South Carolina General Assembly
108th Session, 1989-1990
Journal of the House of Representatives

Wednesday, April 12, 1989
(Statewide Session)

Indicates Matter Stricken
Indicates New Matter

The house assembled at 10:00 A.M.

Deliberations were opened with prayer by the Chaplain of the House of Representatives, the Rev. Dr. Alton C. Clark as follows:

O Lord, Whom we recognize as humanity's unfailing Friend and as our ever-present Help, make bright our paths in our service here. Without Your light, we walk in darkness; lacking Your leadership, our progress fades into futility and oblivion. Shatter our delusions, shine through our blindness, shame our false ambition. Through our shared blood, sweat and tears make of us defenders of those principles that have made our Country great and that because of us Your truths go marching on.

Keep open our ears to hear clearly the words of Ecclesiastes: "Fear God and keep His commandments; for this is the whole duty of man" (Ecclesiastes 12:13) Amen.

Pursuant to Rule 6.3, the House of Representatives was led in the Pledge of Allegiance to the Flag of the United States of America by the SPEAKER.

After corrections to the Journal of the proceedings of yesterday, the SPEAKER ordered it confirmed.

POINT OF QUORUM

The question of a quorum was raised.

A quorum was later present.

RULES AND REGULATIONS WITHDRAWN

The following was received.

OFFICE OF THE SPEAKER OF
THE HOUSE OF REPRESENTATIVES

April 10, 1989
The Honorable Sandra K. McKinney
Clerk of the S.C.     (Doc. No. 1089

House of Representatives

Dear Mrs. McKinney:

The State of South Carolina Board of Education is hereby withdrawing regulation 43-272.2 (Document Number 1089), Student Fees which was referred to the Education and Public Works Committee.

Sincerely,
Robert J. Sheheen

Received as information.

RULES AND REGULATIONS
WITHDRAWN AND RESUBMITTED

The following was received.

OFFICE OF THE SPEAKER OF
THE HOUSE OF REPRESENTATIVES

April 7, 1989
The Honorable Sandra K. McKinney
Clerk of the S.C.     (Doc. No. 1004)

House of Representatives

Dear Mrs. McKinney:

The South Carolina Tax Commission is withdrawing and resubmitting regulations with changes pertaining to Property Tax. These regulations have been referred to the Ways and Means Committee.

Sincerely,
Robert J. Sheheen

Received as information.

REPORTS OF STANDING COMMITTEE

Rep. BEASLEY, from the Committee on Education and Public Works, submitted a favorable report, on:
H. 3574 -Rep. Beasley: A BILL TO AMEND SECTION 59-48-20, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE SPECIAL SCHOOL FOR SCIENCE AND MATHEMATICS FOR THE PURPOSE OF FOSTERING EDUCATIONAL DEVELOPMENT OF HIGH SCHOOL JUNIORS AND SENIORS IN THIS STATE WHO ARE ACADEMICALLY TALENTED, SO AS TO PROVIDE THAT DESIGNEES OF THE EX OFFICIO MEMBERS OF THE BOARD OF TRUSTEES OF THE SCHOOL MAY SERVE IN THEIR PLACE ON THE BOARD.

Ordered for consideration tomorrow.

Rep. BEASLEY, from the Committee on Education and Public Works, submitted a favorable report, on:

H. 3782 -- Rep. Keyserling: A JOINT RESOLUTION TO PROVIDE FOR THE OBSERVANCE OF THE QUINCENTENNIAL OF COLUMBUS' DISCOVERY OF THE NEW WORLD AND SUBSEQUENT EUROPEAN EXPLORATION AND SETTLEMENT OF SOUTH CAROLINA AND TO ESTABLISH THE COLUMBIAN QUINCENTENNIAL COMMISSION OF SOUTH CAROLINA.

Ordered for consideration tomorrow.

CONCURRENT RESOLUTION

The following was introduced:

H. 3853 -- Rep. Nettles: A CONCURRENT RESOLUTION TO COMMEND LAKE CITY PRIMARY SCHOOL OF FLORENCE COUNTY SCHOOL DISTRICT 3 FOR RECEIVING THE SOUTH CAROLINA ASSOCIATION OF ELEMENTARY AND MIDDLE SCHOOL PRINCIPALS' "PALMETTO'S FINEST" AWARD.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

CONCURRENT RESOLUTION

The following was introduced:

H. 3854 -- Rep. Harvin: A CONCURRENT RESOLUTION CONGRATULATING ST. MARY CATHOLIC CHURCH AND PARISH OF SUMMERTON IN CLARENDON COUNTY ON THE OCCASION OF ITS DIAMOND JUBILEE.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

CONCURRENT RESOLUTION

The following was introduced:

H. 3855 -- Rep. McKay: A CONCURRENT RESOLUTION TO COMMEND WALTER D. (RED) TYLER, JR., OF FLORENCE FOR HIS OUTSTANDING SERVICE AS PRESIDENT OF THE DARLINGTON INTERNATIONAL RACEWAY, UPON HIS RETIREMENT AS PRESIDENT.

The Concurrent Resolution was agreed to and ordered sent to the Senate.

CONCURRENT RESOLUTION

On motion of Rep. BLACKWELL, with unanimous consent, the following was taken up for immediate consideration:

S. 684 -- Senator Bryan: A CONCURRENT RESOLUTION TO DECLARE THE WEEK OF APRIL 23-29, 1989, AS THE "STUDENTS IN FREE ENTERPRISE, INCORPORATED WEEK" AND COMMEND THEM FOR THEIR FINE WORK AND DEDICATION.

Whereas, the primary purpose of "Students in Free Enterprise, Incorporated," (SIFE), a nonprofit corporation sponsored by individuals, foundations, and corporations, is to educate college students and their surrounding communities on current economic issues and the American Free Enterprise System; and

Whereas, SIFE is mainly a cadre of students on college and university campuses who serve voluntarily as intelligent and articulate exponents for the organization; and

Whereas, SIFE annually sponsors and conducts outreach educational projects at seminars on the nation's economy and free enterprise system; and

Whereas, the members of the General Assembly feel that the members and sponsors of SIFE certainly deserve recognition for their hard work, devotion, and noble purpose. Now, therefore,

Be it resolved by the Senate, the House of Representatives concurring:

That the members of the General Assembly, by this resolution, declare the week of April 23-29, 1989, as "Students in Free Enterprise, Incorporated Weeks, and commend them for their fine work and dedication.

The Concurrent Resolution was agreed to and ordered returned to the Senate with concurrence.

CONCURRENT RESOLUTION

The Senate sent to the House the following:

S. 639 -- Senators Mitchell, J. Verne Smith, Thomas and Stilwell: A CONCURRENT RESOLUTION TO RECOGNIZE AND COMMEND SHERIFF JOHNNY MACK BROWN AND THE GREENVILLE COUNTY SHERIFF'S OFFICE FOR THE OUTSTANDING ACHIEVEMENT IN EARNING NATIONAL ACCREDITATION FROM THE LAW ENFORCEMENT AGENCY, INC.

The Concurrent Resolution was agreed to and ordered returned to the Senate with concurrence.

CONCURRENT RESOLUTION

The Senate sent to the House the following:

S. 658 -- Senator Setzler: A CONCURRENT RESOLUTION TO RECOGNIZE AND COMMEND THE TEACHERS OF SOUTH CAROLINA FOR THEIR CONTRIBUTIONS TO THE DEVELOPMENT OF THIS STATE AND THEIR INFLUENCE ON THE LIVES OF THEIR STUDENTS ON THE OCCASION OF NATIONAL TEACHERS' DAY, MAY 9, 1989.

The Concurrent Resolution was agreed to and ordered returned to the Senate with concurrence.

INTRODUCTION OF BILLS

The following Bills were introduced, read the first time, and referred to appropriate committees:

H. 3856 -- Rep. R. Brown: A BILL TO AMEND SECTION 58-5-1030, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CIVIL PENALTIES FOR VIOLATIONS BY GAS UTILITY COMPANIES, SO AS TO INCREASE THEM.

Referred to Committee on Labor, Commerce and Industry.

H. 3857 -- Reps. Moss and Felder: A BILL TO AMEND SECTION 44-7-170, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO WHEN CERTIFICATE OF NEED PROVISIONS DO NOT APPLY UNDER THE STATE CERTIFICATION OF NEED AND HEALTH FACILITY LICENSURE ACT, SO AS TO PROVIDE THAT CERTIFICATE OF NEED PROVISIONS DO APPLY TO LITHOTRIPSY SERVICES AND CERTAIN RELATED THERAPEUTIC DEVICES.

Referred to Committee on Medical, Military, Public and Municipal Affairs.

H. 3858 -- Reps. Hearn, Baxley and Wilder: A BILL TO AMEND SECTION 59-30-40, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE INCLUSION OF HANDICAPPED STUDENTS IN THE BASIC SKILLS ASSESSMENT PROGRAM UNDER CERTAIN CONDITIONS, SO AS TO PROVIDE THAT HANDICAPPED STUDENTS MUST NOT BE INCLUDED IN THIS ASSESSMENT PROGRAM.

Referred to Committee on Education and Public Works.

H. 3859 -- Rep. Baxley: A BILL TO AUTHORIZE THE SECRETARY OF STATE TO RESTORE THE CHARTER OF PANTS PAVILION, INC., IN RICHLAND COUNTY.

On motion of Rep. BAXLEY, with unanimous consent, the Bill was ordered placed on the Calendar without reference.

H. 3860 -- Reps. Manly, Wilkins, Blackwell, Jaskwhich, Mattos, M.O. Alexander, Clyborne, Baker, Fant, Fair and Vaughn: A BILL TO AMEND SECTION 7-11-50, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO SUBSTITUTION OF CANDIDATES WHEN A PARTY NOMINEE DIES, BECOMES DISQUALIFIED, OR RESIGNS FOR LEGITIMATE NONPOLITICAL REASONS, SO AS TO PROVIDE THAT THIS SECTION DOES NOT APPLY WHEN THE NOMINEE WAS NOMINATED BY PARTY PRIMARY ELECTION, AND TO AMEND THE 1976 CODE BY ADDING SECTION 7-11-55, SO AS TO REQUIRE A SPECIAL PRIMARY ELECTION TO FILL A VACANCY IN CASES WHERE A PARTY NOMINEE WHO WAS NOMINATED BY A PARTY PRIMARY ELECTION DIES, BECOMES DISQUALIFIED, OR RESIGNS FOR LEGITIMATE NONPOLITICAL REASONS, TO PROVIDE THAT IF THE RESULTS OF THE SPECIAL PRIMARY ELECTION ARE NOT CERTIFIED BEFORE THE GENERAL ELECTION, THAT OFFICE MUST NOT BE FILLED AT THE GENERAL ELECTION BUT MUST BE FILLED AT A SPECIAL ELECTION THEREAFTER, AND TO ALLOW OTHER POLITICAL PARTIES WHERE THE NOMINEE WAS UNOPPOSED TO NOMINATE A CANDIDATE FOR THE OFFICE INVOLVED IN A SPECIAL PRIMARY ELECTION IN THE MANNER PROVIDED IN THIS SECTION.

Referred to Committee on Judiciary.

H. 3861 -- Rep. Nesbitt: A BILL TO AMEND SECTION 59-29-120, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO, AMONG OTHER THINGS, THE REQUISITE STUDY OF AND EXAMINATION CONCERNING THE UNITED STATES CONSTITUTION FOR PURPOSES OF GRADUATION FROM HIGH SCHOOL AND COLLEGE, SO AS TO INCLUDE THE DECLARATION OF INDEPENDENCE AND THE FEDERALIST PAPERS.

Referred to Committee on Education and Public Works.

H. 3862 -- Reps. Corning, G. Brown, Farr, J. Brown, Cole and Glover: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 9 TO TITLE 20 SO AS TO PROVIDE FOR THE CHILDREN'S SERVICES ACT OF 1990 WHICH CREATES THE DEPARTMENT OF CHILDREN'S SERVICES TO PROVIDE AN INTEGRATED AGENCY FOR THE PROVISION OF CHILDREN'S SERVICES.

Referred to Committee on Medical, Military, Public and Municipal Affairs.

H. 3863 -- Rep. Corning: A BILL TO AMEND TITLE 61, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ALCOHOL AND ALCOHOLIC BEVERAGES, BY ADDING CHAPTER 10 SO AS TO PROVIDE FOR THE ESTABLISHMENT, OPERATION, AND LICENSING OF BREWPUBS, THE PROMULGATION OF REGULATIONS, INCLUDING FEES, AND PENALTIES.

Referred to Committee on Labor, Commerce and Industry.

H. 3864 -- Reps. Corning, Simpson, Phillips and Rama: A BILL TO AMEND SECTION 12-7-435, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEDUCTIONS FROM SOUTH CAROLINA TAXABLE INCOME, SO AS TO INCREASE THE MAXIMUM AMOUNT WHICH MAY BE DEDUCTED ANNUALLY BY FEDERAL CIVIL SERVICE RETIREES OR THEIR SURVIVING SPOUSES FROM THREE THOUSAND DOLLARS TO ALL THE ANNUITY AND BY UNIFORMED SERVICES RETIREES AND OTHER RETIREES OR THEIR SURVIVING SPOUSES FROM THREE THOUSAND DOLLARS TO SIX THOUSAND DOLLARS.

Referred to Committee on Ways and Means.

H. 3865 -- Reps. Corning, Mattos, Taylor and Kay: A BILL TO AMEND SECTION 48-19-40, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE SOUTH CAROLINA MINING ACT AND REQUIRED OPERATING PERMITS FOR MINING, SO AS TO PROVIDE THAT NO PERMIT MAY BE ISSUED EXCEPT IN ACCORDANCE WITH THE PROCEDURES SET FORTH IN SECTIONS 48-19-50 AND 48-19-55, NOR MODIFIED AND RENEWED EXCEPT IN ACCORDANCE WITH THE PROCEDURES SET FORTH IN SECTIONS 48-19-60 AND 48-19-65, PROVIDE THAT AN OPERATING PERMIT MUST BE GRANTED FOR A PERIOD NOT EXCEEDING FOUR RATHER THAN TEN YEARS, AND PROVIDE THAT AN OPERATING PERMIT MAY BE RENEWED FROM TIME TO TIME PURSUANT TO PROCEDURES SET FORTH IN SECTIONS 48-19-60 AND 48-19-65; TO AMEND SECTION 48-19-50, RELATING TO APPLICATION FOR AND ISSUANCE OR DENIAL OF A PERMIT UNDER THE SOUTH CAROLINA MINING ACT, SO AS TO PROVIDE THAT THE APPLICATION MUST BE ACCOMPANIED BY AN ENVIRONMENTAL IMPACT STATEMENT MEETING THE REQUIREMENTS OF SECTION 48-19-55, PROVIDE THAT NO PERMIT MAY BE ISSUED UNTIL THE ENVIRONMENTAL IMPACT STATEMENT HAS BEEN APPROVED BOTH BY THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL, IN ACCORDANCE WITH SECTION 48-19-55, AND THE LAND RESOURCES CONSERVATION COMMISSION, PROVIDE THAT THE LAND RESOURCES CONSERVATION COMMISSION SHALL DENY THE PERMIT UPON FINDING THAT, AMONG OTHER THINGS, THE OPERATION WILL CONSTITUTE A SUBSTANTIAL PHYSICAL HAZARD TO A NEIGHBORING DWELLING HOUSE, SCHOOL, CHURCH, HOSPITAL, COMMERCIAL OR INDUSTRIAL BUILDING, PUBLIC OR PRIVATE ROAD, OR OTHER PUBLIC OR PRIVATE PROPERTY, PROVIDE THAT ANY PERMIT ISSUED IS EXPRESSLY CONDITIONED UPON COMPLIANCE WITH ALL REQUIREMENTS OF THE APPROVED RECLAMATION PLAN FOR THE OPERATION, THE ENVIRONMENTAL IMPACT STATEMENT, AND WITH OTHER REQUIREMENTS AND SAFEGUARDS, AND PROVIDE THAT ANY OPERATOR WISHING ANY MODIFICATION OF THE TERMS AND CONDITIONS OF HIS PERMIT OR OF THE APPROVED RECLAMATION PLAN SHALL SUBMIT A REQUEST FOR MODIFICATION IN ACCORDANCE WITH SECTIONS 48-19-60 AND 48-19-65; TO AMEND SECTION 48-19-60, RELATING TO MODIFICATION AND RENEWAL OF PERMITS UNDER THE SOUTH CAROLINA MINING ACT, SO AS TO PROVIDE THAT IT IS NOT NECESSARY TO RESUBMIT INFORMATION WHICH HAS NOT CHANGED SINCE THE TIME OF A PRIOR APPLICATION, EXCEPT AS PROVIDED IN SECTION 48-19-65, PROVIDE THAT A BASIS FOR DENYING A RENEWAL PERMIT IS A FAILURE TO SUBMIT AND OBTAIN APPROVAL FOR A NEW ENVIRONMENTAL IMPACT STATEMENT IN ACCORDANCE WITH SECTION 48-19-65, PROVIDE THAT A PERMIT MAY BE MODIFIED TO INCLUDE LAND NEIGHBORING THE AFFECTED LAND AND OTHER LANDS, AND PROVIDE THAT IN LIEU OF A MODIFICATION OR A RENEWAL, AN OPERATOR MAY APPLY FOR A NEW PERMIT IN THE MANNER PRESCRIBED BY SECTIONS 48-19-40, 48-19-50, AND 48-19-55; AND TO AMEND CHAPTER 19 OF TITLE 48, RELATING TO THE SOUTH CAROLINA MINING ACT, BY ADDING SECTIONS 48-19-55 AND 48-19-65 SO AS TO PROVIDE FOR AN ENVIRONMENTAL IMPACT STATEMENT IN SITUATIONS OF APPLICATION FOR AN INITIAL PERMIT OR FOR MODIFICATION OR RENEWAL OF PERMITS, RESPECTIVELY, AND SECTION 48-19-67 SO AS TO PROVIDE FOR AN APPEAL FROM A DECISION OF THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL TO APPROVE OR DISAPPROVE AN ENVIRONMENTAL IMPACT STATEMENT UNDER SECTION 48-19-55 OR SECTION 48-19-65.

Referred to Committee on Agriculture and Natural Resources.

H. 3866 -- Rep. R. Brown: A BILL TO AMEND SECTION 15-41-30, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PROPERTY EXEMPT FROM ATTACHMENT, LEVY, AND SALE, SO AS TO DEFINE ITEMS OF HOUSEHOLD GOODS WHICH ARE EXEMPT.

Referred to Committee on Judiciary.

H. 3867 -- Reps. Hodges, Boan, Fair and Haskins: A BILL TO MAKE IT UNLAWFUL FOR A PERSON TO KEEP ON HIS PREMISES OR OPERATE OR PERMIT TO BE KEPT ON HIS PREMISES OR OPERATED ANY MACHINE, ELECTRONIC OR OTHERWISE, FOR THE PLANNING OF GAMES OR AMUSEMENTS IN WHICH THE PLAYER UTILIZES A DECK OF CARDS OR PLAYS A GAME OF CARDS IN ANY MANNER WHATEVER; TO PROVIDE A PENALTY; AND TO PROVIDE FOR THE SEIZURE, EXAMINATION, AND DESTRUCTION OF THE MACHINE.

Referred to Committee on Judiciary.

H. 3868 -- Rep. Gregory: A BILL TO AMEND TITLE 2, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 16 SO AS TO PROVIDE FOR THE REGULATION OF LOBBYISTS AND LOBBYING, TO PROHIBIT THE EXPENDITURE OF PUBLIC FUNDS FOR LOBBYING PURPOSES, AND TO PROVIDE PENALTIES FOR VIOLATIONS; AND TO REPEAL CHAPTER 17 OF TITLE 2 RELATING TO LOBBYISTS AND LOBBYING.

Referred to Committee on Judiciary.

S. 265 -- Senators Nell W. Smith, Moore and Hayes: A BILL TO AMEND SECTION 20-7-420, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE JURISDICTION OF THE FAMILY COURT IN DOMESTIC MATTERS, SO AS TO PROVIDE FOR THE JURISDICTION TO ORDER A PARTY TO PARTICIPATE IN VISITATION AND CUSTODY MEDIATION.

Referred to Committee on Judiciary.

ROLL CALL

The roll call of the House of Representatives was taken resulting as follows.

Alexander, M.O.        Alexander, T.C.        Altman
Bailey, G.             Bailey, J.             Bailey, K.
Barber                 Barfield               Baxley
Beasley                Bennett                Blackwell
Blanding               Boan                   Brown, G.
Brown, H.              Brown, J.              Brown, R..
Bruce                  Burch                  Burriss, M.D.
Carnell                Chamblee               Clyborne
Cole                   Cooper                 Corbett
Cork                   Derrick                Elliott
Faber                  Fair                   Fant
Farr                   Felder                 Ferguson
Glover                 Gordon                 Gregory
Hallman                Harris, P.             Harvin
Harwell                Haskins                Hayes
Hearn                  Hendricks              Hodges
Holt                   Huff                   Jaskwhich
Johnson, J.W.          Kay                    Keegan
Keesley                Keyserling             Kirsh
Klapman                Kohn                   Lanford
Limehouse              Littlejohn             Manly
Mappus                 Martin, D.             Martin, L.
Mattos                 McAbee                 McBride
McCain                 McEachin               McGinnis
McKay                  McLellan               McLeod
McTeer                 Moss                   Nesbitt
Nettles                Phillips               Quinn
Rama                   Rhoad                  Rogers, J.
Rogers, T.             Rudnick                Sharpe
Sheheen                Short                  Simpson
Smith                  Snow                   Stoddard
Taylor                 Townsend               Tucker
Vaughn                 Waites                 Washington
Wells                  Whipper                White
Wilder                 Wilkes                 Wilkins
Williams, D.           Williams, J.           Winstead
Wofford                Wright

STATEMENT OF ATTENDANCE

I came in after the roll call and was present for the
Session on April 12, 1989.

Dave Waldrop         Dell Baker

Denny Neilson         Jean Harris

Samuel Foster         Ralph Davenport

C. Lenoir Sturkie         T.M. Burriss

Joseph McElveen         James Lockemy

Larry Gentry         J.C. Johnson

Roland S. Corning

Total Present--123

STATEMENT OF ATTENDANCE

Rep. HARVIN signed a statement with the Clerk that he came in after the roll call of the House and was present for the Session on Thursday, March 30, 1989.

DOCTOR OF THE DAY

Announcement was made that Dr. Ken Smith of Anderson is the Doctor of the Day for the General Assembly.

H. 3832-DEBATE ADJOURNED

Rep. McTEER moved to adjourn debate upon the following Bill until Thursday, April 13, which was adopted.

H. 3832 -- Rep. McTeer: A BILL TO PROVIDE FOR THE COMPOSITION AND ELECTION OF HAMPTON COUNTY SCHOOL DISTRICTS 1 AND 2 TRUSTEES AND A METHOD FOR FILLING VACANCIES, AND TO REPEAL ACTS 547 AND 549 OF 1982.

ORDERED TO THIRD READING

The following Bills and Joint Resolutions were taken up, read the second time, and ordered to a third reading:

H. 3705 -- Rep. Farr: A BILL TO PROVIDE FOR NINE MEMBERS OF THE UNION COUNTY BOARD OF SCHOOL TRUSTEES, PROVIDE FOR ELECTION OF MEMBERS IN NONPARTISAN ELECTIONS IN THE GENERAL ELECTION, PROVIDE FOR DEFINED SINGLE-MEMBER ELECTION DISTRICTS WITH ONE TRUSTEE EACH, PROVIDE FOR THE TERMS OF THE MEMBERS, PROVIDE FOR THE FILLING OF VACANCIES ON THE BOARD, PROVIDE FOR THE EXPIRATION OF THE TERMS OF CURRENT MEMBERS, AND PROVIDE THAT IF A MEMBER OF THE BOARD MOVES HIS RESIDENCE FROM THE SINGLE-MEMBER ELECTION DISTRICT FROM WHICH HE WAS ELECTED, HIS OFFICE BECOMES VACANT AUTOMATICALLY; AND TO REPEAL ACTS 615 AND 616 OF 1984, RELATING TO THE UNION COUNTY BOARD OF SCHOOL TRUSTEES AND NONPARTISAN ELECTIONS, TERMS OF OFFICE OF THE MEMBERS SO ELECTED, THE MANNER IN WHICH THE NONPARTISAN ELECTIONS MUST BE CONDUCTED, AND THE MANNER IN WHICH VACANCIES MUST BE FILLED.

H. 3612 -- Rep. M.D. Burriss: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 6-1-35 SO AS TO AUTHORIZE COUNTIES AND MUNICIPALITIES TO PRESERVE AND PROTECT ABANDONED CEMETERIES.

H. 3845 -- Medical, Military, Public and Municipal Affairs Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE BOARD OF PHYSICAL THERAPY EXAMINERS, RELATING TO THE PRACTICE OF PHYSICAL THERAPY, DESIGNATED AS REGULATION DOCUMENT NUMBER 1080, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

H. 3846 -- Medical, Military, Public and Municipal Affairs Committee: A JOINT RESOLUTION TO APPROVE REGULATIONS OF THE COMMISSION FOR THE BLIND, RELATING TO THE RANDOLPH-SHEPPARD VENDING FACILITY PROGRAM, DESIGNATED AS REGULATION DOCUMENT NUMBER 1081, PURSUANT TO THE PROVISIONS OF ARTICLE 1, CHAPTER 23, TITLE 1 OF THE 1976 CODE.

