Indicates Matter Stricken
Indicates New Matter
The House assembled at 12:00 noon.
Deliberations were opened with prayer by Rev. Charles E. Seastrunk, Jr., as follows:
Our thought for today is from Proverbs 28:26: "He who trusts in himself is a fool, but he who walks in wisdom is kept safe."
Let us pray. Almighty God, who provides for all people to live and accomplish good in this great land, give us wisdom and vision to recognize need and act upon it. Inspire us to give and do, so that our State may blossom with newborn beauty. Look in favor upon our Nation, President, State, Governor, Speaker, this Honorable Assembly, and all who serve in these Halls of Government. Protect our defenders of freedom at home and abroad as they protect us. Hear our prayer, O Lord. Amen.
Pursuant to Rule 6.3, the House of Representatives was led in the Pledge of Allegiance to the Flag of the United States of America by the SPEAKER.
After corrections to the Journal of the proceedings of Friday, the SPEAKER ordered it confirmed.
Rep. SCOTT moved that when the House adjourns, it adjourn in memory of Isaac "Ike" Willie Williams of Columbia, which was agreed to.
The following was introduced:
H. 4708 (Word version) -- Reps. Barfield, Agnew, Alexander, Allen, Anderson, Anthony, Bales, Ballentine, Bannister, Battle, Bedingfield, Bingham, Bowen, Bowers, Brady, Branham, Brantley, Breeland, G. Brown, R. Brown, Cato, Chalk, Clemmons, Clyburn, Cobb-Hunter, Coleman, Cooper, Cotty, Crawford, Dantzler, Davenport, Delleney, Duncan, Edge, Erickson, Frye, Funderburk, Gambrell, Govan, Gullick, Hagood, Haley, Hamilton, Hardwick, Harrell, Harrison, Hart, Harvin, Haskins,
The Concurrent Resolution was agreed to and ordered sent to the Senate.
The following was introduced:
H. 4709 (Word version) -- Rep. Scott: A HOUSE RESOLUTION TO EXTEND THE PRIVILEGE OF THE FLOOR OF THE SOUTH CAROLINA HOUSE OF REPRESENTATIVES TO BLYTHEWOOD MIDDLE SCHOOL'S PRINCIPAL, OTHER SCHOOL ADMINISTRATORS, AND DISTRICT OFFICIALS, AT A DATE AND TIME TO BE DETERMINED BY THE SPEAKER, FOR THE PURPOSE OF RECOGNIZING AND COMMENDING THE SCHOOL ON BEING NAMED A "SCHOOL TO WATCH" BY THE NATIONAL FORUM TO ACCELERATE MIDDLE-GRADES REFORM.
The Resolution was ordered referred to the Committee on Invitations and Memorial Resolutions.
The following was introduced:
H. 4710 (Word version) -- Reps. Scott, Agnew, Alexander, Allen, Anderson, Anthony, Bales, Ballentine, Bannister, Barfield, Battle, Bedingfield,
The Concurrent Resolution was agreed to and ordered sent to the Senate.
The following was introduced:
H. 4711 (Word version) -- Rep. Haskins: A CONCURRENT RESOLUTION TO REQUEST THAT THE DEPARTMENT OF TRANSPORTATION NAME THE INTERCHANGE LOCATED AT EXIT 37 ALONG INTERSTATE HIGHWAY 385 IN GREENVILLE COUNTY THE "WILKINS NORWOOD INTERCHANGE" AND ERECT APPROPRIATE MARKERS OR SIGNS AT THIS INTERCHANGE THAT CONTAIN THE WORDS "WILKINS NORWOOD INTERCHANGE".
The Concurrent Resolution was ordered referred to the Committee on Invitations and Memorial Resolutions.
On motion of Rep. NEILSON, with unanimous consent, the following was taken up for immediate consideration:
H. 4712 (Word version) -- Reps. Neilson, Agnew, Alexander, Allen, Anderson, Anthony, Bales, Ballentine, Bannister, Barfield, Battle, Bedingfield, Bingham, Bowen, Bowers, Brady, Branham, Brantley, Breeland, G. Brown, R. Brown, Cato, Chalk, Clemmons, Clyburn, Cobb-Hunter, Coleman, Cooper, Cotty, Crawford, Dantzler, Davenport, Delleney, Duncan, Edge, Erickson, Frye, Funderburk, Gambrell, Govan, Gullick, Hagood, Haley, Hamilton, Hardwick, Harrell, Harrison, Hart, Harvin, Haskins, Hayes, Herbkersman, Hiott, Hodges, Hosey, Howard, Huggins, Hutson, Jefferson, Jennings, Kelly, Kennedy, Kirsh, Knight, Leach, Limehouse, Littlejohn, Loftis, Lowe, Lucas, Mack, Mahaffey, McLeod, Merrill, Miller, Mitchell, Moody-Lawrence, Moss, Mulvaney, J. H. Neal, J. M. Neal, Ott, Owens, Parks, Perry, Phillips, Pinson, E. H. Pitts, M. A. Pitts, Rice, Rutherford, Sandifer, Scarborough, Scott, Sellers, Shoopman, Simrill, Skelton, D. C. Smith, F. N. Smith, G. M. Smith, G. R. Smith, J. E. Smith, J. R. Smith, W. D. Smith, Spires, Stavrinakis, Stewart, Talley, Taylor, Thompson, Toole, Umphlett, Vick, Viers, Walker, Weeks, Whipper, White, Whitmire, Williams, Witherspoon and Young: A CONCURRENT RESOLUTION TO REQUEST THE DEPARTMENT OF MOTOR VEHICLES TO WAIVE FROM MOTOR VEHICLE TITLING, LICENSING, AND REGISTRATION LAWS MOTOR VEHICLES PROVIDED FOR PROMOTIONAL PURPOSES BY AN AUTOMOBILE MANUFACTURER IN CONNECTION WITH NATIONALLY-SPONSORED NASCAR RACING EVENTS HELD IN THIS STATE IN 2008.
