South Carolina General Assembly
115th Session, 2003-2004
Journal of the Senate

Thursday, February 5, 2004
(Statewide Session)

Indicates Matter Stricken
Indicates New Matter

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

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

Beloved, hear a few words from St. Paul to the Ephesians (5:15f):

"Be careful then how you live, not as unwise people but as wise, making the most of the time, because the days are evil.

So do not be foolish, but understand what the will of the Lord is."
Let us pray.

Father we thank You and St. Paul for straight talk in our day about our corporate and personal lives.

We remember that Paul was disturbed by the influence upon the lives of the children and young people of the great goddess, Diana of the Ephesians.

Show us the way, Father, and help us point the way for many... in the tantalizing phantom of the WILL OF THE LORD and our personal and corporate relationship to the WILL OF GOD.
AMEN!

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

REGULATIONS RECEIVED

The following were received and referred to the appropriate committees for consideration:

Document No. 2874
Agency: Commission for Minority Affairs
SUBJECT: State Recognition of Native American Indian Entities, Advisory Committees
Received by Lieutenant Governor February 5, 2004
Referred to Judiciary Committee
Legislative Review Expiration June 4, 2004

Document No. 2886
Agency: Department of Labor, Licensing and Regulation - Commissioner of Pilotage
SUBJECT: Pilot and Apprentice Age Limitations and Pilot Registration
Received by Lieutenant Governor February 5, 2004
Referred to Labor, Commerce and Industry Committee
Legislative Review Expiration June 4, 2004
(Subject to Sine Die Revision)

Document No. 2887
Agency: Department of Labor, Licensing and Regulation - Residential Builders Commission and 40-59-220
SUBJECT: Licensing, Specialty Contractors, Examinations, Fees, Disciplinary Actions, Home Inspectors
Received by Lieutenant Governor February 5, 2004
Referred to Labor, Commerce and Industry Committee
Legislative Review Expiration June 4, 2004

Doctor of the Day

Senator GIESE introduced Dr. S. Nelson Weston of Columbia, S.C., Doctor of the Day.

Expression of Personal Interest

Senator LEVENTIS rose for an Expression of Personal Interest.

Expression of Personal Interest

Senator WALDREP rose for an Expression of Personal Interest.

Expression of Personal Interest

Senator FAIR rose for an Expression of Personal Interest.

RECALLED AND ADOPTED

H. 4610 (Word version) -- Reps. Chellis, Dantzler, Gourdine, Bailey, Young, Altman and Umphlett: A CONCURRENT RESOLUTION TO REQUEST THE BUDGET AND CONTROL BOARD TO NAME THE CHAPEL AT THE MACDOUGALL CORRECTIONAL INSTITUTION AT RIDGEVILLE IN HONOR OF JAMES W. "JIMMY" DUKES WHO HAS PARTICIPATED IN MINISTRIES AND PROJECTS AT THIS FACILITY SINCE IT OPENED AND WHO WAS THE PERSON MOST INSTRUMENTAL IN THE BUILDING OF THE CHAPEL.

Senator GROOMS asked unanimous consent to make a motion to recall the Resolution from the Committee on Finance.

There was no objection.

Senator GROOMS asked unanimous consent to take the Concurrent Resolution up for immediate consideration.

There was no objection.

The Senate proceeded to a consideration of the Concurrent Resolution, the question being the adoption of the Resolution.

On motion of Senator GROOMS, with unanimous consent, the Concurrent Resolution was adopted, ordered returned to the House.

INTRODUCTION OF BILLS AND RESOLUTIONS

The following were introduced:

S. 917 (Word version) -- Senators McConnell, Moore, Land, Rankin, Richardson, Elliott, McGill and Kuhn: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, SO AS TO ENACT THE "UNIFORM AND FAIR GOLF COURSE VALUATION ACT OF 2004" BY ADDING SECTION 12-43-365 SO AS TO PROVIDE FOR THE MANNER IN WHICH THE FAIR MARKET VALUE OF GOLF COURSE REAL PROPERTY IS DETERMINED FOR AD VALOREM TAX PURPOSES AND THE PROCEDURES WHICH APPLY WITH RESPECT TO THIS DETERMINATION.
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Read the first time and referred to the Committee on Finance.

S. 918 (Word version) -- Senator Hawkins: A BILL TO AMEND SECTION 56-1-746, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE SUSPENSION OF A PERSON'S DRIVER'S LICENSE UPON A CONVICTION OF CERTAIN OFFENSES RELATING TO THE POSSESSION, SALE, AND CONSUMPTION OF ALCOHOLIC BEVERAGES, AND THE UNLAWFUL USE OR ALTERATION OF A DRIVER'S LICENSE, SO AS TO PROVIDE THAT THIS PROVISION ALSO APPLIES TO THE INTENTIONAL SMELLING OR INHALING OF FUMES FROM OR THE USE OR POSSESSION OF ANY SUBSTANCE CONTAINING AROMATIC HYDROCARBONS UNDER CERTAIN CIRCUMSTANCES.
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Read the first time and referred to the Committee on Judiciary.

S. 919 (Word version) -- Senator Leventis: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 44-1-165 SO AS TO REQUIRE THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL TO IMPOSE, COLLECT, AND RETAIN FEES IN ADDITION TO THOSE CURRENTLY IMPOSED UNDER THE PROGRAMS AND SERVICES ADMINISTERED BY THE OFFICE OF ENVIRONMENTAL QUALITY CONTROL, BUREAU OF WATER, FOR THE PURPOSE OF GENERATING REVENUE TO FULLY FUND THE STATE PORTION OF REVENUE REQUIRED TO ADMINISTER THESE PROGRAMS AND SERVICES; TO ESTABLISH A MINIMUM ONE-HUNDRED-DOLLAR FEE FOR THOSE PERMITS, LICENSES, CERTIFICATES, AND REGISTRATIONS ISSUED BY THE BUREAU OF WATER FOR WHICH A FEE IS NOT CURRENTLY IMPOSED; TO REQUIRE THE DEPARTMENT TO PROMULGATE IN REGULATION THE TOTAL FEES TO BE IMPOSED PURSUANT TO THIS ACT AND OTHER PROVISIONS OF LAW; AND TO REQUIRE THE DEPARTMENT TO BIENNIALLY REVIEW THESE PROGRAMS AND SERVICES AND TO ADJUST THESE FEES ACCORDINGLY.
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Senator LEVENTIS spoke on the Bill.

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

S. 920 (Word version) -- Senator Moore: A BILL TO PROVIDE THAT UP TO THREE SCHOOL DAYS MISSED BY THE STUDENTS OF ANY SCHOOL IN THE AIKEN COUNTY SCHOOL DISTRICT CLOSED DUE TO SNOW, EXTREME WEATHER CONDITIONS, OR OTHER DISRUPTIONS MAY BE FORGIVEN IF APPROVED BY A MAJORITY VOTE OF THE LOCAL SCHOOL BOARD.
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Read the first time and, on motion of Senator MOORE, with unanimous consent, the Bill was ordered placed on the Calendar without reference.

S. 921 (Word version) -- Senator Moore: A BILL TO PROVIDE THAT UP TO THREE SCHOOL DAYS MISSED BY THE STUDENTS OF ANY SCHOOL IN THE MCCORMICK COUNTY SCHOOL DISTRICT CLOSED DUE TO SNOW, EXTREME WEATHER CONDITIONS, OR OTHER DISRUPTIONS MAY BE FORGIVEN IF APPROVED BY A MAJORITY VOTE OF THE LOCAL SCHOOL BOARD.
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Read the first time and, on motion of Senator MOORE, with unanimous consent, the Bill was ordered placed on the Calendar without reference.

S. 922 (Word version) -- Senator Moore: A BILL TO PROVIDE THAT UP TO THREE SCHOOL DAYS MISSED BY THE STUDENTS OF ANY SCHOOL IN THE EDGEFIELD COUNTY SCHOOL DISTRICT CLOSED DUE TO SNOW, EXTREME WEATHER CONDITIONS, OR OTHER DISRUPTIONS MAY BE FORGIVEN IF APPROVED BY A MAJORITY VOTE OF THE LOCAL SCHOOL BOARD.
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Read the first time and, on motion of Senator MOORE, with unanimous consent, the Bill was ordered placed on the Calendar without reference.

