Current StatusView additional legislative information at the LPITS web site.Bill Number: 3843 Ratification Number: 637 Act Number 518 Introducing Body: House Subject: Relating to the issuance of state capital improvement bonds
(A518, R637, H3843)
AN ACT TO AMEND ACT 1377 OF 1968, AS AMENDED, RELATING TO THE ISSUANCE OF STATE CAPITAL IMPROVEMENT BONDS, SO AS TO AUTHORIZE THE ISSUANCE OF ADDITIONAL BONDS; TO REDUCE CERTAIN AUTHORIZATIONS; PROVIDE THAT NO BONDS SHALL BE ISSUED UNDER THIS ACT UNTIL THE BUDGET AND CONTROL BOARD IN CONSULTATION WITH THE BOND REVIEW COMMITTEE SHALL DETERMINE THE BOND MARKET CONDITIONS ARE APPROPRIATE FOR SUCH ISSUANCE; TO AMEND ACT 456 OF 1961, AS AMENDED, RELATING TO THE HOUSING FACILITY BONDS FOR CLEMSON UNIVERSITY, SO AS TO INCREASE THE BOND LIMIT; TO INSERT A REFERENCE TO THE ALCOHOL FUEL DEVELOPMENT PROGRAM AND PROVIDE FOR BOND ISSUANCE PROCEDURES FOR THE PROGRAM; TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA 1976, BY ADDING SECTIONS 39-41-220, 39-41-230 AND 12-27-420, SO AS TO PROVIDE QUALITY CONTROLS FOR GASOHOL PRODUCTS AND EXEMPT ETHYL AND METHYL ALCOHOL USED TO PRODUCE GASOHOL FROM TAXATION UNTIL JANUARY 1, 1985; TO AUTHORIZE THE BOARD OF TRUSTEES OF THE UNIVERSITY OF SOUTH CAROLINA TO ISSUE ADDITIONAL REVENUE BONDS FOR STADIUM EXPANSION; TO AMEND CHAPTER 29 OF TITLE 4 OF THE 1976 CODE, RELATING TO INDUSTRIAL DEVELOPMENT PROJECTS, SO AS TO FURTHER DEFINE SUCH PROJECTS AND ALLOW MUNICIPALITIES TO PARTICIPATE IN SUCH PROJECTS; TO AMEND ACT 761 OF 1976, AS AMENDED, RELATING TO THE JOINT BOND REVIEW COMMITTEE, SO AS TO FURTHER DEFINE THE POWERS AND DUTIES OF THE COMMITTEE; TO PROVIDE FOR THE ISSUANCE OF STATE HIGHWAY BONDS TO PROVIDE MONEYS TO MATCH FEDERAL AID FUNDS FOR THE REPAIR OF THE JOHN P. GRACE MEMORIAL BRIDGE; TO PROVIDE THAT NEITHER HOUSE OF THE GENERAL ASSEMBLY SHALL CONSIDER THE CAPITAL IMPROVEMENT BOND BILL LATER THAN APRIL FIRST OF THE YEAR IN WHICH IT WAS INTRODUCED.
Be it enacted by the General Assembly of the State of South Carolina:
Section 1. Item (1) of Section 3 of Act 1377 of 1968, as last amended by Act 194 of 1979, is further amended by adding:
1. Adjutant General's Office:
1. Armory Construction and Equipment--
Newberry ( Supplement) $ 93,700
2. Armory Construction and Equipment--
Camden (Supplement) 75,703
3. Armory Construction and Equipment--
Cheraw (Supplement) 79,030
4. Armory Construction and Equipment--
Hampton 373,900
5. Armory Construction and Equipment--
Greer 328,000
6. Acquisition of 4.99 Acres of Land--
National Guard Center--Columbia 110,000
7. Renovation of Roofs and
Waterproofing of Armories 200,000
8. Armory Construction and Equipment--
Moncks Corner (Supplement) 20,000
9. Building Renovations 22,000
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Total, Adjutant General's Office $ 1,302,333
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Provided, that the $175,000 authorized for the Adjutant General's Office in Act 194 of 1979 for Armory Interior Renovations may be used for the purchase of prefabricated concrete modular kitchen units.
2. Budget and Control Board:
Division of General Services:
1. Calhoun Building--Renovations
and Improvements $ 470,000
2. State House, DHEC Laboratory, Five
Points Building--Renovations and
Improvements; Sprinkler System,
Nursery and Greenhouse 295,000
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Total, Budget and Control Board $ 765,000
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3. The Citadel:
1. McAlister Field House--Conversion to
Auditorium and Basketball Arena $ 3,650,000
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Total, The Citadel $ 3,650,001
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Provided, that it is the intention of the General Assembly that The Citadel shall repay to the State of South Carolina all funds authorized above for McAlister Field House--Conversion to Auditorium and Basketball Arena in excess of $3,250,000. Prior to the withdrawal of any of these funds by The Citadel from the State Treasurer, the Budget and Control Board shall determine that the following additional provisions have been met fully.
Prior to the withdrawal from the State Treasurer of any of the $3,650,000 authorized above for McAlister Field House--Conversion to Auditorium and Basketball Arena, The Citadel shall execute a note to the State of South Carolina for all such funds needed in excess of $3,250,000. The note shall have a maturity schedule which shall not exceed forty years and shall not exceed $400,000 and shall bear such interest as may be determined by the Budget and Control Board.
Provided,further, to ensure payment of this note, The Citadel shall levy an admissions fee of not less than fifty cents ($ .50) on all paid admissions to the facility and shall further levy a special student fee in such amount as may be necessary to provide the annual debt service of this indebtedness.
Provided, further, the special student fee, if any, shall bear such nomenclature as the Board of Visitors may prescribe and it may, in the discretion of that Board, be included as a part of any other fee, but it shall remain the duty of that Board to account for the receipts from the special student fees to the State Treasurer.
Provided, further, the receipts from the admissions fee and any special student fee levied for this purpose shall be deposited promptly with the State Treasurer and shall be maintained in a special fund from which the debt service shall be paid. If the balance in the special fund shall become inadequate to pay the debt service, the State Treasurer shall notify the Board of Visitors and it shall be the duty of that Board to adjust the admission fee and/or any special student fee levied for this purpose so as to place the note payment on a current basis.
Provided, further, that authorization is hereby granted to The Citadel to finance the Varsity Athletic Building project, presently estimated to cost $1,500,000, from donated funds.
Provided, further, that authorization is hereby granted to The Citadel to finance the Faculty Quarters Renovation project, presently estimated to cost $500,000, from Faculty Housing Revenue Bond proceeds.
Provided, further, that authorization is hereby granted to The Citadel to finance the Kovats Field Parking Area project, presently estimated to cost $242,000, from State Institution Bond proceeds.
4. Clemson University:
a. Education and General:
1. Brackett Hall Renovation $ 2,200,000
3. Continuing Education Center,
A & E Planning 250,000*
5. Energy Research Building, Phase I,
A & E Planning 600,000*
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Total, Clemson University, Education
and General $ 3,050,000
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*Provided, That the availability of the funds authorized above for Energy Research Building, Phase I, A&E Planning, is contingent upon the receipt by the Budget and Control Board of formal notification from the Chairman of the Joint Legislative Committee on Energy that specific findings and recommendations in support
of such a facility are included in that Committee's report on the
establishment of a State government-sponsored research organization for energy, science and technology pursuant to Concurrent Resolution S. 707 approved by the General Assembly on April 30, 1980, and none of these funds may be drawn from the State Treasurer until the Board is so notified.
b. Public Service Activities:
1. Seed Processing Storage Facility $ 457,000
2. Swine Facilities 229,600
3. Pesticide Storage Building 52,000
Total, Clemson University, Public
Service Activities $ 738,600
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Total, Clemson University $ 3,788,600
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5. College of Charleston:
2. Science Center, Second Increment--
Construction and Equipment--
A & E Planning 127,800
3. Education Center--Construction and
Equipment, Supplement 450,000
4. Renovation and Alteration of Facilities 605,000*
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Total, College of Charleston $ 1,182,800
============
6.Francis Marion College:
1. Campus Development $ 165,200
2. Observatory and General Development 90,000
3. Energy Conservation and
General Development 528,000*
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Total, Francis Marion College $ 783,200
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*Vetoed by the Governor June 11, 1980 and sustained by the General Assembly June 17, 1980.
Provided, that authorization is hereby granted to Francis Marion College to finance from Campus Development Fee collections development and landscaping projects, presently estimated to cost $115,000.
7.Lander College:
2. Fine Arts Center, Phase II,
A & E Planning 225,000*
3. Learning Center I, Construction and
Equipment, Supplement 877,600
4. For Purchase of the Former Public Housing
Complex Properties Located Northeast of
the College Campus 300,000*
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Total, Lander College $ 1,402,600
============
7A. South Carolina State College
Provided, that authorization is hereby granted to South Carolina State College to finance the construction and equipment of a Women's Residence Hall from Student Housing Revenue Bonds.
8. University of South Carolina:
Columbia Campus:
1. Business Administration Building
Addition, Construction and Equipment $ 4,572,000
2. Federal Building Renovation 1,800,000
3. Replacement and/or Expansion of
Computer System 2,500,000
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Total, Columbia Campus $ 8,872,000
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Provided, that, in view of the cancellation in 1975 of the University of South Carolina auditorium project, for which $8.4 million of Federal revenue sharing funds had been appropriated in Act 354 of 1973 and for which $3 million of Capital Improvement Bonds were authorized, the General Assembly now finds that the $3 million of Capital Improvement Bonds authorized in Act 1295 of 1974 for acquisition of land for auditorium and modification of utility systems are no longer needed for those purposes and hereby directs that the
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*Vetoed by the Governor June 11, 1980 and sustained by the General Assembly June 17, 1980.
referenced $3 million authorization now be used to help finance the Business Administration Building Addition project.
Provided, further, that none of the Capital Improvement Bond funds authorized above for the Business Administration Building Addition project may be drawn from the State Treasurer until the Budget and Control Board has been advised and the Board has acknowledged that not less than $1 million of donated funds and not less than $500,000 of State Institution Bond funds, the use of which is hereby authorized, have been encumbered for the project.
Provided, further, that authorization is hereby granted to the University of South Carolina to finance $600,000 of the costs of the Water and Earth Science Addition project and the $2.4 million Central Energy Facilities, Phase IV, project from State Institution Bond proceeds.