Be it resolved by the House of Representatives, the Senate concurring:
That by this resolution, the members of the General Assembly request the Department of Motor Vehicles to waive the motor vehicle titling, licensing, and registration requirements of Title 56, Code of Laws of South Carolina, 1976, on cars provided by an automobile manufacturer for promotional purposes in connection with nationally-sponsored NASCAR racing events held in this State in 2008.
Be it further resolved that the Department of Motor Vehicles shall prescribe an appropriate means of identification instead of the licensing and registration requirements otherwise applicable.
Be it further resolved that a copy of this resolution be forwarded to the Department of Motor Vehicles.
The Concurrent Resolution was agreed to and ordered sent to the Senate.
The following Bill and Joint Resolution were introduced, read the first time, and referred to appropriate committees:
H. 4713 (Word version) -- Rep. White: A BILL TO AMEND SECTION 25-11-80, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO STATE VETERANS' CEMETERIES AND QUALIFICATIONS TO RECEIVE A PLOT IN A STATE VETERANS' CEMETERY, SO AS TO REDUCE FROM TWENTY YEARS TO EIGHT YEARS THE TIME A VETERAN MUST HAVE BEEN A RESIDENT OF THIS STATE IN ORDER TO MEET ONE OF THE QUALIFICATIONS.
Referred to Committee on Medical, Military, Public and Municipal Affairs
S. 1099 (Word version) -- Senators Martin, Ford, Ritchie, Malloy, Cromer, Ceips and Setzler: A JOINT RESOLUTION TO CREATE A STUDY COMMITTEE TO REVIEW THE CRIMINAL DOMESTIC VIOLENCE LAWS OF THE STATE AND MAKE RECOMMENDATIONS TO THE GENERAL ASSEMBLY CONCERNING ANY PROPOSED CHANGES, AND TO REQUIRE THE STUDY COMMITTEE TO REPORT ITS RECOMMENDATIONS TO THE GENERAL ASSEMBLY NO LATER THAN JANUARY 31, 2009, AT WHICH TIME THE STUDY COMMITTEE MUST BE DISSOLVED.
Referred to Committee on Judiciary
The following was introduced:
H. 4714 (Word version) -- Reps. Jennings, Agnew, Alexander, Allen, Anderson, Anthony, Bales, Ballentine, Bannister, Barfield, Battle, Bedingfield, Bingham, Bowen, Bowers, Brady, Branham, Brantley, Breeland, G. Brown, R. Brown, Cato, Chalk, Clemmons, Clyburn, Cobb-Hunter, Coleman, Cooper, Cotty, Crawford, Dantzler, Davenport, Delleney, Duncan, Edge, Erickson, Frye, Funderburk, Gambrell, Govan, Gullick, Hagood, Haley, Hamilton, Hardwick, Harrell, Harrison, Hart, Harvin, Haskins, Hayes, Herbkersman, Hiott, Hodges, Hosey, Howard, Huggins, Hutson, Jefferson, Kelly, Kennedy, Kirsh, Knight, Leach, Limehouse, Littlejohn, Loftis, Lowe, Lucas, Mack, Mahaffey, McLeod, Merrill, Miller, Mitchell, Moody-Lawrence, Moss, Mulvaney, J. H. Neal, J. M. Neal, Neilson, Ott, Owens, Parks, Perry, Phillips, Pinson, E. H. Pitts, M. A. Pitts, Rice, Rutherford, Sandifer, Scarborough, Scott, Sellers, Shoopman, Simrill, Skelton, D. C. Smith, F. N. Smith, G. M. Smith, G. R. Smith, J. E. Smith, J. R. Smith, W. D. Smith, Spires, Stavrinakis, Stewart, Talley, Taylor, Thompson, Toole, Umphlett, Vick, Viers, Walker, Weeks, Whipper, White, Whitmire, Williams, Witherspoon and Young: A HOUSE RESOLUTION TO COMMEND MICHAEL PETTIFORD, WARDEN OF THE FEDERAL CORRECTIONAL INSTITUTION IN BENNETTSVILLE, FOR HIS OUTSTANDING SERVICE UPON THE OCCASION OF HIS RETIREMENT AND TO WISH HIM MUCH SUCCESS AND HAPPINESS IN ALL HIS FUTURE ENDEAVORS.
The Resolution was adopted.
The following was introduced:
H. 4715 (Word version) -- Reps. Walker and Skelton: A CONCURRENT RESOLUTION TO EXPRESS HEARTIEST CONGRATULATIONS TO THE SEVENTEEN SOUTH CAROLINA TECHNICAL COLLEGE STUDENTS NAMED TO SOUTH CAROLINA'S 2008 ALL-STATE ACADEMIC TEAM IN THE ALL-USA ACADEMIC TEAM COMPETITION FOR TECHNICAL COLLEGES, COMMUNITY COLLEGES, AND JUNIOR COLLEGES, SPONSORED BY PHI THETA KAPPA, THE INTERNATIONAL
The Concurrent Resolution was agreed to and ordered sent to the Senate.
