Journal of the House of Representatives
of the Second Session of the 111th General Assembly
of the State of South Carolina
being the Regular Session Beginning Tuesday, January 9, 1996

Page Finder Index

| Printed Page 1170, Feb. 29 | Printed Page 1190, Feb. 29 |

Printed Page 1180 . . . . . Thursday, February 29, 1996

(A) The 1976 Code is amended by adding:

"Section 8-13-703. An individual employed by the State, its agencies, or any of its affiliates, who has directly participated in the negotiation or approval of any sale or lease of state assets is prohibited from personally benefiting from such transaction. In addition, this individual is prohibited from accepting any position with or remuneration from the entity or entities purchasing or leasing such assets, or any party related to them."

(B) Any state employee violating the provisions of Section 8-13-703(A) during fiscal year 1996-97 or thereafter shall pay into the State general fund a civil penalty equal to one hundred percent of the benefit he received from such violation as determined by the State Ethics Commission./

Renumber sections & amend totals/title to conform.

Rep. JASKWHICH explained the amendment.

POINT OF ORDER

Rep. LAW raised the Point of Order that Amendment No. 198 was out of order as it was not germane.

Rep. JASKWHICH, citing Section 71, argued contra the Point.

SPEAKER Pro Tempore HASKINS stated that the amendment referred to the sale of state assets and that was not referred to and that the amendment was to prohibit a state employee from benefiting from the sale of state property and that would not impact the general fund of the State and he sustained the Point of Order and ruled the amendment out of order.

Reps. STILLE, COBB-HUNTER, NEAL, McELVEEN and KIRSH proposed the following Amendment No. 201 (Doc Name P:\amend\201), which was rejected.

Amend the bill, as and if amended, to add an appropriately numbered section to Part II, to read as follows:


Printed Page 1181 . . . . . Thursday, February 29, 1996

/SECTION 1. Of the money appropriated for use by the Department of Revenue and Taxation on line 15 on page 373 of Part IA of this Act, the Department of Revenue and Taxation must publish a notice on the back of the South Carolina Individual Income Tax Return Instruction Book that separately lists by dollar amount or percentage the amount of State expenditures for both the current and previous fiscal year for the following activities: Legislative Department, Judicial Department, Executive Department, K-12 Education, Higher Education, Other Education, Health Division, Public Safety Department, Social Rehabilitation Division, Correctional Department, Conservation and Natural Resources Division, Regulatory Division, Debt Service, Miscellaneous Division, and Transportation Division; and the notice must separately list and describe all taxes and fees that were increased over the previous year's level.

SECTION 2. This section shall be effective upon signature by the Governor./

Renumber sections & amend totals/title to conform.

Rep. STILLE explained the amendment.

Rep. H. BROWN moved to table the amendment, which was not agreed to by a division vote of 36 to 40.

Rep. WILKES spoke against the amendment.

Rep. STILLE spoke in favor of the amendment.

POINT OF ORDER

Rep. STUART raised the Point of Order that Amendment No. 201 was out of order as it was not germane.

Rep. STILLE cited Page 373, Line 36 and stated that it referred back to other operating expenses under the Department of Revenue.

SPEAKER Pro Tempore HASKINS overruled the Point of Order.

Rep. KIRSH spoke in favor of the amendment.

Rep. WILKES spoke against the amendment.

Rep. HARRELL spoke against the amendment.

The amendment was then rejected.

SPEAKER IN CHAIR

Reps. McELVEEN, COBB-HUNTER, NEAL, HODGES, SHEHEEN, HERDKLOTZ, SHISSIAS, STILLE, FELDER and SPEARMAN proposed the following Amendment No. 204 (Doc Name P:\amend\204), which was ruled out of order.