Provided, further, that the University of South Carolina may, at its option, retain or dispose of its present computer system. In the event disposition of that system is made, any funds received as a result may be retained by the University of South Carolina and applied to the cost of new computer equipment.
Provided, further, that none of the funds authorized above for Replacement and/or Expansion of Computer System may be drawn from the State Treasurer before April 15, 1981, and without approval of the Joint Bond Review Committee and the Budget and Control Board and after review by the Computer System Management Section of the Finance Division of the Budget and Control Board.
Aiken Campus:
1. Library Addition, Construction
and Equipment $ 1,232,000
2. Fine Arts Health and Education Center,
A & E Planning 136,000*
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Total, Aiken Campus $ 1,368,000
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Coastal Campus:
1. Williams-Brice Addition $ 2,071,000
2. Campus Development 855,000
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Total, Coastal Campus $ 2,926,000
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*Vetoed by the Governor June 11, 1980 and sustained by the General Assembly June 17, 1980.
Provided, that authorization is hereby granted to the University of South Carolina to finance the acquisition of auditorium equipment, presently estimated to cost $600,000, from State Institution Bond proceeds.
Spartanburg Campus:
1. Humanities and Science Building,
Construction and Equipment $ 5,102,900*
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Total, Spartanburg Campus $ 5,102,900
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ProVIded, that authorization is hereby granted to the University of South Carolina to finance the Hodge Center Expansion--Completion project, presently estimated to cost $464,000, from State Institution Bond proceeds.
Provided, further, that authorization is hereby granted to finance a nursing school facility, presently estimated to cost $1,400,000, from the following sources: federal funds, $400,000; and private funds, $1,000,000.
Provided, further, that not more than $100,000 of the $350,000 authorized for the classroom/multimedia building completion project in Act 194 of 1979 may be used for the Hodge Center project if required.
Beaufort Campus:
1. Marine Science Laboratory $ 393,100
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Total, Beaufort Campus $ 393,100
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Lancaster Campus:
1. Land Purchase/Campus Development $ 350.000**
Total, Lancaster Campus $ 350,000
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*Vetoed by the Governor June 11, 1980 and sustained by the General Assembly June 17, 1980.
**Vetoed by the Governor June 11,1980 and overridden by the General Assembly June 17, 1980.
Sumter Campus:
1. Fine Arts, Health and Education Center,
A & E Planning $ 110,000*
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Total, Sumter Campus $ 110,000
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Union Campus:
1. Remodel Main Building $ 40,000
2. Purchase Building "B"
(Commuter Facility) 35,000
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Total, Union Campus $ 75,000
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Total, University of South Carolina $ 19,197,000
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9. Winthrop College:
1. Athletic Facilities, Construction
and Equipment Supplement $ 2,000,000
2. Building Renovations $ 2,000,000
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Total, Winthrop College $ 4,000,000
==========
Provided, that authorization is hereby granted to Winthrop College to finance the new McLaurin Building, presently estimated to require additional funding in the amount of $7,400,000.00 from State Institution Bond proceeds.
10. Medical University:
1. Hospital--East Wing Addition $ 30,850,000
2. Central Energy Facility Feasibility Study 100,000*
3. University Hospital Renovations 2,600,000**
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Total, Medical University $ 33,550,000
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Provided, that none of the funds authorized for the construction and equipment of the Hospital--East Wing Addition may be drawn from the State Treasurer until a Certificate of Need is granted or a 1122 Capital Expenditure Review is completed.
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*Vetoed by the Governor June 11, 1980 and sustained by the General Assembly June 17, 1980.
**Vetoed by the Governor June 11, 1980 and overridden by the General Assembly June 17, 1980.
Provided, that not more than $8,000,000 of the funds authorized above for Hospital--East Wing Addition may be drawn from the State Treasurer during fiscal year 1980-81.
Provided, that, in addition to the funds authorized in this act for the Hospital--East Wing Addition, not less than $5,000,000 of Medical University State Institution Bond funds shall be committed to the project and not less than $12,941,494 of Medical University Hospital Revenue Bonds also shall be committed to the project.
Provided, further, that the authorization granted in Act 194 of 1979 to the Medical University to finance $3,000,000 of the costs of various alterations or renovations of other than hospital facilities from State Institution Bond proceeds is rescinded.
Provided, that none of the funds authorized above for hospital renovations shall be allocated or encumbered for any project which cannot be financed entirely from these funds.
11. Technical and Comprehensive Education:
1. Beaufort--Learning Resources Center $ 1,800,000
2. Williamsburg--Learning Resources Center 616,000
3. Equipment for TEC System 3,811,979
4. Florence-Darlington Auto Diesel Lab,
Central Energy Facility, and Campus
Improvement 1,750,000
5. Denmark TEC Cafeteria/Kitchen
Replacement 1,500,000
7. Orangeburg-Calhoun--Classroom and Lab 170,000*
Building, A & E. Planning
8. Horry-Georgetown--Roof Repairs 65,000
9. Tri-County--Classroom Addition, A & E
Planning 80,000*
10. Piedmont-ETV Facility 850,000*
11. Horry-Georgetown--ETV Facility 850,000*
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Total, Technical and Comprehensive
Education $ 11,492,979
=============
Provided, that prior to the withdrawal from the State Treasurer of any of the funds authorized above the Williamsburg Learning
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*Vetoed by the Governor June 11, 1980 and sustained by the General Assembly June 17, 1980.
Resources Center or for the Florence-Darlington Auto Diesel Lab, Central Energy Facility and Campus Improvement projects, the State Board for Technical and Comprehensive Education shall obtain and transmit to the Budget and Control Board a certificate from the appropriate official at such technical institutions stating that, as required by Section 6 of Act 654 of 1976, a minimum of twenty percent of the cost of each of the projects authorized herein has been provided by the local support area.
12. Department of Education:
1. Construction or Expansion of Vocational
Education Facilities:
a. Georgetown $ 2,126 790
b. Charleston--Lincoln High 852,450
c. Calhoun 421,817
d. Hampton No. 2 423,000
e. Beaufort-Jasper Career Center 750,000
f. York No. 1 50,000
g. Spartan burg No. 3--Broome 290,000
h. Lancaster No. 2--Buford 1,050,000
i. Anderson No. 4-Pendleton 350,000
j. Manning High School District 2 434,655
k. Aiken--New High School 500,000
l. Union 120,000
m. Lexington District 5:
(Irmo-Chapin Career Center) 1,406,250
2. Equipment for Vocational
Education Facilities 2,000,000
3. Equipment for Previously-Authorized
Facilities (Midland Valley High--Aiken;
Colleton AVC; West Florence; Orangeburg
District No. 2; Calhoun--Orangeburg AVC
District No. 5) 593,595
5. Rich land School District No. 2:
Wilson Vocational Center of Spring
Valley High School 420,000
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Total, Department of Education $ 11,788,557
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Provided, that funds authorized above for the construction or expansion of vocational education facilities shall be allotted on a 75 percent State--25 percent District matching basis.
Provided, Further, that prior to the withdrawal from the State Treasurer of any of the funds authorized above for the construction or expansion of vocational education facilities the Department of Education shall obtain and transmit to the Budget and Control Board a certificate from the appropriate school district official stating that the required local or district funds are on hand and have been encumbered for the purpose of matching funds authorized by this act.
Provided, Further, that if any Capital Improvement Bond funds authorized by this act for the construction or expansion or equipment for any vocational education facilities are not committed by a purchase or construction contract executed by the school district for which such funds have been made available within eighteen months of the effective date of this act, such uncommitted funds shall be real located to such other school district or districts as the General Assembly may determine.
Provided, Further, that any capital improvement bond funds authorized by this act or heretofore for the construction, expansion or equipping of vocational schools or facilities may be used for constructing and equipping a vocational education wing or wings added to any high school facility.
13.Educational Television Commission:
1. Greenville--Replacement of Transmitter
Equipment and Transmitter Building on
Paris Mountain $ 1,171,900
2. Equipment--Conway Station 485,000
3. Equipment--Spartanburg Station 485,000
4. Equipment--Greenwood Station 485,000
5. Aiken--Transmitter 1,500,000*
6. Orangeburg--Transmitter 1,500,000*
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Total, Educational Television Commission $ 5,626,900
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*Vetoed by the Governor June 11, 1980 and sustained by the General Assembly June 17, 1980.
14. School for the Deaf and the Blind:
1. Renovation of Two Dormitories--A & E
Planning $ 30,000
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Total, School for the Deaf and Blind $ 30,000
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15. Department of Mental Health:
Provided, that the Department of Mental Health is authorized to finance the following projects in the amounts indicated from surplus Paying Patient Fee debt service funds: (1) Renovations required for compliance with laws pertaining to handicapped access, $500,000; (2) safety devices for range hoods, $50,000; (3) replacement of roofs of four buildings at State Hospital, $400,000; (4) replacement of energy facilities and distribution system at State Hospital, $4,875,000; (5) 300-bed long term care facility--construction and equipment, $10,200,000; and (6) A&E planning for an 88-bed residential treatment facility at Crafts-Farrow State Hospital, $64,000.
Provided, further, that none of the $16,089,000 of funds authorized in the preceding proviso for the purposes indicated may be drawn from the State Treasurer until an overall facility development plan, listing individual permanent improvement projects in order of priority, has been approved by the Budget and Control Board and by the Joint Bond Review Committee.
16. Department of Mental Retardation:
1. Statewide Community Residences--Beds,
Six Residences $ 1,035,000
2. Whitten Center--Renovation and Improvements,
Three Dormitories 1,639,000
3. Whitten Center--Renovation and Improvements,
MED "B" Facility 1,248,500
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Total, Department of Mental Retardation $ 3,922,500
============
Provided, that none of the funds authorized above for the Department of Mental Retardation may be drawn from the State Treasurer until an overall facility development plan, listing individual permanent improvement projects in order of priority, has been approved by the Budget and Control Board and by the Joint Bond Review Committee.
