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

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vehicle for ten consecutive days beginning and ending on the dates specified on the face of the permit. No reports are required of motor carriers only using temporary permits. Temporary permits may be issued in lieu of biennial registration required under this chapter and highway use taxes incurred during this period. The temporary permit must be carried in the vehicle for which it was issued at all times when the vehicle is in this State. The department may issue a temporary permit by facsimile message, letter, or telegram.

(B) The department may engage a person to issue the temporary permits if he receives the permits from the department. No person may issue the permits unless the permits are available to the public on a twenty-four hour basis.

(C) The department shall promulgate the regulations necessary for the proper administration of this section.

Section 56-11-230. The department shall prepare forms for use in making applications for registration cards and identification markers in accordance with this chapter, and the applicant shall furnish all the information required by such forms before a registration card or identification marker is issued.

Section 56-11-240. The registration card and the identification marker must be of such form as the department may prescribe. Each identification marker shall bear a number which must be the same as the number appearing on the registration card for the same vehicle.

Section 56-11-250. A motor carrier operating motor vehicles in this State shall apply to the department biennially for a registration card and identification marker for each power unit it operates in this State. A person violating this section, upon conviction, must be punished as provided in Section 56-17-10.

Section 56-11-260. The registration cards and markers provided for must be issued for the period beginning April first each biennium and are valid until March thirty-first of the biennium. All identification markers remain the property of the State.

Section 56-11-270. The registration card must be carried in the vehicle for which it was issued at all times when the vehicle is in this State. The identification marker must be attached or affixed to the vehicle in the place and manner prescribed by the department so that it is clearly displayed at all times, and it shall at all times be kept clearly legible.

Section 56-11-280. In addition to the penalties herein provided, the department may for good cause suspend or revoke any registration card or identification marker issued pursuant to this chapter.


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Section 56-11-290. A person who operates or causes to be operated on any highway in this State any motor vehicle that does not carry a registration card required by this chapter or any motor vehicle that does not display, in the manner prescribed by this chapter or by the department, the identification marker required by this chapter, is guilty of a misdemeanor and, upon conviction, must be fined not more than one hundred dollars. Each day's operation in violation of this section constitutes a separate offense.

ARTICLE 5

Road Tax

Section 56-11-410. A road tax for the privilege of using the streets and highways in this State is imposed upon every motor carrier. The tax is equivalent to sixteen cents a gallon, calculated on the amount of gasoline or other motor fuel used by the motor carrier in its operations within this State. Except as credit for certain taxes as provided for in this chapter, taxes imposed on motor carriers by this chapter are in addition to taxes imposed upon the carriers by any other provision of law.

Section 56-11-415. For the purpose of this chapter, a motor carrier, as defined in Section 56-11-10, which operates one hundred percent of its miles within the boundaries of this State is exempt from the provisions of this chapter.

Section 56-11-420. The amount of tax due must be calculated upon the amount of gasoline or other motor fuel used by the motor carrier in its operation within this State during the reporting period. The department shall develop forms to reflect the tax due in accordance with nationally recognized standards.

Section 56-11-430. Every motor carrier subject to the tax imposed by this chapter shall, on or before the last day of April, July, October, and January submit to the department the reports of its operations during the quarter of the year ending the last day of the preceding month as the department requires. Nothing in this section may be construed to eliminate the requirement as to registration and identification markers otherwise provided by this chapter.

Section 56-11-440. The tax herein imposed with respect to each calendar quarter shall be paid to the department at the same time the report required by this chapter is filed.

Section 56-11-450. (A) Every motor carrier subject to the tax imposed under this chapter is entitled to a credit on the tax equivalent to sixteen cents per gallon on all gasoline or other motor fuel purchased by the carrier within this State for use in operations either within or without this State and upon which gasoline or other motor fuel the tax imposed by the


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laws of this State has been paid by the carrier. Evidence of the payment of the tax in such form as may be required by or is satisfactory to the department must be furnished by each carrier claiming the credit.

