South Carolina General Assembly
116th Session, 2005-2006
Journal of the House of Representatives

Wednesday, January 26, 2005
(Statewide Session)

Indicates Matter Stricken
Indicates New Matter

The House assembled at 2:00 p.m.
Deliberations were opened with prayer by Rev. Charles E. Seastrunk, Jr. as follows:

Our thought for today is from Psalm 102:1: "Hear my prayer O Lord, let my cry for help come to You."
Let us pray. Gracious Lord, as we come to You today in prayer for Your guidance and direction, may we listen to Your voice in calling us to responsible duty and integrity. Employ all our senses and energy for the good of this State. Bless our Nation, our President, our State and leaders. Hold our defenders of freedom in Your love and protection. Hear our prayer. Amen.

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

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

MOTION ADOPTED

Rep. LITTLEJOHN moved that when the House adjourns, it adjourn in memory of Marine E4-Corporal Travis Fox of Cowpens, which was agreed to.

REGULATION RECEIVED

The following was received and referred to the appropriate committee for consideration:

Document No. 2938
Agency: Clemson University - State Crop Pest Commission
Statutory Authority: 1976 Code Sections 46-9-40; 46-13-30; 46-13-55
Pest Control Regulations
Received by Speaker of the House of Representatives
January 26, 2005
Referred to Agriculture, Natural Resources and Environmental Affairs Committee
Legislative Review Expiration May 26, 2005

REPORTS OF STANDING COMMITTEES

Rep. J. BROWN, from the Committee on Medical, Military, Public and Municipal Affairs, submitted a favorable report with amendments on:

H. 3142 (Word version) -- Reps. White, Davenport and Mahaffey: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLE 15 TO CHAPTER 33, TITLE 40 SO AS TO ENACT THE NURSE LICENSURE COMPACT WHICH ENTERS SOUTH CAROLINA INTO A MULTI-STATE NURSE LICENSURE COMPACT TO PROVIDE FOR THE RECIPROCAL PRACTICE OF NURSING AMONG THE STATES THAT ARE PARTIES TO THE COMPACT; TO PROVIDE FOR THE STANDARDS AND PROCEDURES THAT APPLY TO PRACTICING NURSING IN OTHER STATES PURSUANT TO THE COMPACT; TO PROVIDE FOR A COORDINATED LICENSURE INFORMATION SYSTEM FOR SHARING DATA AMONG THE COMPACT STATES AND TO PROVIDE PROCEDURES FOR DISPUTE RESOLUTION AND DISCIPLINARY ACTION; AND TO FURTHER PROVIDE FOR THE REGULATION OF NURSES LICENSED IN STATES THAT ARE PARTIES TO THE COMPACT; AND TO ADD SECTION 40-33-525 SO AS TO REQUIRE, BEGINNING JANUARY 1, 2007, FOREIGN-EDUCATED APPLICANTS FOR LICENSURE AS A REGISTERED NURSE TO PASS THE NATIONAL COUNCIL LICENSURE EXAMINATION AND AN ENGLISH LANGUAGE PROFICIENCY TEST.
Ordered for consideration tomorrow.

Rep. J. BROWN, from the Committee on Medical, Military, Public and Municipal Affairs, submitted a favorable report on:

H. 3226 (Word version) -- Reps. Clemmons, Mahaffey and Umphlett: A BILL TO AMEND SECTION 40-43-86, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO VARIOUS REQUIREMENTS PERTAINING TO PHARMACIES, INCLUDING THE TRANSFER OF ORIGINAL PRESCRIPTION INFORMATION BETWEEN PHARMACIES IN THIS STATE, SO AS TO PROVIDE THAT ALL REMAINING REFILLS, RATHER THAN ONLY ONE REFILL, MAY BE TRANSFERRED TO AND DISPENSED BY THE RECEIVING PHARMACY, TO DELETE THE REFERENCE TO IN-STATE PHARMACIES, AND TO DELETE A PROVISION CONTAINING PROCEDURES FOR DISPENSING RESTRICTED DRUGS.
Ordered for consideration tomorrow.

Rep. J. BROWN, from the Committee on Medical, Military, Public and Municipal Affairs, submitted a favorable report on:

H. 3107 (Word version) -- Reps. M. A. Pitts, Viers, Taylor, Mahaffey, Duncan and Umphlett: A BILL TO AMEND SECTION 40-47-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE STATE BOARD OF MEDICAL EXAMINERS, SO AS TO PROVIDE FOR TWO ADDITIONAL LAY MEMBERS OF THE BOARD, ONE TO BE APPOINTED BY THE PRESIDENT PRO TEMPORE OF THE SENATE AND ONE TO BE APPOINTED BY THE SPEAKER OF THE HOUSE OF REPRESENTATIVES.
Ordered for consideration tomorrow.

Rep. HARRISON, from the Committee on Judiciary, submitted a favorable report with amendments on:

H. 3274 (Word version) -- Rep. Altman: A BILL TO AMEND SECTION 20-7-2220, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO APPEALS AND THE EFFECT OF PENDENCY OF AN APPEAL IN CERTAIN FAMILY COURT MATTERS, SO AS TO PROVIDE THAT NO TEN DAY AUTOMATIC STAY APPLIES IN SUCH CASES.
Ordered for consideration tomorrow.

Rep. HARRISON, from the Committee on Judiciary, submitted a favorable report with amendments on:

H. 3085 (Word version) -- Reps. Harrison, Kirsh, E. H. Pitts, Hinson, Mahaffey, Umphlett, McLeod and Jennings: A BILL TO AMEND SECTION 16-13-510, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO FINANCIAL IDENTITY FRAUD, SO AS TO ADD THAT IT IS UNLAWFUL TO USE IDENTIFYING INFORMATION OF ANOTHER PERSON FOR THE PURPOSE OF OBTAINING EMPLOYMENT.
Ordered for consideration tomorrow.

CONCURRENT RESOLUTION

The following was introduced:

H. 3374 (Word version) -- Reps. Wilkins, W. D. Smith, J. Brown, Cato, Chellis, Harrell, Harrison, Townsend, Witherspoon, Agnew, Allen, Altman, Anderson, Anthony, Bailey, Bales, Ballentine, Barfield, Battle, Bingham, Bowers, Brady, Branham, Breeland, G. Brown, R. Brown, Ceips, Chalk, Clark, Clemmons, Clyburn, Coates, Cobb-Hunter, Coleman, Cooper, Cotty, Dantzler, Davenport, Delleney, Duncan, Edge, Emory, Frye, Funderburk, Govan, Hagood, Haley, Hamilton, Hardwick, Harvin, Haskins, Hayes, Herbkersman, J. Hines, M. Hines, Hinson, Hiott, Hosey, Howard, Huggins, Jefferson, Jennings, Kennedy, Kirsh, Leach, Lee, Limehouse, Littlejohn, Lloyd, Loftis, Lucas, Mack, Mahaffey, Martin, McCraw, McGee, McLeod, Merrill, Miller, Moody-Lawrence, J. H. Neal, J. M. Neal, Neilson, Norman, Ott, Owens, Parks, Perry, Phillips, Pinson, E. H. Pitts, M. A. Pitts, Rhoad, Rice, Rivers, Rutherford, Sandifer, Scarborough, Scott, Simrill, Sinclair, Skelton, D. C. Smith, F. N. Smith, G. M. Smith, G. R. Smith, J. E. Smith, J. R. Smith, Stewart, Talley, Taylor, Thompson, Toole, Tripp, Umphlett, Vaughn, Vick, Viers, Walker, Weeks, Whipper, White, Whitmire and Young: A CONCURRENT RESOLUTION TO RECOGNIZE AND SALUTE THE COURAGEOUS PEOPLE OF IRAQ WHO, BECAUSE OF THEIR UNRELENTING DESIRE FOR FREEDOM, WILL VOTE ON SUNDAY, JANUARY 30, 2005, TO ELECT THEIR NEW LEADERS.

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

CONCURRENT RESOLUTION

The following was introduced:

H. 3375 (Word version) -- Reps. Wilkins, Agnew, Allen, Altman, Anderson, Anthony, Bailey, Bales, Ballentine, Barfield, Battle, Bingham, Bowers, Brady, Branham, Breeland, G. Brown, J. Brown, R. Brown, Cato, Ceips, Chalk, Chellis, Clark, Clemmons, Clyburn, Coates, Cobb-Hunter, Coleman, Cooper, Cotty, Dantzler, Davenport, Delleney, Duncan, Edge, Emory, Frye, Funderburk, Govan, Hagood, Haley, Hamilton, Hardwick, Harrell, Harrison, Harvin, Haskins, Hayes, Herbkersman, J. Hines, M. Hines, Hinson, Hiott, Hosey, Howard, Huggins, Jefferson, Jennings, Kennedy, Kirsh, Leach, Lee, Limehouse, Littlejohn, Lloyd, Loftis, Lucas, Mack, Mahaffey, Martin, McCraw, McGee, McLeod, Merrill, Miller, Moody-Lawrence, J. H. Neal, J. M. Neal, Neilson, Norman, Ott, Owens, Parks, Perry, Phillips, Pinson, E. H. Pitts, M. A. Pitts, Rhoad, Rice, Rivers, Rutherford, Sandifer, Scarborough, Scott, Simrill, Sinclair, Skelton, D. C. Smith, F. N. Smith, G. M. Smith, G. R. Smith, J. E. Smith, J. R. Smith, W. D. Smith, Stewart, Talley, Taylor, Thompson, Toole, Townsend, Tripp, Umphlett, Vaughn, Vick, Viers, Walker, Weeks, Whipper, White, Whitmire, Witherspoon and Young: A CONCURRENT RESOLUTION TO EXTEND A WARM WELCOME AND OUR BEST WISHES FOR A SUCCESSFUL VISIT TO OUR FRIENDS FROM FRANCE PARTICIPATING IN THE STUDENT EXCHANGE PROGRAM WITH J. L. MANN HIGH SCHOOL.

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

HOUSE RESOLUTION

The following was taken up for immediate consideration:

H. 3376 (Word version) -- Reps. Wilkins, Agnew, Allen, Altman, Anderson, Anthony, Bailey, Bales, Ballentine, Barfield, Battle, Bingham, Bowers, Brady, Branham, Breeland, G. Brown, J. Brown, R. Brown, Cato, Ceips, Chalk, Chellis, Clark, Clemmons, Clyburn, Coates, Cobb-Hunter, Coleman, Cooper, Cotty, Dantzler, Davenport, Delleney, Duncan, Edge, Emory, Frye, Funderburk, Govan, Hagood, Haley, Hamilton, Hardwick, Harrell, Harrison, Harvin, Haskins, Hayes, Herbkersman, J. Hines, M. Hines, Hinson, Hiott, Hosey, Howard, Huggins, Jefferson, Jennings, Kennedy, Kirsh, Leach, Lee, Limehouse, Littlejohn, Lloyd, Loftis, Lucas, Mack, Mahaffey, Martin, McCraw, McGee, McLeod, Merrill, Miller, Moody-Lawrence, J. H. Neal, J. M. Neal, Neilson, Norman, Ott, Owens, Parks, Perry, Phillips, Pinson, E. H. Pitts, M. A. Pitts, Rhoad, Rice, Rivers, Rutherford, Sandifer, Scarborough, Scott, Simrill, Sinclair, Skelton, D. C. Smith, F. N. Smith, G. M. Smith, G. R. Smith, J. E. Smith, J. R. Smith, W. D. Smith, Stewart, Talley, Taylor, Thompson, Toole, Townsend, Tripp, Umphlett, Vaughn, Vick, Viers, Walker, Weeks, Whipper, White, Whitmire, Witherspoon and Young: A HOUSE RESOLUTION TO EXTEND THE PRIVILEGE OF THE FLOOR OF THE HOUSE OF REPRESENTATIVES OF THE STATE OF SOUTH CAROLINA TO OUR FRIENDS FROM FRANCE PARTICIPATING IN THE STUDENT EXCHANGE PROGRAM WITH J. L. MANN HIGH SCHOOL ON FEBRUARY 15, 2005, AT A TIME TO BE DETERMINED BY THE SPEAKER FOR THE PURPOSE OF EXTENDING A WARM WELCOME AND OUR BEST WISHES FOR A SUCCESSFUL VISIT.

Be it resolved by the House of Representatives:

That the privilege of the floor of the House of Representatives of the State of South Carolina is extended to our friends from France participating in the student exchange program with J. L. Mann High School on February 15, 2005, at a time to be determined by the Speaker for the purpose of extending a warm welcome and our best wishes for a successful visit.

The Resolution was adopted.

CONCURRENT RESOLUTION

The Senate sent to the House the following:

S. 331 (Word version) -- Senator Leatherman: A CONCURRENT RESOLUTION TO REQUEST THAT THE DEPARTMENT OF TRANSPORTATION NAME THE BRIDGE OVER THE LYNCHES RIVER ON HIGHWAY 52 BETWEEN EFFINGHAM AND LAKE CITY IN MEMORY OF DEPUTY JOSEPH C. RODGERS AND INSTALL APPROPRIATE MARKERS OR SIGNS AT THE BRIDGE.
The Concurrent Resolution was ordered referred to the Committee on Invitations and Memorial Resolutions.

CONCURRENT RESOLUTION

The following was introduced:

S. 332 (Word version) -- Senator Leatherman: A CONCURRENT RESOLUTION TO RECOGNIZE AND HONOR ROTARY INTERNATIONAL ON THE OCCASION OF ITS 100TH ANNIVERSARY AND TO COMMEND ITS MEMBERS FOR THEIR MANY CIVIC CONTRIBUTIONS.

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

INTRODUCTION OF BILLS

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

H. 3377 (Word version) -- Reps. Kirsh, Rutherford, Davenport, Barfield, Clemmons, Harrison, Limehouse, Mack, Moody-Lawrence, Ott, Perry, Rivers, Scarborough, J. E. Smith, W. D. Smith and Weeks: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 12-21-1085, SO AS TO PROVIDE THOSE TAXES ALLOWED TO BE IMPOSED ON BEER AND WINE TO THE EXCLUSION OF OTHER TAXES AND LICENSES WHICH MAY BE IMPOSED ON BEER AND WINE AND TO PROVIDE EXCEPTIONS.
Referred to Committee on Ways and Means

H. 3378 (Word version) -- Reps. Wilkins, W. D. Smith, J. Brown, Cato, Chellis, Harrell, Harrison, Townsend, Witherspoon, Bailey, Ballentine, Bingham, Brady, Ceips, Clemmons, Coates, Hagood, Haskins, Herbkersman, Leach, Limehouse, Loftis, Mahaffey, E. H. Pitts, Rice, Sandifer, Skelton, D. C. Smith, G. R. Smith, Taylor, Toole, Tripp, Umphlett, Vaughn and Whitmire: A BILL TO AMEND SECTION 2-1-180, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ADJOURNMENT OF THE GENERAL ASSEMBLY, SO AS TO CHANGE THE DATE FOR THE MANDATORY ADJOURNMENT OF THE GENERAL ASSEMBLY FROM THE FIRST THURSDAY IN JUNE TO THE SECOND THURSDAY IN MAY, AND PROVIDE THAT IN ANY YEAR THAT THE HOUSE OF REPRESENTATIVES FAILS TO GIVE THIRD READING TO THE APPROPRIATIONS BILL BY MARCH FIFTEENTH, RATHER THAN MARCH THIRTY-FIRST, THE DATE OF ADJOURNMENT IS EXTENDED BY ONE STATEWIDE DAY FOR EACH STATEWIDE DAY AFTER MARCH FIFTEENTH, RATHER THAN MARCH THIRTY-FIRST, THAT THE HOUSE FAILS TO GIVE THE BILL THIRD READING.
Referred to Committee on Judiciary

H. 3379 (Word version) -- Rep. Wilkins: A JOINT RESOLUTION TO ADOPT REVISED CODE VOLUMES 1 AND 7 OF THE CODE OF LAWS OF SOUTH CAROLINA, 1976, TO THE EXTENT OF THEIR CONTENTS, AS THE ONLY GENERAL PERMANENT STATUTORY LAW OF THE STATE AS OF JANUARY 1, 2005.
On motion of Rep. HARRISON, with unanimous consent, the Joint Resolution was ordered placed on the Calendar without reference.

H. 3380 (Word version) -- Reps. Wilkins, W. D. Smith, J. Brown, Cato, Chellis, Harrell, Harrison, Townsend, Witherspoon, Bailey, Ballentine, Bingham, Brady, Ceips, Clemmons, Coates, Hagood, Haskins, Leach, Limehouse, Loftis, Mahaffey, E. H. Pitts, Rice, Rutherford, Skelton, D. C. Smith, G. R. Smith, Taylor, Toole, Tripp, Umphlett, Vaughn and Whitmire: A JOINT RESOLUTION PROPOSING AN AMENDMENT TO SECTION 9, ARTICLE III OF THE CONSTITUTION OF SOUTH CAROLINA, 1895, RELATING TO SESSIONS OF THE GENERAL ASSEMBLY, SO AS TO PROVIDE FOR ANNUAL SESSIONS OF THE GENERAL ASSEMBLY COMMENCING AT VARYING TIMES IN EVEN-NUMBERED YEARS AND ODD-NUMBERED YEARS AND FOR AN ORGANIZATIONAL SESSION FOR THE SENATE IN CERTAIN YEARS, DELETE CERTAIN OBSOLETE LANGUAGE, PROVIDE FOR ELECTION OF OFFICERS OF THE GENERAL ASSEMBLY, PROVIDE FOR CERTAIN MEETINGS FOR THE INTRODUCTION AND REFERRAL TO COMMITTEE OF LEGISLATION, AND PROVIDE FOR CERTAIN COMMITTEE MEETINGS.
Referred to Committee on Judiciary

H. 3381 (Word version) -- Reps. Cato, Skelton, Jennings, W. D. Smith, Townsend, Merrill, Ott, Rice, Mack, Clark, Simrill, Harrison, Davenport, M. Hines, Harvin, Bailey, Barfield, Bingham, Ceips, Chellis, Clemmons, Cooper, Dantzler, Duncan, Edge, Harrell, Haskins, Herbkersman, Hinson, Kirsh, Leach, Lloyd, Loftis, Mahaffey, Martin, McCraw, McGee, Owens, Perry, E. H. Pitts, Sandifer, Scarborough, Scott, Stewart, Thompson, Toole, Tripp, Umphlett, Vaughn, Vick, White, Wilkins, Witherspoon and Young: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 14 TO TITLE 39 SO AS TO ENACT THE "SOUTH CAROLINA LANDOWNER AND ADVERTISING PROTECTION AND PROPERTY VALUATION ACT", TO DEFINE CERTAIN TERMS FOR THE PURPOSES OF THE ACT, TO EMPOWER LOCAL GOVERNMENTS TO REQUIRE THE REMOVAL OF NONCONFORMING OFF-PREMISES OUTDOOR ADVERTISING SIGNS AND TO REGULATE THE USE OF THEM, TO AUTHORIZE LOCAL GOVERNING BODIES TO ENTER INTO AGREEMENTS WITH SIGN OWNERS TO RELOCATE AND RECONSTRUCT SIGNS, TO PROVIDE FOR THE PAYMENT OF JUST COMPENSATION WHEN A SIGN IS REMOVED WITHOUT AN AGREEMENT BETWEEN THE PARTIES, AND TO PROVIDE FOR ARBITRATION BETWEEN THE PARTIES WHEN THEY FAIL TO REACH AN AGREEMENT.
Referred to Committee on Labor, Commerce and Industry

H. 3382 (Word version) -- Rep. Altman: A BILL TO AMEND CHAPTER 3, TITLE 56, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE REGISTRATION AND LICENSING OF MOTOR VEHICLES, BY ADDING ARTICLES 79 AND 80, SO AS TO PROVIDE FOR THE ISSUANCE OF "CHOOSE LIFE" SPECIAL LICENSE PLATES AND "CHOOSE ABORTION" SPECIAL LICENSE PLATES.
Referred to Committee on Education and Public Works

H. 3383 (Word version) -- Reps. Loftis, Cato, Leach, Frye, Barfield, Hosey, J. R. Smith and Witherspoon: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 10, TITLE 40 SO AS TO ENACT THE FIRE PROTECTION SPRINKLER SYSTEMS ACT, INCLUDING PROVISIONS TO LICENSE AND REGULATE THE FIRE SPRINKLER SYSTEMS INDUSTRY, AND AMONG OTHER THINGS, TO ESTABLISH LICENSURE AND LICENSURE RENEWAL REQUIREMENTS AND FEES, TO PROVIDE GROUNDS FOR MISCONDUCT AND SANCTIONS FOR MISCONDUCT, AND TO FURTHER PROVIDE FOR THE LICENSURE AND REGULATION OF FIRE SPRINKLER CONTRACTORS AND FIRE SPRINKLER SYSTEMS.
Referred to Committee on Labor, Commerce and Industry

H. 3384 (Word version) -- Reps. Loftis, Altman, Davenport, Frye, Hardwick, Hosey, Talley and Tripp: A BILL TO AMEND SECTION 5-3-310, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CONTINUATION OF SERVICE BY SPECIAL PURPOSE DISTRICTS FOLLOWING ANNEXATION BY A MUNICIPALITY, SO AS TO PROVIDE FOR THE CONTINUED HEALTH, SAFETY, AND GENERAL WELFARE OF A PERSON AND REAL PROPERTY LOCATED WITHIN THE BOUNDARIES OF THE DISTRICT BEFORE EXTENSION OF CORPORATE LIMITS.
Referred to Committee on Judiciary

ROLL CALL

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

Agnew                  Allen                  Altman
Anderson               Anthony                Bailey
Bales                  Ballentine             Barfield
Battle                 Bingham                Brady
Branham                Breeland               G. Brown
J. Brown               R. Brown               Cato
Ceips                  Chalk                  Chellis
Clark                  Clemmons               Clyburn
Coates                 Cobb-Hunter            Coleman
Cooper                 Dantzler               Delleney
Emory                  Frye                   Funderburk
Govan                  Hagood                 Haley
Hardwick               Harrell                Harrison
Hayes                  Herbkersman            J. Hines
M. Hines               Hinson                 Hiott
Hosey                  Howard                 Huggins
Jefferson              Jennings               Kennedy
Kirsh                  Leach                  Lee
Limehouse              Littlejohn             Loftis
Lucas                  Mack                   Mahaffey
Martin                 McCraw                 McGee
McLeod                 Merrill                Miller
Moody-Lawrence         J. H. Neal             J. M. Neal
Neilson                Norman                 Ott
Owens                  Parks                  Perry
Phillips               E. H. Pitts            M. A. Pitts
Rhoad                  Rice                   Rivers
Rutherford             Sandifer               Scarborough
Scott                  Simrill                Sinclair
Skelton                D. C. Smith            F. N. Smith
G. M. Smith            G. R. Smith            J. E. Smith
J. R. Smith            W. D. Smith            Stewart
Talley                 Taylor                 Thompson
Toole                  Townsend               Tripp
Umphlett               Vaughn                 Vick
Walker                 Weeks                  White
Whitmire               Wilkins                Witherspoon
Young

STATEMENT OF ATTENDANCE

I came in after the roll call and was present for the Session on Wednesday, January 26.

Tracy Edge                        Lewis E. Pinson
William Bowers                    Gloria Haskins
Bill Cotty                        Ralph Davenport
Jeffrey D. Duncan                 Thad Viers
Jackson "Seth"  Whipper           Alex Harvin

Total Present--122

DOCTOR OF THE DAY

Announcement was made that Dr. Oswald L. Mikell of Bluffton is the Doctor of the Day for the General Assembly.

CO-SPONSORS ADDED

In accordance with House Rule 5.2 below:
"5.2   Every bill before presentation shall have its title endorsed; every report, its title at length; every petition, memorial, or other paper, its prayer or substance; and, in every instance, the name of the member presenting any paper shall be endorsed and the papers shall be presented by the member to the Speaker at the desk. After a bill or resolution has been presented and given first reading, no further names of co-sponsors may be added. A member may add his name to a bill or resolution or a co-sponsor of a bill or resolution may remove his name at any time prior to the bill or resolution receiving passage on second reading. The member or co-sponsor shall notify the Clerk of the House in writing of his desire to have his name added or removed from the bill or resolution. The Clerk of the House shall print the member's or co-sponsor's written notification in the House Journal. The removal or addition of a name does not apply to a bill or resolution sponsored by a committee."

