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Bill Number: 4025 Ratification Number: 746 Act Number 638 Introducing Body: House Subject: Relating to issuance of capital improvement bonds
(A638, R746, H4025)
AN ACT TO AMEND ACT 1377 OF 1968, AS AMENDED, RELATING TO THE ISSUANCE OF CAPITAL IMPROVEMENT BONDS, SO AS TO AUTHORIZE THE ISSUANCE OF ADDITIONAL BONDS, REDUCE A PRIOR CAPITAL IMPROVEMENT BOND AUTHORIZATION FOR THE MEDICAL UNIVERSITY OF SOUTH CAROLINA, DEAUTHORIZE BONDS AUTHORIZED FOR CLEMSON PSA, INCREASE THE LIMITATION ON THE MAXIMUM AGGREGATE PRINCIPAL INDEBTEDNESS OF THE STATE, REQUIRE THE STAFF OF THE STATE BUDGET AND CONTROL BOARD TO DEVISE A PROCEDURE TO MONITOR PROJECT AUTHORIZATIONS FOR ARCHITECTURAL AND ENGINEERING WORK, AND PROVIDE FOR THE ARRANGEMENT OF A SCHEDULE OF DRAWS OF THE CAPITAL IMPROVEMENT BOND FUNDS BY THE JOINT BOND REVIEW COMMITTEE AND THE STATE BUDGET AND CONTROL BOARD; TO AMEND SECTION 59-53-153, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE AUTHORIZATION OF THE STATE BOARD FOR TECHNICAL AND COMPREHENSIVE EDUCATION TO ISSUE SPECIAL OBLIGATION BONDS PAYABLE FROM A SPECIAL STUDENT FEE, SO AS TO REQUIRE THAT THERE MAY NOT BE OUTSTANDING AT ANY TIME BONDS ISSUED PURSUANT TO THE PROVISIONS OF THIS SECTION FOR ANY COLLEGE IN EXCESS OF FOUR MILLION DOLLARS; TO REQUIRE THE STATE BUDGET AND CONTROL BOARD AND THE JOINT BOND REVIEW COMMITTEE, OR THEIR DESIGNEES, TO DEVISE PROCEDURES FOR AUTHORIZATIONS OF LEASES OR LEASE PURCHASES, OR BOTH, AND MAKE RECOMMENDATIONS TO THE GENERAL ASSEMBLY ON THE PROCEDURE BY FEBRUARY 1, 1989; TO PROVIDE THAT IT IS THE INTENTION OF THE GENERAL ASSEMBLY TO ENACT LEGISLATION IN ITS 1989 SESSION PROVIDING FOR CONSIDERATION OF CAPITAL IMPROVEMENT BOND BILLS IN ODD-NUMBERED YEARS WITH THE FIRST BILL BEING CONSIDERED IN 1991; TO AMEND SECTION 59-53-57, RELATING TO STATE FUNDS FOR THE SOUTH CAROLINA TECHNICAL EDUCATION SYSTEM APPROPRIATED TO THE STATE BOARD FOR TECHNICAL AND COMPREHENSIVE EDUCATION BY THE GENERAL ASSEMBLY, SO AS TO AUTHORIZE THE BOARD AND INSTITUTIONS TO RECEIVE STATE FUNDS FOR CAPITAL FACILITIES REQUIRING A MINIMUM OF TWENTY PERCENT OF EACH PROJECT COST TO BE PROVIDED BY THE LOCAL SUPPORT AREA AND TO PROVIDE EXCEPTIONS; TO AMEND ACT 1377 OF 1968, AS AMENDED, RELATING TO THE ISSUANCE OF CAPITAL IMPROVEMENT BONDS, SO AS TO DEAUTHORIZE AND REDUCE PRIOR DEPARTMENTAL BOND AUTHORIZATIONS FOR THE DEPARTMENT OF MENTAL RETARDATION; AND TO AMEND THE 1976 CODE BY ADDING SECTION 11-9-130 SO AS TO PROVIDE THAT FUNDS AUTHORIZED BY THE GENERAL ASSEMBLY FOR CAPITAL IMPROVEMENT PROJECTS NOT LOCATED ON STATE-OWNED PROPERTY MAY BE EXPENDED ONLY IF THE PROJECTS ARE OWNED OR OPERATED BY A GOVERNMENTAL ENTITY INCLUDING, BUT NOT LIMITED TO, MUNICIPALITIES OR COUNTIES OR A COMBINATION OF GOVERNMENTAL ENTITIES OR BY SEPARATE AUTHORITY WHOSE MEMBERSHIP IS CONTROLLED BY A GOVERNMENTAL ENTITY.