(B) When the amount of the credit exceeds the amount of the tax for which the carrier is liable for the same quarter, the excess may, under regulations of the department, be allowed as a credit on the tax for which the carrier would be otherwise liable for another quarter or quarters. The department is authorized to refund the amount of the credit herein allowed if within its discretion the refund is preferable to the credit. The refund must be made only if the carrier has fully complied with all the rules and regulations of the department and the provisions of this chapter.

Section 56-11-490. The excise tax and penalties and interest imposed under this chapter constitutes a first preferred lien upon any motor vehicle in which fuel taxable under this chapter is used, the lien attaching at the time the vehicle is operating in this State through the use of the fuel. The lien must not be removed until the excise tax, penalties and interest, and legal costs are paid or the property subject to the lien is sold in payment thereof, and the lien is paramount to all private liens or encumbrances of whatever character and to the rights of any conditional vendor or any other holder of the legal title in or to any such motor vehicle.

Section 56-11-500. As to revenue collected under this chapter or other road taxes on motor carriers, the department must withhold from the State Highway Fund monies not to exceed the actual or projected costs associated with administering and enforcing the provisions of this chapter. The State Treasurer and the Comptroller General shall establish accounts as necessary to facilitate the efficient and effective operation of this chapter and deposit from the State Highway Fund initial monies as may be necessary to operate this program. All remaining taxes and penalties and interest collected by the department pursuant to the provisions of this chapter must be deposited in the State Highway Fund.

Article 7

International Fuel Tax Agreement

Section 56-11-550. (A) Upon filing a return, the Department of Public Safety may distribute funds to International Fuel Tax Agreement states before the collection of funds from a person covered by the agreement. If the person has not remitted the funds within ninety days after being sent a collection notice, the department must revoke the authority of the person to operate in South Carolina and other states. The department may collect a person's past deficient payments by adjusting future distributions to states to which distributions previously had been made."

SECTION . Section 56-15-310 of the 1976 Code is amended to read:


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"Section 56-15-310. (1)(A) Before engaging in business as a dealer or wholesaler in this State, a person first must make application to the department for a license. Each license issued expires on December thirty-first next following the date of issuance twelve months from the month of issue (licensing period) and must be displayed prominently at the established place of business. The fee for the license is fifty dollars. The license applies to only one place of business of the applicant and is not transferable to another person or place of business except that a licensed dealer may exhibit and sell motor homes, as defined by Section 56-15-10, at fairs, recreational or sports shows, vacation shows, and other similar events or shows upon obtaining a temporary dealer's license in the manner required by this section. No other exhibitions may be allowed, except as may be permitted by this section. Before exhibiting and selling motor homes at temporary locations as permitted above, the dealer shall first make application to the department for a license. To be eligible for a temporary license, a dealer shall hold a valid dealer's license issued pursuant to this chapter. Every temporary dealer's license issued is valid for a period not to exceed ten consecutive days and must be prominently displayed at the temporary place of business. No dealer may purchase more than six temporary licenses in any one calendar year licensing period. The fee for each temporary license issued is twenty dollars. A temporary license applies to only one dealer operating in a temporary location and is not transferable to any other dealer or location.

Any person failing to secure a temporary license as required by this section is guilty of a misdemeanor and, upon conviction, must be punished in the same manner as he would be punished for failure to secure his regular dealer's license.

The provisions of this section may not be construed as allowing the sale of any type of motor vehicles other than motor homes at authorized temporary locations.

(2)(B) Any A person failing who fails to secure either a temporary or a permanent license as required in this chapter is guilty of a misdemeanor and, upon conviction, must be punished fined:

(a)(1) By a fine of not less than fifty dollars nor or more than two hundred dollars or imprisonment imprisoned for not more than thirty days for the first offense.;

(b)(2) By a fine of not less than two hundred dollars nor or more than one thousand dollars or imprisonment imprisoned for not more than six months, or both, for the second offense.; and


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(c)(3) By a fine of not less than one thousand dollars nor or more than ten thousand dollars or imprisonment imprisoned for not more than two years, or both, for the third or any subsequent offense.

For purposes of this section, the sale of each motor vehicle constitutes a separate offense."

