at the end:

"(4)   Misallocations of the distribution of the fee-in-lieu of taxes on the project pursuant to this chapter may be corrected by adjusting later distributions, but these adjustments must be made in the same fiscal year as the misallocations."
C.     Section 4-29-67(L) of the 1976 Code, as last amended by Act 462 of 1996, is further amended by adding at the end:

"(4)   Misallocations of the distribution of the fee-in-lieu of taxes on the project pursuant to this chapter may be corrected by adjusting later distributions, but these adjustments must be made in the same fiscal year as the misallocations."
SECTION   62.   A.   The 1976 Code is amended by adding:

"Section 12-45-35.   (A)   A county treasurer may appoint an employee in his office to be his deputy. The appointment must be filed with the Comptroller General and the governing body of that county. When the appointment is filed, the deputy may act for and on behalf of the county treasurer when the treasurer is incapacitated by reason of a physical or mental disability or during a temporary absence.

(B)   If there is a vacancy in the office of county treasurer by reason of death, resignation, or disqualification, the appointed deputy shall carry out the duties of the office until a successor is appointed or elected or qualified."
B.   Section 12-39-40 of the 1976 Code is amended to read:

"Section 12-39-40.   (A)   In the event of a vacancy by reason of death, resignation or disqualification in the office of county auditor in any county in this State having a chief clerk in the auditor's office, the duties and functions of such office shall be discharged by the chief clerk in the interval between the occurrence of such vacancy and the appointment and qualification of a successor. A county auditor may appoint an employee in his office to be his deputy. The appointment

(B)   If there is a vacancy in the office of county auditor by reason of death, resignation, or disqualification, the appointed deputy shall carry out the duties of the office until a successor is appointed or elected and qualified."
SECTION   63.   Section 12-36-90(2) of the 1976 Code, is amended by adding an appropriately lettered subitem to read:

"( )   interest, fees, or charges however described, imposed on a customer for late payment of a bill for electricity or natural gas, or both, whether or not sales tax is required to be paid on the underlying electricity or natural gas bill."
SECTION   64.   Section 4-29-67(C)(3) of the 1976 Code, as last amended by Act 462 of 1996, is further amended to read:

"(3)   The annual fee provided by subsection (D)(2) is available for no more than twenty years. For projects which are completed and placed in service during more than one year, each year's investment may be subject to the fee in subsection (D)(2) for twenty years to a maximum total of twenty-seven years for the fee for a single project which has been granted an extension. For those businesses qualifying under subsection (D)(4), the annual fee is available for no more than thirty years and for those projects placed in service in more than one year the annual fee is available for a maximum of thirty-seven years forty years or, for those businesses qualifying for the fifteen-year extended period, forty-five years."
SECTION 65.   A.   Section 4-12-30(D)(4)(a) of the 1976 Code, as last amended by Act 462 of 1996, is amended by adding at the end:

"(iv)   in the case of a business including a corporation, its subsidiaries, and its limited liability company members, that (A) builds a gas-fired combined-cycle power facility and invests at least four hundred million dollars and creates at least twenty-five full-time jobs as defined in Section 12-6-3360(M) at that facility and (B) invests an additional five hundred million dollars in this State."
B.   Section 4-29-67(D)(4)(a) of the 1976 Code, as last amended by Act 151 of 1997, is further amended by adding at the end:

"(v)   in the case of a business including a corporation, its subsidiaries, and its limited liability company members, that (A) builds a gas-fired combined-cycle power facility and invests at least four hundred million dollars and creates at least twenty-five full-time jobs

"(d)   at least four hundred million dollars in the building of a gas-fired combined-cycle power facility and creates at least twenty-five full-time jobs as defined in Section 12-6-3360(M) at that facility and invests an additional five hundred million dollars in this State."
SECTION   66.     The last paragraph of Section 4-29-67(C)(2) of the 1976 Code, as last amended by Act 462 of 1996, is further amended to read:

"For purposes of those businesses qualifying under Section 4-29-67(D)(4), the five-year period referred to in this subsection is eight years and the seven-year period is ten years. However, for those businesses which, after qualifying under Section 4-29-67(D)(4), have more than five hundred million dollars in capital invested in this State and employ more than one thousand people in this State, the five-year period referred to in this subsection is ten years, and the ten-year extended period referred to in the previous sentence is fifteen years."
SECTION   67.   Section 4-29-67(C)(3) of the 1976 Code, as last amended by Act 462 of 1996, is further amended to read:

"(3)   The annual fee provided by subsection (D)(2) is available for no more than twenty years. For projects which are completed and placed in service during more than one year, each year's investment may be subject to the fee in subsection (D)(2) for twenty years to a maximum total of twenty-seven years for the fee for a single project which has been granted an extension. For those businesses qualifying under subsection (D)(4), the annual fee is available for no more than thirty years and for those projects placed in service in more than one year the annual fee is available for a maximum of thirty-seven years forty years or, for those businesses qualifying for the fifteen-year extended period, forty-five years."
SECTION   68.   Section 12-6-3360(B)(5) of the 1976 Code is amended by adding a lettered subitem to read:

"(e)   For a job created in a county that is not traversed by an interstate highway, the credit allowed is one tier higher than the credit for which jobs created in the county would otherwise qualify. This subitem does not apply to a job created in a county eligible for a higher tier pursuant to another provision of this item."
SECTION   69.   The repeal or amendment by this act of any law, whether temporary or permanent or civil or criminal, does not affect

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

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

Rep. J. R. SMITH moved that the House recur to the Morning Hour, which was agreed to.

Rep. HARRELL made a statement relative to the Conference Committee on H. 3687, the General Appropriations Bill.

Rep. KELLEY moved that the House recede until 2:15 p.m., which was agreed to.

At 2:15 p.m. the House resumed, the SPEAKER in the Chair.

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

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

H. 3272 (Word version) -- Reps. Neilson, Jennings, Cato, Riser, Altman, Askins, Bales, Barfield, Barrett, Bingham, J. Brown, Chellis, Coates, Davenport, Delleney, Easterday, Edge, Emory, Freeman, Gilham, Gourdine, Harrison, Harvin, Hayes, J. Hines, Hosey, Littlejohn, Lloyd, Lucas, McCraw, McGee, J. M. Neal, Owens, Phillips, Scarborough, Scott, F. N. Smith, J. R. Smith, Stuart, Taylor, Vaughn, Webb, Weeks, White, Witherspoon and Simrill: A BILL TO AMEND CHAPTER 3, TITLE 56, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO MOTOR VEHICLE REGISTRATION AND LICENSING, BY ADDING ARTICLE 87 SO AS TO PROVIDE FOR THE ISSUANCE OF NASCAR SPECIAL LICENSE PLATES, AND PROVIDE FOR THE DISTRIBUTION OF FEES COLLECTED FOR THESE SPECIAL LICENSE PLATES.

Reps. TOWNSEND, STUART, RODGERS, J. HINES, HAMILTON, J. H. NEAL, J. M. NEAL, MILLER, CATO, JENNINGS, LUCAS, HASKINS, PERRY, LOFTIS, KNOTTS and MEACHAM-RICHARDSON proposed the following Amendment No. 4A (Doc Name COUNCIL\SWB\AMEND\5575DJC01), which was adopted:
Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/ SECTION   1.   Chapter 3, Title 56 of the 1976 Code is amended by adding:

Section 56-3-8700.   This article may be cited as the Denny Woodall Neilson NASCAR Special License Plates Act.