Be it enacted by the General Assembly of the State of South Carolina:
Additional bonds authorized
SECTION 1. Item (f) of Section 3 of Act 1377 of 1968, as last amended by Act 538 of 1986, is further amended by adding:
"1. State Law Enforcement Division
(a) Main Building Renovation &
HVAC Replacement $ 710,000
(b) Serology Lab Renovation &
HVAC Replacement 37,000
(c) Main Building Roof
Total, State Law Enforcement
2. Adjutant General's Office
Armory Construction: 251st Evac.
Total, Adjutant General's Office 625,000
3. Election Commission
Voting Systems 2,000,000
Total, Election Commission 2,000,000
The State Election Commission is authorized to use the bond funds authorized in this act to pay not more than seventy percent of the total cost of either electronic or punch card voting systems as may be selected by participating counties.
4. Budget and Control Board
(a) Fire Academy Relocation,
(b) Asbestos Emergency
Abatement, Phase 2 5,000,000
(c) Contingency Revolving Fund 500,000
Total, Budget and Control Board 5,850,000
The asbestos abatement projects funded in this subitem must be funded on a schedule as dictated by the survey results indicating immediacy for removal.
5. The Citadel
(a) Bond Hall Renovation 6,186,000
(b) Central Energy Facility
Total, The Citadel 7,686,000
6. Clemson University (E&G)
(a) Engineering Innovation
Center, A&E 750,000
(b) Brackett Hall Renovation 5,125,000
Total, Clemson University (E&G) 5,875,000
7. College of Charleston
(a) Central Energy Facility
(b) Sottile Theatre Renovations 1,000,000
(c) Central Computer Equipment 1,500,000
Total, College of Charleston 4,000,000
8. Francis Marion College
(a) Stokes Administration
Building Expansion 1,920,000
(b) McNair Science Building
Expansion, A&E 550,000
Total, Francis Marion College 2,470,000
9. Lander College
(a) Old Main Renovation, A&E 436,000
(b) Henrietta Apartments
Total, Lander College 1,036,000
10. South Carolina State College
(a) Machine Shop Renovation 100,000
(b) Counseling & Self-Development
(c) Arts and Science Building, A&E 292,500
Total, South Carolina State College 642,500
11. University of South Carolina
(a) Columbia: Renovations 5,200,000
(b) Columbia: Music Building,
(c) Coastal: Business
Administration Building 9,600,000
(d) Spartanburg: Campus Life
Center, A&E 370,500
(e) Beaufort: Renovations 500,000
(f) Lancaster: Maintenance
(g) Lancaster: Starr Hall
(h) Union: Main Building
(i) Salkehatchie: Library/Computer
Science Bldg. 2,144,000
(j) Salkehatchie: Renovations 700,000
(k) Aiken: Education/Business
Building, A&E 675,000
(l) Sumter: Library Addition, A&E 300,000
Total, University of South Carolina 23,302,000
12. Winthrop College
(a) Johnson Hall
(b) Conservatory of Music
Total, Winthrop College 5,100,000
13. Medical University of South Carolina
Biomedical Research Facility, A&E 585,000
Total, Medical University of South
14. State Board for Technical &
(a) State Board: Statewide System
(b) Denmark: Physical Plant
(c) Denmark: Student Service Ctr.
(d) Beaufort: Coleman Hall
(e) Beaufort: Owen Hall Renovation 275,460
(f) Beaufort: Anderson Hall
(g) Beaufort: Hilton Head Island
Facility, A&E 300,000
(h) Greenville: Technical Resource
(i) Chesterfield/Marlboro: 7 Bldgs.
