S 937 Session 112 (1997-1998)
S 0937 General Bill, By Grooms
Similar(H 5031)
A BILL TO ENACT THE COLLETON COUNTY SCHOOL DISTRICT SCHOOL BOND-PROPERTY TAX
RELIEF ACT.
01/20/98 Senate Intd. & placed on local & uncontested cal. w/o
reference SJ-14
INTRODUCED
January 20, 1998
S. 937
Introduced by Senator Grooms
L. Printed 1/20/98--S.
Read the first time January 20, 1998.
A BILL
TO ENACT THE COLLETON COUNTY SCHOOL DISTRICT
SCHOOL BOND-PROPERTY TAX RELIEF ACT.
Be it enacted by the General Assembly of the State of South
Carolina:
SECTION 1. This act may be cited as the "Colleton County School
District School Bond-Property Tax Relief Act".
SECTION 2. Subject to the requirements of this act, the governing
body of the Colleton County School District may by resolution
impose a one percent sales and use tax within Colleton County for a
specific purpose and for a specified period of time to collect funds to
be used to pay debt service on general obligation bonds issued
pursuant to Article 1 of Chapter 71, Title 59 of the 1976 Code
(School Bond Act).
SECTION 3. (A)(1) The governing body of the Colleton County
School District may vote to impose the tax authorized by this act,
subject to a referendum, by enacting a resolution. The resolution
must specify:
(a) the improvements to be financed through the issuance of
general obligation bonds of the school district together with the
imposition of the tax;
(b) the maximum time, stated in calendar years or calendar
quarters, or a combination of them, not to exceed twenty years, for
which the tax may be imposed; and
(c) the maximum principal amount of general obligation
bonds to be issued and repaid with proceeds of the tax.
(2) The findings provided in item (1) may be incorporated
within a resolution of the governing body of the Colleton County
School District calling for a referendum upon the question of the
issuance of general obligation bonds pursuant to Article 1 of Chapter
71, Title 59 of the 1976 Code, if the proposed tax will be applied to
payment of debt service upon the bonds.
(B) Upon receipt of the resolution, the Colleton County Board of
Elections and Voter Registration shall conduct a referendum on the
question of imposing the optional special sales and use tax in the
county. Notice of the election must be provided in the manner
provided by the general election law and include the question to be
voted upon in the referendum. In addition, if the question of the
issuance of general obligation bonds is to also be voted upon in the
referendum, publication of notice of the referendum must also be
given in compliance with Article 1 of Chapter 71, Title 59 of the
1976 Code. Expenses of the referendum must be paid by the school
district.
(C) The question to be voted upon in the referendum shall read
substantially as follows:
"Must a special one percent sales and use tax be imposed in
Colleton County for not more than twenty years in order to raise
funds which will be applied to pay debt service on general obligation
bonds issued to defray the cost of (identify improvements) for the
Colleton County School District ?
Yes []
No []"
The ballot may, in the discretion of the governing body of the school
district, contain a short explanation of the question to be voted upon
in this referendum.
(D) All qualified electors desiring to vote in favor of imposing the
tax for a particular purpose shall vote "yes" and all qualified electors
opposed to levying the tax for the particular purpose shall vote "no".
Upon receipt of the returns of the referendum, the election
commission shall, by resolution, declare the results of it and shall file
the resolution with the Colleton County Clerk of Court. The
resolution shall also be filed with the South Carolina Department of
Revenue. The results of the referendum, as declared by resolution of
the election commission and as filed with the clerk of court, is not
open to question except by a civil action instituted within twenty days
of the filing of it. If a majority of the votes cast are in favor of
imposing the tax, then the tax is imposed as provided in this act;
otherwise the tax is not imposed. A referendum on imposition of the
tax authorized in this act may not be held more than once in a period
of twelve consecutive months.
SECTION 4. (A) If the tax is approved in the referendum, the tax
must be imposed beginning upon the first day of the third full month
following the filing of the declaration of results of the referendum
with the Department of Revenue.
(B) The tax terminates:
(1) on the final day of the maximum time specified for the
imposition; or
(2) if earlier, but not if later, upon payment of the final maturing
installments of principal of the bonds to which application of the tax
is authorized, or upon payment of the final maturing installments of
principal of general obligation bonds issued to refund the bonds.
(C) When the optional sales and use tax is imposed for more than
one purpose, the governing body of the school district authorizing the
referendum for the tax shall determine the priority for the expenditure
of the net proceeds of the tax for the purposes stated in the
referendum.