H. 3217-DEBATE ADJOURNED

Rep. ALTMAN moved to adjourn debate upon the following Bill until Thursday, April 27, which was adopted.

H. 3217 -- Reps. Boan, McLellan and Taylor: A BILL TO AMEND SECTION 56-10-240, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE REQUIREMENTS ON INSURERS AND MOTOR VEHICLE OPERATORS WHEN A MOTOR VEHICLE IS NOT INSURED AS REQUIRED BY LAW, SO AS TO PROVIDE FOR THE DEPARTMENT OF HIGHWAYS AND PUBLIC TRANSPORTATION TO GIVE NOTICE OF THE CANCELLATION OR SUSPENSION OF A VEHICLES' REGISTRATION TO THE OWNER BY FIRST CLASS MAIL INSTEAD OF CERTIFIED MAIL.

H. 3224-POINT OF ORDER

The following Bill was taken up.

H. 3224 -- Reps. J. Brown, Washington, Felder, J. Bailey, White, D. Martin, Harvin, Glover, K. Baxley, Taylor, McBride, Davenport, Altman, Mattos, Gordon, Fant and G. Bailey: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 31-17-45 SO AS TO REQUIRE A RETAIL DEALER IN MOBILE HOMES TO CERTIFY THAT THE PURCHASER'S LOT MEETS APPLICABLE ZONING REQUIREMENTS AND APPLICABLE SOUTH CAROLINA DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL REGULATION FOR WELLS AND SEPTIC TANKS AND TO PROVIDE THAT A CONTRACT OF SALE NOT CONTAINING THE CERTIFICATE IS VOIDABLE BY THE PURCHASER.

The Medical, Military, Public and Municipal Affairs Committee proposed the following Amendment No. 1 (Doc. No. 3208U).

Amend the bill, as and if amended, by striking section 31-17-45, as contained in SECTION 1, and inserting:

/Section 31-17-45. A contract of sale for a mobile home between a retail dealer and a purchaser who intends to place the mobile home on a lot in this state is voidable by the purchaser without penalty unless there is attached to and incorporated into the contract certificates from the State Department of Health and Environmental Control, and any applicable local zoning authority, that the lot specified by the purchaser as the site on which the mobile home is to be located:

(1) meets applicable zoning requirements;

(2) meets or can be made to meet regulations of the South Carolina Department of Health and Environmental Control governing wells and septic tanks, if the lot is served or is to be served by a well or septic tank, or both./

Amend title to conform.

Rep. J. BROWN explained the amendment.

POINT OF ORDER

Rep. LIMEHOUSE made the Point of Order that the Bill was improperly before the House for consideration since printed copies of the Bill have not been upon the desks of the members for one day.

The SPEAKER sustained the Point of Order.

H. 3636--POINT OF ORDER

The following Bill was taken up.

H. 3636 -- Rep. Lockemy: A BILL TO AMEND SECTION 44-6-170, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE SOUTH CAROLINA MEDICALLY INDIGENT ASSISTANCE ACT AND, AMONG OTHER THINGS, TO CONFIDENTIAL INFORMATION, SO AS TO PROVIDE FOR THE RELEASE OF UNIFORM BILLING SYSTEM DATA AND OTHER NECESSARY DATA WITH PATIENT AND HOSPITAL IDENTIFICATION TO THE DEPARTMENT OF HEALTH AND ENVIRONMENTAL CONTROL TO CONDUCT DISEASE AND INJURY SURVEILLANCE STUDIES, RESTRICT THE RELEASE OF THE INFORMATION PROVIDED TO THE DEPARTMENT, AND ALLOW THE DEPARTMENT TO PUBLISH THE RESULTS OF ITS SURVEILLANCE STUDIES; AND TO AMEND SECTION 44-6-180, RELATING TO THE MEDICALLY INDIGENT ASSISTANCE ACT AND THE CONFIDENTIALITY OF PATIENT RECORDS, SO AS TO PROVIDE THAT NOTHING IN THIS SECTION MAY BE CONSTRUED AS LIMITING ACCESS TO INFORMATION NEEDED BY THE DEPARTMENT TO CONDUCT DISEASE AND INJURY SURVEILLANCE STUDIES.

POINT OF ORDER

Rep. WALDROP made the Point of Order that the Bill was improperly before the House for consideration since printed copies of the Bill have not been upon the desks of the members for one day.

The SPEAKER sustained the Point of Order.

H. 3527-DEBATE ADJOURNED

Rep. J. ROGERS moved to adjourn debate upon the following Bill until Monday, May 1, which was adopted.

H. 3527 -- Rep. Locke my: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTIONS 5-31-60 AND 6-1-60 SO AS TO PROHIBIT AN ENTITY SUPPLYING WATER TO SUBSCRIBERS FROM BILLING THE OWNER OF THE PROPERTY FOR WATER SUPPLIED TO LESSEES OF THE PROPERTY WHO HAVE SUBSCRIBED FOR WATER AND WHO HAVE NOT PAID FOR THE WATER SUPPLIED.

H. 3240-POINT OF ORDER

The following Bill was taken up.

H. 3240 -- Rep. Lime house: A BILL TO REPEAL SECTIONS 17-7-50 AND 17-7-60, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE PROHIBITION OF A CORONER OR MAGISTRATE FROM HOLDING AN INQUEST OVER A DEAD BODY EXCEPT UPON THE WRITTEN REQUEST OF TWO REPUTABLE CITIZENS RESIDING IN THE NEIGHBORHOOD WHERE THE DEAD BODY IS FOUND, AND TO THE PROVISIONS WHICH MAKE SECTION 17-7-50 NOT APPLICABLE TO COUNTIES IN WHICH CORONERS ARE PAID SALARIES, WITH CERTAIN EXCEPTIONS.

POINT OF ORDER

Rep. KLAPMAN made the Point of Order that the Bill was improperly before the House for consideration since printed copies of the Bill have not been upon the desks of the members for one day.

The SPEAKER sustained the Point of Order.

S.237-POINT OF ORDER

The following Bill was taken up.

S. 237 -- Senators Lee, Horace C. Smith, Leventis, Thomas, Giese, Setzler, Wilson, Courson, Peeler, Shealy, Stilwell, Pope, Hayes, Saleeby, Patterson, Bryan, Land, Matthews, Drummond, McConnell, Leatherman, Lourie, McLeod and Fielding: A BILL TO AMEND SECTION 23-11-40, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO VACANCIES IN THE OFFICE OF SHERIFF, SO AS TO PROVIDE THAT THE CHIEF DEPUTY OR SECOND-IN-COMMAND OF THE SHERIFF'S OFFICE SHALL ACT AS SHERIFF, AND IS SUBJECT TO THE DUTIES AND LIABILITIES INCIDENT TO THE OFFICE OF SHERIFF, UNTIL THE VACANCY IS FILLED AND TO REPEAL SECTIONS 23-11-50, 23-11-60, 23-11-70, 23-11-80, 23-11-90, AND 23-11-100 RELATING TO THE RESPONSIBILITIES OF THE COUNTY CORONER AND CLERK WHEN THERE IS A VACANCY IN THE OFFICE OF SHERIFF.

POINT OF ORDER

Rep. KLAPMAN made the Point of Order that the Bill was improperly before the House for consideration since printed copies of the Bill have not been upon the desks of the members for one day.

The SPEAKER sustained the Point of Order.

H.3847-POINT OF ORDER

The following Bill was taken up.

H. 3847 -- Medical, Military, Public and Municipal Affairs Committee: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 11 TO TITLE 37 SO AS TO PROVIDE FOR THE LICENSING AND REGULATION OF CONTINUING CARE RETIREMENT COMMUNITIES BY SETTING FORTH RELATED DEFINITIONS, LICENSING AND REGULATING REQUIREMENTS, FINANCIAL DUTIES, DISCLOSURE REQUIREMENTS, THE ESTABLISHMENT OF A COMPLAINT SYSTEM, BILLING REQUIREMENTS, EXAMINATION OF THE COMMUNITIES, EXEMPTIONS, ESTABLISHMENT OF AN ESCROW ACCOUNT, SANCTIONS FOR NONCOMPLIANCE, THE APPEAL PROCESS, PENALTIES FOR VIOLATIONS, A WAIVER OF REQUIREMENTS, AND EFFECTIVE DATE OF CHAPTER REQUIREMENTS FOR CERTAIN COMMUNITIES.

POINT OF ORDER

Rep. BLACKWELL made the Point of Order that the Bill was improperly before the House for consideration since printed copies of the Bill have not been upon the desks of the members for one day.

The SPEAKER sustained the Point of Order.

H. 3848--REFERRED TO COMMITTEE ON JUDICIARY

The following Bill was taken up.

H. 3848 -- Education and Public Works Committee: A BILL TO AMEND SECTIONS 56-1-40 AND 56-1-180, RELATING TO ISSUANCE OF DRIVERS' LICENSES AND SPECIAL RESTRICTED LICENSES, SO AS TO INCREASE THE AGE WHEN A PERSON MAY OBTAIN A LICENSE FROM SIXTEEN TO SIXTEEN YEARS AND SIX MONTHS OR OBTAIN A SPECIAL RESTRICTED LICENSE FROM FIFTEEN YEARS TO FIFTEEN YEARS AND SIX MONTHS AND TO REQUIRE A REPORT ON THE EFFECT OF THE AGE INCREASE; TO AMEND SECTION 56-6-1520, AS AMENDED, RELATING TO SPEED LIMITS, SO AS TO INCREASE THE PENALTIES FOR EXCEEDING THE LIMITS AND TO PROVIDE THAT THE PENALTY FOES EXCEEDING THE POSTED LIMIT BY THIRTY MILES AN HOUR OR MORE INCLUDES A DRIVER'S LICENSE SUSPENSION FOR THIRTY DAYS, AND TO PROVIDE THAT A PORTION OF FINES FOR SPEEDING PAID TO THE DEPARTMENT OF HIGHWAYS AND PUBLIC TRANSPORTATION MUST BE USED FOR MORE EXTENSIVE PATROL OF SECONDARY ROADS AND FOR ADDITIONAL HIGHWAY SAFETY PROGRAMS; TO AMEND SECTION 56-1-720, AS AMENDED, RELATING TO THE POINT SYSTEM FOR VIOLATIONS OF MOVING VIOLATIONS, SO AS TO PROVIDE A SIX-POINT ASSESSMENT FOR DRIVING THROUGH, AROUND, OR UNDER A CLOSED RAILROAD CROSSING GATE OR BARRIER; TO AMEND SECTION 56-7-10, AS AMENDED, RELATING TO UNIFORM TRAFFIC TICKETS, SO AS TO PROVIDE THAT THE DEPARTMENT OF HIGHWAYS AND PUBLIC TRANSPORTATION SHALL, PROMULGATE PROCEDURES RELATIVE TO THEM; TO AMEND SECTION 56-5-6190, RELATING TO THE GENERAL PENALTY FOR VIOLATIONS OF TRAFFIC REGULATIONS, SO AS TO INCREASE THE FINE PENALTY FROM NOT MORE THAN ONE HUNDRED DOLLARS TO NOT MORE THAN TWO HUNDRED DOLLARS; TO AMEND SECTION 56-1-1020, RELATING TO HABITUAL OFFENDERS, SO AS TO PROVIDE AS A GROUND FOR DECLARING A PERSON A HABITUAL OFFENDER, DRIVING UNDER SUSPENSION FOR FAILURE TO FILE PROOF OF FINANCIAL RESPONSIBILITY; TO AMEND SECTION 56-10-270, AS AMENDED, RELATING TO THE UNLAWFUL OPERATION OF AN UNINSURED MOTOR VEHICLE, SO AS TO INCREASE THE PENALTIES FOR VIOLATIONS AND TO PROVIDE THAT ONLY CONVICTIONS WHICH OCCURRED WITHIN TEN YEARS IMMEDIATELY PRECEDING THE DATE OF THE LAST VIOLATION CONSTITUTE PRIOR CONVICTIONS; TO AMEND SECTIONS 56-9-340, 56-10-240, AND 56-10-260, ALL AS AMENDED, RELATING TO RETURN OF LICENSE PLATES AND REGISTRATIONS FOR NONCOMPLIANCE WITH THE FINANCIAL RESPONSIBILITY ACT AND MAKING FALSE CERTIFICATION IN REGARD TO INSURANCE, SO AS TO INCREASE THE PENALTY FOR FAILURE TO RETURN THEM AND FOR FALSE CERTIFICATION, TO PROVIDE THAT ONLY CONVICTIONS WHICH OCCURRED WITHIN TEN YEARS IMMEDIATELY PRECEDING THE DATE OF THE LAST VIOLATION CONSTITUTE PRIOR CONVICTIONS, TO PROVIDE THAT THE INSURER GIVE NOTICE OF CANCELLATION OR EXPIRATION OF LIABILITY INSURANCE COVERAGE IN ANOTHER MANNER ACCEPTABLE TO THE DEPARTMENT IN ADDITION TO CERTIFIED MAIL, AND PROVIDE THAT THE DEPARTMENT MUST GIVE NOTICE OF CANCELLATION OR SUSPENSION OF REGISTRATION PRIVILEGES TO THE VEHICLE OWNER BY FIRST CLASS INSTEAD OF CERTIFIED MAIL; TO AMEND SECTION 56-10-250, RELATING TO SELLING TO A FAMILY MEMBER A MOTOR VEHICLE WHOSE REGISTRATION AND LICENSE PLATES HAVE BEEN SUSPENDED, SO AS TO INCREASE PENALTIES FOR VIOLATIONS AND TO PROVIDE THAT ONLY CONVICTIONS WHICH OCCURRED WITHIN TEN YEARS IMMEDIATELY PRECEDING THE DATE OF THE LAST VIOLATION CONSTITUTE PRIOR CONVICTIONS; TO AMEND SECTION 56-1-350, RELATING TO RETURN TO THE DEPARTMENT OF HIGHWAYS AND PUBLIC TRANSPORTATION OF SUSPENDED, CANCELED, OR REVOKED DRIVERS' LICENSES, SO AS TO INCREASE THE PENALTIES FOR VIOLATIONS; TO AMEND SECTIONS 56-1-450 AND 56-1-460, AS AMENDED, RELATING TO UNLAWFUL OPERATION AFTER CONVICTION FOR WHICH SUSPENSION OR REVOCATION OF LICENSE IS MANDATORY, SO AS TO INCREASE PENALTIES FOR PERSONS CAUGHT DRIVING WHO NEVER HAD A LICENSE AND WHO HAVE BEEN CONVICTED PREVIOUSLY OF A VIOLATION FOR WHICH SUSPENSION OR REVOCATION OF A DRIVER'S LICENSE WOULD HAVE BEEN MANDATORY IF HE HAD BEEN LICENSED TO DRIVE; TO AMEND SECTION 56-1-1100, AS AMENDED, RELATING TO HABITUAL OFFENDERS, SO AS TO PROVIDE THAT A DRIVER'S LICENSE MAY NOT BE ISSUED OR REINSTATED TO A HABITUAL OFFENDER UNTIL FIVE YEARS AFTER THE EXPIRATION OF THE SUSPENSION TERM; TO AMEND SECTION 56-5-2775, RELATING TO SCHOOL BUSES, SO AS TO INCREASE THE PENALTIES FOR FAILURE TO STOP FOR THEM AND TO PROVIDE FOR A COURT TO ORDER PUBLIC SERVICE EMPLOYMENT; TO AMEND SECTION 56-5-2715, RELATING TO HIGHWAY GRADE CROSSINGS AND RAILROAD SIGNS, SO AS TO PROVIDE PENALTIES FOR FAILURE TO STOP AT THEM; TO AMEND SECTION 56-5-2920, RELATING TO RECKLESS DRIVING, SO AS TO INCREASE PENALTIES FOR RECKLESS DRIVING AND ESTABLISH SEPARATE PUNISHMENT WITH INCREASED PENALTIES INCLUDING A THIRTY-DAY DRIVER'S LICENSE SUSPENSION FOR CONVICTION OF FIRST OFFENSE RECKLESS DRIVING WHICH RESULTS IN PERSONAL INJURY TO ANOTHER PERSON AND TO PROVIDE THAT ONLY CONVICTIONS WHICH OCCURRED WITHIN TEN YEARS IMMEDIATELY PRECEDING THE DATE OF THE LAST VIOLATION CONSTITUTE PRIOR CONVICTIONS; TO AMEND SECTION 56-5-2910, RELATING TO RECKLESS HOMICIDE, SO AS TO PROVIDE FOR MANDATORY IMPRISONMENT OF A PERSON CONVICTED OF THE CRIME AND INCREASE THE MAXIMUM PUNISHMENT FROM FIVE TO TEN YEARS; TO AMEND SECTION 56-5-2950 RELATING TO DRUG AND ALCOHOL TESTING, SO AS TO REQUIRE DRIVERS INVOLVED IN ACCIDENTS RESULTING IN DEATH TO SUBMIT TO DRUG OR ALCOHOL TESTING; TO AMEND SECTION 17-7-80, RELATING TO CORONERS, SO AS TO PROVIDE A PROCEDURE FOR TESTS FOR THE PRESENCE OF ALCOHOL IN THE BLOOD OF A DRIVER, PASSENGER, PEDESTRIAN, SWIMMER, OR BOAT OCCUPANT DYING IN A VEHICLE OR BOAT ACCIDENT; TO AMEND THE 1976 CODE BY ADDING SECTION 56-1-745 SO AS TO PROVIDE FOR THE SUSPENSION OR DELAY OF ISSUANCE OF A DRIVER'S LICENSE OF A PERSON CONVICTED OF ACTS WHICH PERSONS AT LEAST THIRTEEN YEARS OF AGE AND UNDER TWENTY-ONE YEARS OF AGE ARE PROHIBITED FROM PERFORMING; TO AMEND CHAPTER 1 OF TITLE 56 BY ADDING ARTICLE 11 SO AS TO PROVIDE FOR THE SUSPENSION OF THE DRIVER'S LICENSE OF A PERSON WHO PURCHASES BEER OR WINE FOR A PERSON WHO MAY NOT LAWFULLY PURCHASE IT OR WHO TRANSFERS OR GIVES SUCH A PERSON BEER, WINE, OR ALCOHOLIC BEVERAGES; TO AMEND SECTION 56-5-2940, AS AMENDED, RELATING TO PENALTIES FOR VIOLATIONS OF SECTION 56-5-2930 (DUI), SO AS TO INCREASE THE PENALTIES AND PERMIT THE COURT TO ORDER THE SERVICE OF PUBLIC SERVICE; TO AMEND SECTION 56-5-2930, RELATING TO THE PROHIBITION AGAINST DRIVING A VEHICLE WHILE UNDER THE INFLUENCE OF INTOXICATING LIQUOR OR DRUGS OR LIKE SUBSTANCES, SO AS TO MAKE IT UNLAWFUL TO OPERATE A VEHICLE UNDER CERTAIN CONDITIONS; TO AMEND THE 1976 CODE BY ADDING SECTION 56-5-2931 SO AS TO MAKE IT UNLAWFUL FOR A PERSON UNDER TWENTY-ONE YEARS OF AGE TO OPERATE A MOTOR VEHICLE AT A TIME WHEN A MEASURABLE ALCOHOL CONTENT IS IN THE PERSON'S BLOOD, TO PROVIDE FOR IMPLIED CONSENT TO TESTS, PROCEDURES RELATING TO ADMINISTERING THE TESTS, AND PENALTIES FOR REFUSAL TO SUBMIT TO TESTS; TO AMEND SECTION 56-5-2945, RELATING TO ACCIDENTS RESULTING IN GREAT BODILY INJURY OR DEATH, SO AS TO MAKE THE PROVISIONS APPLY TO OPERATING A VEHICLE INSTEAD OF DRIVING A VEHICLE; TO AMEND SECTION 56-5-2950, AS AMENDED, RELATING TO IMPLIED CONSENT TO TESTS OF BREATH, BLOOD, OR URINE TO DETERMINE PRESENCE OF ALCOHOL OR DRUGS, SO AS TO CHANGE REFERENCES TO BREATHALYZER TO BREATH ANALYSIS, TO INCREASE THE DRIVER'S LICENSE SUSPENSION OR DENIAL FOR A PERSON WHO REFUSES TO SUBMIT TO SUCH A TEST FROM NINETY TO ONE HUNDRED TWENTY DAYS, TO PROVIDE THAT IF A PERSON SUBMITS TO SUCH A TEST AND THE TEST PROVES THAT HE HAS MORE THAN THE LAWFUL AMOUNT OF ALCOHOL OR DRUGS IN HIS SYSTEM THE SUSPENSION OR DENIAL IS NINETY DAYS, TO PROVIDE FOR THE IMMEDIATE CONFISCATION OF THE DRIVER'S LICENSE OR PERMIT OF A PERSON WHO REFUSES SUCH A TEST OR WHO TESTS AS HAVING MORE THAN A LAWFUL AMOUNT OF ALCOHOL OR DRUGS IN HIS SYSTEM AND TO PROVIDE THAT THE NOTICE AND ORDER WHICH IS GIVEN TO THE PERSON AT THE TIME OF CONFISCATION SERVES AS A TEMPORARY TEN-DAY LICENSE, TO PROVIDE FOR A REVIEW OF THE NOTICE AND ORDER BY THE DEPARTMENT OF HIGHWAYS AND PUBLIC TRANSPORTATION IF REQUESTED WITHIN THE TEN-DAY PERIOD, TO PROVIDE A PROCEDURE FOR THE ADMINISTRATIVE REVIEW AS IT APPLIES TO A REFUSAL BY A PERSON TO SUBMIT TO A TEST OR TO A PERSON FOUND TO HAVE HAD MORE THAN A LAWFUL AMOUNT OF ALCOHOL IN HIS SYSTEM; TO AMEND SECTION 22-3-550, RELATING TO MAGISTRATES, SO AS TO INCREASE THEIR CRIMINAL JURISDICTION TO INCLUDE VIOLATIONS OF SECTIONS 56-1-350, 56-1-450, 56-1-460(a)(1) AND (b)(1), 56-5-1520(d), 56-5-2716, 56-5-2775, 56-5-2920, 56-5-2931, AND 56-5-2940(1), 56-5-6190, AND FOR FIRST AND SECOND OFFENSES ONLY VIOLATIONS OF SECTIONS 56-9-340, 56-10-240, 56-10-250, 56-10-260, AND 56-10-270; TO AMEND SECTION 56-1-520, RELATING TO JURISDICTION OF RECORDERS AND MUNICIPAL COURTS, SO AS TO PROVIDE THAT THEY HAVE THE SAME JURISDICTION AS MAGISTRATES IN VIOLATIONS INVOLVING DRIVERS' LICENSES; AND TO REPEAL SECTIONS 56-1-463, 56-1-465, AND 56-7-20 RELATING TO LACK OF NOTICE OF PAYMENT OF FINES OR PENALTIES AND NOTICE OF SUSPENSIONS AND UNIFORM TRAFFIC TICKETS.

Rep. BEASLEY moved to refer the Bill to the Committee on Judiciary, retaining it's place on the Calendar, which was agreed to.

H. 3695--AMENDED AND INTERRUPTED DEBATE

Debate was resumed on the following Bill, the pending question being the consideration of Section 63.