Roof Repairs 120,000
Electronics/Technology Bldg. 2,032,000
(l) Midlands, Airport Campus:
Admin. Bldg. Renovate 760,000
(m) Piedmont: Library/Learning
Resource Center 2,194,500
(n) Piedmont: Health Sciences
Classroom Building 1,200,000
(o) Tri-County: Learning Resource
Center/Admin. Bldg. 500,000
(p) Trident: Learning Resource
Center, A&E 350,000
(q) York: Classroom Building 1,100,000
(r) Aiken: Continuing Education
Center Renovation 750,000
Student Activity Center, A&E 175,000
5 Buildings Renovate 360,000
4 Buildings Repair 200,000
Total, State Board for Technical &
Comprehensive Education 21,252,720
15. Educational Television Commission
(a) State-Record Facilities
(b) State-Record Facilities
(c) Equipment: Satellite
Receiving Terminals and
Westar Units 1,150,000
(d) Instruc. Television Fixed
Channel Groups E & F 4,000,000
Total, Educational Television
16. Wil Lou Gray Opportunity School
Total, Wil Lou Gray Opportunity
17. School for the Deaf & the Blind
(a) Robertson Hall Improvements 85,000
(b) Thackston Hall Improvements 275,000
(c) Spring Gym/Vocational Classroom
- Renovations 145,000
Total, School for the Deaf & the
18. Archives and History
Microfilm Vault 160,000
Total, Archives and History 160,000
19. State Library
Expansion/Renovation, A&E 403,900
Total, State Library 403,900
20. Department of Mental Health
(a) Berkeley County Mental Health
(b) Byrnes Medical Center
(c) Gibbes Building Renovation 900,000
Total, Department of Mental Health 4,680,000
21. Department of Mental Retardation
Two million, one hundred thousand dollars of capital improvement bonds for seven 8-bed community residences are authorized as departmental bonds under the authority and limitations of Act 1087 of 1970.
22. John de la Howe School
(a) Cottage Renovation: Part 2 500,000
(b) Old Dairy Renovation 700,000
Total, John de la Howe School 1,200,000
23. Department of Corrections
(a) 808-bed Medium Security
(b) Kirkland: 50-bed Maximum
Security Unit 1,800,000
(c) Appalachian Region:
384-bed Female Institution 12,000,000
(d) Lower Savannah: 96-bed
Addition (Work Release) 250,000
(e) Campbell: 96-bed Addition
(Work Release) 250,000
(f) Palmer: 96-bed Addition
(Work Release) 250,000
(g) Givens Youth: 192-bed
(h) Goodman: 96-bed Addition 250,000
(i) General Renovations 1,550,000
Total, Department of Corrections 45,550,000
After review by the Joint Bond Review Committee and approval by the Budget and Control Board, the department may use funds authorized under the provisions of this subitem to construct prison facilities that, in the opinion of the department, would be an alternative to the utilization of funds to house inmates as authorized in this subitem.
24. Department of Youth Services
(a) Social Services/Activity Bldg.
(New Campus) 545,662
(b) Ball Field with Fencing
(R&E Relocation) 45,739
(c) Activity Building (R&E
(d) Santee Dorm. Renovation 56,370
(e) School Building Renovation (R&E
(f) Laundry Renovation 45,096
(g) Infirmary Renovation 229,178
(h) Group Homes Relocation (3) 125,000
(i) Floor Repair 151,533
(j) Facility Roofing 521,484
(k) Utilities Repair 62,400
(l) Painting 150,000
(m) HVAC Repair/Replace 1,378,650
(n) Birchwood Fence 400,000
Total, Department of Youth Services 4,548,772
25. Department of Agriculture
Columbia Market Site Preparation 960,000
Total, Department of Agriculture 960,000
26. Clemson University (PSA)
(a) Animal Research Compliance
Facility, A&E and Site Work 700,000
(b) Fruit Research Station
(c) Swine Farrowing Facility 350,000
(d) Vegetable Research Support
(e) Newman Hall Renovation 800,000
(f) Edisto Center Lab, A&E 240,000
Total, Clemson University (PSA) 4,090,000
27. Wildlife and Marine Resources
(a) Charleston: Cooperative Research
Facility Renovation 177,000
(b) Hatchery Construction and
Total, Wildlife and Marine Resources
28. Coastal Council
Beach Restoration Fund 10,000,000
Total, Coastal Council 10,000,000
The funds authorized in this subitem for the Beach Restoration Fund are to be used only to finance not more than sixty percent of the cost of any local beach restoration project which is part of a beach restoration plan approved by the Coastal Council with the remaining forty percent of the costs of any project to be paid from matching funds provided by local project sponsors.
No funds authorized in this act for beach restoration may be used for any restoration project unless there is reasonable public access, as determined by the South Carolina Coastal Council, to that project.
