Indicates Matter Stricken
Indicates New Matter
The Senate assembled at 11:00 A.M., the hour to which it stood adjourned, and was called to order by the PRESIDENT.
A quorum being present, the proceedings were opened with a devotion by the Chaplain as follows:
Habakkuk, the prophet, affirms: "God, the Lord, is my strength... "
(Habakkuk 3:19a)
Let us join our hearts in prayer, friends:
Holy God, how great is the temptation to claim that we ourselves are the source and reason of every success that comes our way. Yet we know how foolhardy such claims always are. Our contributions are indeed significant but only part of the story. Lead the members of this Senate in ways that are productive and progressive, dear Lord, ways that do bring great benefit to the people of this State, of course. And help each servant in this place remain humble, giving full glory to You for every blessing. In Your loving name we pray, dear Lord.
Amen.
The PRESIDENT called for Petitions, Memorials, Presentments of Grand Juries and such like papers.
Senator McCONNELL introduced Dr. Elizabeth Kline of Charleston, S.C., Doctor of the Day.
Senator GREGORY rose for an Expression of Personal Interest.
Senator LOURIE rose for an Expression of Personal Interest.
Members of the Senate, I appreciate you giving me this Point of Personal Interest to pay tribute to my father today on the fifth anniversary of his death. I have thought a lot about him over the course of this week and I wanted to take a few minutes to acknowledge and remember him.
I remember as we were watching the news reports that night and as the news made it over to the state Senate, I got a chance to see so many of his friends and colleagues come to the podium--the Senator from Lexington, Senator SETZLER was one of them, who talked about my father. I remember specifically him saying, "ISADORE LOURIE was one of the most compassionate people I had ever met." As I look around this room, and I think about what an honor it is to work with so many people in this Chamber. I think about Senator THOMAS, the Senator from Greenville, going to the podium and telling the story about how my father would bang his cane on the desk and use the words, "that's not right, that's not right."
I just wanted to take a brief second to tell you that I went by the cemetery this morning and on his tombstone were the words "Isadore Lourie, August 4, 1932 - April 24, 2003, a visionary and a statesman who committed his life to his faith, his family, and his country." I don't think we could have summed it up any better.
As I look around here and I see all these great people that he served with--and that I now have the honor of serving with--my connection to you goes back decades. Senator LEATHERMAN, I remember him hosting a fund raiser with some of his friends for you at the old GMK building, the Atrium, and I remember him bringing me up there when I was in my twenties. He said this is a good friend of mine, HUGH LEATHERMAN from Florence.
Senator PEELER, I remember meeting you right out of college and you were a newcomer up here. Dad said, "You watch this guy; he's going to really make a name for himself..." and he was right. Senator LAND, I remember going out to dinner with you, Marie, the Beasleys, and my mom and dad at Dianne's on Devine and dad just loved you. He thought you were brilliant and just admired your confidence at such an early age of coming into the Legislature and what an impact you would have. He was so proud of you when you were chairing the Transportation Committee after he retired. Senator SETZLER, I can't say enough about the relationship he had with you.
Senator DRUMMOND--I could just go around the room. Senator PATTERSON--I'll tell you the first time I met KAY PATTERSON was in 1984, when my father was running in a very difficult Democratic primary. He had decided to retire and then later chose to run in a difficult race. I had never met KAY PATTERSON and I had just graduated from college. Every Sunday for months, Senator PATTERSON took me and my dad around to church after church and he would talk about my father like he was his own brother. It left a lifelong impact on me.
I remember Senator JACKSON coming to the podium to talk about him and the decision and the sacrifice my dad made to retire in 1992, to open this seat up for an African American, which he believed should serve in that particular district. Senator THOMAS, the first time I met you, you and JIM BRYANT came to our house for Passover, which we are now in the middle of celebrating. I think I've had as much Metza as one could stand this week, but I remember you all coming over and how fascinated you were with our tradition. I'll tell you a little bit about our tradition because we have a busy Calendar ahead of us as we are approaching the May deadline, but in our tradition, we have something called the Shomar. When somebody dies, we sit with the body from the time they arrive at the funeral home until the time of the service. It is the greatest honor you can show someone to sit with them as their body is being prepared for the funeral. We have a closed casket ceremony; we do not have an open casket ceremony in the Jewish faith. We want to remember people as they lived. It is just one of our traditions. We have this tradition called the Shomar where people, usually in sets of two, will come and sit with an individual from the day the body arrives until the service the next day or two. I have sat through this plenty of times for friends and family members. We will go in pairs in the middle of the night and throughout the day.
Some friends of mine were telling me this story about sitting with my dad about 3:00 a.m. and the front door to Dunbar Funeral Home opened and this very, very tall, big policeman walked in. I don't know who he was but he was about 6'4'', 200 and some pounds. He walked right in. It was a dark room and as we were sitting there with the coffin, he walked up to the coffin, didn't say a word to the two people who were sitting there and this giant of a man just cried his eyes out for about seven minutes and then turned around and walked out. I'll never know who that person was, but I'd love to know the connection he had with my father.
But, it reminds me of another story of the day we buried dad. The phone rang and this is probably the greatest lesson. I'm often asked, "What do you remember the most about your dad; what was the biggest, greatest impact he had on you?" And, it was how he treated people. The day we had his funeral, the phone rang at 7:00 a.m. in the morning when the newspaper had printed that my father had passed away. It was someone who worked as a doorman in a local hotel. My mom and dad sold their house in the Rockbridge area and built another house. They were living in this hotel for about three months during that transition. He had already retired from the Senate. The guy called and he was crying on the phone to my mother and said I want to tell you something. Of all the people that come in and out of this hotel, ISADORE LOURIE was the one guy who would always stop and talk to me about my family, about my challenges, about my needs. And I think if he taught me anything in life, he taught me that whether you are the president and CEO of a bank or whether you are applying for an entry-level position, it doesn't matter to him. If you are a good person and have a good heart, then you were his friend. He lived life like that and he passed that on to his children. I can tell you, if someone were in a time of need, if they came by to see my father, he would help them.
When he passed away, I got charged with the responsibility of collecting some of those debts and I handled them in a way, Senator SETZLER, that he would have wanted me to handle them. I just wanted to say to you that it is a great honor to be here. I have enjoyed these last four years and I hope I'll be back with you next session. It has really been one of the greatest honors I could have to serve with so many of you who have treated me as a colleague, knowing that the real Senator LOURIE is looking from above.
I just wanted to share that with you; thank you very much.
Senators RANKIN, JACKSON and HAWKINS addressed brief remarks to the Senate regarding former Senator ISADORE LOURIE.
On motion of Senator JACKSON, with unanimous consent, the remarks of Senator LOURIE were ordered printed in the Journal.
The following were introduced:
S. 1327 (Word version) -- Senator Elliott: A SENATE RESOLUTION TO RECOGNIZE AND HONOR RICHARD "DICK" HESTER OF HORRY COUNTY AND TO CONGRATULATE HIM FOR FIFTY YEARS OF SERVICE TO HIS COMMUNITY THROUGH THE NORTH MYRTLE BEACH LIONS CLUB AND FOR SEVENTEEN YEARS AS ITS SECRETARY.
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The Senate Resolution was adopted.
S. 1328 (Word version) -- Senators Jackson, Matthews, Ford, Anderson and Patterson: A CONCURRENT RESOLUTION TO EXPRESS THE PROFOUND SORROW OF THE MEMBERS OF THE SOUTH CAROLINA GENERAL ASSEMBLY UPON THE DEATH OF THE REVEREND DR. LEWIS P. GRAHAM, SR. OF RICHLAND COUNTY AND TO EXTEND THEIR DEEPEST SYMPATHY TO HIS FAMILY, CHURCH, AND MANY FRIENDS.
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The Concurrent Resolution was adopted, ordered sent to the House.
S. 1329 (Word version) -- Senators McGill and Grooms: A BILL TO AMEND CHAPTER 3, TITLE 56, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO MOTOR VEHICLE REGISTRATION AND LICENSING BY ADDING ARTICLE 101 SO AS TO PROVIDE FOR THE ISSUANCE OF "I BELIEVE" SPECIAL LICENSE PLATES.
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Read the first time and, on motion of Senator GROOMS, with unanimous consent, S. 1329 was ordered placed on the Calendar without reference.
H. 4451 (Word version) -- Reps. Ballentine and Walker: A BILL TO AMEND SECTIONS 59-112-10, 59-113-20, AS AMENDED, 59-115-20, 59-149-20, 59-150-20, AND 59-150-370, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEFINITIONS AND QUALIFICATIONS TO RECEIVE STATE AID FOR EDUCATION, ALL SO AS TO REVISE DEFINITIONS TO EXCLUDE PERSONS WHO ARE NOT LAWFULLY PRESENT IN THE UNITED STATES FROM ELIGIBILITY TO RECEIVE STATE AID FOR EDUCATION.
Read the first time and referred to the Committee on Education.
H. 4499 (Word version) -- Rep. Kirsh: A BILL TO AMEND SECTION 12-60-2545, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE AWARDING OF REASONABLE ATTORNEY'S FEES IF A TAXPAYER PREVAILS IN THE ASSESSOR'S DENIAL OF AGRICULTURAL USE VALUE OF REAL PROPERTY AND A FINDING BY THE ADMINISTRATIVE LAW COURT THAT THE ASSESSOR'S ACTION WAS UNREASONABLE, SO AS TO PROVIDE THAT THIS PROVISION APPLIES TO BOTH THE DENIAL OF AN APPLICATION FOR AGRICULTURAL USE VALUE AND AN ACTION BY THE ASSESSOR TO REMOVE REAL PROPERTY FROM THAT STATUS, TO PROVIDE FOR THE PAYMENT OF EXPENSES PLUS ATTORNEY'S FEES, TO PROVIDE FOR THIS REIMBURSEMENT OF ATTORNEY'S FEES AND EXPENSES AFTER THE TAXPAYER PREVAILS IN ANY FINAL APPEAL OF THE CONTESTED CASE, AND TO ELIMINATE THE REQUIRED FINDING THAT THE ASSESSOR'S DECISION WAS NOT REASONABLE.
Read the first time and referred to the Committee on Finance.
H. 4538 (Word version) -- Reps. Funderburk, McLeod, Stavrinakis and Whipper: A BILL TO ENACT THE "GOVERNMENT ACCOUNTABILITY ACT OF 2008", INCLUDING PROVISIONS TO AMEND SECTION 8-27-10(4), RELATING TO THE DEFINITION OF REPORT FOR THE PURPOSES OF THE EMPLOYMENT PROTECTION FOR REPORTS OF VIOLATIONS OF STATE OR FEDERAL LAW OR REGULATION BY PROVIDING THAT A REPORT MAY BE A WRITTEN OR ORAL ALLEGATION OR TESTIMONY TO A LEGISLATIVE COMMITTEE; BY ADDING CHAPTER 2 TO TITLE 2, RELATING TO LEGISLATIVE OVERSIGHT OF EXECUTIVE DEPARTMENTS, TO PROVIDE THAT THE STANDING COMMITTEES OF THE GENERAL ASSEMBLY HAVE A DUTY TO REVIEW AND STUDY THE OPERATIONS OF THE STATE AGENCIES WITHIN THE COMMITTEE'S JURISDICTION, TO ESTABLISH COMMITTEE OVERSIGHT JURISDICTION, TO PROVIDE FOR THE PROCESS BY WHICH A COMMITTEE MAY INITIATE AN OVERSIGHT STUDY OR INVESTIGATION, TO PROVIDE FOR THE MANNER IN WHICH AN INVESTIGATING COMMITTEE MAY ACQUIRE EVIDENCE OR INFORMATION RELATED TO THE STUDY OR INVESTIGATION, TO PROVIDE FOR PROGRAM EVALUATION REPORTS, THE MANNER IN WHICH THEY ARE REQUESTED, AND THE CONTENTS OF THE REPORTS, TO PROVIDE THAT ALL TESTIMONY GIVEN TO AN INVESTIGATING COMMITTEE MUST BE GIVEN UNDER OATH, TO PROVIDE THAT WITNESSES TESTIFYING IN FRONT OF AN INVESTIGATING COMMITTEE MAY BE REPRESENTED BY COUNSEL, AND TO PROVIDE THAT WITNESSES ARE GIVEN THE BENEFIT OF ANY PRIVILEGE WHICH HE COULD HAVE CLAIMED IN COURT AS A PARTY TO A CIVIL ACTION; TO AMEND TITLE 11 OF CHAPTER 11 BY ADDING SECTION 11-11-85 TO REQUIRE THE GOVERNOR'S ANNUAL STATE BUDGET RECOMMENDATION AND THE REPORTS OF THE HOUSE COMMITTEE ON WAYS AND MEANS AND THE SENATE FINANCE COMMITTEE ON THE ANNUAL GENERAL APPROPRIATIONS ACT TO BE IN A PROGRAMMATIC FORMAT BY PROVIDING A NARRATIVE DESCRIPTION OF EACH SEPARATE PROGRAM ADMINISTERED BY A STATE AGENCY AND PROVIDING THE ELEMENTS THAT MUST BE INCLUDED IN THE NARRATIVE, TO REQUIRE THE BUDGET RECOMMENDATION FOR AN AGENCY TO INCLUDE AN OVERALL BUDGET RECOMMENDATION BY BUDGET CATEGORY AND A SIMILAR RECOMMENDATION FOR EACH SEPARATE PROGRAM ADMINISTERED BY THE AGENCY AND THE SPECIFIC SOURCE OF FUNDS APPROPRIATED FOR THE AGENCY; TO REPEAL CHAPTER 3 OF TITLE 11 RELATING TO THE COMPTROLLER GENERAL, TO TRANSFER TO THE STATE AUDITOR THE COMPTROLLER GENERAL'S POWERS AND DUTIES, TO AMEND SECTION 1-11-10, RELATING TO THE COMPOSITION OF THE BUDGET AND CONTROL BOARD; TO PROVIDE THAT THE ATTORNEY GENERAL SHALL REPLACE THE COMPTROLLER GENERAL ON THE BUDGET AND CONTROL BOARD, TO AMEND SECTIONS 11-5-130 AND 11-5-180, RELATING TO THE COMPTROLLER GENERAL, TO CONFORM THEM TO THE PROVISIONS PERTAINING TO THE TRANSFER OF DUTIES TO THE STATE AUDITOR FROM THE COMPTROLLER GENERAL; TO REPEAL CHAPTER 5 OF TITLE 1 RELATING TO THE SECRETARY OF STATE, TO AMEND SECTION 1-30-25, RELATING TO THE DEPARTMENT OF COMMERCE, BY TRANSFERRING CERTAIN POWERS, DUTIES, AND FUNCTIONS TO THE DEPARTMENT OF COMMERCE FROM THE SECRETARY OF STATE, TO AMEND CHAPTER 7 OF TITLE 1, RELATING TO THE ATTORNEY GENERAL, BY ADDING ARTICLE 9 TO TRANSFER CERTAIN POWERS, DUTIES, AND FUNCTIONS TO THE ATTORNEY GENERAL FROM THE SECRETARY OF STATE; TO AMEND CHAPTER 1 OF TITLE 5, RELATING TO INCORPORATION OF MUNICIPAL CORPORATIONS, CHAPTER 1 OF TITLE 26, RELATING TO NOTARIES PUBLIC, CHAPTER 56 OF TITLE 33, RELATING TO SOLICITATION OF CHARITABLE FUNDS, ARTICLE 11, CHAPTER 15 OF TITLE 39, RELATING TO TRADEMARKS AND SERVICE MARKS, ARTICLE 3, CHAPTER 12 OF TITLE 58, RELATING TO STATE-ISSUED FRANCHISE AUTHORITY FOR CABLE SERVICE PROVIDERS, SECTIONS 39-57-60, 39-57-55, 5-3-90, 5-3-280, 26-6-190, 15-9-245, 6-11-1620, 6-11-1630, 6-11-1640, 39-15-420, 39-15-430, 39-15-440, 39-15-450, AND 39-15-490, ALL RELATING TO VARIOUS POWERS AND DUTIES OF THE SECRETARY OF STATE TO CONFORM THEM TO THE PROVISIONS TRANSFERRING THOSE POWERS, DUTIES, AND FUNCTIONS TO THE DEPARTMENT OF COMMERCE AND THE ATTORNEY GENERAL, RESPECTIVELY; TO AMEND SECTION 46-3-30, RELATING TO THE QUALIFICATIONS FOR THE COMMISSIONER OF AGRICULTURE, TO PROVIDE THAT THE GOVERNOR APPOINTS THE COMMISSIONER WITH THE ADVICE AND CONSENT OF THE SENATE AND THAT THE COMMISSIONER MAY BE REMOVED FROM OFFICE BY THE GOVERNOR AS PROVIDED IN SECTION 1-3-240(C), TO REPEAL SECTION 46-3-40 RELATING TO THE ELECTION AND TERM OF THE COMMISSIONER OF AGRICULTURE, TO AMEND SECTION 1-3-240(C)(1), RELATING TO THE REMOVAL OF OFFICERS BY THE GOVERNOR, TO PROVIDE THAT THE GOVERNOR MAY REMOVE THE COMMISSIONER OF AGRICULTURE FROM OFFICE FOR MALFEASANCE, MISFEASANCE, INCOMPETENCY, ABSENTEEISM, CONFLICTS OF INTEREST, MISCONDUCT, PERSISTENT NEGLECT OF DUTY IN OFFICE, OR INCAPACITY; TO AMEND SECTION 1-3-240(C)(1), RELATING TO THE REMOVAL OF OFFICERS BY THE GOVERNOR, TO PROVIDE THAT THE STATE INSPECTOR GENERAL MAY BE REMOVED FROM OFFICE FOR MALFEASANCE, MISFEASANCE, INCOMPETENCY, ABSENTEEISM, CONFLICTS OF INTEREST, MISCONDUCT, PERSISTENT NEGLECT OF DUTY IN OFFICE, OR INCAPACITY, TO AMEND TITLE 1, RELATING TO GENERAL PROVISIONS FOR THE ADMINISTRATION OF THE GOVERNMENT, BY ADDING CHAPTER 6 TO CREATE THE OFFICE OF THE STATE INSPECTOR GENERAL, TO PROVIDE THAT THE STATE INSPECTOR GENERAL IS APPOINTED BY THE GOVERNOR WITH THE ADVICE AND CONSENT OF THE SENATE, TO AUTHORIZE THE STATE INSPECTOR GENERAL TO ADDRESS FRAUD, WASTE, ABUSE, AND WRONGDOING WITHIN THE SOUTH CAROLINA EXECUTIVE GOVERNMENT AGENCIES, AND TO PROVIDE THE POWERS, DUTIES, AND FUNCTIONS OF THE OFFICE; TO AMEND SECTION 1-30-10, RELATING TO THE AGENCIES OF THE EXECUTIVE BRANCH OF STATE GOVERNMENT, BY ADDING THE DEPARTMENT OF ADMINISTRATION; BY ADDING SECTION 1-30-125 TO ESTABLISH THE DEPARTMENT OF ADMINISTRATION AS AN AGENCY OF THE EXECUTIVE BRANCH OF STATE GOVERNMENT TO BE HEADED BY A DIRECTOR APPOINTED BY THE GOVERNOR UPON THE ADVICE AND CONSENT OF THE SENATE, AND TO TRANSFER TO THIS NEWLY CREATED DEPARTMENT CERTAIN OFFICES AND DIVISIONS OF THE STATE BUDGET AND CONTROL BOARD, OFFICE OF THE GOVERNOR, AND OTHER AGENCIES, AND TO PROVIDE FOR TRANSITIONAL AND OTHER PROVISIONS NECESSARY TO ACCOMPLISH THE ABOVE; BY ADDING ARTICLE 6 TO CHAPTER 3 OF TITLE 1 SO AS TO ESTABLISH THE DIVISION OF THE STATE CHIEF INFORMATION OFFICER WITHIN THE DEPARTMENT OF ADMINISTRATION TO BE HEADED BY THE STATE CHIEF INFORMATION OFFICER, TO PROVIDE THAT THE STATE CHIEF INFORMATION OFFICER SHALL BE APPOINTED BY THE GOVERNOR UPON THE ADVICE AND CONSENT OF THE SENATE, AND TO PROVIDE FOR THE POWERS, DUTIES, AND FUNCTIONS OF THE DIVISION; TO CREATE A JOINT INFORMATION TECHNOLOGY REVIEW COMMITTEE, AN INFORMATION TECHNOLOGY BUSINESS CASE REVIEW PANEL, AND AN INFORMATION TECHNOLOGY ARCHITECTURE OVERSIGHT PANEL AND TO PROVIDE FOR THE FUNCTIONS, POWERS, AND RESPONSIBILITIES OF THE COMMITTEE AND PANELS; TO AMEND SECTION 11-35-1580, AS AMENDED, RELATING TO INFORMATION TECHNOLOGY PROCUREMENTS, SO AS TO DELETE CERTAIN RESPONSIBILITIES OF THE INFORMATION TECHNOLOGY MANAGEMENT OFFICE; TO AMEND SECTIONS 1-10-10, 1-11-20, AS AMENDED, 1-11-22, 1-11-55, 1-11-56, 1-11-58, 1-11-65, 1-11-67, 1-11-70, 1-11-80, 1-11-90, 1-11-100, 1-11-110, 1-11-180, 1-11-220, 1-11-225, 1-11-250, 1-11-260, 1-11-270, 1-11-280, 1-11-290, 1-11-300, 1-11-310, 1-11-315, 1-11-320, 1-11-335, 1-11-340, 1-11-435, 2-13-240, CHAPTER 9 OF TITLE 3; 10-1-10, 10-1-30, AS AMENDED, 10-1-40, 10-1-130, 10-1-190, CHAPTER 9 OF TITLE 10, 10-11-50, AS AMENDED, 10-11-90, 10-11-110, 11-9-610, 11-9-620, 11-9-630, 11-35-3810, 11-35-3820, 11-35-3830, 11-35-3840, 13-7-30, 13-7-830, ALL AS AMENDED, 48-46-30, 48-46-40, AS AMENDED, 48-46-50, 48-46-60, 48-46-90, 48-52-410, 48-52-440, AS AMENDED, 48-52-460, 48-52-680, 44-53-530, AS AMENDED, AND 44-96-140; AND TO ADD SECTION 1-11-185, ALL RELATING TO VARIOUS AGENCY OR DEPARTMENT PROVISIONS SO AS TO CONFORM THEM TO THE ABOVE PROVISIONS PERTAINING TO THE NEW DEPARTMENT OF ADMINISTRATION OR TO SUPPLEMENT SUCH PROVISIONS.
Read the first time and referred to the Committee on Judiciary.
H. 4568 (Word version) -- Reps. Rice, Harrell and Herbkersman: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 2-15-130 SO AS TO REQUIRE THE LEGISLATIVE AUDIT COUNCIL TO SUBMIT AN ESTIMATE OF THE COST OF AN AUDIT AT LEAST THIRTY DAYS BEFORE THE START OF THE AUDIT TO THE PARTY REQUESTING THE AUDIT.
Read the first time and referred to the Committee on Finance.
H. 4797 (Word version) -- Rep. Scarborough: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 6-1-180 SO AS TO PROHIBIT A MUNICIPALITY OR COUNTY FROM IMPOSING A FEE OR SEEKING REIMBURSEMENT OF COSTS OR EXPENSES INCURRED AS A RESULT OF RESPONDING TO A MOTOR VEHICLE ACCIDENT.
Read the first time and referred to the Committee on Judiciary.
H. 4833 (Word version) -- Reps. Cooper, Funderburk, Loftis, Hodges and Hutson: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 59-10-400 SO AS TO ENACT THE "SOUTH CAROLINA FARM TO SCHOOL PROGRAM ACT" TO PROVIDE FOR THE CREATION OF THE SOUTH CAROLINA FARM TO SCHOOL PROGRAM, TO PROVIDE FOR THE DUTIES OF ITS DIRECTOR, AND TO ESTABLISH A WEB SITE DEDICATED TO PROGRAM INITIATIVES.
Read the first time and referred to the Committee on Education.
H. 4887 (Word version) -- Reps. Kirsh and Cotty: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTIONS 12-54-52 AND 12-54-53 SO AS TO PROVIDE THAT, FOR PURPOSES OF TAXES ADMINISTERED BY THE DEPARTMENT OF REVENUE, INTERNAL REVENUE CODE SECTIONS 6694 AND 6695, RESPECTIVELY, ARE ADOPTED; AND TO AMEND SECTION 12-6-50, AS AMENDED, RELATING TO IRC SECTIONS ADOPTED BY THIS STATE, SO AS TO CONFORM TO THOSE ADDITIONS; TO AMEND SECTION 4-9-195, AS AMENDED, RELATING TO SPECIAL PROPERTY TAX ASSESSMENTS GRANTED TO CERTAIN PROPERTY, SO AS TO FURTHER PROVIDE FOR CERTIFICATION OF LOW AND MODERATE INCOME RENTAL PROPERTY THAT DOES OR DOES NOT QUALIFY FOR A HISTORICAL DESIGNATION; TO AMEND SECTION 11-35-5230, AS AMENDED, RELATING TO REGULATIONS FOR NEGOTIATIONS WITH STATE MINORITY FIRMS, SO AS TO CHANGE STATUTORY REFERENCES FROM "MINORITY FIRMS" TO "SOCIALLY AND ECONOMICALLY DISADVANTAGED SMALL BUSINESSES", AND TO CHANGE THE DELINEATION OF THE TEN-YEAR PERIOD FOR WHICH THE SUBJECT TAX CREDIT MAY BE CLAIMED; TO AMEND SECTION 11-45-55, AS AMENDED, RELATING TO TAX CREDIT CERTIFICATES IN CONNECTION WITH THE VENTURE CAPITAL INVESTMENT ACT, SO AS TO PROVIDE FOR THE EXCHANGE OF INFORMATION AMONG CERTAIN DEPARTMENTS AND THEIR EMPLOYEES AND AGENTS; TO AMEND SECTION 12-2-20, AS AMENDED, RELATING TO THE DEFINITIONS OF "PERSON" AND "INDIVIDUAL" FOR PURPOSES OF TAXES ADMINISTERED BY THE DEPARTMENT OF REVENUE, SO AS TO CLARIFY THE MEANING OF "PERSON"; TO AMEND SECTION 12-6-590, AS AMENDED, RELATING TO TREATMENT OF "S" CORPORATIONS FOR TAX PURPOSES, SO AS TO INCLUDE ADDITIONAL REFERENCES TO THE INTERNAL REVENUE CODE FOR SIMILAR STATE TREATMENT; TO AMEND SECTION 12-6-2250, AS AMENDED, RELATING TO THE APPORTIONMENT OF INCOME DERIVED BY A TAXPAYER TO THE TAXPAYER'S CONDUCT OF BUSINESS IN THIS STATE, SO AS TO CHANGE THE WORD "ALLOCATED" TO "APPORTIONED"; TO AMEND SECTION 12-6-3360, AS AMENDED, RELATING TO THE JOB TAX CREDIT AGAINST THE STATE INCOME TAX, SO AS TO DELETE A REFERENCE TO GENERAL CONTRACTORS IN CONNECTION WITH THE TERM "CORPORATE OFFICE"; TO AMEND SECTION 12-6-3376, RELATING TO A CREDIT AGAINST THE STATE INCOME TAX FOR THE PURCHASE OR LEASE OF A PLUG-IN HYBRID VEHICLE, SO AS TO REQUIRE THAT THE CREDIT BE THE FIRST CLAIMED FOR THAT VEHICLE, TO PROVIDE FOR REGULATIONS PROMULGATED BY THE STATE ENERGY OFFICE, TO FURTHER PROVIDE FOR CLAIMING THE CAPPED CREDIT, AND TO PROVIDE FOR THE EFFECT OF A REPEAL OF THE CAPS ON THE CREDIT; TO AMEND SECTION 12-6-3377, RELATING TO THE ALTERNATIVE MOTOR VEHICLE FUEL CREDIT AGAINST THE STATE INCOME TAX, SO AS TO FURTHER PROVIDE FOR THE CALCULATION OF THE CREDIT FOR BUSINESS USE AND TO DELETE A PROVISION DEEMING THE FEDERAL TAX TREATMENT OF THE ALTERNATIVE FUEL CREDIT TO BE PERMANENT; TO AMEND SECTION 12-6-3535, AS AMENDED, RELATING TO A CREDIT AGAINST THE STATE INCOME TAX FOR REHABILITATION OF A HISTORIC STRUCTURE, SO AS TO INCLUDE A CREDIT AGAINST THE CORPORATE LICENSE FEES; TO AMEND SECTION 12-6-3585, AS AMENDED, RELATING TO THE INDUSTRY PARTNERSHIP FUND CREDIT AGAINST STATE TAXES, SO AS TO ALLOW THE CREDIT TO BE USED AGAINST THE TAXPAYER'S APPLICABLE STATE INCOME TAX, BANK TAX, INSURANCE PREMIUM TAX, OR LICENSE FEE LIABILITY; TO AMEND SECTION 12-6-3587, AS AMENDED, RELATING TO THE CREDIT AGAINST STATE INCOME TAX FOR THE PURCHASE AND INSTALLATION OF A SOLAR ENERGY SYSTEM, SO AS TO PROVIDE THAT THE CREDIT IS AVAILABLE FOR A BUILDING, OR BUILDINGS ON A SINGLE SITE, THAT THE CREDIT BE CLAIMED IN THE TAX YEAR THE INSTALLATION IS COMPLETED, AND THAT THE STATE ENERGY OFFICE PRESCRIBE CERTIFICATION REQUIREMENTS; TO AMEND SECTION 12-6-3630, RELATING TO A CREDIT AGAINST CERTAIN STATE TAXES FOR A CONTRIBUTION TO THE SOUTH CAROLINA HYDROGEN INFRASTRUCTURE DEVELOPMENT FUND, SO AS TO FURTHER PROVIDE FOR CLAIMING THE CREDIT; TO AMEND SECTION 12-6-5060, AS AMENDED, RELATING TO THE DESIGNATION OF CHARITABLE CONTRIBUTIONS ON THE STATE INCOME TAX RETURN, SO AS TO CHANGE AN ORGANIZATION'S NAME FROM "THE GIFT OF LIFE TRUST FUND OF SOUTH CAROLINA" TO "DONATE LIFE SOUTH CAROLINA"; TO AMEND SECTION 12-8-1530, RELATING TO WITHHOLDING AND REPORTING TAXES ON INCOME, SO AS TO AUTHORIZE THE DEPARTMENT OF REVENUE TO ALLOW A TAXPAYER TO WITHHOLD AND REPORT TAXES ANNUALLY ON INCOME FROM CERTAIN ACTIVITIES; TO AMEND SECTION 12-10-80, AS AMENDED, RELATING TO THE JOB DEVELOPMENT CREDIT IN CONNECTION WITH THE ENTERPRISE ZONE ACT OF 1995, SO AS TO PROVIDE FOR THE TREATMENT OF A RETURN OF AN OVERPAYMENT OF WITHHOLDING RESULTING FROM CLAIMING THE CREDITS; TO AMEND SECTION 12-20-100, RELATING TO LICENSE TAX ON UTILITIES BASED ON PROPERTY VALUE AND GROSS RECEIPTS, SO AS TO DELETE A REFERENCE TO THE DEPARTMENT OF REVENUE; TO AMEND SECTION 12-20-105, AS AMENDED, RELATING TO CREDITS AGAINST ITS LICENSE TAX LIABILITY FOR A COMPANY WHO PAYS CASH FOR INFRASTRUCTURE FOR AN ELIGIBLE PRODUCT, SO AS TO PROVIDE FOR THE CONTINUATION OF ELIGIBILITY FOR THE CREDIT UNDER CERTAIN CIRCUMSTANCES FOR A COMPANY THAT CONTRIBUTES THE CASH TO A COUNTY OR POLITICAL SUBDIVISION FOR AN ELIGIBLE PRODUCT EVEN IF THE PROJECT IS DISPOSED OF OR REMAINS UNCOMPLETED; TO AMEND SECTION 12-36-910, AS AMENDED, RELATING TO THE STATE SALES TAX, SO AS TO DELETE A REDUNDANCY; TO AMEND SECTION 12-36-2120, AS AMENDED, RELATING TO EXEMPTIONS FROM THE STATE'S SALES TAX, SO AS TO SPECIFY NOTIFICATION REQUIREMENTS FOR CLAIMING THE EXEMPTION ON THE CONSTRUCTION MATERIALS USED IN CERTAIN SINGLE MANUFACTURING AND DISTRIBUTION FACILITIES AND TO PROVIDE FOR ASSESSMENT OF ANY TAX DUE, TO SPECIFY THAT THE EXEMPTION IN CONNECTION WITH THE SALE OF CURRENCY APPLIES TO CURRENCY THAT IS LEGAL TENDER, AND TO CLARIFY THE EXEMPTION AS TO DURABLE MEDICAL EQUIPMENT AND RELATED SUPPLIES; TO AMEND SECTION 12-37-90, RELATING TO RESPONSIBILITIES AND DUTIES OF ASSESSORS, SO AS TO DISALLOW THE ALTERATION OF AN ASSESSMENT BY THE DEPARTMENT OF REVENUE; TO AMEND SECTION 12-37-220, AS AMENDED, RELATING TO PROPERTIES EXEMPTED FROM THE ASSESSMENT OF PROPERTY TAXES, SO AS TO CORRECT A CROSS-REFERENCE AND TO MAKE A DEFINITIONAL CHANGE FOR "FULL-TIME" JOB; TO AMEND SECTION 12-44-30, AS AMENDED, RELATING TO DEFINITIONS FOR PURPOSES OF THE FEE IN LIEU OF TAX SIMPLIFICATION ACT, SO AS TO MODIFY A CROSS-REFERENCE IN THE DEFINITION OF "SPONSOR"; TO AMEND SECTION 12-54-85, AS AMENDED, RELATING TO TIME LIMITATION FOR ASSESSMENT OF TAXES OR FEES BY THE DEPARTMENT OF REVENUE, SO AS TO PROVIDE FOR THE INSTANCE OF A TAXPAYER LACKING A VALID BUSINESS PURPOSE; TO AMEND SECTION 12-54-240, AS AMENDED, RELATING TO DISCLOSURE OF RECORDS AND REPORTS BY AGENTS OF THE DEPARTMENT OF REVENUE, SO AS TO PROVIDE THAT THE DISCLOSURE BE WILFUL FOR CRIMINAL PENALTIES AND TERMINATION TO ATTACH AND SO AS TO CITE THE AGENTS AND EMPLOYEES OF SEVERAL AGENCIES; TO AMEND SECTION 12-54-250, AS AMENDED, RELATING TO PAYMENT TO THE DEPARTMENT OF REVENUE IN READILY AVAILABLE FUNDS, SO AS TO REQUIRE THE PAYMENT OF A PERSON OWING FIFTEEN THOUSAND DOLLARS OR MORE OR A WITHHOLDING AGENT MAKING AT LEAST TWENTY-FOUR PAYMENTS A YEAR, TO PROVIDE FOR EXEMPTIONS BY THE DEPARTMENT, AND TO REQUIRE ELECTRONIC FILING OF THE ACCOMPANYING RETURNS; TO AMEND SECTION 12-60-20, AS AMENDED, RELATING TO THE GENERAL ASSEMBLY'S INTENT IN CONNECTION WITH A DISPUTE INTERPRETED AND CONSTRUED PURSUANT TO THE SOUTH CAROLINA REVENUE PROCEDURES ACT, SO AS TO CLARIFY CERTAIN LANGUAGE; TO AMEND SECTION 12-60-510, AS AMENDED, RELATING TO EXHAUSTION OF REMEDIES BEFORE REQUESTING A HEARING BEFORE THE ADMINISTRATIVE LAW COURT IN CONNECTION WITH THE REVENUE PROCEDURES ACT, SO AS TO DISALLOW THE REMOVAL OF AN ASSESSMENT AGAINST A DEFAULTING TAXPAYER BY THE COURT; TO AMEND SECTION 12-63-20, RELATING TO THE ENERGY FREEDOM AND RURAL DEVELOPMENT ACT, SO AS TO DEFINE "BIODIESEL" FOR