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

Wednesday, April 7, 2004
(Statewide Session)

Indicates Matter Stricken
Indicates New Matter

The Senate assembled at 12:00 Noon, the hour to which it stood adjourned, and was called to order by the PRESIDENT.

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

Beloved, on this Wednesday of Holy Week, hear a reassuring word through the Psalmist, Psalm 37:3:

"Trust in the Lord, and do good; so you will dwell in the land, and enjoy security."
Let us pray.

Father, You are eternal... the living God, the light of the minds that seek You, the life of our spirits that seek and find You, and the love of the souls that serve You and Your children.

We thank You for the exhortation with glowing promise of security given us through Your psalmist.

We confess our sins. We rejoice in Your forgiveness and pray that You give us alert wills to do, today, our Father's Will.
Amen.

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

MESSAGE FROM THE GOVERNOR
State of South Carolina
Office of the Governor

April 7, 2004
Mr. President and Members of the Senate:

I respectfully request withdrawal from your consideration the appointment listed below:

Respectfully,
Mark C. Sanford

Withdrawal of Statewide Appointment

Initial Appointment, South Carolina State Housing, Finance and Development Authority

Robert D. Mickle, Jr., Paragon Inc. of South Carolina, P. O. Box 1134, Columbia, S.C. 29202-1134 VICE Robert D. Burton

Appointment Withdrawn

On motion of Senator McCONNELL, the Senate acceded to the Governor's request and the Clerk was directed to return the appointment to the Governor.

MESSAGE FROM THE GOVERNOR

The following appointment was transmitted by the Honorable Mark C. Sanford:

Local Appointment

Initial Appointment, Lancaster County Magistrate, with term to commence April 30, 2002, and to expire April 30, 2006

Van K. Richardson, P. O. Box 65, Kershaw, S.C. 29067 VICE Johnny Ray Steele (retired)

REGULATIONS RECEIVED

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

Document No. 2904
Agency: Commission on Higher Education
SUBJECT: Higher Education Excellence Enhancement Program
Received by Lieutenant Governor April 7, 2004
Referred to Education Committee
Legislative Review Expiration August 5, 2004
(Subject to Sine Die Revision)

Document No. 2905
Agency: Department of Insurance
SUBJECT: Credit for Reinsurance
Received by Lieutenant Governor April 7, 2004
Referred to Banking and Insurance Committee
Legislative Review Expiration August 5, 2004
(Subject to Sine Die Revision)

Doctor of the Day

Senator RYBERG introduced Dr. Susan Key-Shan of Leesville, S.C., Doctor of the Day.

Expression of Personal Interest

Senator RYBERG rose for an Expression of Personal Interest.

Motion Granted

On motion of Senator McCONNELL, with unanimous consent, Senators THOMAS and SHORT were granted leave to attend a subcommittee meeting in the Gressette Building.

RECALLED AND ADOPTED

H. 5082 (Word version) -- Rep. Ott: A CONCURRENT RESOLUTION TO PROCLAIM APRIL 3, 2004, AS ELECTRONICS RECYCLING AWARENESS DAY IN THE STATE OF SOUTH CAROLINA AND TO RECOGNIZE THE IMPORTANCE OF RECYCLING ELECTRONICS AND THE POSITIVE EFFECTS IT WILL HAVE ON THE STATE AND THE NATION.

Senator MESCHER asked unanimous consent to make a motion to recall the Resolution from the General Committee.

There was no objection.

The Resolution was recalled from the General Committee.

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

There was no objection.

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

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

RECALLED

H. 5030 (Word version) -- Rep. Ott: A CONCURRENT RESOLUTION TO REQUEST THE DEPARTMENT OF TRANSPORTATION TO NAME THE PORTION OF SOUTH CAROLINA HIGHWAY 6 IN CALHOUN COUNTY THAT PASSES THROUGH THE TOWN OF ST. MATTHEWS, THE "T. M. 'BABE' NELSON MEMORIAL HIGHWAY" AND TO ERECT APPROPRIATE MARKERS OR SIGNS AT BOTH POINTS WHERE SOUTH CAROLINA HIGHWAY 6 CROSSES THE ST. MATTHEWS TOWN LIMIT CONTAINING THE WORDS "T. M. 'BABE' NELSON MEMORIAL HIGHWAY" IN RECOGNITION OF HIS MANY CONTRIBUTIONS TO THE TOWN OF ST. MATTHEWS, CALHOUN COUNTY, THE STATE OF SOUTH CAROLINA, AND THIS NATION.

Senator JACKSON asked unanimous consent to make a motion to recall the Resolution from the Committee on Transportation.

There was no objection.

The Resolution was recalled from the Transportation Committee and ordered placed on the Calendar for consideration.

INTRODUCTION OF BILLS AND RESOLUTIONS

The following were introduced:

S. 1129 (Word version) -- Senator Leatherman: A SENATE RESOLUTION TO CONGRATULATE AND COMMEND MCLEOD REGIONAL MEDICAL CENTER IN FLORENCE, SOUTH CAROLINA, AND TWENTY-FOUR OF ITS REGISTERED NURSES UPON RECEIVING THE PRESTIGIOUS 2004 PALMETTO GOLD AWARD.
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The Senate Resolution was adopted.

S. 1130 (Word version) -- Senators McConnell and Ford: A BILL TO REPEAL SECTION 4-10-60, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE REQUIREMENT THAT A PORTION OF THE REVENUE IN EXCESS OF FIVE MILLION DOLLARS OF LOCAL OPTION SALES TAX REVENUE COLLECTED IN A COUNTY BE DISTRIBUTED TO OTHER COUNTIES TO PROVIDE THE MINIMUM DISTRIBUTION IN COUNTIES WHERE REVENUES OF THIS TAX ARE LESS THAN THE MINIMUM DISTRIBUTION, AND TO MAKE THIS REPEAL EFFECTIVE JULY 1, 2010.
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Read the first time and referred to the Committee on Finance.

S. 1131 (Word version) -- Senators Pinckney, Matthews, Glover, Ford, Drummond, Malloy, Hutto, Short, Giese, McConnell, Land, Anderson, Patterson, McGill and Knotts: A BILL TO AMEND SECTION 59-150-370, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO HOPE SCHOLARSHIPS, SO AS TO PROVIDE THAT THE SCHOLARSHIP BE AUTOMATICALLY FUNDED FROM THE GENERAL FUND TO THE EXTENT REQUIRED TO PROVIDE THE SCHOLARSHIP TO ALL ELIGIBLE RECIPIENTS.
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Read the first time and referred to the Committee on Finance.

S. 1132 (Word version) -- Senator Peeler: A JOINT RESOLUTION TO DIRECT THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL TO CEASE ISSUING NEW AMBULANCE LICENSES UNTIL THE DEPARTMENT HAS THE NECESSARY PERSONNEL TO ENFORCE EXISTING LICENSURE REQUIREMENTS AND TO PROVIDE LICENSURE RENEWAL REQUIREMENTS.
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Read the first time and referred to the Committee on Medical Affairs.

S. 1133 (Word version) -- Senator Waldrep: A BILL TO AMEND SECTIONS 59-26-30 AND 59-26-40, CODE OF LAWS OF SOUTH CAROLINA, 1976, BOTH RELATING TO TEACHER ASSESSMENTS AND TEACHER CERTIFICATION, SO AS TO CHANGE REFERENCES FROM STUDENT TEACHERS TO TEACHER CANDIDATES, TO REMOVE PROVISIONAL CONTRACTS FROM THE TYPES OF CONTRACTS UNDER WHICH TEACHERS MAY BE EMPLOYED, TO PROVIDE THAT CONTINUING CONTRACT TEACHERS MUST BE EVALUATED ON A CONTINUOUS BASIS, TO PROVIDE WHEN A TEACHER MAY RECEIVE DIAGNOSTIC ASSISTANCE, AND TO FURTHER PROVIDE FOR THE REQUIREMENTS OF ANNUAL CONTRACT TEACHERS.
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Read the first time and referred to the Committee on Education.

S. 1134 (Word version) -- Senators Jackson, Alexander, Anderson, Branton, Courson, Cromer, Drummond, Elliott, Fair, Ford, Giese, Glover, Gregory, Grooms, Hawkins, Hayes, Hutto, Knotts, Kuhn, Land, Leatherman, Leventis, Malloy, Martin, Matthews, McConnell, McGill, Mescher, Moore, O'Dell, Patterson, Peeler, Pinckney, Rankin, Ravenel, Reese, Richardson, Ritchie, Ryberg, Setzler, Sheheen, Short, J. Verne Smith, Thomas, Verdin and Waldrep: A CONCURRENT RESOLUTION TO COMMEND AND CONGRATULATE DR. DAVID HOLMES SWINTON ON THE OCCASION OF THE CELEBRATION OF HIS TENTH ANNIVERSARY AS PRESIDENT OF BENEDICT COLLEGE, AND TO WISH HIM CONTINUED SUCCESS AS HE LEADS THIS HISTORIC INSTITUTION OF HIGHER EDUCATION.
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The Concurrent Resolution was adopted, ordered sent to the House.

S. 1135 (Word version) -- Senator Verdin: A SENATE RESOLUTION TO RECOGNIZE AND CONGRATULATE REBECCA W. JOHNSON OF CLINTON ON THE OCCASION OF HER 102ND BIRTHDAY, THURSDAY, APRIL 8, 2004, AND TO WISH HER MANY ADDITIONAL BIRTHDAYS.
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The Senate Resolution was adopted.

S. 1136 (Word version) -- Senators Leventis and Land: A BILL TO AMEND ACT 741 OF 1990, AS AMENDED, AND ACT 620 OF 1992, AS AMENDED, BOTH RELATING TO ELECTION OF THE SUMTER COUNTY SCHOOL DISTRICT BOARDS OF TRUSTEES, SO AS TO CHANGE THE FILING DATES FOR THE CANDIDATES TO FILE BY AUGUST FIFTEENTH TO CONFORM TO STATE LAW AND CHANGE REFERENCES FROM THE COUNTY ELECTION COMMISSION TO THE REGISTRATION AND ELECTIONS COMMISSION.
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Read the first time and ordered placed on the Local and Uncontested Calendar.

S. 1136--Ordered to a Second and Third Reading

On motion of Senator LEVENTIS, with unanimous consent, S. 1136 was ordered to receive a second and third reading on the next two consecutive legislative days.

S. 1137 (Word version) -- Senator Malloy: A SENATE RESOLUTION TO CONGRATULATE ELLEN TOLLISON HAYDEN UPON THE OCCASION OF HER RETIREMENT AS THE EXECUTIVE DIRECTOR OF THE SOUTH CAROLINA GOVERNOR'S SCHOOL OF SCIENCE AND MATHEMATICS FOUNDATION AND TO WISH HER MUCH SUCCESS AND HAPPINESS IN ALL OF HER FUTURE ENDEAVORS.
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The Senate Resolution was adopted.

REPORTS OF STANDING COMMITTEES

Senator LEATHERMAN from the Committee on Finance submitted a favorable with amendment report on:

S. 784 (Word version) -- Senator Leatherman: A BILL TO AMEND SECTIONS 11-49-60 AND 11-49-150, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEFINITIONS FOR PURPOSES OF THE TOBACCO SETTLEMENT REVENUES MANAGEMENT AUTHORITY ACT AND THE CONSENT OF THE GENERAL ASSEMBLY TO THE MASTER SETTLEMENT AGREEMENT AND THE RESTRICTIONS ON AMENDMENTS TO THE AGREEMENT, SO AS TO DELETE REFERENCES TO GENERAL ASSEMBLY APPROVAL OF MASTER SETTLEMENT AGREEMENT AMENDMENTS BY THE GOVERNING BODY OF THE TOBACCO SETTLEMENT REVENUE MANAGEMENT AUTHORITY AND TO ALLOW THE GOVERNING BOARD OF THE AUTHORITY TO APPROVE AGREEMENT AMENDMENTS ON BEHALF OF THE STATE IF THE AMENDMENTS DO NOT DIMINISH THE RIGHTS AND REMEDIES OF THE AUTHORITY, BOND HOLDERS, OR OUTSTANDING BONDS.

Ordered for consideration tomorrow.

Senator KNOTTS from the Committee on Judiciary submitted a majority favorable with amendment and Senator GLOVER a minority unfavorable report on:

S. 810 (Word version) -- Senators Knotts and Ford: A BILL TO AMEND SECTION 23-6-440, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE ISSUANCE OF CERTIFICATES AND OTHER APPROPRIATE INDICIA OF COMPLIANCE AND QUALIFICATION TO LAW ENFORCEMENT OFFICERS OR OTHER PERSONS TRAINED BY THE DEPARTMENT OF PUBLIC SAFETY'S DIVISION OF TRAINING AND CONTINUING EDUCATION, SO AS TO REVISE THE TYPE OF EVIDENCE RELATING TO CRIMINAL CONVICTIONS THAT AN EMPLOYER OF A LAW ENFORCEMENT OFFICER MUST PROVIDE TO THE DEPARTMENT REGARDING ANY OFFICER WHO IS A CANDIDATE FOR CERTIFICATION; AND TO AMEND SECTION 24-21-1000, RELATING TO A CERTIFICATE OF PARDON ISSUED TO A PERSON WHO IS GRANTED A PARDON, SO AS TO PROVIDE THAT PARDONED CRIMES AND CONVICTIONS MAY BE USED TO ENHANCE CERTAIN SUBSEQUENT OFFENSES.

Ordered for consideration tomorrow.

Senator LEATHERMAN from the Committee on Finance submitted a majority favorable with amendment and Senator PINCKNEY a minority unfavorable report on:

S. 917 (Word version) -- Senators McConnell, Moore, Land, Rankin, Richardson, Elliott, McGill, Kuhn and Knotts: 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.

Ordered for consideration tomorrow.

Senator FAIR from the Committee on Judiciary submitted a favorable with amendment report on:

S. 965 (Word version) -- Senators Fair, Cromer, Thomas and Martin: A BILL TO AMEND SECTION 20-7-7205, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO, AMONG OTHER THINGS, PROCEDURES FOR TAKING A CHILD INTO CUSTODY FOR A CRIMINAL VIOLATION AND THE DEPARTMENT OF JUVENILE JUSTICE DETENTION PROCEDURES, SO AS TO AUTHORIZE THE DEPARTMENT TO RENDER DETENTION SCREENING SERVICES BY TELEPHONE; TO AMEND SECTION 20-7-7210, AS AMENDED, RELATING TO, AMONG OTHER THINGS, THE PROHIBITION AGAINST CONFINING JUVENILES IN AN ADULT JAIL AND EXCEPTIONS TO THAT PROHIBITION, SO AS TO INCLUDE IN THE EXCEPTIONS, A JUVENILE CHARGED AS AN ADULT WITH A CLASS A, B, C, OR D FELONY; TO AMEND SECTION 20-7-7405, RELATING TO DEPARTMENT OF JUVENILE JUSTICE INTAKE AND PROBATION SERVICES, SO AS TO DELETE THE PROVISION REQUIRING THE BOARD OF JUVENILE PAROLE TO REVIEW AND APPROVE POLICIES RELATING TO THE PROVISION OF INTAKE SERVICES BY THE DEPARTMENT OF JUVENILE JUSTICE; TO AMEND SECTION 20-7-7810, AS AMENDED, RELATING TO THE COMMITMENT OF JUVENILES ADJUDICATED DELINQUENT, SO AS TO PROVIDE THAT THE COURT MAY ORDER A COMMUNITY EVALUATION TO BE CONDUCTED BY THE DEPARTMENT OF JUVENILE JUSTICE AND THAT SUCH EVALUATION IS EQUIVALENT TO A SECURE RESIDENTIAL EVALUATION AND TO AUTHORIZE THE COURT TO WAIVE THE EVALUATION OF A JUVENILE ADJUDICATED DELINQUENT FOR COMMITTING A VIOLENT OFFENSE, THE OFFENSE OF ASSAULT AND BATTERY OF A HIGH AND AGGRAVATED NATURE, OR STRONG ARM ROBBERY BEFORE COMMITMENT OF THAT JUVENILE TO THE DEPARTMENT OF JUVENILE JUSTICE; AND TO REPEAL SECTION 20-7-1335, RELATING TO PROCEDURES FOR AND CIRCUMSTANCES UNDER WHICH JUVENILE RECORDS MAY BE DESTROYED AND CIRCUMSTANCES PROHIBITING THE DESTRUCTION OF SUCH RECORDS.

Ordered for consideration tomorrow.

Senator MOORE from the Committee on Judiciary submitted a favorable with amendment report on:

S. 997 (Word version) -- Senator Moore: A BILL TO AMEND SECTION 16-17-420 OF THE CODE OF LAWS OF SOUTH CAROLINA, 1976, TO CHANGE THE MISDEMEANOR PENALTY FOR BEING FOUND GUILTY OF INTERFERING WITH OR DISTURBING STUDENTS OR TEACHERS, LOITERING, OR ACTING OBNOXIOUS, ON THE GROUNDS OF ANY SCHOOL OR COLLEGE IN THIS STATE OR BEING ON THE PREMISE WITHOUT PERMISSION EXCEPT ON BUSINESS TO A FINE OF NOT LESS THAN $100 NOR MORE THAN $1,000 OR IMPRISONMENT IN A COUNTY JAIL FOR NOT MORE THAN THIRTY DAYS.

Ordered for consideration tomorrow.

Senator MARTIN from the Committee on Judiciary submitted a favorable with amendment report on:

S. 1058 (Word version) -- Senators Martin and Richardson: A BILL TO AMEND SECTION 15-49-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE APPLICATION FOR A CHANGE OF A MINOR CHILD'S NAME, SO AS TO PROVIDE THAT A FAMILY COURT JUDGE MAY APPOINT A GUARDIAN AD LITEM AND TO PROVIDE AN EXCEPTION.

Ordered for consideration tomorrow.

Senator SHEHEEN from the Committee on Judiciary submitted a favorable report on:

H. 4686 (Word version) -- Rep. G.M. Smith: A BILL TO AMEND SECTION 22-3-545, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE TRANSFER OF CERTAIN CRIMINAL CASES FROM GENERAL SESSIONS COURT TO A MAGISTRATE OR MUNICIPAL COURT, SO AS TO INCREASE THE MAXIMUM MONETARY PENALTY FOR WHICH A CRIME IN A CASE DOES NOT EXCEED FOR IT TO BE TRANSFERRED FROM GENERAL SESSIONS COURT TO A MAGISTRATE OR MUNICIPAL COURT.

Ordered for consideration tomorrow.

Senator LEATHERMAN from the Committee on Finance submitted a favorable with amendment report on:

H. 4475 (Word version) -- Reps. Harrell, W.D. Smith, Wilkins, Altman, Bingham, Ceips, Chellis, Clark, Cotty, Davenport, Edge, Frye, Gilham, Hagood, Hamilton, Harrison, Haskins, Hinson, Huggins, Koon, Leach, Limehouse, Littlejohn, Mahaffey, Martin, Merrill, E.H. Pitts, Quinn, Rice, Richardson, Simrill, D.C. Smith, G.M. Smith, G.R. Smith, J.R. Smith, Stewart, Stille, Taylor, Toole, Townsend, Tripp, Umphlett, Vaughn, Walker, White, Witherspoon, Young, Sandifer, Kirsh, Owens, Whitmire, Cato, Coates, Ott, Sinclair, Keegan, McGee, Perry, J.M. Neal, Emory, Pinson, Barfield, R. Brown, Weeks, Branham, Bailey, Battle, Neilson, Clemmons, Viers and Harvin: A BILL TO ENACT THE FISCAL DISCIPLINE PLAN OF 2004 BY DESIGNATING SECTION 6 OF ACT 356 OF 2002, RELATING TO ACTIONS NECESSARY FOR THE STATE BUDGET AND CONTROL BOARD TO COVER AN OPERATING DEFICIT, AS SECTION 11-11-180, CODE OF LAWS OF SOUTH CAROLINA, 1976, AND AMENDING IT TO REQUIRE AN OPERATING DEFICIT TO BE PLACED FIRST ON THE AGENDA OF THE STATE BUDGET AND CONTROL BOARD AT THE FIRST BOARD MEETING FOLLOWING THE COMPTROLLER GENERAL'S REPORT OF THE DEFICIT TO THE BOARD, BY PROVIDING FOR THE REPAYMENT OF THE ACCUMULATED STATE OPERATING DEFICIT AND LIMITING GENERAL FUND APPROPRIATIONS GROWTH TO THREE PERCENT IN FISCAL YEARS 2003-2004 THROUGH 2008-2009 AND PROVIDING FOR THE USE OF SURPLUS REVENUES, AND TO PROVIDE THAT DURING THE SAME PERIOD ANNUALLY REQUIRED TRANSFERS TO THE GENERAL RESERVE FUND MUST BE CONSIDERED RECURRING GENERAL FUND APPROPRIATIONS.

