State House

Friday Reports — February 2010

Issue 7-10 — Feb. 26, 2010
Issue 6-10 — Feb. 19, 2010
Issue 5-10 — Feb. 12, 2010
Issue 4-10 — Feb. 5, 2010

 

Issue 7-10 — Feb. 26, 2010

The Speaker announced that the House will spend much more time in debate on the floor during the next two weeks. This is to clear the calendar of bills, prior to taking up the budget debate. There is a great likelihood that bills which received consideration in House subcommittees will not receive consideration at their full committee level during this period.

Local Government Fund Slashed Again

In the midst of a devastating economic situation, the Ways and Means Committee chose to use the Local Government Fund (LGF) to balance the state budget once again. The proposed funding level of the LGF for FY 2010-11 is $202 million. This represents a cut of $27.6 million from the FY 2009-10 funding and a cut of $46.8 million from the statutory amount of $249.5 million.

Much of the discussion at full committee was not centered on this year’s budget but rather next year’s budget, when federal stimulus (ARRA) funds will disappear. It is possible that the FY 2011-10 general fund will be 50 percent less than at its highest point.

There may be no way to prevent a cut in the LGF, given fiscal conditions at the state level. However, it will take a great deal of work and numerous contacts to ensure that at least it gets no worse. Please ask your House member to keep in mind:

  • The LGF formula is 4.5 percent of the state general fund for the most recently completed fiscal year. This means that when the state general fund increases one year, the LGF increases the next year. Next year’s budget will already contain a reduction in the LGF to reflect this year’s drop in the state general fund.
  • Even as the LGF is being cut in the budget bill, there are mandatory spending provisos in the same bill for Indigent Defense, DSS, DHHS and other agencies. DHEC can be cut only if all other agencies receive the same cut, and the county library loses all of its state aid if cut below the level from two years ago.
  • The revenue loss cannot be made up with property tax increases, because cuts are greater than the legal limit allowed under the hard millage caps. Keep in mind that the Consumer Price Index (CPI) portion of the millage rate cap is zero percent, and the percentage increase in county population will be added to that, but that will also be zero percent in many counties.
  • Reserve accounts are not available in every county to make up operating revenue shortfalls next year because: 1) not every county has a sufficient reserve fund; 2) some counties may already be using reserve funds this year; 3) portions of the reserve accounts are required by bond underwriters; and 4) some amount of reserve is necessary to avoid tax anticipation notes in order to fund county operations from July 1 until real property taxes begin to be collected later in the year.

Suspension of the Local Government Fund Formula — H. 4603

In order to cut the LGF below the statutory formula found in S.C. Code §6-27-30, separate legislation must be introduced to change the formula. H. 4603 is the bill to suspend the LGF formula. In rapid succession, H. 4603 was introduced, reported out of subcommittee and adopted by the House Ways and Means Committee this week.

The Budget will be considered by the House in two weeks. It is imperative that you make contact with your House members and explain the impact this cut will have on your county!

Tax and Economic Development Bills

TRAC Deadline and Act 388 – H. 4585. H. 4585 extends the deadline for the TRAC commission from March 15 of this year to Nov. 15. The bill was recalled from the House Ways and Means Committee, received third reading in the House and goes to the Senate. The House bill provides that “The commission's report required by the date provided pursuant to subsection (A) of this joint resolution must be a detailed, comprehensive, and careful evaluation of the state's tax system structure and, with regard to ad valorem taxes, the commission's review and report may extend to all constitutional and statutory provisions pertinent to the imposition of ad valorem taxes.”

Senate Finance Property Tax Subcommittee. The subcommittee heard eleven property tax bills on Thursday, after cancelling their Tuesday meeting. Several county assessors, auditors and treasurers were on hand both days and made several key contacts. The subcommittee was very conscious of the fiscal impact of several of these bills and the potential for gaming of the system. All bills were carried over with the exception of S. 876. A brief listing of the bills follows:

  • S. 876 makes several technical changes to the definition of an assessable transfer of interest (ATI), which more or less conform the statute to practice. The subcommittee did adopt an amendment to clearly state that the 15 percent valuation cap is calculated on the land and improvements as a whole and add a penalty for failure to report an ATI. S. 876 will be before the full Finance Committee at its next meeting.
  • S. 1160 and S. 959 allow a person to have two, four percent properties when the owner moves to take a new job. The subcommittee took note of several gaps between the stated intent and the drafting of the bills. SCAC also testified about the problems which need addressing in the four percent qualification guidelines. The subcommittee asked SCAC to work with the authors to address these issues and carried them over for further study.
  • S. 1163 and H. 4174 allow a child to be given or inherit property by their parent or grandparent without changing the taxable value because of an ATI. One bill applies to all classes of property, and there were other issues the subcommittee had concerns about. These were carried over for further study.
  • S. 1164 allows heirs property owners to qualify for the four percent property tax ratio. SCAC testified that results from a quick survey indicate this is current practice, and that the bill may actually curtail current eligibility. The subcommittee carried S. 1164 over for further study.
  • S. 1166 counts any increase in value caused by an ATI against the 15 percent cap in value increase at the next regular reassessment. SCAC testified about the difficulties assessors and private vendors are having handling software for the existing law, and the subcommittee was concerned about the lack of a fiscal impact estimate. This bill was carried over.
  • S. 1141 allows partial property tax payments after the due date for taxes and imposes late payment penalties only on the unpaid portion of the tax bill. The subcommittee heard implementation concerns from treasurers, and the subcommittee asked everyone to work on a proposal to implement this idea in a more manageable manner.
  • S. 1074 exempts from property tax one vehicle owned by a blind person. The subcommittee was concerned about the $2.3 million fiscal impact, and it was carried over for further study.
  • S. 1052 extends the homebuilders tax break for speculative homes not yet sold to condominiums. The $9 million plus fiscal impact caused the subcommittee to carry over this bill.

Economic Development Competitiveness Act – H. 4478. This is a large bill which contains several statutory changes to provide incentives or grant tax breaks to various business interests. Of particular interest to counties is Section 29, which grants the six percent assessment ratio to warehouses owned by manufacturers used primarily for warehousing and wholesale distribution. In 2008, manufacturers were given the six percent assessment ratio for warehouses used exclusively for warehousing and wholesale distribution. This move from an objective standard to a subjective standard in determining the use of a building not only creates assessment problems, but will have a fiscal impact of $11 million. These facilities may have already received the five-year county tax abatement or FILOT treatment. There is also a change in the valuation of property subject to a FILOT agreement, which may cause a substantial fiscal impact. H. 4478 will likely receive debate in the House next week.

Tourism Infrastructure Admissions Tax Act – H. 4200. This legislation adds “Tourism Establishment” to the definition of “Extraordinary Retail Establishment” in the Tourism Infrastructure Admissions Tax Act, and increases the amount and time that proceeds of the admissions tax may be used by the local government for direct and indirect infrastructure needs of the establishment. H. 4200 will likely be debated in the House next week.