SECTION 5. (A) The tax levied pursuant to this act must be
administered and collected by the Department of Revenue in the
same manner that other sales and use taxes are collected. The
department may prescribe the amounts which may be added to the
sales price because of the tax.
(B) The tax authorized by this act is in addition to all other local
sales and use taxes and applies to the gross proceeds of the sales in
the applicable jurisdiction which are subject to the tax imposed by
Chapter 36, Title 12 of the 1976 Code and the enforcement
provisions of Chapter 54, Title 12 of the 1976 Code. The gross
proceeds of the sale of items subject to a maximum tax in Chapter 36
of Title 12 of the 1976 Code are exempt from the tax imposed by this
act. The gross proceeds of the sale of food which may lawfully be
purchased with United States Department of Agriculture food stamps
are exempt from the tax imposed by this act. The tax imposed by this
act also applies to tangible personal property subject to the use tax in
Article 13, Chapter 36 of Title 12 of the 1976 Code.
(C) Taxpayers required to remit taxes under Article 13, Chapter
36, Title 12 of the 1976 Code shall identify the county in which the
tangible personal property purchased at retail is stored, used, or
consumed in this State.
(D) Utilities are required to report sales in the county in which
consumption of the tangible personal property occurs.
(E) A taxpayer subject to the tax imposed by Section 12-36-920 of
the 1976 Code who owns or manages rental units in more than one
county shall separately report in his sales tax return the total gross
proceeds from business done in each school district.
(F) The gross proceeds of sales of tangible personal property
delivered after the imposition date of the tax levied under this act in
Colleton County, either under the terms of a construction contract
executed before the imposition date, or a written bid submitted before
the imposition date, culminating in a construction contract entered
into before or after the imposition date, are exempt from the special
local sales and use tax provided in this section if a verified copy of
the contract is filed with the Department of Revenue within six
months after the imposition of the special local sales and use tax.
(G) Notwithstanding the imposition date of the special local sales
and use tax authorized pursuant to this act, with respect to services
that are regularly billed on a monthly basis, the special local sales and
use tax is imposed beginning on the first day of the billing period
beginning on or after the imposition date.
SECTION 6. (A) The revenues of the tax collected in the county
under this act must be remitted to the State Treasurer and credited to
a fund separate and distinct from the general fund of the State. After
deducting the amount of refunds made and costs to the Department
of Revenue of administering the tax, not to exceed one percent of the
revenues, the State Treasurer shall distribute the revenues quarterly
to the county treasurer who holds the debt service funds established
for payment of principal and interest on the bonds to which the tax is
applicable. The State Treasurer may correct misallocation costs or
refunds by adjusting subsequent distributions, but these adjustments
must be made in the same fiscal year as the misallocation.
(B) The Colleton County Treasurer holding taxes collected
pursuant to this act must certify to the auditor of the county on July
fifteenth of each calendar year as to the amount of taxes held by that
county treasurer as of June thirtieth of the calendar year. The
Colleton County Auditor shall reduce the next levy of ad valorem
property taxes required to pay debt service on bonds to which the tax
is applicable by the amount of tax revenues certified as collected as
of June thirtieth by the county treasurer. Taxes collected as of June
thirtieth of a calendar year in excess of the amounts required to pay
debt service due in the eighteen months following June thirtieth on
bonds to which the tax is applicable must be applied to reduce the
next levy of ad valorem property taxes required for payment of
operational and maintenance expenses of the Colleton County School
District.
(C) The State Treasurer, in consultation with the Department of
Education, shall determine an average per pupil amount by dividing
the amount of revenues generated in the county by the imposition of
the tax authorized by this act by the total number of students in
grades K-12 in Colleton County. The State Treasurer shall pay any
other school district located in Colleton County an amount equal to
the average per pupil amount based on the number of pupils attending
schools residing in Colleton County to be used exclusively for capital
projects.
SECTION 7. The Department of Revenue shall furnish data to the
State Treasurer and to the school districts receiving tax revenues
pursuant to this act for the purpose of calculating distributions and
estimating revenues. The information which must be supplied to the
Colleton County School District upon request includes, but is not
limited to, gross receipts, net taxable sales, and tax liability by
taxpayers. Information about a specific taxpayer is considered
confidential and is governed by the provisions of Section 12-54-240
of the 1976 Code. A person violating this section is subject to the
penalties provided in Section 12-54-240 of the 1976 Code.
SECTION 8. This act takes effect upon approval by the Governor.
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