The roll call of the House of Representatives was taken resulting as follows:
Allen Anderson Anthony Bales Ballentine Bannister Barfield Battle Bedingfield Bingham Bowen Bowers Brady Branham Brantley G. Brown R. Brown Cato Chalk Clemmons Clyburn Cobb-Hunter Cooper Crawford Dantzler Davenport Delleney Edge Erickson Frye Funderburk Gambrell Gullick Hagood Haley Hardwick Harrell Harrison Harvin Haskins Hayes Herbkersman Hiott Hosey Huggins Hutson Jefferson Jennings Kelly Kirsh Knight Leach Limehouse Littlejohn Loftis Lowe Lucas Mahaffey McLeod Merrill Miller Moss Mulvaney J. H. Neal J. M. Neal Neilson Ott Owens Perry Phillips Pinson E. H. Pitts M. A. Pitts Rice Sandifer Scarborough Scott Shoopman Simrill Skelton D. C. Smith G. M. Smith G. R. Smith J. R. Smith W. D. Smith Spires Stavrinakis Stewart Talley Taylor Thompson Toole Umphlett
Vick Walker Weeks White Whitmire Witherspoon Young
I came in after the roll call and was present for the Session on Tuesday, February 19.
Paul Agnew Terry Alexander Creighton Coleman Bill Cotty Jerry Govan Glenn Hamilton Chris Hart Kenneth F. Hodges Bakari Sellers Fletcher Smith Thad Viers Jackson "Seth" Whipper Robert Williams Jeffrey D. Duncan Todd Rutherford Anne Parks Floyd Breeland Leon Howard Harold Mitchell
The SPEAKER granted Rep. MOODY-LAWRENCE a leave of absence for the day.
Announcement was made that Dr. Dawn E. Clancy of Johns Island was the Doctor of the Day for the General Assembly.
In accordance with House Rule 5.2 below:
"5.2 Every bill before presentation shall have its title endorsed; every report, its title at length; every petition, memorial, or other paper, its prayer or substance; and, in every instance, the name of the member presenting any paper shall be endorsed and the papers shall be presented by the member to the Speaker at the desk. A member may add his name to a bill or resolution or a co-sponsor of a bill or resolution may remove his name at any time prior to the bill or resolution receiving passage on second reading. The member or co-sponsor shall notify the Clerk of the House in writing of his desire to have his name added or removed from the bill or resolution. The Clerk of the House shall print the member's or co-sponsor's written
Bill Number: H. 4157 (Word version)
Date: ADD:
02/19/08 VICK
Bill Number: H. 4157 (Word version)
Date: ADD:
02/19/08 J. R. SMITH
Bill Number: H. 4596 (Word version)
Date: ADD:
02/19/08 HASKINS
Bill Number: H. 4664 (Word version)
Date: ADD:
02/19/08 BRADY
Bill Number: H. 4662 (Word version)
Date: ADD:
02/19/08 MILLER
Bill Number: H. 4662 (Word version)
Date: ADD:
02/19/08 BATTLE
Bill Number: H. 4685 (Word version)
Date: ADD:
02/19/08 BARFIELD
Bill Number: H. 4685 (Word version)
Date: ADD:
02/19/08 COTTY
Bill Number: H. 4705 (Word version)
Date: ADD:
02/19/08 ERICKSON
Bill Number: H. 4669 (Word version)
Date: ADD:
02/19/08 J. H. NEAL
Rep. COOPER moved to adjourn debate upon the following Bill until Tuesday, February 26, which was adopted:
H. 4520 (Word version) -- Reps. Cooper, Harrell, Cobb-Hunter, Walker, Perry, Battle, Skelton, Thompson, Alexander, Ballentine, Edge, Harrison, Hayes, Limehouse, J. H. Neal, Ott, Owens, Williams and Spires: A BILL TO AMEND SECTION 59-147-30, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ISSUANCE OF REVENUE BONDS BY COLLEGES AND UNIVERSITIES, SO AS TO CLARIFY AND FURTHER SPECIFY WHAT FACILITIES ARE ELIGIBLE TO BE FINANCED UNDER THE HIGHER EDUCATION REVENUE BOND ACT; AND TO REPEAL SECTION 59-147-120 RELATING TO CERTAIN LIMITATIONS ON THE ISSUANCE OF REVENUE BONDS.
Rep. HARRISON moved to adjourn debate upon the following Joint Resolution until Wednesday, February 20, which was adopted:
H. 4620 (Word version) -- Reps. Harrell, Harrison, Cato, Hagood, Howard, W. D. Smith, Walker, White, Stavrinakis, Bedingfield, G. R. Smith and Hart: A JOINT RESOLUTION PROPOSING AN AMENDMENT TO SECTION 7, ARTICLE VI, CONSTITUTION OF SOUTH CAROLINA, 1895, RELATING TO THE CONSTITUTIONAL OFFICERS OF THIS STATE, SO AS TO DELETE THE ADJUTANT
Rep. HAGOOD moved to adjourn debate upon the following Bill until Wednesday, February 20, which was adopted:
H. 3028 (Word version) -- Reps. Funderburk, Haskins, Witherspoon, Whipper, Hardwick, Hagood and Clemmons: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 39-5-42 SO AS TO MAKE IT AN UNFAIR TRADE PRACTICE KNOWINGLY AND WILFULLY TO MISREPRESENT THE IDENTITY OF FOOD OR A FOOD PRODUCT THAT IS SERVED, SOLD, OR OTHERWISE COMMERCIALLY DISTRIBUTED OR OFFERED FOR DISTRIBUTION, TO SPECIFY ACTS OF MISREPRESENTATION OF THE IDENTITY OF FOOD OR A FOOD PRODUCT, AND TO PROVIDE FOR CRIMINAL, CIVIL, AND ADMINISTRATIVE PENALTIES FOR VIOLATIONS.
