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									 1   Indicates Matter Stricken
 2   Indicates New Matter
 3
 4   COMMITTEE REPORT
 5   January 23, 2013
 6
 7                                                               S. 22
 8
 9   Introduced by Senators Sheheen, Massey, L. Martin, Hayes,
10   Campsen and Nicholson
11
12   S. Printed 1/23/13--S.                    [SEC 1/25/13 11:35 AM]
13   Read the first time January 8, 2013.
14
15
16                THE COMMITTEE ON JUDICIARY
17      To whom was referred a Bill (S. 22) to enact the “South
18   Carolina Restructuring Act of 2013” including provisions to
19   amend Section 1-30-10 of the 1976 Code, relating to the agencies
20   of the executive, etc., respectfully
21                                 REPORT:
22      That they have duly and carefully considered the same and
23   recommend that the same do pass with amendment:
24
25     Amend the bill, as and if amended, by striking all after the
26   enacting words and inserting therein the following:
27                                    / Part I
28                                    Citation
29     SECTION 1. This act may be cited as the “South Carolina
30   Restructuring Act of 2013”.
31                                     Part II
32                    Budget and Control Board Abolished
33     SECTION 2. Effective July 1, 2015, the State Budget and
34   Control Board, and its related divisions and offices, is abolished
35   and its functions, powers, duties, responsibilities, and authority,
36   except as otherwise provided by law:
37     (1) related to the issuance of bonds and bonding authority,
38   generally found in Title 11 of the 1976 Code but also contained in
39   certain other provisions of South Carolina law are devolved upon
40   the State Fiscal Accountability Authority;
41     (2) related to grants, loans, and other forms of financial
42   assistance to other entities, generally found in Title 11 of the 1976

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 1   Code but also contained in certain other provisions of South
 2   Carolina law, exercised by the former Budget and Control Board
 3   are devolved upon the State Fiscal Accountability Authority; and
 4      (3) related to executive functions within the former Budget and
 5   Control Board not identified in items (1) or (2) are devolved upon
 6   the Department of Administration.
 7                                  Part III
 8               Establishing the Department of Administration
 9      SECTION 3. Section 1-30-10(A) of the 1976 Code, as last
10   amended by Act 146 of 2010, is further amended to read:
11      “(A) There are hereby created, within the executive branch of
12   the state government, the following departments:
13        1. Department of Administration
14        2. Department of Agriculture
15        2.3. Department of Alcohol and Other Drug Abuse Services
16        3.4. Department of Commerce
17        4.5. Department of Corrections
18        5.6. Department of Disabilities and Special Needs
19        6.7. Department of Education
20        7.8. Department of Health and Environmental Control
21        8.9. Department of Health and Human Services
22        9.10. Department of Insurance
23        10.11. Department of Juvenile Justice
24        11.12. Department of Labor, Licensing and Regulation
25        12.13. Department of Mental Health
26        14. Department of Motor Vehicles
27        13.15. Department of Natural Resources
28        14.16. Department of Parks, Recreation and Tourism
29        15.17. Department of Probation, Parole and Pardon Services
30        16.18. Department of Public Safety
31        17.19. Department of Revenue
32        18.20. Department of Social Services
33        19.21. Department of Transportation
34        20.22. Department of Employment and Workforce.”
35      SECTION 4. A.Section 1-11-10 of the 1976 Code is amended
36   to read:
37      “Section 1-11-10. (A) The State Budget and Control Board
38   shall be comprised of the Governor, ex officio, who shall be
39   chairman, the State Treasurer, ex officio, the Comptroller General,
40   ex officio, and the chairman of the Senate Finance Committee, ex
41   officio, and the chairman of the Ways and Means Committee of
42   the House of Representatives, ex officio. There is hereby created,
43   within the executive branch of the state government, the