Specific Incentives – H. 4514. This legislation changes the length of a simplified FILOT agreement from 19 years to 29 years. H. 4514 also provides that for a period of up to five years, half of all income taxes paid by an “S” corporation which makes a new capital investment of $500 million and hires 400 new employees must be deposited into a fund and distributed pursuant to the approval of the Coordinating Council for Economic Development. The county or municipality in which the project is located may apply to the council for grants from the fund by submitting a grant application. All funds must be used for public infrastructure improvements which support the project. H. 4514 passed the House and went to the Senate.

Retail Incentives – S. 1054. This bill allows the creation of a multi-county business park for retail establishments within certain parameters. It was set for special order this week, which gives it a much greater chance for debate. Several Senators who voted to set it for special order said their vote did not necessarily indicate support for the bill on its merits, but did so to allow debate.

Dealer License Plates – H. 4483. This bill reduces the number of vehicles to be sold in order to qualify for a dealer license plate, which exempts the vehicles from property taxes, from 20 vehicles in a 12-month period to one vehicle. The bill allows the transfer of vehicle ownership from an individual to a corporation to count as one sale. A House subcommittee ran out time to consider the bill this week.

Jail and Court Related Bills

Jail Statute Recodification – S. 217. This bill is the result of the work of the SCAC Local Detention Committee combing through every statute dealing with local detention centers. S. 217 repeals obsolete statutes and terminology and conforms language in other areas to current practice. The bill also authorizes mutual aid assistance agreements among entities to handle emergencies affecting jails. A House Judiciary subcommittee gave the bill a favorable report this week, and it will now go before the full Judiciary Committee.

Omnibus Crime Reduction and Sentencing Reform Act – H. 1154.  A Senate Judiciary subcommittee began hearing testimony on S. 1154 this week. This is the Sentencing Reform Commission bill. The S.C. Center for Fathers and Families testified on the merits of the Jobs Not Jail program, which targets reduction of child support offenders in local detention centers. The center requested that the Jobs Not Jail program be included among the state’s diversionary programs, which would allow greater cooperation between this program and other programs and would also allow the program’s data to be reported to the Sentencing Reform Oversight Committee. The subcommittee will meet again next week.

Victim Services Training – H. 4225. H. 4225 excludes magistrates, municipal circuit and family court judges from mandatory annual victim services training, although their staff will still be included in the training requirement. H. 4225 received a favorable report and is pending second reading in the House.

Texting While Driving – S. 642. S. 642 has several amendments pending and has moved to the contested calendar pending second reading. The committee version of S. 642 bans texting while driving by drivers of all ages and has a $20 fine being retained by the entity with jurisdiction over the charge, adds a $25 surcharge going to the Trauma Victim's fund, and is subject to all other surcharges and assessments. The pending floor amendment contains numerous procedural provisions, including preemption of local ordinances.

Texting While Driving – H. 4282. The House bill outlaws all use of handheld communication devices while driving, both phone and texting, and imposes a $100 fine. The $100 fine will be split between the entity having jurisdiction over the charge and the Department of Public Safety to be used for public education. H. 4282 is pending second reading on the House calendar.

Expungements in Summary Court – H. 4205. Last year’s criminal records expungement act unintentionally included traffic and other minor offenses in the list of offenses that must be automatically expunged. This creates an unnecessary burden on the magistrate’s court, as they are furnishing copies of the expungement orders to entities that have no record of an offense. H. 4205 excludes Title 50 and 56 violations from those that must be automatically expunged. SCAC supported an amendment in subcommittee to exclude city and county ordinance violations from automatic expungement. The bill was amended in a House Judiciary subcommittee, received a favorable report and will now go before the full House Judiciary Committee.

Clerk of Court and Registers of Deed Bills

Uniform Interstate Depositions Act – S. 21. This bill adopts the Uniform Interstate Depositions Act. S. 21 received third reading the House and enrolled for ratification.

Recording Act Regulations (R. 4078) – S. 1142. These regulations govern implementation of electronic recording of instruments with the RODs. S. 1142 was given a favorable report by the House Judiciary Committee and is pending second reading on the House calendar.

Probate Bills

Elective Share – S. 372. S. 372 provides that a surviving spouse’s interest in a trust must be considered and applied first when calculating the spouse’s elective share. This bill received a favorable report by a House Judiciary subcommittee this week.

Presumption of Joint Tenancy – S. 382. This bill provides a presumption that a decedent and surviving spouse held personal property in a joint tenancy with right of survivorship. S. 382 received a favorable report by a House Judiciary subcommittee this week.

Other Bills of Interest

Mandatory County Furloughs – H. 4172. This bill provides that a county may implement a mandatory furlough on all county employees for a period of up to 10 days. The bill excludes law enforcement and corrections employees that would require overtime, as well as any direct patient care and customer service providers. If the county governing body chooses to implement a furlough pursuant to this section, all non-salary benefits that the county employee is entitled to will not be diminished. The bill allows a county governing body to implement any other furlough program, as otherwise authorized by law. The bill was recalled from the House Ways and Means Committee and passed the House this week. H. 4172 is now in the Senate Judiciary Committee.

Condemnation Evidence – S. 1119. A Senate subcommittee adjourned debate on this bill to require condemnation awards to consider assessed value prior to and after condemnation as one measure of compensation. S. 1119 also would have required similar considerations in zoning. SCAC objected to the latter and took issue with zoning being portrayed as a taking. There were several other agencies present to testify on other issues and no further hearings are expected.

Electronic Recycling – H. 4093. This bill prohibits knowingly placing electronic items in a waste stream and prohibits landfill operators from knowingly accepting electronic items for disposal with other solid waste. H. 4093 is pending second reading on the House calendar.

Construction Permit Extensions – H. 4445. The bill, which would extend active permits until March 11, 2011, was given third reading in the House and goes to the Senate.

EMS Fees – S. 907. S. 907 deals with the regulation of entities that provide emergency medical services and imposes fees to pay for regulating those entities. This change would allow DHEC to assess fees per ambulance and per entity for any county that operates EMS services. S. 907 was amended to exclude the name of an EMT as information obtainable through the FOI Act, but allows disclosure of response times and other information. The solicitor may obtain the name of an EMT in an investigation. S. 907 received third reading from the Senate and goes to the House.

E-911 and VoIP Surcharges – H. 4551 and S. 1147. The S.C. 911 Advisory Committee has been working for several years to secure 911 service for users of internet telephone (VoIP), pre-paid cellular, and Commercial Mobile Radio Service (CMRS). This bill amends the Public Safety Communications Act to require that VoIP and pre-paid wireless consumers receive 911 service and pay a surcharge to cover the cost of implementing these services. H. 4551 is an agreement between the advisory committee and industry. The bill passed the House LCI Committee and is awaiting second reading on the contested House calendar. S. 1147 received a favorable report from a Senate Judiciary subcommittee and will be before the full committee next week.