17.Vocational Rehabilitation:
1. Florence Rehabilitation Center $ 772,014
2. Lancaster Rehabilitation Center 492,375
3. Palmetto Center--Building Renovations 57,981
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Total, Vocational Rehabilitation $ 1,322,370
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18. John de La Howe School:
1. Connection with County Water System $ 250,000
2. Upgrade of Campus Power Systems--
A & E Planning 15,000
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Total, John de la Howe School $ 265,000
============
19. Department of Youth Services:
1. Roof Replacements--Eight Buildings $ 114,400
2. Food Service Improvements 125,000
3. Roadway Improvements at Farm Area;
Birchwood Campus; John G. Richards;
Willow Lane; and Reception and
Evaluation Centers; and Resurfacing of
Parking Lots 244,819
4. Heavy Duty and Transportation Equipment 263,054
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Total, Department of Youth Services $ 747,273
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20.Forestry Commission:
1. District Office and Shop--Walterboro $ 366,400
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Total, Forestry Commission $ 366,400
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Provided, that the unexpended balance of capital improvement bond funds authorized in Act 1294 of 1974 for six residences for tower operators may be transferred to and expended on the Ridge Forest Tree Nursery project.
20A. Department of Agriculture:
1. Blackville Market--Permanent
Improvements $ 54,400
2. Greenville Market--Permanent
Improvements 54,475
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Total, Department of Agriculture $ 108,875
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21. Wildlife and Marine Resources:
1. Storage at Styx Fish Hatchery $ 29,000
2. Renovations and Improvements 175,000
3. Natural Area Acquisition (Lancaster
County) 45,590
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Total, Wildlife and Marine Resources Department $ 249,590
==========
22. Parks, Recreation and Tourism:
1. Hickory Knob Golf Course, Phase II,
Facilities and Improvements $ 674,044
2. Lynches River State Park Pool
Complex--Supplement 100,000
3. Croft State Park Roads and Parking 80,957
4. Recreation Land Trust Fund 1,560,000
5. Lake Russell--Calhoun Falls Park 810,000**
6. General Park Improvements 520,000
7. Hunting Island State Park--
Park Redevelopment 720,000
8. Best Friend Train--Sesquicentennial
State Park 50,000
9. Andrew Jackson State Park--
Roads and Parking 44,941
10. Charles Towne Landing--
Transportation Equipment 120,000
11. Special Heavy Equipment Replacement 172,000
12. Welcome Center Marketing Displays 57,600
13. State Park Roads and Parking 327,915
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**Vetoed by the Governor June 11, 1980 and overridden by the General Assembly June 17, 1980.
14. Myrtle Beach State Park Picnic
Area Parking 80,000
15. Edisto Beach Estate Park Cabins 200,000
16. Drayton Hall 200,000
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Total, Parks, Recreation and Tourism $ 5,217,457
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Provided, that $45,590 of thee authorization added by Act 1272 of 1970 for Parks, Recreation and Tourism for Natural Area Acquisition (Lancaster County) is hereby rescinded.
23.Aeronautics Commission:
1. Hanger, Construction and
Equipment--Supplement $ 450,000
2. Air Carrier Airports 500,000
3. Airport Repairs, Construction and
Improvements 1,400,000
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Total, Aeronautics Commission $ 2,350,000
============
Provided, that any balances of Capital Improvement Bonds authorized for local airport repairs, construction and improvements may be carried forward and reallocated by the Aeronautics Commission.
Provided, Further, that any Capital Improvement Bond funds authorized for airport repairs, construction and improvements which are subsequently allocated to local entities shall be matched equally with local monies; provided, further, that Capital Improvement Bond Funds for local airport repairs, construction or improvements shall be allocated giving priority to those projects for which the availability of local and federal matching funds can be certified.
Provided, Further, that, prior to the withdrawal from the State Treasurer of any such funds, (a) the Aeronautics Commission shall obtain and transmit to the Budget and Control Board a certificate from the appropriate local official stating that the required local funds are on hand and have been encumbered for the purpose of matching funds allocated by the Aeronautics Commission; and, (b) that, in any project involving federal funds, the Aeronautics Commission shall certify to the Budget and Control Board the availability of such federal funds.
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*Vetoed by the Governor June 11, 1980 and sustained by the General Assembly June 17, 1980.
Provided, Further, that State financial participation in the acquisition of real property for airports shall be limited to the acquisition of aviation and clearance easements directly related to airport safety.
24. Department of Juvenile Placement and Aftercare:
1. Purchase or construction of Hope House
Runaway Shelter $ 175,000
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Total, Department of Juvenile Placement
and After Care $ 175,000
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TOTAL, ALL AGENCIES $ 113,284,434
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Section 2. Section 4 of Act 1377 of 1968, as last amended by Act 194 of 1979, is further amended by striking on line two "$735,991,768.80" and inserting "$787,673,114.10". The section when amended shall read:
"Section 4. The aggregate principal indebtedness on account of bonds issued pursuant to this act shall not exceed $787,673,114.10; Provided, that the limitation herein imposed shall not apply to bonds issued on behalf of the Mental Health Commission as provided in Act 1276 of 1970 and Act 1272 of 1970, or bonds issued on behalf of the Commission on Mental Retardation as provided in Act 1087 of 1970. The limitation herein imposed shall not be deemed to be an obligation of the contract made between the State and holders of bonds issued pursuant to this act, and the limitation herein imposed may be enlarged or reduced from time to time by acts amendatory hereof. Within such limitations state capital improvement bonds may be issued from time to time under the conditions prescribed by this act."
Section 3. No project or purpose authorized in this Act may be established or implemented in any way and no bonds or bond anticipation notes may be issued or sold to provide funds for any project or purpose authorized in this Act until the Budget and Control Board, after consulting with the Joint Bond Review Committee, has determined that the money market situation has stabilized to the point where bonds of the State and its institutions can be marketed successfully at reasonable rates of interest.
Section 4. Section 4 of Act 456 of 1961, relating to bond authority for Student and Faculty Housing facilities at Clemson University, as last amended by Act 194 of 1979, is further amended to read:
"Section 4. Upon receiving the approval of the State Budget and Control Board and upon review by the Bond Review Committee created by Act 761 of 1976, the trustees may from time to time borrow such further sums as may be necessary to accomplish the purpose of this act and to evidence such borrowings by bonds issued pursuant to this act in such aggregate principal amount as they determine, except that other provisions of this act to the contrary notwithstanding, there shall not be outstanding at any time bonds issued pursuant to this act in excess of twenty million dollars."
Section 5. Item 22 of Item (f) of Section 3 of Act 1377 of 1968, which was added pursuant to Section 2 of Act 646 of 1978, is amended by striking "85,000" and inserting "45,361.30". The item when amended shall read:
"22. Public Railway Commission
a. Renovation of Facilities and Purchase
of Equipment $ 45,361.30
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Total, Public Railways Commission $ 45,361.30."
Section 6. Item (f) of Section 3 of Act 1377 of 1968, as last amended by Section 1 of Part I of Act 194 of 1979, is further amended by striking sub-subitem 1, under "Executive Director's Office", of subitem 2 "Budget and Control Board" and inserting:
"'1. Alcohol Fuel Development Loan Program 5,000,000', and by adding after 'Total, Executive Director's Office 5,000,000'.
Provided, that the General Assembly finds that the promotion of the alcohol fuel development loan program authorized in Item 2 of Section 1, Part 1 of Act 194 of 1979 will subserve a public purpose by promoting the planting of grain crops and the development of a substitute for gasoline. It intends that monies authorized by Act 194 be made available through the private banking system by authorizing the Budget and Control Board (hereinafter "the Board") in consultation with the Joint Bond Review Committee and the Governor's Advisory Council on Alcohol Fuels to purchase loans made by any lending bank to any individual or corporation for the sole purpose of producing components which would be convertible into fuel-grade alcohol from renewable resources or for the purpose of constructing facilities which would themselves produce fuel-grade alcohol from renewable resources. To that end, the Board shall be empowered to purchase loans for such purpose made by any bank organized and existing under the laws of South Carolina or of the United States and having its principal office in South Carolina on such terms and conditions as it shall approve except that no more than 90% of any loan so made shall be purchased. In addition, the Budget and Control Board may agree to pay the banking institution making any such loan a reasonable annual fee for collecting the principal and interest on such loan and providing other services with respect thereto.
Such loans shall bear interest at a rate to be prescribed by the Budget and Control Board which will relate to the rate borne by the issue of bonds from which proceeds the appropriation set forth in Act 194 is made available. All such loans shall be secured in such manner as the lending bank shall prescribe with the approval of the Board.
The Board in consultation with the Joint Bond Review Committee and the Governor's Advisory Council on Alcohol Fuels is further authorized to take any and all steps which may be required to fully implement the loan program to the extent of the appropriation set forth in Act 194.
'Provided, that not less than two million dollars of the five million dollars authorized above for the Alcohol Fuel Development Loan Program shall be available for the development of alcohol fuel production facilities by South Carolina municipalities and counties and by agencies and institutions of the South Carolina state government."
Section 7. The 1976 Code is amended by adding:
"Section 39-41-220. Ethyl or methyl alcohol sold or offered for sale as motor fuel or to be blended with gasoline for the purpose of producing gasohol shall be subject to inspection, sampling and testing by the Department of Agriculture. Gasohol is defined as a blend of gasoline and at least ten percent ethyl or methyl alcohol.
Section 39-41-230. The Department of Agriculture shall promulgate regulations under the provision of Act 176 of 1977 to ensure the quality of methyl or ethyl alcohol used as motor fuels or in blends with other motor fuel. Alcohol blended with gasoline to produce gasohol shall be an hydrous."
Section 8. The 1976 Code is amended by adding:
"Section 12-27-420. Ethyl or methyl alcohol produced under the authority of Title 27, Code of Federal Regulations, Section 201.64, for noncommercial purposes used in an unblended form as fuel in gasoline engines is exempt from the tax imposed by this article until January 1, 1985."
Section 9. The General Assembly has determined to empower the Board of Trustees of the University of South Carolina to issue special obligation bonds to pay for the cost of enlarging and improving Williams-Brice Stadium; to prescribe the conditions under which such bonds may be issued; and to make provision for the payment thereof, all as authorized in this section.
A. Definitions.
Unless the context clearly requires otherwise:
(1) The term "Admission fee" shall mean the special fee or charge (which shall be in addition to other charges) imposed upon each person admitted to a football game in Carolina Stadium at the University of South Carolina from whom an admission charge is required, excluding students admitted as a result of student fees paid to the institution for a regular session.
(2) The term "Bond Reserve Fund" shall mean the special fund to be established pursuant to this act, which shall be in the custody of the State Treasurer and which is primarily established for the purpose of providing a reserve with which to meet the payment of the principal of and interest on bonds issued pursuant to this act in the event that payments otherwise required for the Debt Service Fund shall be insufficient to meet the payment of such principal and interest as and when they become due and payable. Moneys in the Bond Reserve Fund may also be used to pay costs of improvements to Carolina Stadium and for other corporate purposes of the University in accordance with the provisions of Sections N and P thereof.