CO-SPONSOR ADDED

Bill Number:   H. 3007 (Word version)
Date:   ADD:
01/26/05   EDGE

CO-SPONSOR ADDED

Bill Number:   H. 3007 (Word version)
Date:   ADD:
01/26/05   CLEMMONS

CO-SPONSOR ADDED

Bill Number:   H. 3009 (Word version)
Date:   ADD:
01/26/05   EDGE

CO-SPONSOR ADDED

Bill Number:   H. 3013 (Word version)
Date:   ADD:
01/26/05   CATO

CO-SPONSOR ADDED

Bill Number:   H. 3011 (Word version)
Date:   ADD:
01/26/05   EDGE

CO-SPONSOR ADDED

Bill Number:   H. 3011 (Word version)
Date:   ADD:
01/26/05   HAGOOD

CO-SPONSOR ADDED

Bill Number:   H. 3015 (Word version)
Date:   ADD:
01/26/05   CATO

CO-SPONSOR ADDED

Bill Number:   H. 3020 (Word version)
Date:   ADD:
01/26/05   CLARK

CO-SPONSOR ADDED

Bill Number:   H. 3025 (Word version)
Date:   ADD:
01/26/05   CLARK

CO-SPONSOR ADDED

Bill Number:   H. 3032 (Word version)
Date:   ADD:
01/26/05   CATO

CO-SPONSOR ADDED

Bill Number:   H. 3049 (Word version)
Date:   ADD:
01/26/05   CLARK

CO-SPONSOR ADDED

Bill Number:   H. 3052 (Word version)
Date:   ADD:
01/26/05   EDGE

CO-SPONSOR ADDED

Bill Number:   H. 3070 (Word version)
Date:   ADD:
01/26/05   CLARK

CO-SPONSOR ADDED

Bill Number:   H. 3073 (Word version)
Date:   ADD:
01/26/05   CLARK

CO-SPONSOR ADDED

Bill Number:   H. 3085 (Word version)
Date:   ADD:
01/26/05   JENNINGS

CO-SPONSOR ADDED

Bill Number:   H. 3105 (Word version)
Date:   ADD:
01/26/05   CLARK

CO-SPONSOR ADDED

Bill Number:   H. 3110 (Word version)
Date:   ADD:
01/26/05   OWENS

CO-SPONSOR ADDED

Bill Number:   H. 3110 (Word version)
Date:   ADD:
01/26/05   YOUNG

CO-SPONSOR ADDED

Bill Number:   H. 3110 (Word version)
Date:   ADD:
01/26/05   HINSON

CO-SPONSOR ADDED

Bill Number:   H. 3110 (Word version)
Date:   ADD:
01/26/05   WHITE

CO-SPONSOR ADDED

Bill Number:   H. 3110 (Word version)
Date:   ADD:
01/26/05   LOFTIS

CO-SPONSOR ADDED

Bill Number:   H. 3110 (Word version)
Date:   ADD:
01/26/05   JENNINGS

CO-SPONSOR ADDED

Bill Number:   H. 3110 (Word version)
Date:   ADD:
01/26/05   HAYES

CO-SPONSOR ADDED

Bill Number:   H. 3110 (Word version)
Date:   ADD:
01/26/05   VICK

CO-SPONSOR ADDED

Bill Number:   H. 3110 (Word version)
Date:   ADD:
01/26/05   HOSEY

CO-SPONSOR ADDED

Bill Number:   H. 3110 (Word version)
Date:   ADD:
01/26/05   MERRILL

CO-SPONSOR ADDED

Bill Number:   H. 3140 (Word version)
Date:   ADD:
01/26/05   CLARK

CO-SPONSOR ADDED

Bill Number:   H. 3146 (Word version)
Date:   ADD:
01/26/05   CLARK

CO-SPONSOR ADDED

Bill Number:   H. 3152 (Word version)
Date:   ADD:
01/26/05   J. E. SMITH

CO-SPONSOR ADDED

Bill Number:   H. 3170 (Word version)
Date:   ADD:
01/26/05   SIMRILL

CO-SPONSOR ADDED

Bill Number:   H. 3174 (Word version)
Date:   ADD:
01/26/05   MERRILL

CO-SPONSOR ADDED

Bill Number:   H. 3186 (Word version)
Date:   ADD:
01/26/05   CLARK

CO-SPONSOR ADDED

Bill Number:   H. 3190 (Word version)
Date:   ADD:
01/26/05   CLARK

CO-SPONSOR ADDED

Bill Number:   H. 3205 (Word version)
Date:   ADD:
01/26/05   CATO

CO-SPONSOR ADDED

Bill Number:   H. 3205 (Word version)
Date:   ADD:
01/26/05   YOUNG

CO-SPONSOR ADDED

Bill Number:   H. 3227 (Word version)
Date:   ADD:
01/26/05   CLARK

CO-SPONSOR ADDED

Bill Number:   H. 3245 (Word version)
Date:   ADD:
01/26/05   CLARK

CO-SPONSOR ADDED

Bill Number:   H. 3284 (Word version)
Date:   ADD:
01/26/05   YOUNG

CO-SPONSOR ADDED

Bill Number:   H. 3287 (Word version)
Date:   ADD:
01/26/05   CLARK

CO-SPONSOR ADDED

Bill Number:   H. 3290 (Word version)
Date:   ADD:
01/26/05   CLARK

CO-SPONSOR ADDED

Bill Number:   H. 3355 (Word version)
Date:   ADD:
01/26/05   MCLEOD

CO-SPONSOR ADDED

Bill Number:   H. 3338 (Word version)
Date:   ADD:
01/26/05   OWENS

CO-SPONSOR ADDED

Bill Number:   H. 3355 (Word version)
Date:   ADD:
01/26/05   OTT

CO-SPONSOR ADDED

Bill Number:   H. 3008 (Word version)
Date:   ADD:
01/26/05   HAGOOD

CO-SPONSOR ADDED

Bill Number:   H. 3205 (Word version)
Date:   ADD:
01/26/05   WHITMIRE

CO-SPONSOR ADDED

Bill Number:   H. 3205 (Word version)
Date:   ADD:
01/26/05   EDGE

CO-SPONSOR ADDED

Bill Number:   H. 3205 (Word version)
Date:   ADD:
01/26/05   TOOLE

CO-SPONSOR ADDED

Bill Number:   H. 3205 (Word version)
Date:   ADD:
01/26/05   HINSON

CO-SPONSOR ADDED

Bill Number:   H. 3205 (Word version)
Date:   ADD:
01/26/05   BINGHAM

CO-SPONSOR ADDED

Bill Number:   H. 3205 (Word version)
Date:   ADD:
01/26/05   MERRILL

CO-SPONSOR ADDED

Bill Number:   H. 3205 (Word version)
Date:   ADD:
01/26/05   UMPHLETT

CO-SPONSOR ADDED

Bill Number:   H. 3205 (Word version)
Date:   ADD:
01/26/05   DANTZLER

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   RHOAD

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   LEACH

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   LITTLEJOHN

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   NEILSON

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   BALES

CO-SPONSOR ADDED

Bill Number:   H. 3213 (Word version)
Date:   ADD:
01/26/05   LOFTIS

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   HALEY

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   MARTIN

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   YOUNG

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   HASKINS

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   BRADY

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   MOODY-LAWRENCE

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   LOFTIS

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   PHILLIPS

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   ANTHONY

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   R. BROWN

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   D. C. SMITH

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   LIMEHOUSE

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   COATES

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   OWENS

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   DANTZLER

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   WHITMIRE

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   BARFIELD

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   JEFFERSON

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   GOVAN

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   HOSEY

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   VICK

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   CHALK

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   J. HINES

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   ANDERSON

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   G. BROWN

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   MILLER

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   BATTLE

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   WHIPPER

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   SINCLAIR

CO-SPONSOR ADDED

Bill Number:   H. 3007 (Word version)
Date:   ADD:
01/26/05   HUGGINS

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   E. H. PITTS

CO-SPONSOR ADDED

Bill Number:   H. 3060 (Word version)
Date:   ADD:
01/26/05   HUGGINS

H. 3321--AMENDED AND ORDERED TO THIRD READING

The following Joint Resolution was taken up:

H. 3321 (Word version) -- Rep. Clyburn: A JOINT RESOLUTION TO PROVIDE THAT SCHOOL DAYS MISSED IN JANUARY 2005, BY THE STUDENTS OF A SCHOOL IN THE AIKEN COUNTY SCHOOL DISTRICT OR ANY OTHER SCHOOL OR INSTITUTION OF HIGHER LEARNING IN AIKEN COUNTY WHEN THE SCHOOL WAS CLOSED DUE TO THE TRAIN WRECK AND CHEMICAL LEAK IN GRANITEVILLE ARE EXEMPTED FROM THE MAKE-UP REQUIREMENT THAT FULL SCHOOL DAYS MISSED DUE TO EXTREME WEATHER OR OTHER CIRCUMSTANCES BE MADE UP.

Rep. J.R. SMITH proposed the following Amendment No. 1 (Doc Name COUNCIL\PT\2279SJ05), which was adopted:
Amend the Joint Resolution, as and if amended, by striking all after the enacting clause and inserting:
/ SECTION   1.   Pursuant to the provisions of Section 59-1-430(B) of the 1976 Code, school days missed on January 6, 10, and 11, 2005, by the students of Warrenville Elementary School, Midland Valley High School, and Aiken County Career Center in Aiken County when the schools were closed due to the train wreck and chemical leak in Graniteville are exempted from the make-up requirement that full school days missed due to extreme weather or other circumstances be made up.
SECTION   2.   Pursuant to the provisions of Section 59-1-430(B) of the 1976 Code, school days missed on January 6, 10, 11, 12,13, and 14, 2005, by the students of Leavelle McCampbell Middle School and Byrd Elementary School in Aiken County when the schools were closed due to the train wreck and chemical leak in Graniteville are exempted from the make-up requirement that full school days missed due to extreme weather or other circumstances be made up.
SECTION   3.   This joint resolution takes effect upon approval by the Governor. /
Amend title to conform.

Rep. J. R. SMITH explained the amendment.
The amendment was then adopted.

The Joint Resolution, as amended, was read the second time and ordered to third reading.

ORDERED TO THIRD READING

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

H. 3356 (Word version) -- Rep. Vick: A BILL TO AMEND ACT 587 OF 1994, AS AMENDED, RELATING TO THE CREATION OF THE CHESTERFIELD COUNTY BOARD OF ELECTIONS, SO AS TO INCREASE FROM SEVEN TO NINE THE MEMBERS ON THE BOARD.

H. 3363 (Word version) -- Reps. Mahaffey, Sinclair, Davenport, Anthony and W. D. Smith: A BILL TO AMEND ACT 248 OF 1969, AS AMENDED, RELATING TO THE CREATION OF THE STARTEX AREA FIRE DISTRICT IN SPARTANBURG COUNTY, SO AS TO INCREASE FROM TWENTY TO FIVE HUNDRED THOUSAND DOLLARS THE BORROWING LIMITS OF THE DISTRICT AND TO AUTHORIZE THE BOARD OF FIRE CONTROL TO HIRE SUCH EMPLOYEES AND DETERMINE THEIR SALARIES.

H. 3371 (Word version) -- Reps. Vick, Neilson and Jennings: A BILL TO AMEND ACT 587 OF 1994, AS AMENDED, RELATING TO THE CREATION OF THE CHESTERFIELD COUNTY BOARD OF ELECTIONS AND REGISTRATION, SO AS TO GIVE THE CHESTERFIELD COUNTY LEGISLATIVE DELEGATION THE SOLE APPOINTIVE POWERS FOR MEMBERS OF THE CHESTERFIELD COUNTY BOARD OF ELECTIONS AND REGISTRATION INSTEAD OF BEING APPOINTED BY THE GOVERNOR UPON RECOMMENDATION OF THE CHESTERFIELD COUNTY LEGISLATIVE DELEGATION.

H. 3373 (Word version) -- Reps. W. D. Smith, Walker, Sinclair, Davenport, Littlejohn, Mahaffey and Talley: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 57-23-810 SO AS TO PROVIDE THAT THE PORTION OF ROADSIDE VEGETATION ADJACENT TO INTERSTATE HIGHWAY 26, INTERSTATE HIGHWAY 85, AND INTERSTATE HIGHWAY 585 IN SPARTANBURG COUNTY MAY BE MOWED BEYOND THIRTY FEET FROM THE PAVEMENT.

SENT TO THE SENATE

The following Bill was taken up, read the third time, and ordered sent to the Senate:

H. 3150 (Word version) -- Reps. Rice, Clyburn, Littlejohn, E. H. Pitts, Simrill, Loftis, Chellis, Martin, Herbkersman, J. R. Smith, Taylor, G. R. Smith, Vaughn, Harrison, Davenport, Young, Owens, Kirsh, Leach, Brady, Walker, Haley, Toole, Duncan, Mahaffey and Hagood: A BILL TO AMEND TITLE 1, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE ADMINISTRATION OF GOVERNMENT, BY ADDING CHAPTER 24 SO AS TO ESTABLISH THE SOUTH CAROLINA SUNSET COMMISSION AND A SUNSET REVIEW DIVISION OF THE LEGISLATIVE AUDIT COUNCIL, TO ESTABLISH PROCEDURES PROVIDING FOR THE MANNER IN WHICH THE PROGRAMS OF CERTAIN AGENCIES AND DEPARTMENTS OF STATE GOVERNMENT MUST BE EVALUATED TO DETERMINE IF THEY SHOULD BE CONTINUED IN EXISTENCE, MODIFIED, OR TERMINATED, AND TO ESTABLISH THE PROCEDURES BY WHICH THESE PROGRAMS MUST BE CONTINUED, MODIFIED, OR TERMINATED.

H. 3011--DEBATE ADJOURNED

Rep. SCOTT moved to adjourn debate upon the following Joint Resolution, which was adopted:

H. 3011 (Word version) -- Reps. Wilkins, Harrison, W. D. Smith, Cato, Harrell, Chellis, G. R. Smith, Coates, Young, Owens, Kirsh, Leach, Battle, Clyburn, Rice, Hinson, Clark, Cobb-Hunter, Toole, Chalk, Brady, Edge and Hagood: A JOINT RESOLUTION PROPOSING AN AMENDMENT TO SECTION 7, ARTICLE VI, RELATING TO THE CONSTITUTIONAL OFFICERS OF THIS STATE, SO AS TO DELETE THE COMMISSIONER OF AGRICULTURE AND THE SECRETARY OF STATE FROM THE LIST OF STATE OFFICERS WHICH THE CONSTITUTION REQUIRES TO BE ELECTED AND PROVIDE THAT UPON THE EXPIRATION OF THE TERM OF THESE OFFICERS SERVING IN OFFICE ON THE DATE OF THE RATIFICATION OF THESE PROVISIONS, THEY MUST BE APPOINTED BY THE GOVERNOR, WITH THE ADVICE AND CONSENT OF THE SENATE AND HOUSE OF REPRESENTATIVES, TO SERVE AT HIS PLEASURE AND TO BE REMOVABLE BY HIM FOR ANY REASON; PROPOSING AN AMENDMENT TO SECTION 7, ARTICLE VI, RELATING TO THE CONSTITUTIONAL OFFICERS OF THIS STATE, SO AS TO DELETE THE SUPERINTENDENT OF EDUCATION FROM THE LIST OF STATE OFFICERS WHICH THE CONSTITUTION REQUIRES TO BE ELECTED AND PROVIDE THAT UPON THE EXPIRATION OF THE TERM OF THE SUPERINTENDENT SERVING IN OFFICE ON THE DATE OF THE RATIFICATION OF THIS PROVISION, THE SUPERINTENDENT MUST BE APPOINTED BY THE GOVERNOR, UPON THE ADVICE AND CONSENT OF THE SENATE AND HOUSE OF REPRESENTATIVES, TO SERVE AT HIS PLEASURE AND TO BE REMOVABLE BY HIM FOR ANY REASON; AND PROPOSING AN AMENDMENT TO SECTION 1, ARTICLE XI, RELATING TO THE STATE BOARD OF EDUCATION, SO AS TO ABOLISH THE BOARD EFFECTIVE UPON THE STATE SUPERINTENDENT OF EDUCATION BEING APPOINTED BY THE GOVERNOR.

H. 3026--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up:

H. 3026 (Word version) -- Reps. Cato, G. M. Smith, Edge, Sandifer, Coates, Kirsh and Bales: A BILL TO AMEND SECTION 6-9-40, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE ADOPTION AND PROMULGATION OF CERTAIN BUILDING CODES AND STANDARDS, SO AS TO PROVIDE THE MODIFICATIONS PROMULGATED PURSUANT TO THE PROVISIONS OF THIS SECTION DO NOT REQUIRE READOPTION BY THE BUILDING CODES COUNCIL FOR SUBSEQUENT EDITIONS OF THE BUILDING CODES, AND TO PROVIDE A PROCEDURE TO RECONSIDER EXISTING MODIFICATIONS.
The Labor, Commerce and Industry Committee proposed the following Amendment No. 1 (Doc Name COUNCIL\DKA\ 3103DW05), which was adopted:
Amend the bill, as and if amended, by striking SECTION 1 and inserting:
/ SECTION   1.   Section 6-9-40 of the 1976 Code, as last amended by Act 83 of 2003, is further amended by adding at the end:

"(7)   modifications promulgated by this section do not require readoption by the Building Codes Council for subsequent editions of the building codes, unless the amended section in the underlying code has substantively changed. Upon submission of a formal request, existing modifications may be reconsidered each time a new edition of the building code is considered for adoption by the Building Codes Council." /
Renumber items to conform.
Amend title to conform.

Rep. HUGGINS explained the amendment.
The amendment was then adopted.

The Bill, as amended, was read the second time and ordered to third reading.

H. 3010--DEBATE ADJOURNED

Rep. WALKER moved to adjourn debate upon the following Bill, which was adopted:

H. 3010 (Word version) -- Reps. W. D. Smith, Wilkins, G. R. Smith, Vaughn, Harrison, Davenport, Sandifer, Coates, Young, Leach, Viers, Littlejohn, Rice, Hinson, Clark, Walker, Mahaffey, Duncan, Hagood and Clemmons: A BILL TO AMEND CHAPTER 40, TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CHARTER SCHOOLS, SO AS TO PROVIDE FOR THE CREATION OF A CAROLINA PUBLIC CHARTER SCHOOL DISTRICT, ITS GOVERNANCE, AND ITS POWERS AND DUTIES; AND TO PROVIDE FOR THE MANNER IN WHICH A CHARTER SCHOOL SPONSORED BY THE CAROLINA PUBLIC CHARTER SCHOOL DISTRICT MUST BE FORMED, FUNDED, REGULATED, AND GOVERNED.

H. 3152--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up:

H. 3152 (Word version) -- Reps. Harrell, Wilkins, Leach, Littlejohn, Young, Bailey, Battle, Rice, Scarborough, Hinson, Simrill, Mahaffey, Sandifer, Hagood and J. E. Smith: A BILL TO AMEND CHAPTER 62 OF TITLE 12, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE SOUTH CAROLINA MOTION PICTURE INCENTIVE ACT, SO AS TO INCLUDE AN EXEMPTION FROM LOCAL, AS WELL AS STATE, SALES AND USE TAXES, TO DEFINE "EMPLOYEE" FOR PURPOSES OF A FIVE PERCENT REBATE ON ALL TAXABLE WAGES PAID IN CONNECTION WITH AN EMPLOYEE'S WORK ON A MOTION PICTURE AND TO PROVIDE PROCEDURES FOR CLAIMING THE REBATE, TO ALLOW UP TO SEVEN PERCENT OF THE GENERAL FUND PORTION OF ADMISSIONS TAX COLLECTED BY THE STATE AND FUNDED TO THE USE OF THE SOUTH CAROLINA FILM COMMISSION TO BE USED EXCLUSIVELY FOR MARKETING AND SPECIAL EVENTS, AND TO PROVIDE, FURTHER, THAT THE COMMISSION REPORT ANNUALLY TO THE COORDINATING COUNCIL FOR ECONOMIC DEVELOPMENT ON USE OF ALL ITS FUNDS IN A PUBLIC REPORT, ACCESSIBLE ON ITS WEBSITE; TO AMEND SECTION 12-36-920, AS AMENDED, RELATING TO SALES TAX ON GROSS PROCEEDS FROM RENTALS ON LODGINGS, SO AS TO DELETE A REBATE TO A MOTION PICTURE PRODUCTION COMPANY FOR SALES TAX PAID ON ACCOMMODATIONS; TO AMEND SECTION 1-30-25, AS AMENDED, RELATING TO THE DEPARTMENT OF COMMERCE, SO AS TO DELETE A REFERENCE TO THE STATE DEVELOPMENT BOARD; AND TO AMEND SECTION 12-36-2120, AS AMENDED, RELATING TO EXEMPTIONS FROM THE STATE SALES AND USE TAX, SO AS TO DELETE THE EXEMPTION FOR THE PROCEEDS OF SALES MADE TO A MOTION PICTURE COMPANY.

The Ways and Means Committee proposed the following Amendment No. 1 (Doc Name COUNCIL\BBM\10544MM05), which was adopted:
Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/SECTION   1.   Chapter 62, Title 12 of the 1976 Code, as added by Act 299 of 2004, is amended to read:

"CHAPTER 62
South Carolina Motion Picture Incentive Act

Section 12-62-10.   This chapter may be cited as the 'South Carolina Motion Picture Incentive Act'.

Section 12-62-20.   For purposes of this chapter:

(1)   'Company' means a corporation, partnership, limited liability company, or other business entity.

(2)   'Department' means the South Carolina Department of Commerce.

(3)   'Motion picture' means a feature-length film, video, television series, or commercial made in whole or in part in South Carolina, and intended for national theatrical or television viewing or as a television pilot produced by a motion picture production company. The term 'motion picture' does not include the production of television coverage of news and athletic events or a production produced by a motion picture production company if records, as required by 18 U.S.C. 2257, are to be maintained by that motion picture production company with respect to any performer portrayed in that single media or multimedia program.

(4)   'Motion picture production company' means a company engaged in the business of producing motion pictures intended for a national theatrical release or for television viewing. 'Motion picture production company' does not mean or include a company owned, affiliated, or controlled, in whole or in part, by a company or person that is in default on a loan made by the State or a loan guaranteed by the State.

(5)   'Payroll' means salary, wages, or other compensation subject to South Carolina income tax withholdings.

(6)   'Secretary' means the Secretary of the Department of Commerce or his designee.

Section 12-62-30.   Notwithstanding the provisions of Section 12-36-2120(43), A motion picture production company that intends to expend in the aggregate two hundred fifty thousand dollars or more in connection with the filming or production of one or more motion pictures in the State of South Carolina within a consecutive twelve-month period, upon making application for, meeting the requirements of, and receiving written certification of that designation from the department as provided in this chapter, shall be relieved from the payment of state and local sales and use taxes administered and collected by the Department of Revenue on funds expended in South Carolina in connection with the filming or production of a motion picture or pictures. The production of television coverage of news and athletic events is specifically excluded from the provisions of this chapter. The provisions of this chapter do not apply to a sales and use tax levied by a local governmental subdivision.

Section 12-62-40.   (A)   A motion picture production company that intends to film all, or parts of, a motion picture in South Carolina and desires to be relieved from the payment of the state and local sales and use tax taxes, administered and collected by the Department of Revenue, as provided in this chapter shall provide an estimate of total expenditures expected to be made in South Carolina in connection with the filming or production of the motion picture. The estimate of expenditures must be filed with the department before the commencement of filming in South Carolina.

(B)   At the time the motion picture production company provides the estimate of expenditures to the department, it also shall designate a member or representative of the motion picture production company to work with the department and the Department of Revenue on reporting of expenditures and other information necessary to take advantage of the tax relief afforded by this chapter.

(C)(1)   An application for the tax relief provided by this chapter must be accepted only from those motion picture production companies that report anticipated expenditures in the State in the aggregate equal to or exceeding two hundred fifty thousand dollars in connection with the filming or production of one or more motion pictures in the State within a consecutive twelve-month period.

(2)   The application must be approved by the Director of the South Carolina Film Commission secretary.

(3)   Once the application is approved by the Director of the South Carolina Film Commission secretary, the Department of Revenue shall issue a written certification of state sales and use tax exemption certificate to the motion picture production company as evidence of the exemption. The exemption is effective on the date the application is approved by the secretary.

(D)   A motion picture production company that is approved for relief from the payment of sales and use taxes as provided by this chapter and that and receives a sales and use tax exemption certificate but fails to expend two hundred fifty thousand dollars within a consecutive twelve-month period is liable for the sales and use taxes that would have been paid had the approval not been granted; except, that the motion picture production company must be given a sixty-day period in which to pay the sales and use taxes without incurring penalties. The sales and use taxes are considered due as of the date that taxable expenditures are made the tangible personal property was purchased in or brought into South Carolina for use, storage, or consumption.

(E)   Upon completion of the motion picture, the motion picture production company must return the sales and use tax exemption certificate to the Department of Revenue and submit a report to the department of the actual expenditures made in South Carolina in connection with the filming or production of the motion picture.

Section 12-62-50.   (A)   A motion picture production company is entitled to a tax rebate for the employment of persons subject to South Carolina income tax withholdings in connection with production of a motion picture. The rebate is equal to five percent of the total aggregate South Carolina payroll for persons subject to South Carolina income tax withholdings employed in connection with the production when total production costs in South Carolina equal or exceed one million dollars during the taxable year. The rebate may not exceed the amount withheld on South Carolina income tax withholdings. For purposes of this section, 'total aggregate payroll' does not include the salary of an employee whose salary is equal to or greater than one million dollars for each motion picture.

(B)   The rebate must be applied exclusively to film production employee payroll in South Carolina by the motion picture production company.

(C)   The rebate must be distributed to the motion picture production company at the completion of physical production and support activities. This credit must follow the same procedures as established pursuant to Section 12-10-81(B)(1), (B)(2), (B)(6), (B)(8), and (G).