Ordered for consideration tomorrow.

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 MARTIN, with unanimous consent, the Bill was carried over until the completion of the Uncontested Calendar.

RECESS

At 12:36 P.M., on motion of Senator MARTIN, the Senate receded from business until 2:00 P.M.

AFTERNOON SESSION

The Senate reassembled at 2:07 P.M. and was called to order by the PRESIDENT.

ACTING PRESIDENT PRESIDES

At 2:07 P.M., Senator MARTIN assumed the Chair.

Point of Quorum

At 2:08 P.M., Senator McCONNELL made the point that a quorum was not present. It was ascertained that a quorum was not present.

Call of the Senate

Senator McCONNELL moved that a Call of the Senate be made. The following Senators answered the Call:

Alexander                 Anderson                  Courson
Cromer                    Drummond                  Elliott
Ford                      Giese                     Glover
Gregory                   Grooms                    Hawkins
Hayes                     Hutto                     Jackson
Knotts                    Kuhn                      Land
Leatherman                Leventis                  Malloy
Martin                    Matthews                  McConnell
Mescher                   Moore                     O'Dell
Patterson                 Peeler                    Rankin
Ravenel                   Reese                     Richardson
Ritchie                   Ryberg                    Setzler
Sheheen                   Short                     Smith, J. Verne
Thomas                    Verdin                    Waldrep

A quorum being present, the Senate resumed.

Recorded Presence

Senators FAIR, McGILL and J. VERNE SMITH recorded their presence subsequent to the Call of the Senate.

PRESIDENT PRESIDES

At 2:11 P.M., the PRESIDENT assumed the Chair.

MOTIONS ADOPTED
Motion Adopted

Senator McCONNELL moved that, when the Senate stands adjourned on Wednesday, April 7, 2004, the Senate will stand adjourned to meet on Thursday, April 8, 2004, subject to the times and limitations set forth in Rule 1B.

There was no objection and the motion was adopted.

Sense of the Senate Adopted

Senator McCONNELL moved that it be the Sense of the Senate that the Senate offices be closed on Friday, April 9, 2004.

There was no objection and the Sense of the Senate motion was adopted.

Motion Adopted

Senator McCONNELL moved that, when the Senate stands adjourned on Thursday, April 8, 2004, the Senate would stand adjourned to meet Monday, April 12, 2004, 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.

There was no objection and the motion was adopted.

Motion Adopted

Senator McCONNELL moved that, when the Senate adjourns on Monday, April 12, 2004, it stand adjourned to meet next Tuesday, April 13, 2004, at 12:00 Noon.

There was no objection and the motion was adopted.

Motion Adopted

On motion of Senator PEELER, with unanimous consent, Senators PEELER, HAYES, SETZLER, LAND and GROOMS were granted leave to attend a subcommittee meeting of the Finance Committee, to be counted in any quorum calls and be granted leave to vote from the balcony.

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

ORDERED ENROLLED FOR RATIFICATION

The following Bills and Joint Resolutions were read the third time and, having received three readings in both Houses, it was ordered that the titles be changed to that of Acts and enrolled for Ratification:

H. 4919 (Word version) -- Rep. Jennings: A JOINT RESOLUTION TO PROVIDE THAT SCHOOL DAYS MISSED ON JANUARY 27, 2004, AND FEBRUARY 26 AND 27, 2004, BY THE STUDENTS OF SCHOOLS IN THE SCHOOL DISTRICT OF MARLBORO COUNTY WHEN THE SCHOOLS WERE CLOSED DUE TO ICE OR INCLEMENT WEATHER CONDITIONS ARE EXEMPTED FROM THE MAKE-UP REQUIREMENT THAT FULL SCHOOL DAYS MISSED DUE TO EXTREME WEATHER OR OTHER CIRCUMSTANCES BE MADE UP.

By prior motion of Senator GLOVER, with unanimous consent

H. 4923 (Word version) -- Reps. Hosey, Govan, Rhoad and Bowers: A JOINT RESOLUTION TO PROVIDE THAT SCHOOL DAYS MISSED ON JANUARY 27 AND 28, 2004, BY THE STUDENTS OF A SCHOOL IN BARNWELL COUNTY SCHOOL DISTRICT NOS. 19, 29, AND 45 WHEN THE SCHOOL WAS CLOSED DUE TO ICE OR INCLEMENT WEATHER CONDITIONS ARE EXEMPTED FROM THE MAKE-UP REQUIREMENT THAT FULL SCHOOL DAYS MISSED DUE TO EXTREME WEATHER OR OTHER CIRCUMSTANCES BE MADE UP.

By prior motion of Senator HUTTO, with unanimous consent

H. 3636 (Word version) -- Reps. Snow, G. Brown, Coates, Cobb-Hunter, J. Hines, Kennedy, Martin, J.H. Neal, Sandifer, G.M. Smith, Weeks, Whitmire and McLeod: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 16-11-960 SO AS TO PROVIDE THAT A PERSON OR GROUP ENGAGING IN A MUSICAL PRODUCTION OR PERFORMANCE MAY UTILIZE THE NAME OF ANOTHER PERSON OR GROUP IF THAT PERSON OR ONE MEMBER OF THE GROUP UTILIZING THE NAME PERFORMED A SIGNIFICANT ROLE IN THE RECORDINGS OF THE PERSON OR GROUP WHOSE NAME IS BEING UTILIZED, TO DEFINE "SIGNIFICANT ROLE" FOR PURPOSES OF THIS SECTION, TO PROVIDE FOR PERFORMANCE OF A "SALUTE" OR "TRIBUTE" ONLY BY A PERSON OR GROUP THAT DID NOT PERFORM A SIGNIFICANT ROLE IN THE RECORDINGS OF A PERSON OR GROUP WHOSE NAME IS BEING UTILIZED, AND TO PROVIDE THAT A PERSON OR GROUP UTILIZING THE NAME OF ANOTHER PERSON OR GROUP THAT DID NOT PERFORM A SIGNIFICANT ROLE IN THE RECORDINGS OF THE PERSON OR GROUP SHALL AFFIRMATIVELY DISCLOSE THAT THEY DID NOT PERFORM A SIGNIFICANT ROLE IN THE PRODUCTION OR RELEASE OF THE RECORDINGS OR WITH THE PERSON OR GROUP WHO PRODUCED AND RELEASED THE RECORDINGS, AND TO PROVIDE PENALTIES FOR VIOLATIONS OF THIS SECTION.

H. 4028 (Word version) -- Reps. Cotty and McGee: A BILL TO AMEND SECTION 43-26-90, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO BUILDINGS NOT SUBJECT TO THE RULES OF OPERATION OF VENDING FACILITIES BY THE COMMISSION FOR THE BLIND, SO AS TO EXCLUDE THE SOUTH CAROLINA STATE MUSEUM.

H. 4453 (Word version) -- Reps. Sheheen, Jennings, Altman, McLeod and Weeks: A BILL TO AMEND SECTION 19-1-150, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE LIFE EXPECTANCY TABLE FOR CIVIL LITIGATION, SO AS TO UPDATE THE TABLE USING THE 2001 COMMISSIONERS STANDARD ORDINARY MORTALITY TABLE.

H. 4723 (Word version) -- Reps. Loftis, Vaughn, Cato, Allen, Altman, Bales, Barfield, Battle, Branham, J. Brown, Davenport, Hamilton, Haskins, M. Hines, Hosey, Jennings, Leach, McCraw, Owens, Perry, Rice, D.C. Smith, F.N. Smith, G.R. Smith, J.R. Smith, Tripp, Wilkins and Mahaffey: A BILL TO AMEND SECTION 12-28-2740, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DISTRIBUTION OF THE GASOLINE USER FEES AMONG THE VARIOUS COUNTIES AND COUNTY TRANSPORTATION COMMITTEES ENTITLED TO EXPEND 'C' FUNDS, SO AS TO CHANGE THE NAME OF A COUNTY TRANSPORTATION COMMITTEE TO THE LEGISLATIVE DELEGATION TRANSPORTATION COMMITTEE OF THE PARTICULAR COUNTY.

H. 4823 (Word version) -- Reps. Harrison, Merrill, Altman, Clemmons, Hagood, Haskins, Jennings, Rutherford, Scott, Simrill, Sinclair, J.E. Smith, Talley, Taylor and Delleney: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 11-47-40 SO AS TO PROVIDE FOR AN AUTOMATIC STAY OF EXECUTION DURING APPELLATE REVIEW OF A JUDGMENT IN A CIVIL ACTION INVOLVING A PARTY TO THE MASTER SETTLEMENT AGREEMENT ENTERED INTO IN CONNECTION WITH THE TOBACCO ESCROW FUND ACT AND TO AMEND SECTION 18-9-130, RELATING TO THE EFFECT OF NOTICE OF APPEAL ON EXECUTION OF JUDGMENT, SO AS TO REFLECT THE AUTOMATIC STAY OF EXECUTION IN THOSE CIRCUMSTANCES.

H. 5057 (Word version) -- Reps. Stille, M.A. Pitts and Townsend: A JOINT RESOLUTION TO PROVIDE THAT THE SCHOOL DAY MISSED ON FEBRUARY 27, 2004, BY THE STUDENTS OF A SCHOOL IN THE ABBEVILLE COUNTY SCHOOL DISTRICT WHEN THE SCHOOL WAS CLOSED DUE TO SNOW, ICE, OR INCLEMENT WEATHER CONDITIONS IS FORGIVEN FROM THE MAKE-UP REQUIREMENT THAT FULL SCHOOL DAYS MISSED DUE TO EXTREME WEATHER OR OTHER CIRCUMSTANCES BE MADE UP.

H. 4969 (Word version) -- Reps. Talley, Anthony, Davenport, Littlejohn, Mahaffey, Sinclair, W.D. Smith and Walker: A BILL TO AMEND SECTION 7-7-490, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DESIGNATION OF VOTING PRECINCTS IN SPARTANBURG COUNTY, SO AS TO REVISE CERTAIN VOTING PRECINCTS IN SPARTANBURG COUNTY AND 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.

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.

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.

H. 4626 (Word version) -- Reps. Cooper, Townsend, Thompson, Martin, Stille and White: A BILL TO AMEND SECTION 7-7-80, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DESIGNATION OF VOTING PRECINCTS IN ANDERSON COUNTY, SO AS TO ADD AND REVISE CERTAIN VOTING PRECINCTS IN ANDERSON COUNTY AND 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.

H. 4772 (Word version) -- Agriculture, Natural Resources and Environmental Affairs Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF NATURAL RESOURCES, RELATING TO WILDLIFE MANAGEMENT AREAS AND CHRONIC WASTING DISEASE, DESIGNATED AS REGULATION DOCUMENT NUMBER 2885, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

HOUSE BILLS RETURNED

The following House Bills were read the third time and ordered returned to the House with amendments:

H. 3594 (Word version) -- Reps. Jennings, Harrison, F.N. Smith, Lucas, G.M. Smith, Hagood, Lourie, McLeod, Bingham, Owens, Scott, Whipper, Delleney and Toole: A BILL TO AMEND SECTION 23-3-620, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO REQUIRING CERTAIN OFFENDERS TO PROVIDE A SAMPLE FROM WHICH DEOXYRIBONUCLEIC ACID (DNA) MAY BE OBTAINED, SO AS TO PROVIDE THAT BEGINNING JULY 1, 2003, RATHER THAN REQUIRING ONLY CERTAIN OFFENDERS TO PROVIDE A DNA SAMPLE, ALL PERSONS CONVICTED OR ADJUDICATED DELINQUENT FOR ANY FELONY MUST PROVIDE SUCH A SAMPLE AND TO INCLUDE PROVISIONS FOR OBTAINING SAMPLES FROM THOSE CONVICTED OR ADJUDICATED DELINQUENT FELONS PRIOR TO THIS ACT'S EFFECTIVE DATE WHO ARE SERVING A TERM OF CONFINEMENT ON THIS ACT'S EFFECTIVE DATE.

H. 3235 (Word version) -- Reps. Harrison, Altman, Bailey, Bales, Talley, Kirsh, Clemmons and Cotty: A BILL TO AMEND SECTION 1-23-500, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE CREATION OF THE ADMINISTRATIVE LAW JUDGE DIVISION, SO AS TO CHANGE THE NAME OF THE DIVISION TO THE "SOUTH CAROLINA ADMINISTRATIVE LAW COURT", AND TO DIRECT THE CODE COMMISSIONER TO CHANGE ALL REFERENCES TO "ADMINISTRATIVE LAW JUDGE DIVISION" TO "ADMINISTRATIVE LAW COURT" IN THE 1976 CODE; AND TO AMEND SECTION 1-23-600, AS AMENDED, RELATING TO HEARINGS AND PROCEEDINGS BEFORE THE ADMINISTRATIVE LAW COURT, SO AS TO PROVIDE THAT ALL REQUESTS FOR A HEARING BEFORE THE COURT MUST BE FILED IN ACCORDANCE WITH THE COURT'S RULES OF PROCEDURE.

H. 4451 (Word version) -- Reps. G.M. Smith, Altman, Clark and Owens: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 16-15-342 SO AS TO CREATE THE OFFENSE OF CRIMINAL SOLICITATION OF A MINOR AND TO PROVIDE PENALTIES; TO AMEND SECTIONS 14-7-1610 AND 14-7-1630, BOTH AS AMENDED, BOTH RELATING TO THE JURISDICTION OF A STATE GRAND JURY, SO AS TO ELIMINATE THE REQUIREMENT THAT AN OBSCENITY CRIME MUST BE MULTI-COUNTY IN NATURE OR MUST TRANSPIRE IN MORE THAN ONE COUNTY FOR THE STATE GRAND JURY TO HAVE JURISDICTION; TO AMEND SECTION 16-15-445, RELATING TO THE SEIZURE OF EQUIPMENT USED IN THE COMMISSION OF AN OBSCENITY CRIME INVOLVING A MINOR, SO AS TO INCLUDE A REFERENCE TO SECTIONS 16-15-410 AND 16-15-342; TO AMEND SECTION 16-15-335, RELATING TO HIRING A MINOR TO VIOLATE OBSCENITY LAWS, SO AS TO INCREASE THE PENALTY; TO AMEND SECTION 16-15-345, RELATING TO THE DISSEMINATION OF OBSCENITY TO A PERSON UNDER EIGHTEEN, SO AS TO INCREASE THE PENALTY; TO AMEND SECTION 16-15-355, RELATING TO THE DISSEMINATION OF OBSCENITY TO A PERSON UNDER TWELVE, SO AS TO INCREASE THE PENALTY; TO AMEND SECTION 16-15-385, RELATING TO THE DISSEMINATION OF HARMFUL MATERIAL TO A MINOR, SO AS TO INCREASE THE PENALTY; TO AMEND SECTION 16-15-387, RELATING TO THE EMPLOYMENT OF A PERSON UNDER EIGHTEEN TO APPEAR IN PUBLIC IN A STATE OF SEXUALLY EXPLICIT NUDITY, SO AS TO INCREASE THE PENALTY; TO AMEND SECTION 16-15-395, RELATING TO FIRST DEGREE SEXUAL EXPLOITATION OF A MINOR, SO AS TO INCREASE THE MINIMUM AND MAXIMUM PENALTIES; TO AMEND SECTION 16-15-405, RELATING TO SECOND DEGREE SEXUAL EXPLOITATION OF A MINOR, SO AS TO INCREASE THE MINIMUM AND MAXIMUM PENALTIES; TO AMEND SECTION 16-15-410, AS AMENDED, RELATING TO THIRD DEGREE SEXUAL EXPLOITATION OF A MINOR, SO AS TO INCREASE THE PENALTY; AND TO AMEND SECTION 16-15-415, RELATING TO PROMOTING THE PROSTITUTION OF A MINOR, SO AS TO INCREASE THE MINIMUM AND MAXIMUM PENALTIES.

AMENDED, READ THE THIRD TIME
RETURNED TO THE HOUSE

H. 4220 (Word version) -- Reps. Clemmons, Barfield, Keegan, Viers and Witherspoon: A BILL TO ALLOW THE GOVERNING BODY OF HORRY COUNTY BY ORDINANCE TO REQUIRE THE LISTING OF STRUCTURAL IMPROVEMENTS AND ANY RESULTING CHANGES IN USE FOR REAL PROPERTY WITHIN THIRTY DAYS FOLLOWING THE DAY ON WHICH THE IMPROVEMENTS ARE COMPLETED AND FIT FOR THE INTENDED USE AND PROVIDE EXCEPTIONS, AND TO MAKE TAXES ATTRIBUTABLE TO IMPROVEMENTS LISTED AFTER JUNE 30 OF THE PROPERTY TAX YEAR DUE AND PAYABLE WHEN TAXES ARE DUE AND PAYABLE ON THE PROPERTY FOR THE SUCCEEDING PROPERTY TAX YEAR.

Senator RANKIN asked unanimous consent to take the Bill up for immediate consideration.

There was no objection.

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

Senator RANKIN proposed the following amendment (GGS\ 22539HTC04), which was adopted:

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

/   SECTION   1.   (A)   Notwithstanding any other provisions of law, the governing body of a county that generates more than ten million dollars in accommodations tax in any one year by ordinance may require changes in the appraised value and use of real property attributable to structural improvements on the real property to be listed for taxation with the auditor within thirty days following the day upon which the improvements are completed and fit for the intended use.

(B)   If such an ordinance is enacted, any additional property tax attributable to improvements listed with the county auditor on or before June thirtieth is due for the succeeding period from July first to December thirty-first and payable when taxes are due on the property for that property tax year and any additional property tax attributable to improvements listed with the county auditor after June thirtieth of the property tax year is due and payable when taxes are due on the property for the succeeding property tax year.

(C)   The provisions of this section do not apply to real property assessed as manufacturing or utility property pursuant to Section 12-43-220(a) of the 1976 Code.

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

Renumber sections to conform.

Amend title to conform.

/   TO ALLOW THE GOVERNING BODY OF A COUNTY THAT GENERATES MORE THAN TEN MILLION DOLLARS IN ACCOMMODATIONS TAX BY ORDINANCE TO REQUIRE THE LISTING OF STRUCTURAL IMPROVEMENTS AND ANY RESULTING CHANGES IN USE FOR REAL PROPERTY WITHIN THIRTY DAYS FOLLOWING THE DAY ON WHICH THE IMPROVEMENTS ARE COMPLETED AND FIT FOR THE INTENDED USE AND PROVIDE EXCEPTIONS, AND TO MAKE TAXES ATTRIBUTABLE TO IMPROVEMENTS LISTED BEFORE JUNE THIRTIETH DUE FOR THE SUCCEEDING PERIOD FROM JULY FIRST TO DECEMBER THIRTY-FIRST AND PAYABLE WHEN TAXES ARE DUE ON THE PROPERTY FOR THAT PROPERTY TAX YEAR, TO MAKE TAXES ATTRIBUTABLE TO IMPROVEMENTS LISTED AFTER JUNE THIRTIETH OF THE PROPERTY TAX YEAR DUE AND PAYABLE WHEN TAXES ARE DUE AND PAYABLE ON THE PROPERTY FOR THE SUCCEEDING PROPERTY TAX YEAR. /

Senator RANKIN 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 with amendments.

