129.8. Except as otherwise provided in this Act, all
appropriations for compensation of State Employees shall be paid in
twice-monthly installments to the person holding such position. In
order to provide a regular and permanent schedule for payment of
employees, it is hereby established that the payroll period shall
begin on 
June 2, 1988, with the first pay period ending on June 16, 1988.
The payroll period shall continue thereafter on a twice-monthly
schedule as established by the Budget and Control Board. It is the
intent of the General Assembly that this schedule, thus
established, will continue from one fiscal year to another without
interruption, on a twice-monthly basis. The Budget and Control
Board is authorized to approve any changes to this schedule where
circumstances are deemed justifiable.
The appropriated salaries for specified positions shall mean the
maximum compensation for such position, except as specifically
provided in other provisions of this Act, and in any case where the
head of any department can secure the services for a particular
position or work at a lower rate than the salary specified in this
Act, authority for so doing is hereby given.
  No employee of any state department or institution
shall be paid any compensation from any other department of the
state government except those approved under the provisions of
Regulation 19-702.09 of the 1976 Code, as amended, and no employee
of any department or institution shall be paid travel expenses by
any other department or institution without approval of the agency
by which he is regularly employed. The Comptroller General shall
report, after June thirtieth of each year, to the House Ways and
Means Committee and the Senate Finance Committee the names of all
employees receiving dual compensation and the amounts received.
  The provisions of Regulation 19-707.02 and Section 8-5-10 of the
1976 Code, as amended, shall not apply to employees hired for 120
days or less.
  129.9. That salaries paid to officers and employees of the State,
including its several boards, commissions, and institutions shall
be in full for all services rendered, and no perquisites of office
or of employment shall be allowed in addition thereto, but such
perquisites, 
commodities, services or other benefits shall be charged for at the
prevailing local value and without the purpose or effect of
increasing the compensation of said officer or employee. The charge
for these items may be payroll deducted at the discretion of the
Comptroller General or the chief financial officer at each agency
maintaining its own payroll system. This shall not apply to the
Governor's Mansion, nor to guards at any of the State's penal
institutions and nurses and attendants at the Department of Mental
Health, and the Department of Mental Retardation, and registered
nurses providing clinical care at the MUSC Medical Center, nor to
the Superintendent and staff of John de la Howe School, nor to the
cottage parents and staff of Wil Lou Gray Opportunity School, nor
to the Directors of John G. Richards Campus, Willow Lane Campus,
and the Reception and Evaluation Center at the Department of Youth
Services. The Presidents of those State institutions of higher
learning authorized to provide on-campus residential facilities for
students may be permitted to occupy residences on the grounds of
such institutions without charge.
  Any state institution of higher learning may provide a housing
allowance to the President in lieu of a residential facility, the
amount to be approved by the Budget and Control Board.
  That the following may be permitted to occupy residences owned by
the respective Departments without charge: the Commissioner of the
Department of Corrections, the Farm Director, Farm Managers, and
Specialists employed at the Wateree River Correctional Institution,
Walden Correctional Institution, MacDougall Youth Correctional
Center, and Givens Youth Correctional Center; the S. C. State
Commission of Forestry fire tower operators, forestry aides, and
caretaker at central headquarters; the S. C. Wildlife and Marine
Resources Department's Game Management Personnel, Fish Hatchery
Superintendents, Lake Superintendent, and Fort Johnson
Superintendent; the Department of 
Parks, Recreation and Tourism field personnel in the State Parks
Division; the Agricultural Aide at the Department of Youth Services
Farm; Director of Wil Lou Gray Opportunity School; President of the
School for the Deaf and Blind; house parents for the Commission for
the Blind; Director of the Physical Plant at Winthrop College and
Farm Superintendent at Winthrop College; S.C. Department of Health
and Environmental Control personnel at the State Park Health
Facility and Camp Burnt Gin; Assistant Director of Residence Life
and a student counselor at Lander College; Clemson University's
Head Football Coach; the Department of Mental Retardation
physicians and other professionals at Whitten Center, Clemson
University Off-Campus Agricultural Staff and Housing Area
Coordinators. Except in the case of elected officials, the fair
market rental value of any residence furnished to a State Employee
shall be reported by the State Agency furnishing the residence to
the State Auditor and the Joint Legislative Committee on Personal
Service Financing and Budgeting by October 1, of each fiscal year.
  All salaries paid by departments and institutions shall be in
accord with a uniform classification and compensation plan,
approved by the Budget and Control Board, applicable to all
personnel of the State Government whose compensation is not
specifically fixed in this Act. Such plan shall include all
employees regardless of the source of funds from which payment for
personal service is drawn. Academic personnel of the institutions
of higher learning and other individual or group of positions that
cannot practically be covered by the plan may be excluded therefrom
but their compensations shall, nevertheless, be subject to approval
by the Budget and Control Board. Salary appropriations for
employees fixed in this Act shall be in full for all services
rendered, and no supplements from other sources shall be permitted
or approved by the State Budget and Control Board. With the
exception of travel and subsistence, 
legislative study committees shall not compensate any person who is
otherwise employed as a full-time state employee. Salaries of the
heads of all agencies of the State Government shall be specifically
fixed in this Act and no salary shall be paid any agency head whose
salary is not so fixed. The source of compensation for any position
in the State Government shall not be changed without approval of
the Budget and Control Board. State agencies and institutions shall
be allowed to spend public funds on employee plaques, certificates,
and other similar recognition awards, up to the limit of $50 for
each individual award, provided that no such award is monetary, and
that total expenditures of public funds for such awards by each
state agency or institution do not exceed $1,000.
  129.10. Each organization receiving a contribution in this Act
shall render to the Budget and Control Board by November 1 of the
fiscal year in which funds are received, an accounting of how the
State funds will be spent, a copy of the adopted budget for the
current year, and also a copy of the organization's most recent
operating financial statement. The funds appropriated in this Act
for contributions shall not be expended until the required
financial statements are filed with the Budget and Control Board.
No funds in this Act shall be disbursed to organizations or
purposes which practice discrimination against persons by virtue of
race, creed, color or national origin. The State Auditor shall
review and audit, if necessary, the financial structure and
activities of each organization receiving contributions in this Act
and make a report to the General Assembly of such review and/or
audit, when requested to do so by the Budget and Control Board.
  129.11. Travel and subsistence expenses, whether paid from State
appropriated, Federal, local or other funds, shall be allowed in
accordance with the following provisions:
  A. Unless otherwise provided in paragraphs B through H of this
section, all employees of the State of South Carolina or any agency
thereof including employees and members of the governing bodies of
each technical education center while traveling on the business of
the State shall, upon presentation of a paid receipt, be allowed
reimbursement for actual expenses incurred for lodging. Agencies
may contract with lodging facilities to pay on behalf of an
employee. Failure to maintain proper control of direct payments for
lodging may result in the revocation of the agency's authority by
the Comptroller General or the State Auditor. The employee shall
also be reimbursed for the actual expenses incurred in the
obtaining of meals except that such costs shall not exceed $18 per
day, except in urban areas outside of South Carolina with
populations in excess of 250,000 in which case the maximum daily
reimbursement for meals shall not exceed $30. It shall be the
responsibility of the agency head to monitor the charges for
lodging which might be claimed by his employees in order to
determine that such charges are reasonable, taking into
consideration location, purpose of travel or other extenuating
circumstances. The provisions of this item shall not apply to
Section 42-3-40 of the 1976 Code.
  B. That employees of the State, when traveling outside the United
States, Canada, and Puerto Rico upon promotional business for the
State of South Carolina shall be entitled to actual expenses for
both food and lodging.
  C. The Governor, Lieutenant Governor, Secretary of State,
Comptroller General, Attorney General, State Treasurer, Adjutant
General, Superintendent of Education and the Commissioner of
Agriculture shall be reimbursed actual expenses for subsistence.
  D. Non-legislative members of committees appointed pursuant to
Acts and Resolutions of the General Assembly whose membership
consists solely of members of the General Assembly or members of 
the General Assembly and other personnel who are not employees of
the State of South Carolina shall be allowed subsistence expenses
of $35 per day while traveling on official business. Members of
such committees may opt to receive actual expenses incurred for
lodging and actual expenses incurred in the obtaining of meals in
lieu of the allowable subsistence expense.
  E. Members of the State Boards, Commissions, or Committees whose
duties are not full-time and who are paid on a per diem basis,
shall be allowed reimbursement for actual expenses incurred at the
rates provided in Paragraph A and I of this Section while away from
their places of residence on official business of the State. One
person accompanying a handicapped member of a State Board,
Commission, or Committee on official business of the State shall be
allowed the same reimbursement for actual expenses incurred at the
rates provided in Paragraph A through I of this Section.
  F. No subsistence reimbursement shall be allowed to a Justice of
the Supreme Court or Judge of the Court of Appeals while traveling
in the county of his official residence. When traveling on official
business of said court within 40 miles outside the county of his
official residence, a Supreme Court Justice and a Judge of the
Court of Appeals shall be allowed subsistence expenses in the
amount of $35 per day plus such mileage allowance for travel as is
provided for other employees of the State. When traveling on
official business of said Court 40 or more miles outside the county
of his official residence, each Justice and Judge of the Court of
Appeals shall be allowed subsistence expenses in the amount as
provided in this Act for members of the General Assembly plus such
mileage allowance for travel as is provided for other employees of
the State. The Chief Justice, or such other person as he
designates, while attending the Conference of Chief Justices and
one member of the Supreme Court while attending the National
Convention of Appellate Court Judges, and three Circuit Judges 
while attending the National Convention of State Trial Judges shall
be allowed actual subsistence and travel expenses.    Upon approval
of the Chief Justice, Supreme Court Justices, Judges of the Court
of Appeals, Circuit Judges, and Family Court Judges shall be
reimbursed for actual expenses incurred for all other official
business requiring out-of-state expenses at the rate provided in
paragraph A of this section.
  G. No subsistence reimbursements are allowed to a Circuit Judge
or a Family Court Judge while holding court within the county in
which he resides. While holding court or on other official business
outside the county, but within the circuit in which he resides and
within fifty miles of his residence, a Circuit Court Judge or
Family Court Judge is entitled to a subsistence allowance in the
amount of $35 per day. While holding court or on other official
business within his circuit at a location fifty miles or more from
his residence or without his circuit, a Circuit Court or Family
Court Judge is entitled to a subsistence allowance in the amount as
provided in this Act for members of the General Assembly.
  H. Any retired Justice, Circuit Court Judge or Family Court Judge
appointed by the Supreme Court to serve as a Special Circuit Judge,
Family Court Judge, Appeals Court Judge, or Acting Associate
Justice shall serve without pay but shall receive the same
allowance for subsistence, expenses, and mileage as provided in
Part I for Circuit Court Judges.
  I. No expense shall be allowed an employee either at his place of
residence or at the official headquarters of the agency by which he
is employed except as provided in paragraph E, of this section.
When an employee is assigned to work a particular territory or
district, and such territory or district and his official
headquarters are in different localities or sections of the State,
expenses may be allowed for the necessary travel to his official
headquarters. The members of the 
Industrial Commission, Public Service Commission and the Employment
Security Commission may be reimbursed at the regular mileage rate
of one round trip each week from their respective homes to
Columbia. No subsistence reimbursement shall be allowed to a member
of the Industrial Commission, Public Service Commission or the
Employment Security Commission while traveling in the county of his
official residence. When traveling on official business of the
Commission within 50 miles outside the county of his official
residence, a member of the Industrial Commission, Public Service
Commission or the Employment Security Commission shall be allowed
subsistence expenses in the amount of $35 per day. When traveling
on official business of the Commission 50 or more miles outside the
county of his official residence, each member shall be allowed a
subsistence expense in the amount of $50 per day except that
members of the Employment Security Commission, Public Service
Commission, and Industrial Commission shall receive a subsistence
allowance as provided in this Act for members of the General
Assembly.
  J. When an employee of the State shall use his or her personal
automobile in traveling on necessary official business, a charge of
21 cents per mile will be allowed for the use of such automobile
and the employee shall bear the expense of supplies and upkeep
thereof. Whenever State-provided motor pool vehicles are reasonably
available and an employee of the State shall request for his own
benefit to use his or her personal vehicle in traveling on
necessary official business, a charge of 20 cents per mile will be
allocated for the use of such vehicle and the employee shall bear
the expense of supplies and upkeep thereof. When such travel is by
a State-owned automobile, the State shall bear the expense of
supplies and upkeep thereof but no mileage will be allowed.
Agencies are requested to utilize self service gasoline pumps and
state gasoline facilities when prudent and effect a reduction in
the number of miles traveled to 
provide necessary funds for the essential travel. In traveling on
the business of the State, employees are required to use the most
economical mode of transportation, due consideration being given to
urgency, schedules and like factors.
  K. That a State agency may advance travel and subsistence expense
monies to employees of that agency for the financing of ordinary
and necessary travel required in the conducting of the business of
the agency. The Budget and Control Board is directed to develop and
publish rules and regulations pertaining to the advancing of travel
expenses and no State agency shall make such advances except under
the rules and regulations as published. All advances for travel and
subsistence monies shall be repaid to the agency within thirty (30)
days after the end of the trip or by the end of the fiscal year,
whichever comes first.
  L. That the State institutions of higher learning are authorized
to reimburse reasonable relocation expenses for new employees when
such reimbursements are considered by the agency head to be
essential to successful recruitment of professionally competent
staff members.
  M. The State Budget and Control Board is authorized to promulgate
and publish rules and regulations governing travel and subsistence
payments.
  129.12. The per diem allowance of all boards, commissions and
committees shall be at the rate of Thirty-five ($35) Dollars per
day. No full-time officer or employee of the State shall draw any
per diem allowance for service on such boards, commissions or
committees.
  129.13. In addition to the powers and duties devolved upon the
Budget and Control Board by the 1976 Code of Laws of this State,
the said Board is hereby given full power and authority to make
surveys, studies, and examinations of departments, institutions,
and agencies of this State, as well as its programs, so as to
determine whether a proper system of accounting is maintained in
such 
departments, institutions, commissions, and agencies, and to
require and enforce the adoption of such policies as are deemed
necessary to accomplish these purposes; and to survey, appraise,
examine and inspect, and determine the true conditions of all
property of the State, and what may be necessary to protect it
against fire hazard or deterioration, and to conserve its use for
State purposes, and to make and issue and to enforce all necessary,
needful, and convenient rules and regulations for the enforcement
of this provision and to approve the destruction or disposal of
records of no value to the State. The State Budget and Control
Board may require that all plans and specifications for permanent
improvements of any nature by any State department or institution
shall be submitted to the said Board for approval prior to the
awarding of any contract therefor, or prior to construction by any
other means. The State Budget and Control Board shall have the
authority to approve blanket bonds for each of the several
departments, agencies and institutions of the state government,
which bonds shall include coverage requirements by law for
particular officials and employees and any others who, in the
opinion of the Board, should be bonded. Such blanket bonds shall be
subject to approval as to form and execution by the Attorney
General.
  The Division of General Services may contract to develop an
energy utilization management system for state facilities under its
control and to assist other agencies and departments in
establishing similar programs following all applicable laws and
regulations, but no capital expenditures are authorized hereby.
  129.14. Notwithstanding any other provision of law, the State
Treasurer may enter into contracts whereby the agency or
institution may accept credit cards as payment for goods or
services provided.
  129.15. Any appropriations made herein or by special act now or
hereafter, are hereby declared to be maximum, conditional and
proportionate, the 
purpose being to make them payable in full in the amount named
herein, if necessary, but only in the event the aggregate revenues
available during the period for which the appropriation is made are
sufficient to pay them in full. The State Budget and Control Board
shall have full power and authority to survey the progress of the
collection of revenue and the expenditure of funds by all
departments and institutions. If the Budget and Control Board
determines that a deficit may occur, it shall utilize such funds as
may be available to avoid a year end deficit and thereafter take
such action as necessary to restrict the rate of expenditure as
provided in Section 129.6 of this Act. No institution, activity,
program, item, special appropriation, or allocation for which the
General Assembly has provided funding in any part of this Act shall
be discontinued, deleted, or deferred by the Budget and Control
Board. Any reduction of rate of expenditure by the said Board,
under authority of this Act, shall be applied as uniformly as may
be practicable except that no reduction shall be applied to funds
encumbered by a written contract with an agency not connected with
the State Government; and in making such reductions any amounts of
State Revenues allocated by law to Counties and Municipalities
(commonly referred to as Aid to Subdivisions) shall be subject to
reduction the same as appropriations. Counties and Municipalities
shall be immediately notified of any such action by the Board. No
such reduction shall be ordered by the State Budget and Control
Board while the General Assembly is in session without first
reporting such necessity to the General Assembly.
  The expenditure of funds, heretofore or hereafter provided, by
any State Agency, except the Department of Highways and Public
Transportation for permanent improvements as defined in the State
Budget, shall be subject to approval and regulations of the State
Budget and Control Board. The Board shall have authority to allot
to specific 
projects from funds made available for such purposes, such amounts
as are estimated to cover the respective costs of such projects, to
declare the completion of any such projects, and to dispose,
according to law, of any unexpended balances of allotments, or
appropriations, or funds otherwise provided for such projects, upon
the completion thereof. The approval of the Budget and Control
Board shall not be required for minor construction projects
(including renovations and alterations) where the cost does not
exceed an amount determined by the Joint Bond Review Committee and
the Budget and Control Board.
  In all construction, improvement and renovation of State
buildings, the applicable standards and specifications set forth in
each of the following codes shall be followed: The Standard
Building Code 1988 Edition; The Standard Plumbing Code 1988
Edition; the Standard Gas Code 1988 Edition; The Standard
Mechanical Code 1988 Edition as adopted by the Southern Building
Code Congress International, Inc.; The National Electrical Code
NFPA 70-1987; The National Electrical Safety Code ANSI-C2-1987
Edition and Pamphlet 58 of the National Fire Protection Association
1986 Edition. Appendices A, G, K and M of the Standard Building
Code 1988 Edition shall not be followed.
  129.16. (A) Transfers of appropriations herein provided may be
made within departments upon written justification to the State
Budget Division and upon the unanimous approval of the State Budget
and Control Board.
  (B) No such transfer may exceed twenty percent of the program
budget. Upon request, details of such transfers may be provided to
members of the General Assembly on an agency by agency basis.
  (C) The Board shall also maintain a record of disallowed transfer
requests and use all transfer activity data to assist in analyzing
agencies' budget requests. A report on transfer activity shall be
made quarterly to the Ways and Means Committee and the Senate
Finance Committee.
  129.17. Subsection (a). The Budget and Control Board is hereby
directed to assess and collect a rental charge from all departments
and agencies of the State Government occupying space in
State-controlled office buildings. The amount charged each
department or agency shall be calculated on a square foot, or other
equitable basis of measurement, and at such rates as will yield
sufficient total annual revenue to cover, in priority order, both
(1) the annual principal and interest due on the Capital
Improvement Obligations authorized by Act No. 829 of the 1964 Acts,
Act No. 1273 of the 1970 Acts and Act No. 508 of the 1971 Acts and
Act No. 1377 of the 1968 Acts as amended for projects administered
by the Division of General Services and (2) maintenance and
operation costs of State-controlled office buildings in the City of
Columbia. The amount so collected which is applicable to the
payment of principal and interest due on obligations authorized by
Act 1377 of the 1968 Acts as amended shall be paid into the State's
General Fund to apply on debt service appropriations under the
Section 122 of this Act.
  Subsection (b). All departments and agencies against which rental
charges are assessed and whose operations are financed in whole or
in part by Federal and/or other nonappropriated funds are directed
to apportion the payment of such charges equitably among all such
funds, so that each shall bear its proportionate share. All
appropriations in this Act applicable to the rental of space in
State-controlled buildings (exclusive of the Department of Highways
and Public Transportation), shall be available only for payment of
that portion of rental charges applicable to State-appropriated
operations.
  Subsection (c). Rental collections shall be deposited by the
Budget and Control Board in the State Treasury in a special account
and shall be expended only for (1) payment of principal and
interest due on the obligations referred to in Subsection (a) above
and (2) maintenance and 
operations costs of the buildings referred to in Subsection (a)
above.
  129.18. Any funds derived by the State Port Authority from the
rental, lease or sale of any of its facilities shall be expended
for the benefit of the particular Port where such facilities are
located.
  129.19. In any instances where Federal laws or regulations,
relating to funds allotted to State Government agencies, include
requirements relating to banking procedures, the State Treasury
shall be deemed to meet the definition of a bank.
  129.20. Presidents of the University of South Carolina, Clemson
University, the Medical University
of South Carolina, The Citadel, Winthrop College, South Carolina
State College, Francis Marion College, College of Charleston, and
Lander College must not be paid a fixed allowance for personal
expenses incurred in connection with the performance
of their official duties. Reimbursements may be made to the
Presidents from funds available to their respective institutions
for any personal expenses incurred provided that all requests for
reimbursement are supported by properly documented vouchers
processed through the normal accounting procedures of the
institutions.
  129.21. It is the intent of the General Assembly that the amount
so provided to each agency or institution for employee benefits
shall be sufficient to pay the employer contribution costs of that
agency. The Budget and Control Board is directed to devise a plan
for the expenditure of the funds appropriated for employer
contributions and may require transfers of funds within an agency
or institution if it becomes evident that the employer contribution
costs will exceed the funds available for that purpose.
  129.22. The General Assembly expresses its continuing concern
over the control of the number of personnel employed by the State
of South Carolina. This concern is evidenced in the 1980 Public
Employment Report of the United States Bureau
of Census. It is further declared to be the intent of the General
Assembly to continue to take positive
steps to control and restrict the number of personnel employed in
the future, without unduly hampering the legitimate functions of
state government.
  In order to obtain the necessary control over the number of
employees, the Budget and Control Board is hereby directed to
maintain close supervision over the number of state employees, and
to require specifically the following:
  1. That no state agency exceed the total authorized number of
full-time equivalent positions funded from State, Federal, or other
sources as provided in each section of this Act except by majority
vote of the Budget and Control Board after review and comment by
the Joint Legislative Committee on Personal Service Financing and
Budgeting. Specific written confirmation of such majority approval
shall be forwarded to the Joint Appropriations Review Committee in
the event that any agency is allowed to exceed the number of
positions authorized in this Act.
  2. That the State Budget Division shall maintain and make, as
necessary, periodic adjustments thereto, an official record of the
total number of authorized full-time equivalent positions by agency
categorized by State, Federal, or other funding sources and shall
provide a certified duplicate of such record to the Joint
Legislative Committee on Personal Service Financing and Budgeting
and to the Joint Appropriations Review Committee. The State Budget
Division shall submit quarterly reports to the Joint Legislative
Committee on Personal Service Financing and Budgeting and the Joint
Appropriations
Review Committee and such reports shall include any changes in the
authorized number of full-time equivalent positions, the number of
filled and vacant positions and any other data requested by the
committees.
    (a) That within thirty (30) days of the passage of the
Appropriation Act or by August 1, whichever 
comes later, each agency of the State must have established on the
Budget and Control Board records all positions authorized in the
Act. After that date, the Board shall delete any nonestablished
positions immediately from the official record of authorized
full-time equivalent positions. No positions shall be established
by the Board in excess of the number authorized in the Board record
of authorized full-time equivalent positions.
