South Carolina General Assembly
116th Session, 2005-2006
Journal of the Senate

Tuesday, January 24, 2006
(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, hear a great word from the Bible for biblical sociology, Genesis 6:5-8:

"Then the Lord saw that the wickedness of man was in the earth... so the Lord said, 'I will destroy man.' ...but Noah found grace in the eyes of the Lord."

Let us pray.

Father, in every age when the foundations of the earth seem to be crumbling, we thank You for the revelation that You are the architect and builder of the City of God - great is your relationship with man and our world.

We need to remember - "Thou shalt love the Lord thy God with all thy heart - and thy neighbor as thyself."

Forgive us, Lord.
Amen!

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

REGULATIONS RECEIVED

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

Document No. 2983
Agency: Department of Revenue
SUBJECT: Wired Music
Received by Lieutenant Governor January 20, 2006
Referred to Finance Committee
Legislative Review Expiration May 20, 2006

Document No. 2985
Agency: Department of Revenue
SUBJECT: Sales and Use Tax - Manufactured and Modular Homes
Received by Lieutenant Governor January 20, 2006
Referred to Finance Committee
Legislative Review Expiration May 20, 2006

Document No. 2987
Agency: Department of Revenue
SUBJECT: Alcoholic Beverage License - Records
Received by Lieutenant Governor January 20, 2006
Referred to Finance Committee
Legislative Review Expiration May 20, 2006

Document No. 3000
Agency: Department of Health and Environmental Control
SUBJECT: Emergency Medical Services
Received by Lieutenant Governor January 20, 2006
Referred to Medical Affairs Committee
Legislative Review Expiration May 20, 2006

Document No. 3001
Agency: Department of Health and Environmental Control
SUBJECT: Environmental Protection Fees
Received by Lieutenant Governor January 20, 2006
Referred to Fish, Game and Forestry Committee
Legislative Review Expiration May 20, 2006

Document No. 3002
Agency: Department of Health and Environmental Control
SUBJECT: Shellfish
Received by Lieutenant Governor January 20, 2006
Referred to Medical Affairs Committee
Legislative Review Expiration May 20, 2006

Document No. 3003
Agency: Department of Health and Environmental Control
SUBJECT: Hazardous Waste Management Regulations
Received by Lieutenant Governor January 20, 2006
Referred to Medical Affairs Committee
Legislative Review Expiration May 20, 2006

Document No. 3004
Agency: Department of Health and Environmental Control
SUBJECT: Prevention and Control of Lead Poisoning in Children
Received by Lieutenant Governor January 20, 2006
Referred to Medical Affairs Committee
Legislative Review Expiration May 20, 2006

Document No. 3005
Agency: Department of Health and Environmental Control
SUBJECT: (Repeal) Capacity Use Declaration, Waccamaw Area; (Repeal) Capacity Use Declaration, Low Country Area; (New) Groundwater Use and Reporting
Received by Lieutenant Governor January 20, 2006
Referred to Agriculture and Natural Resources Committee
Legislative Review Expiration May 20, 2006

Document No. 3006
Agency: Department of Health and Environmental Control
SUBJECT: Statement of Policy and Specific Project Standards for Tidelands and Coastal Waters
Received by Lieutenant Governor January 20, 2006
Referred to Fish, Game and Forestry Committee
Legislative Review Expiration May 20, 2006

Document No. 3027
Agency: Board of Education
SUBJECT: Nutrition Standards for Elementary (K-5) School Food Service Meals and Competitive Foods
Received by Lieutenant Governor January 20, 2006
Referred to Education Committee
Legislative Review Expiration May 20, 2006

Document No. 3028
Agency: Board of Education
SUBJECT: (Repeal) Types and Levels of Credential Classification
Received by Lieutenant Governor January 20, 2006
Referred to Education Committee
Legislative Review Expiration May 20, 2006

Document No. 3029
Agency: Board of Education
SUBJECT: (Repeal) Requirements for Credential Advancement
Received by Lieutenant Governor January 20, 2006
Referred to Education Committee
Legislative Review Expiration May 20, 2006

Agency: Department of Revenue
Document No. 3032
SUBJECT: Sales and Use Tax - Warranty
Received by Lieutenant Governor January 20, 2006
Referred to Finance Committee
Legislative Review Expiration May 20, 2006

Document No. 3033
Agency: Department of Revenue
SUBJECT: Sales and Use Tax - Interstate Commerce
Received by Lieutenant Governor January 20, 2006
Referred to Finance Committee
Legislative Review Expiration May 20, 2006

Doctor of the Day

Senator CLEARY introduced Dr. Ray Harmon of Pawley's Island, S.C., Doctor of the Day.

Leave of Absence

On motion of Senator McCONNELL, at 12:05 P.M., Senator J. VERNE SMITH was granted a leave of absence for the week.

Expression of Personal Interest

Senator MALLOY rose for an Expression of Personal Interest.

S. 958--CO-SPONSOR ADDED

S. 958 (Word version) -- Senators Cleary, Elliott, Lourie, Leventis, Scott, Anderson, Reese, Rankin, Land and Sheheen: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 38-71-280 SO AS TO REQUIRE INSURANCE COVERAGE FOR TREATMENT OF PERVASIVE DEVELOPMENTAL DISORDERS AND TO DEFINE "PERVASIVE DEVELOPMENTAL DISORDER" AS A NEUROLOGICAL CONDITION, INCLUDING AUTISM AND ASPERGER'S SYNDROME.

On motion of Senator HUTTO, with unanimous consent, the name of Senator HUTTO was added as a co-sponsor of S. 958.

Motion Adopted

On motion of Senator McCONNELL, with unanimous consent, the Senate agreed to go into Executive Session prior to adjournment.

RECALLED

H. 4188 (Word version) -- Reps. Townsend, Agnew, Cooper, Martin, Thompson 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, TO REDESIGNATE A MAP NUMBER FOR THE MAP ON WHICH LINES OF THESE PRECINCTS ARE DELINEATED AND MAINTAINED BY THE OFFICE OF RESEARCH AND STATISTICS OF THE STATE BUDGET AND CONTROL BOARD, AND TO CORRECT ARCHAIC LANGUAGE.

Senator McCONNELL asked unanimous consent to make a motion to recall the Bill from the Committee on Judiciary.

There was no objection.

The Bill was recalled from the committee and ordered placed on the Calendar for consideration tomorrow.

INTRODUCTION OF BILLS AND RESOLUTIONS

The following were introduced:

S. 1067 (Word version) -- Senator Alexander: A CONCURRENT RESOLUTION TO INVITE THE NATIONAL COMMANDER OF THE AMERICAN LEGION, THE HONORABLE THOMAS L. BOCK, TO ADDRESS THE SOUTH CAROLINA GENERAL ASSEMBLY IN JOINT SESSION AT 12:30 P.M. ON TUESDAY, MARCH 7, 2006.
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Senator ALEXANDER spoke on the Resolution.

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

S. 1068 (Word version) -- Senator Anderson: A CONCURRENT RESOLUTION WELCOMING MR. TOM JOYNER AND THE TOM JOYNER MORNING SHOW "SKY SHOW" TO THE CITY OF GREENVILLE, SOUTH CAROLINA, ON FEBRUARY 3, 2006, AND THANKING HIM AND THE TOM JOYNER FOUNDATION FOR HIGHLIGHTING THE ACHIEVEMENTS OF AND PROVIDING FINANCIAL SUPPORT TO SOUTH CAROLINA'S HISTORICALLY BLACK COLLEGES AND UNIVERSITIES.
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The Concurrent Resolution was adopted, ordered sent to the House.

S. 1069 (Word version) -- Senator Hutto: A CONCURRENT RESOLUTION TO EXPRESS THE SORROW OF THE MEMBERS OF THE SOUTH CAROLINA GENERAL ASSEMBLY AT THE DEATH OF MRS. CAMILLE CUNNINGHAM SHARP OF ALLENDALE COUNTY AND TO EXTEND SYMPATHY TO HER FAMILY AND MANY FRIENDS.
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The Concurrent Resolution was adopted, ordered sent to the House.

S. 1070 (Word version) -- Senator Moore: A SENATE RESOLUTION TO COMMEMORATE THE ONE HUNDREDTH ANNIVERSARY OF THE ESTABLISHMENT OF THE MILBANK MEMORIAL FUND, TO HONOR THOSE ASSOCIATED WITH THE FOUNDATION FOR THEIR EXCEPTIONAL CONTRIBUTIONS TO THE WELL-BEING OF AMERICA'S ILL, AND TO WISH THE FOUNDATION CONTINUED SUCCESS IN ITS NEXT ONE HUNDRED YEARS.
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The Senate Resolution was adopted.

S. 1071 (Word version) -- Senator Moore: A SENATE RESOLUTION TO COMMEND AND RECOGNIZE THE STROM THURMOND HIGH SCHOOL REBEL REGIMENT FOR ITS OUTSTANDING WIN OF THE CLASS 3A LOWER STATE CHAMPIONSHIP IN OCTOBER 2005 AND TO WISH THE BAND ALL THE BEST IN UPCOMING COMPETITIONS.
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The Senate Resolution was adopted.

S. 1072 (Word version) -- Senator Moore: A SENATE RESOLUTION TO HONOR AND RECOGNIZE EDGEFIELD'S STROM THURMOND HIGH SCHOOL FOOTBALL TEAM AND ITS COACH, LEE SAWYER, FOR THEIR OUTSTANDING WIN FOR THE STATE AAA CHAMPIONSHIP ON DECEMBER 3, 2005, AND WISH THEM ALL THE BEST IN FUTURE SEASONS.
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The Senate Resolution was adopted.

S. 1073 (Word version) -- Senator O'Dell: A BILL TO AMEND SECTION 59-150-360, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO TUITION ASSISTANCE FROM LOTTERY FUNDS, SO AS TO PROVIDE FOR A SPECIFIC AMOUNT AS AN ANNUAL AWARD SUPPLEMENT AND TO PROVIDE FOR CUMULATIVE ADJUSTMENT OF THE AWARD AMOUNT SO AS TO REFLECT INCREASES IN THE HIGHER EDUCATION PRICE INDEX.
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Read the first time and referred to the Committee on Education.

S. 1074 (Word version) -- Senator O'Dell: A BILL TO AMEND SECTIONS 59-53-210 AND 59-53-240, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE CREATION OF THE TRI-COUNTY TECHNICAL COLLEGE DISTRICT AND THE TRI-COUNTY TECHNICAL COLLEGE COMMISSION AND THE EDUCATION INSTITUTION CREATED AND OPERATED BY THE COMMISSION, SO AS TO CHANGE THE NAME OF THE DISTRICT TO THE TRI-COUNTY TECHNICAL AND COMMUNITY COLLEGE DISTRICT, TO CHANGE THE NAME OF THE COMMISSION TO THE TRI-COUNTY TECHNICAL AND COMMUNITY COLLEGE COMMISSION, AND TO AUTHORIZE THE COMMISSION TO NAME THE EDUCATIONAL INSTITUTION CREATED AND OPERATED BY IT AS THE TRI-COUNTY COMMUNITY COLLEGE.
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Read the first time and, on motion of Senator O'DELL, with unanimous consent, S. 1074 was ordered placed on the Calendar without reference.

S. 1075 (Word version) -- Senators Leatherman, Drummond and Ryberg: A JOINT RESOLUTION TO CLARIFY THE STATE BUDGET AND CONTROL BOARD'S ACTION TAKEN ON NOVEMBER 1, 2005, RELATING TO THE SECOND INJURY FUND'S ASSESSMENT.
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Senator LEATHERMAN spoke on the Resolution.

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

S. 1076 (Word version) -- Senator Anderson: A CONCURRENT RESOLUTION TO RECOGNIZE AND COMMEND COLUMBIA NATIVE DANIEL W. THOMPSON OF RICHLAND COUNTY FOR HIS LIFETIME SERVICES AND COMMITMENTS TO SOUTH CAROLINA, TO CELEBRATE HIS EIGHTY-SIXTH BIRTHDAY, AND WISH HIM MANY RETURNS OF THE DAY.
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The Concurrent Resolution was adopted, ordered sent to the House.

S. 1077 (Word version) -- Senators Lourie, Alexander, Anderson, Bryant, Campsen, Cleary, Courson, Cromer, Drummond, Elliott, Fair, Ford, Gregory, Grooms, Hawkins, Hayes, Hutto, Jackson, Knotts, Land, Leatherman, Leventis, Malloy, Martin, Matthews, McConnell, McGill, Mescher, Moore, O'Dell, Patterson, Peeler, Pinckney, Rankin, Reese, Richardson, Ritchie, Ryberg, Scott, Setzler, Sheheen, Short, J. Verne Smith, Thomas, Verdin and Williams: A CONCURRENT RESOLUTION TO EXPRESS THE PROFOUND SORROW OF THE MEMBERS OF THE SOUTH CAROLINA GENERAL ASSEMBLY UPON THE PASSING OF THE HONORABLE HYMAN S. RUBIN AND TO EXTEND DEEPEST SYMPATHY TO HIS FAMILY AND MANY FRIENDS.
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The Concurrent Resolution was adopted, ordered sent to the House.

S. 1078 (Word version) -- Senators Cleary, Rankin and McGill: A BILL TO AMEND JOINT RESOLUTION 272 OF 1985, RELATING TO THE MURRELL'S INLET-GARDEN CITY FIRE DISTRICT IN GEORGETOWN AND HORRY COUNTIES, SO AS TO AUTHORIZE THE BOARD OF FIRE CONTROL FOR THE DISTRICT TO USE A PORTION OF THE IMPACT FEES TO CONSTRUCT A FACILITY OR BUILDING IN WHICH TO HOUSE OR STORE FIRE FIGHTING EQUIPMENT.
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Read the first time and, on motion of Senator CLEARY, with unanimous consent, S. 1078 was ordered placed on the Calendar without reference.

H. 4294 (Word version) -- Reps. Rhoad, Bailey and Moody-Lawrence: A JOINT RESOLUTION TO AUTHORIZE THE STATE BUDGET AND CONTROL BOARD TO TRANSFER OWNERSHIP OF A SURPLUS NATIONAL GUARD ARMORY IN BAMBERG, SOUTH CAROLINA, TO THE CITY OF BAMBERG.

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

H. 4385 (Word version) -- Reps. Chalk and Herbkersman: A BILL TO AMEND ACT 596 OF 1969, AS AMENDED, RELATING TO THE HILTON HEAD NO. 1 PUBLIC SERVICE DISTRICT IN BEAUFORT COUNTY, SO AS TO EXTEND THE TERMS OF COMMISSIONERS CURRENTLY SERVING BY ONE YEAR SO AS TO HAVE THEIR ELECTION IN EVEN-NUMBERED YEARS.

Read the first time and ordered placed on the Local and Uncontested Calendar.

H. 4468 (Word version) -- Reps. White, Agnew, Cooper, Martin, Thompson and Townsend: A CONCURRENT RESOLUTION RECOGNIZING THE HONORABLE WILLIAM PRESSLEY STEELE, JR. FOR HIS TWENTY YEARS OF DEDICATED SERVICE TO ANDERSON COUNTY FROM THE BENCH OF THE SUMMARY COURT AND HONORING HIM FOR HIS COMMITMENT TO JUSTICE AND HIS COMMUNITY.

