S*452 Session 109 (1991-1992)
S*0452(Rat #0469, Act #0404 of 1992) General Bill, By J.M. Waddell
A Bill to amend Sections 41-43-20, 41-43-50, 41-43-90, 41-43-100, 41-43-110,
41-43-160, 41-43-210, 41-43-220, 41-43-230, 41-43-240, and 41-43-280, all of
the Code of Laws of South Carolina, 1976, relating to definitions, earnings,
powers, additional powers, use of bond proceeds, loan programs, administrative
funds, disposition of property, and cumulative effect provisions of the South
Carolina Jobs-Economic Development Authority, so as to, among other things,
revise the definitions of "administrative funds" and "program funds" and
provide that these funds include earnings, to allow the Authority to retain
unexpended funds, to revise the powers of the Authority in acquiring property,
including exempting the Authority from the South Carolina Consolidated
Procurement Code, delete certain investment requirements, authorize grants,
provide for employment at will and for certain employee benefits, exempt
employees and personnel procedures from state employee grievance procedures,
authorize refunding of bonds, delete an obsolete reference to the Authority of
the State Budget and Control Board to approve rates of interest, to authorize
loan proceeds to finance working capital and provide for the servicing of
loans, to revise the handling of funds, to authorize program funds to pay
administrative expenses, to revise property disposal provisions, to provide
that a corporation formed by the Authority is a public procurement unit and
Authority officers and employees may act without compensation for such
corporations, to provide that the Authority is a state agency for purposes of
tort liability but is not considered an agency for budget requests or the
authority of the Joint Legislative Committee on Personal Service Financing and
Budgeting, and to provide for the severability of illegal or unenforceable
provisions of this Act.-amended title
01/10/91 Senate Introduced and read first time SJ-5
01/10/91 Senate Referred to Committee on Finance SJ-5
02/13/91 Senate Committee report: Favorable Finance SJ-14
02/14/91 Senate Read second time SJ-23
02/19/91 Senate Read third time and sent to House SJ-12
02/20/91 House Introduced and read first time HJ-18
02/20/91 House Referred to Committee on Ways and Means HJ-18
04/07/92 House Committee report: Favorable with amendment Ways
and Means HJ-12
04/23/92 House Debate adjourned until Wednesday, April 29, 1992 HJ-23
04/23/92 House Motion noted- Reconsider vote whereby debate
adjourned until 4/29/92 HJ-36
04/28/92 House Reconsider vote whereby debate adjourned until
Wednesday, April 29, 1992 HJ-121
04/28/92 House Amended HJ-122
04/28/92 House Read second time HJ-129
04/29/92 House Read third time and returned to Senate with
amendments HJ-253
05/13/92 Senate Concurred in House amendment and enrolled SJ-8
05/13/92 Senate Reconsidered SJ-45
05/13/92 Senate House amendment amended SJ-45
05/13/92 Senate Returned to House with amendments SJ-45
05/19/92 House Concurred in Senate amendment and enrolled HJ-64
05/27/92 Ratified R 469
06/02/92 Signed By Governor