    (b) By September 30, the Board shall prepare a personal service
detail, by agency, which shows each
position established for the fiscal year and the amount of funds
required, by source of funds, to support the position for the
fiscal year at a funding level of 100% and the Board shall then
reconcile each agency's personal service detail with
the agency's personal service appropriation as contained in the Act
adjusted for any pay increases,
and any other factors necessary to reflect the agency's personal
service funding level. The Board shall provide a copy of each
agency's personal service reconciliation to the Joint Legislative
Committee on Personal Service Financing and Budgeting.
    (c) Any position which is shown by the reconciliation to be
unfunded or significantly underfunded may be deleted at the
direction of the Budget and Control Board and the Joint Legislative
Committee on Personal Service Financing and Budgeting.
    (d) Full-time equivalent (FTE) positions shall be determined
under the following guidelines:
      1. The annual work hours for each FTE shall be
the agency's full-time standard annual work hours.
      2. The State FTE shall be derived by multiplying the state
percentage of budgeted funds for each position by the FTE for that
position.
      3. All institutions of higher education shall use a value of
0.75 FTE for each position determined to be full-time faculty with
a duration of nine (9) months.
  The FTE method of accounting shall be utilized for all authorized
positions.
  4. That the number of positions authorized in this Act shall be
reduced in the following circumstances:
    (a) Upon request by an agency.
    (b) When anticipated federal funds are not made available.
    (c) When the Budget and Control Board, through study or
analysis, becomes aware of any unjustifiable excess of positions in
any state agency.
    (d) When a position has been vacant for nine months. Except in
the case of an academic position at an institution of higher
education when such position has been vacant for eighteen months.
  5. That no new permanent positions in state government shall be
funded by appropriations in acts supplemental to this Act but
temporary positions may be so funded.
  6. The provisions of this section shall not apply to personnel
exempt from the State Classification and Compensation Plan under
Item I of Section 8-11-260 of the 1976 Code.
  The Budget and Control Board, in making their appropriation
recommendations to the Ways and Means Committee, must provide that
the level of personal service appropriation recommended for each
agency is at least 95% of the funds required to meet 100% of the
funds needed for the full-time equivalents positions recommended by
the Board (exclusive of new positions).
  129.23. The Legislative Audit Council, the State Auditor, the
House Ways and Means Committee, the State Reorganization Commission
and the Senate Finance Committee shall be furnished a copy of each
audit report issued by a Federal Audit Agency within fifteen days
from the date of receipt by the State Agency. The State Auditor
shall periodically furnish a list of such reports to each member of
the General Assembly and to the Joint Appropriations Review
Committee. The State Auditor 
will provide a copy of each Federal Block Grant Audit Report to the
Joint Appropriations Review Committee to comply with provisions of
the Omnibus Budget Reconciliation Act of 1981.
  129.24. Notwithstanding any other provision of law, the Budget
and Control Board shall be responsible for coordinating the
placement of all state employees who are terminated because of a
reduction-in-force resulting from reduced personal service funding
and shall issue such administrative procedures as necessary to
carry out the intent of this proviso. When a vacancy occurs in a
state agency, or when an agency acts to fill a new position as
listed and italicized in the Appropriation Act, the agency shall
implement the recall provisions of their reduction-in-force
procedure and plan concerning its employees who have been
terminated as a result of a reduction-in-force. State agencies
shall give priority consideration to those employees who have been
terminated from any other state agency as a result of this
reduction-in-force and who were formerly employed in the same
classification, classification series, or position category as the
vacancy or the new position listed in this Act. Notwithstanding any
other provision of law, when a vacancy occurs in a state agency,
other than institutions of higher education, or when an agency acts
to fill a new position, the agency shall give preference to
residents of this State, if the two are equally qualified for the
vacancy or new position. The Budget and Control Board shall
immediately notify all agencies of this new requirement on the
effective date of this Act.
  129.25. It is the responsibility of all agencies, departments and
institutions of state government, to provide at no cost and as a
part of the regular services of the agency, department or
institutions such services as are necessary to carry out the
provisions of Chapter 52 of Title 44 (Involuntary Commitment),
Article 7, Chapter 17 of Title 44 of the 1976 Code (Judicial
Commitment), Chapter 3 of 
Title 17 of the 1976 Code (Defense of Indigents), and Article 1 of
Chapter 3 of Title 16 of the 1976 Code (Death Penalty), as amended,
upon request of the Judicial Department and/or the appropriate
court. To this end, state agencies are directed to furnish to the
Judicial Department a list of their employees who are competent to
serve as court examiners. The Judicial Department shall forward a
copy of this list to the appropriate courts, and the courts shall
utilize the services of such state employees whenever feasible.
State employees shall receive no additional compensation for
performing such services. For the purpose of interpreting this
section, employees of the Medical University of South Carolina and
individuals serving an internship or residency as an academic
requirement or employees who are not full-time state employees and
who are not performing duties as state employees are not considered
state employees.
  129.26. Notwithstanding any other provision of law, any aircraft
and watercraft confiscated or seized under the provisions of Act
185 of 1979 may be used by a governmental agency, at the discretion
and approval of the Budget and Control Board.
  129.27. All state employees, who are commissioned law enforcement
officers upon retirement, if vested, may purchase their assigned
weapon at a nominal fee.
  129.28. No aircraft will be purchased or leased or
leased-purchased for more than a 30 day period for any state agency
without the authorization of the State Budget and Control Board and
the Joint Bond Review Committee.
  129.29. The General Assembly, in recognition of the need to meet
certain reporting requirements relating to information returns to
be submitted to the Internal Revenue Service, hereby directs the
Budget and Control Board to establish a formula for calculating and
a method for reporting economic value of the personal use of
State-owned motor vehicles.
  129.30. Final settlement received on Federal funds
allotted to the state and the investment earnings thereof, under
the provisions of the State and Local
Fiscal Assistance Act of 1972 not heretofore appropriated, shall be
applied to the payment of appropriations in this Act for the State
contribution to the South Carolina Retirement System.
  129.31. The Department of Mental Retardation, Department of
Social Services, and Department of Youth Services shall furnish as
Family Foster Care payments for individual foster children under
their sponsorship:
  ages 0-5 $152 per month
  ages 6-12 $174 per month
  ages 13 + $229 per month
  These specified amounts are for the basic needs of the foster
children. Basic needs within this proviso are identified as food
(at home and away), clothing, housing, transportation, education
and other costs as defined in the U.S. Department of Agriculture
study of "Annual Cost of raising a Child
to Age Eighteen". Further, each agency shall identify and
justify, as another line item, all material and/or services, in
excess of those basic needs listed above, which were a direct
result of a professional agency evaluation of clientele need.
Legitimate medical care in excess of Medicaid reimbursement or such
care not recognized by Medicaid may be considered as special needs
if approved by the sponsoring/responsible agency and shall be
reimbursed by the sponsoring agency in the same manner of
reimbursing other special needs of foster children.
  129.32. After July 1, 1988, the Department of Health and
Environmental Control, Department of Mental Health, Department of
Mental Retardation, Department of Social Services, Health and Human
Services Finance Commission, Commission on Aging, Advisory Board
for Review of Foster Care of Children, Department of Corrections,
and Department of Youth Services may expend if necessary, state 
appropriated funds for Fiscal Year 1988-89 to cover fourth quarter
Federal Programs expenses incurred in Fiscal Year 1987-88
necessitated by the time lag of federal reimbursement.
  129.33. Amounts appropriated to the Department of Health and
Environmental Control, Department of Social Services, Health and
Human Services Finance Commission, and Commission on Aging may be
expended to cover program operations of prior fiscal years where
adjustment of such prior years are necessary under federal
regulations or audit exceptions. All disallowances or notices of
disallowances by any federal agency of any costs claimed by these
agencies shall be submitted to the State Auditor, the House Ways
and Means Committee and the Senate Finance Committee, within five
days of receipt of such actions.
  129.34. The Department of Youth Services, Department of
Corrections, Department of Parole and Community Corrections,
Department of Mental Health, Department of Mental Retardation and
School for the Deaf and Blind may replace the personal property of
an employee which has been damaged or destroyed by a client while
in custody of the agency. The replacement of personal property may
be made only if the loss has resulted from actions by the employee
deemed to be appropriate and in the line of duty by the agency head
and if the damaged or destroyed item is found by the agency head to
be reasonable in value, and necessary for the employee to carry out
the functions and duties of his employment. Replacement of damaged
or destroyed items shall not exceed $100 per item, per incident.
  129.35. The Board of the Medical University of South Carolina
shall provide hospital services to state employees and officials of
state government at a rate not to exceed the payment rates to
hospitals provided in the state employees insurance program
administered by the Budget and Control Board.
  129.36. The General Assembly directs all state agencies to submit
a program budget based on the format developed in the model budget
project. This budget will contain effectiveness and efficiency
measures and be displayed as a separate document. The project will
be completed by FY 1990-91. All agencies will work with the staffs
of the State Reorganization Commission, Senate Finance and House
Ways and Means Committees, and the Budget Division of the Budget
and Control Board in developing the above referenced program
budget. The Reorganization Commission shall submit a progress
report by March 31, 1989. All agencies are instructed to establish
the necessary information to support their performance measures.
  129.37. The Medical University of South Carolina and the School
of Medicine of the University of South Carolina shall develop
health programs for agency heads. The programs shall be submitted
to the Budget and Control Board for approval, after which the Board
may authorize the agency or institution to pay, on behalf of the
agency head, one-half of the cost, provided that the amount to be
paid by the agency shall not exceed $250. Where the agency or
institution is located in an area other than Columbia or
Charleston, the Budget and Control Board may approve an alternate
health plan for the agency head and may authorize payment by the
agency which is consistent with payments to the Medical University
or the University of South Carolina.
  129.38. Each agency having in its custody one or more aircraft
shall maintain a continuing log on all
flights, which shall be open for public inspection. Any and all
aircraft owned or operated by agencies of the State Government
shall be used only for official business. The Aeronautics
Commission and other agencies owning and operating aircraft may
furnish transportation to the Governor, Constitutional Officers,
members of the General Assembly, members of state boards,
commissions, and agencies and their invitees for official business 
only; no member of the General Assembly, no member of a state
board, commission or committee, and no state official shall use any
aircraft of the Aeronautics Commission unless the member or
official
files within forty-eight hours after the time of departure of the
flight with the Aeronautics Commission a sworn statement certifying
and describing the official nature of his trip; and no member of
the General Assembly, no member of a state
board, commission or committee, and no state official shall be
furnished air transportation by a state agency other than the
Aeronautics Commission unless such agency prepares and maintains in
its files a sworn statement from an appropriate official
of the agency certifying that the member's or state official's trip
was in conjunction with the official
business of the agency. Official business shall not include routine
transportation to and from meetings of the General Assembly or
committee meetings for which mileage is authorized.
  All logs shall be signed by the parties using the flight and the
signatures shall be maintained as part of the permanent record of
any agency. All passengers shall be listed on the flight log by
their legal name; passengers flying with an appropriate official of
SLED or the State Development Board whose confidentiality must, in
the opinion of SLED or the Board, be protected shall be listed in
writing on the flight log as "Confidential Passenger of SLED
or State Development
Board (strike one)" and the appropriate official of SLED or
the Board shall certify to the agency operating the aircraft the
necessity for such confidentiality.
  Violation of the above provisions of this section is prima facie
evidence of a violation of Section 8-13-410(1) of the 1976 Code and
shall subject a violating member of the General Assembly to the
ethics procedure of his appropriate house and shall subject a
violating member of a state board, commission or committee, or a
state official to the applicable ethics procedure relating to them
as 
provided by law. The above provisions do not apply to aircraft of
the Aeronautics Commission when used by the Medical University of
South Carolina, nor to aircraft of the athletic department or the
educational foundations of any state-supported institution of
higher education.
  Aircraft owned by agencies of state government shall not be
leased to individuals for their personal use.
  129.39. Professional and Occupational Licensing Agencies must
generate revenue equal to 115 percent of their appropriation and
are exempt from budget reductions. In any year during which any
Professional and Occupational Licensing Agency does not generate
the required revenue as provided above,
it shall generate sufficient revenue in the succeeding year to
offset the prior deficit, in addition to meeting requirements for
the current year. Professional and Occupational Licensing Boards
may adjust fees, if necessary, to generate revenue at least fifteen
percent above the 1988-89 state appropriation.
  129.40. All agencies are directed to assist the U. S. Post Office
in a cost study of the savings which may be realized through the
use of the zip plus four system.
  129.41. Any employee who is approved for dual employment must be
paid in a timely manner. To assist in timely payments, the
secondary agency shall transfer any required funds necessary to
fund the dual employment to the primary agency within forty-five
days of the beginning of the employment.
  129.42. The Budget and Control Board, through the Information
Technology Planning Process of the Division of Research and
Statistical Services, is authorized and directed to identify all
expenditures
and requested increases for information technology for Agencies,
Institutions or Departments, with the exception of colleges and
universities, compile the request into one report, evaluate and
place priorities on each request, and recommend funding levels. No
agency shall commit to expend more funds 
for information technology than allocated to the agency for the
purpose without first receiving an approved transfer of such funds
from other budget items.
  129.43. (A) No state agency, department, board, committee,
commission, or authority, may increase an
existing fee for performing any duty, responsibility, or function
unless the fee for performing the particular duty, responsibility,
or function is authorized by statutory law and set by regulation
except as provided in this paragraph.
    (B) This paragraph does not apply to:
      (1) state-supported governmental health care facilities;
      (2) state-supported schools, colleges, and universities;
      (3) educational, entertainment, recreational, cultural, and
training programs;
      (4) the State Board of Financial Institutions;
      (5) sales by state agencies of goods or tangible products
produced for or by these agencies;
      (6) charges by state agencies for room and board provided on
state-owned property;
      (7) application fees for recreational activities sponsored by
state agencies and conducted on a draw or lottery basis;
      (8) court fees or fines levied in a judicial or adjudicatory
proceeding;
      (9) the South Carolina Public Service Authority or the South
Carolina Ports Authority.
  (C) This paragraph does not prohibit a state agency, department,
board, committee, or commission from increasing fees for services
provided to other state agencies, departments, boards, committees,
commissions, political subdivisions, or fees for health care and
laboratory services regardless of whether the fee is set by
statute.
  (D) Statutory law for purposes of this paragraph does not include
regulations promulgated pursuant to the State Administrative
Procedures Act.
  129.44. There is established a committee to study an Alternate
Electronic Funds Transfer System to deliver benefits to qualified
recipients. The 
committee shall consist of one representative from each of the
following agencies: The S.C. Department of Social Services, S.C.
Health and Human Services Finance Commission, the S.C. Employment
Security Commission, the State Reorganization Commission, and the
State Treasurer. One member each shall be appointed by the
President of the Senate, the Speaker of the House of
Representatives, and the Governor. The committee shall develop
recommendations concerning the feasibility of pursuing electronic
means by which client benefits can be distributed. The committee
shall determine the short-term and long-term costs to the state, as
well as potential benefits, including the savings that such
electronic benefit transfer systems could realize. The committee
shall make recommendations to the State Board of Social Services
relative to the implementation of a pilot project. A final report
of the committee's recommendations shall be submitted to the
General Assembly no later than September 15, 1988.
  129.45. Of the General Fund appropriations provided in Part I of
this Act, 3% of the amount in each section, with the exceptions
listed below, shall be considered non-recurring and shall not be
included by the Budget and Control Board in its initial allocation
of the base budget for Fiscal Year 1989-90. When submitting its
detail budget to the State Budget Division on September 15, 1988,
each agency, department, or institution shall identify separately
that portion of its Fiscal Year 1988-89 operating budget that is
funded from the non-recurring appropriation. Each agency,
department, or institution must submit a detailed justification
when requesting increases to the initial base budget allocation for
FY 89-90. The following items are exempted from the above
requirement and shall not be considered as non-recurring: salaries
and associated employer contributions for legislators, judges,
solicitors, and constitutional officers, Capital Reserve Fund, Debt
Service.
  129.46. There is established a study committee consisting of nine
members to study the feasibility and legal implications of
legislation creating a South Carolina Indian Affairs Commission.
Three members must be appointed by the President of the Senate,
three members must be appointed by the Speaker of the House of
Representatives, and three members must be appointed by the
Governor. Staff for the study committee must be furnished by the
Attorney General. The study committee shall report its findings and
recommendations to the Governor and the General Assembly no later
than January 15, 1989. Expenses of the study committee must be paid
from approved accounts of both houses.
  130.1. Unless specifically authorized herein, the appropriations
provided in Part I of this Act as ordinary expenses of the State
Government shall lapse on July 31, 1989. State agencies are
required to submit all Fiscal Year 1988-89 input documents to the
Comptroller General's Office by July 21, 1989. Appropriations for
Permanent Improvements, or for other specific purposes aside from
ordinary operating expenses, now outstanding or hereafter provided,
shall lapse at the end of the second fiscal year in which such
appropriations were provided, unless definite commitments shall
have been made, with the approval of the State Budget and Control
Board and Joint Bond Review Committee, toward the accomplishment of
the purposes for which the appropriations were provided.
END PART I
PART II
PERMANENT PROVISIONS
SECTION 1
The Code Commissioner is directed to include all permanent general
laws in this Part in the next edition of the Code of Laws of South
Carolina, 1976, and all supplements to the Code.
SECTION 2
TO AMEND SECTION 11-1-25 OF THE 1976 CODE, RELATING TO REPORTS BY
THE STATE TREASURER TO THE WAYS AND MEANS COMMITTEE AND THE SENATE
FINANCE COMMITTEE ON EARNINGS ON STATE INVESTMENTS, SO AS TO REVISE
THE REPORTING REQUIREMENTS AND DELETE THE REPORTING FUNCTIONS OF
THE COMPTROLLER GENERAL.
Section 11-1-25 of the 1976 Code, as added by Section 52, Part II
of Act 170 of 1987, is amended to read:
  "Section 11-1-25.  The State Treasurer shall submit a
monthly management report on the investment earnings of the general
fund of the State to the Ways and Means Committee of the House of
Representatives and to the Senate Finance Committee.  For the
periods ending December 31 and June 30, the State Treasurer shall
submit a detailed report on all earnings on investments to these
committees."
SECTION 3
TO AMEND SECTION 26-1-30 OF THE 1976 CODE, RELATING TO THE FEE FOR
ISSUING OR RENEWING A NOTARY PUBLIC COMMISSION, SO AS TO INCREASE
THE FEE FROM TWENTY TO TWENTY-FIVE DOLLARS.
A.  Section 26-1-30 of the 1976 Code is amended to read:
  "Section 26-1-30.  The fee for the issuance or renewal of a
commission is twenty-five dollars, collected by the Secretary of
State as other fees."
B.  This section takes effect July 1, 1988.
SECTION 4
TO REPEAL CHAPTER 47, TITLE 46 OF THE 1976 CODE, "THE SOUTH
CAROLINA STATE FAMILY FARM DEVELOPMENT
AUTHORITY ACT", AND TO TRANSFER FUNDS HELD BY THE
SOUTH CAROLINA CREDIT UNION LEAGUE PENDING THE CHARTER FOR THE
CREDIT UNION OF THE FAMILY FARM DEVELOPMENT AUTHORITY, WHICH WAS
NEVER GRANTED, TO THE STATE TREASURER FOR DEPOSIT IN THE GENERAL
FUND OF THE STATE.
A.  Chapter 47 of Title 46 of the 1976 Code is repealed.
B.  Funds, including the one million dollars appropriated as seed
capital held by the State Treasurer and application fees held by
the South Carolina Credit Union League pending granting of a
charter for a credit union for the South Carolina Family Farm
Development Authority must be transferred to the general fund of
the State.
SECTION 5
TO AMEND SECTION 12-27-1270, AS AMENDED, OF THE 1976 CODE, RELATING
TO THE ECONOMIC DEVELOPMENT ACCOUNT FUNDED FROM THE REVENUE LEVIED
IN SECTIONS 12-27-1210 THROUGH 12-27-1240, SO AS TO AUTHORIZE THE
SOUTH CAROLINA COORDINATING COUNCIL
FOR ECONOMIC DEVELOPMENT TO SPEND FROM THIS ACCOUNT AN AMOUNT NOT
TO EXCEED FIVE HUNDRED THOUSAND DOLLARS IN FISCAL YEAR 1988-89 AND
THEREAFTER AN AMOUNT NOT TO EXCEED SIXTY THOUSAND
DOLLARS ANNUALLY FOR A STATE INFRASTRUCTURE MODEL.
Section 12-27-1270 of the 1976 Code is amended by
adding:
  "From the amount set aside in this section, the
South Carolina Coordinating Council for Economic Development is
authorized to spend an amount not to exceed five hundred thousand
dollars in Fiscal
Year 1988-89 and thereafter an amount not to exceed sixty thousand
dollars annually for a state infrastructure model."
SECTION 6
TO PROVIDE FOR THE RECOMPUTATION OF THE AVERAGE FINAL COMPENSATION
OF CERTAIN STATE EMPLOYEES WHO SERVED UNDER CONTRACT AND WHO
RETIRED DURING FISCAL YEAR 1985-86.
Any member of the State Retirement System who retired during Fiscal
Year 1985-86, who was a state employee serving under contract, and
who was not given an option to extend the contract thereby
resulting in his retirement within Fiscal
Year 1985-86 must have his "average final compensation"
and resulting retirement income computed by using the annual
earnable compensation of the member during the twelve consecutive
quarters of his creditable service on
which regular contributions as a member were made
to the System producing the highest such average.
A quarter for purposes of this section means a period January
through March, April through June,
July through September, or October through December. An amount up
to and including forty-five days' termination pay for unused annual
leave at retirement may be added to the average final compensation. 
Application for the recomputation must be made before October 1,
1988, and any change in benefits must be prospective only.
SECTION 7
TO AMEND SECTION 59-21-320 OF THE 1976 CODE, RELATING TO STATE AID
FOR SCHOOL BUILDING
CONSTRUCTION, SO AS TO PROVIDE FIFTEEN DOLLARS PER PUPIL IN STATE
AID FOR PUPILS IN PUBLIC KINDERGARTEN BEGINNING WITH THE 1988-89
FISCAL YEAR AND TO PROVIDE THAT ALL STATE AID UNDER THIS
SECTION BE BASED ON THE ONE HUNDRED THIRTY-FIVE DAY COUNT OF
AVERAGE DAILY MEMBERSHIP IN SCHOOL DISTRICTS AS OF THE LAST
COMPLETED SCHOOL YEAR ENDING IN THE CALENDAR YEAR BEFORE THE
CALENDAR YEAR IN WHICH THE FISCAL YEAR BEGINS.
Section 59-21-320 of the 1976 Code is amended to read:
  "Section 59-21-320.  In order to assist school districts in
financing needed capital improvements, the General Assembly shall
annually
allocate to the Board a sum equivalent to thirty dollars multiplied
by the number of pupils enrolled in grades one through twelve of
the public schools and, effective beginning in Fiscal
Year 1988-89, fifteen dollars multiplied by the number of students
enrolled in public kindergarten programs.  The calculation must be
based on the one hundred thirty-five day count of
the average daily membership during the school year ending in the
calendar year prior to the calendar year in which the fiscal year
begins. In
no year may the amount allocated be less than the
total sum required to meet principal and interest
payments becoming due to that fiscal year on state school
bonds."