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

H. 4469 (Word version) -- Reps. Scott, Agnew, Allen, Altman, Anderson, Anthony, Bailey, Bales, Ballentine, Bannister, Barfield, Battle, Bingham, Bowers, Brady, Branham, Breeland, G. Brown, J. Brown, R. Brown, Cato, Ceips, Chalk, Chellis, Clark, Clemmons, Clyburn, Coates, Cobb-Hunter, Coleman, Cooper, Cotty, Dantzler, Davenport, Delleney, Duncan, Edge, Emory, Frye, Funderburk, Govan, Hagood, Haley, Hamilton, Hardwick, Harrell, Harrison, Haskins, Hayes, Herbkersman, J. Hines, M. Hines, Hinson, Hiott, Hodges, Hosey, Howard, Huggins, Jefferson, Jennings, Kennedy, Kirsh, Leach, Limehouse, Littlejohn, Loftis, Lucas, Mack, Mahaffey, Martin, McCraw, McGee, McLeod, Merrill, Miller, Mitchell, Moody-Lawrence, J. H. Neal, J. M. Neal, Neilson, Norman, Ott, Owens, Parks, Perry, Phillips, Pinson, E. H. Pitts, M. A. Pitts, Rhoad, Rice, Rivers, Rutherford, Sandifer, Scarborough, Simrill, Sinclair, Skelton, D. C. Smith, F. N. Smith, G. M. Smith, G. R. Smith, J. E. Smith, J. R. Smith, W. D. Smith, Stewart, Talley, Taylor, Thompson, Toole, Townsend, Tripp, Umphlett, Vaughn, Vick, Viers, Walker, Weeks, Whipper, White, Whitmire, Witherspoon and Young: A CONCURRENT RESOLUTION HONORING THE MEMORY OF THE LATE MRS. ROSA LEE SCIPIO HENRY OF RICHLAND COUNTY AND CELEBRATING HER DEDICATION TO HER FAMILY AND COMMUNITY.

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

H. 4500 (Word version) -- Reps. Huggins and Hamilton: A CONCURRENT RESOLUTION TO DECLARE WEDNESDAY, JANUARY 25, 2006, AS "SOUTH CAROLINA HOMEOWNERSHIP DAY" IN ORDER TO RECOGNIZE AND HONOR THE SOUTH CAROLINA ASSOCIATION OF REALTORS AND THE MANY OUTSTANDING REALTORS AND REAL ESTATE PROFESSIONALS IN OUR STATE.

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

REPORTS OF STANDING COMMITTEES

Senator RYBERG from the Committee on Transportation polled out H. 4422 favorable:

H. 4422 (Word version) -- Reps. Jennings, Witherspoon, Battle, Hayes, Branham, Clemmons, J. Hines, M. Hines, Lucas, Miller, Neilson, Viers, Coates, McGee, Anderson, Vick, McLeod, Kennedy, Hodges, Ott, Jefferson and Clyburn: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 57-3-618 SO AS TO PROVIDE THAT THE DEPARTMENT OF TRANSPORTATION MAY IMPOSE AND COLLECT A TOLL ALONG THE PROPOSED INTERSTATE 73 UPON COMPLETION OF THIS HIGHWAY PROJECT TO BE USED TO PAY FOR THE COST OF PLANNING, RIGHT-OF-WAY ACQUISITIONS, FINANCING, CONSTRUCTION, OPERATION, AND OTHER EXPENSES ASSOCIATED WITH THIS PROJECT, AND FOR THE REMOVAL OF THE TOLLS UPON PAYMENT OF ALL SUCH COSTS.

Poll of the Transportation Committee
Polled 17; Ayes 17; Nays 0; Not Voting 0

AYES

Ryberg                    Land                      Leatherman
McGill                    Elliott                   Rankin
Grooms                    Richardson                Hawkins
Verdin                    Drummond                  Malloy
Knotts                    Short                     Pinckney
Campsen                   Cleary

Total--17

NAYS

Total--0

Ordered for consideration tomorrow.

Invitations Accepted

Senator ALEXANDER from the Committee on Invitations polled out with a favorable report the following invitations:

Poll of the Invitations Committee
Polled 11; Ayes 11; Nays 0; Not Voting 0

AYES

Alexander                 Patterson                 McGill
Reese                     Knotts                    O'Dell
Elliott                   Ford                      Grooms
Verdin                    Campsen

Total--11

NAYS

Total--0

Tuesday - January 24, 2006 - 6:00-9:00 PM:
Members of the Senate and Staff, Centennial Reception, Cantey Building-State Fair Grounds, by DNR, HARRY R. E. HAMPTON MEMORIAL WILDLIFE FUND AND THE SC CHAPTER OF THE NATIONAL TURKEY FEDERATION
(Accepted January 19, 2006)

Wednesday - January 25, 2006 - 7:45-8:45 AM:
Members of the Senate, Breakfast, Holiday Inn-City Center, by SC ASSOCIATION OF CHRISTIAN SCHOOLS
(Accepted January 19, 2006)

Wednesday - January 25, 2006 - Noon or Upon Adjournment:
Members of the Senate, Barbecue Lunch, State House Grounds, by SC BAPTIST CONVENTION
(Accepted January 19, 2006)

Wednesday - January 25, 2006 - 6:00-8:00 PM:
Members of the Senate and Staff, Oyster Roast and Frogmore Stew, at the Clarion Town House, by the CLARION TOWN HOUSE
(Accepted January 19, 2006)

Thursday - January 26, 2006 - 8:00-10:00 AM:
Members of the Senate and Staff, Breakfast, 221 Blatt Building, by NATIONAL COSMETOLOGY ASSOCIATION OF SC.
(Accepted January 19, 2006)

Tuesday, January 31, 2006 - 6:00-8:00 PM:
Members of the Senate and Staff, Reception, Columbia Marriott Hotel, by ELECTRIC COOPERATIVES OF SC
(Accepted January 19, 2006)

Wednesday, February 1, 2006 - 8:00-10:00 AM
Members of the Senate and Staff, Breakfast, 221 Blatt Building, by SC COALITION FOR PROMOTING PHYSICAL ACTIVITY
(Accepted January 19, 2006)

Wednesday, February 1, 2006 - 12:30-2:00 PM:
Members of the Senate, Lunch, Capital City Club, by SC ASSOCIATION OF NONPROFIT ORGANIZATIONS (SCANPO)
(Accepted January 19, 2006)

Wednesday, February 1, 2006 - 6:00-8:00 PM:
Members of the Senate and Staff, Reception, Koger Center, by CAROLINAS AGC
(Accepted January 19, 2006)

Thursday, February 2, 2006 - 8:00-10:00 AM:
Members of the Senate, Breakfast, 221 Blatt, by NATIONAL MS SOCIETY
(Accepted January 19, 2006)

HOUSE CONCURRENCES

S. 1062 (Word version) -- Senators Ritchie, Ford and Cleary: A CONCURRENT RESOLUTION TO FIX 12:00 NOON ON WEDNESDAY, FEBRUARY 15, 2006, AS THE TIME TO ELECT A SUCCESSOR TO A CERTAIN JUSTICE OF THE SUPREME COURT, SEAT 2, WHOSE TERM EXPIRES JULY 31, 2006; TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE COURT OF APPEALS, SEAT 8, WHOSE TERM EXPIRES JUNE 30, 2006; TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE CIRCUIT COURT FOR THE THIRD JUDICIAL CIRCUIT, SEAT 1, WHOSE TERM EXPIRES JUNE 30, 2010; TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE CIRCUIT COURT FOR THE THIRD JUDICIAL CIRCUIT, SEAT 2, WHOSE TERM EXPIRES JUNE 30, 2006; TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE CIRCUIT COURT FOR THE FOURTH JUDICIAL CIRCUIT, SEAT 2, WHOSE TERM EXPIRES JUNE 30, 2006; TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE CIRCUIT COURT FOR THE FIFTH JUDICIAL CIRCUIT, SEAT 2, WHOSE TERM EXPIRES JUNE 30, 2006; TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE CIRCUIT COURT FOR THE SEVENTH JUDICIAL CIRCUIT, SEAT 2, WHOSE TERM EXPIRES JUNE 30, 2006; TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE EIGHTH JUDICIAL CIRCUIT, SEAT 2, WHOSE TERM EXPIRES JUNE 30, 2006; TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE NINTH JUDICIAL CIRCUIT, SEAT 2, WHOSE TERM EXPIRES JUNE 30, 2006; TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE TENTH JUDICIAL CIRCUIT, SEAT 2, WHOSE TERM EXPIRES JUNE 30, 2006; TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE ELEVENTH JUDICIAL CIRCUIT, SEAT 1, WHOSE TERM EXPIRES JUNE 30, 2006; TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE ELEVENTH JUDICIAL CIRCUIT, SEAT 2, WHOSE TERM EXPIRES JUNE 30, 2006; TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE CIRCUIT COURT FOR THE THIRTEENTH JUDICIAL CIRCUIT, SEAT 2, WHOSE TERM EXPIRES JUNE 30, 2006; TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE CIRCUIT COURT FOR THE FOURTEENTH JUDICIAL CIRCUIT, SEAT 1, WHOSE TERM EXPIRES JUNE 30, 2006; TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE CIRCUIT COURT FOR THE FOURTEENTH JUDICIAL CIRCUIT, SEAT 2, TO FILL THE UNEXPIRED TERM WHICH EXPIRES JUNE 30, 2009; TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE FAMILY COURT FOR THE THIRTEENTH JUDICIAL CIRCUIT, SEAT 1, TO FILL THE UNEXPIRED TERM WHICH EXPIRES JUNE 30, 2007, AND THE SUBSEQUENT FULL TERM WHICH EXPIRES JUNE 30, 2013; AND TO ELECT A SUCCESSOR TO A CERTAIN JUDGE OF THE ADMINISTRATIVE LAW COURT, SEAT 6, WHOSE TERM EXPIRES JUNE 30, 2006.

Returned with concurrence.

Received as information.

S. 1042 (Word version) -- Senators Hutto, Alexander, Anderson, Bryant, Campsen, Cleary, Courson, Cromer, Drummond, Elliott, Fair, Ford, Gregory, Grooms, Hawkins, Hayes, Jackson, Knotts, Land, Leatherman, Leventis, Lourie, Malloy, Martin, McConnell, McGill, Mescher, Moore, O'Dell, Patterson, Peeler, Pinckney, Rankin, Reese, Richardson, Ritchie, Ryberg, Scott, Setzler, Sheheen, Short, J. Verne Smith, Thomas, Verdin and Williams: A CONCURRENT RESOLUTION TO REQUEST THAT THE DEPARTMENT OF TRANSPORTATION NAME THE INTERCHANGE AT EXIT 159 ALONG INTERSTATE HIGHWAY 26 IN ORANGEBURG COUNTY THE "JOHN W. MATTHEWS, JR. INTERCHANGE", AND TO ERECT APPROPRIATE MARKERS OR SIGNS AT THIS INTERCHANGE THAT CONTAIN THE WORDS "JOHN W. MATTHEWS, JR. INTERCHANGE".

Returned with concurrence.

Received as information.

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

SECOND READING BILL

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

S. 1024 (Word version) -- Senator Thomas: A JOINT RESOLUTION TO POSTPONE UNTIL 2007 THE IMPLEMENTATION OF THE VALUES DETERMINED IN GREENVILLE COUNTY'S MOST RECENTLY COMPLETED COUNTYWIDE APPRAISAL AND EQUALIZATION PLAN.

S. 1024--Ordered to a Third Reading

On motion of Senator THOMAS, with unanimous consent, S. 1024 was ordered to receive a third reading on Wednesday, January 24, 2006.

COMMITTEE AMENDMENT AMENDED AND ADOPTED
READ THE SECOND TIME

S. 800 (Word version) -- Senators Sheheen and Hawkins: A BILL TO AMEND SECTION 56-5-6450, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PENALTIES FOR A VIOLATION OF CHILD RESTRAINT LAWS, SO AS TO INCREASE THE FINE FROM TWENTY-FIVE DOLLARS TO TWO HUNDRED DOLLARS AND PROVIDE FOR A FINE OF FIVE HUNDRED DOLLARS OR IMPRISONMENT OF NOT MORE THAN THIRTY DAYS IF INJURY TO A CHILD RESULTS FROM A VIOLATION.

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

Senators SHEHEEN and HAWKINS proposed the following amendment (800R004.VAS), which was adopted:

Amend the committee amendment, as and if amended, page [800-1], by striking lines 28-38 and inserting:

/   "Section 56-5-6450.   No person shall be subjected to a custodial arrest for violation of the provisions of this article. Any A person violating who violates the provisions of this article shall upon conviction, must be fined not more than twenty-five one hundred fifty dollars. The court shall waive the fine against a person who, before, or upon the appearance date on the summons, supplies the court with evidence of acquisition, purchase, or rental of a child restraint system meeting the requirements of this article."     /

Renumber sections to conform.

Amend title to conform.

Senator SHEEHEN explained the perfecting amendment.

The amendment was adopted.

The Committee on Transportation proposed the following amendment (800R002.WGR), which was adopted:

Amend the bill, as and if amended, page 1, SECTION 1, by striking lines 26 through 36 and inserting:

/     "Section 56-5-6450.   No person shall be subjected to a custodial arrest for violation of the provisions of this article. Any A person violating who violates the provisions of this article shall upon conviction, must be fined not more than twenty-five one hundred fifty dollars. If a violation of this article results in injury to a child, the violator, upon conviction, may be fined not more than five hundred dollars or imprisoned not more than thirty days. The court shall waive the fine against a person who, before, or upon the appearance date on the summons, supplies the court with evidence of acquisition, purchase, or rental of a child restraint system meeting the requirements of this article."       /

Renumber sections to conform.

Amend title to conform.

Senator SHEHEEN 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.

READ IN FULL
PASSED BY "AYES" AND "NAYS"
READ THE SECOND TIME

S. 617 (Word version) -- Senators Alexander, Setzler, Short, Verdin, Ryberg, Knotts and Campsen: A JOINT RESOLUTION PROPOSING AN AMENDMENT TO SECTION 16, ARTICLE X OF THE CONSTITUTION OF SOUTH CAROLINA, 1895, RELATING TO BENEFITS AND FUNDING OF PUBLIC EMPLOYEE PENSION PLANS IN THIS STATE, INVESTMENTS ALLOWED FOR FUNDS OF THE VARIOUS STATE-OPERATED RETIREMENT SYSTEMS, AND THE STATE RETIREMENT SYSTEMS INVESTMENT PANEL, SO AS TO DELETE THE RESTRICTIONS LIMITING SUCH INVESTMENTS TO AMERICAN-BASED CORPORATIONS REGISTERED ON AN AMERICAN NATIONAL EXCHANGE AS PROVIDED IN THE SECURITIES EXCHANGE ACT OF 1934 OR QUOTED THROUGH THE NATIONAL ASSOCIATION OF SECURITIES DEALERS AUTOMATIC QUOTATION SYSTEM; AND TO PROPOSE A FURTHER AMENDMENT TO SECTION 16, ARTICLE X, SO AS TO ELIMINATE THE STATE RETIREMENT SYSTEMS INVESTMENT PANEL.

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

Senator ALEXANDER explained the Joint Resolution.

Call of the Senate

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

Alexander                 Anderson                  Bryant
Campsen                   Cleary                    Courson
Cromer                    Drummond                  Fair
Ford                      Grooms                    Hawkins
Hayes                     Hutto                     Knotts
Land                      Leatherman                Leventis
Lourie                    Malloy                    Martin
Matthews                  McConnell                 McGill
Mescher                   Moore                     O'Dell
Patterson                 Peeler                    Pinckney
Reese                     Richardson                Ritchie
Ryberg                    Scott                     Setzler
Sheheen                   Short                     Thomas
Verdin                    Williams

Total--41

NAYS

Total--0

A quorum being present, the Senate resumed.

Recorded Presence

Senators GREGORY and RANKIN recorded their presence subsequent to the Call of the Senate.

Senator ALEXANDER resumed explaining the Joint Resolution.

Parliamentary Inquiry

Senator THOMAS made a Parliamentary Inquiry as to the requisite number of votes needed to pass the Joint Resolution.

The PRESIDENT stated that thirty-one votes were required to pass the Joint Resolution.

Senator ALEXANDER moved   that the text of the Joint Resolution be printed upon the pages of the Journal and the Joint Resolution be ordered to receive a second reading.

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

SECTION   1.   It is proposed that the first sentence of the fourth paragraph, Section 16, Article X of the Constitution of this State be amended to read:

"Notwithstanding the provisions of Section 11 of this article, the funds of the various state-operated retirement systems may be invested and reinvested in equity securities of any corporation within the United States that is registered on a national securities exchange as provided in the Securities Exchange Act of 1934 or any successor act or quoted through the National Association of Securities Dealers Automatic Quotations System or similar service."

