Journal of the House of Representatives
of the Second Session of the 110th General Assembly
of the State of South Carolina
being the Regular Session Beginning Tuesday, January 11, 1994

Page Finder Index

| Printed Page 7810, June 1 | Printed Page 7830, June 1 |

Printed Page 7820 . . . . . Wednesday, June 1, 1994

POINT OF ORDER

Rep. HOLT raised the Point of Order that Amendment No. 3 was out of order as it was not germane.

The SPEAKER sustained the Point of Order and ruled the amendment out of order.

Rep. G. BROWN proposed the following Amendment No. 4 (Doc Name L:\council\legis\amend\JIC\6137DW.94), which was adopted.

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

/SECTION . The 1976 Code is amended by adding:

"Section 56-5-4192. Open-end permits issued pursuant to the provisions of Chapter 5, Title 56 shall authorize the movement of a mobile home on the highways of this State on a Saturday."/

Renumber sections to conform.

Amend title to conform.

Rep. G. BROWN explained the amendment.

Rep. KENNEDY moved to table the amendment.

Rep. WORLEY demanded the yeas and nays, which were not ordered.

The House refused to table the amendment by a division vote of 10 to 56.

The question then recurred to the adoption of the amendment, which was agreed to.

The Bill, as amended, was read the second time and ordered to third reading.

S. 771--TABLED

The following Bill was taken up.

S. 771 -- Senator Hayes: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 16-11-525 SO AS TO PROVIDE THAT HOUSING AUTHORITY COMMISSIONERS ARE DEEMED OWNERS OF HOUSING AUTHORITY PROPERTY FOR MATTERS PERTAINING TO OFFENSES AGAINST PROPERTY.

Rep. SIMRILL moved to table the Bill, which was agreed to.


Printed Page 7821 . . . . . Wednesday, June 1, 1994

S. 850--OBJECTIONS

The following Joint Resolution was taken up.

S. 850 -- Senators Rose, McConnell, Passailaigue and Mescher: A JOINT RESOLUTION PROPOSING AN AMENDMENT TO SECTION 5, ARTICLE X OF THE CONSTITUTION OF SOUTH CAROLINA, 1895, RELATING TO FINANCE AND TAXATION, BY AMENDING SECTION 5, SO AS TO PROVIDE THAT ANY TAX, SUBSIDY, OR CHARGE WHICH IS ESTABLISHED, FIXED, LAID, OR LEVIED BY THE GENERAL ASSEMBLY MUST BE USED SOLEY FOR THE PURPOSE TO WHICH THE PROCEEDS OF THE TAX OR CHARGE WERE STATED TO BE APPLIED AT THE TIME THE LEGISLATION WAS PASSED AND FOR NO OTHER PURPOSE, UNLESS TWO-THIRDS OF BOTH HOUSES OF THE GENERAL ASSEMBLY STATE OTHERWISE.

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\JIC\6108HTC.94).

Amend the joint resolution, as and if amended, by striking SECTION 1 and inserting:

/SECTION 1. It is proposed that Section 5, Article X of the Constitution of this State be amended by adding at the end:

"Gasoline and other motor fuels tax revenues are prohibited from being appropriated or expended for any purpose or use other than that which is specifically set forth in the statute levying the tax unless the bill or joint resolution appropriating such revenues is approved by a two-thirds vote of the membership of each house on at least one of the readings of the bill or joint resolution."/

Amend further, by striking the question as contained in SECTION 2 and inserting:

/Must Section 5, Article X of the Constitution of this State be amended to provide that gasoline and other motor fuels tax revenues are prohibited from being appropriated or expended for any purpose or use other than that which is specifically set forth in the statute levying the tax unless the bill or joint resolution appropriating such revenues is approved by a two-thirds vote of the membership of each house on at least one of the readings of the bill or joint resolution?/

Amend title to conform.

Rep. JENNINGS explained the amendment.


Printed Page 7822 . . . . . Wednesday, June 1, 1994

Rep. McLEOD moved to table the Joint Resolution.