SECTION 8
TO AMEND THE 1976 CODE BY ADDING SECTION 59-1-449
SO AS TO REQUIRE THE STATE DEPARTMENT OF EDUCATION TO REPORT STATE
AND LOCAL FUNDING REQUIREMENTS TO LOCAL ENTITIES THAT HAVE
AUTHORITY TO LEVY SCHOOL TAXES.
Article 5, Chapter 1, Title 59 of the 1976 Code is amended by
adding:
  "Section 59-1-449.  The State Department of Education shall
report no later than May first in each year to all local government
entities having the authority to levy school taxes the amount
required in the applicable school districts to provide the
state-required minimum effort and an analysis of all local effort
requirements for the applicable districts, including the figures
used in the computation of:
  (1)  local salary supplements;
  (2)  Education Finance Act foundation program; and
  (3)  per pupil maintenance of effort."
SECTION 9
TO AMEND SECTION 12-35-1557 OF THE 1976 CODE, RELATING TO THE
DUTIES OF SCHOOL DISTRICTS TO MAINTAIN THE PER PUPIL EFFORT FOR
NONCAPITAL PROGRAMS AND THE AVAILABLE WAIVER OF THE REQUIREMENTS,
SO AS TO PROVIDE THAT A SCHOOL DISTRICT MAY OBTAIN A WAIVER FROM
THE STATE BOARD OF EDUCATION IF THE DISTRICT DEMONSTRATES FOR ONE
YEAR THAT IT HAS ACHIEVED OPERATING EFFICIENCIES AND ALL EDUCATION
REQUIREMENTS ARE BEING MET AND IF A MID-YEAR REVENUE SHORTFALL
RESULTS IN A REDUCTION IN THE APPROPRIATION PURSUANT TO THE
EDUCATION FINANCE ACT, TO PROVIDE
THAT A DECLINE IN MEASURED ACADEMIC ACHIEVEMENT VOIDS ANY WAIVER
GRANTED AND MAKES THE DISTRICT INELIGIBLE TO APPLY FOR A WAIVER FOR
TWO CONSECUTIVE YEARS, TO PROVIDE THAT IF A DISTRICT'S STUDENT
ACHIEVEMENT DECLINES, THE DISTRICT REVERTS TO THE MINIMUM EFFORT
REQUIREMENT ADJUSTED FOR THE PRIOR YEAR'S INFLATION FACTOR, AND TO
PROVIDE THAT THE WAIVER FOR MID-YEAR REDUCTION IN THE EDUCATION
FINANCE ACT APPROPRIATION DOES NOT APPLY TO FUNDS NEEDED TO MEET
THE MINIMUM SALARY SCHEDULE FOR TEACHERS.
Section 12-35-1557 of the 1976 Code is amended to read:
  "Section 12-35-1557.  Except as provided in this section,
school district boards of trustees or any other appropriate
governing body of a school district shall maintain at least the
level of per pupil financial effort established as provided in
Fiscal Year 1983-84.  Beginning in Fiscal Year 1985-86, local
financial effort for noncapital programs must be adjusted for an
inflation factor estimated by the Division of Research and
Statistical Services.
  Thereafter, school district boards of trustees or other governing
bodies of school districts shall maintain at least the level of
financial effort per pupil for noncapital programs as in the prior
year adjusted for an inflation factor estimated by the Division of
Research and Statistical Services.  The county auditor shall
establish a millage rate so that the level of financial effort per
pupil for noncapital programs adjusted for an inflation factor
estimated by the Division of Research and Statistical Services is
maintained as a minimum effort.  No school district which has not
complied with this section may receive funds from the South
Carolina Education Improvement Act of 1984 Fund.  School district
boards of trustees may apply for a waiver to the State Board of
Education from the requirements of this section if: (1) the
district has experienced a loss in revenue because of reduction in
assessed valuation of property or has had a significant increase in
one hundred thirty-five average daily membership, (2) the district
has experienced insignificant growth in revenue collections from
the previous year, (3) the district has demonstrated for one year
that it has achieved operating efficiencies and all education
requirements are being met, (4) a mid-year revenue shortfall
results in a reduction of funds appropriated in accordance with
Chapter 20 of Title 59 (The Education Finance Act).  A decline in
the measured 
academic achievement of the students shall immediately cause the
State Board of Education to void all waivers provided under this
section and make the district ineligible to apply for any waivers
under this section for two consecutive years.  If the decline in
student achievement occurs, the district shall revert to the
minimum effort requirement, adjusted for the prior year's inflation
factor.  Waiver (4) does not apply to funds needed to meet the
Minimum Salary Schedule for teachers in South Carolina.  A school
district is eligible for an annual renewal of the waiver provided
the district meets one of the above criteria and meets the minimum
effort requirement of the previous year and at least the minimum
required effort of the Education Finance Act."
SECTION 10
TO AMEND SECTION 59-20-40, AS AMENDED, OF THE 1976 CODE, RELATING
TO STATE AID TO SCHOOL DISTRICTS PURSUANT TO THE EDUCATION FINANCE
ACT, SO AS TO ADD A WEIGHTING FOR ADULT EDUCATION AND TO PROVIDE
THAT THE NUMBER OF WEIGHTED ADULT EDUCATION PUPIL UNITS FUNDED
DEPENDS ON THE AVAILABILITY OF GENERAL FUND REVENUES AND EDUCATION
IMPROVEMENT ACT OF 1984 FUND RESERVES WITH NO LOCAL MATCH REQUIRED.
Section 59-20-40(1)(c) of the 1976 Code is amended to read: 
  "(c)  Weightings, used to provide for relative cost
differences, between programs for different students are
established in order that funds may be equitably distributed on the
basis of pupil needs.  The criteria for qualifications for each
special classification must be established by the State Board of
Education according to definitions established in this article and
in accordance with Sections 59-21-510, 59-35-10, 
59-53-1860, and 59-53-1900.  Cost factors enumerated in this
section must be used to fund programs approved by the State Board
of Education.  Pupil data received by the Department of Education
is subject to audit by the department.  Cost factors or weightings
are as follows:
Pupil Classification  Weightings
  ( 1)  Kindergarten pupils  1.30
  ( 2)  Primary pupils
    (grades 1 through 3)  1.24
  ( 3)  Elementary pupils
      (grades 4 through 8)
      -base students  1.00
  ( 4)  High school pupils
    (grades 9 through 12)  1.25
Special Programs for
Exceptional Students  Weightings
  ( 5)  Handicapped  1.74
    a.  Educable mentally
        handicapped pupils
    b.  Learning disabilities
        pupils
  ( 6)  Handicapped  2.04
    a.  Trainable mentally
        handicapped pupils
    b.  Emotionally handicapped 
        pupils 
    c.  Orthopedically handicapped 
        pupils
  ( 7)  Handicapped  2.57
    a.  Visually handicapped pupils
    b.  Hearing handicapped pupils 
  ( 8)  Speech handicapped pupils  1.90 
  ( 9)  Homebound pupils  2.10
Vocational Technical Programs  Weightings
  (10)  Pre-vocational  1.20
  (11)  Vocational  1.29
Add-on Weights for Compensatory
and Remediation  Weightings
  (12)  Grades 1-6 Compensatory  0.39
  (13)  Grades 2-6 Remediation  0.10
  (14)  Grades 7-12 Remediation  0.12
Adult Education
  (15)  Adult education  0.15
No local match is required for adult education and the number of
weighted pupil units funded depends on funding available from the
general fund of the State, and the Education Improvement Act of
1984 Fund.
  Each student in the State must be counted in only one of the
first eleven pupil classifications.  Students determined to need
compensatory instruction and remediation must be counted
additionally under the twelfth through fourteenth classification. 
If a student is determined not to meet minimum standards in
reading, mathematics, or writing of the Basic Skills Assessment Act
or is 'not ready' for first grade, and qualifies under state
department regulations, a pupil may be counted once for each area
for the purposes of calculating the district's remedial weighted
pupil units.  The State Board of Education must determine the
qualifications for each classification in accordance with Sections
59-21-510, 59-35-10, 59-53-1860, 59-53-1900, and Chapter 30 of this
title.  The program for each classification must meet
specifications approved by the State Board of Education."
SECTION 11
TO AMEND THE 1976 CODE BY ADDING SECTION 59-1-448 SO AS TO PROHIBIT
THE USE OF FUNDS APPROPRIATED BY THE GENERAL ASSEMBLY TO RAISE
SALARIES OF PUBLIC SCHOOL PRINCIPALS AND PUBLIC VOCATIONAL SCHOOL
DIRECTORS TO MEET THE REQUIREMENTS OF ANY REGULATION PROMULGATED BY
THE STATE BOARD OF EDUCATION ESTABLISHING A  
MINIMUM DIFFERENTIAL IN THE SALARIES OF TEACHERS AND PRINCIPALS OR
VOCATIONAL SCHOOL DIRECTORS ON LESS THAN A MONTHLY BASIS.
A.  Article 5, Chapter 1, Title 59 of the 1976 Code is amended by
adding:
  "Section 59-1-448.  No funds appropriated by the General
Assembly may be used to raise the salaries of public school
principals or public vocational school directors to meet the
requirements of any regulation promulgated by the State Board of
Education establishing a minimum differential between the salaries
of teachers and the salaries of public school principals or public
vocational school directors on less than a monthly basis."
B.  This section takes effect July 1, 1988.
SECTION 12
TO AMEND THE 1976 CODE BY ADDING SECTION 9-1-1545 SO AS TO PROVIDE
THAT A MEMBER OF THE SOUTH CAROLINA RETIREMENT SYSTEM ELIGIBLE FOR
BOTH SERVICE RETIREMENT AND DISABILITY RETIREMENT MAY SUBMIT
APPLICATIONS FOR BOTH RETIREMENTS AND IMMEDIATELY BEGIN TO RECEIVE
SERVICE RETIREMENT BENEFITS UPON QUALIFICATION, AND UPON SUBSEQUENT
APPROVAL OF THE DISABILITY RETIREMENT APPLICATION, THE MEMBER MAY
CHOOSE WHICH RETIREMENT HE RECEIVES.
The 1976 Code is amended by adding:
  "Section 9-1-1545.  A member may submit an application for
service retirement and disability retirement.  If the member
qualifies for service retirement before the application for
disability retirement is approved, the member, upon his request,
may begin receiving service retirement benefits immediately.  If
the 
application for retirement disability is subsequently approved, the
member may choose either the service retirement plan or the
disability retirement plan." 
SECTION 13
TO REPEAL SECTIONS 59-101-200 THROUGH 59-101-270 OF THE 1976 CODE
AND ITEM (3), SECTION 24, PART II OF ACT 349 OF 1969, RELATING TO
THE CHARLESTON HIGHER EDUCATION CONSORTIUM.
A.  Sections 59-101-200 through 59-101-270 of the 1976 Code are
repealed.
B.  Item (3) of Section 24, Part II of Act 349 of 1969 is repealed.
C.  This section takes effect July 1, 1988.
SECTION 14
TO AMEND SECTION 9-9-40, AS AMENDED, OF THE 1976 CODE, RELATING TO
MEMBERSHIP IN THE RETIREMENT SYSTEM FOR MEMBERS OF THE GENERAL
ASSEMBLY OF THE STATE OF SOUTH CAROLINA, SO AS TO DELETE THE
REQUIREMENT THAT FOR THE SERVICE CREDIT EARNED AS GOVERNOR AND
LIEUTENANT GOVERNOR TO COUNT TOWARD THE EIGHT YEARS' SERVICE CREDIT
THRESHOLD, THE SERVICE MUST BE IMMEDIATELY SUBSEQUENT TO SERVICE IN
THE GENERAL ASSEMBLY.
The last paragraph of Section 9-9-40(2)(ii) of the 1976 Code, as
added by Section 30, Part II of Act 170 of 1987, is amended to
read:
  "Service credit earned as Governor and Lieutenant Governor
counts toward the eight years' service credit requirement referred
to above."
SECTION 15
TO AMEND SECTION 12-27-430 OF THE 1976 CODE, RELATING TO THE FUEL
ETHANOL MOTOR FUEL TAX INCENTIVE, SO AS TO INCREASE THE MOTOR FUEL
TAX TO NINE CENTS A GALLON UNTIL JANUARY 1, 1989, AND TEN CENTS A
GALLON UNTIL JUNE 30, 1992, AND TO AMEND SECTION 12-35-550, AS
AMENDED, RELATING TO SALES TAX EXEMPTIONS, SO AS TO EXTEND THE
EXEMPTION FOR GASOLINE AND OTHER MOTOR FUELS TO ETHANOL BLENDS
QUALIFYING FOR REDUCED MOTOR FUELS TAX DURING THE INCENTIVE PERIOD.
A.  Section 12-27-430(3) of the 1976 Code is amended to read:
  "(3)  Effective July 1, 1988, the tax on fuel ethanol blends
is nine cents a gallon until January 1, 1989 and ten cents a gallon
until June 30, 1992, or until loss of revenues reaches twenty
million dollars and at such time all tax incentives must be removed
and the tax on fuel ethanol blends must be at the prevailing tax
rate a gallon."
B.  Section 12-35-550(16) of the 1976 Code is amended to read:
  "(16)  The gross proceeds of the sale of gasoline or other
motor vehicle fuels taxed at the same rate as gasoline; and ethanol
blends qualifying for the reduced tax during the incentive period
provided in Section 12-27-430(3).  Gasoline sold or dispensed for
use in aircraft is subject to the retail sales and use tax."
SECTION 16
TO AMEND SECTION 16-3-1120 OF THE 1976 CODE, RELATING TO THE POWERS
AND DUTIES OF THE DIRECTOR OF THE VICTIMS' COMPENSATION FUND, SO
AS TO DELETE THE REFERENCE TO THE SALARY OF THE DIRECTOR AT THE
LEVEL OF EIGHTY-FIVE PERCENT OF THE SALARY OF MEMBERS OF THE
INDUSTRIAL COMMISSION (NOW WORKERS' COMPENSATION COMMISSION).
The first paragraph of Section 16-3-1120 of the 1976 Code is
amended to read:
  "The Director of the State Workers' Compensation Fund, as
appointed by the Governor pursuant to Section 42-7-20, also is
named Director of the Victims' Compensation Fund.  The Director is
responsible for administering the provisions of this article. 
Included among the duties of the director is the responsibility,
with approval of the South Carolina Crime Victims' Advisory Board
as established in this article, for developing and administering a
plan for informing the public of the availability of the benefits
provided under this article and procedures for filing claims for
the benefits." 
SECTION 17
TO AMEND SECTION 48-21-20 OF THE 1976 CODE, RELATING TO THE MINING
COUNCIL ESTABLISHED PURSUANT TO THE INTERSTATE MINING COMPACT, SO
AS TO PROVIDE THAT COUNCIL MEMBERS AND THE GOVERNOR'S ALTERNATE ON
THE INTERSTATE MINING COMMISSION SHALL RECEIVE THE PER DIEM,
MILEAGE, AND SUBSISTENCE ALLOWED BY LAW FOR MEMBERS OF STATE
BOARDS, COMMITTEES, AND COMMISSIONS.
Section 48-21-20(a) of the 1976 Code is amended to read:   
  "(a)  The 'mining council' is established in the office of
the Governor.  The council is the advisory body referred to in
Article V(a) of the Interstate Mining Compact.  Members of the
council and the Governor's alternate on the 
Interstate Mining Commission shall receive the per diem, mileage,
and subsistence allowed by law for members of state boards,
committees, and commissions."
SECTION 18
TO DESIGNATE SECTIONS 1-11-10 THROUGH 1-11-420, CHAPTER 11, TITLE
1 OF THE 1976 CODE, AS ARTICLE 1, ENTITLED "GENERAL
PROVISIONS"; TO CODIFY SECTIONS 1 THROUGH 8 OF ACT 117 OF 1987
AS CODE SECTIONS 1-11-500 THROUGH 1-11-570 AND TO DESIGNATE THOSE
CODE SECTIONS AS ARTICLE 3 OF CHAPTER 11 OF TITLE 1, ENTITLED
"ALLOCATION OF STATE CEILING ON ISSUANCE OF PRIVATE ACTIVITY
BONDS"; AND TO AMEND THE 1976 CODE BY ADDING SECTION 1-11-395
SO AS TO AUTHORIZE STATE AGENCIES PROVIDING HEALTH CARE OR SOCIAL
SERVICES WHICH HAVE A LEGAL RIGHT TO REIMBURSEMENT FROM PUBLIC OR
PRIVATE SOURCES TO CONTRACT WITH A VENDOR ON A CONTINGENCY BASIS TO
OBTAIN REIMBURSEMENT, TO PERMIT PAYMENTS UNDER THE CONTRACTS TO BE
MADE FROM FUNDS RECOVERED, AND TO REQUIRE THE VENDOR TO BE SELECTED
PURSUANT TO THE APPROPRIATE PROVISIONS OF THE SOUTH CAROLINA
CONSOLIDATED PROCUREMENT CODE AND THE CONTRACT TO BE APPROVED BY
THE STATE BUDGET AND CONTROL BOARD.
A.  Sections 1-11-10 through 1-11-420, Chapter 11, Title 1 of the
1976 Code, are designated as Article 1 of Chapter 11, Title 1 and
entitled "General Provisions".
B.  Sections 1 through 8 of Act 117 of 1987, contained in the 1987
Cumulative Supplement to the 1976 Code of Laws as Code Sections
1-11-500 through 1-11-570, are codified as Sections 1-11-500
through 1-11-570 and are designated as Article 3 of Chapter 11,
Title 1, and entitled "Allocation of State Ceiling on Issuance
of Private Activity Bonds".
C.  Article 1, Chapter 11, Title 1 of the 1976 Code is amended by
adding:
  "Section 1-11-395.  Any state governmental body which
provides health care or social services and which has a legal right
to be reimbursed from any private or governmental source for these
services may contract with any vendor on a contingent basis to
recover or to assist in the recovery of funds for reimbursement of
the provided services.  The governmental body may pay the vendor
from funds actually collected from governmental or private sources
as a result of the services provided by the vendor.  The vendor
must be selected pursuant to Section 11-35-1530, 11-35-1560, or
11-35-1570 and the contract must be approved by the State Budget
and Control Board."
SECTION 19
TO AMEND SECTION 23-36-40, AS AMENDED, OF THE 1976 CODE, RELATING
TO LICENSE AND PERMIT REQUIREMENTS UNDER THE "SOUTH CAROLINA
EXPLOSIVES CONTROL ACT", LIABILITY INSURANCE REQUIREMENT, AND
CLASSIFICATION OF BLASTERS, SO AS TO REVISE THE FEE SCHEDULE AND
INCREASE THE FEES.
A.  Section 23-36-40(3) of the 1976 Code is amended to read:
  "(3)  Licenses and permits are required for the following
and the fees are:
Class I Dealer License  one thousand dollars;
Class II Dealer License  two hundred fifty 
    dollars;
Magazine Permit  fifty dollars;
Blaster License,  two hundred fifty 
    dollars;
Blasting Permits:
  one month  fifty dollars;
  three months  one hundred dollars;
  six months  two hundred fifty
    dollars;
  one year  five hundred dollars. 
Magazine permits and licenses are issued by the State Fire Marshal
for one calendar year beginning on January first and ending on
December thirty-first.  Blasting permits must be issued for the
length of time necessary to complete the blasting work."
B.  This section takes effect January 1, 1989.
SECTION 20
TO AMEND SECTION 12-35-550, AS AMENDED, OF THE 1976 CODE, RELATING
TO SALES TAX EXEMPTIONS, SO AS TO EXEMPT THE GROSS PROCEEDS OF
SALES AFTER JULY 1, 1982, OF CONTAINERS AND CHASSIS TO
INTERNATIONAL SHIPPING LINES HAVING A CONTRACTUAL
RELATIONSHIP WITH THE SOUTH CAROLINA PORTS AUTHORITY AND WHICH ARE
USED IN THE STATE IMPORT OR EXPORT OF GOODS TO AND FROM THIS STATE.
Section 12-35-550 of the 1976 Code, as amended, is further amended
by adding an appropriately numbered item to read:
  "( )  The gross proceeds of sales occurring after July 1,
1982, of containers and chassis, including all parts, components,
and attachments, to international shipping lines which have a
contractual relationship with the  South Carolina State Ports
Authority and which are used in the import or export of goods to
and from this State."
SECTION 21
TO AMEND SECTIONS 61-3-710 AND 61-5-70 OF THE 1976 CODE, RELATING
TO THE EXPIRATION AND VALIDATION PERIOD FOR LIQUOR LICENSES AND THE
REQUIREMENT FOR A SEPARATE LICENSE FOR EACH LOCATION AND GRANTING
OF LICENSE AFTER SUSPENSION OR REVOCATION, SO AS TO CHANGE THE
ANNUAL EXPIRATION DATE FOR LIQUOR LICENSES FROM SEPTEMBER THIRTIETH
TO AN ANNUAL EXPIRATION DATE ACCORDING TO THE COUNTY WHERE LICENSED
LOCATION IS SITUATED, DELETE CERTAIN PROVISIONS OF LAW, AND PROVIDE
FOR THE PRORATING OF LICENSE FEES FOR LICENSE YEAR 1988-89; TO
AMEND THE 1976 CODE BY ADDING SECTION 61-1-95, SO AS TO, AMONG
OTHER THINGS, REQUIRE A PERSON TO SURRENDER PROMPTLY A LICENSE OR
PERMIT ISSUED UNDER TITLE 61 UNDER CERTAIN CIRCUMSTANCES, PROVIDE
THAT ALL LICENSES AND PERMITS MUST BE ISSUED FOR A DESIGNATED
LOCATION AND MAY NOT BE TRANSFERRED TO ANY OTHER LOCATION, AND
PROVIDE FOR THE PERSONS TO WHOM A LICENSE OR PERMIT MAY NOT BE
ISSUED UNDER CERTAIN CIRCUMSTANCES; TO AMEND SECTION 61-5-80,
RELATING TO THE SCHEDULE FOR PAYMENT AND THE AMOUNT OF LICENSE
FEES, SO AS TO CHANGE THE SCHEDULE FOR PERSONS INITIALLY APPLYING
FOR A LICENSE FROM A MONTHLY PERIOD TO A QUARTERLY PERIOD; TO AMEND
SECTION 61-7-80, RELATING TO REGISTRATION OF PRODUCERS OF ALCOHOLIC
LIQUORS, APPLICATIONS, TERMS, AND FEES, SO AS TO CHANGE THE
BEGINNING DATE FOR PRORATING APPLICATION FEES FROM JANUARY FIRST TO
MARCH FIRST OF EACH YEAR, AND TO CHANGE THE ENDING DATE FOR THE
VALIDATION PERIOD FOR REGISTRATION CERTIFICATES FROM JUNE THIRTIETH
TO AUGUST THIRTY-FIRST OF EACH YEAR; TO AMEND SECTION 61-7-90,
RELATING TO THE REGISTRATION OF BRANDS OF ALCOHOLIC LIQUORS,
APPLICATIONS, TERMS, AND FEES, SO AS TO CHANGE THE ENDING DATE FOR
THE VALIDATION PERIOD FOR REGISTRATION CERTIFICATES FOR BRANDS OF
ALCOHOLIC LIQUORS FROM JUNE THIRTIETH TO AUGUST THIRTY-FIRST OF
EACH YEAR; TO AMEND SECTION  
61-7-130, RELATING TO LICENSING OF PRODUCERS' WAREHOUSES,
APPLICATIONS, TERMS, AND FEES, SO AS TO CHANGE THE BEGINNING DATE
FOR PRORATING FEES FROM JANUARY FIRST TO MARCH FIRST OF EACH YEAR,
AND TO CHANGE THE ENDING DATE FOR THE VALIDATION PERIOD FOR
WAREHOUSE LICENSES FROM JUNE THIRTIETH TO AUGUST THIRTY-FIRST OF
EACH YEAR; TO AMEND SECTION 61-9-310, AS AMENDED, RELATING TO
PERMITS AND FILING FEES TO SELL BEER AND WINE, SO AS TO CHANGE THE
ANNUAL EXPIRATION DATE FOR PERMITS FROM SEPTEMBER THIRTIETH TO AN
ANNUAL EXPIRATION DATE ACCORDING TO THE COUNTY WHERE THE LICENSED
LOCATION IS SITUATED; TO AMEND CHAPTER 9, TITLE 61, RELATING TO
PROVISIONS ON THE REGULATION OF BEER AND WINE, BY ADDING ARTICLE 2
SO AS TO TRANSFER AUTHORITY TO THE ALCOHOLIC BEVERAGE CONTROL
COMMISSION TO PERFORM THE DUTIES AS PROVIDED TO THE TAX COMMISSION
IN SECTIONS 12-21-1510 THROUGH 12-21-1590 AND 12-21-1610 RELATING
TO THE REGISTRATION OF BEER AND WINE PRODUCERS; TO AMEND THE 1976
CODE BY ADDING SECTION 61-13-515 SO AS TO PROVIDE RESTRICTIONS ON
THE CONTROL, OWNERSHIP, AND ISSUANCE OF LICENSES FOR THE SALE OF
ALCOHOLIC BEVERAGES UPON TERMINATION, SUSPENSION, OR REVOCATION OF
A LICENSE; AND TO REPEAL SECTIONS 12-21-1510 THROUGH 12-21-1530 AND
61-9-370.