THAT PURPOSE AND TO REFERENCE THE DATE OF PURCHASE OF THE VEHICLE OR THE CONVERSION EQUIPMENT FOR PURPOSES OF CLAIMING A REBATE AGAINST THE SALES TAX; TO AMEND SECTION 44-43-1360, AS AMENDED, RELATING TO THE CHANGE FROM "GIFT OF LIFE TRUST FUND" TO "DONATE LIFE SOUTH CAROLINA", SO AS TO CORRECT A CROSS-REFERENCE; TO AMEND SECTION 46-3-260, RELATING TO THE ESTABLISHMENT OF THE SOUTH CAROLINA RENEWABLE ENERGY INFRASTRUCTURE DEVELOPMENT FUND, SO AS TO PROVIDE FOR ADMINISTRATION OF THE FUND BY THE DEPARTMENT OF AGRICULTURE IN COORDINATION WITH THE STATE ENERGY OFFICE; TO ADD CHAPTER 64 TO TITLE 12 SO AS TO ENACT THE "SOUTH CAROLINA TEXTILES COMMUNITIES REVITALIZATION ACT", PROVIDING FOR DEFINITIONS OF "TEXTILE MILL", "TEXTILE MILL SITE", AND "NOTICE OF INTENT TO REHABILITATE", AND AN ENHANCED DEFINITION OF "REHABILITATION EXPENSES"; FOR TAX CREDITS AGAINST LOCAL PROPERTY TAXES OR STATE INCOME TAX AND CORPORATE LICENSE TAX, IN ADDITION TO THE TAX CREDIT FOR EXPENSES INCURRED IN THE REHABILITATION OF A HISTORIC STRUCTURE; FOR THE AMOUNT OF THE CREDITS AND PROCESSES FOR CLAIMING THEM INCLUDING REQUIREMENT OF FILING A NOTICE OF INTENT TO REHABILITATE; TO REPEAL CHAPTER 32 OF TITLE 6 RELATING TO THE SOUTH CAROLINA TEXTILES COMMUNITIES REVITALIZATION ACT; TO ADD CHAPTER 66 TO TITLE 12 SO AS TO ENACT THE "SOUTH CAROLINA RETAIL FACILITY REVITALIZATION ACT", PROVIDING FOR DEFINITIONS OF "RETAIL FACILITY", "RETAIL FACILITY SITE", AND "NOTICE OF INTENT TO REHABILITATE", AND AN ENHANCED DEFINITION OF "REHABILITATION EXPENSES"; FOR TAX CREDITS AGAINST LOCAL PROPERTY TAXES OR STATE INCOME TAX AND CORPORATE LICENSE TAX, IN ADDITION TO THE TAX CREDIT FOR EXPENSES INCURRED IN THE REHABILITATION OF A HISTORIC STRUCTURE; FOR THE AMOUNT OF THE CREDITS AND PROCESSES FOR CLAIMING THEM INCLUDING REQUIREMENT OF FILING A NOTICE OF INTENT TO REHABILITATE; TO REPEAL CHAPTER 34 OF TITLE 6 RELATING TO THE SOUTH CAROLINA RETAIL FACILITY REVITALIZATION ACT; TO ADD CHAPTER 68 TO TITLE 12 SO AS TO ENACT THE "SOUTH CAROLINA MOTION PICTURE INCENTIVE ACT OF 2008", REVISING AND UPDATING TAX INCENTIVES FOR MOTION PICTURE PRODUCTIONS IN THIS STATE BY ADDING AND MODERNIZING DEFINITIONS, MAKING TECHNICAL CORRECTIONS, ELIMINATING THE REBATE OF STATE AND LOCAL SALES TAXES PROVIDED UNDER FORMER LAW, PROVIDING FOR THE CARRY FORWARD OF REBATE FUNDS TO AVOID MULTIPLE APPLICATIONS, CLARIFYING THE WAGE INCENTIVE AND RESIDENT HIRING BONUS, ESTABLISHING A FIVE-YEAR APPRENTICESHIP PROGRAM, INCREASING THE NUMBER OF DAYS STATE PROPERTY MAY BE USED WITHOUT FEE FROM SEVEN TO TEN DAYS, AND PROVIDING ADDITIONAL REQUIREMENTS FOR FILM CREDITS FOR THIS STATE; TO REPEAL CHAPTER 62 OF TITLE 12 RELATING TO THE SOUTH CAROLINA MOTION PICTURE INCENTIVE ACT; TO EXEMPT FROM THE ADMISSIONS LICENSE TAX FOR THE FIVE YEARS BEGINNING JULY 1, 2008, ALL PAID ADMISSIONS TO A MOTORSPORTS ENTERTAINMENT COMPLEX AND TO DEFINE MOTORSPORTS ENTERTAINMENT COMPLEX; TO AMEND SECTIONS 4-12-30 AND 4-29-67, BOTH AS AMENDED, RELATING TO FEES IN LIEU OF PROPERTY TAXES, SO AS TO PROVIDE FOR THE TREATMENT OF REPLACEMENT PROPERTY, TO REVISE FEE FILING REQUIREMENTS AND PROVIDE A CIVIL PENALTY FOR VIOLATIONS, TO PROVIDE FURTHER FOR PROPERTY ELIGIBLE FOR THE FEE; TO AMEND SECTION 12-6-3410, AS AMENDED, RELATING TO THE CORPORATE HEADQUARTERS INCOME TAX CREDIT, SO AS TO REVISE DEFINITIONS RELATING TO ENTITIES ELIGIBLE FOR THE CREDIT; TO AMEND SECTIONS 12-44-30, 12-44-50, 12-44-60, 12-44-90, AND 12-44-110, ALL AS AMENDED, RELATING TO DEFINITIONS, FEE AGREEMENTS, REPLACEMENT PROPERTY, FILING OF RETURNS AND PAYMENTS, AND PROPERTY INELIGIBLE FOR FEES IN LIEU OF TAX AND EXCEPTIONS THERETO, FOR PURPOSES OF THE FEE IN LIEU OF TAX SIMPLIFICATION ACT OF 1997, SO AS TO PROVIDE THAT THE BENEFITS OF TAX EXEMPTIONS AND THE FEE AGREEMENT ENDS AFTER THE TERMINATION DATE, TO PROVIDE FOR THE TREATMENT OF REPLACEMENT PROPERTY, TO REVISE FEE FILING REQUIREMENTS AND PROVIDE A CIVIL PENALTY FOR VIOLATIONS, AND TO PROVIDE FURTHER FOR PROPERTY ELIGIBLE FOR THE FEE; TO AMEND SECTION 12-6-3600, AS AMENDED, RELATING TO A TAX CREDIT FOR ETHANOL AND BIODIESEL PRODUCTION FACILITIES, SECTION 12-6-3610, AS AMENDED, RELATING TO A TAX CREDIT FOR THE USE OF PROPERTY IN CONNECTION WITH DISTRIBUTION OR DISPENSING OF RENEWABLE FUEL, SECTION 12-6-3620, AS AMENDED, RELATING TO A TAX CREDIT FOR THE PURCHASE AND INSTALLATION OF EQUIPMENT TO PRODUCE ENERGY FROM BIOMASS RESOURCES, AND SECTION 12-6-3631, RELATING TO A TAX CREDIT FOR BIODIESEL RESEARCH AND DEVELOPMENT EXPENDITURES, ALL SO AS TO PROVIDE FOR THE QUALIFICATION FOR THE CREDITS, THE PROCESSES FOR CLAIMING THE CREDITS FOR THE PREVIOUS CALENDAR YEAR, CLARIFICATION AND DEFINITION OF ADDITIONAL TERMS, AND EFFECTS OF REPEALS OF THE CREDIT CAPS, AND TO DELETE THE CAP ON THE CREDIT IN CONNECTION WITH DISTRIBUTION AND DISPENSING OF RENEWABLE FUEL; TO AMEND SECTION 12-14-80, AS AMENDED, RELATING TO THE ECONOMIC IMPACT ZONE TAX CREDIT, SO AS TO RESTATE THE CREDIT AS AN INVESTMENT TAX CREDIT, PROVIDE THAT THE CREDIT IS AVAILABLE FOR THE PLACEMENT IN SERVICE OF CERTAIN QUALIFIED EQUIPMENT AND A COMMITMENT TO THE REQUIRED CAPITAL INVESTMENT, PROVIDE FOR QUALIFICATIONS FOR AND LIMITATIONS ON THE CREDIT, AND TO PROVIDE FOR THE PROCESS FOR CLAIMING THE CREDIT; TO AMEND SECTION 12-28-110, AS AMENDED, RELATING TO DEFINITIONS IN CONNECTION WITH MOTOR FUELS SUBJECT TO USER FEES, SO AS TO ADD FUEL GRADE ETHANOL; TO AMEND SECTION 12-28-310, AS AMENDED, RELATING TO IMPOSITION OF THE USER FEE ON MOTOR FUELS, SO AS TO INCLUDE FUEL GRADE ETHANOL; TO AMEND SECTION 12-28-710, RELATING TO EXEMPTION FROM THE USER FEE ON MOTOR FUEL, SO AS TO EXCLUDE THE EXEMPTION FOR KEROSENE AND DIESEL FUEL WHEN THEY ARE USED TO PROPEL A VEHICLE ON THE HIGHWAY; TO AMEND SECTION 12-28-790, AS AMENDED, RELATING TO REFUND CLAIMS, SO AS TO FURTHER PROVIDE FOR THE CLAIM PROCESS; TO AMEND SECTION 12-28-905, AS AMENDED, RELATING TO THE USER FEE ON FUELS IMPORTED TO THIS STATE, SO AS TO DELETE REFERENCES TO FUEL IMPORTED BY A LICENSED OCCASIONAL IMPORTER AND MAKE TECHNICAL CHANGES; TO AMEND SECTION 12-28-925, AS AMENDED, RELATING TO COLLECTION OF THE USER FEE BY CERTAIN SELLERS, SO AS TO DELETE REFERENCE TO A BONDED IMPORTER; TO AMEND SECTION 12-28-975, AS AMENDED, RELATING TO DIVERSION OF MOTOR FUEL SUBJECT TO THE USER FEE, SO AS TO PROVIDE TIME REQUIREMENTS FOR A LICENSED OR UNLICENSED IMPORTER FOR NOTIFYING THE STATE OF THE DIVERSION AND PAYING THE FEE TO THE STATE, TO DELETE REFERENCES TO REGULATIONS ESTABLISHING THOSE REQUIREMENTS FOR LICENSED IMPORTERS, AND TO DELETE PROVISIONS FOR SUPPLIERS TO ASSUME THE LIABILITY OF IMPORTERS OR CLAIMS OF EXPORTERS; TO AMEND SECTION 12-28-990, AS AMENDED, RELATING TO LIABILITY OF CERTAIN VENDORS OF MOTOR FUELS SUBJECT TO THE USER FEE FOR THE UNPAID FEE, SO AS TO PROVIDE FOR PAYMENT OF THE FEE; TO AMEND SECTION 12-28-1125, AS AMENDED, RELATING TO IMPORTERS' LICENSES, SO AS TO DELETE REFERENCE TO AN OCCASIONAL IMPORTER'S LICENSE AND TO REDUCE THE FEE FOR A BONDED IMPORTER'S LICENSE; TO AMEND SECTION 12-28-1130, AS AMENDED, RELATING TO TANK WAGON IMPORTERS OF MOTOR FUEL, SO AS TO DELETE THE EXEMPTION FOR AN IMPORTER OTHERWISE LICENSED AS AN IMPORTER; TO AMEND SECTION 12-28-1139, AS AMENDED, RELATING TO LICENSING OF PERSONS LIABLE FOR THE USER FEE, SO AS TO PROVIDE FOR A BLENDER/VENDOR LICENSE AND A MANUFACTURER'S LICENSE; TO AMEND SECTION 12-28-1155, AS AMENDED, RELATING TO BONDING OF SUPPLIERS OF MOTOR FUEL SUBJECT TO THE USER FEE, SO AS TO EXEMPT CERTAIN VENDORS AND MANUFACTURERS FROM THE BONDING REQUIREMENT; TO AMEND SECTION 12-28-1300, AS AMENDED, RELATING TO REPORTING REQUIREMENTS, SO AS TO DELETE REFERENCE TO A CUSTOMER'S USER FEE LIABILITY; TO AMEND SECTION 12-28-1310, AS AMENDED, RELATING TO VERIFIED STATEMENTS FILED BY LICENSED BONDED IMPORTERS, SO AS TO FURTHER PROVIDE FOR THE INFORMATION REQUIRED; TO AMEND SECTION 12-28-1370, AS AMENDED, RELATING TO A TRANSPORTER OF MOTOR FUEL, SO AS TO MAKE A TECHNICAL CHANGE; TO AMEND SECTION 12-28-1390, AS AMENDED, RELATING TO A VENDOR OF FUELS NOT SUBJECT TO THE USER FEE, AND TO ADD SECTIONS 12-28-1396 AND 12-28-1397, ALL SO AS TO PROVIDE FOR THE TIME REQUIREMENTS FOR REPORTING AND PAYING THE USER FEE; TO AMEND SECTIONS 12-28-1535, 12-28-1540, 12-28-1545, 12-28-1720, AND 12-28-1730, ALL AS AMENDED, AND ALL RELATING TO RESTRICTIONS ON SELLING, USING, DELIVERING, STORING, OR IMPORTING MOTOR FUELS SUBJECT TO THE USER FEE, ALL SO AS TO PROVIDE FOR CIVIL PENALTIES AND TO DELETE CRIMINAL PENALTIES EXCEPT AS TO NONPAYMENT OF THE USER FEE OVER TO THE STATE; TO REPEAL SECTION 12-28-1305 RELATING TO THE LICENSED OCCASIONAL IMPORTER; TO ADD SECTION 12-59-85 SO AS TO PROVIDE THAT A FORFEITED LAND COMMISSION MAY REFUSE TO ACCEPT TITLE TO PROPERTY BID ON BY THE COUNTY AUDITOR; TO AMEND SECTION 12-37-220, AS AMENDED, RELATING TO PROPERTY EXEMPTED FROM TAXATION IN THIS STATE, SO AS TO EXEMPT A MOBILE HOME WORTH LESS THAN TWO THOUSAND FIVE HUNDRED DOLLARS; TO AMEND SECTION 12-37-714, AS AMENDED, RELATING TO PROPERTY TAXATION OF A BOAT FOR THE TIME PERIOD IN WHICH IT IS LOCATED IN THIS STATE, SO AS TO REVISE THE TIME PERIODS; TO AMEND SECTION 12-37-2725, AS AMENDED, RELATING TO REGISTRATION OF A LICENSED VEHICLE IN ANOTHER STATE, SO AS TO PROVIDE FOR A RECEIPT FORM TO SUBSTITUTE FOR RETURN OF THE LICENSE PLATE AND REGISTRATION CERTIFICATE TO THIS STATE; TO AMEND SECTION 12-39-220, RELATING TO ASSESSMENT OF REAL ESTATE OMITTED FROM A DUPLICATE OR RETURN, SO AS TO INCLUDE PERSONAL PROPERTY; TO AMEND SECTION 12-51-50, AS AMENDED, RELATING TO SALE OF PROPERTY AT A TAX SALE, SO AS TO PROVIDE THAT THE SALE OCCUR ON AN ADVERTISED DATE AND TO DELETE THE REQUIREMENT OF REGULAR HOURS; TO AMEND SECTION 12-51-70, RELATING TO A DEFAULTING BIDDER IN A TAX SALE, SO AS TO INCREASE HIS LIABILITY FROM THREE HUNDRED TO ONE THOUSAND DOLLARS; TO AMEND SECTION 12-54-85, AS AMENDED, RELATING TO COLLECTION AND ENFORCEMENT OF TAXES, SO AS TO PROVIDE FOR A TIME LIMITATION FOR ASSESSMENT OF TAXES OR FEES FOR PROPERTY OMITTED FROM A DUPLICATE OR RETURN; TO AMEND SECTION 61-6-20, AS AMENDED, RELATING TO DEFINITIONS FOR PURPOSES OF THE ALCOHOLIC BEVERAGE CONTROL ACT, SO AS TO SPECIFICALLY DESCRIBE ACTIVITIES THAT CONSTITUTE "BONA FIDE ENGAGED PRIMARILY AND SUBSTANTIALLY IN THE PREPARATION AND SERVING OF MEALS"; TO AMEND SECTION 61-6-1610, AS AMENDED, RELATING TO A LICENSED PREMISES "BONA FIDE ENGAGED PRIMARILY AND SUBSTANTIALLY IN THE PREPARATION AND SERVING OF MEALS", SO AS TO ADD DEFINITIONS AND TO PROVIDE FOR DISPLAY OF THE LICENSE; TO AMEND SECTION 61-6-2010, AS AMENDED, RELATING TO A FIFTY-TWO WEEK TEMPORARY PERMIT, SO AS TO PROVIDE FOR A PRORATED REFUND UNDER CERTAIN CIRCUMSTANCES; TO AMEND SECTION 12-6-40, AS AMENDED, RELATING TO THE APPLICATION OF THE FEDERAL INTERNAL REVENUE CODE TO STATE TAX LAWS, SO AS TO INCLUDE THE IRC AS AMENDED THROUGH 2007; TO AMEND SECTION 12-6-1120, AS AMENDED, RELATING TO COMPUTATION OF SOUTH CAROLINA GROSS INCOME, SO AS TO EXCLUDE TIER III RAILROAD RETIREMENT BENEFITS; TO AMEND SECTION 12-28-955, RELATING TO RETAINING A PORTION OF THE USER FEE FOR ADMINISTRATIVE COSTS, SO AS TO DELETE THE RETENTION IN FAVOR OF REQUESTING A REFUND FROM THE DEPARTMENT OF REVENUE IN SPECIFIED AMOUNTS FOR EXPENSES OR ANNUAL ADMINISTRATIVE COSTS; TO AMEND SECTION 12-44-30, AS AMENDED, RELATING TO DEFINITIONS FOR PURPOSES OF THE FEE IN LIEU OF TAX SIMPLIFICATION ACT, SO AS TO MODIFY A CROSS REFERENCE IN THE DEFINITION OF "SPONSOR"; TO ADD SECTION 12-45-17 SO AS TO REQUIRE ANNUAL CONTINUING EDUCATION TRAINING FOR COUNTY TAX COLLECTORS; AND TO AMEND SECTION 12-54-70, AS AMENDED, RELATING TO EXTENSIONS OF TIME FOR THE FILING OF TAX RETURNS OR PAYMENT OF TAXES DUE, SO AS TO CONFORM THE EXTENSION TO THE CORRESPONDING FEDERAL EXTENDED TIME PERIOD.
Read the first time and referred to the Committee on Finance.
H. 4927 (Word version) -- Reps. Littlejohn, Kirsh, Brantley, Clyburn, Cobb-Hunter, Davenport, Haskins, Hodges, Hosey, Loftis, Moss, J. R. Smith, Barfield, Witherspoon and Whipper: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 12-6-3680 SO AS TO ALLOW A REFUNDABLE INCOME TAX CREDIT TO A RECYCLING FACILITY EQUAL TO THE YEARLY AMOUNT EXPENDED BY THE RECYCLING FACILITY FOR ELECTRIC SERVICE MULTIPLIED BY ONE PERCENT IN THE FIRST YEAR THE CREDIT IS CLAIMED, TWO PERCENT IN THE SECOND YEAR, AND INCREASING BY TWO PERCENT IN THE YEARS UP TO A MAXIMUM OF EIGHT PERCENT, AND TO PROVIDE THAT THE CREDIT IS ALLOWED ONLY IF THE ANNUAL FEBRUARY FIFTEENTH FORECAST BY THE BOARD OF ECONOMIC ADVISORS OF ANNUAL GENERAL FUND REVENUE FORECASTS GROWTH THAT EQUALS AT LEAST FIVE PERCENT OF THE MOST RECENT ESTIMATE OF GENERAL FUND REVENUES.
Read the first time and referred to the Committee on Finance.
H. 4953 (Word version) -- Reps. Cooper, Harrell and Bingham: A BILL TO AMEND TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EDUCATION, BY ADDING CHAPTER 151 SO AS TO ESTABLISH THE SOUTH CAROLINA LIGHTRAIL CONSORTIUM, TO PROVIDE FOR THE GOVERNANCE OF THE CONSORTIUM, AND FOR ITS FUNDING, DUTIES, AND POWERS.
Read the first time and referred to the Committee on Education.
The following invitations were polled favorably from the Committee on Invitations:
Tuesday - May 13, 2008 - 6:00-7:00 pm
Members of the Senate, Reception, Clarion Town House
SC ASSOCIATION OF CERTIFIED PUBLIC ACCOUNTANTS
(Accepted--April 24, 2008)
Tuesday - May 13, 2008 - 7:00-9:00 pm
Members of the Senate, Reception, University House
SC MANUFACTURERS ALLIANCE
(Accepted--April 24, 2008)
Wednesday - May 14, 2008 - 6:00-8:00 pm
Members of the Senate, staff and families, Legislative Softball Game and Picnic, Capital City Stadium BLUE CROSS BLUE SHIELD OF SOUTH CAROLINA
(Accepted--April 24, 2008)
Wednesday - May 21, 2008 - 8:00-10:00 am
Members of the Senate, Breakfast, Room 112 of the Blatt Building
SC PRIMARY HEALTHCARE ASSOCIATION
(Accepted--April 24, 2008)
Wednesday - May 21, 2008 - 12:00-2:00 pm
Members of the Senate, Lunch, Room 112 of the Blatt Building
JOHN DE LA HOWE SCHOOL
(Accepted--April 24, 2008)
Wednesday - May 21, 2008 - 6:00 pm
Members of the Senate, guests and staff, 15th Annual "Spring Fling", The Coop, THE ELECTRIC, TELEPHONE AND GAS UTILITIES
(Accepted--April 24, 2008)
Thursday - May 22, 2008 - 8:00-10:00 am
Members of the Senate, Breakfast, Room 112 of the Blatt Building, THE CAREER AND TECHNOLOGY SCHOOL DIRECTORS OF THE SC ASSOCIATION OF SCHOOL ADMINISTRATORS
(Accepted--April 24, 2008)
Senator GROOMS from the Committee on Transportation submitted a favorable with amendment report on:
H. 3006 (Word version) -- Reps. J.E. Smith, G.R. Smith, Talley, Gullick, Herbkersman, Brady, Mulvaney, Scarborough, Pinson, Shoopman, Hagood, Agnew, Stewart, Bedingfield, McLeod, Funderburk, Perry, Bales, Toole, Stavrinakis, Harrison, Vick, Ceips, Whipper and Bowen: A BILL TO AMEND SECTIONS 56-5-160 AND 56-19-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, BOTH RELATING TO THE DEFINITION OF THE TERM "BICYCLE", SO AS TO CLARIFY THE DEFINITION AND TO EXCLUDE CHILDRENS' TRICYCLES; TO AMEND SECTION 56-5-1810, RELATING TO TRAFFIC REGULATIONS REQUIRING ONE TO DRIVE ON THE RIGHT SIDE OF THE ROADWAY, INCLUDING REQUIREMENTS FOR SLOWER MOVING VEHICLES, SO AS TO FURTHER SPECIFY THESE REQUIREMENTS AND TO PROVIDE THAT THE INTENT OF SUCH REQUIREMENTS IS TO FACILITATE THE OVERTAKING OF SLOWLY MOVING VEHICLES BY FASTER MOVING VEHICLES; AND TO AMEND ARTICLE 27, CHAPTER 5, TITLE 56, RELATING TO BICYCLISTS AND USERS OF PLAY VEHICLES, SO AS TO PROVIDE THAT MOTOR VEHICLES MUST NOT BLOCK BICYCLE LANES AND MUST YIELD TO BICYCLISTS IN SUCH LANES, TO PROVIDE THAT BICYCLISTS ARE NOT REQUIRED TO RIDE ON THE SHOULDER OF A ROADWAY AND TO ALSO PROVIDE THAT A BICYCLIST MAY NOT BE PROHIBITED FROM DOING SO, TO DELETE THE PROVISION REQUIRING A BICYCLIST TO USE A BIKE PATH WHEN PROVIDED, RATHER THAN THE ROADWAY, TO REQUIRE A MOTORIST OVERTAKING A BICYCLIST TO ALLOW A MINIMUM OF FIVE FEET BETWEEN THE MOTOR VEHICLE AND THE BICYCLE, TO DELETE PROVISIONS REQUIRING BICYCLES TO HAVE A BELL OR OTHER AUDIBLE DEVICE, AND TO SPECIFY THE FORM AND EXTENT OF ARM SIGNALS THAT BICYCLISTS MAY USE.
Ordered for consideration tomorrow.
Senator GROOMS from the Committee on Transportation submitted a favorable with amendment report on:
H. 3279 (Word version) -- Rep. Scott: A BILL TO AMEND CHAPTER 11, TITLE 1, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLE 6 SO AS TO ESTABLISH THE MOBILITY DEVELOPMENT AUTHORITY AS A DIVISION WITHIN THE STATE BUDGET AND CONTROL BOARD, AND TO PROVIDE ITS POWERS AND DUTIES; TO AMEND SECTIONS 57-1-20, 57-3-10, AND 57-3-20, RELATING TO THE ESTABLISHMENT OF THE DEPARTMENT OF TRANSPORTATION AND ITS DIVISIONS, SO AS TO DELETE THE MASS TRANSIT DIVISION; TO REPEAL SECTION 57-3-40, RELATING TO THE DEPARTMENT OF TRANSPORTATION MASS TRANSIT DIVISION'S POWERS AND DUTIES; AND TO REPEAL CHAPTER 25, TITLE 58, RELATING TO REGIONAL TRANSPORTATION AUTHORITIES.
Ordered for consideration tomorrow.
Senator GROOMS from the Committee on Transportation submitted a favorable with amendment report on:
H. 3323 (Word version) -- Reps. Harrison and Cotty: A BILL TO AMEND SECTION 56-19-265, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DEPARTMENT OF MOTOR VEHICLES' ACCEPTANCE OF ELECTRONICALLY FILED LIEN INFORMATION FOR NEWLY ACQUIRED VEHICLES, VEHICLES ALREADY TITLED, AND LIEN RELEASES, AND THE COLLECTION OF A TRANSACTION FEE FOR THE TRANSMISSION OR RETRIEVAL OF DATA FROM THE DEPARTMENT PURSUANT TO THIS SECTION, SO AS TO PROVIDE THAT IF THERE ARE ONE OR MORE LIENS OR ENCUMBRANCES ON A MOTOR VEHICLE OR MOBILE HOME, THE DEPARTMENT MAY ELECTRONICALLY TRANSMIT THE LIEN TO THE FIRST LIENHOLDER AND NOTIFY THE FIRST LIENHOLDER OF ANY ADDITIONAL LIENS, AND LIEN SATISFACTIONS, TO PROVIDE WHEN ELECTRONIC TRANSMISSION OF LIENS AND LIEN SATISFACTIONS IS USED, A CERTIFICATE OF TITLE MAY BE ISSUED WHEN THE LAST LIEN IS SATISFIED AND A CLEAR CERTIFICATE IS ISSUED, TO PROVIDE THAT WHEN A MOTOR VEHICLE OR MOBILE HOME IS SUBJECT TO AN ELECTRONIC LIEN, ITS CERTIFICATE OF TITLE IS PHYSICALLY HELD BY THE LIENHOLDER, TO PROVIDE THAT A CERTIFIED COPY OF AN ELECTRONIC RECORD OF A LIEN IS ADMISSIBLE IN COURT AS EVIDENCE OF THE EXISTENCE OF A LIEN, AND TO PROVIDE THAT A TRANSACTION FEE MAY BE COLLECTED BY COMMERCIAL PARTIES AND LENDERS WHO TRANSMIT OR RETRIEVE DATA PURSUANT TO THIS SECTION.
Ordered for consideration tomorrow.
Senator GROOMS from the Committee on Transportation submitted a favorable report on:
H. 4258 (Word version) -- Reps. Witherspoon, Barfield, Clemmons, Edge and Hardwick: A CONCURRENT RESOLUTION TO REQUEST THAT THE DEPARTMENT OF TRANSPORTATION NAME THE PORTION OF THE STATE FARM TO MARKET ROAD #31 IN HORRY COUNTY, FROM ITS INTERSECTION WITH SOUTH CAROLINA HIGHWAY 905 TO THE TOWN OF LORIS, THE "SERGEANT HENRY ODELL STALVEY, JR. MEMORIAL ROAD" AND ERECT APPROPRIATE MARKERS OR SIGNS ALONG THIS ROAD THAT CONTAIN THE WORDS "SERGEANT HENRY ODELL STALVEY, JR. MEMORIAL ROAD".
Ordered for consideration tomorrow.
S. 1320 (Word version) -- Senator Martin: A CONCURRENT RESOLUTION CONGRATULATING PALMETTO HEALTH BAPTIST EASLEY ON THE CELEBRATION OF THEIR FIFTIETH ANNIVERSARY AND THANKING THEM FOR PROVIDING QUALITY AND COMPASSIONATE CARE, COMFORT, AND DIGNITY TO GENERATIONS OF PICKENS COUNTY FAMILIES.
Returned with concurrence.
Received as information.
S. 1321 (Word version) -- Senators Alexander and Ritchie: A CONCURRENT RESOLUTION TO COMMEND THE BOYS & GIRLS CLUBS OF SOUTH CAROLINA FOR THEIR WONDERFUL EFFORTS IN HELPING SOUTH CAROLINA'S YOUTH PREPARE FOR A PRODUCTIVE LIFE AND TO RECOGNIZE THE SIXTEEN BOYS AND GIRLS FROM DIFFERENT BOYS & GIRLS CLUBS THROUGHOUT THE STATE WHO HAVE BEEN NAMED "2008 YOUTH OF THE YEAR" BY THE SOUTH CAROLINA ALLIANCE OF BOYS & GIRLS CLUBS.
Returned with concurrence.
Received as information.
THE SENATE PROCEEDED TO A CALL OF THE UNCONTESTED LOCAL AND STATEWIDE CALENDAR.
The following Bill was read the third time and, having received three readings in both Houses, it was ordered that the title be changed to that of an Act and enrolled for Ratification:
H. 4497 (Word version) -- Reps. Loftis, Umphlett, Lowe, Mitchell, Witherspoon, Dantzler, Duncan, Hodges and M.A. Pitts: A BILL TO AMEND SECTION 50-1-30, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE CLASSIFICATIONS OF BIRDS, ANIMALS, AND FISH, SO AS TO REMOVE WHITE PERCH FROM THE LIST OF GAME FISH IN THIS STATE.
H. 4548 (Word version) -- Reps. Umphlett, Cobb-Hunter, G.M. Smith, Lowe, Hutson, Jefferson, Toole, Vick, J.H. Neal, Huggins, Haley, Witherspoon, Anderson, Dantzler, Duncan, Knight, Ott, E.H. Pitts, Spires, Williams and Funderburk: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 50-13-5 SO AS TO PROVIDE FOR DEFINITIONS FOR PURPOSES OF CHAPTER 13 OF TITLE 50, RELATING TO THE PROTECTION OF FISH; BY ADDING SECTION 50-13-221 SO AS TO PROVIDE FOR CATCH LIMITS, LENGTH LIMITS, AND OTHER REGULATIONS PERTAINING TO STRIPED BASS TAKEN IN THE LOWER SANTEE RIVER AND COOPER RIVER SYSTEMS DURING SPECIFIED PERIODS; TO AMEND SECTION 50-9-1120, AS AMENDED, RELATING TO THE POINT SYSTEM FOR HUNTING AND FISHING VIOLATIONS, SO AS TO ADD ADDITIONAL POINTS FOR OTHER FISHING VIOLATIONS; TO AMEND SECTION 50-13-285, AS AMENDED, RELATING TO PENALTIES FOR EXCEEDING CERTAIN LIMITS, SO AS TO FURTHER PROVIDE FOR THE MANNER IN WHICH THESE PENALTIES APPLY; AND TO REPEAL SECTIONS 50-13-220, 50-13-230, AND 50-13-235 RELATING TO STRIPED BASS CATCH AND TAKING REQUIREMENTS.
Senator GREGORY asked unanimous consent to make a motion to take up further amendments pursuant to the provisions of Rule 26B.
There was no objection.
The Senate proceeded to a consideration of the Bill, the question being the third reading of the Bill.
Senator McCONNELL proposed the following amendment (GJK\20688SD08), which was adopted:
Amend the bill, as and if amended, by adding a new SECTION appropriately numbered to read:
/SECTION ____. The Department of Natural Resources shall review the high mortality rates of fingerlings and make a report to the chairmen of the Senate Fish, Game and Forestry Committee and the House Agriculture, Natural Resources and Environmental Affairs Committee on its recommendations and actions to improve these rates within eighteen months after the effective date of this act. /
Renumber sections to conform.
Amend title to conform.
Senator GREGORY explained the amendment.
The amendment was adopted.
There being no further amendments, the Bill was read the third time, passed and ordered returned to the House of Representatives with amendments.
The following Bills were read the third time and ordered sent to the House of Representatives:
S. 488 (Word version) -- Senators Ryberg and Anderson: A BILL TO PROVIDE THAT THE STATE SHALL FOREGO ANY COMMISSION OR OTHER SOURCE OF REVENUE DERIVED FROM THE PLACEMENT OF PAY TELEPHONES IN INSTITUTIONS OF THE DEPARTMENT OF CORRECTIONS AND THE DEPARTMENT OF JUVENILE JUSTICE FOR THE USE OF INMATES AND TO PROVIDE THAT THE STATE BUDGET AND CONTROL BOARD SHALL ENSURE THAT THE TELEPHONE RATES CHARGED FOR THE USE OF THESE PAY PHONES REASONABLY REFLECT THIS FOREGONE STATE REVENUE.
S. 638 (Word version) -- Senators Campsen, Fair, Bryant, Vaughn, Hawkins, Alexander, Grooms, Sheheen, Setzler, Cromer, McConnell, Land, Verdin, Peeler, Hayes, Ritchie, Anderson, Thomas, Scott, Martin, Knotts, Ryberg, Ceips, O'Dell and McGill: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 6-1-160 SO AS TO ENACT THE "SOUTH CAROLINA PUBLIC INVOCATION ACT" TO ALLOW A GOVERNING BODY OF A STATE OR LOCAL GOVERNMENT BODY TO ADOPT, BY ORDINANCE, RESOLUTION, OR POLICY STATEMENT, A POLICY THAT PRESERVES THE TRADITION OF SOLEMNIZING PUBLIC PROCEEDINGS BY ALLOWING FOR AN OPENING INVOCATION USING ONE OF THREE METHODS AND TO DEFINE "PUBLIC INVOCATION" AND "DELIBERATIVE PUBLIC BODY".
On motion of Senator MALLOY, with unanimous consent, the name of Senator MALLOY was added as a co-sponsor of S. 638.
S. 1130 (Word version) -- Senator Thomas: A BILL TO AMEND SECTION 38-5-120, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE REVOCATION OR SUSPENSION OF LICENSE OF AN INSURER AND ITS OFFICERS AND AGENTS AND THE PUBLICATION OF THE NOTICE, SO AS TO PROVIDE A PROCEDURE FOR AN AGGRIEVED INSURER TO REQUEST A HEARING BEFORE THE DIRECTOR OR HIS DESIGNEE AND PROVIDE RECOURSE THROUGH JUDICIAL REVIEW; TO AMEND SECTION 38-7-90, RELATING TO THE RETALIATORY TAXES, PENALTIES, INTEREST, AND FEES, SO AS TO CLARIFY THAT THE FEES, TAXES, AND OBLIGATIONS MUST BE BASED UPON THE COMPARISON OF THE AGGREGATE REQUIREMENTS IMPOSED BY AND PAID TO THIS STATE TO THE SAME IMPOSED BY AND PAID TO THE OTHER STATE; AND TO AMEND SECTION 38-21-95, RELATING TO THE APPROVAL, CONDITIONS, AND REQUIREMENTS FOR ACQUISITION OF A DOMESTIC INSURER BY A CONTROLLING PRODUCER, SO AS TO REDEFINE A PORTION OF THE DEFINITION OF "CONTROLLING PRODUCER".
Senator RANKIN asked unanimous consent to take the Bill up for immediate consideration.
There was no objection.
Senator RANKIN asked unanimous consent to make a motion to take up further amendments pursuant to the provisions of Rule 26B.
There was no objection.
The Senate proceeded to a consideration of the Bill, the question being the third reading of the Bill.
Senator RANKIN proposed the following amendment (JUD1130.004), which was adopted:
Amend the bill, as and if amended, page 6, after line 34, by adding appropriately numbered SECTIONS to read:
/ SECTION ___. Section 38-3-110(5), as last amended by Act 78 of 2007, is further amended to read:
"(5) The director must hold a public hearing at least annually at a location within the seacoast area, as defined in Section 38-75-310(7), and at a time to ensure maximum attendance and not to conflict with regular work hours in order to provide the public with information and an opportunity to discuss and offer input concerning the rates, territory, and other pertinent issues regarding the South Carolina Wind and Hail Underwriting Association. The director must provide notice of the public hearing in newspapers of general circulation within the seacoast area and through all other media sources within the seacoast area, including television and radio, at least thirty days before the date of the public hearing. The director must submit a report to the President Pro Tempore of the Senate and the Speaker of the House of Representatives by no later than January thirty-first of each year regarding the status of the South Carolina Wind and Hail Underwriting Association, including any recommended modifications to statutory or regulatory law regarding the operation of the South Carolina Wind and Hail Underwriting Association and its territory."
SECTION ___. Section 38-73-1095(C), as last amended by Act 78 of 2007, is further amended to read:
"(C) Rating plans for essential property insurance in the coastal area or in the seacoast area, shall include discounts and credits or surcharges and debits calculated upon the following rating factors:
(1) use of storm shutters;
(2) use of roof tie downs;
(3) construction standards;
(4) building codes;
(5) distance from water;
(6) elevation;
(7) flood insurance;
(8) policy deductibles; and
(9) other applicable factors requested by the insurer or rating organization or selected by order of the director involving the risk or hazard. An order issued pursuant to this section must comply with the requirements of Section 1-23-140.
The department may by regulation define how the implementation of these factors qualify for credits or discounts. The regulation must specify what evidence or proof the policyholder or applicant shall present to obtain the credit or discount. This section applies to policies issued or renewed in the coastal area or in the seacoast area after December 31, 2007, and this section applies to policies issued and renewed in all other areas of the State after October 31, 2008." /
Renumber sections to conform.