(1)   A motion picture production company that employs an employee in connection with the filming or post-production of a motion picture is entitled to a rebate equal to five percent of all taxable wages paid in connection with the employee's work on the motion picture in South Carolina, if more than one million dollars in production costs are incurred in South Carolina in twelve consecutive months in connection with the motion picture.

(2)(a)   For purposes of this section, an employee is an individual directly involved in the filming or post-production of a motion picture in South Carolina and who is an employee of a:

(i)   motion picture production company that is directly involved in the filming or post-production of a motion picture in South Carolina; or

(ii)   personal service corporation retained by a motion picture production company to provide persons used directly in the filming or post-production of a motion picture in South Carolina; or

(iii)   payroll services or loan out company that is retained by a motion picture production company to provide employees who work directly in the filming or post-production of a motion picture in South Carolina.

(b)   For his wages to qualify for the rebate, the employee must be certified by the department as a qualifying employee and the employee must have had South Carolina income tax withholding withheld and remitted to the Department of Revenue by a company described in item (2)(a).

(3)   The rebate applies with respect to an employee described in subitem (a)(ii) or (iii) only if, before commencement of filming in South Carolina, the personal services corporation, payroll services company, or loan out company is approved and certified by the department, and makes an irrevocable assignment of its rebate to the motion picture production company that produced the motion picture. The assignment must be made on a form provided by the Department of Revenue, which must include a waiver of confidentiality pursuant to Section 12-54-240. Upon assignment, the rebate may be paid only to the motion picture production company.

(4)   The total rebate allowed to the motion picture production company may not exceed the total amount of South Carolina withholding withheld on all employees that are subject to the labor rebate.

(5)   The rebate is not allowed for South Carolina taxable wages in excess of one million dollars paid to a single employee in connection with a single motion picture.

(B)(1)   The rebate provided in subsection (A) is available to the motion picture production company at the end of all filming in South Carolina in connection with the motion picture. The motion picture production company producing the motion picture must apply to the department for a certificate of completion once filming in South Carolina is complete. The motion picture production company must provide the information the department considers necessary to determine if the one million dollar-expenditure requirement has been met.

(2)   A motion picture production company may claim the rebate by filing a request for rebate with the department once the certificate of completion is obtained. The request for rebate must be filed by the last day of February of the year following the year in which the certificate of completion is obtained. To claim the rebate, the motion picture production company and all companies described in subsection (A)(2)(a)(ii) or (iii) must be current with respect to all taxes due and owing the State at the time of filing the request for rebate. If the motion picture production company or a company described in subsection (A)(2)(a)(ii) or (iii) is not current with respect to all taxes due and owing the State, the motion picture production company is permanently barred from claiming the rebate.

(3)   The motion picture production company must attach to its request for rebate a copy of the certificate of completion and a copy of all assignments of the rebate, if applicable.

(C)   A motion picture production company claiming a rebate pursuant to this section, and all companies described in subsection (A)(2)(a)(ii) or (iii), must make payroll books and records available for inspection to the commission and the department at the times requested by the commission or the department. Each motion picture production company claiming the rebate, at the time of filing, must provide a report to both the commission and the department that includes the project' s name, the name of each employee that worked on the motion picture, the social security number for each employee, the dates employed, the dates the employee worked on the motion picture, a job description for each employee, the total gross wages for each employee, the South Carolina taxable wages subject to withholding for each employee, the amount of rebate attributable to that employee, and other information considered necessary by the commission or the department. The report also must contain the total amount of withholding attributable to all employees that worked on the motion picture in South Carolina.

(D)   For purposes of this section, and as an exception to Section 12-54-240, a motion picture production company and a company described in subsection (A)(2)(a)(ii) or (iii) agree that the commission and the department may share or provide information concerning the request for rebate and the certificate of completion among the respective taxpayers and the respective agencies.

Section 12-62-55.   At the time the motion picture production company is certified by the department, it may make, with the approval of the Coordinating Council, an irrevocable assignment of future payments attributable to the rebates made pursuant to Section 12-62-40 or 12-62-50 to a designated trustee. For purposes of this chapter, 'designated trustee' means the single financier or financial institution designated by the council to receive all assignments of payments made pursuant to this chapter and to the terms of an agreement entered into by the qualifying motion picture production company. If a qualifying motion picture production company elects to assign payments to the designated trustee, the election must be made on a form provided by the department, including a waiver of confidentiality pursuant to Section 12-54-240, and the payments may be paid only to the designated trustee. The qualifying motion picture production company must file an application for the assignment with the secretary no later than thirty days after filming begins in South Carolina.

Section 12-62-60.   (A)(1)   An amount equal to thirteen percent of the general fund portion of admissions tax collected by the State of South Carolina for the previous fiscal year must be funded annually by September first to the department for the exclusive use of the South Carolina Film Commission. The South Carolina Film Commission department may rebate to a motion picture production company up to seven percent of the costs of goods and services purchased expenditures made by the motion picture production company in the State if the motion picture production company has a minimum in-state expenditure of one million dollars. The distribution of rebates may not exceed the amount annually funded to the department for the South Carolina Film Commission from the admissions tax collected by the State. This subsection does not apply to payroll paid for motion picture production employees subject to Section 12-62-50 or money paid to the companies described in Section 12-62-50(A)(2)(a)(ii) or (iii). Unexpended funds from this source may be carried over to the next and succeeding fiscal years.

(B)   Up to seven percent of the amount provided to the department in subsection (A) may be used exclusively for marketing and special events.

(2)(C)   The allocations to motion picture production companies contemplated by this chapter must be made by the Coordinating Council for Economic Development. The Coordinating Council for Economic Development may adopt rules and promulgate regulations for the application for and award of the rebate.

(B)(D)   One percent of the general fund portion of admissions tax collected by the State of South Carolina must be funded to the department for the exclusive use of the South Carolina Film Commission for the promotion of collaborative production and educational efforts between institutions of higher learning in South Carolina and motion picture related entities. The department, in conjunction with the South Carolina Film Commission, shall adopt rules and promulgate regulations necessary to administer this section. Unexpended funds from this source may be carried over to the next and succeeding fiscal years.

(E)   The department shall report annually to the Coordinating Council on the use of all funds pursuant to this section. The report is a public record pursuant to the Freedom of Information Act, Chapter 4 of Title 30, and must be posted annually on the commission's website by January first.

Section 12-62-70.   (A)(1)   Upon a determination by the Director of the Office of General Services Division of the South Carolina Budget and Control Board of the underutilization of state property by a state agency, the South Carolina Film Commission department may negotiate below-market rates for temporary use, no more than twelve months, of space for the underutilized property. The negotiations and temporary use are exempt from the provisions of the State Consolidated Procurement Code. The motion picture production company shall reimburse costs at normal and customary rates incurred by the state agency to the state agency, including costs required to repair any damage caused by the motion picture production company to real or personal property of the State.

(2)   The state agency or local political subdivision that owns the property determined to be underutilized may appeal that determination of underutilization to the Budget and Control Board.

(B)   The State or its political subdivisions may not charge a location or facility fee for properties they own if the properties are used for seven or fewer days as a location or facility in the production of a motion picture. A property may be used for a total of only twenty-one days without location or facility fees in a calendar year. The motion picture production company may be on site no longer than seven days within a thirty-day period without a location or facility fee charge. State-owned or political subdivision-owned properties may recoup all costs they expend on behalf of the motion picture production company including a location or facility fee, after the first seven days, not to exceed two thousand five hundred dollars a day. Whenever possible, the public entity must direct the public property contribution to a charitable entity that is recognized as exempt under Section 501(c)(3) of the Internal Revenue Code. State-owned or political subdivision-owned properties also may recoup costs required to repair damage caused by the motion picture production company to real or personal property of the state agency or political subdivision. The motion picture production company shall reimburse all costs, at the property's normal and customary rates, to the state agency or political subdivisions incurring the costs within twenty-one calendar days of completion of production activities on site. The motion picture production company may use the publicly-owned property only on the days agreed to and approved by the state agency or political subdivision.

Section 12-62-80.   The department may form a South Carolina Film Foundation to solicit donations for the recruitment of motion pictures in furtherance of the purposes of this chapter.

Section 12-62-90.   The end credit roll of a motion picture that utilizes a South Carolina tax credit or rebate must recognize the State of South Carolina with the following statement: 'Filmed in South Carolina pursuant to the South Carolina Motion Picture Incentive Act'; except, that the State of South Carolina reserves the right to refuse the use of South Carolina's name in the credits of a motion picture filmed or produced in the State.

Section 12-62-100. To the extent not already provided, the department may adopt rules and promulgate regulations to carry out the intent and purposes of this chapter."
SECTION   2.   Section 12-36-920(A) of the 1976 Code, as last amended by Act 299 of 2004, is further amended to read:

"(A)(1)   A sales tax equal to seven percent is imposed on the gross proceeds derived from the rental or charges for any rooms, campground spaces, lodgings, or sleeping accommodations furnished to transients by any hotel, inn, tourist court, tourist camp, motel, campground, residence, or any place in which rooms, lodgings, or sleeping accommodations are furnished to transients for a consideration. This tax does not apply where the facilities consist of less than six sleeping rooms, contained on the same premises, which is used as the individual's place of abode. The gross proceeds derived from the lease or rental of sleeping accommodations supplied to the same person for a period of ninety continuous days are not considered proceeds from transients. The tax imposed by this subsection (A) does not apply to additional guest charges as defined in subsection (B).

(2)   A motion picture production company producing a motion picture in the State of South Carolina, as those terms are defined in Chapter 62 of Title 12, is entitled to a rebate from the Department of Revenue of all of the sales taxes on accommodations paid by the motion picture production company for employees of the motion picture production company who have stayed in accommodations in South Carolina for an aggregate of thirty days over a twelve-month period. The motion picture production company must first submit to the Department of Revenue a certification as to the number of days its employees have stayed in accommodations in South Carolina. The rebate of accommodations taxes does not apply to the local accommodations tax authorized by Article 5, Chapter 1, Title 6."
SECTION   3.   Section 1-30-25(D) of the 1976 Code, as last amended by Act 299 of 2004, is further amended to read:

"(D)   State Development Board Department of Commerce, including the South Carolina Film Commission, formerly provided for in Section 13-3-10, et seq., except that the department must make reasonable rules and promulgate reasonable regulations to ensure that funds made available to film projects through its film commission are budgeted and spent so as to further the following objectives:

(1)   stimulation of economic activity to develop the potentialities of the State;

(2)   conservation, restoration, and development of the natural and physical, the human and social, and the economic and productive resources of the State;

(3)   promotion of a system of transportation for the State, through development and expansion of the highway, railroad, port, waterway, and airport systems;

(4)   promotion and correlation of state and local activity in planning public works projects;

(5)   promotion of public interest in the development of the State through cooperation with public agencies, private enterprises, and charitable and social institutions;

(6)   encouragement of industrial development, private business, commercial enterprise, agricultural production, transportation, and the utilization and investment of capital within the State;

(7)   assistance in the development of existing state and interstate trade, commerce, and markets for South Carolina goods and in the removal of barriers to the industrial, commercial, and agricultural development of the State;

(8)   assistance in ensuring stability in employment, increasing the opportunities for employment of the citizens of the State, devising ways and means to raise the living standards of the people of the State;

(9)   enhancement of the general welfare of the people; and

(10) encouragement and consideration as appropriate so as to consider race, gender, and other demographic factors to ensure nondiscrimination, inclusion, and representation of all segments of the State to the greatest extent possible."
SECTION   4.   This act takes effect upon approval by the Governor and applies to taxable years beginning July 1, 2004. /
Renumber sections to conform.
Amend title to conform.

Rep. HINSON explained the amendment.
The amendment was then adopted.

Rep. HINSON proposed the following Amendment No. 2 (Doc Name COUNCIL\BBM\10561MM05), which was adopted:
Amend the bill, as and if amended, Section 12-62-70(B), page 3152-8, line 24, by deleting /behalf of the motion picture production company including a / and inserting:
/ behalf and at the direction of the motion picture production company. including State-owned or political subdivision-owned properties also may recoup a /
Renumber sections to conform.
Amend title to conform.

Rep. HINSON explained the amendment.
The amendment was then adopted.

The Bill, as amended, was read the second time and ordered to third reading.

H. 3086--DEBATE ADJOURNED

Rep. COTTY moved to adjourn debate upon the following Bill until Thursday, January 27, which was adopted:

H. 3086 (Word version) -- Reps. J. R. Smith, Cotty, Chellis, Scarborough, Bales, Brady, Cato, Ceips, Clark, Hamilton, Harrell, Haskins, Leach, Neilson, Perry, D. C. Smith, G. R. Smith, Townsend, Tripp, Vaughn, Walker, Coates, Owens, E. H. Pitts, Littlejohn, Rice, Witherspoon, Hinson, Mahaffey, Duncan, Huggins, Frye, Toole, Hagood and Loftis: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 155 TO TITLE 59 SO AS TO ENACT THE "S.M.A.R.T. (STREAMLINED MANAGEMENT AND ACCOUNTING RESOURCES FOR TEACHING) FUNDING IN EDUCATION ACT", TO PROVIDE FOR THE CONSOLIDATION OF STATE SOURCES OF FUNDING FOR K-12 INTO A SINGLE SOURCE FOR ALLOCATION BY EACH LOCAL SCHOOL DISTRICT AND SPECIAL SCHOOLS INTO AREAS IT DETERMINES BEST ACHIEVE ITS OBJECTIVES AND ENHANCE ITS ACCOUNTABILITY, TO PROVIDE THAT THE FUNDING BE MADE BASED ON SIX GENERAL CATEGORIES FOR WHICH THE FUNDS MUST BE USED, AND TO DESCRIBE THAT THE MONIES WHICH FORM THE POOL OF MONIES IN EACH GENERAL CATEGORY MAY BE TRANSFERRED WITH ONE HUNDRED PERCENT FLEXIBILITY AMONG PROGRAMS WITHIN THAT CATEGORY, TO PROVIDE FOR SOME FLEXIBILITY IN DISTRIBUTION OF FUNDING ACROSS CATEGORIES, AND TO PROVIDE THAT THE S.M.A.R.T. FUNDING PROGRAM WILL BE FUNDED BEGINNING JULY 1, 2005.

H. 3304--DEBATE ADJOURNED

Rep. RICE moved to adjourn debate upon the following Bill until Thursday, January 27, which was adopted:

H. 3304 (Word version) -- Reps. Witherspoon, Wilkins, Harrell, Jennings, Battle, Cotty, Cato, Barfield, Hosey, Allen, Altman, Anderson, Bales, Bowers, Brady, Branham, G. Brown, J. Brown, Chalk, Chellis, Clemmons, Clyburn, Coates, Dantzler, Delleney, Duncan, Edge, Emory, Frye, Funderburk, Hardwick, Harrison, Harvin, Hayes, J. Hines, M. Hines, Kennedy, Kirsh, Lee, Littlejohn, Loftis, McCraw, McGee, McLeod, Merrill, Miller, J. M. Neal, Neilson, Ott, Phillips, M. A. Pitts, Rhoad, Rice, Rivers, Rutherford, Sandifer, Scarborough, J. R. Smith, Taylor, Umphlett, Vick, Viers, Young and Bailey: A BILL TO AMEND TITLE 11, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 48 SO AS TO PROVIDE FOR FURTHER ENFORCEMENT OF THE TOBACCO ESCROW FUND ACT, INCLUDING BOTH CIVIL AND CRIMINAL PENALTIES FOR VIOLATIONS, TO AMEND SECTION 11-47-30, RELATING TO THE REQUIREMENT FOR A TOBACCO PRODUCT MANUFACTURER TO EITHER PARTICIPATE IN THE MASTER SETTLEMENT AGREEMENT OR DEPOSIT MONIES INTO A QUALIFIED ESCROW FUND, SO AS TO PROVIDE THAT ESCROW PAYMENTS REQUIRED OF A NONPARTICIPATING TOBACCO PRODUCTS MANUFACTURER AND ANY REFUND OF AN ESCROW OVERPAYMENT BY SUCH A MANUFACTURER ARE BASED ON UNITS SOLD IN THIS STATE COMPARED WITH MASTER SETTLEMENT AGREEMENT PAYMENTS RATHER THAN AN ALLOCABLE SHARE, TO AMEND SECTIONS 11-49-60 AND 11-49-150, RELATING TO THE POWERS OF THE BOARD OF THE TOBACCO SETTLEMENT REVENUE MANAGEMENT AUTHORITY ACT AND THE CONSENT TO AND APPROVED BY THE GENERAL ASSEMBLY TO THE TOBACCO MASTER SETTLEMENT AGREEMENT, SO AS TO DELETE THE REQUIREMENT THAT THE GENERAL ASSEMBLY APPROVE ANY AMENDMENT TO THE AGREEMENT BEFORE THE BOARD MAY APPROVE SUCH AN AMENDMENT AND TO ALLOW THE BOARD OF THE AUTHORITY TO APPROVE SUCH AMENDMENTS ON BEHALF OF THE STATE IF SUCH AMENDMENTS DO NOT DIMINISH THE RIGHTS AND REMEDIES OF THE AUTHORITY AND BONDHOLDERS.

H. 3009--DEBATE ADJOURNED

Rep. HARRELL moved to adjourn debate upon the following Bill, which was adopted:

H. 3009 (Word version) -- Reps. Wilkins, Harrell, W. D. Smith, Harrison, G. R. Smith, Davenport, Barfield, Young, Kirsh, Leach, E. H. Pitts, Battle, Viers, Clyburn, Littlejohn, Taylor, Brady, Hinson, Clark, Walker, Simrill, Toole, Chalk, Duncan, Bailey, Hagood, Chellis and Edge: A BILL TO ENACT THE "SOUTH CAROLINA RESTRUCTURING ACT OF 2005" INCLUDING PROVISIONS TO AMEND SECTION 1-30-10, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE AGENCIES OF THE EXECUTIVE BRANCH OF STATE GOVERNMENT BY ADDING THE DEPARTMENT OF ADMINISTRATION; BY ADDING SECTION 1-30-125 SO AS TO ESTABLISH THE DEPARTMENT OF ADMINISTRATION AS AN AGENCY OF THE EXECUTIVE BRANCH OF STATE GOVERNMENT TO BE HEADED BY A DIRECTOR APPOINTED BY THE GOVERNOR UPON THE ADVICE AND CONSENT OF THE SENATE, AND TO TRANSFER TO THIS NEWLY CREATED DEPARTMENT CERTAIN OFFICES AND DIVISIONS OF THE STATE BUDGET AND CONTROL BOARD, OFFICE OF THE GOVERNOR, AND OTHER AGENCIES, AND TO PROVIDE FOR TRANSITIONAL AND OTHER PROVISIONS NECESSARY TO ACCOMPLISH THE ABOVE; BY ADDING ARTICLE 6 TO CHAPTER 3 OF TITLE 1 SO AS TO ESTABLISH THE DIVISION OF THE OFFICE OF STATE CHIEF INFORMATION OFFICER WITHIN THE BUDGET AND CONTROL BOARD TO BE HEADED BY THE STATE CHIEF INFORMATION OFFICER, AND TO PROVIDE FOR THE POWERS, DUTIES, AND FUNCTIONS OF THE DIVISION; TO CREATE A JOINT INFORMATION TECHNOLOGY REVIEW COMMITTEE, AN INFORMATION TECHNOLOGY BUSINESS CASE REVIEW PANEL, AND AN INFORMATION TECHNOLOGY ARCHITECTURE OVERSIGHT PANEL AND TO PROVIDE FOR THE FUNCTIONS, POWERS, AND RESPONSIBILITIES OF THE COMMITTEE AND PANELS; AND TO AMEND SECTION 11-35-1580, AS AMENDED, RELATING TO INFORMATION TECHNOLOGY PROCUREMENTS, SO AS TO DELETE CERTAIN RESPONSIBILITIES OF THE INFORMATION TECHNOLOGY MANAGEMENT OFFICE; AND BY ADDING CHAPTER 8 TO TITLE 1 SO AS TO CREATE THE OFFICE OF STATE INSPECTOR GENERAL AS A SEPARATE DIVISION WITHIN THE BUDGET AND CONTROL BOARD, TO PROVIDE THAT THE STATE INSPECTOR GENERAL MUST BE APPOINTED BY THE GOVERNOR UPON THE ADVICE AND CONSENT OF THE SENATE FOR A TERM COTERMINOUS WITH THAT OF THE GOVERNOR, TO PROVIDE FOR THE PURPOSE, DUTIES, RESPONSIBILITIES, AND AUTHORITY OF THE STATE INSPECTOR GENERAL, TO PROVIDE A DEFINITION OF "EXECUTIVE AGENCIES" FOR PURPOSES OF THIS CHAPTER, AND TO PROVIDE FOR THE RECEIPT AND INVESTIGATION OF COMPLAINTS RELATING TO IMPROPER OR UNLAWFUL ACTIVITY WITHIN EXECUTIVE AGENCIES OF THE STATE GOVERNMENT; AND TO AMEND SECTIONS 1-10-10, AS AMENDED, 1-11-20, 1-11-55, 1-11-56, 1-11-57, 1-11-58, 1-11-65, 1-11-67, 1-11-70, 1-11-80, 1-11-90, 1-11-100, 1-11-110, 1-11-180, 1-11-185, 1-11-220, 1-11-225, 1-11-250, 1-11-260, 1-11-270, 1-11-280, 1-11-290, 1-11-300, 1-11-310, 1-11-315, 1-11-320, 1-11-335, 1-11-340, 1-11-435, 2-13-240, AS AMENDED, CHAPTER 9 OF TITLE 3; 10-1-10, 10-1-20, 10-1-30, 10-1-40, 10-1-130; 10-1-190, AS AMENDED, CHAPTER 9 OF TITLE 10; 10-11-50, AS AMENDED, 10-11-90, 10-11-110, 10-11-140, 10-11-330; 11-9-610, 11-9-620, 11-9-630, 11-35-3810, 11-35-3820, 11-35-3830, 11-35-3840, 11-35-4020, ALL AS AMENDED, 44-53-530, 58-9-2540, 59-150-60, AND 59-150-390, ALL RELATING TO VARIOUS AGENCY OR DEPARTMENT PROVISIONS, SO AS TO CONFORM THEM TO THE ABOVE PROVISIONS PERTAINING TO THE NEW DEPARTMENT OF ADMINISTRATION OR TO SUPPLEMENT SUCH PROVISIONS.

H. 3007--REQUESTS FOR DEBATE

The following Bill was taken up:

H. 3007 (Word version) -- Reps. Wilkins, W. D. Smith, Harrell, Cato, Chellis, Harrison, Townsend, Witherspoon, G. R. Smith, Vaughn, Sandifer, Coates, Barfield, Young, Kirsh, Leach, E. H. Pitts, Battle, Viers, Clyburn, Littlejohn, Taylor, Rice, Hinson, Clark, Walker, Bales, Simrill, Mahaffey, Toole, Talley, Umphlett, Brady, Bailey, Hagood, Edge, Clemmons and Huggins: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 12-6-515 SO AS TO REDUCE THE SEVEN PERCENT TOP MARGINAL RATE OF SOUTH CAROLINA INDIVIDUAL INCOME TAX IN EQUAL ANNUAL INCREMENTS OF .225 PERCENT UNTIL A PERMANENT TOP MARGINAL RATE EQUAL TO 4.75 PERCENT IS ACHIEVED AND TO PROVIDE THAT A SCHEDULED REDUCTION IS POSTPONED IF GENERAL FUND REVENUE GROWTH FOR THE APPLICABLE FISCAL YEAR IS LESS THAN TWO PERCENT.

Reps. HARRELL, SCOTT, WEEKS, J. E. SMITH, MILLER, MCLEOD, OTT, JENNINGS, HAYES, BATTLE, LITTLEJOHN, LEACH, G. R. SMITH, DAVENPORT, ANTHONY, PHILLIPS, MACK, BREELAND, YOUNG, CLYBURN and ANDERSON requested debate on the Bill.

H. 3279--RECOMMITTED

The following House Resolution was taken up:

H. 3279 (Word version) -- Reps. Wilkins, W. D. Smith and Tripp: A HOUSE RESOLUTION REQUESTING THE CONGRESS OF THE UNITED STATES TO SUPPORT AND ENACT MEANINGFUL MEDICAL MALPRACTICE REFORM.
Rep. W. D. SMITH moved to recommit the Resolution to the Committee on Invitations and Memorial Resolutions, which was agreed to.

H. 3278--ADOPTED

The following House Resolution was taken up:

H. 3278 (Word version) -- Reps. Wilkins, W. D. Smith, Merrill, Tripp and Viers: A HOUSE RESOLUTION REQUESTING THE SENATE OF THE UNITED STATES TO SUPPORT AND QUICKLY CONFIRM ALL FUTURE NOMINEES OF PRESIDENT GEORGE W. BUSH TO THE UNITED STATES SUPREME COURT.