Rep. WALKER moved to adjourn debate upon the following Bill until Wednesday, February 20, which was adopted:
H. 3982 (Word version) -- Rep. Walker: A BILL TO AMEND SECTION 56-1-130, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO BASIC AND CLASSIFIED DRIVERS' LICENSES ALLOWING A LICENSEE TO OPERATE A MOTORCYCLE AND CERTAIN SPECIFIED MOTOR VEHICLES WHICH DO NOT EXCEED TWENTY-SIX THOUSAND POUNDS GROSS VEHICLE WEIGHT, SO AS TO CLARIFY THE TERM "GROSS VEHICLE WEIGHT"; TO AMEND SECTIONS 56-3-2540, 56-3-3500, 56-3-4100, 56-3-4200, 56-3-4410, 56-3-4600, 56-3-7300, 56-3-7750, 56-3-7780, AS AMENDED, 56-3-7910, 56-3-8000, AS AMENDED, 56-3-8600, 56-3-8710, 56-3-9000, 56-3-9100, 56-3-9400, 56-3-9500, 56-3-9600, AS AMENDED, AND SECTION 56-3-9910, RELATING TO "CONSERVE SOUTH CAROLINA" LICENSE PLATES, "PENN CENTER" LICENSE PLATES, "SOUTH CAROLINA ELKS ASSOCIATION" LICENSE PLATES, "CAROLINA PANTHERS" LICENSE PLATES, "SHARE THE ROAD" LICENSE PLATES, "HOMEOWNERSHIP: THE AMERICAN DREAM" LICENSE PLATES, "SALTWATER FISHING" LICENSE PLATES, FRATERNITY AND SORORITY LICENSE PLATES, "VIETNAM VETERANS" LICENSE PLATES, "H. L. HUNLEY SUBMARINE" LICENSE PLATES, TAX EXEMPT ORGANIZATIONS LICENSE PLATES, "DUCKS UNLIMITED" LICENSE PLATES, "NASCAR" LICENSE PLATES, "SERTOMA INTERNATIONAL" LICENSE PLATES, "SOUTH CAROLINA TECHNOLOGY ALLIANCE" LICENSE PLATES, "MORRIS ISLAND LIGHTHOUSE" LICENSE PLATES, "GOD BLESS AMERICA" LICENSE PLATES, "NO MORE HOMELESS PETS" LICENSE PLATES, AND "GOLD STAR FAMILY" LICENSE PLATES, SO AS TO PROVIDE THAT EACH OF THESE LICENSE PLATES MAY BE ISSUED TO OWNERS OF ANY VEHICLE CLASSIFIED AS A PASSENGER MOTOR VEHICLE.
Rep. WALKER moved to adjourn debate upon the following Bill until Wednesday, February 20, which was adopted:
H. 4511 (Word version) -- Rep. Walker: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY REPEALING SECTION 56-1-1750 RELATING TO A MOPED DRIVER'S LICENSE.
Rep. WALKER moved to adjourn debate upon the following Bill until Wednesday, February 20, which was adopted:
H. 4560 (Word version) -- Rep. Walker: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 56-1-2025 SO AS TO PROVIDE THAT THE DEPARTMENT OF MOTOR VEHICLES MAY ISSUE EMERGENCY WAIVERS OF THE REGISTRATION AND LICENSING REQUIREMENTS OF MOTOR CARRIERS THAT PROVIDE HUMANITARIAN RELIEF DURING THE TIME OF AN EMERGENCY.
The following Bill was taken up, read the second time, and ordered to a third reading:
S. 1092 (Word version) -- Senator Short: A BILL TO AMEND ARTICLE 17, CHAPTER 23, TITLE 57 OF THE 1976 CODE BY ADDING SECTION 57-23-835, TO PROVIDE THAT THE MANAGEMENT OF THE MEDIAN AND ROADSIDE VEGETATION ON INTERSTATE HIGHWAY 77 AT EXIT 65 IN CHESTER COUNTY IS DEVOLVED UPON THE CHESTER COUNTY GOVERNING AUTHORITY.
Rep. DELLENEY explained the Bill.
On motion of Rep. CATO, with unanimous consent, the following Bill was ordered recalled from the Committee on Labor, Commerce and Industry and was referred to the Committee on Judiciary:
The Senate Amendments to the following Bill were taken up for consideration:
H. 3789 (Word version) -- Reps. Kirsh and Cooper: A BILL TO RETITLE ARTICLE 5, CHAPTER 11, TITLE 1, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EMPLOYEES AND RETIREMENT INSURANCE AS "EMPLOYEES AND RETIREES INSURANCE-ACCOUNTING FOR POST-EMPLOYMENT BENEFITS", TO MAKE FINDINGS WITH RESPECT TO THE STATE'S COMPLIANCE WITH NEW REQUIREMENTS OF THE GOVERNMENTAL ACCOUNTING STANDARDS BOARD FOR POST-EMPLOYMENT BENEFITS; BY ADDING SECTIONS 1-11-703, 1-11-705, AND 1-11-707 SO AS TO ESTABLISH THE SOUTH CAROLINA RETIREE HEALTH INSURANCE TRUST FUND (SCRHI TRUST FUND) AND THE SOUTH CAROLINA LONG TERM DISABILITY INSURANCE TRUST FUND AS THE METHOD OF PAYING AND ACCOUNTING FOR RETIREE HEALTH INSURANCE PREMIUMS AND BASIC LONG TERM DISABILITY INCOME BENEFIT PLAN PREMIUMS IN COMPLIANCE WITH NEW ACCOUNTING STANDARDS, TO PROVIDE FOR THE ACTUARIAL FUNDING AND INVESTMENT OF THE ASSETS OF THESE TRUST FUNDS, AND TO PROVIDE DEFINITIONS; TO AMEND SECTION 1-11-710, RELATING TO THE STATE HEALTH AND DENTAL PLANS, SO AS TO PROVIDE FUNDING FOR THE SCRHI TRUST FUND BY MEANS OF INCREASED EMPLOYER CONTRIBUTION RATES; AND TO AMEND SECTION 1-11-730, RELATING TO PERSONS ELIGIBLE FOR POST-EMPLOYMENT PARTICIPATION IN THE STATE HEALTH AND DENTAL PLANS AND ELIGIBILITY FOR EMPLOYER PAID PREMIUMS FOR RETIREES, SO AS TO CONFORM THE PAYMENT OF EMPLOYER PREMIUMS FOR RETIREES TO THE REVISED METHOD PROVIDED IN THIS
Rep. COOPER proposed the following Amendment No. 1A (Doc Name COUNCIL\BBM\10399HTC08), which was adopted:
Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/ SECTION 1. (A) The General Assembly finds that:
(1) The Governmental Accounting Standards Board (GASB) has issued new standards to account for post-employment benefits (OPEB) other than pensions for public employees.