Amend title to conform.
Senator RANKIN explained the amendment.
The amendment was adopted.
There being no further amendments, the Bill was read the third time, passed and ordered sent to the House of Representatives with amendments.
At 12:23 P.M., Senator McCONNELL assumed the Chair.
The following Bills, having been read the second time, were ordered placed on the Third Reading Calendar:
S. 773 (Word version) -- Senators Hawkins and Ritchie: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLE 77 TO CHAPTER 3, TITLE 56 SO AS TO PROVIDE THAT THE DEPARTMENT OF MOTOR VEHICLES SHALL ISSUE SPECIAL MOTOR VEHICLE LICENSE PLATES TO CERTAIN OFFICIALS ASSOCIATED WITH THE STORM EYE INSTITUTE FOR PRIVATE PASSENGER MOTOR VEHICLES OWNED BY THEM.
S. 862 (Word version) -- Senators Thomas, Leventis, McGill and Knotts: A BILL TO AMEND SECTION 47-3-630, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE PENALTIES FOR INJURING A POLICE DOG OR HORSE, SO AS TO INCREASE THE PENALTY FOR TORTURING, MUTILATING, INJURING, DISABLING, POISONING, OR KILLING A POLICE DOG OR HORSE.
S. 1076 (Word version) -- Senators McConnell, Alexander, Peeler, Rankin, Hutto, Martin, Land, Leventis, Hayes, Setzler, Ceips, Ford, Williams and Malloy: A BILL TO AMEND CHAPTER 4, TITLE 58, CODE OF LAWS OF SOUTH CAROLINA, RELATING TO THE OFFICE OF REGULATORY STAFF, BY ADDING SECTION 58-4-140 SO AS TO CREATE A CREATE A NON-PROFIT ENTITY NAMED OPERATION EMPOWERED IN ORDER TO PROVIDE FINANCIAL ASSISTANCE TO LOW-INCOME HOUSEHOLDS TO IMPLEMENT ENERGY EFFICIENCY AND CONSERVATION MEASURES.
On motion of Senator KNOTTS, with unanimous consent, the name of Senator KNOTTS was added as a co-sponsor of S. 1076.
S. 1158 (Word version) -- Senators Hayes, Sheheen, Gregory, Short and Peeler: A BILL TO AMEND SECTION 49-29-230, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO SCENIC RIVER DESIGNATIONS, SO AS TO DESIGNATE A PORTION OF THE CATAWBA RIVER AS A SCENIC RIVER.
S. 1210 (Word version) -- Senator Leatherman: A BILL TO AMEND SECTION 49-29-230(4) OF THE 1976 CODE, RELATING TO SCENIC RIVERS, TO EXPAND THE PORTION OF LYNCHES RIVER THAT IS DESIGNATED AS A SCENIC RIVER.
S. 1224 (Word version) -- Senator Leatherman: A BILL TO AMEND CHAPTER 133, TITLE 59 OF THE 1976 CODE RELATING TO FRANCIS MARION UNIVERSITY, BY ADDING ARTICLE 3 TO PROVIDE FOR FRANCIS MARION UNIVERSITY ATHLETIC FACILITIES REVENUE BONDS.
S. 1232 (Word version) -- Senators Cleary and Rankin: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLE 4, TO CHAPTER 10 OF TITLE 4, ENACTING THE "EDUCATION CAPITAL IMPROVEMENTS SALES AND USE TAX ACT" SO AS TO ALLOW A ONE PERCENT LOCAL SALES AND USE TAX TO BE IMPOSED IN A COUNTY FOR NOT MORE THAN FIFTEEN YEARS UPON REFERENDUM APPROVAL WITH THE REVENUES OF THE TAX USED BY THE COUNTY'S SCHOOL DISTRICT BOARD OF TRUSTEES TO PAY FOR SPECIFIC PUBLIC SCHOOL CAPITAL IMPROVEMENTS IN THE COUNTY AND TO PROVIDE A METHOD WHEREBY REVENUE OF THE TAX MAY BE SHARED FOR THE PURPOSES OF SPECIFIC CAPITAL IMPROVEMENTS ON THE CAMPUSES OF A TECHNICAL COLLEGE OR OTHER STATE INSTITUTION OF HIGHER LEARNING LOCATED IN THE COUNTY, TO PROVIDE FOR THE REFERENDUM REQUIRED FOR THE IMPOSITION OF THE TAX, THE DURATION OF THE TAX, NOT TO EXCEED FIFTEEN YEARS, AND TO PROVIDE FOR THE ADMINISTRATION OF THE TAX AND THE DISTRIBUTION OF THE REVENUE.
H. 3543 (Word version) -- Reps. Funderburk and Mulvaney: A BILL TO AMEND SECTION 40-23-230, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE ISSUANCE, RENEWAL, AND REINSTATEMENT OF A LICENSE ISSUED BY THE ENVIRONMENTAL CERTIFICATION BOARD, AMONG OTHER THINGS, SO AS TO CHANGE THE PERIOD IN WHICH A LICENSEE MAY FILE AN APPLICATION TO REINSTATE A LAPSED LICENSE FROM NINETY DAYS TO THREE HUNDRED SIXTY FIVE DAYS, AND TO REQUIRE THAT AN APPLICANT SEEKING REINSTATEMENT OF A LAPSED LICENSE MEET CERTAIN CONTINUING EDUCATION REQUIREMENTS.
H. 4774 (Word version) -- Reps. Littlejohn, Brantley, Whipper, Anthony, Bales, Bowers, Breeland, Clyburn, Erickson, Hardwick, Herbkersman, Hodges, Hosey, Jefferson, Kelly, Loftis, Lowe, Mack, Mahaffey, Owens, Phillips, Rice, W.D. Smith, Williams and Witherspoon: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 12-6-3750 SO AS TO PROVIDE FOR A NONREFUNDABLE INCOME TAX CREDIT FOR ANY MEAT PACKER, BUTCHER, OR PROCESSING PLANT LICENSED OR PERMITTED BY THIS STATE OR THE UNITED STATES DEPARTMENT OF AGRICULTURE THAT, DURING THE TAX YEAR FOR WHICH THE CREDIT IS CLAIMED, HAD A VALID CONTRACT WITH A NONPROFIT ORGANIZATION TO PROCESS DEER FOR DONATION TO ANY CHARITABLE ORGANIZATION ENGAGED IN DISTRIBUTING FOOD TO THE NEEDY, AND TO PROVIDE THAT THE AMOUNT OF THE CREDIT SHALL BE FIFTY DOLLARS FOR EACH CARCASS PROCESSED AND DONATED.
Senator O'DELL explained the Bill.
S. 808 (Word version) -- Senators Hawkins, Hayes, Thomas and Ceips: A BILL TO AMEND CHAPTER 7, TITLE 20 OF THE 1976 CODE, TO ENACT THE MILITARY PARENT EQUAL PROTECTION ACT, TO PROVIDE THAT A MILITARY PARENT'S MILITARY SERVICE SHALL NOT BE CONSIDERED A CHANGE IN CIRCUMSTANCE FOR PURPOSES OF CHILD CUSTODY AND VISITATION, TO PROVIDE THAT THE CUSTODIAL NON-MILITARY PARENT MUST REASONABLY ACCOMMODATE THE MILITARY PARENT'S LEAVE SCHEDULE, TO PROVIDE THAT THE FAMILY COURT MAY HOLD AN EXPEDITED TEMPORARY HEARING TO ENSURE THAT THE MILITARY PARENT HAS ACCESS TO A MINOR CHILD, AND TO PROVIDE THAT ANY INCREASE OR DECREASE IN EARNING CAPACITY DUE TO MILITARY SERVICE IS NOT CONSIDERED A PERMANENT CHANGE.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Judiciary.
The Committee on Judiciary proposed the following amendment (JUD0808.003), which was adopted:
Amend the bill, as and if amended, by striking all after the enacting language and inserting therein the following:
/ SECTION 1. Chapter 7, Title 20 of the 1976 Code is amended by adding:
Military Parent Equal Protection
Section 20-7-9900. This article may be cited as the 'Military Parent Equal Protection Act'.
Section 20-7-9910. For purposes of this article:
(A)(1) In the case of a parent who is a member of the Army, Navy, Air Force, Marine Corps, Coast Guard, or a Reserve component of these services, 'military service or service' means a deployment for combat operations, a contingency operation, or a natural disaster based on orders that do not permit any family member to accompany the member on the deployment.
(2) In the case of a parent who is a member of the National Guard, 'military service or service' means service under a call to active service authorized by the President of the United States or the Secretary of Defense for a period of more than thirty consecutive days pursuant to 32 U.S.C. 502(f) for purposes of responding to a national emergency declared by the President and supported by federal funds.
'Military service or service' includes any period during which a military parent remains subject to deployment orders and remains deployed on account of sickness, wounds, leave, or other lawful cause.
(B) 'Military parent' means a natural parent or adoptive parent of a child under the age of eighteen whose parental rights have not been terminated by a court of competent jurisdiction.
Section 20-7-9920. (A) If a military parent is required to be separated from a child due to military service, a court shall not enter a final order modifying any terms establishing custody or visitation contained in an existing order until ninety days after the military parent is released from military service. A military parent's absence or relocation because of military service must not be the sole factor supporting a change in circumstance or grounds sufficient to support a permanent modification of the custody or visitation terms established in an existing order.
(B) An existing order establishing the terms of custody or visitation in place at the time a military parent is called to military service may be temporarily modified to make reasonable accommodation for the parties because of the military parent's service. Any temporary modification automatically terminates when the military parent is released from service and, upon release, the original terms of the custody or visitation order in place at the time the military parent was called to military service are automatically reinstated.
(C) Any temporary modification order issued pursuant to this section must provide that the military parent has custody of the child or reasonable visitation, whichever is applicable pursuant to the original order, with the child during any period of leave granted to the military parent during their military service. If a temporary modification order is not issued pursuant to this section, the non-military custodial parent shall make the child or children reasonably available to the military parent when the military parent has leave to ensure that the military parent has reasonable visitation and is able to visit the child or children.
(D) If there is no existing order establishing the terms of custody or visitation and it appears that military service is imminent, upon motion by either parent, the court shall expedite a temporary hearing to establish temporary custody or visitation to ensure the military parent has access to the child, to establish support, and provide other appropriate relief.
Section 20-7-9930. (A) If a military parent is called to military service, either parent may file a notice of activation of military service and petition to modify a support order. In the petition, the parent must cite the basis for modifying the support order and the military parent's change in financial circumstances supporting the petition.
(B) The court shall temporarily modify the amount of child support for the duration of the military parent's military service based on any changes in income and earning capacity of the military parent during military service. An increase or decrease in income or earning capacity of a military parent due to military service may only be used to calculate support during the period of military service and must not be considered a permanent increase in wages or earning capacity. The effective date for any temporary modification must be the date the military parent begins military service.
(C) Upon return from military service, the military parent's child support obligation prior to any temporary modification is automatically reinstated, effective on the date the military parent is released from service. Within ninety days of the military parent's release from service, either parent may make a subsequent request for modification to correspond to any change in the military parent's nonservice related income or earning capacity. Any modification must be based upon the income or earning capacity of the military parent following the period of military service.
(D) Except for modifying a child support obligation during military service pursuant to this section, a military parent's income during military service must not be used to determine the military parent's income or earning capacity.
Section 20-7-9940. (A) Military necessity may preclude court adjudication before mobilization, and the parties are encouraged to negotiate mutually agreeable arrangements prior to mobilization.
(B) The non-military parent and the military parent shall cooperate with each other in an effort to reach a mutually agreeable resolution of custody, visitation, and child support. Each party shall provide information to each other in an effort to facilitate agreement on custody, visitation, and child support.
(C) Any provision of custody, visitation, or child support agreed to by the parties pursuant to this section must not be deemed a substantial change of circumstances in any action for custody, visitation, or child support which occurs subsequent to termination of the military parent's military service. Any negotiation of the parties concerning custody, visitation, and child support related to the military service conducted pursuant to this section are deemed settlement negotiations and are not admissible in custody, visitation, and child support actions between the parties after termination of the military parent's military service.
Section 20-7-9950. In making determinations under this article, the court may award attorney's fees and costs based on the court's consideration of:
(1) the failure of either party to reasonably accommodate the other party in custody, visitation, and support matters related to a military parent's service;
(2) unreasonable delay caused by either party in resolving custody, visitation, and support matters related to a military parent's service;
(3) failure of either party to timely provide income and earnings information to the other party; and
(4) other factors as the court may consider appropriate and as may be required by law."
SECTION 2. Chapter 1, Title 15 of the 1976 Code is amended by adding:
"Section 15-1-340. (A) A service member who is entitled to a stay in civil proceedings pursuant to the Service Members Civil Relief Act, 50 U.S.C. App. Section 501, et seq. may elect to proceed while the service member is reasonably unavailable to appear in the geographical location in which the litigation is pursued and may seek relief and provide evidence through video-conferencing, internet camera, email, or any other reasonable electronic means. Any testimony presented must be made under oath, in a manner viewable by all parties, and in the presence of a court reporter. In matters when a party who is physically present in the State is permitted to use affidavits or seek temporary relief, the service member may submit testimony by affidavit.
(B) The court must allow a party to proceed pursuant to this section unless an opposing party establishes a compelling reason not to proceed by clear and convincing evidence. The court must allow a party to present evidence pursuant to a method provided by this section unless an opposing party established that the method will cause a substantial injustice, deny effective cross examination, deny the right to confront the witness, or abridge any other constitutional right."
SECTION 3. This act takes effect upon approval by the Governor./
Amend title to conform.
Senator RITCHIE explained the committee amendment.
The committee amendment was adopted.
There being no further amendments, the Bill was read the second time, passed and ordered to a third reading.
On motion of Senator KNOTTS, with unanimous consent, the names of Senators KNOTTS, LEVENTIS, RITCHIE, FAIR and BRYANT were added as co-sponsors of S. 808.
S. 1006 (Word version) -- Senators Ritchie, McConnell, Setzler, Leventis, Knotts, Lourie, Hutto, Martin, Hayes, Ceips, Reese, Elliott, Hawkins, Fair and Bryant: A BILL TO AMEND CHAPTER 1, TITLE 23 OF THE 1976 CODE, BY ADDING SECTION 23-1-235 TO PROVIDE THAT A SPOUSE OR DEPENDENT OF A LAW ENFORCEMENT OFFICER OR FIREFIGHTER KILLED IN THE LINE OF DUTY MAY CONTINUE TO RECEIVE HEALTH AND DENTAL BENEFITS.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Finance.
Senator FAIR proposed the following amendment (1006R003.MLF), which was adopted:
Amend the committee amendment, as and if amended, page [1006-1], by striking line 26 and inserting:
/ covered by the state health or dental plan of a state law enforcement /
Amend the bill further, as and if amended, page [1006-1], by striking line 41 and inserting:
/ dental plan, provided by the political subdivision, of a local law enforcement officer or local firefighter /
Renumber sections to conform.
Amend title to conform.
Senator ALEXANDER explained the perfecting amendment.
The perfecting amendment was adopted.
The Committee on Finance proposed the following amendment (1006R002.JHR), which was adopted:
Amend the bill, as and if amended, by striking lines 24 - 39 and inserting:
/ "Section 23-1-235. (A) A spouse or dependent of a person covered by a health or dental plan of a state law enforcement officer who is killed in the line of duty after January 1, 2007, shall receive equivalent coverage under the plans provided for by the law enforcement for a period of twelve months and the State shall be responsible for paying the full premium costs to the appropriate agency. Notwithstanding Section 1-11-730(E), after the twelve-month period, the State must continue to pay the appropriate state agency the amount of the premium that the agency paid during the officer's or firefighter's employment and may pay the full premium costs. The spouse or dependent must pay any remaining portion of the premium. A spouse is eligible for premiums paid under this section until the spouse remarries. A dependent is eligible for premiums paid under this section until the dependent's eligibility for coverage under the plans would ordinarily terminate.
(B) A spouse or dependent of a person covered by a health or dental plan of a local law enforcement officer or local firefighter who is killed in the line of duty after January 1, 2007, may receive equivalent coverage under the plans provided for by the law enforcement or firefighting agency for a period of twelve months and the political subdivision may pay the full premium costs. After the twelve-month period, the political subdivision where the officer or firefighter was employed may pay the amount of the premium paid by the political subdivision during the officer's or firefighter's employment. The spouse or dependent must pay the remaining portion of the premium. A spouse is eligible for premiums paid under this section until the spouse remarries. A dependent is eligible for premiums paid under this section until the dependent's eligibility for coverage under the plans would ordinarily terminate." /
Renumber sections to conform.
Amend title to conform.
The committee amendment was adopted.
There being no further amendments, the Bill was read the second time, passed and ordered to a third reading.
S. 241 (Word version) -- Senators Lourie, Knotts, Reese, Leventis, Jackson, Thomas, Pinckney, McGill, Hutto, Sheheen, Williams, Matthews, Patterson, Cromer, Scott, Setzler and Bryant: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 9-16-55 SO AS TO REQUIRE THE RETIREMENT SYSTEM INVESTMENT COMMISSION, ACTING CONSISTENTLY WITH ITS FIDUCIARY RESPONSIBILITY, TO DIVEST ITS PORTFOLIO OF INVESTMENTS IN COMPANIES THAT IN THEIR OPERATIONS ARE COMPLICIT WITH THE GOVERNMENT OF SUDAN IN THE DARFUR GENOCIDE AND PROHIBIT FUTURE INVESTMENTS BY THE COMMISSION IN SUCH COMPANIES, TO PROVIDE DEFINITIONS AND PROCEDURES RELATING TO THE IMPLEMENTATION OF THESE REQUIREMENTS, TO INDEMNIFY MEMBERS, OFFICERS, AND EMPLOYEES OF THE STATE BUDGET AND CONTROL BOARD AND THE RETIREMENT SYSTEM INVESTMENT COMMISSION FROM CLAIMS ARISING FROM IMPLEMENTATION OF THIS SECTION, AND TO PROVIDE FOR THE CIRCUMSTANCES UNDER WHICH PROVISIONS OF THIS SECTION NO LONGER SHALL APPLY.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Finance.
The Committee on Finance proposed the following amendment (241R001.HKL), which was adopted:
Amend the bill, as and if amended, by striking the bill in its entirety and inserting:
TO AMEND ARTICLE 1, CHAPTER 16, TITLE 9 OF THE 1976 CODE, BY ADDING SECTION 9-16-55, TO REQUIRE THE RETIREMENT SYSTEM INVESTMENT COMMISSION, ACTING CONSISTENTLY WITH ITS FIDUCIARY RESPONSIBILITY, TO DIVEST ITS PORTFOLIO OF INVESTMENTS IN CERTAIN COMPANIES THAT IN THEIR OPERATIONS ARE COMPLICIT WITH THE GOVERNMENT OF SUDAN IN THE DARFUR GENOCIDE AND TO PROHIBIT FUTURE INVESTMENTS BY THE COMMISSION IN SUCH COMPANIES.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. The General Assembly finds that:
(1) The Congress of the United States has declared that genocide is occurring in the Darfur region of Sudan.
(2) Investing public retirement funds in business firms and institutions with ties to the repressive regime in Sudan is inconsistent with the moral and political values of the people of South Carolina.
(3) Divestment is a course of last resort that should be used sparingly and under extraordinary circumstances and that the genocide occurring in the Sudan is reprehensible and abhorrent and requires special circumstance.
SECTION 2. Article 1, Chapter 16, Title 9 of the 1976 Code is amended by adding:
"Section 9-16-55. (A) As used in this section:
(1) 'Active business operations' means a company engaged in business operations that provide revenue to the government of Sudan or a company engaged in oil-related activities.
(2) 'Business operations' means maintaining, selling, or leasing equipment, facilities, personnel, or any other apparatus of business or commerce in Sudan, including the ownership or possession of real or personal property located in Sudan.
(3) 'Commission' means the Retirement System Investment Commission.
(4) 'Company' means a sole proprietorship, organization, association, corporation, partnership, venture, or other entity, its subsidiary or affiliate that exists for profit-making purposes or to otherwise secure economic advantage. 'Company' also means a company owned or controlled, either directly or indirectly, by the government of Sudan, that is established or organized under the laws of or has its principal place of business in the Republic of the Sudan.
(5) 'Government of Sudan' means the government of Sudan or its instrumentalities as further defined in the Darfur Peace and Accountability Act of 2006.
(6) 'Invest' or 'investment' means the purchase, ownership, or control of stock of a company, association, or corporation, the capital stock of a mutual water company or corporation, bonds issued by the government or a political subdivision of Sudan, corporate bonds, or other debt instruments issued by a company. It does not include indirect beneficial ownership through index funds, commingled funds, limited partnerships, derivative instruments, or the like.
(7) 'Military equipment' means weapons, arms, or military defense supplies.
(8) 'Oil-related activities' means, but is not limited to, the export of oil, extracting or producing oil, exploration for oil, or the construction or maintenance of a pipeline, refinery, or other oil field infrastructure.
(9) 'Public employee retirement funds' means those assets as defined in Section 9-16-10(1).
(10) 'Substantial action' means a boycott of the government of Sudan, curtailing business in Sudan until that time described in subsection (E), selling company assets, equipment, or real and personal property located in Sudan, or undertaking significant humanitarian efforts in the eastern, southern, or western regions of Sudan.
(11) 'Sudan' means the Republic of the Sudan, a territory under the administration or control of the government of Sudan, including, but not limited to, the Darfur region, or an individual, company, or public agency located in Khartoum, northern Sudan, or the Nile River Valley that supports the Republic of the Sudan.
(B) The commission shall not invest public employee retirement funds in a company with business operations in Sudan if:
(1)(a) the company is engaged in active business operations in Sudan; or
(b) the company is not engaged in oil-related activities and lacks significant business operations in the eastern, southern, and western regions of Sudan; and
(2)(a) the company is engaged in oil-related activities or energy or power-related operations, or contracts with another company with business operations in the oil, energy, and power sectors of Sudan, and the company has failed to take substantial action related to the government of Sudan because of the Darfur genocide; or
(b) the company has demonstrated complicity in the Darfur genocide.
(C) Notwithstanding subsection (B), the commission shall not invest public employee retirement funds in a company that supplies military equipment within the borders of Sudan. If a company provides equipment within the borders of Sudan that may be readily used for military purposes, including, but not limited to, radar systems and military-grade transport vehicles, there is a strong presumption against investing in that company unless that company implements safeguards to prevent the use of that equipment for military purposes.
(D)(1) Nothing in this section requires the commission to take action as described in this section unless the commission determines, in good faith, that the action described in this section is consistent with the fiduciary responsibilities of the commission as described in this chapter and there are appropriated funds of the State to absorb the expenses of the commission to implement this section.
(2) Subsection (B) does not apply to:
(a) investments in a company that is primarily engaged in supplying goods or services intended to relieve human suffering in Sudan;
(b) investments in a company that promotes health, education, journalistic, or religious activities in or welfare in the western, eastern, or southern regions of Sudan;
(c) investments in a United States company that is authorized by the federal government to have business operations in Sudan.
(E) The restrictions provided for in this section apply only until:
(1) the government of Sudan halts the genocide in Darfur for twelve months as determined by both the Department of State and the Congress of the United States; or
(2) the United States revokes its current sanctions against Sudan.
(F) Present, future, and former board members, officers, and employees of the State Budget and Control Board, the Retirement System Investment Commission, and contract investment managers retained by the commission must be indemnified from the general fund of the State and held harmless by the State from all claims, demands, suits, actions, damages, judgments, costs, charges, and expenses, including court costs and attorney's fees, and against all liability, losses, and damages of any nature whatsoever that these present, future, or former board members, officers, employees, or contract investment managers shall or may at any time sustain by reason of any decision to restrict, reduce, or eliminate investments pursuant to this section."
SECTION 3. This act takes effect upon approval by the Governor./
Renumber sections to conform.
Amend title to conform.
Senator ALEXANDER explained the committee amendment.
The committee amendment was adopted.
There being no further amendments, the Bill was read the second time, passed and ordered to a third reading.
S. 401 (Word version) -- Senators Setzler and Leatherman: A BILL TO AMEND SECTION 11-35-310, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEFINITIONS FOR PURPOSES OF THE CONSOLIDATED PROCUREMENT CODE, SO AS TO DELETE THE DEFINITION FOR "OFFICE"; AND TO AMEND SECTION 11-35-1524, RELATING TO VENDOR PREFERENCES, SO AS TO PROVIDE FOR PREFERENCES FOR END PRODUCTS FROM SOUTH CAROLINA AND FROM THE UNITED STATES AND FOR CONTRACTORS AND SUBCONTRACTORS WHO EMPLOY INDIVIDUALS DOMICILED IN SOUTH CAROLINA, TO DEFINE CERTAIN TERMS, PROVIDE FOR ELIGIBILITY REQUIREMENTS FOR THE PREFERENCES, PROVIDE FOR APPLICATION FOR THE PREFERENCES AND PENALTIES FOR FALSE APPLICATION, AND TO MAKE EXCEPTIONS TO THE PREFERENCES.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Finance.
The Committee on Finance proposed the following amendment (401R003.WHO), which was adopted:
Amend the bill, as and if amended, by deleting all after the enacting words and inserting:
/ SECTION 1. Section 11-35-310(22) of the 1976 Code, as added by Act 153 of 1997, is amended to read:
"(22) 'Office' means a nonmobile place for the regular transaction of business or performance of a particular service and staffed by at least one employee on a routine basis. Reserved."
SECTION 2. Section 11-35-1524 of the 1976 Code, as last amended by Act 333 of 2002, is further amended to read:
"Section 11-35-1524. (A) A preference of seven percent must be provided to vendors who are residents of South Carolina or whose products are made, manufactured, or grown in South Carolina as set forth in this section.
(B) As used in this section, unless the context indicates otherwise, the terms below have the following meanings:
(1) 'Made' means to assemble, fabricate, or process component parts into a finished end-product, the value of which assembly, fabrication or processing is a significant portion of the value of the finished end-product.
(2) 'Manufacture' means to make or process raw materials into a finished end-product.
(3) 'Grown' means to produce, cultivate, raise, or harvest timber, agricultural produce, or livestock on the land, or to cultivate, raise, catch, or harvest products or food from the water which results in an end-product that is locally derived from the product cultivated, raised, caught, or harvested.
(4) 'End-product' means the item sought by the governmental body of the State and described in the solicitation including all component parts and in final form and ready for the use intended by the governmental body.
(5) 'Unreasonable Cost' means:
(a) the cost of an item from a resident vendor or an end-product made, manufactured, or grown in South Carolina is unreasonable if the bid exceeds by more than seven percent the lowest qualified bid on the same item or end-product which is made, manufactured, or grown in other states of the United States, or in a foreign country or territory;
(b) the cost of an end-product made, manufactured, or grown in other states of the United States is unreasonable if the bid exceeds by more than two percent the lowest qualified bid on the same or similar end-product which is made, manufactured, or grown in a foreign country or territory;
(6) 'Resident vendor' means a vendor who is considered to be a resident of this State if the vendor:
(a) is an individual, partnership, association, or corporation that is authorized to transact business within the State,
(b) maintains an office in the State,
(c) maintains an inventory for expendable items which are representative of the general type of commodities on which the bid is submitted and located in South Carolina at the time of the bid having a total value of ten thousand dollars or more based on the bid price, but not to exceed the amount of the contract, or is a manufacturer which is headquartered and has at least a ten million dollar payroll in South Carolina and the product is made or processed from raw materials into a finished end-product by such manufacturer or an affiliate (as defined in Section 1563 of the Internal Revenue Code) of such manufacturer, and
(d) has paid all assessed taxes.
(C) Application. Competitive procurements made by governmental bodies shall be made from vendors resident to South Carolina or vendors who bid end-products made, manufactured, or grown in South Carolina or in the United States if available, provided that (1) the bidder has certified in writing in the bid that he or she is resident to the State, or (2) the bidder has certified in writing in the bid that the end-product was made, manufactured, or grown in South Carolina or in the United States, (3) the end-product is available, and (4) the cost of the end-product is not unreasonable. In order to receive the award the vendor must be a responsible and responsive bidder, and the bid must otherwise comply with the Procurement Code and Regulations.
In the case of a request for resident vendor status, this requirement shall apply to the entire solicitation. In the case of a request for end-product status, this requirement shall apply to each line item or each lot in a solicitation to which a separate, responsive bid may be made.
(D) Exceptions. This section shall not apply:
(1) to any procurements conducted under Article 9 of the 1976 Code;
(2) to any prime contractor or subcontractor providing materials or services relating to permanent improvements to real estate;
(3) to any solicitation, bid, offer, or procurement when the price of a single unit of the end-product is more than thirty thousand dollars, whether or not more than one unit is bid or offered;
(4) to any solicitation, bid, offer, or procurement where the contract award is less than ten thousand dollars;
(5) to any solicitation conducted under Section 11-35-1530 of the 1976 Code; or
(6) to any solicitation, bid, offer, or procurement of motor vehicles as defined in Section 56-15-10.
(E) Enforcement. A bidder shall be suspended or debarred from doing business with the State in accordance with Section 11-35-4220 of the South Carolina Consolidated Procurement Code if the chief procurement officer determines that the certification made by the bidder as to the resident vendor request or the origin of the end-product was filed under false pretenses and is not valid. In addition, if the bidder with the invalid certification of origin was awarded the contract, he shall also pay the State of South Carolina the amount by which the bid based on the invalid certification exceeded the lowest responsible and responsive bid that would have been selected but for the invalid certification.
If a bidder has not requested the preference, he will neither be entitled to claim any preference against another bidder nor will he be protected from application of another bidder's claim to a preference against his bid in determining contract award.
(F) If a vendor qualifies as a resident vendor and is bidding a product made, manufactured, or grown in South Carolina, an additional three percent preference must be given if claimed by the bidder (A) For purposes of this section:
(1) 'End product' means the tangible product described in the solicitation including all component parts and in final form and ready for the state's intended use.
(2) 'Grown' means to produce, cultivate, raise, or harvest timber, agricultural produce, or livestock on the land, or to cultivate, raise, catch, or harvest products or food from the water which results in an end product that is locally derived from the product cultivated, raised, caught, or harvested.
(3) 'Labor cost' means salary and fringe benefits.
(4) 'Made' means to assemble, fabricate, or process component parts into an end product, the value of which, assembly, fabrication, or processing is a substantial portion of the price of the end product.
(5) 'Manufactured' means to make or process raw materials into an end product.
(6) 'Office' means a nonmobile place for the regular transaction of business or performance of a particular service which has been operated as such by the bidder for at least one year before the bid opening and during that year the place has been staffed for at least fifty weeks by at least two employees for at least thirty-five hours a week each.
(7) 'Services' means services as defined by Section 11-35-310(29) and also includes services as defined in Section 11-35-310(1)(d).
(8) 'South Carolina end product' means an end product made, manufactured, or grown in South Carolina.
(9) 'United States end product' means an end product made, manufactured, or grown in the United States of America.
(B)(1) When evaluating pricing for purposes of making an award determination, the procurement officer shall decrease by seven percent the price of any offer for a South Carolina end product.
(2) When evaluating pricing for purposes of making an award determination, the procurement officer shall decrease by two percent the price of any offer for a United States end product. This preference does not apply to an item to which the South Carolina end product preference has been applied.
(3) Whether award is to be made by item or lot, the preferences must be applied to the price of each line item of end product. A preference must not be applied to an item for which a bidder does not qualify.
(4) If a contract is awarded to a bidder that received the award as a result of the South Carolina end product or United States end product preference, the contractor may not substitute a nonqualifying end product for a qualified end product. A substitution in violation of this item is grounds for debarment pursuant to Section 11-35-4220. If a contractor violates this provision, the State may terminate the contract for cause and, in addition, the contractor shall pay to the State an amount equal to twice the difference between the price paid by the State and the bidder's evaluated price for a substituted item.
(5) If a bidder is requesting this preference, the bidder, upon request of the procurement officer, must provide documentation that establishes the bidder's qualifications for the preference. Bidder's failure to provide this information promptly is grounds to deny the preference and for enforcement pursuant to subsection (E)(6).
(C)(1) When evaluating pricing for purposes of making an award determination, the procurement officer shall decrease a bidder's price by seven percent if the bidder maintains an office in this State and either (i) maintains at a location in South Carolina at the time of the bid an inventory of expendable items which are representative of the general type of commodities on which the award will be made and which have a minimum total value, based on the bid price, equal to the lesser of fifty thousand dollars or the annual amount of the contract; (ii) is a manufacturer headquartered and having an annual payroll of at least one million dollars in South Carolina and the end product is made or processed from raw materials into a finished end product by that manufacturer or its affiliate (as defined in Section 1563 of the Internal Revenue Code); or (iii) at the time of bidding, directly employs or has a documented commitment with individuals domiciled in South Carolina that will perform services expressly required by the solicitation and the total direct labor cost to bidder for those individuals to provide those services exceeds fifty percent of bidder's total bid price.
(2) Whether award is to be made by item or lot, the preferences must be applied to the price of each line item of end product or work, as applicable. A preference must not be applied to an item for which a bidder does not qualify.
(3) If a bidder is requesting this preference, the bidder, upon request by the procurement officer, must provide documentation that establishes the bidder's qualifications for the preference and, for the preference claimed pursuant to subsection (C)(1)(iii), must identify the persons domiciled in South Carolina that will perform the services involved in the procurement upon which bidder relies in qualifying for the preference, the services those individuals are to perform, and documentation of the bidder's labor cost for each person identified. Bidder's failure to provide this information promptly is grounds to deny the preference and for enforcement under subsection (E)(6) below.
(D)(1) When evaluating pricing for purposes of making an award determination, the procurement officer shall decrease a bidder's price by two percent if:
(a) the bidder has a documented commitment from a single proposed first-tier subcontractor to perform some portion of the services expressly required by the solicitation; and
(b) at the time of the bidding, the subcontractor directly employs or has a documented commitment with individuals domiciled in South Carolina that will perform services expressly required by the solicitation and the total direct labor cost to subcontractor for those individuals to provide those services exceeds twenty percent of bidder's total bid price.
(2) When evaluating pricing for purposes of making an award determination, the procurement officer shall decrease a bidder's price by four percent if:
(a) the bidder has a documented commitment from a single proposed first-tier subcontractor to perform some portion of the services expressly required by the solicitation; and
(b) at the time of the bidding, the subcontractor directly employs or has a documented commitment with individuals domiciled in South Carolina that will perform services expressly required by the solicitation and the total direct labor cost to subcontractor for those individuals to provide those services exceeds forty percent of bidder's total bid price.
(3) Whether award is to be made by item or lot, the preferences must be applied to the price of each line item of work. A preference must not be applied to an item for which a bidder does not qualify.
(4) Subject to other limits in this section, an offeror may benefit from applying for more than one of, or from multiple applications of, the preferences allowed by items (1) and (2).
(5)(a) In its bid, a bidder requesting any of the preferences allowed by items (1) and (2) must identify the subcontractor to perform the work, the work the subcontractor is to perform, and the bidder's factual basis for concluding that the subcontractor's work constitutes the required percentage of the work to be performed in the procurement.
(b) If a bidder is requesting a preference allowed by items (1) or (2), upon request by the procurement officer, the bidder shall identify the persons domiciled in South Carolina that are to perform the services involved in the procurement upon which bidder relies in qualifying for the preference, the services those individuals are to perform, the employer of those persons, the bidder's relationship with the employer, and documentation of the subcontractor's labor cost for each person identified. Bidder's failure to provide this information promptly will be grounds to deny the preference and for enforcement pursuant to subsection (E)(6) below.
(c) If a contract is awarded to a bidder that received the award as a result of a preference allowed by items (1) or (2), the contractor may not substitute any business for the subcontractor on which bidder relied to qualify for the preference, unless first approved in writing by the procurement officer. A substitution in violation of this subitem is grounds for debarment pursuant to Section 11-35-4220. If a contractor violates this provision, the procurement officer may terminate the contract for cause. If the contract is not terminated, the procurement officer may require the contractor to pay the State an amount equal to twice the difference between the price paid by the State and the price offered by the next lowest bidder, unless the substituted subcontractor qualifies for the preference.
(E)(1) A business is not entitled to any preferences unless the business, to the extent required by law, has:
(a) paid all taxes assessed by the State; and
(b) registered with the South Carolina Secretary of State and the South Carolina Department of Revenue.
(2) The preferences provided in subsections (B) and (C)(1)(i) and (ii) do not apply to a single unit of an item with a price in excess of fifty thousand dollars or a single award with a total potential value in excess of five hundred thousand dollars.
(3) The preferences provided in subsections (C)(1)(iii) and (D) do not apply to a bid for an item of work by the bidder if the annual price of the bidder's work exceeds fifty thousand dollars or the total potential price of the bidder's work exceeds five hundred thousand dollars.
(4) A solicitation must provide potential bidders an opportunity to request the preferences that apply to a procurement. By submitting a bid and requesting that a preference be applied to that bid, a business certifies that its bid qualifies for the preference for that procurement. For purposes of applying this section, a bidder is not qualified for a preference unless the bidder makes a request for the preference as required in the solicitation. If a solicitation specifies which preferences, if any, apply to a procurement, the applicability of preferences to that procurement is conclusively determined by the solicitation unless the solicitation document is timely protested as provided in Section 11-35-4210. If two or more bidders are tied after the application of the preferences allowed by this section, the tie must be resolved as provided in Section 11-35-1520(9). Price adjustments required by this section for purposes of evaluation and application of the preferences do not change the actual price offered by the bidder.