THIRD READING BILLS

The following Bills and Joint Resolutions were read the third time and ordered sent to the House of Representatives:

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.

Senator RANKIN spoke on the Resolution.

S. 1085 (Word version) -- Senator Thomas: A JOINT RESOLUTION TO PROVIDE THAT THE COMMISSION ON INDIGENT DEFENSE MAY TRANSFER UNSPENT FUNDS FROM CARRY-FORWARD MONEYS FROM THE LAST FISCAL YEAR TO THE OFFICE OF APPELLATE DEFENSE TO HELP OFFSET THAT AGENCY'S BUDGET REDUCTIONS.

S. 1121 (Word version) -- Fish, Game and Forestry Committee: A BILL TO AMEND SECTION 50-11-355, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE OFFENSE OF HUNTING DEER WITHIN THREE HUNDRED YARDS OF A RESIDENCE WITHOUT PERMISSION OF THE OWNER AND OCCUPANT, TO LIMIT THIS OFFENSE TO HUNTING DEER WITH A FIREARM AND TO EXCLUDE BOTH A LANDOWNER AND HIS GUEST FROM THE PROVISION REQUIRING PERMISSION OF THE OWNER AND OCCUPANT OF A RESIDENCE PRIOR TO HUNTING DEER WITHIN THREE HUNDRED YARDS OF A RESIDENCE WHEN THE LANDOWNER AND HIS GUEST ARE HUNTING ON THE LANDOWNER'S PROPERTY.

S. 99 (Word version) -- Senators Mescher and Ravenel: A BILL TO AMEND SECTION 58-31-20 OF THE CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE PUBLIC SERVICE AUTHORITY BOARD OF DIRECTORS, SO AS TO PROVIDE THAT MEMBERS OF THE BOARD OF THE AUTHORITY APPOINTED FROM HORRY, BERKELEY, AND GEORGETOWN COUNTIES MUST BE CUSTOMERS OF THE AUTHORITY AND RESIDE IN AUTHORITY TERRITORY AND TO MAKE CERTAIN TECHNICAL CHANGES.

S. 907 (Word version) -- Senator Hayes: A BILL TO AMEND SECTION 15-49-20, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE REQUIREMENTS OF A PETITIONER SEEKING A NAME CHANGE, SO AS TO PROVIDE THAT A PETITIONER REQUESTING A NAME CHANGE MUST SIGN AN AFFIDAVIT STATING HE HAS NEVER BEEN CONVICTED OF A CRIME UNDER A DIFFERENT NAME OTHER THAN THE NAME IN WHICH HE IS MAKING THE REQUEST AND TO PROVIDE A PENALTY FOR A VIOLATION OF THE SECTION.

S. 1082 (Word version) -- Senator Cromer: A JOINT RESOLUTION TO PROVIDE THAT THE BOARDS OF TRUSTEES OF THE NEWBERRY AND SALUDA COUNTY SCHOOL DISTRICTS FOR SCHOOL YEAR 2003-2004 ARE AUTHORIZED TO FORGIVE UP TO THREE SCHOOL DAYS MISSED BY ANY SCHOOL OF THE DISTRICTS BECAUSE OF SNOW, ICE, OR EXTREME WEATHER CONDITIONS.

S. 1062 (Word version) -- Labor, Commerce and Industry Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF LABOR, LICENSING AND REGULATION, PILOTAGE COMMISSION, RELATING TO PILOT AND APPRENTICE AGE LIMITATIONS AND PILOT REGISTRATION, DESIGNATED AS REGULATION DOCUMENT NUMBER 2886, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Senator RICHARDSON asked unanimous consent to take the Joint Resolution up for immediate consideration.

There was no objection.

S. 1063 (Word version) -- Labor, Commerce and Industry Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF LABOR, LICENSING AND REGULATION, MANUFACTURED HOUSING BOARD, RELATING TO DEFINITIONS, LICENSE, FINANCIAL RESPONSIBILITY, RETAIL DEALER, INSTALLERS, TRAINING, EXAMINATIONS, COMPLAINTS AND HEARINGS, MANUFACTURED HOME INSTALLATION REQUIREMENTS, DESIGNATED AS REGULATION DOCUMENT NUMBER 2890, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

Senator RICHARDSON asked unanimous consent to take the Joint Resolution up for immediate consideration.

There was no objection.

S. 1064 (Word version) -- Labor, Commerce and Industry Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF LABOR, LICENSING AND REGULATION, BOARD OF MEDICAL EXAMINERS, RELATING TO CONTINUED COMPETENCY, DESIGNATED AS REGULATION DOCUMENT NUMBER 2891, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

S. 668 (Word version) -- Senator Ritchie: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 6-5-15, SO AS TO AUTHORIZE A BANK OR SAVINGS AND LOAN ASSOCIATION, UPON DEPOSIT OF FUNDS BY A MUNICIPALITY, COUNTY, SCHOOL DISTRICT, OTHER LOCAL GOVERNMENT UNIT OR POLITICAL SUBDIVISION, OR A COUNTY TREASURER, TO SECURE THE DEPOSITS BY DEPOSIT INSURANCE, SURETY BONDS, COLLATERAL SECURITIES, OR LETTERS OF CREDIT TO PROTECT THE LOCAL ENTITY AGAINST LOSS, AND TO PROVIDE THE REQUIREMENTS FOR SECURING DEPOSITS THAT EXCEED THE AMOUNT OF INSURANCE COVERAGE PROVIDED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION.

S. 1070 (Word version) -- Senator Grooms: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 53-3-165 SO AS TO DESIGNATE THE FIRST WEEK IN JUNE OF EACH YEAR AS SOUTH CAROLINA STATE GUARD WEEK IN SOUTH CAROLINA.

S. 774 (Word version) -- Senators McConnell, Martin and Giese: A BILL TO AMEND SECTION 15-51-40, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO WHOM DAMAGES ARE PAYABLE IN WRONGFUL DEATH CASES, SO AS TO CLARIFY A CODE CITATION AND TO PROVIDE THAT A PARENT'S SHARE OF THE PROCEEDS MAY BE DENIED OR LIMITED WHEN THE PARENT DID NOT PAY CHILD SUPPORT OR DID NOT OTHERWISE PROVIDE FOR THE NEEDS OF THE DECEDENT DURING HIS OR HER MINORITY.

S. 900 (Word version) -- Senator Martin: A BILL TO AMEND SECTION 7-15-330, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO APPLICATIONS TO VOTE AN ABSENTEE BALLOT, SO AS TO PROVIDE THAT PURSUANT TO SECTION 704 OF THE HELP AMERICA VOTE ACT, FEDERAL POST CARD APPLICATIONS MAY BE USED BY OVERSEAS AND MILITARY UNITED STATES CITIZENS FOR THE NEXT TWO REGULARLY SCHEDULED GENERAL ELECTIONS OCCURRING FROM THE DATE OF SUBMISSION OF THE APPLICATION.

S. 985 (Word version) -- Senator Alexander: A BILL TO AMEND SECTION 23-3-440, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO NOTIFICATION OF THE SHERIFF AND SLED OF THE RELEASE OF A PERSON LISTED ON THE SEX OFFENDER REGISTRY, SO AS TO ADD THAT LOCAL LAW ENFORCEMENT ALSO MUST BE NOTIFIED OF THE RELEASE.

S. 1120 (Word version) -- Senator Moore: A BILL TO AMEND ARTICLE 7, CHAPTER 6, TITLE 44, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING TO THE ARTICLE RURAL HOSPITALS FOR RECOGNITION AND DESIGNATION AND TO DEFINE RURAL HOSPITALS.

S. 38 (Word version) -- Senator Knotts: A BILL TO AMEND SECTION 44-56-200, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE AUTHORITY OF THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL TO ENFORCE THE PROVISIONS OF THE FEDERAL COMPREHENSIVE ENVIRONMENTAL RESPONSE, COMPREHENSION AND LIABILITY ACT OF 1980, SO AS TO ADOPT THE FEDERAL EMERGENCY PLANNING AND COMMUNITY RIGHT TO KNOW ACT OF 1986 AS THE LAW OF THIS STATE AND TO REQUIRE AN OWNER OF A FACILITY RECEIVING CERTAIN HAZARDOUS CHEMICALS TO PROVIDE MATERIAL SAFETY DATA SHEETS TO THE DEPARTMENT WITHIN THREE BUSINESS DAYS AFTER RECEIVING THESE CHEMICALS IF NO SUCH SHEETS HAVE BEEN PREVIOUSLY REPORTED.

AMENDED, READ THE THIRD TIME, SENT TO THE HOUSE

S. 687 (Word version) -- Senator J. Verne Smith: A BILL TO AMEND CHAPTER 2, TITLE 40, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE LICENSURE AND REGULATION OF ACCOUNTANTS, SO AS TO CONFORM THIS 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 ACCOUNTANTS INCLUDING, BUT NOT LIMITED TO, REVISING THE COMPOSITION OF THE BOARD TO CONTAIN THREE RATHER THAN TWO MEMBERS OF THE PUBLIC, CLARIFYING THE SCOPE OF PRACTICE OF ACCOUNTANTS, FURTHER SPECIFYING EDUCATIONAL REQUIREMENTS FOR LICENSURE, AUTHORIZING FEES FOR REGISTRATION OF ACCOUNTING FIRMS, AUTHORIZING THE ESTABLISHMENT OF PEER REVIEW STANDARDS, INCREASING CRIMINAL PENALTIES, REVISING LICENSURE RENEWAL PROCEDURES, DELETING PROVISIONS FOR THE LICENSURE AND REGULATION OF ACCOUNTING PRACTITIONERS AND TO PROVIDE CERTAIN TRANSITION PROVISIONS.

The Senate proceeded to a consideration of the Bill, the question being the adoption of the previously proposed amendment.

Senator McCONNELL proposed the following amendment (SWB\5900CM04), which was tabled:

Amend the bill, as and if amended, by deleting Section 40-2-10(A) and inserting:

/(A)   There is created the South Carolina Board of Accountancy which shall carry out the purposes and enforce the provisions of this chapter. The board consists of nine members: five licensed certified public accountants, two licensed public accountants or licensed accounting practitioners, and two public members who are not engaged in the practice of public accounting, have no financial interest in the profession of public accounting, and have no immediate family member in the profession of public accounting. As used in this section, 'immediate family member' is defined in Section 8-13-100(18). Members must be appointed by the Governor with advice and consent of the Senate for terms of three years and until their successors are appointed and qualify. Vacancies may be filled by the Governor for unexpired terms. The Governor shall remove a member of the board for neglect of duty or other just cause./

Renumber sections to conform.

Amend title to conform.

Senator McCONNELL explained the amendment.

Senator ALEXANDER argued contra to the adoption of the amendment.

Senator ALEXANDER moved to lay the amendment on the table.

The amendment was laid on the table.

Senator McCONNELL proposed the following amendment (NBD\ 12256AC04), which was adopted:

Amend the bill, as and if amended, page 2, line 1 by deleting /Article 1/ and inserting /Article 1/

Amend the bill, further, page 46, immediately before line 24 by inserting:

/Article 3
Regulation of Accounting Practitioners

Section 40-2-510.   A person, firm, or professional association not exempt under Section 40-2-530 is considered to be engaged in the practice of offering to render and rendering to the public the services which are regulated by this article if the person, firm, or professional association:

(1)   offers to prospective clients in South Carolina to perform for compensation one or more of these services:

(a)   the development, recording, analysis, or presentation of financial information including, but not limited to, the preparation of financial statements; or

(b)   advice or assistance in regard to accounting controls, systems, and procedures; and

(2)   in any manner holds himself or itself out to the public in South Carolina as skilled in one or more of the types of services described in item (1).

Section 40-2-520.   (A)   No professional association, person, or partnership, other than a person or partnership holding a permit to practice issued pursuant to this article, may engage in the practice defined in Section 40-2-510 unless he or it plainly indicates on all signs, cards, letterheads, advertisements, and directories used to disclose his or its practice or business that he or it does not hold a license to practice under this article.

(B)   No professional association, person, or partnership, other than a person or partnership holding a permit to practice issued pursuant to this article, may assume or use the title or designation "Accounting Practitioner" or any other title, designation, words, letters, abbreviation, sign, card, or device tending to indicate that the person is an accounting practitioner or that the partnership is composed of accounting practitioners or that the person, partnership, or professional association is authorized under this article to engage in the practice defined under Section 40-2-510.

Section 40-2-530.   Nothing contained in this article:

(1)   applies to a certified public accountant or public accountant who holds a license to practice issued under the law of South Carolina and no provision of this article applies to a partnership of certified public accountants or public accountants which holds a permit to practice issued under South Carolina authority;

(2)   applies to a person, firm, or professional association which plainly indicates on all signs, cards, letterheads, advertisements, and directories used to disclose his or its practice or business that he or it does not hold a license to practice under this article;

(3)   prohibits a person from serving as an employee of a person, partnership, or professional association if the employee does not engage in the practice defined in Section 40-2-510 on his own account;

(4)   prohibits a person, partnership, or professional association from offering to prepare or from preparing a tax return with respect to taxes imposed by a governmental authority, whether federal, state, or local, and this article does not prevent a person from advising clients in connection with tax matters;

(5)   prohibits a person, partnership, or professional association holding a license or permit issued by another state, territory, or the District of Columbia, which authorizes the person, partnership, or professional association to engage in the other jurisdiction in the type of practice described in Section 40-2-510, from temporarily practicing in this State as an incident to his or its regular practice outside of this State if the temporary practice is conducted in conformity with the rules of ethical conduct promulgated by the board;

(6)   applies to the affixing of the signature or name of an officer, employee, partner, or principal of an organization to a statement or report in reference to the financial affairs of the organization with wording designating the position, title, or office which he holds in the organization, and the provisions of this article do not apply to an act of a public official or public employee in the performance of his duties;

(7)   applies to the offering or rendering of data processing services by mechanical or electronic means or to the offering or rendering of services in connection with the operation, sale, lease, rental, or installation of mechanical or electronic bookkeeping or data processing equipment or to the sale, lease, rental, or installation of this equipment.

Section 40-2-540.   The South Carolina Board of Accountancy shall examine, license, and discipline accounting practitioners. The board may charge a reasonable fee for examinations, not exceeding the fee charged for certified public accountants' examinations.

Section 40-2-550.   In order to be eligible for licensing under this article as an accounting practitioner, an applicant may not hold another license granted under this chapter and must:

(1)   not have any history of dishonest or felonious acts;

(2)   be a resident of this State or have a place of business in this State, or, as an employee, be regularly employed in this State;

(3)   be at least eighteen years of age; and

(4)   meet one or more of these requirements:

(a)   pass an examination approved by the board, which is designed to test the applicant's basic knowledge of the subjects described in Section 40-2-510(1) and which may consist of parts of the examination administered to certified public accountant applicants or another examination as the board may prescribe.

(b)   have a bachelor's degree with a major in accounting as determined by the board from a four-year college or university accredited by the Southern Association of Colleges and Schools or from a college or university having equivalent standards as determined by the board.

(c)   be licensed and hold a current annual permit to practice in this State as a certified public accountant or public accountant if the person surrenders his license and permit to practice as a certified public accountant or public accountant upon being licensed as an accounting practitioner.

Section 40-2-560.   (A)   Licenses must be issued by the board to persons satisfying the requirements of Section 40-2-550 upon the payment of a license fee in an amount to be determined by the board.

(B)   Permits to engage in the practice defined in Section 40-2-510 must be issued by the board for annual periods expiring on the last day of June to persons and partnerships as follows:

(1)   A person holding a license issued pursuant to Section 40-2-510(1)(a), upon payment of a permit fee in an amount to be determined by the board. The board may reduce or waive the fee in case of illness, mental or physical incapacity, retirement from practice, or for similar situations. Failure of a licensee to pay the fee for a permit to practice within three years from the expiration date of the permit to practice last obtained or used or within three years from the date upon which the licensee was granted the license if no permit was ever issued to the person, deprives the person of the right to the permit unless the board determines the failure to have been caused by excusable neglect. The decision of the board is final. A renewal fee for the issuance of the original license must be in an amount the board determines.

(2)   Partnerships, without payment of a permit fee, which meet the following standards:

(a)   At least one general partner must be an accounting practitioner of this State in good standing.

(b)   Each partner must be lawfully engaged in the practice, as defined in Section 40-2-510, in some state of the United States.

(c)   Each resident manager in charge of an office must be an accounting practitioner of this State in good standing.

(3)   File with the secretary of the board on a form prescribed by the board for this purpose a certificate of compliance with the continuing education requirements necessary for license renewal as required by Section 40-2-380. In case of default in the payment of the license fee by a person, Section 40-2-280 applicable to certified public accountants and public accountants applies in all respects to accounting practitioners.

Section 40-2-570.   (A)   After notice and hearing pursuant to Section 40-2-310 the board may revoke a license or permit as accounting practitioner issued under this article; suspend a license or permit for a period of not more than five years; reprimand, censure, or limit the scope of practice of a license or permit holder; impose an administrative fine not exceeding one thousand dollars; or place a license or permit holder on probation, all with or without terms, conditions, and limitation, for any one or more of these reasons:

(1)   fraud or deceit in obtaining a license or permit;

(2)   cancellation, revocation, or suspension of, or refusal to renew authority to engage in the practice of public accountancy in another state, territory of the United States, or the District of Columbia for any cause;

(3)   revocation or suspension of the right to practice before a state or federal agency;

(4)   dishonesty, fraud, or gross negligence in the practice of public accounting or in filing or failure to file the license or permit holder's own income tax return;

(5)   violation of a provision of this article or Article 1 or a regulation promulgated by the board under the authority granted by this chapter;

(6)   violation of a rule of professional conduct promulgated by the board under the authority granted by this chapter;

(7)   conviction of a felony, or any crime an element of which is dishonesty or fraud, under the laws of the United States, of this State, or another state if the acts involved would have constituted a crime under the laws of this State. The record of conviction or a copy of the record, certified by the clerk of court or the judge in whose court the conviction is had, is conclusive evidence of the conviction and 'conviction' shall include a plea of guilty or a plea of nolo contendere;

(8)   performance of a fraudulent act while holding a license or permit under this article; or

(9)   conduct reflecting adversely upon the license or permit holder's fitness to engage in the practice of public accountancy.

(B)   In lieu of or in addition to a remedy specifically provided in subsection (A), the board may require one or more of these requirements of a license or permit holder:

(1)   a quality review conducted in a fashion as the board may require; or

(2)   satisfactory completion of continuing professional education programs as the board may specify.

A 'quality review' means a study, appraisal, or review of one or more aspects of the professional work of a person or firm in the practice of public accountancy by a person or persons who hold certificates or licenses and who are not affiliated with the person or firm being reviewed.

(C)   In a proceeding in which a remedy imposed by subsections (A) and (B) is imposed, the board also may require the respondent license or permit holder to pay the costs of the proceeding.

Section 40-2-580.   The board may initiate proceedings under this article on its own motion or on the complaint of a person, and the procedures provided in Article 1 for these proceedings are applicable and binding in procedures under this article.

Section 40-2-590.   A person who violates a provision of this article is guilty of a misdemeanor and, upon conviction, must be fined not less than fifty dollars or more than two hundred dollars or imprisoned not less than twenty days or more than sixty days. Each violation constitutes a separate offense and each day's violation constitutes a separate offense.

Section 40-2-600.   Nothing contained in this article may be construed to prohibit the formation of partnerships by and between public accountants and accounting practitioners if all members of the partnerships and all resident managers of offices of the partnerships are licensed under this chapter as public accountants or accounting practitioners and if the partnerships apply for an annual permit in the manner prescribed in this article for other partnerships./

Renumber sections to conform.

Amend title to conform.

Senator McCONNELL explained the amendment.

Senator ALEXANDER argued contra to the adoption of the amendment.

Senator ALEXANDER moved to lay the amendment on the table.