Printed Page 1182 . . . . . Thursday, February 29, 1996

Amend the bill, as and if amended, to add an appropriately numbered section to Part II, to read as follows:

/SECTION 1.A. Subsection (C) of SECTION 4-9-55 of the 1976 Code is amended to read:

"(C) The provisions of this section do not apply to:

(1) Laws enacted to require funding of pension benefits existing on the effective date of this section;

(2) Laws relating to the Judicial Department;

(3) Criminal laws;

(4) Election laws;

(5) The General Appropriations Act;

(6)(5) the Department of Education;

(7) special appropriations acts;

(8)(6) laws reauthorizing but not expanding then-existing statutory authority;

(9)(7) laws having a fiscal impact of less than ten cents per capita on a statewide basis; laws creating, modifying, or repealing noncriminal infractions."

B. This section is effective for fiscal years beginning after June 30, 1995.

SECTION 2. Up to five hundred dollars of the amount appropriated to the Budget and Control Board, Division of Operations on line 28, Page 76 of Part IA of this Act, shall be expended to produce a study on the budget provisions affected by this proviso./

Renumber sections & amend totals/title to conform.

Rep. McELVEEN explained the amendment.

POINT OF ORDER

Rep. KLAUBER raised the Point of Order that Amendment No. 204 was out of order as it was not germane.

Rep. McELVEEN argued contra the Point in stating that Section 2 of the amendment related to a line item.

The SPEAKER inquired about the substantial effect portion of Rule 5.3.

Rep. McELVEEN stated that it depended on whether $500 was substantial.

Rep. ROBINSON stated that Section 1 had no relation to Part I and was not germane.

Rep. McELVEEN cited Rule 5.3 and stated that it was germane under the Rule. He further stated that his amendment was an `anti-bobtailing' amendment.


Printed Page 1183 . . . . . Thursday, February 29, 1996

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

Reps. CAVE, McABEE, COBB-HUNTER, NEAL, HERDKLOTZ, McCRAW, FELDER, KIRSH and McELVEEN proposed the following Amendment No. 208 (Doc Name P:\amend\208), which was rejected.

Amend the bill, as and if amended, by adding an appropriately numbered section in Part II of the bill as follows:

/SECTION 1. Chapter 45, Title 12 of the 1976 Code of Laws is amended by adding:

"SECTION 12-45-73. Every property tax bill for real property must include for each governmental entity imposing a property tax, the tax due for the preceding property tax year for both the operating and debt service for that entity, as well as the current year's tax due for operating and debt service purposes; provided, however that any increased costs due to acquisition or modification of computer software, computer hardware, tax forms, incremental increases in postage due to increased form size or weight, and any surcharges or increases in the cost of a contract between the governmental entity and a private service which handles property tax notice preparation, printing, or mailing for which the governmental entity is contractually bound to pay must be set forth in an affidavit submitted on behalf of the governmental entity to the Comptroller General and the Comptroller General shall then issue a voucher for the payment of the incremental cost of implementing this section, within forty-five days of receiving the affidavit, for which the Treasurer must issue a check drawn on the general fund of the State for the amount of the voucher within fifteen days of receipt.

SECTION 2. Of the funds appropriated to the Comptroller General on page 45, line 9, of Part IA of this Act, the Comptroller General may spend an amount, not to exceed ten dollars, to generate a report to the General Assembly detailing the cost of implementing this proviso.

SECTION 3. This section shall become effective upon signature of the Governor./

Renumber sections and amend title to conform.

Rep. CAVE explained the amendment.

POINT OF ORDER

Rep. H. BROWN raised the Point of Order that Amendment No. 208 was out of order as it was not germane.

Rep. CAVE argued contra the Point.


Printed Page 1184 . . . . . Thursday, February 29, 1996

Rep. McABEE stated that it directed the Comptroller General to issue a voucher for the payment of the incremental cost of implementing the section and that it was germane.

The SPEAKER stated that it could be referred back to Part I and he overruled the Point of Order.

Rep. HARRELL moved to table the amendment.