29. Department of Parks,
Recreation and Tourism
(a) State Parks Utility, Roads, and
Parking Repairs 800,000
(b) General Park Improvements 1,780,000
(c) Cheraw State Park Development 6,400,000
(d) Santee Canal State Park:
Phase 2 1,500,000
(e) Utility Replacements 900,000
(f) Dreher Island State Park
Total, Department of Parks,
Recreation & Tourism 12,280,000
30. Aeronautics Commission
Airport Improvements 3,500,000
Total, Aeronautics Commission 3,500,000
31. Ports Authority
Charleston Harbor Deepening 40,338,700
Total, Ports Authority 40,338,700
It is the State's intention to make the funds authorized in this subitem available to the State Ports Authority over a period of not less than eight years as its share of this project which presently is estimated to cost $115,000,000 and to restrict the availability of these funds so that the Budget and Control Board (board) and the Joint Bond Review Committee (committee) may make available to the Ports Authority not more than $7,200,000 in 1988-89; plus an additional amount of not more than $6,000,000 in 1989-90, for a cumulative total of not more than $13,200,000 in 1988-89 and 1989-90; plus an additional amount of not more than $5,400,000 in 1990-91, for a cumulative total of not more than $18,600,000 in 1988-89, 1989-90, and 1990-91; plus an additional amount of not more than $5,400,000 in 1991-92, for a cumulative total of not more than $24,000,000 in 1988-89, 1989-90, 1990-91, and 1991-92; and the board and the committee, prior to June 30, 1992, may schedule the availability of the balance of the new funds authorized for the project in this subitem.
32. Greenville Performing Arts
Total, Greenville Performing
Arts Center 6,000,000
The funds authorized in this subitem for the Greenville Performing Arts Center must be matched
on a three-to-one value basis by contributions provided by the governing bodies of Greenville County and/or the City of Greenville, donations in-kind, and any other source of funds which may be obligated for the center.
33. South Carolina Aquarium 9,500,000
Total, South Carolina Aquarium 9,500,000
The funds authorized in this subitem for the South Carolina Aquarium must be matched on a three-to-one dollar basis by funds provided by the City of Charleston, county and federal sources, and other public and private sources. Matching funds shall include land values, donations-in-kind, funds expended for planning, feasibility, design, construction, and funds expended by the public or private sector for improvements to the site, its environs, or the infrastructure thereof, which enhance the public accessibility, use, or enjoyment of the aquarium,including, but not limited to, a tour boat facility, restaurant facility, or such other improvements to the area designed to benefit the public.
34. Horry County-Multipurpose Arena 5,000,000
Total, Horry County-Multipurpose
The funds authorized in this subitem for the Horry County-Multipurpose Arena must be matched on a three-to-one dollar basis and documentation must be provided to the State Treasurer certifying the match has been raised and is on deposit prior to the release of any capital improvement bond funds.
35. Florence County-Civic Center 5,000,000
Total, Florence County-Civic
The funds authorized in this subitem for the Florence County-Civic Center must be matched on a three-to-one value basis as provided by the governing body of Florence County and any governing body of any municipality in Florence County, donations in-kind, and any other source of funds which may be obligated for the center.
TOTAL, ALL AGENCIES $249,744,592."
SECTION 2. Sub-subitem 1 of subitem 10 (Medical University) of item (f) of Section 3 of Act 1377 of 1968, as added by Part I of Act 518 of 1980, is amended to read:
"1. Hospital - East Wing
SECTION 3. Sub-subitem 5 of subitem 23 (Clemson PSA) of item (f) of Section 3 of Act 1377 of 1968, as added by Part I of Act 538 of 1986, is deleted.
Aggregate principal indebtedness
SECTION 4. Section 4 of Act 1377 of 1968, as last amended by Act 538 of 1986, is further amended to read:
"Section 4. The aggregate principal indebtedness on account of bonds issued pursuant to this act may not exceed $1,445,782,506.29. The limitation imposed by the provisions of this section do not apply to bonds issued on behalf of the Mental Health Commission as provided in Acts 1276 and 1272 of 1970, or to bonds issued on behalf of the Commission on Mental Retardation as provided in Act 1087 of 1970. The limitation imposed by the provisions of this section is not considered to be an obligation of the contract made between the State and holders of bonds issued pursuant to this act, and the limitation imposed by the provisions of this section may be enlarged by acts amending it or reduced by the application of the Capital Reserve Fund or by amendments of this act. Within these limitations state capital improvement bonds may be issued under the conditions prescribed by this act."