Financing Energy Efficiency – H. 4448 and S. 1096. These bills provide a mechanism for financing energy improvements and recording of those agreements. The House bill has been amended to conform with the Senate bill. There is a $10 fee for recording these agreements. Both bills received third reading in their respective chambers this week.

Election Notices – H. 4434. This bill gives counties the option of posting election notices on the State Election Commission website, instead of publishing the notices in the newspaper. The House Judiciary Committee amended the bill so that only one notice has to be posted, changed the time to count absentee ballots from 2 p.m. to 9 a.m., and gave the bill a favorable report. H. 4434 is pending second reading on the House Calendar.


     
Newly-Introduced Legislation

View/Download Full Text for Newly-Introduced Legislation

Note: If you would like to offer comments to the SCAC staff, please call us toll-free at 1-800-922-6081, fax to (803) 252-0379 or send e-mail.

House Bills

H. 4603 – Suspends the funding formula under the Local Aid to Subdivisions Act for FY 2010-11.

H. 4618 – Creates a county-wide school district, and allows each county council to create an additional school district by ordinance.

H. 4620 – Enacts the “South Carolina Charitable Investment Recovery Act of 2010.”

H. 4622 – Provides an 85 percent fair market value property tax exemption to a new electric facility in a county with the remaining 15 percent being subject to state property tax that will be distributed among the political subdivisions of the state.

H. 4629 – Creates an additional $100.00 surcharge on cases involving domestic violence in all courts of this state.

H. 4637 – Provides that beginning FY 2012-13, the General Reserve Fund must be increased each year by one percent of the General Fund revenue, until it equals 18 percent of the General Fund revenues.

Senate Bills

S. 1206 – Provides that if a municipality has property in more than one county and the counties do not undergo reassessment at the same time, the municipality does not have to change property tax values until the county where the majority of the municipality’s population resides goes through reassessment.

S. 1207 – Extends the Homestead Exemption to emergency medical technicians (EMTs) or their surviving spouses, if an EMT is permanently and totally disabled as a result of a service-connected disability.

S. 1210 – Provides immunity from a civil conspiracy lawsuit to a state employee who is acting within the scope of their official duties.

S. 1222 – Extends certain state and county governmental approvals affecting the development of real property in the state.

S. 1229 – Requires legislation that provides tax incentives or subsidies to be introduced in separate bills and subject to a recorded vote.
 

Issue 6-10 — Feb. 19, 2010

Ways and Means Begins Work on the Budget on Monday —
Make LGF Contacts Now

The Ways and Means Committee will begin their work on the budget this Monday. This is the time to contact House members to stress how important funding the Local Government Fund (LGF) is to local services. A roster of the Ways and Means Committee members is attached.

Funding of the LGF, even at last year's level, is under attack. The Governor’s budget reflects funding for the LGF at $204,235,791, which is below the FY1999-00 level. Under the statutory formula, the LGF should be funded at $249,487,775. The two main reasons for adopting the LGF were predictability of the revenue stream and to provide a source of revenue other than property taxes for county and municipal governments. The proposed cut in the LGF defeats both of these goals.

There has been no discussion of the LGF funding level to date. However, subcommittees told agencies and the public education community to consider how to absorb an additional 20 percent cut in funding. The proviso subcommittee adopted Proviso 86.7, which suspends the statutory requirements of the LGF, and two county “flexibility” provisos—Provisos 86.2 and 86.3. Proviso 86.3 amends the quarterly distribution amounts for the LGF. The amount of the first quarterly distribution would equal the amount of the last quarterly distribution for FY 2009-10. The next three installments would be distributed in equal amounts, reflecting any reduction in the aid to subdivisions allocation. These provisos could indicate an intention by the committee to reduce the LGF significantly below last year’s funding level. Please see previous Friday Reports for a full description of selected provisos.

Several members of the committee seem not to notice the budgetary hardships counties are going through. Specifically, House members have made comments that show they do not understand that:

  • Counties are having furloughs, hiring freezes and pay scale reductions;
  • A large portion of the county budget cannot be cut because of statutory requirements;
  • There are caps without exceptions on the property millage rate and assessed values; and
  • Most of the reserve funds they point out are required for bonds issued or to avoid tax anticipation notes.

ATI/Point of Sale — H. 3272

H. 3272  is still in Senate Finance Committee. There has been no indication of plans concerning the bill. Please continue to have conversations with your Senator(s) about H. 3272. SCAC still supports the compromise reached. We will have to be ready to oppose any departure from that compromise; whether those departures are to include four percent property in the bill, make it retroactive or significantly increase the tax break provided. Please also let SCAC staff know about the conversations you have on H. 3272.

Tax and Economic Development Bills

The Senate Finance Property Tax subcommittee will hear numerous bills next week – many amendments which were tabled or withdrawn during the floor debate on H. 3272 were introduced as stand alone bills and will be heard next Tuesday, Feb. 23, at 3 p.m. by the Senate Finance Property Tax subcommittee. There are also several older bills on the agenda. The subcommittee members are: Sens. Hayes (Chairman), Courson, Land, Grooms and Matthews. The following bills are on that meeting agenda:

  • S. 1160 to allow a person to have two four percent properties when the owner moves to take a new job.
  • S. 1163 to allow a lineal descendant to inherit property without changing the taxable value because of an ATI.
  • H. 4174 to allow a lineal descendant to inherit property without changing the taxable value because of an ATI.
  • S. 1164 to allow property owned by heirs of an unprobated estate to qualify for the four percent property tax ratio.
  • S. 959 to allow a person to have two, four percent properties when they buy another home before selling their current home.
  • S. 1166 to count any increase in value caused by an ATI against the 15 percent cap in value increase at the next regular reassessment.
  • S. 1141 to allow partial property tax payments and to impose late payment penalties only on the unpaid portion of the tax bill.
  • S. 1074 to exempt from property tax one vehicle owned by a blind person.
  • S. 1052 to extend the homebuilders tax break for speculative homes not yet sold to condominiums.

Economic Development Competitiveness Act – H. 4478. This is a large bill which contains several statutory changes which provide incentives or grant tax breaks to various business interests. Of particular interest to counties is Section 29, which grants the six percent assessment ratio to warehouses owned by manufacturers used primarily for warehousing and wholesale distribution. In 2008, manufacturers were given the six percent assessment ratio on warehouses used exclusively for warehousing and wholesale distribution. This move from an objective standard to a subjective standard in determining the use of a building creates assessment problems and will have a fiscal impact of $11 million. These facilities may have already received the five-year county tax abatement or FILOT treatment. H. 4478 will be on the House calendar next week.