H. 3696 -- Labor, Commerce and Industry Committee: A BILL TO AMEND SECTIONS 38-77-30, AS AMENDED, 38-77-150, 38-77-160, AS AMENDED, 38-77-110, 38-77-140, 38-73-735, 38-73-10, 38-73-40, 38-73-720, 38-73-730, 38-73-750, 38-73-760, 38-73-770, 38-77-10, AS AMENDED, 38-77-910, 38-77-950, AS AMENDED, 38-77-280, AS AMENDED, 38-77-112, AS AMENDED, 38-77-580, AS AMENDED, 38-77-620, 38-77-920, 38-57-130, 38-55-170, 38-73-1210,38-73-455, AS AMENDED, 38-77-590, AS AMENDED, 38-73-457, AS AMENDED, AND 38-57-140, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE STATE'S INSURANCE LAWS, 56-9-330, 56-10-240, AS AMENDED, 56-10-40, 56-10-280, 56-1-80, AND 56-3-1360, RELATING TO THE MOTOR VEHICLE LAWS, 37-6-604 AND 37-6-605, RELATING TO THE DIVISION OF CONSUMER ADVOCACY IN THE DEPARTMENT OF CONSUMER AFFAIRS, 16-11-125, RELATING TO THE CRIME OF MAKING FALSE CLAIM OR STATEMENT IN SUPPORT OF A CLAIM TO OBTAIN INSURANCE BENEFITS FOR FIRE OR EXPLOSION LOSS, 16-11-130, RELATING TO THE CRIME OF BURNING PERSONAL PROPERTY TO DEFRAUD AN INSURER, 23-41-30, RELATING TO THE ARSON REPORTING-IMMUNITY ACT AND THE RELEASE OF INFORMATION BY AN INSURANCE COMPANY, AND ACT 683 OF 1988, RELATING TO THE WAITING PERIOD REQUIRED BY SECTION 38-73-960 AND ITS EXTENSION BY THE CHIEF INSURANCE COMMISSIONER, AND BY ADDING SECTIONS 38-77-341, 34-3-110, 38-77-114, 38-73-467, 38-77-25, 38-73-545, 38-73-550, 38-73-555, 38-77-111, 38-77-113, 38-73-1370, 38-73-1380, 38-73-1400, 38-73-1410, AND 38-73-1420 AND ARTICLE 48 TO CHAPTER 5, TITLE 56 (SAFETY BELTS AND PENALTY), SO AS TO ENACT THE "AUTOMOBILE INSURANCE REFORM ACT OF 1989"; TO DELETE SUBSECTION (E) OF SECTION 38-77-280, RELATING TO AUTHORIZATION FOR INSURERS OF AUTOMOBILE INSURANCE TO CHARGE A RATE FOR PHYSICAL DAMAGE INSURANCE COVERAGES DIFFERENT FROM THOSE PROVIDED FOR ELSEWHERE IN THE INSURANCE CODE AND TO THE PROVISION THAT NO POLICY OF AUTOMOBILE INSURANCE WHICH INCLUDES PHYSICAL DAMAGE INSURANCE COVERAGES OFFERED TO AN APPLICANT OR EXISTING POLICYHOLDER PURSUANT TO THIS SUBSECTION MAY BE CEDED TO THE REINSURANCE FACILITY: TO REPEAL SECTIONS 38-77-240, 38-77-250, 38-77-260, 38-77-270, 38-77-290, 38-77-300, AND 38-77-310, RELATING TO AUTOMOBILE INSURANCE: TO AMEND SECTION 16-1-10, AS AMENDED, RELATING TO CRIMES CLASSIFIED AS FELONIES, SO AS TO INCLUDE THE CRIME IN SECTION 16-11-125 (IF THE CLAIM IS FIVE HUNDRED DOLLARS OR MORE), THE CRIMES IN SECTION 16-11-130, AND THE CRIMES RELATING TO WILFULLY INCLUDING IN A PRIVATE PASSENGER AUTOMOBILE INSURANCE RATE FILING ANY EXPENSE OR LOSS WHICH WAS GENERATED IN WHOLE OR IN PAINT BY EITHER ANOTHER LINE OF INSURANCE OR GENERAL EXPENSES OR OVERHEAD APPLICABLE TO ALL LINES (EXCEPT UNDER CERTAIN CIRCUMSTANCES), OR RELATING TO ADOPTING A DIFFERENT METHOD OR USAGE OF ALLOCATING OR TREATING EXPENSES OR LOSSES FOR PURPOSES OF RATE FILINGS IN SOUTH CAROLINA FROM THAT WHICH IT USES IN OTHER STATES FOR SIMILAR LINES OF INSURANCE (EXCEPT UNDER CERTAIN CONDITIONS), OR RELATING TO GIVING A FALSE AFFIDAVIT THAT AN INSURANCE COMPANY'S EXPENSES ARE BEING ALLOCATED AND TREATED PROPERLY AND THAT PRIVATE PASSENGER AUTOMOBILE INSUREDS ARE NOT BEING CHARGED AN INEQUITABLE OR UNFAIR SHARE OF THE INSURER'S EXPENSES, ACQUISITION COSTS, OVERHEAD, OR OTHER EXPENSES; AND, IN ENACTING THE "AUTOMOBILE INSURANCE REFORM ACT OF 1989", TO INCLUDE SEPARATE, ADDITIONAL PROVISIONS DEALING WITH, AMONG OTHER THINGS, PROVISIONS THAT NO UNINSURED ON UNDERINSURED MOTORIST COVERAGE NEED BE PROVIDED IN SOUTH CAROLINA BY ANY EXCESS OR UMBRELLA POLICY OF INSURANCE, PROVIDING THAT WITHIN FORTY-FIVE DAYS AFTER THE EFFECTIVE DATE OF THIS ACT ALL LICENSED INSURERS AND LICENSED RATING ORGANIZATIONS AUTHORIZED TO WRITE PRIVATE PASSENGER AUTOMOBILE INSURANCE OR TO FILE PRIVATE PASSENGER AUTOMOBILE INSURANCE RATES ON BEHALF OF THEIR MEMBERS OR SUBSCRIBERS MUST SUBMIT TO THE CHIEF INSURANCE COMMISSIONER REVISED BASE RATES AND OBJECTIVE STANDARD RATES FOR PRIVATE PASSENGER AUTOMOBILE BODILY INJURY LIABILITY COVERAGE AND UNINSURED MOTORIST COVERAGE AND PROVIDING THAT THESE REVISED RATES MUST REFLECT A DECREASE IN THE APPROVED PREMIUM CHARGE FOR EACH OF THESE COVERAGES OF NOT LESS THAN SIX AND NINE-TENTHS PERCENT, REQUIRING THE CHIEF INSURANCE COMMISSIONER AT LEAST ANNUALLY TO CAUSE TO HAVE PUBLISHED AND MAKE AVAILABLE A REPRESENTATIVE SAMPLE OF THE PRIVATE PASSENGER PREMIUMS BEING CHARGED BY AT LEAST THE TWENTY INSURANCE COMPANIES HAVING THE LARGEST MARKET SHARE IN EACH TERRITORY TO FACILITATE PRICE COMPARISONS BY INSUREDS AND PROSPECTIVE INSUREDS WHO ARE SEEKING NEW COVERAGE, PROVIDING THAT NO RATE FILING FOR PRIVATE PASSENGER AUTOMOBILE INSURANCE MAY INCLUDE OR BE BASED UPON ACTUAL OR PROJECTED LOSS OR EXPENSE DATA WHICH INCLUDES PAYMENTS MADE ON POLICIES WHEREIN THE AMOUNT OF THE SETTLEMENT, JUDGMENT, OR OTHER PAYMENT BY THE INSURER WAS IN EXCESS OF THE POLICY LIMITS EXCLUSIVE OF INTEREST AND COSTS, PROVIDING THAT NO RATE FILING FOR PRIVATE PASSENGER AUTOMOBILE INSURANCE MAY INCLUDE OR BE BASED UPON ACTUAL OR PROJECTED LOSS OR EXPENSE DATA WHICH INCLUDES PAYMENTS MADE AS A RESULT OF THE INSURER'S TORTIOUS BREACH OF ITS DUTY OF GOOD FAITH AND FAIR DEALING, PROVIDING THAT THERE IS NO PERSONAL INJURY PROTECTION COVERAGE MANDATED UNDER THE AUTOMOBILE INSURANCE LAWS OF THIS STATE BUT THAT IF AN INSURER OFFERS THIS COVERAGE, THE BENEFITS PAYABLE UNDER THE COVERAGE MAY BE ASSIGNED TO HOSPITALS, FUNERAL HOMES, PHYSICIANS, OR OTHER MEDICAL PROVIDERS, PROVIDING THAT MEDICAL PAYMENTS COVERAGE MAY BE OFFERED AS AN OPTIONAL COVERAGE UNDER THE AUTOMOBILE INSURANCE LAWS OF THE STATE BUT THAT THERE IS NO REQUIREMENT THAT MEDICAL PAYMENTS COVERAGE BE OFFERED AND THAT IF AN INSURER OFFERS THIS COVERAGE, THE BENEFITS PAYABLE UNDER THE COVERAGE MAY BE ASSIGNED TO HOSPITALS, FUNERAL HOMES, PHYSICIANS, OR OTHER MEDICAL PROVIDERS, REQUIRING THAT, TO INSURE THAT ALL AUTOMOBILE INSURANCE POLICIES ARE RATED TO REFLECT THE DRIVING RECORD OF ALL INSUREDS NAMED IN THE POLICY, ALL INSURERS OR THEIR AGENTS ARE REQUIRED TO OBTAIN A MOTOR VEHICLE REPORT ON EACH NAMED INSURED AT THE POINT OF SALE AND AT LEAST ANNUALLY AFTER THE SALE, AND REQUIRING THE CHIEF INSURANCE COMMISSIONER TO REVIEW ALL FORMS OF INSURANCE COVERED BY ANY SECTION OF THIS ACT AND TO ORDER RATE REDUCTIONS AS REQUIRED BY THIS ACT.

SECTION 63-ADOPTED

Reps. BAXLEY and HODGES spoke against the Section.

Rep. LIMEHOUSE spoke in favor of the Section.

LEAVES OF ABSENCE

The SPEAKER granted Rep. WILDER a temporary leave of absence.

The SPEAKER granted Rep. HAYES a temporary leave of absence to speak to a group on litter.

Rep. BAXLEY moved to table the Section.

Rep. T.C. ALEXANDER demanded the yeas and nays, which were taken resulting as follows:

Yeas 20; Nays 82

Those who voted in the affirmative are:

Barber                 Baxley                 Brown, G.
Burch                  Harvin                 Hodges
Huff                   Keesley                Keyserling
Manly                  Martin, D.             Mattos
McElveen               McLellan               McLeod
Rudnick                Short                  Smith
White                  Williams, J.

Total--20

Those who voted in the negative are:

Alexander, M.O.        Alexander, T.C.        Altman
Bailey, J.             Bailey, K.             Baker
Beasley                Bennett                Blackwell
Boan                   Brown, H.              Brown, R.
Bruce                  Burriss, M.D.          Chamblee
Clyborne               Cole                   Cooper
Corbett                Cork                   Corning
Davenport              Derrick                Elliott
Faber                  Fair                   Felder
Ferguson               Foster                 Glover
Gregory                Hallman                Harris, P.
Haskins                Hearn                  Hendricks
Holt                   Jaskwhich              Johnson, J.C.
Johnson, J.W.          Kay                    Keegan
Klapman                Kohn                   Koon
Lanford                Limehouse              Littlejohn
Mappus                 McBride                McCain
McGinnis               McKay                  McTeer
Moss                   Neilson                Nesbitt
Nettles                Phillips               Quinn
Rama                   Rhoad                  Rogers, T.
Sharpe                 Sheheen                Simpson
Snow                   Stoddard               Taylor
Townsend               Tucker                 Vaughn
Waites                 Waldrop                Washington
Wells                  Whipper                Wilkins
Williams, D.           Winstead               Wofford
Wright

Total-82

So, the House refused to table the Section.

The question then recurred to the adoption of the Section, which was agreed to.

SECTION 64-ADOPTED

Debate was resumed on Section 64.

Section 64 was adopted.

SECTION 67-ADOPTED

Debate was resumed on section 67.

Section 67 was adopted.

Rep. J. BAILEY proposes the following Amendment No. 23 (Doc. No. 3496U), which was adopted.

Amend the bill, as and if amended, by adding an appropriately numbered section to read:

/SECTION 79. Section 38-73-465 of the 1976 Code is reenacted to read:

"Section 38-73-466. (A) In considering any rate filing or in reviewing any rate in effect for automobile insurance, or upon complaint or petition by the consumer Advocate, or any other interested party, the Chief Insurance Commissioner if the petition for review is granted shall review the rate the previous three years experience with the rate being reviewed, or as much of the period as is available. If the insurer has realized an unfairly discriminatory, excessive, or unreasonable profit, in the opinion of the commissioner, the commissioner shall order the same removed and require that the individual rate maker, bureau or insurer to promulgate a rate which is not unfairly discriminatory, excessive, or unreasonable profit, in the opinion of the commissioner, the commissioner shall order the same removed and require that the individual rate maker, bureau, or insurer to promulgate a rate which is not unfairly discriminatory, excessive, or unreasonable and order a pro rat a rebate of any unfairly discriminatory, excessive, or unreasonable amount charged together with interest at the rate of twelve percent per annum either in the form of a cash refund or as a credit toward the future premiums. The commissioner shall rescind the order of rebate only upon a showing that compliance would cause an insolvency.

(B) In making the determination that a rate is unfairly discriminatory, excessive, or unreasonable, the Insurance Department shall, in accordance with generally accepted and reasonable actuarial techniques, include consideration of the following factors:

1. Past and prospective loss experience within and without this State;

2. past and prospective expenses;

3. the degree of competition among insurers for the risk insured;

4. investment income. reasonably expected by the insurer, consistent with the insurer's investment practices, from investable premiums anticipated in the filing, plus any other expected income from currently invested assets representing the amount expected on unearned premium reserves and loss reserves. The department may promulgate rules utilizing reasonable techniques of actuarial science and economics to specify the manner in which insurers shall calculate investment income attributable to such classes of insurance written in this State and the manner in which such investment income shall be used in the calculation of insurance rates. Such manner shall contemplate allowances for an underwriting profit factor and full consideration of investment income which produce a reasonable rate of return; however, investment income from invested surplus shall be considered; In the addition to being given consideration, after June 30, 1989, it must be given effect in automobile insurance rates by use of the instructions and exhibits set forth in this item. Investment income also must be given effect in all other property or casualty insurance rates and the commissioner may order the use of similar instructions and exhibits by replacement of that company's insurance data for other lines instead of the private passenger data referenced in this subitem. Companies shall supply the information requested in this item regardless of whether or not the references to the Annual Statements change.

Exhibit 1. Expected Underwriting Results with Unchanged Premium: This exhibit must display the following data and calculations:

i. total limits premium at current level:

ii. forecasted losses:

iii. forecasted loss adjustment expenses:

iv. other underwriting expense:

v. underwriting result (profit or loss):
which must be calculated as total limits premium at current level by coverage, less losses, less loss adjustment expenses, less other underwriting expenses: and

vi. underwriting result (profit or loss) as a percent of Premium, which must be calculated as the ratio of underwriting result to earned premium at current levels.

Exhibit 2. Analysis of Earnings Requirements: This exhibit must display the following information:

i. the amount of surplus allocated to each coverage for South Carolina private-passenger automobile insurance as calculated in investment income Exhibit 4, Line 4;

ii. the target rate of return on surplus which the filer believes is appropriate for the coverage in question. Testimony and evidence in support of this target rate of return must accompany the filing:

iii. the required dollar return on surplus to produce the target rate of return:

iv. the ratio of investment income to premium earned as calculated on Investment Income Exhibit 4, Line 11:

v. forecasted South Carolina Premium earned by coverage;

vi. the expected dollar return from investment calculated by multiplying the ratio of investment income to premium earned by forecasted premium earned:

vii. required underwriting return calculated as to required return on surplus less the dollar return from investment: and

viii. the ratio of the required underwriting return to forecasted premium earned.

EXHIBIT 1. EXPECTED UNDERWRITING RESULTS WITH UNCHANGED PREMIUM

1. Earned Premium at     BODILY INJURY     PROPERTY     COMPREHENSIVE     COLLISION

Current Level     $____________     $____________     $____________     $____________
2. Forecasted Loss     $____________     $____________     $____________     $____________
3. Forecasted Loss

Adjustment     $____________     $____________     $____________     $____________
4. Other Underwriting

Expenses     $____________     $____________     $____________     $____________
5. Underwriting Result     $____________     $____________     $____________     $____________
6. Underwriting Result as
a Percent of Premium     ________%     ________%     ________%     ________%

EXHIBIT 2. ANALYSIS OF READING REQUIREMENTS

BODILY INJURY     PROPERTY DAMAGE     COMPREHENSIVE     COLLISION
1. Surplus by line, Inv.
Inc. Exhibit 4. Line 4     $____________     $____________     $____________     $____________
2. Target Rate of Return
Surplus     ________%     ________%     ________%     ________%
3. Required on Surplus
(1) x (2)     $____________     $____________     $____________     $____________
4. Ration of Investment
Income to Premium
Earned Inv. Inc.
Exhibit 4. Line 11     ________     ________     ________     ________
5. Forecasted Premium
Earned     $____________     $____________     $____________     $____________
6. Return of Investment
(4) x (5)     $____________     $____________     $____________     $____________
7. Required Underwriting
Return (3) - (6)     $____________     $____________     $____________     $____________
8. Ratio, Required Under-
writing to Premium
Earned (7) / (5)     ________%     ________%     ________%     ________%

Instructions for Completing Investment
Income Exhibits

(A) Each filer shall provide the following exhibits pertaining to investment income associated with private passenger automobile insurance in the formats specified by Investment Income Exhibits 1, 2, 3, and 4.

1. Investment Income Exhibit 1: The filer shall provide the following information according to the format specified in Investment Income Exhibit 1, Investment Income from Loss and Loss Expense Reserves:

i. Net investment gain, from the filer's most recent annual statement, page 4, line 9a:

ii. cash and invested assets, from the filer's most recent annual statement, page 2, Line 8A, for the two most recent years and mean cash and invested assets calculated for those two years:

iii. rate of return on investments calculated as the ratio of net investment gain to mean cash and invested assets:

iv. South Carolina loss reserves (Incl. IBNR) by coverage as of December thirty-first of the two most recent calendar years:

v. South Carolina loss adjustment expense Reserves (Incl. IBNR) as of December thirty-first of the two most recent calendar years:

vi. mean loss and loss adjustment expense reserves for the period:

vii. premium earned by coverage:

viii. the ratio of loss and loss expense reserves to premium earned: and

ix. investment income from reserves as a percent of premium earned.

2. Investment Income Exhibit 2: The filer shall provide the following information according to the format specified in Investment Income Exhibit 2, Investment Income from Unearned Premium Reserves:

i. South Carolina unearned premium reserves by coverage as of December thirty-first of the two most recent calendar years and the mean unearned premium reserve calculated for that period:

ii. premium earned by coverage:

iii. the ratio of unearned premium reserve to premium, by coverage;

iv. rate of return on investments; and

v. investment income as a percent of premium earned, by coverage.

3. Investment Income Exhibit 3: Each filer provide the following information according to the specified in Investment Income Exhibit 3, Companywide Reserves, Surplus. and Invested Assets. The referent the exhibit pertain to the filer's most recent statement:

i. loss reserves for the most recent calendar year;

ii. loss adjustment expenses reserves for the most recent calendar year and the ratio of unpaid loss adjustment expenses to unpaid losses;

iii. unearned premium reserves for the most recent calendar year;

iv. total reserves;

v. cash and invested assets as of December thirty-first of the most recent calendar year;

vi. surplus as of December thirty-first of the recent calendar year;

vii. the percent of surplus invested, calculate cash and invested assets less reserves divided by surplus; and

viii. the ratio of surplus to reserves.

4. Investment Income Exhibit 4: The filer provide the following information according to the format specified in Investment Income Exhibit 4, Investment Income as a percent of premium:

i. items 1 through 3 on the exhibit mean Carolina premium, loss, and loss adjustment reserves the sum of these three components of reserves, by coverage;

ii. item 4 of the exhibit means the dollar amount of South Carolina surplus by coverage, calculated by multiplying total South Carolina reserves by coverage times the ratio of surplus to reserves:

iii. items 5 and 6 of the exhibit mean the amount of invested South Carolina surplus by coverage, calculated as the product of South Carolina Surplus times the percent of surplus invested:

iv. items 7 through 9 of the exhibit mean the sum of South Carolina reserves and surplus and the dollar amount of investment income earned on these reserves and surplus;

v. items 10 and 11 of the exhibit mean investment income as a percent of premium earned by coverage.

INVESTMENT INCOME EXHIBIT 1. INVESTMENT INCOME FROM LOSS EXPENSE RESERVES, SOUTH CAROLINA

1. Net Investment Gain, Annual Statement P-4 Line 9a     $_____________
2. Cash Invested Assets, Annual Statement P-2 Line 9a     $_____________

a. As of *     $_____________

b. As of **     $_____________

Mean Cash & Invested Assets     $_____________

3. Rate of Return on Investments (1./2c.)__________%

BODILY INJURY     PROPERTY DAMAGE     COMPREHENSIVE     COLLISION
4. S.C. Loss Reserves

a. As of *         $_____________     $_____________     $_____________     $_____________

b. As of **         $_____________     $_____________     $_____________     $_____________

5. S.C. Loss Adjustment

Expense Reserves

a. As of *         $_____________     $_____________     $_____________     $_____________

b. As of **         $_____________     $_____________     $_____________     $_____________

6. Mean Loss & LAX Reserves

((4a. + 4b.)/2)+         $_____________     $_____________     $_____________     $_____________

((5a. + 5b.)/2)         $_____________     $_____________     $_____________     $_____________

7. Premium Earned *     $_____________     $_____________     $_____________     $_____________
8. Ratio Loss & Lax Reserves

to Earned Premium     $_____________     $_____________     $_____________     $_____________

(6./7.)         $_____________     $_____________     $_____________     $_____________
9. Investment Income as a

Percent Premium

(3. x 8.)         $_____________     $_____________     $_____________     $_____________

* Current Calendar Year Available
** Previous Calendar Year Available

INVESTMENT INCOME EXHIBIT 2. INVESTMENT INCOME FROM UNEARNED PREMIUM RESERVE, SOUTH CAROLINA

BODILY INJURY     PROPERTY DAMAGE     COMPREHENSIVE     COLLISION

1. S.C. Unearned Premium

Reserves

a. As of *         $_____________     $_____________     $_____________     $_____________

b. As of **         $_____________     $_____________     $_____________     $_____________

c. Mean premium Reserve

    (1a. + 1b.)/2     $_____________     $_____________     $_____________     $_____________
2. Premium Earned *     $_____________     $_____________     $_____________     $_____________
3. Ratio, Unearned Premium

Reserves to Earned

Premium (1c./2.)     ________%     ________%     ________%     ________%
4. Rate of Return on Investments

Investment Income

Exhibit 1, Line 3     ________%     ________%     ________%     ________%
5. Investment Income as a

Percent of Premium

(3) x (4)         ________%     ________%     ________%     ________%

* Current Calendar Year Available
** Previous Calendar Year Available

INVESTMENT INCOME EXHIBIT 3. COMPANYWIDE RESERVES, SURPLUS AND INVESTED ASSETS

ITEM             AMOUNT     ANNUAL STATEMENT REFERENCE
1.     Loss Reserves*         $________     Page 10, Part 3A, Line 32, Col. 5
2.     Loss Adjustment Reserve*         $________     Page 10, Part 3a, Line 32, Col. 6
3.     Unearned Premium *         $________     Page 7, Part 2, Line 31, Col. 3
4.     Total Reserves (1+2+3)         $________
5.     Cash and Invested Assets*         $________     Page 2, Line 8a, Col. 1
6.     Surplus *         $________     Page 4, Line 32, Col. 1
7.     Percent of Surplus

Invested ((5 - 4)/6)         _______%
8.     Rate of Surplus to Reserves

(6/4)         _______%

* Current Calendar Year Available

INVESTMENT INCOME EXHIBIT 4. INVESTMENT INCOME AS A PERCENT OF PREMIUM, SOUTH CAROLINA

BODILY INJURY     PROPERTY DAMAGE     COMPREHENSIVE     COLLISION

1. Mean S.C. Premium Reserve

Investment Income Exhibit     $_____________     $_____________     $_____________     $_____________

2, Line 1c.     $_____________     $_____________     $_____________     $_____________
2. Mean S.C. Loss & Loss Adj.

Reserve

Investment Income Exhibit

1, Line 6     $_____________     $_____________     $_____________     $_____________
3. Total S.C. Reserves     $_____________     $_____________     $_____________     $_____________
4. S.C. Surplus, (3) x Inv.

Inc., Exhibit 3, Line 8     $_____________     $_____________     $_____________     $_____________
5. Percent of Surplus Invested

Investment Income Exhibit

3, Line 7     ________%     ________%     ________%     ________%
6. Invested Surplus, (4) x (5)     $_____________     $_____________     $_____________     $_____________
7. Sum, Reserves and Invested

Surplus (3) + (6)     $_____________     $_____________     $_____________     $_____________
8. Rate of Return on Investments

Investment Income Exhibit

1, Line 3     %____________     %____________     %____________     %____________
9. Premium Earned, Investment

Income Exhibit 1, Line 7     $_____________     $_____________     $_____________     $_____________
10. Premium Earned, Investment

Income Exhibit 1, Line 7     $_____________     $_____________     $_____________     $_____________
11. Investment Income as a %

of Premium Earned (9)/(10)     ________%     ________%     ________%     ________%
    The Chief Insurance Commissioner may reward an insurer actually achieving less than the maximum expense level allowable in rates after the initial three year period by allowing a higher underwriting profit than would otherwise result from use of the instructions and exhibits set forth in this item. However. this reward shall not excess the difference between the insurer's actual expense level achieved and the maximum level allowable in rates in a given year."

5. the reasonableness of the judgment reflected in the filing;

6. dividends, savings, or unabsorbed premium deposits allowed or returned to South Carolina policyholders, members, or subscribers;

7. the adequacy of loss reserves;

8. the cost of reinsurance;

9. trend factors, including trends in actual losses per insured unit for the insurer making the filing;

10. a reasonable margin for underwriting profit and contingencies which may be a negative margin;

11. other relevant factors which impact upon the frequency or severity of claims or upon expenses.