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

Yeas 50; Nays 52

Those who voted in the affirmative are:

Allison              Bailey               Brown, H.
Cain                 Cato                 Cotty
Dantzler             Easterday            Gamble
Hallman              Harrell              Harrison
Haskins              Keegan               Kelley
Klauber              Knotts               Koon
Lanford              Law                  Limbaugh
Limehouse            Littlejohn           Loftis
Marchbanks           Mason                McKay
Quinn                Rice                 Richardson
Riser                Robinson             Sandifer
Seithel              Shissias             Smith, R.
Stuart               Thomas               Tripp
Trotter              Vaughn               Walker
Whatley              Wilkins              Witherspoon
Wofford              Worley               Wright
Young                Young-Brickell       

Total--50

Those who voted in the negative are:

Anderson             Askins               Baxley
Breeland             Brown, G.            Brown, J.
Byrd                 Canty                Cave
Chamblee             Clyburn              Cobb-Hunter
Cromer               Delleney             Felder
Fleming              Govan                Harris, J.
Herdklotz            Hines, J.            Hodges

Printed Page 1185 . . . . . Thursday, February 29, 1996

Howard               Inabinett            Jaskwhich
Jennings             Keyserling           Kirsh
Lloyd                McAbee               McCraw
McTeer               Meacham              Moody-Lawrence
Neilson              Phillips             Rhoad
Rogers               Scott                Sharpe
Sheheen              Simrill              Spearman
Stille               Stoddard             Townsend
Tucker               Waldrop              Whipper, L.
Whipper, S.          White                Wilder
Wilkes               

Total--52

So, the House refused to table the amendment.

SPEAKER PRO TEMPORE IN CHAIR

Rep. HARRELL spoke against the amendment.

Rep. CAVE spoke in favor of the amendment.

Rep. H. BROWN spoke against the amendment.

The amendment was then rejected.

Reps. WILKINS, HARRISON and D. SMITH proposed the following Amendment No. 210 (Doc Name P:\amend\DKA\3577HTC.96), which was adopted.

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

/SECTION __

TO AMEND THE 1976 CODE BY ADDING SECTIONS 4-9-142 AND 5-21-70 SO AS TO IMPOSE LIMITS ON THE AUTHORITY OF COUNTIES AND MUNICIPALITIES TO IMPOSE NEW TAXES, RAISE THE RATES OF EXISTING TAXES AND UNIFORM SERVICE CHARGES AND PROVIDE EXCEPTIONS, TO AUTHORIZE COUNTIES AND MUNICIPALITIES TO IMPOSE UNIFORM SERVICE CHARGES ON ACCOMMODATIONS PROVIDED TRANSIENTS AND FOOD AND BEVERAGES SERVED IN ESTABLISHMENTS LICENSED FOR ON PREMISE CONSUMPTION FOR SPECIAL PURPOSES RELATING TO TOURISM, TO PROVIDE THE MAXIMUM RATES OF THESE CHARGES AND THE REQUIREMENTS FOR IMPOSITIONS AND RATE INCREASES, TO