(3) The term "Bonds" shall mean the special obligation bonds of the University of South Carolina authorized by this act.
(4) The term "Carolina Stadium" shall mean the Williams-Brice Stadium of the University of South Carolina located in the City of Columbia, South Carolina.
(5) The term "Debt Service Fund" shall mean the fund established by this act for the payment of the principal of and interest on the Bonds.
(6) The term "Improvements" shall mean the enlargement of and improvements to Carolina Stadium including all necessary equipment paid for with the proceeds of Bonds or with excess funds in the Bond Reserve Fund.
(7) The term "Special Student Fee" shall mean the fee authorized by this act to be established by the University and imposed upon each person in attendance at any regular session (excluding summer sessions) of the University who is enrolled in a sufficient number of classes or courses for which credit is given toward any degree offered by the University to be classified as a regular full-time student for the purpose of assessing other student fees in order (a) to provide funds to assist in the repayment of Bonds authorized by this act and (b) to provide funds for other improvements and maintenance and repairs to Carolina Stadium.
(8) The term "State Board" shall mean the South Carolina State Budget and Control Board.
(9) The term "Trustees" shall mean the Board of Trustees of the University of South Carolina.
(10) The term "University" shall mean the University of South Carolina, located in the City of Columbia, South Carolina.
B. Findings.
Heretofore, pursuant to the authorization of Act 1279 of the 1970 Acts of the South Carolina General Assembly (Act 1279), the Trustees of the University of South Carolina issued $5,000,000 of Stadium Bonds (the Outstanding Bonds) to provide improvements to Carolina Stadium.
The Outstanding Bonds are payable from the "Admission Fee" and the "Special Student Fee" (both as defined in Act 1279) and from the other sources therein provided. There are presently outstanding $3,575,000 of Outstanding Bonds. Funds now available for payment of the Outstanding Bonds presently are sufficient to provide the amounts necessary to effect the defeasance of the Outstanding Bonds and the General Assembly is now minded to authorize the defeasance of the Outstanding Bonds, to establish a new statutory vehicle for the issuance of Bonds whose proceeds will become available for additional Improvements and to provide a method by which excess funds in the Bond Reserve Fund may be used in the future.
C. Action armed.
The right of the Trustees to construct improvements to Carolina Stadium and thereafter to operate and maintain the same is affirmed.
D. May Issue Bonds.
Subject to obtaining the approval of the State Board expressed by resolution duly adopted, the Trustees are hereby authorized to issue from time to time not exceeding twelve million dollars of Bonds for the purpose of constructing Improvements. In the event the Trustees, in authorizing the issuance of Bonds pursuant to this section, prescribe by resolution that there shall be on deposit in the Bond Reserve Fund certain sums at the time of the delivery of such Bonds, the Trustees are hereby empowered to utilize a portion of the proceeds of any series of Bonds issued pursuant to this section in order to meet such requirement.
E. Credit of State Not to be Pledged.
The faith and credit of the State of South Carolina shall not be pledged for the payment of the principal of and interest on the Bonds and there shall be on the face of all Bonds a statement plainly worded to that effect. Neither the members of the Trustees nor any other person executing the Bonds shall be personally liable thereon.
F. Adoption of Resolutions.
In order to utilize the authorizations of this act, the Trustees on behalf of the University shall adopt resolutions providing for the issuance of Bonds within the limitations herein mentioned, and by such resolutions shall prescribe the tenor, terms and conditions of the Bonds and the obligations of the University to be incurred in connection with their issuance. The Bonds may be issued either as a single issue or from time to time as several separate series. In the event that Bonds shall be issued as two or more series, then notwithstanding, all Bonds shall be on a parity in all respects inter sese and shall be equally and ratably entitled to payment from the sources herein provided there for.
G. Maturity; Denominations; Redemption.
The Bonds shall be issued as serial bonds, maturing in equal or unequal amounts at such times and on such occasions and shall be in such denominations as the Trustees shall determine; provided always that the last maturing Bonds of any issue shall be expressed to mature not later than twenty-five years from their date, and the first maturing Bonds of any issue, shall fall due not later than three years from their date. They shall bear such rate or rates of interest, payable on such occasions as the Trustees shall prescribe, and shall be payable in such medium of payment, and at such place or places as such resolutions shall prescribe. Any Bonds may be issued with provisions permitting their redemption prior to their stated maturity at such time and under such conditions as the Trustees shall prescribe. Bonds made subject to redemption prior to their stated maturities may contain a provision requiring the payment of a premium for the privilege of exercising the right of redemption, in such amount as the Trustees shall prescribe. All Bonds that are subject to redemption shall contain a statement to that effect on the face of each Bond. Any resolution authorizing redeemable Bonds shall contain provisions, specifying the manner of call for redemption and the notice thereof that must be given.
H. Form.
The Bonds may be in the form of negotiable coupon Bonds, payable to bearer, with the privilege to the holder of having them registered as to principal on the books of the State Treasurer of South Carolina, and the principal thus made payable to the registered holder, unless the last registered transfer shall have been to bearer, upon such conditions as the Trustees of the University shall prescribe; or the Bonds may be issued as fully registered Bonds in such form as may be prescribed by the Trustees. If issued as fully registered Bonds, it may be provided that they may thereafter be converted into negotiable coupon Bonds of the tenor first above described.
I. Exempt frown Taxes.
The Bonds and all interest to become due thereon shall have the tax-exempt status prescribed by Section 12-1-60 of the Code of Laws of South Carolina, 1976.
J. Investment in Bonds.
It shall be lawful for all executors, administrators, guardians and fiduciaries and all sinking fund commissions to invest any moneys in their hands in Bonds.
K. Execution.
The Bonds and the coupons, if any, attached to the Bonds, shall be executed in the name of the University in such manner and by such persons as the Trustees shall from time to time determine, and the seal of the University shall be reproduced, affixed to or impressed on each Bond. Any coupons attached to the Bonds shall be authenticated by the facsimile signatures of one or more of the persons signing the Bonds. The delivery of the Bonds and coupons so executed shall be valid notwithstanding changes in officers or seal occurring after such execution and prior to the delivery thereof.
L. Sale.
All Bonds shall be disposed of in such manner as the Trustees shall determine, except that no sale privately negotiated without public advertisement, shall be made unless the approval of the State Board shall be obtained. If the Trustees shall elect to sell the Bonds at public sale, at least one advertisement thereof shall appear in a financial paper published in the City of New York, State of New York, or in a newspaper of general circulation in South Carolina, not less than seven days prior to the occasion fixed for the opening of bids.
M. Proceeds.
The proceeds of all Bonds shall be delivered to the State Treasurer and retained by him in a special fund and applied solely to the purposes for which such Bonds shall have been issued. Withdrawals from the fund shall be made on the order or requisition of the Trustees and shall be in such form as the State Treasurer shall or prescribe. The State Treasurer may make temporary investments of funds derived from the proceeds of Bonds as permitted by Section Q hereof. Any income earned from such temporary investments shall, at the option of the Trustees be (a) added to and become a part of the fund intended to be expended on Improvements, or (b) deposited in either the Debt Service Fund or Bond Reserve Fund.
N. Debt Service Fund; Bond Reserve Fund; Uses; Special Student Fee.
To the end that provision be made for the adequate payment of the principal of and interest on the Bonds:
(1) In order to insure the punctual payment of the interest on and the principal of Bonds, the Trustees shall establish a Debt Service Fund. There shall be paid into the Debt Service Fund sufficient moneys with which to effect the prompt payment of the interest on and principal of the Bonds as the same become due. At the end of each fiscal year all moneys remaining within the Debt Service Fund not required to pay interest or principal then due shall be transferred to the Bond Reserve Fund.
(2) The Trustees shall immediately establish the Bond Reserve Fund. At the time of the issuance of any Bonds pursuant to this section, the Trustees shall prescribe by resolution the required sums which shall be deposited and maintained in the Bond Reserve Fund.
(3) The Trustees shall maintain in full force and effect both the Admission Fee, which shall be not less than one dollar per person and the Special Student Fee. Such fees shall be maintained on such basis and in such amount as will be sufficient to provide for the payment of the principal of and interest on the Bonds as the same mature and to provide the required reserve there for in the Bond Reserve Fund. It shall be the duty of the Trustees to calculate the debt service requirements of the Bonds not less frequently than annually and at such time appropriate revisions of both the Admission Fee and Special Student Fee shall be made if such revisions shall be required to make adequate provision for the payment of the principal of and interest on the Bonds and the maintenance of the required reserve in the Bond Reserve Fund.
Whenever the Bond Reserve Fund shall exceed the reserve required for Bonds then outstanding the Trustees shall be empowered with the approval of the State Board to withdraw such excess and apply the same to other Improvements or for any other corporate purpose of the University.
The Special Student Fee shall bear such nomenclature as the Trustees shall prescribe and it may, in the discretion of the Trustees, be included as a part of any other fee, but it shall remain the duty of the Trustees to account for the receipts from the Special Student Fee to the State Treasurer.
O. Further.
The Trustees shall be empowered to deposit, in either the Debt Service Fund, or in the Bond Reserve Fund, prior to the issuance of any Bonds, moneys derived from other sources, including funds raised by the Athletic Department of the University. They shall also be empowered throughout the life of the Bonds to make payments from such other sources to the Debt Service Fund or into the Bond Reserve Fund. In calculating the amount or rate of the Admission Fee and Special Student Fee for any year, the Trustees may take into account moneys then actually paid into the Debt Service Fund from such other sources which are then available to meet the payment of the principal of and interest on the Bonds for such fiscal year.
P. Powers of Trustees.
In the resolutions authorizing the issuance of the Bonds, the Trustees shall be empowered as follows:
(1) To covenant and agree throughout the life of the Bonds, that the Admission Fee and the Special Student Fee shall be imposed, maintained and revised when necessary, in such amount, without limitation as to rate, as shall be sufficient to meet the payment of the principal of and interest on the Bonds as they become due, and to create the reserve required by such resolutions for outstanding Bonds in the Bond Reserve Fund. The Bond Reserve Fund shall, except as hereinafter provided, be used only to meet the payment of the principal of and interest on the Bonds when moneys in the Debt Service Fund shall be insufficient there for, and shall be maintained in such manner as to insure its availability for such purposes. Whenever the Debt Service Fund shall equal all payments of principal and interest due and to become due in the then current fiscal year, and the Bond Reserve Fund shall exceed the reserve prescribed for bonds then outstanding, the State Treasurer may with the approval of the Trustees and the State Board apply such excess to the defeasance of Bonds then outstanding in the manner prescribed by Section T hereof.
