South Carolina General Assembly
114th Session, 2001-2002

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Bill 3542

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(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)


COMMITTEE REPORT

March 6, 2001

    H. 3542

Introduced by Reps. Allison, Cotty, McCraw and J.R. Smith

S. Printed 3/6/01--H.

Read the first time February 14, 2001.

            

THE COMMITTEE ON WAYS AND MEANS

    To whom was referred a Joint Resolution (H. 3542) to provide that lapsed funds of the Department of Education including EIA funds for fiscal year 2000-2001 and prior years must be used by the department for stipulated priority expenditures, etc., respectfully

REPORT:

    That they have duly and carefully considered the same and recommend that the same do pass with amendment:

    Amend the joint resolution, as and if amended, in Section 1 by inserting after /lapsed/ on line 24, page 1 /Education Improvement Act (EIA)/.

    When amended Section 1 shall read:

    "SECTION    1.    Notwithstanding any other provision of law, any lapsed Education Improvement Act (EIA) funds, to include unexpended appropriated funds or revenue in excess of appropriations in the Education Improvement Act (EIA) fund, in the current fiscal year or in any prior fiscal year must first be used and are authorized to be used by the Department of Education in the following priority order:

    (1)    to offset an official EIA revenue shortfall declared by the Board of Economic Advisors;

    (2)    to fund any school district's appropriation deficit in EIA teacher salary supplement, teacher salary supplement fringe, or National Board Certification Incentives;

    (3)    the remaining lapsed funds must be used in accordance with Section 59-21-420 of the 1976 Code. Furthermore, in the event an official EIA revenue shortfall is declared, funds appropriated for EIA teacher salaries and related fringe benefits in the 2000-2001 general appropriations act are exempt from any reduction required to offset the shortfall."

    Renumber sections to conform.

    Amend totals and title to conform.

ROBERT W. HARRELL, JR., for Committee.

            

STATEMENT OF ESTIMATED FISCAL IMPACT

ESTIMATED FISCAL IMPACT ON GENERAL FUND EXPENDITURES:

$0 (No additional expenditures or savings are expected)

ESTIMATED FISCAL IMPACT ON FEDERAL & OTHER FUND EXPENDITURES:

$0 (No additional expenditures or savings are expected)

EXPLANATION OF IMPACT:

    Enactment of this bill would have no impact on the General Fund of the State nor on federal and/or other funds. Enactment would result in unexpended and/or lapsed EIA funds being used for those items listed in the bill, in priority order. This impact statement is based on the assumption that it is the General Assembly's intent that this bill is addressing unexpended and/or lapsed EIA funds only.

SPECIAL NOTES:

    Enactment of this bill will result in unallocated EIA building funds being used to cover the FY 2000-01 EIA shortfall, which is currently estimated at $9.8 million. These funds are currently used in accordance with the requirements of proviso 1A.54, which does not allow such funds to be used to cover an EIA revenue shortfall.

    The General Assembly may wish to clarify if this Joint Resolution is applicable to all lapsed and/or unexpended appropriations, or EIA funds only.

    Approved By:

    Don Addy

    Office of State Budget

A JOINT RESOLUTION

TO PROVIDE THAT LAPSED FUNDS OF THE DEPARTMENT OF EDUCATION INCLUDING EIA FUNDS FOR FISCAL YEAR 2000-2001 AND PRIOR YEARS MUST BE USED BY THE DEPARTMENT FOR STIPULATED PRIORITY EXPENDITURES AND TO PROVIDE THAT FUNDS APPROPRIATED FOR EIA TEACHER SALARIES AND RELATED FRINGE BENEFITS ARE EXEMPT FROM ANY REQUIRED SPENDING REDUCTIONS.

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

SECTION    1.    Notwithstanding any other provision of law, any lapsed funds, to include unexpended appropriated funds or revenue in excess of appropriations in the Education Improvement Act (EIA) fund, in the current fiscal year or in any prior fiscal year must first be used and are authorized to be used by the Department of Education in the following priority order:

    (1)    to offset an official EIA revenue shortfall declared by the Board of Economic Advisors;

    (2)    to fund any school district's appropriation deficit in EIA teacher salary supplement, teacher salary supplement fringe, or National Board Certification Incentives;

    (3)    the remaining lapsed funds must be used in accordance with Section 59-21-420 of the 1976 Code. Furthermore, in the event an official EIA revenue shortfall is declared, funds appropriated for EIA teacher salaries and related fringe benefits in the 2000-2001 general appropriations act are exempt from any reduction required to offset the shortfall.

SECTION    2.    This joint resolution takes effect upon approval by the Governor.

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