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 1   Department of Administration, headed by a director appointed by
 2   the Governor upon the advice and consent of the Senate who may
 3   only be removed pursuant to Section 1-3-240(B). Effective July 1,
 4   2015, the following offices, divisions, or components of the former
 5   State Budget and Control Board, Office of the Governor, or other
 6   agencies are transferred to, and incorporated into, the Department
 7   of Administration:
 8        (1) the Division of General Services, including Business
 9   Operations, Facilities Management, State Building and Property
10   Services, and Agency Services, including surplus property,
11   intrastate mail, parking, state fleet management, except that the
12   Division of General Services shall not be transferred to the
13   Department of Administration until the Director of the Department
14   of Administration enters into a memorandum of understanding
15   with appropriate officials of applicable legislative and judicial
16   agencies or departments meeting the requirements of this
17   subsection. There shall be a single memorandum of understanding
18   involving the Department of Administration and the legislative and
19   judicial branches with appropriate officials of each to be
20   signatories to the memorandum of understanding.
21           (a) The memorandum of understanding shall provide for:
22              (i) continued use of existing office space;
23              (ii) a method for the allocation of new, additional, or
24   different office space;
25              (iii) adequate parking;
26              (iv) a method for the allocation of new, additional, or
27   different parking;
28              (v) the provision of appropriate levels of electrical,
29   mechanical, maintenance, energy management, fire protection,
30   custodial, project management, safety and building renovation, and
31   other services currently provided by the General Services Division
32   of the State Budget and Control Board;
33              (vi) the provision of water, electricity, steam, and chilled
34   water to the offices, areas, and facilities occupied by the applicable
35   agencies;
36              (vii) the ability for each agency or department to
37   maintain building access control for its allocated office space; and
38              (viii) access control for the Senate and House chambers
39   and courtrooms as appropriate.
40           (b) The parties may modify the memorandum of
41   understanding by mutual consent at any time.
42           (c) The General Services Division must provide the
43   services described in subsection (a) and any other maintenance and

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 1   support, at a level that is greater than or equal to what is provided
 2   prior to the effective date of this act, to each building on the
 3   Capitol Complex, including the Supreme Court, without charge.
 4   The General Services Division must coordinate with the
 5   appropriate officials of applicable legislative and judicial agencies
 6   or departments when providing these services to the buildings and
 7   areas controlled by those agencies;
 8        (2) the State Office of Human Resources;
 9        (3) the Executive Budget and Strategic Planning Office as
10   established in Article 2, Title 1;
11        (4) the Guardian Ad Litem Program as established in
12   Article 5, Chapter 11, Title 63;
13        (5) the Procurement Services Division;
14        (6) the Office of Economic Opportunity, the office
15   designated by the Governor to be the state administering agency
16   that is responsible for the receipt and distribution of the federal
17   funds as allocated to South Carolina for the implementation of
18   Title VI, Public Law 97-35;
19        (7) the Developmental Disabilities Council as established by
20   Executive Order in 1971 and reauthorized in 2010;
21        (8) the Continuum of Care for Emotionally Disturbed
22   Children as established in Article 13, Chapter 11, Title 63;
23        (9) the Division for Review of the Foster Care of Children as
24   established by Article 7, Chapter 11, Title 63;
25        (10) the Children’s Case Resolution System as established by
26   Article 11, Chapter 11, Title 63;
27        (11) the Client Assistance Program;
28        (12) the Division of Veterans’ Affairs as established by
29   Chapter 11, Title 25;
30        (13) the Commission on Women as established by Chapter
31   15, Title 1;
32        (14) the Office of Victims Assistance, including the South
33   Carolina Victims Advisory Board and the Victims Compensation
34   Fund, both as established by Article 13, Chapter 3, Title 16;
35        (15) the Crime Victims’ Ombudsman as established by
36   Article 16, Chapter 3, Title 16;
37        (16) the Governor’s Office of Ombudsman;
38        (17) the Division of Small and Minority Business Contracting
39   and Certification, as established pursuant to Article 21, Chapter 35,
40   Title 11, formerly known as the Small and Minority Business
41   Assistance Office;
42        (18) the Division of State Information Technology, including
43   the Data Center, Telecommunications and Information Technology

