2009 Technical Bulletins
March 20, 2009
House Budget Provisos for FY 2009-10
The House budget contains three amendments intended to provide some budget flexibility to counties. These provisos are included at the end of this document. The following is a brief summary of those changes:
Proviso 85.1, which provides for the salary supplements for clerks of court, probate judges, coroners, sheriffs, register of deeds, auditors and treasurers was amended to provide that a county can reduce the expenditures in the operation of these officials offices without any required corresponding reduction in the county's state aid to subdivisions distribution. Currently, §8-15-65 states, "To the extent that compensation for these officers is reduced by a county or there is any other reduction of expenditures in the operations of their offices, a corresponding reduction must be made in the distribution otherwise due the county pursuant to Chapter 27 of Title 6, the State Aid to Subdivisions Act." (Emphasis added.) The House proviso is intended to allow county council the ability to reduce expenditures in these offices for a one-year period.
Proviso 86.2 states that for FY 2009-10, counties of this state may transfer funds among appropriated state revenues as needed to ensure the delivery of services. It appears that this proviso is authorizing county council to spend earmarked money appropriated by the state as if that money were unencumbered.
Proviso 86.3 amends the quarterly distribution amounts for the Local Government Fund. The amount of the first quarterly distribution for each entity shall equal the amount of the last quarterly distribution for FY 2008-09. The next three will be distributed in equal amounts, reflecting any reduction in the aid to subdivisions allocation. This proviso is intended to help reduce the necessity of tax anticipation notes by ensuring a predicable amount of revenue in the first quarter of the fiscal year.
Other Provisos of Interest:
Proviso 1.43 – Section 59-21-1030, the EIA local effort requirement, is suspended for FY 2009-10. There is no corresponding suspension of the EFA local effort requirement.
Proviso 37.5 – The House amended this proviso, which used to direct that a proportionate share of funds—at $15,000 per district—be allocated to each of the state’s 46 Soil and Water Conservation Districts for general assistance to the district's programs. The distribution under the House-passed bill would depend on how much money is allocated to the line.
Proviso 47.14 – This proviso requires a person applying for a court-appointed attorney in a termination of parental rights (TPR), abuse and neglect, or other civil court action to pay a $40 application fee. The clerk of court, or other appropriate official, is required to collect the application fee and remit the proceeds to the Commission on Indigent Defense on a monthly basis.
Proviso 80A.37 – This proviso directs the Division of State Information Technology to administer and coordinate First Responder Interoperability operations for the statewide Palmetto 800 MHz radio system. The proviso was amended to delete the specific local match requirement of 67 percent to receive grant funds to purchase 800 MHz systems. The proviso now directs the Division of State Information Technology to establish the level of required match each year based on the funding provided.
Proviso 80A.39 – This proviso states that there will be no state employee pay raises for FY 2009-10.
Proviso 80A.51 – This proviso states that the Budget and Control Board shall not increase enrollee rates for the State Health Plan for 2010.
Proviso 80A.52 – This proviso states that the increase in the employer contribution rate for employers participating in the South Carolina Police Officers Retirement System provided for in Section 9-11-310(F), as added by Act 311 of 2008, is suspended for FY 2009-10.
Proviso 80C.6 – The House adopted this proviso, which states that a person who is eligible to participate in the state health and dental insurance plans as a council member of a participating county—and who is also eligible to participate as the spouse of a covered employee or retiree—may choose to participate in the insurance plans as either an employee or a spouse, but not both.
Proviso 85.1 – In addition to the flexibility proviso mentioned above, this proviso was amended to exempt the salary supplements for clerks of court, probate judges, sheriffs, register of deeds, coroners, auditors and treasurers from across-the-board cuts mandated by the Budget and Control Board or General Assembly.
Proviso 89.24 – The mileage reimbursement for state employees is 50.5 cents per mile or the current rate established by the Internal Revenue Service—whichever is lower.
Proviso 89.72 – This proviso authorizes the State Office of Victim Assistance (SOVA) to perform programmatic reviews on any entity which receives victim assistance money, primarily fine assessments to ensure that victim fine money is spend in accordance with the statute.
Proviso 89.111 – The House adopted this proviso, which prohibits any new applications to enter the TERI program as of July 1, 2009. There is no mention of the similar program for law enforcement (LERI).
This memo reflects the current status of these provisos, any and all of these are subject to change in either the Senate or in Conference Committee.
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85.1. (AS-CG: Salary Supplements) The amounts appropriated in Part IA, Section 85, for Aid Cnty-Clerks of Court, Aid Cnty-Probate Judges, Aid Cnty-Coroners, and Aid Cnty-Sheriffs shall be distributed by the Comptroller General to each county treasurer equally, and shall be used as a salary supplement for each clerk of court, probate judge, county coroner, and county sheriff. The amounts appropriated in Part IA, Section 85, for Aid Cnty-Register of Deeds, shall be equally distributed by the Comptroller General to the appropriate county treasurer, and shall be used as a salary supplement for registers of deeds. The amount appropriated in Part IA, Section 85, for Aid Cnty-Auditors and Aid Cnty-Treasurers, shall be equally distributed to each county auditor and county treasurer as a salary supplement in addition to any amounts presently being provided by the county for these positions. It is the intent of the General Assembly that the amount appropriated by the county as salaries for these positions shall not be reduced as a result of the appropriation and that such appropriation shall not disqualify each county auditor and each county treasurer for salary increases that they might otherwise receive from county funds in the future. The salary supplement for each county auditor and county treasurer shall be paid in accordance with the schedule and method of payment established for state employees. The amounts appropriated in Part IA, Section 85 for Clerks of Court, Probate Judges, Sheriffs, Register of Deeds, Coroners, Auditors, and Treasurers shall be exempt from any across the board cut mandated by the Budget and Control Board or General Assembly. However, the governing body of a county may reduce the expenditures in the operation of the offices of these officials without any required corresponding reduction in the county's state aid to subdivisions distribution.
86.2. (AS-TREAS: Local Government Flexibility) For Fiscal Year 2009-2010, counties of this State may transfer funds among appropriated state revenues as needed to ensure the delivery of services.
86.3 (AS-TREAS: Quarterly Distributions) For Fiscal Year 2009-2010, the amount of the four quarterly distributions from the Aid to Subdivisions-Local Government Fund shall be as follows: The amount of the first quarterly distribution for each entity shall equal the amount of the last quarterly distribution for Fiscal Year 2008-2009 and thereafter the next three quarterly distributions shall be in reduced equal amounts, the four distributions together totaling the 2009-2010 appropriation from the Local Government Fund.