Section 56-3-8710.   (A)   The Department of Public Safety may issue special motor vehicle license plates to owners of private passenger carrying motor vehicles or light pickups having an empty weight of 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 plates an emblem, a seal, or other symbol the department considers appropriate to NASCAR or a NASCAR driver or team. NASCAR or a NASCAR driver or team may submit to the

(B) The department may also provide, upon request, special NASCAR or NASCAR driver or team collector license plates which shall not be displayed on any vehicle registered or required to be registered in this State. Any person displaying the special NASCAR or NASCAR driver or team collector license plates on any vehicle registered or required to be registered in this State is guilty of a misdemeanor and, upon conviction, must be fined not less than one hundred dollars or be imprisoned for not more than thirty days. The special NASCAR or NASCAR driver or team collector license plates shall be the same size and general design of the regular NASCAR or NASCAR driver or team special motor vehicle license plates. The fee for issuance of the special NASCAR or NASCAR driver or team collector license plates is twenty-five dollars. The words 'collector license plate' shall be imprinted on the special NASCAR or NASCAR driver or team collector license plates.

(C)   From the fees collected pursuant to this section, the Comptroller General shall place sufficient funds into a special restricted account to be used by the department to defray the expenses of producing the special license plates. The remaining funds must be distributed in the following manner:

(1)   one-half deposited in a special account, separate and apart from the General Fund, designated the 'South Carolina Children's Emergency Shelter Fund' established within and administered for use by the Department of Social Services. The Department of Social Services shall distribute at least one-half of the funds from the special account to the South Carolina Children's Emergency Shelter Foundation for the benefit of the South Carolina children's emergency shelters. Funds distributed to the South Carolina Children's

(2)   one-fourth deposited in a special account, separate and apart from the General Fund, designated the 'South Carolina Sports Development Office Fund' established within and administered for use by the Department of Parks, Recreation and Tourism to promote the South Carolina Sports Development Office; and

(3)   one-fourth deposited in a special account, separate and apart from the General Fund designated the 'NASCAR License Plate Highway Safety Fund' established within and administered for use by the Department of Public Safety to promote highway safety in conjunction with the Department of Transportation and NASCAR or a NASCAR driver or team.

(D)   Before the department produces and distributes NASCAR's or a NASCAR driver's or team's respective special license plate pursuant to this section, it must receive four hundred prepaid applications for NASCAR's or the NASCAR driver's or team's respective special license plate or a deposit of four thousand dollars from the individual or organization seeking issuance of NASCAR's or the NASCAR driver's or team's respective license plate. If a deposit of four thousand dollars is made by an individual or organization pursuant to this section, the department must refund the four thousand dollars once an equivalent amount of license plate fees is collected for the NASCAR or NASCAR driver's or team's respective license plate. If the equivalent amount is not collected within four years of the first issuance of the respective license plate, the department shall retain the deposit.

(E)   If the department receives less than three hundred biennial applications and renewals for a particular NASCAR or NASCAR driver or team special license plate, it may choose not to produce additional special license plates in that series. However, the department shall continue to issue special license plates of that series until the existing inventory is exhausted."

Section 56-3-8500.   (A)   The Department of Public Safety may issue special motor vehicle license plates to members of Ducks Unlimited for private passenger carrying motor vehicles or light pickup trucks having an empty weight of seven thousand pounds or less and a gross weight of nine thousand pounds or less registered in their names. The fee for this special license plate must be the regular motor vehicle license fee contained in Article 5, Chapter 3 of this title that must be deposited in the state general fund and the special fee required by Section 56-3-2020 that must be deposited with the department. From the fees collected, the Comptroller General shall place sufficient funds into a special restricted account to be used by the department to defray the expenses of producing this license plate. The license plates issued pursuant to this section must conform to a design agreed to by the department and the chief executive officer of the organization.

(B)   Before the Department of Public Safety produces and distributes a special license plate pursuant to this section, it must receive:

(1)   four hundred prepaid applications for the special license plate or a deposit of four thousand dollars from the individual or organization seeking issuance of the license plate. If a deposit of four thousand dollars is made by an individual or organization pursuant to this section, the department must refund the four thousand dollars once an equivalent amount of license plate fees is collected for that organization's license plate. If the equivalent amount is not collected within four years of the first issuance of the license plate, then the department must retain the deposit; and

(2)   a plan to market the sale of the special license plate which must be approved by the department.

(C)   If the department receives less than three hundred biennial applications and renewals for a particular special license plate, it shall not produce additional special license plates in that series. The department shall continue to issue special license plates of that series until the existing inventory is exhausted."

Section 56-3-9000.   (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 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 approved by Sertoma International and the department. Sertoma International may submit to the department for approval of the emblem, seal, or other symbol it desires to be used for its respective special license plate. Before a design is approved, however, Sertoma International must submit to the department written authorization for the use of a copyrighted or registered logo, trademark, or design. Sertoma International also may request a change in the emblem, seal, or other symbol once the existing supply has been exhausted. The fee for each special license plate is seventy dollars every two years in addition to the regular motor vehicle license fee set forth in Article 5. Each special license plate must be of the same size and general design of regular motor vehicle license plates. Each special license plate must be issued or revalidated for a biennial period which expires twenty-four months from the month the special license plate is issued.

(B)   The fees collected pursuant to this section, after the costs to produce and administer the distribution of the special license plate have been satisfied, must be distributed to the 'Camp Sertoma Fund' created by Sertoma International for the continued support of Camp Sertoma. The fund must be administered by Sertoma International and may be used only for Camp Sertoma. Any funds collected must be deposited in an appropriate nonprofit account designated by Sertoma International.

(C)   Before the department produces and distributes the Sertoma International special license plate pursuant to this section, it must receive:

(1)   four hundred or more prepaid applications for the special license plate or a deposit of four thousand dollars from the individual or organization seeking issuance of the license plate. If a deposit of four thousand dollars is made by an individual or organization pursuant to this section, the department must refund the four thousand dollars once an equivalent amount of license plate fees is collected for that

(2)   a plan to market the sale of the special license plate which must be approved by the department.

(D)   If the department receives less than three hundred biennial applications and renewals for a particular special license plate, it may not produce additional special license plates in that series. The department shall continue to issue special license plates of that series until the existing inventory is exhausted."
SECTION   4.   Chapter 3, Title 56 of the 1976 Code is amended by adding:

Section 56-3-8500.   (A)   The department may issue special motor vehicle license plates to World War II veterans or their spouses for private motor vehicles registered in their names. The fee for the issuance of this special motor vehicle license plate is twenty dollars biennially, which must be distributed to the State Department of Education and used to support and promote ROTC programs in the state's public schools. This twenty dollar fee shall be in addition to the regular motor vehicle registration fee contained in Article 5, Chapter 3 of this title.