(C) After consideration of the rate factors provided in paragraph (B) a rate may be found by the department to be excessive, unreasonable, or unfairly discriminatory based upon the following standards: 1. Rates shall be deemed are considered excessive if they are likely to produce a profit from South Carolina business that is unreasonably high in relation to the risk involved in the class of business or if expenses are unreasonably high in relation to services rendered. 2. Rates shall be deemed are considered excessive if, among other things, the rate structure established by a stock insurance company provides for replenishment of surpluses from premiums, when the replenishment is attributable to investment losses. 3. Rates shall be deemed are considered inadequate if they are clearly insufficient, together with the investment income attributable to them, to sustain projected losses and expenses in the class of business to which they apply. 4. A rate shall be deemed is considered inadequate as to the premium charged to a risk or group of risks if discounts or credits are allowed which exceed a reasonable reflection of expense savings and reasonably expected loss experience from the risk or group of risks. 5. A rate shall be deemed is considered unfairly discriminatory as a risk or group of risks if the application of premium discounts, credits, or surcharges among such risks does not bear a reasonable relationship to the expected loss and expense experience among the various risks.

(D) In reviewing a rate filing, the department may require the insurer to provide at the insurer's expense all information necessary to evaluate the condition of the company and the reasonableness of the filing according to the criteria enumerated in this section."/

Renumber sections to conform.

Amend title to conform.

Rep. WILKES explained the amendment.

The amendment was then adopted.

Reps. J. BAILEY, T. ROGERS and J. ROGERS proposed the following Amendment No. 26 (Doc. No. 3178U), which was adopted.

Amend the bill, as and if amended, by adding an appropriately numbered section to read:

/SECTION 80. Section 38-77-110 of the 1976 Code is amended by adding at the end:

"(1) An insurance company doing business in this State, or its agent, who avoids the requirement to write auto insurance as provided in this section is guilty of a misdemeanor and, upon conviction, must be fined separately ten thousand dollars for each violation.

(2) An insurance company doing business in this State who uses undue coercion or other unfair employment practices against an agent is guilty of a misdemeanor and, upon conviction, must be fined twenty-five thousand dollars for each violation."/

Renumber sections to conform.

Amend title to conform.

Rep. J. BAILEY explained the amendment.

The amendment was then adopted.

Reps. J.C. JOHNSON, J. BAILEY, T. ROGERS and J. ROGERS proposed the following Amendment No. 29 (Doc. No. 3196U), which was rejected.

Amend the bill, as and if amended, by adding an appropriately numbered section to read:

/SECTION___A. Chapter 77 of Title 38 of the 1976 Code is amended by adding:

"Article 2
Sticker or Emblem Evidencing Insurance
Coverage to be Affixed to Motor Vehicles

Section 38-77-80. (A) The owner of a motor vehicle registered in this State who is required by Section 56-10-10 to provide the security required for the maintenance or use of the vehicle and who has owned the motor vehicle for thirty days or more shall, as prima facie evidence that the security is currently in full force and effect, affix on the front windshield an identifying sticker or emblem which indicates the month, day, and year for which the policy has been paid. However, if requested by the insured, the sticker or emblem must be issued for periods of three or six months.

(B) The form and content of the sticker or emblem required by subsection (A) must be prescribed by regulation of the Chief Insurance Commissioner. All stickers or emblems must be supplied by or under the authority of the department of Highways and Public Transportation and must be serially numbered. The department shall require monthly reports be made to the department by persons to whom stickers or emblems have been supplied which must include, at least, the number of the sticker or emblem, the serial number of the motor vehicle for which it was issued, the name of its owner, and the date issued.

(C) All stickers or emblems issued pursuant to this section are the property of the State and must be permanently affixed by the owner to the vehicle covered by the required security only during the time for which the security which it represents remains in full force and effect. Every vehicle owner shall immediately remove from the vehicle any sticker or emblem purporting to represent security which he knows has been terminated, canceled, impaired, expired, or is otherwise ineffective.

(D) When a vehicle owner meets the security requirements of this section through the purchase of a contract of insurance, the authorized insurance company or its authorized agent with which he has contracted for the security shall provide within fifteen days from receipt and deposit of the premium payment, a sticker or emblem as described in subsection (A). The commissioner shall furnish or authorize for each insurer sufficient quantities of the stickers or emblems as they may require for each vehicle which the insurer reasonably expects to insure during each annual period for which its policies of insurance are expected to be in force.

(E) Every automobile insurance policy issued in this State must be issued for a minimum payment period of three months.

(F) To receive a refund from an insurance company for policies canceled before the date on the sticker or emblem, a copy of the bill of sale, if applicable, must be sent to the insurer along with the current sticker or emblem. The request for refunds must be postmarked within thirty days of the date of the sale of the motor vehicle.

(G) Every insurance company shall provide notice of a cancellation of a policy to the Department of Highways and Public Transportation within thirty days following the cancellation of the policy.

(H) The vehicle being operated in this State which does not have the requisite sticker or emblem affixed to the vehicle as required by this article or which has affixed a sticker or emblem which is invalid must have the license plates removed from the motor vehicle by the law enforcement officer at the time of the violation. In addition, the owner of the vehicle is guilty of a misdemeanor and, upon conviction, must be fined one hundred dollars. If, within five days of the confiscation of the license plates, proof is provided by the owner of the vehicle that security required by this article was in effect at the time the license plates were removed, the vehicle's license plates must be returned to the owner. If no proof is provided that security existed at the time the license plates were removed, the owner is guilty of a misdemeanor and, upon conviction, must have the license plates on this motor vehicle suspended until he can demonstrate to the Department of Highways and Public Transportation that he has a paid-up policy for one year in effect on the motor vehicle and pays a two hundred dollar fine, one-half of which must be returned to the law enforcement agency making the arrest.

(I) (1) No person may:

(a) alter a sticker or emblem issued under the provisions of this article;

(b) manufacture, possess, or display an imitation or counterfeit sticker or emblem;

(c) remove a sticker or emblem from a motor vehicle unless he is the owner of the motor vehicle or remove the sticker or emblem at the request or direction of the owner.

(2) Any person violating the provisions of this subsection is guilty of a misdemeanor and, upon conviction, for each violation must be fined in an amount not to exceed two hundred dollars or imprisoned for a period not to exceed thirty days."

(B).This section is effective January 1, 1990./

Renumber sections to conform.

Amend title to conform.

Rep. J.C. JOHNSON explained the amendment.

Rep. LIMEHOUSE spoke against the amendment.

Rep. SIMPSON spoke in favor of the amendment.

Reps. HASKINS and MAPPUS spoke against the amendment.

Rep. J.C. JOHNSON spoke in favor of the amendment.

Rep. MAPPUS moved to table the amendment.

Rep. HASKINS demanded the yeas and nays, which were taken resulting as follows:

Yeas 52; Nays 59

Those who voted in the affirmative are:

Alexander, M.O.        Altman                 Bailey, K.
Bennett                Blackwell              Brown, J.
Brown, R.              Bruce                  Burriss, M.D.
Burriss, T.M.          Carnell                Clyborne
Corbett                Cork                   Corning
Derrick                Faber                  Fair
Felder                 Ferguson               Glover
Gregory                Hallman                Harris, P.
Harvin                 Haskins                Hearn
Holt                   Keegan                 Klapman
Kohn                   Koon                   Limehouse
Littlejohn             Mappus                 McAbee
McBride                McCain                 McKay
McLellan               Neilson                Nesbitt
Nettles                Quinn                  Rama
Sharpe                 Short                  Smith
Sturkie                Wilkins                Winstead
Wright

Total--52

Those who voted in the negative are:

Alexander, T.C.        Bailey, J.             Baker
Barber                 Barfield               Baxley
Beasley                Blanding               Boan
Brown, G.              Brown, H.              Burch
Chamblee               Cooper                 Davenport
Fant                   Farr                   Gordon
Harris, J.             Hayes                  Hendricks
Hodges                 Huff                   Jaskwhich
Johnson, J.C.          Johnson, J.W.          Kay
Keesley                Keyserling             Kirsh
Lockemy                Manly                  Martin, D.
Martin, L.             Mattos                 McEachin
McElveen               McGinnis               McLeod
McTeer                 Moss                   Phillips
Rhoad                  Rogers, T.             Rudnick
Sheheen                Simpson                Stoddard
Townsend               Tucker                 Vaughn
Waites                 Washington             Whipper
White                  Wilkes                 Williams, D.
Williams, J.           Wofford

Total--59

So, the House refused to table the amendment.

POINT OF ORDER

Rep. HASKINS raised the Point of Order that Amendment No. 29 was out of order as it was not in compliance with Rule 5.13 in that the Amendment affected the expenditure of money by the State and should have an impact statement attached.

The SPEAKER stated that Rule 5.13 dealt with Bills, not amendments, and he overruled the Point of Order.

Rep. GREGORY moved that the House recede until 2:00 P.M., which was rejected.

Rep. HASKINS spoke against the amendment.

The question then recurred to the adoption of the amendment.

Rep. MAPPUS demanded the yeas and nays, which were taken resulting as follows:

Yeas 46; Nays 70

Those who voted in the affirmative are:

Bailey, J.             Baker                  Barber
Barfield               Baxley                 Beasley
Boan                   Brown, G.              Burch
Chamblee               Cooper                 Elliott
Farr                   Harwell                Hayes
Hendricks              Hodges                 Huff
Jaskwhich              Johnson, J.C.          Johnson, J.W.
Keesley                Keyserling             Kirsh
Lockemy                Manly                  Mattos
McElveen               McGinnis               McLeod
McTeer                 Moss                   Phillips
Rogers, T.             Rudnick                Sheheen
Simpson                Smith                  Stoddard
Townsend               Tucker                 Washington
White                  Wilkes                 Williams, D.
Williams, J.

Total--46

Those who voted in the negative are:

Alexander, M.O.        Alexander, T.C.        Altman
Bailey, G.             Bailey, K.             Bennett
Blackwell              Brown, H.              Brown, J.
Brown, R.              Bruce                  Burriss, M.D.
Burriss, T.M.          Carnell                Clyborne
Cole                   Corbett                Cork
Corning                Davenport              Derrick
Faber                  Fair                   Fant
Felder                 Ferguson               Glover
Gordon                 Gregory                Hallman
Harris, J.             Harris, P.             Harvin
Haskins                Hearn                  Holt
Keegan                 Klapman                Kohn
Koon                   Limehouse              Littlejohn
Mappus                 Martin, L.             McAbee
McBride                McCain                 McEachin
McKay                  McLellan               Neilson
Nesbitt                Nettles                Quinn
Rama                   Rhoad                  Sharpe
Short                  Snow                   Sturkie
Taylor                 Vaughn                 Waites
Waldrop                Wells                  Whipper
Wilkins                Winstead               Wofford
Wright

Total-70

So, the amendment was rejected.

Rep. BLACKWELL moved that the House recede until 2:00 P.M., which was adopted.

THE HOUSE RESUMES

At 2:00 P.M. the House resumed, the SPEAKER in the chair.

POINT OF QUORUM

The question of a quorum was raised.

A quorum was later present.

H. 3695--AMENDED

Debate was resumed on the following Bill, the pending question being the consideration of amendments.

H. 3695 - Labor, Commerce and Industry Committee: A BILL TO AMEND SECTIONS 38-77-30, AS AMENDED, 38-77-150, 38-77-160, AS AMENDED, 38-77-110, 38-77-140, 38-73-735, 38-73-10, 38-73-40, 38-73-720, 38-73-730, 38-73-750, 38-73-760, 38-73-770, 38-77-10, AS AMENDED, 38-77-910, 38-77-950, AS AMENDED, 38-77-280, AS AMENDED, 38-77-112, AS AMENDED, 38-77-580 AS AMENDED, 38-77-620, 38-77-920, 38-57-130, 38-55-170, 38-73-1210, 38-73-455, AS AMENDED, 38-77-590, AS AMENDED, 38-73-457, AS AMENDED, AND 38-57-140, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE STATE'S INSURANCE LAWS, 56-9-330, 56-10-240, AS AMENDED, 56-10-40, 56-10-280, 56-1-80, AND 56-3-1350, RELATING TO THE MOTOR VEHICLE LAWS, 37-6-604 AND 37-6-605, RELATING TO THE DIVISION OF CONSUMER ADVOCACY IN THE DEPARTMENT OF CONSUMER AFFAIRS, 16-11-125, RELATING TO THE CRIME OF MAKING FALSE CLAIM OR STATEMENT IN SUPPORT OF A CLAIM TO OBTAIN INSURANCE BENEFITS FOR FIRE OR EXPLOSION LOSS, 16-11-130, RELATING TO THE CRIME OF BURNING PERSONAL PROPERTY TO DEFRAUD AN INSURER, 23-41-30, RELATING TO THE ARSON REPORTING-IMMUNITY ACT AND THE RELEASE OF INFORMATION BY AN INSURANCE COMPANY, AND ACT 683 OF 1988, RELATING TO THE WAITING PERIOD REQUIRED BY SECTION 38-73-960 AND ITS EXTENSION BY THE CHIEF INSURANCE COMMISSIONER, AND BY ADDING SECTIONS 38-77-341, 34-3-110, 38-77-114, 38-73-467, 38-77-25, 38-73-545, 38-73-550, 38-73-555, 38-77-111, 38-77-113, 38-73-1370, 38-73-1380, 38-73-1400, 38-73-1410, AND 38-73-1420 AND ARTICLE 48 TO CHAPTER 5, TITLE 56 (SAFETY BELTS AND PENALTY), SO AS TO ENACT THE "AUTOMOBILE INSURANCE REFORM ACT OF 1989"; TO DELETE SUBSECTION (E) OF SECTION 38-77-280, RELATING TO AUTHORIZATION FOR INSURERS OF AUTOMOBILE INSURANCE TO CHARGE A RATE FOR PHYSICAL DAMAGE INSURANCE COVERAGES DIFFERENT FROM THOSE PROVIDED FOR ELSEWHERE IN THE INSURANCE CODE AND TO THE PROVISION THAT NO POLICY OF AUTOMOBILE INSURANCE WHICH INCLUDES PHYSICAL DAMAGE INSURANCE COVERAGES OFFERED TO AN APPLICANT OR EXISTING POLICYHOLDER PURSUANT TO THIS SUBSECTION MAY BE CEDED TO THE REINSURANCE FACILITY: TO REPEAL SECTIONS 38-77-240, 38-77-250, 38-77-260, 38-77-270, 38-77-290, 38-77-300, AND 38-77-310, RELATING TO AUTOMOBILE INSURANCE: TO AMEND SECTION 16-1-10, AS AMENDED, RELATING TO CRIMES CLASSIFIED AS FELONIES, SO AS TO INCLUDE THE CRIME IN SECTION 16-11-125 (IF THE CLAIM IS FIVE HUNDRED DOLLARS OR MORE), THE CRIMES IN SECTION 16-11-130, AND THE CRIMES RELATING TO WILFULLY INCLUDING IN A PRIVATE PASSENGER AUTOMOBILE INSURANCE RATE FILING ANY EXPENSE OR LOSS WHICH WAS GENERATED IN WHOLE OR IN PART BY EITHER ANOTHER LINE OF INSURANCE OR GENERAL EXPENSES OR OVERHEAD APPLICABLE TO ALL LINES (EXCEPT UNDER CERTAIN CIRCUMSTANCES), OR RELATING TO ADOPTING A DIFFERENT METHOD OR USAGE OF ALLOCATING OR TREATING EXPENSES OR LOSSES FOR PURPOSES OF RATE FILINGS IN SOUTH CAROLINA FROM THAT WHICH IT USES IN OTHER STATES FOR SIMILAR LINES OF INSURANCE (EXCEPT UNDER CERTAIN CONDITIONS), OR RELATING TO GIVING A FALSE AFFIDAVIT THAT AN INSURANCE COMPANY'S EXPENSES ARE BEING ALLOCATED AND TREATED PROPERLY AND THAT PRIVATE PASSENGER AUTOMOBILE INSUREDS ARE NOT BEING CHARGED AN INEQUITABLE OR UNFAIR SHARE OF THE INSURER'S EXPENSES, ACQUISITION COSTS, OVERHEAD, OR OTHER EXPENSES; AND, IN ENACTING THE "AUTOMOBILE INSURANCE REFORM ACT OF 1989", TO INCLUDE SEPARATE, ADDITIONAL PROVISIONS DEALING WITH, AMONG OTHER THINGS, PROVISIONS THAT NO UNINSURED ON UNDERINSURED MOTORIST COVERAGE NEED BE PROVIDED IN SOUTH CAROLINA BY ANY EXCESS OR UMBRELLA POLICY OF INSURANCE, PROVIDING THAT WITHIN FORTY-FIVE DAYS AFTER THE EFFECTIVE DATE OF THIS ACT ALL LICENSED INSURERS AND LICENSED RATING ORGANIZATIONS AUTHORIZED TO WRITE PRIVATE PASSENGER AUTOMOBILE INSURANCE OR TO FILE PRIVATE PASSENGER AUTOMOBILE INSURANCE RATES ON BEHALF OF THEIR MEMBERS OR SUBSCRIBERS MUST SUBMIT TO THE CHIEF INSURANCE COMMISSIONER REVISED BASE RATES AND OBJECTIVE STANDARD RATES FOR PRIVATE PASSENGER AUTOMOBILE BODILY INJURY LIABILITY COVERAGE AND UNINSURED MOTORIST COVERAGE AND PROVIDING THAT THESE REVISED RATES MUST REFLECT A DECREASE IN THE APPROVED PREMIUM CHARGE FOR EACH OF THESE COVERAGES OF NOT LESS THAN SIX AND NINE-TENTHS PERCENT, REQUIRING THE CHIEF INSURANCE COMMISSIONER AT LEAST ANNUALLY TO CAUSE TO HAVE PUBLISHED AND MAKE AVAILABLE A REPRESENTATIVE SAMPLE OF THE PRIVATE PASSENGER PREMIUMS BEING CHARGED BY AT LEAST THE TWENTY INSURANCE COMPANIES HAVING THE LARGEST MARKET SHARE IN EACH TERRITORY TO FACILITATE PRICE COMPARISONS BY INSUREDS AND PROSPECTIVE INSUREDS WHO ARE SEEKING NEW COVERAGE, PROVIDING THAT NO RATE FILING FOR PRIVATE PASSENGER AUTOMOBILE INSURANCE MAY INCLUDE OR BE BASED UPON ACTUAL OR PROJECTED LOSS OR EXPENSE DATA WHICH INCLUDES PAYMENTS MADE ON POLICIES WHEREIN THE AMOUNT OF THE SETTLEMENT, JUDGMENT, OR OTHER PAYMENT BY THE INSURER WAS IN EXCESS OF THE POLICY LIMITS EXCLUSIVE OF INTEREST AND COSTS, PROVIDING THAT NO RATE FILING FOR PRIVATE PASSENGER AUTOMOBILE INSURANCE MAY INCLUDE OR BE BASED UPON ACTUAL OR PROJECTED LOSS OR EXPENSE DATA WHICH INCLUDES PAYMENTS MADE AS A RESULT OF THE INSURER'S TORTIOUS BREACH OF ITS DUTY OF GOOD FAITH AND FAIR DEALING, PROVIDING THAT THERE IS NO PERSONAL INJURY PROTECTION COVERAGE MANDATED UNDER THE AUTOMOBILE INSURANCE LAWS OF THIS STATE BUT THAT IF AN INSURER OFFERS THIS COVERAGE, THE BENEFITS PAYABLE UNDER THE COVERAGE MAY BE ASSIGNED TO HOSPITALS, FUNERAL HOMES, PHYSICIANS, OR OTHER MEDICAL PROVIDERS, PROVIDING THAT MEDICAL PAYMENTS COVERAGE MAY BE OFFERED AS AN OPTIONAL COVERAGE UNDER THE AUTOMOBILE INSURANCE LAWS OF THE STATE BUT THAT THERE IS NO REQUIREMENT THAT MEDICAL PAYMENTS COVERAGE BE OFFERED AND THAT IF AN INSURER OFFERS THIS COVERAGE, THE BENEFITS PAYABLE UNDER THE COVERAGE MAY BE ASSIGNED TO HOSPITALS, FUNERAL HOMES, PHYSICIANS, OR OTHER MEDICAL PROVIDERS, REQUIRING THAT, TO INSURE THAT ALL AUTOMOBILE INSURANCE POLICIES ARE RATED TO REFLECT THE DRIVING RECORD OF ALL INSUREDS NAMED IN THE POLICY, ALL INSURERS OR THEIR AGENTS ARE REQUIRED TO OBTAIN A MOTOR VEHICLE REPORT ON EACH NAMED INSURED AT THE POINT OF SALE AND AT LEAST ANNUALLY AFTER THE SALE, AND REQUIRING THE CHIEF INSURANCE COMMISSIONER TO REVIEW ALL FORMS OF INSURANCE COVERED BY ANY SECTION OF THIS ACT AND TO ORDER RATE REDUCTIONS AS REQUIRED BY THIS ACT.

Reps. RUDNICK, T. ROGERS, BARBER, SMITH, TUCKER, P. HARRIS, WASHINGTON, McABEE, D. MARTIN, SHARPE, WAITES, WHIPPER and HARVIN proposed the following Amendment No. 30 (Doc. No. 3254U), which was adopted.

Amend the bill, as and if amended, by adding an appropriately numbered section to read:

/SECTION 81. The 1976 Code is amended by adding:

"Section 38-77-350. (A) A person who is guilty of a violation, for a first offense, of Section 56-5-5310 for not having a taillight in good working order may not have his automobile insurance premiums increased as a result of that violation.

(B) A person violating Section 56-5-5310, for a first offense, has ten days to repair the taillight. If this person is found in violation of section 56-5-5310 as stated in subsection (A), after the ten-day period, he must be punished as provided by law./

Renumber sections to conform.

Amend title to conform.

Rep. RUDNICK explained the amendment.

The amendment was then adopted.

Reps. R. BROWN, KOHN, T.C. ALEXANDER, HARVIN, LIMEHOUSE, MAPPUS, J. BAILEY, TOWNSEND and BAKER proposed the following Amendment No. 32 (Doc. No. 3245U), which was adopted.

Amend the bill, as and if amended, by adding a new SECTION, to be appropriately numbered, as follows:

/SECTION 82. The 1976 Code is amended by adding:

"Section 38-77-245. When an uninsured motor vehicle is involved in a motor vehicle accident where the driver of the other vehicle who is insured is at fault, the uninsured driver, if any, is entitled to damages resulting from the accident, but no property damages to the uninsured motor vehicle are allowed."/

Renumber sections to conform.

Amend title to conform.

Rep. BAKER explained the amendment.

Reps. McLELLAN and GREGORY spoke against the amendment.

Reps. LIMEHOUSE, J. BAILEY, SIMPSON and BAKER spoke in favor of the amendment.

Rep. GREGORY moved to table the amendment.

Rep. BAKER demanded the yeas and nays, which were taken resulting as follows:

Yeas 6; Nays 94

Those who voted in the affirmative are:

Baxley                 Gregory                Keesley
McLellan               Rudnick                Short

Total-6

Those who voted in the negative are:

Alexander, M.O.        Alexander, T.C.        Altman
Bailey, J.             Bailey, K.             Baker
Barber                 Beasley                Bennett
Blackwell              Blanding               Boan
Brown, G.              Brown, H.              Brown, R.
Bruce                  Burriss, M.D.          Carnell
Chamblee               Clyborne               Cole
Cooper                 Corbett                Cork
Davenport              Derrick                Elliott
Fant                   Farr                   Felder
Ferguson               Gentry                 Glover
Gordon                 Hallman                Harris, J.
Harris, P.             Harwell                Haskins
Hayes                  Hearn                  Hendricks
Hodges                 Huff                   Jaskwhich
Johnson, J.G.          Johnson, J. W.         Keegan
Keyserling             Kirsh                  Kohn
Koon                   Limehouse              Littlejohn
Lockemy                Manly                  Mappus
Martin, D.             Martin, L.             Mattos
McAbee                 McCain                 McEachin
McElveen               McGinnis               McLeod
McTeer                 Moss                   Neilson
Nesbitt                Nettles                Phillips
Quinn                  Rama                   Rhoad
Rogers, T.             Sharpe                 Sheheen
Simpson                Smith                  Snow
Stoddard               Sturkie                Townsend
Tucker                 Vaughn                 Waites
Wells                  Wilder                 Wilkes
Wilkins                Winstead               Wofford
Wright

Total-94

So, the House refused to table the amendment.

Rep. LOCKEMY spoke upon the amendment.

The amendment was then adopted.

Rep. McABEE proposed the following Amendment No. 53 (Doc. No. 3329U), which was adopted.

Amend the bill, as and if amended, by adding a new section to be appropriately numbered which shall read:

/SECTION 83. The 1976 Code is amended by adding:

"Section 38-77-625. If an insured is involved in a motor vehicle accident where he is not the at fault driver and the at fault driver is uninsured, his facility recoupment charge may not be increased by his insurer because of this occurrence."/

Renumber sections to conform.

Amend title to conform.

Rep. T. ROGERS explained the amendment.

The amendment was then adopted.

Reps. RUDNICK, KEYSERLING, GREGORY, HEARN, BURCH, WASHINGTON, WHITE, T. ROGERS, MCBRIDE, HARVIN, FABER, TAYLOR and WAITES proposed the following Amendment No. 56 (Doc. No. 3337U), which was adopted.

Amend the bill, as and if amended, by adding an appropriately numbered section to read:

/SECTION 84. All automobile insurance policies affected by the provisions of this act must be prepared, to the extent possible, in a clear and coherent manner using words with common and every day meanings. These policies must be in a layout and form and printed in a manner as will maximize communication. Companies writing automobile liability Insurance policies must draft all policies which would eliminate all nonessential and restate essential provisions in words and form customarily used and understood by people in the conduct of personal affairs. These policies also Must be printed in a type size and color which can be readily read by a person with normal vision./

Renumber sections to conform.