Tourism Infrastructure Admissions Tax Act – H. 4200. This legislation adds “Tourism Establishment” to the definition of “Extraordinary Retail Establishment” in the Tourism Infrastructure Admissions Tax Act, and increases the amount and time that proceeds of the admissions tax may be used by the local government for direct and indirect infrastructure needs of the establishment. H. 4200 will be on the House calendar next week.

Specific Incentives – H. 4514. This legislation changes the length of a simplified FILOT agreement from 19 years to 29 years. H. 4514 also provides that for a period of up to five years, half of all income taxes paid by an “S” corporation which makes a new capital investment of $500 million and hires 400 new employees must be deposited into a fund and distributed pursuant to the approval of the Coordinating Council for Economic Development. The county or municipality in which the project is located may apply to the council for grants from the fund by submitting a grant application. All funds must be used for public infrastructure improvements which support the project. H. 4514 will be on the House calendar next week.

Jail and Court Related Bills

Jail Statute Recodification – S. 217. This bill is the result of the work of the SCAC Local Detention Committee combing through every statute dealing with local detention centers. S. 217 repeals obsolete statutes and terminology and conforms language in other areas to current practice. The bill also authorizes mutual aid assistance agreements among entities to handle emergencies affecting jails. S. 217 is scheduled for a hearing before a House Judiciary subcommittee next Wednesday at 9 a.m. The subcommittee members are: Reps. Viers, Whipper, Sottile, Miller and Funderburk.

Victim Services Training  – H. 4225. H. 4225 excludes magistrates, municipal judges and their staff from mandatory annual victim services training. A House Judiciary subcommittee amended H. 4225 to add circuit court and family court judges to those excluded, but the amendment removed the exclusion for judges' staffs from the bill. H. 4225 received a favorable report and will be before the House Judiciary Committee next week.

Sexual Predators – S. 931. This bill received a favorable report in a Senate Judiciary subcommittee. The bill attempts to adjust time lines in the current law to make hearings and evaluations conform with hearing schedules to make evaluations more timely, and encourages evaluations to be made by the Department of Mental Health (DMH). It removes DMH as a housing option for offenders and keeps local facilities as a housing option. The bill will be before the Senate Judiciary Committee next week.

Texting While Driving – S. 642. S. 642 was amended in a Senate subcommittee to only ban texting while driving and to apply to drivers of all ages. The Senate Judiciary Committee amended the bill to impose a $20 fine, being retained by the entity with jurisdiction over the charge, add a $25 surcharge going to the Trauma Victims’ fund, and be subject to all other surcharges and assessments. This bill is awaiting second reading on the Senate floor.

Texting While Driving – H. 4282. The House bill outlaws all use of handheld communication while driving, both phone and texting, and imposes a $100 fine. The $100 fine will be split between the entity having jurisdiction over the charge and the state Department of Public Safety to be used for public education. H. 4282 is pending second reading on the House calender.

Clerk of Court and Register of Deeds Bills

Court Filing Fee Increase – H. 3161. This bill was amended with a provision at the request of the Chief Justice to increase filing fees in circuit and family court to $150, increase the circuit and family court motion fee to $75, add a $50 surcharge to magistrate court summons and complaint, and add a $20 surcharge to all other civil filing fees (except restraining orders) in magistrate’s court. All proceeds of these fee increases would support the Judicial Department. H. 3161 got a favorable report as amended and will be before the Senate Judiciary Committee next week.

Recording Act Regulations (R. 4078) – S. 1142. These regulations govern the implementation of electronic recording of instruments with the Registers of Deeds. S. 1142 passed the Senate and is now in the House. A favorable report from the Judiciary Committee is expected next week.

Other Bills of Interest

Lot Clean Up Liens – S. 976. This bill gives counties the authority to file liens for costs of cleaning up public nuisances on private lots. Cities currently have this authority. The measure remains on the contested second reading Senate calendar. SCAC is working with the objecting Senators to find an agreement.

Recreation SPD Dissolution – H. 3797. H. 3797 would allow dissolution of recreation special purpose districts (SPDs) which encompass all the unincorporated area of a county. H. 3797 was rejected by the House this week on a division vote of 3–7.

Animal Care Costs – S. 223. S. 223 would provide that a custodian of an animal taken into custody due to civil or criminal violations by its owner may petition the court for expenses for care of the animal. The House Judiciary Committee voted to recommit S. 223 back to subcommittee this week.

Construction Permit Extensions – H. 4445. This bill, which would extend active permits until March 11, 2011, is on the House Calendar awaiting second reading.

EMS Fees – S. 907. S. 907 deals with the regulation of entities that provide emergency medical services and imposes fees to pay for regulating those entities. This change would allow DHEC to assess fees per ambulance and per entity for any county that operates EMS services. S. 907 was amended to exclude the name of an EMT as information obtainable through the FOI Act, but allows disclosure of response times and other information. The solicitor may obtain the name of an EMT in an investigation. S. 907 received a favorable report from the Senate Medical Affairs Committee and will now be debated by the full Senate.

E-911 and VoIP Surcharges – H. 4551. The S.C. 911 Advisory Committee has been working on the issue for several years to secure 911 service for users of Internet telephone (VoIP), pre-paid cellular, and Commercial Mobile Radio Service (CMRS). This bill amends the Public Safety Communications Act to require that VoIP and pre-paid wireless consumers receive 911 service and pay a surcharge to cover the cost of implementing these services. H. 4551 is an agreement between the Advisory Committee and industry. H. 4551 has passed a House LCI subcommittee and will go before the full committee.

Financing Energy Efficiency – H. 4448 and S. 1096. These bills provide a mechanism for financing energy improvements and recording of those agreements. The House bill has been amended to conform with the Senate bill. There is a $10 fee for recording these agreements. Both bills are on the calendars of the respective bodies. 

2010 SCAC Mid-Year Conference, Legislative Reception 
and Institute of Government

  • Mid-Year Conference and Legislative Reception to be held Wednesday, Feb. 24. The Mid-Year Conference will be held at Embassy Suites Hotel in Columbia. Registration information has been mailed and is available online. The program will provide a briefing on legislation affecting county government before the General Assembly and give county and state officials an opportunity to discuss those issues. Now is the time to start arranging meetings with members of your delegation. SCAC will also host the General Assembly at a reception Wednesday evening, Feb. 24 at the Embassy Suites Hotel.
  • Institute of Government classes will be held on Thursday, Feb. 25. These informational courses are open to all county officials. There is a separate registration for these courses, and those materials have been mailed and are available online. Course offerings include Planning and Goal-Setting, Public Speaking, Decision-Making in a Political Environment, and Economic Development. The Economic Development course also qualifies for three hours of continuing education credit for planning/zoning officials and employees.


   
Newly-Introduced Legislation

View/Download Full Text for Newly-Introduced Legislation

Note: If you would like to offer comments to the SCAC staff, please call us toll-free at 1-800-922-6081, fax to (803) 252-0379 or send e-mail.