(2) To establish the Debt Service Fund and the Bond Reserve Fund which shall be maintained in the hands of the State Treasurer
(3) To covenant that all revenues derived from the Admission Fee and the Special Student Fee be paid to the State Treasurer for deposit into the Debt Service Fund or the Bond Reserve Fund.
(4) To establish appropriate rules requiring the payment of the Admission Fee and the Special Student Fee.
(5) To covenant as to the use of the proceeds of the sale of any Bonds.
(6) To provide for the terms, form, registration, exchange, execution and authentication of Bonds and for the replacement of lost, destroyed or mutilated Bonds.
(7) To covenant for the mandatory redemption of Bonds on such terms and conditions as any resolution authorizing the issuance of Bonds shall prescribe.
(8) To prescribe the procedure, if any, by which the terms of the contract with the bondholders may be amended, the number of Bonds whose holders must consent thereto, and the manner in which the consent shall be given.
(9) To covenant to insure Carolina Stadium against loss by fire or other casualty to such extent as shall be deemed appropriate.
(10) To operate and maintain Carolina Stadium in good repair and to covenant that all varsity football games of the University, which are "home" games be played at Carolina Stadium.
(11) To prescribe the events of default and the terms and conditions upon which all or any Bonds shall become or may be declared due before maturity, and the terms and conditions upon which such declaration and its consequences may be waived.
(12) To reserve the right to issue additional Bonds over and above the limitations herein provided payable from the sources herein provided for the payment of the Bonds to the extent to which the Trustees may hereafter be empowered by any future enactment of the South Carolina General Assembly; and to prescribe the conditions under which such additional Bonds may be issued.
(13) To make such further covenants and agreements as may be necessary or desirable in order to market the Bonds.
Q. Duties of State Treasurer.
The State Treasurer is authorized to accept custody of receipts and revenues derived from the imposition of the Admission Fee and Special Student Fee imposed by the Trustees, to deposit the same as directed by the Trustees in the Debt Service Fund and in the Bond Reserve Fund, and to utilize moneys in the Debt Service Fund and in the Bond Reserve Fund in the manner prescribed by the applicable resolution of the Trustees. It shall be the duty of the Trustees to make adequate provisions for the transmission of the revenues derived from such fees to the State Treasurer. Moneys in the Debt Service Fund and Bond Reserve Fund may be invested and reinvested by the State Treasurer in obligations of the United States or any agency thereof with maturities consonant with the needs of such Fund.
R. Restrictions on Increase of Bonds.
The General Assembly reserves the right to amend this section so as to increase the amount of Bonds which may be authorized for the purpose of constructing Improvements to the University, but only if in the issuance of Bonds pursuant to this section as now constituted, the Trustees shall have reserved the right to issue additional Bonds and shall have prescribed the conditions under which such additional Bonds may be issued.
S. Use of Additional Funds.
It is not intended by this act to limit the University in the construction of improvements to Carolina Stadium to the sums herein provided for such purposes, and if the University shall obtain funds from other sources for such purposes, then in such event, it shall be empowered to apply such funds to improvements now contemplated or to provide further improvements for Carolina Stadium.
T. Defeasance of Outstanding Bonds.
Prior to the issuance of the first series of Bonds pursuant to this section, there shall be transferred to an irrevocable trust to be established in the hands of the State Treasurer, either moneys in an amount which shall be sufficient, or direct obligations of the United States of America, or obligations guaranteed by the United States of America, the principal of and interest on which when due will provide the sums required to pay the principal of and interest on the Outstanding Bonds as and when the same become due and payable. When the irrevocable trust has been established and funded, the Outstanding Bonds shall be deemed to be defeased and shall not be deemed to be outstanding for any purposes of this section. As provided in Section P hereof, Bonds issued pursuant to this act shall also be subject to defeasance in the manner prescribed by this Section.
Section 10. A. As an incident to the enactment of this act the General Assembly has made the following findings:
(1) By Act 103 of 1967 (codified as Chapter 29 of Title 4 of the Code of Laws of South Carolina, 1976, and hereinafter referred to as the "Industrial Development Bond Act"), the General Assembly authorized the counties of the State of South Carolina to provide assistance to industries in financing new enterprises or expanding existing enterprises.
(2) The method of rendering such assistance is by the acquisition of a project, as such term is defined in item (3) of Section 4-29-10 of the 1976 Code, in the name of a county and the issuance of bonds, as defined in item (1) of Section 4-29-10 of the 1976 Code, to defray the costs of acquiring, by construction and purchase such a project.
(3) Subsequently, by Act 156 of 1971 (codified as Chapter 3 of Title 48 of the Code of Laws of South Carolina, 1976, hereinafter referred to as the "Pollution Control Facilities Act"), the General Assembly authorized the governing bodies of the several counties and incorporated municipalities of this State to provide similar assistance to industries for the acquisition of Pollution Control Facilities, as such term is defined in item (3) of Section 48-3-10 of the 1976 Code. The method of rendering such assistance in the case of Pollution Control Facilities permits such facilities to be owned directly by an industry.
(4) It has been found that other states have an advantage over South Carolina in inducing certain industries to locate new enterprises or expand existing enterprises therein by allowing such industries to directly own their projects.
(5) In order to further the purposes of the Industrial Development Bond Act and to harmonize the terms thereof with the Pollution Control Facilities Act, it is now deemed desirable by the General Assembly to amend the Industrial Development Bond Act so as to permit ownership of a project by an industry and the use of a loan agreement between a county or an incorporated municipality and an industry.
(6) In order to further assist the counties of this State in inducing industries to finance new enterprises or expand existing enterprises, it is also deemed desirable to clarify the definition of project.
(7) In addition to clarifying the definition of the term 'project' it is also deemed desirable to expand the definition of project to include certain activities which would be beneficial to this State and eliminate certain activities which do not further the goal of industrial development. It is the purpose of the Industrial Development Bond Act to induce, encourage, and foster investment which is in the public interest. While we have hitherto in this State only aided in the development of industrial activities by assisting enterprises directly involved in the handling of goods, it is recognized that such industries require supporting facilities such as office building and computer facilities to aid in the commercial as well as industrial development of this State. To that end, it has been found and determined that investment in this State in computer and office facilities with significant employment impact is in the public interest and should be encouraged. It has also been found and determined that the minimum employment impact in such industries necessary to keep the Industrial Development Bond Act from being used not for inducement or encouragement but rather as a substitute for other sources of financing is one hundred persons.
(8) The intent in the following restatement is not to replace but rather to add to existing law. The purely technical changes necessary to effect the three basic modifications to the Industrial Development Bond Act are so numerous that, rather than elaborate each such change, for purposes of convenience and clarity the entire act has been restated as amended.
(9) It is also found and determined that an addition to the definition of term of project for certain commercial shopping centers would aid in the commercial development of this State in such a way as to benefit the residents of this State. It has been found that the kind of aid or encouragement provided hereunder may be necessary to foster the development of such shopping facilities in the less urban areas of this State. It is also found that the development of such facilities is in the public interest and the public benefit because of the enhanced commercial activity providing employment and by the provision of centrally located facilities which may serve more than one community thereby diminishing travel costs and conserving energy. It is intended by such expansion to permit the governing body of a county or incorporated municipality, subject to the approval of the State Budget and Control Board, to determine that aid or encouragement to a particular shopping center will be in the public interest. It has also been found and determined that the minimum level of employment which will assure that such a shopping center will serve and promote the interest set forth above is sixty full-time employees. It has been found and determined that this number of employees will permit such developments in the less urban areas of this State as well as provide some safeguard against the utilization of the Industrial Development Bond Act not for inducement or encouragement but rather as a substitute for other sources of financing for the development of what is principally a facility for only one or two stores.
B. Chapter 29 of Title 4 of the 1976 Code is amended to read:
Section 4-29-10. whenever used in this chapter, unless a different meaning clearly appears from the context, the following terms, whether used in the singular or plural, shall be given the following meanings:
(1) 'Bonds' shall include notes, bonds, refunding bonds, and other obligations authorized to be issued by this chapter.
(2) 'Governing Board' shall mean any one of the governing bodies of the several counties and incorporated municipalities of the State as now or hereafter constituted; and in the event that any project shall be located in more than one county, the term "governing board" shall also relate to the governing bodies of the several counties wherein such project shall be located.
(3) 'Project' shall mean any land and any buildings and other improvements thereon including, without limiting the generality of the foregoing, water, sewage treatment and disposal facilities, air pollution control facilities, and all other machinery, apparatus, equipment, office facilities and furnishings which shall be deemed necessary, suitable or useful by the following or any combination thereof: (a) any enterprise for the manufacturing, processing, or assembling of any agricultural or manufactured products; (b) any commercial enterprise engaged in storing, warehousing, distributing, transporting or selling products of agriculture, mining or industry, or engaged in providing laundry services to hospitals, to convalescent homes or to medical treatment facilities of any type, public or private, within or outside of the issuing County or incorporated municipality and within or outside of the State; (c) any enterprise for research in connection with any of the foregoing or for the purpose of developing new products or new processes or improving existing products or processes; and (d) any enlargement, improvement or expansion of any existing enterprise in subitems (a), (b), and (c) of this item. The term project shall not include facilities designed for the sale or distribution to the public of electricity, gas, water or telephone or other services commonly classified as public utilities. A project may he located in one or more counties or incorporated municipalities.
Project shall also include any land and any buildings and other improvements thereon including, without limiting the generality of the foregoing, water, sewage treatment and disposal facilities, air pollution control facilities, and all other machinery, apparatus, equipment, office facilities and furnishings, and any enlargement, improvement or expansion thereof, which shall be deemed necessary, suitable or useful by any enterprise in providing computer or office facilities regardless of whether such enterprise is included in subitems (a), (b) or (c) above if such enterprise which provides computer or office facilities expects, on the date of approval of the Project by the State Board, to employ at least one hundred full-time employees, in connection with the operation of the Project within one year after the completion of the Project.