(B)   Before the department produces and distributes a special license plate pursuant to this section, it must receive:

(1)   four hundred prepaid applications for the special license plate or a deposit of four thousand dollars from the individual or organization seeking issuance of the license plate. If a deposit of four thousand dollars is made by an individual or organization pursuant to this section, the department must refund the four thousand dollars once an equivalent amount of license plate fees is collected for that organization's license plate. If the equivalent amount is not collected within four years of the first issuance of the license plate, then the department must retain the deposit.

(2)   a plan to market the sale of the special license plate that must be approved by the department.

(C)   If the department receives less than three hundred biennial applications and renewals for a particular license plate, it shall not produce additional special license plates in that series. The department shall continue to issue special license plates of that series until the existing inventory is exhausted."

"Section 56-3-1120.   The department may issue a special license tag plate with the words 'Disabled Veteran' and a special number imprinted on it showing that such the license tag plate was issued to a disabled American veteran."
SECTION   6.   Chapter 3, Title 56 of the 1976 Code is amended by adding:

Section 56-3-8910.   (A)   The Department of Public Safety shall issue special motor vehicle license plates to owners of private passenger carrying motor vehicles or light pickups having an empty weight of seven thousand pounds or less and a gross weight of nine thousand pounds or less registered in their names which shall have imprinted on the plate the words 'Choose Life'. 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. 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.

(B)   The fees collected pursuant to this section, after the costs to produce and administer the distribution of this special license plate, must be deposited in a special account, separate and apart from the general fund, designated for use by the Department of Social Services to be used to support local crisis pregnancy programs. Local private nonprofit tax exempt organizations offering crisis pregnancy services may apply for grants from this fund to further their tax exempt purposes. Grants must be awarded not more than once a year, and an applicant must receive as a grant an amount of the total revenues in the fund multiplied by the percentage that the applicant's case load in the preceding calendar year was of the total case load of all applicants in that year. Grants may not be awarded to any agency, institution, or organization that provides, promotes, or refers for abortion.

(C)   Before the Department of Public Safety produces and distributes a special license plate pursuant to this section, it must receive four hundred prepaid applications for the special license plate or a deposit of four thousand dollars from the individual or organization seeking issuance of the license plate. If a deposit of four thousand dollars is made by an individual or organization pursuant to

(D)   If the department receives less than three hundred biennial applications and renewals for the 'Choose Life' special license plate, it may not produce additional special license plates in that series. However, the department shall continue to issue special license plates of that series until the existing inventory is exhausted."
SECTION 7.   Chapter 3, Title 56 of the 1976 Code is amended by adding:

Section 56-3-3410.   (A)   The Department of Public Safety may issue special motor vehicle license plates to members of the National Wild Turkey Federation for private motor vehicles registered in their names. The fee for this special license plate is seventy dollars every two years in addition to the regular motor vehicle registration fee contained in Article 5. The license plates issued pursuant to this section must conform to a design agreed to by the department and the chief executive officer of the organization. The plates must be issued or revalidated for a biennial period which expires twenty-four months from the month they are issued.

(B)   The fees collected pursuant to this section above the cost of the regular motor vehicle registration fee must be distributed to the National Wild Turkey Federation.

Section 56-3-3420.   (A)   Before the Department of Public Safety produces and distributes a special license plate pursuant to this section, it must receive:

(1)   four hundred prepaid applications for the special license plate or a deposit of four thousand dollars from the individual or organization seeking issuance of the license plate. If a deposit of four thousand dollars is made by an individual or organization pursuant to this section, the department must refund the four thousand dollars once an equivalent amount of license plate fees is collected for that organization's license plate. If the equivalent amount is not collected within four years of the first issuance of the license plate, then the department shall retain the deposit; and

(2)   a plan to market the sale of the special license plate which must be approved by the department.

(B)   If the department receives fewer than three hundred biennial applications and renewals for a particular special license plate, it may not produce additional special license plates in that series. The department shall continue to issue special license plates of that series until the existing inventory is exhausted."
SECTION 8.   This act takes effect upon approval by the Governor. /
Renumber sections to conform.
Amend title to conform.

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

The Senate amendments, as amended, were then agreed to and the Bill was ordered returned to the Senate.

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

H. 3891 (Word version) -- Rep. Hayes: A BILL TO AMEND SECTION 20-7-2735, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EDUCATION AND EXPERIENCE REQUIREMENTS FOR CAREGIVERS EMPLOYED IN CHILD DAYCARE CENTERS AFTER JUNE 30, 1994, SO AS TO DELETE THE REQUIREMENT THAT THE CAREGIVER MUST HAVE AT LEAST A HIGH SCHOOL DIPLOMA OR GENERAL EDUCATIONAL CERTIFICATE (GED) AND TO DELETE REQUIREMENTS FOR CAREGIVERS EMPLOYED AS OF JULY 1, 1994.

Rep. J. BROWN explained the Senate Amendments.

The House refused to agree to the Senate amendments and a message was ordered sent accordingly.

The following was received:

Columbia, S.C., June 7, 2001
Mr. Speaker and Members of the House:

H. 3974 (Word version) -- Rep. Cato: A BILL TO AMEND SECTION 37-17-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO REGULATION OF PERSONS WHO SELL PRESCRIPTION DRUG DISCOUNT CARDS, SO AS TO PROVIDE THAT SUCH PERSONS MUST REGISTER AND REPORT TO THE DEPARTMENT OF CONSUMER AFFAIRS, RATHER THAN TO THE DEPARTMENT OF INSURANCE; TO AMEND SECTION 38-5-80, AS AMENDED, RELATING TO REQUIREMENTS TO OBTAIN A LICENSE TO CONDUCT INSURANCE BUSINESS IN THIS STATE, SO AS TO CLARIFY WHAT BOOKS AND RECORDS OF AN INSURER MUST BE MAINTAINED IN THIS STATE; TO AMEND SECTION 38-31-20, AS AMENDED, RELATING TO DEFINITIONS IN THE SOUTH CAROLINA PROPERTY AND CASUALTY INSURANCE GUARANTY ASSOCIATION ACT, SO AS TO INCLUDE NEW DEFINITIONS AND REVISE CERTAIN EXISTING DEFINITIONS; TO AMEND SECTION 38-31-60, RELATING TO THE POWERS AND DUTIES OF THE SOUTH CAROLINA PROPERTY AND CASUALTY GUARANTY ASSOCIATION, SO AS TO PROVIDE THAT THE ASSOCIATION'S OBLIGATION TO AN INSURED CEASES WHEN TEN MILLION DOLLARS HAS BEEN PAID TO OR ON BEHALF OF THE INSURED AND TO ALLOW FOR ALLOCATION OF PAYMENTS WHEN THERE IS MORE THAN ONE CLAIMANT WITH A COVERED CLAIM; TO AMEND SECTION 38-31-70, AS AMENDED, RELATING TO THE PLAN OF OPERATION FOR THE ADMINISTRATION OF THE GUARANTY ASSOCIATION, SO AS TO AUTHORIZE REPORTING AND THE DELEGATION OF CERTAIN AUTHORITY TO AN ASSOCIATION SIMILAR TO THE GUARANTY ASSOCIATION; TO AMEND SECTION 38-31-90, AS AMENDED, RELATING TO RIGHTS OF THE GUARANTY ASSOCIATION REGARDING CLAIMANTS PAID AND ASSETS OF INSOLVENT INSURERS, SO AS TO PROVIDE THAT THE ASSOCIATION HAS THE RIGHT TO RECOVER THE AMOUNT OF A CLAIM PAID FROM CERTAIN INSUREDS AND AFFILIATES OF AN INSOLVENT INSURER; TO AMEND SECTION 38-31-100, AS AMENDED, RELATING TO PROCEDURES REQUIRED TO BE FOLLOWED BY PERSONS

Very respectfully,
President
Received as information.