The "ayes" and "nays" were demanded and taken, resulting as follows:

Ayes 17; Nays 25

AYES

Alexander                 Courson                   Cromer
Drummond                  Fair                      Gregory
Hayes                     Knotts                    Leatherman
Mescher                   O'Dell                    Richardson
Ryberg                    Setzler                   Sheheen
Smith, J. Verne           Verdin

Total--17

NAYS

Anderson                  Elliott                   Ford
Giese                     Glover                    Grooms
Hawkins                   Hutto                     Jackson
Land                      Leventis                  Malloy
Martin                    Matthews                  McConnell
McGill *                  Moore                     Patterson
Peeler                    Rankin                    Ravenel
Reese                     Ritchie                   Short
Waldrep

Total--25

*This Senator was not present in the Chamber at the time the vote was taken and the vote was recorded by leave of the Senate, with unanimous consent.

The Senate refused to table the amendment. The question then was the adoption of the amendment.

The amendment was adopted.

Senators BRANTON and RAVENEL proposed the following amendment (687R001.WSB), which was adopted:

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

/   SECTION   ____.   Section 40-59-220(C) of the 1976 Code is amended to read:

"(C)   The commission shall issue a residential builder's license if, as a result of examination, the commission finds that the applicant is qualified to engage in residential building in South Carolina, and the applicant submits an executed bond in the form and with a surety approved by the commission in the sum of not less than fifteen thousand dollars or a reviewed financial statement demonstrating a net worth of not less than seventy-five thousand dollars of which at least fifteen thousand dollars must be in cash and cash equivalents proof of financial responsibility acceptable to the commission."   /

Renumber sections to conform.

Amend title to conform.

Senator ALEXANDER explained the amendment.

The amendment was adopted.

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

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

S. 973 (Word version) -- Senators Waldrep and O'Dell: A BILL TO AMEND SECTION 12-37-251, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE TRUST FUND FOR TAX RELIEF, SO AS TO PROVIDE THAT OPERATING MILLAGE LEVIED IN A COUNTY FOR ALTERNATIVE SCHOOLS, CAREER AND TECHNOLOGY CENTERS, AND COUNTY BOARDS OF EDUCATION WHETHER OR NOT LEVIED COUNTYWIDE OR ON A SCHOOL DISTRICT BY SCHOOL DISTRICT BASIS ALSO IS CONSIDERED SCHOOL OPERATING MILLAGE TO WHICH THE PROPERTY TAX EXEMPTION PROVIDED BY THIS SECTION APPLIES, AND TO PROVIDE THAT COUNTY TREASURERS SHALL CONSIDER THESE OPERATING MILLAGES IN DETERMINING REVENUE LOST WHEN MAKING DISBURSEMENTS TO SCHOOL DISTRICTS FROM TRUST FUNDS FOR TAX RELIEF FUNDS.

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

Senate Finance Committee proposed the following amendment (GJK\21148SD04), which was adopted:

Amend the bill, as and if amended, by striking SECTION 2 and inserting:

/   SECTION   2.   This act takes effect upon approval by the Governor and is applicable for property tax years beginning after 2003.   /

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, passed and ordered to a third reading with notice of general amendments.

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

H. 4645 (Word version) -- Reps. Littlejohn, Davenport, Mahaffey, W.D. Smith, Talley and Walker: A BILL TO AMEND ACT 1 OF 2001, RELATING TO SUPPLEMENTAL APPROPRIATIONS FOR A PARTICULAR YEAR AND CAPITAL IMPROVEMENT BOND AUTHORIZATIONS, AMONG OTHER THINGS, SO AS TO REVISE THE PURPOSE FOR WHICH A CAPITAL IMPROVEMENT BOND AUTHORIZATION FOR USC-SPARTANBURG MAY BE USED.

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

The Committee on Finance proposed the following amendment (4645R003.HKL), which was adopted:

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

/   SECTION_____.   (A)   The amount of capital improvement bonds added by Act 646 of 1978 and authorized as departmental bonds under the authority and limitation of Act 1087 of 1970 for the Department of Disabilities and Special Needs (formerly the Department of Mental Retardation) is reduced by $291,422.00.

(B)   The amount of capital improvement bonds added by Act 179 of 1981 and authorized as departmental bonds under the authority and limitations of Act 1087 of 1970 for the Department of Disabilities and Special Needs (formerly the Department of Mental Retardation) is reduced by $5,151.25.

(C)   The amount of capital improvement bonds added by Act 638 of 1988 and authorized as departmental bonds under the authority and limitations of Act 1087 of 1970 for the Department of Disabilities and Special Needs (formerly the Department of Mental Retardation) is reduced by $2,061,237.40.       /

Renumber sections to conform.

Amend title to conform.

Senator ALEXANDER explained the committee amendment.

The committee amendment was adopted.

There being no further amendments, the Bill was read the second time, passed and ordered to a third reading with notice of general amendments.

SECOND READING BILLS

The following Bills and Joint Resolution, having been read the second time, were ordered placed on the Third Reading Calendar:

S. 1100 (Word version) -- Senator Drummond: A BILL TO AMEND ACT 1147 OF 1968, AS AMENDED, RELATING TO THE GREENWOOD COUNTY CAREER CENTER, SO AS TO RENAME THE CENTER THE G. FRANK RUSSELL CAREER CENTER.

Senator DRUMMOND asked unanimous consent to take the Bill up for immediate consideration.

There was no objection.

On motion of Senator DRUMMOND, with unanimous consent, the Bill was read the second time and ordered placed on the Third Reading Calendar.

S. 1100--Ordered to a Third Reading

On motion of Senator DRUMMOND, S. 1100 was ordered to receive a third reading on Thursday, April 8, 2004.

S. 1127 (Word version) -- Senators Knotts, Cromer, Courson and Setzler: A BILL TO ENACT THE LEXINGTON COUNTY SCHOOL DISTRICT PROPERTY TAX RELIEF ACT BY ALLOWING THE IMPOSITION OF A SALES AND USE TAX EQUAL TO ONE PERCENT OF GROSS SALES IN LEXINGTON COUNTY FOLLOWING APPROVAL OF THE TAX BY THE QUALIFIED ELECTORS OF THE COUNTY IN A REFERENDUM HELD AT THE TIME OF THE 2004 GENERAL ELECTION, TO PROVIDE THAT THE TAX IS IMPOSED FOR SEVEN YEARS AND MAY BE EXTENDED OR REIMPOSED BY THE GENERAL ASSEMBLY BY LAW, TO PROVIDE THAT THE TAX IS IMPOSED IN THE SAME MANNER AND WITH THE SAME EXEMPTIONS AND MAXIMUM TAXES APPLICABLE FOR THE FIVE PERCENT STATE SALES AND USE TAX WITH AN ADDITIONAL EXEMPTION FROM THE ONE PERCENT TAX FOR FOOD WHICH LAWFULLY MAY BE PURCHASED WITH UNITED STATES DEPARTMENT OF AGRICULTURE FOOD COUPONS, TO PROVIDE THAT THE REVENUE OF THE TAX MUST BE ALLOTTED TO THE SCHOOL DISTRICTS OF LEXINGTON COUNTY BASED ON AVERAGE DAILY NUMBER OF STUDENTS RESIDING IN THAT PORTION OF THE DISTRICT THAT IS IN LEXINGTON COUNTY AND ALSO BASED ON THE POPULATION OF THE DISTRICT, TO PROVIDE THAT THE REVENUE MUST BE USED TO PROVIDE A CREDIT AGAINST THE SCHOOL TAX LIABILITY FOR PROPERTY IN THE DISTRICT AND TO PROVIDE THE METHOD OF CALCULATING THE CREDIT, AND TO PROVIDE THAT REFERENDUMS TO APPROVE MILLAGE INCREASES OR BOND AUTHORIZATIONS FOR ANY PURPOSE IN LEXINGTON COUNTY MAY ONLY BE HELD ON THE FIRST TUESDAY WHICH FOLLOWS THE FIRST MONDAY IN NOVEMBER OF A PARTICULAR YEAR.

S. 906 (Word version) -- Senators Matthews, Hutto and Patterson: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 59-127-90 SO AS TO AUTHORIZE THE SOUTH CAROLINA STATE UNIVERSITY BOARD OF TRUSTEES TO USE THE PROVISIONS OF CHAPTER 2, TITLE 28 (EMINENT DOMAIN) TO ACQUIRE LAND FOR WHICH FUNDS ARE PROVIDED BY THE GENERAL ASSEMBLY.

S. 1071 (Word version) -- Senators Ritchie and Richardson: A BILL TO AMEND SECTION 16-13-510, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO FINANCIAL IDENTITY FRAUD, SO AS TO PROVIDE THAT IT IS UNLAWFUL TO USE THE IDENTITY OF ANOTHER PERSON FOR THE PURPOSE OF OBTAINING EMPLOYMENT.

H. 5034 (Word version) -- Medical, Military, Public and Municipal Affairs Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE DEPARTMENT OF LABOR, LICENSING AND REGULATION, BOARD OF MEDICAL EXAMINERS, RELATING TO CONTINUED COMPETENCY, DESIGNATED AS REGULATION DOCUMENT NUMBER 2891, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

OBJECTION

S. 970 (Word version) -- Senators McConnell and Ford: A JOINT RESOLUTION TO ADOPT REVISED CODE VOLUMES 2 AND 20 OF THE CODE OF LAWS OF SOUTH CAROLINA, 1976, TO THE EXTENT OF THEIR CONTENTS, AS THE ONLY GENERAL PERMANENT STATUTORY LAW OF THE STATE AS OF JANUARY 1, 2004.

Senator FAIR objected to consideration of the Resolution.

COMMITTEE AMENDMENT ADOPTED
OBJECTION

H. 4591 (Word version) -- Rep. Bailey: A BILL TO AMEND SECTION 50-11-565, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE USE OF CROSSBOWS WHILE HUNTING BY DISABLED PERSONS, SO AS TO PERMIT THE STATEMENT OF DISABILITY TO BE CERTIFIED BY A RHEUMATOLOGIST AS WELL AS A NEUROLOGIST OR ORTHOPEDIST.

The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Fish, Game and Forestry.

The Committee on Fish, Game and Forestry proposed the following amendment (4591R002.CKG), which was adopted:

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

/   SECTION   ___.   Section 50-15-50 of the 1976 Code is amended to read:

"Section 50-15-50.   (a)(A)The board shall establish such programs, including acquisition of land or aquatic habitat, as are deemed necessary for management of nongame and endangered wildlife. The board shall utilize all authority vested in the department to carry out the purposes of this section.

(b)(B)   In carrying out programs authorized by this section, the department may enter into agreements with federal agencies, political subdivisions of the State, or with private persons for administration and management of any area established under this section or utilized for management of nongame or endangered wildlife.

(c)(C)   The Governor shall encourage other state and federal agencies to utilize their authorities in furtherance of the purposes of this section.

(d)(D)   The department may permit, under such terms and conditions as may be prescribed by regulation, the taking, possession, transportation, exportation, or shipment of species or subspecies of wildlife which appear on the state list of endangered species, or species in need of management on the United States' List of Threatened or Endangered Native Fish and Wildlife, as amended and accepted in accordance with Section 50-15-40(d), or on the United States' List of Threatened or Endangered Foreign Fish and Wildlife, as such list may be modified hereafter, for scientific, zoological, or educational purposes, for propagation in captivity of such wildlife, or for other special purposes.

(e)(E)   Upon good cause shown, and where necessary to alleviate damage to property or to protect human health, endangered species may be removed, captured, or destroyed but only pursuant to permit issued by the department and, where possible, by or under the supervision of an agent of the department; provided, that threatened or endangered species or species in need of management may be removed, captured, or destroyed without permit by any person in emergency situations involving an immediate threat to human life. Provisions for removal, capture, or destruction of nongame wildlife for the purposes set forth above shall be set forth in regulations issued by the department pursuant to Section 50-15-30(a).

(F)   In addition to programs established under this chapter, the department may issue permits at any time of year and on any area, including a sanctuary, for the removal and disposition of alligators to property owners, property owner's associations, property holding companies, and local governments or their agents without further review. Such permits shall specify the number and size of the alligators to be removed, the area from which the animals may be removed, the methods of removal, reporting requirements, disposition of parts and products of the animals taken, and other conditions, as needed."

SECTION   ___.   Section 50-15-80 of the 1976 Code is amended to read:

"Section 50-15-80.   (A)   A person who violates Section 50-15-50(f), Section 50-15-30(c) or regulations promulgated pursuant to Section 50-15-30 or a person who fails to procure or violates the terms of a permit issued under the regulations is guilty of a misdemeanor and, upon conviction, must be fined not more than five hundred dollars or imprisoned not more than six months, or both thirty days and ordered to pay restitution.

(B)   A person who violates Section 50-15-40(c) or regulations promulgated pursuant to it or a person who fails to procure or violates the terms of a permit issued under Section 50-15-50(d) and (e) is guilty of a misdemeanor and, upon conviction, must be fined one thousand dollars or imprisoned not more than one year, or both.

(C)   An enforcement officer employed and authorized by the department or a police officer of the State or a municipality or county within the State may conduct searches as provided by law and execute a warrant to search for and seize equipment, business records, merchandise, or wildlife taken, used, or possessed in connection with a violation of this chapter. The officer or agency, without a warrant, may arrest a person who the officer or agent has probable cause to believe is violating, in his presence or view, the chapter or a regulation or permit provided for by it. An officer or agent who has made an arrest of a person in connection with a violation may search the person or business records at the time of arrest and seize wildlife, records, or property taken or used in connection with the violation.

(D)   Equipment, merchandise, wildlife, or records seized under subsection (C) must be held by an officer or agent of the department pending disposition of court proceedings and forfeited to the State for destruction or disposition as the board considers appropriate. Before forfeiture, the board may direct the transfer of wildlife seized to a qualified zoological, educational, or scientific institution for safekeeping. The costs of the transfer are assessable to the defendant. The department may promulgate regulations to implement this subsection.

(E)   A person who violates regulations promulgated pursuant to Section 50-15-30 governing hunting, taking, possessing, storing, transporting, processing, selling, offering for sale, or shipping of an American alligator (Alligator mississippiensis) or parts or products of an alligator or a common or contract carrier who knowingly violates the regulations, upon conviction, must be fined not less than one thousand nor more than five thousand dollars or imprisoned not more than one year."

SECTION   ___.   Section 50-3-410(A) of the 1976 Code is amended to read:

"(A)   Enforcement officers and deputy enforcement officers employed authorized by the Department of Natural Resources, and any officer deputized by the department pursuant to Section 27-16-70, may use an official summons for violations of laws and regulations of the Department of Natural Resources; laws and regulations of the Department of Parks, Recreation and Tourism; laws and regulations of the State Commission of Forestry; laws and regulations of the Department of Health and Environmental Control pertaining to shellfish; trespass laws; and the following criminal offenses:

(1)   interfering with a police officer:, Section 16-5-50;

(2)   disorderly conduct:, Section 16-17-530;

(3)   malicious injury to animals or personal property:, Section 16-11-510;

(4)   littering:, Section 16-11-700;

(5)   possession of beer or wine by a person underage:, Section 20-7-8920;

(6)   possession of alcoholic liquor by a person under twenty-one years of age:, Section 20-7-8925;

(7)   possession of marijuana (1 oz. or less):, Section 44-53-370(c);

(8)   violation of the South Carolina Underwater Antiquities Act:, Sections 54-7-610 through 54-7-810;

(9)   interfering with navigation:, Sections 54-11-10 through 54-11-50;

(10)   failure to stop for a blue light:, Section 56-5-750;

(11)   fishing from a posted bridge or roadway:, Section 56-5-3110;

(12)   unlawful possession and consumption of alcoholic liquor:, Sections 61-6-1800, 61-6-2220, 61-6-4710;

(13)   open container:, Section 61-4-110;

(14)   transporting uncovered loads on highways, Section 56-5-4100;

(15)   destruction of sea oats or venus flytraps, Section 16-11-590;

(16)   destruction of marsh, Section 48-39-130;

(17)   inhumane treatment to animals, Section 47-1-40;

(18)   driving under the influence, Section 56-5-2930."

SECTION   ___.   Section 50-9-920(C) of the 1976 Code is amended to read:

"(C)   Revenue generated from the sale of other licenses and permits, except wildlife management area revenue, and revenue from the fines and forfeitures for violations of other sections of this title and for all other offenses investigated or prosecuted by the department, must be deposited with the State Treasury to the credit of the Game Protection Fund. This revenue must be expended by the department for the protection, promotion, propagation, and management of wildlife and fish, the enforcement of related laws, and the dissemination of information, facts, and findings the department considers necessary."/   Renumber sections to conform.

Amend title to conform.

Senator RICHARDSON explained the committee amendment.

The committee amendment was adopted.

Senator FORD objected to further consideration of the Bill.

CARRIED OVER

The following Bills were carried over as follows:

H. 3223 (Word version) -- Reps. Lourie, Altman, Bailey, Bales and Richardson: A BILL TO AMEND SECTION 61-4-520, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO APPLICATIONS FOR PERMITS AUTHORIZING THE SALE OF BEER OR WINE AND SECTION 61-6-180, AS AMENDED, RELATING TO APPLICATIONS FOR LICENSES TO SELL ALCOHOLIC LIQUORS AND OTHER BEVERAGES, SO AS TO PROVIDE THAT THE NOTICES REQUIRED TO BE PUBLISHED IN CONNECTION WITH THESE APPLICATIONS MUST BE PUBLISHED IN THE NEWSPAPER OF GREATEST CIRCULATION IN THE AREA WHERE THE ESTABLISHMENT IS TO BE LOCATED.

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

H. 4709 (Word version) -- Reps. Bailey and Chellis: A BILL TO AMEND SECTION 12-21-4070, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE REQUIREMENT THAT FOR ANY BINGO LICENSE TO BE ISSUED THE ORGANIZATION, PROMOTER, OR INDIVIDUAL MUST HAVE BEEN DOMICILED IN THIS STATE FOR AT LEAST THREE YEARS OR, IN THE CASE OF AN ORGANIZATION, TO HAVE BEEN ACTIVE IN THIS STATE FOR AT LEAST THREE YEARS, SO AS TO REDUCE THE MINIMUM TIME FOR AN ORGANIZATION TO HAVE BEEN ACTIVE IN THIS STATE FROM AT LEAST THREE TO AT LEAST TWO YEARS.

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

S. 759 (Word version) -- Senators Hayes and Reese: A BILL TO AMEND CHAPTER 102 OF TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ATHLETE AGENTS AND STUDENT ATHLETES, SO AS TO ENACT THE "UNIFORM ATHLETE AGENTS ACT OF 2004", AND TO PROVIDE FOR: DEFINITIONS, APPLICATIONS, REGISTRATION, AND RENEWAL OF REGISTRATION FOR ATHLETE AGENTS, SERVICE OF PROCESS UPON INDIVIDUALS ACTING AS ATHLETE AGENTS IN THIS STATE, DUTIES OF THE SECRETARY OF STATE RELATING TO APPLICATIONS FOR REGISTRATION AND ISSUANCE OF TEMPORARY CERTIFICATES AND CERTIFICATES OF REGISTRATION TO ATHLETE AGENTS, THE NON-RENEWAL, SUSPENSION, AND REVOCATION OF CERTIFICATES OF REGISTRATION AFTER NOTICE AND OPPORTUNITY FOR A HEARING, REQUIRED PROVISIONS OF AN AGENCY CONTRACT INCLUDING A WARNING TO STUDENT ATHLETES OF CERTAIN RIGHTS AND CONSEQUENCES OF SIGNING AN AGENCY CONTRACT, CANCELLATION OF AN AGENCY CONTRACT, RETENTION OF CERTAIN RECORDS FOR FIVE YEARS BY AN ATHLETE AGENT AND INSPECTION OF THOSE RECORDS, PROHIBITION OF CERTAIN REPRESENTATIONS BY AN ATHLETE AGENT OR THE FURNISHING OF ANYTHING OF VALUE TO A STUDENT ATHLETE WITH THE INTENT TO INDUCE A STUDENT ATHLETE TO ENTER INTO AN AGENCY CONTRACT, A RIGHT OF ACTION BY AN EDUCATIONAL INSTITUTION AGAINST AN ATHLETE AGENT OR FORMER STUDENT ATHLETE FOR DAMAGES CAUSED BY A VIOLATION OF THIS CHAPTER, AND CIVIL AND CRIMINAL PENALTIES FOR CERTAIN VIOLATIONS OF THIS CHAPTER.