Board staff to devise procedure
SECTION 5. The State Budget and Control Board (board) staff shall devise a special procedure, reviewed by the Joint Bond Review Committee (committee) and the board, under which staff of the board will monitor efforts undertaken for project authorizations in this act which are for architectural and engineering (A&E) work only. This procedure must provide opportunities for the committee and the board to gain a full understanding of the particular components of each project. These components will include, at a minimum, the operational expenses associated with each project, assuming completion, and the total amount of additional funding that would be necessary to complete the project as designed. The procedure must provide for not less than two reviews, by the committee and the board, on the design work on each project. The first review must occur after completion of the architectural program and immediately following the completion of the schematic drawings. The second review must occur following the completion of project plans and specifications. The results of these reviews will be summarized by board staff and forwarded to the committee and the board for consideration by them in connection with the formulation of any additional project funding recommendations.
Schedule of draws to be arranged
SECTION 6. The General Assembly directs the Joint Bond Review Committee and the State Budget and Control Board to arrange the schedule of draws of the capital improvement bond funds authorized in this act so that a reasonable amount of reserve is in the draw schedule for emergency projects and other purposes which may be authorized by the General Assembly in bond acts enacted during 1989 or 1990.
Findings; maximum amount of bonds issued
SECTION 7. (A) As an incident to the enactment of this section, the General Assembly makes the following findings:
(1) By Section 59-53-153 of the 1976 Code, the General Assembly has authorized the State
Board for Technical and Comprehensive Education to issue special obligation bonds payable from a special student fee authorized therein and to utilize the proceeds for the acquisition and construction of certain plant improvements.
(2) These bonds may only be issued following approval of the State Budget and Control Board.
(3) There must not be outstanding at any time bonds issued pursuant to Section 59-53-153 in excess of two million dollars.
(4) Additional facilities and improvements benefiting those in attendance at the technical education colleges and centers are needed and are properly payable from the special student fee.
(B) Section 59-53-153(2) of the 1976 Code is amended to read:
"(2) Notwithstanding any other provisions of this article, there must not be outstanding at any time bonds issued pursuant to this section for any college in excess of four million dollars."
Procedures to be devised
SECTION 8. The State Budget and Control Board and the Joint Bond Review Committee or their designees shall devise procedures for authorizations of leases or lease purchases, or both, and make recommendations to the General Assembly on the procedures by February 1, 1989.
Intent of General Assembly to enact legislation to enact bond bills in odd-numbered years
SECTION 9. It is the intent of the General Assembly to enact legislation in the 1989 session providing for consideration of capital improvement bond bills in odd-numbered years with the first such bill considered in 1991. Prior to enacting the legislation, the General Assembly shall insure that the legislation does not adversely impact on authorizations for project architecture and engineering expenses provided in this act.
Technical board and institutions eligible to receive state funds for capital facilities.
SECTION 10. Section 59-53-57 of the 1976 Code is amended by adding after the first paragraph:
"The board and institutions are eligible to receive state funds for capital facilities. Prior to the withdrawal of authorized funds from the State Treasurer, the State Board for Technical and Comprehensive Education shall obtain and transmit to the State Treasurer a certificate from the appropriate official at the technical institution stating that a minimum of twenty percent of each project cost has been provided by the local support area. The provisions of this paragraph do not apply to Denmark and Beaufort Technical Colleges."
Bonds reduced and deauthorized
SECTION 11. Sub-subitems b and f of subitem 15 (Department of Mental Retardation) of item (f) of Section 3 of Act 1377 of 1968, as added by Act 646 of 1978, is amended to read:
f. Coastal Center-Dormitory
for Deaf/Blind, Construction
and Equipment 74,339.92
SECTION 12. Subitem 15 (Department of Mental Retardation) of item (f) of Section 3 of Act 1377 of 1968, as added by Section 2 of Act 179 of 1981, is deleted.
Funds for capital improvement projects not on state-owned property, requirement for expenditure
SECTION 13. Article 1, Chapter 9, Title 11 of the 1976 Code is amended by adding:
"Section 11-9-130. Funds authorized by the General Assembly for capital improvement projects not located on state-owned property may be expended only if the projects are owned or operated by a governmental entity including, but not limited to, municipalities or counties or a combination of governmental entities or by a separate authority whose membership is controlled by a governmental entity."
SECTION 14. This act takes effect upon approval by the Governor.