SECTION . Section 56-15-340 of the 1976 Code is amended to read:

"(1)(A) Every dealer or wholesaler shall keep complete records of each transaction under which a motor vehicle is transferred for a period of not less than four years from the date of the transaction. The records must show the true name and correct address of the person or persons from whom the motor vehicle was acquired and the date of the transaction; a correct description of the vehicle, when transferred; the true name and correct address of the person to whom the motor vehicle was transferred; and the date of the transaction. The description of the motor vehicle must include the vehicle identification number, make, model, type of body, and the odometer readings at the time the motor vehicle was transferred to and from the dealer or wholesaler. These records must be open at all reasonable times for inspection and copying by the Department or any of its duly authorized agents.

(2)(B) The records kept by the dealer or wholesaler must be maintained in a reasonably organized and orderly fashion with all entries being legible to the ordinary person upon inspection. Any records which are illegible or incapable of accurate interpretation by either the record keeper or the Department's inspector or agent are not in compliance with this section.

(3)(C) If any dealer or wholesaler fails to keep the required records or fails to make them available to the Department department or its duly authorized agents immediately upon a reasonable request, the dealer or wholesaler is guilty of a misdemeanor and upon conviction must be fined not less than fifty dollars nor more than two hundred dollars or imprisoned for up to thirty days. The failure to keep or to make available to the Department department or its duly authorized agents complete records on each separate motor vehicle constitutes a separate offense."

SECTION . Section 56-15-560 of the 1976 Code, as added by Act 70 of 1995, is amended to read:

"Section 56-15-560. Before engaging in business as a wholesale motor vehicle auction in this State, an application must be filed with the Department of Revenue and Taxation department furnishing the information it requires including, but not limited to, information adequately identifying by name and address individuals who own or control ten percent or more of the interest of the applicant. Each license issued expires twelve months from the month of issuance and must be


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displayed prominently at the established place of business. The license applies to only one place of business of the applicant and is not transferable to another person or place of business. The fee for the license is fifty dollars."

SECTION . Section 56-15-570 of the 1976 Code, as added by Act 70 of 1995, is amended to read:

"Section 56-15-570. (A) Each applicant for licensure as a wholesale motor vehicle auction shall furnish a surety bond in the penal amount of fifteen thousand dollars on a form prescribed by the Deputy Director of the Motor Vehicle Records and Vehicle Inspection Division of the department. The bond must be given to the department and executed by the applicant as principal and by a corporate surety company authorized to do business in this State as surety. The bond must be conditioned upon the applicant or licensee complying with the statutes applicable to the license and as indemnification for loss or damage suffered by an owner of a motor vehicle, or his legal representative, by reason of fraud practiced or fraudulent representation made by the licensee in connection with the sale or transfer of a motor vehicle by the licensee or its agent acting for it or within the scope of employment of the agent or loss or damage suffered by reason of a violation by the licensee or its agent of this chapter.

(B) An owner or his legal representative who suffers loss or damage has a right of action against the wholesale motor vehicle auction and against the licensee's surety upon the bond and may recover damages as provided in this chapter. A new bond or a proper continuation certificate must be delivered to the department annually before the license is renewed. However, regardless of the number of years a bond remains in effect, the aggregate liability of the surety for all claims is limited to fifteen thousand dollars on each bond and to the amount of the actual loss incurred. The surety may terminate its liability under the bond by giving the department thirty days' written notice of its intent to cancel the bond. The surety shall notify the department if the bond is canceled. The cancellation does not affect liability incurred or accrued before the cancellation."

SECTION . Section 56-16-140 of the 1976 Code is amended to read:

"Section 56-16-140. (1)(A) Before engaging in business as a motorcycle dealer or wholesaler in this State, every person must first make application to the Department for a license. Every license issued expires on December thirty-first next following twelve months from the date of issuance issue and must be prominently displayed at the established place of business. The fee for the license is fifty dollars. The license applies


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to only one place of business of the applicant and is not transferable to any other person or place of business.