(2) South Carolina currently provides OPEB benefits in the form of state health and dental insurance and basic long term disability income benefit plan on a "pay as you go" basis to retirees and that this method of payment fails adequately to account for benefits as they are earned by current employees under the new GASB OPEB accounting standards.
(3) It is necessary to establish trust funds as provided in this act so that these post-employment benefits and the liabilities they give rise to may be determined currently in a manner similar to the way in which pension fund liabilities are reported.
(B) The General Assembly further finds that bringing the accounting for OPEB into compliance with new GASB standards is solely for the purpose of GASB compliance and the trust funds established by this act and other changes in OPEB contained in this act do not in any way limit the authority of the General Assembly to alter or eliminate these benefits as it determines appropriate, nor do they limit the authority of the State Budget and Control Board to amend the plan of benefits pursuant to Section 1-11-710(A)(2) of the 1976 Code, nor do the provisions of this act give rise to any contract or other right of employees and retirees as to the OPEB's to which the provisions of this act apply.
SECTION 2. Article 5, Chapter 11, Title 1 of the 1976 Code is retitled "Employees and Retirees Insurance-Accounting for Post-Employment Benefits".
SECTION 3. Article 5, Chapter 11, Title 1 of the 1976 Code is amended by adding:
"Section 1-11-703. As used in this article:
(1) 'Actuarial accrued liability' means that portion, as determined by a particular actuarial cost method, of the actuarial
(2) 'Actuarial assumptions' means assumptions regarding the occurrence of future events affecting costs of the SCRHI Trust Fund or LTDI Trust Fund such as mortality, withdrawal, disability, and retirement; changes in compensation; aging effects and cost trends for post-employment benefits; benefit election rates; rates of investment earnings and asset appreciation or depreciation; procedures used to determine the actuarial value of assets; and other such relevant items.
(3) 'Actuarial cost method' means a method for determining the actuarial present value of the obligations and administrative expenses of the SCRHI Trust Fund or LTDI Trust Fund and for developing an actuarially equivalent allocation of such value to time periods, usually in the form of a normal cost and an actuarial accrued liability. Acceptable actuarial methods are the aggregate, attained age, individual entry age, frozen attained age, frozen entry age, and projected unit credit methods.
(4) 'Actuarial present value of total projected benefits' means the present value, at the valuation date, of the cost to finance benefits payable in the future, discounted to reflect the expected effects of the time value of money and the probability of payment.
(5) 'Actuarial valuation' means the determination, as of a valuation date, of the normal cost, actuarial accrued liability, actuarial value of assets, and related actuarial present values for the SCRHI Trust Fund or LTDI Trust Fund.
(6) 'Actuarially sound' means that calculated contributions to the SCRHI Trust Fund or LTDI Trust Fund are sufficient to pay the full actuarial cost of these trust funds. The full actuarial cost includes both the normal cost of providing for fund obligations as they accrue in the future and the cost of amortizing the unfunded actuarial accrued liability over a period of no more than thirty years.
(7) 'Administrative expenses' means all expenses incurred in the operation of the SCRHI Trust Fund and LTDI Trust Fund, including all investment expenses.
(8) 'LTDI Trust Fund' means the Long Term Disability Insurance Trust Fund established pursuant to Section 1-11-707 to fund benefits under the State's Basic Long Term Disability (BLTD) Income Benefit Plan.
(9) 'Board' means the State Budget and Control Board.
(10) 'Employee insurance program' or 'EIP' means the office of the board designated by the board to operate insurance programs pursuant to this article.
(11) 'IBNR' means unpaid health claims incurred but not reported. The liability for IBNR claims is actuarially estimated based on the most current historical claims experience of previous payments, inflation, award trends, and estimates of health care trend changes.
(12) 'Operating account' means the health insurance program's business operating activities account maintained by the State Treasurer in which are deposited all premiums for enrollees in self-funded health plans authorized in this article, along with employer contributions for active employees covered by such self-funded health plans, and from which claims and administrative expenses of the self-funded health and dental plans administered by the employee insurance program are paid.
(13) 'State-covered entity' means state agencies and institutions, however described, and school districts. It also includes political subdivisions of the State that participate in the state health and dental plans.
(14) 'State health and dental plans' means any insurance program administered by the employee insurance program pursuant to this article.
(15) 'SCRHI Trust Fund' means the South Carolina Retiree Health Insurance Trust Fund established pursuant to Section 1-11-705 to fund the employer cost for health benefits for retired state employees and retired public school district employees.
(16) 'State Retirement System' or 'State Retirement Systems' means all retirement systems established pursuant to Title 9 except for the National Guard Retirement System.
(17) 'Unfunded actuarial accrued liability' means for any actuarial valuation the excess of the actuarial accrued liability over the actuarial value of the assets of the fund under an actuarial cost method utilized by the fund for funding purposes.
(18) 'Trust fund paid premiums' means the employer premium for state health and dental plans coverage paid by the SCRHI Trust Fund on behalf of a retiree. When it is expressed as a percentage of trust fund paid premiums, it means that the SCRHI Trust Fund shall pay the stated percentage of the employer premiums, with the retiree paying the balance of the employer premiums and the entire employee premium.