House Bills

H. 4545 – Allows a qualified nuclear plant facility to qualify for a fee in lieu of property taxes.

H. 4547 – Provides alternative penalties for speeding less than 10 miles over the posted speed limit.

H. 4551 – Revises the definitions of several provisions of the law applicable to the public safety communications center.

H. 4553 – Authorizes a law enforcement officer to issue a ticket or make an arrest outside of his/her jurisdiction under certain circumstances.

H. 4573 Authorizes a school district in which 60 percent of the students receive free or reduced lunch to be exempt from the distribution of revenue requirements under the law and to use the sales taxes collected in their county for school operating expenses.

H. 4583 – Provides that the income tax revenue impact statement must be signed by the chief economist of the Office of Research and Statistics of the State Budget and Control Board.

H. 4584 – Allows a public school to develop a policy that requires cars that are idling while picking up or dropping off students to be turned off, and provides for a non-moving traffic violation for violating the policy with all fine proceeds going to the state general fund.

H. 4585 – Expands the authority of the Tax Realignment Commission (TRAC) to review and report on all of the property tax provisions in the law.

H. 4590 – Creates a misdemeanor charge for entering a public library after being barred from doing so or failing to leave a library after being requested to do so.

H. 4595 – Increases the motion fees in the Court of Common Pleas and Family Court from $25.00 to $75.00.

Senate Bills

S. 1174 – Conforms certain provisions of the state income tax code to the Internal Revenue Code.

S. 1175 – Provides that after 2010, a person serving as the Attorney General becomes a member of the judges and solicitors retirement system.

S. 1176 – Enacts the "South Carolina Back to Work Tax Rebate Act of 2010."

S. 1177 – Provides that the provisions of the whistle blower statute apply to persons giving testimony before a House or Senate committee.

S. 1182 – Amends provisions of the law pertaining to the sales tax exemption for durable medical equipment and supplies.

S. 1187 – Provides that when a property owner's land is taken for public use, the reestablishment expenses payable pursuant to federal guidelines and regulations to move a small business, farm or nonprofit organization may be paid in an amount up to $50,000.

S. 1188 – Enacts the "South Carolina Family Court Hearing Officer Act."

Ratification of Acts

The following bills have been passed by both chambers and are now before the Governor for signature or veto:

(R. 124) S. 186 – Limits attorney's fees in a state-initiated action to a reasonable rate and establishes factors to be considered in determining the rate.

(R. 125) S. 362 – Establishes a workers' compensation presumption for firefighters and law enforcement officers for heart and respiratory disease that their injury occurred during the course of employment, if they have passed a physical exam by July 1, 2012 and before an injury.

(R. 126) S. 654 – Creates a separate clerk of court and register of deeds for Lancaster County.

(R. 129) H. 3488 – Creates a separate study commission to study certain issues affecting veterans.

(R. 133) H. 4310  – Authorizes the use of up to 20 percent of the revenue generated from the Local Option Tourism Development Fee for property tax relief for owner-occupied residential property and tourism-related capital projects beginning in the second year of imposition of the fee.


Issue 5-10 — Feb. 12, 2010

The House was on furlough this week, but both chambers will be in next week.

ATI/Point of Sale – H. 3272 — What a Mess

Tuesday morning, all interested parties met with several Senators to find a compromise all parties could live with. A compromise, supported by SCAC, was worked out. The features include:

  • Application to six percent property only.
  • For calendar year 2010, any six percent property transferred would have no increase in its taxable value, a 100 percent exemption from the effect of an ATI.
  • For calendar year 2011 and beyond, any six percent property transferred would be revalued at 80 percent of the fair market value as of Dec. 31 of that year. However, the taxable value could not be lower than the full fair market value in the assessor’s computer when the seller transferred it.
  • Six percent parcels would still be subject to regular reassessment and the 15 percent cap on valuation increases.
  • A three-year, “look back” provision added to the millage rate cap in §6-1-320. This allows any authorized but unused millage rate raising capacity to be used in the current budget year.
  • Modifications to the rolllback millage calculation used in the year reassessment is implemented, including an adjustment to allow for a collection rate in the rollback millage calculation and treating increases in value due to an ATI the same as new construction.
  • Requiring the assessor to establish the value and specifically address the contract price for any property undergoing an ATI.
  • Requiring an estimate of the property taxes to be paid by the buyer to be provided before signing a contract for property.

The fiscal impact of this compromise was projected by the BEA to be $35 million for the first year and about $8 million annually thereafter. A distribution of the $35 million impact from the BEA is attached. This impact is for schools, cities and counties combined. This will also impact school EFA funding through the Index of Taxpaying Ability.

Tuesday, all amendments to the compromise were defeated and H. 3272 was given second reading. Because the bill contains a property tax exemption, it requires 31 votes to become effective. When the roll call vote came on Wednesday, only 28 votes were cast in favor of it. Thursday, H. 3272 was recommitted to the Finance Committee after reconsidering third reading of the bill.

Where does this leave us? SCAC continues to support the compromise embodied in the current version of H. 3272. However, there is a significant group of senators who want to eliminate ATIs altogether—which has an impact of $52 million per year—and other amendments are circulating. Any amendment to the current version of H. 3272 would force SCAC to oppose H. 3272, and we would send out an immediate alert to you. Please be alert to any changes and ready to respond. 

Budget Proviso Subcommittee Completes Work — LGF in Danger Again

The Ways and Means Proviso subcommittee met this week and considered all provisos which had been recommended by the various Ways and Means subcommittees, as well as some which were recommended by the subcommittee chairmen. The provisos considered to date can be found via this link to Ways and Means Committee Handouts.

  • Local Government Fund (LGF) – The Proviso subcommittee adopted Proviso 86.7, which suspends §6-27-30 and §6-27-50. Section 6-27-30 requires 4.5 percent of general fund revenues of the latest completed fiscal year to be appropriated to the LGF. Section 6-27-50 states that the Aid to Subdivisions Act, which creates the LGF, may not be amended or repealed except in separate legislation solely for that purpose.

    There has been no discussion of the funding level for the LGF. However, agencies and public schools have been told to expect a 20 percent reduction below the last mid-year budget cut in FY 2009-10.

    It is important that you contact the members of the House Ways and Means Committee today to stress how important funding the Local Government Fund according to the statute is to local services. Several members were not aware that there have been furloughs at the county level. Many members do not understand how much of the county budget cannot be cut because of statutory requirements. Some members forget that there are caps on the property millage rate and assessed values.
  • Provisos of Particular Interest:

    Proviso 86.2 – allows counties to transfer funds among appropriated state revenues as needed to ensure the delivery of services for FY 2010-11.

    Proviso 86.3 – amends the quarterly distribution amounts for the LGF. The amount of the first quarterly distribution for each entity shall equal the amount of the last quarterly distribution for FY 2009-10. The next three installments will be distributed in equal amounts, reflecting any reduction in the aid to subdivisions allocation.