SECTION   2.   The proposed amendment must be submitted to the qualified electors at the next general election for representatives. Ballots must be provided at the various voting precincts with the following words printed or written on the ballot:

"Must the first sentence of the fourth paragraph of Section 16, Article X of the Constitution of this State relating to the equity securities investments allowed for funds of the various state-operated retirement systems be amended so as to delete the restrictions limiting investments in equity securities to those of American-based corporations registered on an American national exchange as provided in the Securities Exchange Act of 1934 or any successor act, or quoted through the National Association of Securities Dealers Automatic Quotations System or similar service?

Yes   []

No   []

Those voting in favor of the question shall deposit a ballot with a check or cross mark in the square after the word 'Yes', and those voting against the question shall deposit a ballot with a check or cross mark in the square after the word 'No'."

SECTION   3.   It is proposed that Section 16, Article X of the Constitution of this State be amended by deleting the second through the seventh sentence of the fourth paragraph which reads:

"Upon the enactment of the implementing legislation required by this paragraph, there is established the State Retirement Systems Investment Panel. The panel shall consist of five members, one each appointed by the Governor, the State Treasurer, the Comptroller General, and the chairmen of the respective committees of the Senate and House of Representatives having subject matter jurisdiction over appropriations. The appointee of the Governor shall serve as chairman. All persons appointed must possess substantial financial investment experience and no person may be appointed or continue to serve who is an elected or appointed officer or employee of the State or any of its political subdivisions, including school districts. The General Assembly shall implement this paragraph by enacting legislation establishing the panel and providing for the terms, duties, and compensation of its members, and which specifically authorizes the investments allowed by this paragraph, and may provide limitations on investments in equity securities as it considers prudent. The panel established by this paragraph shall not exist until it is established in the implementing legislation required pursuant to this paragraph."

SECTION   4.   The proposed amendment must be submitted to the qualified electors at the next general election for representatives. Ballots must be provided at the various voting precincts with the following words printed or written on the ballot:

"Must the second through the seventh sentences of the fourth paragraph of Section 16, Article X of the Constitution of this State relating to the establishment and membership of the State Retirement Systems Investment Panel be amended by deleting these sentences thereby abolishing this constitutionally established panel?

Yes   []

No   []

Those voting in favor of the question shall deposit a ballot with a check or cross mark in the square after the word 'Yes', and those voting against the question shall deposit a ballot with a check or cross mark in the square after the word 'No'."

***

The question then was second reading of the Joint Resolution.

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

Ayes 38; Nays 1

AYES

Alexander                 Anderson                  Bryant
Campsen                   Cleary                    Courson
Cromer                    Drummond                  Fair
Ford                      Grooms                    Hawkins
Hutto                     Knotts                    Land
Leatherman                Lourie                    Malloy
Martin                    Matthews                  McConnell
McGill                    Mescher                   Moore
O'Dell                    Patterson                 Peeler
Pinckney                  Reese                     Richardson
Ritchie                   Ryberg                    Scott
Setzler                   Sheheen                   Short
Verdin                    Williams

Total--38

NAYS

Thomas

Total--1

The Joint Resolution was read the second time, passed and ordered to a third reading.

S. 617--Co-Sponsor Added

On motion of Senator RITCHIE, with unanimous consent, the name of Senator RITCHIE was added as a co-sponsor of S. 617.

S. 617--Ordered to a Third Reading

On motion of Senator ALEXANDER, with unanimous consent, S. 617 was ordered to receive a third reading on Wednesday, January 25, 2006.

THE CALL OF THE UNCONTESTED CALENDAR HAVING BEEN COMPLETED, THE SENATE PROCEEDED TO THE MOTION PERIOD.

MOTION ADOPTED

On motion of Senator MARTIN, the Senate agreed to dispense with the Motion Period.

THE SENATE PROCEEDED TO THE INTERRUPTED DEBATE.

DEBATE INTERRUPTED

H. 3010 (Word version) -- Reps. W.D. Smith, Wilkins, G.R. Smith, Vaughn, Harrison, Davenport, Sandifer, Coates, Young, Leach, Viers, Littlejohn, Rice, Hinson, Clark, Walker, Mahaffey, Duncan, Hagood and Clemmons: A BILL TO AMEND CHAPTER 40, TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CHARTER SCHOOLS, SO AS TO PROVIDE FOR THE CREATION OF A CAROLINA PUBLIC CHARTER SCHOOL DISTRICT, ITS GOVERNANCE, AND ITS POWERS AND DUTIES; AND TO PROVIDE FOR THE MANNER IN WHICH A CHARTER SCHOOL SPONSORED BY THE CAROLINA PUBLIC CHARTER SCHOOL DISTRICT MUST BE FORMED, FUNDED, REGULATED, AND GOVERNED.

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

Senator HAYES spoke on the Bill.

With Senator HAYES retaining the floor, Senator PATTERSON was recognized to speak on the Bill.

Senator HAYES resumed speaking on the Bill.

Senator SHEHEEN spoke on the committee amendment.

Motion Adopted

Senator McCONNELL asked unanimous consent to make a motion that Senators MOORE, JACKSON, MARTIN and McCONNELL be granted leave to attend a subcommittee meeting and be allowed to vote from the balcony.

There was no objection.

Senator SHEHEEN resumed speaking on the committee amendment.

ACTING PRESIDENT PRESIDES

At 2:17 P.M., Senator PEELER assumed the Chair.

Senator SHEHEEN resumed speaking on the committee amendment.

RECESS

At 2:47 P.M., on motion of Senator MARTIN, with unanimous consent, the Senate receded from business not to exceed two minutes, with Senator SHEHEEN retaining the floor.

At 3:00 P.M., the Senate resumed.

Senator SHEHEEN resumed speaking on the committee amendment.

PRESIDENT PRESIDES

At 3:00 P.M., the PRESIDENT assumed the Chair.

Motion Adopted

Senator ALEXANDER asked unanimous consent to make a motion that Senators GROOMS, RICHARDSON, RYBERG and ALEXANDER be granted leave to attend a subcommittee meeting and be allowed to vote from the balcony.

There was no objection.

Senator SHEHEEN resumed speaking on the committee amendment.

On motion of Senator McCONNELL, with unanimous consent, debate was interrupted by the recess, with Senator SHEHEEN retaining the floor.

RECESS

At 4:02 P.M., on motion of Senator McCONNELL, with unanimous consent, the Senate receded from business until 4:30 P.M., with Senator SHEHEEN retaining the floor.

NIGHT SESSION

The Senate reassembled at 6:55 P.M. and was called to order by the ACTING PRESIDENT, Senator MARTIN.

AMENDED, COMMITTEE AMENDMENT TABLED
READ THE SECOND TIME
PLACED IN THE STATUS OF INTERRUPTED DEBATE

H. 3010 (Word version) -- Reps. W.D. Smith, Wilkins, G.R. Smith, Vaughn, Harrison, Davenport, Sandifer, Coates, Young, Leach, Viers, Littlejohn, Rice, Hinson, Clark, Walker, Mahaffey, Duncan, Hagood and Clemmons: A BILL TO AMEND CHAPTER 40, TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CHARTER SCHOOLS, SO AS TO PROVIDE FOR THE CREATION OF A CAROLINA PUBLIC CHARTER SCHOOL DISTRICT, ITS GOVERNANCE, AND ITS POWERS AND DUTIES; AND TO PROVIDE FOR THE MANNER IN WHICH A CHARTER SCHOOL SPONSORED BY THE CAROLINA PUBLIC CHARTER SCHOOL DISTRICT MUST BE FORMED, FUNDED, REGULATED, AND GOVERNED.

The Senate resumed consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Education.

Motion Adopted

Senator McCONNELL asked unanimous consent to make a motion that the committee amendment be carried over and the Senate would proceed to a consideration of all amendments on the Desk which had been conformed as perfecting amendments to Amendment No. 19; that upon adoption of Amendment No. 19, as perfected, the Senate would table the committee amendment, give the Bill a second reading, subject to the motion to reconsider, and place the Bill in the status of Interrupted Debate.

There was no objection and the motion was adopted.

On motion of Senator McCONNELL, with unanimous consent, the committee amendment was carried over.

Amendment No. 1

Senator FAIR proposed the following amendment (PT\2671SJ05), which was adopted:

Amend the bill, as and if amended, Section 59-40-140(B) as contained in SECTION 1, page 15, beginning on line 26, by deleting subsection (B) in its entirety and inserting:

/   (B)   The Carolina Public Charter School District shall receive and distribute state funds to the charter school as determined by the following formula: the current year's base student cost, as funded by the General Assembly, multiplied by the weighted students enrolled in the charter school, which must be subject to adjustment for student attendance and state budget allocations. However, the Carolina Public Charter School District or local sponsor may not retain more than two percent of its gross revenue for its internal administrative and operating expenses. /

Renumber sections to conform.

Amend title to conform.

Senator FAIR explained the amendment.

Senator HAYES spoke on the amendment.

The amendment was adopted.

Amendment No. 4C

Senator HAYES proposed the following Amendment No. 4C (GGS\ 22363SJ06), which was adopted:

Amend the bill, as and if amended, Section 59-40-50(B)(5) as contained in SECTION 1, page 4, beginning on line 20, by deleting item (5) in its entirety and inserting:

/   (5)   in its discretion hire noncertified teachers in a ratio of up to twenty-five percent of its entire teacher staff; however, if it is a converted charter school, it shall hire in its discretion noncertified teachers in a ratio of up to ten percent of its entire teacher staff. However, in either a new or converted charter school, a teacher teaching in the core academic areas of English/language arts, mathematics, science, or social studies as defined by the federal No Child Left Behind law must be certified in those areas or possess a baccalaureate or graduate degree in the subject he or she is hired to teach. Part-time noncertified teachers are considered pro rata in calculating this percentage based on the hours which they are expected to teach;   /

Renumber sections to conform.

Amend title to conform.

Senator HAYES explained the amendment.

The amendment was adopted.

Amendment No. 6

Senator HAYES proposed the following Amendment No. 6 (GGS\ 22346SJ06), which was adopted:

Amend the bill, as and if amended, Section 59-40-40(1) as contained in SECTION 1, page 3010-1, beginning on line 30, by deleting item (1) in its entirety and inserting:

/   (1)   A 'charter school' means a public, nonsectarian, nonreligious, nonhome-based, nonprofit corporation forming a school which operates within a public school district, but is accountable to the local school board of trustees of that district, which grants its charter. A 'charter school' may include a virtual charter school that meets all of the requirements of this item except the nonhome-based requirement. /

Renumber sections to conform.

Amend title to conform.

Senator HAYES explained the amendment.

The amendment was adopted.

Amendment No. 7

Senator HAYES proposed the following Amendment No. 7 (GGS\ 22347SJ06), which was adopted:

Amend the bill, as and if amended, Section 59-40-210 as contained in SECTION 1, page 20, beginning on line 6, by deleting the section in its entirety and inserting:

/   Section 59-40-210.   A school established as a private school, on the effective date of this section, which desires to become a charter school must dissolve and may not be allowed to open as a charter school for a period of twelve months.   /

Renumber sections to conform.

Amend title to conform.

Senator HAYES spoke on the amendment.

The amendment was adopted.

Amendment No. 8

Senator HAYES proposed the following Amendment No. 8 (GGS\ 22348SJ06), which was adopted:

Amend the bill, as and if amended, Section 59-40-230(E)(9) as contained in SECTION 1, page 21, beginning on line 36, by deleting item (9) in its entirety and inserting:

/   (9)   comply with and ensure compliance of applicable state and federal laws and regulations;   /

Renumber sections to conform.

Amend title to conform.

Senator HAYES explained the amendment.

The amendment was adopted.

Amendment No. 9

Senator FAIR proposed the following Amendment No. 9 (GGS\ 22355SJ06), which was adopted:

Amend the bill, as and if amended, after Section 59-40-150 as contained in SECTION 1, page 18, after line 12, by inserting:

/   Section 59-40-155.   (A)   Within one year of taking office, all persons elected or appointed as members of a charter school board of trustees after July 1, 2006, shall complete successfully an orientation program in the powers, duties, and responsibilities of a board member, including, but not limited to, topics on policy development, personnel, instructional programs, school finance, school law, ethics, and community relations. The orientation must be provided at no charge by the State Department of Education or an association approved by the department.

(B)   Within ninety days of employment, an administrator employed by the charter school, who is not certified, shall complete successfully an orientation program in the powers, duties, and responsibilities of a school administrator, including, but not limited to, topics on personnel, instructional programs, school finance, school law, ethics, and community relations. The orientation must be provided at no charge by the State Department of Education.   /

Renumber sections to conform.

Amend title to conform.

Senator FAIR explained the amendment.

The amendment was adopted.

Amendment No. 10

Senator FAIR proposed the following Amendment No. 10 (GGS\ 22353SJ06), which was adopted:

Amend the bill, as and if amended, Section 59-40-190 as contained in SECTION 1, page 19, after line 33, by adding:

/   (D)   A member of a school governing body may not receive pay as an employee in the same school.   /

Renumber sections to conform.

Amend title to conform.

Senator FAIR explained the amendment.

The amendment was adopted.

Amendment No. 14

Senators HAYES, SETZLER, SHEHEEN, MATTHEWS and SHORT proposed the following Amendment No. 14 (GGS\22374SJ06), which was adopted:

Amend the bill, as and if amended, in Section 59-40-50(B)(7) as contained in SECTION 1, page 4, by deleting lines 39 and 40 and inserting: / composition of the charter school enrollment reflect that of the local school district in which the charter school is located or that of the /

Renumber sections to conform.

Amend title to conform.

Senator HAYES explained the amendment.

The amendment was adopted.

Amendment No. 18

Senators MATTHEWS and SHORT proposed the following Amendment No. 18 (3010.SHORT), which was adopted:

Amend the bill, as and if amended, page 22, line 26 by striking and inserting the following:

/   sponsoring school district. These ratings, however, will be reflected independently on the local school district report cards for charter schools sponsored by a local school district and not included in their overall performance rating. Alternative schools are included in the     /

Renumber sections to conform.

Amend title to conform.

Senator HAYES explained the amendment.

The amendment was adopted.

Amendment No. 19

Senators COURSON, HAYES, MATTHEWS, SETZLER and SHORT proposed the following Amendment No. 19 (GGS\22375SJ06), which was adopted:

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

/   SECTION   1.   Chapter 40, Title 59 of the 1976 Code is amended to read:

  "CHAPTER 40

Charter Schools

Section 59-40-10.   This chapter may be cited as the 'South Carolina Charter Schools Act of 1996'.

Section 59-40-20.   This chapter is enacted to:

(1)   improve student learning;

(2)   increase learning opportunities for students;

(3)   encourage the use of a variety of productive teaching methods;

(4)   establish new forms of accountability for schools;

(5)   create new professional opportunities for teachers, including the opportunity to be responsible for the learning program at the school site; and

(6)   assist South Carolina in reaching academic excellence.

Section 59-40-30.   (A)   In authorizing charter schools, it is the intent of the General Assembly to create a legitimate avenue for parents, teachers, and community members to take responsible risks and create new, innovative, and more flexible ways of educating all children within the public school system. The General Assembly seeks to create an atmosphere in South Carolina's public school systems where research and development in producing different learning opportunities is actively pursued and where classroom teachers are given the flexibility to innovate and the responsibility to be accountable. As such, the provisions of this chapter should be interpreted liberally to support the findings and goals of this chapter and to advance a renewed commitment by the State of South Carolina to the mission, goals, and diversity of public education.

(B)   It is the intent of the General Assembly that creation of this chapter encourages cultural diversity, educational improvement, and academic excellence. Further, it is not the intent of the General Assembly to create a segregated school system but to continue to promote educational improvement and excellence in South Carolina.