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

H. 4078 (Word version) -- Reps. Tripp and Cooper: A CONCURRENT RESOLUTION TO REQUEST THE DEPARTMENT OF TRANSPORTATION TO NAME THE PORTION OF UNITED STATES HIGHWAY 25 IN GREENVILLE COUNTY THAT RUNS SOUTHWARD BETWEEN THE TOWN LIMITS OF WARE PLACE AND THE GREENVILLE-LAURENS COUNTY LINE, THE "CHARLES AIKEN HIGHWAY", AND TO INSTALL APPROPRIATE MARKERS OR SIGNS CONTAINING THE WORDS "CHARLES AIKEN HIGHWAY".

On motion of Rep. TRIPP, with unanimous consent, the following Concurrent Resolution was taken up for immediate consideration:

H. 4078 (Word version) -- Reps. Tripp and Cooper: A CONCURRENT RESOLUTION TO REQUEST THE DEPARTMENT OF TRANSPORTATION TO NAME THE PORTION OF UNITED STATES HIGHWAY 25 IN GREENVILLE COUNTY THAT RUNS SOUTHWARD BETWEEN THE TOWN LIMITS OF WARE PLACE AND THE GREENVILLE-LAURENS COUNTY LINE, THE "CHARLES AIKEN HIGHWAY", AND TO INSTALL APPROPRIATE MARKERS OR SIGNS CONTAINING THE WORDS "CHARLES AIKEN HIGHWAY".

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

That the members of the General Assembly request that the Department of Transportation name the portion of United States Highway 25 in Greenville County that runs southward between the town limits of Ware Place and the Greenville-Laurens County line, the "Charles Aiken Highway", and to install appropriate markers or signs containing the words "Charles Aiken Highway".

Be it further resolved that a copy of this resolution be forwarded to the Department of Transportation.

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

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

S. 187 (Word version) -- Senators Rankin, Short and Hutto: A BILL TO AMEND SECTION 56-5-6410, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE USE OF A CHILD PASSENGER RESTRAINT SYSTEM IN A MOTOR VEHICLE

Rep. TOWNSEND 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.

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

H. 4143 (Word version) -- Reps. A. Young, Knotts, Whatley, Kennedy, Meacham-Richardson and Kirsh: A JOINT RESOLUTION TO POSTPONE THE COMPULSORY TESTIMONY REQUIREMENTS OF SECTION 56-5-2934 OF THE 1976 CODE, RELATING TO THE "ILLEGAL PER SE" LAW UNTIL THE EARLIER OF ADEQUATE FUNDING OF THE PROGRAM BY THE GENERAL ASSEMBLY OR JUNE 30, 2003.

Rep. MEACHAM-RICHARDSON explained the Senate Amendments.

The Senate amendments were agreed to, and the Joint Resolution having received three readings in both Houses, it was ordered that the title be changed to that of an Act, and that it be enrolled for ratification.

Rep. MILLER arose to a Point of Personal Privilege.

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

H. 3492 (Word version) -- Reps. White, Barrett, Chellis, Cooper, Emory, Hayes, Keegan, Klauber, Law, Martin, McGee, J. M. Neal, Ott, Rice, Taylor, Thompson, Townsend, Trotter and A. Young: A BILL TO AMEND SECTION 56-1-1320, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE ISSUANCE OF PROVISIONAL DRIVERS LICENSES TO PERSONS CONVICTED OF A FIRST OFFENSE OF OPERATING A VEHICLE WHILE UNDER THE INFLUENCE OF INTOXICATING ALCOHOL, DRUGS, OR NARCOTICS, SO AS TO INCREASE THE FEE AND TO PROVIDE THAT THE DEPARTMENT OF PUBLIC SAFETY MUST USE THE ADDITIONAL REVENUES FOR HIRING AND TRAINING ADDITIONAL MEMBERS OF THE SOUTH CAROLINA HIGHWAY PATROL.

The SPEAKER, citing Rule 4.8, ordered the Bill recommitted to the Committee on Judiciary.

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

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.

Rep. HARRISON explained the Senate Amendments.

The House refused to agree to the Senate amendments and a message was ordered sent accordingly.

Rep. HARRISON moved to reconsider the vote whereby the House non-concurred in the Senate Amendments to the following Bill which was agreed to:

H. 3891 (Word version) -- Rep. Hayes: A BILL TO AMEND SECTION 20-7-2735, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EDUCATION AND EXPERIENCE REQUIREMENTS FOR CAREGIVERS EMPLOYED IN CHILD DAYCARE CENTERS AFTER JUNE 30, 1994, SO AS TO DELETE THE REQUIREMENT THAT THE CAREGIVER MUST HAVE AT LEAST A HIGH SCHOOL DIPLOMA OR GENERAL EDUCATIONAL CERTIFICATE (GED) AND TO DELETE REQUIREMENTS FOR CAREGIVERS EMPLOYED AS OF JULY 1, 1994.

Reps. KNOTTS, G. M. SMITH, WHATLEY, DELLENEY, HARRISON and F. N. SMITH proposed the following Amendment No. 1A (Doc Name COUNCIL\SWB\AMEND\5574DJC01), which was adopted:
Amend the bill, as and if amended, by striking SECTION 13 in its entirety and inserting:
/ SECTION   13.   Section 16-17-430 of the 1976 Code, as last amended by Act 184 of 1993, is further amended to read:

"Section 16-17-430.   (A)   It is unlawful for a person to:

(1)   use in a telephonic communication or any other electronic means, any words or language of a profane, vulgar, lewd, lascivious, or an indecent nature, or to threaten in a telephonic communication any unlawful act with the intent to coerce, intimidate, or harass another person, or to communicate or convey by telephone telephonic or other electronic means an obscene, vulgar, indecent, profane, suggestive, or immoral message to another person;

(2)   threaten in a telephonic communication or any other electronic means an unlawful act with the intent to coerce, intimidate, or harrass another person;

(2)(3)   telephone or electronically contact another repeatedly, whether or not conversation ensues, for the purpose of annoying or harassing another person or his family;

(3)(4)   make a telephone call and intentionally fail to hang up or disengage the connection for the purpose of interfering with the telephone service of another;

(4)(5)   telephone or contact by electronic means another and make false statements concerning either the death or injury of a member of the family of the person who is telephoned or electronically contacted, with the intent to annoy, frighten, or terrify that person; or

(5)(6)   knowingly permit a telephone under his control to be used for any purpose prohibited by this section.

(B)(1)   A person who violates items (1), (2), or (4) of subsection (A) is guilty of a felony and, upon conviction, must be fined in the discretion of the court or imprisoned not more than ten years.

(2)A   person who violates items (3) or (5) any provision of subsection (A) is guilty of a misdemeanor and, upon conviction, must be fined not more less than one hundred dollars nor more than five hundred dollars or imprisoned not more than thirty days." /
Renumber sections to conform.
Amend totals and title to conform.