Whereas, Article II Section 2 of the United States Constitution states the President "shall nominate, and with the advice and consent of the Senate, shall appoint Ambassadors, other public Ministers and Consuls, Judges of the Supreme Court, and all other Officers of the United States;" and

Whereas, there is a high likelihood of at least one vacancy on the United States Supreme Court during the 109th Congress; and

Whereas, there is the possibility of the need to elevate a sitting justice on the United States Supreme Court to the position of Chief Justice during the 109th Congress; and

Whereas, activist judges on some federal courts have frustrated the constitutional structure which prescribes that laws shall be written by elected legislatures; and

Whereas, President George W. Bush has expressed his commitment to appoint federal judges who will strictly interpret the United States Constitution; and

Whereas, in the past, a minority of senators has used dilatory tactics to prevent a Senate floor vote on several of President George W. Bush's judicial nominees, all of whom were reported favorably by the United States Senate Committee on the Judiciary. Now, therefore,

Be it resolved by the House of Representatives:

That the members of the South Carolina House of Representatives, by this resolution, request that the Senate of the United States support and quickly confirm all future nominees of President George W. Bush to the United States Supreme Court.
Be it further resolved that a copy of this resolution be forwarded to the United States Senate and each Senator from South Carolina.

The Resolution was adopted.

H. 3281--ADOPTED

The following House Resolution was taken up:

H. 3281 (Word version) -- Reps. Wilkins, W. D. Smith, Merrill and Tripp: A HOUSE RESOLUTION REQUESTING THE CONGRESS OF THE UNITED STATES TO ENACT NO INCREASES IN PAYROLL TAXES, NO CUTS TO SOCIAL SECURITY BENEFITS, AND OPTIONAL SOCIAL SECURITY PERSONAL RETIREMENT ACCOUNTS.

Whereas, sweeping demographic shifts have led to cost increases and the current Social Security system is facing insolvency; and

Whereas, when the original pay-as-you go program was setup there were forty-two workers per retiree. Now there are only three workers per retiree and that ratio will soon drop to about two to one; and

Whereas, without significant changes costs will exceed revenues in 2018 and the system will not be able to pay any benefits by 2042. The resulting effect will be that anyone born after the year 1970 will not receive any Social Security benefits; and

Whereas, to remedy this situation under the current system would require either a fifty percent tax increase on every working American or a thirty percent benefit cut; and

Whereas, allowing younger workers to invest a portion of their income in personal retirement accounts would facilitate a greater rate of return and retirement security while avoiding any benefit cuts and/or tax increases. Now, therefore,

Be it resolved by the House of Representatives:

That the members of the South Carolina House of Representatives, by this resolution, request the Congress of the United States to enact no increases in payroll taxes, no cuts to Social Security benefits, and optional Social Security Personal Retirement Accounts.

Be it further resolved that a copy of this resolution be forwarded to the United States Senate, the United States House of Representatives, and to each member of the South Carolina Congressional Delegation.

The Resolution was adopted.

H. 3322--RECOMMITTED

The following House Resolution was taken up:

H. 3322 (Word version) -- Reps. Cato and Tripp: A HOUSE RESOLUTION REQUESTING THE CONGRESS OF THE UNITED STATES TO SUPPORT AND ENACT MEANINGFUL CLASS ACTION AND LEGAL REFORM.
Rep. J. E. SMITH moved to recommit the Resolution to the Committee on Invitations and Memorial Resolutions, which was agreed to.

RECURRENCE TO THE MORNING HOUR

Rep. LEACH moved that the House recur to the Morning Hour, which was agreed to.

INTRODUCTION OF BILLS

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

H. 3385 (Word version) -- Rep. J. E. Smith: A BILL TO AMEND SECTION 62-1-302, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO SUBJECT MATTER JURISDICTION OF THE PROBATE COURT, SO AS TO PROVIDE THAT THE MOVING PARTY MUST SHOW, AND THE PROBATE COURT MUST FIND, GOOD CAUSE FOR REMOVAL OF A PROBATE PROCEEDING TO THE CIRCUIT COURT.
Referred to Committee on Judiciary

H. 3386 (Word version) -- Reps. W. D. Smith, Walker, Davenport, Lee, Littlejohn, Mahaffey and Talley: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 2-75-55 SO AS TO PROVIDE WHERE AN AWARD HAS BEEN MADE UNDER THE RESEARCH CENTERS OF ECONOMIC EXCELLENCE ACT TO ONE OR MORE SENIOR RESEARCH UNIVERSITIES WHICH HAVE PARTNERED WITH OTHER STATE OR LOCAL PUBLIC INSTITUTIONS INCLUDING HOSPITALS, ANY SIMILARLY SITUATED STATE OR LOCAL PUBLIC INSTITUTION INCLUDING ANOTHER HOSPITAL MAY PARTICIPATE IN THE RESEARCH PROJECT IF IT MEETS THE CRITERIA REQUIRED OF OTHER PARTICIPANTS AND HAS SUFFICIENT FUNDING FROM OTHER SOURCES TO PARTICIPATE.
Referred to Committee on Ways and Means

H. 3387 (Word version) -- Reps. E. H. Pitts, Hosey, Whipper, Anthony, Clyburn, Hayes, Jefferson and Leach: A BILL TO AMEND SECTION 7-13-760, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE TIME A VOTER HAS TO CAST A BALLOT, SO AS TO DELETE THE FIVE MINUTE LIMITATION A VOTER HAS TO CAST HIS BALLOT.
Referred to Committee on Judiciary

H. 3011--REQUESTS FOR DEBATE

The following Joint Resolution was taken up:

H. 3011 (Word version) -- Reps. Wilkins, Harrison, W. D. Smith, Cato, Harrell, Chellis, G. R. Smith, Coates, Young, Owens, Kirsh, Leach, Battle, Clyburn, Merrill, Rice, Hinson, Clark, Cobb-Hunter, Toole, Chalk, Brady, Edge and Hagood: A JOINT RESOLUTION PROPOSING AN AMENDMENT TO SECTION 7, ARTICLE VI, RELATING TO THE CONSTITUTIONAL OFFICERS OF THIS STATE, SO AS TO DELETE THE COMMISSIONER OF AGRICULTURE AND THE SECRETARY OF STATE FROM THE LIST OF STATE OFFICERS WHICH THE CONSTITUTION REQUIRES TO BE ELECTED AND PROVIDE THAT UPON THE EXPIRATION OF THE TERM OF THESE OFFICERS SERVING IN OFFICE ON THE DATE OF THE RATIFICATION OF THESE PROVISIONS, THEY MUST BE APPOINTED BY THE GOVERNOR, WITH THE ADVICE AND CONSENT OF THE SENATE AND HOUSE OF REPRESENTATIVES, TO SERVE AT HIS PLEASURE AND TO BE REMOVABLE BY HIM FOR ANY REASON; PROPOSING AN AMENDMENT TO SECTION 7, ARTICLE VI, RELATING TO THE CONSTITUTIONAL OFFICERS OF THIS STATE, SO AS TO DELETE THE SUPERINTENDENT OF EDUCATION FROM THE LIST OF STATE OFFICERS WHICH THE CONSTITUTION REQUIRES TO BE ELECTED AND PROVIDE THAT UPON THE EXPIRATION OF THE TERM OF THE SUPERINTENDENT SERVING IN OFFICE ON THE DATE OF THE RATIFICATION OF THIS PROVISION, THE SUPERINTENDENT MUST BE APPOINTED BY THE GOVERNOR, UPON THE ADVICE AND CONSENT OF THE SENATE AND HOUSE OF REPRESENTATIVES, TO SERVE AT HIS PLEASURE AND TO BE REMOVABLE BY HIM FOR ANY REASON; AND PROPOSING AN AMENDMENT TO SECTION 1, ARTICLE XI, RELATING TO THE STATE BOARD OF EDUCATION, SO AS TO ABOLISH THE BOARD EFFECTIVE UPON THE STATE SUPERINTENDENT OF EDUCATION BEING APPOINTED BY THE GOVERNOR.

Reps. HARRISON, WALKER, MAHAFFEY, LITTLEJOHN, SINCLAIR, LUCAS, ANDERSON, J. E. SMITH, OTT, COBB-HUNTER, WEEKS, MCLEOD, HOSEY, HAYES, J. BROWN, J. H. NEAL, PARKS, CLYBURN, KENNEDY, BREELAND, MACK, LEACH, G. R. SMITH, PHILLIPS, ANTHONY and R. BROWN requested debate on the Joint Resolution.

H. 3010--REQUESTS FOR DEBATE

The following Bill was taken up:

H. 3010 (Word version) -- Reps. W. D. Smith, Wilkins, G. R. Smith, Vaughn, Harrison, Davenport, Sandifer, Coates, Young, Leach, Viers, Littlejohn, Rice, Hinson, Clark, Walker, Mahaffey, Duncan, Hagood and Clemmons: A BILL TO AMEND CHAPTER 40, TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CHARTER SCHOOLS, SO AS TO PROVIDE FOR THE CREATION OF A CAROLINA PUBLIC CHARTER SCHOOL DISTRICT, ITS GOVERNANCE, AND ITS POWERS AND DUTIES; AND TO PROVIDE FOR THE MANNER IN WHICH A CHARTER SCHOOL SPONSORED BY THE CAROLINA PUBLIC CHARTER SCHOOL DISTRICT MUST BE FORMED, FUNDED, REGULATED, AND GOVERNED.

Reps. WALKER, TOWNSEND, MILLER, LITTLEJOHN, SINCLAIR, KENNEDY, ANDERSON, J. E. SMITH, FUNDERBURK, J. H. NEAL, OTT, CLYBURN, JEFFERSON, WEEKS, HAYES, RIVERS, R. BROWN, BREELAND, ANTHONY, COBB-HUNTER, D. C. SMITH, G. R. SMITH and J. BROWN requested debate on the Bill.

H. 3009--REQUESTS FOR DEBATE

The following Bill was taken up:

H. 3009 (Word version) -- Reps. Wilkins, Harrell, W. D. Smith, Harrison, G. R. Smith, Davenport, Barfield, Young, Kirsh, Leach, E. H. Pitts, Battle, Viers, Clyburn, Littlejohn, Taylor, Brady, Hinson, Clark, Walker, Simrill, Toole, Chalk, Duncan, Bailey, Hagood, Chellis and Edge: A BILL TO ENACT THE "SOUTH CAROLINA RESTRUCTURING ACT OF 2005" INCLUDING PROVISIONS TO AMEND SECTION 1-30-10, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE AGENCIES OF THE EXECUTIVE BRANCH OF STATE GOVERNMENT BY ADDING THE DEPARTMENT OF ADMINISTRATION; BY ADDING SECTION 1-30-125 SO AS TO ESTABLISH THE DEPARTMENT OF ADMINISTRATION AS AN AGENCY OF THE EXECUTIVE BRANCH OF STATE GOVERNMENT TO BE HEADED BY A DIRECTOR APPOINTED BY THE GOVERNOR UPON THE ADVICE AND CONSENT OF THE SENATE, AND TO TRANSFER TO THIS NEWLY CREATED DEPARTMENT CERTAIN OFFICES AND DIVISIONS OF THE STATE BUDGET AND CONTROL BOARD, OFFICE OF THE GOVERNOR, AND OTHER AGENCIES, AND TO PROVIDE FOR TRANSITIONAL AND OTHER PROVISIONS NECESSARY TO ACCOMPLISH THE ABOVE; BY ADDING ARTICLE 6 TO CHAPTER 3 OF TITLE 1 SO AS TO ESTABLISH THE DIVISION OF THE OFFICE OF STATE CHIEF INFORMATION OFFICER WITHIN THE BUDGET AND CONTROL BOARD TO BE HEADED BY THE STATE CHIEF INFORMATION OFFICER, AND TO PROVIDE FOR THE POWERS, DUTIES, AND FUNCTIONS OF THE DIVISION; TO CREATE A JOINT INFORMATION TECHNOLOGY REVIEW COMMITTEE, AN INFORMATION TECHNOLOGY BUSINESS CASE REVIEW PANEL, AND AN INFORMATION TECHNOLOGY ARCHITECTURE OVERSIGHT PANEL AND TO PROVIDE FOR THE FUNCTIONS, POWERS, AND RESPONSIBILITIES OF THE COMMITTEE AND PANELS; AND TO AMEND SECTION 11-35-1580, AS AMENDED, RELATING TO INFORMATION TECHNOLOGY PROCUREMENTS, SO AS TO DELETE CERTAIN RESPONSIBILITIES OF THE INFORMATION TECHNOLOGY MANAGEMENT OFFICE; AND BY ADDING CHAPTER 8 TO TITLE 1 SO AS TO CREATE THE OFFICE OF STATE INSPECTOR GENERAL AS A SEPARATE DIVISION WITHIN THE BUDGET AND CONTROL BOARD, TO PROVIDE THAT THE STATE INSPECTOR GENERAL MUST BE APPOINTED BY THE GOVERNOR UPON THE ADVICE AND CONSENT OF THE SENATE FOR A TERM COTERMINOUS WITH THAT OF THE GOVERNOR, TO PROVIDE FOR THE PURPOSE, DUTIES, RESPONSIBILITIES, AND AUTHORITY OF THE STATE INSPECTOR GENERAL, TO PROVIDE A DEFINITION OF "EXECUTIVE AGENCIES" FOR PURPOSES OF THIS CHAPTER, AND TO PROVIDE FOR THE RECEIPT AND INVESTIGATION OF COMPLAINTS RELATING TO IMPROPER OR UNLAWFUL ACTIVITY WITHIN EXECUTIVE AGENCIES OF THE STATE GOVERNMENT; AND TO AMEND SECTIONS 1-10-10, AS AMENDED, 1-11-20, 1-11-55, 1-11-56, 1-11-57, 1-11-58, 1-11-65, 1-11-67, 1-11-70, 1-11-80, 1-11-90, 1-11-100, 1-11-110, 1-11-180, 1-11-185, 1-11-220, 1-11-225, 1-11-250, 1-11-260, 1-11-270, 1-11-280, 1-11-290, 1-11-300, 1-11-310, 1-11-315, 1-11-320, 1-11-335, 1-11-340, 1-11-435, 2-13-240, AS AMENDED, CHAPTER 9 OF TITLE 3; 10-1-10, 10-1-20, 10-1-30, 10-1-40, 10-1-130; 10-1-190, AS AMENDED, CHAPTER 9 OF TITLE 10; 10-11-50, AS AMENDED, 10-11-90, 10-11-110, 10-11-140, 10-11-330; 11-9-610, 11-9-620, 11-9-630, 11-35-3810, 11-35-3820, 11-35-3830, 11-35-3840, 11-35-4020, ALL AS AMENDED, 44-53-530, 58-9-2540, 59-150-60, AND 59-150-390, ALL RELATING TO VARIOUS AGENCY OR DEPARTMENT PROVISIONS, SO AS TO CONFORM THEM TO THE ABOVE PROVISIONS PERTAINING TO THE NEW DEPARTMENT OF ADMINISTRATION OR TO SUPPLEMENT SUCH PROVISIONS.

Reps. HARRELL, WALKER, SINCLAIR, J. R. SMITH, BARFIELD, G. R. SMITH, SKELTON, PERRY, OTT, HAYES, DUNCAN, FUNDERBURK, HOSEY, MCLEOD, KENNEDY and ANDERSON requested debate on the Bill.

RECURRENCE TO THE MORNING HOUR

Rep. WALKER moved that the House recur to the Morning Hour, which was agreed to.

H. 3334--RECALLED FROM COMMITTEE ON EDUCATION AND PUBLIC WORKS

On motion of Rep. RICE, with unanimous consent, the following Joint Resolution was ordered recalled from the Committee on Education and Public Works:

H. 3334 (Word version) -- Reps. Cooper, Rice, Hiott, Owens and Skelton: A JOINT RESOLUTION TO CHANGE THE NAME OF EARLE E. MORRIS, JR., HIGHWAY IN ANDERSON AND PICKENS COUNTIES TO SOUTH CAROLINA HIGHWAY 153 AND TO NOTIFY THE COUNTY GOVERNING BODIES AND POST OFFICES AFFECTED BY THE CHANGE.

H. 3007--DEBATE ADJOURNED

Rep. HARRELL moved to adjourn debate upon the following Bill until Thursday, January 27, which was adopted:

H. 3007 (Word version) -- Reps. Wilkins, W. D. Smith, Harrell, Cato, Chellis, Harrison, Townsend, Witherspoon, G. R. Smith, Vaughn, Sandifer, Coates, Barfield, Young, Kirsh, Leach, E. H. Pitts, Battle, Viers, Clyburn, Littlejohn, Taylor, Rice, Hinson, Clark, Walker, Bales, Simrill, Mahaffey, Toole, Talley, Umphlett, Brady, Bailey, Hagood, Edge, Clemmons and Huggins: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 12-6-515 SO AS TO REDUCE THE SEVEN PERCENT TOP MARGINAL RATE OF SOUTH CAROLINA INDIVIDUAL INCOME TAX IN EQUAL ANNUAL INCREMENTS OF .225 PERCENT UNTIL A PERMANENT TOP MARGINAL RATE EQUAL TO 4.75 PERCENT IS ACHIEVED AND TO PROVIDE THAT A SCHEDULED REDUCTION IS POSTPONED IF GENERAL FUND REVENUE GROWTH FOR THE APPLICABLE FISCAL YEAR IS LESS THAN TWO PERCENT.

H. 3011--DEBATE ADJOURNED

Rep. HARRISON moved to adjourn debate upon the following Joint Resolution until Thursday, January 27, which was adopted:

H. 3011 (Word version) -- Reps. Wilkins, Harrison, W. D. Smith, Cato, Harrell, Chellis, G. R. Smith, Coates, Young, Owens, Kirsh, Leach, Battle, Clyburn, Merrill, Rice, Hinson, Clark, Cobb-Hunter, Toole, Chalk, Brady, Edge and Hagood: A JOINT RESOLUTION PROPOSING AN AMENDMENT TO SECTION 7, ARTICLE VI, RELATING TO THE CONSTITUTIONAL OFFICERS OF THIS STATE, SO AS TO DELETE THE COMMISSIONER OF AGRICULTURE AND THE SECRETARY OF STATE FROM THE LIST OF STATE OFFICERS WHICH THE CONSTITUTION REQUIRES TO BE ELECTED AND PROVIDE THAT UPON THE EXPIRATION OF THE TERM OF THESE OFFICERS SERVING IN OFFICE ON THE DATE OF THE RATIFICATION OF THESE PROVISIONS, THEY MUST BE APPOINTED BY THE GOVERNOR, WITH THE ADVICE AND CONSENT OF THE SENATE AND HOUSE OF REPRESENTATIVES, TO SERVE AT HIS PLEASURE AND TO BE REMOVABLE BY HIM FOR ANY REASON; PROPOSING AN AMENDMENT TO SECTION 7, ARTICLE VI, RELATING TO THE CONSTITUTIONAL OFFICERS OF THIS STATE, SO AS TO DELETE THE SUPERINTENDENT OF EDUCATION FROM THE LIST OF STATE OFFICERS WHICH THE CONSTITUTION REQUIRES TO BE ELECTED AND PROVIDE THAT UPON THE EXPIRATION OF THE TERM OF THE SUPERINTENDENT SERVING IN OFFICE ON THE DATE OF THE RATIFICATION OF THIS PROVISION, THE SUPERINTENDENT MUST BE APPOINTED BY THE GOVERNOR, UPON THE ADVICE AND CONSENT OF THE SENATE AND HOUSE OF REPRESENTATIVES, TO SERVE AT HIS PLEASURE AND TO BE REMOVABLE BY HIM FOR ANY REASON; AND PROPOSING AN AMENDMENT TO SECTION 1, ARTICLE XI, RELATING TO THE STATE BOARD OF EDUCATION, SO AS TO ABOLISH THE BOARD EFFECTIVE UPON THE STATE SUPERINTENDENT OF EDUCATION BEING APPOINTED BY THE GOVERNOR.

H. 3010--AMENDED AND ORDERED TO THIRD READING

The following Bill was taken up:

H. 3010 (Word version) -- Reps. W. D. Smith, Wilkins, G. R. Smith, Vaughn, Harrison, Davenport, Sandifer, Coates, Young, Leach, Viers, Littlejohn, Rice, Hinson, Clark, Walker, Mahaffey, Duncan, Hagood and Clemmons: A BILL TO AMEND CHAPTER 40, TITLE 59, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CHARTER SCHOOLS, SO AS TO PROVIDE FOR THE CREATION OF A CAROLINA PUBLIC CHARTER SCHOOL DISTRICT, ITS GOVERNANCE, AND ITS POWERS AND DUTIES; AND TO PROVIDE FOR THE MANNER IN WHICH A CHARTER SCHOOL SPONSORED BY THE CAROLINA PUBLIC CHARTER SCHOOL DISTRICT MUST BE FORMED, FUNDED, REGULATED, AND GOVERNED.

Rep. KENNEDY moved to adjourn debate on the Bill until Thursday, January 27.

Rep. WALKER moved to table the motion.

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

Yeas 65; Nays 43

Those who voted in the affirmative are:

Altman                 Ballentine             Barfield
Bingham                Brady                  Cato
Ceips                  Chalk                  Chellis
Clark                  Clemmons               Cooper
Cotty                  Dantzler               Davenport
Delleney               Duncan                 Edge
Frye                   Hagood                 Haley
Hardwick               Harrell                Harrison
Haskins                Herbkersman            Hinson
Hiott                  Huggins                Leach
Limehouse              Littlejohn             Loftis
Lucas                  Mahaffey               McGee
Merrill                Norman                 Owens
Perry                  Pinson                 E. H. Pitts
Rice                   Sandifer               Scarborough
Simrill                Sinclair               Skelton
D. C. Smith            G. R. Smith            J. R. Smith
Stewart                Talley                 Taylor
Thompson               Toole                  Townsend
Tripp                  Vaughn                 Walker
White                  Whitmire               Wilkins
Witherspoon            Young

Total--65

Those who voted in the negative are:

Agnew                  Allen                  Anderson
Anthony                Bales                  Battle
Bowers                 Branham                Breeland
G. Brown               J. Brown               R. Brown
Clyburn                Cobb-Hunter            Emory
Funderburk             Govan                  Hayes
J. Hines               M. Hines               Hosey
Jefferson              Jennings               Kennedy
Lee                    Mack                   McLeod
Miller                 Moody-Lawrence         J. H. Neal
J. M. Neal             Neilson                Ott
Parks                  Phillips               Rhoad
Rivers                 Rutherford             Scott
G. M. Smith            J. E. Smith            Weeks
Whipper

Total--43

So, the motion to adjourn debate was tabled.

The Education and Public Works Committee proposed the following Amendment No. 1 (Doc Name COUNCIL\GJK\20093SD05), which was adopted:
Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/SECTION   1.   Chapter 40, Title 59 of the 1976 Code is amended to read:

"CHAPTER 40
Charter Schools

Section 59-40-10.   This chapter may be cited as the 'South Carolina Charter Schools Act of 1996'.

Section 59-40-20.   This chapter is enacted to:

(1)   improve student learning;

(2)   increase learning opportunities for students;

(3)   encourage the use of a variety of productive teaching methods;

(4)   establish new forms of accountability for schools;

(5)   create new professional opportunities for teachers, including the opportunity to be responsible for the learning program at the school site; and

(6)   assist South Carolina in reaching academic excellence.

Section 59-40-30.   (A)   In authorizing charter schools, it is the intent of the General Assembly to create a legitimate avenue for parents, teachers, and community members to take responsible risks and create new, innovative, and more flexible ways of educating all children within the public school system. The General Assembly seeks to create an atmosphere in South Carolina's public school systems where research and development in producing different learning opportunities is actively pursued and where classroom teachers are given the flexibility to innovate and the responsibility to be accountable. As such, the provisions of this chapter should be interpreted liberally to support the findings and goals of this chapter and to advance a renewed commitment by the State of South Carolina to the mission, goals, and diversity of public education.

(B)   It is the intent of the General Assembly that creation of this chapter encourages cultural diversity, educational improvement, and academic excellence. Further, it is not the intent of the General Assembly to create a segregated school system but to continue to promote educational improvement and excellence in South Carolina.

Section 59-40-40.   As used in this chapter:

(1)   A 'charter school' means a public, nonsectarian, nonreligious, nonhome-based, nonprofit corporation forming a school which that operates within a public school district or the Carolina Public Charter School District, but is accountable to the local school board of trustees of that district, which that grants its charter.

(2)   A charter school:

(a)   is considered a public school and part of the Carolina Public Charter School District or school district in which it is located for the purposes of state law and the state constitution;

(b)   is subject to all federal and state laws and constitutional provisions prohibiting discrimination on the basis of disability, race, creed, color, gender, national origin, religion, ancestry, or need for special education services;

(c)   must be administered and governed by a governing body in a manner agreed to by the charter school applicant and the sponsor, the governing body to be selected, as provided in Section 59-40-50(B)(9);

(d)   shall may not charge tuition or other charges of any kind pursuant to Section 59-19-90(8) except as may be allowed by the sponsor and is comparable to the charges of the local school district in which the charter school is located.

(3)   'Applicant' means the person who or nonprofit corporate entity that desires to form a charter school and files the necessary application with the Carolina Public Charter School District Board of Trustees or the local school board of trustees in which the charter school is to be located. The applicant also must be the person who applies to the Secretary of State to organize the charter school as a nonprofit corporation.