Amend title to conform.

Rep. RUDNICK explained the amendment.

The amendment was then adopted.

Rep. MATTOS proposed the following Amendment No. 63 (Doc. No. 3354U), which was tabled.

Amend the bill, as and if amended, by adding a SECTION, to be appropriately numbered, as follows:

/SECTION . (A) Whenever the Department of Highways and Public Transportation receives notice of the lapse or termination of the required liability insurance for a motor vehicle, the department, not later than seven days after receiving the notice, shall request the law enforcement agency of the county or municipality of record for the motor vehicle to apply or attach a boot to the vehicle, thereby immobilizing the vehicle. The law enforcement agency receiving the request must apply or attach the boot to the vehicle within seven days of receiving the request from the department. The boot must remain on the vehicle until the registered owner demonstrates to the satisfaction of the department that liability insurance as required under the laws of this State has been obtained and is in effect for the vehicle.

(B) There is no cause of action on behalf of the registered owner of the vehicle or any other person with respect to the application or attachment of the boot required under subsection (A) for damages caused to the vehicle or for any other reason./

Renumber sections to conform.

Amend title to conform.

Rep. MATTOS explained the amendment.

Rep. McLEOD moved to table the amendment, which was agreed to by a division vote of 60 to 32.

Rep. McLEOD proposed the following Amendment No. 64 (Doc. No. 3366U), which was tabled.

Amend the bill, as and if amended, by adding an appropriately numbered SECTION to read:

/SECTION _. Section 56-10-270(a) of the 1976 Code, as last amended by Act 641 of 1988, is further amended to read:

"(a) Any person knowingly operating an uninsured motor vehicle subject to registration in this State or any person knowingly allowing the operation of an uninsured motor vehicle subject to registration in this State is guilty of a misdemeanor and, upon conviction, must be fined not less than one two hundred dollars nor more than two five hundred dollars or imprisoned for thirty days and, upon conviction of a second offense, be fined not less than two five hundred dollars nor more than one thousand dollars or imprisoned for thirty days, or both, and for a third and subsequent offenses must be imprisoned for not less than forty-five days nor more than six months. Only convictions which occurred within five years including and immediately preceding the date of the last conviction constitute prior convictions within the meaning of this section. An uninsured motor vehicle includes an insured vehicle with respect to which the operator has been excluded from coverage pursuant to the provisions of Section 38-77-340."/

Renumber sections to conform.

Amend totals and title to conform.

Rep. McLEOD explained the amendment.

Rep. WASHINGTON moved to table the amendment, which was agreed to by a division vote of 48 to 23.

Reps. MOSS and FELDER proposed the following Amendment No. 78 (Doc. No. 3513U), which was adopted.

Amend the bill, as and if amended, by adding an appropriately numbered section to read:

/SECTION 85. (A) The commissioner shall review annually the rules, rates, and rating plans filed and in effect for each insurer providing five percent or more of the automobile liability insurance coverage in this State in the preceding calendar year to determine whether the filings continue to meet the requirements of this title and whether the filings are unfair or inappropriate given the loss experience in this State in the preceding year.

(B) Within one hundred eighty days of the effective date of this section, the commissioner shall promulgate regulations establishing procedures whereby each insurer providing five percent or more of the automobile liability insurance coverage in this State annually shall submit to the commissioner the following information:

(1) the number of claims filed for each category;

(2) the number of civil actions filed;

(3) the number of civil actions compromised or settled;

(4) the number of verdicts in civil actions;

(5) the number of civil actions appealed:

(6) the number of civil actions dismissed;

(7) the total dollar amount paid in claims compromised or settled;

(8) the total dollar amount paid pursuant to verdicts in civil actions;

(9) the number of claims closed without payment and the amount held in reserve for all such claims;
(10) the total dollar amount expended for loss adjustment expenses, commissions, and brokerage expenses;
(11) the total dollar amount expended in defense and litigation of claims;
(12) the total dollar amount held in reserve for anticipated claims;
(13) net profit or loss;
(14) investment and other income on net realized capital gains and loss reserves and unearned premiums; and
(15) the number of automobile insurance policies canceled for reasons other than nonpayment of premiums.

(C) Beginning in the year 1990, the commissioner shall report annually during the month of November to the General Assembly the following information pertaining to each insurer providing five percent or more of the automobile liability insurance coverage in this State:

(1) the loss experience within the state during the preceding calendar year;

(2) the rules, rates, and rating plans in effect on the date of the report;

(3) the investment portfolio, including reserves, and the annual rate of return on it: and

(4) the information submitted to the commissioner pursuant to the regulations promulgated by authority of this section./

Renumber to conform.

Amend title to conform.

Rep. MOSS explained the amendment.

The amendment was then adopted.

Rep. J. BAILEY proposed the following Amendment No. 79 (Doc. No. 3488U), which was adopted.

Amend the bill, as and if amended, by adding an appropriately numbered section to read:

/SECTION 86. A. Section 38-73-1350 of the 1976 Code is amended to read:

"Section 38-73-1350. Notwithstanding the provisions of Sections 38-73-1370, 38-73-1380, 38-73-1400, 38-73-1410, 38-73-1420, and 38-73-1430, after public hearing the Chief Insurance Commissioner may prohibit Cooperation cooperation among or within property/casualty rating or advisory organizations by insurers or among or within these rating or advisory organizations and insurers in rate making or in other matters within the scope of this chapter, is authorized, so long as the filings resulting from the cooperation are subject to all the provisions of this chapter which are applicable to filings generally. The Commissioner may review such cooperative activities and practices, and, if, after a hearing, he finds that any activity or practice is unfair or unreasonable or otherwise inconsistent with the provisions of this chapter, he may issue a written order specifying in what respects the activity or practice is unfair or unreasonable or otherwise inconsistent with the provisions of this chapter and requiring the discontinuance of the activity or practice, except to the extent that these organizations may compile and disseminate only historic loss data with no mathematical trending or analytical methodologies. Upon a finding by the commissioner that the anti-competitive effects of this cooperation outweigh practical constraints of prohibitions. All property/casualty filings are subject to prior approval by the Chief Insurance Commissioner. The provisions of Title 1, Chapter 23 (Administrative Procedures Act) apply to all property/casualty rate filings."

B. Article 11, Chapter 73, Title 38 of the 1976 Code is amended by adding:

"Section 38-73-1370. After June 30, 1989, no rating organization may file a rate increase with the Commissioner for any previously approved final rate or premium charge for any private passenger automobile insurance coverage. A rating organization may file the pure loss component of the rate or premium charge for any private passenger automobile insurance coverage, by class and territory, for the approval of the Commissioner. After a public hearing, the Commissioner may approve the pure loss component of the rate or premium charge for use by the members or subscribers of the rating organization. No member or subscriber may use the approved pure loss component of the rate or premium charge unless and until the expense component of the rate or premium charge has also been filed with and approved by the Commissioner pursuant to Section 38-73-1380.

Section 38-73-1380. After June 30, 1989, no member or subscriber of a rating organization may utilize a rate or premium charge for any private passenger automobile insurance coverage unless and until the final rate or premium charge has been filed and approved by the Commissioner. After the effective date of this section, the final rate or premium charge is the pure loss component filed and approved by a rating organization on behalf of its members or subscribers added to the expense component of the rate or premium charge, filed with and approved by the Commissioner, by each member or subscriber of a rating organization independently.

No expense component filed by a member or subscriber of a rating organization may be approved by the Commissioner unless it has been the subject of a public hearing, if that member's or subscriber's total written private passenger automobile insurance premium during the previous calendar year equaled or exceeded one percent of the total written private passenger automobile insurance premium in this State during the previous calendar year.

Section 38-73-1400. (1) After June 30, 1989, the 'pure loss component' of the final rate or premium charge for private passenger automobile insurance is that portion of the final rate or premium charge applicable to calendar accident year incurred losses (the sum of paid losses plus loss reserves including incurred but not reported loss reserves) and loss adjustment expense (those expenses directly related to the payment of claims) in this State, trended to include both the past and prospective loss experience; provided, however, if the insurer writes one percent or more of the written premium for automobile insurance during the previous calendar year, that insurer must file its own trending methodology as independently derived.

(2) The 'expense component' of the final rate or premium charge for private passenger automobile insurance is that portion of the final rate or premium charge applicable to production costs (including commissions and other acquisition expenses), underwriting costs, administrative costs (including the actual costs of taxes, licenses and fees) and profit margin in this State.

(3) The 'final rate or premium charge' is the approved pure loss component added to the approved expense component. In the determination of whether the pure loss component should be approved and in the determination of whether the expense component should be approved, neither may be inadequate, excessive, nor unfairly discriminatory and the Commissioner shall take into account investment income from unearned premium and loss reserves, surplus and realized capital gains.

Section 38-73-1410. After June 30, 1989, upon the effective date of this section, nothing herein should be construed to require a rating organization or its members or subscribers to immediately refile final rates or premium charges previously approved by the Commissioner for private passenger automobile insurance coverages. Members or subscribers of a rating organization are authorized to continue to use automobile insurance rates or premium charges, approved before the effective date of this section, or decreases from those rates or premium charges filed by the rating organization and, subsequently, approved after the effective date of this section.

Section 38-73-1420. After June 30, 1989, the Board of Governors of the South Carolina Reinsurance Facility shall file an expense component for private passenger automobile insurance rate or premium charges after the rating organization with the largest number of members or subscribers has filed a pure loss component for private passenger automobile insurance with the Commissioner. Upon the approval of such component, those automobile insurers designated pursuant to Section 38-77-590(A), for risks written by them through producers designated pursuant to that same section, shall utilize these final rate or premium charges. Automobile insurers designated pursuant to Section 38-77-590(A) are not required to use those same final rates or premium charges for risks written through their agents not appointed pursuant to Section 38-77-590.

Section 38-73-1430. After June 30, 1989, the commissioner may extend the provisions of Sections 38-73-1370, 38-73-1380, 38-73-1400, and 38-73-1410 to other lines of property and casualty insurance, by order, after public hearing, when the determination is made that to do so is in the public interest."/

Renumber sections to conform.

Amend title to conform.

Rep. J. BAILEY explained the amendment.

The amendment was then adopted.

Rep. LIMEHOUSE proposed the following Amendment No. 83 (Doc. No. 3455U), which was adopted.

Amend the bill, as and if amended, by adding an appropriately numbered section to read:

/SECTION 87. Section 38-77-590 of the 1976 Code is amended by adding:

"(h) A designated carrier who fails a claims audit shall have no new designated producer assignments until such time as it passes a re-audit within a reasonable time period prescribed by the governing board. If this carrier fails two claims audits, including a re-audit, within any three-year period that carrier is disqualified for renewal of its contract with the Facility upon expiration of its existing contract."/

Renumber sections to conform.

Amend title to conform.

Rep. LIMEHOUSE explained the amendment.

The amendment was then adopted.

Rep. CORNING proposed the following Amendment No. 87 (Doc. No. 3486U), which was adopted.

Amend the bill, as and if amended, by adding two new sections, to be appropriately numbered, as follows:

/SECTION 88. Chapter 5, Title 56 of the 1976 Code is amended by adding:

"Article 48
Safety Belts

Section 56-5-6510. As used in this article:

(l) 'Motor vehicle' means a passenger car, truck, van, or recreational vehicle required to be equipped with safety belts by Federal Motor Vehicle Safety Standard No. 208 (49 CFR 571.208), manufactured after July, 1966.

(2) 'Driver' means a person who drives or is in actual physical control of a motor vehicle.

Section 56-5-6520. The driver and every other occupant of a motor vehicle who is under fifteen years of age but over six years of age, when the motor vehicle is being operated on the public streets and highways of this State, shall wear a fastened safety belt which complies with all provisions of federal law for the use of safety belts. The driver is charged with the responsibility of requiring each such occupant to wear a safety belt.

Section 56-5-6530. The provisions of this article do not apply to:

(1) a driver or occupant who possesses a written verification from a physician that he is unable to wear a safety belt for Physical or medical reasons;

(2) medical or rescue personnel attending to injured or sick individuals in an emergency vehicle when operating in an emergency situation as well as the injured or sick individual;

(3) school, church, or day care buses;

(4) public transportation vehicles except taxis;

(5) sanitation and fire trucks;

(6) Occupants of vehicles in parades;

(7) rural mail carriers;

(8) an occupant for which no safety belt is available because all belts are being used by other occupants;

(9) a driver or occupant frequently stopping and leaving a motor vehicle for delivery purposes;

(10) children under six years of age who must be restrained properly as provided by Article 47, Chapter 5 of Title 56.

Section 56-5-6540. (A) A person violating the provisions of this article, upon conviction, must be fined not more than ten dollars. All fines collected must go to the Department of Highways and Public Transportation and be used for highway safety and enforcement. No custodial arrest for a violation of this article may be made, except upon a warrant issued for failure to appear in court when summoned or for failure to pay an imposed fine.

(B) A violation of this article does not constitute contributory negligence, negligence per se, or assumption of the risk, nor is it admissible as evidence in the trial of any civil action on the issue of mitigation of damages."

SECTION _. For three months after the effective date of this act, only warnings may be issued for violations of Article 48, Chapter 5, Title 56 of the 1976 Code./

Renumber sections to conform.

Amend title to conform.

Rep. CORNING explained the amendment.

The amendment was then adopted by a division vote of 66 to 36.

Rep. J. BAILEY proposed the following Amendment No. 89 (Doc. No. 3479U), which was adopted.

Amend the bill, as and if amended, by adding an appropriately numbered section immediately before the last section of the bill to read:

/SECTION 89. If any provision of this act or the application of it to any person or circumstance is held invalid, the remainder of the act and the application of that provision to other persons or circumstances is not affected./

Renumber sections to conform.

Amend title to conform.

Rep. T. ROGERS explained the amendment.

The amendment was then adopted.

Rep. SHORT proposed the following Amendment No. 95 (Doc. No. 3511U), which was adopted.

Amend the bill, as and if amended, by adding an appropriately numbered section to read:

/Section 90. Section 38-77-950 of the 1976 Code is amended by adding at the end:

"Upon the written request of the policyholder, all insurance companies doing business in this State shall give written notice to the policyholder informing him whether or not he and any driver under the policy is in the Facility. The Commissioner may fine companies ten thousand dollars for each violation for failure to give such notice upon the written request of the policyholder."/

Renumber sections to conform.

Amend title to conform.

Rep. SHORT explained the amendment.

The amendment was then adopted.

Rep. J. BAILEY proposed the following Amendment No. 97 (Doc. No. 3525U), which was adopted.

Amend the bill, as and if amended, by adding an appropriately numbered section to read:

/SECTION 91. A. section 38-77-600 of the 1976 Code is amended to read:

"Section 38-77-600. The rate or premium charged by insurers of private passenger automobile insurance must include a Facility recoupment charge, which must be added to the appropriate base rate or objective standards rate prescribed in Sections 38-73-455 and 38-73-457. The operating losses of the Facility for a twelve-month period must be recouped in the subsequent twelve-month period.

(1) Prior to December first of each year, the governing board of the Facility shall calculate the recoupment amount, by coverage, by dividing the net Facility operating loss, adjusted to reflect industry average prudently incurred expenses, consistent with the provisions of Section 38-73-465, and the time value of money, by mandated coverage for the preceding Facility accounting year, by the total number of earned car years in the Facility, in South Carolina, by coverage, for the same period of time. One half of the recoupment is to be bourne by risks having zero surcharge points under the Uniform Merit Plan promulgated by the commissioner. This dollar The other one-half of this amount represents R in the formula, P10X + 2P1 2X + 3P2 3X + 4P3 4X + 5P4 5X + 6P6X + 7P7X +8P8X + 9P9X + 10P10X = R. In this formula to be utilized in determining the Facility recoupment charge:

(a) P0 1 is the percentage of risks which have zero one surcharge point points under the Uniform Merit Rating Plan promulgated by commissioner;

(b) P1 2 is the percentage of risks which have one two surcharge point points under the Uniform Merit Rating Plan;

(c) P2 3 is the percentage of risks which are subject to a surcharge of two three points under the Uniform Merit Rating Plan;

(d) P3 4 is the percentage of risks which are subject to a surcharge of three to eight four points under the Uniform Merit Rating Plan;

(e) P4 4 is the percentage of risks subject to a surcharge of nine or more five points under the Uniform Merit Rating Plan;

(f) P6 is the percentage of risks subject to a surcharge of six points under the Uniform Merit Rating Plan:

(g) P7 is the percentage of risks subject to surcharge of seven points under the Uniform Merit Rating Plan:

(h) P8 is the percentage of risks Subject to a surcharge of eight points under the Uniform Merit Rating Plan:

(i) P9 is the percentage of risks subject to a surcharge of nine points under the Uniform Merit Rating Plan:

(j) P9 or more is the percentage of risks subject to a surcharge of ten or more points under the Uniform Merit Rating Plan:

(f)(k) X is the dollar amount by coverage, to be charged all risks having zero one surcharge points point under the Uniform Merit Rating Plan promulgated by the Commissioner. This dollar amount, by coverage, is the Facility recoupment charge to be added to the base rate or objective standards rate prescribed in Sections 38-73-455 and 38-73-457 for all risks which have zero one surcharge points point.

(2) The Facility recoupment charge by coverage to be added to the base rate or objective standards rate for all risks which have one surcharge point under the Uniform Merit Rating Plan is calculated by multiplying by a factor of one.

(2)(3) The Facility recoupment charge by coverage to be added to the base rate or objective standards rate for all risks which have one two surcharge point points under the Uniform Merit Rating Plan is calculated by multiplying X by a factor of two.

(3)(4) The Facility recoupment charge by coverage to be added to the base rate or objective standards rate for all risks which are subject to a surcharge of two three points under the Uniform Merit Rating Plan is calculated by multiplying X by a factor of three.

(4)(5) The Facility recoupment charge by coverage to be added to the base rate or objective standards rate for all risks which are subject to a surcharge of three to eight four points under the Uniform Merit Rating Plan is calculated by multiplying X by a factor of four.

(5)(6) The Facility recoupment charge by coverage to be added to the base rate or objective standards rate for all risks which are subject to a surcharge of nine or more five points under the Uniform Merit Rating Plan is calculated by multiplying X by a factor of five.

(7) The Facility recoupment charge by coverage to be added to the base rate or objective standards rate for all risks which are subject to a surcharge of six points under the Uniform Merit Rating Plan is calculated by multiplying X by a factor of six.

(8) The Facility recoupment charge by coverage to be added to the base rate or objective standards rate for all risks which are subject to a surcharge of seven points under the Uniform Merit Rating Plan is calculated by multiplying X by a factor of seven.

(9) The Facility recoupment charge by coverage to be added to the base rate or objective standards rate for all risks which are subject to a surcharge of eight points under the Uniform Merit Rating Plan is calculated by multiplying X by a factor of eight.

(10) The Facility recoupment charge by coverage to be added to the base rate or objective standards rate for all risks which are subject to a surcharge of nine points under the Uniform Merit Rating Plan is calculated by multiplying X by a factor of nine.

(11) The Facility recoupment charge by coverage to be added to the base rate or objective standards rate for all risks which are subject to a surcharge of ten or more points under the Uniform Merit Rating Plan is calculated by multiplying X by a factor of ten.

(6)(12) In determining the number of surcharge points a risk has for the purposes of this section, no surcharge points assigned under the Uniform Merit Rating Plan because the principal operator of the automobile has not been licensed in any state for at least one year immediately preceding the writing of the risk or as a result of a failure of any motor vehicle equipment requirement may be considered.

(13) This section applies to all private passenger automobile insurance policies issued or renewed after June 30. 1989. However. insurers unable to comply with the provisions of this section and renewal provisions required by law may comply with this section at any time after June 30. 1989. but in no event later than September 1. 1989."

B. Section 38-77-620 of the 1976 Code is amended to read:

"Section 38-77-620. The Facility recoupment charges approved or established pursuant to Section 38-77-610 must be added to the approved base rate and objective standards rate in effect for each automobile insurer. The combined rate or premium charge is effective on July first of each year and the recoupment charges must remain constant until July first of the following year. The base rate and objective standards rate may change in accordance with Section 38-73-457 and the other applicable requirements of this title pertaining to the approval of rates or premium charges. Facility recoupment charges must be considered in accordance with the following:

(1) Any recoupment charge paid by policyholders must be considered premium for the purpose of calculating premium taxes and commissions and is subject to normal policy cancellation procedures.

(2) Any net operating gains resulting from the operation of the Facility must be retained by the Facility, and the gains and any investment income derived from the gains must be used to offset future operating losses.

(3) The total funds recouped by all insurers less commission and premium talc expenses and time value of money considerations must be paid to the Reinsurance Facility in accordance with the plan of operation. The governing board shall redistribute the funds to the insurers based upon each insurer's share of the Reinsurance Facility losses. Recoupment must be used solely for the purpose of recovering past Facility operating deficits. The plan of operation must provide that the amount ultimately received by an individual company is not more than the company's share of the Reinsurance Facility losses, plus the time value of money.

(4) In the making and approval of rates for small commercial automobile risks, as defined in Section 38-77-30, consideration must be given to the net gains or losses incurred by insurers as a result of participation in the operating results and actual, prudently incurred expenses, respectively, of the Facility."/

Renumber sections to conform.

Amend title to conform.

Rep. J. BAILEY explained the amendment.

Rep. R. BROWN spoke in favor of the amendment.

The amendment was then adopted.

Reps. CORNING, McCAIN and BRUCE proposed the following Amendment No. 100 (Doc. No. 3620U), which was tabled.

end the bill, as and if amended, by adding two new sections, to be appropriately numbered, as follows:

/SECTION____. Title 56 of the 1976 Code is amended by adding:

"CHAPTER 2
Registration and Licensing of
Uninsured Motor Vehicles

Section 56-2-10. As used in this chapter:

(1) 'Conviction' also includes the entry of any plea of guilty or nolo contendere and the forfeiture of any bail or collateral deposited to secure a defendant's appearance.

(2) 'Insured motor vehicle' is a motor vehicle as to which (a) there is bodily injury liability insurance and property damage liability insurance, both in the amounts specified in Section 56-4-830, issued by an insurer authorized to do business in this State, (b) a bond has been given or cash or securities delivered in lieu of the insurance, or (c) the owner has qualified as a self-insurer in accordance with the provisions of Section 56-4-90; and

(3) 'Uninsured motor vehicle' is a motor vehicle required to be registered as to which (a) there is no bodily injury liability insurance and property damage liability insurance, (b) no bond has been given or cash or securities delivered in lieu thereof, or (c) the owner has not qualified as a self-insurer.

Section 56-2-20. In addition to any other fees prescribed by law, every person registering and licensing an uninsured motor vehicle, as termed in Section 56-2-10, in this State shall pay, at the time of registering and licensing an uninsured motor vehicle, a sum to be fixed by the Chief Insurance Commissioner but not to exceed one hundred dollars. Credit for payment made on a motor vehicle subsequently transferred during the same licensing year must be applied to any motor vehicle thereafter registered by the uninsured motorist during the same licensing year.

Section 56-2-30. The Department of Highways and Public Transportation may require that a person applying for licensing and registration of a motor vehicle shall certify under the penalties set forth in Section 56-2-110 whether or not each motor vehicle is an insured motor vehicle as defined in Section 56-2-10, or the department may in its discretion require that a person (a) produce as evidence of financial responsibility a certificate on a form prescribed by the department of insurance or self-insurance complying with the requirements of Section 56-4-90, (b) has given bond or delivered the cash or securities as provided in Sections 56-4-660 and 56-4-670, respectively, or (c) pay the fee prescribed in Section 56-2-20.

Section 56-2-40. Upon the termination of insurance by cancellation or failure to renew, notice of the cancellation or other termination must be filed by the insurer with the department not later than five days following the effective date of the cancellation or other termination.

Section 56-2-50. The department shall, upon receipt of the notice of cancellation or termination provided for in Section 56-2-40, revoke the certificate of registration and license plates of the motor vehicle with respect to which the policy was in force, unless the owner either gives evidence that the vehicle is an insured vehicle in the manner provided in Section 56-2-30 or pays the fee provided in Section 56-2-20.

Section 56-2-60. All funds collected by the department under the provisions of this chapter must be deposited to the credit of the State Treasurer and monthly transferred to a special deposit fund to be known as the 'Uninsured Motorists Fund' to be disbursed as provided in Section 56-2-70 to 56-2-90.

Section 56-2-70. The fund is under the supervision and control of the Chief Insurance Commissioner and must be paid out, on warrants of the Comptroller General issued on vouchers signed by the commissioner or persons he designates, for the purpose of defraying the costs of administration of this chapter and chapters of this title by the department and for reducing the costs of the endorsement or provisions provided in Section 56-2-80.

Section 56-2-80. The Chief Insurance Commissioner shall annually, at the time during each year he considers best, make distribution from the fund as follows:

(1) to the department, the amount certified by it as its administrative costs and expenses for this chapter and Chapter 4 of this title. These payments may be made on a quarterly basis.