The term 'project' shall also include any land and any buildings and other improvements thereon including, without limiting the generality of the foregoing, water, sewage treatment and disposal facilities, air pollution control facilities, and all other machinery, apparatus, equipment, office facilities and furnishings, and any enlargement, improvement and expansion thereof which may be deemed necessary, suitable or useful by any enterprise providing facilities for lease to two or more merchants to be used primarily for the retail sale of products of agriculture, mining or industry which are for personal, family or household use by the purchasers thereof and which facilities are generally designated 'shopping centers' and are expected, on the date of approval of such project by the State Board, to employ a minimum of sixty full-time (or equivalent) employees upon completion thereof. Otherwise, as set forth herein with respect to shopping centers, the term project shall not include facilities used primarily for the retail sale of products of agriculture, mining or industry which are for personal, family or household use by the purchasers thereof. The type of project authorized by this paragraph is intended to be separate and distinct from any other authority conferred to the governing boards of the counties and incorporated
municipalities with respect to other types of projects. This portion of the definition of project is expressly declared to be severable from the remainder of the definition of the term project and is not a material inducement to the enactment of any other changes to this Chapter.
(4) 'State Board' shall mean the State Budget and Control Board
of South Carolina.
(5) 'Security Agreement' shall mean any trust agreement, mortgage, security agreement or assignment by which any bond or
bonds issued pursuant to this chapter may be secured.
(6) 'Industry' shall mean any person, firm or corporation engaged in any one or more of the enterprises identified in item (3) of this section or any person, firm or corporation providing facilities constituting a project to be used by any one or more of the enterprises identified in item (3) of this section.
(7) 'Financing Agreement' shall mean any agreement, including without limitation an agreement whereby a county or incorporated municipality shall lease or sell a project to an industry, made by and between the governing board and any one or more industries by which the industry or industries agree to pay to (and to secure if so required ) the county or the incorporated municipality, as the case may be, or to any assignee thereof, the sums required to meet the payment of the principal, interest and redemption premium, if any, on any bonds.
Section 4-29-20. Subject to obtaining the approval from the State Board required by Section 4-29-140, the several counties, incorporated municipalities of the State functioning through their respective governing boards shall have, in addition to such other powers as may be vested in such counties and incorporated municipalities by laws now existing or hereafter enacted, the following powers: (1) to acquire or cause to be acquired, and, in connection with such acquisition, to enlarge, improve and expand, whether by construction, purchase, gift or lease, one or more projects which shall be located within the county, or incorporated municipality; provided, that powers given to the governing board of a county may be exercised in respect to projects anywhere within the county, including any incorporated municipality therein; (2) to enter into agreements with any industry to construct and thereafter operate, maintain and improve a project; (3) to enter into a financing agreement with such industry prescribing the terms and conditions of the payments to be made by the industry to the county or incorporated municipality, or its assignee, to meet the payments that shall become due on bonds; (4) to issue revenue bonds for the purpose of defraying the cost of acquiring, by construction and purchase, and in connection with any such acquisition, to enlarge, improve and expand any project, and to secure the payment of such bonds, all as hereinafter provided; (5) to accept any state or federal grant that might become applicable to defray any portion of the cost of any project. No governing board shall have the power to operate any project as a business or in any manner except as lessor thereof.
Section 4-29-30. All bonds issued by a governing board for a project under authority of this chapter shall be limited obligations of its county or incorporated municipality, the principal of and interest on which shall be payable solely out of the revenues derived by the county or the incorporated municipality Pursuant to the financing agreement with respect to such a project which the bonds are issued to finance. Bonds and interest coupons issued under authority of this chapter shall never constitute an indebtedness of such county or incorporated municipality within the meaning of any State constitutional provision or statutory limitation but such bonds and coupons shall be indebtedness payable solely from a revenue producing project or from a special source, which source does not include revenues from any tax or license, and shall never constitute nor give rise to a pecuniary liability of the county or incorporated municipality or a charge against its general credit or taxing powers, and such fact shall be plainly stated on the face of each bond. Such 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 registered or bearer form either as to principal or interest or both, may be payable in such installments and at such time or times not exceeding forty years from their date, may be subject to such terms of redemption, may be payable at such place or places, may bear interest at such rate or rates payable at such place or places and evidenced in such manner, and may contain such provisions not inconsistent herewith, all of which shall be provided in the proceedings of the governing board authorizing the bonds. Any bonds issued under the authority of this chapter may be sold at public or private sale at such price and in such manner and from time to time as may be determined by the governing board to be most advantageous, and the governing board may pay, as a part of the cost of acquiring any project, and out of the bond proceeds, all expenses, premiums and commissions which the governing board may deem necessary or advantageous in connection with the authorization, sale and issuance thereof. All bonds issued under the authority of this chapter except registered bonds, registered otherwise than to bearer and all interest coupons appurtenant thereto shall be construed to be negotiable instruments, despite the fact that they are payable solely from a specified source. The proceedings authorizing the issuance of bonds may provide for the issuance, in the future, of further bonds on a parity with those initially issued, but such proceedings shall preclude the issuance of bonds or any obligations of any sort secured by a lien prior to the lien of the bonds or bonds afterwards issued on a parity with the bonds.
Pending the issuance of bonds, bond anticipation notes may be issued, and to the end that a vehicle be provided therefor, the provisions of Sections 11-17-10 to 11-17-110, as now or hereafter amended, shall be applicable to such bond anticipatory borrowing.
Section 4-29-40. The principal of and interest on any bonds issued under the authority of this chapter shall be secured by a pledge of the revenues from which such bonds shall be payable, may be secured by a security agreement covering all or any part of the project from Which the revenues so pledged are derived. or any property given as .security by the industry pursuant to the financing agreement, and may be additionally secured by a pledge of the financing agreement with respect to such project. The proceedings under which such bonds are authorized to be issued or any such security agreement may contain any agreements and provisions customarily contained in instruments securing bonds, including, without limiting the generality of the foregoing, provisions respecting the fixing and collection of obligations owing under any financing agreement for any project covered by such proceedings or security agreement, the terms to be incorporated in the financing agreements, the maintenance and insurance of the project, the creation and maintenance of special funds, and the rights and remedies available in the event of default to the bondholders or to the trustee under such security agreement, all as the governing board shall deem advisable and as shall not be in conflict with the provisions of this chapter; provided, however, that in making any such agreements or provisions a county or incorporated municipality shall not have the power to obligate itself except with respect to the project and the application of the revenues from the financing agreement, and shall not have the power to incur a pecuniary liability or a charge upon its general credit or against its taxing powers. The proceedings authorizing any bonds hereunder and any security agreement securing Such bonds may provide that, in the event of default in payment of the principal of or the interest on such bonds or in the performance of any agreement contained in such proceedings or security agreement, such payment and performance may be enforced by mandamus or by the appointment of a receiver in equity with power to charge and collect obligations owing under any financing agreement and to apply the revenues from the project in accordance with such proceedings or the provisions of such security agreement. Any such security agreement may provide also that in the event of default in payment or the violation of any agreement contained in the security agreement, it may be foreclosed by proceedings at law or in equity, and may provide that any trustee under the security agreement or the holder of any of the bonds secured thereby may become the purchaser at any foreclosure sale, if he is the highest bidder. No breach of any such agreement shall impose any pecuniary liability upon a county or incorporated municipality or any charge upon its general credit or against its taxing power.
The trustee or trustees under any security agreement, or any depository specified by such security agreement, may be such persons or corporations as the governing board shall designate, not withstanding that they may be nonresident of South Carolina or incorporated under the laws of the United States or the laws of other states of the United States.
Section 4-29-50. Contracts for the construction of any projects may be let on such terms and under such conditions as the governing board shall prescribe and may be let with or without advertisement or call for bids there for.
Section 4-29-60. Prior to undertaking any project, the governing board shall find: That the project will subserve the purposes of this chapter; that the project will give rise to no pecuniary liability of the county or incorporated municipality or a charge against its general credit or taxing power; the amount of bonds required to finance the project; the amount necessary in each year to pay the principal of and the interest on the bonds proposed to be issued to finance the project; the amount necessary to be paid each year into any reserve funds which the governing board may deem it advisable to establish in connection with the retirement of the proposed bonds and the maintenance of the project; and, unless the terms of a financing agreement with respect to a project provide that the industry shall maintain the project and carry all proper insurance with respect thereto, the estimated cost of maintaining the project in good repair and keeping it properly insured. The determinations and findings of the governing board required to be made above shall be set forth in the proceedings under which the proposed bonds are to be issued.
Every financing agreement with respect to a project shall contain an agreement obligating the industry to effect the completion of the project if the proceeds of the bonds prove insufficient, and obligating the industry to pay an amount under the terms of a financing agreement, which, upon the basis of the determinations theretofore made, will be sufficient (a) to pay the principal of and interest on the bonds issued to finance the project, (b) to build up and maintain any reserves deemed by the governing board to be advisable in connection therewith, and (c) unless the financing agreement obligates the industry to pay for the maintenance and insurance of the project, to pay the costs of maintaining the project in good repair and keeping it properly insured.
Every financing agreement in the form of a lease shall contain a provision requiring the industry to make payments to the county or counties, municipality or municipalities, school district or school districts, and other political units wherein the project shall be located in lieu of taxes, in such amounts as would result from taxes levied on the project by such county or counties, municipality or municipalities, school district or school districts, and other political unit or units, if the project were owned by the industry, but with appropriate reductions similar to the tax exemptions, if any, which would be afforded to the industry if it were the owner of the project.
Section 4-29-70. Any financing agreement in the form of a lease of any project may include a provision that the industry shall have options to renew such lease and/or to purchase any or all of the leased project on such terms, at such times, and upon such considerations as the governing board shall agree to. The consideration for any renewal of the lease or for the purchase of any or all of the project need not require the payment by the industry of the full market value thereof, but may be fixed at such lesser consideration as the governing board shall determine to be in the interest of the county or incorporated municipality and in furtherance of the policy of this chapter.
Section 4-29-80. The governing board shall have the power to provide that the project and improvements shall be acquired by the county or incorporated municipality, the industry or both on real estate owned by the county or incorporated municipality or the industry, that bond proceeds shall be disbursed by the trustee bank or banks or depository during construction upon the estimate, order or certificate of the industry, and if the financing agreement is in the form of a lease that the project need not be conveyed to the county or incorporated municipality for lease to the industry until its completion. The governing board may authorize the industry to acquire real estate and commence construction in anticipation of the issuance of bonds and to provide that the industry shall be reimbursed for such expenditures from the proceeds of such bonds if and when issued. In making such agreements or provisions the governing board shall not have the power to obligate the county or incorporated municipality except with respect to the project and the application of the revenues therefrom, and shall not have the power to incur a pecuniary liability or a charge upon the general credit of the county or incorporated municipality or against its taxing powers.