(4)   'Sponsor' means the Carolina Public Charter School District Board of Trustees or the local school board of trustees in which the charter school is to be located established, as provided by law, from which the charter school applicant requested its charter and which granted approval for the charter school's existence.

(5)   'Certified teacher' means a person currently certified by the State of South Carolina to teach in a public elementary or secondary school or who currently meets the qualification outlined in Sections 59-27-10 and 59-25-115.

(6)   'Noncertified teacher' means an individual considered appropriately qualified for the subject matter taught and who has completed at least one year of study at an accredited college or university and meets the qualifications outlined in Section 59-25-115.

(7)   'Charter committee' means the governing body of a charter school formed by the applicant to govern through the application process and until the election of a board of directors is held. After the election, the board of directors of the corporation must be organized as the governing body and the charter committee is dissolved.

(8)   'Local school district' means any school district in the State except the Carolina Public Charter School District.

Section 59-40-50.   (A)   Except as otherwise provided in this chapter, a charter school is exempt from all provisions of law and regulations applicable to a public school, a school board, or a district, although a charter school may elect to comply with one or more of these provisions of law or regulations.

(B)   A charter school must:

(1)   adhere to the same health, safety, civil rights, and disability rights requirements as are applied to public schools operating in the same school district or, in the case of the Carolina Public Charter School District, the local school district in which the charter school is located;

(2)   meet, but may exceed, the same minimum student attendance requirements as are applied to public schools operating in the same district;

(3)   adhere to the same financial audits, audit procedures, and audit requirements as are applied to public schools operating in the same school district;

(4)   be considered a school district for purposes of tort liability under South Carolina law, except that the tort immunity does not include acts of intentional or wilful racial discrimination by the governing body or employees of the charter school. Employees of charter schools must be relieved of personal liability for any tort or contract related to their school to the same extent that employees of traditional public schools in their school district or, in the case of the Carolina Public Charter School District, the local school district in which the charter school is located are relieved;

(5)   in its discretion hire noncertified teachers in a ratio of up to twenty-five percent of its entire teacher staff; however, if it is a converted charter school, it shall hire in its discretion noncertified teachers in a ratio of up to ten percent of its entire teacher staff. However, in either a new or converted charter school, a teacher teaching in the core academic areas of English/language arts, mathematics, science, or social studies as defined by the federal No Child Left Behind law must be certified in those areas or possess a baccalaureate or graduate degree in the subject he or she is hired to teach. Part-time noncertified teachers are considered pro rata in calculating this percentage based on the hours which they are expected to teach;

(6)   hire in its discretion administrative staff to oversee the daily operation of the school. At least one of the administrative staff must be certified or experienced in the field of school administration;

(7)   admit all children eligible to attend public school in a school district to a charter school operating in that school district, subject to space limitations. However, it is required that the racial composition of the charter school enrollment reflect that of the school district in which the charter school is located or that of the targeted student population which of the local school district that the charter school proposes to serve, to be defined for the purposes of this chapter as differing by no more than twenty percent from that population. This requirement is also subject to the provisions of Section 59-40-70(D). If the number of applications exceeds the capacity of a program, class, grade level, or building, students must be accepted by lot, and there is no appeal to the sponsor;

(8)   not limit or deny admission or show preference in admission decisions to any individual or group of individuals; provided, however, that a charter school may give enrollment priority to a sibling of a pupil already enrolled, children of a charter school employee, and children of the charter committee, provided their enrollment does not constitute more than twenty percent of the enrollment of the charter school;

(9)   elect its board of directors annually. All employees of the charter school and all parents or guardians of students enrolled in the charter school are eligible to participate in the election. Parents or guardians of a student shall have one vote for each student enrolled in the charter school;

(10)   be subject to the Freedom of Information Act, including the charter school and its governing body.

(C)(1)   If a charter school denies admission to a student, the student may appeal the denial to the school board of trustees sponsor. The decision is binding on the student and the charter school.

(2)   If a charter school suspends or expels a student, other charter schools or the local school district in which the charter school is located has the authority but not the obligation to refuse admission to the student.

(3)   The sponsor or the local school district has no obligation to provide extracurricular activities or access to facilities of the school district for extracurricular activities for students enrolled in the charter school; however, the charter contract may include participation in agreed upon interscholastic activities at a designated school within the sponsor local school district. Students participating under this agreement shall must be considered eligible to participate in league events if all other eligibility requirements are met.

(D)   The State is not responsible for student transportation to a charter school unless the charter school is designated by the local school district as the only school selected within the local school district's attendance area.

(E)   The Carolina Public Charter School District board of trustees may not use program funding for transportation.

Section 59-40-60.   (A)   An approved charter application constitutes an agreement, and the terms must be the terms of a contract between the charter school and the sponsor.

(B)   The contract between the charter school and the sponsor shall reflect all agreements regarding the release of the charter school from local school district policies.

(C)   A material revision of the terms of the contract between the charter school and the approving board may be made only with the approval of both parties.

(D)   Except as provided in subsection (F), an applicant who wishes to form a charter school shall:

(1)   organize the charter school as a nonprofit corporation pursuant to the laws of this State;

(2)   form a charter committee for the charter school which includes one or more teachers;

(3)   submit a written charter school application to the local charter school advisory committee and the school board of trustees for the school district in which the charter school is to be located from which the committee is seeking sponsorship.

(E)   A charter committee is responsible for and has the power to:

(1)   submit an application to operate as a charter school, sign a charter school contract, and ensure compliance with all of the requirements for charter schools provided by law;

(2)   employ and contract with teachers and nonteaching employees, contract for other services, and develop pay scales, performance criteria, and discharge policies for its employees. All teachers whether certified or noncertified must undergo the background checks and other investigations required for certified teachers, as provided by law, before they may teach in the charter school; and

(3)   decide all other matters related to the operation of the charter school, including budgeting, curriculum, and operating procedures.

(F)   The charter school application shall be a proposed contract and must include:

(1)   the mission statement of the charter school, which must be consistent with the principles of the General Assembly's purposes pursuant to Section 59-40-20;

(2)   the goals, objectives, and pupil achievement standards to be achieved by the charter school, and a description of the charter school's admission policies and procedures;

(3)   evidence that an adequate number of parents, teachers, pupils, or any combination of them support the formation of a charter school;

(4)   a description of the charter school's educational program, pupil achievement standards, and curriculum which must meet or exceed any content standards adopted by the school district in which the charter school is located State Board of Education and must be designed to enable each pupil to achieve these standards;

(5)   a description of the charter school's plan for evaluating pupil achievement and progress toward accomplishment of the school's achievement standards in addition to state assessments, the timeline for meeting these standards, and the procedures for taking corrective action if that pupil achievement falls below the standards;

(6)   evidence that the plan for the charter school is economically sound, a proposed budget for the term of the charter, a description of the manner in which an annual audit of the financial and administrative operations of the charter school, including any services provided by the school district, is to be conducted;

(7)   a description of the governance and operation of the charter school, including the nature and extent of parental, professional educator, and community involvement in the governance and operation of the charter school;

(8)   a description of how the charter school plans to ensure that the enrollment of the school is similar to the racial composition of the local school district in which the charter school is to be located or the targeted student population of the local school district that the charter school proposed to serve and provide assurance that the school does not conflict with any school district desegregation plan or order in effect for the school district in which the charter school is to be located;

(9)   a description of how the charter school plans to meet the transportation needs of its pupils;

(10)   a description of the building, facilities, and equipment and how they shall be obtained;

(11)   an explanation of the relationship that shall exist between the proposed charter school and its employees, including descriptions of evaluation procedures and evidence that the terms and conditions of employment have been addressed with affected employees;

(12)   a description of a reasonable grievance and termination procedure, as required by this chapter, including notice and a hearing before the governing body of the charter school. The application must state whether or not the provisions of Article 5, Chapter 25 of Title 59 apply to the employment and dismissal of teachers at the charter school;

(13)   a description of student rights and responsibilities, including behavior and discipline standards, and a reasonable hearing procedure, including notice and a hearing before the board of directors of the charter school before expulsion;

(14)   an assumption of liability by the charter school for the activities of the charter school and an agreement that the charter school must indemnify and hold harmless the school district, its servants, agents, and employees, from any and all liability, damage, expense, causes of action, suits, claims, or judgments arising from injury to persons or property or otherwise which arises out of the act, failure to act, or negligence of the charter school, its agents and employees, in connection with or arising out of the activity of the charter school; and

(15)   a description of the types and amounts of insurance coverage to be obtained by the charter school.

(G)   Nothing in this section shall require a charter school applicant to provide a list of prospective or tentatively enrolled students or prospective employees with the application.

Section 59-40-70.   (A)   The Charter School Advisory Committee shall must be established by the State Board of Education to review charter school applications for compliance with established standards that reflect the requirements and intent of this chapter. Members shall must be appointed by the State Board of Education unless otherwise indicated.

(1)   The advisory committee shall consist of eleven members as follows:

(a)   South Carolina Association of Public Charter Schools--the president or his designee and one additional representative from the association;

(b)   South Carolina Association of School Administrators--the executive director or his designee;

(c)   South Carolina Chamber of Commerce--the executive director or his designee and one additional representative from the chamber;

(d)   South Carolina Education Oversight Committee--the chair or a business designee;

(e)   South Carolina Commission on Higher Education--the chair or his designee;

(f)   South Carolina School Boards Association--the executive director or his designee;

(g)   South Carolina Alliance of Black Educators--the president or his designee; and

(h)   One teacher and one parent to be appointed by the State Superintendent of Education.

(2)   As an application is reviewed, a representative from the local school board of trustees of the affected school district from which the committee is seeking sponsorship and a representative of the charter committee shall serve on the advisory committee as ex officio nonvoting members. If the applicant indicates a proposed contractual agreement with the local school district in which the charter school is located, a representative from the local school board of trustees of that district shall serve on the advisory committee as an ex officio, nonvoting member.

(3)   Appointing authorities shall give consideration to the appointment of minorities and women as representatives on the committee.

(4)   The committee shall be convened by the State Superintendent of Education on or before July 1, 2002, who shall serve as interim chair. At the first meeting the membership shall elect a chairman and any other officers it deems necessary.

(5)   The committee shall establish by-laws for its operation which shall must include terms of office for its membership.

(6)(5)   An applicant shall submit the application to the advisory committee and a one copy to the affected school district school board of trustees of the district from which it is seeking sponsorship. In the case of the Carolina Public Charter School District, the applicant shall provide notice of the application to the local school board of trustees in which the charter school will be located for informational purposes only. The advisory committee shall receive input from the school district in which the applicant is seeking sponsorship and shall request clarifying information from the applicant. Within sixty days, An applicant may submit an application to the advisory committee at any time during the fiscal year and the advisory committee, within sixty days, shall determine whether the application is in compliance. An application that is in compliance must be forwarded to the school district from which the applicant is seeking sponsorship with a letter stating the application is in compliance. The letter shall also include a recommendation from the Charter School Advisory Committee to approve or deny the charter. The letter must specify the reasons for its recommendation. This recommendation is nonbinding on the school board of trustees. If the application is in noncompliance, it must be returned to the applicant with deficiencies noted. The applicant may appeal the decision to the State Board of Education.

(B)   The local school board of trustees from which the applicant is seeking sponsorship shall rule on the application for a charter school in a public hearing, upon reasonable public notice, within thirty days after receiving the application. If there is no ruling within thirty days, the application is considered approved. Once the application has been approved by the school board of trustees, the charter school may open at the beginning of the following year. However, before a charter school may open, the State Department of Education shall verify the accuracy of the financial data for the school.

(C)   A local school district board of trustees shall only shall deny an application if the application does not meet the requirements specified in Section 59-40-50 or 59-40-60, fails to meet the spirit and intent of this chapter, or adversely affects, as defined in regulation, the other students in the district in which the charter school is to be located. It shall provide, within ten days, a written explanation of the reasons for denial, citing specific standards related to provisions of Section 59-40-50 or 59-40-60 that the application violates. This written explanation immediately shall must be sent to the charter committee and filed with the State Board of Education and the Charter School Advisory Committee.

(D)   In the event that the racial composition of an applicant's or charter school's enrollment differs from the enrollment of the local school district in which the charter school is to be located or the targeted student population of the local school district by more than twenty percent, despite its best efforts, the local school district board of trustees from which the applicant is seeking sponsorship shall consider the applicant's or the charter school's recruitment efforts and racial composition of the applicant pool in determining whether the applicant or charter school is operating in a nondiscriminatory manner. A finding by the local school district board of trustees that the applicant or charter school is operating in a racially discriminatory manner may justify the denial of a charter school application or the revocation of a charter as provided herein in this section or in Section 59-40-110, as may be applicable. A finding by the local school district board of trustees that the applicant is not operating in a racially discriminatory manner shall justify justifies approval of the charter without regard to the racial percentage requirement if the application is acceptable in all other aspects.

(E)   If the local school district board of trustees from which the applicant is seeking sponsorship denies a charter school application, the charter applicant may appeal the denial to the State Board of Education pursuant to Section 59-40-90.

(F)   If the local school district board of trustees approves the application, it becomes the charter school's sponsor and shall sign the approved application which constitutes a contract with the charter committee of the charter school. A copy of the charter must be filed with the State Board of Education.

(G)   If a local school board of trustees has information that an approved application by the Carolina Public Charter School District adversely affects the other students in its district, as defined in regulation, or that the approval of the application fails to meet the spirit and intent of this chapter, the local school board of trustees may appeal the granting of the charter to the State Board of Education. The state board, within forty-five days, may affirm or reverse the application for action by the Carolina Public Charter School District in accordance with an order of the state board. The State Board of Education shall promulgate regulations outlining procedures for this type of appeal.

Section 59-40-80.   A local school board sponsor may conditionally authorize a charter school before the applicant has secured its space, equipment, facilities, and personnel if the applicant indicates such authority is necessary for it to meet the requirements of this chapter. Conditional authorization does not give rise to any equitable or other claims based on reliance, notwithstanding any promise, parole, written, or otherwise, contained in the authorization or acceptance of it, whether preceding or following the conditional authorization.

Section 59-40-90.   (A)   The State Board of Education, upon receipt of a notice of appeal or upon its own motion, shall review a decision of any local school board of trustees concerning charter schools in accordance with the provisions of this section.

(B)   A charter applicant who wishes to appeal an adverse decision shall provide the State Board of Education and the local school board of trustees issuing the decision with a notice of appeal within ten days of the local board's decision.

(C)   If the notice of appeal or the motion to review by the State Board of Education relates to a local board's decision to deny, refuse to renew, or revoke a charter, the appeal and review process must be as contained in this section. Within thirty forty-five days after receipt of the notice of appeal or the making of a motion to review by the State Board of Education and after reasonable public notice, the State Board of Education, at a public hearing which may be held in the district where the proposed charter school is located, shall review the decision of the local school board of trustees and make its findings known. The state board may affirm or reverse the application for action by the local board in accordance with an order of the state board.

(D)   A final decision of the state board may be appealed by any party to the circuit court for the county in which the proposed charter school is or was to have located.

Section 59-40-100.   (A)   An existing public school may be converted into a charter school if two-thirds of the faculty and instructional staff employed at the school and two-thirds of all voting parents or legal guardians of students enrolled in the school agree to the filing of an application with the local school board of trustees for the conversion and formation of that school into a charter school. All parents Parents or legal guardians of students enrolled in the school must be given the opportunity to vote on the conversion. Parents or guardians of a student shall have one vote for each student enrolled in the school seeking conversion. The application must be submitted pursuant to Section 59-40-70(A)(6) by the principal of that school or his designee who must be considered the applicant. The application must include all information required of other applications pursuant to this chapter. The local school board of trustees shall approve or disapprove this application in the same manner it approves or disapproves other applications.

(B)   A converted charter school shall offer at least the same grades, or nongraded education appropriate for the same ages and education levels of pupils, as offered by the school immediately before conversion, and also may provide additional grades and further educational offerings.

(C)   All students enrolled in the school at the time of conversion must be given priority enrollment.

(D)   Teachers and other employees of a converted school who desire to teach or work at the converted school may do so but shall remain employees of the local school district with the same compensation and benefits including any future increases. The converted charter school quarterly shall reimburse the local school district for the compensation and employer contribution benefits paid to or on behalf of these teachers and employees. The provisions of Article 5, Chapter 25 of Title 59 apply to the employment and dismissal of teachers at a converted school.

(E)   The Carolina Public Charter School District may not sponsor a public school to convert to a charter school.

Section 59-40-110.   (A)   A charter may be approved or renewed for a period of five school years; however, the charter may be revoked or not renewed under the provisions of subsection (C) of this section.

(B)   A charter renewal application must be submitted to the school's sponsor, and it must contain:

(1)   a report on the progress of the charter school in achieving the goals, objectives, pupil achievement standards, and other terms of the initially approved charter application; and

(2)   a financial statement that discloses the costs of administration, instruction, and other spending categories for the charter school that is understandable to the general public and that allows comparison of these costs to other schools or other comparable organizations, in a format required by the State Board of Education.

(C)   A charter must be revoked or not renewed by the sponsor if it determines that the charter school:

(1)   committed a material violation of the conditions, standards, or procedures provided for in the charter application;

(2)   failed to meet or make reasonable progress toward pupil achievement standards identified in the charter application;

(3)   failed to meet generally accepted standards of fiscal management; or

(4)   violated any provision of law from which the charter school was not specifically exempted.

(D)   At least sixty days before not renewing or terminating a charter school, the sponsor shall notify in writing the charter school's governing body of the proposed action. The notification shall state the grounds for the proposed action in reasonable detail. Termination must follow the procedure provided for in this section.

(E)   The charter school's governing body may request in writing a hearing before the sponsor within fourteen days of receiving notice of nonrenewal or termination of the charter. Failure by the school's governing body to make a written request for a hearing within fourteen days must be treated as acquiescence to the proposed action. Upon receiving a timely written request for a hearing, the sponsor shall give reasonable notice to the school's governing body of the hearing date. The sponsor shall conduct a hearing before taking final action. The sponsor shall take final action to renew or not renew a charter by the last day of classes in the last school year for which the charter school is authorized.

(F)   A decision to revoke or not to renew a charter school may be appealed to the state board pursuant to the provisions of Section 59-40-90.

Section 59-40-115.   A charter school may terminate its contract with a sponsor before the five-year term of contract if all parties under contract with the charter school agree to the dissolution. A charter school that terminates its contract with a sponsor directly may seek application for the length of time remaining on its original contract from another sponsor without review from the Charter School Advisory Committee.

Section 59-40-120.   Upon dissolution of a charter school, its assets may not inure to the benefit of any private person. Any assets obtained through restricted agreements with a donor through awards, grants, or gifts must be returned to that entity. All other assets become property of the sponsor.

Section 59-40-130.   (A)   If an employee of a local school district makes a written request for a leave to be employed at a charter school, the school district shall grant the leave for up to five years as requested by the employee. The school district may require that the request for leave or extension of leave be made by the date provided for by state law for the return of teachers' contracts. Employees may return to employment with the local school district at its option with the same teaching or administrative contract status as when they left but without assurance as to the school or supplemental position to which they may be assigned.

(B)   During a leave, the employee may continue to accrue benefits and credits in the South Carolina Retirement System by paying the employee contributions based upon the annual salary of the employee, and the charter school shall pay the employer contribution. The South Carolina Retirement System may impose reasonable requirements to administer this section.

(C)   The provisions of this section do not apply to teachers and other employees of a converted school whose employment relation is governed by Section 59-40-100(C).

Section 59-40-140.   (A)   A local school board of trustees sponsor shall distribute state, county, and school district funds to a charter school as determined by the following formula: The previous year's audited total general fund expenditures, including capital outlay and maintenance, but not including expenditures from bonded indebtedness or debt repayment must be divided by the previous year's weighted students, then increased by the Education Finance Act inflation factor, pursuant to Section 59-20-40, for the years following the audited expenditures, then multiplied by the weighted students enrolled in the charter school, which will be subject to adjustment for student attendance and state budget allocations based on the same criteria as the local school district. These amounts must be verified by the State Department of Education before the first disbursement of funds. All state and local funding must be distributed by the local school district to the charter school monthly beginning July first following approval of the charter school application.

(B)   The Carolina Public Charter School District shall receive and distribute state funds to the charter school as determined by the following formula: the current year's base student cost, as funded by the General Assembly, multiplied by the weighted students enrolled in the charter school, which must be subject to adjustment for student attendance and state budget allocations. However, the Carolina Public Charter School District may not retain more than two percent of its gross revenue for its internal administrative and operating expenses.

(C)   During the year of the charter school's operation, as received, and to the extent allowed by federal law, a sponsor shall distribute to the charter school federal funds which are allocated to the local school district on the basis of the number of special characteristics of the students attending the charter school. These amounts must be verified by the State Department of Education before the first disbursement of funds.

(C)(D)   Notwithstanding subsection (B) (C), the proportionate share of state and federal resources generated by students with disabilities or staff serving them must be directed to charter schools the school district board of trustees. The proportionate share of funds generated under other federal or state categorical aid programs must be directed to charter schools the school district board of trustees serving students eligible for the aid.

(D)(E)   All services centrally or otherwise provided by the school district sponsor or local school district, if any, including, but not limited to, food services, custodial services, maintenance, curriculum, media services, libraries, and warehousing are subject to negotiation between a charter school and the school district sponsor or local school district.

(E)(F)   All awards, grants, or gifts collected by a charter school must be retained by the charter school.

(F)(G)   The governing body of a charter school is authorized to accept gifts, donations, or grants of any kind made to the charter school and to expend or use the gifts, donations, or grants in accordance with the conditions prescribed by the donor. No A gift or donation shall must not be required for admission. However, no a gift, donation, or grant may must not be accepted by the governing board if subject to any a condition contrary to law or contrary to the terms of the contract between the charter school and the governing body. All gifts, donations, or grants must be reported to the local school district sponsor in their annual audit report as required in Section 59-40-50(B)(3).

(G)(H)   A charter school shall report to its sponsor and the Department of Education any change to information provided under its application. In addition, a charter school shall report at least annually to its sponsor and the department all information required by the sponsor or the department and including, at a minimum, the number of students enrolled in the charter school, the success of students in achieving the specific educational goals for which the charter school was established, and the identity and certification status of the teaching staff.

(H)(I)   The sponsor shall provide technical assistance to persons and groups preparing or revising charter applications at no expense.

(I)(J)   Charter schools may acquire by gift, devise, purchase, lease, sublease, installment purchase agreement, land contract, option, or by any other means, and hold and own in its own name buildings or other property for school purposes, and interests in it which are necessary or convenient to fulfill its purposes.

(J)(K)   Charter schools are exempt from all state and local taxation, except the sales tax, on their earnings and property. Instruments of conveyance to or from a charter school are exempt from all types of taxation of local or state taxes and transfer fees.

(K)   For those charter schools established on and after July 1, 2003, during the first year of its operation and upon verification by the State Department of Education that the charter school is receiving funding consistent with this chapter, the local school district shall receive through a state reserve fund established by the General Assembly beginning with fiscal year 2003-2004 an amount equivalent to the base student cost times a 1.0 weighted pupil unit for each student enrolled in the charter school who was enrolled in another noncharter public school in the district on the one hundred thirty-fifth day of the previous school year. The reserve fund shall be available only when the charter school is not initiated or operated by the district. Upon the filing of a charter school application, the State Department of Education must verify to the Charter School Advisory Committee and the affected school district that adequate funds are in the state reserve fund to meet this requirement.

Section 59-40-145.   A child who resides in a school district other than the one where a charter school is located may attend a charter school outside his district of residence; however, the receiving charter school shall have authority to grant or deny permission for the student to attend pursuant to Sections 59-40-40(2)(b) and 59-40-50(B)(7) and (8) according to the terms of the charter after in-district children have been given priority in enrollment. However, the out-of-district enrollment shall not exceed twenty percent of the total enrollment of the charter school without the approval of the sponsoring district board of trustees. The district sending children to the charter school under the terms of this section must be notified immediately of the transferring students. Out-of-district students must be considered based on the order in which their applications are received. If the twenty percent out-of-district enrollment is from one school district, then the sending district must concur with any additional students transferring from that district to attend the charter school. The charter school to which the child is transferring shall be eligible for state and federal funding according to the formula defined in Section 59-40-140(A), (B), and (C), as applicable. However, this section does not apply to a charter school sponsored by the Carolina Public Charter School District Board of Trustees.

Section 59-40-150.   (A)   The Department of Education shall disseminate information to the public, directly and through sponsors, on how to form and operate a charter school and how to utilize the offerings of a charter school.

(B)   At least annually, the department shall provide upon request a directory of all charter schools authorized under this chapter with information concerning the educational goals of each charter school, the success of each charter school in meeting its educational goals, and procedures to apply for admission to each charter school.

(C)   The department shall bear the cost of complying with this section.

Section 59-40-160.   (A)   The State Board of Education shall compile evaluations, to include, but not be limited to, school report cards, of charter schools received from local school boards of trustees sponsors. They shall review information regarding the regulations and policies from which charter schools were released to determine if the releases assisted or impeded the charter schools in meeting their stated goals and objectives.