Printed Page 1186 . . . . . Thursday, February 29, 1996

PROVIDE FOR A ROLLBACK TAX CALCULATION APPLICABLE TO MILLAGES IMPOSED FOR REASSESSMENT YEARS, AND TO REQUIRE THESE JURISDICTIONS TO CERTIFY COMPLIANCE WITH THE PROVISIONS OF THESE SECTIONS ANNUALLY IN WRITING TO THE COMPTROLLER GENERAL TO OBTAIN REIMBURSEMENT FOR THE HOMESTEAD EXEMPTIONS FOR THE ELDERLY OR DISABLED; BY ADDING SECTION 6-1-85 SO AS TO PROHIBIT POLITICAL SUBDIVISIONS, INCLUDING SCHOOL DISTRICTS, FROM IMPOSING TAXES OR FEES ON REAL PROPERTY TRANSFERS EXCEPT AS SPECIFICALLY AUTHORIZED BY GENERAL LAW AND TO PROVIDE A PHASE OUT PERIOD FOR JURISDICTION WHERE THESE TAXES OR FEES ARE CURRENTLY IMPOSED, AND TO REQUIRE ANNUAL COMPLIANCE REPORTS TO THE COMPTROLLER GENERAL IN ORDER TO OBTAIN REIMBURSEMENTS FOR THE HOMESTEAD EXEMPTION FOR THE ELDERLY OR DISABLED; AND TO AMEND SECTION 11-11-440, RELATING TO THE PROHIBITION ON GENERAL TAX INCREASES OR NEW GENERAL TAXES AS PERMANENT PROVISIONS IN APPROPRIATION BILLS, SO AS TO REQUIRE THE SEPARATE LEGISLATION REQUIRED FOR THESE PURPOSES TO PASS EACH HOUSE OF THE GENERAL ASSEMBLY BY AT LEAST A TWO-THIRDS MAJORITY.

A. Article 1, Chapter 9, Title 4 of the 1976 Code is amended by adding:

"Section 4-9-142. (A) The governing body of a county may not impose any new tax after December 31, 1995, unless the tax is specifically authorized by the General Assembly by general law. The governing body of a county may not increase tax or uniform service charge rates, excluding utilities, imposed for any purposes above the rates imposed for such purposes for the prior tax year. However, rates may be increased by the percentage increase in the Consumer Price Index based upon the southeastern average. Notwithstanding the limitations contained in this subsection, rates may be increased for the following purposes:

(1) in response to a natural or environmental disaster as declared by the Governor;

(2) to offset a prior year's deficit, as required by Section 7, Article X of the South Carolina Constitution;

(3) to raise the revenue necessary to comply with judicial mandates requiring the use of county funds, personnel, facilities, or equipment; or


Printed Page 1187 . . . . . Thursday, February 29, 1996

(4) millage which is levied to pay bonded indebtedness or payments for real property purchased using a lease-purchase agreement or used to maintain a reserve account. Nothing in this section prohibits the use of energy saving performance contracts as provided in Section 48-52-670.

(B) Existing tax and uniform service charge rates may be further increased only upon a two-thirds vote of the governing body of the county. However, if the governing body has fewer than six members or more than twelve members, a three-fifths vote is required. Additionally, no supermajority is required to further increase the rate of the charges specifically authorized by this subsection if, in a referendum held for this purpose, a majority of the qualified electors of the county voting in the referendum approve the imposition of the increased rate of the existing charge. The referendum must be held only in that portion of the county where the rates of such charges are to be raised. This subsection does not apply to the vote of a county council in the preparation or adoption of the budget of a school district that is not fiscally autonomous.

(C) The imposition of a new tax expressly authorized by the General Assembly by general law or a new uniform service charge requires a two-thirds vote of the governing body of the county except that if the governing body is comprised of fewer than six members or more than twelve members, a three-fifths majority is required.

(D) (1) Notwithstanding any other provision of law, the governing body of a county may by ordinance impose a uniform service charge on accommodations provided transients and on food and beverages served in establishments licensed for on-premises consumption. The maximum rate that may be imposed on accommodations is three percent of the measure of the charge and in the case of food and beverages, one percent of the measure of the charge. However, when a charge is imposed on food and beverages, the maximum rate of the accommodations charge is two percent. The charges authorized by this subsection may be imposed within an incorporated area of the county only with the approval of a two-thirds majority of the governing body of the affected municipality and these charges cannot be imposed in a municipality which has imposed either or both of these charges within its jurisdiction. The charges authorized by this subsection may be imposed or raised only in the manner provided in subsection (C) except that no supermajority is required to impose or increase the rate of the charges specifically authorized by this subsection if, in a referendum held for this purpose, a majority of the qualified electors of the county voting in the referendum approve the imposition of the new charge or the increased rate of the existing charge. The


Printed Page 1188 . . . . . Thursday, February 29, 1996

referendum must be held only in that portion of the county where the charges are to be imposed or rates of such charges raised. The maximum rates provided in this subsection may not be exceeded regardless of the method of imposition.