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

CARRIED OVER

H. 4159 (Word version) -- Reps. Scarborough and Altman: A BILL TO ESTABLISH A PROCEDURE FOR DISCIPLINING A STUDENT IN A CHARTER SCHOOL IN A CHARLESTON COUNTY SCHOOL DISTRICT; TO PROVIDE THAT THE BOARD OF DIRECTORS OF A CHARTER SCHOOL MAY REFUSE ADMISSION TO A STUDENT WHO HAS BEEN SUSPENDED OR EXPELLED; TO PROVIDE THAT A CONVERTED CHARTER SCHOOL THAT UTILIZES THE EXISTING BUILDINGS IS NOT REQUIRED TO PAY FOR THE USE OF THE EXISTING BUILDINGS OR PREMISES AND TO PROVIDE FOR AN APPEAL OF A DECISION OR DISPUTE REGARDING THE USE OF THE EXISTING BUILDINGS OR PREMISES.

Senator KUHN asked unanimous consent to take the Bill up for immediate consideration.

There was no objection.

Point of Order Withdrawn

Senator SETZLER raised a Point of Order that, inasmuch as the Bill purported to amend a statewide statute, it was improperly reflected on the Local Calendar.

Senator KUHN spoke on the Point of Order.

The PRESIDENT took the Point of Order under advisement.

On motion of Senator KUHN, the Bill was carried over.

On motion of Senator SETZLER, the Point of Order was withdrawn.

CARRIED OVER

H. 3223 (Word version) -- Reps. Lourie, Altman, Bailey, Bales and Richardson: A BILL TO AMEND SECTION 61-4-520, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO APPLICATIONS FOR PERMITS AUTHORIZING THE SALE OF BEER OR WINE AND SECTION 61-6-180, AS AMENDED, RELATING TO APPLICATIONS FOR LICENSES TO SELL ALCOHOLIC LIQUORS AND OTHER BEVERAGES, SO AS TO PROVIDE THAT THE NOTICES REQUIRED TO BE PUBLISHED IN CONNECTION WITH THESE APPLICATIONS MUST BE PUBLISHED IN THE NEWSPAPER OF GREATEST CIRCULATION IN THE AREA WHERE THE ESTABLISHMENT IS TO BE LOCATED.

The Senate proceeded to a consideration of the Bill, the question being the adoption of Amendment No. 3 (GJK\20743SD03) proposed by Senator KNOTTS and previously printed in the Journal of Tuesday, April 7, 2004.

Senator RYBERG spoke on the Bill.

On motion of Senator LEATHERMAN, the Bill was carried over.

COMMITTEE AMENDMENT ADOPTED
CARRIED OVER

H. 4650 (Word version) -- Harrison, McLeod, Whipper: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA BY ADDING MULTIPLE CHAPTERS AND ARTICLES TO TITLES 33, 36, 38 AND 39, PROVIDING FOR, AMONG OTHER MATTERS, PROCEDURES FOR THE DOMESTICATION OF FOREIGN CORPORATIONS IN SOUTH CAROLINA; PROCEDURES FOR MERGERS WITH OTHER ENTITIES OF PARTNERSHIPS AND LIMITED PARTNERSHIPS; PROCEDURES FOR CONVERSIONS OF PARTNERSHIPS AND LIMITED PARTNERSHIPS TO CORPORATIONS; CIRCUMSTANCES UNDER WHICH FOREIGN CORPORATIONS ARE NOT REQUIRED TO OBTAIN AUTHORITY TO DO BUSINESS IN SOUTH CAROLINA; A REQUIREMENT THAT A TRANSFEROR OF A SECURITY FOR VALUE MUST PROVIDE DOCUMENTS NECESSARY FOR REGISTRATION OF THE SECURITY; TO INCLUDE A DOMESTIC OR FOREIGN LIMITED LIABILITY COMPANY, PARTNERSHIP, LIMITED PARTNERSHIP OR OTHER ENTITY AMONG THE LIST OF ENTITIES WITH WHICH A CORPORATION MAY MERGE; TO INCREASE THE TIME FOR ENFORCING UNKNOWN CLAIMS AGAINST A CORPORATION TO TEN YEARS AFTER PUBLICATION OF NOTICE OF DISSOLUTION AND TO PROVIDE FOR A CLAIM ARISING AFTER DISSOLUTION; TO PROVIDE FOR MERGERS BETWEEN NONPROFIT CORPORATIONS WITH DOMESTIC OR FOREIGN LIMITED LIABILITY COMPANIES, PARTNERSHIPS, LIMITED PARTNERSHIPS, OR OTHER ENTITIES, TO INCLUDE MERE OWNERSHIP OF AN INTEREST IN A LIMITED LIABILITY COMPANY IN THIS STATE AS AN ACTIVITY NOT CONSIDERED THE TRANSACTION OF BUSINESS IN SOUTH CAROLINA; AND TO REQUIRE APPROVAL BY THE DIRECTOR OF THE DEPARTMENT OF INSURANCE BEFORE THE SECRETARY OF STATE CAN ACT IN CONNECTION WITH A CAPTIVE INSURANCE COMPANY. [ABBREVIATED TITLE]

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 (JUD4650.003), which was adopted:

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

/   SECTION   1.   Title 33 of the 1976 Code is amended by adding:

"Chapter 9
Domestication of a Foreign Corporation

Section 33-9-100.   (a)   A foreign corporation may become a domestic corporation by filing with the Secretary of State:

(1)   articles of domestication that, upon filing, are the articles of incorporation for the corporation, and include the information required by Section 33-2-102(a)(1) through (3), any optional provisions desired and authorized by Section 33-2-102(b) and (e), and the certifications required by subsection (c) of this section; and

(2)   an initial annual report of the corporation as provided in Section 12-20-40.

(b)   A foreign corporation that becomes a domestic corporation must file, within five business days with the state where previously incorporated, articles of dissolution or the equivalent or other appropriate filing authorized by the law of that state.

(c)   The articles of domestication shall certify:

(1)   the date and jurisdiction of each state where the corporation has been incorporated before the filing of the articles of domestication;

(2)   the name of the corporation immediately before the filing of the articles of domestication, as well as the corporate name to be used pursuant to Section 33-4-101;

(3)   that the corporation shall file, within five business days with the state where previously incorporated, articles of dissolution or the equivalent, or such other appropriate filing as authorized by the law of such state;

(4)   that articles of domestication do not contain a provision that would require action by one or more separate voting groups on a proposed amendment pursuant to Section 33-10-104;

(5)   that the filing of the articles of domestication has been authorized by a majority of the votes cast by all shareholders entitled to vote on the proposal, unless a greater vote is required by the articles of incorporation or other charter documents existing immediately before the filing of the articles of incorporation; and

(6)   that the articles of dissolution or their equivalent or other appropriate filing as authorized by the law of the state where the corporation was previously incorporated, must be filed within five business days after these articles of domestication are filed.

(d)   Upon filing with the Secretary of State of the articles of domestication, the corporation is domesticated in this State, and after that is subject to the South Carolina Business Corporation Act. Notwithstanding the provision of Section 33-2-103, the existence of the corporation is considered to have commenced on the date the corporation commenced its existence in the jurisdiction in which the corporation was first formed, incorporated, or otherwise came into being.

(e)   The filing of the articles of domestication does not affect the choice of law applicable to the corporation; however, from the date the articles of domestication are filed, the law of this State, including the South Carolina Business Corporation Act, applies to the corporation to the same extent as if the corporation had been incorporated as a corporation of this State on that date.

(f)(1)   If a foreign corporation that owns real property in South Carolina becomes a domestic corporation by domesticating in South Carolina pursuant to this chapter and changes its name pursuant to Section 33-4-101, the newly-named surviving corporation must file a notice of that name change in the office of the register of deeds of the county in South Carolina in which the real property is located. If there is no office in that county, the notice of name change must be filed with the clerk of court of the county in which that real property is located.

(2)   The filing must be by:

(i)     affidavit executed in accordance with the provisions of Section 33-1-200 and containing the old and new names of the corporation, and describing the real property owned by that corporation; or

(ii)   filing a certified copy of the articles of domestication including a description of the real property; or

(iii)   a duly recorded deed of conveyance to the newly-named surviving corporation.

(3)   The affidavit or filed articles of domestication must be duly indexed in the index of deeds.

(4)   The purpose of this subitem is to establish record notice pursuant to Chapter 7 of Title 30. Failure to make the required filing of a corporation name change does not affect the legality, force, effect, or enforceability as between the parties of any conveyance or other transaction involving the real estate owned by the affected corporation that is made after the change in name.

Section 33-9-110.   (a)   A corporation that is domesticated pursuant to this chapter is for all purposes the same entity that existed before the domestication.

(b)   When a domestication is effective:

(1)   the title to all real and personal property, both tangible and intangible, of the corporation remains in the corporation without reversion or impairment;

(2)   the debts, liabilities, and other obligations of the corporation remain the obligations of the corporation;

(3)   an action or proceeding pending against the corporation may be continued against the corporation as if the domestication had not occurred;

(4)   the articles of domestication are the articles of incorporation of the corporation;

(5)   the shares of the corporation issued and outstanding before the domestication are the shares issued and outstanding of the corporation; and

(6)   except as prohibited by other law, all the rights, privileges, immunities, powers, and purposes of the domesticating corporation remain vested in the corporation.

(c)   The owner liability of a shareholder in a foreign corporation that is domesticated in this State:

(1)   is not discharged as to owner liability pursuant to the laws of the foreign jurisdiction to the extent the owner liability arose before the effective time of the articles of domestication;

(2)   does not attach pursuant to the laws of the foreign jurisdiction for any debt, obligation, or liability of the corporation that arises after the effective time of the articles of domestication;

(3)   is governed by provisions of the laws of the foreign jurisdiction as to the collection or discharge of owner liability preserved by item (1), as if the domestication had not occurred; and

(4)   is subject to the right of contribution from other shareholders as provided by the laws of the foreign jurisdiction with respect to owner liability preserved by item (1), as if the domestication had not occurred.

(d)   A shareholder who becomes subject to owner liability for some or all of the debts, obligations, or liabilities of the corporation as a result of its domestication in this State has owner liability only for those debts, obligations, or liabilities of the corporation that arise after the effective time of the articles of domestication."

SECTION   2.   Chapter 41, Title 33 of the 1976 Code is amended by adding:

"Article 14
Mergers

Section 33-41-1310.   (a)   Pursuant to a plan of merger approved pursuant to subsection (c), a partnership may be merged with or into one or more partnerships, foreign partnerships, corporations, foreign corporations, limited liability companies, foreign limited liability companies, limited partnerships, foreign limited partnerships, or other domestic or foreign entities.

(b)   A plan of merger must include the:

(1)   name of each entity that is a party to the merger;

(2)   name of the surviving entity into which the other entities are to merge;

(3)   type of organization of the surviving entity;

(4)   terms and conditions of the merger;

(5)   manner and basis for converting the interests of each party to the merger into interests or obligations of the surviving entity or into money or other property in whole or in part; and

(6)   street address of the surviving entity's principal place of business.

(c)   A plan of merger must be approved by:

(1)   all the partners or the number or percentage of the partners required for merger in the partnership agreement, in the case of a partnership or a domestic limited partnership that is a party to the merger;

(2)   all the members or the number or percentage of members specified in the operating agreement, in the case of a limited liability company that is a party to the merger;

(3)   the vote required for approval of a merger by the law of the state or foreign jurisdiction in which the foreign limited liability company is organized, in the case of a foreign limited liability company that is a party to the merger; or

(4)   the vote required for approval of a merger by the law of this State or of the state or foreign jurisdiction in which the entity is organized and, in the absence of that requirement, by all the owners of interests in the entity, in the case of any other entities that are parties to the merger.

(d)   After a plan of merger is approved and before the merger takes effect, the plan may be amended or abandoned as provided in the plan.

(e)   Unless the surviving entity is a general partnership, the merger is effective upon the filing of the articles of merger with the Secretary of State or at a later date the articles may provide. Filing of the articles of merger is not required if the surviving entity is a general partnership. If the surviving entity is a general partnership, the merger is effective when the agreement is signed.

(f)(1)   If a partnership that owns real property in South Carolina is converted to another entity by articles of merger, the newly-named surviving, acquiring, or reorganizing partnership must file a notice of that name change in the office of the register of deeds of the county in South Carolina in which the real property is located. If there is no office in that county, the notice of name change must be filed with the clerk of court of the county in which that real property is located.

(2)   The filing must be by:

(i)     affidavit executed in accordance with the provisions in Section 33-1-200 and containing the old and new names of the partnership and describing the real property owned by that partnership; or

(ii)   filing a certified copy of the articles of merger including a description of the real property; or

(iii)   a duly recorded deed of conveyance to the newly-named surviving, acquiring, or reorganizing partnership.

(3)   The affidavit or filed articles must be duly indexed in the index of deeds.

(4)   The purpose of this subitem is to establish record notice pursuant to Chapter 7 of Title 30. Failure to make the required filing of a partnership name change does not affect the legality, force, effect, or enforceability as between the parties of any conveyance or other transaction involving real estate owned by the affected partnership that is made after the change in name.

Section 33-41-1320.   (a)   When a merger takes effect:

(1)   the separate existence of each partnership or other entity that is a party to the merger, other than the surviving entity, terminates;

(2)   all property owned by each of the partnerships and other entities that are party to the merger vests in the surviving entity;

(3)   all debts, liabilities, and other obligations of each partnership or other entity that is party to the merger become the obligations of the surviving entity;

(4)   an action or proceeding pending by or against a partnership or other party to a merger may be continued as if the merger had not occurred or the surviving entity may be substituted as a party to the action or proceeding; and

(5)   except as prohibited by other law, all the rights, privileges, immunities, powers, and purposes of every partnership or other entity that is a party to the merger vest in the surviving entity.

(b)   Unless the surviving entity is a partnership, the Secretary of State is an agent for service of process in an action or proceeding against the surviving foreign entity to enforce an obligation of any party to a merger if the surviving foreign entity fails to appoint or maintain an agent designated for service of process in this State or the agent for service of process cannot with reasonable diligence be found at the registered office. Upon receipt of process, the Secretary of State shall send a copy of the process by registered or certified mail, return receipt requested, to the surviving entity at the address set forth in the articles of merger. Service is effected pursuant to this subsection at the earliest of:

(1)   the date the entity receives the process, notice, or demand;

(2)   the date shown on the return receipt, if signed on behalf of the entity; or

(3)   five days after its deposit in the mail, if mailed postpaid and correctly addressed.

(c)   A partner of a merging partnership is liable for all obligations as a party to the merger for which the partner was personally liable before the merger.

(d)   Unless otherwise agreed, a merger of a partnership that is not the surviving entity in the merger does not require the partnership to wind up its business or pay its liabilities and distribute its assets pursuant to this chapter.

Section 33-41-1330.   This article does not preclude a partnership from being merged pursuant to other law."

SECTION   3.   Chapter 42, Title 33 of the 1976 Code is amended by adding:

"Article 12
Mergers

Section 33-42-2110.   (a)   Pursuant to a plan of merger approved pursuant to subsection (c), a limited partnership may be merged with or into one or more partnerships, foreign partnerships, corporations, foreign corporations, limited liability companies, foreign limited liability companies, limited partnerships, foreign limited partnerships, or other domestic or foreign entities.

(b)   A plan of merger includes the:

(1)   name of each entity that is a party to the merger;

(2)   name of the surviving entity into which the other entities are to merge;

(3)   type of organization of the surviving entity;

(4)   terms and conditions of the merger;

(5)   manner and basis for converting the interests of each party to the merger into interests or obligations of the surviving entity or into money or other property in whole or in part; and

(6)   street address of the surviving entity's principal place of business.

(c)   A plan of merger must be approved by:

(1)   all the partners or the number or percentage of the partners required for merger in the partnership agreement, in the case of a partnership or a domestic limited partnership that is a party to the merger;

(2)   all the members or the number or percentage of members specified in the operating agreement, in the case of a limited liability company that is a party to the merger;

(3)   the vote required for approval of a merger by the law of the state or foreign jurisdiction in which the foreign limited liability company is organized, in the case of a foreign limited liability company that is a party to the merger; or

(4)   the vote required for approval of a merger by the law of this State or of the state or foreign jurisdiction in which the entity is organized and, in the absence of that requirement, by all the owners of interests in the entity, in the case of any other entities that are parties to the merger.

(d)   After a plan of merger is approved and before the merger takes effect, the plan may be amended or abandoned as provided in the plan.

(e)   The merger is effective upon the filing of the articles of merger with the Secretary of State or at a later date the articles may provide.

(f)(1)   If a limited partnership that owns real property in South Carolina is converted to another entity by articles of merger, the newly-named surviving, acquiring, or reorganizing partnership must file a notice of that name change in the office of the register of deeds of the county in South Carolina in which the real property is located. If there is no office in that county, the notice of name change must be filed with the clerk of court of the county in which that real property is located.

(2)   The filing must be by:

(i)     affidavit executed in accordance with the provisions in Section 33-1-200 and containing the old and new names of the limited partnership and describing the real property owned by that limited partnership; or

(ii)   filing a certified copy of the articles of merger including a description of the real property; or

(iii)   a duly recorded deed of conveyance to the newly-named surviving, acquiring, or reorganizing partnership.

(3)   The affidavit or filed articles must be duly indexed in the index of deeds.

(4)   The purpose of this subitem is to establish record notice pursuant to Chapter 7 of Title 30. Failure to make the required filing of a limited partnership name change does not affect the legality, force, effect, or enforceability as between the parties of any conveyance or other transaction involving real estate owned by the affected limited partnership that is made after the change in name.

Section 33-42-2120.   (a)   After approval of the plan of merger pursuant to Section 33-42-2110(c), unless the merger is abandoned pursuant to Section 33-42-2110(d), articles of merger must be signed on behalf of each limited partnership or other entity that is a party to the merger and delivered to the Secretary of State for filing. The articles must include:

(1)   the name and jurisdiction of formation or organization of each of the limited partnerships and other entities that are parties to the merger;

(2)   for each limited partnership that is to merge, the date its certificate of limited partnership was filed with the Secretary of State;

(3)   that a plan of merger has been approved by the required votes and signed by each limited partnership or other entity that is to merge;

(4)   the name and address of the surviving limited partnership or other surviving entity;

(5)   the effective date of the merger;

(6)   if a limited partnership is the surviving entity, changes in its certificate of limited partnership necessary by reason of the merger;

(7)   if a foreign entity is a party to the merger, the jurisdiction and date of filing of its articles of incorporation, articles of organization, certificate of limited partnership, or other organizational document, if any, and the date its application for authority was filed by the Secretary of State or, if an application has not been filed, a statement to that effect; and

(8)   if the surviving entity is a foreign entity, an agreement that the surviving entity may be served with process in this State and is subject to liability in any action or proceeding for the enforcement of any liability or obligation of a merging limited partnership previously subject to suit in this State, and for the enforcement, as provided in this chapter, of the right of partners of the limited partnership to receive payment for their interests against the surviving entity.

(b)   If a foreign corporation, limited liability company, or partnership is the surviving entity of a merger, it shall not do business in this State until an application for authority is filed with the Secretary of State.

(c)   The surviving limited partnership or other entity shall furnish a copy of the plan of merger, on request and without cost, to a partner of a limited partnership or person holding an interest in another entity that is to merge.

(d)   Articles of merger operate as an amendment to the limited partnership's certificate of limited partnership.