(B)   The State Board of Education shall review the implementation and effectiveness of this chapter, review comprehensive reports issued by local school boards concerning successes or failures of charter schools, report to the Governor and General Assembly interim results by July 1, 1998, and issue a final report and recommendations to the Governor and General Assembly during the fifth year after the effective date of this chapter.

(C)   In preparing the report required by this section, the State Board of Education shall compare the academic performance of charter school pupils with the performance of ethnically and economically comparable groups of pupils in other public schools who are enrolled in academically comparable courses.

(D)   An impact study shall be conducted by the State Board of Education two years after the implementation of the Charter School Advisory Committee review process to determine the effectiveness of the application process.

Section 59-40-170.   The Department of Education shall make available, upon request, a list of vacant and unused buildings and vacant and unused portions of buildings that are owned by school districts in this State and that may be suitable for the operation of a charter school. The department shall make the list available to applicants for charter schools and to existing charter schools. The list must include the address of each building, a short description of the building, and the name of the owner of the building. Nothing in this section requires the owner of a building on the list to sell or lease the building or a portion of the building to a charter school or to any other school or to any other prospective buyer or tenant. However, if a school district declares a building surplus and chooses to sell or lease the building, a charter school's board of directors or a charter committee operating or applying within the district must be given the first refusal to purchase or lease the building under the same or better terms and conditions as it would be offered to the public.

Section 59-40-180.   The State Board of Education shall promulgate regulations and develop guidelines necessary to implement the provisions of this chapter, including standards which the Charter School Advisory Committee shall use to determine compliance with this chapter and an application process to include a timeline for submission of applications that will allow for final decisions, including state board appeal, by December first of the year preceding the charter school's opening.

Section 59-40-190.   (A)   The governing body of a charter school may sue and be sued. The governing body may not levy taxes or issue bonds.

(B)   A sponsor is not liable for any of the debts of the charter school.

(C)   A sponsor, members of the board of a sponsor, and employees of a sponsor acting in their official capacity are immune from civil or criminal liability with respect to all activities related to a charter school they sponsor. The governing body of a charter school shall obtain at least the amount of and types of insurance required for this purpose.

Section 59-40-200.   Notwithstanding any other provision of this chapter, charter schools with conditional charters, with applications pending with local school district boards, or with planning-implementation grants supported by the Public Charter Schools Grant Program whose timelines stipulate having charter applications approved prior to December 1, 2003, shall apply directly to the local school district board of trustees without review by the charter school advisory committee. An application already on file with the charter school advisory committee before the effective date of Section 59-40-220 is subject to the timeline in effect at the time the application was filed. An application filed after the effective date of Section 59-40-220 is subject to the new time lines established pursuant to this chapter.

Section 59-40-210.   A School established as a private school, on the effective date of this section, which desires to convert to a charter school must dissolve and may not be allowed to open as a charter school for a period of twelve months.

Section 59-40-220.   (A)   The Carolina Public Charter School District is created as a public body. The Carolina Public Charter School District must be considered a local education agency and is eligible to receive state and federal funds and grants available for public charter and other schools. The Carolina Public Charter School District must not have a local tax base and may not receive local property taxes.

(B)   The geographical boundaries of the Carolina Public Charter School District are the same as the boundaries of the State of South Carolina.

(C) The office of the Carolina Public Charter School District Board of Trustees must be housed in and staffed by the Office of the Governor until the 2010-2011 school year at which time it must be transferred to the State Department of Education.

Section 59-40-230.   (A)   The Carolina Public Charter School District must be governed by a board of trustees consisting of not more than eleven members:

(1)   three appointed by the Governor;

(2)   three appointed by the Speaker of the House of Representatives;

(3)   three appointed by the President Pro Tempore of the Senate; and

(4)   two appointed by the State Superintendent of Education.

Each member of the board of trustees shall serve terms of three years, except that, for the initial members, one appointed by the Governor, the Speaker of the House, the President Pro Tempore of the Senate, and the State Superintendent of Education shall serve terms of one year and one appointed by the Governor, the Speaker of the House, the President Pro Tempore of the Senate, and the State Superintend of Education shall serve terms of two years. A member of the board may be removed after appointment pursuant to Section 1-3-240. In making appointments, every effort must be made to ensure that all geographic areas of the State are represented and that the membership reflects urban and rural areas of the State as well as the ethnic diversity of the State.

(B)   The Carolina Public Charter School District Board of Trustees has the same powers, rights, and responsibilities with respect to charter schools as other school district boards of trustees of this State including, but not limited to, sponsoring charter schools and applying for federal charter school grants, except that the Carolina Public Charter School District Board of Trustees may not offer application for a charter school, issue bonds, or levy taxes.

(C)   The Carolina Public Charter School District Board of Trustees annually shall elect a chairman and other officers as it considers necessary from among its membership.

(D)   Members of the Carolina Public Charter School District Board of Trustees are not eligible to receive compensation but are eligible for per diem, mileage, and subsistence as provided by law for members of state boards, committees, and commissions.

(E)   The Carolina Public Charter School District Board of Trustees shall:

(1)   exercise general supervision over public charter schools sponsored by the district;

(2)   grant charter status to qualifying applicants for public charter schools pursuant to this chapter;

(3)   adopt and use an official seal in the authentication of its acts;

(4)   keep a record of its proceedings;

(5)   adopt rules of governance;

(6)   determine the policy of the district and the work undertaken by it;

(7)   prepare a budget for expenditures necessary for the proper maintenance of the board and the accomplishment of its purpose;

(8)   keep financial records in accordance with state and federal accounting codes and procedures;

(9)   comply with and ensure compliance of applicable state and federal regulations;

(10)   procure an outside annual certified financial audit on funds and submit to the State Department of Education as required by the State Department of Education;

(11)   be subject to the Freedom of Information Act.

(F)   The Carolina Public Charter School District Board of Trustees may contract, sue, and be sued.

Section 59-40-210 59-40-240.   If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this chapter is for any reason held to be unconstitutional or invalid, such holding shall not affect the constitutionality or validity of the remaining portions of this chapter, the General Assembly hereby declaring that it would have passed this chapter, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words thereof may be declared to be unconstitutional, invalid, or otherwise ineffective."
SECTION   2.     Section 59-18-920 of the 1976 Code is amended to read:

"Section 59-18-920.   Charter schools established pursuant to Chapter 40, Title 59 will receive a performance rating must report the data requested by the Department of Education necessary to generate a report card. The Department of Education shall utilize this data to issue a report card with performance ratings. and The report card must issue a report card be provided to parents and the public containing the rating ratings and explaining its significance and providing other information similar to that required of other schools in this section. The performance of students attending charter schools must be included in the performance ratings of the sponsoring school district. Alternative schools are included in the requirements of this chapter; however, the purpose of such schools must be taken into consideration in determining their performance rating. The Education Oversight Committee, working with the State Board of Education and the School to Work Advisory Council, will develop a report card for vocational schools."
SECTION   3.   This act takes effect upon approval by the Governor. /
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Amend title to conform.

Rep. WALKER explained the amendment.
The amendment was then adopted.

Reps. RICE and OWENS proposed the following Amendment No. 2 (Doc Name COUNCIL\GJK\20176SD05), which was tabled:
Amend the bill, as and if amended, by adding a new SECTION appropriately numbered to read:
/   SECTION   ____.   Title 59 of the 1976 Code is amended by adding:

"CHAPTER 16
South Carolina Virtual Charter School District

Section 59-16-10.   (A)   The South Carolina Virtual Charter School District is established for the development and delivery of on-line and distance learning education.

(B)   The mission of the South Carolina Virtual Charter School District is to provide students with technology-based educational opportunities to gain the knowledge and skills necessary to succeed. The program established pursuant to this chapter requires a high level of parental participation and a sincere commitment from the students to allow continued participation in the program.

(C)   The boundaries of the South Carolina Virtual Charter School District are the boundaries of the State.

(D)   As used in this chapter, 'district' means the South Carolina Virtual Charter School District.

Section 59-16-20.   (A)   The South Carolina Virtual Charter School District must be governed by a board of trustees comprised of seven members:

(1)   three must be appointed by the Governor;

(2)   two must be appointed by the Speaker of the House of Representatives; and

(3)   two must be appointed by the President Pro Tempore of the Senate.

(B)   The terms of the members must be for three years, except that the initial terms of the members appointed by the Speaker of the House of Representatives must be for one year, and the initial terms of the members appointed by the President Pro Tempore of the Senate must be for two years. Each member shall serve until his successor qualifies. A vacancy must be filled in the manner of the original appointment. The board shall elect a chairman and other officers it determines necessary from among its membership.

(C)   The board shall report annually to the General Assembly. The report must include the school district's status on financing, success of the students, overall status of the district, approved course curriculum, and other information pertinent to the long-term direction of the virtual charter school program.

Section 59-16-30.   The district shall:

(1)   ensure the availability of its programs to students of the State, including students in all geographic areas and students of all races;

(2)   provide the students with the necessary software and hardware along with internet connections to ensure that students of all economic environments have an equal opportunity to participate in the virtual charter school;

(3)   accept students with special needs, students who have been disruptive and have been removed from their traditional school setting, students with a traditional course of study, and students wishing to excel and take advanced placement courses to supplement their school curriculum; and

(4)   hire highly qualified teachers who still want to teach, but wish to get out of the traditional classroom setting.

Section 59-16-40.   Students of the school district must be supervised by a parent, guardian, or another authorized adult to ensure that a high quality of effort and accountability are maintained by each student. Students may learn at home, in a small classroom setting, while traveling, or in another setting that is conducive to learning.

Section 59-16-50.   Students of the school district shall:

(1)   meet the minimum number of instructional days;

(2)   pass exams, progress tests, and other tests to meet the state standards as established by the General Assembly; and

(3)   participate in group and extracurricular activities as approved by the school district.

Section 59-16-60.   The district may be penalized six hundred dollars for failure to advance a student to the next grade level after one school year if the failure to advance was not for a reason approved by the board of trustees of the school district.

Section 59-16-70.   Teachers hired by the district may teach from any location they choose and must be available for student instruction on a student-need basis to help the students proceed at their own pace.

Section 59-16-80.   The district must be funded by the State on an FTE basis and may receive other funds from federal or state grants, private or corporate donations, or other sources that may be available.

Section 59-16-90.   An individual or corporation making a donation to the district shall receive a tax credit equal to one hundred percent of the donation.

Section 59-16-100.   The district may not levy additional taxes or issue bonds without the approval of the General Assembly.

Section 59-16-110.   The board of trustees of the school district may promulgate regulations to carry out the provisions of this chapter and the administration of the South Carolina Virtual Charter School District. /
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Rep. RICE explained the amendment.

Rep. RICE moved to table the amendment, which was agreed to.

Rep. J.H. NEAL proposed the following Amendment No. 4 (Doc Name COUNCIL\PT\2290SJ05), which was tabled:
Amend the bill, as and if amended, Section 59-40-230(A) as contained in SECTION 1, by deleting subsection (A) in its entirety and inserting:
/   Section 59-40-230.   (A)   The Carolina Public Charter School District must be governed by a board of trustees consisting of not more than thirteen members:

(1)   two members must be elected by a plurality vote in a nonpartisan election held at the same time as the next general election from each of the six congressional districts of the State; and

(2)   one member must be elected at large by a plurality vote in a nonpartisan election held at the same time of the next general election from the entire State.

Each member of the board of trustees shall serve a term of four years, except that, for the initial members, one member from each congressional district receiving the fewer number of votes shall serve an initial two-year term. /
Amend the bill further by deleting SECTION 3 in its entirety and inserting:
/   SECTION   3.   This act take effect January 1, 2007, with members of the board of trustees elected in the 2006 general election. /
Renumber sections to conform.
Amend title to conform.

Rep. J. H. NEAL explained the amendment.

Rep. TOWNSEND moved to table the amendment.

Rep. J. H. NEAL demanded the yeas and nays which were taken, resulting as follows:

Yeas 70; Nays 43

Those who voted in the affirmative are:

Bailey                 Ballentine             Barfield
Bingham                Brady                  Cato
Ceips                  Chalk                  Chellis
Clark                  Clemmons               Coates
Cooper                 Cotty                  Dantzler
Davenport              Delleney               Duncan
Edge                   Frye                   Hagood
Haley                  Hardwick               Harrell
Harrison               Haskins                Herbkersman
Hinson                 Hiott                  Huggins
Leach                  Limehouse              Littlejohn
Loftis                 Lucas                  Mahaffey
Martin                 McGee                  Merrill
Norman                 Owens                  Perry
Pinson                 E. H. Pitts            M. A. Pitts
Rice                   Sandifer               Scarborough
Simrill                Sinclair               Skelton
D. C. Smith            G. M. Smith            G. R. Smith
J. R. Smith            W. D. Smith            Stewart
Talley                 Taylor                 Thompson
Toole                  Townsend               Umphlett
Vaughn                 Walker                 White
Whitmire               Wilkins                Witherspoon
Young

Total--70

Those who voted in the negative are:

Agnew                  Allen                  Anderson
Anthony                Battle                 Branham
Breeland               G. Brown               J. Brown
R. Brown               Clyburn                Cobb-Hunter
Coleman                Emory                  Funderburk
Govan                  Hayes                  J. Hines
M. Hines               Hosey                  Howard
Jefferson              Jennings               Kennedy
Kirsh                  Mack                   McCraw
McLeod                 Miller                 Moody-Lawrence
J. H. Neal             J. M. Neal             Ott
Parks                  Phillips               Rhoad
Rivers                 Rutherford             Scott
J. E. Smith            Vick                   Weeks
Whipper

Total--43

So, the amendment was tabled.

SPEAKER PRO TEMPORE IN CHAIR

Rep. ANTHONY proposed the following Amendment No. 5 (Doc Name COUNCIL\PT\2292SJ05), which was tabled:
Amend the bill, as and if amended, Section 59-40-50(B)(5) as contained in SECTION 1, by deleting item (5) in its entirety and inserting:
/     (5)   in its discretion hire noncertified teachers in a ratio of up to twenty-five percent of its entire teacher staff; however, if it is a converted charter school, it shall hire in its discretion noncertified teachers in a ratio of up to ten percent of its entire teacher staff. However, in either a new or converted charter school, a teacher teaching in the core academic areas of English/language arts, mathematics, science, or social studies as defined by the federal No Child Left Behind legislation must be certified in those areas or possess a baccalaureate or graduate degree in the subject he or she is hired to teach and must be paid according to the state's teacher salary schedule to include fringe benefits. Part-time noncertified teachers are considered pro rata in calculating this percentage based on the hours which they are expected to teach; /
Renumber sections to conform.
Amend title to conform.

Rep. ANTHONY explained the amendment.
Rep. ANTHONY spoke in favor of the amendment.

SPEAKER IN CHAIR

Rep. ANTHONY continued speaking.

Rep. WALKER moved to table the amendment.

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

Yeas 66; Nays 48

Those who voted in the affirmative are:

Bailey                 Ballentine             Barfield
Bingham                Brady                  Cato
Ceips                  Chalk                  Chellis
Clark                  Clemmons               Coates
Cotty                  Dantzler               Davenport
Delleney               Duncan                 Edge
Frye                   Hagood                 Haley
Hardwick               Harrell                Herbkersman
Hinson                 Hiott                  Huggins
Leach                  Limehouse              Littlejohn
Loftis                 Lucas                  Mahaffey
McGee                  Merrill                Norman
Owens                  Perry                  Pinson
E. H. Pitts            Rice                   Sandifer
Scarborough            Simrill                Sinclair
Skelton                D. C. Smith            G. M. Smith
G. R. Smith            J. R. Smith            W. D. Smith
Stewart                Talley                 Taylor
Thompson               Toole                  Townsend
Tripp                  Umphlett               Vaughn
Viers                  Walker                 White
Wilkins                Witherspoon            Young

Total--66

Those who voted in the negative are:

Agnew                  Allen                  Anderson
Anthony                Bales                  Battle
Bowers                 Branham                Breeland
G. Brown               J. Brown               R. Brown
Clyburn                Cobb-Hunter            Coleman
Emory                  Funderburk             Govan
Harrison               Hayes                  J. Hines
M. Hines               Hosey                  Howard
Jefferson              Jennings               Kennedy
Kirsh                  Mack                   Martin
McCraw                 McLeod                 Miller
Moody-Lawrence         J. H. Neal             J. M. Neal
Neilson                Ott                    Parks
Phillips               M. A. Pitts            Rhoad
Rivers                 Scott                  J. E. Smith
Vick                   Weeks                  Whipper

Total--48

So, the amendment was tabled.

Rep. MILLER proposed the following Amendment No. 6 (Doc Name COUNCIL\PT\2291SJ05), which was adopted:
Amend the bill, as and if amended, Section 59-40-110(A) as contained in SECTION 1, by adding the following at the end of subsection (A), which was adopted:
/ The sponsor annually shall evaluate the conditions outlined in subsection (C). The annual evaluation results must be used in making a determination for nonrenewal or revocation. /
Amend the bill further, Section 59-40-110(C)(2) as contained in SECTION 1, by deleting item (2) in its entirety and inserting:
/     (2)   FAILED TO MEET OR MAKE REASONABLE PROGRESS, AS DEFINED IN THE CHARTER APPLICATION, TOWARD PUPIL ACHIEVEMENT STANDARDS IDENTIFIED IN THE CHARTER APPLICATION; /
Renumber sections to conform.
Amend title to conform.

Rep. MILLER explained the amendment.
The amendment was then adopted.

LEAVE OF ABSENCE

The SPEAKER granted Rep. M. HINES a leave of absence for the remainder of the day.

Rep. MOODY-LAWRENCE proposed the following Amendment No. 7 (Doc Name COUNCIL\PT\2272SJ05), which was tabled:
Amend the bill, as and if amended, Section 59-40-50, as contained in SECTION 1, by deleting subsection (D) in its entirety and inserting:
/   (D)   The State shall provide student transportation for charter schools in the same manner as for other public schools in the State.   /
Renumber sections to conform.
Amend title to conform.

Rep. MOODY-LAWRENCE explained the amendment.

Rep. TOWNSEND moved to table the amendment.

Rep. MOODY-LAWRENCE demanded the yeas and nays which were taken, resulting as follows:

Yeas 67; Nays 37

Those who voted in the affirmative are:

Bailey                 Ballentine             Barfield
Bingham                Brady                  Cato
Chalk                  Clark                  Clemmons
Coates                 Cotty                  Dantzler
Davenport              Delleney               Duncan
Edge                   Emory                  Frye
Haley                  Hardwick               Harrell
Harrison               Haskins                Herbkersman
Hinson                 Hiott                  Huggins
Kirsh                  Leach                  Loftis
Lucas                  Mahaffey               Martin
McGee                  Merrill                Norman
Owens                  Perry                  Pinson
E. H. Pitts            M. A. Pitts            Rice
Sandifer               Scarborough            Simrill
Sinclair               Skelton                D. C. Smith
G. M. Smith            G. R. Smith            J. R. Smith
W. D. Smith            Stewart                Talley
Taylor                 Thompson               Toole
Townsend               Umphlett               Vaughn
Viers                  Walker                 White
Whitmire               Wilkins                Witherspoon
Young

Total--67

Those who voted in the negative are:

Agnew                  Allen                  Anderson
Anthony                Bales                  Battle
Branham                Breeland               J. Brown
Clyburn                Cobb-Hunter            Funderburk
Govan                  Hayes                  J. Hines
M. Hines               Hosey                  Howard
Jefferson              Jennings               Littlejohn
Mack                   McLeod                 Miller
Moody-Lawrence         J. H. Neal             Neilson
Ott                    Parks                  Phillips
Rhoad                  Rivers                 Scott
J. E. Smith            Vick                   Weeks
Whipper

Total--37

So, the amendment was tabled.

Rep. FUNDERBURK proposed the following Amendment No. 8 (Doc Name COUNCIL\PT\2293SJ05), which was adopted:
Amend the bill, as and if amended, by adding an appropriately numbered SECTION to read:
/ SECTION   __.   Section 59-18-900 of the 1976 Code is amended by adding a subsection at the end to read:

"(G)   The State Board of Education shall promulgate regulations outlining the procedures for data collection, data accuracy, data reporting, and consequences for failure to provide data required in this section." /
Renumber sections to conform.
Amend title to conform.

Rep. FUNDERBURK explained the amendment.
The amendment was then adopted.

Rep. AGNEW proposed the following Amendment No. 9 (Doc Name COUNCIL\PT\2289SJ05), which was tabled:
Amend the bill, as and if amended, Section 59-40-230 as contained in SECTION 1, by deleting subsection (A) in its entirety and inserting:
/   Section 59-40-230.   (A)   The Carolina Public Charter School District must be governed by a board of trustees consisting of not more than eleven members:

(1)   three appointed by the Governor;

(2)   three appointed by the Speaker of the House of Representatives;

(3)   three appointed by the President Pro Tempore of the Senate; and

(4)   two appointed by the State Superintendent of Education.

Each member of the board of trustees shall serve a term of three years, except that, for the initial members, one appointed by the Governor, the Speaker of the House of Representatives, the President Pro Tempore of the Senate, and the State Superintendent of Education shall serve a term of one year and one appointed by the Governor, the Speaker of the House of Representatives, the President Pro Tempore of the Senate, and the State Superintendent of Education shall serve a term of two years. Members of the board are eligible to serve only two consecutive terms. A member of the board may be removed after appointment pursuant to Section 1-3-240. In making appointments, every effort must be made to ensure that all geographic areas of the State are represented and that the membership reflects urban and rural areas of the State as well as the ethnic diversity of the State. /
Renumber sections to conform.
Amend title to conform.

Rep. AGNEW explained the amendment.

Rep. TOWNSEND moved to table the amendment.

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

Yeas 64; Nays 43

Those who voted in the affirmative are:

Bailey                 Barfield               Bingham
Brady                  Cato                   Ceips
Chellis                Clark                  Clemmons
Coates                 Cooper                 Cotty
Dantzler               Davenport              Delleney
Duncan                 Edge                   Frye
Hagood                 Haley                  Hardwick
Harrell                Harrison               Haskins
Herbkersman            Hinson                 Hiott
Huggins                Leach                  Loftis
Lucas                  Mahaffey               Martin
McGee                  Merrill                Norman
Owens                  Perry                  Pinson
E. H. Pitts            M. A. Pitts            Rice
Sandifer               Scarborough            Simrill
Skelton                D. C. Smith            G. R. Smith
J. R. Smith            Stewart                Talley
Taylor                 Toole                  Townsend
Tripp                  Umphlett               Vaughn
Viers                  Walker                 White
Whitmire               Wilkins                Witherspoon
Young

Total--64

Those who voted in the negative are:

Agnew                  Allen                  Anderson
Anthony                Bales                  Battle
Bowers                 Branham                Breeland
J. Brown               Clyburn                Cobb-Hunter
Coleman                Emory                  Funderburk
Govan                  Hayes                  J. Hines
M. Hines               Hosey                  Howard
Jefferson              Jennings               Kirsh
Mack                   McLeod                 Miller
Moody-Lawrence         J. H. Neal             J. M. Neal
Neilson                Ott                    Parks
Rhoad                  Rivers                 Scott
Sinclair               G. M. Smith            J. E. Smith
W. D. Smith            Thompson               Vick
Weeks

Total--43

So, the amendment was tabled.

Rep. MILLER proposed the following Amendment No. 10 (Doc Name COUNCIL\NBD\11198AC05), which was tabled:
Amend the bill, as and if amended, Section 59-40-230(A) as contained in SECTION 1, by deleting subsection (A) in its entirety and inserting:
/   Section 59-40-230.   (A)   The Carolina Public Charter School District must be governed by a board of trustees consisting of not more than thirteen members:

(1)   two members from each congressional district in the State who must be appointed by the respective legislative delegation for each congressional district; and

(2)   one member who must be appointed by the Governor.

Each member of the board of trustees shall serve a term of four years, except that, for the initial members, the member from each congressional district whose name comes last alphabetically shall serve an initial two year term. /
Amend the bill further by deleting SECTION 3 in its entirety and inserting:
/   SECTION   3.   This act take effect January 1, 2007, with members of the board of trustees elected in the 2006 general election. /
Renumber sections to conform.
Amend title to conform.

Rep. MILLER explained the amendment.

Rep. WALKER moved to table the amendment.