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

The Senate amendments, as amended, were then agreed to and the Bill was ordered returned to the Senate.

The following was received:

Columbia, S.C., June 7, 2001
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it concurs in the amendments proposed by the House to H. 3885:

H. 3885 (Word version) -- Reps. Meacham-Richardson, Simrill, Kirsh and Vaughn: A BILL TO AMEND SECTION 12-24-40, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EXEMPTIONS FROM DEED RECORDING FEES AND SECTION 12-36-2120, RELATING TO EXEMPTIONS FROM SALES TAX, SO AS TO PROVIDE EXEMPTIONS FROM SALES TAX AND DEED RECORDING FEES FOR SALES, EXCHANGES, AND TRANSFERS OF ELECTRIC TRANSMISSION FACILITIES; AND TO AMEND SECTION 12-6-3410, RELATING TO THE CORPORATE INCOME

Very respectfully,
President
Received as information.

The following was received:

Columbia, S.C., June 7, 2001

Mr. Speaker and Members of the House:

The Senate respectfully invites your Honorable Body to attend in the Senate Chamber at 4:30 p.m. today for the purpose of Ratifying Acts.

Very respectfully,

President

On motion of Rep. W. D. SMITH the invitation was accepted.

Further proceedings were interrupted by the Ratification of Acts.

At 4:30 p.m. the House attended in the Senate Chamber, where the following Acts and Joint Resolutions were duly ratified:

(R123, S. 229 (Word version)) -- Senators Hayes, Wilson, Branton, Hawkins, Ravenel and Leventis: AN ACT 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

(R124, S. 301 (Word version)) -- Senator Fair: AN ACT TO AMEND TITLE 17, CHAPTER 5, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE QUALIFICATIONS, POWERS, AND DUTIES OF CORONERS AND MEDICAL EXAMINERS, SO AS TO CONSOLIDATE AND CLARIFY THE DUTIES OF CORONERS AND MEDICAL EXAMINERS; AND TO AMEND SECTIONS 20-7-5915 AND 20-7-5920, RELATING TO THE DEPARTMENT OF CHILD FATALITIES AND THE STATE CHILD FATALITY ADVISORY COMMITTEE, SO AS TO CONFORM CODE

(R125, S. 327 (Word version)) -- Senators Thomas and Hutto: AN ACT TO AMEND SECTION 4-9-145, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO COUNTY CODE ENFORCEMENT OFFICERS, SO AS TO LIMIT THE NUMBER OF LITTER CONTROL OFFICERS WITHIN A COUNTY AND TO AUTHORIZE LITTER CONTROL OFFICERS WHO ARE CERTIFIED AS LAW ENFORCEMENT OFFICERS TO PERFORM ARRESTS RELATING TO THEIR PRIMARY DUTIES OF ENFORCING LITTER CONTROL LAWS AND WHEN ENFORCING OTHER STATE AND LOCAL LAWS AND ORDINANCES WHICH MAY ARISE INCIDENTAL TO THE ENFORCEMENT OF PRIMARY DUTIES; AND TO AMEND CHAPTER 15, TITLE 23, RELATING TO THE GENERAL POWERS AND DUTIES OF SHERIFFS, BY ADDING SECTION 23-15-140, SO AS TO PROVIDE FOR THE DESCRIPTION OF THE OFFICIAL BADGE TO BE WORN BY THE STATE'S SHERIFFS AND DEPUTY SHERIFFS.

(R126, S. 349 (Word version)) -- Senators Branton, Verdin, Leatherman, Peeler, McConnell, Giese, Grooms, Bauer, Waldrep, Wilson, Mescher, Ryberg, Fair, Hayes, Thomas and Martin: AN ACT TO AMEND SECTION 12-21-2420, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE RATE OF THE ADMISSIONS LICENSE TAX AND EXEMPTIONS FROM THE ADMISSIONS LICENSE TAX, SO AS TO PROVIDE THAT ENTRY INTO THE PIT AREA OF NASCAR SANCTIONED MOTOR SPEEDWAYS AND RACETRACKS FOR DRIVERS, CREW MEMBERS, OR CAR OWNERS IS EXEMPT FROM THE TAX WHEN THESE PERSONS HAVE BEEN CHARGED A PARTICIPATION FEE BY NASCAR OR THE RACETRACK, OR WHERE THERE IS A PER EVENT CHARGE FOR ENTRY, OR A COMBINATION OF THESE FEES AND CHARGES ARE IMPOSED, AND TO EXTEND THE CURRENT EXEMPTION FROM THE ADMISSIONS LICENSE TAX FOR PRIVATE PHYSICAL FITNESS CENTERS TO

(R127, S. 496 (Word version)) -- Judiciary Committee: AN ACT TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 150 TO TITLE 59, SO AS TO ENACT THE "SOUTH CAROLINA EDUCATION LOTTERY ACT"; TO PROVIDE FOR A STATE LOTTERY AND TO CREATE THE SOUTH CAROLINA LOTTERY COMMISSION TO CONDUCT THE STATE LOTTERY; TO PROVIDE FOR THE COMMISSION'S BOARD MEMBERSHIP, DUTIES, AND POWERS; TO PROVIDE FOR THE CREATION OF A LOTTERY RETAILERS ADVISORY COMMITTEE; TO PROVIDE FOR THE METHOD OF CONTRACTING WITH VENDORS AND RETAILERS; TO PROVIDE FOR THE SALE OF LOTTERY GAME TICKETS AND THE DISTRIBUTION OF PRIZES UPON APPROVAL BY THE GENERAL ASSEMBLY OF REGULATIONS PROMULGATED PURSUANT TO THE ADMINISTRATIVE PROCEDURES ACT AND TO AUTHORIZE TEMPORARY REGULATIONS FOR INSTITUTION OF CERTAIN

(R128, S. 498 (Word version)) -- Senator McConnell: AN ACT TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 2A 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 MAKE CORRESPONDING CHANGES TO APPROPRIATE OFFICIAL COMMENTS AS NECESSARY TO REFLECT THE CHANGES TO CHAPTER 8; TO AMEND SECTION 36-4-104, RELATING TO DEFINITIONS IN CONNECTION WITH BANKING PRACTICES AND TRANSACTIONS GOVERNED BY THE UNIFORM COMMERICAL CODE, SO AS TO CONFORM THE DEFINITION OF "DOCUMENTARY DRAFT" TO THE MODIFICATIONS

(R129, S. 519 (Word version)) -- Senator Pinckney: AN ACT TO ENACT THE JASPER COUNTY SCHOOL DISTRICT SCHOOL BOND-PROPERTY TAX RELIEF ACT SO AS TO AUTHORIZE THE IMPLEMENTATION FOLLOWING REFERENDUM APPROVAL OF A SALES AND USE TAX IN JASPER COUNTY NOT TO EXCEED ONE PERCENT FOR DEBT SERVICE ON GENERAL OBLIGATION BONDS ISSUED FOR SCHOOL CONSTRUCTION AND RENOVATION OR FOR DIRECT PAYMENTS FOR SCHOOL CONSTRUCTION AND RENOVATION.