Section 33-42-2130.   (a)   When a merger takes effect:

(1)   the separate existence of each limited partnership or other entity that is a party to the merger, other than the surviving entity, terminates;

(2)   all property owned by each of the limited partnerships and other entities that are party to the merger vests in the surviving entity;

(3)   all debts, liabilities, and other obligations of each limited partnership or other entity that is party to the merger become the obligations of the surviving entity;

(4)   an action or proceeding pending by or against a limited partnership or other party to a merger may be continued as if the merger had not occurred or the surviving entity may be substituted as a party to the action or proceeding; and

(5)   except as prohibited by other law, all the rights, privileges, immunities, powers, and purposes of every limited partnership or other entity that is a party to the merger vest in the surviving entity.

(b)   Unless the surviving entity is a partnership, the Secretary of State is an agent for service of process in an action or proceeding against the surviving foreign entity to enforce an obligation of any party to a merger if the surviving foreign entity fails to appoint or maintain an agent designated for service of process in this State or the agent for service of process cannot with reasonable diligence be found at the registered office. Upon receipt of process, the Secretary of State shall send a copy of the process by registered or certified mail, return receipt requested, to the surviving entity at the address set forth in the articles of merger. Service is effected pursuant to this subsection at the earliest of:

(1)   the date the entity receives the process, notice, or demand;

(2)   the date shown on the return receipt, if signed on behalf of the entity; or

(3)   five days after its deposit in the mail, if mailed postpaid and correctly addressed.

(c)   A partner of a merging limited partnership is liable for all obligations as a party to the merger for which the partner was personally liable before the merger.

(d)   Unless otherwise agreed, a merger of a limited partnership that is not the surviving entity in the merger does not require the limited partnership to wind up its business or pay its liabilities and distribute its assets pursuant to this chapter.

Section 33-42-2140.   This article does not preclude a limited partnership from being merged pursuant to other law."

SECTION   4.   Chapter 11, Title 33 of the 1976 Code is amended by adding:

"Section 33-11-109.   (a)   A partnership or limited partnership may be converted to a corporation pursuant to this section.

(b)   The terms and conditions of a conversion of a partnership or limited partnership to a corporation must be approved by all the partners or by the number or percentage of the partners required for conversion in the partnership agreement.

(c)   An agreement of conversion must include the terms and conditions of the conversion of the interests of partners of a partnership or of a limited partnership into shares, obligations, or other securities in the converted corporation or the cash or other consideration to be paid or delivered as a result of the conversion of the interests of the partners, or both.

(d)   After a conversion is approved pursuant to subsection (b), the partnership or limited partnership shall file with the Secretary of State articles of incorporation that satisfy the requirements of Section 33-2-102 and contain:

(1)   a statement that the partnership or limited partnership is converted to a corporation from a partnership or limited partnership;

(2)   its former name;

(3)   a statement of the number of votes cast by the partners entitled to vote for and against the conversion and, if the vote is less than unanimous, the number or percentage required to approve the conversion pursuant to subsection (b); and

(4)   in the case of a limited partnership, a statement that the certificate of limited partnership is canceled as of the date the conversion takes effect.

(e)   In the case of a limited partnership, the filing of articles of incorporation pursuant to subsection (d) cancels its certificate of limited partnership as of the date the conversion takes effect.

(f)   A conversion takes effect when the articles of incorporation are filed in the Office of the Secretary of State or at a later date specified in the articles of incorporation.

(g)   A general partner who becomes a shareholder of a corporation as a result of a conversion remains liable as a partner for an obligation incurred by the partnership or limited partnership before the conversion takes effect.

(h)   A limited partner who becomes a shareholder as a result of a conversion remains liable only to the extent the limited partner was liable for an obligation incurred by the limited partnership before the conversion takes effect.

(i)     A partner's liability for all obligations of the corporation incurred after the conversion takes effect is that of a shareholder of the corporation.

Section 33-11-110.   (a)   A partnership or limited partnership that is converted pursuant to Section 33-11-109 is for all purposes the same entity that existed before the conversion.

(b)   When a conversion takes effect:

(1)   all property owned by the converting partnership or limited partnership vests in the corporation;

(2)   all debts, liabilities, and other obligations of the converting partnership or limited partnership continue as obligations of the corporation;

(3)   an action or proceeding pending by or against the converting partnership or limited partnership may be continued as if the conversion has not occurred;

(4)   except as prohibited by other law, all the rights, privileges, immunities, powers, and purposes of the converting partnership or limited partnership vest in the corporation; and

(5)   except as otherwise provided in the agreement of conversion pursuant to Section 33-11-109(c), all the partners of the converting partnership continue as shareholders of the corporation.

(c)(1)   If a partnership or limited partnership that owns real property in South Carolina changes its name by amendment of its articles or by merger, reorganization, domestication, or conversion, the newly-named surviving, acquiring, reorganized, domesticated, or converted entity must file a notice of that name change in the office of the register of deeds of the county in South Carolina in which the real property is located. If there is no office in that county, the notice of name change must be filed with the clerk of court of the county in which that real property is located.

(2)   The filing must be by:

(i)   affidavit containing the old name of the partnership or limited partnership and new name of the entity and describing the real property owned by that entity; or

(ii)   filing a certified copy of the amendment to certificate of limited partnership, articles of merger, articles of domestication, or articles of conversion and including a description of the real property; or

(iii)   a duly recorded deed of conveyance to the newly-named surviving, acquiring, reorganized, domesticated, or converted entity.

(3)   The affidavit, filed amendment, or articles must be duly indexed in the index of deeds.

(4)   The purpose of this subitem is to establish record notice pursuant to Chapter 7 of Title 30. Failure to make the required filing of a partnership or limited partnership name change does not affect the legality, force, effect, or enforceability as between the parties of any conveyance or other transaction involving the real estate owned by the affected entity that is made after the change in name.

Section 33-11-111.   (a)   A corporation may be converted to a limited liability company pursuant to this section.

(b)   After adopting a plan of conversion, the board of directors shall submit the plan of conversion for approval by its shareholders. For a plan of conversion to be approved:

(1)   the corporation shall notify each shareholder of the proposed shareholders' meeting in accordance with Section 33-7-105. The notice also must state that a purpose of the meeting is to consider a plan of conversion and must contain or be accompanied by a copy or summary of the plan;

(2)   unless Chapters 1 through 20 of this title or the articles of incorporation require a different vote, the plan of conversion must be approved by:

(i)   two-thirds of the votes entitled to be cast on the plan, regardless of the class or voting group to which the shares belong; and

(ii)   two-thirds of the votes entitled to be cast on the plan within each voting group entitled to vote as a separate group on the plan;

(3)   the articles of incorporation may require a lower or higher vote for approval than that specified in subitem (2), but the required vote must be at least a majority of the votes entitled to be cast on the plan by each voting group entitled to vote separately on the plan;

(4)   separate voting by voting groups is required to approve the plan of conversion if the plan contains a provision that would require action by one or more separate voting groups if the provision were included in a proposed amendment to the articles of incorporation, pursuant to Section 33-10-104; and

(5)   a shareholder may dissent from the plan of conversion and obtain payment of fair value of his shares as provided in Sections 33-13-101 through 33-13-310.

(c)   An agreement of conversion must include the terms and conditions of the conversion of the shares of shareholders of a corporation into interests in the converted limited liability company or the cash or other consideration to be paid or delivered as a result of the conversion of the shares of the shareholders, or both.

(d)   After a conversion is approved pursuant to subsection (b), the corporation shall file with the Secretary of State articles of organization that satisfy the requirements of Section 33-44-203 and contain:

(1)   a statement that the corporation is converted to a limited liability company from a corporation;

(2)   its former name;

(3)   a statement of the number of votes cast by the shareholders entitled to vote for and against the conversion and, if the vote is less than unanimous, the number or percentage required to approve the conversion pursuant to subsection (b);

(4)   if voting by voting group is required, the information in subitem (3) must be provided for each voting group entitled to vote separately on the plan of conversion; and

(5)   a statement that the articles of incorporation are cancelled as of the date the conversion takes effect.

(e)   The filing of articles of organization pursuant to subsection (d) cancels the articles of incorporation of the corporation as of the date the conversion takes effect.

(f)   A conversion takes effect when the articles of organization are filed in the Office of the Secretary of State or at a later date specified in the articles of organization.

(g)   A shareholder's liability for all obligations of the limited liability company incurred after the conversion takes effect is that of a member of the company. A shareholder who becomes a member of a limited liability company as a result of a conversion remains liable only to the extent the shareholder was liable for an obligation incurred by the corporation before the conversion takes effect.

Section 33-11-112.   (a)   A corporation that is converted to a limited liability company is for all purposes the same entity that existed before the conversion.

(b)   When a conversion takes effect:

(1)   all property owned by the converting corporation vests in the limited liability company;

(2)   all debts, liabilities, and other obligations of the converting corporation continue as obligations of the limited liability company;

(3)   an action or proceeding pending by or against the converting corporation may be continued as if the conversion has not occurred;

(4)   except as prohibited by other law, all the rights, privileges, immunities, powers, and purposes of the converting corporation vest in the limited liability company; and

(5)   except as otherwise provided in the agreement of conversion pursuant to Section 33-11-111(c), all the shareholders of the converting corporation continue as members of the limited liability company.

(c)(1)   If an entity that owns real property in South Carolina is converted to a limited liability company, the newly-named limited liability company must file a notice of that name change in the office of the register of deeds of the county in South Carolina in which the real property is located. If there is no office in that county, a notice of name change must be filed with the clerk of court of the county in which that real property is located.

(2)   The filing must be by:

(i)     affidavit containing the old name of the corporation and the new name of the limited liability company and describing the real property owned by that limited liability company; or

(ii)   filing a certified copy of the articles of organization including a description of the real property; or

(iii)   a duly recorded deed of conveyance to the newly-named limited liability company.

(3)   The affidavit, filed articles, or deed must be duly indexed in both the grantor and grantee indices to deeds in the index of deeds.

(4)   The purpose of this subitem is to establish record notice pursuant to Chapter 7 of Title 30. Failure to make the required filing of a corporation name change does not affect the legality, force, effect, or enforceability as between the parties of any conveyance or other transaction involving the real estate owned by the affected limited liability company that is made after the change in name.

Section 33-11-113.   (a)   A corporation may be converted to a partnership or limited partnership pursuant to this section.

(b)   After adopting a plan of conversion, the board of directors shall submit the plan of conversion for approval by its shareholders. For a plan of conversion to be approved:

(1)   the corporation shall notify each shareholder of the proposed shareholders' meeting in accordance with Section 33-7-105. The notice also must state that a purpose of the meeting is to consider a plan of conversion and must contain or be accompanied by a copy or summary of the plan;

(2)   unless Chapters 1 through 20 of this title or the articles of incorporation require a different vote, the plan of conversion must be approved by:

(i)     two-thirds of the votes entitled to be cast on the plan, regardless of the class or voting group to which the shares belong; and

(ii)   two-thirds of the votes entitled to be cast on the plan within each voting group entitled to vote as a separate group on the plan;

(3)   the articles of incorporation may require a lower or higher vote for approval than that specified in subitem (2), but the required vote must be at least a majority of the votes entitled to be cast on the plan by each voting group entitled to vote separately on the plan;

(4)   separate voting by voting groups is required to approve the plan of conversion if the plan contains a provision that would require action by one or more separate voting groups if the provision was included in a proposed amendment to the articles of incorporation pursuant to Section 33-10-104; and

(5)   a shareholder may dissent from the plan of conversion and obtain payment of the fair value of his shares as provided in Sections 33-13-101 through 33-13-310.

(c)   An agreement of conversion must include the terms and conditions of the conversion of the shares of shareholders of a corporation into interests in the converted partnership or limited partnership or the cash or other consideration to be paid or delivered as a result of the conversion of the shares of the shareholders, or both.

(d)   After a conversion is approved pursuant to subsection (b), the corporation shall file with the Secretary of State articles of conversion or certificate of limited partnership that satisfies the requirements of Section 33-42-210 and contains:

(1)   a statement that the corporation was converted to a partnership or limited partnership from a corporation, as the case may be;

(2)   its former name;

(3)   a statement of the number of votes cast by the shareholders entitled to vote for and against the conversion and, if the vote is less than unanimous, the number or percentage required to approve the conversion pursuant to subsection (b);

(4)   if voting by voting groups was required, the information in subitem (3) must be provided for each voting group entitled to vote separately on the plan of conversion; and

(5)   a statement that the articles of incorporation are to be cancelled as of the date the conversion takes effect.

(e)   The filing of articles of conversion or a certificate of limited partnership pursuant to subsection (d) cancels the articles of incorporation of the corporation as of the date the conversion takes effect.

(f)   A conversion takes effect when the articles of conversion or certificate of limited partnership is filed with the Secretary of State or at a later date specified in the articles of conversion or certificate of limited partnership.

(g)   A shareholder's liability for all obligations of the limited partnership incurred after the conversion takes effect is that of a general partner or limited partner. A shareholder who becomes a partner of a partnership or limited partnership as a result of a conversion remains liable only to the extent the shareholder was liable for an obligation incurred by the corporation before the conversion takes effect.

Section 33-11-114.   (a)   A corporation that is converted to a partnership or limited partnership is for all purposes the same entity that existed before the conversion.

(b)   When a conversion takes effect:

(1)   all property owned by the converting corporation vests in the partnership or limited partnership;

(2)   all debts, liabilities, and other obligations of the converting corporation continue as obligations of the partnership or limited partnership;

(3)   an action or proceeding pending by or against the converting corporation may be continued as if the conversion has not occurred;

(4)   except as prohibited by other law, all of the rights, privileges, immunities, powers, and purposes of the converting corporation vest in the partnership or limited partnership; and

(5)   except as otherwise provided in the agreement of conversion pursuant to Section 33-11-113(c), all of the shareholders of the converting corporation continue as either general partners or limited partners of the general or limited partnership and as specified in accord with the plan of conversion.

Section 33-11-115.   This chapter does not preclude an entity from being converted pursuant to other law."

SECTION   5.   Chapter 44, Title 33 of the 1976 Code is amended by adding:

"Section 33-44-908.   (a)   A limited liability company may be converted to a corporation pursuant to this section.

(b)   The terms and conditions of a conversion of a limited liability company to a corporation must be approved by all the members or by the number or percentage of the members required for conversion in the limited liability company agreement.

(c)   An agreement of conversion must include the terms and conditions of the conversion of the interests of members of a limited liability company into interests in the converted corporation or the cash or other consideration to be paid or delivered as a result of the conversion of the interests of the members, or both.

(d)   After a conversion is approved pursuant to subsection (b), the limited liability company shall file with the Secretary of State articles of incorporation that satisfy the requirements of Section 33-2-102 and contain:

(1)   a statement that the limited liability company was converted to a corporation from a limited liability company;

(2)   its former name;

(3)   a statement of the number of votes cast by the members entitled to vote for and against the conversion and, if the vote is less than unanimous, the number or percentage required to approve the conversion pursuant to subsection (b); and

(4)   a statement that the articles of organization are cancelled as of the date the conversion takes effect.

(e)   A conversion takes effect when the articles of incorporation are filed in the Office of the Secretary of State or at a later date specified in the articles of incorporation.

(f)   A member who becomes a shareholder of a corporation as a result of a conversion remains liable as a member for an obligation incurred by the limited liability company before the conversion takes effect and for which a member would be personally liable.

Section 33-44-909.   (a)   A limited liability company that is converted to a corporation is for all purposes the same entity that existed before the conversion.

(b)   When a conversion takes effect:

(1)   all property owned by the converting limited liability company vests in the corporation;

(2)   all debts, liabilities, and other obligations of the converting limited liability company continue as obligations of the corporation;

(3)   an action or proceeding pending by or against the converting limited liability company may be continued as if the conversion had not occurred;

(4)   except as prohibited by other law, all the rights, privileges, immunities, powers, and purposes of the converting limited liability company vest in the corporation;

(5)   except as otherwise provided in the agreement of conversion pursuant to Section 33-44-908, all the members of the converting limited liability company continue as shareholders of the corporation; and

(6)   a member's liability for all obligations of the corporation incurred after the conversion takes effect is that of a shareholder of the corporation.

(c)(1)   If a limited liability company that owns real property in South Carolina is converted to a corporation, the newly-named corporation must file a notice of that name change in the office of the register of deeds of the county in South Carolina in which the real property is located. If there is no office in that county, a notice of name change must be filed with the clerk of court of the county in which that real property is located.

(2)   The filing must be by:

(i)   affidavit executed in accordance with the provisions of Section 33-1-200 and containing the old name of the limited liability company and new name of the corporation and describing the real property owned by that corporation; or

(ii)   filing a certified copy of the articles of incorporation including a description of the real property; or

(iii)   by a duly recorded deed of conveyance to the newly-named corporation.

(3)   The affidavit, filed articles, or deed must be duly indexed in both the grantor and grantee indices to deeds in the index of deeds.

(4)   The purpose of this subitem is to establish record notice pursuant to Chapter 7 of Title 30. Failure to make the required filing of a limited liability company name change does not affect the legality, force, effect, or enforceability as between the parties of any conveyance or other transaction involving the real estate owned by the affected corporation that is made after the change in name.

Section 33-44-910.   (a)   A limited liability company may be converted to a limited partnership pursuant to this section.

(b)   The terms and conditions of a conversion of a limited liability company to a limited partnership must be approved by all the members or by the number or percentage of the members required for conversion in the operating agreement.

(c)   An agreement of conversion must include the terms and conditions of the conversion of the interests of members of a limited liability company into interests in the converted limited partnership or the cash or other consideration to be paid or delivered as a result of the conversion of the interests of the members, or both.

(d)   After a conversion is approved pursuant to subsection (b), the limited liability company shall file with the Secretary of State a certificate of limited partnership that satisfies the requirements of Section 33-42-210 and contains:

(1)   a statement that the limited liability company is converted to a limited partnership from a limited liability company;

(2)   its former name;

(3)   a statement of the number of votes cast by the members entitled to vote for and against the conversion and, if the vote is less than unanimous, the number or percentage required to approve the conversion pursuant to subsection (b); and

(4)   a statement that the articles of organization are cancelled as of the date the conversion takes effect.

(e)   The filing of a certificate of limited partnership pursuant to subsection (d) cancels the articles of organization of the limited liability company as of the date the conversion takes effect.

(f)   A conversion takes effect when the certificate of limited partnership is filed with the Secretary of State or at a later date specified in the certificate of limited partnership.

(g)   A member's liability for all obligations of the limited partnership incurred after the conversion takes effect is that of a general partner or limited partner. A member who becomes a partner of a limited partnership as a result of a conversion remains liable only to the extent the member was liable for an obligation incurred by the limited liability company before the conversion takes effect.

Section 33-44-911.   (a)   A limited liability company that is converted to a limited partnership is for all purposes the same entity that existed before the conversion.

(b)   When a conversion takes effect:

(1)   all property owned by the converting limited liability company vests in the limited partnership;

(2)   all debts, liabilities, and other obligations of the converting limited liability company continue as obligations of the limited partnership;

(3)   an action or proceeding pending by or against the converting limited liability company may be continued as if the conversion has not occurred;

(4)   except as prohibited by other law, all the rights, privileges, immunities, powers, and purposes of the converting limited liability company vest in the limited partnership; and

(5)   except as otherwise provided in the agreement of conversion pursuant to Section 33-44-910(c), all the members of the converting limited liability company continue as general partners or limited partners of the limited partnership in accord with the agreement of conversion.

(c)(1)   If a limited liability company that owns real property in South Carolina is converted to a limited partnership, the newly-named limited partnership must file a notice of that name change in the office of the register of deeds of the county in South Carolina in which the real property is located. If there is no office in that county, a notice of name change must be filed with the clerk of court of the county in which that real property is located.

(2)   The filing must be by:

(i)   affidavit containing the old name of the limited liability company and new name of the limited partnership and describing the real property owned by that partnership or limited partnership; or

(ii)   filing a certified copy of the certificate of limited partnership including a description of the real property; or

(iii)   a duly recorded deed of conveyance to the newly-named limited partnership.