06/02/92 Effective date 07/01/92
06/02/92 Act No. 404
07/09/92 Copies available
(A404, R469, S452)
AN ACT TO AMEND SECTIONS 41-43-20, 41-43-50,
41-43-90, 41-43-100, 41-43-110, 41-43-160, 41-43-210,
41-43-220, 41-43-230, 41-43-240, AND 41-43-280, ALL OF
THE CODE OF LAWS OF SOUTH CAROLINA, 1976,
RELATING TO DEFINITIONS, EARNINGS, POWERS,
ADDITIONAL POWERS, USE OF BOND PROCEEDS, LOAN
PROGRAMS, ADMINISTRATIVE FUNDS, DISPOSITION OF
PROPERTY, AND CUMULATIVE EFFECT PROVISIONS OF
THE SOUTH CAROLINA JOBS-ECONOMIC
DEVELOPMENT AUTHORITY, SO AS TO, AMONG OTHER
THINGS, REVISE THE DEFINITIONS OF
"ADMINISTRATIVE FUNDS" AND
"PROGRAM FUNDS" AND PROVIDE THAT
THESE FUNDS INCLUDE EARNINGS, TO ALLOW THE
AUTHORITY TO RETAIN UNEXPENDED FUNDS, TO
REVISE THE POWERS OF THE AUTHORITY IN
ACQUIRING PROPERTY, INCLUDING EXEMPTING THE
AUTHORITY FROM THE SOUTH CAROLINA
CONSOLIDATED PROCUREMENT CODE, DELETE
CERTAIN INVESTMENT REQUIREMENTS, AUTHORIZE
GRANTS, PROVIDE FOR EMPLOYMENT AT WILL AND
FOR CERTAIN EMPLOYEE BENEFITS, EXEMPT
EMPLOYEES AND PERSONNEL PROCEDURES FROM
STATE EMPLOYEE GRIEVANCE PROCEDURES,
AUTHORIZE REFUNDING OF BONDS, DELETE AN
OBSOLETE REFERENCE TO THE AUTHORITY OF THE
STATE BUDGET AND CONTROL BOARD TO APPROVE
RATES OF INTEREST, TO AUTHORIZE LOAN PROCEEDS
TO FINANCE WORKING CAPITAL AND PROVIDE FOR
THE SERVICING OF LOANS, TO REVISE THE HANDLING
OF FUNDS, TO AUTHORIZE PROGRAM FUNDS TO PAY
ADMINISTRATIVE EXPENSES, TO REVISE PROPERTY
DISPOSAL PROVISIONS, TO PROVIDE THAT A
CORPORATION FORMED BY THE AUTHORITY IS A
PUBLIC PROCUREMENT UNIT AND AUTHORITY
OFFICERS AND EMPLOYEES MAY ACT WITHOUT
COMPENSATION FOR SUCH CORPORATIONS, TO
PROVIDE THAT THE AUTHORITY IS A STATE AGENCY
FOR PURPOSES OF TORT LIABILITY BUT IS NOT
CONSIDERED AN AGENCY FOR BUDGET REQUESTS OR
THE AUTHORITY OF THE JOINT LEGISLATIVE
COMMITTEE ON PERSONAL SERVICE FINANCING AND
BUDGETING, AND TO PROVIDE FOR THE SEVERABILITY
OF ILLEGAL OR UNENFORCEABLE PROVISIONS OF THIS
ACT.
Be it enacted by the General Assembly of the State of South
Carolina:
Funds
SECTION 1. Items (C) and (E) of Section 41-43-20 of the 1976
Code are amended to read:
"(C) `Administrative funds' means all monies, received
by the authority from the general fund of the State or from the
exercise of the power of taxation by the State or any of its
political subdivisions which are designated specifically to be used
for the payment of administrative expenses, and the earnings on
the funds.
(E) `Program funds' means any monies, including, but not
limited to, the proceeds from bond sales, the sale or disposition of
any assets, or any other source available to the authority, other
than administrative funds and the earnings on the
funds."
Funds
SECTION 2. Section 41-43-50 of the 1976 Code is amended by
adding at the end:
"The authority shall retain unexpended funds at the close
of the state fiscal year regardless of the source of the funds and
expend the funds in subsequent fiscal years. Nothing contained in
this chapter may be construed to imply that the authority may not
receive state general appropriation funds or state general
obligation bond proceeds."