A.  Section 61-3-710 of the 1976 Code is amended to read:
  "Section 61-3-710.  All licenses issued under the provisions
of this chapter expire annually according to the county where the
licensed location is situated.  The expiration dates are:
  (1)  the last day of February for Allendale, Bamberg, Barnwell,
Beaufort, Berkeley, Charleston, Clarendon, Colleton, Dorchester,
Georgetown, Hampton, Jasper, and Williamsburg counties;
  (2)  the last day of May for Cherokee, Chester, Chesterfield,
Darlington, Dillon, Fairfield, Florence, Horry, Lancaster, Marion,
Marlboro, Union, and York counties;
  (3)  the last day of August for Calhoun, Kershaw, Lee,
Orangeburg, Sumter, and Richland counties;
  (4)  the last day of November for Abbeville, Aiken, Anderson,
Edgefield, Greenville, Greenwood, Laurens, Lexington, McCormick,
Newberry, Oconee, Pickens, Saluda, and Spartanburg counties.
  The commission shall prorate license fees for license year
1988-89 according to the length of time that the licenses are
valid."
B.  Section 61-5-70 of the 1976 Code is amended to read:
  "Section 61-5-70.  All licenses issued under this article
expire annually according to the county where the licensed location
is situated.  The expiration dates are:
  (1)  the last day of February for Allendale, Bamberg, Barnwell,
Beaufort, Berkeley, Charleston, Clarendon, Colleton, Dorchester,
Georgetown, Hampton, Jasper, and Williamsburg counties;
  (2)  the last day of May for Cherokee, Chester, Chesterfield,
Darlington, Dillon, Fairfield, Florence, Horry, Lancaster, Marion,
Marlboro, Union, and York counties;
  (3)  the last day of August for Calhoun, Kershaw, Lee,
Orangeburg, Sumter, and Richland counties;
  (4)  the last day of November for Abbeville, Aiken, Anderson,
Edgefield, Greenville, Greenwood, Laurens, Lexington, McCormick,
Newberry, Oconee, Pickens, Saluda, and Spartanburg counties.
  The commission shall prorate license fees for license year
1988-89 according to the period of time that the license is
valid."
C.  Chapter 1, Title 61 of the 1976 Code is amended by adding:
  "Section 61-1-95.  A person shall promptly surrender a
license or permit issued under the provisions of this title upon
request of the commission.  All licenses and permits are the
property of the commission and are not transferable.  All licenses
and permits must be immediately surrendered to the commission upon
the termination of a business, or upon a change of ownership,
possession, or control of a corporation or business entity, or upon
a change in the character of the property, facilities, or nature of
the business activity for which a license or permit has been
obtained.  The transfer of twenty-five percent or more of corporate
stock is considered a change in ownership.
  All licenses and permits must be issued for a designated location
and may not be transferred to any other location. A separate
license or permit is required for each separate location of a
business.
  When a license or permit is suspended or revoked, no partner or
person with a financial interest of any kind in the business or
premises, nor a person within the third degree of kinship to the
person to whom a license or permit has been issued, may be issued
a license or permit for the premises concerned.
  A person whose license or permit has been suspended or revoked
for a particular premises is not eligible for a license or permit
at any other location during the period the suspension or
revocation is in effect, and the commission may suspend or revoke
all other licenses or 
permits held by the person if the suspended or revoked premises is
within close proximity."
D.  Section 61-5-80 of the 1976 Code is amended to read:  
  "Section 61-5-80.  Applications for licenses must be
accompanied by appropriate fees, payable to the commission and must
be deposited with the State Treasurer, or are refundable if a
license is refused.  The schedule of fees for the license is:
  (1)  seven hundred fifty dollars a year for a nonprofit
organization, as defined in Section 61-5-20(3);
  (2)  seven hundred fifty dollars a year for a business
establishment, as defined in Section 61-5-20(4).
  A person who initially applies for a license after the first day
of a license year shall pay license fees in accordance with the
following schedule:
  (1)  during the first quarter of the license year, the entire
fee;
  (2)  during the second quarter of the license year, three-fourths
of the prescribed fee;
  (3)  during the third quarter of the license year, one-half of
the prescribed fee;
  (4)  during the final quarter of the license year, one-fourth of
the prescribed fee.
  Each applicant shall pay a filing fee of one hundred dollars
which must accompany the initial application for each location and
which is not refundable."
E.  Section 61-7-80 of the 1976 Code is amended to read:  
  "Section 61-7-80.  Every producer shall apply to the
commission on forms as the commission prescribes for a certificate
of registration, which certificate must be approved and issued 
before the shipment of any alcoholic liquors by the producer to a
point within the geographic limits of South Carolina.
  Every producer, at the same time application is made for a
certificate of registration, shall remit to the commission a fee of
one hundred dollars.  Where a certificate is applied for on or
after March first, the fee is fifty dollars.
  Every certificate of registration is valid from the date of issue
until August thirty-first of each year."
F.  Section 61-7-90 of the 1976 Code is amended to read:
  "Section 61-7-90.  Every registered producer, before the
shipment of any alcoholic liquors to a point within the geographic
limits of South Carolina shall obtain from the commission a
certificate of registration for each brand of alcoholic liquors
intended to be shipped to a point within the geographic limits of
this State.  The commission shall provide appropriate forms for
application for certificate of registration of brands of alcoholic
liquors.
  At the same time an application for a certificate of registration
of brands of alcoholic liquors is submitted a fee of ten dollars
must be paid to the commission for each brand except the first five
brands of a registered producer.
  A certificate of registration of brands of alcoholic liquors is
valid from the date of issue to August thirty-first of each
year."
G.  Section 61-7-130 of the 1976 Code is amended to read: 
  "Section 61-7-130.  A registered producer may store
alcoholic liquors only in a warehouse of the registered producer
licensed by the commission.  The commission shall require 
sufficient bond with respect to a licensed warehouse to insure
proper handling of liquors stored in the warehouse.  Application
for license to operate a warehouse must be filed on forms
prescribed by the commission.
  At the same time application for a warehouse license is
submitted, a fee of two hundred dollars must be paid to the
commission.  Where application is made for a warehouse license on
or after March first, the fee is one hundred dollars.  A warehouse
license is valid from the date of issue until August thirty-first
of each year."
H.  Section 61-9-310 of the 1976 Code, as last amended by Section
11, Part II, Act 170 of 1987, is further amended to read:
  "Section 61-9-310.  Every person engaging in the business of
selling beer, ale, porter, wine, or a beverage which has been
declared to be nonalcoholic and nonintoxicating under the
provisions of Section 61-9-10 shall apply to the commission for a
permit to sell these beverages.  Each applicant shall pay a filing
fee of two hundred dollars which is not refundable.  Retail dealers
shall pay to the commission two hundred dollars a year for retail
permits, and wholesale dealers shall pay to the commission one
thousand dollars a year for wholesale permits.  Separate permits
are required for each separate place of business.
  All permits issued under the provisions of this chapter expire
annually according to the county where the place of business is
situated.  The expiration dates are:
  (1)  the last day of February for Allendale, Bamberg, Barnwell,
Beaufort, Berkeley, Charleston, Clarendon, Colleton, Dorchester,
Georgetown, Hampton, Jasper, and Williamsburg counties;
  (2)  the last day of May for Cherokee, Chester, Chesterfield,
Darlington, Dillon, Fairfield, Florence, Horry, Lancaster, Marion,
Marlboro, Union, and York counties;
  (3)  the last day of August for Calhoun, Kershaw, Lee,
Orangeburg, Sumter, and Richland counties;
  (4)  the last day of November for Abbeville, Aiken, Anderson,
Edgefield, Greenville, Greenwood, Laurens, Lexington, McCormick,
Newberry, Oconee, Pickens, Saluda, and Spartanburg counties.
  The commission shall prorate permit fees for license year 1988-89
according to the length of time that the permit is valid."
I.  Chapter 9, Title 61 of the 1976 code is amended by adding:
"Article 2
Producers and Wholesalers of Beer and Wine
  Section 61-9-210.  'Producer' as used in this article means a
brewery or winery or a manufacturer, bottler, or importer of beer
or wine into the United States.
  Section 61-9-220.  Every producer shall apply to the commission
on the forms as the commission may prescribe for a certificate of
registration, which certificate must be approved and issued before
the shipment of any beer or wine by the producer to a point within
the geographic limits of South Carolina.  Every producer, at the
same time application is made for a certificate of registration,
shall remit to the commission a fee of one hundred dollars.  Every
certificate of registration is valid from the date of issue until
August thirty-first of each year.  Beer and wine wholesalers shall
purchase only beer, ale, or wine from manufacturers or importers
who 
hold a certificate of registration issued by the commission. 
Nothing contained in this section or in Section 61-9-315 may be
construed to prevent the transfer or purchase and sale, for resale
to retailers only, between wholesalers authorized by the registered
producer or an exclusive agent in South Carolina to distribute the
same brand or brands of wine, beer, or ale.
  Section 61-9-230.  The commission, in its discretion, upon
consideration of the information contained in applications for
certificates provided for in this article, shall issue or reject
the application.
  Section 61-9-240.  Certificates of registration provided for in
this article may be suspended or revoked by the commission upon a
showing of a violation of law or of a regulation of the commission.
  Section 61-9-250.  The commission has the right within statutory
limitations to audit and examine the books and records, papers, and
memoranda of a producer with respect to the administration and
enforcement of laws administered by the commission.
  Section 61-9-260.  Any beer or wine shipped or moved into the
geographic limits of South Carolina in violation of a provision of
this chapter is declared contraband and may be seized and sold as
provided in Section 61-13-570.
  Section 61-9-270.  The commission shall administer and enforce
the provisions of this article.
  Section 61-9-280.  The commission may make the regulations, not
inconsistent with law, that are necessary for the proper
administration and enforcement of this article.
  Section 61-9-290.  All monies received by the commission under
the provisions of this chapter must be deposited with the State
Treasurer to the credit of the general fund of the State."
J.  The 1976 Code is amended by adding:
  "Section 61-13-515.  All licenses and permits are the
property of the commission, are not transferable, and, upon the
termination of a business or upon a change of ownership,
possession, or control, or upon a substantial change in the
character of the property or facilities or nature of business for
which a license or permit has been obtained, must be surrendered
immediately to the commission.
  All licenses and permits must be issued for a designated location
and may not be transferred to any other location. A separate
license is required for each separate location of a business.
  When a license or permit is suspended or revoked, no partner or
person with a financial interest of any kind in the premises, nor
a person within the third degree of kinship to the person to whom
a license has been issued, may be issued a license for the premises
concerned.
  A person whose license or permit has been suspended or revoked
for a particular premises is not eligible for a license or permit
at any other location during the period the suspension or
revocation is in effect.
  When a person or business has multiple licenses or permits for
locations within three hundred feet of each other, administrative
penalties may be applied to all the licenses and permits."
K.  Sections 12-21-1510, 12-21-1520, 12-21-1530, and 61-9-370 of
the 1976 Code are repealed.
*[SECTION 22
TO PROVIDE THAT PRIOR TO AUTHORIZATION OF THE EXPENDITURE OF ANY
OIL OVERCHARGE REFUND MONIES PURSUANT TO CERTAIN PROVISIONS OF LAW,
THE JOINT LEGISLATIVE COMMITTEE ON ENERGY SHALL REVIEW AND MAKE A
RECOMMENDATION AS TO THE APPROVAL AND ADOPTION OF THIS STATE'S
ENERGY POLICY AND THE SPECIFIC USES FOR PROPOSED ENERGY
CONSERVATION PROGRAMS, PROVIDE THAT THE USE OF THE FUNDS BE WITHIN
CERTAIN RESTRICTIONS, GRANT THE COMMITTEE CONTINUOUS ENERGY PROGRAM
OVERSIGHT REGARDING THE ACTUAL EXPENDITURE AND USE OF THE OIL
OVERCHARGE FUNDS, PROVIDE FOR CERTAIN EVALUATION,
PROVIDE FOR THE REPORTING OF CERTAIN COST SAVINGS, PROVIDE FOR THE
DEPOSIT OF THESE FUNDS AND THEIR DISBURSEMENT, AND REQUIRE THE
STATE AUDITOR TO CONDUCT AN ANNUAL FINANCIAL COMPLIANCE AUDIT.
A.  Prior to authorization of the expenditure of any oil overcharge
refund monies by the Governor and the Joint Appropriations Review
Committee, pursuant to the provisions of Chapter 65, Title 2, Code
of Laws of South Carolina, 1976, the Joint Legislative Committee on
Energy shall review and make a recommendation as to the approval
and adoption of this state's energy policy and the specific uses
for proposed energy conservation programs. Consideration for
funding any energy program or activity by the Joint Legislative
Committee on Energy must be based primarily on the potential for
reducing the costs
of energy consumption, and such potential cost savings must be
estimated and documented for future analysis.
B.  The Joint Legislative Committee on Energy, in making its
review, shall ensure that the proposed use of such funds for
program administrative costs, if any, is within any restriction
imposed by the courts and the]  
  *[Vetoed and Sustained.]
[federal Department of Energy rules and regulations applicable to
the use of any oil overcharge refunds and that any administrative
cost is absolutely justified.
C.  The Joint Legislative Committee on Energy has the authority and
responsibility of continuous energy program oversight on the actual
expenditure and use of the oil overcharge funds, including, but not
limited to, the receipt and review of all reports, contracts, and
subcontracts issued and any other information considered necessary
to assure that such funds are being utilized in accordance with the
energy policy and energy program plans approved as stated in this
section.
D.  Any state agency, board, commission, institution, or other
entity funded from the general fund of the State which receives a
financial gain as a result of energy efficiency improvements
undertaken as a result of the state's energy programs must be
evaluated as to the actual annual dollar savings attained.  The
cost savings must be reported to the Joint Legislative Committee on
Energy by the entity administering the state energy program.  The
Joint Legislative Committee on Energy shall review the report of
cost savings to ensure that the dollar amounts saved are accurate,
and the Committee shall report its findings to the Senate Finance
Committee and to the House Ways and Means Committee annually, not
later than January first.  The entity administering the state
energy program shall cooperate fully with the Joint Legislative
Committee on Energy to ensure that the annual reporting requirement
is met.
E.  Oil overcharge funds must be deposited by the State Treasurer
in interest-bearing accounts of the State, with interest earned to
be]
  *[Vetoed and Sustained.]
[earmarked for the same purposes as the oil overcharge monies.  The
administering entity shall ensure that funds are drawn down and
disbursed in a manner which ensures the maximum interest accruing
to the State Treasurer's oil overcharge funds account.  The State
Auditor shall conduct an annual financial compliance audit and
budget adequate funds to cover its cost.]
SECTION 23
TO AMEND SECTION 58-17-150 OF THE 1976 CODE, RELATING TO REGULATION
OF RAILROADS BY THE PUBLIC SERVICE COMMISSION AND THE AUTHORIZATION
TO THE COMMISSION TO REQUIRE IMPROVEMENT OR EXTENSION OF FACILITIES
OR SERVICE OR MODIFICATION IN RATE OF FARES, SO AS TO ALLOW
RAILROADS SUBJECT TO THE JURISDICTION OF THE COMMISSION TO RETIRE
TEAM TRACK ON THIRTY DAYS' WRITTEN NOTICE TO THE COMMISSION IF THE
TRACK HAS NOT BEEN USED FOR AT LEAST TWO YEARS, AND TO PROVIDE THAT
THE NOTICE MUST BE ACCOMPANIED BY A FIFTY-DOLLAR FEE AND AN
AFFIDAVIT OF THE RAILROAD'S AGENT OR EMPLOYEE THAT THE TRACK HAS
NOT BEEN USED BY THE PUBLIC FOR THE TWO-YEAR PERIOD PRECEDING ITS
RETIREMENT.
Section 58-17-150 of the 1976 Code is amended by adding at the end:
  "Any railroad subject to the jurisdiction of the commission
may retire any team track within this State upon showing that the
track has not been used for at least two years. Before any track is
retired for nonuse, the railroad shall give thirty days' written
notice to the commission.  The notice must be accompanied by a fee
of fifty dollars and an affidavit of the railroad's agent or
employee having personal knowledge of the fact that the track has
not been used by the public during the two-year
  *[Vetoed and Sustained.]
period immediately preceding the retirement date of the
track."
SECTION 24
TO AMEND THE 1976 CODE BY ADDING SECTION 9-1-1860 SO AS TO
AUTHORIZE ANY FORMER EMPLOYEE OF A MUNICIPALITY OF THIS STATE WHICH
IS NOT A MEMBER OF THE STATE RETIREMENT SYSTEM WHO IS EMPLOYED IN
THIS STATE BY AN EMPLOYER COVERED BY THE SYSTEM AND WHO IS
CURRENTLY A CONTRIBUTING MEMBER TO ELECT TO RECEIVE PRIOR SERVICE
CREDIT FOR SERVICE RENDERED IN THE MANNER PROVIDED IN SECTION
9-1-1840.
The 1976 Code is amended by adding:
  "Section 9-1-1860.  Any former employee of a municipality of
this State which is not a member of the System, employed in this
State by an employer covered by the System, and who is currently a
contributing member, may elect to receive prior service credit for
service rendered as an employee of a municipality of this State
which is not a member of the System in the manner provided in
Section 9-1-1840, mutatis mutandi."
SECTION 25
TO AMEND SECTION 23-45-140 OF THE 1976 CODE, RELATING TO THE FUNDS
COLLECTED AND EXPENDITURES UNDER THE FIRE PROTECTION SPRINKLER
SYSTEMS ACT, SO AS TO DELETE THE PROVISION AUTHORIZING THE STATE
FIRE MARSHAL TO EXPEND MONIES TO ENFORCE THE ACT AND TO PROVIDE FOR
THE STATE FIRE MARSHAL TO CHARGE A FEE FOR SPRINKLER PLAN AND
SPECIFICATION REVIEW; AND TO AMEND SECTION 23-45-160, RELATING TO
SMOKE DETECTORS, SO AS TO CHANGE REFERENCES TO FIRE PROTECTION
STANDARDS.
A.  Section 23-45-140 of the 1976 Code is amended to read:
  "Section 23-45-140.  The Division of State Fire Marshal may
charge a fee of one cent a square foot for sprinkler plan and
specification review for the enforcement of this chapter.  The fees
collected pursuant to this chapter must be deposited in the state
treasury to the credit of the general fund.  The State Fire Marshal
may receive grants and donations from associations, firms, or
individuals who are interested in improving the fire protection
sprinkler industry by means of establishing adequate educational,
training, and competency programs."
B.  The first paragraph of Section 23-45-160 of the 1976 Code is
amended to read:
  "Every dwelling unit within an apartment house having no
fire protection system must be provided with an approved listed
smoke detector, installed in accordance with the manufacturer's
recommendation and listing.  The smoke detector must be mounted on
the ceiling or wall at a point centrally located in the corridor or
area giving access to each group of rooms used for sleeping
purposes.  Where the dwelling unit contains more than one story,
detectors are required on each story including cellars and
basements, but not including uninhabitable attics.  In dwelling
units with split levels, a smoke detector must be installed only on
the upper level, if the lower level is less than one full story
below the upper level, except that if there is a door between
levels then a detector is required on each level.  Detectors must
be connected to a sounding device or other detector to provide an
alarm which must be audible in the sleeping areas.  Smoke detectors
must be listed and meet the installation requirements of National
Fire Protection Association Standard 
72A and National Fire Protection Association Standard 74."
SECTION 26
TO AMEND THE 1976 CODE, BY ADDING SECTION 1-11-142 SO AS TO PROVIDE
FOR THE BUDGET AND CONTROL BOARD TO PROVIDE HEALTH AND DENTAL
INSURANCE COVERAGE TO COUNTIES UNDER THE STATE HEALTH INSURANCE
PLAN.
Chapter 11, Title 1 of the 1976 Code is amended by adding:
  "Section 1-11-142.  The Budget and Control Board through the
South Carolina Retirement System is authorized to provide health
and dental insurance coverage to counties under the State Health
Insurance Plan.  The employer may obtain coverage by applying to
the board and by complying with the requirements established by the
board.  However, the benefits of the plan must be the same as those
provided to state and school district employees.  An employer
electing to participate in the State Health Insurance Plan shall
agree to participate for a minimum of two years.  The board may
adjust the premium rates during the coverage period based on
experience."
SECTION 27
TO PROVIDE FOR LONG-TERM CAPITAL GAINS RECOGNIZED IN 1987 OR DURING
JANUARY, 1988, PURSUANT TO A CONTRACT EXECUTED BEFORE JANUARY 1,
1988, TO BE DETERMINED IN ACCORDANCE WITH SECTION 1202 OF THE
INTERNAL REVENUE CODE OF 1954, AS AMENDED, THROUGH DECEMBER 31,
1985, AND TO PROVIDE FOR THE MANNER IN WHICH ANY REFUNDS MUST BE
MADE TO THE TAXPAYER.