(5) This section does not apply to an acquisition of motor vehicles as defined in Section 56-15-10 or an acquisition of supplies or services relating to construction. This section does not apply to a procurement conducted pursuant to Section 11-35-1550(2)(a) or (b), Section 11-35-1530, or Article 9 of Chapter 35.
(6) Pursuant to Section 11-35-4220, a business may be debarred if (i) the business certified that it qualified for a preference, (ii) the business is not qualified for the preference claimed, and (iii) the certification was made in bad faith or under false pretenses. If a contractor has invalidly certified that a preference is applicable, the chief procurement officer may terminate the contract for cause, and the chief procurement officer may require the contractor to pay the State an amount equal to twice the difference between the price paid by the State and the price offered by the next lowest bidder.
(7) The sum of all preferences allowed by items (D)(1) and (D)(2), when applied to the price of a line item of work, may not exceed six percent unless the bidder maintains an office in this State. Under no circumstances may the cumulative preferences applied to the price of a line item exceed ten percent.
(8) As used in items (C)(1)(iii), (D)(1)(b), and (D)(2)(b), the term 'documented commitment' means a written commitment by the bidder to employ directly an individual, and by the individual to be employed by the bidder, both contingent on the bidder receiving the award.
(9) The remedies available in this section are cumulative of and in addition to all other remedies available at law and equity."
SECTION 3. Section 11-35-40(3) of the 1976 Code, as last amended by Act 153 of 1997, is further amended to read:
"(3) Compliance with Federal Requirements. Where a procurement involves the expenditure of federal assistance, grant, or contract funds, the governmental body shall also shall comply with such federal law and laws (including authorized regulations) as are mandatorily applicable and which are not presently reflected in the this code. Notwithstanding, where federal assistance, grant, or contract funds are used in a procurement by a governmental body as defined in Section 11-35-310(18), this code, including any requirements that are more restrictive than federal requirements shall, must be followed, except to the extent such action would render the governmental body ineligible to receive federal funds whose receipt is conditioned on compliance with mandatorily applicable federal law. In those circumstances, the solicitation must identify and explain the impact of such federal laws on the procurement process, including any required deviation from this code."
SECTION 4. Section 11-35-3215 of the 1976 Code, as added by Act 375 of 2006, is amended to read:
"Section 11-35-3215. (A) As used in this section:
(1) 'Design services' means architect-engineer, construction management, or land surveying services as defined in Section 11-35-2910 and awarded pursuant to Section 11-35-3220.
(2) 'Resident' means a business that (i) employs, either directly or through consultants, an adequate number of persons domiciled in South Carolina or (ii) performs in South Carolina to perform a majority of the design services involved in the procurement.
(B) A business responding to an invitation involving design services shall submit a certification with its response stating whether the business is a resident for purposes of the procurement. Submission of a certification under false pretenses is grounds for suspension or debarment.
(C) An award to a resident or nonresident of a contract involving design services must be supported by a written determination explaining why the award was made to the selected firm.
(D) When qualifications appear to be equal, the resident firm must be selected In an evaluation conducted pursuant to Section 11-35-3220, a resident firm must be ranked higher than a nonresident firm if the agency selection committee finds the two firms otherwise equally qualified.
(E) This section does not apply to a procurement if either the procurement does not involve construction or the design services are a minor accompaniment to a contract for nondesign services."
SECTION 5. Section 11-35-3025 of the 1976 Code is repealed.
SECTION 6. This act takes effect upon approval by the Governor and applies to solicitations issued after that date; except that Sections 1, 2, and 4 of this act take effect upon and apply to solicitations issued after the first Monday in September following approval by the Governor. /
Renumber sections to conform.
Amend title to conform.
Senator O'DELL 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.
S. 429 (Word version) -- Senator Malloy: A BILL TO AMEND CHAPTER 27, TITLE 17, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO POST-CONVICTION RELIEF, BY ADDING ARTICLE 3, THE "POST-CONVICTION DNA PROCEDURES ACT", TO PROVIDE PROCEDURES FOR DNA TESTING FOR PERSONS CONVICTED OF CRIMINAL OFFENSES FOR THE PURPOSE OF ESTABLISHING THE IDENTITY OF THE PERPETRATOR AND TO ALLOW POST-CONVICTION PROCEEDINGS, IF APPLICABLE.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Judiciary.
The Committee on Judiciary proposed the following amendment (JUD0429.004), which was adopted:
Amend the bill, as and if amended, by striking the bill in its entirety and inserting the following:
TO AMEND TITLE 17, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CRIMINAL PROCEDURES, BY ADDING ARTICLE 1, CHAPTER 28, THE "ACCESS TO JUSTICE POST-CONVICTION DNA TESTING ACT", SO AS TO PROVIDE PROCEDURES FOR POST-CONVICTION DNA TESTING, AND BY ADDING ARTICLE 3, CHAPTER 28, THE "PRESERVATION OF EVIDENCE ACT", SO AS TO PROVIDE PROCEDURES FOR PRESERVATION OF EVIDENCE.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Title 17 of the 1976 Code is amended by adding:
Article 1
Post-Conviction DNA Procedures
Section 17-28-10. This article may be cited as the 'Access to Justice Post-Conviction DNA Testing Act'.
Section 17-28-20. For purposes of this article:
(1) 'Biological material' means any blood, tissue, hair, saliva, bone, or semen from which DNA marker groupings may be obtained. This includes material catalogued separately on slides, swabs, or test tubes or present on other evidence including, but not limited to, clothing, ligatures, bedding, other household material, drinking cups, or cigarettes.
(2) 'Custodian of evidence' means an agency or political subdivision of the State including, but not limited to, a law enforcement agency, a solicitor's office, the Attorney General's Office, a county clerk of court, or a state grand jury that possesses and is responsible for the control of evidence during a criminal investigation or proceeding, or a person ordered by a court to take custody of evidence during a criminal investigation or proceeding.
(3) 'DNA' means deoxyribonucleic acid.
(4) 'Incarceration' means serving a term of confinement in the custody of the South Carolina Department of Corrections or the South Carolina Department of Juvenile Justice and does not include a person on probation, parole, or under a community supervision program.
(5) 'Law enforcement agency' means a lawfully established federal, state, or local public agency that is responsible for the prevention and detection of crime and the enforcement of penal, traffic, regulatory, game, immigration, postal, customs, or controlled substances laws.
(6) 'Physical evidence' means an object, thing, or substance that is or is about to be produced or used or has been produced or used in a criminal proceeding related to an offense enumerated in Section 17-28-30 and that is in the possession of a custodian of evidence.
Section 17-28-30. (A) A person who pled not guilty to at least one of the following offenses, was subsequently convicted of or adjudicated delinquent for the offense, is currently incarcerated for the offense, and asserts he is innocent of the offense may apply for forensic DNA testing of his DNA and any physical evidence or biological material related to his conviction or adjudication:
(1) murder (Section 16-3-10);
(2) killing by poison (Section 16-3-30);
(3) killing by stabbing or thrusting (Section 16-3-40);
(4) voluntary manslaughter (Section 16-3-50);
(5) homicide by child abuse (Section 16-3-85(A)(1));
(6) aiding and abetting a homicide by child abuse (Section 16-3-85(A)(2));
(7) lynching in the first degree (Section 16-3-210);
(8) killing in a duel (Section 16-3-430);
(9) spousal sexual battery (Section 16-3-615);
(10) criminal sexual conduct in the first degree (Section 16-3-652);
(11) criminal sexual conduct in the second degree (Section 16-3-653);
(12) criminal sexual conduct in the third degree (Section 16-3-654);
(13) criminal sexual conduct with a minor (Section 16-3-655);
(14) arson in the first degree resulting in death (Section 16-11-110(A));
(15) burglary in the first degree for which the person is sentenced to ten years or more (Section 16-11-311(B));
(16) armed robbery for which the person is sentenced to ten years or more (Section 16-11-330(A));
(17) damaging or destroying a building, vehicle, or property by means of an explosive incendiary resulting in death (Section 16-11-540);
(18) abuse or neglect of a vulnerable adult resulting in death (Section 43-35-85(F));
(19) sexual misconduct with an inmate, patient, or offender (Section 44-23-1150);
(20) unlawful removing or damaging of an airport facility or equipment resulting in death (Section 55-1-30(3));
(21) interference with traffic-control devices or railroad signs or signals resulting in death (Section 56-5-1030(B)(3));
(22) driving a motor vehicle under the influence of alcohol or drugs resulting in death (Section 56-5-2945);
(23) obstruction of railroad resulting in death (Section 58-17-4090); or
(24) accessory before the fact (Section 16-1-40) to any offense enumerated in this subsection.
(B) A person who pled guilty or nolo contendere to at least one of the offenses enumerated in subsection (A), was subsequently convicted of or adjudicated delinquent for the offense, is currently incarcerated for the offense, and asserts he is innocent of the offense may apply for forensic DNA testing of his DNA and any physical evidence or biological material related to his conviction or adjudication no later than seven years from the date of sentencing.
Section 17-28-40. (A) The application must be made on such form as prescribed by the Supreme Court.
(B) The application must be verified by the applicant and filed under the original indictment number or petition with the clerk of court of the general sessions court or family court in which the conviction or adjudication took place. Facts within the personal knowledge of the applicant and the authenticity of all documents and exhibits included in or attached to the application must be sworn to affirmatively as true and correct.
(C) The application must, under penalty of perjury:
(1) identify the proceedings in which the applicant was convicted or adjudicated;
(2) give the date of the entry of the judgment and sentence and identify the applicant's current place of incarceration;
(3) identify all previous or ongoing proceedings, together with the grounds therein asserted, taken by the applicant to secure relief from his conviction or adjudication;
(4) make a reasonable attempt to identify the physical evidence or biological material that should be tested and the specific type of DNA testing that is sought;
(5) explain why the identity of the applicant was or should have been a significant issue during the original court proceedings, notwithstanding the fact that the applicant may have pled guilty or nolo contendere or made or is alleged to have made an incriminating statement or admission as to identity;
(6) explain why the physical evidence or biological material sought to be tested was not previously subjected to DNA testing, or, if the physical evidence or biological material sought to be tested was previously subjected to DNA testing, provide the results of the testing and explain how the requested DNA test would provide a substantially more probative result;
(7) explain why if the DNA testing produces exculpatory results, the testing will constitute new evidence that will probably change the result of the applicant's conviction or adjudication if a new trial is granted and is not merely cumulative or impeaching; and
(8) provide that the application is made to demonstrate innocence and not solely to delay the execution of a sentence or the administration of justice.
Section 17-28-50. (A) The clerk shall file the application upon its receipt and promptly bring it to the attention of the court and deliver for docketing a copy to the solicitor of the circuit in which the applicant was convicted or adjudicated. The Attorney General and the appropriate custodian of evidence shall be notified by the solicitor. The victim shall be notified pursuant to the provisions of Article 15, Chapter 3, Title 16.
(B) Within ninety days after the forwarding of the application, or upon any further time the court may fix, the solicitor of the circuit in which the applicant was convicted or adjudicated, or the Attorney General if the Attorney General prosecuted the case, shall respond to the application. Within ninety days after the docketing of the application, or within any further time the court may fix, the victim may respond as provided in Article 15, Chapter 3, Title 16. The court may proceed with a hearing if the solicitor or Attorney General, as applicable, or the victim does not respond to the application.
(C) At any time prior to entry of judgment the court may, when appropriate, issue orders for amendment of the application and for any documents related to the application including, but not limited to, pleadings, motions, and requests for extensions of time. In considering the application and related documents, the court shall take account of substance, regardless of defects of form. When the court is satisfied, on the basis of the application, the responses, or the motion of the solicitor or Attorney General, as applicable, that the applicant is not entitled to DNA testing and no purpose would be served by any further proceedings, it may indicate to the applicant and the solicitor or Attorney General, as applicable, its intention to summarily dismiss the application and its reasons for so doing. The victim shall be notified of the proposed dismissal pursuant to the provisions of Article 15, Chapter 3, Title 16. The court shall make specific findings of fact and expressly state its conclusions of law. The applicant shall be given an opportunity to reply to the proposed dismissal. In light of the reply, or on default thereof, the court may order the application dismissed, grant leave to file an amended application, or direct that the proceedings otherwise continue.
(D) If the applicant has filed a previous application for DNA testing, the applicant may file a successive application, provided the applicant asserts a grounds for DNA testing which for sufficient reason was not asserted or was inadequately raised in the original, supplemental, or amended application.
Section 17-28-60. If the applicant is unable to pay court costs and expenses of counsel, these costs and expenses shall be made available to the applicant in amounts and to the extent provided pursuant to Section 17-27-60. The applicant must request counsel at the time he files his application. The court must appoint counsel for an indigent applicant after the court has determined that the application is sufficient to proceed to a hearing but prior to the actual hearing. If counsel has been appointed for the applicant in an ongoing post-conviction relief proceeding, then the counsel appointed in the post-conviction relief proceeding shall also serve as counsel for purposes of this article. The performance of counsel pursuant to this article shall not form the basis for relief in any post-conviction relief proceeding.
Section 17-28-70. (A) The court shall order a custodian of evidence to preserve all physical evidence and biological material related to the applicant's conviction or adjudication pursuant to the provisions of Article 3, Chapter 28, Title 17.
(B) The custodian of evidence shall prepare an inventory of the physical evidence and biological material and issue a copy of the inventory to the applicant, the solicitor or Attorney General, as applicable, and the court.
(C) For physical evidence or biological material that the custodian of evidence asserts has been lost or destroyed, the court shall order a custodian of evidence to locate and provide the applicant and the solicitor or Attorney General, as applicable, with a copy of any document, note, log, or report relating to the physical evidence or biological material.
(D) If no physical evidence or biological material is discovered, the court may order a custodian of evidence, in collaboration with law enforcement, to search physical evidence and biological material in the custodian of evidence's possession that would reasonably be expected to produce relevant physical evidence or biological material. The order shall provide that any physical evidence and biological material subject to this search must be adequately protected by the custodian of evidence, in collaboration with law enforcement, from interference by a third party, including, but not limited to, alteration, contamination, destruction, or tampering with the physical evidence and biological material and any chain of custody related to the physical evidence and biological material.
(E) A person who willfully and maliciously destroys, alters, conceals, or tampers with physical evidence or biological material that is required to be preserved pursuant to this section with the intent to impair the integrity of the physical evidence or biological material, prevent the physical evidence or biological material from being subjected to DNA testing, or prevent the production or use of the physical evidence or biological material in an official proceeding, is subject to the provisions of Section 17-28-350.
Section 17-28-80. For any physical evidence or biological material previously subjected to DNA testing whether by the applicant or the solicitor or Attorney General, as applicable, the court shall order the production of all written reports and laboratory reports prepared in connection with the DNA testing, including the underlying data and laboratory notes.
Section 17-28-90. (A) The application must be heard in, and before a judge of, the general sessions court or family court in which the conviction or adjudication took place. A record of the proceedings must be made and preserved. All rules and statutes applicable in criminal proceedings are available to the applicant and the solicitor or Attorney General, as applicable.
(B) The court shall order DNA testing of the applicant's DNA and the physical evidence or biological material upon a finding that the applicant has established each of the following factors by a preponderance of the evidence:
(1) the physical evidence or biological material to be tested is available and is potentially in a condition that would permit the requested DNA testing;
(2) the physical evidence or biological material to be tested has been subject to a chain of custody sufficient to establish it has not been substituted, tampered with, replaced, or altered in any material aspect, or the testing itself may establish the integrity of the physical evidence or biological material;
(3) the physical evidence or biological material sought to be tested is material to the issue of the applicant's identity as the perpetrator of, or accomplice to, the offense notwithstanding the fact that the applicant may have pled guilty or nolo contendere or made or is alleged to have made an incriminating statement or admission as to identity;
(4) the DNA results of the physical evidence or biological material sought to be tested would be material to the issue of the applicant's identity as the perpetrator of, or accomplice to, the offense notwithstanding the fact that the applicant may have pled guilty or nolo contendere or made or is alleged to have made an incriminating statement or admission as to identity;
(5) if the requested DNA testing produces exculpatory results, the testing will constitute new evidence that will probably change the result of the applicant's conviction or adjudication if a new trial is granted and is not merely cumulative or impeaching;
(6) the physical evidence or biological material sought to be tested was not previously subjected to DNA testing, or, if the physical evidence or biological material sought to be tested was previously subjected to DNA testing, the requested DNA test would provide a substantially more probative result; and
(7) the application is made to demonstrate innocence and not solely to delay the execution of a sentence or the administration of justice.
(C) The court shall order that any sample taken of the applicant's DNA for purposes of DNA testing pursuant to this article or for submission to SLED pursuant to subsection (F) be taken by a correctional health nurse technician, physician, registered professional nurse, licensed practical nurse, laboratory technician, or other appropriately trained health care worker. The applicant's counsel, if any, and the solicitor or Attorney General, as applicable, must be allowed to observe the taking of any sample.
(D) The court shall order that the applicant's DNA sample and the physical evidence or biological material be tested by SLED, a local Combined DNA Index System (CODIS) laboratory, or, prior to any testing, any other laboratory approved by SLED, in an effort to ensure that the results may be entered into the State DNA Database and Combined DNA Index System. Any other type of DNA testing ordered by the court shall be conducted in consultation with SLED or a local CODIS laboratory.
(E) The court shall order that the applicant pay the costs of the DNA testing. If the applicant is indigent, the costs of the DNA testing shall be paid by the State.
(F) The court shall order that a sample of the applicant's DNA be submitted to SLED to compare with profiles in the State DNA Database and any federal or other law enforcement DNA database in compliance with National DNA Index System (NDIS) procedures. The sample must be submitted regardless of any previous samples submitted by the applicant. If the comparison matches a DNA profile for the offense for which the applicant was convicted or adjudicated, the DNA sample may be retained in the State DNA Database. If the comparison does not match a DNA profile for the offense for which the applicant was convicted or adjudicated, but results in a match with a DNA profile for any other offense, the DNA sample may be retained in the State DNA Database. SLED shall notify the appropriate law enforcement agency. If the comparison does not match a DNA profile for any offense, the DNA sample must be destroyed. Any previous samples must be maintained by SLED subject to the State DNA Database Act. SLED shall report to the court, the applicant, and the solicitor or Attorney General, as applicable, the results of all DNA database comparisons. The victim shall be notified of the results of all DNA database comparisons pursuant to Article 15, Chapter 3, Title 16.
(G) The applicant and the solicitor or Attorney General, as applicable, shall have the right to appeal a final order denying or granting DNA testing by a writ of certiorari to the Court of Appeals or the Supreme Court as provided by the South Carolina Appellate Court Rules.
Section 17-28-100. (A) The results of the DNA test must be fully disclosed to the court, the applicant, and the solicitor or Attorney General, as applicable. The victim shall be notified of the results of the DNA test pursuant to Article 15, Chapter 3, Title 16. The court shall order the production of any written reports and laboratory reports prepared in connection with the DNA testing, including underlying data and notes.
(B) The results of the DNA test may be used by the applicant, solicitor, or Attorney General in any post-conviction proceeding or trial. If the results of the DNA test are exculpatory, the applicant may use the exculpatory results of the DNA test as grounds for filing a motion for new trial pursuant to the South Carolina Rules of Criminal Procedure. If the results of the DNA test are inconclusive, the court may allow for additional DNA testing or may dismiss the application. If the results of the DNA test are inculpatory, the court shall dismiss the application and shall, on motion of the solicitor or Attorney General, as applicable:
(1) make a determination whether the applicant's assertion of actual innocence was intentionally false, and, as a result, hold the applicant in contempt of court;
(2) assess against the applicant the cost of any DNA testing not already paid by the applicant;
(3) forward the findings to the South Carolina Department of Corrections, who may use such finding to deny good conduct credit; and
(4) forward the findings to the Department of Probation, Parole and Pardon Services, who may use the findings to deny parole.
(C) Except as otherwise provided in this article, DNA samples, results, and information taken from the applicant are exempt from any law requiring disclosure of information to the public.
Section 17-28-110. (A) Nothing in this article prohibits a person and a solicitor or the Attorney General, as applicable, from consenting to and conducting post-conviction DNA testing by agreement of the parties. The person may use the exculpatory results of the DNA test as the grounds for filing a motion for new trial pursuant to the South Carolina Rules of Criminal Procedure.
(B) Nothing in this article prohibits a person from filing an application for post-conviction relief pursuant to Chapter 27, Title 17.
(C) Nothing in this article shall be construed to give rise to a claim for damages against the State of South Carolina, a political subdivision of the State, or an employee of the State or a political subdivision of the State. Failure of a custodian of evidence to preserve physical evidence or biological material pursuant to this article does not entitle the applicant to any relief from conviction or adjudication but does not prohibit a person from presenting such information at a subsequent hearing or trial."
SECTION 2. Title 17 of the 1976 Code is amended by adding:
Article 3
Preservation of Evidence
Section 17-28-300. This article shall be cited as the 'Preservation of Evidence Act'.
Section 17-28-310. For purposes of this article:
(1) 'Biological material' means any blood, tissue, hair, saliva, bone, or semen from which DNA marker groupings may be obtained. This includes material catalogued separately on slides, swabs, or test tubes or present on other evidence including, but not limited to, clothing, ligatures, bedding, other household material, drinking cups, or cigarettes.
(2) 'Custodian of evidence' means an agency or political subdivision of the State including, but not limited to, a law enforcement agency, a solicitor's office, the Attorney General's Office, a county clerk of court, or a state grand jury that possesses and is responsible for the control of evidence during a criminal investigation or proceeding, or a person ordered by a court to take custody of evidence during a criminal investigation or proceeeding.
(3) 'DNA' means deoxyribonucleic acid.
(4) 'Incarceration' means serving a term of confinement in the custody of the South Carolina Department of Corrections or the South Carolina Department of Juvenile Justice and does not include a person on probation, parole, or under a community supervision program.
(5) 'Law enforcement agency' means a lawfully established federal, state, or local public agency that is responsible for the prevention and detection of crime and the enforcement of penal, traffic, regulatory, game, immigration, postal, customs, or controlled substances laws.
(6) 'Physical evidence' means an object, thing, or substance that is or is about to be produced or used or has been produced or used in a criminal proceeding related to an offense enumerated in Section 17-28-320, and that is in the possession of a custodian of evidence.
Section 17-28-320. (A) A custodian of evidence must preserve all physical evidence and biological material related to the conviction or adjudication of a person for at least one of the following offenses:
(1) murder (Section 16-3-10);
(2) killing by poison (Section 16-3-30);
(3) killing by stabbing or thrusting (Section 16-3-40);
(4) voluntary manslaughter (Section 16-3-50);
(5) homicide by child abuse (Section 16-3-85(A)(1));
(6) aiding and abetting a homicide by child abuse (Section 16-3-85(A)(2));
(7) lynching in the first degree (Section 16-3-210);
(8) killing in a duel (Section 16-3-430);
(9) spousal sexual battery (Section 16-3-615);
(10) criminal sexual conduct in the first degree (Section 16-3-652);
(11) criminal sexual conduct in the second degree (Section 16-3-653);
(12) criminal sexual conduct in the third degree (Section 16-3-654);
(13) criminal sexual conduct with a minor (Section 16-3-655);
(14) arson in the first degree resulting in death (Section 16-11-110(A));
(15) burglary in the first degree for which the person is sentenced to ten years or more (Section 16-11-311(B));
(16) armed robbery for which the person is sentenced to ten years or more (Section 16-11-330(A));
(17) damaging or destroying a building, vehicle, or property by means of an explosive incendiary resulting in death (Section 16-11-540);
(18) abuse or neglect of a vulnerable adult resulting in death (Section 43-35-85(F));
(19) sexual misconduct with an inmate, patient, or offender (Section 44-23-1150);
(20) unlawful removing or damaging of an airport facility or equipment resulting in death (Section 55-1-30(3));
(21) interference with traffic-control devices or railroad signs or signals resulting in death (Section 56-5-1030(B)(3));
(22) driving a motor vehicle under the influence of alcohol or drugs resulting in death (Section 56-5-2945);
(23) obstruction of railroad resulting in death (Section 58-17-4090); or
(24) accessory before the fact (Section 16-1-40) to any offense enumerated in this subsection.
(B) The physical evidence and biological material must be preserved:
(1) subject to a chain of custody as required by South Carolina law;
(2) with sufficient documentation to locate the physical evidence and biological material; and
(3) under conditions reasonably designed to preserve the forensic value of the physical evidence and biological material.
(C) The physical evidence and biological material must be preserved until the person is released from incarceration, dies while incarcerated, or is executed for the offense enumerated in subsection (A). However, if the person is convicted or adjudicated on a guilty or nolo contendere plea for the offense enumerated in subsection (A), the physical evidence and biological material must be preserved for seven years from the date of sentencing, or until the person is released from incarceration, dies while incarcerated, or is executed for the offense enumerated in subsection (A), whichever comes first.
Section 17-28-330. (A) After a person is convicted or adjudicated for at least one of the offenses enumerated in Section 17-28-320, a custodian of evidence shall register with the South Carolina Department of Corrections or the South Carolina Department of Juvenile Justice, as applicable, as a custodian of evidence for physical evidence or biological material related to the person's conviction or adjudication.
(B) The South Carolina Department of Corrections or the South Carolina Department of Juvenile Justice, as applicable, shall notify a custodian of evidence registered pursuant to subsection (A) if the person is released from incarceration, dies while incarcerated, or is executed for the offense enumerated in Section 17-28-320.
Section 17-28-340. (A) After a person is convicted or adjudicated for at least one of the offenses enumerated in Section 17-28-320, a custodian of evidence may petition the general sessions court or family court in which the person was convicted or adjudicated for an order allowing for disposition of the physical evidence or biological material prior to the period of time described in Section 17-28-320 if:
(1) the physical evidence or biological material must be returned to its rightful owner, is of such size, bulk, or physical character as to make retention impracticable, or is otherwise required to be disposed of by law; or
(2) DNA evidence was previously introduced at trial, was found to be inculpatory, and all appeals and post-conviction procedures have been exhausted.
(B) The petition must:
(1) be made on such form as prescribed by the Supreme Court;
(2) identify the proceedings in which the person was convicted or adjudicated;
(3) give the date of the entry of the judgment and sentence;
(4) specifically set forth the physical evidence or biological material to be disposed of; and
(5) specifically set forth the reason for the disposition.
(C) The clerk of court shall file the petition upon its receipt and promptly bring it to the attention of the court and deliver a copy to the convicted or adjudicated person and the solicitor or Attorney General, as applicable. The victim shall be notified of the petition pursuant to Article 15, Chapter 3, Title 16.
(D) The convicted or adjudicated person and the solicitor or Attorney General, as applicable, shall have one hundred and eighty days to respond to the petition. The victim may respond within one hundred and eighty days in accordance with the provisions of Article 15, Chapter 3, Title 16.
(E) After a hearing, the court may order that the custodian of evidence may dispose of the physical evidence or biological material if the court determines by preponderance of evidence that:
(1) the physical evidence or biological material must be returned to its rightful owner, is of such size, bulk, or physical character as to make retention impracticable, or is otherwise required to be disposed of by law, or DNA evidence was previously introduced at trial, was found to be inculpatory, and all appeals and post-conviction procedures have been exhausted;
(2) the convicted or adjudicated person, the solicitor or Attorney General, as applicable, and the victim have been notified of the petition for an order to dispose of the physical evidence or biological material;
(3) the convicted or adjudicated person did not file an affidavit declaring, under penalty of perjury, the person's intent to file an application for post-conviction DNA testing of the physical evidence or biological material pursuant to Article 1, Chapter 28, Title 17 within ninety days followed by the actual filing of the application;
(4) the solicitor or the Attorney General, as applicable, and the victim have not filed a response requesting that the physical evidence or biological material not be disposed of; and
(5) no other provision of federal or state law, regulation, or court rule requires preservation of the physical evidence or biological material.
(F) If the court issues an order for the disposition of the physical evidence or biological material, the court may require a custodian of evidence to take reasonable measures to remove and preserve portions of the physical evidence or biological material in a quantity sufficient to:
(1) permit future DNA testing or other scientific analysis; or
(2) for other reasons, upon request and good cause shown, by the solicitor or Attorney General, as applicable, or the victim.
Section 17-28-350. A person who wilfully and maliciously destroys, alters, conceals, or tampers with physical evidence or biological material that is required to be preserved pursuant to this article with the intent to impair the integrity of the physical evidence or biological material, prevent the physical evidence or biological material from being subjected to DNA testing, or prevent the production or use of the physical evidence or biological material in an official proceeding, is guilty of a misdemeanor and, upon conviction, must be fined not more than one thousand dollars for a first offense, and not more than five thousand dollars or imprisoned for not more than one year, or both, for each subsequent violation.
Section 17-28-360. Nothing in this article shall be construed to give rise to a claim for damages against the State of South Carolina, a political subdivision of the State, an employee of the State, or a political subdivision of the State. Failure of a custodian of evidence to preserve physical evidence or biological material pursuant to this article does not entitle a person to any relief from conviction or adjudication but does not prohibit a person from presenting such information at a subsequent hearing or trial."
SECTION 3. The repeal or amendment by the provisions of this act or any law, whether temporary or permanent or civil or criminal, does not affect pending actions, rights, duties, or liabilities founded thereon, or alter, discharge, release or extinguish any penalty, forfeiture, or liability incurred under the repealed or amended law, unless the repealed or amended provision shall so expressly provide. After the effective date of this act, all laws repealed or amended by this act must be taken and treated as remaining in full force and effect for the purpose of sustaining any pending or vested right, civil action, special proceeding, criminal prosecution, or appeal existing as of the effective date of this act, and for the enforcement of rights, duties, penalties, forfeitures, and liabilities as they stood under the repealed or amended laws.
SECTION 4. If any section, subsection, item, subitem, paragraph, subparagraph, sentence, clause, phrase, or word of this act 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 act, the General Assembly hereby declaring that it would have passed this act, and each and every section, subsection, item, subitem, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more other sections, subsections, items, subitems, paragraphs, subparagraphs, sentences, clauses, phrases, or words hereof may be declared to be unconstitutional, invalid, or otherwise ineffective.
SECTION 5. The provisions of Section 17-28-350 become effective upon the signature of the Governor. All other provisions become effective January 1, 2009. The enactment of these provisions prior to the effective date indicates the intent of the General Assembly that statewide laws or practices shall exist to ensure additional procedures for post-conviction DNA testing, and proper preservation of biological evidence connected to murder, rape, and non-negligent homicide in order that application for available federal funds shall be made by the appropriate agencies and considered by the appropriate federal agencies prior to the effective date. /
Renumber sections to conform.
Amend title to conform.
Senator RITCHIE explained the committee amendment.
The committee amendment was adopted.
There being no further amendments, the Bill was read the second time, passed and ordered to a third reading.
S. 950 (Word version) -- Senators Hutto and Matthews: A BILL TO AMEND SECTION 59-53-630, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE POWERS OF THE DENMARK TECHNICAL COLLEGE AREA COMMISSION, SO AS TO ALLOW THE COMMISSION TO ENTER INTO GROUND LEASE AGREEMENTS WITH PRIVATE ENTITIES UPON APPROVAL BY THE STATE BUDGET AND CONTROL BOARD.
Senator HUTTO asked unanimous consent to take the Bill up for immediate consideration.
There was no objection.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Education.
The Committee on Education proposed the following amendment (950R001.JEC), which was adopted:
Amend the bill, as and if amended, page 1, SECTION 1, by striking line 36 and inserting:
/ and operation of an on-campus /
Renumber sections to conform.
Amend title to conform.
Senator HUTTO 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.
On motion of Senator PATTERSON, with unanimous consent, S. 950 was ordered to receive a third reading on Friday, April 25, 2008.
S. 980 (Word version) -- Senator Lourie: A BILL TO AMEND SECTION 20-7-121, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE CREATION, PURPOSE, AND ADMINISTRATION OF THE SOUTH CAROLINA GUARDIAN AD LITEM PROGRAM, SO AS TO PROVIDE THAT NOTHING PROHIBITS A COUNTY FROM PROVIDING GUARDIAN AD LITEM SERVICES IF THE COUNTY'S PROGRAM IS CERTIFIED BY THE NATIONAL COURT APPOINTED SPECIAL ADVOCATE ASSOCIATION AND TO PROVIDE THAT THIS SUBARTICLE APPLIES TO SUCH PROGRAMS; TO AMEND SECTIONS 20-7-126 AND 20-7-127, BOTH AS AMENDED, RELATING, RESPECTIVELY, TO CONFIDENTIALITY OF RECORDS AND IMMUNITY FROM LIABILITY, SO AS TO FURTHER SPECIFY THAT THESE PROVISIONS APPLY TO COUNTY GUARDIAN AD LITEM PROGRAMS; AND TO AMEND SECTION 20-7-129, AS AMENDED, RELATING TO FUNDING PROVIDED BY THE GENERAL ASSEMBLY FOR THE SOUTH CAROLINA GUARDIAN AD LITEM PROGRAM, SO AS TO PROVIDE THAT SUCH FUNDING IS NOT REQUIRED TO BE PROVIDED BY THE GENERAL ASSEMBLY FOR A COUNTY GUARDAIN AD LITEM PROGRAM.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Judiciary.
The Committee on Judiciary proposed the following amendment (JUD0980.002), which was adopted:
Amend the bill, as and if amended, by striking all after the enacting language and inserting therein the following:
/ SECTION 1. Section 20-7-121 of the 1976 Code, as last amended by Act 450 of 1996, is further amended to read:
"Section 20-7-121. (A) There is created the South Carolina Guardian ad Litem Program to serve as a statewide system to provide training and supervision to volunteers who serve as court-appointed special advocates for children in abuse and neglect proceedings within the family court, pursuant to Section 20-7-110. This program must be administered by the Office of the Governor.
(B) Notwithstanding the provisions of subsection (A), a county providing the guardian ad litem services set forth in subsection (A) prior to the effective date of this act may continue to provide such services, provided the county guardian ad litem program is a member of the National Court Appointed Special Advocate Association. However, a county guardian ad litem program operating pursuant to this subsection must comply with all state and federal laws, even if compliance with state or federal laws would result in the violation of a requirement for membership in the National Court Appointed Special Advocate Association."
SECTION 2. Section 20-7-126 of the 1976 Code, as last amended by Act 450 of 1996, is further amended to read:
"Section 20-7-126. (A) All reports and information collected pursuant to this subarticle maintained by the South Carolina Guardian ad Litem Program, or a county guardian ad litem program operating pursuant to Section 20-7-121(B), are confidential except as provided for in Section 20-7-690(C). A person who disseminates or permits the unauthorized dissemination of the information is guilty of contempt of court and, upon conviction, may be fined or imprisoned, or both, pursuant to Section 20-7-1350.
(B) The name, address, and other identifying characteristics of a person named in a report determined to be judicially unfounded must be destroyed one year from the date of the determination. The name, address, and other identifying characteristics of any person named in a report determined to be judicially indicated must be destroyed seven years from the date that the guardian ad litem formally is relieved of responsibility as guardian ad litem by the family court.
(C) The Director of the South Carolina Guardian ad Litem Program or the director's designee, or the chief administrator of a county guardian ad litem program operating pursuant to Section 20-7-121(B), may disclose to the media information contained in child protective services records, if disclosure is limited to discussion of the program's activities in handling the case. The program may incorporate into its discussion of the handling of the case any information placed in the public domain by other public officials, a criminal prosecution, the alleged perpetrator or the attorney for the alleged perpetrator, or other public judicial proceedings. For purposes of this subsection, information is considered 'placed in the public domain' when it has been reported in the news media, is contained in public records of a criminal justice agency, is contained in public records of a court of law, or has been the subject of testimony in a public judicial proceeding."
SECTION 3. Section 20-7-127 of the 1976 Code, as last amended by Act 450 of 1996, is further amended to read:
"Section 20-7-127. After participating in the training program of the South Carolina Guardian ad Litem Program, or a county guardian ad litem program operating pursuant to Section 20-7-121(B), a person who is appointed to serve as guardian ad litem and serves without compensation is not liable for any civil damages for any personal injury as a result of any act or omission by the person in the discharge of the responsibilities of a guardian ad litem if the person acts in good faith and is not guilty of gross negligence."
SECTION 4. Section 20-7-129 of the 1976 Code, as last amended by Act 450 of 1996, is further amended to read:
"Section 20-7-129. The General Assembly shall provide the funds necessary for the South Carolina Guardian ad Litem Program to carry out the provisions of Sections 20-7-121 through 20-7-127 and 20-7-690(B)(5). The General Assembly shall not provide any funding for a county guardian ad litem program."
SECTION 5. This act takes effect upon approval by the Governor./
Renumber sections to conform.
Amend title to conform.
Senator RITCHIE explained the committee amendment.
The committee amendment was adopted.
There being no further amendments, the Bill was read the second time, passed and ordered to a third reading.