Powers and duties
SECTION 3. (1) That portion of Section 41-43-90 of the 1976
Code which precedes item (A) is amended to read:
"The authority has the rights and powers of a body
politic and corporate and body corporate of this State, including
without limitation all the rights and powers necessary or
convenient to manage the business and affairs of the authority and
to take action it considers advisable, necessary, or convenient in
carrying out its powers, including, but not limited to, the
following rights and powers:"
(2) Items (E), (I), (J), (N), and (O) of Section 41-43-90 of the
1976 Code are amended to read:
"(E) Notwithstanding any provision of law or regulation
to the contrary, and in accordance with its own procurement
procedures and regulations as approved by the Budget and
Control Board, which must, at a minimum, incorporate the
provisions of Sections 11-35-5210 through 11-35-5270, inclusive,
acquire, purchase, hold, use, improve, manage, lease, mortgage,
pledge, sell, transfer, and dispose of any property, real, personal,
or mixed, or any interest in any property, or revenues of the
authority, including as security for notes, bonds, evidences of
indebtedness, or other obligations of the authority. Except for the
provisions of Sections 11-35-5210 through 11-35-5270, inclusive,
in exercising the powers authorized in this chapter the authority is
exempt from Title 11, Chapter 35. The authority has no power to
pledge the credit and the taxing power of the State or any of its
political subdivisions.
(I) Reserved.
(J) Make commitments, guarantees, grants, or loans utilizing
any of its program funds to or on behalf of persons, partnerships,
firms, corporations, agencies, or entities, whether public or
private, in accordance with the provisions of this chapter and
under terms as are not inconsistent with any existing obligation,
including any obligation imposed as a condition of the receipt of
any such program funds.
(N) Employ and dismiss, at the will and pleasure of the
authority, officers, agents, employees, consultants, and other
providers of services as the authority considers necessary and
appropriate and to fix and to pay their compensation. Employees
of the authority or an entity established pursuant to Section
41-43-240 are not considered state employees except for
eligibility for participation in the South Carolina Retirement
System and the State Health Insurance Group Plans and pursuant
to Chapter 78 of Title 15. The provisions of Article 5, Chapter 17
of Title 8, and Chapter 35 of Title 11 do not apply to the authority.
The authority is responsible for complying with other state and
federal laws covering employers. The authority may contract with
the Division of Human Resource Management of the State Budget
and Control Board to establish a comprehensive human resource
management program.
(O) Fix, alter, charge, and collect reasonable tolls, fees, rents,
charges, and assessments for the use of the facilities of, or for the
services rendered by, the authority the rates to be at least
sufficient to provide for payment of all expenses of the
authority."
Powers
SECTION 4. Section 41-43-100 of the 1976 Code is amended to
read:
"Section 41-43-100. In addition to other powers vested
in the authority by existing laws, the authority has all powers
granted the counties and municipalities of this State pursuant to
the provisions of Chapter 29 of Title 4, including the issuance of
bonds by the authority and the refunding of bonds issued under
that chapter. The authority may issue bonds upon receipt of a
certified resolution by the county or municipality in which the
project, as defined in Chapter 29 of Title 4, is or will be located,
containing the findings set forth in Section 4-29-60 and evidence
of a public hearing held not less than fifteen days after publication
of notice in a newspaper of general circulation in the county in
which the project is or will be located. The authority may
combine for the purposes of a single offering bonds to finance
more than one project. The interest rate of bonds issued pursuant
to this section is not subject to approval by the State Budget and
Control Board."
Bonds
SECTION 5. Section 41-43-110(A) of the 1976 Code is
amended to read:
"(A) The authority may issue bonds to provide funds for
any program authorized by this chapter. The bonds authorized by
this chapter are limited obligations of the authority. The principal
and interest are payable solely out of the revenues derived by the
authority. The bonds issued do not constitute an indebtedness of
the State or the authority within the meaning of any state
constitutional provision or statutory limitation. They are an
indebtedness payable solely from a revenue producing source or
from a special source which does not include revenues from any
tax or license. The bonds do not constitute nor give rise to a
pecuniary liability of the State or the authority or a charge against
the general credit of the authority or the State or taxing powers of
the State and this fact must be plainly stated on the face of each
bond. The bonds may be executed and delivered at any time as a
single issue or from time to time as several issues, may be in such
form and denominations, may be of such tenor, may be in coupon
or registered form, may be payable in such installments and at
such time, may be subject to terms of redemption, may be payable
at such place, may bear interest at such rate payable at such place
and evidenced in such manner, and may contain such provisions
not inconsistent herewith, all of which are provided in the
resolution of the authority authorizing the bonds. Subject to
Budget and Control Board approval, any bonds issued under this
section may be sold at public or private sale as may be determined
to be most advantageous. The bonds may be sold at public or
private sale and, if by private sale, the authority shall designate
the syndicate manager or managers. The authority may pay all
expenses, premiums, insurance premiums, and commissions
which it considers necessary from proceeds of the bonds or
program funds in connection with the sale of bonds. The interest
rate of bonds issued pursuant to this section is not subject to
approval by the State Budget and Control Board."