(2)(B) Any A person failing who fails to secure a license as required in this chapter is guilty of a misdemeanor and upon conviction must be punished fined:

(a)(1) By a fine of not less than fifty dollars nor more than two hundred dollars or imprisonment imprisoned for not more than thirty days for the first offense.;

(b)(2) By a fine of not less than two hundred dollars nor more than one thousand dollars or imprisonment imprisoned for not more than six months, or both, for the second offense.; and

(c)(3) By a fine of not less than one thousand dollars nor more than ten thousand dollars or imprisonment imprisoned for not more than two years, or both, for the third or any subsequent offense.

For purposes of this section subsection, the sale of each motorcycle constitutes a separate offense."

SECTION . Section 56-16-170 of the 1976 Code is amended to read:

"Section 56-16-170. (1)(A) Every dealer or wholesaler shall keep complete records of each transaction under which a motorcycle is transferred for a period of not less than four years from the date of the transaction. The records must show the true name and correct address of the person or persons from whom the motorcycle was acquired and the date of the transaction; a correct description of the motorcycle, when transferred; the true name and correct address of the person to whom the motorcycle was transferred; and the date of the transaction. The description of the motorcycle must include the motorcycle identification number, make, model, type of body, and the odometer readings at the time the motorcycle was transferred to and from the dealer or wholesaler. These records must be open at all reasonable times for inspection and copying by the department or any of its duly authorized agents.

(2)(B) The records kept by the dealer or wholesaler must be maintained in a reasonably organized and orderly fashion with all entries being legible to the ordinary person upon inspection. Any records which are illegible or incapable of accurate interpretation by either the record keeper or the department's inspector or agent are not in compliance with this section.

(3)(C) If any dealer or wholesaler fails to keep the required records or fails to make them available to the department or its duly authorized agents immediately upon a reasonable request, the dealer or wholesaler is guilty of a misdemeanor and upon conviction must be fined not less than fifty dollars nor more than two hundred dollars or imprisoned for up to thirty days. The failure to keep or to make available to the department or


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its duly authorized agents complete records on each separate motorcycle constitutes a separate offense."

SECTION . Title 56 of the 1976 Code is amended by adding:

"Chapter 17

Criminal Penalties

Section 56-17-10. A person required by a provision of law or by regulation to purchase a license, keep any records, or supply any information, who wilfully fails to purchase a license, keep the records, or supply the information or who wilfully falsifies information so supplied, at the time or times required by law or regulation, in addition to other penalties provided by law, is guilty of a misdemeanor and, upon conviction, must be fined not more than ten thousand dollars or imprisoned not more than one year, or both, including the cost of prosecution."

SECTION . Section 56-19-10(44) of the 1976 Code, as last amended by Act 94 of 1991, is further amended to read:

"(44) `Moped': Notwithstanding item (2), every cycle with pedals to permit propulsion by human power or without pedals and with a motor of not more than fifty cubic centimeters which produces not to exceed two brake horsepower and which is not capable of propelling the vehicle at a speed in excess of thirty miles an hour on level ground is a moped. If an internal combustion engine is used, the moped must have a power drive system that functions directly or automatically without clutching or shifting by the operator after the drive system is engaged."

SECTION . Section 56-19-240 of the 1976 Code, as last amended by Act 506 of 1994, is further amended to read:

"Section 56-19-240. (1) An application for a certificate of title for a vehicle in this State must be made by the owner to the department on the form it prescribes and must contain or be accompanied by:

(a) the name and residence and mailing address of the owner;

(b) a description of the vehicle, including, so far as the following data exists, its make, model, year, vehicle identification number, type of body, odometer reading at the time of application, and whether new or used;

(c) the date of acquisition by applicant, the name and address of the person from whom the vehicle was acquired, and the names and addresses of any lienholders in the order of their priority and the dates of their security agreements;

(d) an odometer disclosure statement made by the transferor of the vehicle and acknowledged by the transferee. The statement must be in compliance with federal guidelines and as prescribed by the department.