S. 1010 (Word version) -- Senators Lourie, Williams, Leventis, Hutto, Malloy, Ford, Land, Jackson, Reese, Patterson, Matthews and Sheheen: A BILL TO ENACT THE "HEALTH CARE ACCESSIBILITY FOR YOUNG AMERICANS ACT", INCLUDING PROVISIONS, TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 38-71-295 SO AS TO PROVIDE HEALTH INSURANCE COVERAGE UNDER A PARENT'S POLICY FOR CERTAIN MILITARY PERSONNEL ON TERMINATION OF ACTIVE DUTY STATUS, AMONG OTHER THINGS; BY ADDING SECTION 38-71-300 SO AS TO DEFINE THE TERMS "DEPENDENT" AND "ELIGIBLE DEPENDENT" FOR HEALTH INSURANCE POLICIES ISSUED IN THIS STATE; TO AMEND SECTION 38-71-350, RELATING TO THE REQUIRED CONTINUATION OF COVERAGE FOR HANDICAPPED CHILDREN UNDER A PARENT'S INDIVIDUAL POLICY, SO AS TO MAKE CONFORMING CHANGES; TO AMEND SECTION 38-71-360, RELATING TO THE REQUIRED CONTINUATION OF COVERAGE FOR NONHANDICAPPED CHILDREN UNDER A PARENT'S INDIVIDUAL POLICY, SO AS TO MAKE CONFORMING CHANGES; TO AMEND SECTION 38-71-780, RELATING TO THE REQUIRED CONTINUATION OF COVERAGE TO HANDICAPPED AND DEPENDENT CHILDREN UNDER A PARENT'S GROUP POLICY, SO AS TO MAKE CONFORMING CHANGES; AND TO AMEND SECTION 38-71-1330, RELATING TO DEFINITIONS CONCERNING SMALL EMPLOYER HEALTH INSURANCE, SO AS TO MAKE CONFORMING CHANGES.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Banking and Insurance.
The Committee on Banking and Insurance proposed the following amendment (AGM\19220AB08), which was adopted:
Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/ SECTION 1. This act is known and may be cited as the "Health Care Accessibility for Young Americans Act".
SECTION 2. Article 1, Chapter 71, Title 38 of the 1976 Code is amended by adding:
"Section 38-71-295. (A) Notwithstanding another provision of this chapter or regulation promulgated pursuant to this chapter, a health insurance policy issued pursuant to a provision of this chapter must provide coverage to the child of a policyholder if the child has served at least six months of active duty in the National Guard of this State, the United States armed services, or reserves upon the termination of the child's active duty status, except where the child's active duty status terminates due to a dishonorable discharge.
(B) Coverage under this section:
(1) is cumulative to the rights available under Section 38-71-300;
(2) begins on the date of the child's honorable discharge from active duty and must extend for no more than six months if the child has served at least six months of active duty; and
(3) terminates if the child:
(a) marries;
(b) receives coverage under another health insurance policy;
(c) returns to active duty status;
(d) is dishonorably discharged from military service; or
(e) attains the age of thirty years.
(C) For purposes of this section 'health insurance policy' means a health benefit plan, contract, or evidence of coverage providing health insurance coverage as defined in Section 38-71-670(6) and Section 38-71-840(14).
(D) The provisions of this section apply to a policy issued under the State Health Plan, which for the purposes of this title means the employee and retiree insurance program provided for in Article 5, Chapter 11, Title 1 of the 1976 Code."
SECTION 3. Article 1, Chapter 71, Title 38 of the 1976 Code is amended by adding:
"Section 38-71-300. Notwithstanding another provision of this chapter or regulation promulgated pursuant to this chapter:
(1) As used in this chapter:
(a) 'Dependent' or 'eligible dependent' means:
(i) a spouse of a policyholder or subscriber;
(ii) an unmarried child under the age of twenty-five years who primarily is dependent for financial support from his parent who is a policy holder or subscriber as documented by the parent claiming the child as a dependent on his federal income tax return and who is not eligible for coverage under a group health benefits plan, group health plan, government plan, church plan, or another health benefits plan other than an individual health insurance policy which is subject to policy form and premium rate approval as may be provided in Title 38 of the 1976 Code;
(iii) an unmarried child who is incapable of self-support because of mental retardation or physical handicap and is primarily dependent upon his parent who is a policyholder or subscriber for support and maintenance, so long as proof of the incapacity and dependency is furnished to the insurer by the policyholder or subscriber within thirty-one days of the child's attainment of the limiting age and subsequently as may be required by the insurer but not more frequently than annually after the two-year period following the child's attainment of the limiting age; and
(iv) an unmarried child who has served on active duty in the National Guard of this State or the United States armed services or reserves as provided in Section 38-71-295.
(b) 'Special dependent' means a person currently eligible for dependent coverage under the State Health Insurance Plan under the mandate imposed pursuant to item (1) of this section and Section 38-71-780, but who otherwise would not be eligible for dependent coverage under the State Health Plan on January 1, 2008.
(2) If a dependent child initially refuses coverage under the plan or is removed from coverage by the plan, he is subject to the provisions of Section 38-71-850 when seeking to be included or reinstated as a beneficiary under the plan.
(3) The Budget and Control Board annually shall establish a contribution rate for the State Health Insurance Plan specific to special dependents. This rate must cover all projected costs associated with a special dependent and must be paid fully by the subscriber."
SECTION 4. Section 38-71-350 of the 1976 Code is amended to read:
"Section 38-71-350. An individual hospital or medical expense insurance policy, hospital service plan contract, or medical service plan contract delivered or issued for delivery in this State, which provides that coverage of a dependent child terminates upon attainment of the limiting age for dependent children specified in the policy or contract and must be subject to Section 38-71-300 shall also provide in substance that attainment of the limiting age does not operate to terminate the coverage of the child while the child is and continues to be both (a) incapable of self-sustaining employment by reason of mental retardation or physical handicap and (b) chiefly dependent upon the policyholder or subscriber for support and maintenance, so long as proof of the incapacity and dependency is furnished to the insurer by the policyholder or subscriber within thirty-one days of the child's attainment of the limiting age and subsequently as may be required by the insurer but not more frequently than annually after the two-year period following the child's attainment of the limiting age."
SECTION 5. Section 38-71-360 of the 1976 Code is amended to read:
"Section 38-71-360. An individual hospital, medical, or surgical expense incurred insurance policy, hospital service plan contract, or medical service plan contract, other than a limited classification policy, delivered or issued for delivery in this State, which provides that coverage of a nonhandicapped dependent child terminates upon attainment of the limiting age for the child as specified in the policy or contract and must be subject to Section 38-71-300, shall also shall contain a provision to the effect that upon the attainment of the limiting age the child is entitled to have issued to him, without evidence of insurability, upon application made to the insurer within thirty days following the attainment of the age, and upon payment of the appropriate premium, an individual policy of accident and health insurance. The policy shall must provide the coverage then being issued by the insurer, which is closest to, but not greater than, the terminated coverage. Any A probationary or waiting period set forth in the policy must be considered as met to the extent coverage was in force under the prior policy. For purposes of this section, 'limited classification policy' means an accident-only policy, a limited accident policy, a travel accident policy, or a specified-disease policy."
SECTION 6. Section 38-71-780 of the 1976 Code is amended to read:
"Section 38-71-780. A group hospital or medical expense insurance policy, hospital service plan contract, or medical service plan contract delivered or issued for delivery in this State, or a policy issued under the State Health Plan, which for the purposes of this title means the employee and retiree insurance program provided for in Article 5, Chapter 11, Title 1 of the 1976 Code, which provides that coverage of a dependent child of an employee or other member of the coverage group terminates upon attainment of the limiting age for dependent children specified in the policy or contract and must be subject to Section 38-71-300 shall also provide in substance that attainment of the limiting age does not operate to terminate the coverage of the child while the child is and continues to be both (a) incapable of self-sustaining employment by reason of mental retardation or physical handicap, and (b) chiefly dependent upon the employee or member for support and maintenance, as long as proof of the incapacity and dependency is furnished to the insurer by the employee or member within thirty-one days of the child's attainment of the limiting age and subsequently as may be required by the insurer, but not more frequently than annually after the two-year period following the child's attainment of the limiting age."
SECTION 7. Section 38-71-1330(5) of the 1976 Code is amended to read:
"(5) 'Dependent' means a spouse, an unmarried child under the age of nineteen years, an unmarried child who is a full-time student between the ages of nineteen and twenty-two and who is financially dependent upon the parent, and an unmarried child of any age who is medically certified as disabled and dependent upon the parent a dependent or eligible dependent as defined in Section 38-71-300."
SECTION 8. If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this act 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 act, the General Assembly hereby declaring that it would have passed this act, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more other sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words hereof may be declared to be unconstitutional, invalid, or otherwise ineffective.
SECTION 9. This act takes effect January 1, 2009. /
Renumber sections to conform.
Amend title to conform.
Senator LOURIE 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.
On motion of Senator KNOTTS, with unanimous consent, the name of Senator KNOTTS was added as a co-sponsor of S. 1010.
S. 1038 (Word version) -- Senator Cleary: A BILL TO AMEND SECTION 20-7-490, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DEFINITION OF TERMS IN THE CHILDREN'S CODE, INCLUDING THE DEFINITION OF CHILD ABUSE AND NEGLECT, SO AS TO PROVIDE THAT CHILD ABUSE AND NEGLECT INCLUDES KNOWINGLY EXPOSING A CHILD TO CHEMICALS THAT HAVE THE CAPACITY TO INTERFERE WITH NORMAL PHYSIOLOGICAL FUNCTIONS, INCLUDING DURING THE MANUFACTURING OF METHAMPHETAMINE; TO AMEND SECTION 20-7-763, RELATING TO THE REQUIREMENT THAT THE DEPARTMENT OF SOCIAL SERVICES MUST MAKE REASONABLE EFFORTS TO PRESERVE OR UNIFY THE FAMILY AND EXCEPTIONS TO THIS REQUIREMENT, SO AS TO PROVIDE AS AN EXCEPTION THAT THE PARENT HAS KNOWINGLY EXPOSED A CHILD TO CHEMICALS THAT HAVE THE CAPACITY TO INTERFERE WITH NORMAL PHYSIOLOGICAL FUNCTIONS, INCLUDING DURING THE MANUFACTURING OF METHAMPHETAMINE; AND TO AMEND SECTION 20-7-1572, AS AMENDED, RELATING TO GROUNDS FOR THE TERMINATION OF PARENTAL RIGHTS, SO AS TO PROVIDE AS A GROUND THAT THE PARENT EXPOSED A CHILD TO CHEMICALS THAT HAVE THE CAPACITY TO INTERFERE WITH NORMAL PHYSIOLOGICAL FUNCTIONS, INCLUDING DURING THE MANUFACTURING OF METHAMPHETAMINE.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Judiciary.
The Committee on Judiciary proposed the following amendment (JUD1038.003), which was adopted:
Amend the bill, as and if amended, page 2, by striking lines 4 - 7 and inserting:
/ "(f) knowingly exposes the child to chemicals, drugs, or other substances that are being used or generated during the unlawful manufacturing of methamphetamines in such a manner as to present a substantial risk of physical or mental injury to the child; /
Amend the bill further, as and if amended, page 2, by striking lines 23 - 26 and inserting:
/ (f) knowingly exposing the child to chemicals, drugs, or other substances that are being used or generated during the unlawful manufacturing of methamphetamines in such a manner as to present a substantial risk of physical or mental injury to the child;" /
Amend the bill further, as and if amended, page 4, by striking lines 21 - 24 and inserting:
/ (12) The parent of the child knowingly exposed any child in the home to chemicals, drugs, or other substances that are being used or generated during the unlawful manufacturing of methamphetamines in such a manner as to present a substantial risk of physical or mental injury to the child." /
Renumber sections to conform.
Amend title to conform.
Senator RITCHIE explained the committee amendment.
The committee amendment was adopted.
There being no further amendments, the Bill was read the second time, passed and ordered to a third reading.
On motion of Senator KNOTTS, with unanimous consent, the name of Senator KNOTTS was added as a co-sponsor of S. 1038.
S. 1048 (Word version) -- Senators Martin and Alexander: A BILL TO AMEND SECTION 61-4-120, AS AMENDED, RELATING TO THE SUNDAY SALE OF WINE OR BEER IN THIS STATE, SO AS TO PROVIDE AN EXCEPTION FOR WINE THAT IS HARVESTED, PROCESSED, FERMENTED, BOTTLED, AND SOLD AT THE SAME CONTIGUOUS LOCATION.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Judiciary.
The Judiciary Committee proposed the following amendment (JUD1048.002), which was adopted:
Amend the bill, as and if amended, page 2, by striking lines 36-41, and on page 3, by striking lines 1-2 and inserting:
/ (B) Notwithstanding subsection (A) and other provisions of law, wine may be sold on Sunday if the wine is produced using grapes grown in this State, the grapes are harvested, processed, fermented, bottled, and sold at the same contiguous location, the seller meets all applicable licensing and taxing requirements, and the local governing body of the county or municipality where the sale occurs adopts an ordinance permitting wine sales on Sunday under these limited circumstances." /
Renumber sections to conform.
Amend title to conform.
Senator RITCHIE explained the committee amendment.
The committee amendment was adopted.
There being no further amendments, the Bill was read the second time, passed and ordered to a third reading.
At 12:56 P.M., the PRESIDENT assumed the Chair.
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, Spires, Whipper, R. Brown, Hosey, Mitchell and Hodges: A BILL TO AUTHORIZE THE UNIVERSITY OF SOUTH CAROLINA TO ISSUE REVENUE BONDS TO PROVIDE FUNDS FOR THE ACQUISITION, CONSTRUCTION, AND EQUIPPING OF A NEW BUSINESS SCHOOL FACILITY AND FOR THE RENOVATION OF THE CLOSE-HIPP BUILDING FOR LEASE AND OCCUPANCY BY AN AGENCY OF THE FEDERAL GOVERNMENT, TO PROVIDE THAT THE REVENUE BONDS SHALL BE SECURED BY AND PAYABLE FROM A PLEDGE OF THE LEASE PAYMENTS, AND TO PROVIDE THE PROCESS BY WHICH THE REVENUE BONDS MAY BE ISSUED.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Finance.
The Committee on Finance proposed the following amendment (4520R001.HKL), which was adopted:
Amend the bill, as and if amended, page 6, by striking lines 18 through 20 and inserting:
/ (K) The trustees are authorized to cause the university to issue bonds to provide for refinancing of the original bonds in the event the federal government terminates the Lease and Occupancy Agreement prior to its original stated term. Refinancing bonds shall be secured by a pledge of and payable from any revenues available to and designated by the university except appropriations from the General Assembly and amounts which may not be pledged pursuant to the terms of any other outstanding bonds of the university. The faith and credit of the State shall not be pledged for the payment of the principal and interest of any refunding bonds. Issuance of refunding bonds shall be subject to the prior approval of the state board and upon review by the Joint Bond Review Committee. Any refunding bonds shall mature on a date no later than the final maturity date of the original bonds. Proceeds of the refunding bonds shall be used to pay the cost of retirement of the outstanding bonds and to fund reserves and pay costs of issuance and credit enhancement of the refunding bonds. Except as otherwise expressly provided in this subsection, the provisions of subsections (C) through (J) shall apply to refunding bonds as if all references to the original bonds were to the refunding bonds, and all references to the Lease and Occupancy Agreement and the federal government were to the applicable lease, contract, or other applicable revenue source securing the refunding bonds.
(L) The authorizations of the university and the trustees in this act shall remain in full force and effect until the time as payment in full of the bonds and refunding bonds shall have been made to the holders./
Renumber sections to conform.
Amend title to conform.
Senator O'DELL 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.
S. 1311 (Word version) -- Senators Leatherman, Anderson, Alexander, Bryant, Campbell, Campsen, Ceips, Cleary, Courson, Cromer, Drummond, Elliott, Fair, Ford, Gregory, Grooms, Hawkins, Hayes, Hutto, Jackson, Knotts, Land, Leventis, Lourie, Malloy, Martin, Massey, Matthews, McConnell, McGill, O'Dell, Patterson, Peeler, Pinckney, Rankin, Reese, Ritchie, Ryberg, Scott, Setzler, Sheheen, Short, Thomas, Vaughn, Verdin and Williams: A JOINT RESOLUTION TO ESTABLISH THE PUBLIC EDUCATION FUNDING EFFECTIVENESS AND FAIRNESS PANEL, TO PROVIDE FOR THE PANEL'S MEMBERSHIP, POWERS, DUTIES, AND RESPONSIBILITIES, TO PROVIDE THAT THE PANEL MUST CONDUCT A COMPREHENSIVE STUDY OF THE MANNER IN WHICH THE STATE FUNDS PUBLIC SCHOOLING AND SUBMIT A REPORT OF ITS RECOMMENDED CHANGES, AND TO PROVIDE FOR PROCEDURES GOVERNING THE CONSIDERATION OF LEGISLATION RESULTING FROM THE PANEL'S RECOMMENDATIONS.
The Senate proceeded to a consideration of the Resolution, the question being the adoption of the amendment proposed by the Committee on Finance.
Senator SETZLER proposed the following Amendment No. P-1 (1311R003.NGS), which was adopted:
Amend the committee amendment, as and if amended, page [1311-1], by striking lines 28 through 38 and inserting:
Amend the joint resolution, as and if amended, page 1, by striking lines 26 through 41 and page 2, lines 1-6 and inserting:
/ Effectiveness and Fairness Panel to be comprised of thirteen members representing the geographic regions of the State and must be representative of the ethnic, gender, rural, and urban diversity of the State, appointed as follows:
(1) four members representing the business community. The President Pro Tempore of the Senate, the Speaker of the House of Representatives, the Senate Finance Committee Chairman, and the House Ways and Means Committee Chairman shall each appoint one member;
(2) two members that are members of a local school board. The Senate Majority Leader and the House Majority Leader shall each appoint one member;
(3) two members that are a superintendent of a local school district. The Senate Education Committee Chairman and the House Education and Public Works Committee Chairman shall each appoint one member;
(4) two members that are a teacher or principal in a local school district. The Senate Minority Leader and the House Minority Leader shall each appoint one member;
(5) one member that is an elected county official and one member that is an elected municipal official. The Governor shall appoint each member; and
(6) the State Superintendent of Education, or his designee, to serve ex officio.
Members of the General Assembly, Education Oversight Committee, and the State Board of Education may not be appointed to the commission. Members of the commission must have substantial experience in fiscal management or policy.
(B)(1) Appointments must be made by July 1, 2008, at which time the State Superintendent of Education or his designee shall call the first meeting. The first meeting must occur on or prior to August 1, 2008. The panel shall organize itself by electing one of its members as chairman and such other officers as the panel may consider necessary. Thereafter, the panel must meet as necessary to fulfill the duties required by this act at the call of the chairman or by a majority of the members. A quorum consists of seven members. /
Renumber sections to conform.
Amend title to conform.
Senator SETZLER explained the amendment.
The amendment was adopted.
The Committee on Finance proposed the following amendment (1311R001.HKL), which was adopted:
Amend the joint resolution, as and if amended, page 1, by striking lines 28 through 37 and inserting:
/ (1) one member each appointed by the President Pro Tempore of the Senate, the Senate Finance Committee Chairman, the Senate Majority Leader, the Senate Minority Leader, and the Senate Education Committee Chairman,
(2) one member each appointed by the Speaker of the House, the House Ways and Means Committee Chairman, the House Majority Leader, the House Minority Leader, and the House Education and Public Works Committee Chairman,
(3) two members appointed by the Governor, and /
Amend the joint resolution further, as and if amended, page 3, by striking lines 7 and 8 and inserting:
/ An amendment that seeks to add, delete, or substantively change the legislation /
Renumber sections to conform.
Amend title to conform.
The committee amendment was adopted.
Senators SETZLER and LEVENTIS proposed the following Amendment No. 1 (1311R002.NGS), which was adopted:
Amend the joint resolution, as and if amended, page 2, by striking line 15 and inserting:
/ vagaries of population, including the growth or decline of the student population in a school district, property value, the poverty index and other variables, if necessary /
Renumber sections to conform.
Amend title to conform.
Senator SETZLER explained the amendment.
The amendment was adopted.
Senator LEATHERMAN proposed the following Amendment No. 2 (1311R005.HKL), which was adopted:
Amend the joint resolution, as and if amended, page 2, by striking lines 37 through 42 and inserting:
/ (E) A member serves without compensation, but is allowed the usual per diem and mileage as provided by law for members of boards, commissions, and committees while on official business to be paid by the member's appointing entity. The panel may engage or employ staff or consultants as may be necessary and prudent to assist the panel in the performance of its duties and responsibilities. Staffs of the Senate Finance Committee, the House Ways & Means Committee, the Education Oversight Committee, and the Department of Education shall be available to assist the panel in its work, as determined by the panel. Any other expenses incurred by the panel shall be paid equally from each respective house's approved account subject to the approval of the respective Operations and Management Committees. /
Renumber sections to conform.
Amend title to conform.
Senator SETZLER explained the amendment.
Senator LEATHERMAN spoke on the amendment.
The amendment was adopted.
There being no further amendments, the Resolution was read the second time, passed and ordered to a third reading.
On motion of Senator LEATHERMAN, with unanimous consent, S. 1311 was ordered to receive a third reading on Friday, April 25, 2008.
S. 1260 (Word version) -- Senators Lourie, Elliott, Short, Reese, Drummond, Thomas and Knotts: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 47-1-145 SO AS TO ENACT THE "PROVISIONS FOR COST OF ANIMAL CARE ACT OF 2008" TO PROVIDE THAT THE CUSTODIAN OF AN ANIMAL TAKEN INTO CUSTODY DUE TO CIVIL OR CRIMINAL VIOLATIONS BY ITS OWNER MAY PETITION THE COURT FOR EXPENSES RELATED TO PROVIDING CARE TO THE ANIMAL; TO ESTABLISH PROCEDURES FOR HEARING SUCH PETITIONS AND FOR THE COLLECTION AND USE OF FUNDS ORDERED TO BE PAID; TO PROVIDE THAT A PERSON WHO FAILS TO PAY SUCH FUNDS FORFEITS RIGHTS OF OWNERSHIP TO THE ANIMAL AND TO PROVIDE FOR THE DISPOSITION OF SUCH AN ANIMAL; AND TO PROVIDE FOR THE RETURN OF FUNDS WHEN A PERSON IS NOT FOUND TO BE IN VIOLATION.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Agriculture and Natural Resources.
The Committee on Agriculture and Natural Resources proposed the following amendment (1260R001.DBV), which was adopted:
Amend the bill, as and if amended, in SECTION 2, on page 1, by striking lines 36 - 42 and on page 2, lines 1-9 and inserting:
/ "Section 47-1-145. (A) Any person, organization, or other entity that is awarded custody of an animal under the provisions of Section 47-1-150 because of the arrest of a defendant for a violation of any provision of Chapter 1 of Title 47 or Chapter 24 of Title 16 and that provides services to the animal without compensation, may file a petition with the court requesting that the defendant be ordered to deposit funds in an amount sufficient to secure payment of all the reasonable expenses expected to be incurred by the custodian in caring for and providing for the animal pending the disposition of the litigation. The court shall order the deposit of a sufficient amount of funds upon a showing that providing reasonable care to the defendant's animal or animals will create an undue financial burden on the organization that will have a detrimental effect on the person's, organization's, or entity's ability to provide services to other animals. For purposes of this section, 'reasonable expenses' includes the cost of providing food, water, shelter, and care, including medical care, for at least thirty days but does not include extraordinary medical procedures./
Renumber sections to conform.
Amend title to conform.
Senator VERDIN 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.
On motion of Senator KNOTTS, with unanimous consent, the name of Senator KNOTTS was added as a co-sponsor of S. 1260.
S. 1172 (Word version) -- Senators Knotts, Ford, Fair, Elliott, Thomas, Short, O'Dell, Reese and Anderson: A BILL TO AMEND SECTION 17-5-50, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO FILLING OF VACANCIES IN THE OFFICE OF THE CORONER, SO AS TO FURTHER PROVIDE FOR THE MANNER IN WHICH THESE VACANCIES SHALL BE FILLED AND FOR THE PERSON WHO SHALL ACT IN THE CORONER'S PLACE IF A VACANCY OR SUSPENSION IN THE OFFICE EXISTS.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Judiciary.
The Committee on Judiciary proposed the following amendment (JUD1172.002), which was adopted:
Amend the bill, as and if amended, pages 1 and 2, by striking SECTION 1 in its entirety and inserting:
/ SECTION 1. Section 17-5-50 of the 1976 Code, as last amended by Act 52 of 2007, is further amended to read:
"Section 17-5-50. (A) In Except as provided in subsection (B), in the event of a vacancy in the office of coroner, the Governor shall fill the office by appointment as provided in Section 4-11-20. The chief magistrate of the county or his designee shall serve as coroner until such time as the Governor appoints a qualified replacement, and he takes office appointing a qualified replacement to serve until the earlier of the following:
(1) the next general election for the office of coroner; or
(2) the next general election, in which case an election shall be to fill the unexpired term.
In either circumstance, the person appointed by the Governor shall hold office until his successor shall qualify.
(B) If a county coroner is suspended by the Governor upon the coroner's indictment or for other reasons, the chief magistrate of that county shall act as coroner until the suspended coroner is reinstated or until a coroner is elected and qualifies in the next general election for coroners, whichever occurs first.
(C) Except as provided in subsection (B), the chief deputy or second in command of the coroner's office shall act as coroner until the vacancy is filled by the Governor's appointment. While acting as coroner, the chief deputy or second in command is subject to the duties and liabilities incident to the office of coroner and shall receive the same salary as the former coroner at the time of the vacancy." / Renumber sections to conform.
Amend title to conform.
Senator RITCHIE explained the committee amendment.
The committee amendment was adopted.
There being no further amendments, the Bill was read the second time, passed and ordered to a third reading.
S. 1143 (Word version) -- Senators McConnell, Martin, Alexander, Hayes, Hutto, Ceips, Peeler, Leventis, Rankin, Setzler, Knotts and Malloy: A BILL TO AMEND SECTION 12-36-2120, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO EXEMPTIONS FROM THE STATE SALES TAX, SO AS TO INCLUDE THE GROSS PROCEEDS OF SALES OR THE SALES PRICE OF ENERGY EFFICIENT APPLIANCES.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Finance.
The Committee on Finance proposed the following amendment (1143R001.HKL), which was adopted:
Amend the bill, as and if amended, page 1, by striking lines 41 and 42, and page 2, by striking lines 1 through 10 and inserting:
/ (c) The exemption provided in this item applies only to sales occurring during a period commencing at 12:01 A.M. on October 1, 2009, and concluding at 12:00 Midnight on October 31, 2009, (National 'Energy Efficiency Month') and every year thereafter until 2019.
(d) Each year until 2019, the State Energy Office shall prepare an annual report on the fiscal and energy impacts of the October first through October thirty-first exemption and submit the report to the General Assembly no later than January first of the following year.
(e) Beginning with the February 15, 2009, forecast by the Board of Economic Advisors of annual general fund revenue growth for the upcoming fiscal year, and annually after that, if the forecast of that growth then and in any adjusted forecast made before the beginning of the fiscal year equals at least five percent of the most recent estimate by the board of general fund revenues for the current fiscal year, then the exemption allowed by this item shall be allowed for the applicable year. If the February fifteenth forecast or adjusted forecast annual general fund revenue growth for the upcoming fiscal year meets the requirement for the credit, the board promptly shall certify this result in writing to the department."
SECTION 2. This act takes effect July 1, 2009. /
Renumber sections to conform.
Amend title to conform.
Senator O'DELL 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.
On motion of Senator KNOTTS, with unanimous consent, the names of Senators KNOTTS and MALLOY were added as co-sponsors of S. 1143.
S. 1141 (Word version) -- Senators McConnell, Rankin, Martin, Leventis, Peeler, Alexander, Hayes, Setzler, Hutto, Ceips, Knotts and Malloy: A BILL TO AMEND SECTION 12-36-2110, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE CALCULATION OF TAX ON MANUFACTURED HOMES, SO AS TO REFINE THE DEFINITION OF A MANUFACTURED HOME THAT IS SUBJECT TO A MAXIMUM SALES TAX BECAUSE IT MEETS CERTAIN ENERGY EFFICIENCY STANDARDS; AND TO AMEND CHAPTER 52, TITLE 48, BY ADDING ARTICLE 10 SO AS TO ESTABLISH AN INCENTIVE PROGRAM FOR THE PURCHASE AND INSTALLATION OF ENERGY EFFICIENT MANUFACTURED HOMES IN SOUTH CAROLINA.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Finance.
The Committee on Finance proposed the following amendment (1141R001.HKL), which was adopted:
Amend the bill, as and if amended, beginning on page 1, line 38, by striking lines 38-42, and ending on page 2, line 8, by striking lines 1-8 in their entirety and inserting:
/ However, a manufactured home is exempt from any tax that may be due above in excess of three hundred dollars that may be due as a result of the calculation in item (4) if it meets these energy efficiency levels: storm or double pane glass windows, insulated or storm doors, a minimum thermal resistance rating of the insulation only of R-11 for walls, R-19 for floors, and R-30 for ceilings. However, variations in the energy efficiency levels for walls, floors, and ceilings are allowed and the exemption on tax due above three hundred dollars applies if the total heat loss does not exceed that calculated using the levels of R-11 for walls, R-19 for floors, and R-30 for ceilings. The edition of the American Society of Heating, Refrigerating, and Air Conditioning Engineers Guide in effect at the time is the source for heat loss calculation. Notwithstanding the provisions of this subsection, from July 1, 2009, to July 1, 2019, a manufactured home is exempt from any tax that may be due as a result of the calculation in this subsection if it has been designated /
Amend the bill further, as and if amended, by striking SECTIONS 2 and 3 in inserting:
SECTION 2. Chapter 52, Title 48 of the 1976 Code is amended by adding:
Energy Efficient Manufactured Homes Incentive Program
Section 48-52-870. (A)The Energy Efficient Manufactured Homes Incentive Program is established to provide financial incentives for the purchase and installation of energy efficient manufactured homes in South Carolina. Any person who purchases a manufactured home designated by the United States Environmental Protection Agency and the United States Department of Energy as meeting or exceeding each agency's energy saving efficiency requirements or which has been designated as meeting or exceeding such requirements under each agency's ENERGY STAR program from a retail dealership licensed by the South Carolina Manufactured Housing Board for use in this State is eligible for a nonrefundable income tax credit equal to seven hundred fifty dollars. The credit may be claimed beginning July 1, 2009, and no later than July 1, 2019.
(B) The South Carolina Energy Office shall adopt rules pursuant to develop tax credit applications and administer the issuance of tax credits and must track and report on the fiscal and energy impacts of this program."
SECTION 3. This act takes effect July 1, 2009. /
Renumber sections to conform.
Amend title to conform.
Senator O'DELL explained the committee amendment.
The committee amendment was adopted.
Senator ODELL proposed the following Amendment No. 1 (1141R002.WHO), which was adopted:
Amend the bill, as and if amended, by adding an appropriately numbered SECTION to read:
/ SECTION ___. Section 12-6-3587(A) of the 1976 Code is amended to read:
"(A) There is allowed as a tax credit against the income tax liability of a taxpayer imposed by this chapter an amount equal to twenty-five percent of the costs incurred by the taxpayer in the purchase and installation of a solar energy system for heating water, space heating, air cooling, or energy efficiency standards such as demand response, daylighting and heat reclaim systems, or the generation of electricity in or on a facility in South Carolina and owned by the taxpayer. The tax credit allowed by this section must not be claimed before the completion of the installation. The amount of the credit in any year may not exceed three thousand five hundred dollars for each facility or fifty percent of the taxpayer's tax liability for that taxable year, whichever is less. If the amount of the credit exceeds three thousand five hundred dollars for each facility, the taxpayer may carry forward the excess for up to ten years." /
Renumber sections to conform.
Amend title to conform.
Senator O'DELL explained the amendment.
The amendment was adopted.
There being no further amendments, the Bill was read the second time, passed and ordered to a third reading.
On motion of Senator KNOTTS, with unanimous consent, the names of Senators KNOTTS and MALLOY were added as co-sponsors of S. 1141.
S. 1140 (Word version) -- Senators McConnell, Peeler, Rankin, Martin, Leventis, Alexander, Hayes, Hutto, Setzler, Ceips, Knotts and Malloy: A BILL TO AMEND CHAPTER 52, TITLE 48, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ENERGY EFFICIENCY, BY ADDING ARTICLE 12 SO AS TO ESTABLISH ENERGY EFFICIENCY AND RENEWABLE ENERGY GOALS FOR STATE GOVERNMENT, TO DIRECT STATE AGENCIES TO PROCURE ENERGY EFFICIENT PRODUCTS, AND TO DIRECT EVERY STATE AGENCY HEAD TO REQUIRE THE REPLACEMENT OF ALL INCANDESCENT LIGHT BULBS WITH COMPACT FLUORESCENT LIGHT BULBS IN EACH STATE AGENCY BY JULY 1, 2011.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Agriculture and Natural Resources.
The Committee on Agriculture and Natural Resources proposed the following amendment (1140R005.DBV), which was adopted:
Amend the bill, as and if amended, page 3, by striking lines 12 and 13 and inserting:
/ incandescent light bulbs in the state agency with compact fluorescent light bulbs, or any other product of equal or better performance. A state agency head shall prohibit the /
Renumber sections to conform.
Amend title to conform.
Senator VERDIN explained the committee amendment.
The committee amendment was adopted.
Senator VERDIN proposed the following Amendment No. 1 (1140R006.DBV), which was adopted:
Amend the bill, as and if amended, on page 1, by striking lines 34 - 39, and inserting:
/ Section 48-52-900. (A) Every state agency shall establish a goal to reduce energy consumption by at least one percent each year beginning July 1, 2008, with an ultimate goal of reducing energy consumption by twenty percent by the year 2020, relative to year 2000 levels. In pursuit of these goals, each state agency shall implement all cost-effective energy efficiency measures. The provisions of this section do not apply to a building designed, constructed or rehabilitated, and maintained in compliance with the Energy Independence and Sustainable Construction Act of 2007. /
Amend the bill further, as and if amended, on page 2, by striking lines 14 - 17 and inserting:
/ (E) Energy consumption includes, but is not limited to, energy produced from electricity, natural gas, fuel oil, and propane. Energy consumption shall be measured using BTU's per gross square foot.
(F) For the purposes of this chapter, 'state agency' means any state government agency subject to the State Procurement Code. For state institutions of higher learning, this definition shall only apply to those facilities greater than ten thousand gross square feet and shall not include those facilities whose function is defined as athletics, housing, or research. /
Amend the bill further, as and if amended, on page 3, by striking lines 9 - 16 and inserting:
/ Section 48-52-930. (A) Every state agency head must require the agency's procurement officer, or other state employee authorized to purchase supplies for the agency, to replace an incandescent light bulb in the state agency with a compact fluorescent light bulb, or any other product of equal or better performance, when the incandescent bulb needs to be replaced, and if the agency determines use of a compact fluorescent bulb is more cost effective over a five-year period than use of an incandescent bulb. A state agency may purchase incandescent bulbs for the agency if the agency verifies, in writing, that compelling circumstances require the use of incandescent bulbs. /
Renumber sections to conform.
Amend title to conform.
Senator VERDIN explained the amendment.
The amendment was adopted.
There being no further amendments, the Bill was read the second time, passed and ordered to a third reading.
On motion of Senator KNOTTS, with unanimous consent, the names of Senators KNOTTS and MALLOY were added as co-sponsors of S. 1140.
S. 1125 (Word version) -- Senators Hutto and Knotts: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 1-31-45 SO AS TO PROHIBIT THE USE OF THE WORDS "NATIVE AMERICAN", "INDIAN TRIBE", "NATIVE AMERICAN INDIAN", OR SIMILAR WORDS IN CONNECTION WITH THE NAME OF A PURSUIT UNLESS THE USER IS RECOGNIZED AS A NATIVE AMERICAN INDIAN TRIBE BY THE STATE COMMISSION FOR MINORITY AFFAIRS.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Judiciary.
The Committee on Judiciary proposed the following amendment (JUD1125.003), which was adopted:
Amend the bill, as and if amended, by striking the bill in its entirety and inserting therein the following:
TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 16-17-325, SO AS TO PROHIBIT A PERSON FROM KNOWINGLY AND INTENTIONALLY REPRESENTING HIMSELF OR AN ENTITY FROM BEING KNOWINGLY AND INTENTIONALLY REPRESENTED AS BELONGING TO OR BEING A STATE RECOGNIZED TRIBE, GROUP, OR SPECIAL INTEREST ORGANIZATION IF THE PERSON WAS NOT A MEMBER OF A STATE RECOGNIZED TRIBE, GROUP, OR SPECIAL ORGANIZATION OR THE ENTITY HAD NOT RECEIVED STATE RECOGNITION BY THE STATE COMMISSION FOR MINORITY AFFAIRS PURSUANT TO ITS AUTHORITY IN SECTION 1-31-40(A)(10).
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Article 5, Chapter 17, Title 16 of the 1976 Code is amended by adding:
"Section 16-17-325. (A) As used in this section, the terms 'state recognized' or 'state recognition' mean that a tribe, group, or special interest organization has complied with the regulatory requirements and been conferred status as a state recognized tribe, group, or special interest organization by the State Commission for Minority Affairs pursuant to its authority in Section 1-31-40(A)(10).