(2) Among the several insurance companies writing motor vehicle bodily injury and property damage insurance on motor vehicles registered in this State, the balance of the fund, subject to the limitations of Sections 56-2-70 to 56-2-90, after taking out the administrative costs to be paid to the department Distribution among the insurance companies must be in the proportion that the number of policies issued by each insurance company bearing the endorsement or provision required to be made available to policyholders pursuant to Section 56-4-840 bears to the total number of the policies bearing the endorsement or provision written in this State during the preceding year. The total amount to be distributed among the insurance companies for any year may not exceed the aggregate amount of loss experienced by the companies under the endorsements or provisions, as determined by the Chief Insurance Commissioner, during the year for which the distribution is made. The amount payable to any insurance company under this section applies only to those companies maintaining records satisfactory to the commissioner.

Section 56-2-90. If the amount in the fund exceeds the amount distributable to the department and among the insurance companies or if, for any reason, the funds cannot be expended, the balance remaining in the fund must be held in reserve in the fund with the State Treasurer against years in which there may be a deficit. If the fund in any year is insufficient to pay the administrative costs and the aggregate amount of loss experienced by the several insurance companies, as defined in Section 56-2-30, the insurance companies have a proportionate claim against the fund and must be paid the difference during any succeeding year that the fund has a surplus.

Section 56-2-100. The Chief Insurance Commissioner may promulgate regulations necessary to implement the provisions of this chapter.

Section 56-2-110. A person who knowingly makes a false certificate as to whether a motor vehicle is an insured motor vehicle or gives to the department false evidence that any motor vehicle sought to be registered is insured is guilty of a misdemeanor and, upon conviction, must be fined not less than five hundred dollars or imprisoned for ninety days. The department shall deny, for six months, registration of any motor vehicle for which a false certificate or false evidence is presented to the effect that the vehicle is insured and shall revoke, and may not thereafter reissue for six months, the driver's license of a person making a false certificate or offering false evidence as specified in this section.

Section 56-2-120. This chapter does not repeal any other provision contained in this title, but is cumulative to such other provisions."

SECTION_____. Title 66 of the 1976 Code is amended by adding:

"CHAPTER 4
Motor Vehicle Safety Responsibility Act
Article 1
General Provisions

Section 56-4-10. This chapter may be cited as the 'Motor Vehicle Safety Responsibility Act'.

Section 56-4-20. As used in this chapter:

(1) 'Conviction' also includes the entry of any plea of guilty or nolo contendere and the forfeiture of bail or collateral deposited to secure a defendant's appearance in court.

(2) 'Department' means the Department of Highways and Public Transportation acting directly or through its authorized officers and agents.

(3) 'Insured motor vehicle' means, except in Article 9 of this chapter, a motor vehicle as to which there is bodily injury liability insurance and property damage liability insurance, both in the amounts required by law, issued by an insurer authorized to do business in this State, or as to which a bond has been given or cash or securities delivered in lieu of the insurance or as to which the owner has qualified as a self-insurer in accordance with the provisions of Section 56-4-90.

(4) 'Judgment' is any judgment which has become final by expiration without appeal of the time within which an appeal might have been perfected or by final affirmance on appeal, rendered by a court of competent jurisdiction of any state of the United States, upon a cause of action arising out of the ownership, maintenance, or use of any motor vehicle, for damages, including damages for care and loss of service, because of bodily injury to or death of a person or for damages because of injury to or destruction of property, including the loss of use thereof, or upon a cause of action on an agreement for such damages.

(5) 'License' is any license, temporary instruction permit, or temporary license issued under the laws of this State pertaining to the licensing of persons to operate vehicles.

(6) 'Motor vehicle' is every self-propelled vehicle which is designed for use upon a highway, including trailers and semitrailers designed for use with the vehicles, but excepting traction engines, road rollers, farm tractors, tractor cranes, power shovels, and well drillers;

(7) 'Motor vehicle liability policy' is an owner's or an operator's policy of liability insurance, certified as provided in Section 56-4-640 or 56-4-650 as proof of financial responsibility and issued, except as otherwise provided in Section 56-4-650, by an insurer authorized to transact business in this State, to or for the benefit of the person named in it as insured;

(8) 'Nonresident' means every person who is not a resident of this State;

(9) 'Nonresident operating privilege' is the privilege conferred upon a nonresident by the laws of this State pertaining to the operation by him of a motor vehicle or the use of a motor vehicle owned by him in this State.

(10) 'Operator' means every person who is in actual physical control of a motor vehicle, whether or not licensed as an operator or chauffeur under the laws of this State.

(11) 'Owner' is a person who holds the legal title of a motor vehicle, or, if a motor vehicle is the subject of an agreement for the conditional sale or lease thereof with the right of purchase upon performance of the conditions stated in the agreement and with an immediate right of possession vested in the conditional vendee or lessee or in the event a mortgagor of a vehicle is entitled to possession, then the conditional vendee or lessee or mortgagor is considered the owner for the purposes of this chapter.

(12) 'Person' means every natural person, firm, copartnership, association, or corporation.

(13) 'Proof of financial responsibility' means proof of ability to respond in damages for liability on account of accidents occurring after the effective date of the proof, arising out of the ownership, maintenance, or use of a motor vehicle, in the amount of fifteen thousand dollars because of bodily injury to or death of one person in any one accident and, subject to the limit for one person, in the amount of thirty thousand dollars because of bodily injury to or death of two or more persons in any one accident and in the amount of five thousand dollars because of injury to or destruction of property of others in any one accident.

(14) 'Registration' means registration certificates and registration or license plates issued under the laws of this State pertaining to the license and registration of motor vehicles;

(15) 'state' means any state, territory, or possession of the United States, the District of Columbia, or any Canadian province.

(16) 'Uninsured motor vehicle' means, except in Article 9 of this chapter, a motor vehicle as to which there is no bodily injury liability insurance and property damage liability insurance as described in item (3) of this section or no bond has been given or cash or securities delivered in lieu thereof as described in that item or the owner of which has not qualified as a self-insurer in accordance with the provisions of Section 56-4-90.

Section 56-4-30. This chapter must be construed to effectuate its general purpose to make uniform the laws of those states which enact substantially identical legislation.

Section 56-4-40. This chapter does not apply with respect to any motor vehicle owned by the United States, this State, or any political subdivision of this State, nor, except for Section 56-4-310, 56-4-410, and 56-4-680, does it apply with respect to any motor vehicle which is subject to other laws of this State which require their owners to carry insurance or to place security, in a manner which would make those owners carry insurance or place security in addition to the amounts required by this chapter.

Section 56-4-50. This chapter does not affect the rights of any conditional vendor, chattel mortgagee, or lessor of a motor vehicle registered in the name of another as owner who becomes subject to the provisions of this chapter.

Section 56-4-60. This chapter does not prevent the owner of a motor vehicle, the registration of which has been suspended under this chapter, from effecting a bona tide sale of the motor vehicle to another person whose rights or privileges are not suspended under this chapter nor prevent the registration of the motor vehicle by the transferee.

Section 56-4-70. Nothing in this chapter may be construed to prevent the plaintiff in any action at law from relying for relief upon the other processes provided by law.

Section 56-4-80. This chapter may in no respect be considered as a repeal of any other provision contained in this title or the motor vehicle laws of this State but must be construed as supplemental and cumulative thereto.

Section 56-4-90. A person in whose name more than twenty-five motor vehicles are registered may qualify as, self-insurer by obtaining a certificate of self-insurance issue by the department as provided in this section. The department may, in its discretion, upon the application o the person, issue a certificate of self-insurance when it is satisfied that the person is possessed and will continue to be possessed of ability to pay judgments obtained a gains him. Upon not less than five days' notice and a hearing pursuant to the notice the department may, upon reasonable, grounds, cancel a certificate of self-insurance. Failure to pay any judgment within thirty days after the judgment becomes final constitutes a reasonable ground for the cancellation of a certificate of self-insurance.

Section 56-4-100. A person who forges or, without authority, signs any notice provided for under Sections 56-4-320 to 56-4-340 that a policy or bond is in effect or any evidence of proof of financial responsibility, or who files or offers for filing any such notice or evidence of proof, knowing, or having reason to believe, that it is forged or signed without authority, is guilty of a misdemeanor and, upon conviction, must be fined not more than two thousand dollars or imprisoned not more than two years, or both.

Section 56-4-120. A person who violates any provision of this chapter, for which no penalty is otherwise provided, is guilty of a misdemeanor and, upon conviction, must be fined not more than five hundred dollars or imprisoned for not more than ninety days.

Section 56-4-130. This chapter does not apply to any accident or judgment arising therefrom or violation of the motor vehicle laws of this State occurring before January 1, 1991.

Article 3
Administration and Enforcement

Section 56-4-210. The department shall administer and enforce the provisions of this chapter and may promulgate regulations necessary for its administration.

Section 56-4-220. Where appropriate, provisions of Chapter 23 of Title 1 apply with respect to contested cases of administrative procedures arising under this chapter.

Section 56-4-230. The department shall, upon request, furnish a person a certified abstract of the operating record of a person subject to the provisions of this chapter, which also fully designates the motor vehicles, if any, registered in the name of that person. If there is no record of any conviction of that person for violating any laws relating to the operation of a motor vehicle or of any injury or damage caused by that person, the department shall so certify. These abstracts are not admissible as evidence in any action for damages or criminal proceedings arising out of a motor vehicle accident.

Section 56-4-240. A person (1) whose license and registration has been suspended as provided in this chapter, (2) whose policy of insurance or bond, when required under this chapter, has been canceled or terminated, or (3) who has neglected to furnish other proof upon request of the department shall immediately return his license and registration to the department. If any person fails to return to the department his license or registration as provided in this section, the department may secure its possession by a highway patrolman.

A person wilfully failing to return his license or registration as required in this section is guilty of a misdemeanor and, upon conviction, must be fined three hundred dollars or imprisoned sixty days.

Section 56-4-250. After consultation with insurers authorized to issue automobile liability policies in this State, the Chief Insurance Commissioner shall approve a reasonable plan or plans for the equitable apportionment among the insurers of applicants for the policies and for motor vehicle liability policies who are in good faith entitled to the policies but are unable to procure them through ordinary methods or who desire to obtain coverage under the provisions of this section. Any plan must include the establishment of uniform premium rates as to each class of risk, based on the combined loss experience of all companies who participate in the plan, on their risk experience as a separate class. All insureds must be insured uniformly within every classification; there may be no discrimination whatsoever. When the plan has been approved, all insurance companies shall subscribe to and participate in it. Any person aggrieved under this section by any order or act of the commissioner may appeal the order or act as a contested case under the provisions of Chapter 23 of Title 1.

If the plan contains a provision that under certain circumstances the carrying insurer shall offer to renew coverage for a period of one year under a policy form issued to risks not participating in the plan, subject to the rates, minimum premiums, and classifications in force for these risks, the insured may request an agent of his choosing to help complete the transaction and any subsequent renewals or changes, and the agent may charge the insured a fee of not more than ten percent of the premium Involved. No fee may be charged if the carrying company recognizes the agent as producer of record and pays him not less than ten percent commission.

Article 5
Security Following Accident

Section 56-4-310. The driver of a vehicle involved in an accident resulting in injury to or death of any person or total property damage to an apparent extent of two hundred dollars or more shall, within five days after the accident, forward a written report of the accident to the department as required by law. The report must contain information to enable the department to determine whether the requirements for the deposit of security under Section 56-4-320 are inapplicable by reason of the existence of insurance or other exceptions specified in this chapter.

Section 56-4-320. The department upon receipt of a report of a motor vehicle accident in this State which has resulted in bodily injury or death or damage to the property of any one person in excess of two hundred dollars shall, within sixty days after the receipt, suspend the license of each operator or driver and all registrations of each owner of a motor vehicle involved in the accident and, if the operator or driver is a nonresident, the privilege of operating a motor vehicle in this State and the privilege of the use within this State of any motor vehicle owned by him, unless: (1) the operator, driver, or owner, or both, deposits security in a sum not less than two hundred dollars or an additional amount as the department specifies that is sufficient to satisfy any judgment that may be recovered for damages resulting from the accident which may be recovered against the operator or owner and (2) the owner and operator shall immediately give and thereafter maintain proof of financial responsibility on all motor vehicles owned or operated by them. Notice of the suspension must be sent by the department to the operator and owner at least ten days before the effective date of the suspension and must state the amount required as security.

Section 56-4-330. section 56-4-320 does not apply to any of the following:

(1) to the operator or owner if the owner had in effect at the time of the accident an automobile liability policy with respect to the motor vehicle involved in the accident:

(2) to the operator, if not the owner of the motor vehicle, if there was in effect at the time of the accident an automobile liability policy or bond with respect to his operation of motor vehicles not owned by him;

(3) to the operator or owner if the liability of the operator or owner for damages resulting from the accident is, in the judgment of the department, covered by any other form of liability insurance policy or bond;

(4) to any person qualifying as a self-insurer under Section 56-4-90;

(5) to the operator or owner of a motor vehicle involved in an accident in which no injury or damage was caused to the person or property of anyone other than the owner or operator;

(6) to the owner of a motor vehicle if at the time of the accident the vehicle was being operated without his permission, express or implied, or was parked by a person who had been operating the motor vehicle without his permission, express or implied;

(7) if, before the date that the department would otherwise suspend the license and registration or nonresident's operating privilege under Section 56-4-320, there must be filed with the department evidence satisfactory to it that the person who would otherwise have to file security (a) has been released from liability, (b) has been finally adjudicated not to be liable, (c) has executed a warrant for confession of judgment, payable when and in installments the parties have agreed to, or (d) has executed a duly acknowledged written agreement, providing for the payment of an agreed amount in installments, with respect to all claims for injuries or damages resulting from the accident; or

(8) to the owner of any legally parked vehicle when struck by another vehicle.

Section 56-4-340. No policy or bond is effective under Sections 56-4-320 and 56-4-330 unless issued by an insurer or surety company authorized to do business in this State, except that if the motor vehicle was not registered in this State or was a motor vehicle which was registered elsewhere than in this State at the effective date of the policy or bond or the most recent renewal thereof, the policy or bond is not effective under Sections 56-4-320 and 56-4-330 unless the insurer or surety company, if not authorized to do business in this State, executes a power of attorney authorizing the department to accept service on its behalf of notice or process in any action upon the policy or bond arising out of the accident. Every policy or bond must be subject, if the accident has resulted in bodily injury or death, to a limit, exclusive of interest and costs, of not less than fifteen thousand dollars because of bodily injury to or death of one person in any one accident and, subject to this limit for one person, to a limit of not less than thirty thousand dollars because of bodily injury to or death of two or more persons in any one accident and, if the accident has resulted in injury to or destruction of property, to a limit of not less than five thousand dollars because of injury to or destruction of property of others in any one accident.

Section 56-4-350. The license and registration and nonresident's operating privilege suspended as provided in Section 56-4-320 must, except as otherwise provided for in Section 56-4-410, remain suspended and may not be renewed, nor may any license or registration be issued to him, until:

(1) he deposits, or there is deposited on his behalf, the security required under Section 56-4-320;

(2) two years have elapsed following the date of the accident and evidence satisfactory to the department has been filed with it that during that period no action for damages arising out of the accident has been instituted; or

(3) evidence satisfactory to the department has been filed with it of a release from liability, a final adjudication of non liability, a warrant for confession of judgment, or a duly acknowledged written agreement, in accordance with Section 56-4-330(7). If there is any default in the payment of any installment under any confession of judgment, then, upon notice of default, the department shall suspend the license and registration or nonresident's operating privilege of the person defaulting, which may not be restored until the entire amount provided for in confession of judgment has been paid. If there is any default in the payment of any installment under any acknowledged written agreement, then, upon notice of default, the department shall suspend the license and registration or nonresident's operating privilege of the person defaulting, which may not be restored until (a) he deposits and thereafter maintains security as required under Section 56-4-320 in the amount the department determines or (b) two years have elapsed following the date when the security was required and during that period no action upon the agreement has been instituted in a court in this State.

Section 56-4-360. If the driver or the owner of a vehicle of a type subject to registration under the laws of this State, involved in an accident within this State, has no license or registration in this State, the driver is not allowed a license nor is an owner allowed to register any vehicle in this State, until he has complied with the requirements of this article to the same extent that would be necessary if at the time of the accident he had held a license or been the owner of a vehicle registered in this State.

Section 56-4-370. When a nonresident's operating privilege is suspended pursuant to Sections 56-4-320 or 56-4-350, the department shall transmit a certified copy of the record of the action to the official in charge of the issuance of licenses and registration certificates in the state in which the nonresident resides, if the law of the other state provides for action in relation thereto similar to that provided for under the laws of this State.

Section 56-4-380. Upon receipt of the certification that the operating privilege of a resident of this State has been suspended or revoked in the other state pursuant to a law providing for its suspension or revocation for failure to deposit security for the payment of judgments arising out of a motor vehicle accident under circumstances which would require the department to suspend a nonresident's operating privilege had the accident occurred in this State, the department shall suspend the license of the resident if he was the driver and all of his registrations if he was the owner of a motor vehicle involved in the accident. This suspension continues until the resident furnishes evidence of compliance with the law of the other state relating to the deposit of the security.

Section 56-4-390. The security required under this article must be in the form and in the amount that the department requires but in no case in excess of the limits specified in section 56-4-340 in reference to the acceptable limits of a policy or bond. The person depositing security shall specify in writing the person on whose behalf the deposit is made and, at any time while the deposit is in the custody of the department or State Treasurer, the person depositing it may, in writing, amend the specifications of the persons on whose behalf the deposit is made to include additional persons; but a single deposit of security is applicable only on behalf of persons required to furnish security because of the same accident.

Section 56-4-400. The department may at any time reduce the amount of security ordered in any case if, in its judgment, the amount ordered is excessive. In case the security originally ordered has been deposited, the excess deposited over the reduced amount ordered must be returned to the depositor or his personal representative, notwithstanding the provisions of Section 56-4-410. In no case may the department reduce the amount of security to a sum less than two hundred dollars.

Section 56-4-410. Security deposited in compliance with the requirements of this article must be placed by the department in the custody of the State Treasurer and is applicable only to the payment of judgments rendered against the persons on whose behalf the deposit was made for damages arising out of the accident in question in an action at law begun not later than two years after the date of the accident or within two years after the date of deposit of any security under Section 56-4-350(3), and this deposit or any balance must be returned to the depositor or his personal representative when evidence satisfactory to the department has been filed with it that there has been a release from liability, a final adjudication of non liability, a warrant for confession of judgment, or a duly acknowledged agreement, in accordance with Section 56-4-330(7), or when, after the expiration of two years from the date of the accident or within two years after the date of deposit of any security under Section 56-4-350(3), the department is given reasonable evidence that there is no action pending and no judgment rendered in the action left unpaid.

Section 56-4-420. When any person whose license would otherwise have been suspended for failure to deposit security required pursuant to this article is, or later becomes, an operator in the employ of another owner, the department may in its discretion, notwithstanding any provisions in this chapter to the contrary, allow the person to retain his license to operate a vehicle of another owner, in the pursuit of the employment, if the employer-owner of the vehicle has furnished proof of financial responsibility covering the operation of any vehicle which the person may be permitted to operate. The department shall designate the restrictions Imposed pursuant to this section on that person's license.

Section 56-4-430. Neither the action taken by the department pursuant to this article, the findings, if any, of the department upon which action is based, nor the security filed as provided in this article may be referred to in any way or be any evidence of the negligence or due care of either party at the trial of any action at law to recover damages.

Article 7
Proof of Financial Responsibility for the Future

Section 56-4-510. When any person fails within sixty days to satisfy any judgment, it is the duty of the clerk of court, or of the judge of a court which has no clerk, in which any judgment is rendered within this State to forward to the department immediately after the expiration of sixty days a certified copy of the judgment.

Section 56-4-520. If the defendant named in any certified copy of a judgment reported to the department is a nonresident, the department shall transmit a certified copy of the judgment to the official in charge of the issuance of licenses and registration Certificates of the state of which the defendant is resident.

Section 56-4-530. The department upon receipt of a certified copy of judgment shall suspend the license and registration and any nonresident's operating privilege of any person against whom the judgment was rendered, except as otherwise provided in Sections 56-4-540 to 56-4-560 and 56-4-590.

Section 56-4-540. If the judgment creditor consents in writing, in the form which the department may prescribe, that the judgment debtor is allowed license and registration or nonresident's operating privilege, this may be allowed by the department for six months from the date of the consent and thereafter until the consent is revoked in writing, notwithstanding default in the payment of the judgment or any installment thereof prescribed in section 56-4-590 if the judgment debtor furnishes proof of financial responsibility.

Section 56-4-550. A person whose license, registration, or nonresident's operating privilege has been suspended or is about to be suspended or becomes subject to suspension under the provisions of this article may be relieved from the effect of the judgment as prescribed in this article by filing with the department an affidavit stating that at the time of the accident upon which the judgment has been rendered the affiant was insured, that the insurer is liable to pay the judgment, and the reason, if known, why the insurance company has not paid the judgment. He shall also file the original policy of insurance or a certified copy thereof, if available, and other documents which the department may require to show that the loss, injury, or damage for which the judgment was rendered was covered by the policy of insurance. If the department is satisfied from these papers that the insurer was authorized to issue the policy of insurance at the time and place of issuing the policy and that the insurer is liable to pay the judgment, at least to the extent and for the amounts required in this chapter, the department shall not suspend the license or registration or nonresident's operating privilege or, if already suspended, shall reinstate them.

Section 56-4-560. Whenever a person whose license would otherwise have been suspended for failure to satisfy a judgment as provided in Section 56-4-530 is, or later becomes, an operator in the employ of another owner, the department may, in its discretion, notwithstanding any provisions in this chapter to the contrary, allow the person to retain his license to operate a vehicle of another owner in the pursuit of the employment, if the employer-owner of the vehicle has furnished proof of financial responsibility covering the operation of any vehicle which the person may be permitted to operate. The department shall designate the restrictions imposed pursuant to this section on that person's license.

Section 56-4-570. The license, registration, and nonresident's operating privilege shall, except as otherwise provided in Section 56-4-560, remain suspended and may not be renewed nor may any license or registration be thereafter issued in the name of that person, including that person if not previously licensed until every judgment is satisfied in full or to the extent provided in Section 56-4-580 and until the person gives proof of financial responsibility, subject to the exemptions stated in Sections 56-4-540 to 56-4-560 and 56-4-590.

A discharge in bankruptcy following the rendering of any judgment does not relieve the judgment debtor from any of the requirements of this article.

Section 56-4-580. Judgments referred to in this article, for the purpose of this article only, must be considered satisfied:

(1) when fifteen thousand dollars has been credited upon any judgment rendered in excess of that amount because of bodily injury to or death of one person as the result of any one accident;

(2) when, subject to the limit of fifteen thousand dollars because of bodily injury to or death of one person, the sum of thirty thousand dollars has been credited upon any judgments rendered in excess of that amount because of bodily injury to or death of two or more persons as the result of any one accident; or

(3) when five thousand dollars has been credited upon any judgments rendered in excess of that amount because of injury to or destruction of property of others as a result of any one accident.

Payments made in settlement of any claims because of bodily injury, death, or property damage arising from a motor vehicle accident must be credited in reduction of the amounts provided for in this section.

Section 56-4-590. A judgment debtor upon due notice to the judgment creditor may apply to the court in which the judgment was rendered for the privilege of paying the judgment in installments, and the court, in its discretion and without prejudice to any other legal remedies which the judgment creditor may have, may order and fix the amounts and times of payment of the installments.

The department may not suspend a license, registration, or nonresident's operating privilege and shall restore any license, registration, or nonresident's operating privilege suspended following nonpayment of a judgment when the judgment debtor gives proof of financial responsibility and obtains an order permitting the payment of the judgment in installments and while the payment of any installment is not in default.

If the judgment debtor fails to pay any installment as specified by the order, then upon notice of the default the department shall suspend the license, registration, or nonresident's operating privilege of the judgment debtor until the judgment is satisfied, as provided in this article.

Section 56-4-600. When the department, under any law of this State, suspends or revokes the license of a person upon receiving a record of conviction or forfeiture of bail and in all cases where the department suspends or revokes the driver's license of a person under lawful authority possessed by the department, the department shall also suspend the registration for all motor vehicles registered in the name of that person, except that it shall not suspend the registration, unless otherwise required by law, if that person has previously given or shall immediately give and thereafter maintain proof of financial responsibility with respect to all motor vehicles registered by him. The license and registration remain suspended or revoked and may not at any time thereafter be renewed nor may any license be thereafter issued to that person nor may any motor vehicle be thereafter registered in the name of that person until permitted under the motor vehicle laws of this State and not then until he gives and thereafter maintains proof of financial responsibility.

Section 56-4-610. When the department suspends or revokes a nonresident's operating privilege by reason of a conviction or forfeiture of bail, this privilege remains suspended or revoked unless that person has previously given or immediately gives and thereafter maintains proof of financial responsibility.

Section 56-4-620. If a person is not licensed but by final order or judgment is convicted of or forfeits any bail or collateral deposited to secure an appearance for trial for any offense requiring the suspension or revocation of license, for operating a motor vehicle upon the highways without being licensed to do so, or for operating an unregistered motor vehicle upon the highways, no license may thereafter be issued to that person and no motor vehicle may continue to be registered or thereafter be registered in his name until he gives and thereafter maintains proof of financial responsibility.