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

Yeas 60; Nays 37

Those who voted in the affirmative are:

Bailey                 Ballentine             Bingham
Cato                   Ceips                  Chalk
Chellis                Clark                  Clemmons
Cooper                 Dantzler               Davenport
Delleney               Duncan                 Edge
Frye                   Hagood                 Harrell
Haskins                Herbkersman            Hinson
Hiott                  Leach                  Limehouse
Littlejohn             Lucas                  Mahaffey
Martin                 McGee                  Merrill
Norman                 Owens                  Perry
Pinson                 E. H. Pitts            M. A. Pitts
Rhoad                  Rice                   Simrill
Sinclair               Skelton                D. C. Smith
G. R. Smith            J. R. Smith            W. D. Smith
Stewart                Talley                 Taylor
Toole                  Townsend               Tripp
Umphlett               Vaughn                 Viers
Walker                 White                  Whitmire
Wilkins                Witherspoon            Young

Total--60

Those who voted in the negative are:

Agnew                  Allen                  Anderson
Anthony                Bales                  Battle
Branham                Breeland               G. Brown
J. Brown               Clyburn                Emory
Funderburk             Govan                  Hayes
J. Hines               M. Hines               Hosey
Jefferson              Jennings               Kirsh
Mack                   McCraw                 McLeod
Miller                 Moody-Lawrence         J. H. Neal
Neilson                Ott                    Parks
Phillips               Rivers                 Scott
G. M. Smith            Thompson               Vick
Weeks

Total--37

So, the amendment was tabled.

Rep. J. E. SMITH spoke against the Bill.
Rep. J. H. NEAL spoke against the Bill.
Rep. MACK spoke against the Bill.

SPEAKER PRO TEMPORE IN CHAIR

Rep. MACK continued speaking.
Rep. HOSEY spoke against the Bill.

SPEAKER IN CHAIR

Rep. HOSEY continued speaking.
Rep. MILLER spoke against the Bill.

Rep. MERRILL moved cloture on the entire matter.

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

Yeas 73; Nays 38

Those who voted in the affirmative are:

Bailey                 Ballentine             Barfield
Bingham                Brady                  Cato
Ceips                  Chalk                  Chellis
Clark                  Clemmons               Coates
Cooper                 Cotty                  Dantzler
Davenport              Delleney               Duncan
Edge                   Frye                   Hagood
Haley                  Hardwick               Harrell
Harrison               Haskins                Herbkersman
Hinson                 Hiott                  Huggins
Leach                  Limehouse              Littlejohn
Loftis                 Lucas                  Mahaffey
Martin                 McCraw                 McGee
Merrill                Norman                 Owens
Perry                  Phillips               Pinson
E. H. Pitts            M. A. Pitts            Rhoad
Rice                   Sandifer               Scarborough
Simrill                Sinclair               Skelton
D. C. Smith            G. M. Smith            G. R. Smith
J. R. Smith            Stewart                Talley
Taylor                 Thompson               Toole
Townsend               Umphlett               Vaughn
Viers                  Walker                 White
Whitmire               Wilkins                Witherspoon
Young

Total--73

Those who voted in the negative are:

Agnew                  Allen                  Anderson
Anthony                Bales                  Battle
Bowers                 Branham                Breeland
G. Brown               J. Brown               R. Brown
Clyburn                Cobb-Hunter            Emory
Funderburk             Govan                  Hayes
Hosey                  Jefferson              Kennedy
Kirsh                  Mack                   McLeod
Miller                 Moody-Lawrence         J. H. Neal
J. M. Neal             Neilson                Ott
Parks                  Rivers                 Scott
J. E. Smith            Tripp                  Vick
Weeks                  Whipper

Total--38

So, cloture was ordered.

Rep. GOVAN spoke against the Bill.

ACTING SPEAKER CATO IN CHAIR

Rep. GOVAN continued speaking.

SPEAKER IN CHAIR

Rep. GOVAN continued speaking.
Rep. SCOTT spoke against the Bill.

Pursuant to Rule 7.7 the Yeas and Nays were taken resulting as follows:

Yeas 66; Nays 45

Those who voted in the affirmative are:

Bailey                 Ballentine             Barfield
Bingham                Brady                  Cato
Ceips                  Chalk                  Chellis
Clark                  Clemmons               Coates
Cooper                 Cotty                  Dantzler
Davenport              Delleney               Duncan
Edge                   Hagood                 Haley
Hardwick               Harrell                Harrison
Haskins                Herbkersman            Hinson
Hiott                  Huggins                Leach
Limehouse              Littlejohn             Loftis
Lucas                  Mahaffey               McGee
Merrill                Norman                 Owens
Perry                  Pinson                 E. H. Pitts
Rice                   Sandifer               Scarborough
Simrill                Sinclair               Skelton
D. C. Smith            G. R. Smith            J. R. Smith
W. D. Smith            Talley                 Taylor
Thompson               Toole                  Townsend
Tripp                  Umphlett               Vaughn
Walker                 White                  Whitmire
Wilkins                Witherspoon            Young

Total--66

Those who voted in the negative are:

Agnew                  Allen                  Anderson
Anthony                Bales                  Battle
Bowers                 Branham                Breeland
G. Brown               J. Brown               R. Brown
Clyburn                Cobb-Hunter            Emory
Funderburk             Govan                  Hayes
J. Hines               Hosey                  Howard
Jefferson              Kennedy                Kirsh
Mack                   Martin                 McCraw
McLeod                 Miller                 Moody-Lawrence
J. H. Neal             J. M. Neal             Neilson
Ott                    Parks                  Phillips
M. A. Pitts            Rhoad                  Rivers
Scott                  G. M. Smith            J. E. Smith
Vick                   Weeks                  Whipper

Total--45

So, the Bill, as amended, was read the second time and ordered to third reading.

RECORD FOR VOTING

I was busy with a constituent issue and missed the vote on H. 3010. Please record my vote as in favor of the Bill.

Rep. Jim Stewart

RECURRENCE TO THE MORNING HOUR

Rep. W. D. SMITH moved that the House recur to the Morning Hour, which was agreed to.

MESSAGE FROM THE SENATE

The following was received:

Columbia, S.C., January 26, 2005
Mr. Speaker and Members of the House:
The Senate respectfully informs your Honorable Body that it concurs in the amendments proposed by the House to S. 254:

S. 254 (Word version) -- Senators McGill and Cleary: A BILL TO AMEND ACT 591 OF 1994, RELATING TO THE GEORGETOWN COUNTY BOARD OF ELECTIONS AND REGISTRATION, SO AS TO GIVE THE GEORGETOWN LEGISLATIVE DELEGATION THE SOLE APPOINTIVE POWERS FOR MEMBERS OF THE GEORGETOWN COUNTY BOARD OF ELECTIONS AND REGISTRATION INSTEAD OF BEING APPOINTED BY THE GOVERNOR UPON RECOMMENDATION OF THE GEORGETOWN COUNTY LEGISLATIVE DELEGATION.
and has ordered the Bill Enrolled for Ratification.

Very respectfully,
President
Received as information.

HOUSE RESOLUTION

The following was introduced:

H. 3388 (Word version) -- Reps. Cooper, Wilkins, Agnew, Allen, Altman, Anderson, Anthony, Bailey, Bales, Ballentine, Barfield, Battle, Bingham, Bowers, Brady, Branham, Breeland, G. Brown, J. Brown, R. Brown, Cato, Ceips, Chalk, Chellis, Clark, Clemmons, Clyburn, Coates, Cobb-Hunter, Coleman, Cotty, Dantzler, Davenport, Delleney, Duncan, Edge, Emory, Frye, Funderburk, Govan, Hagood, Haley, Hamilton, Hardwick, Harrell, Harrison, Harvin, Haskins, Hayes, Herbkersman, J. Hines, M. Hines, Hinson, Hiott, Hosey, Howard, Huggins, Jefferson, Jennings, Kennedy, Leach, Lee, Limehouse, Littlejohn, Lloyd, Loftis, Lucas, Mack, Mahaffey, Martin, McCraw, McGee, McLeod, Merrill, Miller, Moody-Lawrence, J. H. Neal, J. M. Neal, Neilson, Norman, Ott, Owens, Parks, Perry, Phillips, Pinson, E. H. Pitts, M. A. Pitts, Rhoad, Rice, Rivers, Rutherford, Sandifer, Scarborough, Scott, Simrill, Sinclair, Skelton, D. C. Smith, F. N. Smith, G. M. Smith, G. R. Smith, J. E. Smith, J. R. Smith, W. D. Smith, Stewart, Talley, Taylor, Thompson, Toole, Townsend, Tripp, Umphlett, Vaughn, Vick, Viers, Walker, Weeks, Whipper, White, Whitmire, Witherspoon and Young: A HOUSE RESOLUTION TO OFFER HEARTFELT CONGRATULATIONS TO THE HONORABLE AND MRS. HERBERT KIRSH OF CLOVER ON THE OCCASION OF THE CELEBRATION OF THEIR FIFTY-FIFTH WEDDING ANNIVERSARY ON JANUARY 29, 2005, AND TO EXTEND TO THEM AND THEIR FAMILY EVERY GOOD WISH FOR SUCCESS, HEALTH, AND CONTINUED HAPPINESS IN THE YEARS TO COME.

The Resolution was adopted.

CONCURRENT RESOLUTION

The following was introduced:

H. 3389 (Word version) -- Reps. Ott, Cobb-Hunter, Govan and Rhoad: A CONCURRENT RESOLUTION TO REQUEST THE DEPARTMENT OF TRANSPORTATION TO NAME U.S. HIGHWAY 601 NORTH, FROM THE I-26 INTERCHANGE THROUGH JAMISON IN ORANGEBURG COUNTY TO THE ORANGEBURG COUNTY LINE, IN HONOR OF THE LATE F. HALL YARBOROUGH, AND TO INSTALL APPROPRIATE MARKERS OR SIGNS ON THE HIGHWAY CONTAINING THE WORDS "F. HALL YARBOROUGH MEMORIAL HIGHWAY".
The Concurrent Resolution was ordered referred to the Committee on Invitations and Memorial Resolutions.

INTRODUCTION OF BILLS

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

H. 3390 (Word version) -- Reps. Taylor, Dantzler, Frye, Littlejohn, J. R. Smith, Toole and Vaughn: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 37-5-119 SO AS TO PROVIDE FOR ASSIGNMENT OF A NONNEGOTIABLE INSTRUMENT TO A COLLECTION AGENCY BY A CREDITOR, TO PROVIDE CRITERIA FOR AN EFFECTIVE ASSIGNMENT OF THE INSTRUMENT, TO PROVIDE FOR PURSUIT OF A CLAIM BY THE ASSIGNEE BASED ON THE INSTRUMENT, AND TO DEFINE "COLLECTION AGENCY"; AND BY ADDING SECTION 37-10-108 SO AS TO PROVIDE FOR ASSIGNMENT OF A RIGHT TO RECEIVE PAYMENT WHICH IS EVIDENCED BY A NONNEGOTIABLE INSTRUMENT AND TO PROVIDE, FURTHER, THAT AN ASSIGNEE IN THE REGULAR COURSE OF BUSINESS MAY BRING AN ACTION ON THE DEBT EVIDENCED BY THE ASSIGNED INSTRUMENT.
Referred to Committee on Labor, Commerce and Industry

H. 3391 (Word version) -- Reps. Toole, E. H. Pitts and Pinson: A BILL TO AMEND SECTION 57-3-610, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE NAMING OF A HIGHWAY FACILITY IN HONOR OF AN INDIVIDUAL, SO AS TO PROVIDE THAT PUBLIC FUNDS MAY NOT BE USED TO REIMBURSE THE DEPARTMENT OF TRANSPORTATION FOR THE EXPENSES IT INCURS TO NAME AND DEDICATE THE HIGHWAY FACILITY.
Referred to Committee on Education and Public Works

H. 3392 (Word version) -- Reps. Toole, Clyburn, Jefferson, Limehouse and Vaughn: A BILL TO AMEND SECTION 59-150-360, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO TUITION ASSISTANCE TO ATTEND A STATE TECHNICAL COLLEGE OR A TWO-YEAR INSTITUTION, SO AS TO PROVIDE THAT IF A STUDENT FEELS THAT HE WILL DEFINITELY NOT QUALIFY TO RECEIVE FEDERAL FINANCIAL AID, THE STUDENT MAY COMPLETE A SIMPLE FORM OF MINIMUM QUESTIONS TO DETERMINE IF THE STUDENT DEFINITELY WILL NOT QUALIFY TO RECEIVE FEDERAL FINANCIAL AID, AND IF SO, THE STUDENT IS EXEMPT FROM COMPLETING THE FREE APPLICATION FOR FEDERAL STUDENT AID.
Referred to Committee on Education and Public Works

H. 3393 (Word version) -- Reps. M. A. Pitts, Anthony, Duncan, Hardwick, Herbkersman, Sinclair and Witherspoon: A BILL TO AMEND SECTION 50-13-1135, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO COMMERCIAL OR NONCOMMERCIAL FISHING LICENSES REQUIRED FOR TAKING NONGAME FISH IN FRESHWATERS WITH CERTAIN FISHING DEVICES, SO AS TO PROVIDE THAT A JUG PERMIT IS NOT REQUIRED FOR RESIDENTS ASSISTING JUG PERMIT HOLDERS.
Referred to Committee on Agriculture, Natural Resources and Environmental Affairs

H. 3394 (Word version) -- Reps. Toole, Limehouse, Altman, Herbkersman, Ceips, Mahaffey and Vaughn: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 59-65-48 SO AS TO PROVIDE THAT A PUBLIC SCHOOL SHALL PROVIDE A PARENT, UPON REQUEST, A COMPLETE HOME SCHOOLING INFORMATION PACKAGE AND PROVIDE WHAT MUST BE INCLUDED IN THE INFORMATION.
Referred to Committee on Education and Public Works

H. 3395 (Word version) -- Reps. Umphlett, Hosey, Bailey, Branham, Cobb-Hunter, Davenport, M. Hines, Phillips, Sinclair and Taylor: A BILL TO AMEND TITLE 40, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 20 TO ENACT THE "SOUTH CAROLINA DIETETICS LICENSURE ACT" SO AS TO ESTABLISH THE SOUTH CAROLINA BOARD OF DIETETICS AND TO PROVIDE FOR ITS MEMBERS, POWERS, AND DUTIES; TO PROVIDE FOR THE LICENSURE AND REGULATION OF PERSONS ENGAGING IN THE PRACTICE OF DIETETICS OR NUTRITION, INCLUDING ESTABLISHING CRITERIA FOR LICENSURE AND LICENSE RENEWAL; TO ESTABLISH THE SCOPE OF PRACTICE FOR DIETITIANS; AND TO PROVIDE GROUNDS FOR MISCONDUCT AND PENALTIES FOR MISCONDUCT, INCLUDING CRIMINAL PENALTIES.
Referred to Committee on Medical, Military, Public and Municipal Affairs

H. 3396 (Word version) -- Reps. Bowers and Rivers: A JOINT RESOLUTION TO PROVIDE THAT SCHOOL DAY MISSED ON SEPTEMBER 27, 2004, BY THE STUDENTS OF SCHOOLS IN HAMPTON SCHOOL DISTRICT ONE IN HAMPTON COUNTY WHEN THE SCHOOLS WERE CLOSED DUE TO ICE OR INCLEMENT WEATHER CONDITIONS IS EXEMPTED FROM THE MAKE-UP REQUIREMENT THAT THE FULL SCHOOL DAY MISSED DUE TO EXTREME WEATHER OR OTHER CIRCUMSTANCES BE MADE UP.
On motion of Rep. BOWERS, with unanimous consent, the Joint Resolution was ordered placed on the Calendar without reference.

H. 3397 (Word version) -- Reps. Townsend and Kirsh: A BILL TO AMEND SECTION 56-3-5010, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE ISSUANCE OF "PUBLIC EDUCATION: A GREAT INVESTMENT" LICENSE PLATES BY THE DEPARTMENT OF MOTOR VEHICLES, SO AS TO PROVIDE THAT THESE LICENSE PLATES MAY BE ISSUED TO OWNERS OF PRIVATE PASSENGER-CARRYING MOTOR VEHICLES THAT FALL INTO CERTAIN WEIGHT CLASSIFICATIONS.
Referred to Committee on Education and Public Works

H. 3398 (Word version) -- Reps. Neilson, Jennings, Bales, Hosey, J. Hines, Altman, Branham, Breeland, J. Brown, Hayes, Leach, Lee, Littlejohn, Lucas, Rhoad, Rice, Scott, Sinclair, G. R. Smith and W. D. Smith: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 38-77-145 SO AS TO REQUIRE THE RELEASE OF THE EXISTENCE AND AMOUNT OF LIABILITY INSURANCE COVERAGE FROM THE POLICY OWNER OF AN AUTOMOBILE INSURANCE POLICY IF A CLAIMANT REQUESTS THAT INFORMATION IN WRITING; AND TO AMEND SECTION 38-77-140, AS AMENDED, RELATING TO THE MINIMUM LIABILITY LIMITS ON AN AUTOMOBILE INSURANCE POLICY, SO AS TO INCREASE THE MINIMUM LIMITS.
Referred to Committee on Labor, Commerce and Industry

H. 3399 (Word version) -- Rep. Lucas: A BILL TO AMEND SECTION 56-5-5015, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO SUNSCREEN DEVICES, SO AS TO PROVIDE THAT THE DEPARTMENT OF MOTOR VEHICLES SHALL ISSUE A MOTOR VEHICLE DECAL TO A PERSON WHO PRESENTS TO IT AN AFFIDAVIT THAT STATES THAT THE PERSON HAS A PHYSICAL CONDITION THAT MAKES IT NECESSARY TO EQUIP HIS MOTOR VEHICLE WITH CERTAIN SUNSCREENING MATERIAL, AND TO PROVIDE THAT THE DECAL MUST BE DISPLAYED ON THE REAR EXTERIOR OF THE VEHICLE.
Referred to Committee on Education and Public Works

S. 15 (Word version) -- Senators McConnell, Elliott, Ritchie, Fair, Ford, Leventis and Campsen: A BILL TO AMEND SECTION 16-3-1515, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO VICTIM NOTIFICATION, SO AS TO REQUIRE THE VICTIM TO PROVIDE HIS NAME AND OTHER PERTINENT INFORMATION TO THE DEPARTMENT OF MENTAL HEALTH AND THE DEPARTMENT OF DISABILITIES AND SPECIAL NEEDS FOR NOTIFICATION PURPOSES; TO AMEND SECTION 16-3-1525, RELATING TO VICTIM NOTIFICATION BY AN AGENCY WHO HAS PHYSICAL CUSTODY OF A PERPETRATOR, SO AS TO REQUIRE THAT A LAW ENFORCEMENT AGENCY MUST PROVIDE A VICTIM'S CONTACT INFORMATION TO A MENTAL HEALTH FACILITY HAVING CUSTODY OF THE PERPETRATOR; TO AMEND SECTION 16-3-1530, RELATING TO NOTIFICATION OF A VICTIM, SO AS TO PROVIDE THAT A VICTIM MUST BE NOTIFIED OF A TRANSFER OR ESCAPE OF A PERPETRATOR WHO WAS FOUND NOT GUILTY BY REASON OF INSANITY; TO AMEND SECTION 16-3-1555, RELATING TO A VICTIM'S RESPONSIBILITY TO PROVIDE SPECIFIC AGENCIES WITH THE VICTIM'S CONTACT INFORMATION, SO AS TO PROVIDE THAT THE DEPARTMENT OF MENTAL HEALTH AND THE DEPARTMENT OF DISABILITIES AND SPECIAL NEEDS MUST NOTIFY A VICTIM OF ANY HEARINGS INVOLVING THE PERPETRATOR; TO AMEND SECTION 16-3-1560, RELATING TO NOTIFICATION TO A VICTIM ABOUT A POST-CONVICTION PROCEEDING, SO AS TO REQUIRE A VICTIM TO UPDATE HIS CURRENT CONTACT INFORMATION WITH THE DEPARTMENT OF MENTAL HEALTH AND THE DEPARTMENT OF DISABILITIES AND SPECIAL NEEDS; TO AMEND SECTION 17-24-40, RELATING TO THE COMMITMENT OF PERSONS FOUND NOT GUILTY BY REASON OF INSANITY, SO AS TO PROVIDE NOTIFICATION TO THE VICTIM OF THE FACT THAT THE PERPETRATOR IS NO LONGER IN NEED OF HOSPITALIZATION; AND TO AMEND SECTION 17-24-80, RELATING TO THE RELEASE OF A PERSON FROM A MENTAL HEALTH FACILITY, SO AS TO INCLUDE NOTIFICATION OF THE RELEASE TO THE VICTIM.
Referred to Committee on Judiciary

S. 18 (Word version) -- Senators McConnell, Moore, Elliott, Ritchie, J. V. Smith, Martin, Knotts, O'Dell, Mescher, Grooms, Hutto, Setzler, Rankin, Ford, Matthews, Land, Verdin, Jackson, Bryant, Alexander, Hawkins, Patterson, Reese, Short, Thomas and Ryberg: A BILL TO AMEND CHAPTER 5, TITLE 58, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING ARTICLE 4 SO AS TO PROVIDE FOR A PROCEDURE FOR THE ADJUSTMENT OF RATES AND CHARGES OF NATURAL GAS DISTRIBUTION UTILITIES TO REFLECT CHANGES IN EXPENSES, REVENUES, INVESTMENTS, DEPRECIATION, AND OTHER CHANGES IN REVENUES AND EXPENSES TO PROVIDE PROCEDURES FOR INTERESTED PARTIES TO CHALLENGE THESE ADJUSTMENTS, AND TO PROVIDE FOR RELATED PROCEDURAL MATTERS.
Referred to Committee on Labor, Commerce and Industry

S. 19 (Word version) -- Senators McConnell, Campsen, Elliott, Hayes, Fair, Richardson and Bryant: A BILL TO RATIFY AN AMENDMENT TO SECTION 1, ARTICLE VIII-A OF THE CONSTITUTION OF SOUTH CAROLINA, 1895, RELATING TO THE POWERS OF THE GENERAL ASSEMBLY PERTAINING TO ALCOHOLIC LIQUORS AND BEVERAGES, SO AS TO REGULATE THEIR SALE IN CONTAINERS OF SUCH SIZE AS THE GENERAL ASSEMBLY CONSIDERS APPROPRIATE.
Referred to Committee on Judiciary

S. 91 (Word version) -- Senators McConnell, Knotts and Elliott: A BILL TO AMEND SECTION 1-7-310, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE TERM OF OFFICE FOR SOLICITORS, SO AS TO PROVIDE THAT A SOLICITOR'S TERM OF OFFICE BEGINS AT NOON ON THE FIRST WEDNESDAY FOLLOWING THE SECOND TUESDAY IN JANUARY FOLLOWING HIS ELECTION AND ENDS AT NOON ON THE FIRST WEDNESDAY FOLLOWING THE SECOND TUESDAY IN JANUARY FOUR YEARS LATER.
Referred to Committee on Judiciary

S. 127 (Word version) -- Senators Martin, Ford, McConnell, Moore, Knotts, Campsen, Elliott, Alexander, Leatherman, Leventis and Malloy: A BILL TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 42-3-250, SO AS TO PROVIDE THAT WORKERS' COMPENSATION COMMISSIONERS ARE BOUND BY THE CODE OF JUDICIAL CONDUCT, AS CONTAINED IN RULE 501 OF THE SOUTH CAROLINA APPELLATE COURT RULES, AND TO REQUIRE WORKERS' COMPENSATION COMMISSIONERS AND THEIR ADMINISTRATIVE ASSISTANTS TO ATTEND YEARLY A WORKSHOP CONCERNING ETHICS AND THE ADMINISTRATIVE PROCEDURES ACT.
Referred to Committee on Judiciary

Rep. VICK moved that the House recede until 6:45 p.m., which was agreed to.

THE HOUSE RESUMES

At 6:45 p.m. the House resumed, the SPEAKER in the Chair.

HOUSE STANDS AT EASE

The House stood at ease, subject to the call of the Chair.

THE HOUSE RESUMES

At 6:55 p.m. the House resumed, the SPEAKER in the Chair.

JOINT ASSEMBLY

At 7:00 p.m. the Senate appeared in the Hall of the House. The President of the Senate called the Joint Assembly to order and announced that it had convened under the terms of a Concurrent Resolution adopted by both Houses.

H. 3292 (Word version) -- Rep. Wilkins: A CONCURRENT RESOLUTION INVITING HIS EXCELLENCY, MARSHALL CLEMENT (MARK) SANFORD, JR., GOVERNOR OF THE STATE OF SOUTH CAROLINA, TO ADDRESS THE GENERAL ASSEMBLY IN JOINT SESSION AT 7:00 P.M. ON WEDNESDAY, JANUARY 26, 2005, IN THE CHAMBER OF THE SOUTH CAROLINA HOUSE OF REPRESENTATIVES.

Governor Marshall C. Sanford, Jr. and distinguished party were escorted to the rostrum by Senators Elliott, Peeler, Rankin, Ryberg and Setzler and Representatives HINSON, MACK, MERRILL, OTT and WALKER. The President of the Senate introduced Governor Sanford who then addressed the Joint Assembly as follows:

State of the State Address
Governor Marshall C. Sanford, Jr.
January 26, 2005

Mr. Speaker, Mr. President, Ladies and Gentleman of the General Assembly, Constitutional Officers and my fellow South Carolinians:

It's an honor to be with you tonight to deliver my view of the state of our State, and if I were to boil it down, I would boil it down to a situation that is improving, but one in which we are not yet out of the woods.

The fact that our state economy and budget have been in the woods over the past few years is well known. And whether we agreed or not on each step taken to bring us through this financial storm is irrelevant to the larger fact that each of you in this Chamber deserves a degree of credit for your part in bringing us through this storm.