S. 923 (Word version) -- Senator Hawkins: A CONCURRENT RESOLUTION MEMORIALIZING THE CONGRESS OF THE UNITED STATES TO MAKE THE FEDERAL TAX CUTS PERMANENT.
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The Concurrent Resolution was introduced and referred to the General Committee.

S. 924 (Word version) -- Senator Hawkins: A CONCURRENT RESOLUTION TO REQUEST THAT THE CONGRESSIONAL DELEGATION OF THE STATE OF SOUTH CAROLINA WORK TO PASS LIFETIME AND RETIREMENT SAVINGS ACCOUNTS.
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The Concurrent Resolution was introduced and referred to the General Committee.

S. 925 (Word version) -- Senator Hawkins: A CONCURRENT RESOLUTION TO REQUEST THAT OUR UNITED STATES SENATORS WORK TO ALLOW A TIMELY VOTE ON THE FLOOR OF THE UNITED STATES SENATE ON ALL JUDICIAL NOMINATIONS.
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The Concurrent Resolution was introduced and referred to the General Committee.

S. 926 (Word version) -- Senator Hawkins: A CONCURRENT RESOLUTION TO REQUEST THAT OUR ELECTED REPRESENTATIVES AND SENATORS IN THE UNITED STATES CONGRESS SUPPORT, WORK TO PASS, AND VOTE FOR THE IMMEDIATE AND PERMANENT REPEAL OF THE DEATH TAX.
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The Concurrent Resolution was introduced and referred to the General Committee.

S. 927 (Word version) -- Senator Hawkins: A CONCURRENT RESOLUTION MEMORIALIZING THE CONGRESS OF THE UNITED STATES TO PASS A PERMANENT BAN ON INTERNET ACCESS TAXES.
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The Concurrent Resolution was introduced and referred to the General Committee.

S. 928 (Word version) -- Senator Hawkins: A CONCURRENT RESOLUTION TO REQUEST THAT THE CONGRESSIONAL DELEGATION OF THE STATE OF SOUTH CAROLINA WORK TO PASS SOCIAL SECURITY PERSONAL RETIREMENT ACCOUNTS.
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The Concurrent Resolution was introduced and referred to the General Committee.

S. 929 (Word version) -- Senator Anderson: A SENATE RESOLUTION TO WELCOME LILLIAN BROCK FLEMMING, MAYOR PRO TEMPORE OF THE CITY OF GREENVILLE, IN HER ROLE AS 2004 PRESIDENT OF THE MUNICIPAL ASSOCIATION OF SOUTH CAROLINA, TO THE STATE HOUSE AS SHE REPRESENTS THE HUNDREDS OF MAYORS AND COUNCIL MEMBERS ON FEBRUARY 18, 2004, "SOUTH CAROLINA HOMETOWN DAY".
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The Senate Resolution was adopted.

ACTING PRESIDENT PRESIDES

At 11:15 A.M., Senator DRUMMOND assumed the Chair.

H. 3726 (Word version) -- Rep. Harrison: A BILL TO AMEND SECTION 16-17-495, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO INTERFERENCE WITH A CHILD CUSTODY ORDER, SO AS TO PROVIDE CIRCUMSTANCES IN WHICH A LAW ENFORCEMENT OFFICER MAY RECOVER A CHILD WHOM HE BELIEVES HAS BEEN TAKEN OR IS BEING WITHHELD FROM HIS LEGAL CUSTODIAN, AND TO PROVIDE A PENALTY FOR A PERSON WHO KNOWINGLY GIVES FALSE INFORMATION TO A LAW ENFORCEMENT OFFICER DURING THE COURSE OF A DISPUTE INVOLVING THE CUSTODY OF A CHILD.

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

H. 3987 (Word version) -- Reps. White, Altman and Toole: A BILL TO AMEND SECTION 44-7-2910, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CRIMINAL RECORD CHECKS FOR DIRECT CAREGIVERS IN NURSING HOMES AND OTHER FACILITIES PROVIDING CARE TO ADULTS, SO AS TO REQUIRE A FACILITY TO COMMENCE A CRIMINAL RECORD CHECK WITHIN SEVEN DAYS OF EMPLOYING OR CONTRACTING WITH A DIRECT CAREGIVER, TO REQUIRE EMPLOYMENT AGENCIES PLACING DIRECT CAREGIVERS TO HAVE SUCH CHECKS CONDUCTED AND TO MAINTAIN A RECORD OF THE RESULTS OF THE CHECK AT THE EMPLOYMENT AGENCY, TO DELETE FACULTY AND STUDENTS IN EDUCATIONAL PROGRAMS IN DIRECT CARE FACILITIES FROM THE DEFINITION OF "DIRECT CAREGIVER", TO REQUIRE A DIRECT CAREGIVER ANNUALLY TO SIGN A STATEMENT THAT HE HAS NOT BEEN CONVICTED OF CERTAIN ENUMERATED CRIMES, AND TO DELETE PROVISIONS EXEMPTING CAREGIVER APPLICANTS WHO ARE RESIDENTS OF NORTH CAROLINA OR GEORGIA FROM A FEDERAL CRIMINAL RECORD CHECK.

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

H. 4415 (Word version) -- Reps. J. Brown, Bales, Cotty, Harrison, Howard, Lourie, J. H. Neal, Quinn, Rutherford, Scott and J. E. Smith: A BILL TO AMEND SECTION 59-53-1710, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE MIDLANDS TECHNICAL COLLEGE COMMISSION, SO AS TO REMOVE THE TERM LIMITATION FOR THE MEMBERS OF THE COMMISSION.

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

H. 4647 (Word version) -- Reps. Scarborough, Altman and Harrell: A CONCURRENT RESOLUTION TO REQUEST THE DEPARTMENT OF TRANSPORTATION TO NAME THE NEWLY CONSTRUCTED BRIDGE THAT CROSSES THE STONO RIVER IN CHARLESTON COUNTY IN MEMORY OF PAUL J. GELEGOTIS, FORMER MEMBER OF THE SOUTH CAROLINA HOUSE OF REPRESENTATIVES, AND TO INSTALL APPROPRIATE MARKERS OR SIGNS AT THE BRIDGE CONTAINING THE WORDS "PAUL J. GELEGOTIS MEMORIAL BRIDGE".

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

H. 4673 (Word version) -- Reps. Young, Chellis, Bailey and Harrell: A BILL TO AMEND SECTION 7-7-230, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DESIGNATION OF VOTING PRECINCTS IN DORCHESTER COUNTY, SO AS TO REVISE AND RENAME CERTAIN VOTING PRECINCTS IN DORCHESTER COUNTY, REDESIGNATE A MAP NUMBER FOR THE MAP ON WHICH LINES OF THESE PRECINCTS ARE DELINEATED AND MAINTAINED BY THE OFFICE OF RESEARCH AND STATISTICS OF THE STATE BUDGET AND CONTROL BOARD, AND CORRECT CERTAIN REFERENCES.

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

H. 4678 (Word version) -- Reps. J. R. Smith, Clark, Clyburn, D. C. Smith, Stewart and Perry: A BILL TO AMEND SECTION 7-7-40, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DESIGNATION OF VOTING PRECINCTS IN AIKEN COUNTY, SO AS TO REVISE CERTAIN PRECINCTS AND REDESIGNATE A MAP NUMBER ON WHICH LINES OF THESE PRECINCTS ARE DELINEATED AND MAINTAINED BY THE OFFICE OF RESEARCH AND STATISTICS OF THE STATE BUDGET AND CONTROL BOARD.

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

H. 4679 (Word version) -- Rep. G. Brown: A BILL TO AMEND SECTION 7-7-370, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DESIGNATION OF VOTING PRECINCTS IN LEE COUNTY, SO AS TO REVISE AND RENAME CERTAIN VOTING PRECINCTS IN LEE COUNTY, DESIGNATE A MAP NUMBER FOR THE MAP ON WHICH LINES OF THESE PRECINCTS ARE DELINEATED AND MAINTAINED BY THE OFFICE OF RESEARCH AND STATISTICS OF THE STATE BUDGET AND CONTROL BOARD, AND CORRECT CERTAIN REFERENCES.