Section 56-4-630. Proof of financial responsibility when required under this chapter may be given by filing:

(1) a certificate of insurance as provided in Sections 56-4-640 or 56-4-650;

(2) a bond as provided in Section 56-4-660; or

(3) a certificate of deposit of money or securities as provided in Section 56-4-670.

Section 56-4-640. Proof of financial responsibility may be furnished by filing with the department the written certificate of any insurer authorized to do business in this State certifying that there is in effect a motor vehicle liability policy for the benefit of the person required to furnish proof of financial responsibility. The certificate must give the date of the motor vehicle liability policy, which date must be the same as the effective date of the certificate, and must designate by explicit description or by appropriate reference all motor vehicles covered, unless the policy is issued to a person who is not the owner of a motor vehicle. The policy must be written for a minimum term of one year. A certificate of insurance remains in full force and effect for a period of at least ninety days unless the certificate is canceled by the insurance company for some reason other than nonpayment of premium. If a certificate of insurance is canceled after ninety days for nonpayment of premium, the insurance company issuing the certificate shall immediately notify the department that the reason for the cancellation is for nonpayment of premium. If a certificate of insurance is canceled for any reason other than for nonpayment of premium the insurance company issuing the certificate shall immediately notify the department that the cancellation is not for nonpayment of premium. The department may refuse acceptance of the certificate of insurance required under this section for the following reasons:

(1) if the certificate is filed by an agent or company found to be in violation of any of the provisions of this chapter; or

(2) if the certificate is filed for any person who has previously had a certificate canceled for nonpayment of premium, unless the policy when the certificate is issued is certified to be non cancelable for a period of one year for nonpayment of premium.

No motor vehicle may be or continue to be registered in the name of any person required to file proof of financial responsibility unless the motor vehicle is so designated in the certificate.

Section 56-4-650. The nonresident owner of a motor vehicle not registered in this State may give proof of financial responsibility by filing with the department written certificates of an insurer authorized to transact business in the state in which the motor vehicle, or motor vehicles, described in the certificate is registered or, if the nonresident does not own a motor vehicle, then in the state in which the insured resides, as long as the certificate otherwise conforms with the provisions of this chapter, and the department shall accept it upon condition that the insurance carrier complies with the following provisions with respect to the policies certified:

(1) the insurance carrier executes a power of attorney authorizing the department to accept service on its behalf of notice or process in any action arising out of a motor vehicle accident in this state; and

(2) the insurance carrier agrees in writing that the policies must be construed to conform with the laws of this State relating to the terms of motor vehicle liability policies issued in this State.

If an insurer not authorized to transact business in this State, which has qualified to furnish proof of financial responsibility, defaults in any of these undertakings or agreements, the department may not thereafter accept as proof any certificate of that carrier whether formerly filed or thereafter tendered as proof, so long as the default continues.

Section 56-4-660. Proof of financial responsibility may be evidenced by the bond of a surety company authorized to transact business within this State or a bond with at least two individual sureties, each owning real estate in this State and together having equities equal in value to at least twice the amount of the bond, which real estate must be scheduled in the bond approved by a judge of a court of record, which bond must be conditioned for payment of the amounts specified in Section 56-4-20(13). The bond must be filed with the department and is not cancelable except after ten days' written notice to the department. The bond constitutes a lien in favor of the State upon the real estate scheduled of any surety. The lien exists in favor of any holder of a final judgment against the person who has filed the bond for damages, including damages for care and loss of services, because of bodily injury to or death of any person or for damage because of injury to or destruction of property, including the loss of use thereof, resulting from the ownership, maintenance, use, or operation of a motor vehicle after the bond was filed, upon the filing of notice to that effect by the department in the appropriate office of the county or city where the real estate is located. Any surety scheduling real estate security shall furnish satisfactory evidence of title and the nature and extent of all encumbrances thereon and the value of the surety's interest therein in the manner which the judge of the court of record may require. The notice filed by the department must, in addition to other matters which are considered to be pertinent by the department, contain a legal description of the real estate scheduled, the name of the holder of the record title, the amount for which it stands as security, and the name of the person in whose behalf proof is being made. Upon the filing of the notice, the clerk of court shall retain it as part of the records of the court and enter upon the record the date and hour of filing, the name of the surety, the name of the titleholder of record, the description of the real estate and a notation that a lien is charged on the real estate pursuant to the notice filed under this section.

If a judgment rendered against the principal on the bond is not satisfied within sixty days after it has become final, the judgment creditor may for his own use and benefit and at his sole expense bring an action in the name of the State against the company or persons executing the bond, including an action or proceeding to foreclose any lien that may exist upon the real estate of a person who executed the bond. An action to foreclose any lien upon real estate scheduled by any surety under the provisions of this section may be brought in the same manner as is provide a for the foreclosure of real estate mortgages in this State.

Section 56-4-670. Proof of financial responsibility may be evidenced by the certificate of the State Treasurer that the person named therein has deposited with him forty-five thousand dollars in cash or securities such as may legally be purchased by savings banks or for trust funds of a market value of forty-five thousand dollars. The State Treasurer may not accept the deposit and issue a certificate there for and the department may not accept the certificate unless accompanied by evidence that there are no unsatisfied judgments of any character against the depositor in the county where the depositor resides.

The deposit must be held by the State Treasurer to satisfy, in accordance with the provisions of this chapter, any execution on a judgment issued against the person making the deposit for damages, including damage for care and loss of service, because of bodily injury to or death of any person or for damages because of injury to or destruction of property, including the loss of use thereof, resulting from the ownership, maintenance, use, or operation of a motor vehicle after the deposit was made. Money or securities deposited are not subject to attachment or execution unless the attachment or execution arises out of a suit for damages which this chapter covers.

Section 56-4-680. When a person required to give proof of financial responsibility under this chapter is, or later becomes, an operator in the employ of any owner or is, or later becomes, a member of the immediate family or household of the owner, the department shall accept proof given by the owner in lieu of proof by the other person to permit that person to operate a motor vehicle for which the owner has given proof as provided in this chapter. The department shall designate the restrictions imposed by this section on that person's license.

Section 56-4-690. The department shall consent to the cancellation of any bond or certificate of insurance or the department shall direct and the State Treasurer shall return the money or securities to the person entitled thereto upon the substitution and acceptance of other adequate proof of financial responsibility pursuant to this chapter.

Section 56-4-700. Whenever any proof of financial responsibility filed under the provisions of this chapter no longer fulfills the purposes for which required, the department shall require other proof as required by this chapter and shall suspend the license and registration or the nonresident's operating privilege pending the filing of other proof.

Section 56-4-710. The department shall upon request consent to the immediate cancellation of any bond or certificate of insurance, or shall return to the person entitled thereto any money or securities deposited pursuant to this chapter as proof of financial responsibility, or the department shall waive the requirement of filing proof, if:

(1) at any time after five years from the date the proof was required when, during the five-year period preceding the request, the department has not received record of a conviction or a forfeiture of bail which would require or permit the suspension or revocation of the license, registration, or nonresident's operating privilege of the person by or for whom the proof was furnished;

(2) in the event of the death of the person on whose behalf the proof was filed or the permanent incapacity of the person to operate a motor vehicle; or

(3) if the person who has given proof surrenders his license and registration to the department.

The department may not consent to the cancellation of any bond or the return of any money or securities if any action for damages upon a liability covered by the proof is then pending or any judgment upon this liability is then unsatisfied or if the person who has filed the bond or deposited the money or securities has, within one year immediately preceding the request, been involved as an operator or owner in any motor vehicle accident resulting in injury or damage to the person or property of others. An affidavit of the applicant as to the nonexistence of these facts or that he has been released from all liability or has been finally adjudicated not to be liable for the injury or damage is sufficient evidence thereof in the absence of evidence to the contrary in the records of the department.

Section 56-4-720. When a person whose proof has been canceled or returned under Section 56-4-710(3) applies for a license or registration within a period of five years from the date proof was originally required, this application must be refused unless the applicant reestablishes the proof for the remainder of the five-year period."/

Amend further, p. 72, by striking SECTIONS 77 and 78 and inserting:

/SECTION 77. Article 4, Chapter 9, Title 56 of the 1976 Code is repealed, except that the provisions of that article continue to apply until the expiration of automobile insurance policies in effect on the effective date of this act.

SECTION 78. This act takes effect January 1, 1990./

Renumber sections to conform.

Amend title to conform.

Rep. CORNING explained the amendment.

Rep. BRUCE spoke in favor of the amendment.

Rep. CORNING spoke in favor of the amendment.

SPEAKER PRO TEMPORE IN CHAIR

Rep. R. BROWN moved to table the amendment.

Rep. BLACKWELL demanded the yeas and nays, which were taken resulting as follows:

Yeas 75; Nays 34

Those who voted in the affirmative are:

Alexander, M.O.        Alexander, T.C.        Bailey, G.
Bailey, J.             Bailey, K.             Barber
Barfield               Baxley                 Blanding
Boan                   Brown, G.              Brown, J.
Brown, R.              Burch                  Carnell
Chamblee               Corbett                Faber
Farr                   Ferguson               Foster
Gentry                 Gregory                Hallman
Harris, J.             Harvin                 Harwell
Hayes                  Hendricks              Hodges
Huff                   Johnson, J.C.          Johnson, J.W.
Kay                    Keegan                 Keesley
Keyserling             Kirsh                  Kohn
Lockemy                Manly                  Mappus
Martin, D.             Mattos                 McAbee
McBride                McEachin               McElveen
McKay                  McLeod                 McTeer
Moss                   Nesbitt                Nettles
Phillips               Rama                   Rogers, J.
Rogers, T.             Rudnick                Sharpe
Sheheen                Short                  Smith
Taylor                 Townsend               Tucker
Waites                 Washington             Whipper
White                  Wilder                 Wilkes
Wilkins                Williams, J.           Winstead

Total-75

Those who voted in the negative are:

Altman                 Baker                  Blackwell
Brown, H.              Bruce                  Burriss, M.D.
Clyborne               Cole                   Cooper
Cork                   Corning                Fair
Fant                   Glover                 Harris, P.
Hearn                  Jaskwhich              Klapman
Koon                   Limehouse              Littlejohn
Martin, L.             McCain                 McGinnis
Neilson                Quinn                  Rhoad
Simpson                Snow                   Stoddard
Vaughn                 Wells                  Wofford
Wright

Total-34

So, the amendment was tabled.

Rep. McLEOD proposed the following Amendment No. 102 (Doc. No. 3548U), which was adopted.

Amend the bill, as and if amended, by adding an appropriately numbered section to read:

/SECTION 92. Each insurer providing automobile liability insurance coverage in this State shall submit to the General Assembly annually:

(1) the amount of premiums received in each year;

(2) the amount of claims paid out in each year;

(3) the balance of the cash reserve at the beginning of the year and the balance at the end of the year./

Renumber sections to conform.

Amend title to conform.

Rep. McLEOD explained the amendment.

The amendment was then adopted.

Reps. J. BAILEY, T. ROGERS and J. ROGERS proposed the following Amendment No. 104 (Doc. No. 3557U), which was adopted.

Amend the bill, as and if amended, by adding an appropriately numbered section to read:

/SECTION 93. Section 38-77-605 of the 1976 Code is amended to read:

"Section 38-77-605. Every premium notice or bill for private passenger automobile insurance must display prominently in bold type the facility recoupment charge, by coverage, and the total facility recoupment charge for that policy or binder. In addition. effective on June 30, 1989, every premium notice or bill for every qualifying policyholder of private passenger automobile insurance must display in the same fashion as previously stated in this section a dollar line item designated as a 'mandated safe driver recoupment charge savings'."/

Renumber sections to conform.

Amend title to conform.

Rep. T. ROGERS explained the amendment.

The amendment was then adopted.

Rep. LOCKEMY proposed the following Amendment No. 106, which was adopted.

Amend the bill (Amendment 32) by adding after the word "an" the word "unlawfully".

AMENDMENT NO. 87--RECONSIDERED AND TABLED

Rep. T. ROGERS moved to reconsider the vote whereby Amendment No. 87 was adopted, which was agreed to.

Rep. T. ROGERS moved to table the amendment, which was agreed to by a division vote of 56 to 18.

Reps. HALLMAN and BLACKWELL proposed the following Amendment No. 109 (Doc. No. 3568U), which was tabled.

Amend the bill, as and if amended, by adding an appropriately numbered section to read:

/SECTION____. Notwithstanding any other provision of law, responsibility for the retrieval of suspended motor vehicle registration certificates and license plates pursuant to Section 56-10-240 of the 1976 Code is devolved upon the appropriate law enforcement agency having jurisdiction over the vehicle owner at his last known address. The Department of Highways and Public Transportation shall forward to the appropriate law enforcement agency the information necessary to effectuate the retrieval. Retrievals must be performed by sworn law enforcement officers as part of their official duties but must be performed outside of the officers' normal working hours. Upon retrieval, the agency shall forward the certificate and license plate to the department, which shall then remit thirty-five dollars for each retrieval accomplished to the law enforcement agency whose officer performed the retrieval. Of each thirty-five dollars remitted to the law enforcement agency, fifteen dollars must be paid to the retrieving officer./

Renumber sections to conform.

Amend title to conform.

Rep. BLACKWELL explained the amendment.

SPEAKER IN CHAIR

Rep. BLACKWELL continued speaking.

Rep. ALTMAN moved to table the amendment, which was agreed to by a division vote of 66 to 33.

MOTION REJECTED

Rep. SHORT moved immediate cloture on the entire matter, which was rejected by a division vote of 42 to 58.

AMENDMENT NO. 76--WITHDRAWN

Rep. BRUCE made a statement regarding the amendment and then withdrew the amendment.

Rep. J. BAILEY proposed the following Amendment No. 80 (Doc. No. 3561U), which was adopted.

Amend the bill, as and if amended, by adding an appropriately numbered section to read:

/SECTION 94. Section 38-73-465 of the 1976 Code as reenacted by this act is amended by adding:

"E. Automobile insurance rates must be decreased on the policy anniversary date of each insured after September 30, 1989, for those drivers qualifying for the safe driver discount by five percent after elimination of the appropriate amount of the recoupment charge. However, after the first year following the reductions, an insurer may apply to the Chief Insurance Commissioner for a rate adjustment, based on its actual experience, and include consideration of the time value of money. In every filing following the effective date of this section for an increase in automobile insurance rates, every insurer shall include in that filing a rate report under this methodology. Every rate filing must be, alter that time, effective only after prior approval of the Chief Insurance Commissioner, consistent with provisions of Chapter 23 of Title 1 (Administrative Procedures Acts)."/

Renumber sections to conform.

Amend title to conform.

Rep. J. BAILEY explained the amendment.

The amendment was then adopted.

Rep. KOHN proposed the following Amendment No. 113 (Doc. No. 3565U), which was adopted.

Amend the bill, as and if amended, by adding a SECTION to be appropriately numbered, as follows:

/SECTION 95. Notwithstanding the provisions of Section 38-77-140 of the 1976 Code of Laws, all private passenger automobile insurers shall offer, at the insured's option, a one hundred dollar deductible on the bodily injury and property damage liability portion of the coverage and the insured or qualified applicant at his option may select an additional deductible in the following amounts: one hundred dollars; two hundred fifty dollars; five hundred dollars; or one thousand dollars. In the event that the insurer makes a liability payment under the policy the insurer shall pay the full amount without any subtraction or withholding of the deductible amount. The insurer is entitled to recover the deductible amount from the named insured. If the named insured fails to pay the deductible to the insurer within thirty days after the insurer makes payment and notifies the insured by certified mail as a result of an accident chargeable to any insured, upon the filing of an affidavit to that effect, the Department of Highways and Public Transportation shall immediately suspend the named insured's license to operate a motor vehicle in this State. The suspension shall continue until the named insured produces proof acceptable to the department of payment of the deductible to the third-party claimant.

All insurers offering bodily injury liability coverage shall file with the Chief Insurance Commissioner and the Consumer Advocate, not later than sixty days after the effective date of this section, revised premium rates for liability coverage for policies which carry such deductibles. The revised rates must be approved by the Chief Insurance Commissioner and shall reflect a reduction in the currently approved premium rate for this coverage of at least three percent. In the first year following these reductions, an insurer may apply to the Chief Insurance Commissioner for a rate adjustment, based on its actual experience, and include consideration of the time value of money./

Renumber sections to conform.

Amend title to conform.

Rep. KOHN explained the amendment.

The amendment was then adopted.

Reps. McABEE, Conk, KOON, ELLIOTT, STURKIE, BLACKWELL, MATTOS, PHILLIPS, FAIR, GORDON, JASKWHICH, FELDER, CARNELL, DAVENPORT, SHARPE, HOLT, WRIGHT, RHOAD and MCGINNIS proposed the following Amendment No. 114 (Doc. No. 3388U), which was tabled.

Amend the bill, as and if amended, by striking both whereas clauses, lines 16-30, p. 4

Amend further by striking all after the enacting words and inserting:

/SECTION 1. There is created a study committee to be known as the Special Study Committee on the Automobile Insurance Industry in South Carolina. The committee is composed of the following voting members: the Governor or his designee from his executive staff; the chairman of the Senate Banking and Insurance Committee or his designee from the membership of that committee; the chairman of the House Ways and Means Committee or his designee from the membership of that committee; the chairman of the Senate Finance Committee or his designee from the membership of that committee; and the chairman of the House Labor, Commerce and Industry Committee or his designee from the membership of that committee.

The committee is also composed of the following nonvoting members who shall serve in an advisory capacity to the five voting members and who shall render other assistance and services considered necessary by the voting members: the Chief Insurance Commissioner or his designee from the Department of Insurance; the State Consumer Advocate or his designee from that office; the executive director of the State Budget and Control Board or his designee from that office; three representatives of the automobile insurance industry in South Carolina, one to be appointed by the Governor, one to be appointed by the President of the Senate, and one to be appointed by the Speaker of the House; three members of the general populace of the State, one to be appointed by the Governor, one to be appointed by the President of the Senate, and one to be appointed by the Speaker of the House; and the president of the South Carolina Trial Lawyers Association or his designee from that association.

The committee shall study in depth every facet of the automobile insurance industry in South Carolina, including, but in no manner limited to, complaints of the consuming public, premiums, rates, coverages, and the needs of the insuring sector.

The committee shall meet initially on July 1, 1989, and as often as is necessary thereafter until it ceases under the provisions of this act. The Governor shall serve as chairman. However, whenever the Governor himself is not in attendance, the chairman of the Senate Banking and Insurance Committee shall serve as chairman of the committee, and, in his absence, the chairman of the House Labor, Commerce and Industry Committee shall serve as the committee's chairman.

No voting or nonvoting member may be compensated for serving on the committee, but all of the members are allowed the usual mileage, subsistence, and per diem as provided by law for members of state boards, committees, and commissions while in the actual performance of duties as committee members. These expenses must be paid from the approved accounts of the Senate for the chairman of the Senate Banking and Insurance committee or designee, the chairman of the Senate Finance Committee or designee, the representative of the automobile insurance industry appointed by the President of the Senate, and the member of the general populace appointed by the President of the Senate. These expenses must be paid from the approved accounts of the House of Representatives for the chairman of the House Labor, Commerce and Industry Committee or designee, the chairman of the House Ways and Means Committee or designee, the representative of the automobile insurance industry appointed by the Speaker of the House, and the member of the general populace appointed by the Speaker of the House. These expenses must be paid from funds appropriated to the Governor's Office for the Governor or designee, the executive director of the State Budget and Control Board or designee, the representative of the automobile insurance industry appointed by the Governor, and the member of the general populace appointed by the Governor. These expenses must be paid jointly from the approved accounts of both houses of the General Assembly for the remaining members of the committee.

Any research, stenographic, or other assistance of whatever nature must be rendered to the committee by any employee of any state agency or by any standing committee of the House or Senate or by any legislative study committee upon the request of a majority of the committee's voting members.

The committee shall submit a report approved by a majority of the voting members to the General Assembly by February 1, 1990. The report shall include a statement of problems and competing interests and concerns, finding of facts, and conclusions regarding the fairest and most effective way of solving the present crisis with respect to automobile insurance rates and coverages and associated activities in this industry. The report shall also include specific recommendations for legislation in this area, if a majority of the committee's voting members conclude that legislation is necessary.

Upon submitting the report required by this section, the committee shall cease to exist.

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

Amend title to conform.

Rep. McABEE explained the amendment.

Rep. KOHN spoke against the amendment and moved to table the amendment, which was agreed to by a division vote of 78 to 13.

Rep. KLAPMAN moved that the House do now adjourn, which was rejected by a division vote of 36 to 68.

Rep. LITTLEJOHN proposed the following Amendment No. 116 (Doc. No. 3587U), which was adopted.

Amend the bill, as and if amended, by adding a SECTION to be appropriately numbered, as follows:

/SECTION 96. Whenever a motor vehicle which does not have liability insurance as required by the laws of this State is involved in an accident, the municipality in which the accident occurred, or the county if the accident did not occur within the corporate limits of a municipality, shall tow the vehicle to a holding area. The owner of the vehicle shall pay the towing and storage fees, and the owner shall fully demonstrate financial responsibility with respect to the vehicle before it may be returned to him by the municipality or the county which towed it./

Renumber sections to conform.

Amend title to conform.

Rep. LITTLEJOHN explained the amendment.

The amendment was then adopted.

Rep. CORNING proposed the following Amendment No. 117 (Doc. No. 3590U), which was adopted.

Amend the bill, as and if amended, by adding two new sections, to be appropriately numbered, as follows:

/SECTION 97. Chapter 5, Title 56 of the 1976 Code is amended by adding:

"Article 48
Safety Belts

Section 56-5-6510. As used in this article:

(1) 'Motor vehicle' means a passenger car, truck, van, or recreational vehicle required to be equipped with safety belts by Federal Motor Vehicle Safety Standard No. 208 (49 CFR 571.208), manufactured after July, 1966.

(2) 'Driver' means a person who drives or is in actual physical control of a motor vehicle.

Section 56-5-6520. Every front seat occupant of a motor vehicle who is under fifteen years of age but over six years of age, when the motor vehicle is being operated on the public streets and highways of this State, shall wear a fastened safety belt which complies with all provisions of federal law for the use of safety belts. The driver is charged with the responsibility of requiring each such occupant to wear a safety belt.

Section 56-5-6530. The provisions of this article do not apply to:

(1) a driver or occupant who possesses a written verification from a physician that he is unable to wear a safety belt for physical or medical reasons;

(2) medical or rescue personnel attending to injured or sick individuals in an emergency vehicle when operating in an emergency situation as well as the injured or sick individual;

(3) school, church, or day care buses;

(4) public transportation vehicles except taxis;

(5) sanitation and fire trucks;

(6) occupants of vehicles in parades;

(7) rural mail carriers;

(8) an occupant for which no safety belt is available because all belts are being used by other occupants;

(9) a driver or occupant frequently stopping and leaving a motor vehicle for delivery purposes;

(10) children under six years of age who must be restrained properly as provided by Article 47, Chapter 5 of Title 56.

Section 56-5-6540. (A) A person violating the provisions of this article, upon conviction, must be fined not more than ten dollars. All fines collected must go to the Department of Highways and Public Transportation and be used for highway safety and enforcement. No custodial arrest for a violation of this article may be made, except upon a warrant issued for failure to appear in court when summoned or for failure to pay an imposed fine.

(B) A violation of this article does not constitute contributory negligence, negligence per se, or assumption of the risk, nor is it admissible as evidence in the trial of any civil action on the issue of mitigation of damages."

SECTION 98. For three months after the effective date of this act, only warnings may be issued for violations of Article 48, Chapter 5, Title 56 of the 1976 Code./

Renumber sections to conform.

Amend title to conform.

Rep. CORNING explained the amendment.

Rep. FARR moved to table the amendment.

Rep. BARFIELD demanded the yeas and nays, which were taken resulting as follows:

Yeas 37; Nays 72

Those who voted in the affirmative are:

Alexander, T.C.        Baker                  Barfield
Baxley                 Blackwell              Brown, J.
Bruce                  Burch                  Burriss, M.D.
Carnell                Clyborne               Faber
Fant                   Farr                   Glover
Harris, P.             Huff                   Kay
Keesley                Kirsh                  Lockemy
McAbee                 McBride                McCain
Moss                   Phillips               Quinn
Rhoad                  Sharpe                 Smith
Townsend               Vaughn                 Waldrop
White                  Wilder                 Winstead
Wright

Total-37

Those who voted in the negative are:

Alexander, M.O.        Altman                 Bailey, G.
Bailey, J.             Bailey, K.             Barber
Beasley                Bennett                Blanding
Boan                   Brown, G.              Brown, R.
Burriss, T.M.          Chamblee               Cooper
Corbett                Cork                   Corning
Davenport              Elliott                Fair
Ferguson               Gentry                 Gregory
Hallman                Harris, J.             Harvin
Harwell                Haskins                Hayes
Hearn                  Hodges                 Jaskwhich
Johnson, J.C.          Johnson, J.W.          Keegan
Keyserling             Klapman                Kohn
Koon                   Limehouse              Littlejohn
Manly                  Mappus                 Martin, L.
Mattos                 McEachin               McElveen
McGinnis               McLellan               McLeod
McTeer                 Neilson                Nesbitt
Nettles                Rama                   Rogers, J.
Rogers, T.             Rudnick                Sheheen
Simpson                Snow                   Sturkie
Tucker                 Waites                 Washington
Wells                  Whipper                Wilkes
Wilkins                Williams, J.           Wofford

Total-72

So, the House refused to table the amendment.