(R130, S. 557 (Word version)) -- Senators Matthews, Patterson, Hutto, Saleeby, Land, O'Dell, Jackson, Ford, Glover and Anderson: AN ACT TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTIONS 59-127-85, 59-125-130, 59-130-60, AND 59-117-65 SO AS TO AUTHORIZE THE BOARDS OF TRUSTEES OF SOUTH CAROLINA STATE UNIVERSITY, WINTHROP UNIVERSITY, COLLEGE OF CHARLESTON, AND THE UNIVERSITY OF SOUTH CAROLINA TO ENTER INTO GROUND LEASE AGREEMENTS WITH PRIVATE ENTITIES FOR PROVIDING ALL SERVICES NECESSARY TO THE CREATION AND OPERATION OF CERTAIN CAMPUS STUDENT HOUSING FACILITIES INCLUDING, BUT NOT LIMITED TO, FINANCING, DESIGNING, CONSTRUCTING, MANAGING, OPERATING, MAINTAINING, AND RELATED SERVICES, TO PROVIDE FOR THE TERMS AND CONDITIONS OF THE GROUND LEASE AGREEMENTS INCLUDING APPROVAL BY THE BUDGET AND CONTROL BOARD, AND TO PROVIDE THAT THE COMMISSION ON HIGHER EDUCATION SHALL EVALUATE THE VIABILITY AND SUCCESS OF THESE GROUND LEASE AGREEMENT AUTHORIZATIONS FOR POSSIBLE IMPLEMENTATION STATEWIDE FOR ALL PUBLIC INSTITUTIONS OF HIGHER LEARNING WHICH PROVIDE CERTAIN CAMPUS STUDENT HOUSING.

(R131, S. 693 (Word version)) -- Senator Hutto: A JOINT RESOLUTION TO PROVIDE THAT THE SCHOOL DAYS MISSED BY THE KINDERGARTEN THROUGH FOURTH GRADE STUDENTS OF

(R132, S. 726 (Word version)) -- Senator Hutto: AN ACT TO AMEND SECTION 7-7-100, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO VOTING PRECINCTS IN BARNWELL COUNTY, SO AS TO DESIGNATE A MAP NUMBER FOR THE MAP ON WHICH LINES OF PRECINCTS ARE DELINEATED AND MAINTAINED BY THE OFFICE OF RESEARCH AND STATISTICAL SERVICES OF THE STATE BUDGET AND CONTROL BOARD.

(R133, H. 3117 (Word version)) -- Reps. Kirsh, Witherspoon and Walker: AN ACT TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 12-37-2740 SO AS TO REQUIRE THE DEPARTMENT OF PUBLIC SAFETY UPON ELECTRONIC NOTIFICATION FROM THE COUNTY TREASURER TO SUSPEND THE DRIVER'S LICENSE AND MOTOR VEHICLE REGISTRATION OF PERSONS WHO ARE DELINQUENT IN PAYING PERSONAL PROPERTY TAXES ON A MOTOR VEHICLE, TO REQUIRE WRITTEN NOTICE TO THE DELINQUENT TAXPAYER OF THE PENDING SUSPENSION AND ALLOW THIRTY DAYS FOR THE PAYMENT OF TAXES BEFORE THE SUSPENSION, TO PROVIDE THAT NO PROOF OF FINANCIAL RESPONSIBILITY IS REQUESTED FOLLOWING THIS SUSPENSION, TO PROVIDE THAT A PERSON STOPPED FOR DRIVING UNDER THIS SUSPENSION IS NOT SUBJECT TO CUSTODIAL ARREST, TO PROVIDE PENALTIES FOR THE VIOLATION OF DRIVING UNDER THIS SUSPENSION, TO REQUIRE THE DISMISSAL OF THE VIOLATION CHARGED IF THE PERSON PROVIDES ON THE COURT DATE PROOF OF PAYMENT OF THE TAXES, TO PROVIDE A LICENSE REINSTATEMENT FEE OF FIFTY DOLLARS, AND TO PROVIDE FOR THE DISPOSITION OF THE FEE REVENUES.

(R134, H. 3175 (Word version)) -- Reps. Clyburn, Wilder, Cobb-Hunter and Whipper: AN ACT TO AMEND SECTION 9-1-1795, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE EXEMPTION FROM THE EARNINGS LIMITATION FOR RETIRED CERTIFIED TEACHERS EMPLOYED IN GEOGRAPHIC OR CRITICAL ACADEMIC NEED AREAS, SO AS TO PROVIDE THAT BEGINNING JULY 1, 2001, ANY RETIRED CERTIFIED SCHOOL TEACHER OR CERTIFIED EMPLOYEE MAY BE EMPLOYED IN A SCHOOL OR SCHOOL DISTRICT WHICH IS IN A CRITICAL GEOGRAPHIC NEED AREA OR HAS RECEIVED A 'BELOW AVERAGE' OR 'UNSATISFACTORY' ACADEMIC PERFORMANCE RATING PURSUANT TO THE EDUCATION ACCOUNTABILITY ACT WITHOUT PENALTY FROM THE SOUTH CAROLINA RETIREMENT SYSTEM; AND TO AMEND SECTION 9-9-110, RELATING TO THE EFFECT OF THE RETURN TO STATE SERVICE OF A BENEFICIARY OF THE GENERAL ASSEMBLY RETIREMENT SYSTEM, SO AS TO FURTHER PROVIDE FOR THE ELECTIONS AVAILABLE TO A PERSON RECEIVING GENERAL ASSEMBLY RETIREMENT BENEFITS WHO RETURNS TO SERVICE AS A MEMBER OF THE GENERAL ASSEMBLY.

(R135, H. 3288 (Word version)) -- Reps. Cato, Edge and White: AN ACT TO AMEND CHAPTER 29, TITLE 40, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE BUSINESS OF MANUFACTURED HOUSING, SO AS TO CONFORM THE CHAPTER TO THE STATUTORY ORGANIZATIONAL FRAMEWORK OF CHAPTER 1, TITLE 40 FOR BOARDS UNDER THE ADMINISTRATION OF THE DEPARTMENT OF LABOR, LICENSING AND REGULATION AND TO FURTHER PROVIDE FOR THE LICENSURE AND REGULATION OF THE SOUTH CAROLINA MANUFACTURED HOUSING BOARD.

(R136, H. 3294 (Word version)) -- Reps. Hinson, Law, Dantzler, Gourdine and Merrill: AN ACT TO DEVOLVE THE AUTHORITY TO MAKE APPOINTMENTS OR RECOMMENDATIONS TO CERTAIN OFFICES, BOARDS, AND COMMISSIONS AFFECTING ONLY BERKELEY COUNTY WHICH ARE MADE BY OR UPON RECOMMENDATION OF THE HOUSE DELEGATION, SENATE DELEGATION, OR JOINT LEGISLATIVE DELEGATION OF

(R137, H. 3379 (Word version)) -- Rep. J. Brown: A JOINT RESOLUTION TO ESTABLISH THE NEWBORN EYE SCREENING TASK FORCE TO STUDY AND MAKE RECOMMENDATIONS CONCERNING SCREENING NEWBORN CHILDREN FOR CERTAIN OCULAR DISEASES AND ABNORMALITIES AND TO REQUIRE THE TASK FORCE TO REPORT TO THE GOVERNOR AND GENERAL ASSEMBLY BEFORE MARCH 1, 2002, AT WHICH TIME THE TASK FORCE IS ABOLISHED.