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

H. 4681 (Word version) -- Reps. Neilson, Lucas and J. Hines: A JOINT RESOLUTION TO PROVIDE THAT THE SCHOOL DAYS MISSED ON JANUARY 26 AND 27, 2004, BY THE STUDENTS OF A SCHOOL IN THE DARLINGTON COUNTY SCHOOL DISTRICT WHEN THE SCHOOL WAS CLOSED DUE TO SNOW, ICE, OR INCLEMENT WEATHER CONDITIONS IS EXEMPTED FROM THE MAKE-UP REQUIREMENT OF THE DEFINED MINIMUM PLAN THAT FULL SCHOOL DAYS MISSED DUE TO EXTREME WEATHER OR OTHER CIRCUMSTANCES BE MADE UP.

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

PRESIDENT PRO TEMPORE PRESIDES

At 11:19 A.M., the PRESIDENT Pro Tempore assumed the Chair.

REPORTS OF STANDING COMMITTEES

Senator RYBERG from the Committee on Transportation submitted a favorable report on:

S. 256 (Word version) -- Senator Grooms: A CONCURRENT RESOLUTION TO REQUEST THAT THE SOUTH CAROLINA DEPARTMENT OF TRANSPORTATION ERECT DIRECTIONAL AND HISTORICAL SIGNS AT LOCATIONS WHICH ARE VISIBLE TO THE MOTORING PUBLIC READING "HISTORICAL TUSKEGEE AIRMEN MEMORIAL" AND THAT THESE SIGNS MUST BE PLACED AT APPROPRIATE LOCATIONS ON INTERSTATE 95 NEAR EXITS 53 AND 57, WITH DIRECTIONAL SIGNS AT THE OFF-RAMP TERMINATIONS, IN COLLETON COUNTY.

Ordered for consideration tomorrow.

Message from the House

Columbia, S.C., February 3, 2004

Mr. President and Senators:

The House respectfully informs your Honorable Body that it refuses to concur in the amendments proposed by the Senate to:

H. 3462 (Word version) -- Reps. Edge, Barfield, Clemmons, Keegan, Viers and Witherspoon: A CONCURRENT RESOLUTION TO REQUEST APPROPRIATE FEDERAL AND STATE HIGHWAY OFFICIALS TO DESIGNATE CERTAIN HIGHWAYS IN SOUTH CAROLINA AS PART OF NEW INTERSTATE HIGHWAYS WHICH CONGRESS HAS AUTHORIZED AND WHICH ARE SCHEDULED TO COME WITHIN THE BOUNDARIES OF SOUTH CAROLINA.
Very respectfully,
Speaker of the House

Received as information.

HOUSE CONCURRENCE

S. 858 (Word version) -- Senator Land: A CONCURRENT RESOLUTION TO REQUEST THE DEPARTMENT OF TRANSPORTATION TO NAME THE INTERCHANGE LOCATED AT THE INTERSECTION OF INTERSTATE HIGHWAY 95 AND SOUTH CAROLINA HIGHWAY 261 IN CLARENDON COUNTY THE "MANNY MOORE INTERCHANGE" AND TO ERECT APPROPRIATE MARKERS OR SIGNS AT THIS INTERCHANGE CONTAINING THE WORDS "MANNY MOORE INTERCHANGE".

Returned with concurrence.

Received as information.

CARRIED OVER

S. 356 (Word version) -- Senator Hutto: A BILL TO AMEND CHAPTER 1 OF TITLE 56 OF THE 1976 CODE BY ADDING SECTION 56-1-205 TO PROVIDE THAT THE DEPARTMENT, UPON REQUEST, MUST PLACE A NOTATION ON AN APPLICANT'S DRIVER'S LICENSE THAT THE APPLICANT IS HEARING IMPAIRED AND IF THE APPLICANT SUFFERS HEARING LOSS OF FORTY DECIBELS OR MORE; AND TO AMEND CHAPTER 3 OF TITLE 56 BY ADDING SECTION 56-3-1930 TO PROVIDE FOR IDENTIFICATION PLACARDS FOR HEARING IMPAIRED DRIVERS.

The House returned the Bill with amendments.

On motion of Senator HUTTO, with unanimous consent, the Bill was carried over, with Senator McCONNELL retaining the floor.

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

HOUSE BILL RETURNED

The following House Bill was read the third time and ordered returned to the House with amendments:

H. 4016 (Word version) -- Rep. Harrell: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLE 5 TO CHAPTER 130, TITLE 59 SO AS TO ENACT THE "COLLEGE OF CHARLESTON ACADEMIC AND ADMINISTRATIVE FACILITIES BOND ACT" WHICH PRESCRIBES THE MANNER IN WHICH AND CONDITION UNDER WHICH THE COLLEGE OF CHARLESTON MAY ISSUE CERTAIN REVENUE BONDS FOR THE ACQUISITION OF ACADEMIC AND ADMINISTRATIVE BUILDINGS.

THIRD READING BILL

The following Bill was read the third time and ordered sent to the House of Representatives:

S. 589 (Word version) -- Senator Mescher: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 20-7-130, SO AS TO PROVIDE THAT THE SOUTH CAROLINA GUARDIAN AD LITEM PROGRAM FOR ABUSED AND NEGLECTED CHILDREN HAS STANDING TO PETITION THE FAMILY COURT, FOR CERTAIN ENUMERATED REASONS, FOR THE REMOVAL OF A GUARDIAN APPOINTED AS AN ADVOCATE FOR A CHILD IN AN ABUSE OR NEGLECT PROCEEDING, AND TO PROVIDE THAT THE COURT MUST APPOINT AN ATTORNEY TO REPRESENT A GUARDIAN WHO IS THE SUBJECT OF A REMOVAL ACTION UPON THE GUARDIAN'S REQUEST.

AMENDED, READ THE THIRD TIME
RETURNED TO THE HOUSE

H. 3900 (Word version) -- Reps. Harrell, Wilkins, Cato, Keegan, Cooper, Loftis, Altman, Ceips, Clark, Clemmons, Dantzler, Duncan, Haskins, Herbkersman, Hinson, Huggins, Limehouse, Littlejohn, Cobb-Hunter, Mahaffey, Perry, E.H. Pitts, Mack, M.A. Pitts, Richardson, J.H. Neal, Howard, Sandifer, Bales, Simrill, Neilson, Skelton, Owens, J.R. Smith, Snow, Talley, Bailey, Trotter, Umphlett, White, Thompson, Whitmire, Whipper, Witherspoon and Young: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 45 TO TITLE 11 SO AS TO ENACT THE "VENTURE CAPITAL INVESTMENT ACT OF SOUTH CAROLINA" TO PROVIDE FOR THE ESTABLISHMENT OF A FUND SEPARATE AND DISTINCT FROM THE STATE GENERAL FUND IN THE DEPARTMENT OF COMMERCE KNOWN AS THE VENTURE CAPITAL FUND, TO PROVIDE FOR THE MANAGEMENT OF THIS SPECIAL FUND, TO PROVIDE FOR MONIES TO BE OBTAINED BY THE FUND FOR ITS STATED PURPOSES THROUGH LOANS MADE BY CERTAIN LENDERS, TO PROVIDE FOR REPAYMENTS TO LENDERS, AND TO PROVIDE THAT LENDERS SHALL RECEIVE TAX CREDITS WHICH MAY BE USED AS A CONTINGENT RESOURCE TO MEET PRINCIPAL AND INTEREST PAYMENTS WHEN DUE, TO PROVIDE FOR THE MANNER IN WHICH AND CONDITIONS UNDER WHICH INVESTMENTS FROM THE FUND MAY BE MADE IN VENTURE CAPITAL INVESTMENTS FOR THE BENEFIT OF THIS STATE; TO ESTABLISH THE SOUTH CAROLINA TECHNOLOGY INNOVATION FUND UNDER THE ADMINISTRATION OF THE BOARD OF DIRECTORS OF THE VENTURE CAPITAL FUND AND PROVIDE FOR ITS USES, AND TO PROVIDE THAT ON THE EFFECTIVE DATE OF THIS ACT, THE ASSETS AND LIABILITIES OF THE PALMETTO SEED CAPITAL FUND LIMITED PARTNERSHIP, AS ESTABLISHED IN CHAPTER 44, TITLE 41 OF THE 1976 CODE, ARE TRANSFERRED TO THE SOUTH CAROLINA TECHNOLOGY INNOVATION FUND WITHIN THE SOUTH CAROLINA VENTURE CAPITAL FUND; AND TO REPEAL CHAPTER 44, TITLE 41 RELATING TO THE PALMETTO SEED CAPITAL FUND LIMITED PARTNERSHIP.