Section 1-11-705. (A) There is established in the State Treasury separate and distinct from the general fund of the State and all other
(B) The board is the trustee of the SCRHI Trust Fund and the State Treasurer is the custodian of the funds of the SCRHI Trust Fund.
(C) The employee insurance program shall administer the SCRHI Trust Fund.
(D) The employee insurance program shall engage actuarial and other services as required to transact the business of the SCRHI Trust Fund. The actuary engaged by the employee insurance program shall provide technical advice to the board regarding operation of the SCRHI Trust Fund.
(E) Upon recommendations of the actuary, the board shall adopt generally accepted and reasonable actuarial assumptions and methods for the operation and funding of the SCRHI Trust Fund as it considers necessary and prudent. The actuarial assumptions and methods adopted by the board must be appropriate for the purposes at hand and must be reasonable, individually and in the aggregate, taking into account the experience of the plan and reasonable expectations. Utilizing the actuarial assumptions most recently adopted by the board, the actuary engaged by the employee insurance program shall set the annual actuarial valuations of normal cost, actuarial liability, actuarial value of assets, and related actuarial present values for the SCRHI Trust Fund.
(F) The board may adopt policies and procedures and promulgate regulations as necessary for the proper administration of the SCRHI Trust Fund.
(G)(1)The funds of the SCRHI Trust Fund must be invested and reinvested by the State Treasurer in the manner allowed by law. The State Treasurer shall consult with the employee insurance program and the employee insurance program's actuary to develop an annual investment plan for the SCRHI Trust Fund taking into account the cash flow needs of the employee insurance program with regard to payment of the employer share of premiums and claims for covered retirees.
(2) Effective beginning with the first fiscal year after the ratification of an amendment to Section 16, Article X of the Constitution of this State allowing funds in post-employment benefits trust funds to be invested in equity securities, the Retirement System
(H) The board annually shall determine the minimum annual required contributions to the SCRHI Trust Fund on an actuarially sound basis in accordance with Governmental Accounting Standards Board Statement No. 45, or any other Governmental Accounting Standards Board statements that may be applicable to the SCRHI Trust Fund.
(I) The board shall fund the SCRHI Trust Fund:
(1) through the employer contributions for the South Carolina Retirement Systems as provided in Section 1-11-710(A)(2). The total employer contributions collected from the State and school districts for post-employment benefits must be transferred immediately to the SCRHI Trust Fund for investment, reinvestment, and the payment of post-employment benefits;
(2) by transfer of the Employee Insurance Program as of January thirty-first of each calendar year to the trust fund from the employee insurance program's operating account, the cash balance in the operating account in excess of one hundred forty percent of the actuarially-determined IBNR reserves of the state's health plans as of December thirty-first of the preceding year. On the take place applicable to the cash balance as of December 31, 2007; and
(3) with funding as authorized by the General Assembly pursuant to Section 1-11-710(D).
(J) Each month, the employee insurance program shall determine the monthly amount of the state-funded employer premium with respect to retired state employees and retired public school district employees who are eligible for state-paid employer premiums pursuant to Section 1-11-730, and shall transfer this amount to the operating account from the SCRHI Trust Fund. In addition, the employee insurance program shall transfer the total cost of post-employment
(K) The funds of the SCRHI Trust Fund may only be used for the payment of employer-provided other post-employment benefits under the terms of the state health and dental plans. The administrative costs related to the administration of the SCRHI Trust Fund, and the investment and reinvestment of its funds, may be funded from the earnings of the SCRHI Trust Fund.
(L) As a trust, the funds of the SCRHI Trust Fund are not assets of the State or the school districts or their respective agencies. The contributions to the SCRHI Trust Fund are irrevocable and may not revert to the employer except upon complete satisfaction of all liabilities and administrative expenses of the state health and dental plans of other post-employment benefits provided pursuant to the state health and dental plans.
Section 1-11-707. (A) There is established in the State Treasury separate and distinct from the general fund of the State and all other funds the South Carolina Long Term Disability Insurance Trust Fund (LTDI Trust Fund) to provide for the payment of benefits under the State's Basic Long Term Disability Income Benefit Plan. Earnings on the LTDI Trust Fund must be credited to it and unexpended funds carry forward in it to succeeding fiscal years.
(B) The board is the trustee of the LTDI Trust Fund and the State Treasurer is the custodian of the funds of the LTDI Trust Fund.
(C) The employee insurance program shall administer the LTDI Trust Fund.
(D) The employee insurance program shall engage actuarial and other services as required to transact the business of the LTDI Trust Fund. The actuary engaged by the employee insurance program shall provide technical advice to the board regarding operation of the LTDI Trust Fund.
(E) Upon recommendations of the actuary, the board shall adopt generally accepted and reasonable actuarial assumptions and methods for the operation and funding of the LTDI Trust Fund as it considers necessary and prudent. The actuarial assumptions and methods adopted by the board must be appropriate for the purposes at hand and must be reasonable, individually and in the aggregate, taking into account the experience of the plan and reasonable expectations. Utilizing the actuarial assumptions most recently adopted by the board,
(F) The board may adopt policies and procedures and promulgate regulations as necessary for the proper administration of the LTDI Trust Fund.
(G)(1) The funds of the LTDI Trust Fund must be invested and reinvested by the State Treasurer in the manner allowed by law. The State Treasurer shall consult with the employee insurance program and the employee insurance program's actuary to develop an annual investment plan for the LTDI Trust Fund taking into account the cash flow needs of the employee insurance program with regard to payment of the employer share of premiums and claims for covered retirees.