(B)(1) A person must not knowingly and intentionally represent himself, either orally or in writing, as being a member of a state recognized tribe, group, or special interest organization unless he is a member of a tribe, group, or special interest organization that has received state recognition by the State Commission for Minority Affairs pursuant to its authority in Section 1-31-40(A)(10).
(2) An entity must not be knowingly and intentionally represented, either orally or in writing, as being a state recognized tribe, group, or special interest organization unless the entity is a tribe or group that has received state recognition by the State Commission for Minority Affairs pursuant to its authority in Section 1-31-40(A)(10).
(3) This subsection prohibits a person or entity from knowingly and intentionally misrepresenting his or its specific status as belonging to or being a state recognized tribe, group, or special interest organization as well as prohibiting a person or entity that is not a state recognized tribe, group, or special interest organization from knowingly and intentionally representing that he belongs to or the entity is a state recognized tribe, group, or special interest organization.
(C) A filing with the Office of the Secretary of State does not, without state recognition being conferred by the State Commission for Minority Affairs pursuant to its authority in Section 1-31-40(A)(10), constitute the state recognition required to satisfy subsection (A) of this section.
(D) Any person or entity that violates the provisions of subsection (B) is guilty of a misdemeanor and, upon conviction, must be fined up to five hundred dollars for each violation."
SECTION 2. This act takes effect upon approval by the Governor./
Renumber sections to conform.
Amend title to conform.
Senator RITCHIE explained the amendment.
The amendment was adopted.
There being no further amendments, the Bill was read the second time, passed and ordered to a third reading.
On motion of Senator KNOTTS, with unanimous consent, the name of Senator KNOTTS was added as a co-sponsor of S. 1125.
S. 1090 (Word version) -- Senators Thomas, Ford, Anderson and Jackson: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, SO AS TO ENACT THE "SOUTH CAROLINA MORTGAGE LENDING ACT", BY ADDING CHAPTER 22 TO TITLE 37 SO AS TO REQUIRE THE LICENSING OF A MORTGAGE LENDER, LOAN OFFICER, LIMITED LOAN OFFICER, OR SOMEONE ACTING AS A MORTGAGE LENDER; TO PROVIDE DEFINITIONS; TO ESTABLISH QUALIFICATIONS FOR LICENSURE AND GROUNDS FOR REVOCATION, SUSPENSION, RENEWAL, AND TERMINATION; TO DESCRIBE PROHIBITED ACTIVITIES; PROVIDE FOR RECORD-KEEPING, TRUST AND ESCROW ACCOUNTS, AND ANNUAL REPORTS; TO PROVIDE FOR THE FELONY OFFENSE OF MORTGAGE FRAUD AND PENALTIES; PROVIDE FOR ENFORCEMENT OTHERWISE THROUGH THE DEPARTMENT OF CONSUMER AFFAIRS AND THROUGH CRIMINAL PENALTIES; TO AMEND SECTIONS 37-1-301, 37-3-501, AND 37-23-20, ALL RELATING TO DEFINITIONS IN CONNECTION WITH MORTGAGE LENDING AND BROKERING AND HIGH-COST AND CONSUMER HOME LOANS, SO AS TO CONFORM DEFINITIONS, AND TO ADD A DEFINITION FOR "ADJUSTABLE RATE MORTGAGE"; TO AMEND SECTIONS 37-23-40, 37-23-45, AND 37-23-75, ALL RELATING TO PROTECTIONS FOR THE BORROWER IN A HIGH-COST OR CONSUMER HOME LOAN TRANSACTION, SO AS TO REQUIRE CERTAIN DISCLOSURES IN CONNECTION WITH AN ADJUSTABLE RATE MORTGAGE; AND TO AMEND CHAPTER 58 OF TITLE 40, RELATING TO THE REGISTRATION OF MORTGAGE LOAN BROKERS, SO AS TO CHANGE THE REGISTRATION REQUIREMENTS TO LICENSING REQUIREMENTS, TO REDEFINE "MORTGAGE BROKER", "EXEMPT ORGANIZATION", "RESIDENTIAL REAL PROPERTY", INTER ALIA, AND TO ADD NEW DEFINITIONS, INCLUDING "BRANCH OFFICE", "PATTERN OF RESIDENTIAL MORTGAGE FRAUD", "TABLEFUNDING", AND OTHERS; TO REQUIRE CERTAIN PROFESSIONAL COURSES, AN ADDITIONAL YEAR OF EXPERIENCE, AND A FINGERPRINT CHECK FOR MORTGAGE BROKERS AND MORTGAGE ORIGINATORS; TO REQUIRE CERTAIN RECORDS BE KEPT AND MADE ACCESSIBLE; TO ADD CERTAIN PROHIBITIONS IN CONNECTION WITH A REAL ESTATE APPRAISAL; TO REQUIRE AND PRESCRIBE MORTGAGE BROKER AGREEMENTS; TO AUTHORIZE ENFORCEMENT BY THE DEPARTMENT OF CONSUMER AFFAIRS, AND PRESCRIBE ADMINISTRATIVE PENALTIES INCLUDING FINES AND INJUNCTIONS AND CRIMINAL PENALTIES; TO REQUIRE CERTAIN REPORTS AND FILINGS; AND TO PROVIDE FOR THE FELONY OFFENSE OF MORTGAGE FRAUD AND PENALTIES.
The Senate proceeded to a consideration of the Bill, the question being the adoption of the amendment proposed by the Committee on Banking and Insurance.
Senator SETZLER proposed the following Amendment No. P-2 (1090R002.NGS), which was adopted:
Amend the committee amendment, as and if amended, on page [1090-5], by striking lines 33 - 37 and inserting:
/ (23) 'Residential real property' means real property located in the State of South Carolina upon which there is located or is to be located one or more single-family, owner-occupied dwellings or dwelling units that are to be occupied as the owner's principal dwelling, and includes real estate and residential manufactured home (land/home) transactions. /
Renumber sections to conform.
Amend title to conform.
Senator SETZLER explained the amendment.
The amendment was adopted.
The Committee on Banking and Insurance proposed the following amendment (AGM\19224MM08), which was adopted:
Amend the bill, as and if amended, by deleting all after the enacting words and inserting:
/ SECTION 1. This act may be cited as "The South Carolina Mortgage Lending Act".
SECTION 2. Title 37 of the 1976 Code is amended by adding:
Mortgage Lending
Section 37-22-110. The following definitions apply in this chapter:
(1) 'Act as a mortgage broker' means to act, for compensation or gain, or in the expectation of compensation or gain, either directly or indirectly, by soliciting, processing, placing, or negotiating mortgages for others or offering to process, place, or negotiate mortgages for others or engaging in tablefunding of mortgages or as a loan correspondent, as that term is defined in 24 CFR Part 202 et seq., whether those acts are done by telephone, by electronic means, by mail, or in person with the borrowers or potential borrowers. 'Act as a mortgage broker' also includes a person or organization who brings borrowers or lenders together to obtain mortgages or renders a settlement service as described in 12 USC 2602(3) and 24 CFR Part 3500.2(b).
(2) 'Act as a mortgage lender' means to engage in the business of making or servicing mortgages for compensation or gain, or in the expectation of compensation or gain, either directly or indirectly, including soliciting, processing, or negotiating a mortgage.
(3) 'Administrator' means the administrator of the Department of Consumer Affairs (department) or the administrator's designees; except that, for purposes of licensing and regulation of supervised lenders licensed by it, the term 'administrator' as used in this chapter means the State Board of Financial Institutions (board).
(4) 'Affiliate' means a company that controls, is controlled by, or is under common control with another company, as set forth in the Bank Holding Company Act of 1956 (12 USC Section 1841), et seq. For purposes of this item, the term 'control' means ownership of all of the voting stock or comparable voting interest of the controlled person.
(5) 'Affiliated mortgage lender' means a licensed mortgage lender that meets the criteria of either subitems (a), (b), and (c) of this item or subitems (d) and (e) of this item. The licensee:
(a) by itself or with its affiliates, is licensed in five or more states to engage in the mortgage lending business and (i) is supervised by a state or federal regulatory agency whose regulatory scheme has been determined by the administrator to be substantially similar to that of South Carolina, (ii) is organized and supervised under the laws of a state that has adopted a model licensing law endorsed by the administrator; or (iii) is supervised by a state or federal agency that is a party to an interstate compact or has otherwise entered into a cooperative reciprocal agreement by which the state or federal regulatory agency and the State of South Carolina, directly or by duly authorized act of the administrator, have agreed mutually to recognize state licensing laws which have specific enumerated criteria;
(b) including its affiliates and wholly owned subsidiaries, has more than one hundred employees that are licensed pursuant to this chapter;
(c) has an audited consolidated net worth of fifty million dollars or more, or if the licensee does not have the required net worth, its parent shall provide to the administrator (i) evidence satisfactory to the administrator that the parent has an audited net worth of one hundred million dollars or more, and (ii) an unconditional guarantee or comparable instrument of surety satisfactory to the administrator of the performance of the licensee of its obligations pursuant to this chapter;
(d) is a direct or indirect wholly owned subsidiary of a bank holding company or financial services holding company subject to regulation by the Federal Reserve Board or the Office of Thrift Supervision;
(e) has an audited net worth of fifty million dollars or, if the licensee does not have the required net worth, (i) its parent, if it is not a bank holding company or financial holding company, meets the requirements of subitem (c) of this item, or (ii) its parent, if the parent is a bank holding company or financial holding company, has audited total assets in excess of ten billion dollars and provides the administrator with the unconditional guarantee or comparable instrument of surety required by subsubitem (c) of this item.
(6) 'Branch manager' means the individual who is in charge of and who is responsible for the business operations of a branch office of a mortgage lender.
(7) 'Branch office' means an office of the licensee acting as a mortgage lender that is separate and distinct from the licensee's principal office.
(8) 'Control', except as provided in item (4) of this section, means the power, directly or indirectly, to direct the management or policies of a company, whether through ownership of securities, by contract, or otherwise. A person that (i) is a director, general partner or executive officer; (ii) directly or indirectly has the right to vote ten percent or more of a class of a voting security or has the power to sell or direct the sale of ten percent or more of a class of voting securities; (iii) in the case of an LLC, is the managing member; or (iv) in the case of a partnership, has the right to receive upon dissolution, or has contributed, ten percent or more of the capital, is presumed to control that company.
(9) 'Employee' means an individual who has an employment relationship, acknowledged by both the individual and the mortgage lender, and is treated like an employee for purposes of compliance with the federal income tax laws.
(10) 'Exempt person' means any:
(a) agency of the federal government or state government granting mortgage loans under specific authority of the laws of a state or the United States;
(b) employee of a licensee whose responsibilities are limited to clerical and administrative tasks for the employer and who does not solicit borrowers, accept applications, or negotiate the terms of loans on behalf of the employer;
(c) person authorized to engage in business as a bank or a wholly owned subsidiary of a bank, farm credit system, savings institution or wholly owned subsidiary of a savings institution, or credit union or a wholly owned subsidiary of a credit union under the laws of the United States, this State, or another state. Except for Section 37-22-200, Section 37-22-250, and Section 37-22-280, this chapter does not apply to the exempt persons described in this subitem; or
(d) officer or employee of an exempt person described in subitem (c) of this item when acting in the scope of employment for the exempt person.
(11) 'Financial Services or financial services related' means pertaining to securities, commodities, banking, insurance, consumer lending, or real estate including, but not limited to, acting as or being associated with a bank or savings association, credit union, mortgage lender, mortgage servicer, mortgage broker, real estate broker, real estate salesperson or agent, closing agent, title company, or escrow agent.
(12) 'Licensee' means a person or organization who is licensed pursuant to this chapter.
(13) 'Loan officer' means an individual who, in exchange for compensation as an employee of a licensed mortgage lender and employed by the mortgage lender, solicits, negotiates, accepts, or offers to accept applications for mortgages and includes direct contact with and informing mortgage applicants of the rates, terms, disclosures, and other aspects of the mortgage. The definition of 'loan officer' does not include an exempt person described in subitems (10)(b) and (d) of this section.
(14) 'Limited loan officer' means an individual who, in exchange for compensation as an employee of an affiliated mortgage lender, employed by the affiliated mortgage lender, directly solicits, negotiates, offers, or makes commitments for mortgage loans. The definition of 'limited loan officer' does not include an exempt person described in subitems (10)(b) and (d) of this section.
(15) 'Make a mortgage loan' means to close a mortgage loan, advance funds, offer to advance funds, or make a commitment to advance funds to a borrower under a mortgage loan.
(16) 'Managing principal' means a person who meets the requirements of Section 37-22-140(C) and who agrees to be primarily responsible for the operations of a licensed mortgage lender.
(17) 'Mortgage broker' means a person or organization in the business of soliciting, processing, placing, or negotiating mortgages for others or offering to process, place, or negotiate mortgages for others. Mortgage broker also includes a person or organization who brings borrowers or lenders together to obtain mortgages or renders a settlement service as described in 12 USC 2602(3) and 24 CFR Part 3500.2(b). A person who acts as a mortgage broker, as that term is defined in item (1) of this section.
(18) 'Mortgage lender' means a person who acts as a mortgage lender as that term is defined in item (2) of this section or engages in the business of servicing mortgage loans for others or collecting or otherwise receiving mortgage loan payments directly from borrowers for distribution to any other person. However, the definition does not include a person who acts as a mortgage lender only in tablefunding transactions.
(19) 'Mortgage loan' means a loan made to a natural person primarily for personal, family, or household use, (i) primarily secured by a mortgage or a deed of trust on residential real property located in South Carolina; (ii) negotiated, offered or otherwise transacted within this State, in whole or in part; or (iii) made or extended within this State.
(20) 'Parent' means the person that controls an affiliated mortgage lender, as control is defined in item (8) of this section.
(21) 'Pattern of residential mortgage fraud' means one or more misstatements, misrepresentations, or omissions made during the mortgage lending process that involve two or more residential properties, which have the same or similar intents, results, accomplices, victims, or methods of commission or otherwise are interrelated by distinguishing characteristics.
(22) 'Person' means an individual, partnership, limited liability company, limited partnership, corporation, association, or other group engaged in joint business activities, however organized.
(23) 'Residential real property' means real property located in the State of South Carolina upon which there is located or is to be located one or more single-family, owner-occupied dwellings or dwelling units, and includes real estate and residential manufactured home (land/home) transactions.
(24) 'RESPA' means the Real Estate Settlement Procedures Act of 1974, 12 USC Section 2601 et seq.
(25) 'Soliciting, processing, placing, or negotiating a mortgage' means, for compensation or gain or in the expectation of compensation or gain, either directly or indirectly, accepting or offering to accept an application for a mortgage, assisting or offering to assist in the processing of an application for a mortgage, soliciting or offering to solicit a mortgage on behalf of a third party, or negotiating or offering to negotiate the terms or conditions of a mortgage with a lender on behalf of a third party.
(26) 'Supervised loan' means a first mortgage and second mortgage, in addition to the definition in Section 37-3-501.
(27) 'Tablefunding' means a transaction where a mortgage broker closes a loan in its own name with funds provided by others.
Section 37-22-120. (A) Other than an exempt person, it is unlawful for a person doing business in this State to act as a mortgage lender, or directly or indirectly to engage in the business of a mortgage lender, without first obtaining a license from the administrator pursuant to this chapter.
(B) It is unlawful for a person to engage in the solicitation and acceptance of applications for mortgage loans without first obtaining a license as a loan officer, limited loan officer, or mortgage lender issued by the administrator pursuant to this chapter. It is unlawful for a person to employ, compensate, or appoint as its agent a loan officer unless the loan officer is licensed as a loan officer pursuant to this chapter. Exempt persons are not be subject to this subsection.
(C) The license of a loan officer or limited loan officer is not effective during a period when that person is not employed by an affiliated mortgage lender or mortgage lender licensed pursuant to this chapter.
(D) When a loan officer or a limited loan officer ceases to be employed by an affiliated mortgage lender, or mortgage lender licensed pursuant to this chapter, the loan officer, limited loan officer, and the affiliated mortgage lender or mortgage lender licensed pursuant to this chapter or by whom that person is employed promptly shall notify the administrator in writing. The affiliated mortgage lender's or mortgage lender's notice must include a statement of the specific reason or reasons for, as applicable, the termination of the loan officer's or limited loan officer's employment.
(E) A loan officer or limited loan officer must not be employed simultaneously by more than one affiliated mortgage lender or mortgage lender licensed pursuant to this chapter.
(F) A person who has completed and filed with the administrator the application and all documents required for licensure as a loan officer, other than documents relating to the required examination and the mortgage lending fundamentals course, may act as a loan officer during the period before action is taken on the application by the administrator, if the:
(1) administrator or another state or federal regulatory agency of financial services or financial services related businesses has not denied, revoked, or taken adverse action with respect to an application filed by or license held by that person during the ten-year period ending on the date of filing of the application;
(2) loan officer is employed by a licensed mortgage lender, and the managing principal of the mortgage lender (i) certifies to the administrator in writing that the managing principal reasonably believes that the application of the person for licensure as a loan officer meets or exceeds all of the relevant requirements of this chapter for licensure; and (ii) undertakes in writing that the managing principal and the employer will be responsible for the acts of the applicant during the period that the application is pending; and
(3) person is currently or within the six-month period before the date of the application has been employed as and acting as a loan officer for an entity which is exempt by virtue of an exemption claimed pursuant to Section 37-22-110(10)(c).
(G) The administrator may deny or suspend the rights of a mortgage lender to employ a loan officer acting pursuant to subsection (F) of this section if the administrator finds that the mortgage lender, or its managing principal, makes the certification or undertaking set forth in item (2) of subsection (F) of this section in bad faith.
Section 37-22-130. (A) A person who has exhausted all administrative remedies available before the administrator and who is aggrieved by the administrator's determination is entitled to a contested case hearing before the Administrative Law Court as provided in Section 1-23-600(D) and judicial review as provided in Sections 1-23-380(B) and 1-23-610. This section does not limit utilization of or the scope of judicial review available under other means of review, redress, relief, or trial de novo provided by law. A preliminary, procedural, or intermediate action or ruling of the Administrative Law Court is reviewable immediately if review of the final decision of the Administrative Law Court would not provide an adequate remedy.
(B) Contested case proceedings are instituted by filing a request for a contested case hearing with the Administrative Law Court according to the rules of procedure of the Administrative Law Court. Copies of the request for a contested case hearing must be served upon the administrator and all parties of record. The final decision of the administrative law judge may be appealed as provided in Sections 1-23-380 and 1-23-610.
Section 37-22-140. (A) A person desiring to obtain a license pursuant to this chapter shall make written application for licensure to the administrator on forms prescribed by the administrator. The application must contain the information the administrator considers necessary including, but not limited to, the applicant's:
(1) name and address and social security number or if applicable Employer Identification Number (EIN);
(2) form and place of organization, if applicable;
(3) proposed method of and locations for doing business, if applicable;
(4) qualifications and business history and, if applicable, the business history of any partner, officer, or director, a person occupying a similar status or performing similar functions, or a person directly or indirectly controlling the applicant, including: (i) a description of an injunction or administrative order by a state or federal authority to which the person is or has been subject, including denial, suspension or revocation of a financial services or financial services related license or registration; (ii) a conviction of a misdemeanor within the last ten years involving financial services or a financial services related business or any fraud, false statements or omissions, theft or wrongful taking of property, bribery, perjury, forgery, counterfeiting, extortion, or a conspiracy to commit any of these offenses; and (iii) felony convictions;
(5) financial condition, credit history, and business history, with respect to an application for licensing as a mortgage lender; and credit history and business history, with respect to the application for licensing as a loan officer; and
(6) consent to a national and state fingerprint-based criminal history record check and submit a set of the applicant's fingerprints in a form acceptable to the administrator. The applicant must undergo a state criminal records check, supported by fingerprints, by the South Carolina Law Enforcement Division (SLED), and a national criminal records check, supported by fingerprints, by the Federal Bureau of Investigation (FBI). The results of these criminal records checks must be reported to the administrator. SLED is authorized to retain the fingerprints for certification purposes and for notification of the administrator regarding subsequent criminal charges which may be reported to SLED or the FBI, or both. The administrator shall keep all information pursuant to this section privileged, in accordance with applicable state and federal guidelines. In the case of an applicant that is a corporation, partnership, limited liability company, association, or trust, each individual who has control of the applicant or who is the managing principal or a branch manager shall consent to a national and state fingerprint-based criminal history record check and submit a set of that individual's fingerprints pursuant to this item. The applicant must undergo a state criminal records check, supported by fingerprints, by SLED, and a national criminal records check, supported by fingerprints, by the FBI. The results of these criminal records checks must be reported to the administrator. The South Carolina Law Enforcement Division is authorized to retain the fingerprints for certification purposes and for notification of the administrator regarding any subsequent criminal charges. The administrator shall keep all information pursuant to this section privileged, in accordance with applicable state and federal guidelines. Refusal to consent to a criminal history record check constitutes grounds for the administrator to deny licensure to the applicant as well as to any entity (i) by whom or by which the applicant is employed, (ii) over which the applicant has control, or (iii) as to which the applicant is the current or proposed managing principal or a current or proposed branch manager.
(B) In addition to the requirements imposed by the administrator in subsection (A) of this section, each individual applicant for licensure as a loan officer shall:
(1) have attained the age of at least eighteen years of age;
(2) work for a licensed mortgage lender; and
(3) have satisfactorily completed, within the three years immediately preceding the date application is made, a mortgage lending fundamentals course approved by the administrator. The course must consist of at least eight hours of classroom instruction in subjects related to mortgage lending approved by the administrator or possess residential mortgage lending education or experience in residential mortgage lending transactions that the administrator considers equivalent to the course. In addition, the applicant shall have completed satisfactorily a written examination approved by the administrator. The administrator may waive portions of the examination based upon evidence satisfactory to the administrator that the applicant has acquired a professional certification or accreditation that indicates mastery of the subject matter.
(C) In addition to the requirements of subsection (A) of this section, each applicant for licensure as a mortgage lender at the time of application and at all times after that shall comply with the following requirements:
(1) Except as provided in item (2) of this subsection, if the applicant is a sole proprietor, the applicant shall have at least three years of experience in residential mortgage lending or other experience or competency requirements as the administrator may impose. Experience as a limited loan officer does not constitute mortgage lending experience pursuant to this item.
(2) If the applicant is a general or limited partnership, at least one of its general partners shall have the experience described in item (1) of this subsection.
(3) If the applicant is a corporation, at least one of its principal officers shall have the experience described in item (1) of this subsection.
(4) If the applicant is a limited liability company, at least one of its members or managers shall have the experience described in item (1) of this subsection.
(D) Each applicant shall identify one person meeting the requirements of subsection (C) of this section to serve as the applicant's managing principal.
(E) Every applicant for initial licensure shall pay a filing fee of one thousand dollars for licensure as a mortgage lender or fifty dollars for licensure as a loan officer or limited loan officer, in addition to the actual cost of obtaining credit reports and national and state fingerprint-based criminal history record checks. If a licensed loan officer changes employment, then a new license must be issued and a fee of twenty-five dollars must be paid for issuing the new license.
(F) A mortgage lender shall post a surety bond in the amount of one hundred fifty thousand dollars executed by a surety company authorized by the laws of this State to transact business within this State. The surety bond must be in a form satisfactory to the administrator, must be executed to the State of South Carolina, and must be for the use of the State and for consumers who may have a cause of action against the mortgage lender, after notice and opportunity for hearing before the Administrative Law Court. The aggregate liability of the surety may not exceed the principal sum of the bond. The license of a licensee is void upon the termination of the bond by the surety company, unless, a new bond has been filed with the administrator before the termination.
(G) Any general partner, member or manager of a limited liability company, or officer of a corporation who meets individually the requirements of subsection (B) of this section, upon payment of the applicable fee, meets the qualifications for licensure as a loan officer subject to the provisions of subsection (I) of this section.
(H) Each principal office and each branch office of a licensed mortgage lender at which business is conducted must be licensed pursuant to this chapter and must be issued a separate license. A licensed mortgage lender shall file with the administrator an application on a form prescribed by the administrator that identifies the address of the principal office and each branch office and branch manager. A licensing fee of one hundred fifty dollars must be assessed by the administrator for each branch office issued a license.
(I) If the administrator determines that an applicant meets the qualifications for licensure and finds that the financial responsibility, character, and general fitness of the applicant are such as to command the confidence of the community and to warrant belief that the business will be operated honestly and fairly, the administrator shall issue a license to the applicant. If the administrator does not so find, the administrator shall refuse to license the applicant and shall notify him of the denial.
Section 37-22-150. (A) An affiliated mortgage lender shall notify the administrator, on forms prescribed by the administrator, when it hires a limited loan officer. The form must contain information the administrator considers necessary including, but not limited to, the name, social security number, address, and business location of the limited loan officer. Limited loan officers employed by an affiliated mortgage lender shall:
(1) have attained the age of at least eighteen years;
(2) work exclusively in financial services or financial services related business for an affiliated mortgage lender. The affiliated mortgage lender who hires the limited loan officer shall:
(a) supervise the limited loan officer as required by this chapter;
(b) sign the notification form regarding the hiring of the applicant;
(c) certify the applicant is qualified as a limited loan officer subject to background checks, training, testing, and fundamental education requirements; and
(d) bear joint and several liability for claims and damages, including punitive damages, arising out of the limited loan officer's mortgage lending activities, as allowed by law.
(B) An applicant for a limited loan officer license may act provisionally as a limited loan officer during the pendency of the application before the administrator for up to sixty days after submission of the completed forms identified in subsection (A) of this section and a written undertaking by the employing affiliated mortgage lender that it will be responsible for all the applicant's mortgage lending activities.
(C) Systems, programs, and procedures used by the affiliated mortgage lender for employment background checks, training, testing, and education by the affiliated mortgage lender must be submitted to and reviewed by the administrator, who may approve those which are comparable and functionally equivalent to those for loan officers pursuant to Section 37-22-140 and Section 37-22-170. The administrator must be notified of material changes or modifications to the approved systems, programs, and procedures. The administrator may approve those systems, programs, and procedures used by the affiliated mortgage lender for these purposes that meet or exceed programs otherwise accredited by the administrator or that have been approved for the affiliated mortgage lender by at least five other states in which the affiliated mortgage lender is licensed and whose licensing requirements are substantially similar to those of South Carolina.
(D) Except as specified in this section, limited loan officers are subject to licensing standards and disciplinary authority in the same way as loan officers pursuant to this chapter.
(E) A person whose license is revoked, suspended, or barred pursuant to this chapter is prohibited from participating in the mortgage lending business in this State.
Section 37-22-160. (A) All licenses issued by the administrator pursuant to this chapter expire annually on the 31st day of December following issuance or on another date that the administrator may determine. The license is invalid after that date unless renewed. The renewal period for all licensees is from November 1 through December 1 annually or on another date the administrator may determine. Applications received after December 1 or another date the administrator determines are late and the late fees in subsection (B) apply. A license may be renewed by compliance with subsection (C) of this section and by paying to the administrator, in addition to the actual cost of obtaining credit reports and national and state fingerprint-based criminal history record checks as the administrator may require, a renewal fee as follows:
(1) licensed mortgage lenders shall pay an annual renewal fee of eight hundred dollars and one hundred fifty dollars for each branch office; and
(2) licensed loan officers or limited loan officers shall pay an annual fee of fifty dollars.
(B) If a license of a licensed mortgage lender is not renewed during the renewal period, an additional fifteen hundred dollars, in addition to the renewal fee in subsection (A) of this section, must be assessed as a late fee to any renewal. If a license of a licensed loan officer or limited loan officer is not renewed during the renewal period, three hundred dollars in addition to the renewal fee in subsection (A) of this section must be assessed as a late fee to a renewal. If a licensee fails to renew its license within thirty days after the date the license expires, the administrator may require the licensee to comply with the requirements for the initial issuance of a license pursuant to this chapter, in addition to paying a late fee that has accrued.
(C) When required by the administrator, each individual described in Section 37-22-140 shall furnish to the administrator consent to a national and state fingerprint-based criminal history record check and a set of fingerprints in a form acceptable to the administrator. Refusal to consent to a criminal history record check may constitute grounds for the administrator to deny renewal of the license of the person as well as the license of another person by which he is employed, over which he has control, or as to which he is the current or proposed managing principal or a current or proposed branch manager.
(D) A license issued pursuant to this chapter is not assignable or transferable. Control of a licensee must not be acquired through a stock purchase or other device without the prior written consent of the administrator. The administrator may not give written consent if the administrator finds that any of the grounds for denial, revocation, or suspension of a license pursuant to Section 37-22-210 are applicable to the acquiring person.
Section 37-22-170. (A) As a condition of license renewal, a licensee must complete at least eight hours of continuing professional education annually for the purpose of enhancing professional competence and responsibility. The continuing professional education completed must be reported to the administrator annually by the licensee on an approved form showing the date and title, the teacher or sponsor, and the hours of continuing professional education claimed for the course taken. If the course is taught in a classroom setting, fifty minutes of classroom contact equals one hour of continuing professional education. Documentation of courses completed must be maintained by all licensees and consist of a certificate of completion issued by the teacher or sponsor of the course showing the recommended number of hours of continuing professional education. This documentation is subject to inspection by the administrator for up to two years after the date of course completion.
(B) Up to eight hours of continuing professional education may be carried forward from one year to the next year.
(C) The administrator shall require education providers of the fundamentals mortgage lending course required pursuant to Section 37-22-140 and the continuing education courses required pursuant to this section to file with the administrator for review and approval information regarding the contents and materials of courses proposed to satisfy the education requirements. All course approvals expire annually and must be reviewed and renewed through the administrator. The administrator shall set fees for the initial and continuing review of courses for which credit hours will be granted. The initial filing fee for review of materials may not exceed five hundred dollars and the fee for continued review may not exceed two hundred fifty dollars a year for each course offered. Course providers must maintain records of attendees for two years after course completion.
(D) The department shall appoint two of its licensees for two-year terms and the board shall appoint one of its licensees for a two-year term and one representative each of the department and the board to a panel to review and approve courses questioned as being qualified for continuing professional education. The panel may conduct its meetings by way of conference call or other electronic means. The administrator shall develop a questionnaire to ascertain the interest and background of potential members of this panel. The panel shall consider the following criteria for review and approval:
(1) content of continuing education courses;
(2) accreditation of continuing education providers, sponsors, courses and programs;
(3) other accreditation;
(4) computation of credit;
(5) special cases and exemptions;
(6) general compliance procedures; and
(7) sanctions for noncompliance.
(E) Courses offered by national or state professional mortgage organizations, such as the Mortgage Bankers Association, Mortgage Bankers Association of the Carolinas, or approved in another state are recognized for meeting the education requirement in this State.
(F) If a licensee fails to complete the continuing professional education before the license expiration date, his license expires and he shall pay a penalty of not more than one hundred dollars to reinstate the license. However, the licensee may request a contested case hearing to appeal the expiration of his license for failure to complete continuing professional education requirements.
Section 37-22-180. A mortgage lender licensed pursuant to this chapter shall have a managing principal who operates the business under that manager's full charge, control, and supervision. A mortgage lender may operate a branch office subject to the requirements of this chapter. Each principal and branch office of a mortgage lender licensed pursuant to this chapter shall have a branch manager who meets the experience requirements of Section 37-22-140(C)(1); except, that an affiliated mortgage lender may designate a branch manager who does not meet the experience requirements so long as, at or before the designation, it certifies that the person has been employed by the affiliated mortgage lender for at least one year as a loan officer, limited loan officer, or in a comparable position in another state. The managing principal for a licensee's business also may serve as the branch manager of the licensee's branch offices. Each mortgage lender licensed pursuant to this chapter shall file a form prescribed by the administrator indicating the business's designation of managing principal and branch manager for each branch and each individual's acceptance of the responsibility. A mortgage lender licensed pursuant to this chapter shall notify the administrator of a change in its managing principal or branch manager designated for each branch. The license of a licensee who does not comply with this provision must be suspended pursuant to Section 37-22-210 until the licensee complies with this section. An individual licensee who operates as a sole proprietorship is a managing principal for the purposes of this chapter.
Section 37-22-190. (A) A licensee shall report to the administrator any change of address of the principal place of business or a branch office at least fifteen days before the change. Change of address notification of a licensed location must be accompanied by a fee of twenty-five dollars.
(B) A mortgage lender licensed pursuant to this chapter shall display in plain view in its principal office and in each branch the certificate of licensure issued by the administrator. A loan officer licensed pursuant to this chapter shall display in each branch office in which the officer acts as a loan officer a copy of the certificate of licensure issued by the administrator.
Section 37-22-200. In addition to the activities prohibited by other provisions of state or federal law, it is unlawful for a person, in the course of a mortgage loan transaction, to:
(1) misrepresent or conceal the material facts or make false promises likely to influence, persuade, or induce an applicant for a mortgage loan or a mortgagor to take a mortgage loan, or to pursue a course of misrepresentation through agents or otherwise;
(2) refuse improperly to issue a satisfaction of a mortgage pursuant to Section 29-3-310;
(3) fail to account for or to deliver to a person entitled to receive them funds, documents, or other things of value obtained in connection with a mortgage loan, including money provided by a borrower for a real estate appraisal or a credit report, which the mortgage lender or loan officer is not entitled to retain under the circumstances;
(4) pay, receive, or collect in whole or in part any commission, fee, or other compensation for a mortgage loan transaction in violation of this chapter, including any unlicensed person other than an exempt person;
(5) charge or collect a fee or rate of interest or to make a mortgage loan with terms or conditions or in a manner contrary to the provisions of this title;
(6) advertise mortgage loans, including rates, margins, discounts, points, fees, commissions, or other material information, including material limitations on the loans, unless the person is able to make the mortgage loans available to qualified applicants;
(7) fail to disburse funds in good faith and in accordance with a written commitment or agreement to make a mortgage loan that has been accepted by the borrower;
(8) engage in a transaction, practice, or course of business in connection with the making of, or purchase or sale of, any mortgage loan that is not in good faith or fair dealing, that is unconscionable, as set forth in Section 37-5-108, or that constitutes a fraud upon a person;
(9) fail to pay reasonable fees within a reasonable time to a licensed third party for services that are:
(a) requested from the third party in writing by the mortgage lender or an employee of the mortgage lender; and
(b) performed by the third party in connection with the origination or closing of a mortgage loan for a customer or mortgage lender;
(10) influence or attempt to influence through coercion, extortion, or bribery, the development, reporting, result, or review of a real estate appraisal sought in connection with a mortgage loan. This item does not prohibit a mortgage lender from asking the appraiser to do one or more of the following:
(a) consider additional appropriate property information;
(b) provide further detail, substantiation, or explanation for the appraiser's value conclusion; or
(c) correct errors in the appraisal report;
(11) fail to comply with the mortgage loan servicing transfer, escrow account administration, or borrower inquiry response requirements imposed by sections 6 and 10 of the Real Estate Settlement Procedures Act (RESPA), 12 USC Section 2605 and Section 2609, and regulations adopted under them by the Secretary of the Department of Housing and Urban Development;
(12) fail to provide within a reasonable time, upon written request of a borrower, a payment history statement in a form easily understood by the borrower, including payment dates and amounts and charges, within the twelve months preceding the month in which the request is received and the total amount unpaid as of the end of the period covered by the statement. The statement must be provided without charge once during each year of the term of the obligation. If additional statements are requested, the borrower may be charged a reasonable fee for each additional statement;
(13) take a security interest in residential real property where the principal amount of the mortgage loan is less than five thousand dollars; or
(14) use any trade name or insignia of membership in any organization of which the licensee is not a member or advertise falsely through any material including, but not limited to, any business card, stationary or signage concerning a designation or certification of special education, credentials, trade organization membership, or business.
Section 37-22-210. (A) The administrator, by order, may deny, suspend, revoke, or refuse to issue or renew a license of a licensee or applicant pursuant to this chapter or may restrict or limit the activities relating to mortgage loans of a licensee or a person who owns an interest in or participates in the business of a licensee, if the administrator finds both that:
(1) the order is in the public interest; and
(2) any of the following circumstances apply to the applicant, licensee, or any partner, member, manager, officer, director, loan officer, limited loan officer, managing principal, or other person occupying a similar status or performing similar functions or a person directly or indirectly controlling the applicant or licensee. The person:
(a) has filed an application for license that, as of its effective date or as of a date after filing, contained a statement that, in light of the circumstances under which it was made, is false or misleading with respect to a material fact;
(b) has violated or failed to comply with a provision of this chapter or order of the administrator;
(c) has been convicted of a felony or, within the past ten years, has been convicted of a misdemeanor involving financial services or financial services related business or an offense involving breach of trust or fraudulent or dishonest dealing;
(d) is permanently or temporarily enjoined by a court of competent jurisdiction from engaging in or continuing any conduct or practice involving financial services or financial services related business;
(e) is the subject of an order of the administrator denying, suspending, or revoking that person's license;
(f) is the subject of an order entered within the past ten years by the authority of a state with jurisdiction over that state's financial services or financial services related industry denying or revoking that person's license;
(g) does not meet the qualifications or the financial responsibility, character, or general fitness requirements of Section 37-22-140 or a bond or capital requirements pursuant to this chapter;
(h) has been the executive officer or controlling shareholder or owned a controlling interest in a financial services or financial services related business that has been subject to an order or injunction described in subitem (d), (e), or (f) of this item;
(i) has failed to pay the proper filing or renewal fee pursuant to this chapter or a fine or fee imposed by a state or federal regulatory authority. However, the administrator may enter only a denial order pursuant to this subitem, and the administrator shall vacate the order when the deficiency is corrected;
(j) has falsely certified attendance or completion of hours at an approved education course.