    Proviso 86.4 – allows counties to cut certain county agency budgets without a corresponding reduction in the LGF.

    Proviso 1.43 – Section 59-21-1030, the EIA local effort requirement, is suspended for FY 2010-11. There is no corresponding suspension of the EFA local effort requirement.

    Proviso 79.1 – The subcommittee deleted this proviso, which provides a $12,500 stipend per county for county registration board members and county election commissioners (up to $1,500 per commissioner).

    Proviso 80A.hol – provides that the state will observe the Christmas holiday on Dec. 27 and 28.

    Proviso 82.ef – requires the electronic filing of all statements and forms required by the State Ethics Commission.

    Proviso 89._ – states that fire service vehicles operated by political subdivisions are exempt from the user fee for diesel fuel. "Off-road diesel" may be purchased to operate these vehicles.

    Proviso 89._ – closes the TERI program to new participants effective July 1, 2010.

Tax and Economic Development Bills

Fire Sprinkler Incentive S. 1057. This bill creates a study committee to look at strategies to expand participation in the tax incentive program for residential installation of fire sprinkler systems. S. 1057 is now on the contested Senate calendar pending second reading with an amendment to remove the local government preemption language.

House Ways and Means Committee Agenda. Next Tuesday, the Ways and Means Committee will take up several economic development bills, including:

  • Economic Development Competitiveness Act – H. 4478. This is a large bill which contains several statutory changes which provide either incentives or tax breaks to various business interests. Of particular interest is Section 26, which grants the six assessment ratio to warehouses owned by manufacturers used primarily for warehousing and wholesale distribution. In 2008, manufacturers were given the six percent assessment ratio on warehouses used exclusively for warehousing and wholesale distribution. This move from an objective standard to a subjective standard in determining the use of a building not only creates assessment problems, but also clearly will have a severe fiscal impact. Using figures from the 2008 debate, it will probably be about $11 million.
  • Tourism Infrastructure Admissions Tax Act – H. 4200. This legislation adds “Tourism Establishment” to the definition of “Extraordinary Retail Establishment” in the Tourism Infrastructure Admissions Tax Act, and increases the amount and time that proceeds of the admissions tax may be used by the local government for direct and indirect infrastructure needs of the establishment.
  • Specific Incentives – H. 4514. This legislation changes the termination date in the simplified FILOT from 19 years following the first property tax year in which an applicable piece of economic development property is placed in service, to the 29th year. Additionally, the legislation provides that for a period of up to five years, half of all income taxes paid by an “S” corporation which makes a new capital investment of $500 million and hires 400 new employees must be deposited into a fund and distributed pursuant to the approval of the Coordinating Council for Economic Development. The county or municipality in which the project is located may apply to the council for grants from the fund by submitting a grant application. All funds must be used for public infrastructure improvements which support the project.

Other Items of Interest

  • Lot Clean-up Liens – S. 976. S. 976 would authorize county governments to place liens on private property for the cleanup or repair of a public nuisance. The language in S. 976 mirrors current law that gives municipalities this power. S. 976 is still on the contested Senate calendar pending second reading with Sens. Bright and Bryant objecting.
  • Recording Act Regulations (R. 4078) – S. 1142. These regulations govern the implementation of electronic recording of instruments with the Registers of Deeds. These regulations give counties three alternatives for implementation, if they choose to electronically record instruments; and this will ensure a standardized format for delivering and recording these instruments. Approval of these regulations has passed the Senate and will be in a House committee next week.
  • SPD Dissolution – H. 3797. H. 3797 would allow dissolution of recreation special purpose districts (SPDs) which encompass all the unincorporated area of a county. H. 3797 would allow any such SPD to have its assets and liabilities transferred to the county, if the county governing body and county legislative delegation each pass resolutions to that effect. H. 3797 is pending second reading on the House calendar.
  • Texting While Driving – S. 642. This bill originally only applied to individuals 18-years-old or younger and prohibited all forms of wireless communication while driving. S. 642 was amended in a Senate subcommittee to ban texting while driving, but will apply to drivers of all ages. The subcommittee left the fines provision open to amendment. There are amendments to require that all of the fine revenue for this offense go to a trauma victims’ fund and to exempt this fine from surcharges and assessments. SCAC testified at the subcommittee that the fine should include assessments and surcharges and should be retained by the entity that is processing the charge. S. 642 will now go before the full Senate Judiciary Committee.
  • Construction Permit Extensions – H. 4445. A joint resolution which would extend the expiration date of development permits is pending second reading on the House calendar. The resolution would extend the life of permits still active and issued on or after Jan. 1, 2009, until March 11, 2011. Local building permits are included.
  • Financing Energy Efficiency – S. 1096. The companion bill to H. 4448, reported on last week, received approval in a Senate subcommittee. It allows for agreements between electric suppliers and customers to recover the costs of energy-efficient improvements. The recording fee is set at $10.00 per agreement. S. 1096 will be before the Senate Judiciary Committee next week.

2010 SCAC Mid-Year Conference, Legislative Reception 
and Institute of Government

  • Mid-Year Conference and Legislative Reception to be held Wednesday, Feb. 24. The Mid-Year Conference will be held at Embassy Suites Hotel in Columbia. Registration information has been mailed and is available online. The program will provide a briefing on legislation affecting county government before the General Assembly and give county and state officials an opportunity to discuss those issues. Now is the time to start arranging meetings with members of your delegation. SCAC will also host the General Assembly at a reception Wednesday evening, Feb. 24 at the Embassy Suites Hotel.
  • Institute of Government classes will be held on Thursday, Feb. 25. These informational courses are open to all county officials. There is a separate registration for these courses, and those materials have been mailed and are available online. Course offerings include Planning and Goal-Setting, Public Speaking, Decision-Making in a Political Environment, and Economic Development. The Economic Development course also qualifies for three hours of continuing education credit for planning/zoning officials and employees.

NACo Legislative Conference, March 6–10, 2010
Marriott Wardman Park, Washington, D.C.


 
Newly-Introduced Legislation

View/Download Full Text for Newly-Introduced Legislation

Note: If you would like to offer comments to the SCAC staff, please call us toll-free at 1-800-922-6081, fax to (803) 252-0379 or send e-mail.

S. 1145 – Provides that a member of the South Carolina Retirement System is considered to be in service for retirement purposes on the date they file an application, if they were employed less than 90 days prior to the date of filing.

S. 1146 – Provides that under the South Carolina Retirement System, benefits paid under the accidental death insurance benefit shall not be treated as a life insurance benefit.

S. 1152 – Requires that if a person charged with a criminal offense is a law enforcement officer, magistrate or circuit judge, there is a rebuttable presumption that they cannot receive a fair and impartial hearing in their county; and the case must be moved to another county.

S. 1154 – Creates the Omnibus Crime Reduction and Sentencing Reform Act of 2010.

S. 1160 – Allows a person to claim the four percent tax assessment ratio for a second home, if the second home was purchased as a result of a change of the homeowner’s job location.