Section 59-40-40.   As used in this chapter:

(1)   A 'charter school' means a public, nonsectarian, nonreligious, nonhome-based, nonprofit corporation forming a school which operates within a public school district, but is accountable to the local school board of trustees of that district, which grants its charter. A 'charter school' may include a virtual charter school that meets all of the requirements of this item except the nonhome-based requirement.

(2)   A charter school:

(a)   is considered a public school and part of the South Carolina Public Charter School District or school district in which it is located for the purposes of state law and the state constitution;

(b)   is subject to all federal and state laws and constitutional provisions prohibiting discrimination on the basis of disability, race, creed, color, gender, national origin, religion, ancestry, or need for special education services;

(c)   must be administered and governed by a governing body in a manner agreed to by the charter school applicant and the sponsor, the governing body to be selected, as provided in Section 59-40-50(B)(9);

(d)   shall may not charge tuition or other charges of any kind pursuant to Section 59-19-90(8) except as may be allowed by the sponsor and is comparable to the charges of the local school district in which the charter school is located.

(3)   'Applicant' means the person who or nonprofit corporate entity that desires to form a charter school and files the necessary application with the South Carolina Charter School Committee or the local school board of trustees in which the charter school is to be located. The applicant also must be the person who applies to the Secretary of State to organize the charter school as a nonprofit corporation.

(4)   'Sponsor' means the South Carolina Charter School Committee or the local school board of trustees in which the charter school is to be located established, as provided by law, from which the charter school applicant requested its charter and which granted approval for the charter school's existence.

(5)   'Certified teacher' means a person currently certified by the State of South Carolina to teach in a public elementary or secondary school or who currently meets the qualification qualifications outlined in Sections 59-27-10 and 59-25-115.

(6)   'Noncertified teacher' means an individual considered appropriately qualified for the subject matter taught and who has completed at least one year of study at an accredited college or university and meets the qualifications outlined in Section 59-25-115.

(7)   'Charter committee' means the governing body of a charter school formed by the applicant to govern through the application process and until the election of a board of directors is held. After the election, the board of directors of the corporation must be organized as the governing body and the charter committee is dissolved.

(8)   'Local school district' means any school district in the State except the South Carolina Public Charter School District and does not include special school districts.

(9)   'Committee' means the South Carolina Charter School Committee.

Section 59-40-50.   (A)   Except as otherwise provided in this chapter, a charter school is exempt from all provisions of law and regulations applicable to a public school, a school board, or a district, although a charter school may elect to comply with one or more of these provisions of law or regulations.

(B)   A charter school must:

(1)   adhere to the same health, safety, civil rights, and disability rights requirements as are applied to public schools operating in the same school district or, in the case of the South Carolina Public Charter School District, the local school district in which the charter school is located;

(2)   meet, but may exceed, the same minimum student attendance requirements as are applied to public schools operating in the same district;

(3)   adhere to the same financial audits, audit procedures, and audit requirements as are applied to public schools operating in the same school district;

(4)   be considered a school district for purposes of tort liability under South Carolina law, except that the tort immunity does not include acts of intentional or wilful racial discrimination by the governing body or employees of the charter school. Employees of charter schools must be relieved of personal liability for any tort or contract related to their school to the same extent that employees of traditional public schools in their school district or, in the case of the South Carolina Public Charter School District, the local school district in which the charter school is located are relieved;

(5)   in its discretion hire noncertified teachers in a ratio of up to twenty-five percent of its entire teacher staff; however, if it is a converted charter school, it shall hire in its discretion noncertified teachers in a ratio of up to ten percent of its entire teacher staff. However, in either a new or converted charter school, a teacher teaching in the core academic areas of English/language arts, mathematics, science, or social studies as defined by the federal No Child Left Behind law must be certified in those areas or possess a baccalaureate or graduate degree in the subject he or she is hired to teach. Part-time noncertified teachers are considered pro rata in calculating this percentage based on the hours which they are expected to teach;

(6)   hire in its discretion administrative staff to oversee the daily operation of the school. At least one of the administrative staff must be certified or experienced in the field of school administration;

(7)   admit all children eligible to attend public school in a school district to a charter school operating in that school district, subject to space limitations. However, it is required that the racial composition of the charter school enrollment reflect that of the school district in which the charter school is located or that of the targeted student population which of the local school district that the charter school proposes to serve, to be defined for the purposes of this chapter as differing by no more than twenty percent from that population. This requirement is also subject to the provisions of Section 59-40-70(D). If the number of applications exceeds the capacity of a program, class, grade level, or building, students must be accepted by lot, and there is no appeal to the sponsor;

(8)   not limit or deny admission or show preference in admission decisions to any individual or group of individuals; provided, however, that a charter school may give enrollment priority to a sibling of a pupil already enrolled, children of a charter school employee, and children of the charter committee, provided their enrollment does not constitute more than twenty percent of the enrollment of the charter school;

(9)   elect its board of directors annually. All employees of the charter school and all parents or guardians of students enrolled in the charter school are eligible to participate in the election. Parents or guardians of a student shall have one vote for each student enrolled in the charter school;

(10)   be subject to the Freedom of Information Act, including the charter school and its governing body.

(C)(1)   If a charter school denies admission to a student, the student may appeal the denial to the school board of trustees sponsor. The decision is binding on the student and the charter school.

(2)   If a charter school suspends or expels a student, other charter schools or the local school district in which the charter school is located has the authority but not the obligation to refuse admission to the student.

(3)   The sponsor has no obligation to provide extracurricular activities or access to facilities of the school district for students enrolled in the charter school; however, the charter contract may include participation in agreed upon interscholastic activities at a designated school within the sponsor district. Students participating under this agreement shall be considered eligible to participate in league events if all other eligibility requirements are met. Extracurricular activities must not be provided for a charter school unless approved by the sponsor.

(D)   The State is not responsible for student transportation to a charter school unless the charter school is designated by the local school district as the only school selected within the local school district's attendance area.

(E)   The South Carolina Charter School Committee may not use program funding for transportation.

Section 59-40-60.   (A)   An approved charter application constitutes an agreement, and the terms must be the terms of a contract between the charter school and the sponsor.

(B)   The contract between the charter school and the sponsor shall reflect all agreements regarding the release of the charter school from local school district policies.

(C)   A material revision of the terms of the contract between the charter school and the approving board or committee may be made only with the approval of both parties.

(D)   Except as provided in subsection (F), an applicant who wishes to form a charter school shall:

(1)   organize the charter school as a nonprofit corporation pursuant to the laws of this State;

(2)   form a charter committee for the charter school which includes one or more teachers;

(3)   submit a written charter school application to the local South Carolina Charter School Committee and the school board of trustees for the school district in which the charter school is to be located from which the committee is seeking sponsorship.

(E)   A charter committee is responsible for and has the power to:

(1)   submit an application to operate as a charter school, sign a charter school contract, and ensure compliance with all of the requirements for charter schools provided by law;

(2)   perform acts of a nonprofit organization including, but not limited to, employ employing and contract contracting with teachers and nonteaching employees, contract contracting for other services, and develop developing pay scales, performance criteria, and discharge policies for its employees. All teachers whether certified or noncertified must undergo the background checks and other investigations required for certified teachers, as provided by law, before they may teach in the charter school; and

(3)   decide all other matters related to the operation of the charter school, including budgeting, curriculum, and operating procedures.

(F)   The charter school application shall be a proposed contract and must include:

(1)   the mission statement of the charter school, which must be consistent with the principles of the General Assembly's purposes pursuant to Section 59-40-20;

(2)   the goals, objectives, and pupil achievement standards to be achieved by the charter school, and a description of the charter school's admission policies and procedures;

(3)   evidence that an adequate number of parents, teachers, pupils, or any combination of them support the formation of a charter school;

(4)   a description of the charter school's educational program, pupil achievement standards, and curriculum which must meet or exceed any content standards adopted by the school district in which the charter school is located State Board of Education and must be designed to enable each pupil to achieve these standards;

(5)   a description of the charter school's plan for evaluating pupil achievement and progress toward accomplishment of the school's achievement standards in addition to state assessments, the timeline for meeting these standards, and the procedures for taking corrective action if that pupil achievement falls below the standards;

(6)   evidence that the plan for the charter school is economically sound, a proposed budget for the term of the charter, a description of the manner in which an annual audit of the financial and administrative operations of the charter school, including any services provided by the school district, is to be conducted;

(7)   a description of the governance and operation of the charter school, including the nature and extent of parental, professional educator, and community involvement in the governance and operation of the charter school;

(8)   a description of how the charter school plans to ensure that the enrollment of the school is similar to the racial composition of the local school district in which the charter school is to be located or the targeted student population of the local school district that the charter school proposes to serve and provide assurance that the school does not conflict with any school district desegregation plan or order in effect for the school district in which the charter school is to be located;

(9)   a description of how the charter school plans to meet the transportation needs of its pupils;

(10)   a description of the building, facilities, and equipment and how they shall be obtained;

(11)   an explanation of the relationship that shall exist between the proposed charter school and its employees, including descriptions of evaluation procedures and evidence that the terms and conditions of employment have been addressed with affected employees;

(12)   a description of a reasonable grievance and termination procedure, as required by this chapter, including notice and a hearing before the governing body of the charter school. The application must state whether or not the provisions of Article 5, Chapter 25 of Title 59 apply to the employment and dismissal of teachers at the charter school;

(13)   a description of student rights and responsibilities, including behavior and discipline standards, and a reasonable hearing procedure, including notice and a hearing before the board of directors of the charter school before expulsion;

(14)   an assumption of liability by the charter school for the activities of the charter school and an agreement that the charter school must indemnify and hold harmless the school district, its servants, agents, and employees, from any and all liability, damage, expense, causes of action, suits, claims, or judgments arising from injury to persons or property or otherwise which arises out of the act, failure to act, or negligence of the charter school, its agents and employees, in connection with or arising out of the activity of the charter school; and

(15)   a description of the types and amounts of insurance coverage to be obtained by the charter school.

(G)   Nothing in this section shall require a charter school applicant to provide a list of prospective or tentatively enrolled students or prospective employees with the application.

Section 59-40-70.   (A)   The Charter School Advisory Committee shall must be established by the State Board of Education to review charter school applications for compliance with established standards that reflect the requirements and intent of this chapter. Members shall must be appointed by the State Board of Education unless otherwise indicated.

(1)   The advisory committee shall consist of eleven members as follows:

(a)   South Carolina Association of Public Charter Schools--the president or his designee and one additional representative from the association;

(b)   South Carolina Association of School Administrators--the executive director or his designee;

(c)   South Carolina Chamber of Commerce--the executive director or his designee and one additional representative from the chamber;

(d)   South Carolina Education Oversight Committee--the chair or a business designee;

(e)   South Carolina Commission on Higher Education--the chair or his designee;

(f)   South Carolina School Boards Association--the executive director or his designee;

(g)   South Carolina Alliance of Black Educators--the president or his designee; and

(h)   One teacher and one parent to be appointed by the State Superintendent of Education.

(2)   As an application is reviewed, a representative from the local school board of trustees of the affected school district from which the committee is seeking sponsorship and a representative of the charter committee shall serve on the advisorySouth Carolina Charter School Committee as ex officio nonvoting members. If the applicant indicates a proposed contractual agreement with the local school district in which the charter school is located, a representative from the local school board of trustees of that district shall serve on the advisory committee as an ex officio, nonvoting member.

(3)   Appointing authorities shall give consideration to the appointment of minorities and women as representatives on the committee.

(4)   The committee shall be convened by the State Superintendent of Education on or before July 1, 2002, who shall serve as interim chair. At the first meeting the membership shall elect a chairman and any other officers it deems necessary.

(5)   The committee shall establish by-laws for its operation which shall include terms of office for its membership.

(6)(2)   An applicant shall submit the application to the advisory committee and a one copy to the affected school district school board of trustees of the district from which it is seeking sponsorship. In the case of the South Carolina Public Charter School District, the applicant shall provide notice of the application to the local school board of trustees in which the charter school will be located for informational purposes only. The advisory committee shall receive input from the school district in which the applicant is seeking sponsorship and shall request clarifying information from the applicant. Within sixty days, An applicant may submit an application to the committee at any time during the fiscal year and the advisory committee, within sixty days, shall determine whether the application is in compliance. An application that is in compliance must be forwarded to the school district from which the applicant is seeking sponsorship with a letter stating the application is in compliance. The letter shall also include a recommendation from the South Carolina Charter School Committee to approve or deny the charter. The letter must specify the reasons for its recommendation. This recommendation is nonbinding on the school board of trustees. If the application is in noncompliance, it must be returned to the applicant with deficiencies noted. The applicant may appeal the decision to the State Board of Education.

(B)   The local school board of trustees or committee from which the applicant is seeking sponsorship shall rule on the application for a charter school in a public hearing, upon reasonable public notice, within thirty days after receiving the application. If there is no ruling within thirty sixty days, the application is considered approved. Once the application has been approved by the school board of trustees or committee, the charter school may open at the beginning of the following year. However, before a charter school may open, the State Department of Education shall verify the accuracy of the financial data for the school.

(C)   A local school district board of trustees shall only shall deny an application if the application does not meet the requirements specified in Section 59-40-50 or 59-40-60, fails to meet the spirit and intent of this chapter, or adversely affects, as defined in regulation, the other students in the district in which the charter school is to be located. It shall provide, within ten days, a written explanation of the reasons for denial, citing specific standards related to provisions of Section 59-40-50 or 59-40-60 that the application violates. This written explanation immediately shall must be sent to the charter committee and filed with the State Board of Education and the South Carolina Charter School Advisory Committee.

(D)   In the event that the racial composition of an applicant's or charter school's enrollment differs from the enrollment of the local school district in which the charter school is to be located or the targeted student population of the local school district by more than twenty percent, despite its best efforts, the local school district board of trustees or committee from which the applicant is seeking sponsorship shall consider the applicant's or the charter school's recruitment efforts and racial composition of the applicant pool in determining whether the applicant or charter school is operating in a nondiscriminatory manner. A finding by the local school district board of trustees or committee that the applicant or charter school is operating in a racially discriminatory manner may justify the denial of a charter school application or the revocation of a charter as provided herein in this section or in Section 59-40-110, as may be applicable. A finding by the local school district board of trustees or committee that the applicant is not operating in a racially discriminatory manner shall justify justifies approval of the charter without regard to the racial percentage requirement if the application is acceptable in all other aspects.

(E)   If the local school district board of trustees or committee from which the applicant is seeking sponsorship denies a charter school application, the charter applicant may appeal the denial to the State Board of Education pursuant to Section 59-40-90.

(F)   If the local school district board of trustees or committee approves the application, it becomes the charter school's sponsor and shall sign the approved application which constitutes a contract with the charter committee of the charter school. A copy of the charter must be filed with the State Board of Education.

(G)   If a local school board of trustees has information that an approved application by the South Carolina Public Charter School District adversely affects the other students in its district, as defined in regulation, or that the approval of the application fails to meet the spirit and intent of this chapter, the local school board of trustees may appeal the granting of the charter to the State Board of Education. The state board, within forty-five days, may affirm or reverse the application for action by the South Carolina Public Charter School District in accordance with an order of the state board. The State Board of Education shall promulgate regulations outlining procedures for this type of appeal.

Section 59-40-75.   (A)   A member of the South Carolina Charter School Committee or of the governing board of the charter school who is indicted in any court for any crime may, in the discretion of the Governor, be suspended by the Governor, who in event of suspension shall appoint another in his stead until he is acquitted. In case of conviction, the office must be declared vacant by the Governor and the vacancy filled as provided by law.

(B)   A member of the South Carolina Charter School Committee or of the governing board of the charter school who is guilty of malfeasance, misfeasance, incompetency, absenteeism, conflicts of interest, misconduct, persistent neglect of duty in office, or incapacity is subject to removal by the Governor upon any of the foregoing causes being made to appear to the satisfaction of the Governor. But before removing the officer, the Governor shall inform him in writing of the specific charges brought against him and give him an opportunity on reasonable notice to be heard.