A.  Long-term capital gains of individuals, partnerships (including
S corporations), estates, and trusts which were recognized in 1987,
or which were recognized during January, 1988, pursuant to a
written contract of sale executed before January 1, 1988, must be
determined in accordance with the provisions of Section 1202 of the
Internal Revenue Code of 1954, as amended through December 31,
1985.
B.  The difference between the tax paid on the taxpayer's return
attributable to this long-term capital gain and the tax
attributable to this gain which would have been paid under the
provisions of this section is refundable to the taxpayer in two
equal annual installments beginning 1990.  However, the South
Carolina Tax Commission in its discretion may allow a portion or
all of a refund installment due to be used as a credit against the
taxpayer's tax liability for that year.  The date in any year the
refund installment is paid to the taxpayer must be determined by
the commission.
SECTION 28
TO AMEND SECTION 59-6-10, AS AMENDED, OF THE 1976 CODE, RELATING TO
THE SELECT COMMITTEE ON THE EDUCATION IMPROVEMENT ACT OF 1984, SO
AS TO DELETE THE PROVISIONS FOR THE COMMITTEE TO MAKE
RECOMMENDATIONS TO THE STATE BOARD OF EDUCATION, TO PROVIDE FOR THE
COMMITTEE TO SERVE AS THE OVERSIGHT COMMITTEE FOR THE ACT, AND TO
PROVIDE FOR THE DUTIES AND RESPONSIBILITIES OF THE COMMITTEE AND
FOR THE AGENCIES AND ENTITIES RESPONSIBLE FOR IMPLEMENTATION OF THE
ACT.
The first paragraph of Section 59-6-10 of the 1976 Code is amended
to read:
  "In order to assist in, recommend, and supervise
implementation of programs and 
expenditure of funds for the Education Improvement Act of 1984
there is created a Select Committee to serve as the oversight
committee for the act. The Select Committee shall:
  (1)  review and monitor Education Improvement Act programs and
funding;
  (2)  make programmatic and funding recommendations to the General
Assembly;
  (3)  report annually to the General Assembly on the progress of
the programs;
  (4)  recommend EIA program changes to state agencies and other
entities as it considers necessary.
  Each state agency and entity responsible for implementing
Education Improvement Act funded programs shall submit annually to
the Select Committee programs and expenditure reports and budget
requests in a manner prescribed by the Select Committee."
SECTION 29
TO AMEND THE 1976 CODE BY ADDING SECTION 2-7-66 SO AS TO PROVIDE
FOR THE FORMAT AND LOCATION IN THE APPROPRIATIONS BILL FOR
APPROPRIATIONS FROM THE EDUCATION IMPROVEMENT ACT OF 1984 FUND FOR 
AGENCIES AND ENTITIES OTHER THAN THE STATE DEPARTMENT OF EDUCATION
AND TO PROVIDE FOR DISBURSEMENT OF THE FUNDS.
A.  Chapter 7, Title 2 of the 1976 Code is amended by adding:
  "Section 2-7-66.  Education Improvement Act of 1984
appropriations for programs which are administered by agencies and
entities other than the State Department of Education must be
included in the annual general appropriations bill under the
section containing appropriations for the State Department of
Education in a separate subsection titled 'Education 
Improvement Act Appropriations to Other Agencies and Entities';
Funds appropriated under this subsection must be disbursed to the
agencies and entities by the State Treasurer in accordance with
state accounting policies and procedures."
B.  This section applies to appropriations beginning in fiscal year
1989-90.
SECTION 30
TO AMEND SECTION 12-35-320, AS AMENDED, OF THE 1976 CODE, RELATING
TO THE RETAIL LICENSE FEE, SO AS TO PROVIDE FOR A RETAIL LICENSE AT
A FEE OF TWENTY DOLLARS FOR ARTISTS AND CRAFTSMEN SELLING AT ARTS
AND CRAFTS SHOWS OR FESTIVALS PRODUCTS THAT THEY HAVE CREATED OR
ASSEMBLED.
Section 12-35-320 of the 1976 Code, as last amended by Act 417 of
1988, is further amended to read:
  "Section 12-35-320.  Every person who engages in any
business as a retailer, as a condition precedent to engaging in the
business, shall obtain from the commission a retail license for
each branch, establishment, or agency conducted by him and, in
addition to all other license fees charged, shall pay a license tax
in the amount of fifty dollars for each branch, establishment, or
agency of the retailer situated or located in this State.  The
provisions of this section do not apply to persons using a stall or
other facility at a flea market or conducting a yard sale not more
than once a quarter unless the persons engage in flea markets or
yard sales as a regular business, nor do they apply to
organizations conducting concession sales at festivals if the gross
proceeds of the sales are exempt from sales tax pursuant to Section
12-35-550.  Any transient retailer who makes retail sales in 
this State for a period not exceeding thirty days may obtain a
temporary retail license at a cost of fifty dollars.  The license
issued must state the period of time for which it may be used. 
Artists and craftsmen selling at arts and crafts shows or festival
products that they have created or assembled may obtain a retail
license at a fee of twenty dollars."
SECTION 31
TO AUTHORIZE THE SOUTH CAROLINA PUBLIC SERVICE AUTHORITY TO ADOPT
THE CALENDAR YEAR AS ITS FISCAL YEAR AND TO PROVIDE THAT THE
ADOPTION DOES NOT AFFECT PAYMENTS MADE BY THE AUTHORITY TO THE
GENERAL FUND OF THE STATE.
The Public Service Authority may adopt the calendar year as its
fiscal year, but the adoption does not affect payments made by the
Authority to the general fund of the State.
SECTION 32
TO AMEND THE 1976 CODE BY ADDING SECTION 12-54-240, SO AS TO
PROVIDE THAT THE NONDISCLOSURE PROVISIONS GOVERNING THE RECORDS OF
AND REPORTS AND RETURNS FILED WITH THE SOUTH CAROLINA TAX
COMMISSION PURSUANT TO THE INCOME, ESTATE, GIFT, SALES, AND USE
TAXES, EXTEND TO COMMISSION EMPLOYEES AND EMPLOYEES OR AGENTS OF
THE STATE AUDITOR'S OFFICE, AND TO PROVIDE PENALTIES FOR
VIOLATIONS, INCLUDING FORFEITURE OF AND DISQUALIFICATION FROM STATE
EMPLOYMENT AND TERMINATION OF ANY CONTRACT WITH THE STATE AND
DISQUALIFICATION FROM SUBSEQUENT CONTRACTS FOR FIVE YEARS.
The 1976 Code is amended by adding:
  "Section 12-54-240.  (A)  Except in accordance with proper
judicial order or as otherwise 
provided by law it is unlawful for the members of the commission or
any deputy, agency, clerk, or other officer or employee of the
commission, or any person engaged or retained by the State
Auditor's Office for the purpose of examining the records of the
commission to divulge or make known in any manner any particulars
set forth or disclosed in any report or return required under
Chapters 7, 15, 17, or 35 of this title.
  Any person violating the provisions of this section is guilty of
a misdemeanor and upon conviction must be punished by a fine of not
more than one thousand dollars or by imprisonment for not more than
one year, or both.  If the offender is an officer or an employee of
the State he must be dismissed from office and is disqualified from
holding any public office in this State for a period of five years
thereafter.  If the offender is an officer or employee of a company
retained by the State on an independent contract basis under
subsection (D) of this section, the contract is immediately
terminated and the company is not eligible to contract with the
State for this purpose for a period of five years thereafter.
  (B)  Nothing in this section prohibits the:
    (1)  publication of statistics classified to prevent the
identification of particular reports or returns and the items
included on them or the inspection by the Attorney General or other
legal representative of the State of the report or return of any
taxpayer who brings an action to set aside or review the tax based
on the report or return or against whom an action or proceeding has
been instituted to recover any tax or any penalty imposed by this
chapter, or of any taxpayer who has applied for review of any
adjustment proposed by the commission, or of any taxpayer filing a
petition for redetermination of a deficiency assessed by the
commission.  Reports and returns must be 
preserved for seven years and thereafter until the commission
orders them to be destroyed.
    (2)  examination of records, returns, and reports held by the
commission by persons employed by the State Auditor's Office
annually to examine the books, accounts, receipts, disbursements,
vouchers, and records of the commission as required by Section
11-7-20.
    (3)  examination of records, returns, and reports held by the
commission by persons retained on an independent contract basis by
the State Auditor's Office exclusively for the purpose of auditing
statewide financial statements.
    (4)  transfer of funds and the submission of taxpayer home
addresses and corrected social security numbers to the Department
of Social Services Child Support Enforcement Division in accordance
with Section 12-7-2240.
    (5)  inspection of returns by officials of other jurisdictions
in accordance with Section 12-7-1690.
    (6)  disclosure of deficiency assessments to probate courts and
the filing of warrants for uncollected taxes."
SECTION 33
TO AUTHORIZE THE STATE HEALTH AND HUMAN SERVICES FINANCE COMMISSION
TO COLLECT ADMINISTRATIVE FEES, NOT TO EXCEED ONE AND ONE-HALF
PERCENT OF THE AMOUNT NEGOTIATED, ASSOCIATED WITH ACCOUNTS
RECEIVABLE FOR THOSE INDIVIDUALS OR ENTITIES WHICH NEGOTIATE
REPAYMENT TO THE AGENCY AND TO REQUIRE THE FEES TO BE CREDITED TO
THE GENERAL FUND OF THE STATE.
The State Health and Human Services Finance Commission may collect
administrative fees associated with accounts receivable for those
individuals or entities which negotiate repayment to the agency. 
The administrative fee 
may not exceed one and one-half percent of the amounts negotiated
and must be remitted to the State Treasurer and deposited to the
credit of the general fund of the State.
SECTION 34
TO AMEND TITLE 27 OF THE 1976 CODE BY ADDING CHAPTER 18 SO AS TO
ENACT THE UNIFORM UNCLAIMED PROPERTY ACT (1981), TO PROVIDE
PENALTIES FOR VIOLATIONS, AND TO REPEAL CHAPTER 17 OF TITLE 27, THE
UNIFORM DISPOSITION OF UNCLAIMED PROPERTY ACT.
A.  Title 27 of the 1976 Code is amended by adding:
"CHAPTER 18
Uniform Unclaimed Property Act (1981)
  Section 27-18-10.  This chapter may be cited as the Uniform
Unclaimed Property Act (1981).
  Section 27-18-20.  As used in this chapter, unless the context
otherwise requires:
  (1)  'Administrator' means The South Carolina Tax Commission, its
agents, or representatives.
  (2)  'Apparent owner' means the person whose name appears on the
records of the holder as the person entitled to property held,
issued, or owing by the holder.
  (3)  'Attorney general' means the chief legal officer of this
State.
  (4)  'Banking organization' means a bank, trust company, savings
bank, industrial bank, land bank, safe deposit company, private
banker, or any organization defined by other law as a bank or
banking organization.
  (5)  'Business association' means a nonpublic corporation, joint
stock company, investment company, business trust, partnership, or
association for business purposes of two or more 
individuals, whether or not for profit, including a banking
organization, financial organization, insurance company, or
utility.
  (6)  'Domicile' means the state of incorporation of a corporation
and the state of the principal place of business of an
unincorporated person.
  (7)  'Financial organization' means a savings and loan
association, cooperative bank, building and loan association, or
credit union.
  (8)  'Holder' means a person, wherever organized or domiciled,
who is:
    (a)  in possession of property belonging to another;
    (b)  a trustee; or
    (c)  indebted to another on an obligation.
  (9)  'Insurance company' means an association, corporation,
fraternal or mutual benefit organization, whether or not for
profit, which is engaged in providing insurance coverage, including
accident, burial, casualty, credit life, contract performance,
dental, fidelity, fire, health, hospitalization, illness, life
(including endowments and annuities), malpractice, marine,
mortgage, surety, and wage protection insurance.
  (10)  'Intangible property' includes:
    (a)  monies, checks, drafts, deposits, interest, dividends, and
income;
    (b)  credit balances, customer overpayments, gift certificates,
security deposits, refunds, credit memos, unpaid wages, unused
airline tickets, and unidentified remittances;
    (c)  stocks and other intangible ownership interests in
business associations;
    (d)  monies deposited to redeem stocks, bonds, coupons, and
other securities, or to make distributions;
    (e)  amounts due and payable under the terms of insurance
policies;
    (f)  amounts distributable from a trust or custodial fund
established under a plan to 
provide health, welfare, pension, vacation, severance, retirement,
death, stock purchase, profit sharing, employee savings,
supplemental unemployment insurance, or similar benefits.
  (11)  'Last known address' means a description of the location of
the apparent owner sufficient for the purpose of the delivery of
mail.
  (12)  'Lawful charge' means a charge for which there is a valid
and enforceable written contract between the issuer and the owner
of the instrument pursuant to which the issuer may impose the
charge and the issuer regularly imposes the charge and does not
regularly reverse or otherwise cancel the charge.
  (13)  'Owner' means a depositor in the case of a deposit, a
beneficiary in case of a trust other than a deposit in trust, a
creditor, claimant, or payee in the case of other intangible
property, or a person having a legal or equitable interest in
property subject to this chapter or his legal representative.
  (14)  'Patronage allocations' means any patronage capital
accounts, patronage dividends, capital accounts, capital credits,
capital reserves, or any distribution of excess revenue to members.
  (15)  'Person' means an individual, business association, state
or other government, governmental subdivision or agency, public
corporation, public authority, estate, trust, two or more persons
having a joint or common interest, or any other legal or commercial
entity.
  (16)  'State' means any state, district, commonwealth, territory,
insular possession, or any other area subject to the legislative
authority of the United States.
  (17)  'Utility' means a person who owns or operates for public
use any plant, equipment, property, franchise, or license for the
transmission of communications or the production, storage,
transmission, sale, 
delivery, or furnishing of electricity, water, steam, or gas.
  Section 27-18-30.  (A)  Except as otherwise provided by this
chapter, all intangible property, including any income or increment
derived therefrom, less any lawful charges, that is held, issued,
or owing in the ordinary course of a holder's business and has
remained unclaimed by the owner for more than five years after it
became payable or distributable is presumed abandoned.
  (B)  Property is payable or distributable for the purpose of this
chapter notwithstanding the owner's failure to make demand or to
present any instrument or document required to receive payment.
  (C)  Except as otherwise provided by this chapter, all patronage
allocations less lawful charges that are held, issued, or owing by
entities organized under the provisions of Chapter 49 of Title 33
that remain unclaimed by the owner for more than seven years after
becoming payable or distributable are presumed abandoned.
  Section 27-18-40.  Unless otherwise provided in this chapter or
by other statute of this State, intangible property is subject to
the custody of this State as unclaimed property if the conditions
raising a presumption of abandonment under Sections 27-18-30 and
27-18-60 through 27-18-170 are satisfied and:
    (1)  the last known address, as shown on the records of the
holder, of the apparent owner is in this State;
    (2)  the records of the holder do not reflect the identity of
the person entitled to the property and it is established that the
last known address of the person entitled to the property is in
this State;
    (3)  the records of the holder do not reflect the last known
address of the apparent owner, and it is established that:
      (a)  the last known address of the person entitled to the
property is in this State; or
      (b)  the holder is a domiciliary or a government or
governmental subdivision or agency of this State and has not
previously paid or delivered the property to the state of the last
known address of the apparent owner or other person entitled to the
property;
    (4)  the last known address, as shown on the records of the
holder, of the apparent owner is in a state that does not provide
by law for the escheat or custodial taking of the property or its
escheat or unclaimed property law is not applicable to the property
and the holder is a domiciliary or a government or governmental
subdivision or agency of this State;
    (5)  the last known address, as shown on the records of the
holder, of the apparent owner is in a foreign nation and the holder
is a domiciliary or a government or governmental subdivision or
agency of this State; or
    (6)  the transaction out of which the property arose occurred
in this State and
      (a)  (i)  the last known address of the apparent owner or
other person entitled to the property is unknown, or
         (ii) the last known address of the apparent owner or other
person entitled to the property is in a state that does not provide
by law for the escheat or custodial taking of the property or its
escheat or unclaimed property law is not applicable to the
property, and
      (b)  the holder is a domiciliary of a state that does not
provide by law for the escheat or custodial taking of the property
or its escheat or unclaimed property law is not applicable to the
property.
  Section 27-18-50.  (A)  Subject to subsection (D), any sum
payable on a travelers check that has been outstanding for more
than fifteen years after its issuance is presumed abandoned unless
the owner, within fifteen years, has communicated in writing with
the issuer concerning it or otherwise indicated an interest as
evidenced by a memorandum or other record on file prepared by an
employee of the issuer.
  (B)  Subject to subsection (D), any sum payable on a money order
or similar written instrument, other than a third-party bank check,
that has been outstanding for more than seven years after its
issuance is presumed abandoned unless the owner, within seven
years, has communicated in writing with the issuer concerning it or
otherwise indicated an interest as evidenced by a memorandum or
other record on file prepared by an employee of the issuer.
  (C)  A holder may not deduct from the amount of a travelers check
or money order any charge imposed by reason of the failure to
present the instrument for payment unless there is a valid and
enforceable written contract between the issuer and the owner of
the instrument pursuant to which the issuer may impose a charge and
the issuer regularly imposes such charges and does not regularly
reverse or otherwise cancel them.
  (D)  No sum payable on a travelers check, money order, or similar
written instrument, other than a third-party bank check, described
in subsections (A) and (B) may be subjected to the custody of this
State as unclaimed property unless:
    (1)  the records of the issuer show that the travelers check,
money order, or similar written instrument was purchased in this
State; 
    (2)  the issuer has its principal place of business in his
State and the records of the issuer do not show the state in which
the travelers check, money order, or similar written instrument was
purchased; or
    (3)  the issuer has its principal place of business in this
State, the records of the issuer show the state in which the
travelers check, money order, or similar written instrument was
purchased and the laws of the state of purchase do not provide for
the escheat or custodial taking of the property or its escheat or
unclaimed property law is not applicable to the property.
  (E)  Notwithstanding any other provision of this chapter,
subsection (D) applies to sums payable on travelers checks, money
orders, and similar written instruments presumed abandoned on or
after February 1, 1965, except to the extent that those sums have
been paid over to a state prior to January 1, 1974.
  Section 27-18-60.  (A)  Any sum payable on a check, draft, or
similar instruments, except those subject to Section 27-18-50, on
which a banking or financial organization is directly liable,
including a cashier's check and a certified check, which has been
outstanding for more than five years after it was payable or after
its issuance if payable on demand, is presumed abandoned, unless
the owner, within five years, has communicated in writing with the
banking or financial organization concerning it or otherwise
indicated an interest as evidenced by a memorandum or other record
on file prepared by an employee thereof.
  (B)  A holder may not deduct from the amount of any instrument
subject to this section any charge imposed by reason of the failure
to present the instrument for payment unless there is a valid and
enforceable written contract between the holder and the owner of
the instrument pursuant to which the holder may impose a charge,
and the holder regularly imposes such charges and does not
regularly reverse or otherwise cancel them.
  Section 27-18-70.  (A)  Any demand, savings, or matured time
deposit with a banking or financial organization, including a
deposit that is automatically renewable, and any funds paid toward
the purchase of a share, a mutual investment certificate, or any
other interest in a banking or financial organization is presumed
abandoned unless the owner, within five years has:
    (1)  in the case of a deposit, increased or decreased its
amount or presented the passbook or other similar evidence of the
deposit for the crediting of interest;
    (2)  communicated in writing with the banking or financial
organization concerning the property;
    (3)  otherwise indicated an interest in the property as
evidenced by a memorandum or other record on file prepared by an
employee of the banking or financial organization; 
    (4)  owned other property to which item (1), (2), or (3)
applies and if the banking or financial organization communicates
in writing with the owner with regard to the property that would
otherwise be presumed abandoned under this subsection at the
address to which communications regarding the other property
regularly are sent; or
    (5)  had another relationship with the banking or financial
organization concerning which the owner has: 
      (a)  communicated in writing with the banking or financial
organization; or
      (b)  otherwise indicated an interest as evidenced by a
memorandum or other record on file prepared by an employee of the
banking or financial organization and if the banking or financial
organization communicates in writing with the owner with regard to
the property that would otherwise be abandoned under this
subsection at the address to which 
communications regarding the other relationship regularly are sent.
  (B)  For purposes of subsection (A) property includes interest
and dividends.
  (C)  A holder may not impose with respect to property described
in this section any charge in excess of one dollar a month due to
dormancy or inactivity or cease payment of interest unless there is
an enforceable written contract between the holder and the owner of
the property pursuant to which the holder may impose a charge or
cease payment of interest.
  (D)  Any property described in this section that is automatically
renewable is matured for purposes of this section upon the
expiration of its initial time period, but in the case of any
renewal to which the owner consents at or about the time of renewal
by communicating in writing with the banking or financial
organization or otherwise indicating consent as evidenced by a
memorandum or other record on file prepared by an employee of the
organization, the property is matured upon the expiration of the
last time period for which consent was given.  In the absence of
such consent or memo, one automatic renewal is allowed for a period
equal to the initial time period before the property is considered
matured.  If, at the time provided for delivery in Section
27-18-200, a penalty or forfeiture in the payment of interest would
result from the delivery of the property, the time for delivery is
extended until the time when no penalty or forfeiture would result.
  Section 27-18-80.  (A)  Funds held or owing under any life or
endowment insurance policy or annuity contract that has matured or
terminated are presumed abandoned if unclaimed for more than five
years after the funds became due and payable as established from
the records of the insurance company holding or owing the funds,
but property described in subsection (C)(2)  is 
presumed abandoned if unclaimed for more than two years.
  (B)  If a person other than the insured or annuitant is entitled
to the funds and an address of the person is not known to the
company or it is not definite and certain from the records of the
company who is entitled to the funds, it is presumed that the last
known address of the person entitled to the funds is the same as
the last known address of the insured or annuitant according to the
records of the company.
  (C)  For purposes of this chapter, a life or endowment insurance
policy or annuity contract not matured by actual proof of the death
of the insured or annuitant according to the records of the company
is matured and the proceeds due and payable if:
    (1)  the company knows that the insured or annuitant has died;
or
    (2)  (i)  the insured has attained, or would have attained if
he were living, the limiting age under the mortality table on which
the reserve is based;
      ( ii)  the policy was in force at the time the insured
attained, or would have attained, the limiting age specified in
subparagraph (i); and
      (iii)  neither the insured nor any other person appearing to
have an interest in the policy within the preceding two years,
according to the records of the company, has assigned, readjusted,
or paid premiums on the policy, subjected the policy to a loan,
corresponded in writing with the company concerning the policy, or
otherwise indicated an interest as evidenced by a memorandum or
other record on file prepared by an employee of the company.
  (D)  For purposes of this chapter, the application of an
automatic premium loan provision or other nonforfeiture provision
contained in an insurance policy does not 
prevent a policy from being matured or terminated under subsection
(A) if the insured has died or the insured or the beneficiary of
the policy otherwise has become entitled to the proceeds thereof
before the depletion of the cash surrender value of a policy by the
application of those provisions. 
  (E)  If the laws of this State or the terms of the life insurance
policy require the company to give notice to the insured or owner
that an automatic premium loan provision or other nonforfeiture
provision has been exercised and the notice given to an insured or
owner whose last known address according to the records of the
company is in this State, is undeliverable, the company shall make
a reasonable search to ascertain the policyholder's correct address
to which the notice must be mailed.