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

Senator RYBERG proposed the following amendment (SWB\5608SL03), which was adopted:

Amend the bill, as and if amended, by striking subsection (E) of Section 11-45-50 of the 1976 Code, and inserting

/   (E)   The board in accepting loans to the fund giving rise to these tax credits shall ensure that no more than one hundred million dollars in total tax credit certificates are issued and outstanding at any one time with no more than fifty million dollars being issued in the first four years of the fund and with no more than twenty million dollars in tax credit certificates being redeemable for any one year. /

Renumber sections to conform.

Amend title to conform.

Senator LEATHERMAN explained the amendment.

The amendment was adopted.

Senator RITCHIE proposed the following amendment (3900R001.JHR), which was adopted:

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

/     SECTION   ___.   (A)   This section may be cited as the South Carolina Life Sciences Act.

(B)   For purposes of this section, a 'life sciences facility' means a business engaged in pharmaceutical, medicine, and related laboratory instrument manufacturing, processing, or research and development. Included in this definition are the following North American Industrial Classification Systems, NAICS Codes published by the Office of Management and Budget of the federal government:

(1)   3254 Pharmaceutical and Medical Manufacturing;

(2)   334516 Analytical Laboratory Instrument Manufacturing.

(C)(1)   For all purposes of Chapter 10, Title 12 of the 1976 Code, the Enterprise Zone Act of 1995, including all definitions applicable to that chapter:

(a)   Employee relocation expenses that qualify for reimbursement pursuant to Section 12-10-80(C)(3)(f) of the 1976 Code include such expenses associated with a new or expanded life sciences facility investing a minimum of one hundred million dollars in the project, as defined in Section 12-10-30(8) of the 1976 Code, and creating at least two hundred new full-time jobs at the project with an average annual cash compensation of at least one hundred fifty percent of annual per capita income in this State or the county in which the facility is located, whichever is less. Per capita income must be determined using the most recent per capita income data available as of the end of the taxable year in which the jobs are filled.

(b)   The waiver that may be approved by the Coordinating Council for Economic Development pursuant to Section 12-10-80(D)(2) of the 1976 Code on maximum job development credits that may be claimed also may be approved for a life sciences facility meeting the requirements of subitem (a) of this subsection. In determining whether to approve a waiver for such a facility, the Coordinating Council for Economic Development shall consider the creditworthiness of the business and economic viability of the project, as defined in Section 12-10-30(8) of the 1976 Code.

(2)   The provisions of item (1) of this subsection apply with respect to capital investment made and new jobs created after June 30, 2004, and before July 1, 2008.

(D)   In the case of a taxpayer establishing a life sciences facility meeting the requirements of subsection (C)(1)(a) of this section, the South Carolina Department of Revenue, in its discretion, may enter into an agreement with the taxpayer pursuant to Section 12-6-2320 of the 1976 Code for a period not to exceed fifteen years if the facility otherwise meets the requirements of that section.

SECTION   ____.   A.   Section 12-37-930 34. of the 1976 Code, as last amended by Section 3(Q)2, Act 399 of 2000, is further amended to read:

"34.   Use of Clean Rooms ......................................... 10% 15%

A manufacturer who uses a Class 100 or better clean room, as that term is defined in Federal Standard 209E, in manufacturing its product may elect an annual allowance for depreciation for property tax purposes of ten fifteen percent on clean room modules and associated mechanical systems, and on process piping, wiring environmental systems, and water purification systems associated with the clean room instead of a depreciation allowance for which the manufacturer otherwise is entitled. Included are waffle flooring, wall and ceiling panels, foundation improvements that isolate the clean room to control vibrations, clean air handling and filtration systems, piping systems for fluids and gases used in the manufacturing process and in the clean room that touch the product during the process, flat panel displays, and liquid crystal displays, process equipment energy control systems, ultra pure water processing and wastewater recycling systems, and safety alarm and monitoring systems.

35.   Life sciences.................................................. 20%

Includes machinery and equipment used directly in the manufacturing process by a life sciences facility. For purposes of this item, life sciences facility means a business engaged in pharmaceutical, medicine, and related laboratory instrument manufacturing, processing, or research and development that invests a minimum of one hundred million dollars in the project, as defined in Section 12-10-30(8), and creates at least two hundred new full-time jobs at the project with an average cash compensation level of at least one hundred fifty percent of the annual per capita income in this State or the county in which the facility is located, whichever is less. Per capita income must be determined using the most recent per capita income data available as of the end of the taxable year in which the jobs are filled. Included in this definition are the following North American Industrial Classification Systems, NAICS Codes published by the Office of Management and Budget of the federal government:

(i)     3254 Pharmaceutical and Medical Manufacturing;

(ii)   334516 Analytical Laboratory Instrument Manufacturing."

B.     In the case of machinery and equipment otherwise eligible for the depreciation allowed pursuant to Section 12-37-930 of the 1976 Code, as amended in subsection A of this section, if the project with which the machinery and equipment is associated is the subject of an inducement agreement between the project sponsor and the county, the initial inducement agreement must have been entered into between these parties after September 1, 2003.

SECTION   ___. A.   Section 11-41-20(3) of the 1976 Code, as added by Act 254 of 2002, is amended to read:

"(3)   In order to foster economic development and to encourage the creation of high-paying jobs in the life sciences industry within the State, it is in the best interests of the State that the limitation on general obligation debt imposed by Article X, Section 13(6)(c) be increased to five and one-half percent with the additional debt service capacity available at any time as a consequence of the increase available only for the repayment of general obligation bonds issued to provide infrastructure required for significant economic development projects within the State, including those related to the life sciences industry that create high-paying jobs and meet certain investment criteria."

B.     Items (2) and (3) of Section 11-41-30 of the 1976 Code, as added by Act 254 of 2002, are amended to read:

"(2)(a)   'Economic development project' or 'project' means a project in this State as defined in Section 12-44-30(16) in which a total of at least four hundred million dollars is invested in the project by the sponsor and at least four hundred new jobs are created at the project by the sponsor. To qualify as an economic development project for purposes of this chapter, the investment and job creation requirements must be attained no later than the eighth year after the project first begins operations.

(b)   'Project' also includes a life sciences facility in this State defined as a business engaged in pharmaceutical, medicine, and related laboratory instrument manufacturing, processing, or research and development. Included in this definition are the following North American Industrial Classification Systems, NAICS Codes published by the Office of Management and Budget of the federal government:

(i)     3254 Pharmaceutical and Medical Manufacturing;

(ii)   334516 Analytical Laboratory Instrument Manufacturing.

With respect to a life sciences facility, the sponsor must invest in the project at least one hundred million dollars and create at the project at least two hundred new jobs with an average annual cash compensation level of at least twice the annual per capita income in this State. Per capita income must be determined by using the most recent per capita income data available at the time the request for funding is made pursuant to this chapter.

(c)   To qualify as an economic development project for purposes of this chapter, the investment and job creation requirements must be attained no later than the eighth year after the project first begins operations.

(3)   'Infrastructure' must relate specifically to, but is not required to be located at, the economic development project and means:

(a)   land acquisition;

(b)   site preparation;

(c)   road and highway improvements;

(d)   rail spur construction;

(e)   water service;

(f)   wastewater treatment;

(g)   employee training which may include equipment used for such purpose;

(h)   environmental mitigation; and

(i)     training and research facilities and the necessary equipment therefor."

C.     Section 11-41-70(2) of the 1976 Code, as added by Act 254 of 2002, is amended to read:

"(2)   a description of the infrastructure for which the bonds are to be issued, including a certification by the secretary of the department that each the economic development project to benefit from the expenditure of the proceeds of the bonds consists of the following:

(a)   an investment in the State at the project of not less than four hundred million dollars and creates creation at the project of no fewer than four hundred new jobs; or

(b)   in the case of a life sciences facility, an investment in the project of not less than one hundred million dollars and creation at the project of no fewer than two hundred new jobs with an average cash compensation of at least twice the per capita income in this State. Per capita income must be determined by using the most recent per capita income data available at the time the request for funding is made pursuant to this chapter."

