South Carolina General Assembly
109th Session, 1991-1992

Bill 486


Indicates Matter Stricken
Indicates New Matter


                    Current Status

Introducing Body:               Senate
Bill Number:                    486
Primary Sponsor:                Mitchell
Committee Number:               06
Type of Legislation:            GB
Subject:                        Retirement System, may borrow fifty
                                percent of, provisions
Residing Body:                  Senate
Current Committee:              Finance
Computer Document Number:       DKA/3076.AL
Introduced Date:                Jan 16, 1991
Last History Body:              Senate
Last History Date:              Jan 16, 1991
Last History Type:              Introduced, read first time,
                                referred to Committee
Scope of Legislation:           Statewide
All Sponsors:                   Mitchell
Type of Legislation:            General Bill



History


 Bill  Body    Date          Action Description              CMN
 ----  ------  ------------  ------------------------------  ---
 486   Senate  Jan 16, 1991  Introduced, read first time,    06
                             referred to Committee

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(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

A BILL

TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 9-1-1230 SO AS TO PROVIDE THAT AN EMPLOYEE WITH A MINIMUM OF FIVE YEARS SERVICE WHO HAS CONTRIBUTED TO THE SOUTH CAROLINA RETIREMENT SYSTEM MAY BORROW UP TO FIFTY PERCENT OF HIS CONTRIBUTIONS AND TO PROVIDE FOR TERMS OF REPAYMENT OF THE LOAN.

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

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

"Section 9-1-1230. An employee who has at least five years of membership service and has contributed to the South Carolina Retirement System may borrow up to fifty percent of his contributions from the employee annuity savings fund. The loan must be repaid within five years. Interest accrues at a rate of five percent a year on the unpaid balance.

The five percent interest paid by the employee must be divided, two percent to the general fund of the State Treasurer's Office and three percent to the system to be distributed to the employee annuity savings fund.

If the loan is not repaid at the time a distribution is due to the employee or his beneficiaries, the unpaid loan amount and accrued interest must be deducted from a lump sum distribution. Periodic payments due the employee or his beneficiaries first must be credited to an unpaid loan amount and accrued interest until paid in full."

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

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