It is my hope that we will walk away from this experience and take steps over the next year to avoid repeating what we have just been through. Toward that end, tonight I will lay out why I believe our economy is still at risk, and why I believe it is essential we carefully prioritize what we spend - and, in fact, limit what we spend - so that we can begin to get our state finances in order. I'll then walk through five steps, two in great detail, that I think are key to strengthening our economy and raising incomes. In each choice I lay out , I think tonight is a time for choosing.

Reforms, versus the way things have always been. Spend whatever comes in, or limit our spending so that we can first pay back money borrowed in rough times. Bold steps built around changes in things that help us compete, or just more money at the problem.

There are many categories of our state government that need further reform beyond the five I will discuss tonight: higher education, highway funding, domestic violence and adoption policy are just a few. But I believe this list of five requires our most immediate effort this year. I'll readily admit I don't have all the answers, no one does, but these five propositions have proven to be answers in other states, so I think they are worthy of your action.

I do know if we work together not as Republicans and Democrats, but as South Carolinians, we can make a real difference in more than the budget and the economy - but actually in people's lives. In each of the choices I'll outline, I ask that we take the road less traveled in politics, and make changes and reforms in the way things have been done for too long in our State.

Let's first look at our economy, and I think if you look beyond our borders to the national and international landscape, there are substantial threats looming that necessitate change.

One, we're at war.

I don't know how the situation in Iraq sorts itself out, but I do know the war spreads a gray cloud over what happens next in any economy until it is settled. Wars are expensive, both to the soldier and the taxpayer. On the taxpayer front, we're now spending $6 billion per month in Iraq, this state's budget for the entire year, and for the soldiers in the field, the costs are far greater. Twenty-nine South Carolinians have now been killed in the fighting overseas.

I've asked Staff Sgt. Charles K. Boone to join us for the State of the State. He returned from Iraq in December and was awarded the Purple Heart for the injuries he sustained as he was fired upon while pulling fellow soldiers from a burning vehicle that had been hit in their convoy. I ask that he stand and be recognized for his valor and that you applaud his service, along with the service of every soldier, sailor, airman and marine.

Two, our federal government seems to have lost its ability to simply set priorities.

The federal deficit was $422 billion this year. Add to that, the United States' current account deficit is on its way to more than $650 billion this year - about six percent of the country's GDP and that's relevant because a five percent reading for any third-world nation normally is enough to trigger an IMF intervention.

Our net international debt is approaching 300 percent of annual exports. Again relevant because countries like Brazil and Argentina saw their net indebtedness rise to only slightly more, around 400 percent of their national exports, at the height of their financial crisis.

As a consequence of all of this, we're seeing a dollar that's on increasingly shaky ground.

Those are just the current events facing our national economy. More disturbing, frankly, are the longer trends. Robert Samuelson of the Washington Post recently wrote a fascinating column talking about four long-term trends, all of which negatively impact the driver of our national economy, consumer spending. His points were the following:

One, the economy is bound to lose the stimulus of rising consumer debt.

Household debt, which ranges from home mortgages to credit cards, now totals about $10 trillion, or roughly 115 percent of personal income. In 1945, debt was about 20 percent of disposable income. For six decades consumer debt and spending have risen faster than income. Debt, as we all know, can't permanently rise faster than income, and given their age, baby boomers must at some point soon begin to repay mortgages and save for retirement, which will mean less consumer spending.

Second, the benefits of defeating double-digit inflation are fading.

In 1979, inflation peaked at 13 percent. Now it's 1 to 3 percent, depending on the measure. The steep decline led to big drops in interest rates and big increases in stock prices. Stocks are now 12 times higher than their 1982 level, and with that some people felt wealthier and spent - others were able to borrow and spend - but mortgage rates can't fall again from 15 percent, which means once again, lower consumer spending.

Third, the welfare state, what I call government transfer payments, at the federal level is growing costlier. It's been covered in the past by defense shrinking as a share of the federal budget, but now as baby boomers retire and we look at higher defense spending based on global engagements, paying for future benefits will require higher taxes, bigger budget deficits or deeper cuts in other programs, all of which could hurt economic growth and consumer spending.

Four, the global trading system has become less cohesive, and, in many ways, more threatening.

Let me just make this point: the end of the Cold War - and the addition of the former Soviet Union, India and China into the trading system - has effectively doubled the global labor force from 1.5 billion to 3 billion. Ask any textile worker in the Upstate about this, and they'll tell you it's not at all an abstract concept.

This is not a commentary on global trading, but it is a commentary on the fact that there are four major economic pressures, each of which will likely slow consumer spending in the future, and that could produce a dramatic drag on the state's economy. All of these things point to the need to put our financial house in order rather than fall to the political temptation to spend every new dollar that comes into Columbia.

I can't emphasize enough how important I think it is we start paying back money borrowed from trust funds before we add new and additional spending. For this reason we proposed that new spending not increase at a faster rate than inflation and the growth of our population, and this allows us in our budget to pay back about $200 million of the $400 million owed to trust funds.

I'd ask you do the same because it is a time for choosing, and if we don't choose to hold this line on spending, our government in South Carolina will be growing faster than the people who pay for government.

Walter Edgar's book on the history of South Carolina chronicles the many times that South Carolina has been caught up in events much larger than our State and, in every instance, whether through war, hurricane, fire or the boll weevil, we've survived. We're a hearty lot, and we'll survive these challenges I just outlined, but the question of the night is not can we survive, but how do we thrive?

The underlying precept of this administration has been that to prosper and to thrive economically and academically, things have to change. That has to be our path. What I am encouraged to say is that we have most certainly begun that process because many of you in this room are pushing for change. I could name a lot of you, whether a Democrat like HERB KIRSH or Republicans like GARRY SMITH or REX RICE - but the point is thank you. At times it's been painful, at times it entailed steps much smaller than many of us would have liked, but we've definitely begun that process.

Whether it's through commerce reform, campaign finance reform, the debate on bobtailing, DMV restructuring, change of Senate rules, eliminating pass-throughs in spending, pork and barrel on spending, paying back the $155 million deficit or our new budget approach - we've begun.

But the question is how do we get to a place ten years from now where we're thriving, given the fact that globalization and the Internet are here, and we're directly competing with 1.2 billion Chinese and 1 billion people in India?

Michael Porter, the competitiveness guru from Harvard, thinks the answer, quite simply, is to get more competitive.

Whether in war, whether in sports, whether in business, or in our case in government, you thrive, you do well, by honing your competitive advantages.

On this front, let me walk though the five things I alluded to a few moments ago, some of which are familiar themes that I've talked about for the last couple of years, because I think they're crucial to our state's ability to compete in the global market.

One, we've got to look at our tax load, and always ask the fundamental question, how can we lighten it?

That central question is tied to two basic principles. One - do you believe individuals in South Carolina are better at spending their own money than we are in the political process? Fundamentally, I do. Two - do you believe that the private sector can allocate capital better than the government? Once again, fundamentally, I do.

Now, given the jobs and income picture in our State, it's important we focus on tax changes that would have the greatest impact in creating jobs. That's what the income tax cut we have proposed is all about, and I want to thank BOBBY HARRELL and DAVID WILKINS, along with the entire Ways and Means Committee, for so quickly moving this bill this year. I also thank everyone in the House who was a part of passing it last year.

I'd also thank every Senator who voted for this proposal last year. For the two Republican Senators who didn't vote for it, or Democratic Senators and new Senators uncertain about their vote, I'd ask you to think about how competitive the world has become on tax rates and how it is not a party, but an economic competitiveness, issue. Did you know, for example, that there is effectively no capital gains tax in China? Did you know the flat tax on earned income in Moscow, the former capitol of Soviet communism, right now is around 13 percent? Or that in Slovakia, a little country about the size of our State and formerly trapped behind the Iron Curtain, they've seen $10 billion of direct investment since 1999, and that they agree it's in part because of their flat tax of 19 percent?

I believe if pieces of the former Soviet Union can be competitive on taxes, we can in South Carolina as well. And so I would ask you to pass the income tax bill that will soon be before you in the Senate. It's an installment on larger tax changes still necessary to make us more competitive.

When talking about new jobs in South Carolina, obviously our Department of Commerce has a role and they've done a remarkable job. With 25 percent less in expenditures and personnel, they've gone from $1.2 billion of investment last year to $2.6 billion of investment this year. We need more in government to emulate their efforts of doing more with less. Higher productivity and added value are the essence of competitiveness.

Here is how the income tax cut would help job creation in our State:

1. With small business - Most of the jobs created in our State come from small businesses, yet we penalize those small businesses in what they pay in taxes - and tax large corporations at a lower rate. Corporations pay 5 percent; the little business struggling to make it pays 7 percent. This doesn't make sense to me and our proposal effectively equalizes the rates. I wish we could bring the rate from 7 to 5 percent immediately, but this compromise is a great start that mirrors what the Democratic Governor of New Mexico recently signed, and would help move us toward the kind of job start and employment numbers you see in the states more competitive than we are in income tax. The bottom line is we want to see more little businesses make it. The entrepreneur with a dream, the lady who puts a second mortgage on the house to start the business that had to wait until after the kids finished school, the fellow covered in grease still repairing lawn mowers at half past seven on Friday - these are all economic heroes and they deserve our help.

2. With retirees - One of the mega trends in American society is the retirement of 60 million baby boomers. Whether we do well or poorly in attracting them here is tied to how attractive we are as a State on many fronts, including our taxes. This is a huge economic engine in McCormick County, up at the edge of the mountains, at Santee and along the coast - and we need to grow it.

3. With management teams - Bob Faith is tired of fighting with one arm behind his back to attract corporate offices to our State. We do well in attracting distribution or manufacturing facilities, but we have to go to the next level and attract the home office. That is one of those decisions that is based not just on how it affects the corporation, but on how it affects the wallets of senior management. Once again, our income tax here is keeping us from being competitive.

And so it is again a time for choosing, between a tax system that holds us back and a tax system that allows us to better compete with the rest of the world.

Second, we must become more competitive in education.

I believe passionately in education. I believe passionately in public education, and I'd say 'thank you' to every teacher, principal and administrator out there trying to make a difference in a young person's life. If you send someone out into the 21st century workforce without a first rate education, you are literally doing the equivalent of sending them into battle without a gun. You cannot thrive, you cannot prosper, without a grade 'A' education in today's world - particularly since, as I just mentioned, 1.5 billion new entrants have come into the workforce in the last twenty years.

Part of the solution lies in funding, but I think a bigger part of the solution lies in market-based reforms to the system itself.

First, on the funding front, I think that this administration has done a good job of trying to provide more resources to public education and in working to try and make sure more money gets down to where it will make the biggest difference - with teachers and in the classroom.

In fact, in the two budgets enacted before this administration took office, the total education budget in this State increased by $11 million dollars - an average of just $5.5 million dollars per year. In the two budgets since our administration took office, the total education budget in this State has increased by over $230 million dollars. Credit for that also belongs to Republican budget writers in the House and Senate. This year my budget proposes adding another $100 million dollars to K-12, and all told, the BEA estimates that education funding in our State will top $9,800 dollars per student in the 2005 budget, $9,800 dollars - that's up from about $4,000 twenty years ago and $7,800 just five years ago.

But we have to compliment that funding increase with reform. Some of those reforms you've already begun - for example when you passed the landmark accountability measures of a few years ago. More reform is key, though, because our current system often works against the efforts of a lot of great teachers and doesn't get money to some of the places where it is most needed.

We ultimately have to answer this question: if you live in a world of transformative change, wherein you literally are competing with the likes of China and India in a way that we never have before, can you afford incremental change in something as important as education? As we all know, our founding fathers were very deliberate in setting up a political system that could only move in incremental steps. Any legislatively-wrought change in education will be incremental - though we are in a world that has literally been turned upside down with globalization and the Internet. In fact, politics are very unlikely to change certain long-rooted traditions of our educational past.

I'll give you an example. There was a budget study a few years ago that showed that we could save $20 million dollars if we simply raised the minimum school district size to 2,500 students. We've in fact proposed doing this in our executive budget. In many parts of rural South Carolina, the school district lines go back the 1950s, with the black school district and the white school district. But in those very same parts of South Carolina do you know how much chance there is of changing those districts? About zero. Similarly, we proposed in our budget the Democratic leadership position to require teachers who receive National Board Certification and the $7,500 raise with it to teach in critical need areas or subjects, and yet I have my doubts either one of those ideas will make it through the political process. That's why I continue to believe that what politics won't change, market forces can change.

This is the reason that I'm so interested in this notion of school choice. Said more simply, "If we keep on doing what we've been doing, were going to keep on getting what we've been getting."

I won't chronicle all of the challenges in our educational system, we know they're there - but then again do we? It strikes me that to most people the numbers are abstract, but do we know what they mean in human terms? For instance, we are 49th in the nation in the percentage of kids that don't make their way through high school. One-half of all the kids transiting our educational system don't make it. That, one student at a time, in human terms, is a disaster. There are good people in our state, and I don't think that if people really comprehended the faces behind these numbers that they would accept any system that perpetuated this kind of outcome.

It is with these numbers in mind that I believe in borrowing ideas that work, and that is what got me interested in the notion of educational freedom. In every state that offered more choices to parents, performance went up. Greater latitude to teachers and principals also seemed to yield better results.

Let me give you a little more detail on one of those places. In Milwaukee, there has been a transformative impact as a result of school choice in the lives of overwhelmingly poor black kids in the inner city of Milwaukee. I don't know why we wouldn't want to bring that success story to South Carolina.

In Milwaukee, several things happened. One, public schools got better.

There are approximately 100,000 students in the Milwaukee public school district, and up to 15 percent are allowed to participate in the school choice program. On a per student basis, the choice program receives only half the funding that traditional public schools receive. For every child who attends, more money is available for students in the traditional public school. Acceptance is simply by lottery to any child whose family's income is below 175 percent of the poverty level. Because of overwhelming demand, it has grown from 337 students in 7 schools in 1990, to the full cap of approximately 15,000 students in 130 schools today.

As the choice program has grown, public schools have done better. Not surprisingly, first, because there was compe tition, and second, the kids for whom the public school system was working stayed and the kids for whom it wasn't working left to attend one of the many school choice options. That left more time for the teachers in existing public schools to concentrate on the remaining students.

The big point here is that public schools - existing public schools, actually got better.

All this makes common sense to me because adopting choice in Milwaukee or South Carolina is fundamentally a question about whether you believe in the free market enterprise system. In the history of man, I don't know of a product that has not been made better when subjected to the forces of competition.

Can you imagine accepting the notion that you could only buy Dell computers and Ford cars? Or your gas at one station? Or your clothes at one store? That farmers could only drive John Deere tractors? Every one of those markets are made better because there is competition.

Two, schools in the choice program are smaller and generally hav e a high degree of discipline. For instance, they overwhelmingly wear uniforms.

Let's be clear about this - buildings don't teach, teachers teach. And so, in these small schools of about 100 kids, they often times improvise in warehouse flex space, an office park or a church building - in all kinds of settings. And while there is less focus on the building, there is more focus on making sure that dollars are spent in the classroom.

The Bill and Melinda Gates Foundation has recognized the direct correlation between small school size, or neighborhood schools, and academic performance. For that reason, they have allocated $2.2 billion to their small school initiative. In Milwaukee, market forces have created what we're trying to create legislatively. RONNIE TOWNSEND and Joel Lourie's Neighborhood Schools Bill, which we signed into law last year, is all about what the market has already done in Milwaukee. The Teacher Protection Act was also all about greater discipline in the classroom - discipline that already exists in these small school settings in Milwaukee.

Three, education dollars went further.

This is the intent of our SMART funding bill and the backpacking proposal included in our executive budget - to give local principals and local teachers more discretion on how they spend the money. It happens every day in 137 schools across Milwaukee.

Four, dropout rates fell.

One of the biggest things we can do to improve economic conditions in South Carolina is to have more people graduate from high school.

At the common sense level, what works for one child may not work for another. One thing Jenny and I have seen with our four boys is how different they are from day one, despite the fact that they come from the same nest and same home setting. They're remarkably different, and I think it's important that we recognize that level of diversity within our educational system.

Fifth and finally, people were empowered.

While I'm attracted to this idea because I believe in the market's ability to improve a product and lower the price of that product, probably the more powerful reason to embrace Put Parents In Charge, and this larger notion of school choice, is tied to the fact that it is truly a progressive idea.

The heart of the old Democratic Party was built on the progressive concept of bringing options and opportunities to people who didn't have them. For that reason, the Democratic mayor of Milwaukee, John Norquist, embraced the idea. It's for that reason that Anthony Williams, the Democratic mayor of the District of Columbia, has embraced this idea. It's for that reason that Professor Howard Fuller, the former superintendent of the Milwaukee educational system, not only embraced the idea but has created the Black Alliance for Educational Options, because he believes educational choices bring with them the chance to transform people's lives.

I personally saw those lives being transformed when I was at the Marva Collins School in Milwaukee. Ninety-six percent of all the students are minorities. Seventy-three percent of them come from single-parent households. As I mentioned earlier, a lottery determines admission, so it is pure chance - others call it grace - but, for families who make it into that school, tears of joy are shed because they know the implications. Can you imagine tears being shed because you got into the public school in Allendale or Marion?

This is a gut-check vote and indeed a time for choosing, I believe, on the degree to which we care about not only making changes so that our state can compete on the international playing field, but, more importantly, about making changes that can transform people's lives.

For the State, and for the sake of these kids' lives, I ask for this bill's passage.

Third, we must be more competitive in structuring our government.

High cost government serves no one's purposes and makes us less attractive for private investment. We cannot go on spending money as we do and be competitive.

We cannot go on with our current structure and be competitive. We cannot go on with the lack of accountability inherent in our structure of government and be competitive.

To each of you here in the legislative chamber, I would just make two points. One - you know our proposal - to simply allow voters the chance to give their opinion on their government's structure, better integrating our public healthcare delivery system and much of the administrative oversight now handled by forty-nine other governors - I ask you not water the proposal down so that it is restructuring in name only. Quite literally, the chance to better the services of government and lower the cost of government is in your hands. It is indeed a time for choosing because no issue this year speaks more clearly to our willingness to confront or ignore the changing needs of our State.

Before I leave this subject, I do thank Glenn McConnell for the way he has consistently spoken out in support of what we have proposed. In the same vein, I want to commend Yancey McGill and Kent Williams for the way they demonstrated courage in the debate on Senate Rules. People like Greg Gregory and Greg Ryberg have as well shown a real willingness to lead on the subject of restructuring, and I simply ask you join them.

And I want to add one other thought.

We need to take steps to reform the state retirement system. During the last administration it was recklessly added to with no serious look at the financial ramifications, and, as a consequence, its indebtedness has spiraled by a staggering 2,000 percent to $4.4 billion over the last five years. At present it is simply a ticking time bomb for state retirees, and if we stay on our present course, the cost of living adjustments they had counted on won't be there. Your Comptroller General, Richard Eckstrom, deserves great credit for the way he has highlighted this problem. We have proposed a number of solutions in our budget - and we need to take action this year - but a big part of the solution I believe is in moving new employees from a defined benefit plan to a defined contribution plan.

Fourth, our present legal system is neither fair nor efficient. It needs real reform. Those small business folks I was talking about just a little while ago tell me they can't be competitive and create new jobs unless changes are made. Folks at the hospital where Jenny had all four of our boys tell me the same thing. I believe it is time to follow the other twenty-six states that have modified their legal systems over the last few years, or get ready for a lot of U-Haul trailers headed down I-85 or I-95 with jobs and investment bound for some other state that would have come here if we had changed things.

Once again, it is a time for choosing - between a legal system that hurts small businesses and their chances of competing - and changes that have already been made by half the states in this country.

Finally, there is one more choice before us tonight. Do we enhance the quality of life in South Carolina? I believe quality of life is the last key in our state's ability to compete and thrive.

Richard Florida recently wrote a book called The Creative Class and its premise was that new wealth creation in the 21st century will not come from production, given the relatively inexpensive nature of production from the Far East and third-world countries, instead it will come from the creative process of redesign, marketing and actual invention of a product. This group, which he calls the creative class, is mobile and will gravitate toward areas that have a high-quality lifestyle, which is obviously comprised of many things but let me highlight a few:

1. How do you look and feel as a State? Elizabeth Hagood, chairwoman of the DHEC board, and Mike McShane, chairman of the DNR board, both deserve credit for the way they constantly remind me that quality of life is worthy of continued focus here in South Carolina.

The Vought-Alenia management team ultimately chose Charleston over Mobile and other places around the country because there was a better quality of life. Retirees in many cases come to South Carolina because we don't look like South Florida. So on this front it's worth highlighting a few of the things that happened this year that will make a difference in our ability to compete in this arena.

First, we had a real win this year with the Conservation Bank; you fully funded it and deserve credit for doing so - thank you for that.

We also had a big win on quality of life with the Bonneau Ferry acquisition, and I want to thank former Senator Hollings, DNR director John Frampton, John Luke and the extended "Westvaco family," and Father Kline and his team at Mepkin Abbey for all they did to advance conservation in South Carolina.

2. Another part of quality of life in South Carolina is law enforcement. It is a building block to any functioning society. It's for this reason we proposed adding 425 new law enforcement officers in our budget this year. We have had a law enforcement deficit over the last couple of years, and I'd ask you help alleviate it in the House and Senate budgets. I also want to say thank you to that same law enforcement community, the emergency response team, folks at the Highway department and the Guard for all they did as we dealt with what seemed like a hurricane a week for five weeks this past fall - and more recently the situation in Graniteville.

3. To be competitive in keeping creative people, you don't run over them on the road. Far too many people are killed in South Carolina by drunk drivers. Our .08 legislation needs to be fixed, and I think there is a real conflict when people in this Chamber make money as lawyers as a result of the current system - and then stymie efforts to strengthen .08 legislation. I know JOANN GILHAM and Mothers Against Drunk Driving join the law enforcement community in asking you to change it.

4. Moving our health care system toward more prevention, rather than simply the treatment of illnesses, is key to being competitive. I ask you fund the new prevention grant, cervical and breast cancer screening and cancer research requests we placed in our budget.

5. Next I'd say I can't emphasize enough the importance of each one of us taking steps to become more active. Lifestyle - not money - could add years and quality to every one of our lives. We rank 47th nationwide in overall health while ranking 11th in public health care spending per capita. Nearly 25 percent of South Carolinians are classified as obese. We rank 12th in the nation in number of adults without physical activity.

It was with these statistics in mind that I proposed a Family Fitness Challenge last year to raise awareness on the importance of every one of us being just a bit more active. In this Chamber last year, I proposed kicking it off by riding a bike across the State with whoever would join us. We will match that with another bike ride, some rafting on the Chattooga with my friends at Wildwater and a road race here or there this year because I'll go as many places as time permits to join South Carolinians willing to invest the energy into making a difference in their health.

On all these activities Jenny and the boys are with me. The boys don't know better and usually think it is kind of fun, Jenny does - and whether riding a bike across the State or working on a budget - she is there as my best friend and supporter. It is something I need in this role, and I'd ask you join me in thanking her for her real commitment to our State.

Finally, while on the subject of thank you's let me just end with a couple more.

I want to thank BOBBY HARRELL, Hugh Leatherman, DAVID WILKINS and Glenn McConnell for their work to pass the Fiscal Discipline Act. I think it was absolutely key to paying back the $155 million deficit that I think was unconstitutionally borrowed.

Two, I want to thank those same folks, and Republican and Democratic members of the related committees, for the $100 million in savings adopted from last year's executive budget. I sent a longer list this year!

In fact, our budget represents a different approach to budgeting in South Carolina government that is built on what Michael Porter has encouraged, moving resources from low-growth sectors to high-growth sectors. It is yet another step toward becoming more competitive.

My final thought for the night on this notion of our State being more competitive, whether a financial storm comes our way or not, would be that if you get the chance read Russ Crosson's book, A Life Well Spent. It was given to me by Pat McKinney, a longtime friend, and it talks about the lasting difference each of us could make if we invested more time and energy in those closest to us. In that regard, going back to some of the things we used to be better at as South Carolinians might just be the sixth key in our ability to compete effectively in the 21st century. Taking your son to his Cub Scout meeting or your wife to dinner, visiting your grandparents for Sunday church or going to your daughter's soccer game can set things in motion and fix problems no government program will ever be able to fix.

With the five - or maybe six - things I just outlined, we have a lot to work on this year. I look forward to working with you to improve the life of every South Carolinian. I ask for your prayers. God bless our great State and good night.

JOINT ASSEMBLY RECEDES

The purposes of the Joint Assembly having been accomplished, the PRESIDENT announced that under the terms of the Concurrent Resolution the Joint Assembly would recede from business.
The Senate accordingly retired to its Chamber.

THE HOUSE RESUMES

At 7:57 p.m. the House resumed, the SPEAKER in the Chair.
Rep. W. D. SMITH moved that the House do now adjourn, which was agreed to.

ADJOURNMENT

At 7:58 p.m. the House, in accordance with the motion of Rep. LITTLEJOHN, adjourned in memory of Marine E4-Corporal Travis Fox of Cowpens, to meet at 10:00 a.m. tomorrow.

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