(C)   Whenever it appears to the satisfaction of the Governor that probable cause exists to charge a member of the South Carolina Charter School Committee or of the governing board of the charter school who has the custody of public or trust funds with embezzlement or the appropriation of public or trust funds to private use, then the Governor shall direct his immediate prosecution by the proper officer, and upon indictment by a grand jury or, upon the waiver of the indictment if permitted by law, the Governor shall suspend the officer and appoint one in his stead, until he is acquitted. In case of conviction, the position must be declared vacant and the vacancy filled as provided by law.

(D)   A member of the South Carolina Charter School Committee or of the governing board of the charter school who has been indicted by a grand jury for a crime involving moral turpitude or who has waived the indictment if permitted by law may be suspended by the Governor until he is acquitted. In case of conviction the office must be declared vacant and the vacancy filled as provided by law.

Section 59-40-80.   A local school board sponsor may conditionally authorize a charter school before the applicant has secured its space, equipment, facilities, and personnel if the applicant indicates such authority is necessary for it to meet the requirements of this chapter. Conditional authorization does not give rise to any equitable or other claims based on reliance, notwithstanding any promise, parole, written, or otherwise, contained in the authorization or acceptance of it, whether preceding or following the conditional authorization.

Section 59-40-90.   (A)   The State Board of Education, upon receipt of a notice of appeal or upon its own motion, shall review a decision of any local school board of trustees or committee concerning charter schools in accordance with the provisions of this section.

(B)   A charter applicant who wishes to appeal an adverse decision shall provide the State Board of Education and the local school board of trustees or committee issuing the decision with a notice of appeal within ten days of the local board's or committee's decision.

(C)   If the notice of appeal or the motion to review by the State Board of Education relates to a local board's or committee's decision to deny, refuse to renew, or revoke a charter, the appeal and review process must be as contained in this section. Within thirty forty-five days after receipt of the notice of appeal or the making of a motion to review by the State Board of Education and after reasonable public notice, the State Board of Education, at a public hearing which may be held in the district where the proposed charter school is located, shall review the decision of the local school board of trustees or committee and make its findings known. The state board may affirm or reverse the application for action by the local board or committee in accordance with an order of the state board.

(D)   A final decision of the state board may be appealed by any party to the circuit court for the county in which the proposed charter school is or was to have located.

Section 59-40-100.   (A)   An existing public school may be converted into a charter school if two-thirds of the faculty and instructional staff employed at the school and two-thirds of all voting parents or legal guardians of students enrolled in the school agree to the filing of an application with the local school board of trustees for the conversion and formation of that school into a charter school. All parents Parents or legal guardians of students enrolled in the school must be given the opportunity to vote on the conversion. Parents or guardians of a student shall have one vote for each student enrolled in the school seeking conversion. The application must be submitted pursuant to Section 59-40-70(A)(6) by the principal of that school or his designee who must be considered the applicant. The application must include all information required of other applications pursuant to this chapter. The local school board of trustees shall approve or disapprove this application in the same manner it approves or disapproves other applications.

(B)   A converted charter school shall offer at least the same grades, or nongraded education appropriate for the same ages and education levels of pupils, as offered by the school immediately before conversion, and also may provide additional grades and further educational offerings.

(C)   All students enrolled in the school at the time of conversion must be given priority enrollment.

(D)   Teachers and other employees of a converted school who desire to teach or work at the converted school may do so but shall remain employees of the local school district with the same compensation and benefits including any future increases. The converted charter school quarterly shall reimburse the local school district for the compensation and employer contribution benefits paid to or on behalf of these teachers and employees. The provisions of Article 5, Chapter 25 of Title 59 apply to the employment and dismissal of teachers at a converted school.

(E)   The South Carolina Public Charter School District may not sponsor a public school to convert to a charter school.

Section 59-40-110.   (A)   A charter may be approved or renewed for a period of five school years; however, the charter may be revoked or not renewed under the provisions of subsection (C) of this section. The sponsor annually shall evaluate the conditions outlined in subsection (C). The annual evaluation results must be used in making a determination for non-renewal or revocation.

(B)   A charter renewal application must be submitted to the school's sponsor, and it must contain:

(1)   a report on the progress of the charter school in achieving the goals, objectives, pupil achievement standards, and other terms of the initially approved charter application; and

(2)   a financial statement that discloses the costs of administration, instruction, and other spending categories for the charter school that is understandable to the general public and that allows comparison of these costs to other schools or other comparable organizations, in a format required by the State Board of Education.

(C)   A charter must be revoked or not renewed by the sponsor if it determines that the charter school:

(1)   committed a material violation of the conditions, standards, or procedures provided for in the charter application;

(2)   failed to meet or make reasonable progress, as defined in the charter application, toward pupil achievement standards identified in the charter application;

(3)   failed to meet generally accepted standards of fiscal management; or

(4)   violated any provision of law from which the charter school was not specifically exempted.

(D)   At least sixty days before not renewing or terminating a charter school, the sponsor shall notify in writing the charter school's governing body of the proposed action. The notification shall state the grounds for the proposed action in reasonable detail. Termination must follow the procedure provided for in this section.

(E)   The charter school's governing body may request in writing a hearing before the sponsor within fourteen days of receiving notice of nonrenewal or termination of the charter. Failure by the school's governing body to make a written request for a hearing within fourteen days must be treated as acquiescence to the proposed action. Upon receiving a timely written request for a hearing, the sponsor shall give reasonable notice to the school's governing body of the hearing date. The sponsor shall conduct a hearing before taking final action. The sponsor shall take final action to renew or not renew a charter by the last day of classes in the last school year for which the charter school is authorized.

(F)   A decision to revoke or not to renew a charter school may be appealed to the state board pursuant to the provisions of Section 59-40-90.

Section 59-40-115.   A charter school may terminate its contract with a sponsor before the five-year term of contract if all parties under contract with the charter school agree to the dissolution. A charter school that terminates its contract with a sponsor directly may seek application for the length of time remaining on its original contract from another sponsor without review from the South Carolina Charter School Committee.

Section 59-40-120.   Upon dissolution of a charter school, its assets may not inure to the benefit of any private person. Any assets obtained through restricted agreements with a donor through awards, grants, or gifts must be returned to that entity. All other assets become property of the sponsor.

Section 59-40-130.   (A)   If an employee of a local school district makes a written request for a leave to be employed at a charter school, the school district shall grant the leave for up to five years as requested by the employee. The school district may require that the request for leave or extension of leave be made by the date provided for by state law for the return of teachers' contracts. Employees may return to employment with the local school district at its option with the same teaching or administrative contract status as when they left but without assurance as to the school or supplemental position to which they may be assigned.

(B)   During a leave, the employee may continue to accrue benefits and credits in the South Carolina Retirement System by paying the employee contributions based upon the annual salary of the employee, and the charter school shall pay the employer contribution. The South Carolina Retirement System may impose reasonable requirements to administer this section.

(C)   The provisions of this section do not apply to teachers and other employees of a converted school whose employment relation is governed by Section 59-40-100(C).

Section 59-40-140.   (A)   A local school board of trustees sponsor shall distribute state, county, and school district funds to a charter school as determined by the following formula: The previous year's audited total general fund expenditures, including capital outlay and maintenance, but not including expenditures from bonded indebtedness or debt repayment must be divided by the previous year's weighted students, then increased by the Education Finance Act inflation factor, pursuant to Section 59-20-40, for the years following the audited expenditures, then multiplied by the weighted students enrolled in the charter school, which will be subject to adjustment for student attendance and state budget allocations based on the same criteria as the local school district. These amounts must be verified by the State Department of Education before the first disbursement of funds. All state and local funding must be distributed by the local school district to the charter school monthly beginning July first following approval of the charter school application.

(B)   The South Carolina Public Charter School District shall receive and distribute state funds to the charter school as determined by the following formula: the current year's base student cost, as funded by the General Assembly, multiplied by the weighted students enrolled in the charter school, which must be subject to adjustment for student attendance and state budget allocations. However, the South Carolina Public Charter School District may not retain more than two percent of its gross revenue for its internal administrative and operating expenses.

(C)   During the year of the charter school's operation, as received, and to the extent allowed by federal law, a sponsor shall distribute to the charter school federal funds which are allocated to the local school district on the basis of the number of special characteristics of the students attending the charter school. These amounts must be verified by the State Department of Education before the first disbursement of funds.

(C)(D)   Notwithstanding subsection (B) (C), the proportionate share of state and federal resources generated by students with disabilities or staff serving them must be directed to charter schools the school district board of trustees or committee. The proportionate share of funds generated under other federal or state categorical aid programs must be directed to charter schools the school district board of trustees or committee serving students eligible for the aid.

(D)(E)   All services centrally or otherwise provided by the school district sponsor or local school district, if any, including, but not limited to, food services, custodial services, maintenance, curriculum, media services, libraries, and warehousing are subject to negotiation between a charter school and the school district sponsor or local school district.

(E)(F)   All awards, grants, or gifts collected by a charter school must be retained by the charter school.

(F)(G)   The governing body of a charter school is authorized to accept gifts, donations, or grants of any kind made to the charter school and to expend or use the gifts, donations, or grants in accordance with the conditions prescribed by the donor. No A gift or donation shall must not be required for admission. However, no a gift, donation, or grant may must not be accepted by the governing board if subject to any a condition contrary to law or contrary to the terms of the contract between the charter school and the governing body. All gifts, donations, or grants must be reported to the local school district sponsor in their annual audit report as required in Section 59-40-50(B)(3).

(G)(H)   A charter school shall report to its sponsor and the Department of Education any change to information provided under its application. In addition, a charter school shall report at least annually to its sponsor and the department all information required by the sponsor or the department and including, at a minimum, the number of students enrolled in the charter school, the success of students in achieving the specific educational goals for which the charter school was established, and the identity and certification status of the teaching staff.

(H)(I)   The sponsor shall provide technical assistance to persons and groups preparing or revising charter applications at no expense.

(I)(J)   Charter schools may acquire by gift, devise, purchase, lease, sublease, installment purchase agreement, land contract, option, or by any other means, and hold and own in its own name buildings or other property for school purposes, and interests in it which are necessary or convenient to fulfill its purposes.

(J)(K)   Charter schools are exempt from all state and local taxation, except the sales tax, on their earnings and property. Instruments of conveyance to or from a charter school are exempt from all types of taxation of local or state taxes and transfer fees.

(K)   For those charter schools established on and after July 1, 2003, during the first year of its operation and upon verification by the State Department of Education that the charter school is receiving funding consistent with this chapter, the local school district shall receive through a state reserve fund established by the General Assembly beginning with fiscal year 2003-2004 an amount equivalent to the base student cost times a 1.0 weighted pupil unit for each student enrolled in the charter school who was enrolled in another noncharter public school in the district on the one hundred thirty-fifth day of the previous school year. The reserve fund shall be available only when the charter school is not initiated or operated by the district. Upon the filing of a charter school application, the State Department of Education must verify to the Charter School Advisory Committee and the affected school district that adequate funds are in the state reserve fund to meet this requirement.

Section 59-40-145.   A child who resides in a school district other than the one where a charter school is located may attend a charter school outside his district of residence; however, the receiving charter school shall have authority to grant or deny permission for the student to attend pursuant to Sections 59-40-40(2)(b) and 59-40-50(B)(7) and (8) according to the terms of the charter after in-district children have been given priority in enrollment. However, the out-of-district enrollment shall not exceed twenty percent of the total enrollment of the charter school without the approval of the sponsoring district board of trustees or committee. The district sending children to the charter school under the terms of this section must be notified immediately of the transferring students. Out-of-district students must be considered based on the order in which their applications are received. If the twenty percent out-of-district enrollment is from one school district, then the sending district must concur with any additional students transferring from that district to attend the charter school. The charter school to which the child is transferring shall be eligible for state and federal funding according to the formula defined in Section 59-40-140(A), (B), and (C), as applicable. However, this section does not apply to a charter school sponsored by the South Carolina Charter School Committee.

Section 59-40-150.   (A)   The Department of Education shall disseminate information to the public, directly and through sponsors, on how to form and operate a charter school and how to utilize the offerings of a charter school.

(B)   At least annually, the department shall provide upon request a directory of all charter schools authorized under this chapter with information concerning the educational goals of each charter school, the success of each charter school in meeting its educational goals, and procedures to apply for admission to each charter school.

(C)   The department shall bear the cost of complying with this section.

Section 59-40-160.   (A)   The State Board of Education shall compile evaluations, to include, but not be limited to, school report cards, of charter schools received from local school boards of trustees sponsors. They shall review information regarding the regulations and policies from which charter schools were released to determine if the releases assisted or impeded the charter schools in meeting their stated goals and objectives.

(B)   The State Board of Education shall review the implementation and effectiveness of this chapter, review comprehensive reports issued by local school boards concerning successes or failures of charter schools, report to the Governor and General Assembly interim results by July 1, 1998, and issue a final report and recommendations to the Governor and General Assembly during the fifth year after the effective date of this chapter.

(C)   In preparing the report required by this section, the State Board of Education shall compare the academic performance of charter school pupils with the performance of ethnically and economically comparable groups of pupils in other public schools who are enrolled in academically comparable courses.

(D)   An impact study shall be conducted by the State Board of Education two years after the implementation of the South Carolina Charter School Advisory Committee review process to determine the effectiveness of the application process.

Section 59-40-170.   The Department of Education shall make available, upon request, a list of vacant and unused buildings and vacant and unused portions of buildings that are owned by school districts in this State and that may be suitable for the operation of a charter school. The department shall make the list available to applicants for charter schools and to existing charter schools. The list must include the address of each building, a short description of the building, and the name of the owner of the building. Nothing in this section requires the owner of a building on the list to sell or lease the building or a portion of the building to a charter school or to any other school or to any other prospective buyer or tenant. However, if a school district declares a building surplus and chooses to sell or lease the building, a charter school's board of directors or a charter committee operating or applying within the district must be given the first refusal to purchase or lease the building under the same or better terms and conditions as it would be offered to the public.

Section 59-40-180.   The State Board of Education shall promulgate regulations and develop guidelines necessary to implement the provisions of this chapter, including standards which the South Carolina Charter School Advisory Committee shall use to determine compliance with this chapter and an application process to include a timeline for submission of applications that will allow for final decisions, including state board appeal, by December first of the year preceding the charter school's opening.

Section 59-40-190.   (A)   The governing body of a charter school may sue and be sued. The governing body may not levy taxes or issue bonds.

(B)   A sponsor is not liable for any of the debts of the charter school.

(C)   A sponsor, members of the board or committee of a sponsor, and employees of a sponsor acting in their official capacity are immune from civil or criminal liability with respect to all activities related to a charter school they sponsor. The governing body of a charter school shall obtain at least the amount of and types of insurance required for this purpose.

Section 59-40-200.   Notwithstanding any other provision of this chapter, charter schools with conditional charters, with applications pending with local school district boards, or with planning-implementation grants supported by the Public Charter Schools Grant Program whose timelines stipulate having charter applications approved prior to December 1, 2003, shall apply directly to the local school district board of trustees without review by the charter school advisory committee. An application already on file with the South Carolina Charter School Committee before the effective date of Section 59-40-220 is subject to the timeline in effect at the time the application was filed. An application filed after the effective date of Section 59-40-220 is subject to the new time lines established pursuant to this chapter.

Section 59-40-210.   A school established as a private school, on the effective date of this section, which desires to convert to a charter school must dissolve and may not be allowed to open as a charter school for a period of twelve months.

Section 59-40-220.   (A)   The South Carolina Public Charter School District is created as a public body. The South Carolina Public Charter School District must be considered a local education agency and is eligible to receive state and federal funds and grants available for public charter and other schools. The South Carolina Public Charter School District must not have a local tax base and may not receive local property taxes.

(B)   The geographical boundaries of the South Carolina Public Charter School District are the same as the boundaries of the State of South Carolina.

(C)   The office of the South Carolina Charter School Committee must be housed in and staffed by the State Department of Education.