Rep. CATO demanded the yeas and nays, which were taken resulting as follows:

Yeas 47; Nays 53

Those who voted in the affirmative are:

Alexander, M.O.  Anderson         Askins
Beatty           Boan             Brown, G.
Canty            Chamblee         Davenport
Delleney         Elliott          Farr
Govan            Harrelson        Harris, J.
Harris, P.       Hines            Holt
Houck            Huff             Hutson
Inabinett        Kennedy          Keyserling
Kirsh            Littlejohn       Marchbanks
Mattos           McCraw           McElveen
McLeod           Moody-Lawrence   Neilson
Phillips         Rhoad            Rudnick
Sheheen          Smith, R.        Spearman
Stone            Trotter          Waites
Walker           Wells            Whipper
Wilder, J.       Wilkes

Total--47

Those who voted in the negative are:

Bailey, G.       Baker            Barber
Baxley           Breeland         Brown, H.
Brown, J.        Carnell          Cato
Cooper           Corning          Fair
Felder           Fulmer           Gamble
Gonzales         Hallman          Harrell
Harrison         Haskins          Hodges
Jaskwhich        Jennings         Keegan
Kelley           Kinon            Klauber
Law              Martin           McAbee
Meacham          Neal             Quinn
Richardson       Riser            Robinson
Sharpe           Shissias         Simrill
Smith, D.        Snow             Stoddard

Printed Page 7823 . . . . . Wednesday, June 1, 1994

Stuart           Thomas           Tucker
Vaughn           Wilder, D.       Witherspoon
Wofford          Worley           Wright
Young, A.        Young, R.

Total--53

So, the House refused to table the Joint Resolution.

Reps. McLEOD, G. BROWN, MOODY-LAWRENCE, CHAMBLEE, KIRSH and R. SMITH objected to the Joint Resolution.

S. 886--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up.

S. 886 -- Senators McConnell, Wilson and Reese: A BILL TO AMEND SECTION 62-3-603, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE REQUIREMENT OF BOND OF THE PERSONAL REPRESENTATIVE OR ADMINISTRATOR OF AN ESTATE UNDER CERTAIN CONDITIONS, SO AS TO PERMIT A BOND TO BE WAIVED ON ESTATES UNDER ONE HUNDRED THOUSAND DOLLARS UNDER CERTAIN CONDITIONS.

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\GJK\20912SD.94), which was adopted.

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

/SECTION . Section 15-51-40 of the 1976 Code is amended to read:

"Section 15-51-40. In every such action the jury may give such damages, including exemplary damages when such the wrongful act, neglect, or default was the result of recklessness, wilfulness, or malice, as they may think proportioned to the injury resulting from such the death to the parties respectively for whom and for whose benefit such action shall be brought. And the The amount so recovered shall be divided among the before-mentioned parties in such those shares as they would have been entitled to if the deceased had died intestate and the amount recovered had been personal assets of his or her estate. However, in the event of a wrongful death of a minor, upon motion by either parent, the probate court may deny or limit either parent's entitlement for a share of the proceeds if the court determines, by a preponderance of the evidence, that


Printed Page 7824 . . . . . Wednesday, June 1, 1994

the parent has refused to reasonably support the decedent as defined in Section 20-7-40 and has otherwise not provided for the needs of the decedent."/

Renumber sections to conform.

Amend totals and title to conform.

Rep. HODGES explained the amendment.

The amendment was then adopted.

The Bill, as amended, was read the second time and ordered to third reading.

S. 1062--AMENDED AND INTERRUPTED DEBATE

The following Bill was taken up.