D.   Section 11-41-120 of the 1976 Code, as added by Act 254 of 2002, is amended to read:

"Section 11-41-120.   All bonds issued under this chapter must be signed by the Governor and the State Treasurer and attested by the Secretary of State. The Governor, and State Treasurer, and Secretary of State may sign these obligations by a facsimile of their signatures. The Great Seal of the State must be affixed to, impressed on, or reproduced upon each of them and each must be attested by the Secretary of State. The delivery of the bonds executed and authenticated, as provided in the resolution, is valid notwithstanding changes in officers or seal occurring after the execution or authentication."

SECTION   ____.   Beginning January 1, 2005, the Department of Revenue annually shall report to the Joint Committee on Taxation the revenue impact of this act, and the Department of Commerce annually shall report the cost and benefit of this act, together with the job creation and capital investment made by qualifying businesses.

Renumber sections to conform.

Amend title to conform.

Senator LEATHERMAN explained the amendment.

The amendment was adopted.

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

SECOND READING BILL

The following Bill, having been read the second time, was ordered placed on the Third Reading Calendar:

H. 4272 (Word version) -- Reps. Hinson, Altman, Breeland, R. Brown, Dantzler, Gourdine, Hagood, Harrell, Limehouse, Mack, Merrill, Miller, Scarborough, Umphlett and Young: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 4-3-85 SO AS TO ALTER THE LINES OF BERKELEY AND CHARLESTON COUNTIES BY ANNEXING A CERTAIN PORTION OF CHARLESTON COUNTY TO BERKELEY COUNTY AND MAKE PROVISIONS FOR LEGAL RECORDS.

SECOND READING BILL
WITH NOTICE OF GENERAL AMENDMENTS

The following Bill, having been read the second time with notice of general amendments, was ordered placed on the Third Reading Calendar:

S. 764 (Word version) -- Senator Ryberg: A BILL TO AMEND SECTION 56-3-1010, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEFINITION OF TERMS CONCERNING CORPORATE-OWNED FLEET MOTOR VEHICLES, SO AS TO REVISE THE DEFINITION OF THE TERM "FLEET".

Senator RICHARDSON explained the Bill.

COMMITTEE AMENDMENT ADOPTED
READ THE SECOND TIME
WITH NOTICE OF GENERAL AMENDMENTS

S. 277 (Word version) -- Senator Hayes: A BILL TO AMEND SECTION 4-9-195, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE AUTHORITY OF A COUNTY TO GRANT SPECIAL PROPERTY TAX ASSESSMENTS TO HISTORIC PROPERTIES AND LOW AND MODERATE INCOME RENTAL PROPERTIES, SO AS TO ESTABLISH CRITERIA BY WHICH A COUNTY MAY OFFER ECONOMIC INCENTIVES FOR RENOVATION AND REHABILITATION OF ARCHITECTURALLY SIGNIFICANT HOMES BY OWNERS WHO OCCUPY THEM.

The Senate Finance Committee proposed the following amendment (DKA\3758DW04), which was adopted:

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

/ SECTION   1.   Section 4-9-195 of the 1976 Code, as last amended by Act 375 of 1992, is further amended to read:

"Section 4-9-195.   (A)   The governing body of any county by ordinance may grant the special property tax assessments authorized by this section to real property which qualifies as either 'rehabilitated historic property' or as 'low and moderate income rental property' in the manner provided in this section. A county governing body may designate, in its discretion, an agency or a department to perform its functions and duties pursuant to the provisions of this section in its discretion.

(1)   All qualifying property must be certified as such by may receive preliminary certification from the county governing body and upon this preliminary certification, the property must be assessed as follows:

(1) for owner-occupied rehabilitated historic property an assessment for two years equal to four percent of the appraised value of the property at the time the certification was made, and an assessment for eight years equal to the greater of forty percent of four percent of the appraised value of the property after rehabilitation or the assessment originally assessed on the uncertified property;

(2) for income-producing rehabilitated historic property and for low and moderate income rental property an assessment for two years equal to six percent of the appraised value of the property at the time the certification was made, and an assessment for eight years equal to the greater of forty percent of six percent of the appraised value of the property after rehabilitation or the assessment originally assessed on the uncertified property; and for two years on the fair market value of the property at the time the preliminary certification was made. If the project is not complete after two years, but the minimum expenditures for rehabilitation have been incurred, the property continues to receive the special assessment until the project is completed.

(2)   Upon completion of a project, the project must receive final certification from the county governing body in order to be eligible for the special assessment. Upon final certification, the property must be assessed for the remainder of the special assessment period on the fair market value of the property at the time the preliminary certification was made or the final certification was made, whichever occurred earlier. If a completed project does not comply with all requirements for final certification, final certification must not be granted and any monies not collected by the county due to the special assessment must be returned to the county.

(3)   The special assessment shall only begin begins in the current or future tax years as provided for in this section. In no instance may the special assessment be applied retroactively.

(B)   'Rehabilitated historic property' is eligible for certification if the following conditions are met As used in this section:

(1)   'Historic designation' means the owner of the property applies for and is granted historic designation by the county governing body for the purpose of the special property tax assessment based on one or more of the following reasons:

(a)   the property is listed in the National Register of Historic Places;

(b)   the property is designated as an a historic property by the county governing body based upon criteria established by the county governing body and is at least fifty years old; or

(c)   the property is at least fifty years old and is located in an a historic district designated by the county governing body at any location within the geographical area of the county;.

(2)   'Approval of rehabilitation work' means the proposed and completed rehabilitation work is approved by the Department of Archives and History or its designee reviewing authority as appropriate for the historic building and the historic district in which it is located;.

(3)   'Minimum expenditures for rehabilitation' means within two years after receiving the approval of the rehabilitation plans, the owner or his estate rehabilitates the building, with expenditures for rehabilitation exceeding fifty percent the minimum percentage of the appraised fair market value of the building in the case of owner-occupied property, or with expenditures for rehabilitation exceeding the appraised value of the building in the case of income-producing real property; established by the county in its ordinance. The county governing body may set different minimum percentages for owner-occupied property and income producing real property, between twenty percent and one hundred percent.

(4)   the owner or estate of any property certified as 'historic' takes no actions which cause the property to lose the qualities and features which made it eligible for certification. The Department of Archives and History or its designee shall have the authority to rescind approval of the rehabilitation work in these cases, and in this event the property becomes immediately ineligible for the special tax assessments provided for this type of property; and 'Special assessment period' means the county governing body shall set the length of the special assessment in its ordinance of not more than twenty years.

(5)   rehabilitation was commenced on the property after January 1, 1987, and the rehabilitation was not commenced or undertaken as a result of a natural disaster, catastrophe, accident, or force majeure. 'Preliminary certification' means a property has met the following conditions:

(a)   the owner of the property applies for and is granted historic designation by the county governing body; and

(b)   the proposed rehabilitation receives approval of rehabilitation work from the reviewing authority.

A county governing body may require that an owner applies for preliminary certification before any project work begins.

(6)   'Final certification' means a property has met the following conditions:

(a)   the owner of the property applies for and is granted historic designation by the county governing body;

(b)   the completed rehabilitation receives approval of rehabilitation work from the reviewing authority; and

(c)   the minimum expenditures for rehabilitation were incurred and paid.

(7)   'Reviewing authority' for approval of rehabilitation work pursuant to this section is defined as:

(a)   the board of architectural review in counties with a board of architectural review with jurisdiction over historic properties operating pursuant to Section 6-29-870;

(b)   in counties without a board of architectural review with jurisdiction over historic properties, the county governing body may designate another qualified entity with historic preservation expertise to review the rehabilitation work; or

(c)   if the county governing body does not designate another qualified entity, the Department of Archives and History shall review the rehabilitation work. No separate application to the department is required for properties receiving preliminary and final approval for the federal income tax credit allowed pursuant to Section 47 of the Internal Revenue Code or the state income tax credit allowed pursuant to Section 12-6-3535.

(8)   'Rehabilitated historic property' means the property has met all the criteria for final certification.

(C)   'Low and moderate income rental property' is eligible for certification if:

(1)   the property provides accommodations under the Section 8 Program as defined in the United States Housing Act of 1937 and amended by the Housing and Community Act of 1974 for low and moderate income families and persons as defined by Section 31-13-170(p); or

(2)   in the case of income-producing real property, the expenditures for rehabilitation exceed the appraised value of the property; and

(3)   if the low and moderate income housing rehabilitation is located in an area designated by the local government as a Low and Moderate Housing Rehabilitation District; and

(4)   the owner or estate of any property certified as 'low and moderate income rental property' takes no actions which cause the property to be unsuitable for such a designation. The county governing body granting the initial certification has the authority to decertify property in these cases, and the property becomes immediately ineligible for the special tax assessments provided for this type of property; and

(5)   rehabilitation was commenced on the property after January 1, 1987; and the rehabilitation was not commenced or undertaken as a result of a natural disaster, catastrophe, accident, or force majeure; and

(6)   if the property qualifies as 'historic' as defined in subsection (B)(1), then the rehabilitation work must be approved by the Department of Archives and History appropriate reviewing authority as provided in subsections (B) and (D).

