H 3461 General Bill, By Richardson, Allison, Anderson, Bailey, J.J. Bailey, 
B.O. Baker, R.A. Barber, D.W. Beatty, Breeland, H. Brown, Cobb-Hunter, 
R.C. Fulmer, S.E. Gonzales, Govan, H.M. Hallman, Harrell, J.P. Harrelson, 
J.L. Harris, Harvin, D.N. Holt, H.G. Hutson, Inabinett, Kelley, W.D. Keyserling, 
Klauber, Law, L.M. Martin, J.G. Mattos, J.T. McElveen, McMahand, J.H. Neal, 
Scott, J.S. Shissias, Stille, Trotter, L.S. Whipper, J.M. White, D. Williams, 
Witherspoon, S.S. Wofford, H.G. Worley and R.M. Young
 A Bill to amend the Code of Laws of South Carolina, 1976, by adding Section
 12-36-925 so as to allow municipalities and counties to impose an additional
 sales tax not exceeding two percent on accommodations for transients, to
 provide the revenue from this additional tax must be remitted to the
 jurisdiction imposing the tax and used only for certain tourism-related
 expenditures and to provide for a referendum to repeal or vary the rate of the
 tax upon a petition of at least fifteen percent of the qualified electors
 residing in the jurisdiction.

   02/11/93  House  Introduced and read first time HJ-1
   02/11/93  House  Referred to Committee on Ways and Means HJ-2

A BILL

TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 12-36-925 SO AS TO ALLOW MUNICIPALITIES AND COUNTIES TO IMPOSE AN ADDITIONAL SALES TAX NOT EXCEEDING TWO PERCENT ON ACCOMMODATIONS FOR TRANSIENTS, TO PROVIDE THE REVENUE FROM THIS ADDITIONAL TAX MUST BE REMITTED TO THE JURISDICTION IMPOSING THE TAX AND USED ONLY FOR CERTAIN TOURISM-RELATED EXPENDITURES AND TO PROVIDE FOR A REFERENDUM TO REPEAL OR VARY THE RATE OF THE TAX UPON A PETITION OF AT LEASE FIFTEEN PERCENT OF THE QUALIFIED ELECTORS RESIDING IN THE JURISDICTION.

Be it enacted by the General Assembly of the State of South Carolina:

SECTION 1. Article 9, Chapter 36, Title 12 of the 1976 Code is amended by adding:

"Section 12-36-925. (A) A municipality or county may by ordinance impose a sales tax not to exceed two percent on accommodations for transients in addition to the tax imposed pursuant to Section 12-36-920(A). If the tax is imposed by a county, it applies only in the unincorporated area of the county. The tax must be levied in increments of not less than one-half of one percent. This tax must be paid, collected, and enforced in the same manner as the tax levied pursuant to Section 12-36-920(A).

(B) The revenue from the tax collected in the municipality or unincorporated area of the county must be remitted by the State Treasurer to the jurisdiction imposing the tax which may use the revenues only for the following tourism-related expenditures:

(1) law enforcement;

(2) traffic control;

(3) highway and street maintenance;

(4) water and sewer system maintenance;

(5) tourist transportation;

(6) implementation of beach projects including projects relating to waterfront erosion;

(7) operation of visitor information centers;

(8) capital improvements directly related to tourism, including, but not limited to, visitor information centers, convention centers, and coliseums.

(C) The governing body of the municipality or county shall forward to the South Carolina Tax Commission a certified copy of the imposition ordinance and the tax is imposed beginning on the first day of the fourth month following the commission's receipt of the certified ordinance. Changes in the rate of the tax or repeal of the tax must be made by ordinance and similarly forwarded to the commission and these changes or a repeal take effect in the same manner that the imposition takes effect.

(D) Upon receipt of a petition to repeal the tax or vary the rate of the tax by a specific amount signed by at least fifteen percent of the qualified electors residing in the municipality or unincorporated area of the county at the time of the last general election, the governing body of the jurisdiction shall conduct a referendum on the question, which must be framed by the governing body in a manner that fairly reflects the petition. A referendum on a county imposed tax must be held only in the unincorporated area of the county. If a majority of those voting in the referendum favor a repeal or a revised rate, the governing body shall certify the result to the Tax Commission and the change is effective as provided in subsection (C)."

SECTION 2. This act takes effect upon approval by the Governor.