S. 1062 -- Senators Hayes, Bryan, Courtney, Jackson, Lander, Patterson, Reese, Russell, Stilwell, Wilson, Courson, Gregory, Richter, Short, Ryberg, Rose, Peeler, J. Verne Smith, Giese, Mitchell, Ford, Mescher, Leventis, Macaulay and Leatherman: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 56 TO TITLE 33 SO AS TO ENACT THE "SOUTH CAROLINA SOLICITATION OF CHARITABLE FUNDS ACT" WHICH INCLUDES PROVISIONS REGULATING THE MANNER, CONDITIONS, AND PROCEDURES UNDER WHICH SOLICITATIONS OF CHARITABLE FUNDS MAY BE UNDERTAKEN IN THIS STATE, PROVISIONS ESTABLISHING CERTAIN REGISTRATION AND OTHER FEES, PROVISIONS ESTABLISHING CERTAIN CIVIL AND CRIMINAL PENALTIES FOR VIOLATIONS, AND PROVISIONS STIPULATING THE AMOUNT THAT A PERSON MAY RECOVER AS A RESULT OF AN INJURY BY REASON OF CERTAIN TORTIOUS ACTS OF AN EMPLOYEE OF THE CHARITABLE ORGANIZATION; TO AMEND THE 1976 CODE BY ADDING SECTION 38-79-30 SO AS TO RECODIFY IN TITLE 38 A PROVISION CURRENTLY CONTAINED IN CHAPTER 55 OF TITLE 33 PERTAINING TO THE LIABILITY OF A LICENSED HEALTH CARE PROVIDER WHO RENDERS MEDICAL SERVICES VOLUNTARILY AND WITHOUT COMPENSATION; AND TO REPEAL CHAPTER 55, TITLE 33 OF THE 1976 CODE RELATING TO CHARITABLE ORGANIZATIONS AND THE SOLICITATIONS OF CHARITABLE FUNDS.


Printed Page 7825 . . . . . Wednesday, June 1, 1994

The Judiciary Committee proposed the following Amendment No. 1 (Doc Name L:\council\legis\amend\GJK\20953SD.94), which was adopted.

Amend the bill, as and if amended, by striking item (10) of Section 33-56-20 of the 1976 Code which begins on line 38, page 3, and inserting:

/(10) `Educational institution' means an organization organized and operated exclusively for educational purposes and which normally maintains a regular faculty and curriculum and normally has a regularly enrolled body of pupils or students in attendance at the place where educational activities are regularly carried on. The term `educational institution' also includes the following persons, entities, or institutions if none of their fund-raising activities are carried on by professional solicitors as defined by this chapter:

(a) any educational institution that is an eleemosynary junior or senior college in South Carolina whose major campus and headquarters are located within this State and which is accredited by the Southern Association of Colleges and Secondary Schools; and

(b) any person or entity performing sanctioned fund-raising activities on behalf of the educational institutions referenced in subitem (a) above, its foundations, or related or affiliated funds./

Amend the bill further, as and if amended, by striking Section 33-56-50 of the 1976 Code as contained in SECTION 1 and inserting:

/Section 33-56-50. The following are not required to file registration statements with the Secretary of State, provided none of its fund-raising activities are carried on by professional solicitors:

(1) an educational institution which solicits contributions only from its students and their families, alumni, faculty, friends and other constituencies, trustees, corporations, foundations, and individuals who are interested in and supportive of the programs of the institution;

(2) persons requesting contributions for the relief of an individual specified by name at the time of the solicitation when all of the contributions collected without any deductions of any kind are turned over to the named beneficiary for his use, provided that a person soliciting the contributions is not a named beneficiary;

(3) charitable organizations which do not intend to solicit nor receive contributions from the public in excess of five thousand dollars during a calendar year or do not receive contributions from more than ten persons during a calendar year, if all of their functions, including fund-raising activities, are carried on by persons who are unpaid for their services and if no part of their assets or income inures to the benefit of or is paid to any officer or member. If the contributions raised from the public,


Printed Page 7826 . . . . . Wednesday, June 1, 1994

whether all of the contributions are or are not received by a charitable organization during any calendar year, are in excess of five thousand dollars, within thirty days after the date the contributions exceed five thousand dollars, it must register with and report to the department as required by this chapter;

(4) organizations which solicit exclusively to their members, including utility cooperatives; and

(5) any veteran's organization which has a congressional charter.