(D)   The Department of Archives and History, or its designee, has the authority to approve rehabilitation work in the county as qualifying for the special tax assessment provided for 'rehabilitated historic property', and shall may provide training and technical assistance to counties and for procedures for application, consideration, and appeal through appropriate regulations. All requests for approval must be accompanied by a nonrefundable application fee of one hundred dollars. The fee must be deposited in the accounts of the Department of Archives and History, except that in counties where the department has delegated the approval responsibility to a local governmental agency or department, the local governmental agency or department shall receive the application fee for 'rehabilitated historic property' provisions of the law. The governing body may establish fees for applications for preliminary or final certification, or both, through the ordinance or regulations.

(E)   When property has been certified received final certification and assessed as rehabilitated historic property, or low or moderate income rental property, it remains so certified and must be granted the special assessment until the property becomes disqualified by any one of the following:

(1)   written notice by the owner to the county to remove the preferential assessment;

(2)   sale or transfer of ownership during the ten-year period of special assessment period, other than in ordinary course within probate proceedings;

(3)   removal of the historic property designation by the county governing body;

(4)   decertification of the property by the local governing body as low or moderate income rental property for persons and families of moderate to low income as defined by Section 31-13-170(p);

(5)   rescission of the approval of the rehabilitation work by the Department of Archives and History reviewing authority because of alterations or renovations by the owner or his estate which cause the property to no longer possess the qualities and features which made it eligible for final certification.

Notification of any change affecting eligibility must be given immediately to the appropriate county taxing and assessing authorities.

(F)   If property is certified as 'rehabilitated historic property' or as 'low and moderate income rental property' before the first day of April of a particular year an application for preliminary or final certification is filed by May first or the preliminary or final certification is approved by August first, the special assessment authorized by this section is effective for that year. Otherwise it is effective beginning with the following year, provided the owner of the real property completes the proper application approved by the Department of Archives and History with the appropriate agency by April fifteenth of the particular year. A county governing body may designate an agency or department of the county to perform its functions and duties under this section in its discretion.

(G)   Once the governing body has granted the special property tax assessments authorized by this section, the owner of the property shall make application annually to the auditor for the special assessment provided for by this section.

(H)   As used in this section:

(1) 'appraised value of the property at the time certification was made' means, as to rehabilitated historic property, the appraised value of the building as certified to the governing body by a real estate appraiser licensed by this State, or the sales price delineated in a bona fide contract of sale executed within six months of the time it is submitted to the governing body; and, as to low and moderate income rental property, the appraised value of the property as certified to the governing body by a real estate appraiser licensed by this State or the sales price delineated in a bona fide contract of sale executed within six months of the time it is submitted to the governing body.

(2) 'appraised value of the property after rehabilitation' means, as to rehabilitated historic property, the appraised value of the rehabilitated building, after rehabilitation has been completed, as certified to the governing body by a real estate appraiser licensed by this State; and, as to low and moderate income rental property, the appraised value of the property, after rehabilitation has been completed, as certified to the governing body by a real estate appraiser licensed by this State. A property certified to receive the special property tax assessment under the existing law continues to receive the special assessment in effect at the time certification was made."

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

Renumber sections to conform.

Amend title to conform.

Senator HAYES explained the committee amendment.

The committee amendment was adopted.

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

COMMITTEE AMENDMENT ADOPTED
READ THE SECOND TIME

S. 719 (Word version) -- Senators McConnell and Elliott: A BILL TO AMEND SECTION 5-1-30, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PREREQUISITES TO THE ISSUANCE OF CORPORATE CERTIFICATE FOR A PROPOSED MUNICIPALITY, SO AS TO DELETE THE REQUIREMENT THAT NO PART OF THE PROPOSED MUNICIPALITY IS WITHIN FIVE MILES OF THE BOUNDARY OF AN ACTIVE INCORPORATED MUNICIPALITY.

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

The Committee on Judiciary proposed the following amendment (JUD0719.002), which was adopted:

Amend the bill, as and if amended, page 1, beginning on line 23, by striking SECTION 1 in its entirety and inserting therein the following:

/   SECTION   1.   Section 5-1-30 of the 1976 Code, as last amended by Act 250 of 2000, is further amended to read:

"Section 5-1-30.   (A)   Before issuing a corporate certificate to a proposed municipality, the Secretary of State shall first must determine:

(1)   that the area seeking to be incorporated has a population density of at least three hundred persons a per square mile according to the latest official United States Census;

(2)   that no part of the area is within five miles of the boundary of an active incorporated municipality;

(3)   that an approved service feasibility study for the proposed municipality has been filed with and approved by the Secretary of State; and

(4)(3)   that the area proposed to be incorporated is contiguous. Contiguity is not destroyed by an intervening marshland located in the tidal flow or an intervening publicly-owned waterway, whether or not the marshland located in the tidal flow or the publicly-owned waterway has been previously incorporated or annexed by another municipality. The incorporation of a marshland located in the tidal flow or a publicly-owned waterway does not preclude the marshland located in the tidal flow or the publicly-owned waterway from subsequently being used by any other municipality to establish contiguity for purposes of an incorporation if the distance from highland to highland of the area being incorporated is not greater than three-fourths of a mile.

(B)   When an area seeking incorporation has petitioned pursuant to Chapter 17 the nearest incorporated municipality to be annexed to the municipality, and has been refused annexation by the municipality for six months, or when the population of the area seeking incorporation exceeds fifteen thousand persons, then the provision of the five-mile limitation of this section does not apply to the area.

(C)   The five-mile limit does not apply when the boundaries of the area seeking incorporation are within five miles of the boundaries of two different incorporated municipalities in two separate counties other than the county within which the area seeking incorporation lies, and when the boundaries of the proposed municipality are more than five miles from the boundaries of the nearest incorporated municipality that lies within the same county within which the proposed municipality lies, and when the land area of the territory seeking incorporation exceeds one-fourth of the land area of the nearest incorporated municipality.

(D)   The population requirements do not apply to areas bordering on and being within two miles of the Atlantic Ocean and to all sea islands bounded on at least one side by the Atlantic Ocean, both of which have a minimum of one hundred fifty dwelling units and at least an average of one dwelling unit for each three acres of land within the area and for which petitions for incorporation contain the signatures of at least fifteen percent of the qualified electors of the respective areas seeking incorporation.

(E)(C)   This section does not apply to those areas which have petitioned to the Secretary of State before June 25, 1975, or which may be under adjudication in the courts of this State. The five-mile limit does not apply to counties with a population according to the latest official United States Census of less than fifty-one thousand."   /

Renumber sections to conform.

Amend title to conform.

Senator RITCHIE explained the committee amendment.

The committee amendment was adopted.

There being no further amendments, the Bill was read the second time and ordered placed on the Third Reading Calendar.

COMMITTEE AMENDMENT ADOPTED
READ THE SECOND TIME

S. 390 (Word version) -- Senator Hayes: A BILL TO AMEND SECTION 20-7-5050, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE LIMITATION ON THE AMOUNT OF CHILDREN'S TRUST FUND REVENUES WHICH MAY BE DISBURSED, SO AS TO REMOVE THIS LIMITATION.

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

The Committee on Judiciary proposed the following amendment (JUD0390.002), which was adopted:

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

  /   A BILL

TO AMEND SECTION 20-7-5010, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ESTABLISHMENT OF CHILDREN'S TRUST FUND, SO AS TO ALLOW THE FUND'S BOARD TO AWARD GRANTS TO PROGRAMS THAT ENHANCE OR PROMOTE THE ADOPTION OF SPECIAL NEEDS CHILDREN IN STATE CUSTODY; SECTION 20-7-5030, RELATING TO THE POWERS AND DUTIES OF THE FUND'S BOARD OF TRUSTEES, SO AS TO ALLOW THE FUND'S BOARD TO ASSESS NEEDS, SOLICIT PROPOSALS, AND AWARD GRANTS TO PROGRAMS THAT ENHANCE OR PROMOTE THE ADOPTION OF SPECIAL NEEDS CHILDREN IN STATE CUSTODY; AND SECTION 20-7-5050, RELATING TO THE LIMITATION ON THE AMOUNT OF CHILDREN'S TRUST FUND REVENUES WHICH MAY BE DISBURSED, SO AS TO REMOVE THIS LIMITATION.