Section 59-40-230.   (A)   The South Carolina Public Charter School District must be governed by the South Carolina Charter School Committee consisting of not more than eleven members to be appointed as follows:

(1)   two to be appointed by the Governor;

(2)   one to be appointed by the Speaker of the House of Representatives;

(3)   one to be appointed by the President Pro Tempore of the Senate; and

(4)   seven to be appointed by the Governor upon the recommendation of the:

(a)   South Carolina Association of Public Charter Schools and one additional representative from the association;

(b)   South Carolina Association of School Administrators;

(c)   South Carolina Chamber of Commerce;

(d)   South Carolina Education Oversight Committee;

(e)   South Carolina School Boards Association;

(f)   South Carolina Alliance of Black Educators.

The seven members appointed by the Governor pursuant to item (4) are subject to confirmation by the Senate.

Each member of the committee shall serve terms of three years, except that, for the initial members, two appointed by the Governor, one by the Speaker of the House, one by the President Pro Tempore of the Senate, shall serve terms of one year and three appointed by the Governor, shall serve terms of two years. A member of the committee may be removed after appointment pursuant to Section 1-3-240. In making appointments, every effort must be made to ensure that all geographic areas of the State are represented and that the membership reflects urban and rural areas of the State as well as the ethnic diversity of the State.

(B)   The committee has the same powers, rights, and responsibilities with respect to charter schools as other school district boards of trustees of this State including, but not limited to, sponsoring charter schools and applying for federal charter school grants, except that the committee may not offer application for a charter school, issue bonds, or levy taxes.

(C)   The committee annually shall elect a chairman and other officers as it considers necessary from among its membership.

(D)   Members of the committee are not eligible to receive compensation but are eligible for per diem, mileage, and subsistence as provided by law for members of state boards, committees, and commissions.

(E)   The committee shall:

(1)   exercise general supervision over public charter schools sponsored by the district;

(2)   grant charter status to qualifying applicants for public charter schools pursuant to this chapter;

(3)   adopt and use an official seal in the authentication of its acts;

(4)   keep a record of its proceedings;

(5)   adopt rules of governance;

(6)   determine the policy of the district and the work undertaken by it;

(7)   prepare a budget for expenditures necessary for the proper maintenance of the committee and the accomplishment of its purpose;

(8)   keep financial records in accordance with state and federal accounting codes and procedures;

(9)   comply with and ensure compliance of applicable state and federal regulations;

(10)   procure an outside annual certified financial audit on funds and submit to the State Department of Education as required by the State Department of Education;

(11)   be subject to the Freedom of Information Act;

(12)   review charter school applications for compliance with established standards that reflect the requirements and intent of this chapter;

(13)   have the power to hire and fire the superintendent and staff of the committee.

(F)   The committee may contract, sue, and be sued.

Section 59-40-210 59-40-240.   If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this chapter is for any reason held to be unconstitutional or invalid, such holding shall not affect the constitutionality or validity of the remaining portions of this chapter, the General Assembly hereby declaring that it would have passed this chapter, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words thereof may be declared to be unconstitutional, invalid, or otherwise ineffective."

SECTION   2.   Section 59-18-920 of the 1976 Code is amended to read:

"Section 59-18-920.   Charter schools established pursuant to Chapter 40, Title 59 will receive a performance rating must report the data requested by the Department of Education necessary to generate a report card. The Department of Education shall utilize this data to issue a report card with performance ratings. and The report card must issue a report card be provided to parents and the public containing the rating ratings and explaining its significance and providing other information similar to that required of other schools in this section. The performance of students attending charter schools must be included in the performance ratings of the sponsoring school district. Alternative schools are included in the requirements of this chapter; however, the purpose of such schools must be taken into consideration in determining their performance rating. The Education Oversight Committee, working with the State Board of Education and the School to Work Advisory Council, will develop a report card for vocational schools."

SECTION   3.   Section 59-18-900 of the 1976 Code is amended by adding a subsection at the end to read:

"(G)   The State Board of Education shall promulgate regulations outlining the procedures for data collection, data accuracy, data reporting, and consequences for failure to provide data required in this section."

SECTION   4.   This act takes effect July 1, 2006, at which time the powers and duties of the Charter Schools Advisory Board must be devolved upon the South Carolina Public Charter School District. /

Renumber sections to conform.

Amend title to conform.

Senator HAYES explained the amendment.

The amendment was adopted.

Committee Amendment Tabled

The Committee on Education proposed the following amendment (PT\2681SJ05), which was tabled:

Amend the bill, as and if amended, Section 59-40-40(1) as contained in SECTION 1, page 2, beginning on line 28, by deleting item (1) in its entirety and inserting:

/   (1)   A 'charter school' means a public, nonsectarian, nonreligious, nonhome-based, nonprofit corporation forming a school which operates within a public school district, but is accountable to the local school board of trustees of that district, which grants its charter. A 'charter school' may include a virtual charter school that meets all of the requirements of this item except the nonhome-based requirement./

Amend the bill further, Section 59-40-60(E)(2) as contained in SECTION 1, page 6, beginning on line 25, by deleting item (2) in its entirety and inserting:

/     (2)   perform acts of a nonprofit organization including, but not limited to, employ employing and contract contracting with teachers and nonteaching employees, contract contracting for other services, and develop developing pay scales, performance criteria, and discharge policies for its employees. All teachers whether certified or noncertified must undergo the background checks and other investigations required for certified teachers, as provided by law, before they may teach in the charter school; and /

Amend the bill further, Section 59-40-70(B) as contained in SECTION 1, page 10, line 11 after /within/ by striking /thirty/ and inserting / thirty sixty /.

Amend the bill further, after Section 59-40-70 as contained in SECTION 1, page 11, after line 23, by inserting:

/   Section 59-40-75.   (A)   A member of the Charter School Advisory Committee or of the governing board of the charter school who is indicted in any court for any crime may, in the discretion of the Governor, be suspended by the Governor, who in event of suspension shall appoint another in his stead until he is acquitted. In case of conviction, the office must be declared vacant by the Governor and the vacancy filled as provided by law.

(B)   A member of the Charter School Advisory Committee or of the governing board of the charter school who is guilty of malfeasance, misfeasance, incompetency, absenteeism, conflicts of interest, misconduct, persistent neglect of duty in office, or incapacity is subject to removal by the Governor upon any of the foregoing causes being made to appear to the satisfaction of the Governor. But before removing the officer, the Governor shall inform him in writing of the specific charges brought against him and give him an opportunity on reasonable notice to be heard.

(C)   Whenever it appears to the satisfaction of the Governor that probable cause exists to charge a member of the Charter School Advisory Committee or of the governing board of the charter school who has the custody of public or trust funds with embezzlement or the appropriation of public or trust funds to private use, then the Governor shall direct his immediate prosecution by the proper officer, and upon indictment by a grand jury or, upon the waiver of the indictment if permitted by law, the Governor shall suspend the officer and appoint one in his stead, until he is acquitted. In case of conviction, the position must be declared vacant and the vacancy filled as provided by law.

(D)   A member of the Charter School Advisory Committee or of the governing board of the charter school who has been indicted by a grand jury for a crime involving moral turpitude or who has waived the indictment if permitted by law may be suspended by the Governor until he is acquitted. In case of conviction the office must be declared vacant and the vacancy filled as provided by law. /

Amend the bill further, Section 59-40-230(A) as contained in SECTION 1, page 20, beginning on line 26, by deleting subsection (A) in its entirety and inserting:

/ (A)   The Carolina Public Charter School District must be governed by a board of trustees consisting of not more than ten members:

(1)   three appointed by the Governor;

(2)   one appointed by the Speaker of the House of Representatives;

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

(4)   one appointed by the Chairman of the House Education and Public Works Committee;

(5)   one appointed by the Chairman of the Senate Education Committee; and

(6)   three appointed by the State Superintendent of Education.

Each member of the board of trustees shall serve terms of three years, except that, for the initial members, one appointed by the Governor, the Speaker of the House, and the State Superintendent of Education shall serve terms of one year and one appointed by the Governor, the President Pro Tempore of the Senate, and the State Superintendent of Education shall serve terms of two years. A member of the board may be removed after appointment pursuant to Section 1-3-240. In making appointments, every effort must be made to ensure that all geographic areas of the State are represented and that the membership reflects urban and rural areas of the State as well as the ethnic diversity of the State. /

Renumber sections to conform.

Amend title to conform.

On motion of Senator McCONNELL, with unanimous consent, the committee amendment was tabled.

Clerk's Perfecting Amendment

The following Clerk's perfecting amendment (3010R003.clerk) incorporates all of the amendments which were adopted:

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

/   SECTION   1.   Chapter 40, Title 59 of the 1976 Code is amended to read:

  "CHAPTER 40

Charter Schools

Section 59-40-10.   This chapter may be cited as the 'South Carolina Charter Schools Act of 1996'.

Section 59-40-20.   This chapter is enacted to:

(1)   improve student learning;

(2)   increase learning opportunities for students;

(3)   encourage the use of a variety of productive teaching methods;

(4)   establish new forms of accountability for schools;

(5)   create new professional opportunities for teachers, including the opportunity to be responsible for the learning program at the school site; and

(6)   assist South Carolina in reaching academic excellence.

Section 59-40-30.   (A)   In authorizing charter schools, it is the intent of the General Assembly to create a legitimate avenue for parents, teachers, and community members to take responsible risks and create new, innovative, and more flexible ways of educating all children within the public school system. The General Assembly seeks to create an atmosphere in South Carolina's public school systems where research and development in producing different learning opportunities is actively pursued and where classroom teachers are given the flexibility to innovate and the responsibility to be accountable. As such, the provisions of this chapter should be interpreted liberally to support the findings and goals of this chapter and to advance a renewed commitment by the State of South Carolina to the mission, goals, and diversity of public education.

(B)   It is the intent of the General Assembly that creation of this chapter encourages cultural diversity, educational improvement, and academic excellence. Further, it is not the intent of the General Assembly to create a segregated school system but to continue to promote educational improvement and excellence in South Carolina.

Section 59-40-40.   As used in this chapter:

(1)   A 'charter school' means a public, nonsectarian, nonreligious, nonhome-based, nonprofit corporation forming a school which operates within a public school district, but is accountable to the local school board of trustees of that district, which grants its charter. A 'charter school' may include a virtual charter school that meets all of the requirements of this item except the nonhome-based requirement.

(2)   A charter school:

(a)   is considered a public school and part of the South Carolina Public Charter School District or school district in which it is located for the purposes of state law and the state constitution;

(b)   is subject to all federal and state laws and constitutional provisions prohibiting discrimination on the basis of disability, race, creed, color, gender, national origin, religion, ancestry, or need for special education services;

(c)   must be administered and governed by a governing body in a manner agreed to by the charter school applicant and the sponsor, the governing body to be selected, as provided in Section 59-40-50(B)(9);

(d)   shall may not charge tuition or other charges of any kind pursuant to Section 59-19-90(8) except as may be allowed by the sponsor and is comparable to the charges of the local school district in which the charter school is located.

(3)   'Applicant' means the person who or nonprofit corporate entity that desires to form a charter school and files the necessary application with the South Carolina Charter School Committee or the local school board of trustees in which the charter school is to be located. The applicant also must be the person who applies to the Secretary of State to organize the charter school as a nonprofit corporation.

(4)   'Sponsor' means the South Carolina Charter School Committee or the local school board of trustees in which the charter school is to be located established, as provided by law, from which the charter school applicant requested its charter and which granted approval for the charter school's existence.

(5)   'Certified teacher' means a person currently certified by the State of South Carolina to teach in a public elementary or secondary school or who currently meets the qualification qualifications outlined in Sections 59-27-10 and 59-25-115.

(6)   'Noncertified teacher' means an individual considered appropriately qualified for the subject matter taught and who has completed at least one year of study at an accredited college or university and meets the qualifications outlined in Section 59-25-115.

(7)   'Charter committee' means the governing body of a charter school formed by the applicant to govern through the application process and until the election of a board of directors is held. After the election, the board of directors of the corporation must be organized as the governing body and the charter committee is dissolved.

(8)   'Local school district' means any school district in the State except the South Carolina Public Charter School District and does not include special school districts.

(9)   'Committee' means the South Carolina Charter School Committee.

Section 59-40-50.   (A)   Except as otherwise provided in this chapter, a charter school is exempt from all provisions of law and regulations applicable to a public school, a school board, or a district, although a charter school may elect to comply with one or more of these provisions of law or regulations.

(B)   A charter school must:

(1)   adhere to the same health, safety, civil rights, and disability rights requirements as are applied to public schools operating in the same school district or, in the case of the South Carolina Public Charter School District, the local school district in which the charter school is located;

(2)   meet, but may exceed, the same minimum student attendance requirements as are applied to public schools operating in the same district;

(3)   adhere to the same financial audits, audit procedures, and audit requirements as are applied to public schools operating in the same school district;

(4)   be considered a school district for purposes of tort liability under South Carolina law, except that the tort immunity does not include acts of intentional or wilful racial discrimination by the governing body or employees of the charter school. Employees of charter schools must be relieved of personal liability for any tort or contract related to their school to the same extent that employees of traditional public schools in their school district or, in the case of the South Carolina Public Charter School District, the local school district in which the charter school is located are relieved;

(5)   in its discretion hire noncertified teachers in a ratio of up to twenty-five percent of its entire teacher staff; however, if it is a converted charter school, it shall hire in its discretion noncertified teachers in a ratio of up to ten percent of its entire teacher staff. However, in either a new or converted charter school, a teacher teaching in the core academic areas of English/language arts, mathematics, science, or social studies as defined by the federal No Child Left Behind law must be certified in those areas or possess a baccalaureate or graduate degree in the subject he or she is hired to teach. Part-time noncertified teachers are considered pro rata in calculating this percentage based on the hours which they are expected to teach;

(6)   hire in its discretion administrative staff to oversee the daily operation of the school. At least one of the administrative staff must be certified or experienced in the field of school administration;

(7)   admit all children eligible to attend public school in a school district to a charter school operating in that school district, subject to space limitations. However, it is required that the racial composition of the charter school enrollment reflect that of the local school district in which the charter school is located or that of the targeted student population which of the local school district that the charter school proposes to serve, to be defined for the purposes of this chapter as differing by no more than twenty percent from that population. This requirement is also subject to the provisions of Section 59-40-70(D). If the number of applications exceeds the capacity of a program, class, grade level, or building, students must be accepted by lot, and there is no appeal to the sponsor;

(8)   not limit or deny admission or show preference in admission decisions to any individual or group of individuals; provided, however, that a charter school may give enrollment priority to a sibling of a pupil already enrolled, children of a charter school employee, and children of the charter committee, provided their enrollment does not constitute more than twenty percent of the enrollment of the charter school;

(9)   elect its board of directors annually. All employees of the charter school and all parents or guardians of students enrolled in the charter school are eligible to participate in the election. Parents or guardians of a student shall have one vote for each student enrolled in the charter school;

(10)   be subject to the Freedom of Information Act, including the charter school and its governing body.

(C)(1)   If a charter school denies admission to a student, the student may appeal the denial to the school board of trustees sponsor. The decision is binding on the student and the charter school.

(2)   If a charter school suspends or expels a student, other charter schools or the local school district in which the charter school is located has the authority but not the obligation to refuse admission to the student.

(3)   The sponsor has no obligation to provide extracurricular activities or access to facilities of the school district for students enrolled in the charter school; however, the charter contract may include participation in agreed upon interscholastic activities at a designated school within the sponsor district. Students participating under this agreement shall be considered eligible to participate in league events if all other eligibility requirements are met. Extracurricular activities must not be provided for a charter school unless approved by the sponsor.

(D)   The State is not responsible for student transportation to a charter school unless the charter school is designated by the local school district as the only school selected within the local school district's attendance area.

(E)   The South Carolina Charter School Committee may not use program funding for transportation.

Section 59-40-60.   (A)   An approved charter application constitutes an agreement, and the terms must be the terms of a contract between the charter school and the sponsor.