(2) The revenues of the charges authorized by this subsection may be used only for:

(a) tourism-related buildings including, but not limited to, civic centers, coliseums, and aquariums;

(b) cultural, recreational, or historical facilities;

(c) beach access and renourishment;

(d) highways, roads, streets, and bridges providing access to tourist destinations;

(e) advertisements and promotions related to tourism development.

(3) Nothing in this subsection may be construed as authorizing additional charges on accommodations and food and beverages when the governing body of the county enacted before 1996 taxes, fees, or uniform service charges on these items measured substantially in the same manner. To the extent that the maximum charge rates authorized in this subsection have not been exceeded in cumulative local impositions occurring before 1996, any rate increases are allowed only as provided in this subsection.

(E) For the tax year of implementation of the values determined by a countywide equalization and reassessment program, the millage rate for all real and personal property must not exceed the rollback millage, as defined in this subsection, except that the rollback millage may be increased by the percentage increase in the consumer price index, based on the southeastern average, for the year immediately preceding the year the reassessment values are implemented. The millage rate may be further increased during the year of implementation of reassessment values upon a two-thirds vote of the governing body. However, if the governing body has fewer than six members, a three-fifths vote is required. For purposes of this subsection, the rollback millage rate is computed by dividing the prior year property tax revenues by the budget year property tax assessment base.

(F) Notwithstanding any other provision of law, no reimbursement otherwise due a county pursuant to Section 12-37-270 may be paid unless the governing body of the county certifies in writing to the Comptroller General that the county shall comply with the requirements of this section."

B. Article 1, Chapter 21, Title 5 of the 1976 Code is amended by adding:


Printed Page 1189 . . . . . Thursday, February 29, 1996

"Section 5-21-70. (A) The governing body of a municipality may not impose any new tax after December 31, 1995, unless the tax is specifically authorized by the General Assembly by general law. The governing body of a municipality may not increase tax or uniform service charge rates, excluding utilities, imposed for any purposes above the rates imposed for such purposes for the prior tax year. However, rates may be increased by the percentage increase in the Consumer Price Index based upon the southeastern average. Notwithstanding the limitations contained in this subsection, rates may be increased for the following purposes:

(1) in response to a natural or environmental disaster as declared by the Governor;

(2) to offset a prior year's deficit, as required by Section 7, Article X of the South Carolina Constitution;

(3) to raise the revenue necessary to comply with judicial mandates requiring the use of municipal funds, personnel, facilities, or equipment; or

(4) millage which is levied to pay bonded indebtedness or payments for real property purchased using a lease-purchase agreement or used to maintain a reserve account. Nothing in this section prohibits the use of energy saving performance contracts as provided in Section 48-52-670.

(B) Except as provided in subsection (D) and notwithstanding any provision of law, tax and uniform service charge rates may be further increased only upon a two-thirds vote of the governing body of the municipality. However, if the governing body has fewer than six members or more than twelve members, a three-fifths vote is required.

(C) The imposition of a new tax expressly authorized by the General Assembly by general law or a new uniform service charge requires a two-thirds vote of the governing body of the municipality except that if the governing body is comprised of fewer than six members or more than twelve members, a three-fifths majority is required.

(D)(1) Notwithstanding any other provision of law, the governing body of a municipality by ordinance may impose a uniform service charge on accommodations provided transients within the municipality and on food and beverages served in establishments located in the municipality licensed for on-premises consumption. The maximum rate that may be imposed on accommodations is three percent of the measure of the charge and in the case of food and beverages, one percent of the measure of the charge. However, when a charge is imposed on food and beverages, the maximum rate of the accommodations charge is two percent. The charges authorized by this subsection may be imposed or raised only in the manner provided in subsection (C) except that no supermajority is required to impose or


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