(R138, H. 3683 (Word version)) -- Rep. Kelley: AN ACT TO AMEND SECTION 1-11-710, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO INSURANCE FOR STATE EMPLOYEES AND SCHOOL DISTRICT EMPLOYEES, SO AS TO REQUIRE ANNUAL STATE BUDGET AND CONTROL BOARD APPROVAL OF THE NEXT CALENDAR YEAR'S PLAN OF BENEFITS, ELIGIBILITY, AND CONTRIBUTIONS BY AUGUST FIFTEENTH PRECEDING THE CALENDAR YEAR RATHER THAN OCTOBER FIRST, AND TO REFERENCE THE SPECIFIC AUTHORIZATION FOR THE INSURANCE RESERVE FUND TO REINSURE GROUP HEALTH AND CAFETERIA PLANS; TO AMEND SECTION 9-1-60, AS AMENDED, RELATING TO THE IMPLEMENTATION OF CAFETERIA PLANS, SO AS TO PROVIDE RESTRICTIONS ON POLITICAL SUBDIVISIONS PARTICIPATING IN THESE PLANS AND ALLOW AN EMPLOYER OR COALITION OF EMPLOYERS TO OFFER SUCH PLANS SUBJECT TO THE SAME RESTRICTIONS, AND TO MAKE THE IMPLEMENTATION OF THESE CHANGES IN THE LAWS RELATING TO CAFETERIA PLANS CONTINGENT ON A FAVORABLE RULING FROM THE INTERNAL REVENUE SERVICE.

(R139, H. 3731 (Word version)) -- Reps. Cato, Chellis, Allen, Bales, Barfield, Barrett, Battle, J. Brown, Carnell, Cobb-Hunter, Coleman, Dantzler, Davenport, Delleney, Easterday, Freeman, Harrison, Hinson, Huggins, Klauber, Leach, Lee, Littlejohn, Loftis, Lucas, Mack, McCraw, Miller, Owens, Perry, Phillips, Rhoad, Rice, Riser, Rivers, Sandifer, Simrill, Snow, Taylor, Vaughn, Webb, Whatley and Wilkins: AN ACT TO AMEND SECTION 40-2-190, AS AMENDED, CODE OF LAWS OF

(R140, H. 3837 (Word version)) -- Reps. J.R. Smith, Clyburn, Sharpe and D.C. Smith: AN ACT TO AMEND SECTION 7-7-40, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO VOTING PRECINCTS IN AIKEN COUNTY, SO AS TO REDESIGNATE THE NEW PRECINCTS, PROVIDE THAT PRECINCTS ARE AS SHOWN ON AN OFFICIAL MAP ON FILE WITH THE DIVISION OF RESEARCH AND STATISTICAL SERVICES OF THE STATE BUDGET AND CONTROL BOARD.

(R141, H. 3889 (Word version)) -- Reps. Cotty, Sheheen, J.M. Neal and Lucas: AN ACT TO AMEND SECTION 30-5-10, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE PERFORMANCE OF THE REGISTER OF DEEDS' DUTIES BY A CLERK OF COURT IN CERTAIN COUNTIES, SO AS TO ADD KERSHAW COUNTY TO THE LIST OF THOSE COUNTIES WHICH HAVE BOTH A REGISTER OF DEEDS AND A CLERK OF COURT; AND TO AMEND SECTION 30-5-12, AS AMENDED, RELATING TO THE APPOINTMENT OF A REGISTER OF DEEDS, SO AS TO ADD KERSHAW COUNTY TO THE LIST OF COUNTIES IN WHICH THE GOVERNING BODY APPOINTS THE REGISTER OF DEEDS.

(R142, H. 3996 (Word version)) -- Reps. Edge, Harrison and Jennings: AN ACT TO AMEND SECTION 5-37-45, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO MUNICIPAL IMPROVEMENTS, SO AS TO PROVIDE THAT CERTAIN PROVISIONS OF THE SECTION DO NOT APPLY TO ANY AREA PROPOSED FOR INCLUSION WITHIN AN IMPROVEMENT

(R143, H. 4015 (Word version)) -- Reps. Breeland, Whipper, Harrell, Weeks, Limehouse, Allison, Bowers, R. Brown, Dantzler, Emory, Gourdine, J. Hines, M. Hines, Hosey, Law, Lloyd, Mack, Meacham-Richardson, Miller, J.M. Neal, Rivers, Scarborough, Snow and Stuart: AN ACT TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 1-1-693 SO AS TO DESIGNATE PORGY AND BESS AS THE OFFICIAL OPERA OF THIS STATE AND TO PROVIDE THAT COPYRIGHTED OR PROPRIETARY MATERIAL FROM PORGY AND BESS MAY NOT BE USED WITHOUT CERTAIN WRITTEN PERMISSION; AND TO ADD SECTION 1-1-677 SO AS TO DESIGNATE INDIAN GRASS (SORGHASTRUM NUTANS) AS THE OFFICIAL GRASS OF THE STATE OF SOUTH CAROLINA, AND TO PROVIDE FOR CERTAIN LIMITATIONS ON THIS DESIGNATION.

(R144, H. 4044 (Word version)) -- Rep. Campsen: AN ACT TO AMEND SECTION 62-7-204, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CONCURRENT JURISDICTION OF THE PROBATE COURT, SO AS TO PROVIDE FOR JURISDICTION OVER ATTORNEY'S FEES IN TRUST LITIGATION; 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; 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.

(R145, H. 4214 (Word version)) -- Rep. Battle: AN ACT 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.

At 4:45 p.m. the House resumed, the SPEAKER in the Chair.

The following was received from the Senate:

Columbia, S.C., June 7, 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 H. 3946:

H. 3946 (Word version) -- Reps. Cooper, Townsend, White, Thompson, Martin and Stille: A BILL TO AMEND CHAPTER 36 OF TITLE 33, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLE 8 SO AS TO PROVIDE THAT THE MEMBERSHIP OF A NONPROFIT CORPORATION ORGANIZED UNDER THE PROVISIONS OF CHAPTER 36 MAY ELECT FOR THE CORPORATION TO BECOME A PUBLIC BODY POLITIC AND CORPORATE.

Very respectfully,
President

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

Whereupon, the Chair appointed Reps. HARRELL, COOPER and A. YOUNG to the Committee of Conference on the part of the House and a message was ordered sent to the Senate accordingly.

The following was received:

Columbia, S.C., June 7, 2001
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it concurs in the amendments proposed by the House to H. 3272:

H. 3272 (Word version) -- Reps. Neilson, Jennings, Cato, Riser, Altman, Askins, Bales, Barfield, Barrett, Bingham, J. Brown, Chellis, Coates, Davenport, Delleney, Easterday, Edge, Emory, Freeman, Gilham, Gourdine, Harrison, Harvin, Hayes, J. Hines, Hosey, Littlejohn, Lloyd, Lucas, McCraw, McGee, J. M. Neal, Owens, Phillips, Scarborough, Scott, F. N. Smith, J. R. Smith, Stuart, Taylor, Vaughn, Webb, Weeks, White, Witherspoon and Simrill: A BILL TO AMEND CHAPTER 3, TITLE 56, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO MOTOR VEHICLE REGISTRATION AND LICENSING, BY ADDING ARTICLE 87 SO AS TO PROVIDE FOR THE ISSUANCE OF NASCAR SPECIAL LICENSE PLATES, AND PROVIDE FOR THE DISTRIBUTION OF FEES COLLECTED FOR THESE SPECIAL LICENSE PLATES.
and has ordered the Bill Enrolled for Ratification.