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The transferor may complete the odometer disclosure statement on either a notarized bill of sale in a form approved by the department or on the previous certificate of title. Where more than one transfer has intervened between the previous certificate of title and the application for a new certificate of title, there it must be shown that the certificate of title has been signed by the owner or by the owner's attorney in fact, and there must be for each intervening transfer, thereafter a notarized bill of sale in a form approved by the department, including a completed odometer disclosure statement. Additionally, the odometer disclosure statement on the application form must be completed by the applicant;

(e) any further information or documentation the department reasonably requires to enable it to determine: the identity of the vehicle, whether the owner is entitled to a certificate of title, the existence or nonexistence of security interests in the vehicle, and the accuracy of the odometer disclosure statement.

(2) If the application is not for the first certificate of title, it shall be accompanied by the last certificate of title previously issued for the vehicle, whether issued by this State or another state or country.

(3) If the application refers to a vehicle purchased from a dealer, it shall contain the name and address of any lienholder holding a security interest created or reserved at the time of the sale and the date of his security agreement and be signed by the dealer as well as the owner, and the dealer shall promptly mail or deliver the application to the Department. If the application refers to a new vehicle purchased from a dealer, the application shall also be accompanied by the manufacturer's certificate of origin.

(4) Any person who knowingly gives a false statement on the application or knowingly gives a false statement concerning the odometer reading on an odometer disclosure statement shall be guilty of a misdemeanor and, upon conviction, shall be subject to a fine of up to one thousand dollars or imprisonment of up to one year, or both, at the discretion of the court. These penalties shall be in addition to the penalties provided by the federal odometer law (Subchapter IV of Chapter 46 of Title 15 of the United States Code 15 U.S.C. Sections 1981-1991).

(5) In addition to the other information required in an application, the application for title for a mobile or manufactured home must include the address of the site on which the home is to be placed if different from the owner's address."

SECTION . Section 56-19-280 of the 1976 Code is amended to read:

"Section 56-19-280. When the theft or conversion of a vehicle is reported to the department pursuant to Sections 56-19-810 or 56-19-820,


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until the department learns of its recovery or that the report of its theft or conversion was erroneous, it shall must not issue a certificate of title for the vehicle. A title may be issued on a vehicle that is reported stolen only in cases where the settlement to an insurance company is involved."

SECTION . Section 56-19-310 of the 1976 Code is amended to read:

"Section 56-19-310. The certificate of title issued to the first owner of a new vehicle shall must be designated by the letter suffix `A' after the title number. Titles issued to subsequent owners of such a vehicle shall must be designated `B,' `C,' `D' and `E,' in the order of ownership. Titles issued to subsequent owners shall contain no letter suffix. The transfer or sale through an auction sale where the auctioneer gives title shall be considered a sale, thus if a car bearing an `A' title is sold through the sale the transfer to the sale would be a `B' title and to the purchaser would make it a `C' title."

SECTION . Section 56-19-340 of the 1976 Code is amended to read:

"Section 56-19-340. The certificate of title shall must be mailed to the first lienholder named in it or given to the lienholder's authorized agent or, if none, to the owner."

SECTION . Section 56-19-480 of the 1976 Code is amended to read:

"Section 56-19-480. (A) Any An owner who scraps, dismantles, destroys, or in any manner disposes to another as wreckage or salvage, a motor vehicle otherwise required to be titled in this State shall immediately shall mail or deliver to the Department department the vehicle's certificate of title for cancellation notifying the Department department to whom the vehicle is delivered together with a report indicating the type and severity of any damage to the vehicle.

(B) If a vehicle is acquired by an insurance company in settlement of a claim to such the vehicle by fire, flood, collision, or other causes, or is left with the insured claimant after being declared a total loss by the insurance company, the company or its agent shall immediately shall deliver to the Department department the certificate of title for cancellation together with a report indicating the type and severity of damage to the vehicle. At such time as the insurance company may thereafter transfer the damaged vehicle, the company or its agent shall notify the department to whom the transfer was made on a form prescribed by the department. The vehicle may then be transferred as salvage by use of a form prescribed by the Department. The manufacturer's serial plate or vehicle identification number (VIN) plate shall remain with the vehicle at all times until the vehicle is shredded, crushed, melted, or destroyed.
(C) All insurance companies which make payments on liability, collision, fire, theft, or comprehensive policies for damaged motor


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