Any charitable organization claiming to be exempt from the registration provisions of this chapter and which will or does solicit charitable contributions shall submit annually to the secretary on forms to be prescribed by the secretary, the name, address, and purpose of the organization and a statement setting forth the reason for the claim for exemption. If exempted, the secretary or his appropriate division shall issue a letter of exemption which may be exhibited to the public. No filing fee is required of an exempt organization./

Amend the bill further, as and if amended, by striking Section 33-56-60 of the 1976 Code as contained in SECTION 1 and inserting:

/Section 33-56-60. (A) Each charitable organization soliciting funds in this State and not exempt under Section 33-56-50, whether individually or collectively with other organizations, shall file a report of its financial activities, on forms prescribed by the Secretary of State, certified to be true by the chief executive officer and the chief financial officer of it, in the office of the Secretary of State. The report must cover the preceding fiscal year and must be filed within two and one-half months of the close of the organization's fiscal year unless a written extension has been granted by the secretary.

The report must include:

(1) specific and itemized support and revenue statements disclosing direct public support from solicitation, indirect public support, government grants, program service revenue, and any other revenue. The report must disclose the amount of direct public support received from direct mail solicitation, telephone solicitation, commercial co-venturers, door to door solicitations, telethons, and all other itemized sources;

(2) specific and itemized expense statements disclosing program services, public information expenditures, fund-raising costs, payments to affiliates, management costs, and salaries paid; and

(3) balance sheet disclosures containing total assets and liabilities.

(B) However, if a charitable organization is required to file Internal Revenue Service Form 990 with the Internal Revenue Service, the organization may file such form with the secretary in lieu of the report


Printed Page 7827 . . . . . Wednesday, June 1, 1994

required under subsection (A) of this section, provided that the form may exclude such information which the Internal Revenue Service would not release pursuant to a Freedom of Information request.

(C) An organization failing to file the report required by this section may be enjoined from further solicitation of funds in this State in an action brought by the Attorney General or secretary. An organization failing to file a timely report required by this section may be assessed by the secretary administrative fines not to exceed two thousand dollars./

Amend the bill further, as and if amended, by striking Section 33-56-80 of the 1976 Code as contained in SECTION 1 and inserting:

/"Section 33-56-80. Registration statements and applications, reports, professional fund-raising counsel contracts or professional solicitor contracts, and all other documents and information required to be filed under this chapter or by the Secretary of State are public records in the office of the Secretary of State and are open to the general public for inspection at such time and under such conditions as the secretary may prescribe. The secretary shall publish and make available to the public and to persons subject to this chapter explanatory information concerning this chapter, the duties imposed by this chapter, and the means for enforcing this chapter."/

Amend the bill further, as and if amended, by striking Section 33-56-160 of the 1976 Code as contained in SECTION 1 and inserting:

/"Section 33-56-160. All administrative fines imposed pursuant to this chapter must be transmitted to the State Treasurer and deposited in the state general fund. All fees collected under this chapter must be transmitted to the State Treasurer and deposited in a fund separate and distinct from the state general fund and used by the Secretary of State for the purpose of administering the provisions of this chapter."/

Amend the bill further, as and if amended, by striking Sections 33-56-170 and 33-56-180 of the 1976 Code, as contained in SECTION 1, in their entirety.

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

/SECTION . Section 33-7-103(a) of the 1976 Code is amended to read:

"(a) The circuit court of the county where a corporation's principal office (or, if none in this State, its registered office) is located may order a meeting to be held:

(1) on application of any shareholder of the corporation entitled to participate in an annual meeting if an annual meeting was not held within


Printed Page 7828 . . . . . Wednesday, June 1, 1994

the earlier of six nine months after the end of the corporation's fiscal year or fifteen eighteen months after its last annual meeting; or

(2) on application of a shareholder who signed a demand for a special meeting valid under Section 33-7-102 if:

(i) notice of the special meeting was not given within thirty days after the date the demand was delivered to the corporation's secretary; or

(ii) the special meeting was not held in accordance with the notice."