(B) The administrator, by order, summarily may postpone or suspend the license of a licensee pending final determination of a proceeding pursuant to this section. Upon entering the order, the administrator shall notify promptly the applicant or licensee that the order has been entered, the reasons for the order, and the procedure for requesting a hearing before the Administrative Law Court. If a licensee does not request a hearing and the administrator does not request a hearing, the order remains in effect until it is modified or vacated by the administrator.
(C) The administrator, by order, may impose a civil penalty upon a licensee or any member, partner, officer, director, or other person occupying a similar status or performing similar functions on behalf of a licensee for a violation of this chapter. The civil penalty may not exceed ten thousand dollars for each violation of this chapter by a mortgage lender. The administrator may impose a civil penalty that shall not exceed ten thousand dollars for each violation of this chapter by a person other than a licensee or exempt person.
(D) In addition to other powers pursuant to this chapter, upon finding that an action of a person is in violation of this chapter, the administrator may order the person to cease from the prohibited action. If the person subject to the order fails to appeal the order of the administrator in accordance with Section 37-22-130, or if the person appeals and the appeal is denied or dismissed, and the person continues to engage in the prohibited action in violation of the administrator's order, the person is subject to a civil penalty that may not exceed twenty-five thousand dollars for each violation of the administrator's order. The penalty provision of this section is in addition to and not instead of another provision of law for failure to comply with an order of the administrator.
(E) Unless otherwise provided, all actions and hearings pursuant to this chapter are governed by the Administrative Procedures Act, Section 1-23-310 et seq.
(F) When a licensee is accused of any act, omission, or misconduct that subjects the licensee to disciplinary action, the licensee, with the consent and approval of the administrator, may surrender the license and the rights and privileges pertaining to it and is not eligible to receive, or to submit an application for, licensure for a period of time established by the administrator.
(G) If the administrator has reasonable grounds to believe that a licensee or other person has violated this chapter or that facts exist that would be the basis for an order against a licensee or other person, the administrator, either personally or by a person duly designated by the administrator, at any time may investigate or examine the loans and business of the licensee and examine the books, accounts, records, and files of the licensee or other person relating to the complaint or matter under investigation. The administrator may require the licensee or other person to submit a consent to a national and state fingerprint-based criminal history record check and a set of that person's fingerprints in a form acceptable to the administrator in connection with an examination or investigation. Refusal to submit the requested criminal history record check or a set of fingerprints is grounds for disciplinary action. The reasonable cost of this investigation or examination must be charged against the licensee.
(H) The administrator may subpoena documents and witnesses, and compel their production and attendance, to examine under oath all persons whose testimony the administrator considers relative to the person's business, and require the production of books, papers, or other materials.
(I) The administrator, at the expense of the administrator's office, may conduct routine examinations of the books and records of a licensee to determine the compliance with this chapter. The administrator may cooperate and share information with an agency of this State, other states, or the federal government. The administrator may accept or participate in examinations conducted by one of these agencies instead of an examination.
(J) In addition to the authority described in this section, the administrator may require a licensee to pay to a borrower or other individual amounts received by the licensee or its employees in violation of this title.
(K) If the administrator finds that the managing principal, branch manager, or loan officer of a licensee had knowledge of, or reasonably should have had knowledge of, or participated in an activity that results in the entry of an order suspending or withdrawing the license of a licensee, the administrator may prohibit the branch manager, managing principal, or loan officer from serving as a branch manager, managing principal, or loan officer for the period of time the administrator considers necessary.
Section 37-22-220. (A) The administrator shall keep a list of all applicants for licensure pursuant to this chapter which includes the date of application, name, and place of residence and whether the license was granted or refused.
(B) The administrator shall keep a current roster showing the names and places of business of all licensees that shows their respective loan officers and a roster of exempt persons required to file a notice pursuant to Section 37-22-250. The rosters must: (i) be kept on file in the office of the administrator; (ii) contain information regarding all orders or other action taken against the licensees, loan officers, and other persons; and (iii) be open to public inspection.
(C)(1) A licensee shall make and keep the accounts, correspondence, memoranda, papers, books, and other records prescribed by the administrator. Records must be preserved for three years unless the administrator prescribes otherwise for particular types of records. A licensee should develop, maintain, and test disaster recovery plans for all records that are maintained. The recordkeeping requirements imposed by the administrator or this subsection must not be greater than those imposed by applicable state or federal law. Licensee's records may be maintained electronically, if approved by the administrator, so long as they are readily accessible for examination by the administrator.
(2) In addition each licensee shall maintain a mortgage log that at a minimum identifies the borrower including credit score, the property, loan terms, the loan officer, the appraiser, the closing agent, the broker, and the lender. To assist the Department of Consumer Affairs in identifying possible discriminatory mortgage lending patterns, each licensee shall submit by March thirty-first of each year his mortgage log data and the data identified in 12 CFR Part 203 et seq., in a form determined by the administrator. The licensee shall pay a fine of one hundred dollars a day for late or incomplete data submissions, after notification and right to cure. Data collected by the administrator pursuant to this section is confidential and may be released only in composite form. The board annually shall submit to the department, in a form prescribed by the department and no later than April thirtieth, the data collected by it. The department shall prepare and make available to the public a report based on the above data. The report must be available by June thirtieth each year. This item (2) takes effect January 1, 2010.
(D) If the information contained in a document filed with the administrator is or becomes inaccurate or incomplete in a material respect, the licensee promptly shall file a correcting amendment to the information contained in the document.
(E) A licensee shall maintain in a segregated escrow fund or trust account funds that come into the licensee's possession, but which are not the licensee's property and which the licensee is not entitled to retain under the circumstances. The escrow fund or trust account must be held on deposit in a federally insured financial institution.
(F) A licensee ceasing activities regulated by this chapter and desiring no longer to be licensed shall inform the administrator at least seven days in advance. The licensee shall include with the notification a plan of withdrawal that includes a timetable for the disposition of the business, the location of the books, records, and accounts until the end of the retention period, and certification of the proper disposal of those records after that.
Section 37-22-230. (A) A licensee shall maintain records in conformity with generally accepted accounting principles and practices in a manner that will enable the administrator to determine if the licensee is complying with the provisions of this title. The recordkeeping system of a licensee is sufficient if he makes the required information reasonably available. The records need not be kept in the place of business where loans are made if the administrator is given free access to the records wherever located and the licensee pays the reasonable cost of their examination.
(B) On or before March thirty-first each year, a licensee shall file with the administrator a composite annual report in the form prescribed by the administrator relating to all mortgage loans made, serviced, or brokered by him. The licensee shall pay a fine of one hundred dollars a day for late or incomplete annual reports, after notification and right to cure.
(C) The mortgage loan report shall include, but is not limited to, the total number and amounts in connection with all mortgage loans, of:
(1) first and subordinate lien loans originated by licensee and closed in the name of another party;
(2) first and subordinate lien loans originated by another party and closed in the name of the licensee;
(3) first and subordinate lien loans originated by and closed in the name of the licensee;
(4) first and subordinate lien loans originated by and closed in the name of another party but funded by licensee;
(5) loans purchased by licensee;
(6) first and subordinate lien loans serviced by licensee;
(7) loans owned with and without servicing rights;
(8) loans sold with and without servicing rights;
(9) loans paid off before and at maturity;
(10) unpaid loans at the beginning and end of the reporting year;
(11) delinquent loans that are 30-59, 60-89, and more than 90 days delinquent, of all the loans the licensee owned as of December thirty-first;
(12) loans in foreclosure as of December thirty-first and foreclosed in the previous calendar year by licensee;
(13) mortgage loans charged against reserve for loan losses as a result of foreclosures during the reporting year; and
(14) loans repurchased during the previous calendar year.
(D) The annual report also must include the total gross revenue earned in this State under his license, the total dollar amount of points paid to the licensee by borrowers on first and subordinate lien mortgage loans, the total dollar amount of points paid to brokers by the licensee on first and subordinate lien mortgage loans, including yield spread premiums, and the lending institution, maximum amount available, outstanding balance, and expiration date of licensee's four largest warehouse lines of credit during the previous calendar year.
(E) Information contained in annual reports is confidential and may be published only in composite form.
(F) Subsections (B), (C), (D), and (E) take effect January 1, 2010.
Section 37-22-240. A person who violates Section 37-22-120 is guilty of a misdemeanor and, upon conviction, must be fined not more than five hundred dollars or imprisoned not more than six months, or both. Each transaction involving the unlawful making or servicing of a mortgage loan is a separate offense.
Section 37-22-250. (A) An exempt person described in Section 37-22-110(10)(c) who is engaged in the mortgage lending business, shall file a form with the administrator within thirty days of the effective date of this chapter. An exempt person who commences a mortgage lending business in this State after the effective date of this chapter shall file the form with the administrator upon commencement of the business. This form, prescribed by the administrator, must contain the:
(1) name of the respective exempt person;
(2) basis of the exempt status of the exempt person;
(3) principal business address of the exempt person; and
(4) state or federal regulatory authority responsible for the exempt person's supervision, examination, or regulation, if any.
(B) In addition to other measures to which the exempt person may be subject pursuant to this chapter, failure by an exempt person to file the required form does not affect his exempt status. However, the exempt person is subject to a civil penalty set by the administrator that may not exceed two hundred fifty dollars for each year the form is not filed. A person required to file pursuant to this section may not transact business in this State as a mortgage lender or mortgage servicer unless the person has filed the prescribed form with the administrator in accordance with this section.
(C) This section does not apply to financial institutions chartered with the State Board of Financial Institutions or chartered or filed with the Office of Comptroller of the Currency, Office of Thrift Supervision, Federal Deposit Insurance Corporation, National Credit Union Administration, or the Federal Reserve.
Section 37-22-260. (A) The South Carolina Law Enforcement Division shall provide a criminal history record check to the administrator for a person who has applied for or holds a mortgage lender or loan officer license through the administrator pursuant to this chapter.
(B) In addition, if a person described in subsection (A) is a corporation, partnership, limited liability company, association, or trust, SLED shall provide a criminal history record check to the administrator for a person who has control of that person, or who is the managing principal or a branch manager of that person.
(C) The administrator shall provide to SLED, along with the request, the fingerprints of the person, additional information required by SLED, records check fees required by SLED and the FBI, and a form signed by the person consenting to the check of the criminal record and to the use of the fingerprints and other identifying information required by the state or national repositories. Using the information supplied by the administrator to SLED, the applicant must undergo a state criminal records check, supported by fingerprints, by SLED, and a national criminal records check, supported by fingerprints, by the FBI. The results of these criminal records checks must be reported to the administrator. The South Carolina Law Enforcement Division is authorized to retain the fingerprints for certification purposes and for notification of the administrator regarding subsequent criminal charges which may be reported. The administrator shall keep all information pursuant to this section privileged, in accordance with applicable state and federal guidelines.
Section 37-22-270. Fees specified in this chapter must be paid to the administrator, must be used to implement the provisions of this chapter, and are nonrefundable.
Section 37-22-280. (A) A person commits the offense of residential mortgage fraud when, with the intent to defraud, the person:
(1) knowingly makes a material act, misstatement, misrepresentation, or omission during the mortgage lending process with the intention that it be relied on by a mortgage lender, borrower, or other party to the mortgage lending process;
(2) knowingly uses or facilitates the use of a material act, misstatement, misrepresentation, or omission, knowing that it contains a misstatement, misrepresentation, or omission, during the mortgage lending process with the intention that it be relied on by a mortgage lender, borrower, or other party to the mortgage lending process;
(3) receives proceeds or other funds in connection with a residential mortgage closing which the person knew resulted from a violation of items (1) or (2) of this subsection;
(4) conspires to violate any of the provisions of items (1), (2), or (3) of this subsection; or
(5) files or causes to be filed with the official registrar of deeds of a county of this State a document the person knows to contain a material misstatement, misrepresentation, or omission.
(B) An offense of residential mortgage fraud must not be predicated solely upon information lawfully disclosed pursuant to federal or state disclosure laws, regulations, and interpretations related to the mortgage lending process.
(C)(1) A person violating this section is guilty of a felony and, upon conviction, must be imprisoned for not less than one year or more than ten years, or fined not more than five thousand dollars, or both.
(2) If a violation of this section involves engaging or participating in a pattern of residential mortgage fraud or a conspiracy or endeavor to engage or participate in a pattern of residential mortgage fraud, the violation is punishable by imprisonment for not less than three years or more than twenty years, or by a fine not more than one hundred thousand dollars, or both.
(3) Each residential property transaction subject to a violation of this section is a separate offense.
(D) In the absence of fraud, bad faith, or malice, a person is not subject to an action for civil liability for filing reports or furnishing other information regarding suspected residential mortgage fraud to a regulatory or law enforcement agency.
(E) For the purpose of venue pursuant to this section, a violation of this section must be considered to have been committed in the county where the residential property is located that is the subject of the residential mortgage fraud.
Section 37-22-290. The administrator may promulgate regulations necessary to effectuate the purposes of this chapter."
SECTION 3.A. Section 37-1-301(29) of the 1976 Code is amended to read:
"(29) 'Licensee' means a supervised lender licensed under Section 37-3-503 any person licensed pursuant to this title."
B. Section 37-23-20(9), (10) and (12) of the 1976 Code, as added by Act 42 of 2003, is amended to read:
"(9) 'High-cost home loan' means a loan, other than an open-end credit plan or a reverse mortgage transaction, in which the:
(a) principal amount of the loan does not exceed the conforming loan size limit for a single-family dwelling as established from time to time by the Federal National Mortgage Association;
(b) borrower is a natural person;
(c) debt is incurred by the borrower primarily for personal, family, or household purposes;
(d) loan is secured by either:
(i) a security interest in a residential manufactured home, as defined in Section 37-1-301(24) which is to be occupied by the borrower as the borrower's principal dwelling; or
(ii) a mortgage on real estate upon which there is located or there is to be located a structure designed principally for occupancy from one to four families and which is or is to be occupied by the borrower as the borrower's principal dwelling; and
(e) terms of the loan exceed one or more of the threshold thresholds as defined in item (15) of this section.; or
(f) an adjustable rate mortgage at the fully indexed rate assuming a fully amortizing repayment schedule that would exceed one or more of the thresholds as defined in item (15) of this section.
(10) 'Lender' includes, but is not limited to, a mortgage broker or a mortgage banker originating a loan in a tablefunded loan transaction in which the broker or banker is identified as the original payee of the note.
(12) 'Originator' or 'loan officer' means an employee of a mortgage loan broker or mortgage lender whose primary job responsibilities include direct contact with and informing loan applicants of the rates, terms, disclosure, and other aspects of the mortgage. It does not mean an employee whose primary job responsibilities are clerical in nature, such as processing the loan."
C. Section 37-23-20 of the 1976 Code, as added by Act 42 of 2003, is amended by adding:
"(17) An adjustable rate mortgage (ARM) is a mortgage in which the interest rate and monthly payment vary over time."
D. Section 37-23-40(2) of the 1976 Code, as added by Act 42 of 2003, is amended to read:
"(2) make a high-cost home loan unless the lender reasonably believes at the time the loan is consummated that one or more of the obligors, when considered individually or collectively, is able to make the scheduled payments to repay the obligation based upon a consideration of their current and expected income, current obligations, employment status, and other financial resources other than the borrower's equity in the dwelling that secures repayment of the loan. If the loan is an adjustable rate mortgage (ARM), the analysis of the obligor must include an evaluation of the ability to repay by final maturity at the fully indexed rate assuming a fully amortizing repayment schedule. An obligor is presumed to be able to make the scheduled payments to repay the obligation if, at the time the loan is consummated, the obligor's total monthly debts, including amounts owed pursuant to the loan including, but not limited to, principal, interest, current property taxes, and current insurance, do not exceed fifty percent of the obligor's monthly gross income as verified by the credit application, the obligor's financial statement, a credit report, financial information provided to the lender by or on behalf of the obligor, or another authoritative means a credit report, and information provided to a lender by a third party, including the Internal Revenue Service (IRS). A presumption of inability to make the scheduled payments to repay the obligation does not arise solely from the fact that, at the time the loan is consummated, the obligor's total monthly debts, including amounts owed under the loan, exceed fifty percent of the obligor's monthly gross income;"
E. Section 37-23-45 of the 1976 Code, as added by Act 42 of 2003, is amended by adding:
"(4) For a loan that is an ARM as defined in Section 37-23-20(17), a listing of the schedule when the loan will be reset and a listing of the monthly payment that is owed for each change that is allowed by the terms of the contract. If the consumer escrows the insurance and taxes with each monthly payment, it must be reflected in the payment listed."
F. Section 37-23-75 of the 1976 Code, as added by Act 42 of 2003, is amended by adding:
"(4) For a loan that is an ARM as defined in Section 37-23-20(17), a listing of the schedule when the loan will be reset and a listing of the monthly payment that is owed for each change that is allowed by the terms of the contract. If the consumer escrows the insurance and taxes with each monthly payment, it must be reflected in the payment listed."
SECTION 4. Chapter 58, Title 40 of the 1976 Code is amended to read:
Registration Licensing of Mortgage Loan Brokers
Section 40-58-10. (A) This chapter may be cited as the Licensing Requirements Act of Certain Brokers of Mortgages on Residential Real Property.
(B) No A person, partnership, corporation, banking organization, or other organization shall may not broker a residential mortgage as defined in this chapter unless the broker of the mortgage:
(1) is an exempt person or organization as defined by Section 40-58-20(5); or
(2) has complied with the provisions of this chapter.
Section 40-58-20. As used in this chapter:
(1) 'Mortgage' means a loan to a natural person made primarily for personal, family, or household use primarily secured by a mortgage on residential real property.
(2) 'Residential real property' means real property located in this State upon which there is located or there is to be located one or more single family, owner-occupied dwellings or dwelling units, and includes real estate and residential manufactured home (land and home) transactions.
(3) 'Mortgage broker' means a person or organization in the business of soliciting, processing, placing, or negotiating mortgages for others or offering to process, place, or negotiate mortgages for others or engaging in tablefunding of mortgages or as a loan correspondent, as that term is defined by 24 CFR Part 202 et seq., whether those acts are done by telephone, electronic means, mail, or in person with the borrower or potential borrower. Mortgage broker also includes a person or organization who brings borrowers or lenders together to obtain mortgages or renders a settlement service as described in 24 CFR Part 3500.2(a)(16)(ii) 12 USC 2602(3) and 24 CFR Part 3500.2(b).
(4) 'Soliciting, processing, placing, or negotiating a mortgage loan' means for compensation or gain, either directly or indirectly, accepting or offering to accept an application for a mortgage, assisting or offering to assist in the processing of an application for a mortgage, soliciting or offering to solicit a mortgage on behalf of a third party, or negotiating or offering to negotiate the terms or conditions of a mortgage with a lender on behalf of a third party.
(5) 'Exempt person or organization' means:
(a) a bank, bank holding company, credit union, savings and loan association, savings and loan association holding company, their affiliates and subsidiaries, a supervised licensed lender under Title 37 and a restricted lender under Title 34 and their affiliates and subsidiaries, a Department of Housing and Urban Development or Federal Housing Administration approved mortgagee authorized, chartered, licensed, or approved under the laws of this State or of the United States or an instrumentality of them; or persons or organizations which sell or place all of their conventional mortgages on real property with federally insured and/or regulated financial institutions including, but not limited to, banks, savings and loan associations, and credit unions.
(b) an attorney at law licensed to practice law in South Carolina who is not engaged principally in negotiating mortgages when the attorney renders services in the course of his practice as an attorney at law;
(c) a person employed by an organization defined in subitem (a) of this item;
(d) title company which is qualified to issue title insurance, directly or through its agents.
(a) an agency of the federal government or a state government granting mortgage loans under specific authority of the laws of a state or the United States;
(b) any employee of a licensee whose responsibilities are limited to clerical and administrative tasks for the employer and who does not solicit borrowers, accept applications, or negotiate the terms of loans on behalf of the employer;
(c) a person authorized to engage in business as a bank or a wholly owned subsidiary of a bank, a farm credit system, savings institution or a wholly owned subsidiary of a savings institution, or credit union or a wholly owned subsidiary of a credit union, under the laws of the United States, this State, or another state. Except for Sections 40-58-70, 40-58-130 and 40-58-140, this chapter does not apply to the exempt persons set forth in this subitem;
(d) an officer or employee of an exempt person described in subitem (c) of this item when acting in the scope of employment for the exempt person.
(6) 'Licensee' means a person or organization who is licensed pursuant to Section 40-58-50 which engages in the business of soliciting, processing, placing, or negotiating mortgages for others or offering to process, place, or negotiate mortgages for others. Licensee includes mortgage brokers as defined in item (3) and originators as defined in item (14) this chapter.
(7) 'Administrator' means the administrator of the Department of Consumer Affairs of this State or the administrator's designees.
(8) 'RESPA' means the Real Estate Settlement Procedures Act of 1974, 12 USC Section 2601 et seq., as amended.
(9) 'Recasting' means a promise for an individual to recoup a home sold to a third party with the intent of the original seller to rent back the property for a specific time at which the original seller will have the option to purchase the property back at a specific price. The specific period of time would normally be one year.
(10) 'HUD' means the Department of Housing and Urban Development.
(11)(10) 'Department' means the South Carolina Department of Consumer Affairs.
(12)(11) 'Regular business hours' means open for business not less than thirty hours a week, Monday through Friday, 8:30 AM to 5:00 PM.
(13)(12) 'Satellite office' means a location at which a mortgage broker may conduct mortgage broker business other than at a location that is open for regular business hours and is not required to be staffed full time by one or more employees who have the authority to contract on behalf of the broker and to accept service on behalf of the broker.
(14)(13) 'Originator' means an employee of a mortgage broker whose primary job responsibilities include direct contact with and informing mortgage applicants of the rates, terms, disclosure, and other aspects of the mortgage, including accepting or offering to accept applications for mortgages. It does not mean an employee, including processors, whose job responsibilities are limited to clerical and administrative tasks and who does not solicit borrowers or negotiate the rates, terms, disclosure, or other aspects of a mortgage on behalf of the employer which do not require licensure.
(15)(14) 'Processor' means an employee of a mortgage broker whose primary job responsibilities are mortgage processing and may include direct contact with applicants but does not include informing applicants of rates, terms, disclosure, or solicitation of mortgages.
(15) 'Branch manager' means an individual who is in charge of and who is responsible for the business operations of a branch office of a mortgage broker.
(16) 'Branch office' means an office or location of the mortgage broker licensee which is separate and distinct from the licensee's principal or main office and at which a mortgage broker may conduct mortgage broker business, that is open during regular business hours and is required to be staffed full time by one or more originator licensees who have the authority to contract on behalf of the broker and to accept service on behalf of the broker.
(17) 'Control' means the power, directly or indirectly, to direct the management or policies of a company, whether through ownership of securities, by contract, or otherwise. A person that (i) is a director, general partner or executive officer; (ii) directly or indirectly has the right to vote ten percent or more of a class of a voting security or has the power to sell or direct the sale of ten percent or more of a class of voting securities; (iii) in the case of an LLC, is a managing member; or (iv) in the case of a partnership, has the right to receive upon dissolution, or has contributed, ten percent or more of the capital, is presumed to control that company.
(18) 'Employee' means an individual who has an employment relationship acknowledged by both the individual and the mortgage broker, and is treated as an employee for purposes of compliance with the federal income tax laws.
(19) 'Exclusive mortgage broker' means an individual who acts as a mortgage broker exclusively for a single mortgage lender or single exempt person and who is licensed under the provisions of Section 40-58-50(C).
(20) 'Financial services or financial services related' means pertaining to securities, commodities, banking, insurance, consumer lending, or real estate including, but not limited to; acting as or being associated with a bank or savings association, credit union, mortgage lender, mortgage servicer, mortgage broker, real estate broker, real estate salesperson or agent, closing agent, title company, or escrow agent.
(21) 'Managing principal' means a person who meets the requirements of Section 40-58-50(B) and who agrees to be primarily responsible for the operations of a licensed mortgage broker in this State.
(22) 'Pattern of residential mortgage fraud' means one or more misstatements, misrepresentations, or omissions made during the mortgage lending process that involve two or more residential properties, which have the same or similar intents, results, accomplices, victims, or methods of commission or otherwise are interrelated by distinguishing characteristics.
(23) 'Tablefunding' means a transaction in which a licensee closes a loan in its own name with funds provided by others.
Section 40-58-30. (A) A mortgage broker, as defined in Section 40-58-20(3), or an originator, as defined in Section 40-58-20(14)(13), may not engage in the business of processing, placing, or negotiating a mortgage or offering to process, place, or negotiate a mortgage in this State without first being licensed with the administrator.
(B) It is unlawful for a person to employ, to compensate, or to appoint as its agent an originator unless the originator is licensed pursuant to this chapter. The license of an originator is not effective during any period when that person is not employed by a mortgage broker licensed pursuant to this chapter. When an originator ceases to be employed by a licensed mortgage broker, the originator and the mortgage broker by whom that person was employed shall promptly notify the department in writing. The mortgage broker's notice must include a statement of the specific reason or reasons for the termination of the loan originator's employment. An originator must not be employed simultaneously by more than one mortgage broker. If a licensed originator changes employment, a new license must be issued and a fee of twenty-five dollars must be paid for issuance of the new license.
(C) Notwithstanding subsection (A) of this section, the provisions of this chapter do not apply to an exempt person or organization as defined in Section 40-58-20(5).
Section 40-58-40. A person or organization may not offer or agree to offer mortgage brokerage services in this State without first depositing and continuously maintaining the amount of ten thousand dollars in cash or securities approved by the administrator or a bond in the amount of ten twenty-five thousand dollars executed by a surety company authorized by the laws of this State to transact business within this State. Continuously maintaining a bond may be considered evidence of financial responsibility for a person or organization that offers or agrees to offer mortgage brokerage services. The bond must be executed to the State of South Carolina and must be for the use of the State and for any consumers who may have a cause of action against the mortgage broker, after notice and opportunity for hearing before the Administrative Law Court. The license of a licensee is void upon the termination of the bond by the surety company unless a new bond is filed with the department before the termination.
Section 40-58-50. (A) An application to become licensed as a mortgage broker or an originator must be in writing, under oath, and in a form prescribed by the department. The application must contain the name and complete business and residential address or addresses of the applicant. If the applicant for a mortgage broker license is a partnership, association, limited liability company, corporation, or other form of business organization, the names and complete business and residential addresses of each member, director, and principal officer and a list of all employees who engage in direct brokerage activity including, but not limited to, originators.
(B)(1) The application for a mortgage broker license must include an affirmation of financial solvency noting bonding requirements required by the department and the descriptions of the business activities, financial responsibility, educational background, and general character and fitness of the applicant as required by this chapter, including consent to a national and state criminal history records check and a set of the applicant's fingerprints in a form acceptable to the department. The application must be accompanied by a nonrefundable fee, payable to the department, of five hundred fifty dollars, in addition to the actual cost of obtaining national and state criminal history record checks by the Federal Bureau of Investigation (FBI) and the South Carolina Law Enforcement Division (SLED). Using the information supplied by the administrator to SLED, the applicant must undergo a state criminal records check, supported by fingerprints, by SLED, and a national criminal records check, supported by fingerprints, by the FBI. The results of these criminal records checks must be reported to the department. The South Carolina Law Enforcement Division is authorized to retain the fingerprints for certification purposes and for notification of the department regarding criminal charges. The administrator shall keep all information pursuant to this section privileged, in accordance with applicable state and federal guidelines. Additionally, the applicant must have completed satisfactorily, within the three years immediately preceding the date application is made, a mortgage lending fundamentals course approved by the administrator. The course must consist of at least eight hours of classroom instruction in subjects related to mortgage lending approved by the administrator or possess residential mortgage lending education or experience in residential mortgage lending transactions that the administrator considers equivalent to the course. In addition, the applicant must complete satisfactorily a written examination approved by the administrator. The administrator may waive portions of the examination based upon satisfactory evidence to the administrator that an applicant has acquired a professional certification or accreditation that indicates mastery of the subject matter.
(2) An applicant for a mortgage broker's license must have at least two three years' experience working as an originator under the supervision of a mortgage broker in residential mortgage lending or brokering or other experience or competency requirements the department may impose before an initial license is issued.
(a) In lieu of a showing of two three years' experience, an applicant may show proof of two three years' employment with a federally insured depository institution, or a VA, FHA, or HUD approved mortgagee during which the applicant was actively engaged in originating residential mortgages. If the applicant is a partnership, limited liability company (LLC), or corporation, at least one partner, member/manager, or principal officer shall have the experience required for the applicant. Each applicant shall identify the person meeting the experience requirement to serve as the applicant's managing principal. The managing principal shall operate the business under his full charge, control, and supervision and is required to complete the education and testing requirements for the mortgage broker licensee. The managing principal also may serve as the branch manager of a licensee branch office. Each main branch and branch office of a mortgage broker licensed pursuant to this chapter must have a branch manager who meets the experience requirements of Section 40-58-50(B)(2). The mortgage broker licensee must designate a managing principal in writing and notify the department of any changes in managing principal.
(b) In lieu Instead of one of the required year's experience, an applicant may show proof of the equivalent of six or more semester hours of satisfactorily completed course work in real estate finance, real estate law, or similar course work counting toward the successful completion of a degree that is baccalaureate level or more advanced with a major or minor in finance, accounting, business administration, real estate finance economics, or similar baccalaureate or more advanced degree, approved by the administrator or the administrator's designee, from an accredited college or university.
(C) However, all mortgage loan brokers properly licensed as a mortgage loan broker before October 1, 1998, may act as mortgage brokers after that date without regard to the experience or education requirement of this subsection if they maintain compliance with the continuing professional education requirements of Section 40-58-67 and otherwise comply with this chapter. If an individual applicant to be licensed as a mortgage broker meets all other requirements for licensure pursuant to this section but does not meet the requirements of subsection (B)(2) of this section, the individual applicant may be licensed as an exclusive mortgage broker upon compliance with all of the following, in addition to otherwise complying with this chapter:
(1) successfully complete both a residential mortgage-lending course approved by the administrator of not less then forty hours of classroom instruction and a written examination approved by the administrator;
(2) act exclusively as a mortgage broker for a single mortgage lender licensee or single exempt mortgage lender for whom the broker is considered an agent, who is responsible for supervising the broker as required by this chapter, who signs the license application of the applicant, and who is jointly and severally liable with the broker for any claims arising out of the broker's mortgage lending activities;
(3) is compensated for the broker's mortgage brokering activities on a basis that is not dependent upon the loan amount, interest rate, fees, or other terms of the loans brokered; and
(4) does not handle borrower or third-party funds in connection with the brokering or closing of mortgage loans.
(C)(D) The application for a mortgage broker license must include an affirmation of financial solvency noting bonding requirements required by the department and the an originator license must designate the employing mortgage broker and must include descriptions of the business activities, financial responsibility, educational background, and general character and fitness of the applicant as required by this chapter, including consent to a national and state criminal history records check and a set of the applicant's fingerprints in a form acceptable to the department. The application must be accompanied by a nonrefundable fee, payable to the department, of five hundred fifty dollars, in addition to the actual cost of obtaining national and state criminal history record checks by the South Carolina Law Enforcement Division FBI and SLED. Using the information supplied by the administrator to SLED, the applicant must undergo a state criminal records check, supported by fingerprints, by SLED, and a national criminal records check, supported by fingerprints, by the FBI. The results of these criminal records checks must be reported to the department. The South Carolina Law Enforcement Division is authorized to retain the fingerprints for certification purposes and for notification of the department regarding criminal charges. The administrator shall keep all information pursuant to this section privileged, in accordance with applicable state and federal guidelines. Additionally, the applicant must have completed satisfactorily, within the three years immediately preceding the date application is made, a mortgage lending fundamentals course approved by the administrator. The course must consist of at least eight hours of classroom instruction in subjects related to mortgage lending approved by the administrator or possess residential mortgage lending education or experience in residential mortgage lending transactions that the administrator considers equivalent to the course. In addition, the applicant must complete satisfactorily a written examination approved by the administrator. The administrator may waive portions of the examination based upon satisfactory evidence to the administrator that an applicant has acquired a professional certification or accreditation that indicates mastery of the subject matter.
(D)(E) An applicant for an originator's license must be at least eighteen years of age and must have at least six months of experience in residential mortgage lending or complete eight hours of continuing education within ninety days of employment. Additionally, all originators properly licensed before April 1, 2005, may act as originators after that date without regard to the experience or education requirement of this subsection if they maintain compliance with the continuing professional education requirements of Section 40-58-67 and otherwise comply with this chapter.
Section 40-58-55. Refusal to license applicant or renew license; grounds.
(A) Upon request for a contested case hearing by a person whose application for a license or renewal of a license has been denied, the Administrative Law Court may review the determination by the department that the applicant or his agent has:
(1) violated a provision of this chapter or an order of the department;
(2) withheld material information in connection with an application for a license or its renewal, or made a material misstatement in connection with the application;
(3) been convicted of a felony or of an offense involving breach of trust, moral turpitude, fraud, or dishonest dealing within the past ten years.
(B) A person who was in business as a mortgage broker or is an agent of a broker before October 1, 1998, and who has been convicted of a felony or an offense involving breach of trust, moral turpitude, fraud, or dishonest dealing within the past ten years may continue in business as a mortgage broker or agent, but if a mortgage broker or an agent of a broker is convicted of an offense enumerated in item (3) of subsection (A) on or after October 1, 1998, that person is subject to the provisions of this chapter. (Reserved)
Section 40-58-60. (A) Upon the filing of an application for a license, if the department finds that the financial responsibility, experience, character, and general fitness of the applicant, and of the members if the applicant is a copartnership partnership, association, or limited liability company, and of the officers and directors if the applicant is a corporation, are such as to command the confidence of the community and to warrant belief that the business may be operated honestly, fairly, and efficiently according to the purposes of this chapter, it shall license the applicant and issue a license. If the department does not so find, it shall refuse to license the applicant and shall notify him of the denial.
(B) Upon the receipt of the license, the licensee is authorized to engage in the business for which the license was issued.
(C) Each license issued to a licensee must state the address or addresses at which the business is to be conducted and must state fully the name of the licensee and the date of the license. A copy of the license must be posted prominently in each place of business of the licensee. The license is not transferable or assignable.
(D) If the information contained in any document filed with the administrator is or becomes inaccurate or incomplete in a material respect, the licensee promptly shall file a correcting amendment to the information contained in the document.
Section 40-58-65. (A)(1) A mortgage broker licensed pursuant to this chapter must maintain at his usual place of business books, records, and documents pertaining to the business conducted, to enable the department to determine compliance with this chapter, and shall include a mortgage log that identifies the borrower, including credit score, the property, loan terms, the loan originator, the appraiser, the closing agent, the broker, and the lender. To assist the administrator in identifying possible discriminatory mortgage lending patterns, each licensee shall submit his mortgage log data and the data identified in 12 CFR Part 203 et seq., in a form determined by the administrator by March thirty-first of each year. The licensee shall pay a fine of one hundred dollars a day for late or incomplete data submissions, after notification and right to cure. Data collected by the administrator pursuant to this section is confidential and may be released only in composite form. The administrator shall prepare and make available to the public a report based on the above data. The report must be available by June thirtieth of each year. The mortgage log must be completed with information known at the time of review by the department and must include loans in process, closed loans, turndowns, and withdrawals. A mortgage broker with two or more licensed offices may consolidate the records at any one of the licensed offices so long as the administrator is notified of the location of the records. The records must be available for examination to the administrator or his designee upon request. Books and records must be maintained for at least three years. A licensee's records may be maintained electronically, if approved by the administrator, so long as they are readily accessible for examination by the administrator.
(2) This subsection takes effect January 1, 2010.
(B) A mortgage broker doing business in this State shall maintain a sufficient physical presence in this State and his records must be maintained at the licensed location in this State. At a minimum, the broker shall maintain an official place of business open during regular business hours, staffed by one or more licensees who have the authority to contract on behalf of the broker and to accept service on behalf of the broker. If the official place of business is not open for business within the hours of 8:30 AM until 5:00 PM, Monday through Friday, the broker shall notify the department in writing of the business hours maintained by the broker's official place of business.
(C) A licensed mortgage broker with an official place of business within South Carolina also may maintain one or more branch or satellite offices if the:
(1) mortgage broker notifies the department in writing ten seven days before the opening of a branch or satellite office of the location of the branch or satellite office, the branch manager for each branch location, and notifies the department that all records from the branch or satellite office are stored in a main or branch location in this State which is staffed by one or more employees licensees during regular business hours;
(2) records of any pending mortgage application or records in which a loan closing is still in process from a satellite office are made available at the mortgage broker's main or branch location as provided in item (1) to the administrator or his designee within two seven business days of a written request delivered by facsimile transmission, mail, or hand-delivery by the administrator or his designee;
(3) broker notifies the department in writing within two seven business days of closing a branch or satellite office.;
(4) mortgage broker licensee is responsible and accountable for the activities of all licensed locations, branch managers, and loan originators. Compliance reviews must include examination of all facts and circumstances of branch operations to ensure this responsibility and accountability.