Loans
SECTION 6. The first paragraph of Section 41-43-160 of the
1976 Code is amended to read:
"The authority may utilize any of its program funds to
establish loan programs pursuant to this section for the purpose of
reducing the cost of capital to business enterprises which meet the
eligibility requirements of Section 41-43-150. Proceeds of loans
under this section are utilized: (i) to acquire, by construction or
purchase, land and buildings or other improvements thereon,
machinery, equipment, office furnishings or other depreciable
assets, or for research and design costs, legal and accounting fees,
or other expenses in connection with the acquisition or
construction thereof; or (ii) for the research, testing, and
developing of new products, machinery, equipment, and industrial
or commercial processes, and the initial marketing thereof. Loan
proceeds also may be used to finance working capital. The
authority shall require as a condition of each loan made pursuant
to this section that the loan must be serviced by a loan
administrator which meets criteria established by the
authority."
Funds
SECTION 7. Section 41-43-210 of the 1976 Code is amended to
read:
"Section 41-43-210. All funds of the authority must be
segregated or otherwise accounted for as administrative or
program funds and deposited by the authority in a financial
institution or institutions to be designated by the State Treasurer
in accordance with policies established by the board of the
authority. Funds of the authority must be paid out only upon
warrants issued in accordance with policies established by the
board of the authority. No warrants may be drawn or issued
disbursing any of the funds of the authority except for a purpose
authorized by this chapter."
Obligations
SECTION 8. Section 41-43-220 of the 1976 Code is amended to
read:
"Section 41-43-220. The authority must not incur any
obligations, other than obligations related to administrative
expenses, payable out of administrative funds. All other
obligations are payable solely from program funds which
limitation is clearly stated on the face of any bonds and in the text
of any other obligation or contract. However, program funds may
be used to pay administrative expenses."
Property
SECTION 9. Section 41-43-230 of the 1976 Code is amended to
read:
"Section 41-43-230. The authority may dispose of any
property acquired by it on terms and conditions considered
appropriate. The authority is not required to advertise property or
take bids thereon."
Corporations
SECTION 10. The first paragraph of Section 41-43-240 of the
1976 Code is amended to read:
"The authority is authorized to establish profit or
not-for-profit corporations as it considers necessary to carry out
the purposes of this chapter. Officials or employees of the
authority may act as officials or employees without additional
compensation of a corporation created pursuant to this section. A
corporation established pursuant to this section is considered a
`public procurement unit' for purposes of Article 19, Chapter 35
of Title 11."
Agency
SECTION 11. Section 41-43-280 of the 1976 Code is amended
to read:
"Section 41-43-280. Neither this chapter nor anything
contained in this chapter is construed as a restriction or limitation
upon any powers which the authority might otherwise have under
any laws of this State, but is construed as cumulative.
Notwithstanding any provision of law or regulation to the
contrary, the authority shall continue to be an `agency' for
purposes of Chapter 78 of Title 15, but the authority is not
considered an `agency' or `state agency' or any other form of state
institution for purposes of Sections 2-7-65 and
2-57-60."
Severability
SECTION 12. If a term or provision of a section of this act is
found to be illegal or unenforceable, the remainder of this act
nonetheless remains in full force and effect and the illegal or
unenforceable term or provision is deleted and severed from this
act.
Time effective
SECTION 13. This act takes effect July 1, 1992.
Approved the 2nd day of June, 1992. |