SECTION . Section 33-8-106 of the 1976 Code is amended to read:

"Section 33-8-106. If there are nine six or more directors, the articles of incorporation may provide for staggering their terms by dividing the total number of directors into two or three groups, with each group containing one-half or one-third of the total, as near as may be. The terms of directors in the first group expire at the first annual shareholders' meeting after their election; the terms of the third group, if any, expire at the third annual shareholders' meeting after their election. At each annual shareholders' meeting held thereafter, directors are chosen for a term of two years or three years, as the case may be, to succeed those directors whose terms expire."/

Renumber sections to conform.

Amend totals and title to conform.

Rep. HARRISON explained the amendment.

The amendment was then adopted.

Reps. HARRISON and HODGES proposed the following Amendment No. 2 (Doc Name L:\council\legis\amend\GJK\20959SD.94), which was adopted.

Amend the bill, as and if amended, by adding after Section 33-56-160 of the 1976 Code, as contained in SECTION 1, the following:

/"Section 33-56-170. For purposes of Section 33-56-180:

(a) `Charitable organization' means any organization, institution, association, society, or corporation which is exempt from taxation pursuant to Section 501(c)(3) or 501(d) of Title 26 of the United States Code, as amended, or pursuant to Section 12-7-330.

(b) `Employee' means an agent, servant, employee, or officer of a charitable organization.

Section 33-56-180. Any person sustaining an injury or dying by reason of the tortious act of commission or omission of an employee of a charitable organization, when the employee is acting within the scope of his employment, may only recover in an action brought against the


Printed Page 7829 . . . . . Wednesday, June 1, 1994

charitable organization for the actual damages he may sustain in an amount not exceeding two hundred thousand dollars. An action against the charitable organization under this section constitutes a complete bar to any recovery by the claimant, by reason of the same subject matter, against the employee of the charitable organization whose act or omission gave rise to the claim unless it is alleged and proved in the action that the employee acted in a reckless, wilful, or grossly negligent manner, and the employee must be properly joined as a party defendant. No judgment against an employee of a charitable organization may be returned unless a specific finding is made that the employee acted in a reckless, wilful, or grossly negligent manner. If the charitable organization for which the employee was acting cannot be determined at the time the action is instituted, the plaintiff may name as a party defendant the employee, and the entity for which the employee was acting must be added or substituted as party defendant when it can be reasonably determined."/

Renumber sections to conform.

Amend totals and title to conform.

Rep. HARRISON explained the amendment.

The amendment was then adopted.

Rep. BAXLEY proposed the following Amendment No. 3 (Doc Name L:\council\legis\amend\GJK\21002SD.94), which was adopted.

Amend the bill, as and if amended, by adding after Section 33-56-160 of the 1976 Code, as contained in SECTION 1, the following:

/"Section 33-56-170. For purposes of Section 33-56-180:

(a) `Charitable organization' means any organization, institution, association, society, or corporation which is exempt from taxation pursuant to Section 501(c)(3) or 501(d) of Title 26 of the United States Code, as amended, or pursuant to Section 12-7-330.

(b) `Employee' means an agent, servant, employee, or officer of a charitable organization.

Section 33-56-180. Any person sustaining an injury or dying by reason of the tortious act of commission or omission of an employee of a charitable organization, when the employee is acting within the scope of his employment, may only recover in an action brought against the charitable organization for the actual damages he may sustain in an amount not exceeding two hundred fifty thousand dollars. An action against the charitable organization under this section constitutes a complete bar to any recovery by the claimant, by reason of the same subject matter, against the employee of the charitable organization whose act or omission gave rise


Printed Page 7830 . . . . . Wednesday, June 1, 1994

to the claim unless it is alleged and proved in the action that the employee acted in a reckless, wilful, or grossly negligent manner, and the employee must be properly joined as a party defendant. No judgment against an employee of a charitable organization may be returned unless a specific finding is made that the employee acted in a reckless, wilful, or grossly negligent manner. If the charitable organization for which the employee was acting cannot be determined at the time the action is instituted, the plaintiff may name as a party defendant the employee, and the entity for which the employee was acting must be added or substituted as party defendant when it can be reasonably determined."/


| Printed Page 7810, June 1 | Printed Page 7830, June 1 |

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