  (F)  Notwithstanding any other provisions of law, if the company
learns of the death of the insured or annuitant and the beneficiary
has not communicated with the insurer within four months after the
death, the company shall take reasonable steps to pay the proceeds
to the beneficiary.
  (G)  Commencing two years after the effective date of this
chapter, every change of beneficiary form issued by an insurance
company under any life or endowment insurance policy or annuity
contract to an insured or owner who is a resident of this State
must request the following information:
    (1)  the name of each beneficiary, or if a class of
beneficiaries is named, the name of each current beneficiary in the
class;
    (2)  the address of each beneficiary; and
    (3)  the relationship of each beneficiary to the insured.
  Section 27-18-90.  (A)  A deposit, including any interest
thereon, made by a subscriber with a utility to secure payment or
any sum paid in 
advance for utility services to be furnished, less any lawful
deductions, that remains unclaimed by the owner for more than one
year after termination of the services for which the deposit or
advance payment was made is presumed abandoned.
  (B)  Any sum which a utility has been ordered to refund and which
was received for utility services rendered in this State, together
with any interest thereon, less any lawful charges, that has
remained unclaimed by the person appearing on the records of the
utility entitled thereto for more than five years after the date it
became payable in accordance with the final determination or order
providing for the refund is presumed abandoned.
  Section 27-18-100.  Except to the extent otherwise ordered by the
court or administrative agency, any sum that a business association
has been ordered to refund by a court or administrative agency
which has remained unclaimed by the owner for more than one year
after it became payable in accordance with the final determination
or order providing for the refund, whether or not the final
determination or order requires any person entitled to a refund to
make a claim for it, is presumed abandoned.
  Section 27-18-110.  (A)  Except as provided in subsections (B)
and (E), stock or other intangible ownership interest in a business
association, the existence of which is evidenced by records
available to the association, is presumed abandoned and, with
respect to the interest, the association is the holder, if a
dividend, distribution, or other sum payable as a result of the
interest has remained unclaimed by the owner for seven years and
the owner within seven years has not:
    (1)  communicated in writing with the association regarding the
interest or a dividend, distribution, or other sum payable as a
result of the interest; or
    (2)  otherwise communicated with the association regarding the
interest or a dividend, distribution, or other sum payable as a
result of the interest, as evidenced by a memorandum or other
record on file with the association prepared by an employee of the
association.
  (B)  At the expiration of a seven-year period following the
failure of the owner to claim a dividend, distribution, or other
sum payable to the owner as a result of the interest, the interest
is not presumed abandoned unless there have been at least seven
dividends, distributions, or other sums paid during the period,
none of which has been claimed by the owner.  If seven dividends,
distributions, or other sums are paid during the seven-year period,
the period leading to a presumption of abandonment commences on the
date payment of the first such unclaimed dividend, distribution, or
other sums not paid during the presumptive period, the period
continues to run until there have been seven dividends,
distributions, or other sums that have not been claimed by the
owner.
  (C)  The running of the seven-year period of abandonment ceases
immediately upon the occurrence of a communication referred to in
subsection (A).  If any future dividend, distribution, or other sum
payable to the owner as a result of the interest is subsequently
not claimed by the owner, a new period of abandonment commences and
relates back to the time a subsequent dividend, distribution, or
other sum became due and payable.
  (D)  At the time an interest is presumed abandoned under this
section, any dividend, distribution, or other sum then held for or 
owing to the owner as a result of the interest, and not previously
presumed abandoned, is presumed abandoned.
  (E)  This chapter does not apply to any stock or other intangible
ownership interest enrolled in a plan that provides for the
automatic reinvestment of dividends, distributions, or other sums
payable as a result of the interest unless the records available to
the administrator of the plan show, with respect to any intangible
ownership interest not enrolled in the reinvestment plan, that the
owner has not within seven years communicated in any manner
described in subsection (A).
  Section 27-18-120.  Intangible property distributable in the
course of a dissolution of a business association which remains
unclaimed by the owner for more than one year after the date
specified for final distribution is presumed abandoned.
  Section 27-18-130.  (A)  Intangible property and any income or
increment derived therefrom held in a fiduciary capacity for the
benefit of another person is presumed abandoned unless the owner,
within five years after it has become payable or distributable, has
increased or decreased the principal, accepted payment of principal
or income, communicated concerning the property, or otherwise
indicated an interest as evidenced by a memorandum or other record
on file prepared by the fiduciary.
  (B)  Funds in an individual retirement account or a retirement
plan for self-employed individuals or similar account or plan
established pursuant to the Internal Revenue laws of the United
States are not payable or distributable within the meaning of
subsection (A) unless, under the terms of the account or plan,
distribution of all or part of the funds would then be mandatory.
  (C)  For the purpose of this section, a person who holds property
as an agent for a business association is considered to hold the
property in a fiduciary capacity for that business association
alone, unless the agreement between him and the business
association provides otherwise.
  (D)  For the purposes of this chapter, a person who is considered
to hold property in a fiduciary capacity for a business association
alone is the holder of the property only insofar as the interest of
the business association in the property is concerned, and the
business association is the holder of the property insofar as the
interest of any other person in the property is concerned. 
  Section 27-18-140.  Intangible property held for the owner by a
court, state, or other government, governmental subdivision or
agency, public corporation, or public authority which remains
unclaimed by the owner for more than one year after becoming
payable or distributable is presumed abandoned.
  Section 27-18-150.  (A)  A gift certificate or a credit memo
issued in the ordinary course of an issuer's business which remains
unclaimed by the owner for more than five years after becoming
payable or distributable is presumed abandoned.
  (B)  In the case of a gift certificate, the amount presumed
abandoned is the price paid by the purchaser for the gift
certificate.  In the case of a credit memo, the amount presumed
abandoned is the amount credited to the recipient of the memo.
  Section 27-18-160.  Unpaid wages, including wages represented by
unpresented payroll checks, owing in the ordinary course of the
holder's business which remain unclaimed by the owner for 
more than one year after becoming payable are presumed abandoned.
  Section 27-18-170.  All tangible and intangible property held in
a safe deposit box or any other safekeeping repository in this
State in the ordinary course of the holder's business and proceeds
resulting from the sale of the property permitted by other law,
which remain unclaimed by the owner for more than five years after
the lease or rental period on the box or other repository has
expired, are presumed abandoned.
  Section 27-18-180.  (A)  A person holding property tangible or
intangible, presumed abandoned and subject to custody as unclaimed
property under this chapter shall report to the administrator
concerning the property as provided in this section.
  (B)  The report must be verified and must include:
    (1)  except with respect to travelers checks and money orders,
the name, if known, and last known address, if any, of each person
appearing from the records of the holder to be the owner of
property of the value of twenty-five dollars or more presumed
abandoned under this chapter;
    (2)  in the case of unclaimed funds of twenty-five dollars or
more held or owing under any life or endowment insurance policy or
annuity contract, the full name and last known address of the
insured or annuitant and of the beneficiary according to the
records of the insurance company holding or owing the funds;
    (3)  in the case of the contents of a safe deposit box or other
safekeeping repository or of other tangible property, a description
of the property and the place where it is held and may be inspected
by the administrator and any amounts owing to the holder;
    (4)  the nature and identifying number, if any, or description
of the property and the amount appearing from the records to be
due, but items of value under twenty-five dollars each may be
reported in the aggregate;
    (5)  the date the property became payable, demandable, or
returnable, and the date of the last transaction with the apparent
owner with respect to the property; and
    (6)  other information the administrator prescribes by rule as
necessary for the administration of this chapter.
  (C)  If the person holding property presumed abandoned and
subject to custody as unclaimed property is a successor to other
persons who previously held the property for the apparent owner or
the holder has changed his name while holding the property, he
shall file with his report all known names and addresses of each
previous holder of the property.
  (D)  The report must be filed before November first of each year
as of June thirtieth, next preceding, but the report of any life
insurance company must be filed before May first of each year as of
December thirty-first next preceding.  On written request by any
person required to file a report, the administrator may postpone
the reporting date.  
  (E)  Not more than one hundred twenty days before filing the
report required by this section, the holder in possession of
property presumed abandoned and subject to custody as unclaimed
property under this chapter shall send written notice to the
apparent owner at his last known address informing him that the
holder is in possession of property subject to this chapter if:
    (1)  the holder has in its records an address for the apparent
owner which the holder's records do not disclose to be inaccurate;
    (2)  the claim of the apparent owner is not barred by the
statute of limitations; and
    (3)  the property has a value of fifty dollars or more. 
  Section 27-18-190.  (A)  The administrator shall cause a notice
to be published not later than March first, or in the case of
property reported by life insurance companies, September first, of
the year immediately following the report required by Section
27-18-180 at least once a week for two consecutive weeks in a
newspaper of general circulation in the county in which is located
the last known address of any person to be named in the notice.  If
no address is listed or the address is outside this State, the
notice must be published in the county in which the holder of the
property has its principal place of business within this State. 
  (B)  The published notice must be entitled 'Notice of Names of
Persons Appearing to be Owners of Abandoned Property' and contain:
    (1)  the names in alphabetical order and last known address, if
any, of persons listed in the report and entitled to notice within
the county as specified in subsection (A); 
    (2)  a statement that information concerning the property and
the name and last known address of the holder may be obtained by
any person possessing an interest in the property by addressing an
inquiry to the administrator; and 
    (3)  a statement that if proof of claim is not presented by the
owner to the holder and the owner's right to receive the property
is not established to the holder's satisfaction before April
twentieth, or, in the case of property reported by life insurance
companies, before October twentieth, the property will be placed
not later than May first, or in the case of property reported by
life insurance companies, not later than November first, in the
custody of the administrator and all further claims must thereafter
be directed to the administrator.
  (C)  The administrator is not required to publish in the notice
any items of less than fifty dollars unless the administrator
considers their publication to be in the public interest.
  (D)  Not later than March first, or in the case of property
reported by life insurance companies, not later than September
first, of the year immediately following the report required by
Section 27-18-180, the administrator shall mail a notice to each
person whose last known address is listed in the report and who
appears to be entitled to property of the value of fifty dollars or
more presumed abandoned under this chapter and any beneficiary of
a life or endowment insurance policy or annuity contract for whom
the administrator has a last known address.
  (E)  The mailed notice must contain:
    (1)  a statement that, according to a report filed with the
administrator, property is being held to which the addressee
appears entitled;
    (2)  the name and last known address of the person holding the
property and any necessary information regarding the changes of
name and last known address of the holder; and  
    (3)  a statement that, if satisfactory proof of claim is not
presented by the owner to the holder by the date specified in the
published notice, the property will be placed in the custody of the
administrator and all further claims must be directed to the
administrator.
  (F)  This section is not applicable to sums payable on travelers
checks, money orders, and other written instruments presumed
abandoned under Section 27-18-50.
  Section 27-18-200.  (A)  Except as otherwise provided in
subsections (B) and (C), a person who is required to file a report
under Section 27-18-180, within six months after the final date for
filing the report as required by Section 27-18-180, shall pay or
deliver to the 
administrator all abandoned property required to be reported.
  (B)  If the owner establishes the right to receive the abandoned
property to the satisfaction of the holder before the property has
been delivered or it appears that for some other reason the
presumption of abandonment is erroneous, the holder need not pay or
deliver the property to the administrator, and the property will no
longer be presumed abandoned.  In that case, the holder shall file
with the administrator a verified written explanation of the proof
of claim or of the error in the presumption of abandonment.
  (C)  Property reported under Section 27-18-180 for which the
holder is not required to report the name of the apparent owner
must be delivered to the administrator at the time of filing the
report.
  (D)  The holder of an interest under Section 27-18-110 shall
deliver a duplicate certificate or other evidence of ownership if
the holder does not issue certificates of ownership to the
administrator.  Upon delivery of a duplicate certificate to the
administrator, the holder and any transfer agent, registrar, or
other person acting for or on behalf of a holder in executing or
delivering the duplicate certificate is relieved of all liability
of every kind in accordance with the provision of Section 27-18-210
to every person, including any person acquiring the original
certificate or the duplicate of the certificate issued to the
administrator, for any losses or damages resulting to any person by
the issuance and delivery to the administrator of the duplicate
certificate.
  Section 27-18-210.  (A)  Upon the payment or delivery of property
to the administrator, the State assumes custody and responsibility
for the safekeeping of the property.  A person who pays 
or delivers property to the administrator in good faith is relieved
of all liability to the extent of the value of the property paid or
delivered for any claim then existing or which thereafter may arise
or be made in respect to the property.
  (B)  A holder who has paid money to the administrator pursuant to
this chapter may make payment to any person appearing to the holder
to be entitled to payment and, upon filing proof of payment and
proof that the payee was entitled thereto, the administrator shall
promptly reimburse the holder for the payment without imposing any
fee or other charge.   If reimbursement is sought for a payment
made on a negotiable instrument, including a travelers check or
money order, the holder must be reimbursed under this subsection
upon filing proof that the instrument was duly presented and that
payment was made to a person who appeared to the holder to be
entitled to payment.   The holder must be reimbursed for payment
made under this subsection even if the payment was made to a person
whose claim was barred under Section 27-18-300(A).
  (C)  A holder who has delivered property (including a certificate
of any interest in a business association) other than money to the
administrator pursuant to this chapter may reclaim the property if
still in the possession of the administrator, without paying any
fee or other charge, upon filing proof that the owner has claimed
the property from the holder.
  (D)  The administrator may accept the holder's affidavit as
sufficient proof of the facts that entitle the holder to recover
money and property under this section.
  (E)  If the holder pays or delivers property to the administrator
in good faith and thereafter another person claims the property
from the holder or another state claims the money or property under
its laws relating to escheat or 
abandoned or unclaimed property, the administrator, upon written
notice of the claim, shall defend the holder against the claim and
indemnify the holder against any liability on the claim.
  (F)  For the purposes of this section, 'good faith' means that:
    (1)  payment or delivery was made in a reasonable attempt to
comply with this chapter;
    (2)  the person delivering the property was not a fiduciary
then in breach of trust in respect to the property and had a
reasonable basis for believing, based on the facts then known to
him, that the property was abandoned for the purposes of this
chapter; and
    (3)  there is no showing that the records pursuant to which the
delivery was made did not meet reasonable commercial standards of
practice in the industry.
  (G)  Property removed from a safe deposit box or other
safekeeping repository is received by the administrator subject to
the holder's right under this subsection to be reimbursed for the
actual cost of the opening and to any valid lien or contract
providing for the holder to be reimbursed for unpaid rent or
storage charges.  The administrator shall reimburse or pay the
holder out of the proceeds remaining after deducting the
administrator's selling cost.
  Section 27-18-220.  Whenever property other than money is paid or
delivered to the administrator under this chapter, the owner is
entitled to receive from the administrator any dividends, interest,
or other increments realized or accruing on the property at or
before liquidation or conversion thereof into money.
  Section 27-18-230.  (A)  Except as provided in subsections (B)
and (C), the administrator, within three years after the receipt of 
abandoned property, shall sell it to the highest bidder at public
sale in whatever municipality in the State affords in the judgment
of the administrator the most favorable market for the property
involved.   The administrator may decline the highest bid and
reoffer the property for sale if in the judgment of the
administrator the bid is insufficient.   If in the judgment of the
administrator the probable cost of sale exceeds the value of the
property, it need not be offered for sale.  Any sale held under
this section must be preceded by a single publication of notice, at
least three weeks in advance of sale, in a newspaper of general
circulation in the county in which the property is to be sold.
  (B)  Securities listed on an established stock exchange must be
sold at prices prevailing at the time of sale on the exchange. 
Other securities may be sold over the counter at prices prevailing
at the time of sale or by any other method the administrator
considers advisable.
  (C)  Unless the administrator considers it to be in the best
interest of the State to do otherwise, all securities other than
those presumed abandoned under Section 27-18-110, delivered to the
administrator must be held for at least one year before he may sell
them.
  (D)  Unless the administrator considers it to be in the best
interest of the State to do otherwise, all securities presumed
abandoned under Section 27-18-110 and delivered to the
administrator must be held for at least three years before he may
sell them.  If the administrator sells any securities delivered
pursuant to Section 27-18-110 before the expiration of the
three-year period, any person making a claim pursuant to this
chapter before the end of the three-year period is entitled to
either the proceeds of the sale of the securities or the market
value of the securities at the time the claim is made, whichever
amount 
is greater, less any deduction for fees pursuant  to Section
27-18-240(B).  A person making a claim under this chapter after the
expiration of this period is entitled to receive either the
securities delivered to the administrator by the holder, if they
still remain in the hands of the administrator, or the proceeds
received from sale, less any amounts deducted pursuant to Section
27-18-240(B), but no person has any claim under this chapter
against the State, the holder, any transfer agent, registrar, or
other person acting for or on behalf of a holder for any
appreciation in the value of the property occurring after delivery
by the holder to the administrator.
  (E)  The purchaser of property at any sale conducted by the
administrator pursuant to this chapter takes the property free of
all claims of the owner or previous holder thereof and of all
persons claiming through or under them. The administrator shall
execute all documents necessary to complete the transfer of
ownership.
  Section 27-18-240.  (A)  Except as otherwise provided by this
section, the administrator shall promptly deposit in the general
fund of this State all funds received under this chapter, including
the proceeds from the sale of abandoned property under Section
27-18-230.  The administrator shall retain in a separate trust fund
an amount not less than one hundred thousand dollars from which
prompt payment of claims duly allowed must be made by him.  Before
making the deposit, the administrator shall record the name and
last known address of each person appearing from the holders'
reports to be entitled to the property and the name and last known
address of each insured person or annuitant and beneficiary and
with respect to each policy or contract listed in the report of an
insurance company its number, the name of the company, and the
amount due.   The record must 
be available for public inspection at all reasonable business
hours.
  (B)  Before making any deposit to the credit of the general fund,
the administrator may deduct:
    (1)  any costs in connection with the sale of abandoned
property;
    (2)  costs of mailing and publication in connection with any
abandoned property;
    (3)  reasonable service charges; and
    (4)  costs incurred in examining records of holders of property
and in collecting the property from those holders. 
  Section 27-18-250.  (A)  A person, excluding another state,
claiming an interest in any property paid or delivered to the
administrator may file with him a claim on a form prescribed by him
and verified by the claimant.
  (B)  The administrator shall consider each claim within ninety
days after it is filed and give written notice to the claimant if
the claim is denied in whole or in part.   The notice may be given
by mailing it to the last address, if any, stated in the claim as
the address to which notices are to be sent.   If no address for
notices is stated in the claim, the notice may be mailed to the
last address, if any, of the claimant as stated in the claim.  No
notice of denial need be given if the claim fails to state either
the last address to which notices are to be sent or the address of
the claimant.
  (C)  If a claim is allowed, the administrator shall pay over or
deliver to the claimant the property or the amount the
administrator actually received or the net proceeds if it has been
sold by the administrator together with any additional amount
required by Section 27-18-220.  If the claim is for property
presumed abandoned under Section 27-18-110 which was sold by the
administrator within three years after the date of delivery, the
amount payable for that claim is the value of the property at 
the time the claim was made or the net proceeds of sale, whichever
is greater.   If the property claimed was interest-bearing to the
owner on the date of surrender by the holder, the administrator
also shall pay interest at a rate provided in Section 12-54-20 or
any lesser rate the property earned while in the possession of the
holder.  Interest begins to accrue when the property is delivered
to the administrator and ceases on the earlier of the expiration of
ten years after delivery or the date on which payment is made to
the owner.   No interest on interest-bearing property is payable
for any period before the effective date of this chapter.
  (D)  Any holder who pays the owner for property that has been
delivered to the State and which, if claimed from the
administrator, would be subject to subsection (C) shall add
interest as provided in subsection (C).  The added interest must be
repaid to the holder by the administrator in the same manner as the
principal.
  Section 27-18-260.  (A)  At any time after property has been paid
or delivered to the administrator under this chapter another state
may recover the property if:
    (1)  the property was subjected to custody by this State
because the records of the holder did not reflect the last known
address of the apparent owner when the property was presumed
abandoned under this chapter and the other state establishes that
the last known address of the apparent owner or other person
entitled to the property was in that state and under the laws of
that state the property escheated to or was subject to a claim of
abandonment by that state;
    (2)  the last known address of the apparent owner or other
person entitled to the property, as reflected by the records of the
holder, is in the other state and under the laws of that state 
the property has escheated to or become subject to a claim of
abandonment by that state;
    (3)  the records of the holder were erroneous in that they did
not accurately reflect the actual owner of the property and the
last known address of the actual owner is in the other state and
under the laws of that state the property escheated to or was
subject to a claim of abandonment by that state;
    (4)  the property was subjected to custody by this State under
Section 27-18-40(6) and under the laws of the state of domicile of
the holder the property has escheated to or become subject to a
claim of abandonment by that state; or
    (5)  the property is the sum payable on a travelers check,
money order, or other similar instrument that was subjected to
custody by this State under Section 27-18-50, and the instrument
was purchased in the other state, and under the laws of that state
the property escheated to or became subject to a claim of
abandonment by that state.
  (B)  The claim of another state to recover escheated or abandoned
property must be presented in a form prescribed by the
administrator, who shall decide the claim within ninety days after
it is presented.  The administrator shall allow the claim if he
determines that the other state is entitled to the abandoned
property under subsection (A).
  (C)  The administrator shall require a state, before recovering
property under this section, to agree to indemnify this State and
its officers and employees against any liability on a claim for the
property.
  Section 27-18-270.  A person aggrieved by a decision of the
administrator or whose claim has not been acted upon within ninety
days after its filing may bring an action to establish the claim in
the court of common pleas of Richland County naming the
administrator as a defendant.  
The action must be brought within ninety days after the decision of
the administrator or within one hundred eighty days after the
filing of the claim if he has failed to act on it.
  Section 27-18-280.  (A)  The administrator may decline to receive
any property reported under this chapter which he considers to have
a value less than the expense of giving notice and of sale.  If the
administrator elects not to receive custody of the property, the
holder must be notified within one hundred twenty days after filing
the report required under Section 27-18-180.
  (B)  A holder, with the written consent of the administrator and
upon conditions and terms prescribed by him, may report and deliver
property before the property is presumed abandoned.  Property
delivered under this subsection must be held by the administrator
and is not presumed abandoned until such time as it otherwise would
be presumed abandoned under this chapter.
  Section 27-18-290.  If the administrator determines after
investigation that any property delivered under this chapter has
insubstantial commercial value, the administrator may destroy or
otherwise dispose of the property at any time. No action or
proceeding may be maintained against the State or any officer or
against the holder for or on account of any action taken by the
administrator pursuant to this section.
  Section 27-18-300.  (A)  The expiration, after the effective date
of this chapter, of any period of time specified by contract,
statute, or court order, during which a claim for money or property
can be made or during which an action or proceeding may be
commenced or enforced to obtain payment of a claim for money or to
recover property, does not prevent the 
money or property from being presumed abandoned or affect any duty
to file a report or to pay or deliver abandoned property to the
administrator as required by this chapter.
  (B)  No action or proceeding may be commenced by the
administrator with respect to any duty of a holder under this
chapter more than ten years after the duty arose.
  Section 27-18-310.  (A)  The administrator may require any person
who has not filed a report to file a verified report stating
whether or not the person is holding any unclaimed property
reportable or deliverable under this chapter.