(B)   The contract between the charter school and the sponsor shall reflect all agreements regarding the release of the charter school from local school district policies.

(C)   A material revision of the terms of the contract between the charter school and the approving board or committee may be made only with the approval of both parties.

(D)   Except as provided in subsection (F), an applicant who wishes to form a charter school shall:

(1)   organize the charter school as a nonprofit corporation pursuant to the laws of this State;

(2)   form a charter committee for the charter school which includes one or more teachers;

(3)   submit a written charter school application to the local South Carolina Charter School Committee and the school board of trustees for the school district in which the charter school is to be located from which the committee is seeking sponsorship.

(E)   A charter committee is responsible for and has the power to:

(1)   submit an application to operate as a charter school, sign a charter school contract, and ensure compliance with all of the requirements for charter schools provided by law;

(2)   perform acts of a nonprofit organization including, but not limited to, employ employing and contract contracting with teachers and nonteaching employees, contract contracting for other services, and develop developing pay scales, performance criteria, and discharge policies for its employees. All teachers whether certified or noncertified must undergo the background checks and other investigations required for certified teachers, as provided by law, before they may teach in the charter school; and

(3)   decide all other matters related to the operation of the charter school, including budgeting, curriculum, and operating procedures.

(F)   The charter school application shall be a proposed contract and must include:

(1)   the mission statement of the charter school, which must be consistent with the principles of the General Assembly's purposes pursuant to Section 59-40-20;

(2)   the goals, objectives, and pupil achievement standards to be achieved by the charter school, and a description of the charter school's admission policies and procedures;

(3)   evidence that an adequate number of parents, teachers, pupils, or any combination of them support the formation of a charter school;

(4)   a description of the charter school's educational program, pupil achievement standards, and curriculum which must meet or exceed any content standards adopted by the school district in which the charter school is located State Board of Education and must be designed to enable each pupil to achieve these standards;

(5)   a description of the charter school's plan for evaluating pupil achievement and progress toward accomplishment of the school's achievement standards in addition to state assessments, the timeline for meeting these standards, and the procedures for taking corrective action if that pupil achievement falls below the standards;

(6)   evidence that the plan for the charter school is economically sound, a proposed budget for the term of the charter, a description of the manner in which an annual audit of the financial and administrative operations of the charter school, including any services provided by the school district, is to be conducted;

(7)   a description of the governance and operation of the charter school, including the nature and extent of parental, professional educator, and community involvement in the governance and operation of the charter school;

(8)   a description of how the charter school plans to ensure that the enrollment of the school is similar to the racial composition of the local school district in which the charter school is to be located or the targeted student population of the local school district that the charter school proposes to serve and provide assurance that the school does not conflict with any school district desegregation plan or order in effect for the school district in which the charter school is to be located;

(9)   a description of how the charter school plans to meet the transportation needs of its pupils;

(10)   a description of the building, facilities, and equipment and how they shall be obtained;

(11)   an explanation of the relationship that shall exist between the proposed charter school and its employees, including descriptions of evaluation procedures and evidence that the terms and conditions of employment have been addressed with affected employees;

(12)   a description of a reasonable grievance and termination procedure, as required by this chapter, including notice and a hearing before the governing body of the charter school. The application must state whether or not the provisions of Article 5, Chapter 25 of Title 59 apply to the employment and dismissal of teachers at the charter school;

(13)   a description of student rights and responsibilities, including behavior and discipline standards, and a reasonable hearing procedure, including notice and a hearing before the board of directors of the charter school before expulsion;

(14)   an assumption of liability by the charter school for the activities of the charter school and an agreement that the charter school must indemnify and hold harmless the school district, its servants, agents, and employees, from any and all liability, damage, expense, causes of action, suits, claims, or judgments arising from injury to persons or property or otherwise which arises out of the act, failure to act, or negligence of the charter school, its agents and employees, in connection with or arising out of the activity of the charter school; and

(15)   a description of the types and amounts of insurance coverage to be obtained by the charter school.

(G)   Nothing in this section shall require a charter school applicant to provide a list of prospective or tentatively enrolled students or prospective employees with the application.

Section 59-40-70.   (A)   The Charter School Advisory Committee shall must be established by the State Board of Education to review charter school applications for compliance with established standards that reflect the requirements and intent of this chapter. Members shall must be appointed by the State Board of Education unless otherwise indicated.

(1)   The advisory committee shall consist of eleven members as follows:

(a)   South Carolina Association of Public Charter Schools--the president or his designee and one additional representative from the association;

(b)   South Carolina Association of School Administrators--the executive director or his designee;

(c)   South Carolina Chamber of Commerce--the executive director or his designee and one additional representative from the chamber;

(d)   South Carolina Education Oversight Committee--the chair or a business designee;

(e)   South Carolina Commission on Higher Education--the chair or his designee;

(f)   South Carolina School Boards Association--the executive director or his designee;

(g)   South Carolina Alliance of Black Educators--the president or his designee; and

(h)   One teacher and one parent to be appointed by the State Superintendent of Education.

(2)   As an application is reviewed, a representative from the local school board of trustees of the affected school district from which the committee is seeking sponsorship and a representative of the charter committee shall serve on the advisory South Carolina Charter School Committee as ex officio nonvoting members. If the applicant indicates a proposed contractual agreement with the local school district in which the charter school is located, a representative from the local school board of trustees of that district shall serve on the advisory committee as an ex officio, nonvoting member.

(3)   Appointing authorities shall give consideration to the appointment of minorities and women as representatives on the committee.

(4)   The committee shall be convened by the State Superintendent of Education on or before July 1, 2002, who shall serve as interim chair. At the first meeting the membership shall elect a chairman and any other officers it deems necessary.

(5)   The committee shall establish by-laws for its operation which shall include terms of office for its membership.

(6)(2)   An applicant shall submit the application to the advisory committee and a one copy to the affected school district school board of trustees of the district from which it is seeking sponsorship. In the case of the South Carolina Public Charter School District, the applicant shall provide notice of the application to the local school board of trustees in which the charter school will be located for informational purposes only. The advisory committee shall receive input from the school district in which the applicant is seeking sponsorship and shall request clarifying information from the applicant. Within sixty days, An applicant may submit an application to the committee at any time during the fiscal year and the advisory committee, within sixty days, shall determine whether the application is in compliance. An application that is in compliance must be forwarded to the school district from which the applicant is seeking sponsorship with a letter stating the application is in compliance. The letter shall also include a recommendation from the South Carolina Charter School Committee to approve or deny the charter. The letter must specify the reasons for its recommendation. This recommendation is nonbinding on the school board of trustees. If the application is in noncompliance, it must be returned to the applicant with deficiencies noted. The applicant may appeal the decision to the State Board of Education.

(B)   The local school board of trustees or committee from which the applicant is seeking sponsorship shall rule on the application for a charter school in a public hearing, upon reasonable public notice, within thirty days after receiving the application. If there is no ruling within thirty sixty days, the application is considered approved. Once the application has been approved by the school board of trustees or committee, the charter school may open at the beginning of the following year. However, before a charter school may open, the State Department of Education shall verify the accuracy of the financial data for the school.

(C)   A local school district board of trustees shall only shall deny an application if the application does not meet the requirements specified in Section 59-40-50 or 59-40-60, fails to meet the spirit and intent of this chapter, or adversely affects, as defined in regulation, the other students in the district in which the charter school is to be located. It shall provide, within ten days, a written explanation of the reasons for denial, citing specific standards related to provisions of Section 59-40-50 or 59-40-60 that the application violates. This written explanation immediately shall must be sent to the charter committee and filed with the State Board of Education and the South Carolina Charter School Advisory Committee.

(D)   In the event that the racial composition of an applicant's or charter school's enrollment differs from the enrollment of the local school district in which the charter school is to be located or the targeted student population of the local school district by more than twenty percent, despite its best efforts, the local school district board of trustees or committee from which the applicant is seeking sponsorship shall consider the applicant's or the charter school's recruitment efforts and racial composition of the applicant pool in determining whether the applicant or charter school is operating in a nondiscriminatory manner. A finding by the local school district board of trustees or committee that the applicant or charter school is operating in a racially discriminatory manner may justify the denial of a charter school application or the revocation of a charter as provided herein in this section or in Section 59-40-110, as may be applicable. A finding by the local school district board of trustees or committee that the applicant is not operating in a racially discriminatory manner shall justify justifies approval of the charter without regard to the racial percentage requirement if the application is acceptable in all other aspects.

(E)   If the local school district board of trustees or committee from which the applicant is seeking sponsorship denies a charter school application, the charter applicant may appeal the denial to the State Board of Education pursuant to Section 59-40-90.

(F)   If the local school district board of trustees or committee approves the application, it becomes the charter school's sponsor and shall sign the approved application which constitutes a contract with the charter committee of the charter school. A copy of the charter must be filed with the State Board of Education.

(G)   If a local school board of trustees has information that an approved application by the South Carolina Public Charter School District adversely affects the other students in its district, as defined in regulation, or that the approval of the application fails to meet the spirit and intent of this chapter, the local school board of trustees may appeal the granting of the charter to the State Board of Education. The state board, within forty-five days, may affirm or reverse the application for action by the South Carolina Public Charter School District in accordance with an order of the state board. The State Board of Education shall promulgate regulations outlining procedures for this type of appeal.

Section 59-40-75.   (A)   A member of the South Carolina Charter School Committee or of the governing board of the charter school who is indicted in any court for any crime may, in the discretion of the Governor, be suspended by the Governor, who in event of suspension shall appoint another in his stead until he is acquitted. In case of conviction, the office must be declared vacant by the Governor and the vacancy filled as provided by law.

(B)   A member of the South Carolina Charter School Committee or of the governing board of the charter school who is guilty of malfeasance, misfeasance, incompetency, absenteeism, conflicts of interest, misconduct, persistent neglect of duty in office, or incapacity is subject to removal by the Governor upon any of the foregoing causes being made to appear to the satisfaction of the Governor. But before removing the officer, the Governor shall inform him in writing of the specific charges brought against him and give him an opportunity on reasonable notice to be heard.

(C)   Whenever it appears to the satisfaction of the Governor that probable cause exists to charge a member of the South Carolina Charter School Committee or of the governing board of the charter school who has the custody of public or trust funds with embezzlement or the appropriation of public or trust funds to private use, then the Governor shall direct his immediate prosecution by the proper officer, and upon indictment by a grand jury or, upon the waiver of the indictment if permitted by law, the Governor shall suspend the officer and appoint one in his stead, until he is acquitted. In case of conviction, the position must be declared vacant and the vacancy filled as provided by law.

(D)   A member of the South Carolina Charter School Committee or of the governing board of the charter school who has been indicted by a grand jury for a crime involving moral turpitude or who has waived the indictment if permitted by law may be suspended by the Governor until he is acquitted. In case of conviction the office must be declared vacant and the vacancy filled as provided by law.

Section 59-40-80.   A local school board sponsor may conditionally authorize a charter school before the applicant has secured its space, equipment, facilities, and personnel if the applicant indicates such authority is necessary for it to meet the requirements of this chapter. Conditional authorization does not give rise to any equitable or other claims based on reliance, notwithstanding any promise, parole, written, or otherwise, contained in the authorization or acceptance of it, whether preceding or following the conditional authorization.

Section 59-40-90.   (A)   The State Board of Education, upon receipt of a notice of appeal or upon its own motion, shall review a decision of any local school board of trustees or committee concerning charter schools in accordance with the provisions of this section.

(B)   A charter applicant who wishes to appeal an adverse decision shall provide the State Board of Education and the local school board of trustees or committee issuing the decision with a notice of appeal within ten days of the local board's or committee's decision.

(C)   If the notice of appeal or the motion to review by the State Board of Education relates to a local board's or committee's decision to deny, refuse to renew, or revoke a charter, the appeal and review process must be as contained in this section. Within thirty forty-five days after receipt of the notice of appeal or the making of a motion to review by the State Board of Education and after reasonable public notice, the State Board of Education, at a public hearing which may be held in the district where the proposed charter school is located, shall review the decision of the local school board of trustees or committee and make its findings known. The state board may affirm or reverse the application for action by the local board or committee in accordance with an order of the state board.

(D)   A final decision of the state board may be appealed by any party to the circuit court for the county in which the proposed charter school is or was to have located.

Section 59-40-100.   (A)   An existing public school may be converted into a charter school if two-thirds of the faculty and instructional staff employed at the school and two-thirds of all voting parents or legal guardians of students enrolled in the school agree to the filing of an application with the local school board of trustees for the conversion and formation of that school into a charter school. All parents Parents or legal guardians of students enrolled in the school must be given the opportunity to vote on the conversion. Parents or guardians of a student shall have one vote for each student enrolled in the school seeking conversion. The application must be submitted pursuant to Section 59-40-70(A)(6) by the principal of that school or his designee who must be considered the applicant. The application must include all information required of other applications pursuant to this chapter. The local school board of trustees shall approve or disapprove this application in the same manner it approves or disapproves other applications.

(B)   A converted charter school shall offer at least the same grades, or nongraded education appropriate for the same ages and education levels of pupils, as offered by the school immediately before conversion, and also may provide additional grades and further educational offerings.

(C)   All students enrolled in the school at the time of conversion must be given priority enrollment.

(D)   Teachers and other employees of a converted school who desire to teach or work at the converted school may do so but shall remain employees of the local school district with the same compensation and benefits including any future increases. The converted charter school quarterly shall reimburse the local school district for the compensation and employer contribution benefits paid to or on behalf of these teachers and employees. The provisions of Article 5, Chapter 25 of Title 59 apply to the employment and dismissal of teachers at a converted school.

(E)   The South Carolina Public Charter School District may not sponsor a public school to convert to a charter school.

Section 59-40-110.   (A)   A charter may be approved or renewed for a period of five school years; however, the charter may be revoked or not renewed under the provisions of subsection (C) of this section. The sponsor annually shall evaluate the conditions outlined in subsection (C). The annual evaluation results must be used in making a determination for non-renewal or revocation.

(B)   A charter renewal application must be submitted to the school's sponsor, and it must contain:

(1)   a report on the progress of the charter school in achieving the goals, objectives, pupil achievement standards, and other terms of the initially approved charter application; and

(2)   a financial statement that discloses the costs of administration, instruction, and other spending categories for the charter school that is understandable to the general public and that allows comparison of these costs to other schools or other comparable organizations, in a format required by the State Board of Education.

(C)   A charter must be revoked or not renewed by the sponsor if it determines that the charter school:

(1)   committed a material violation of the conditions, standards, or procedures provided for in the charter application;

(2)   failed to meet or make reasonable progress, as defined in the charter application, toward pupil achievement standards identified in the charter application;

(3)   failed to meet generally accepted standards of fiscal management; or

(4)   violated any provision of law from which the charter school was not specifically exempted.

(D)   At least sixty days before not renewing or terminating a charter school, the sponsor shall notify in writing the charter school's governing body of the proposed action. The notification shall state the grounds for the proposed action in reasonable detail. Termination must follow the procedure provided for in this section.

(E)   The charter school's governing body may request in writing a hearing before the sponsor within fourteen days of receiving notice of nonrenewal or termination of the charter. Failure by the school's governing body to make a written request for a hearing within fourteen days must be treated as acquiescence to the proposed action. Upon receiving a timely written request for a hearing, the sponsor shall give reasonable notice to the school's governing body of the hearing date. The sponsor shall conduct a hearing before taking final action. The sponsor shall take final action to renew or not renew a charter by the last day of classes in the last school year for which the charter school is authorized.

(F)   A decision to revoke or not to renew a charter school may be appealed to the state board pursuant to the provisions of Section 59-40-90.

Section 59-40-115.   A charter school may terminate its contract with a sponsor before the five-year term of contract if all parties under contract with the charter school agree to the dissolution. A charter school that terminates its contract with a sponsor directly may seek application for the length of time remaining on its original contract from another sponsor without review from the South Carolina Charter School Committee.