S. 1161 – Authorizes the Tax Realignment Commission (TRAC) to look at all aspects of local taxes assessed to fund the operations of local government.

S. 1162 – Provides for a 100 percent tax exemption for the increase of the fair market value of property subject to the six percent assessment ratio after 2009, if the property underwent an assessable transfer of interest (ATI) after the passage of Act 388.

S. 1163 – Excludes from the definition of an ATI on real property conveyance to a lineal descendent by deed, will or intestate succession, or a conveyance to a property trust.

S. 1164 – Provides that a home on heirs' property with no more than five acres can receive the four percent assessment ratio, as long as the home is occupied by an heir.

S. 1166 – Provides that if a four percent home undergoes an ATI after 2009 and the value increases more than 15 percent, the property will be capped at the 15 percent increase; and thereafter cannot exceed the fair market value at the time of the ATI.

S. 1170 – Requires all sewage treatment plants handling residential sewage that have had three or more spills within any 12-month period to complete a comprehensive review of their operations. 


Issue 4-10 — Feb. 5, 2010

ATI/Point of Sale — H. 3272

Next week will be a critical week for debate on H. 3272. This bill requires 31 votes in the Senate to pass. A test vote was taken Thursday (that roll call vote is attached) and there are 26 Senators in favor of H. 3272. Senate leaders say there is no consensus in the Senate on any version of H. 3272. A half dozen Senators met with the interested parties Thursday afternoon to emphasize that if no compromise was reached by Tuesday, they would find some version of H. 3272 which could get 31 votes or send it back to the Finance Committee. These leaders said there did not appear to be 31 votes for including four percent residential property in the bill. The interested parties are scheduled to meet Monday to see if a compromise can be reached.

All Senators voting “nay” or not voting on the roll call vote should be contacted before Tuesday to:

  • Reiterate SCAC’s willingness to support the Jan. 19 compromise;
  • Ask that they support the Jan. 19 compromise or send H. 3272 back to Finance Committee for work; and
  • Explain that the fiscal impact grows each year (see H. 3272 Fiscal Impact Attachment), because many Senators do not yet understand that the fiscal impact grows each year.

SCAC's Board of Directors authorized the compromise which the realtors reneged upon, and SCAC is still willling to support that compromise. Here are the major points of the Jan. 19 compromise:

  • Apply only to six percent property: commercial and non-owner-occupied residential property;
  • For sales during or after 2010, the value increase of the property would be capped at 80 percent of the difference between the full fair market value and the seller's capped value;
  • Correct the rollback millage calculation to provide a collection rate, and allow revenue growth due to ATI-caused value increases in a reassessment year;
  • Provide a “look back” in the millage rate cap to allow authorized but unused millage rate increase authority for the previous three years to be used in the current year.

The major differences with the realtors appear to be:

  • Whether to include or exclude four percent, owner-occupied property and
  • The method of calculating the 80 percent cap on value increases:
    • Method A – on the difference between the seller’s taxable value and the full fair market value; or
    • Method B – on the full fair market value of the property, not to be less than the previous owner’s taxable value.

Please see the attachment for examples of these two different methods of calculating the 80 percent cap

Ways and Means Subcommittees Finish Work on Budget

Ways and Means subcommittees finished their work on the budget this week. Next week, the proviso subcommittee will meet to review all provisos which have been approved by the other subcommittees. Please contact House members to stress how important funding the Local Government Fund according to the statute is to local services. Several members were not aware that there have been furloughs at the county level. Many members do not understand how much of the county budget cannot be cut because of statutory requirements. Some members forget that there are caps on the property millage rate and assessed values. The full Ways and Means Committee will meet to consider the budget in two weeks.

Elections Bills

  • Voter Photo ID and Early Voting – H. 3418. The Senate amended and passed H. 3418. The law on absentee voting is expanded to allow additional provisions for a third party to obtain an absentee ballot application on behalf of a voter, as long as the application is returned to the registration office before the polls close on election day. There will also be a new early voting process to allow a 15-day period for no excuse voting prior to an election. Each county board of registration must establish the location of at least one no excuse early voting center. Voter photo ID will be required beginning July 1, 2011. Also, an affidavit procedure will exist to deal with voters who come to the polls without an ID or who object to photo IDs on religious grounds, and provisional ballots will still be allowed. A detailed public outreach program will be utilized to educate the public about new voting requirements. The Senate returned the amended bill to the House.
  • Electronic Campaign Disclosure – H. 3066. This bill would require candidates for office to file their disclosure reports electronically. The House Judiciary Committee amended H. 3066 to require a candidate to disclose within 48 hours of receipt any contribution that is half or more of the total contribution for that office and gave the bill a favorable report.
  • Petition Candidates – S. 590. This bill prohibits a person who voted in a primary from signing a petition for a candidate to run in the general election following the primary. The Senate amended the effective date of the bill to be Jan. 1, 2011, and it is now in the House Judiciary Committee.
  • Petition Candidates – H. 3746. This bill prohibits a person who voted in a primary from signing a petition for a candidate to run in the general election following that primary. The bill has been passed by the House and sent to the Senate.
  • Absentee Ballot Counting – H. 4208. H. 4208 changes the time to begin counting absentee ballots from 2 p.m. to 9 a.m. Due to concerns that moving the time earlier might adversely affect an election by calling a race too early, the House Judiciary Committee recommitted the bill to a subcommittee for additional consideration.
  • Non-Resident U.S. Citizens Voting – H. 4207. This bill would allow U.S. citizens living abroad to register to vote where their parents are registered to vote. The House Judiciary Committee amended the bill to ensure that a person could not vote in multiple states and gave it a favorable report.

Tax Bills

  • ATI for Inherited and Trust Property – H. 4174. This bill provides that no assessable transfer of interest will occur when real property is passed to a lineal descendant through a trust, distribution of a will or inheritance. The bill was passed by the House and sent to the Senate.
  • Marina Records – H. 3636. A House Agriculture subcommittee considered H. 3636 this week. The legislation asks that marinas verify the registration information of watercraft leasing, renting or occupying space at its facility. The subcommittee carried over the bill, but plans on taking the bill back up when the House returns in two weeks.
  • Fire Sprinkler Incentive – S. 1057. This bill creates a study committee to look at strategies to expand participation in the tax incentive program for residential installation of fire sprinkler systems. The Senate Finance Committee gave the bill a favorable report with the amendment that removes the local government preemption. S. 1057 is pending second reading on the Senate calendar.

Ways and Means Subcommittee Approves 'Economic Development' Bills

A Ways and Means subcommittee reported several pieces of legislation which purportedly will enhance economic development. No public testimony was permitted at the time. These bills are:

  • The Economic Development Competitiveness Act – H. 4478. This is a large bill which contains several statutory changes which either provide incentives or give tax breaks to various business interests. Of particular interest are:

    Sections 5, 6 and 29, which delete the statement that for real property in a FILOT, the fair market value estimate established for the first year of the fee remains the fair market value of the real property for the life of the fee.