(D) The department may examine the books and records of a mortgage broker and other specified documents to determine whether there has been substantial compliance with this chapter. Unless there is reason to believe a violation of this chapter has occurred, examinations must be limited to one each year. Records and information obtained by the department during an examination are confidential and the department must certify that it is in compliance with the Right to Financial Privacy Act (RFPA). The department may cooperate and share information with an agency of this State, other states, or the federal government. The department may accept or participate in examinations conducted by one of these agencies instead of an examination.
(E) If the mortgage broker fails to notify the department of the existence or closing of a branch or satellite office, the actual operating hours of the main or branch offices where records are kept, or the whereabouts of its records, the broker is subject to a penalty of not less than fifty dollars and not more than two hundred fifty dollars. If after the assessment of a fine within a one-year period, the administrator finds that additional violations of this section are both intentional and repeated, the mortgage broker is subject to all of the remedies for violations of this chapter penalties as set forth in Section 40-58-80.
(F) A mortgage broker licensee who ceases doing business in this State must notify the administrator at least seven days in advance. The notification must include a withdrawal plan that includes a timetable for disposition of the business, the location of the books, records, and accounts until the end of the retention period, and certification of the proper disposal of those records.
(G) A mortgage broker licensee should develop, maintain, and test disaster recovery plans for all records that are maintained.
Section 40-58-67. (A)(1) Effective for license years beginning after September 30, 1998, for licensed mortgage brokers and after March 31, 2005, for licensed originators, Licensees must complete at least eight hours of continuing professional education annually. If the licensed mortgage broker is a sole proprietorship or partnership, any owners and partners must complete the required eight hours of continuing professional education annually. If the licensed mortgage broker is a limited liability company or corporation, any member or president, chief executive officer, or other officer who has ownership interest of twenty-five percent or greater and who actively participates in the broker entity must complete the required eight hours of continuing professional education annually. Up to eight hours of continuing professional education may be carried forward from one year to the next year. for the license year beginning October 1, 1998, up to eight hours of continuing professional education taken in the preceding twelve months may be carried forward. The continuing professional education completed must be reported to the department annually on a form approved by it showing the date and title of the courses taken, the teacher or sponsor of the course taken, and the hours of continuing professional education claimed for the course. If the course is taught in a classroom setting, fifty minutes of classroom contact equal one hour of continuing professional education. Course sponsors must maintain records of attendees for two years after the course. As used in this chapter, 'actively participates' means engaging in direct brokering activity as defined in Section 40-58-20(3) and (4).
(2) Documentation of attendance at the courses or correspondence courses completed must be maintained by the mortgage broker for all licensees and shall consist of a certificate of completion issued by the teacher or sponsor of the course showing the recommended number of hours of continuing professional education. This documentation is subject to inspection by the department for up to two years after the date of the course. Courses offered by national or state professional organizations, such as the National Association of Mortgage Brokers, the South Carolina Mortgage Brokers Association, or the department or courses related to real estate law or related law topics, appraisals, mortgage lending, financial management, financial planning, or mortgage processing qualify for continuing professional education. The department shall offer continuing professional education courses to assist mortgage brokers in obtaining the continuing professional education required by this chapter. or courses approved in another state qualify for the education requirements of this chapter.
(B) The department shall appoint two mortgage brokers and one representative of the department to a panel for two-year terms to approve any courses questioned as to their qualifications as continuing professional education. The panel may conduct its meetings via conference call or other electronic means. The department shall develop a questionnaire to ascertain the interest and background of potential members of this panel.
(C) If a licensee fails to complete his continuing professional education in a timely manner prior to renewal, his license shall expire and the licensee shall pay a penalty not in excess of one hundred dollars in order to renew the license.
(D) However, the licensee may request an administrative hearing to appeal the expiration of his license for failure to complete continuing professional education requirements. A license may be renewed without penalty within thirty days after the expiration if the licensee completes his professional education requirements.
(E) The administrator shall require education providers of the fundamentals mortgage lending course required pursuant to Section 40-58-50 and the continuing education courses required pursuant to this section to file information regarding the contents and materials of proposed courses to satisfy the education requirements with the administrator for review and approval. All course approvals expire annually and must be reviewed by the department. The administrator shall set fees for the initial and continuing review of courses for which credit hours will be granted. The initial filing fee for review of materials may not exceed five hundred dollars and the fee for continued review may not exceed two hundred fifty dollars each year for each course offered.
Section 40-58-70. A licensee may not In addition to the activities prohibited by other provisions of state or federal law, it is unlawful for a person in the course of any mortgage loan transaction to:
(1) misrepresent the material facts or make false promises likely to influence, persuade, or induce an applicant for a mortgage or a mortgagor to take a mortgage. This includes presenting the broker in the guise of a lender or pursuing a course of misrepresentation through agents or otherwise;
(2) intentionally misrepresent or conceal a material factor, term, or condition of a transaction to which he is a party, pertinent to an applicant for a mortgage or a mortgagor;
(3) engage in a transaction, practice, or course of business which is unconscionable in light of the regular practices of a mortgage broker, as provided in Section 37-5-108, or which operates a fraud upon a person, in connection with the making of or purchase or sale of a mortgage;
(4) fail to use due diligence and make reasonable efforts to procure a mortgage on behalf of a borrower;
(5) collect any third party fees before a conditional mortgage commitment is obtained by the mortgage broker with the exception of normal processing expenses associated with the making of mortgages as authorized or allowed by FNMA, FHLMC, FHA, VA, or any additional fees authorized or allowed by the department;
(6) engage in recasting unless the applicant obtains the advice and counsel of a licensed attorney who is independent to the transaction. A party to a transaction, other than the consumer, may not recommend, retain, or influence the selection of independent counsel. An applicant for recasting shall provide to the broker a document identifying the applicant, provide a brief summary of the proposed transaction, and a written statement from an attorney certifying that the applicant has been advised of the potential consequences of recasting. influence or attempt to influence through coercion, extortion, or bribery, the development, reporting, result, or review of a real estate appraisal sought in connection with a mortgage loan. This item does not prohibit a mortgage broker or mortgage lender from asking the appraiser to do one or more of the following:
(a) consider additional appropriate property information;
(b) provide further detail, substantiation, or explanation for the appraiser's value conclusion; or
(c) correct errors in the appraisal report;
(7) fail to pay reasonable fees within a reasonable time to a licensed third party for services that are:
(a) requested from the third party in writing by the mortgage broker or an employee of the mortgage broker; and
(b) performed by the third party in connection with the origination or closing of a mortgage loan for a customer or mortgage lender; or
(8) use any trade name or insignia of membership in any organization of which the licensee is not a member or advertise falsely through any material including, but not limited to, any business card, stationary, or signage concerning a designation or certification of special education, credentials, trade organization membership, or business.
Section 40-58-75. (A) Within three business days of the receipt of an application for a mortgage, the broker must disclose in a statement the total estimated charges to the borrower for the mortgage and an itemization of the charges provided if required under RESPA or state law. The disclosure is considered delivered when deposited with United States Postal Service for first class delivery.
(B) A person may not earn a mortgage broker's fee unless the person meets the requirements of this chapter, is authorized to conduct mortgage brokerage services by this chapter, or is exempt from the requirements of this chapter.
(C) All fees earned for services rendered as a mortgage broker must be disclosed to the applicant by the mortgage broker as required by RESPA or state law.
(D) A mortgage broker agreement must be in writing and include the current name, address, and telephone number of the mortgage broker's branch office, the account number, if any, the date of the agreement, the name of the borrower or proposed borrower, signature of the borrower and mortgage broker, the amount of any fees, and the nature of services provided to the borrower. A copy of the completed agreement must be provided to the borrower by the mortgage broker. The mortgage broker agreement may provide for a signed acknowledgement by the borrower of receipt of a copy of the agreement. If a mortgage broker co-brokers mortgage loans, the mortgage broker agreement must contain a statement advising the applicant that the loan may be co-brokered. Within three days of making a final decision to co-broker a loan, the broker must provide the applicant with written notice of co-brokering, including the name and street and mailing address of the co-broker as well as which broker is to be contacted regarding progress of the mortgage brokers' services provided to the applicant. Each broker in a co-brokering arrangement must be licensed with the department.
(E) Additional disclosure requirements exist in Title 37, Chapter 10 and Chapter 23.
Section 40-58-78. (A) A loan agreement with a mortgage broker or originator must contain an explicit statement that:
(1) the mortgage broker or originator is acting as the agent of the borrower in providing brokerage services to the borrower;
(2) when acting as agent for the borrower, it owes to that borrower a duty of utmost care, honesty, and loyalty in the transaction, including the duty of full disclosure of all material facts. If the mortgage broker or originator is authorized to act as an agent for any other person, the brokerage agreement must contain a statement of that fact and identification of that person;
(3) a detailed description of the services the mortgage broker or originator agrees to perform for the borrower, and a good faith estimate of any fees the mortgage broker or originator will receive for those services, whether paid by the borrower, the institutional lender, or both; and
(4) a clear and conspicuous statement of the conditions under which the borrower is obligated to pay for the services rendered under the agreement.
(B) If a mortgage broker or originator violates the provisions of subsection (A), the borrower may recover from the mortgage broker or originator charged with the violation:
(1) a penalty in an amount determined by the court of not less than one thousand five hundred dollars and not more than seven thousand five hundred dollars for each loan transaction;
(2) fees paid by the borrower to the mortgage broker or originator for services rendered by the agreement; and
(3) actual costs, including attorney's fees, for enforcing the borrower's rights under the agreement.
(C) No A mortgage broker or originator charged with the violation may not be held liable in an action brought under this section for a violation if the mortgage broker or originator charged with the violation shows by a preponderance of evidence that the violation was not intentional and resulted from a bona fide error notwithstanding the maintenance of procedures reasonably adapted to avoid the error.
Section 40-58-80. Cease and desist orders; penalties; revocation of license.
(A) Upon a finding that an action of a licensee may be in violation of this chapter, or of a law or regulation of this State or of the federal government or an agency of either, the department may file a request for a contested case hearing with the Administrative Law Court seeking an order to require the licensee to cease and desist from the action.
(B) If an administrative law judge issues an order requiring the licensee to cease and desist from the action and the licensee fails to appeal the cease and desist order and continues to engage in the action in violation of the order, the licensee is subject to a penalty of not less than one thousand or more than two thousand five hundred dollars for each action the licensee takes in violation of the order. The penalty provision of this section is in addition to and not instead of other provisions of law applicable to a licensee.
(C) The administrative law judge, upon a finding that a licensee has engaged intentionally or repeatedly in a course of conduct in violation of this chapter, may revoke the license temporarily or permanently in its discretion after reasonable notice and an opportunity to be heard and may increase the mortgage broker's required bond up to a maximum of twenty-five thousand dollars to ensure that the public is protected adequately. The administrative law judge also may impose upon persons violating the provisions of this chapter administrative fines of not more than five hundred dollars for each offense or not more than five thousand dollars for the same set of transactions or occurrences. Each violation constitutes a separate offense. If it is determined that the required bond must be increased, the administrative law judge shall state in writing the reasons for the increase and immediately serve it upon the mortgage broker and the department. The mortgage broker shall provide the new bond within thirty days or the department shall revoke the license of the mortgage broker.
(D) A person who violates a provision of this chapter is guilty of a misdemeanor and, upon conviction, must be fined not more than five hundred dollars or imprisoned not more than six months, or both.
(E) Nothing in this chapter limits a statutory or common law right of a person to bring an action in a court for an act or the right of the State to punish a person for a violation of a law.
(F) The administrator of the department may suspend the right of an individual to engage in mortgage broker activity after finding that an originator or other employee of a licensed mortgage broker has failed to comply with a provision of this chapter. After an action by the administrator pursuant to this section, the originator or other employee of a licensed mortgage broker may request a contested case hearing before the Administrative Law Court.
(A) The administrator, by order, may deny, suspend, revoke, or refuse to issue or renew a license of a licensee or applicant pursuant to this chapter or may restrict or limit the activities relating to mortgage loans of a licensee or a person who owns an interest in or participates in the business of a licensee, if the administrator finds that both:
(1) the order is in the public interest; and
(2) any of the following circumstances apply to the applicant, licensee, or any partner, member, manager, officer, director, loan originator, managing principal, or other person occupying a similar status or performing similar functions or a person directly or indirectly controlling the applicant or licensee. The person:
(a) has filed an application for license that, as of its effective date or as of a date after filing, contained a statement that, in light of the circumstances under which it was made, is false or misleading with respect to a material fact;
(b) has violated or failed to comply with any provision of this chapter or order of the administrator;
(c) has been convicted of a felony, or, within the past ten years, has been convicted of a misdemeanor involving financial services or financial services related business, or an offense involving breach of trust or fraudulent or dishonest dealing;
(d) is enjoined permanently or temporarily by a court of competent jurisdiction from engaging in or continuing any conduct or practice involving the financial services or financial services related business;
(e) is the subject of an order of the administrator denying, suspending, or revoking that person's license;
(f) is the subject of an order entered within the past ten years by the authority of a state with jurisdiction over that state's financial services or financial services related industry denying or revoking that person's license;
(g) does not meet the qualifications or the financial responsibility, character, or general fitness requirements of Section 40-58-50 or bond or capital requirements pursuant to this chapter;
(h) has been the executive officer or controlling shareholder or owned a controlling interest in a financial services or financial services related business who has been subject to an order or injunction described in subitem (d),(e), or (f) of this item;
(i) has failed to pay the proper filing or renewal fee pursuant to this chapter or any fine or fee imposed by any state or federal regulatory authority. However, the administrator may enter only a denial order pursuant to this subitem, and the administrator shall vacate the order when the deficiency is corrected; or
(j) has falsely certified attendance or completion of hours at an approved education course.
(B) The administrator, by order, summarily may postpone or suspend the license of a licensee pending final determination of a proceeding pursuant to this section. Upon entering the order, the administrator shall notify promptly the applicant or licensee that the order has been entered, the reasons for the order, and the procedure for requesting a hearing before the Administrative Law Court. If a licensee does not request a hearing and the administrator does not request a hearing, the order remains in effect until it is modified or vacated by the administrator.
(C) The administrator, by order, may impose a civil penalty upon a licensee or any partner, officer, director, or other person occupying a similar status or performing similar functions on behalf of a licensee for a violation of this chapter. The civil penalty may not exceed ten thousand dollars for each violation. The administrator may impose a civil penalty that may not exceed ten thousand dollars for each violation of this chapter by a person other than a licensee or exempt person.
(D) In addition to other powers pursuant to this chapter, upon finding that an action of a person is in violation of this chapter, the administrator may order the person to cease and desist from the prohibited action. If the person subject to the order fails to appeal the order of the administrator in accordance with Section 40-58-90, or if the person appeals and the appeal is denied or dismissed, and the person continues to engage in the prohibited action in violation of the administrator's order, the person is subject to a civil penalty that may not exceed twenty-five thousand dollars for each violation of the administrator's order. The penalty provision of this section is in addition to and not instead of another provision of law for failure to comply with an order of the administrator.
(E) Unless otherwise provided, all actions and hearings pursuant to this chapter are governed by the Administrative Procedures Act, Section 1-23-310 et seq.
(F) When a licensee is accused of any act, omission, or misconduct that subjects the licensee to disciplinary action, the licensee, with the consent and approval of the administrator, may surrender the license and the rights and privileges pertaining to it and is not eligible to receive, or to submit an application for, licensure for a period of time established by the administrator.
(G) If the administrator has reasonable grounds to believe that a licensee or other person has violated this chapter or that facts exist that would be the basis for an order against a licensee or other person, the administrator, either personally or by a person duly designated by the administrator, at any time may investigate or examine the loans and business of the licensee and examine the books, accounts, records, and files of the licensee or other person relating to the complaint or matter under investigation. The administrator may require the licensee or other person to submit a consent to a national and state fingerprint-based criminal history record check and a set of that person's fingerprints in a form acceptable to the administrator in connection with an examination or investigation. Refusal to submit the requested criminal history record check or a set of fingerprints is grounds for disciplinary action. The reasonable cost of this investigation or examination must be charged against the licensee.
(H) The administrator may subpoena documents and witnesses, and compel their production and attendance, to examine under oath all persons whose testimony the administrator considers relative to the person's business, and require the production of books, papers, or other materials.
(I) The administrator, at the expense of the administrator's office, may conduct routine examinations of the books and records of a licensee in order to determine compliance with this chapter.
(J) In addition to the authority described in this section, the administrator may require a licensee to pay to a borrower or other individual amounts received by the licensee or its employees in violation of this chapter.
(K) If the administrator finds that the managing principal, branch manager, or loan originator of a licensee had knowledge of, or reasonably should have had knowledge of, or participated in, any activity that results in the entry of an order suspending or withdrawing the license of a licensee, the administrator may prohibit the branch manager, managing principal, or loan originator from serving as a branch manager, managing principal, or loan originator for the period of time the administrator considers necessary.
(L) A person who violates a provision of this chapter other than Section 40-58-140 is guilty of a misdemeanor and, upon conviction, must be fined not more than five hundred dollars or imprisoned not more than six months, or both, for each offense. Each violation is considered a separate offense.
Section 40-58-90. Appeals.
All appeals are to be made pursuant to the Administrative Procedures Act and the rules governing practice before the Administrative Law Court.
(A) A person who has exhausted all administrative remedies available before the administrator and who is aggrieved by the administrator's determination is entitled to a contested case hearing before the Administrative Law Court as provided in Section 1-23-600(D) and judicial review as provided in Sections 1-23-380(B) and 1-23-610. This section does not limit utilization of or the scope of judicial review available under other means of review, redress, relief, or trial de novo provided by law. A preliminary, procedural, or intermediate action or ruling of the Administrative Law Court is reviewable immediately if review of the final decision of the Administrative Law Court would not provide an adequate remedy.
(B) Contested case proceedings are instituted by filing a request for a contested case hearing with the Administrative Law Court according to the rules of procedure of the Administrative Law Court. Copies of the request for a contested case hearing must be served upon the administrator and all parties of record. The final decision of the administrative law judge may be appealed as provided in Sections 1-23-380 and 1-23-610.
Section 40-58-100. The department may promulgate regulations necessary to effectuate the purposes of this chapter.
Section 40-58-110. (A)(1) In addition to the initial nonrefundable license application fee of five hundred fifty dollars required by Section 40-58-50, first time mortgage broker licensees also shall pay a one-time, nonrefundable processing fee of two hundred dollars. Thereafter, a mortgage broker licensee shall pay an annual nonrefundable renewal fee of five hundred fifty dollars. A mortgage broker licensee shall pay an initial nonrefundable fee of one hundred fifty dollars and, thereafter, a nonrefundable renewal fee of one hundred fifty dollars for each branch or satellite location.
(2) The initial nonrefundable license fee is fifty dollars for an originator license, and fifty dollars, nonrefundable, for a renewal license. In addition, all licensees must pay the cost of obtaining national and state criminal history record checks as the department may require. The broker shall notify the department in writing ten days before opening a new, official branch or satellite location or changing the address of a licensed location. No initial A fee of twenty-five dollars is required when the licensee notifies the department of a change in address for an official branch or satellite a licensed location.
(B)(1) The term of each license is one year. Licenses issued under this chapter expire on September thirtieth each year for mortgage brokers and March thirty-first for originators December thirty-first annually following issuance or another date that the department may determine and must be renewed in accordance with the provisions of this section.
(2) The renewal period for all licensees is from November first through December first annually or on any other dates that the department may determine.
(3) Applications received after December first or any other date the department may determine are deemed late and late fees below apply.
(C) Failure to renew a license within thirty days of its expiration results in the license being canceled by the department requiring the licensee to complete the initial licensing process, including a criminal records check. A license renewed within thirty days of expiration must be accompanied by a late penalty of two hundred fifty dollars for mortgage brokers and twenty-five dollars for originators in addition to the nonrefundable renewal fee. If a license of a licensed mortgage broker is not renewed before the dates in subsection (B), two hundred fifty dollars in addition to the renewal fee pursuant to subsection (A) must be assessed as a late fee to any renewal. If a license of a licensed loan originator is not renewed before the dates in subsection (B), one hundred dollars in addition to the renewal fee pursuant to subsection (A) of this section must be assessed as a late fee to any renewal. If a licensee fails to renew his license within thirty days after the date the license expires, the administrator may require the licensee to comply with the requirements for the initial issuance of a license pursuant to this chapter, in addition to paying any late fee that has accrued. All renewable renewal applications must contain information required by the department. All fees collected by the department pursuant to this chapter must be used to implement the provisions of this chapter.
(D) A person who is licensed as an exclusive mortgage broker pursuant to Section 40-58-50(C), and who later meets the requirements of Section 40-58-50(B)(2)(a) and (b), must renew his license as a mortgage broker as provided in Section 40-58-50(A), (B)(1), and (B)(2)(a) and (b).
Section 40-58-120. (A) A licensee shall maintain records in conformity with generally accepted accounting principles and practices in a manner that will enable the administrator to determine whether the licensee is complying with this chapter. The recordkeeping system of a licensee is sufficient if he makes the required information reasonably available.
(B) On or before March thirty-first each year a licensee shall file with the administrator a composite annual report in the form prescribed by the administrator relating to all mortgage loans made or brokered by him. The licensee shall pay a fine of one hundred dollars each day for late or incomplete annual reports, after notification and right to cure.
(C) The report must include, but is not limited to, the volume and amounts of first and second lien mortgage loans originated by licensee and closed in the name of another party and the volume and amounts of first and second lien mortgage loans originated and closed in the name of the licensee.
(D) Information contained in annual reports is confidential and may be published only in composite form.
(E) Subsections (B), (C), and (D) take effect January 1, 2010.
Section 40-58-130. (A) An exempt person described in Section 40-58-20(5)(c) who is engaged in the mortgage brokerage business, shall file a form with the administrator within thirty days of the effective date of this chapter. An exempt person who commences mortgage brokerage business in this State after the effective date of this chapter shall file the form with the administrator upon commencement of the business. This form, prescribed by the administrator, must contain the:
(1) name of the respective exempt person;
(2) basis of the exempt status of the exempt person;
(3) principal business address of the exempt person; and
(4) state or federal regulatory authority responsible for the exempt person's supervision, examination, or regulation, if any.
(B) In addition to other measures to which the exempt person may be subject pursuant to this chapter, failure by an exempt person to file the required form does not affect his exempt status. However, the exempt person is subject to a civil penalty set by the administrator that may not exceed the sum of two hundred fifty dollars for each year the form is not filed. A person required to file pursuant to this section may not transact business in this State as a mortgage broker unless the person has filed the prescribed form with the administrator in accordance with this section.
Section 40-58-140. (A)(1) A person commits the offense of residential mortgage fraud when, with the intent to defraud, the person:
(a) knowingly makes a material act, misstatement, misrepresentation, or omission during the mortgage lending process with the intention that it be relied on by a mortgage lender, borrower, or other party to the mortgage lending process;
(b) knowingly uses or facilitates the use of a material act, misstatement, misrepresentation, or omission, knowing that it contains the misstatement, misrepresentation, or omission, during the mortgage lending process with the intention that it be relied on by a mortgage lender, borrower, or other party to the mortgage lending process;
(c) receives proceeds or other funds in connection with a residential mortgage closing which the person knew resulted from a violation of subitem (a) or (b) of this item;
(d) conspires to violate any of the provisions of subitems (a), (b), or (c) of this item; or
(e) files or causes to be filed with the official registrar of deeds of a county of this State a document the person knows to contain a material misstatement, misrepresentation, or omission.
(2) The offense of residential mortgage fraud must not be predicated solely upon information lawfully disclosed pursuant to federal or state disclosure laws, regulations, and interpretations related to the mortgage lending process.
(B)(1) A person violating this section is guilty of a felony and, upon conviction, must be imprisoned for not less than one year or more than ten years or fined not more than five thousand dollars, or both.
(2) If a violation involves engaging or participating in a pattern of residential mortgage fraud or a conspiracy or endeavor to engage or participate in a pattern of residential mortgage fraud, the violation is punishable by imprisonment for not less than three years or more than twenty years or a fine not more than one hundred thousand dollars, or both.
(3) Each residential property transaction that is the subject of a violation of this section is a separate offense.
(C) In the absence of fraud, bad faith or malice, a person is not subject to an action for civil liability for filing reports or furnishing other information regarding suspected residential mortgage fraud to a regulatory or law enforcement agency.
(D) For the purposes of venue pursuant to this section, a violation of this section must be considered to have been committed in the county where the residential property is located that is the subject of the residential mortgage fraud."
SECTION 5. Except as otherwise provided herein, this act is effective January 1, 2009; and except that Section 37-22-280 and Section 40-58-140 take effect upon approval by the Governor and licensing requirements for loan officers and limited loan officers as defined herein take effect July 1, 2009. /
Renumber sections to conform.
Amend title to conform.
The amendment was adopted.
There being no further amendments, the Bill was read the second time, passed and ordered to a third reading.
H. 5043 (Word version) -- Reps. Hutson, 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, Daning, 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, 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, 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 CONCURRENT RESOLUTION TO DESIGNATE THE FOURTH SATURDAY IN APRIL AS CITIZENS REMEMBRANCE DAY, TO BE OBSERVED ANNUALLY IN HONOR AND MEMORY OF VICTIMS OF FATAL MOTOR VEHICLE CRASHES.
The Senate proceeded to a consideration of the Resolution, the question being the adoption of the Resolution.
Senator GROOMS proposed the following amendment (5043R001.LKG), which was adopted:
Amend the concurrent resolution, as and if amended, by striking lines 8 - 11 and inserting:
/ That the members of the South Carolina General Assembly shall annually designate a Saturday in spring as Citizens Remembrance Day, to be observed in honor and memory of victims of fatal motor vehicle crashes. /
Renumber sections to conform.
Amend title to conform.
Senator GROOMS explained the amendment.
The amendment was adopted.
There being no further amendments, the Resolution ordered returned to the House with amendments.
S. 997 (Word version) -- Senators Lourie, Leventis, Sheheen, Cleary, Cromer, Setzler, Campbell, Ceips, Massey, Drummond, Matthews and Thomas: A BILL TO AMEND SECTIONS 56-1-175 AND 56-1-180, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE ISSUANCE OF A CONDITIONAL DRIVER'S LICENSE AND SPECIAL RESTRICTED DRIVER'S LICENSE BY THE DEPARTMENT OF MOTOR VEHICLES, SO AS TO PROVIDE THAT AFTER DECEMBER 31, 2008, A PERSON WHO IS ISSUED ONE OF THESE FORMS OF DRIVER'S LICENSES MUST HAVE SUCCESSFULLY COMPLETED A TEEN DEFENSIVE DRIVING COURSE THAT IS APPROVED BY THE DEPARTMENT OF PUBLIC SAFETY.
On motion of Senator LOURIE, the Bill was carried over.
S. 511 (Word version) -- Senators Thomas and Verdin: A BILL TO AMEND SECTION 40-59-30 OF THE 1976 CODE, RELATING TO A RESIDENTIAL BUILDING LICENSE, TO PROVIDE THAT A PERSON MUST HAVE A LICENSE TO FILE A MECHANICS LIEN, TO PROVIDE THE PROCESS FOR A RESIDENTIAL SPECIALTY CONTRACTOR FILING A MECHANICS LIEN AGAINST A RESIDENTIAL BUILDER, TO PROVIDE FOR A RELEASE BOND, AND TO PROVIDE PENALTIES FOR A FRAUDULENT LIEN.
On motion of Senator RYBERG, the Bill was carried over.
S. 881 (Word version) -- Senators Cleary and O'Dell: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 20-7-865 SO AS TO AUTHORIZE THE FAMILY COURT TO ISSUE A RULE TO SHOW CAUSE UPON THE FILING OF AN AFFIDAVIT THAT A PARENT HAS FAILED TO PAY COURT-ORDERED SUPPORT, OTHER THAN PERIODIC PAYMENT OF FUNDS FOR THE SUPPORT OF THE CHILD, TO PROVIDE FOR SERVICE BY REGULAR MAIL, TO PROVIDE THAT THE AFFIDAVIT AND CERTAIN OTHER DOCUMENTATION IS PRIMA FACIE EVIDENCE OF NONPAYMENT, SHIFTING THE BURDEN OF PROOF, AND TO PROVIDE A DEFENSE.
On motion of Senator RITCHIE, the Bill was carried over.
On motion of Senator KNOTTS, with unanimous consent, the name of Senator KNOTTS was added as a co-sponsor of S. 881.
S. 1302 (Word version) -- Senators Campsen, Thomas, Grooms, Cleary, Alexander, Gregory, Scott, Sheheen, Hayes, Williams, Courson, Hutto, Setzler, Cromer, Ceips, McConnell, Campbell, McGill, Land, Lourie, Martin, Drummond, Massey, Anderson, Matthews, Bryant and Verdin: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY REPEALING SECTION 48-59-75 RELATING TO THE SUSPENSION OF FUNDING PROVISIONS FOR THE SOUTH CAROLINA CONSERVATION BANK IN FISCAL YEARS WHEN APPROPRIATIONS TO MORE THAN ONE-HALF OF STATE AGENCIES AND DEPARTMENTS ARE LESS THAN SUCH APPROPRIATIONS IN THE PRIOR FISCAL YEAR OR IN A FISCAL YEAR WHEN ACROSS THE BOARD APPROPRIATIONS REDUCTIONS ARE ORDERED BY THE STATE BUDGET AND CONTROL BOARD.
Senator VERDIN explained the Bill.
On motion of Senator LEATHERMAN, the Bill was carried over.
On motion of Senator KNOTTS, with unanimous consent, the names of Senators KNOTTS and MALLOY were added as co-sponsors of S. 1302.
S. 1298 (Word version) -- Senator Courson: A CONCURRENT RESOLUTION TO AUTHORIZE PALMETTO GIRLS STATE TO USE THE CHAMBERS OF THE SENATE AND THE HOUSE OF REPRESENTATIVES ON THURSDAY, JUNE 12, 2008, AND FRIDAY, JUNE 13, 2008.
The Concurrent Resolution was adopted, ordered sent to the House.
H. 5048 (Word version) -- Rep. Phillips: A CONCURRENT RESOLUTION TO FIX WEDNESDAY, MAY 21, 2008, IMMEDIATELY FOLLOWING THE ELECTION OF SUCCESSORS TO CERTAIN JUDGES OF THE COURT OF APPEALS AND A SUCCESSOR TO A CERTAIN JUDGE OF THE FAMILY COURT, AS THE DATE FOR THE HOUSE OF REPRESENTATIVES AND THE SENATE TO MEET IN JOINT SESSION IN THE HALL OF THE HOUSE OF REPRESENTATIVES FOR THE PURPOSE OF ELECTING MEMBERS OF THE BOARDS OF TRUSTEES OF THE COLLEGE OF CHARLESTON, COASTAL CAROLINA UNIVERSITY, FRANCIS MARION UNIVERSITY, THE MEDICAL UNIVERSITY OF SOUTH CAROLINA, SOUTH CAROLINA STATE UNIVERSITY, THE UNIVERSITY OF SOUTH CAROLINA, AND THE WIL LOU GRAY OPPORTUNITY SCHOOL TO SUCCEED THOSE MEMBERS WHOSE TERMS EXPIRE IN 2008, OR WHOSE POSITIONS OTHERWISE MUST BE FILLED; AND TO ESTABLISH A PROCEDURE REGARDING NOMINATIONS AND SECONDING SPEECHES FOR THE CANDIDATES FOR THESE OFFICES DURING THE JOINT SESSION.
The Concurrent Resolution was adopted, ordered returned to the House.
S. 1303 (Word version) -- Senators Grooms, Land, Setzler, Campsen, Verdin, Fair, Cromer, Alexander, Williams and Cleary: A BILL TO AMEND TITLE 56 OF THE 1976 CODE, RELATING TO MOTOR VEHICLES, BY ADDING CHAPTER 35, TO PROVIDE AN OPERATOR OF A COMMERCIAL DIESEL VEHICLE MAY NOT ALLOW A VEHICLE TO IDLE FOR MORE THAN TEN MINUTES IN ANY SIXTY MINUTE PERIOD, TO PROVIDE THAT A PASSENGER BUS MAY IDLE UP TO FIFTEEN MINUTES IN A SIXTY MINUTE PERIOD, TO PROVIDE HEATING AND AIR CONDITIONING WHEN NON-DRIVER PASSENGERS ARE ON BOARD THE VEHICLE, TO PROVIDE FOR EXCEPTIONS TO THE IDLING RESTRICTIONS, TO PROVIDE THAT THE USE OF AN AUXILIARY POWER UNIT DOES NOT CONSTITUTE IDLING, TO PROVIDE FOR A DIESEL IDLING REDUCTION FUND, TO PROVIDE FOR AN IDLING REDUCTION AWARENESS AND EDUCATION PROGRAM, TO PROVIDE FOR PUNISHMENTS FOR VIOLATIONS AND ENFORCEMENT OF THE CHAPTER.
Senator GROOMS explained the Bill.
Senator LEVENTIS objected to further consideration of the Bill.
H. 3803 (Word version) -- Reps. Haley and Kirsh: A BILL TO AMEND SECTION 40-13-20, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DEFINITION OF THE PROFESSION OF COSMETOLOGY, SO AS TO DELETE REFERENCES TO CERTAIN PRACTICES THAT CONSTITUTE THE PRACTICE OF COSMETOLOGY.
Senator KNOTTS objected to further consideration of the Bill.
At 1:05 P.M., on motion of Senator McCONNELL, the Senate receded from business.
At 1:51 P.M., the Senate resumed.
S. 392 (Word version) -- Senators Ritchie, Cromer, Sheheen, Campsen, Scott, Williams and Vaughn: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ENACTING THE "SOUTH CAROLINA ILLEGAL IMMIGRATION REFORM ACT", TO ADD CHAPTER 28 TO TITLE 8 RELATING TO THE ENFORCEMENT OF FEDERAL IMMIGRATION AND CUSTOM LAWS MEMORANDUM OF UNDERSTANDING, TO ADD CHAPTER 29 TO TITLE 8 RELATING TO THE VERIFICATION OF A PERSON'S LAWFUL PRESENCE IN THE UNITED STATES, TO PROHIBIT CERTAIN WAGES FROM BEING CLAIMED AS A DEDUCTIBLE EXPENSE FOR STATE INCOME TAX PURPOSES, TO PROVIDE THAT TAX WITHHOLDING AGENTS MUST WITHHOLD STATE INCOME TAX AT THE RATE OF SIX PERCENT OF THE COMPENSATION PAID UNDER CERTAIN CIRCUMSTANCES, TO PROVIDE THAT IT IS A FELONY TO KNOWINGLY TRANSPORT A PERSON WHO IS IN THE UNITED STATES ILLEGALLY, TO PROVIDE THAT ALL JAILS IN THIS STATE MUST MAKE A REASONABLE EFFORT TO DETERMINE WHETHER A PERSON CHARGED WITH CERTAIN CRIMES ARE LAWFULLY PRESENT IN THE UNITED STATES, TO PROVIDE A CIVIL CAUSE OF ACTION TO A PERSON WHO IS TERMINATED FOR ANOTHER PERSON WHO THE EMPLOYER KNEW WAS NOT LAWFULLY IN THE UNITED STATES, AND TO ADD CHAPTER 83 TO TITLE 40 RELATING TO REGISTRATION OF IMMIGRATION ASSISTANCE SERVICES. (ABBREVIATED TITLE)
Senator RITCHIE moved that it be the Sense of the Senate on S. 392 that the Senate would undertake a vote, without filibuster, to obtain Free Conference Powers after the House has granted Free Conference Powers on S. 392.
The "ayes" and "nays" were demanded and taken, resulting as follows:
Alexander Anderson Bryant Campbell Campsen Ceips Cleary Courson Cromer Drummond Elliott Fair Ford Gregory Grooms Hawkins Hayes Hutto Jackson Knotts Land Leatherman Leventis Lourie Malloy Martin Massey Matthews McConnell McGill O'Dell Patterson Peeler Pinckney Rankin Reese Ritchie Ryberg Scott Setzler Sheheen Short Thomas Vaughn Verdin Williams
The Sense of the Senate motion was adopted.
THE CALL OF THE UNCONTESTED CALENDAR HAVING BEEN COMPLETED, THE SENATE PROCEEDED TO THE MOTION PERIOD.
On motion of Senator MARTIN, the Senate agreed to dispense with the Motion Period.
Having received a favorable report from the Banking and Insurance Committee, the following appointment was confirmed in open session:
Reappointment, South Carolina State Board of Financial Institutions, with the term to commence June 30, 2008, and to expire June 30, 2012
SC Bankers Association:
J. Neal Anderson, Post Office Box 400, Hemingway, SC 29554
On motion of Senator PINCKNEY, with unanimous consent, the Senate stood adjourned out of respect to the memory of Mrs. Lillie Mae Green of Yonges Island, S.C.
At 1:53 P.M., on motion of Senator McCONNELL, the Senate adjourned to meet tomorrow at 11:00 A.M. under the provisions of Rule 1 for the purpose of taking up local matters and uncontested matters which have previously received unanimous consent to be taken up.
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