Very respectfully,
President
Received as information.

The following was received:

Columbia, S.C., June 7, 2001
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it concurs in the amendments proposed by the House to H. 3891:

H. 3891 (Word version) -- Rep. Hayes: A BILL TO AMEND SECTION 20-7-2735, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EDUCATION AND EXPERIENCE REQUIREMENTS FOR CAREGIVERS EMPLOYED IN CHILD DAYCARE CENTERS AFTER JUNE 30, 1994, SO AS TO DELETE THE REQUIREMENT THAT THE CAREGIVER MUST HAVE AT LEAST A HIGH

Very respectfully,
President
Received as information.

The following was received:

Columbia, S.C. June 7, 2001
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it has appointed Senators Waldrep, O'Dell and Alexander of the Committee of Conference on the part of the Senate on H. 3946:

H. 3946 (Word version) -- Reps. Cooper, Townsend, White, Thompson, Martin and Stille: A BILL TO AMEND CHAPTER 36 OF TITLE 33, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLE 8 SO AS TO PROVIDE THAT THE MEMBERSHIP OF A NONPROFIT CORPORATION ORGANIZED UNDER THE PROVISIONS OF CHAPTER 36 MAY ELECT FOR THE CORPORATION TO BECOME A PUBLIC BODY POLITIC AND CORPORATE.

Very respectfully,
President
Received as information.

Rep. WILKINS made a statement relative to the status of adjourment.

The Senate returned to the House with concurrence the following:

H. 4078 (Word version) -- Reps. Tripp and Cooper: A CONCURRENT RESOLUTION TO REQUEST THE DEPARTMENT OF TRANSPORTATION TO NAME THE PORTION OF UNITED STATES HIGHWAY 25 IN GREENVILLE COUNTY THAT RUNS SOUTHWARD BETWEEN THE TOWN LIMITS OF WARE PLACE AND THE GREENVILLE-LAURENS COUNTY LINE, THE "CHARLES AIKEN HIGHWAY", AND TO INSTALL APPROPRIATE MARKERS OR SIGNS CONTAINING THE WORDS "CHARLES AIKEN HIGHWAY".

H. 4223 (Word version) -- Reps. Huggins, Bingham, Frye, Knotts, Koon, Riser and Stuart: A CONCURRENT RESOLUTION TO REQUEST THE DEPARTMENT OF TRANSPORTATION TO ERECT "JEWEL OF SOUTH CAROLINA VISITOR INFORMATION" SIGNS AT EIGHT LOCATIONS ALONG THE STATE'S HIGHWAYS THAT PROVIDE A TELEPHONE NUMBER WHICH ALLOWS A CALLER TO OBTAIN PRE-RECORDED INFORMATION REGARDING ACTIVITIES OCCURRING IN THE CAPITAL CITY/LAKE MURRAY COUNTRY TOURISM REGION.

H. 4263 (Word version) -- Rep. Knotts: A CONCURRENT RESOLUTION TO CONGRATULATE AND COMMEND JOEL EDWARD (EDDIE) TURNER OF GASTON, THE LEXINGTON COUNTY FIRE CHIEF FOR THE SOUTH CONGAREE AND GASTON STATIONS, FOR THE EXCELLENT JOB HE HAS DONE DURING HIS TENURE AS THE PRESIDENT OF THE SOUTH CAROLINA STATE FIREMEN'S ASSOCIATION AND TO WISH HIM ALL THE BEST IN FUTURE SERVICE-RELATED ENDEAVORS.

H. 4269 (Word version) -- Reps. Freeman and Lucas: A CONCURRENT RESOLUTION TO RECOGNIZE AND COMMEND MRS. DANNELLA V. HILLIAN OF CHESTERFIELD COUNTY FOR HER MANY YEARS OF UNSELFISH PUBLIC SERVICE AND HER CONTRIBUTIONS TO THE 4-H YOUTH AND HOME ECONOMICS PROGRAMS AND TO WISH HER EVERY HAPPINESS AND GOOD FORTUNE IN HER RETIREMENT.

H. 4275 (Word version) -- Reps. Freeman and Lucas: A CONCURRENT RESOLUTION TO RECOGNIZE MR. SAMUEL D. BASS, JR., OF CHESTERFIELD COUNTY FOR HIS MANY YEARS OF UNSELFISH PUBLIC SERVICE AND HIS CONTRIBUTIONS TO THE 4-H YOUTH AND AGRICULTURE PROGRAMS AND TO WISH HIM EVERY HAPPINESS AND GOOD FORTUNE IN HIS RETIREMENT.

H. 4280 (Word version) -- Reps. White, Cooper, Martin, Thompson and Townsend: A CONCURRENT RESOLUTION TO CONGRATULATE KEVIN L. BRYANT OF ANDERSON, THE OUTGOING CHAIRMAN OF THE ANDERSON COUNTY REPUBLICAN PARTY, FOR HIS DISTINGUISHED PUBLIC SERVICE IN BUILDING THE REPUBLICAN PARTY IN ANDERSON COUNTY.

H. 4281 (Word version) -- Reps. Miller and Snow: A CONCURRENT RESOLUTION TO RECOGNIZE MR. SAMUEL B. HUDSON, SR., FOR HIS OUTSTANDING CONTRIBUTIONS AND MANY YEARS OF DEVOTED PUBLIC SERVICE AND TO HONOR HIM ON THE OCCASION OF HIS EIGHTIETH BIRTHDAY, JUNE 11, 2001.

H. 4282 (Word version) -- Reps. Wilkins and Harrison: A CONCURRENT RESOLUTION TO EXPRESS THE SINCERE GRATITUDE OF THE MEMBERS OF THE GENERAL ASSEMBLY TO SUSAN "SUE" OLSON MCNAMEE FOR HER YEARS OF DEDICATED SERVICE TO THE SOUTH CAROLINA GENERAL ASSEMBLY, AS COUNSEL TO THE HOUSE JUDICIARY COMMITTEE AND AS STAFF ATTORNEY WITH THE LEGISLATIVE COUNCIL, AND TO WISH HER GODSPEED AND BEST WISHES IN ALL HER

H. 4285 (Word version) -- Rep. Allen: A HOUSE RESOLUTION TO RECOGNIZE AND COMMEND REVEREND JAMES B. ADAMS, SR., PASTOR OF VICTORY TEMPLE MISSIONARY BAPTIST CHURCH IN GREENVILLE COUNTY, FOR ELEVEN YEARS OF FAITHFUL AND DEVOTED SERVICE TO THIS CHURCH AND ITS MEMBERS.

At 5:00 p.m. the House, in accordance with the motion of Rep. TALLEY, adjourned Sine Die in memory of Winfred Page of Spartanburg.

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