Section 4-29-90. The proceeds from the sale of any bonds issued under authority of this chapter shall be applied only for the purpose for which the bonds were issued; provided, however, that any premium and accrued interest received in any such sale shall be applied to the payment of the principal of or the interest on the bonds sold; and provided, further, that if for any reason any portion of the proceeds shall not be needed for the purpose for which the bonds were issued, such unneeded portion of the proceeds shall be applied to the payment of the principal of or the interest on the bonds. The cost of acquiring any project shall be deemed to include the following: The actual cost of the construction of any part of a project which may be constructed, including architects' and engineers' fees; the purchase price of any part of a project that may be acquired by purchase; all expenses in connection with the authorization, sale and issuance of the bonds to finance such acquisition; and the interest on the bonds for a reasonable time prior to construction, during construction, and for not exceeding one year after completion of the construction.
Section 4-29-100. No county or incorporated municipality shall have the power to pay out of its general funds or otherwise contribute, any part of the costs of acquiring a project, except that lands owned by any county or incorporated municipality not required for any other public purpose, may be utilized to the extent required for a project, but under such circumstances the reasonable value of the lands shall be deemed a part of the cost of construction, and shall be paid out of the proceeds of the bonds to the general fund of the county or incorporated municipality. The determination by the governing board of the reasonable value of the land shall be conclusive but review of the determination may be instituted by any interested party within twenty days, but not afterwards, following the publication of notice of the determination in a newspaper of general circulation in each county in which the land is situated, by proceedings denovo in the court of common pleas of the county. The entire cost of acquiring any project shall be paid out of the proceeds from the sale of bonds issued under the authority of this chapter; provided, however, that this provision shall not be construed to prevent a county or incorporated municipality from accepting donations of property to be used as a part of any project or money to be used for defraying any part of the cost of any project.
Section 4-29-110. Any bonds issued hereunder and at any time outstanding may at any time and from time to time be refunded by a county or incorporated municipality, but only with the approval of the State Board being first obtained, by the issuance of its refunding bonds in such amount as the governing board may deem necessary but not exceeding an amount sufficient to refund the principal of the bonds to be refunded, together with any unpaid interest thereon and any premiums, expenses and commissions necessary to be paid in connection therewith. Any such refunding may be effected whether the bonds to be refunded have matured or shall thereafter mature, either by sale of the refunding bonds and the application of the proceeds for the payment of the bonds to be refunded, or by exchange of the refunding bonds for the bonds to be refunded thereby; provided, that the holders of any bonds to be refunded shall not be compelled without their consent to surrender their bonds for payment or exchange prior to the date on which they are payable, or, if they are called for redemption, prior to the date on which they are by their terms subject to redemption. All refunding bonds issued under the authority of this chapter shall be payable in the same Manner and under the same terms and conditions as are herein provided for the issuance of bonds. In addition to the powers herein granted for the issuance of refunding bonds the county boards may avail themselves of the provisions of Sections 11-21-10 to 11-21-80 (the Advanced Refunding Act).
Section 4-29-120. It shall be lawful for all executors, administrators, guardians, committees and other fiduciaries to invest any moneys in their hands in bonds issued under the provisions of this chapter.
Section 4-29-130. The bonds authorized by this chapter and the income therefrom, all security agreements executed as security therefor, all financing agreements made pursuant to the provisions hereof, and all projects so long as county or municipalities owned and the revenue derived from any financing agreement shall be exempt from all taxation in the State of South Carolina except for inheritance, estate or transfer taxes; and all security agreements and financing agreements made pursuant to the provisions of this chapter shall be exempt from South Carolina stamp and transfer taxes.
Section 4-29-140. No bonds shall be issued pursuant to the provisions of this chapter until the proposal of the governing board to issue the bonds shall receive the approval of the State Board. Whenever any governing board shall propose to issue bonds pursuant to the provisions of this chapter, it shall file its petition to the State Board setting forth: (a) A brief description of the project proposed to be undertaken and its anticipated effect upon the economy of the county or incorporated municipality in which the project is to be located and of the areas adjacent thereto; (b) a reasonable estimate of the cost of the project; and (c) a general summary of the terms and conditions of the financing agreement and security agreement to be made, including a statement establishing the basis for the payment of sums in lieu of taxes as required by Section 4-29-60. Upon the filing of the petition the State Board shall, as soon as practicable, make such independent investigation as it deems advisable, and if it finds that the project is intended to promote the purposes of this chapter and is reasonably anticipated to effect such result, it shall be authorized to approve the project and at any time following such approval, the governing board may proceed with the acquisition and financing of the project. Notice of the approval of any project by the State Board shall be published at least once by the State Board in a newspaper having general circulation in the county where the project is to be located.
Any interested party may, within twenty days after the date of the publication of such notice, but not afterwards, challenge the validity of such approval by action de novo in the court of common pleas in the county where the project is to be located.
Section 4-29-150. Neither this chapter nor anything herein contained shall be construed as a restriction or limitation upon any powers which a county or incorporated municipality might otherwise have under any laws of this State, but shall be construed as cumulative. Subject to the limitations and requirements of Chapter 9, Title 4, of the 1976 Code, the authorizations herein granted may be carried out by any governing board acting at any regular or special meeting and without publication of the proceedings, not withstanding any restriction, limitation, or other procedure, imposed upon the governing board by any other statute.
C. If any portion of this Section 10 shall be held to be invalid or unconstitutional by any court of competent jurisdiction, such holding shall not affect any other portion of this section which is not unconstitutional, and the powers of the governing boards under the Industrial Development Bond Act as originally enacted and under this section shall be those powers which they had without such unconstitutional portion. The provisions hereof are declared to be severable.
D. The provisions of this section shall become effective as of August 31, 1980, for all bonds issued on or after such date. The governing boards of the several counties and incorporated municipalities are authorized to make agreements with respect to the issuance of bonds hereunder for a project in anticipation of the issuance of such bonds hereunder after such date.
Section 11. Act 761 of 1976, as last amended by Section 10 of Part I of Act 194 of 1979, is further amended by adding:
"Section 3A. To assist the State Budget and Control Board (the Board) and the Joint Bond Review Committee (the Committee) in carrying out their respective responsibilities, any agency or institution requesting or receiving funds from any source for use in the financing of any permanent improvement project, as a minimum, shall provide to the Board, in Such form and at such times as the Board, after review by the Committee, may prescribe: (a) a complete description of the proposed project; (b) a statement of justification for the proposed project; (c) a statement of the purposes and intended uses of the proposed project; (d) the estimated total cost of the proposed project; (e) an estimate of the additional future annual operating costs associated with the proposed project; (f) a statement of the expected impact of the proposed proJect on the five-year operating plan of the agency or institution proposing the project; (g) a proposed plan of financing the project, specifically identifying funds proposed from sources other than capital improvement bond authorizations; and (h) the specification of the priority of each project among those proposed.
All institutions of higher learning shall submit permanent improvement project proposal and justification statements to the Board through the Commission on Higher Education which shall forward all such statements and all supporting documentation received to the Board together with its comments and recommendations. The recommendations of the Commission on Higher Education, among other things, shall include all of the permanent improvement projects requested by the several institutions listed in the order of priority deemed appropriate by the Commission on Higher Education without regard to the sources of funds proposed for the financing of the projects requested.
The Board shall forward a copy of each project proposal and justification statement and supporting documentation received together with the Board's recommendations on such projects to the Committee for its review and action. The recommendations of the Commission on Higher Education shall be included in the materials forwarded to the Committee by the Board.
No provision in this section or elsewhere in this act, shall be conserved to limit in any manner the prerogatives of the Committee and the General Assembly with regard to recommending or authorizing permanent improvement projects and the funding such projects may require.
Section 3B. The Board shall establish formally each permanent improvement project before actions of any sort which implement the project in any way may be undertaken and no expenditure of any funds for any services or for any other project purpose contracted for, delivered or otherwise provided prior to the date of the formal action of the Board to establish the project shall be approved. After the Committee has reviewed the form to be used to request the establishment of permanent improvement projects and has reviewed the time schedule for considering such requests as proposed by the Board, requests to establish permanent improvement projects shall be made in such form and at such times as the Board may require. Any proposal to finance all or any part of any project using any funds not previously authorized specifically for the project by the General Assembly or using any funds not previously approved for the project by the Board and reviewed by the Committee shall be referred to the Committee for review prior to approval by the Board.
Any proposed revision of the scope or of the budget of an established permanent improvement project deemed by the Board to be substantial shall be referred to the Committee for its review prior to any final action by the Board. In making their determinations regarding changes in project scope, the Board and the Committee shall utilize the permanent improvement project proposal and justification statements, together with any supporting documentation, considered at the time the project was authorized or established originally.
Any proposal to increase the budget of a previously approved project using any funds not previously approved for the project by the Board and reviewed by the Committee shall in all cases be deemed to be a substantial revision of a project budget which shall be referred to the Committee for review. The Committee shall be advised promptly of all actions taken by the Board which approve revisions in the scope of or the budget of any previously established permanent improvement project not deemed substantial by the Board."
Section 12. The issuance of $400,000 of State Highway Bonds in accordance with Section 57-11-210 et seq. of the 1976 Code of Laws is hereby authorized to provide monies to match federal aid funds for the urgent repair of the John P. Grace Memorial Bridge (old Cooper River Bridge).
Section 13. Act 1377 of 1968, as last amended by Act 194 of 1979, is further amended by adding the following section, to be appropriately numbered:
"Section. State Capital Improvement Bonds may be authorized by the General Assembly during the 1981 legislative session, and thereafter only in odd numbered years."