POINTS OF ORDER

Rep. McABEE raised the Point of Order that Amendment No. 117 was out of order as it was not germane to the Bill as there was nothing in the Amendment that dealt with insurance, that it only dealt with safety belts.

The SPEAKER stated that the original title of the Bill as reported out of the Committee had a provision dealing with safety belts.

Rep. McABEE further argued that the House had adopted an Amendment striking the safety belt section from the Bill.

The SPEAKER stated that the House was still considering second reading of the Bill and the Amendments to delete sections from the title of the Bill would not be effective until the House completed second reading of the Bill and then, amended the title.

Rep. McABEE further raised the Point of Order that the House had already voted safety belts in the negative twice and it was out of order as this was the third time it was before the House.

The SPEAKER stated that this provision did not resemble any of the other provisions and he overruled both Points of Order.

The question then recurred to the adoption of the amendment.

Rep. BARFIELD demanded the yeas and nays, which were taken resulting as follows:

Yeas 69; Nays 41

Those who voted in the affirmative are:

Alexander, M.O.        Altman                 Bailey, G.
Bailey, J.             Barber                 Beasley
Blanding               Brown, G.              Brown, R.
Burriss, T.M.          Chamblee               Cooper
Corbett                Cork                   Corning
Davenport              Elliott                Fair
Ferguson               Gentry                 Gregory
Hallman                Harris, J.             Harvin
Harwell                Haskins                Hayes
Hearn                  Hodges                 Jaskwhich
Johnson, J.C.          Johnson, J. W.         Keegan
Keyserling             Kohn                   Koon
Limehouse              Littlejohn             Manly
Mappus                 Martin, L.             Mattos
McEachin               McElveen               McGinnis
McLellan               McLeod                 McTeer
Neilson                Nesbitt                Nettles
Rama                   Rogers, J.             Rogers, T.
Rudnick                Sheheen                Short
Simpson                Snow                   Sturkie
Tucker                 Waites                 Washington
Wells                  Whipper                Wilder
Wilkes                 Wilkins                Williams, J.

Total--69

Those who voted in the negative are:

Alexander, T.C.        Baker                  Barfield
Baxley                 Bennett                Blackwell
Brown, J.              Bruce                  Burch
Burriss, M.D.          Carnell                Clyborne
Cole                   Faber                  Fant
Farr                   Glover                 Harris, P.
Huff                   Kay                    Keesley
Kirsh                  Lanford                Lockemy
Martin, D.             McAbee                 McBride
McCain                 Moss                   Phillips
Quinn                  Sharpe                 Smith
Stoddard               Taylor                 Townsend
Vaughn                 Waldrop                White
Winstead               Wright

Total-41

So, the amendment was adopted.

Reps. MANLY, WAITES, KEYSERLING and RAMA proposed the following Amendment No. 118 (Doc. No. 3593U), which was tabled.

Amend the amendment of Representative Corning dated April 12, 1989, (Document Number 3590U), striking /who is under fifteen years of age but/ which begins on line 2 of Section 56-5-6520 of the 1976 Code as contained on page 2.

Amend title to conform

Rep. MANLY explained the amendment.

POINT OF ORDER

Rep. HUFF raised the Point of Order that Amendment No. 118 was out of order as the House had twice negatived the seat belt issue in regard to adults.

The SPEAKER stated that the House had twice negatived the deletion of Sections 26 and 27 of the Bill. He further stated that the Amendment provided for active enforcement, not passive enforcement, and so the provisions of the Amendment were different and he overruled the Point of Order.

Rep. FABER moved to table the amendment.

Rep. BARFIELD demanded the yeas and nays, which were taken resulting as follows:

Yeas 67; Nays 37

Those who voted in the affirmative are:

Alexander, T.C.        Bailey, G.             Baker
Barfield               Baxley                 Beasley
Bennett                Blackwell              Blanding
Brown, G.              Brown, J.              Bruce
Burch                  Burriss, M.D.          Carnell
Chamblee               Clyborne               Cole
Cooper                 Davenport              Faber
Fair                   Fant                   Farr
Gentry                 Glover                 Harris, P.
Harwell                Haskins                Huff
Johnson, J.C.          Kay                    Keesley
Kirsh                  Klapman                Koon
Limehouse              Littlejohn             Lockemy
Martin, D.             McAbee                 McBride
McCain                 McGinnis               McLeod
McTeer                 Moss                   Neilson
Nesbitt                Phillips               Quinn
Rogers, T.             Sharpe                 Smith
Snow                   Stoddard               Sturkie
Taylor                 Townsend               Vaughn
Waldrop                Wells                  Whipper
White                  Winstead               Wofford
Wright

Total-67

Those who voted in the negative are:

Alexander, M.O.        Altman                 Bailey, J.
Barber                 Brown, R.              Corbett
Cork                   Corning                Elliott
Ferguson               Gregory                Hallman
Harris, J.             Harvin                 Hayes
Hendricks              Hodges                 Keegan
Keyserling             Kohn                   Manly
Mappus                 Martin, L.             McEachin
McElveen               McLellan               Nettles
Rama                   Rogers, J.             Rudnick
Sheheen                Simpson                Tucker
Waites                 Wilder                 Wilkes
Wilkins

Total-37

So, the amendment was tabled.

AMENDMENT NO. 90--MOTION TO
RECONSIDER WITHDRAWN

The motion of Rep. BEASLEY to reconsider the vote whereby Amendment No. 90 was rejected was taken up.

Rep. BEASLEY, with unanimous consent, withdrew his motion to reconsider the vote whereby Amendment No. 90 was rejected.

SECTION 5--RECONSIDERED, AMENDED AND ADOPTED

The motion of Rep. J. ROGERS to reconsider the vote whereby Section 5 was adopted was taken up and agreed to.

Reps. R. BROWN, HUFF and MAPPUS proposed the following Amendment No. 116 (Doc. No. 3583U), which was adopted.

Amend the bill, as and if amended, by striking SECTION 5 beginning on page 8 and inserting:

/SECTION 5. Section 38-77-160 of the 1976 Code, formerly known as Section 56-9-831 and amended by Act 166 of 1987, is further amended to read:

"Section 38-77-160. Automobile insurance carriers shall offer, at the option of the insured, uninsured excess uninsured/underinsured motorist coverage up to the limits of the insured's liability coverage in addition to the mandatory coverage prescribed by Section 38-77-150. Such carriers shall also offer, at the option of the insured, underinsured motorist coverage up to the limits of the insured liability coverage to provide converge in the event that damages are sustained in excess of the liability limits carried by an at fault insured or underinsured motorist. If, however, an insured or named insured is protected by uninsured or underinsured motorist coverage in excess of the basic limits, the policy shall provide that the insured or named insured is protected only to the extent of the coverage he has on the vehicle involved in the accident. If none of the insured's or named insured's vehicles is involved in the accident, coverage is available only to the extent of coverage on any one of the vehicles with the excess or underinsured coverage. Benefits paid pursuant to this section are not subject to subrogation and assignment. The policy shall Provide that the insured or named insured is protected only to the extent of the excess uninsured/underinsured motorist coverage on any policy regardless of the number of vehicles covered by that policy. Excess uninsured/underinsured motorist coverage is defined as first party benefits to protect an insured or named insured should the at fault motorist be uninsured or should the at fault motorist have liability limits insufficient to Compensate the insured for his cognizable damages. Excess uninsured/underinsured motorist coverage is not subject to subrogation or assignment. Insurers, when filing premium charges for this combined coverage, may include a factor reflecting the number of vehicles insured by the automobile insurance policy, and the commissioner shall consider such factors in the approval of any final premium charges for such coverage."/

Amend title to conform.

Rep. MAPPUS explained the amendment.

Rep. LIMEHOUSE spoke against the amendment.

Rep. HUFF spoke in favor of the amendment.

Rep. LIMEHOUSE moved to table the amendment.

Rep. MAPPUS demanded the yeas and nays, which were not ordered.

The House refused to table the amendment by a division vote of 22 to 68.

The question then recurred to the adoption of the amendment, which was agreed to.

Section 5, as amended, was adopted.

SECTION 6--TABLED

Debate was resumed on Section 6.

Rep. MAPPUS moved to table the Section, which was agreed to.

SECTION 9--RECONSIDERED, AMENDED AND ADOPTED

The motion of Rep. J. ROGERS to reconsider the vote whereby Section 9 was adopted was taken up and agreed to.

Reps. RUDNICK, McLEOD, G. BROWN, SNOW and RHOAD proposed the following Amendment No. 70 (Doc. No. 3369U), which was adopted.

Amend the bill, as and if amended, in Section 56-10-240 of the 1976 Code, as contained in SECTION 9, by striking /twenty-five/ on line 15 of page 17 and inserting /five/.

Amend title to conform.

Rep. McLEOD proposed the following Amendment No. 98 (Doc. No. 3512U), which was tabled.

Amend the bill, as and if amended, by striking SECTION 9 and inserting:

/SECTION 9. Section 56-10-240 of the 1976 Code, as last amended by Act 671 of 1988, is further amended to read:

"Section 56-10-240. (A) If, during the period for which it is licensed, a motor vehicle is or becomes an uninsured motor vehicle, then the vehicle owner immediately shall obtain insurance on the vehicle or within five days after the effective date of cancellation or expiration of his liability insurance policy surrender the motor vehicle license plates and registration certificates issued for the motor vehicle. If five working days after the last day to pay an automobile liability insurance premium, whether it is the premium due date or a grace period that is granted customarily or contractually granted, a motor vehicle is an uninsured motor vehicle, the insurer shall give written notice, or notice by magnetic or electronic media in a manner considered satisfactory to the Department, within ten days after such the five-day period ends, in addition to that notice previously given in accordance with law, by delivery under United States Post Office Certificate of Mailing bulk certified mail, return receive requested, to the department of the cancellation or refusal to renew under the following circumstances:

(1) the lapse or termination of such insurance or security occurs within three months of issuance provided that this subsection only applies to new policies, and not renewal or replacement policies; or

(2) the lapse or termination occurs after three months for a resident who fails one or more of the objective standards prescribed in Section 38-73-455.
The insurer need not provide notice of the cancellation of excess limits only. The department may, in its discretion, authorize insurers to utilize alternative methods of providing notice of cancellation of or refusal to renew to the department. The department may not thereafter reissue registration certificates and license plates for the that vehicle until satisfactory evidence has been filed by the owner or by the insurer who gave the cancellation or refusal to renew notice to the department that the vehicle is insured. Upon receiving information to the effect that a policy is canceled or otherwise terminated on any a motor vehicle registered in South Carolina, then the department shall suspend the license plates and registration certificate and shall initiate action as required within fifteen days of the notice of cancellation to pick up the license plates and registration certificate. Any A person who has had his license plates and registration certificate suspended by the department, but who at the time of suspension does possess possesses liability insurance coverage sufficient to meet the financial responsibility requirements as set forth in this chapter, has the right to immediately appeal the suspension immediately to the Chief Insurance Commissioner. If the Chief Insurance Commissioner commissioner determines that the person has sufficient liability insurance coverage, the Chief Insurance Commissioner he shall notify the department, and the suspension is voided immediately. The department shall give notice by certified first class mail; return receipt requested, of the cancellation or suspension of registration privileges to the vehicle owner at his last known address. However, when license plates are surrendered pursuant to this section, they must be held at the department office in the county where the person who surrenders the plates resides.

If the vehicle owner unlawfully refuses to surrender the suspended items as required in this article, the department through its designated agents or by request to any a county or municipal law enforcement agency may take possession of the suspended license plates and registration certificate and may not thereafter reissue the registration until proper proof of liability insurance coverage is provided and until the owner has paid a reinstatement fee in the amount of one two hundred dollars for the first refusal under this section. and three hundred dollars for each subsequent refusal. A person who voluntarily surrenders his license plates and registration certificate prior to their suspension shall only be charged a reinstatement fee of five dollars.

Any A person wilfully failing to return his motor vehicle license plates and registration certificates as required in this section is guilty of a misdemeanor and, upon conviction, must be fined punished as follows:

(1) for a first offense, fined not less than one hundred dollars nor more than two hundred dollars or imprisoned for thirty days and, upon conviction of . However, if the person signs an affidavit that he has not driven or permitted to be driven the motor vehicle during the time the motor vehicle was or became uninsured. then he is only required to pay a fine of twenty-five dollars and no imprisonment term may be imposed unless the person fails or refuses to pay the required twenty-five dollar fee. If any evidence is later obtained by the appropriate officials which is contrary or refutes the information provided in the affidavit by the vehicle owner, then the owner shall pay a fine of not less than two hundred dollars or no more than four hundred dollars or imprisoned for thirty days, or both. If the affidavit is valid, then no offense may be charged to the persons record pursuant to the provisions for violations in this section:

(2) for a second offense, be fined two hundred dollars or imprisoned for thirty days, or both; and;

(3) for a third and subsequent offenses must be offense, imprisoned for not less than forty-five days nor more than six months.

Only convictions which occurred within five ten years including and immediately preceding the date of the last conviction constitute prior convictions within the meaning of this section.

(B) If it is discovered or found that the owner of the uninsured motor vehicle is operating or has permitted another person to operate the uninsured motor vehicle on the highways of this State, the owner is guilty of a misdemeanor and, upon conviction. must be punished as follows:

(1) for a first offense, fined no less than two hundred dollars nor more than four hundred dollars:

(2) for a second offense. fined no less than three hundred dollars nor more than five hundred dollars, or imprisoned for thirty days, or both:

(3) for a third and subsequent offense, fined no less than four hundred dollars nor more than six hundred dollars and a mandatory imprisonment of thirty days."/

Renumber sections to conform.

Amend totals and title to conform.

Rep. T.C. ALEXANDER spoke against the amendment.

Rep. McLEOD spoke in favor of the amendment.

Rep. T.C. ALEXANDER moved to table the amendment, which was agreed to by a division vote of 60 to 41.

Section 9, as amended, was adopted.

Rep. G. BROWN moved that the House do now adjourn.

Rep. HUFF demanded the yeas and nays, which were taken resulting as follows:

Yeas 29; Nays 79

Those who voted in the affirmative are:

Baxley                 Bennett                Blanding
Brown, G.              Burch                  Burriss, M.D.
Carnell                Chamblee               Clyborne
Farr                   Glover                 Hallman
Harris, P.             Harvin                 Hendricks
Jaskwhich              Kay                    Klapman
McAbee                 McLeod                 Nesbitt
Phillips               Rhoad                  Sharpe
Simpson                Stoddard               Townsend
Vaughn                 Whipper

Total-29

Those who voted in the negative are:

Alexander, M.O.        Alexander, T.C.        Altman
Bailey, G.             Bailey, J.             Baker
Barfield               Beasley                Blackwell
Boan                   Brown, H.              Brown, J.
Brown, R.              Bruce                  Cole
Cooper                 Corbett                Cork
Davenport              Elliott                Faber
Fair                   Fant                   Ferguson
Gentry                 Gregory                Harris, J.
Harwell                Haskins                Hayes
Hearn                  Hodges                 Huff
Johnson, J.C.          Johnson, J.W.          Keegan
Keesley                Keyserling             Kohn
Koon                   Limehouse              Littlejohn
Lockemy                Manly                  Mappus
Martin, D.             Martin, L.             McBride
McCain                 McEachin               McElveen
McGinnis               McLellan               McTeer
Moss                   Neilson                Nettles
Quinn                  Rama                   Rogers, J.
Rogers, T.             Rudnick                Sheheen
Short                  Smith                  Snow
Sturkie                Taylor                 Tucker
Waites                 Waldrop                Washington
Wells                  Wilder                 Wilkes
Wilkins                Winstead               Wofford
Wright

Total-79

So, the House refused to adjourn.

SECTION 10-AMENDED AND ADOPTED

Debate was resumed on Section 10.

Rep. LIMEHOUSE proposed the following Amendment No. 93, which was adopted.

Amend the bill, as and if amended, beginning on page 18, line 7, by striking the words "Noneconomic Loss"
and on line 8 by striking the words "Punitive Damages."

Amend title to conform.

Rep. LIMEHOUSE explained the amendment.

The amendment was then adopted.

Section 10, as amended, was adopted.

SECTION 32-RECONSIDERED, AMENDED AND ADOPTED

The motion of Rep. J. ROGERS to reconsider the vote whereby Section 32 was adopted was taken up and agreed to.

Rep. LIMEHOUSE proposed the following Amendment No. 88 (Doc. No. 3494U), which was adopted.

Amend the bill, as and if amended, in Section 38-77-341 of the 1976 Code, as contained in Section 38 on page 42, by striking the period at the end of item (4) of the section and inserting /; or/ and by adding:

/(5) charge for copies of medical records or other records provided more than fifty cents per page, except that a minimum charge of ten dollars for furnishing copies of these records is authorized to be charged by insurers or health care providers./

Amend title to conform.

Section 32, as amended, was adopted.

SECTION 43-AMENDED AND ADOPTED

Reps. R. BROWN, KOHN, T.C. ALEXANDER, HARVIN, LIMEHOUSE and MAPPUS proposed the following Amendment No. 112 (Doc. No. 3563U), which was adopted.

Amend the bill, as and if amended, SECTION 43, beginning at p. 45, by striking Section 38-77-114 and inserting:

/"Section 38-77-114. (A) The offer of stack able or non stack able uninsured motorist and underinsured motorist benefits must be on a form prescribed not later than August 1, 1989, by the Chief Insurance Commissioner. This form must be used by insurers for all new applicants after October 1, 1989. The form must concisely advise the applicant of the nature of these coverages, provide a list of available limits and premiums for such limits, that the insured may reject the optional coverages, and that all coverages are equal to the bodily injury liability limits unless different limits are requested or optional coverages are rejected.

(B) If this form is properly completed and executed by the named insured it is conclusively presumed that there was an informed, knowing selection of coverage and neither the insurance company nor any insurance agent has any liability to the named insured or any other insured under the policy for the insured's failure to purchase any optional coverage or higher limits.

(C) After the initial signed selection is completed, the insurer shall notify the named insured at least annually on a form prescribed by the Chief Insurance Commissioner of his option to purchase higher limits or optional coverage, and the insured's responsibility to affirmatively notify his insurer or agent if he desires different coverage than that contained in the initial selection form.

(D) After the insured has made such selection, that selection applies to any policy or endorsement which renews, extends, changes, supersedes, reinstates, or replaces an existing policy or endorsement unless the named insured affirmatively requests a different coverage or limit and pays the premium for it.

(E) Compliance with this section satisfies the insurer and agent's duty to explain and offer optional coverages and higher limits and no person, including, but not limited to, an insurer and insurance agent is liable in an action for damages on account of the selection or rejection made by the named insured."/

Amend title to confirm.

Rep. R. BROWN explained the amendment.

The amendment was then adopted.

Section 43, as amended, was adopted.

SECTION 50-TABLED

Rep. LIMEHOUSE moved to table the Section, which was agreed to.

SECTION 62-TABLED

Debate was resumed on Section 62.

Rep. LIMEHOUSE moved to table the Section, which was agreed to.

SECTION 66-AMENDED AND ADOPTED

Debate was resumed on Section 66.

Reps. R. BROWN, HUFF, LIMEHOUSE, J. BAILEY and T. ROGERS proposed the following Amendment No. 103 (Doc. No. 3552U), which was adopted.

Amend the bill, as and if amended, in SECTION 66, page 66, line 41, by striking /thirty/ and inserting /twenty-five/: on line 41, by striking /base/; on lines 41 through 45, by striking /of the largest member of the rating organization licensed by the Commissioner pursuant to Article 11, chapter 73 of this title, which has the largest number of members or subscribers for/ and on page 67, line 1, by striking /automobile insurance rates/ and inserting /established in Section 38-73-1420/.

Amend title to conform.

Rep. R. BROWN explained the amendment.

The Amendment was then adopted.

Section 66, as amended, was adopted.

SECTION 71-AMENDED AND ADOPTED

Debate was resumed on Section 71.

Reps. T.C. ALEXANDER, J. BAILEY, R. BROWN, KOHN, LIMEHOUSE, MAPPUS and T. ROGERS proposed the following Amendment No. 101 (Doc. No. 3517U), which was adopted.

Amend the bill, as and if amended, Section 71, page 69, line 42, after /program./ by inserting:

/The fine provided for in this section must not be assessed if the person furnishes proof, as documented by his sworn statement, that the motor vehicle upon which the coverage has lapsed or been terminated has not been operated upon the roads, streets, or highways of this State during the lapse or termination, and the lapse or termination is due to military service or illness as documented by a signed physician's statement. The total amount of the fine provided for in this section may not exceed two hundred dollars for a first offense./

Amend title to conform.

Rep. T.C. ALEXANDER explained the amendment.

The amendment was then adopted.

Section 71, as amended, was adopted.

SECTION 75--TABLED

Debate was resumed on Section 75.

Rep. LIMEHOUSE moved to table the Section, which was agreed to.

MOTION ADOPTED

Rep. T. ROGERS asked unanimous consent to withdraw all pending motions to reconsider, which was agreed to.

Rep. McLEOD moved that the House do now adjourn.

POINT OF ORDER

Rep. LIMEHOUSE raised the Point of Order that fifteen minutes had not elapsed since a similar motion was made, which point was sustained by the chair.

Rep. CARNELL moved that the House do now adjourn.

POINT OF ORDER

Rep. LIMEHOUSE raised the Point of Order that fifteen minutes had not elapsed since a similar motion was made, which point was not sustained by the chair.

Rep. R. BROWN demanded the yeas and nays, which were taken resulting as follows:

Yeas 60; Nays 50

Those who voted in the affirmative are:

Altman                 Bailey, K.             Baker
Barfield               Baxley                 Bennett
Blackwell              Blanding               Brown, G.
Bruce                  Burch                  Burriss, M.D.
Carnell                Chamblee               Clyborne
Cole                   Cooper                 Cork
Corning                Davenport              Elliott
Fair                   Farr                   Ferguson
Glover                 Gregory                Hallman
Harris, J.             Harris, P.             Harvin
Hearn                  Jaskwhich              Johnson, J. C.
Johnson, J.W.          Kirsh                  Klapman
Koon                   Littlejohn             Martin, L.
McAbee                 McGinnis               McLeod
Moss                   Neilson                Nesbitt
Phillip                Quinn                  Rhoad
Sharpe                 Simpson                Smith
Stoddard               Sturkie                Townsend
Tucker                 Vaughn                 Waldrop
Whipper                White                  Wilder

Total-60

Those who voted in the negative are:

Alexander, M.O.        Alexander, T.C.        Bailey, G.
Bailey, J              Barber                 Beasley
Boan                   Brown, H.              Brown, J.
Brown, R.              Corbett                Faber
Gentry                 Harwell                Haskins
Hayes                  Hendricks              Hodges
Huff                   Kay                    Keegan
Keesley                Keyserling             Kohn
Limehouse              Lockemy                Manly
McBride                McCain                 McEachin
McElveen               McKay                  McLellan
McTeer                 Nettles                Rama
Rogers, J.             Rogers, T.             Rudnick
Sheheen                Short                  Snow
Taylor                 Waites                 Washington
Wilkes                 Wilkins                Winstead
Wofford                Wright

Total-50

So, the motion to adjourn was agreed to.

Further proceedings were interrupted by adjournment, the pending question being consideration of the Bill, as amended.

RETURNED WITH CONCURRENCE

The Senate returned to the House with concurrence the following:

H. 3287 -- Rep. Lanford: A CONCURRENT RESOLUTION TO REQUEST THE DEPARTMENT OF HIGHWAYS AND PUBLIC TRANSPORTATION TO NAME THE NEW BRIDGE ON ROAD S-86 WHICH CROSSES I-26 IN SPARTANBURG COUNTY THE "R. VANCE LANFORD BRIDGE".

H. 3853 -- Rep. Nettles: A CONCURRENT RESOLUTION TO COMMEND LAKE CITY PRIMARY SCHOOL OF FLORENCE COUNTY SCHOOL DISTRICT 3 FOR RECEIVING THE SOUTH CAROLINA ASSOCIATION OF ELEMENTARY AND MIDDLE SCHOOL PRINCIPALS' "PALMETTO'S FINEST" AWARD.

H. 3854 -- Rep. Harvin: A CONCURRENT RESOLUTION CONGRATULATING ST. MARY CATHOLIC CHURCH AND PARISH OF SUMMERTON IN CLARENDON COUNTY ON THE OCCASION OF ITS DIAMOND JUBILEE.

H. 3855 -- Rep. McKay: A CONCURRENT RESOLUTION TO COMMEND WALTER D. (RED) TYLER, JR., OF FLORENCE FOR HIS OUTSTANDING SERVICE AS PRESIDENT OF THE DARLINGTON INTERNATIONAL RACEWAY, UPON HIS RETIREMENT AS PRESIDENT.

ADJOURNMENT

At 6:00 P.M. the House in accordance with the motion of Rep. CARNELL adjourned to meet at 10:00 A.M. tomorrow.


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