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

SECTION   1.   Section 20-7-5010 of the 1976 Code is amended to read:

"Section 20-7-5010.   (A)   There is established the Children's Trust Fund of South Carolina, an eleemosynary corporation, the resources of which must be used to award grants to private nonprofit organizations in order to shall stimulate a broad range of innovative:

(1)   child abuse and neglect prevention programs to meet critical needs of South Carolina's children; or

(2)   programs that enhance or promote the adoption of special needs children in state custody through the awarding of grants to private nonprofit organizations.

(B)   The trust fund shall must accept gifts, bequests, and grants from any person or foundation. The trust fund shall must supplement and augment but not take the place of services provided by state agencies. No A state agency is eligible to receive funds under this article only when the state agency:

(1)   proposes a program that meets grant qualifications under this article, and

(2)   provides matching funds in an amount at least equal to the grant to maximize the effectiveness of the grant.

(C)   The board of trustees for the trust fund shall carry out activities necessary to administer the fund including assessing service needs and gaps, soliciting proposals to address identified service needs, and establishing criteria for the awarding of grants."

SECTION   2.   Section 20-7-5030 of the 1976 Code is amended to read:

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

(A)   assess the critical needs for:

(1)   child abuse and neglect prevention needs of children, and

(2)   special needs children in state custody whose plan is adoption, and

in cooperation with state agencies, establish priorities, and develop goals and objectives for the trust fund;

(B)   receive gifts, bequests, and devises for deposit and investment into the trust fund and for awarding to award grants to private nonprofit organizations and state agencies that meet certain qualifications;

(C)   invest trust fund monies;

(D)   solicit proposals for programs which will be aimed at meeting identified child abuse and neglect prevention needs or assisting in the adoption of special needs children in state custody;

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

(F)   establish criteria for awarding of grants for child abuse and neglect prevention or to assist in the adoption of special needs children in state custody which shall include the consideration of at least:

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

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

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

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

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

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

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

(G)   enter into contracts for the awarding of grants to private, nonprofit organizations for child abuse and neglect prevention or to assist in the adoption of special needs children in state custody."

SECTION   3.   Section 20-7-5050 of the 1976 Code is amended to read:

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

When the assets in the Trust Fund exceed five million dollars, all credited earnings plus all future annual deposits to the Trust Fund from contributions are available for disbursement upon the authorization of the board. At least six of the board members shall must authorize the disbursement of funds."

SECTION   4.   This act takes effect upon approval by the Governor./

Renumber sections to conform.

Amend title to conform.

Senator RITCHIE explained the committee amendment.

The committee amendment was adopted.

There being no further amendments, the Bill was read the second time and ordered placed on the Third Reading Calendar.

COMMITTEE AMENDMENT ADOPTED, OBJECTION

S. 837 (Word version) -- Senators Rankin and Hutto: A JOINT RESOLUTION TO PROVIDE THE PROCEEDS FROM THE SALE OF ANY SURPLUS REAL PROPERTY IDENTIFIED BY THE BOARD OF DIRECTORS OF THE SOUTH CAROLINA PUBLIC SERVICE AUTHORITY MUST BE RETAINED BY SANTEE COOPER AND USED FOR ITS PURPOSES AND NOT TRANSFERRED TO THE STATE OF SOUTH CAROLINA TO HELP ALLEVIATE STATE BUDGET SHORTFALLS, TO PROVIDE THAT ANY OTHER USE OF THESE PROCEEDS MUST BE EXPRESSLY APPROVED BY THE GENERAL ASSEMBLY, TO PROVIDE THAT, IF THE PROCEEDS FROM SUCH SALES HAVE BEEN USED OR DISTRIBUTED IN VIOLATION OF THIS RESOLUTION, THESE PROCEEDS MUST BE RETURNED TO THE PUBLIC SERVICE AUTHORITY AND USED IN THE MANNER REQUIRED BY THIS JOINT RESOLUTION, AND TO PROVIDE THAT ANY RESOLUTION OR PARTS OF A RESOLUTION OF THE BOARD OF DIRECTORS OF THE PUBLIC SERVICE AUTHORITY CONTRARY TO THE REQUIREMENTS OF THIS JOINT RESOLUTION ARE NULL AND VOID.

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

The Committee on Judiciary proposed the following amendment (JUD0837.002), which was adopted:

Amend the joint resolution, as and if amended, page 3, beginning on line 2, in SECTION 1, by striking lines 1 through 7 in their entirety and inserting therein the following:

/   SECTION   1.   (A)   Except as provided in Section 58-31-110, the proceeds from the sale of any surplus property identified by the Board of Directors of the South Carolina Public Service Authority or funds derived from any other source, including borrowed funds, must be retained by Santee Cooper and used for its purposes and not transferred to the State of South Carolina to help alleviate state budget shortfalls.   /

Renumber sections to conform.

Amend title to conform.

Senator RITCHIE explained the committee amendment.

The committee amendment was adopted.

Senator RANKIN spoke on the Joint Resolution.

Senator COURSON objected to further consideration of the Joint Resolution.

COMMITTEE AMENDMENT ADOPTED, OBJECTION

H. 3516 (Word version) -- Reps. Vaughn, Whipper, Hamilton, Bailey, Chellis, Frye, Gilham, Haskins, Howard, Koon, Littlejohn, Mahaffey, Sinclair, Snow, Stille, Taylor, Cotty and Edge: A BILL TO AMEND SECTION 16-13-420, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE UNLAWFUL FAILURE TO RETURN CERTAIN RENTAL PROPERTY OR THE FRAUDULENT APPROPRIATION OF SUCH PROPERTY, SO AS TO PROVIDE THAT THE VALUE OF THE LOSS OF REVENUE CAUSED BY THE UNLAWFUL WITHHOLDING OR FRAUDULENT APPROPRIATION OF RENTAL PROPERTY MAY BE CONSIDERED FOR THE PURPOSES OF COMPUTING THE APPLICABLE PENALTY, TO PROVIDE THAT A CIRCUIT COURT JUDGE OR MAGISTRATE MAY ORDER RESTITUTION IN AMOUNT BASED ON THE VALUE OF THE LOSS OF REVENUE OR DAMAGE TO THE RENTED ITEM; AND TO AMEND SECTION 22-3-550, AS AMENDED, RELATING TO MAGISTRATES' AUTHORITY TO ORDER RESTITUTION, SO AS TO REMOVE THE LIMITATION THAT SUCH RESTITUTION BE IN AN AMOUNT NOT TO EXCEED FIVE THOUSAND DOLLARS.

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

The Committee on Judiciary proposed the following amendment (JUD3516.004), which was adopted:

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

  /   A BILL

TO AMEND SECTION 22-3-10, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE CIVIL JURISDICTION OF MAGISTRATES, SO AS TO ADD TO THE LIST OF CASES OVER WHICH MAGISTRATES HAVE CONCURRENT CIVIL JURISDICTION ACTIONS FOR DAMAGES ARISING FROM A PERSON'S FAILURE TO RETURN LEASED OR RENTED PERSONAL PROPERTY WITHIN SEVENTY-TWO HOURS AFTER THE EXPIRATION OF THE LEASE OR RENTAL AGREEMENT, TO PROVIDE SUCH DAMAGES TO BE BASED ON THE LOSS OF REVENUE OR REPLACEMENT VALUE OF THE PROPERTY, WHICHEVER IS LESS, AND TO REQUIRE THAT THE LEASE OR RENTAL AGREEMENT SHALL SPECIFY THE MANNER IN WHICH THE CALCULATION OF THE LOSS OF REVENUE OR REPLACEMENT VALUE OF THE PROPERTY SHALL BE CALCULATED.