  (B)  The administrator, at reasonable times and upon reasonable
notice, may examine the records of any person to determine whether
the person has complied with the provisions of this chapter.  The
administrator may conduct the examination even if the person
believes it is not in possession of any property reportable or
deliverable under this chapter.
  (C)  If a person is treated under Section 27-18-130 as the holder
of the property only insofar as the interest of the business
association in the property is concerned, the administrator,
pursuant to subsection (B), may examine the records of the person
if the administrator has given the notice required by subsection
(B) to both the person and the business association at least ninety
days before the examination.
  (D)  If an examination of the records of a person results in the
disclosure of property reportable and deliverable under this
chapter the administrator shall give notice to the holder stating
the amount due plus applicable interest and penalties and his
demand for payment.   Payment or written formal protest must be
made within sixty days from the receipt of the notice or the holder
is subject to penalties as provided under Section 27-18-350(B) 
or criminal prosecution as provided in Section 27-18-350(D).
  (E)  If a holder fails after the effective date of this chapter
to maintain the records required  by  Section 27-18-320 and the
records of the holder available for the periods subject to this
chapter are insufficient to permit the preparation of a report, the
administrator may require the holder to report and pay such amounts
as may reasonably be estimated from any available records.
  Section 27-18-320.  (A)  Every holder required to file a report
under Section 27-18-180 as to any property for which it has
obtained the last known address of the owner, shall maintain a
record of the name and last known address of the owner for ten
years after the property becomes reportable, except to the extent
that a shorter time is provided in subsection (B) or by rule of the
administrator.
  (B)  Any business association that sells in this State its
travelers checks, money orders, or other similar written
instruments, other than third-party bank checks on which the
business association is directly liable, or that provides such
instruments to others for sale in this State, shall maintain a
record of those instruments while they remain outstanding,
indicating the state and date of issue for three years after the
date the property is reportable.
  Section 27-18-330.  The administrator may bring an action in a
court of competent jurisdiction to enforce this chapter.
  Section 27-18-340.  (A)  The administrator may enter into
agreements with other states to exchange information needed to
enable this or another state to audit or otherwise determine
unclaimed property that it or another state may be entitled to
subject to a claim of custody.  
The administrator by rule may require the reporting of information
needed to enable compliance with agreements made pursuant to this
section and prescribe the form.
  (B)  To avoid conflicts between the administrator's procedures
and the procedures of administrators in other jurisdictions that
enact the Uniform Unclaimed Property Act, the administrator, so far
as is consistent with the purposes, policies, and provisions of
this chapter, before adopting, amending, or repealing rules, shall
advise and consult with administrators in other jurisdictions that
enact substantially the Uniform Unclaimed Property Act and take
into consideration  the  rules  of  administrators  in  other
jurisdictions that enact the Uniform Unclaimed Property Act.
  (C)  The administrator may join with other states to seek
enforcement of this chapter against any person who is or may be
holding property reportable under this chapter.
  (D)  At the request of another state, the Attorney General of
this State may bring an action in the name of the administrator of
the other state in any court of competent jurisdiction to enforce
the unclaimed property laws of the other state against a holder in
this State of property subject to escheat or a claim of abandonment
by the other state, if the other state has agreed to pay expenses
incurred by the Attorney General in bringing the action.
  (E)  The administrator may request that the Attorney General of
another state or any other person bring an action in the name of
the administrator in the other state.   This State shall pay all
expenses including attorney's fees in any action under this
subsection.   The administrator may agree to pay the person
bringing the action attorney's fees based in whole or in part on a
percentage of the value of any property recovered in the action.  
Any expenses paid pursuant to this subsection may 
not be deducted from the amount that is subject to the claim by the
owner under this chapter.
  Section 27-18-350.  (A)  A person who fails to pay or deliver
property within the time prescribed by this chapter may be required
to pay to the administrator interest at the rate provided in
Section 12-54-20 on the property or value thereof from the date the
property should have been paid or delivered.
  (B)  A person who fails to render any report or perform other
duties required under this chapter shall pay a civil penalty of one
hundred dollars for each day the report is withheld or the duty is
not performed, but not more than five thousand dollars.
  (C)  A person who fails to pay or deliver property to the
administrator as required under this chapter shall pay a civil
penalty equal to twenty-five percent of the value of the property
that should have been paid or delivered.
  (D)  A person who wilfully refuses after written demand by the
administrator to pay or deliver property to the administrator as
required under this chapter is guilty of a misdemeanor and, upon
conviction, must be punished by a fine of not more than ten
thousand dollars or imprisonment for not more than one year, or
both.
  Section 27-18-360.  All agreements to pay compensation to recover
or assist in the recovery of property reported under Section
27-18-180, made within twenty-four months after the date payment or
delivery is made under Section 27-18-200 are unenforceable.  It is
unlawful for any person to seek or receive from any person or
contract with any person for any fee or compensation for locating
or purporting to locate any property which he knows has been
reported or paid or delivered to the administrator pursuant to this
chapter, in 
excess of fifteen percent of the value thereof returned to the
owner.  Any person violating this section is guilty of a
misdemeanor and, upon conviction, must be fined not less than the
amount of the fee or charge he has sought or received or contracted
for, nor more than ten times the amount, or imprisoned for not more
than thirty days, or both.
  Section 27-18-370.  This chapter does not apply to any property
held, due, and owing in a foreign country and arising out of a
foreign transaction.
  Section 27-18-380.  (A)  This chapter does not relieve a holder
of a duty that arose before the effective date of this chapter to
report, pay, or deliver property.  A holder who did not comply with
the law in effect before the effective date of this chapter is
subject to the applicable enforcement and penalty provisions that
then existed and they are continued in effect for the purpose of
this subsection, subject to Section 27-18-300(B).
  (B)  The initial report filed under this chapter for property
that was not required to be reported before the effective date of
this chapter but which is subject to this chapter must include all
items of property that would have been presumed abandoned during
the ten-year period preceding the effective date of this chapter as
if this chapter had been in effect during that period.
  Section 27-18-390.  The administrator may adopt necessary rules
to carry out the provisions of this chapter.
  Section 27-18-400.  This chapter must be applied and construed as
to effectuate its general purpose to make uniform the law with 
respect to the subject of this chapter among states enacting
it."
B.  Chapter 17 of Title 27 of the 1976 Code is repealed.  
C.  This section takes effect July 1, 1988, and applies with
respect to reports due pursuant to Section 27-18-180(D) of the 1976
Code added by this section no later than November 1, 1988, for the
period ending June 30, 1988.
SECTION 35
TO AMEND SECTION 12-35-555 OF THE 1976 CODE, RELATING TO SALES
TAXES ON THE SALE OF MOTOR VEHICLES TO NONRESIDENTS, SO AS TO
PROVIDE THAT THIS PROVISION ALSO APPLIES TO THE SALE OF TRAILERS,
SEMI-TRAILERS, AND POLE TRAILERS AND TO PROVIDE THAT NO SALES TAXES
ON THESE SALES MAY BE IMPOSED UNDER CERTAIN CONDITIONS.
A.  Section 12-35-555 of the 1976 Code, as added by Section 25N(1),
Part II, Act 170 of 1987, is amended to read:
  "Section 12-35-555.  The sale in this State of new or used
motor vehicles as defined in Section 56-1-10, or new or used
trailers, semi-trailers, or pole trailers of a type to be
registered and licensed, to a resident of another state is taxable
for purposes of this article in an amount equal to the sales tax
which would be imposed on the sale in the purchaser's state of
residence.   The tax on the sale may not exceed the tax that would
otherwise be imposed under this article.   At the time of the sale
the purchaser shall execute a notarized statement of his intent to
license the vehicle or trailer in his state of residence within ten
days from the date of purchase and:
  (a)  pay the sales tax due as modified by this section to the
dealer making the sale;
  (b)  furnish the seller with a signed copy of the notarized
statement which the seller retains in his records;
  (c)  submit the notarized statement to the appropriate sales tax
collection agency in his state of residence. Where a nonresident
will not receive credit in his state of residence for any sales
taxes paid to the State of South Carolina under this section and
where his state of residence does not grant reciprocity to South
Carolina residents pursuant to Section 12-35-815, no sales tax on
the sale may be charged.   The commission by regulation shall
establish what documentation of the above is necessary in order to
receive the exemption granted by this paragraph."
B.  The provisions of Section 12-35-555 of the 1976 Code, as
amended by this section, are effective with respect to sales
occurring after December 31, 1987.
SECTION 36
TO AMEND SECTIONS 12-35-880, 12-35-890, 12-35-900, AND 12-35-910 OF
THE 1976 CODE, RELATING TO THE USE TAX, SO AS TO REQUIRE USE TAXES
TO BE PAID AND USE TAX RETURNS TO BE FILED ON A MONTHLY RATHER THAN
QUARTERLY BASIS AND TO PROVIDE THAT A MONTHLY RETURN IS CONSIDERED
TIMELY FILED IF THE RETURN IS POSTMARKED ON OR BEFORE THE FILING
DEADLINE; AND TO AMEND THE 1976 CODE BY ADDING SECTION 12-35-915 SO
AS TO PROVIDE THAT A TAXPAYER IS LIABLE FOR USE TAX THAT DOES NOT
EXCEED ONE HUNDRED DOLLARS A MONTH AND THE TAX COMMISSION MAY
AUTHORIZE THE TAXPAYER TO FILE QUARTERLY USE TAX RETURNS AND MAKE
QUARTERLY USE TAX PAYMENTS.
A.  Section 12-35-880 of the 1976 Code is amended to read:
  "Section 12-35-880.  The tax imposed by this article is due
and payable to the commission monthly on or before the twentieth
day of the month next succeeding the month in which the tax
accrued."
B.  Section 12-35-890 of the 1976 Code is amended to read:
  "Section 12-35-890.  Every seller engaged in making retail
sales of tangible personal property for storage, use, or other
consumption in this State who:
  (1)  maintains a place of business;
  (2)  qualifies to do business;
  (3)  solicits and receives purchases or orders by an agent or
salesman; or
  (4)  distributes catalogs or other advertising matter and by
reason thereof receives and accepts orders from residents within
the State; 
  Shall, on or before the twentieth day of the month next
succeeding the month in which the tax accrued, file with the
commission a return for the preceding monthly period in the form
prescribed by the commission showing the total sales price of the
tangible personal property sold by the seller, the storage, use, or
consumption of which became subject to the tax imposed by this
article during the preceding monthly period, and such other
information as the commission considers necessary for the proper
administration of this article. Returns must be signed by the
seller or his duly authorized agent.  A return is considered timely
filed if the return is mailed and has a postmark dated on or before
the date the return is required by law to be filed."
C.  Section 12-35-900 of the 1976 Code is amended to read:
  "Section 12-35-900.  Every person purchasing tangible
personal property, the storage, use, or consumption of which is
subject to the tax imposed by this article, who has not paid the
tax due with respect thereto to a seller required or authorized
under this article to collect the tax, must, on or before the
twentieth day of the month next succeeding the month in which the
tax accrued, file with the commission a return for the preceding
monthly period in the form prescribed by the commission showing the
total sales price of the tangible personal property purchased by
the person, the storage, use, or other consumption of which became
subject to the tax imposed by this article during the preceding
monthly period and with respect to which the tax was not paid to a
seller required or authorized under this article to collect the
tax, and other information the commission considers necessary for
the proper administration of this article.  Returns must be signed
by the person liable for the tax or his duly authorized agent.  A
return is considered timely filed if the return is mailed and has
a postmark dated on or before the date the return is required by
law to be filed."
D.  Section 12-35-910 of the 1976 Code is amended to read:
  "Section 12-35-910.  The commission, if it considers it
necessary in order to insure payment to the State of the amount of
tax required in this article to be collected by sellers or paid by
purchasers, as the case may be, may require returns and payment of
the tax for other than monthly periods."
E.  Article 7, Chapter 35 of Title 12 of the 1976 Code is amended
by adding:
  "Section 12-35-915.  When the total tax for which any person
may be liable under this article does not exceed one hundred
dollars for any month, a quarterly return and remittance in lieu of
the monthly returns may be made on or before the twentieth day of
the month next succeeding the end of the quarter for which the tax
is due, when specifically authorized by the commission and under
those regulations as may be prescribed or promulgated."
F.  The provisions of this section are effective with respect to
tangible personal property purchased at retail for storage, use, or
other consumption in this state after December 31, 1988.
SECTION 37
TO AMEND THE 1976 CODE BY ADDING SECTION 11-9-125 SO AS TO PROVIDE
FOR THE ORDER OF EXPENDITURE OF FUNDS BY STATE AGENCIES AND TO
PROVIDE FOR THE ENFORCEMENT OF THE REQUIREMENT AND THE REPORTING OF
AVAILABLE FUNDS.
Article 1, Chapter 9 of Title 11 of the 1976 Code is amended by
adding:
  "Section 11-9-125.  Federal and other funds must be expended
before funds appropriated from the general fund of the State, to
the extent possible, and any excess balances in accounts resulting
from matching fund programs must be remitted to the general fund of
the State.  Federal or other funds generated by the expenditure of
state funds, including refunds from prior year general fund
expenditures, must be remitted to the general fund of the State if
there is no federal or state requirement 
governing the specific use of the funds.   In order to permit
identification of these funds, state agencies shall:
  (1)  draw down and expend federal and other funds before spending
state general fund appropriations whenever possible;
  (2)  maintain separate accounting records for each grant for
cash, revenues, and expenditures to insure a proper audit trail;
  (3)  reconcile federal and other fund accounts at the end of each
state fiscal year and maintain those records for audit purposes;
  (4)  submit federal financial reports to the grantor agency as
required.
State agencies shall remit to the general fund of the State any
funds found to exist in agency accounts.   If an agency believes
funds have been inappropriately identified as the funds defined in
this section, the agency may appeal through  the process provided
in Sections 2-65-30 and 2-65-40.  A report of the amount of funds
credited to the general fund of the State pursuant to this section
must be made by the Comptroller General at the time of each
official state revenue forecast.  This report must be provided to
the Budget and Control Board, the Senate Finance Committee, and the
House Ways and Means Committee.   Research and student aid grants,
including indirect cost recoveries, are exempt from this provision. 
The State Auditor shall insure compliance with this provision as a
part of his annual audit procedures.   Any case of noncompliance
must be reported to the Governor, Budget and Control Board, and the
Joint Appropriations Review Committee."
SECTION 38
TO AMEND SECTIONS 56-1-1330 AND 56-5-2990, AS AMENDED, OF THE 1976
CODE, RELATING TO REQUIREMENTS FOR THE PROVISIONAL DRIVER'S LICENSE
AND THE SUSPENSION AND REINSTATEMENT OF
THE DRIVER'S LICENSE FOLLOWING CONVICTION OF THE OFFENSE OF DRIVING
UNDER THE INFLUENCE, SO AS TO INCREASE THE FEES FOR THE ALCOHOL AND
DRUG SAFETY ACTION PROGRAM AND PROVIDE FOR CERTAIN ADDITIONAL FEES.
A.  Section 56-1-1330 of the 1976 Code is amended to read:
  "Section 56-1-1330.  The provisional driver's license
provision must include a mandatory requirement that the applicant
enter an Alcohol and Drug Safety Action Program certified by the
South Carolina Commission on Alcohol and Drug Abuse and be assessed
to determine the extent and nature of an alcohol and drug abuse
problem, if any, and successfully  complete  treatment  or 
education  services recommended by the program.   The applicant
shall bear the cost of the services which must be determined by the
administering agency and approved by the South Carolina Commission
on Alcohol and Drug Abuse.  The cost may not exceed seventy-five
dollars for assessment, one hundred twenty-five dollars for
education services, two hundred twenty-five dollars for treatment
services, and three hundred dollars in total for any and all
services.  The commission shall recommend subsequent cost changes
on an annual basis subject to the approval of the General Assembly. 
 If the applicant fails to complete successfully the services as
directed by the Department of Highways and Public Transportation,
the South Carolina Commission on Alcohol and Drug Abuse shall
notify the department, and the provisional driver's license must be
revoked, and the suspension imposed for the full periods specified
in Section 56-5-2990, the suspension to begin on date of
notification to the individual."
B.  The second paragraph of Section 56-5-2990 of the 1976 Code is
amended to read:
  "Any person whose license is suspended under the provisions
of this section must be notified of suspension by the Department of
Highways and Public Transportation of the requirement to be
evaluated by and successfully complete an Alcohol and Drug Safety
Action Program certified by the South Carolina Commission on
Alcohol and Drug Abuse prior to reinstatement of the license.  An
assessment of the degree and kind of alcohol and drug abuse
problem, if any, of the applicant must be prepared and a plan of
education or treatment or both must be developed based upon the
assessment. Entry into and successful completion of the services,
if such services are necessary, recommended in the plan of
education or treatment or both developed for the applicant is a
mandatory requirement of the restoration of driving privileges to
the applicant.  The applicant shall bear the cost of the services
to be determined by the administering agency and approved by the
Commission on Alcohol and Drug Abuse. The cost may not exceed
seventy-five dollars for assessment, one hundred twenty-five
dollars for education services, two hundred twenty-five dollars for
treatment services, and three hundred dollars in total for any and
all services.  No applicant may be denied services due to an
inability to pay. The applicant shall be terminated from the
Alcohol and Drug Safety Action Program no later than six months
after the date of program enrollment.  If the applicant has not
successfully completed the services as directed by the Alcohol and
Drug Safety Action Program by the end of the six-month period of
enrollment, a hearing must be provided by the administering agency
and if further needed by the commission. If the applicant is
unsuccessful in the Alcohol and 
Drug Safety Action Program the department may restore the privilege
to operate a motor vehicle upon the recommendation of the Medical
Advisory Board as utilized by the department if it determines
public safety and welfare of the petitioner may not be
endangered."
SECTION 39
TO AMEND SECTION 9-11-140 OF THE 1976 CODE, RELATING TO THE
ACCIDENTAL DEATH BENEFIT PROGRAM UNDER THE SOUTH CAROLINA POLICE
OFFICERS' RETIREMENT SYSTEM, SO AS TO INCREASE BY TEN PERCENT
EFFECTIVE JULY 1, 1988, THE MONTHLY ALLOWANCE OF BENEFICIARIES
UNDER THE PROGRAM WHO WERE RECEIVING BENEFITS UNDER THE PROGRAM ON
JULY 1, 1987.
Section 9-11-140 of the 1976 Code is amended by adding at the end:
  "The monthly allowance any beneficiary is receiving under
this program on July 1, 1988, must be increased by ten percent
effective on July 1, 1988, if the beneficiary was receiving a
benefit on July 1, 1987."
SECTION 40
TO AMEND SECTIONS 9-1-1790 AND 9-11-90, BOTH AS AMENDED, OF THE
1976 CODE, RELATING TO THE SOUTH CAROLINA RETIREMENT SYSTEM AND THE
SOUTH CAROLINA POLICE OFFICERS RETIREMENT SYSTEM, SO AS TO INCREASE
THE AMOUNT A RETIRED MEMBER WHO RETURNS TO COVERED EMPLOYMENT MAY
EARN WITHOUT AFFECTING HIS BENEFITS FROM EIGHT THOUSAND FIVE
HUNDRED DOLLARS TO NINE THOUSAND DOLLARS.
A.  Section 9-1-1790 of the 1976 Code, as last amended by Section
38, Part II of Act 170 of 1987, is further amended to read:
  "Section 9-1-1790.  Any retired member of the System may
return to employment covered by the System and earn up to nine
thousand dollars a fiscal year without affecting the monthly
retirement allowance he is receiving from the System.  If the
retired member continues in service after having earned nine
thousand dollars in a fiscal year, his retirement allowance must be
discontinued during his period of service in the remainder of the
fiscal year.  If the employment continues for at least forty-eight
consecutive months the provisions of Section 9-1-1590 apply.  The
provisions of this section do not apply to any employee or member
of the System who has mandatorily retired because of age pursuant
to Section 9-1-1530."
B.  Section 9-11-90(4) of the 1976 Code, as last amended by Section
38, Part II of Act 170 of 1987, is further amended to read:
  "(4) Notwithstanding the provisions of subsections (1) and
(2) of this section, any retired member of the System may return to
employment covered by the System and earn up to nine thousand
dollars a fiscal year without affecting the monthly retirement
allowance he is receiving from the System.  If the retired member
continues in service after having earned nine thousand dollars in
a fiscal year, his retirement allowance must be discontinued during
his period of service in the remainder of the fiscal year.  If the
employment continues for at least forty-eight consecutive months
the provisions of Section 9-1-1590 apply.  The provisions of this
section do not apply to any employee or member of the System who
has mandatorily retired because of age pursuant to Section
9-1-1530."
SECTION 41
TO AMEND THE 1976 CODE BY ADDING SECTION 11-25-690 SO AS TO PROVIDE
THAT ALL STATE AND LOCAL AGENCIES SENDING OUT BY MAIL A NONDAILY
PUBLICATION SHALL INSERT AT LEAST ANNUALLY A NOTICE PROMINENTLY
PLACED, IN AT LEAST TWO CONSECUTIVE ISSUES, WHICH STATES THAT ALL
RECIPIENTS SHALL BE REMOVED FROM THE PUBLICATION'S MAILING LIST
UNLESS THEY REQUEST IN WRITING, AT LEAST TEN DAYS PRIOR TO A CUTOFF
DATE SPECIFIED IN THE NOTICE, THAT THE RECIPIENT WISHES TO CONTINUE
RECEIVING THE PUBLICATION, AND TO PROVIDE THAT IF NO WRITTEN
REQUEST FROM A RECIPIENT IS RECEIVED BY THE CUTOFF DATE, THE
PUBLICATION MUST NO LONGER BE MAILED TO THE RECIPIENT.
The 1976 Code is amended by adding:
  "Section 11-25-690.  All state and local agencies sending
out by mail a nondaily publication shall insert at least annually
a notice prominently placed, in at least two consecutive issues,
which states that all recipients shall be removed from the
publication's mailing list unless they request in writing, at least
ten days before a cutoff date specified in the notice, that the
recipient wishes to continue receiving the publication.  If no
written request from a recipient is received by the cutoff date,
the publication must no longer be mailed to the recipient."
*[SECTION 42
TO AMEND SECTION 12-43-290, AS AMENDED, OF THE 1976 CODE, RELATING
TO AUTHORITY OF POLITICAL SUBDIVISIONS TO INCREASE MILLAGE FOR
CERTAIN PURPOSES FOLLOWING YEARS OF REASSESSMENT, SO AS TO PROVIDE
THAT MILLAGE MAY BE INCREASED FOR THE INCREASED COST OF PROVIDING
EXISTING SERVICES, TO PROVIDE THAT THE MILLAGE INCREASE FOR THE]
  *[Vetoed and Sustained.]
[INCREASED COST OF EXISTING SERVICES MUST BE SEPARATELY ITEMIZED ON
THE TAX NOTICE, AND TO PROVIDE THAT THIS SECTION DOES NOT AFFECT
LIMITATIONS PROVIDED BY LAW ON THE TAXING POWER OF SCHOOL
DISTRICTS.