(2) Effective beginning with the first fiscal year after the ratification of an amendment to Section 16, Article X of the Constitution of this State allowing funds in post-employment benefits trust funds to be invested in equity securities, the Retirement System Investment Commission (RSIC) established pursuant to Chapter 16 of Title 9, shall invest and reinvest the funds of the LTDI Trust Fund as assets of a retirement system are invested. The chief investment officer shall consult with the employee insurance program and the employee insurance program's actuary to develop an annual investment plan for the LTDI Trust Fund taking into account the cash flow needs of the employee insurance program with regard to payment of the employer share of premiums and claims for covered retirees. After the initial fiscal year the RSIC assumes this investing function, the annual investment plan for the LTDI Trust Fund must be approved by the commission no later than June first of each year for the fiscal year beginning July first of the same calendar year.
(H) The board annually shall determine the minimum annual required contributions to the LTDI Trust Fund on an actuarially sound basis in accordance with Governmental Accounting Standards Board Statement No. 45, or any other Governmental Accounting Standards Board statements that may be applicable to the LTDI Trust Fund.
(I) The board shall increase the employer contributions used to fund the BLTD Plan by an amount equal to or greater than the minimum annual required contribution for the LTDI Trust Fund as determined in subsection (H) of this section. The increased employer contributions remitted to the employee insurance program under this subsection must be deposited in the LTDI Trust Fund.
(J) Each month, the employee insurance program shall transfer to the operating account from the LTDI Trust Fund the amount invoiced by the third-party administrator for the BLTD Plan for payment of LTDI claims, including reasonable expenses associated with claims administration of the BLTD Plan.
(K) The assets of the LTDI Trust Fund may only be used for the payment of the state's claims under the BLTD Plan along with reasonable expenses associated with the operation of the BLTD Plan, and the assets of the LTDI Trust Fund may not be used for any other purpose. The administrative costs related to the administration of the LTDI Trust Fund, and the investment and reinvestment of its funds, must be funded from the earnings of the LTDI Trust Fund.
(L) As a trust, the funds of the LTDI Trust Fund are not assets of the state or the school districts or their respective agencies. The contributions to the LTDI Trust Fund are irrevocable and may not revert to the employer except upon complete satisfaction of all liabilities and administrative expenses of the State Basic Long Term Disability Income Benefit Plan of other post-employment benefits provided pursuant to the State Basic Long Term Disability Income Benefit Plan."
SECTION 4. A. Section 1-11-710(A) of the 1976 Code is amended to read:
"(A) The State Budget and Control Board shall:
(1) make available to active and retired employees of this State and its public school districts and their eligible dependents group health, dental, life, accidental death and dismemberment, and disability insurance plans and benefits in an equitable manner and of maximum benefit to those covered within the available resources.;
(2) approve by August fifteenth of each year a plan of benefits, eligibility, and employer, employee, retiree, and dependent contributions for the next calendar year. The board shall devise a plan for the method and schedule of payment for the employer and employee share of contributions. Provided that the Budget and Control Board, and by July 1 first of the current fiscal year, shall develop and implement a plan increasing the employer contribution rates of the State Retirement System Systems to a level adequate to cover the employer's share for the current fiscal year's cost of providing health and dental insurance to retired state and school district employees. The plan state health and dental plans must include a method for the distribution of the funds appropriated as provided by law which are designated for retiree insurance and also must include a method for
(3) adjust the plan, benefits, or contributions, at any time to insure the fiscal stability of the system.;
(4) set aside in separate continuing accounts in the State Treasury, appropriately identified, all funds, state-appropriated and other, received for actual health and dental insurance premiums due. Funds credited to these accounts may be used to pay the costs of administering the state health and dental insurance programs plans and may not be used for purposes of other than providing insurance benefits for employees and retirees. A reserve equal to not less than an average of one and one-half months' claims must be maintained in the accounts and all funds in excess of the reserve must be used to reduce premium rates or improve or expand benefits as funding permits."
B. Section 1-11-710 of the 1976 Code is amended by adding a new subsection at the end to read:
"(D) The General Assembly intends to authorize funding for the SCRHI Trust Fund in order to make progress toward reaching or maintaining the minimum annual required contribution under Governmental Accounting Standards Board Statement No. 45. The board shall determine the minimum annual required contribution pursuant ot Section 1-11-705(H)."
SECTION 5. Section 1-11-730 of the 1976 Code is amended to read:
"Section 1-11-730. (A) If a person began employment eligible for coverage under the state health and dental plans on or before the reference date, the following eligibility provisions govern that person's participation in state health and dental plans as a retiree:
(A)(1) A person covered by the state health and dental insurance plans who terminates employment with at least twenty years' retirement service credit by a state-covered entity before eligibility for retirement under a state retirement system is eligible for state health
(B)(2) A member of the General Assembly who leaves office or retires with at least eight years' credited service in the General Assembly Retirement System is eligible to participate in the state health and dental plans by paying the full premium costs as determined by the State Budget and Control Board.
(C)(3) With respect to an active employee: (a) employed by the State or a public school district, (b) retiring with ten or more years of state-covered entity service credited under a state retirement system, and (c) with the last five years of earned service credit consecutive and in a full-time permanent position with the state or a public school district, is eligible for state paid premiums, if the last five years are consecutive and in a full-time permanent position with a state covered entity the retiree is eligible for trust fund paid premiums and the retiree is responsible for the entire employee premium.
(D)(4) A person covered by the state health and dental plans who retires with at least five years' state-covered entity service credited under a state retirement system is eligible to participate in the plan state health and dental plans by paying the full premium costs as determined by the board, if the last five years are consecutive and in a full-time permanent position with a state-covered entity.
(E)(5) A spouse or dependent of a person covered by the plans who is killed in the line of duty after December 31, 2001, shall receive equivalent coverage under the state health and dental plans for a period of twelve months and the State shall be is responsible for paying the full premium costs. After the twelve-month period, a spouse or dependent is eligible for state-paid trust fund paid premiums. A spouse is eligible for state-paid trust fund paid premiums under this subsection until the spouse remarries. A dependent is eligible for state-paid trust fund paid premiums under this subsection until the dependent's eligibility for coverage under the plans would ordinarily terminate.