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

SECTION   1.   Section 22-3-10 of the 1976 Code, as last amended by Act 184 of 2002, is further amended to read:

"Section 22-3-10.   Magistrates have concurrent civil jurisdiction in the following cases:

(1)   in actions arising on contracts for the recovery of money only, if the sum claimed does not exceed seven thousand five hundred dollars;

(2)   in actions for damages for injury to rights pertaining to the person or personal or real property, if the damages claimed do not exceed seven thousand five hundred dollars;

(3)   in actions for a penalty, fine, or forfeiture, when the amount claimed or forfeited does not exceed seven thousand five hundred dollars;

(4)   in actions commenced by attachment of property, as provided by statute, if the debt or damages claimed do not exceed seven thousand five hundred dollars;

(5)   in actions upon a bond conditioned for the payment of money, not exceeding seven thousand five hundred dollars, though the penalty exceeds that sum, the judgment to be given for the sum actually due, and when the payments are to be made by installments an action may be brought for each installment as it becomes due;

(6)   in any action upon a surety bond taken by them, when the penalty or amount claimed does not exceed seven thousand five hundred dollars;

(7)   in any action upon a judgment rendered in a court of a magistrate or an inferior court when it is not prohibited by the South Carolina Rules of Civil Procedure;

(8)   to take and enter judgment on the confession of a defendant in the manner prescribed by law when the amount confessed does not exceed seven thousand five hundred dollars;

(9)   in any action for damages or for fraud in the sale, purchase, or exchange of personal property, if the damages claimed do not exceed seven thousand five hundred dollars;

(10)   in all matters between landlord and tenant and the possession of land as provided in Chapters 33 through 41 of Title 27;

(11)   in any action to recover the possession of personal property claimed, the value of which, as stated in the affidavit of the plaintiff, his agent, or attorney, does not exceed the sum of seven thousand five hundred dollars;

(12)   in all actions provided for in this section when a filed counterclaim involves a sum not to exceed seven thousand five hundred dollars, except that this limitation does not apply to counterclaims filed in matters between landlord and tenant and the possession of land; and

(13)   in interpleader actions arising from real estate contracts for the recovery of earnest money, only if the sum claimed does not exceed seven thousand five hundred dollars.; and

(14)   in actions for damages arising from a person's failure to return leased or rented personal property within seventy-two hours after the expiration of the lease or rental agreement, such damages to be based on the loss of revenue or replacement value of the property, whichever is less, if the damages claimed do not exceed seven thousand five hundred dollars; however, the lease or rental agreement must set forth the manner in which the amount of the loss of revenue or replacement value of the item leased or rented is calculated."

SECTION   2.   The repeal or amendment by this act of any law, whether temporary or permanent or civil or criminal, does not affect pending actions, rights, duties, or liabilities founded thereon, or alter, discharge, release, or extinguish any penalty, forfeiture, or liability incurred under the repealed or amended law, unless the repealed or amended provision shall so expressly provide. After the effective date of this act, all laws repealed or amended by this act must be taken and treated as remaining in full force and effect for the purpose of sustaining any pending or vested right, civil action, special proceeding, criminal prosecution, or appeal existing as of the effective date of this act, and for the enforcement of rights, duties, penalties, forfeitures, and liabilities as they stood under the repealed or amended laws.

SECTION   3.   This act takes effect upon approval by the Governor./

Renumber sections to conform.

Amend title to conform.

Senator RITCHIE explained the committee amendment.

The committee amendment was adopted.

Senator MATTHEWS objected to further consideration of the Bill.

RECOMMITTED

H. 3355 (Word version) -- Reps. Townsend and Stille: A BILL TO PROVIDE THAT BEGINNING WITH SCHOOL YEAR 2003-2004, THE STARTING DATE AND ENDING DATE FOR THE ANNUAL SCHOOL TERM OF SCHOOL DISTRICT NO. 3 OF ANDERSON COUNTY MUST BE SET BY THE BOARD OF TRUSTEES OF THE DISTRICT IN ITS SOLE DISCRETION PROVIDED THAT THE ANNUAL SCHOOL TERM MUST COMPLY WITH ALL REQUIREMENTS OF SECTION 59-1-420 RELATING TO LENGTH OF THE SCHOOL TERM.

On motion of Senator HAYES, the Bill was recommitted to the Committee on Education.

H. 3994 (Word version) -- Education and Public Works Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE BOARD OF EDUCATION, RELATING TO CREATING MORE EFFECTIVE PARTNERSHIPS AMONG THE SCHOOLS, PARENTS, COMMUNITY AND BUSINESS, DESIGNATED AS REGULATION DOCUMENT NUMBER 2750, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

On motion of Senator HAYES, the Joint Resolution was recommitted to the Committee on Education.

COMMITTED

H. 3256 (Word version) -- Reps. Kirsh, Simrill and Richardson: A BILL TO PROVIDE THAT BEGINNING WITH SCHOOL YEAR 2003-2004, THE STARTING DATE AND ENDING DATE FOR THE ANNUAL SCHOOL TERM OF YORK COUNTY SCHOOL DISTRICTS ONE THROUGH FOUR MUST BE SET BY THE BOARD OF TRUSTEES OF EACH RESPECTIVE DISTRICT IN THEIR SOLE DISCRETION PROVIDED THAT THE ANNUAL SCHOOL TERM MUST COMPLY WITH ALL REQUIREMENTS OF SECTION 59-1-420 RELATING TO LENGTH OF THE SCHOOL TERM.

On motion of Senator HAYES, the Bill was committed to the Committee on Education.

ADOPTED

S. 916 (Word version) -- Senators Richardson, Alexander, Anderson, Branton, Courson, Cromer, Drummond, Elliott, Fair, Ford, Giese, Glover, Gregory, Grooms, Hawkins, Hayes, Hutto, Jackson, Knotts, Kuhn, Land, Leatherman, Leventis, Malloy, Martin, Matthews, McConnell, McGill, Mescher, Moore, O'Dell, Patterson, Peeler, Pinckney, Rankin, Ravenel, Reese, Ritchie, Ryberg, Setzler, Short, J. Verne Smith, Thomas, Verdin and Waldrep: A CONCURRENT RESOLUTION TO REQUEST THAT THE DEPARTMENT OF TRANSPORTATION NAME THE OVERPASS THAT CROSSES SPANISH WELLS ROAD ALONG THE CROSS ISLAND PARKWAY ON HILTON HEAD ISLAND THE "AMBASSADOR JOHN C. WEST OVERPASS" AND TO ERECT APPROPRIATE MARKERS OR SIGNS AT THIS OVERPASS WHICH CONTAIN THE WORDS "AMBASSADOR JOHN C. WEST OVERPASS".

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

CARRIED OVER

H. 3080 (Word version) -- Reps. Easterday and Hinson: A BILL TO AMEND TITLE 58, CHAPTER 3, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE PUBLIC SERVICE COMMISSION, BY ADDING SECTION 58-3-230 SO AS TO PROHIBIT THE UNAUTHORIZED CHANGE OF A CUSTOMER'S UTILITY SERVICE PROVIDER, TO REQUIRE THAT THE AUTHORIZATION BE OBTAINED PURSUANT TO APPROPRIATE STATE AND FEDERAL REGULATIONS, TO PROVIDE THAT THE AUTHORIZATION FOLLOWS THE CUSTOMER, AND TO ESTABLISH PENALTIES.

On motion of Senator HUTTO, with unanimous consent, the Bill was carried over.

S. 856 (Word version) -- Senator Hawkins: A BILL TO PROVIDE THAT A CERTAIN PORTION OF THE ROADSIDE OF INTERSTATE HIGHWAY 26 IN SPARTANBURG COUNTY MAY BE MOWED BEYOND THIRTY FEET FROM THE PAVEMENT.

On motion of Senator MARTIN, with unanimous consent, the Bill was carried over.

MOTION ADOPTED

On motion of Senator MESCHER, with unanimous consent, the Senate stood adjourned out of respect to the memory of Mr. George A. "Brick" Worth, age 83, of Moncks Corner, S.C., retired U. S. Army Major and retired Safety Director with Santee Cooper.

Time Fixed

Senator HUTTO moved that, when the Senate adjourns on Friday, February 6, 2004, it stand adjourned to meet next Tuesday, February 10, 2004, at 12:00 Noon, which motion was adopted.

ADJOURNMENT

At 11:55 A.M., on motion of Senator MARTIN, the Senate adjourned to meet tomorrow at 11:00 A.M. under the provisions of Rule 1 for the purpose of taking up local matters and uncontested matters which have previously received unanimous consent to be taken up.

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