(3)   The affidavit, filed articles, or deed must be duly indexed in both the grantor and grantee indices to deeds in the index of deeds.

(4)   The purpose of this subitem is to establish record notice pursuant to Chapter 7 of Title 30. Failure to make the required filing of a limited liability company name change does not affect the legality, force, effect, or enforceability as between the parties of any conveyance or other transaction involving the real estate owned by the affected partnership or limited partnership that is made after the change in name.

Section 33-44-912.   (a)   A limited liability company may be converted to a partnership pursuant to this section.

(b)   The terms and conditions of a conversion of a limited liability company to a partnership must be approved by all the members or by the number or percentage of the members required for conversion in the operating agreement.

(c)   An agreement of conversion must include the terms and conditions of the conversion of the interests of members of a limited liability company into interests in the converted partnership or the cash or other consideration to be paid or delivered as a result of the conversion of the interests of the members, or both.

(d)   After a conversion is approved pursuant to subsection (b), the limited liability company shall file with the Secretary of State articles of conversion that contain:

(1)   a statement that the limited liability company is converted to a partnership from a limited liability company;

(2)   its former name;

(3)   a statement of the number of votes cast by the members entitled to vote for and against the conversion and, if the vote is less than unanimous, the number or percentage required to approve the conversion pursuant to subsection (b); and

(4)   a statement that the articles of organization are cancelled as of the date the conversion takes effect.

(e)   A conversion takes effect when the articles of conversion are filed with the Secretary of State or at a later date specified in the articles of conversion.

(f)   A member who becomes a partner of a partnership as a result of a conversion remains liable as a member for an obligation incurred by the limited liability company before the conversion takes effect and for which a member would be personally liable.

Section 33-44-913.   (a)   A limited liability company that has been converted to a partnership is for all purposes the same entity that existed before the conversion.

(b)   When a conversion takes effect:

(1)   all property owned by the converting limited liability company vests in the partnership;

(2)   all debts, liabilities, and other obligations of the converting limited liability company continue as obligations of the partnership;

(3)   an action or proceeding pending by or against the converting limited liability company may be continued as if the conversion has not occurred;

(4)   except as prohibited by other law, all the rights, privileges, immunities, powers, and purposes of the converting limited liability company vest in the partnership;

(5)   except as otherwise provided in the agreement of conversion pursuant to Section 33-44-912(c), all the members of the converting limited liability company continue as general partners of the partnership in accord with the agreement of conversion; and

(6)   a member's liability for all obligations of the partnership incurred after the conversion takes effect is that of a general partner of the partnership.

(c)(1)   If a limited liability company that owns real property in South Carolina is converted to a partnership, the newly-named partnership must file a notice of that name change in the office of the register of deeds of the county in South Carolina in which the real property is located. If there is no office in that county, a notice of name change must be filed with the clerk of court of the county in which that real property is located.

(2)   The filing must be by:

(i)     affidavit containing the old name of the limited liability company and new name of the partnership and describing the real property owned by that partnership; or

(ii)   filing a certified copy of the articles of conversion including a description of the real property; or

(iii)   a duly recorded deed of conveyance to the newly-named partnership.

(3)   The affidavit, filed articles, or deed must be duly indexed in both the grantor and grantee indices to deeds in the index of deeds.

(4)   The purpose of this subitem is to establish record notice pursuant to Chapter 7 of Title 30. Failure to make the required filing of a limited liability company name change does not affect the legality, force, effect, or enforceability as between the parties of any conveyance or other transaction involving the real estate owned by the affected partnership that is made after the change in name.

Section 33-44-914.   A limited liability company is not precluded from being converted pursuant to other law."

SECTION   6.   Chapter 44, Title 33 of the 1976 Code is amended by adding:

"Section 33-44-1208.   A foreign corporation is not required to qualify to do business in South Carolina merely because it is a member of a manager-run limited liability company, or because it is a member in a limited liability company but does not take part in the management of the limited liability company."

SECTION   7.   Chapter 8, Title 36 of the 1976 Code is amended by adding:

"Section 36-8-307.   (A)   Unless otherwise agreed, the transferor of a security on due demand shall supply the purchaser with proof of authority to transfer or with other documentation necessary to obtain registration of the transfer of the security. If the transferor fails to comply with the demand within a reasonable time, the purchaser may reject or rescind the transfer.

(B)   If the transfer is not for value, a transferor is not required to comply with subsection (A) unless the purchaser pays the necessary expense."

SECTION   8.   Section 33-1-220(a) and (d) of the 1976 Code, as last amended by Act 378 of 1994, is further amended to read:

"(a)   The Secretary of State shall collect the following fees when the documents described in this subsection are delivered to him for filing:

DOCUMENT                           FEE

(1)   Articles of incorporation             $10.00.

(2)   Application for use of

indistinguishable name               $10.00.

(3)   Application for reserved

name                             $10.00.

(4)   Notice of transfer of

reserved name                       $ 3.00.

(5)   Application for registered

name                             $10.00.

(6)   Application for renewal of

registered name                     $10.00.

(7)   Corporation's statement of

change of registered agent

or registered office or

both                               $10.00.

(8)   Agent's statement of change

of registered office for

each affected corporation             $ 2.00.

(9)   Agent's statement of

resignation                         $ 3.00.

(10)   Amendment of articles

of incorporation                     $10.00.

(11)   Restatement of articles

of incorporation with

amendment of articles               $10.00.

(12)   Articles of merger or share

exchange                           $10.00.

(13)   Articles of dissolution               $10.00.

(14)   Articles of revocation of

dissolution                         $10.00.

(15)   Certificate of administrative

dissolution                         No fee.

(16)   Application for

reinstatement following

administrative dissolution             $25.00.

(17)   Certificate of reinstatement           No fee.

(18)   Certificate of judicial

dissolution                         No fee.

(19)   Application for certificate

of authority                       $10.00.

(20)   Application for amended

certificate of authority               $10.00.

(21)   Application for certificate

of withdrawal                       $10.00.

(22)   Certificate of revocation

of authority to transact

business                           No fee.

(23)   Annual report--As                   Fee Paid

provided in Section                   to Tax

12-19-20                           Commission

(24)   Articles of correction                 $10.00.

(25)   Application for certificate

of existence or

authorization                       $ 2.00.

(26)   Articles of domestication             $10.00.

(27)   Articles of conversion               $10.00.

(28)   Any other document required

or authorized to be filed by

this act.                           $10.00.

(d)   Before filing any of the following documents, the Secretary of State shall collect the following taxes that must be remitted to the State Treasurer for use of the State:

(1)   articles of incorporation, one hundred dollars plus the minimum license fee imposed pursuant to Chapter 19 of Title 12;

(2)   amendment to articles of incorporation, one hundred dollars;

(3)   articles of merger or share exchange, one hundred dollars;

(4)   application by a foreign corporation for a certificate of authority to do business in South Carolina, one hundred dollars plus the minimum license fee imposed pursuant to Chapter 19 of Title 12;

(5)   amendment by a foreign corporation of its certificate of authority, one hundred dollars.;

(6)   articles of conversion pursuant to either Section 33-11-111 or Section 33-11-113, one hundred dollars;

(7)   articles of domestication pursuant to Section 33-9-100, one hundred dollars."

SECTION   9.   Section 33-1-400(16) through (29) of the 1976 Code, as last amended by Act 371 of 2000, is further amended to read:

"(16)   'Limited partnership' means a limited partnership created pursuant to the Uniform Limited Partnership Act, Chapter 42 of Title 33, a predecessor law, or a comparable law of another jurisdiction.

(17)   'Means' denotes an exhaustive definition.

(17)(18)   'Notice' is defined in Section 33-1-410.

(19)   'Partnership' means a general partnership subject to the Uniform Partnership Act, Chapter 41 of Title 33, a predecessor law, or a comparable law of another jurisdiction.

(18)(20)   'Person' includes individual and entity.

(19)(21)   'Principal office' means the in-state or out-of-state location of the principal executive offices of a domestic or foreign corporation as designated in the annual report.

(20)(22)   'Proceeding' includes civil suit and criminal, administrative, and investigatory action, and formal or informal arbitration.

(21)(23)   'Record date' means the date established by Chapter 6 or 7 on which a corporation determines the identity of its shareholders for purposes of Chapters 1 through 20 of this title.

(22)(24)   'Secretary' means the corporate officer to whom the board of directors has delegated responsibility pursuant to Section 33-8-400(c) for custody of the minutes of the meetings of the board of directors and of the shareholders and for authenticating records of the corporation.

(23)(25)   'Shares' mean the units into which the proprietary interests in a corporation are divided.

(24)(26)   'Shareholder' means the person in whose name shares are registered in the records of a corporation or the beneficial owner of shares to the extent rights granted by a nominee certificate are on file with a corporation. Creditors of a corporation may have the rights of a shareholder as allowed in the corporation's articles of incorporation.

(25)(27)   'State' includes a state, commonwealth, territory, and insular possession, and their agencies and governmental subdivisions, of the United States and the District of Columbia.

(26)(28)   'Subscriber' means a person who subscribes for shares in a corporation before or after incorporation.

(27)(29)   'United States' includes district, authority, bureau, commission, department, and other agency of the United States.

(28)(30)   'Voting group' means all shares of one or more classes or series that may vote and be counted together collectively on a matter at a meeting of shareholders pursuant to the articles of incorporation or Chapters 1 through 20 of this Title title. Shares entitled to vote generally on the matter are for that purpose a single voting group.

(29)(31)   'Public corporation' means a corporation that has a class of equity securities registered with a federal agency pursuant to the Securities Exchange Act of 1934 or a successor act to the Securities Exchange Act of 1934."

SECTION   10.   Section 33-1-410(c) of the 1976 Code, as last amended by Act 444 of 1988, is further amended to read:

"(c)   Written notice by a domestic or foreign corporation to its shareholder, if in a comprehensible form, is effective when mailed, if mailed postpaid and correctly addressed to the shareholder's address shown in the corporation's current record of shareholders; however, a notice to a shareholder of a public corporation of a meeting of shareholders which accompanies a proxy statement or information statement is effective when it is addressed and mailed or transmitted in any manner which satisfies the applicable rules of the Securities and Exchange Commission requiring delivery of a proxy statement including, without limitation, rules regarding delivery to shareholders sharing an address and implied consent to such delivery."

SECTION   11.   Section 33-2-102(d) of the 1976 Code is amended to read:

"(d)   To be filed, the articles of incorporation must additionally be accompanied by the initial annual report of the corporation as specified in Section 12-19-20 12-20-40."

SECTION   12.   Section 33-4-104(a) and (b) of the 1976 Code, as last amended by Act 34 of 1997, is further amended to read:

"(a)   When any If a corporation or foreign corporation which that owns real property in South Carolina changes its corporate name by amendment of its articles or by merger, share exchange, domestication, conversion, or reorganization, the newly-named, surviving, acquiring, domesticating, converting, or reorganized reorganizing corporation must file a notice of that name change in the office of the register of deeds of the county in South Carolina in which the real property is situate located. If there is no such office in that county, a notice of name change must be filed with the clerk of court of the county in which that real property is situate located.

(b)   The filing must be by:

(1)   by affidavit executed in accordance with the provisions of Section 33-1-200 and containing the old and new names of the corporation, which affidavit also may describe and describing the real property owned by that corporation; or

(2)   by filing a certified copy of the amended articles, articles of merger, articles of conversion, articles of domestication, or articles of share exchange accompanied by a description of the real property; or

(3)   by a duly recorded deed of conveyance to the newly-named surviving, acquiring, domesticating, converting, or reorganized reorganizing corporation."

SECTION   13.   Section 33-6-260 of the 1976 Code, as last amended by Act 67 of 2001, is further amended to read:

"Section 33-6-260.   (A)   Unless the articles of incorporation or bylaws provide otherwise, the board of directors of a corporation may authorize the issue of some or all of the shares of any or all of its classes or series without certificates to the extent that investment securities not evidenced by certificates are authorized by Chapter 8 of Title 36 of the South Carolina Uniform Commercial Code. The authorization does not affect shares already represented by certificates until they the shares or certificates are surrendered to the corporation.

(B)   Within a reasonable time after the issue or transfer of shares to a shareholder without certificates, the corporation must send the shareholder a written statement containing the information required on a certification by Section 33-6-250(b) and (c) and Section 33-6-270, if applicable."

SECTION   14.   Section 33-11-101 of the 1976 Code, as last amended by Act 384 of 1994, is further amended to read:

"Section 33-11-101.   (a)   Business corporations A business corporation may merge with or into,:

(i)     another business corporation, domestic or foreign; or

(ii)   a nonprofit corporation, to the extent authorized by Section 33-31-1101, if the board of directors of each corporation adopts and it's the shareholders, of a business corporation, and or members, of a nonprofit corporation approve the plan of merger, if required by Section 33-11-103 for business corporations and or Section 33-31-1103 for nonprofit corporations, approve a plan of merger.;

(iii)   a limited liability company, domestic or foreign;

(iv)   a partnership, domestic or foreign; or

(v)   a limited partnership, domestic or foreign.

(b)   The plan of merger must set forth include the:

(1)   name of each corporation entity planning to merge and the name of the surviving corporation entity into which each other corporation entity plans to merge;

(2)   terms and conditions of the merger; and

(3)   manner and basis of converting the shares of each business corporation into shares, obligations, other securities, or membership interests of the surviving or any other corporation entity or into cash or other property in whole or part.

(c)   The plan of merger, when applicable, may must set forth:

(1)   amendments to the articles of incorporation, articles of organization, partnership agreement, or certificate of partnership of the surviving corporation entity; and

(2)   other provisions relating to the merger.

(d)   For purposes of this Section 33-11-101, the term "corporation" means both business and nonprofit corporations."

SECTION   15.   Section 33-11-105(a) of the 1976 Code is amended to read:

"(a)   After a plan of merger or share exchange is approved by the shareholders, or adopted by the board of directors if shareholder approval is not required, the surviving or acquiring corporation entity shall deliver to the Secretary of State for filing articles of merger or share exchange setting forth including:

(1)   the plan of merger or share exchange;

(2)   if shareholder approval was not required, a statement to that effect;

(3)   if approval of the shareholders of one or more corporations party to the merger or share exchange was required:

(i)     the designation, number of outstanding shares, and number of votes entitled to be cast by each voting group entitled to vote separately on the plan as to each corporation; and

(ii)   either the total number of votes cast for and against the plan by each voting group entitled to vote separately on the plan or the total number of undisputed votes cast for the plan separately by each voting group and a statement that the number cast for the plan by each voting group was sufficient for approval by that voting group."

SECTION   16.   Section 33-11-106(a) of the 1976 Code is further amended to read:

"(a)   When a merger takes effect:

(1)   every other corporation party to the merger merges into the surviving corporation entity and the separate existence of every corporation except the surviving corporation entity ceases;

(2)   the title to all real estate and other property owned by each corporation party to the merger is vested in the surviving corporation entity without reversion or impairment;

(3)   the surviving corporation entity has all liabilities of each corporation party to the merge merger;

(4)   a proceeding pending against any a corporation party to the merger may be continued as if the merger did not occur or the surviving corporation entity may be substituted in the proceeding for the corporation whose existence ceased;

(5)   the articles of incorporation organization of the surviving corporation entity are amended to the extent provided in the plan of merger; and

(6)   the shares of each corporation party to the merger that are to be converted into shares, obligations, or other securities of the surviving or any other corporation entity or into cash or other property are converted as appropriate, and the former holders of the shares are entitled only to the rights provided in the articles of merger or to their rights under pursuant to Chapter 13."

SECTION   17.   Section 33-13-102(A)(5) of the 1976 Code, as amended by Act 328 of 1998, is further amended to read:

"(5)   in the case of corporations which are not public corporations, the approval of a control share acquisition under Article 1 of Chapter 2 of Title 35;

(6)   any corporate action to the extent the articles of incorporation, bylaws, or a resolution of the board of directors provides that voting or nonvoting shareholders are entitled to dissent and obtain payment for their shares.;

(6)   the conversion of a corporation into a limited liability company pursuant to Section 33-11-111 or conversion of a corporation into either a general partnership or limited partnership pursuant to Section 33-11-113;

(7)   the consummation of a plan of conversion to a limited liability company pursuant to Section 33-11-111 or to a partnership or limited partnership pursuant to Section 33-11-113."

SECTION   18.   Section 33-14-107(c) of the 1976 Code is amended to read:

"(c)   If the dissolved corporation publishes a newspaper notice in accordance with subsection (b), the claim of each of the following claimants is barred unless the claimant commences a proceeding to enforce the claim against the dissolved corporation within five ten years after the publication date of the newspaper notice:

(1)   a claimant who did not receive written notice under pursuant to Section 33-14-106;

(2)   a claimant whose claim was timely sent to the dissolved corporation but not acted on.; and

(3)   a claimant whose claim is contingent or based on an event occurring after the effective date of the dissolution."

SECTION   19.   Section 33-14-200(b) of the 1976 Code, as last amended by Act 181 of 1993, is amended to read:

"(b)   The Secretary of State shall dissolve a corporation under pursuant to Section 33-14-210(c) if he is notified by the Department of Revenue that the corporation has failed to file a required tax return within sixty days of the notice required by Section 12-7-1675 12-6-5520."

SECTION   20.   Section 33-14-210(c) of the 1976 Code is amended to read:

"(c)   If the Secretary of State is notified by the Department of Revenue that the corporation has failed to file a required tax return within sixty days of the notice required by Section 12-7-1675 12-6-5520, the Secretary of State shall dissolve the corporation administratively by signing a certificate of dissolution that recites the grounds for dissolution and its effective date. The Secretary of State shall file the original of the certificate and send a copy to the corporation by registered or certified mail addressed to its registered agent at its registered office or to the office of the secretary of the corporation at its principal office."

SECTION   21.   Section 33-15-101(b) of the 1976 Code, as last amended by Act 446 of 1990, is further amended to read:

"(b)   The following activities, among others, do not constitute transacting business within the meaning of subsection (a):

(1)   maintaining, defending, or settling any a proceeding;

(2)   holding meetings of the board of directors or shareholders or carrying on other activities concerning internal corporate affairs;

(3)   maintaining bank accounts;

(4)   maintaining offices or agencies for the transfer, exchange, and registration of the corporation's own securities or maintaining trustees or depositories with respect to those securities;

(5)   selling through independent contractors;

(6)   soliciting or obtaining orders, whether by mail or through employees or agents or otherwise, if the orders require acceptance outside this State before they become contracts;

(7)   creating or acquiring any indebtedness, mortgages, and security interests in real or personal property;

(8)   securing or collecting any debts or enforcing mortgages, security interests, or any other rights in property securing debts;

(9)   owning, without more, real or personal property;

(10)   conducting an isolated transaction that is completed within thirty days and that is not one in the course of repeated transactions of a like nature;

(11)   transacting business in interstate commerce; or

(12)   owning and controlling a subsidiary corporation incorporated in or transacting business within this State; or

(13)   owning, without more, an interest in a limited liability company organized or transacting business in this State."

SECTION   22.   Section 33-15-103(c) of the 1976 Code is amended to read:

"(c)   The foreign corporation shall deliver with the completed application the initial annual report of the corporation as specified in Section 12-19-20 12-20-40."

SECTION   23.   Section 33-15-300(b) of the 1976 Code, as last amended by Act 181 of 1993, is further amended to read:

"(b)   The Secretary of State shall proceed under pursuant to Section 33-15-310(c) to revoke the certificate of authority of a foreign corporation authorized to transact business in this State if he is notified by the Department of Revenue that the corporation has failed to file a required tax return within sixty days of the notice required by Section 12-7-1675 12-6-5520."