(F) All state and school district employees employed before July 1, 1984, who were or would have been eligible for the plans upon completion of five years' service are exempt from the provisions of this section and are eligible for the plan effective on the date of their retirement.
(G)(6) A former municipal or county council member of a county or municipality which participates in the state health and dental insurance plans who served on the council for at least twelve years and who was covered under the plans at the time of termination is eligible to maintain coverage under the plans if the former member pays the full employer and employee contributions and if the county or municipal council elects to allow this coverage for former members.
(H)(7) A person covered by the state health and dental plans who terminated employment with at least eighteen years' retirement service credit by a state-covered entity before eligibility for retirement under a state retirement system prior to before 1990 is eligible for the plans effective on the date of retirement, if this person returns to a state-covered entity and is covered by the state health and dental plans and completes at least two consecutive years in a full-time, permanent position prior to before the date of retirement.
(B) If a person began employment eligible for coverage under the state health and dental plans after the reference date, the following eligibility provisions govern that person's participation in state health and dental plans as a retiree:
(1) An active employee covered by the state health and dental plans who retires with at least five years of earned retirement service credit under a state retirement system with a state-covered entity is eligible to participate as a retiree in the state health and dental plans if the last five years of the person's covered employment were consecutive and in a full-time permanent position.
(2) A person covered by the state health and dental plans who terminates employment before the person's date of retirement with at least twenty years of earned retirement service credit under a state retirement system with a state-covered entity is eligible to participate as a retiree in the state health and dental plans on the person's date of retirement under a state retirement system, if the last five years of the person's covered employment before termination were consecutive and in a full-time permanent position.
(3) A retired state employee or a retired employee of a public school district who retires under a state retirement system and who is eligible for state health and dental plan coverage under the provisions of item (1) or (2) of this subsection, is eligible for trust fund paid premiums as follows:
(a) If the retiree's earned service credit in a state retirement system is five or more years but fewer than fifteen years with a
(b) If the retiree's earned service credit in a state retirement system is more than fifteen years, but fewer than twenty-five years with a state-covered entity, then the retiree is eligible for fifty percent trust fund paid premiums and the retiree shall pay the remainder of the premium cost.
(c) If the retiree's earned service credit in a state retirement system is twenty-five or more years with a state-covered entity, then the retiree is eligible for trust fund paid premiums and the retiree is responsible for the entire employee premium.
(4) If a retiree under a state retirement system was employed by an entity that participates in the state health and dental plans pursuant to the provisions of Section 1-11-720 and is eligible to participate in state health and dental plans as a retiree pursuant to the provisions of item (1) or (2) of this subsection, then the retiree's employer, at its discretion, may elect to pay all or a portion of the premium for the retiree's state health and dental plans.
(5) A spouse or dependent of a person covered by the plans who is killed in the line of duty on or after the reference date, shall continue to maintain coverage under state health and dental plans for a period of twelve months after the covered person's death and the State is responsible for paying the full premium. After the twelve-month period, a spouse or dependent is eligible for trust fund paid premiums and the spouse or dependent is responsible for the entire employee premium. A spouse is eligible for trust fund paid premiums under this subsection until the spouse remarries. A dependent is eligible for trust fund paid premiums pursuant to this subsection until the dependent's eligibility for coverage under the plans would ordinarily terminate.
(C) For employees who participate in the state health and dental plans pursuant to the provisions of Section 1-11-720 but who are not members of the State Retirement Systems, one year of full-time employment or its equivalent under their employment relation equates to one year of earned retirement service credit under a state retirement system for purposes of the requirements of subsection (B)(1) and (2) of this section. The EIP shall implement the provisions of this subsection and make determinations pursuant to it. A person aggrieved by a determination of the EIP pursuant to this subsection may appeal that determination as a contested case as provided in Chapter 23 of Title 1, the Administrative Procedures Act."
Rep. COOPER explained the amendment.
Rep. COOPER demanded the yeas and nays which were taken, resulting as follows:
Those who voted in the affirmative are:
Agnew Alexander Anderson Anthony Bales Ballentine Bannister Barfield Battle Bedingfield Bingham Bowen Bowers Brady Branham Brantley G. Brown R. Brown Cato Chalk Clemmons Clyburn Cobb-Hunter Cooper Cotty Crawford Dantzler Davenport Delleney Edge Erickson Funderburk Gambrell Govan Gullick Hagood Haley Hamilton Hardwick Harrell Harrison Harvin
Haskins Hayes Herbkersman Hiott Hodges Hosey Huggins Hutson Jefferson Jennings Kelly Kirsh Knight Leach Limehouse Littlejohn Loftis Mahaffey McLeod Merrill Miller Moss Mulvaney J. H. Neal J. M. Neal Neilson Ott Owens Perry Phillips Pinson E. H. Pitts Rice Rutherford Sandifer Scarborough Scott Sellers Shoopman Simrill Skelton D. C. Smith G. M. Smith G. R. Smith J. R. Smith W. D. Smith Spires Stewart Talley Taylor Thompson Toole Umphlett Vick Viers Weeks Whipper White Whitmire Williams Witherspoon Young
Those who voted in the negative are:
So, the amendment was adopted.
The Senate Amendments, as amended, were then agreed to and the Bill was ordered returned to the Senate.
Rep. HAGOOD moved that the House do now adjourn, which was agreed to.
At 12:49 p.m. the House, in accordance with the motion of Rep. SCOTT, adjourned in memory of Isaac "Ike" Willie Williams of Columbia, to meet at 10:00 a.m. tomorrow.
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