Section 12-43-290 of the 1976 Code, as amended by Act 381 of 1988,
is further amended to read:
  "Section 12-43-290.  The limitations set forth in Sections
12-43-270 and 12-43-280 do not prohibit any county, school
district, municipality, or any other political subdivision from
increasing the millage on all taxable property for the purpose of
obtaining additional monies for increased or new services or for
the increased cost of existing services provided for the taxpayers
of the county, school district, municipality, or any other
political subdivision.
If there is an increase of this nature, the tax notice must include
a separate itemization of each increased or new service or for the
increased cost of existing services and the resulting millage
change and must clearly distinguish between a millage change made
pursuant to Section 12-43-270 or 12-43-280 and a millage change
made pursuant to this section.
  This section does not affect any limitation provided by law on
the taxing power of any school district."]
SECTION 43
TO AMEND SECTION 59-130-10 OF THE 1976 CODE, RELATING TO THE
COLLEGE OF CHARLESTON BOARD OF TRUSTEES; TO AMEND SECTION
59-133-10, RELATING TO THE FRANCIS MARION COLLEGE BOARD OF
TRUSTEES, AND
TO AMEND SECTION 59-135-10, RELATING TO THE LANDER
COLLEGE BOARD OF TRUSTEES, SO AS TO PROVIDE THAT A DESIGNEE OF THE
GOVERNOR MAY SERVE IN HIS PLACE ON THESE BOARDS OF TRUSTEES.
  *[Vetoed and Sustained.]
A.  The first paragraph of Section 59-130-10 of the 1976 Code, as
added by an act of 1988 bearing ratification number 575, is amended
to read:
  "The board of trustees for the College of Charleston is
composed of the Governor of the State or his designee, the chairman
of the Senate Committee on Education (or his designee from that
committee), and the chairman of the House Committee on Education
and Public Works (or his designee from that committee), which three
are members ex officio of the board, and sixteen members, with
fifteen of these members to be elected by the General Assembly and
one member to be appointed from the State at large by the Governor. 
 The General Assembly shall elect and the Governor shall appoint
these members based on merit regardless of race, color, creed, or
gender and shall strive to assure that the membership of the board
is representative of all citizens of this State."
B.  The first paragraph of Section 59-133-10 of the 1976 Code, as
added by an act of 1988 bearing ratification number 575, is amended
to read:
  "The board of trustees for Francis Marion College is
composed of the Governor of the State or his designee, the chairman
of the Senate Committee on Education (or his designee from that
committee), and the chairman of the House Committee on Education
and Public Works (or his designee from that committee), which three
are members ex officio of the board, and sixteen members, with
fifteen of these members to be elected by the General Assembly and
one member to be appointed from the State at large by the Governor. 
The General Assembly shall elect and the Governor shall appoint
these members based on merit regardless of race, color, creed, or 
gender and shall strive to assure that the membership of the board
is representative of all citizens of this State."
C.  The first paragraph of Section 59-135-10 of the 1976 Code, as
added by an act of 1988 bearing ratification number 575, is amended
to read:
  "The board of trustees for Lander College is composed of the
Governor of the State or his designee, the chairman of the Senate
Committee on Education (or his designee from that committee), and
the chairman of the House Committee on Education and Public Works
(or his designee from that committee), which three are members ex
officio of the board, and sixteen members, with fifteen of these
members to be elected by the General Assembly and one member to be
appointed from the State at large by the Governor. The General
Assembly shall elect and the Governor shall appoint these members
based on
merit regardless of race, color, creed, or gender
and shall strive to assure that the membership of
the board is representative of all citizens of this State."
SECTION 44
TO AMEND SECTION 48-23-135, AS AMENDED, OF THE 1976 CODE, RELATING
TO THE AUTHORIZATION TO THE FORESTRY COMMISSION TO BORROW MONEY FOR
CERTAIN PURPOSES, SO AS TO REVISE THE PURPOSES FOR WHICH THIS
BORROWING IS AUTHORIZED.
Section 48-23-135 of the 1976 Code, as amended by Section 46, Part
II, Act 170 of 1988, is further amended to read:
  "Section 48-23-135.  In order to finance the cost of
acquiring land for use as a second generation tree seed orchard,
additional seedling production facilities, and field 
offices, the State Forestry Commission may borrow
from one or more financial institutions or from whatever other
source is appropriate not exceeding two million dollars for a
period of time as needed, not exceeding twenty years, and upon the
terms and conditions the commission, with the approval of the State
Budget and Control Board, agrees upon."
SECTION 45
TO AMEND THE 1976 CODE BY ADDING SECTION 9-11-525
SO AS TO INCREASE BY FIFTY DOLLARS A MONTH EFFECTIVE JULY 1, 1988,
THE MONTHLY BENEFIT OF BENEFICIARIES OF THE POLICE INSURANCE AND
ANNUITY
FUND.
Article 3, Chapter 11 of Title 9 of the 1976 Code is amended by
adding:
  "Section 9-11-525.  Beneficiaries receiving benefits under
the Police Insurance and Annuity Fund shall receive a fifty dollar
a month increase in their monthly benefits effective July 1,
1988."
*[SECTION 46
TO AMEND SECTION 11-35-1520 OF THE 1976 CODE, RELATING TO
COMPETITIVE SEALED BIDDING FOR PURPOSES OF THE SOUTH CAROLINA
CONSOLIDATED PROCUREMENT CODE, SO AS TO DELETE THE REQUIREMENT
THAT A RESIDENT VENDOR MAINTAIN AN OFFICE IN THIS
STATE AND TO INCLUDE WITHIN THE DEFINITION OF RESIDENT VENDOR A
BUSINESS AUTHORIZED TO TRANSACT
BUSINESS IN THIS STATE WHICH MAINTAINS AN ANNUAL RESIDENT EMPLOYEE
GROSS PAYROLL IN EXCESS OF FIVE
MILLION DOLLARS.
Section 11-35-1520(e) of the 1976 Code is amended to read:]
  *[Vetoed and Sustained.]
  ["(e)  Competitive procurements made by any governmental
body must be made from a responsive and responsible vendor resident
in South Carolina:  (i) for procurements under two million, five
hundred thousand dollars, if the bid does not exceed the lowest
qualified bid from a nonresident vendor by more than two percent of
the latter bid, and if the resident vendor has made written claim
for the preference at the time the bid was submitted; (ii) for
procurements in excess of two million, five hundred thousand
dollars, if the bid does not exceed the lowest qualified bid from
a nonresident vendor by more than one percent of the latter bid,
and if the resident vendor has made written claim for the
preference at the time the bid was submitted.  A vendor is
considered to be a resident of this State if the vendor is an
individual, partnership, association, or corporation that is
authorized to transact business within the State, maintains a
representative inventory of commodities on which the bid is
submitted or maintains an annual resident employee gross payroll
within the State in excess of five million dollars, and has paid
all assessed taxes.  Preferences under this subsection do not apply
to either prime contractors or subcontractors as relates to the
construction industry nor to a vendor of goods whether in quantity
or not when the price of a single unit of the item involved is more
than ten thousand dollars."]
SECTION 47
TO AMEND SECTION 9-11-40 OF THE 1976 CODE, RELATING TO
CLASSIFICATION OF MEMBERS, TRANSFERS OF CONTRIBUTIONS, AND CREDITED
SERVICE FOR PURPOSES OF THE SOUTH CAROLINA POLICE OFFICERS
RETIREMENT SYSTEM, SO AS TO ALLOW A MEMBER TO TRANSFER CREDITED
SERVICE HE RECEIVED UNDER THE SOUTH CAROLINA RETIREMENT SYSTEM TO
THE SOUTH
  *[Vetoed and Sustained.]
CAROLINA POLICE OFFICERS RETIREMENT SYSTEM UPON PAYMENT OF THE FULL
COST AS DETERMINED BY THE ACTUARY.
Section 9-11-40(9) of the 1976 Code is amended by adding at the
end:
  "A member of the South Carolina Police Officers Retirement
System may transfer credited service he received under the South
Carolina Retirement System to the South Carolina Police Officers
Retirement System upon payment of the full cost as determined by
the actuary."
SECTION 48
TO AMEND SECTIONS 9-1-1140 AND 9-11-50 OF THE 1976 CODE, RELATING
TO CREDITED SERVICE FOR MEMBERS OF THE SOUTH CAROLINA RETIREMENT
SYSTEM AND THE SOUTH CAROLINA POLICE OFFICERS RETIREMENT SYSTEM, SO
AS TO ALLOW MERCHANT MARINE SEAMEN AND CIVIL SERVICE CREW MEMBERS
TO ESTABLISH CREDIT FOR CERTAIN SERVICE BETWEEN 1941 AND 1945 IN
THE SAME MANNER THAT CREDIT IS ESTABLISHED FOR MILITARY SERVICE.
A.  Section 9-1-1140 of the 1976 Code is amended by adding at the
end:
  "Merchant marine seamen who served in active ocean-going
service from December 7, 1941, to August 15, 1945, and civil
service crew members aboard United States Army Transport Service
and Naval Transportation Service vessels in ocean-going service in
foreign waters during the same period may establish their period of
service as creditable service in the manner that military service
is established as creditable service pursuant to this
section."
B.  Section 9-11-50 of the 1976 Code is amended by adding at the
end:
  "Merchant marine seamen who served in active ocean-going
service from December 7, 1941, to August 15, 1945, and civil
service crew members aboard United States Army Transport Service
and Naval Transportation Service vessels in ocean-going service in
foreign waters during the same period may establish their period of
service as creditable service in the manner that military service
is established as creditable service pursuant to this
section."
SECTION 49
TO AMEND SECTION 2-7-72 OF THE 1976 CODE, RELATING TO THE
REQUIREMENT THAT BILLS AND RESOLUTIONS INTRODUCED IN THE GENERAL
ASSEMBLY REQUIRING EXPENDITURE OF FUNDS HAVE A FISCAL IMPACT
STATEMENT, SO AS TO PROVIDE THAT THE STATEMENT MUST BE SIGNED BY
THE DIRECTOR OF THE STATE BUDGET DIVISION OF THE STATE BUDGET AND
CONTROL BOARD OR HIS DESIGNEE RATHER THAN THE STATE AUDITOR.
Section 2-7-72 of the 1976 Code is amended to read:
  "Section 2-7-72.  Whenever a bill or resolution is
introduced in the General Assembly requiring the expenditure of
funds, the principal author shall affix a statement of estimated
fiscal impact and cost of the proposed legislation. Before
reporting the bill out of committee, if the amount is substantially
different from the original estimate, the committee shall attach a
statement of estimated fiscal impact to the bill signed by the
Director of the State Budget Division of the State Budget and
Control Board or his designee.  As used in this section, 'statement
of estimated fiscal impact' means the opinion of the person
executing the statement as to the dollar cost to 
the State for the first year and the annual cost thereafter."
SECTION 50
TO PROHIBIT THE ISSUING OF STATE CAPITAL IMPROVEMENT BONDS FOR
BEACH RENOURISHMENT PROJECTS IN THE ABSENCE OF ANY PROVISION OF LAW
ESTABLISHING SPECIFIC CRITERIA FOR THE DISTRIBUTION OF BOND
PROCEEDS FOR THE PROJECTS.
No state capital improvement bonds may be issued for beach
renourishment projects in the absence of any provision of law that
establishes specific criteria for the distribution of bond proceeds
for the projects.
SECTION 51
TO IMPOSE A FEE ON THE COMMERCIAL DISPOSAL BY INCINERATION OF
INFECTIOUS WASTE EQUAL TO EIGHTEEN DOLLARS A TON ON WASTE GENERATED
OUTSIDE THIS STATE AND THIRTEEN DOLLARS A TON ON WASTE GENERATED
WITHIN THIS STATE, TO PROVIDE FOR MONTHLY REPORTS OF AND PAYMENT OF
FEES FOR WEIGHT OF WASTE RECEIVED FOR INCINERATION AND DISPOSAL, TO
PROVIDE FOR THE ESTABLISHMENT OF AN INFECTIOUS WASTE CONTINGENCY
FUND INTO WHICH FEES ARE DEPOSITED, TO PROVIDE FOR THE USES OF FUND
PROCEEDS, TO SET ASIDE ONE DOLLAR AND FIFTY CENTS OF THE FEE PAID
ON EACH FOR RETURN TO COUNTIES WHERE THE FEES ARE COLLECTED, TO
REQUIRE INSPECTION OF FACILITIES AND A FEE SCHEDULE TO PAY FOR THE
INSPECTION, AND TO DEFINE "INFECTIOUS WASTE".
A.  (1)  There is imposed a fee on the commercial disposal by
incineration of infectious waste in this State equal to eighteen
dollars a ton on the preincineration weight of infectious waste
generated outside of this State and thirteen 
dollars a ton on the preincineration weight of infectious waste
generated within this State.
  (2)  The owner or operator of any commercial facility
incinerating and disposing of infectious waste shall submit, not
later than the tenth day of each month, to the Department of Health
and Environmental Control:
    (a)  a report detailing the total weight of infectious waste
received for incineration and disposal during the preceding month
and its point of origin;
    (b)  a check made payable to the department for the fee due for
the preceding month;
    (c)  in case of failure to file a return on or before the date
prescribed by law or failure to pay any fee on or before the date
prescribed by law, there must be added a penalty of twenty-five
percent of the amount of fee due.  The Department of Health and
Environmental Control may revoke a permit to operate for failure to
pay any fees, penalties, or interest required by law.  Upon payment
the department may reinstate the permit to any operator of a
facility disposing of infectious waste in this State.  The penalty
provided by this item may be reduced or waived by the department
for reasonable cause;
  (3)  Any person disposing of infectious waste who fails to remit
the fee or penalty as provided by law must be charged interest at
the rate of one percent a month.  Interest must be calculated on
the full amount of the fee or portion thereof, exclusive of
penalties, from the time the fee or penalty was due and paid in its
entirety.
  (4)  The Department of Health and Environmental Control shall
establish an Infectious Waste Contingency Fund to insure the
availability of funds for response actions necessary at commercial
infectious waste incineration facilities and necessary from
accidents in the transportation of infectious waste and to defray 
the cost of governmental response action associated with infectious
waste.  This fund must be financed by the fees imposed pursuant to
this section.  The revenue derived from the fees on waste must be
credited to the Infectious Waste Contingency Fund.  An amount equal
to one dollar and fifty cents a ton must be held in a separate and
distinct account within the fund for the purpose of being returned
to each county in which the fee imposed by this section is
collected.  Interest earned by the fund must be credited to the
fund and that portion of interest earned attributable to the county
account must be credited to the county account.  Interest credited
to the county account must be distributed in the same proportion as
funds are distributed to counties pursuant to this section. 
Proceeds of the county account returned to a county pursuant to
this section must be released by the State Treasurer upon the
written request of a majority of the legislative delegation of the
recipient county.
  (5)  The Department of Health and Environmental Control shall
assign a full-time health inspector to serve at any commercial
infectious waste incineration and disposal facility located in
South Carolina for the purpose of assuring the protection of the
health and safety of the public by monitoring the receipt,
handling, incineration, and disposal of infectious waste at these
sites.
  The department shall establish a fee schedule to cover the costs
of implementing this inspection program.  The fee must be collected
from the commercial infectious waste facilities based upon the
amount of infectious waste received.
  (6)  For purposes of this section, "infectious waste"
means waste which because of its characteristics may:
    (a)  cause or significantly contribute to an increase in
mortality or an increase in serious 
irreversible or incapacitating reversible illness; or
    (b)  pose a substantial present or potential hazard to human
health or the environment when improperly treated, stored,
transported, disposed of, or otherwise managed;
    (c)  be designated by the department.
  (7)  This section does not apply to the treatment or disposal of
hazardous waste regulated under the South Carolina Hazardous Waste
Management Act.
  (8)  This section does not apply to infectious waste incinerated
by hospitals or other medical facilities on a noncommercial basis.
B.  This section takes effect July 1, 1988.
END OF PART II
PART III
TO MAKE SUPPLEMENTAL APPROPRIATIONS
FROM SURPLUS
  SECTION 1. The following sums of money constitute the sources of
the funds for the appropriations in this Part and, not withstanding
any other provisions of law providing for the use of surplus
revenues, any Fiscal Year 1987-88 surplus revenues must first be
used for the appropriations contained in this act:
  GENERAL FUNDS
  1. Reduction of the General Fund Reserve
     from four to three percent  $14,381,996
  2. Funds remaining from Family Farm
     Development Authority  $ 1,001,213
  3. Medicare cost recovery earnings
     pursuant to paragraph 42.1,
     Part I of Act 170 of 1987  $ 1,100,000
  4. Unused federal funds credited to
     the general fund of the state
     pursuant to Section 11-9-125
     of the 1976 Code  $  250,000
  5. Projected Fiscal Year 1987-88
     surplus, including Potential
     Personal Ser. & Operating Lapses  $30,823,164
  6. Workers' Compensation Self Insurance
     Tax FY 87-88 Surplus  $  600,000
  7. SC Coastal Council Spoil
     Area Sales  $  26,000
  8. Ordinary Sinking Fund  $  500,000
  9. FY 88 Insurance Fees  $ 3,883,755
  Total Funds   $52,566,128
  The State Treasurer shall transfer $14,381,996 of excess General
Reserve Fund monies, resulting from the reduction of the General
Reserve Fund from 4 percent to 3 percent, to the General Fund of
the state for Fiscal Year 1987-88. The Budget and Control Board
shall transfer $500,000 from the Ordinary Sinking Fund to the
General Fund of the State for Fiscal Year 1987-88.
  SECTION 2. The following sums, of money, if so much be necessary,
are appropriated from the general fund of the State to supplement
appropriations heretofore made for the ordinary expenses of the
state government for the Fiscal Year 1987-88:
  1. House of Representatives House
     Security   $  30,000
  2. Joint Legislative Committees
     Jt. Leg Committee on Children  20,000
  3. Governor's Office-Executive Control
     Travel for Regional Chairmanships  90,000
  4. Governor's Office-SLED
     a. Lab Training Equipment  195,564
     b. Implied Consent Equipment  2,500
     c. Agent Equipment  30,000
  5. Governor's Office-OEPP
     a. Council on Small & Minority
        Business    5,000
     b. Community Action Agencies  500,000
     c. Governor's School for the Arts 
        Outreach Program  50,000
  5.1. The funds provided herein for the Governor's School for the
Arts - Outreach Program shall be used in the rural areas of the
State.
  6. Comptroller General Equipment  125,000
  7. Attorney General
     a. State Litigation-SLED Programming  10,000
     b. State Litigation-Equipment  15,000
     c. Litigation for Lake Russell
        Pump Storage  40,000
     d. Equipment  31,300
  8. Appellate Defense
     Death Penalty Resource Center  4,950
  9. Election Commission
     General Election Expenses  1,120,000
 10. Budget & Control Board
     a. Ofc of Executive Director
        Management Development Training  58,500
     b. Financial Data System
        Equipment  40,000
     c. Budget Division
        Renovation-Brown Building  35,000
     d. Research & Statistics
         i) Geographic Info System  325,000
        ii) Truck Mounted Drill Rig  80,000
     e. General Services
         i) State Engineer-Equipment  10,080
        ii) Alamo Monument  20,000
       iii) Supreme Court Parking Lot
            and Renovation  900,000
     f. Fire Marshal
         i) Remote Render Safe & X-Ray Unit  57,500
        ii) Prevention Program  50,000
       iii) Fire Safety Program Equipment  4,420
     g. Local Government
         i) Equipment  20,000
        ii) Aid to Entities-Rural
            Development  6,000,000
       iii) EDA Match Funds  4,000,000
     h. State Auditor Equipment  47,000
     i. Employee Benefits
         i) Classified Employee Payments  12,196,500
        ii) Retiree Bonus  1,000,000
  10.1. Effective on the first pay day on or after December 1,
1988, each classified employee who has been in continuous state
service since June 1, 1988 shall be eligible to receive a one-time
lump sum payment of $365. This payment is not a part of the
employee's base salary and is not earnable compensation for
purposes of employer or employee contributions to the respective
retirement systems. This appropriation may be used for payments to
classified employees only in the same ratio as the employee's base
salary is paid from appropriated sources.
  10.2. All retired members of the South Carolina Retirement System
and Police Officers Retirement System who retired prior to July 1,
1972, and who are receiving monthly benefits as of December 1,
1988, shall receive a one-time lump sum bonus payment in an amount
equal to that derived by dividing the number of eligible retirees
into the available amount pursuant to this item. The payment must
be added to the monthly benefit payment for November, 1988. The
State Budget and Control Board shall transfer the amount
appropriated for the Retiree Bonus under this item to the South
Carolina Retirement System and South Carolina Police Officers
Retirement System to implement the provisions of this item.
  10.3. Of those funds appropriated under the Local Government
Division designated as "Aid to Entities - Rural
Development", $1,000,000 must be allocated for expenditure
exclusively upon approval by members of the House of
Representatives and $1,000,000 must be allocated for expenditure
exclusively upon approval by members of the Senate. No funds may be
awarded without the prior notification of the members of the
General Assembly representing the district in which the project
does or will exist. Four million dollars of the funds allocated as
"Aid to Entities - Rural Development" 
must be used as matching funds for projects which in whole or in
part are not eligible for EPA, EDA, FHA, CDBG, ARC or other federal
funds.
  10.4. The funds received from grants from the Office of Local
Government after July 1, 1988, must be expended for the purpose
listed in the grant within six months from the date of approval by
the Office of Local Government, unless an extension is granted by
the Office of Local Government, or the funds must be returned to
the Office of Local Government. Failure to expend or return the
grant funds within a six-month period or the expenditure of the
funds for purposes not listed in the grants makes the grantee
ineligible to receive funds from the Office of Local Government
until approved by the Budget and Control Board.
  10.5. Of the funds appropriated for "Aid to Entities
EDA", $75,000 may be used for operating costs of the Division
of Local Governments.
  10.6. The Board shall use funds appropriated for the Alamo
Monument to establish an appropriate monument to the brave South
Carolinians who perished at the Alamo on March 6, 1836. This
monument shall be erected and placed, if at all possible, on the
grounds of the State Capitol of South Carolina.
  10.7. The Governor shall appoint a Blue Ribbon Committee to
analyze the current pay system for state employees and the
distribution of performance based pay in current and previous
years, to study the feasibility of establishing a step pay plan for
classified state employees, and to make recommendations for a long
range plan to calculate and distribute state employee pay
increases. The Committee shall submit a report of its findings and
recommendations to the members of the General Assembly by January
1, 1989. The Committee shall consist of nine members selected in
the following 
manner:
  the Chairman of the Senate Finance Committee or 
    his designee;                                 
  the Chairman of the Ways and Means Committee or 
    his designee;                                 
  the Chairman and Vice-Chairman of the Joint     
    Legislative Committee on State Employees;     
  a representative of the SC State Employees      
    Association;                                  
  four members appointed by the Governor.         
  The Governor shall appoint the Chairman. The Committee may use
such staff in the various departments of state government as is
necessary to carry out its mandate. Per diem, travel and
subsistence expenses for the Committee shall be paid out of funds
appropriated to the Office of the Governor.
 11. Commission on Higher Education
     a. Cutting Edge  5,000,000
     b. Desegregation Plan  1,295,000
     c. Nonrecurring Formula Funding  298,985
     d. Teacher Recruitment
         Benedict College  50,000