    Section 8 provides a procedure for reallocation of economic recovery zone bonds from counties and cities which do not use their allotment to other counties and cities. If an entity does not give notice by Aug. 1, 2010 and provides evidence that its allotment has been used, its allocation of bond authority is waived. Counties and municipalities will be allowed to apply for the reallocations.

    Section 16 deletes the ability for State Rural Infrastructure Funds to be used through local governments for infrastructure, states that these funds may only be used for economic development and adds “site preparation, acquiring or improving real or personal property, and relocation expenses” to the list of allowed uses of the funds.

    Section 26 grants the six percent assessment ratio to warehouses owned by manufacturers used primarily for warehousing and wholesale distribution. In 2008, manufacturers were given the six percent assessment ratio on warehouses used exclusively for warehousing and wholesale distribution. This move from an objective standard to a subjective standard in determining the use of a building not only creates assessment problems, but also clearly will have a severe fiscal impact. These facilities may have already received the five-year county tax abatement or FILOT treatment.
  • The Tourism Infrastructure Admissions Tax Act – H. 4200. This legislation adds “Tourism Establishment” to the definition of “Extraordinary Retail Establishment” in the Tourism Infrastructure Admissions Tax Act, and increases the amount and time that proceeds of the admissions tax may be used by the local government for direct and indirect infrastructure needs of the establishment.
  • Specific Incentives – H. 4514. This legislation changes the termination date in the simplified FILOT from 19 years following the first property tax year in which an applicable piece of economic development property is placed in service, to the 29th year. Additionally, the legislation provides that for a period of up to five years, half of all income taxes paid by an “S” corporation which makes a new capital investment of $500 million and hires 400 new employees must be deposited into a fund and distributed pursuant to the approval of the coordinating council. The county or municipality in which the project is located may apply to the council for grants from the fund by submitting a grant application. All funds must be used for public infrastructure improvements which support the project.

Other Items of Interest

  • Lot Clean-up Liens – S. 976. S. 986 would authorize county governments to place liens on private property for their cleanup or repair of a public nuisance. The language in S. 976 mirrors current law that gives municipalities this power. S. 976 is on the contested Senate calendar pending second reading with Sens. Bright and Bryant objecting.
  • EMS Fees – S. 907 and H. 3710. H. 3710 amends several sections of the code dealing with the regulation of entities that provide emergency medical services, the assessment of fees incurred in regulating these entities and also changes the configuration of the EMS Advisory Council under DHEC. This change would allow DHEC to assess fees per ambulance and per entity for any county that operates EMS services. It also adds the position of State Medical Control Physician to the EMS Advisory Council and increases the number of appointees from 19 to 30. This bill received a favorable report from a House Medical Services subcommittee, and debate was adjourned in full committee. S. 907 was amended to incorporate the provisions of the House bill and has been recommitted to a Senate Medical Affairs subcommittee.
  • SPD Dissolution – H. 3797. H. 3797 would allow dissolution of recreation special purpose districts (SPDs) which encompass all the unincorporated area of a county. H. 3797 would allow any such SPD to have its assets and liabilities transferred to the county, if the county governing body and county legislative delegation each pass resolutions to that effect. H. 3797 is pending second reading on the House calendar.
  • Surface Water Withdrawal Permits – S. 452. This bill proposes expansion of the current DHEC regulatory system for surface water withdrawals from rivers, lakes and streams by creating a permitting program, which could be funded by application fees. Permitting processes, exemptions and restrictions for new surface water withdrawers have been proposed in this bill. Public utilities who are currently registered with DHEC will be grandfathered into the permitting system. Also, local governments located within a river basin—and any local government whose public water system withdraws from a river basin affected by a permit request involving an interbasin transfer of water from that river basin—must be informed by DHEC within 30 days of that request, and a public hearing must be held by DHEC. S. 452 is now on the contested Senate calendar.
  • Construction Permit Extensions – H. 4445. A joint resolution which would extend the expiration date of development permits was given a favorable report by the House LCI Committee. The resolution would extend the life of permits still active and issued on or after Jan. 1, 2009, until March 11, 2011. Local building permits are included. SCAC made an effort to remove local governments from the bill.
  • Attorneys' Fees in State-Initiated or Contested Actions – S. 186. S. 186 deals with awards of attorneys’ fees in civil actions brought by the state, a political subdivision or any party who is contesting government action. S. 186 would add to current law that the governmental entity is presumed to be substantially justified, if it followed a statutory or constitutional mandate. S. 186 also would add that attorneys’ fees be awarded based on a reasonable amount of time at a reasonable rate. An exclusion for condemnation actions was removed from S. 186 by the House, the Senate concurred in the amendment, and it is on its way to the Governor.
  • Formal Probate Court Proceedings – H. 3803. This bill makes changes to formal probate proceedings requested by the probate judges. H. 3803 passed the House and has been referred to the Senate Judiciary Committee.
  • Recording Act Regulations – R. 4078. These regulations govern the implementation of electronic recording of instruments with the ROD. These regulations give counties three alternatives for implementation, if they choose to electronically record instruments; and this will ensure a standardized format for delivering and recording these instruments. R. 4078 was given a favorable report by the Senate Judiciary Committee this week.
  • Financing Energy Efficiency – H. 4448. This bill allows agreements between electric suppliers and customers to cover costs of efficiency improvements through the electric bills. Agreements will be filed with the county, and the supplier will cover county costs of recording. H. 4448 is pending second reading on the House calendar. 

2010 SCAC Mid-Year Conference, Legislative Reception 
and Institute of Government

  • Mid-Year Conference and Legislative Reception to be held Wednesday, Feb. 24. The Mid-Year Conference will be held at Embassy Suites Hotel in Columbia. Registration information has been mailed and is available online. The program will provide a briefing on legislation affecting county government before the General Assembly and give county and state officials an opportunity to discuss those issues. Now is the time to start arranging meetings with members of your delegation. SCAC will also host the General Assembly at a reception Wednesday evening, Feb. 24 at the Embassy Suites Hotel.
  • Institute of Government classes will be held on Thursday, Feb. 25. These informational courses are open to all county officials. There is a separate registration for these courses, and those materials have been mailed and are available online. Course offerings include Planning and Goal-Setting, Public Speaking, Decision-Making in a Political Environment, and Economic Development. The Economic Development course also qualifies for three hours of continuing education credit for planning/zoning officials and employees.

NACo Legislative Conference, March 6–10, 2010
Marriott Wardman Park, Washington, D.C.


 
View Newly-Introduced Legislation

Note: If you would like copies of any of the bills or if you would like to offer comments to the SCAC staff, please call us toll-free at 1-800-922-6081, fax to (803) 252-0379 or send e-mail.