SECTION   24.   Section 33-15-310(c) of the 1976 Code, as last amended by Act 181 of 1993, is further amended to read:

"(c)   If the Secretary of State is notified by the Department of Revenue that the foreign corporation has failed to file a required tax return within sixty days of the notice required by Section 12-7-1675 12-6-5520, the Secretary of State shall revoke the foreign corporation's certificate of authority by signing a certificate of revocation that recites the grounds for revocation and its effective date. The Secretary of State shall file the original of the certificate and send a copy to the foreign corporation by registered or certified mail addressed to its registered agent at its registered office or to the office of the secretary of the corporation at its principal office."

SECTION   25.   Section 33-31-1101 of the 1976 Code, as added by Act 384 of 1994, is amended to read:

"Section 33-31-1101.   (a)   Subject to the limitations set forth in Section 33-31-1102, one or more nonprofit corporations may merge into with:

(1)   a business or nonprofit corporation, and one or more business corporations may merge into with a nonprofit corporation to the extent authorized in Section 33-11-101, if the plan of merger is approved as provided in Section 33-31-1103.;

(2)   a limited liability company, domestic or foreign;

(3)   a partnership, domestic or foreign; or

(4)   a limited partnership, domestic or foreign.

(b)   The plan of merger must set forth include:

(1)   the name of each corporation entity planning to merge and the name of the surviving corporation entity into which each plans to merge;

(2)   the terms and conditions of the planned merger;

(3)   the manner and basis, if any, of converting the members of each public benefit or religious corporation into members of the surviving corporation entity;

(4)   if the merger involves a mutual benefit corporation, the manner and basis, if any, of converting membership of each merging corporation entity into membership, obligations, or securities of the surviving or any other corporation entity or into cash or other property in whole or part.

(c)   The plan of merger may set forth:

(1)   any amendments to the articles of incorporation or bylaws of the surviving corporation entity to be effected by the planned merger; and,

(2)   other provisions relating to the planned merger."

SECTION   26.   Section 33-42-1690(a) of the 1976 Code is amended to read:

"(a)   Without excluding other activities which may that do not constitute transacting business in this State, a foreign limited partnership shall not be deemed is considered not to be transacting business in this State, for purposes of this chapter, solely by reason of carrying on in this State any one or more of the following activities:

(1)   maintaining, defending, or participating in any action, suit, or proceeding whether judicial, administrative, arbitrative, or otherwise, or effecting the settlement thereof or the settlement of claims or disputes;

(2)   holding meetings of its partners or of committees thereof of its partners or carrying on other activities concerning its internal affairs;

(3)   maintaining bank accounts;

(4)   maintaining offices or agencies for the transfer, exchange, and registration of its securities, or appointing and maintaining trustees;

(5)   borrowing or lending or acquiring indebtedness or mortgages or other security interests in real or personal property;

(6)   securing or collecting debts or enforcing any rights in property securing the same;

(7)   effecting a transaction in interstate or foreign commerce;

(8)   owning or controlling a corporation incorporated in or transacting business within this State;

(9)   conducting within this State an isolated transaction which that is completed within a period of one hundred and eighty days and which that is not in the course of a series or number of repeated transactions;

(10)   effecting sales through independent contractors; or

(11)   soliciting or procuring orders, whether by mail or through employees or agents or otherwise, where such if the orders require acceptance without outside this State before becoming binding contracts; or

(12)   owning, without more, an interest in a limited liability company organized or transacting business in this State."

SECTION   27.   Section 33-44-208(b) and (c) of the 1976 Code, as added by Act 343 of 1996, is amended to read:

"(b)   A certificate of existence for a limited liability company must set forth include:

(1)   the company's name;

(2)   that it is duly organized under the laws of this State, the date of organization, whether its duration is at-will or for a specified term, and, if the latter, the period specified;

(3)   if payment is reflected in the records of the Secretary of State and if nonpayment affects the existence of the company, that all fees, taxes, and penalties owed to this State have been paid;

(4)   whether its most recent annual report required by Section 33-44-211 has been filed with the Secretary of State;

(5)   that articles of termination have not been filed; and

(6)(5)   other facts of record in the office Office of the Secretary of State which may be requested by the applicant.

(c)   A certificate of authorization for a foreign limited liability company must set forth include:

(1)   the company's name used in this State;

(2)   that it is authorized to transact business in this State;

(3)   if payment is reflected in the records of the Secretary of State and if nonpayment affects the authorization of the company, that all fees, taxes, and penalties owed to this State have been paid;

(4)   whether its most recent annual report required by Section 33-44-211 has been filed with the Secretary of State;

(5)   that a certificate of cancellation has not been filed; and

(6)(5)   other facts of record in the office Office of the Secretary of State which may be requested by the applicant."

SECTION   28.   Section 33-44-404(c)(9) of the 1976 Code is amended to read:

"(9)   the consent to dissolve the company under pursuant to Section 33-44-801(b)(2);"

SECTION   29.   Section 33-44-410(a) of the 1976 Code, as added by Act 343 of 1996, is amended to read:

"(a)   A member or manager may maintain an action against a limited liability company or another member or manager for legal or equitable relief, with or without an accounting as to the company's business, to enforce:

(1)   the member's rights under the operating agreement;

(2)   the member's rights under this chapter; and

(3)   the rights and that otherwise protect the interests of the member, including rights and interests arising independently of the member's relationship to the company."

SECTION   30.   Section 33-44-801 of the 1976 Code, as last amended by Act 442 of 1998, is further amended to read:

"Section 33-44-801.   A limited liability company is dissolved, and its business must be wound up, upon the occurrence of any of the following events:

(1)   an event specified in the operating agreement;

(2)   consent of the number or percentage of members specified in the operating agreement;

(3)   an event that makes it unlawful for all or substantially all of the business of the company to be continued, but a cure of illegality within ninety days after notice to the company of the event is effective retroactively to the date of the event for purposes of this section;

(4)   on application by a member or a dissociated member, upon entry of a judicial decree that:

(a)   the economic purpose of the company is likely to be unreasonably frustrated;

(b)   another member has engaged in conduct relating to the company's business that makes it not reasonably practicable to carry on the company's business with that member;

(c)   it is not otherwise reasonably practicable to carry on the company's business in conformity with the articles of organization and the operating agreement;

(d)   the company failed to purchase the petitioner's distributional interest as required by after giving effect to provisions of the operating agreement modifying or superseding the provisions of Section 33-44-701; or

(e)   the managers or members in control of the company have acted, are acting, or will act in a manner that is unlawful, oppressive, fraudulent, or unfairly prejudicial to the petitioner;

(5)   on application by a transferee of a member's interest, a judicial determination that it is equitable to wind up the company's business:

(a)   after the expiration of the specified term, if the company was for a specified term at the time the applicant became a transferee by way of member dissociation, transfer, or entry of a charging order that gave rise to the transfer; or

(b)   at any time, if the company existed at will at the time the applicant became a transferee by way of member dissociation, transfer, or entry of a charging order that gave rise to the transfer."

SECTION   31.   Section 33-44-806(b) of the 1976 Code, as added by Act 343 of 1996, is amended to read:

"(b)   Each member is entitled to a distribution upon the winding up of the limited liability company's business consisting of a return of all contributions which have not previously been returned and a distribution of any remainder in equal shares After application of subsection (a), and if the company is required to maintain capital accounts for its members as contemplated by the Internal Revenue Code, as defined in Chapter 6 of Title 12 and applicable treasury regulations, all remaining cash and other assets must be distributed to the members in accordance with their positive capital account balances, determined after taking into account all capital account adjustments for the taxable year of the company during which the distribution occurs, including adjustments for distributions made pursuant to this section."

SECTION   32.   Section 33-44-809 of the 1976 Code, as added by Act 343 of 1996, is amended to read:

"Section 33-44-809.   The Secretary of State may commence a proceeding to dissolve a limited liability company administratively if the company does not:

(1) pay any a fees fee, taxes tax, or penalties penalty imposed by this chapter or other law within sixty days after they are it is due; or

(2) deliver its annual report to the Secretary of State within sixty days after it is due."

SECTION   33.   Section 33-44-903 of the 1976 Code, as added by Act 343 of 1996, is amended by adding:

"(c)(1)   If an entity that owns real property in South Carolina is converted to a limited liability company by amendment of its articles or by merger, share exchange, or reorganization, the newly-named surviving, acquiring, or reorganizing limited liability company shall file a notice of that name change in the office of the register of deeds of that county. If there is no office in that county, the notice of name change must be filed with the clerk of court of the county in which that real property is located.

(2)   The filing must be by:

(i)   affidavit executed in accordance with the provisions of Section 33-1-200 and containing the old and new names of the limited liability company and describing the real property owned by that limited liability company; or

(ii)   filing a certified copy of the amended articles, articles of merger, or articles of share exchange, including a description of the real property; or

(iii)   a duly recorded deed of conveyance to the newly-named surviving, acquiring, or reorganizing limited liability company.

(3)   The affidavit or filed articles must be duly indexed in the index of deeds.

(4)   The purpose of this subitem is to establish record notice pursuant to Chapter 7 of Title 30. Failure to make the required filing of a limited liability name change does not affect the legality, force, effect, or enforceability as between the parties of a conveyance or other transaction involving the real estate owned by the affected limited liability company that is made after the change in name."

SECTION   34.   Section 33-44-905(a) and (b) of the 1976 Code, as added by Act 343 of 1996, is amended to read:

"(a)   After approval of the plan of merger under pursuant to Section 33-44-904(c), unless the merger is abandoned under pursuant to Section 33-44-904(d), articles of merger must be signed on behalf of each limited liability company and other entity that is a party to the merger and delivered to the Secretary of State for filing. The articles must set forth include:

(1)   the name and jurisdiction of formation or organization of each of the limited liability companies and other entities that are parties to the merger;

(2)   for each limited liability company that is to merge, the date its articles of organization were filed with the Secretary of State;

(3)   that a plan of merger has been is approved and signed by each limited liability company and other entity that is to merge;

(4)   the name and address of the surviving limited liability company or other surviving entity;

(5)   the effective date of the merger;

(6)   if a limited liability company is the surviving entity, such changes in its articles of organization as are necessary by reason of the merger;

(7)   if a party to a merger is a foreign limited liability company entity, the jurisdiction and date of filing of its initial articles of organization articles of incorporation, articles of organization, certificate of limited partnership, or other organizational document, if any, and the date when its application for authority was filed by the Secretary of State or, if an application has not been filed, a statement to that effect; and

(8)   if the surviving entity is not a limited liability company foreign entity, an agreement that the surviving entity may be served with process in this State and is subject to liability in any action or proceeding for the enforcement of any liability or obligation of any limited liability company previously subject to suit in this State which is to merge, and for the enforcement, as provided in this chapter, of the right of members of any limited liability company to receive payment for their interest against the surviving entity.

(b)   If a foreign limited liability company entity is the surviving entity of a merger, it may shall not do business in this State until an application for that authority is filed with the Secretary of State."

SECTION   35.   Section 33-44-1003(a) of the 1976 Code, as added by Act 343 of 1996, is amended to read:

"(a)   activities of a foreign limited liability company that do not constitute are not considered transacting business in this State within the meaning of this article include:

(1)   maintaining, defending, or settling an action or proceeding;

(2)   holding meetings of its members or managers or carrying on any other activity concerning its internal affairs;

(3)   maintaining bank accounts;

(4)   maintaining offices or agencies for the transfer, exchange, and registration of the foreign company's own securities or maintaining trustees or depositories with respect to those securities;

(5)   selling through independent contractors;

(6)   soliciting or obtaining orders, whether by mail or through employees or agents or otherwise, if the orders require acceptance outside this State before they become contracts;

(7)   creating or acquiring indebtedness, mortgages, or security interests in real or personal property;

(8)   securing or collecting debts or enforcing mortgages or other security interests in property securing the debts, and holding, protecting, and maintaining property so acquired;

(9)   conducting an isolated transaction that is completed within thirty days and is not one in the course of similar transactions of a like manner; and

(10)   transacting business in interstate commerce; and

(11)   owning, without more, an interest in a limited liability company organized or transacting business in this State."

SECTION   36.   Section 33-44-1006(a) of the 1976 Code, as added by Act 343 of 1996, is amended to read:

"(a)   A certificate of authority of a foreign limited liability company to transact business in this State may be revoked by the Secretary of State in the manner provided in subsection (b) if:

(1)   the company fails to:

(i)   pay any a fees fee, taxes tax, and penalties or penalty owed to this State;

(ii)   deliver its annual report required under Section 33-44-211 to the Secretary of State within sixty days after it is due;

(iii)   appoint and maintain an agent for service of process as required by this article; or

(iv)(iii)     file a statement of a change in the name or business address of the agent as required by this article; or

(2)   a misrepresentation has been made of any a material matter in any application, report, affidavit, or other record submitted by the company pursuant to this article."

SECTION   37.   Section 33-44-1204(a) of the 1976 Code, as added by Act 343 of 1996, is amended to read:

"(a)   The Secretary of State shall collect the following fees when the following documents described in this subsection are delivered to him for filing:

(1)   Articles articles of organization of a limited liability company: one hundred and ten dollars.

(2)   Amendment amendment or restatement of the articles of organization of a limited liability company: one hundred and ten dollars.

(3)   Articles articles of merger involving a domestic or foreign limited liability company: one hundred and ten dollars.

(4)   Application application by a foreign limited liability company for a certificate of authority to transact business in South Carolina: one hundred and ten dollars.

(5)   Amendment amendment by a foreign limited liability company of its certificate of authority: one hundred and ten dollars.

(6)   Application application for reservation of a limited liability company name: twenty-five dollars.

(7)   Notice notice of transfer of a reserved limited liability company name: ten dollars.

(8)   Annual annual application for registration (or renewal) of a foreign limited liability company name: ten dollars.

(9)   Annual report of a domestic or foreign limited liability company: ten dollars.

(10)   Statement of change of designated office or agent for the service of process, or both: ten dollars.

(11)(10)   Articles articles of termination: ten dollars.

(12)(11)   Application application for reinstatement after administrative dissolution: twenty-five dollars.

(13)(12)   Application application for certificate of cancellation: ten dollars.

(14)(13)   Application application for certificate of existence or authorization: ten dollars.

(15)(14)   Any other document required or authorized to be filed pursuant to this chapter: two dollars."

SECTION   38.   Section 38-90-20(F) of the 1976 Code, as added by Act 228 of 2002, is amended to read:

"(F)   The terms and conditions set forth in Section 38-5-170 apply in full to captive insurance companies licensed under this chapter. A captive insurance company shall not operate from a location in South Carolina unless it is licensed as a captive insurance company pursuant to this chapter."

SECTION   39.   Section 38-90-60(E) of the 1976 Code, as last amended by Act 73 of 2003, is further amended to read:

"(E)   The articles of incorporation or articles of organization, the certificate issued pursuant to subsection (D), and the organization fees required by Section 33-1-220 must be transmitted to the Secretary of State, who shall record both the articles of incorporation or articles of organization and the certificate. It is unlawful for the Secretary of State to issue a charter or grant amendments of charter to a captive insurance company or permit a foreign or alien captive insurance company to do business in this State without the written approval of the director or his designee."

SECTION   40.   Section 12-20-40(A) of the 1976 Code is amended to read:

"(A)   An initial annual report and the minimum license fee required by Sections 12-20-50 and 12-20-100(C) must be filed with the Secretary of State with the initial articles of incorporation filed by a domestic corporation, or an application for certificate of authority filed by a foreign corporation, or the articles of domestication filed by a corporation domesticating in South Carolina, as appropriate. The initial annual report must be submitted to the department by the Secretary of State and contain the information required in Section 12-20-30(A)."

SECTION   41.   Article 1, Chapter 10, Title 33 of the 1976 Code is amended by adding:

"Section 33-10-110.   (A)   A corporation formed under this chapter may, by amendment of its articles pursuant to this section, convert to a nonprofit public benefit corporation as defined in Section 33-31-140 or to a nonprofit mutual benefit corporation as defined in Section 33-31-140. Upon conversion, the corporation is considered to have previously filed articles of incorporation under Section 33-31-202 upon the date of its incorporation under this chapter and to have filed articles of amendment pursuant to Section 33-10-106.

(B)   The amendment of the articles to convert to a nonprofit corporation shall:

(1)   revise the statement of purpose for which the corporation is organized;

(2)   set forth one of the statements provided for in Section 33-31-202(a)(2);

(3)   set forth the address, including zip code, of the proposed principal office for the corporation which may be either within or outside this State;

(4)   delete the authorization for shares and any other provisions relating to authorized or issued shares;

(5)   state whether or not the corporation will have members;

(6)   set forth provisions not inconsistent with law regarding the distribution of assets on dissolution;

(7)   make other changes as necessary or desired pursuant to Section 33-31-202; and

(8)   if any shares have been issued, provide either for the cancellation of those shares or for the conversion of those shares to memberships of the nonprofit corporation.

(C)   If shares have been issued, an amendment to convert to a nonprofit corporation must be approved by all of the outstanding shares of all classes regardless of limitations or restrictions on the voting rights of the shares.

(D)   Upon conversion, the corporation's bylaws must be amended to comply with the provisions of Chapter 31 of this title, the South Carolina Nonprofit Corporation Act of 1994, and any successor act."

SECTION   42.   Section 33-31-401 of the 1976 Code, as added by Act 384 of 1994, is amended by adding at the end:

"(f)   A corporation that converts to a nonprofit corporation pursuant to Section 33-10-110 may continue to use the same name that it used prior to the conversion."

SECTION   43.   Sections 33-14-410, 33-42-320, 33-44-211, 39-13-10, 39-13-20, 39-13-30, and 39-13-40 of the 1976 Code are repealed.

SECTION   44.   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.

On motion of Senator SETZLER, the Bill was carried over.

AMENDED, CARRIED OVER

S. 1041 (Word version) -- Senators Martin and Ritchie: A BILL TO AMEND SECTION 7-13-190, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO SPECIAL ELECTIONS TO FILL VACANCIES IN OFFICE, SO AS TO REPEAL A PROVISION WHICH PROHIBITS WRITE-IN VOTES IN SPECIAL ELECTIONS AND MUNICIPAL GENERAL ELECTIONS.

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

Senators MESCHER and MARTIN proposed the following amendment (JUD1041.001), which was adopted:

Amend the bill, as and if amended, beginning on page 2, line 29, in Section 7-13-190(E), as contained in SECTION 1, by striking line 29 on page 2 through line 6 on page 3 in their entirety and inserting therein the following:

/   (E)(1)   A special election to fill a vacancy in an office is not required to be conducted if fourteen calendar days have elapsed since the filing period for that office has closed and:

(a)   only one person has filed for the office; and

(b)   no person has filed a declaration to be a write-in candidate with the authority charged by law with conducting the election.

(2)   In such an event, the candidate who filed for the office is deemed considered elected and shall take office on the Monday following certification.

(3)   The provisions of this subsection also apply to municipal general elections.

When no person has filed a declaration to be a write-in candidate pursuant to this section, the candidate who filed for the office must be declared the winner by the authority charged by law with conducting the election, and the votes for the election must not be counted or otherwise tabulated. Nothing in this section requires a ballot containing the name of a person who has been declared the winner pursuant to this section to be reprinted to delete the winning candidate's name or candidates' names from the ballot."     /

Renumber sections to conform.

Amend title to conform.

Senator MARTIN explained the amendment.

The amendment was adopted.

On motion of Senator SETZLER, with unanimous consent, the Bill was carried over, as amended.

LOCAL APPOINTMENT
Confirmation

Having received a favorable report from the Lancaster County Delegation, the following appointment was confirmed in open session:

Initial Appointment, Lancaster County Magistrate, with term to commence April 30, 2002, and to expire April 30, 2006

Van K. Richardson, P. O. Box 65, Kershaw, S.C. 29067 VICE Johnny Ray Steele (retired)

MOTION ADOPTED

On motion of Senator LAND, with unanimous consent, the Senate stood adjourned out of respect to the memory of Mr. Clarence Edwin Eadon of Manning, S.C.

ADJOURNMENT

At 3:45 P.M., on motion of Senator LEATHERMAN, the Senate adjourned to meet tomorrow at 11:00 A.M., under the provisions of Rule 1B.

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