Section 14. Revenue Bond Authorization for The Medical University of South Carolina:
1. The General Assembly finds that it is necessary to provide an appropriate vehicle with which the Trustees of The Medical University of South Carolina (The Medical University) (the Trustees) will be able to pay for those costs of the additions and improvements to the existing hospital of The Medical University (Hospital Improvements) authorized by this Act and partially funded with authorizations for the issuance of State Capital Improvement Bonds and State institution Bonds. The Hospital Revenue Bond Act (Article 11, chapter 7, Title 44, Code of Laws of South Carolina, 1976) now permits the several counties of the State to provide hospital facilities with the proceeds of bonds payable from the revenues of such hospital facilities. Such Act, if appropriately amended, would provide an adequate vehicle with which the Trustees could raise the additional funds required for the Hospital improvements. Accordingly, it is first intended that certain powers slanted to the counties of the State by the Hospital Revenue Bond Act be extended to the Trustees who are hereinafter authorized to utilize such powers to the extent that they are pertinent to the undertakings of the Trustees in the issuance of Hospital Revenue Bonds.
2. The General Assembly further finds that this authorization to the Trustees to issue Hospital Revenue Bonds is complicated by the fact that:
(a) By Act 1654 of 1972, as amended (Act 1654), the Trustees are presently authorized to construct "Plant Improvements" as defined by Act 1654 which includes:
"6 ... (b) renovations and improvements to, and new equipment for, the Teaching Hospital of The Medical University..."
Pursuant to the authorizations of Act 1654, The Trustees did as of June 1, 1976, issue $4,750,000 of Plant Improvement Bonds, Series 1976, of which (as of June 2, 1980) $3,750,000 are outstanding. The now outstanding Plant Improvement Bonds Mature $250,000 on June 1 in the years 1981 to 1986, inclusive; and $225,000 on June 1 in the years 1987 to 1996, inclusive.
(b) By Section 42 of Part II of Act 644 of 1978 (Section 42, Act 644) the General Assembly authorized the Trustees to raise moneys with which to "pay the cost of diagnostic and therapeutic equipment for use in the hospital operated by The Medical University of South Carolina". Notes dated February 6, 1979, in the principal amount of $1,000,000 and bearing interest at 6 1/4% were issued (the Equipment Notes) of which $700,000 will be outstanding as of July 2, 1980.
3. The outstanding Plant Improvement Bonds and the outstanding Equipment Notes pledge moneys which constitute normal hospital revenues (e. g., the Plant Improvement Bonds are secured by among other things charges for "(a) patient rooms in the Teaching Hospital of The Medical University, [and] (b) laboratory services..." The Equipment Notes are payable from charges for the use of diagnostic and therapeutic equipment located in the Teaching Hospital and used for hospital purposes).
In order to enhance the security of the Hospital Revenue Bonds to be issued by the Trustees to raise moneys for Hospital Improvements, it may become necessary for the Trustees to either refund all or a part of the outstanding Plant Improvement Bonds and outstanding Equipment Notes and it may also become necessary for the Trustees to covenant either (i) that no further Plant Improvement Bonds or Equipment Notes be issued which pledge for their security and payment any Hospital Revenues (as hereafter defined) or (ii) if issued with a pledge of Hospital Revenues, that such pledge be made junior and subordinate to all Hospital Revenue Bonds.
4. At the present time the Trustees have received the approval of the State Budget and Control Board (the State Board) for several projects which (absent the need to issue Hospital Revenue Bonds) would be funded with Plant Improvement Bonds issued pursuant to Act 1654 as now written and as bonds on a parity with the outstanding Plant Improvement Bonds. Because of the necessity to keep Hospital Revenues available for Hospital Revenue Bonds, it is desirable to amend Act 1654 so that further bonds issued under the Act need not be payable from those revenues which the Trustees define as Hospital Revenues. Nonetheless, it is not intended that Act 1654 should not continue as a vehicle pursuant to which the Trustees may finance all "Plant Improvements" required for The Medical University except those constituting Hospital Facilities after the date specified pursuant to subparagraph (b) of paragraph 6.
5. As used herein the following terms shall have the following meanings:
"Hospital Facilities" shall mean all existing Hospital Facilities including both real property, personal property, fixtures and accessories thereto of The Medical University, all improvements, enlargements and betterments thereto including new buildings located on any property owned by The Medical University and all other facilities wherever located required for the proper functioning of the Hospital Facilities which shall have been declared by the Trustees to constitute Hospital Facilities.
"Hospital Revenues" shall mean all receipts and revenues derived directly or indirectly from Hospital Facilities and which have been defined as Hospital Revenues by the Trustees with the approval of the State Board, and which have been or are to be pledged for the payment of Hospital Revenue Bonds.
"Hospital Revenue Bonds" shall mean bonds issued for Hospital Facilities pursuant to the Hospital Revenue Bond Act as herewith modified and payable from Hospital Revenues.
6. The Trustees are herewith empowered in their discretion:
(a) to make the determinations contemplated by paragraph (5) above as to What shall constitute Hospital Facilities and as to what shall constitute Hospital Revenues;
(b) to fix a date and to covenant that after such date no additional Plant Improvement Bonds issued pursuant to Act 1654 shall be secured by Hospital Revenues;
(c) to fix a date and to covenant that after such date no further Equipment Notes be issued except as authorized by the proceeding relating to the issuance of Hospital Revenue Bonds;
(d) to refund any and all then outstanding Plant Improvement Bonds and all then outstanding Equipment Notes with the proceeds of Hospital Revenue Bonds;
(e) to utilize all provisions of the Hospital Revenue Bond Act except as herein limited, it being intended that the provisions of such Act may be adapted so as to be made applicable to the Trustees in order that they may have a viable vehicle for the issuance of Hospital Revenue Bonds. The Trustees shall constitute a "Public Agency" as defined in paragraph (g) of Section 44-7-1430 of the 1976 Code and may (with the approval of the State Board) borrow money and issue bonds pursuant to the Hospital Revenue Bond Act to raise the moneys required for the Hospital Improvements and other Hospital Facilities and any further moneys which are required to refund any outstanding Plant Improvement Bonds then outstanding and any then outstanding Equipment Notes and any Hospital Revenue Bonds which may have hereafter been issued pursuant to this Section. Such Bonds shall be authorized by a Resolution of the Trustees which shall be approved by the State Board and may contain such covenants and pledges as are deemed necessary or desirable to secure such bonds including covenants prescribing the use and disposition of all Hospital Revenues. Such resolution may authorize an indenture for the securing of the bonds between the Trustees and any corporate financial institution approved by the State Treasurer.
There may be granted or effected by such indenture a pledge of the Hospital Revenues and a security interest in such revenues, the proceeds of Hospital Revenue Bonds until expended for Hospital Facilities, all fixtures and equipment purchased or acquired with the proceeds of Hospital Revenue Bonds and all replacements thereof and accessories thereto but no mortgage of real property (as permitted of counties by paragraph (6) of Section 44-7-1440 of the 1976 Code) shall be given. Such Hospital Revenue Bonds shall be limited obligations of The Medical University payable solely from Hospital Revenues.
All contracts for the construction or acquisition of Hospital Facilities shall be let in accordance with the laws and procedures now applicable to The Medical University and Section 44-7-1470 of the 1976 Code shall not be applicable to the Trustees.
(f) to issue additional Plant Improvement Bonds pursuant to Act 1654 for any purpose permitted by such Act accept that after the date specified pursuant to subparagraph (b) above no further Plant Improvement Bonds shall be issued for Hospital Facilities;
(g) to secure all additional Plant Improvement Bonds in the manner provided by Act 1654 except that after the date specified pursuant to subparagraph (b) above such additional bonds shall not be secured by any pledge of Hospital Revenues unless such pledge be subordinate to the pledge of Hospital Revenues securing all Hospital Revenue Bonds thereafter to be outstanding Plant Improvement Bonds;
(h) to refund all or any portion of the outstanding Plant Improvement Bonds and equipment notes with the proceeds of additional Plant Improvement Bonds;
(i) to continue to issue Equipment Notes within the limitations of Section 42, Act 644, until Hospital Revenue bonds are issued, and thereafter, but only in conformance with the proceedings relating to the issuance of Hospital Revenue Bonds; and
(j) to take all further action necessary or desirable to fully implement the authorizations of this Section, it being intended to give the greatest possible latitude to the Trustees (subject to approval by the State Board) in the financing of required Hospital Facilities and Plant Improvements.
Section 15. Beginning with the 1981 session of the General Assembly and thereafter, neither House of the General Assembly shall consider the Capital Improvement Bond Bill which is introduced later than April first.
Section 16. This act shall take effect upon approval by the Governor.
The following were vetoed by the Governor June 11, 1980 and sustained by the General Assembly June 17, 1980:
1. Section I, Subsection 4, Continuing Center, A & E Planning, Item 3.
2. Section I, Subsection 4, Energy Research Building, Phase I, A & E Planning, Item 5.
3. Section I, Subsection 4, Proviso, Re: Clemson University.
4. Section I, Subsection 5, Renovation and Alteration of Facilities, Item 4.
5. Section I, Subsection 6, Energy Conservation and General Development, Item 3.
6. Section I, Subsection 7, Fine Arts Center, Phase II, A & E Planning, Item 2.
7. Section I, Subsection 7, Purchase of Former Public Housing Complex, Item 4.
8. Section I, Subsection 8, Aiken Campus, Fine Arts Health and Education Center, A & E Planning, Item 2.
9. Section I, Subsection 8, Spartanburg Campus, Humanities and Science Building, Construction and Equipment, Item 1.
11. Section I, Subsection 8, Sumter Campus, Fine Arts, Health and Education Center, A & E Planning, Item 1.
12. Section I, Subsection 10, Central Energy Facility Feasibility Study, Item 2.
14. Section I, Subsection 11, Orangeburg-Calhoun Classroom and Lab Building, A & E Planning, Item 7.
15. Section I, Subsection 11, Tri-County Classroom Addition, A & E Planning, Item 9.
16. Section I, Subsection 11, Piedmont ETV Facility, Item 10.
17. Section I, Subsection 11, Horry-Georgetown ETV Facility, Item 11.
18. Section I, Subsection 13, Aiken Transmitter, Item 5.
19. Section I, Subsection 13, Orangeburg Transmitter, Item 6.
21. Section I, Subsection 22, Edisto Beach State Park Cabins, Item 15.
The following were vetoed by the Governor June 11, 1980 and overridden by the General Assembly June 17, 1980:
10. Section I, Subsection 8, Lancaster Campus, Land Purchase/Campus Development, Item 1.
13. Section I, Subsection 10, University Hospital Renovations, Item 3.
20. Section I, Subsection 22, Lake Russell/Calhoun Falls Park, Item 5.
Became law without the signature of the Governor.
The three sections above vetoed by the Governor and overridden by the General Assembly became effective June 17, 1980. The remainder of the act took effect June 12, 1980.