Section 59-40-120.   Upon dissolution of a charter school, its assets may not inure to the benefit of any private person. Any assets obtained through restricted agreements with a donor through awards, grants, or gifts must be returned to that entity. All other assets become property of the sponsor.

Section 59-40-130.   (A)   If an employee of a local school district makes a written request for a leave to be employed at a charter school, the school district shall grant the leave for up to five years as requested by the employee. The school district may require that the request for leave or extension of leave be made by the date provided for by state law for the return of teachers' contracts. Employees may return to employment with the local school district at its option with the same teaching or administrative contract status as when they left but without assurance as to the school or supplemental position to which they may be assigned.

(B)   During a leave, the employee may continue to accrue benefits and credits in the South Carolina Retirement System by paying the employee contributions based upon the annual salary of the employee, and the charter school shall pay the employer contribution. The South Carolina Retirement System may impose reasonable requirements to administer this section.

(C)   The provisions of this section do not apply to teachers and other employees of a converted school whose employment relation is governed by Section 59-40-100(C).

Section 59-40-140.   (A)   A local school board of trustees sponsor shall distribute state, county, and school district funds to a charter school as determined by the following formula: The previous year's audited total general fund expenditures, including capital outlay and maintenance, but not including expenditures from bonded indebtedness or debt repayment must be divided by the previous year's weighted students, then increased by the Education Finance Act inflation factor, pursuant to Section 59-20-40, for the years following the audited expenditures, then multiplied by the weighted students enrolled in the charter school, which will be subject to adjustment for student attendance and state budget allocations based on the same criteria as the local school district. These amounts must be verified by the State Department of Education before the first disbursement of funds. All state and local funding must be distributed by the local school district to the charter school monthly beginning July first following approval of the charter school application.

(B)   The Carolina Public Charter School District shall receive and distribute state funds to the charter school as determined by the following formula: the current year's base student cost, as funded by the General Assembly, multiplied by the weighted students enrolled in the charter school, which must be subject to adjustment for student attendance and state budget allocations. However, the Carolina Public Charter School District or local sponsor may not retain more than two percent of its gross revenue for its internal administrative and operating expenses.

(C)   During the year of the charter school's operation, as received, and to the extent allowed by federal law, a sponsor shall distribute to the charter school federal funds which are allocated to the local school district on the basis of the number of special characteristics of the students attending the charter school. These amounts must be verified by the State Department of Education before the first disbursement of funds.

(C)(D)   Notwithstanding subsection (B) (C), the proportionate share of state and federal resources generated by students with disabilities or staff serving them must be directed to charter schools the school district board of trustees or committee. The proportionate share of funds generated under other federal or state categorical aid programs must be directed to charter schools the school district board of trustees or committee serving students eligible for the aid.

(D)(E)   All services centrally or otherwise provided by the school district sponsor or local school district, if any, including, but not limited to, food services, custodial services, maintenance, curriculum, media services, libraries, and warehousing are subject to negotiation between a charter school and the school district sponsor or local school district.

(E)(F)   All awards, grants, or gifts collected by a charter school must be retained by the charter school.

(F)(G)   The governing body of a charter school is authorized to accept gifts, donations, or grants of any kind made to the charter school and to expend or use the gifts, donations, or grants in accordance with the conditions prescribed by the donor. No A gift or donation shall must not be required for admission. However, no a gift, donation, or grant may must not be accepted by the governing board if subject to any a condition contrary to law or contrary to the terms of the contract between the charter school and the governing body. All gifts, donations, or grants must be reported to the local school district sponsor in their annual audit report as required in Section 59-40-50(B)(3).

(G)(H)   A charter school shall report to its sponsor and the Department of Education any change to information provided under its application. In addition, a charter school shall report at least annually to its sponsor and the department all information required by the sponsor or the department and including, at a minimum, the number of students enrolled in the charter school, the success of students in achieving the specific educational goals for which the charter school was established, and the identity and certification status of the teaching staff.

(H)(I)   The sponsor shall provide technical assistance to persons and groups preparing or revising charter applications at no expense.

(I)(J)   Charter schools may acquire by gift, devise, purchase, lease, sublease, installment purchase agreement, land contract, option, or by any other means, and hold and own in its own name buildings or other property for school purposes, and interests in it which are necessary or convenient to fulfill its purposes.

(J)(K)   Charter schools are exempt from all state and local taxation, except the sales tax, on their earnings and property. Instruments of conveyance to or from a charter school are exempt from all types of taxation of local or state taxes and transfer fees.

(K)   For those charter schools established on and after July 1, 2003, during the first year of its operation and upon verification by the State Department of Education that the charter school is receiving funding consistent with this chapter, the local school district shall receive through a state reserve fund established by the General Assembly beginning with fiscal year 2003-2004 an amount equivalent to the base student cost times a 1.0 weighted pupil unit for each student enrolled in the charter school who was enrolled in another noncharter public school in the district on the one hundred thirty-fifth day of the previous school year. The reserve fund shall be available only when the charter school is not initiated or operated by the district. Upon the filing of a charter school application, the State Department of Education must verify to the Charter School Advisory Committee and the affected school district that adequate funds are in the state reserve fund to meet this requirement.

Section 59-40-145.   A child who resides in a school district other than the one where a charter school is located may attend a charter school outside his district of residence; however, the receiving charter school shall have authority to grant or deny permission for the student to attend pursuant to Sections 59-40-40(2)(b) and 59-40-50(B)(7) and (8) according to the terms of the charter after in-district children have been given priority in enrollment. However, the out-of-district enrollment shall not exceed twenty percent of the total enrollment of the charter school without the approval of the sponsoring district board of trustees or committee. The district sending children to the charter school under the terms of this section must be notified immediately of the transferring students. Out-of-district students must be considered based on the order in which their applications are received. If the twenty percent out-of-district enrollment is from one school district, then the sending district must concur with any additional students transferring from that district to attend the charter school. The charter school to which the child is transferring shall be eligible for state and federal funding according to the formula defined in Section 59-40-140(A), (B), and (C), as applicable. However, this section does not apply to a charter school sponsored by the South Carolina Charter School Committee.

Section 59-40-150.   (A)   The Department of Education shall disseminate information to the public, directly and through sponsors, on how to form and operate a charter school and how to utilize the offerings of a charter school.

(B)   At least annually, the department shall provide upon request a directory of all charter schools authorized under this chapter with information concerning the educational goals of each charter school, the success of each charter school in meeting its educational goals, and procedures to apply for admission to each charter school.

(C)   The department shall bear the cost of complying with this section.

Section 59-40-155.   (A)   Within one year of taking office, all persons elected or appointed as members of a charter school board of trustees after July 1, 2006, shall complete successfully an orientation program in the powers, duties, and responsibilities of a board member, including, but not limited to, topics on policy development, personnel, instructional programs, school finance, school law, ethics, and community relations. The orientation must be provided at no charge by the State Department of Education or an association approved by the department.

(B)   Within ninety days of employment, an administrator employed by the charter school, who is not certified, shall complete successfully an orientation program in the powers, duties, and responsibilities of a school administrator, including, but not limited to, topics on personnel, instructional programs, school finance, school law, ethics, and community relations. The orientation must be provided at no charge by the State Department of Education.

Section 59-40-160.   (A)   The State Board of Education shall compile evaluations, to include, but not be limited to, school report cards, of charter schools received from local school boards of trustees sponsors. They shall review information regarding the regulations and policies from which charter schools were released to determine if the releases assisted or impeded the charter schools in meeting their stated goals and objectives.

(B)   The State Board of Education shall review the implementation and effectiveness of this chapter, review comprehensive reports issued by local school boards concerning successes or failures of charter schools, report to the Governor and General Assembly interim results by July 1, 1998, and issue a final report and recommendations to the Governor and General Assembly during the fifth year after the effective date of this chapter.

(C)   In preparing the report required by this section, the State Board of Education shall compare the academic performance of charter school pupils with the performance of ethnically and economically comparable groups of pupils in other public schools who are enrolled in academically comparable courses.

(D)   An impact study shall be conducted by the State Board of Education two years after the implementation of the South Carolina Charter School Advisory Committee review process to determine the effectiveness of the application process.

Section 59-40-170.   The Department of Education shall make available, upon request, a list of vacant and unused buildings and vacant and unused portions of buildings that are owned by school districts in this State and that may be suitable for the operation of a charter school. The department shall make the list available to applicants for charter schools and to existing charter schools. The list must include the address of each building, a short description of the building, and the name of the owner of the building. Nothing in this section requires the owner of a building on the list to sell or lease the building or a portion of the building to a charter school or to any other school or to any other prospective buyer or tenant. However, if a school district declares a building surplus and chooses to sell or lease the building, a charter school's board of directors or a charter committee operating or applying within the district must be given the first refusal to purchase or lease the building under the same or better terms and conditions as it would be offered to the public.

Section 59-40-180.   The State Board of Education shall promulgate regulations and develop guidelines necessary to implement the provisions of this chapter, including standards which the South Carolina Charter School Advisory Committee shall use to determine compliance with this chapter and an application process to include a timeline for submission of applications that will allow for final decisions, including state board appeal, by December first of the year preceding the charter school's opening.

Section 59-40-190.   (A)   The governing body of a charter school may sue and be sued. The governing body may not levy taxes or issue bonds.

(B)   A sponsor is not liable for any of the debts of the charter school.

(C)   A sponsor, members of the board or committee of a sponsor, and employees of a sponsor acting in their official capacity are immune from civil or criminal liability with respect to all activities related to a charter school they sponsor. The governing body of a charter school shall obtain at least the amount of and types of insurance required for this purpose.

(D)   A member of a school governing body may not receive pay as an employee in the same school.

Section 59-40-200.   Notwithstanding any other provision of this chapter, charter schools with conditional charters, with applications pending with local school district boards, or with planning-implementation grants supported by the Public Charter Schools Grant Program whose timelines stipulate having charter applications approved prior to December 1, 2003, shall apply directly to the local school district board of trustees without review by the charter school advisory committee. An application already on file with the South Carolina Charter School Committee before the effective date of Section 59-40-220 is subject to the timeline in effect at the time the application was filed. An application filed after the effective date of Section 59-40-220 is subject to the new time lines established pursuant to this chapter.

Section 59-40-210.   A school established as a private school, on the effective date of this section, which desires to become a charter school must dissolve and may not be allowed to open as a charter school for a period of twelve months.

Section 59-40-220.   (A)   The South Carolina Public Charter School District is created as a public body. The South Carolina Public Charter School District must be considered a local education agency and is eligible to receive state and federal funds and grants available for public charter and other schools. The South Carolina Public Charter School District must not have a local tax base and may not receive local property taxes.

(B)   The geographical boundaries of the South Carolina Public Charter School District are the same as the boundaries of the State of South Carolina.

(C)   The office of the South Carolina Charter School Committee must be housed in and staffed by the State Department of Education.

Section 59-40-230.   (A)   The South Carolina Public Charter School District must be governed by the South Carolina Charter School Committee consisting of not more than eleven members to be appointed as follows:

(1)   two to be appointed by the Governor;

(2)   one to be appointed by the Speaker of the House of Representatives;

(3)   one to be appointed by the President Pro Tempore of the Senate; and

(4)   seven to be appointed by the Governor upon the recommendation of the:

(a)   South Carolina Association of Public Charter Schools and one additional representative from the association;

(b)   South Carolina Association of School Administrators;

(c)   South Carolina Chamber of Commerce;

(d)   South Carolina Education Oversight Committee;

(e)   South Carolina School Boards Association;

(f)   South Carolina Alliance of Black Educators.

The seven members appointed by the Governor pursuant to item (4) are subject to confirmation by the Senate.

Each member of the committee shall serve terms of three years, except that, for the initial members, two appointed by the Governor, one by the Speaker of the House, one by the President Pro Tempore of the Senate, shall serve terms of one year and three appointed by the Governor, shall serve terms of two years. A member of the committee may be removed after appointment pursuant to Section 1-3-240. In making appointments, every effort must be made to ensure that all geographic areas of the State are represented and that the membership reflects urban and rural areas of the State as well as the ethnic diversity of the State.

(B)   The committee has the same powers, rights, and responsibilities with respect to charter schools as other school district boards of trustees of this State including, but not limited to, sponsoring charter schools and applying for federal charter school grants, except that the committee may not offer application for a charter school, issue bonds, or levy taxes.

(C)   The committee annually shall elect a chairman and other officers as it considers necessary from among its membership.

(D)   Members of the committee are not eligible to receive compensation but are eligible for per diem, mileage, and subsistence as provided by law for members of state boards, committees, and commissions.

(E)   The committee shall:

(1)   exercise general supervision over public charter schools sponsored by the district;

(2)   grant charter status to qualifying applicants for public charter schools pursuant to this chapter;

(3)   adopt and use an official seal in the authentication of its acts;

(4)   keep a record of its proceedings;

(5)   adopt rules of governance;

(6)   determine the policy of the district and the work undertaken by it;

(7)   prepare a budget for expenditures necessary for the proper maintenance of the committee and the accomplishment of its purpose;

(8)   keep financial records in accordance with state and federal accounting codes and procedures;

(9)   comply with and ensure compliance of applicable state and federal laws and regulations;

(10)   procure an outside annual certified financial audit on funds and submit to the State Department of Education as required by the State Department of Education;

(11)   be subject to the Freedom of Information Act;

(12)   review charter school applications for compliance with established standards that reflect the requirements and intent of this chapter;

(13)   have the power to hire and fire the superintendent and staff of the committee.

(F)   The committee may contract, sue, and be sued.

Section 59-40-210 59-40-240.   If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this chapter is for any reason held to be unconstitutional or invalid, such holding shall not affect the constitutionality or validity of the remaining portions of this chapter, the General Assembly hereby declaring that it would have passed this chapter, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words thereof may be declared to be unconstitutional, invalid, or otherwise ineffective."

SECTION   2.   Section 59-18-920 of the 1976 Code is amended to read:

"Section 59-18-920.   Charter schools established pursuant to Chapter 40, Title 59 will receive a performance rating must report the data requested by the Department of Education necessary to generate a report card. The Department of Education shall utilize this data to issue a report card with performance ratings. and The report card must issue a report card be provided to parents and the public containing the rating ratings and explaining its significance and providing other information similar to that required of other schools in this section. The performance of students attending charter schools must be included in the performance ratings of the sponsoring school district. These ratings, however, will be reflected independently on the local school district report cards for charter schools sponsored by a local school district and not included in their overall performance rating. Alternative schools are included in the the requirements of this chapter; however, the purpose of such schools must be taken into consideration in determining their performance rating. The Education Oversight Committee, working with the State Board of Education and the School to Work Advisory Council, will develop a report card for vocational schools."

SECTION   3.   Section 59-18-900 of the 1976 Code is amended by adding a subsection at the end to read:

"(G)   The State Board of Education shall promulgate regulations outlining the procedures for data collection, data accuracy, data reporting, and consequences for failure to provide data required in this section."

SECTION   4.   This act takes effect July 1, 2006, at which time the powers and duties of the Charter Schools Advisory Board must be devolved upon the South Carolina Public Charter School District. /

Renumber sections to conform.

Amend title to conform.

On motion of Senator McCONNELL, with unanimous consent, the Bill was read the second time, passed and ordered to a third reading, subject to a motion to reconsider.

On motion of Senator McCONNELL, with unanimous consent, the Bill was placed in the status of Interrupted Debate.

EXECUTIVE SESSION

By prior motion of Senator McCONNELL, the Senate agreed to go into Executive Session.

On motion of Senator McCONNELL, the seal of secrecy was removed and the Senate reconvened.

MOTION ADOPTED

On motion of Senator RITCHIE, with unanimous consent, the Senate stood adjourned out of respect to the memory of Mrs. Alia Josephine Ross Lawson of Spartanburg, S.C., a giant in the field of music education for young people.

ADJOURNMENT

At 7:36 P.M., on motion of Senator McCONNELL, the Senate adjourned to meet tomorrow at 2:00 P.M.

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