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 1   Services, and the South Carolina Enterprise Information System,
 2   and the Information Technology Management Office; and
 3        (19) the Nuclear Advisory Council as established in Article 9,
 4   Chapter 7, Title 13.
 5      (B)(1) The Division of State Information Technology must
 6   submit the Statewide Strategic Information Technology Plan to the
 7   Director of the Department of Administration by September 1,
 8   2015, and biennially thereafter. The director shall review the
 9   Statewide Strategic Information Technology Plan and recommend
10   to the Governor priorities for state government enterprise
11   information technology projects and resource requirements. The
12   director shall also review information technology spending by state
13   agencies and evaluate whether greater efficiencies, more effective
14   services, and cost savings can be achieved through streamlining,
15   standardizing, and consolidating agency information technology.
16        (2) All oversight concerning the South Carolina Enterprise
17   Information System must remain as provided in Chapter 53, Title
18   11.
19      (C) The Department of Administration shall use the existing
20   resources of each division, insofar as it promotes efficiency and
21   effectiveness, transferred to the department including, but not
22   limited to, funding, personnel, equipment, and supplies from the
23   board’s administrative support units, including, but not limited to,
24   the Office of the Executive Director, Office of General Counsel,
25   and the Office of Internal Operations. ‘Funding’ means state,
26   federal, and other funds. Vacant FTE’s at the State Budget and
27   Control Board also may be used to fill needed positions at the
28   department. No new FTE’s may be assigned to the department
29   without authorization from the General Assembly.
30      (D) No later than December 31, 2015, the department’s director
31   shall submit a report to the President Pro Tempore of the Senate
32   and the Speaker of the House of Representatives that contains an
33   analysis of and recommendations regarding the most appropriate
34   organizational placement for each component of the Office of
35   Executive Policy and Programs as of the effective date of this act.
36   The department shall solicit input from and consider the
37   recommendation of affected constituencies while developing its
38   report.
39      (E) The Department of Administration shall, during the
40   absence of the Governor from Columbia, be placed in charge of
41   the records and papers in the executive chamber kept pursuant to
42   Section 1-3-30.”
43      B. Section 1-11-20 of the 1976 Code is amended to read:

     [22-5]
 1      “Section 1-11-20. The functions of the State Budget and
 2   Control Board must be performed, exercised, and discharged under
 3   the supervision and direction of the board through three divisions,
 4   the Finance Division (embracing the work of the State Auditor, the
 5   former State Budget Commission, the former State Finance
 6   Committee and the former Board of Claims for the State of South
 7   Carolina), the Purchasing and Property Division (embracing the
 8   work of the former Commissioners of the Sinking Fund, the
 9   former Board of Phosphate Commissioners, the State Electrician
10   and Engineer, the former Commission on State House and State
11   House Grounds, the central purchasing functions, the former
12   Surplus Procurement Division of the State Research, Planning and
13   Development Board and the Property Custodian) and the Division
14   of Personnel Administration (embracing the work of the former
15   retirement board known as the South Carolina Retirement System
16   and the administration of all laws relating to personnel), each
17   division to consist of a director and clerical, stenographic and
18   technical employees necessary, to be employed by the respective
19   directors with the approval of the board. The directors of the
20   divisions must be employed by the State Budget and Control
21   Board for that time and compensation as may be fixed by the board
22   in its judgment. Effective July 1, 2015:
23      (A) The South Carolina Confederate Relic Room and Military
24   Museum is transferred from the State Budget and Control Board
25   and is governed by the South Carolina Confederate Relic Room
26   and Military Museum Commission, as established in Section
27   60-17-10.
28      (B) The Board of Economic Advisors of the State Budget and
29   Control Board is transferred to, and incorporated into, the State
30   Fiscal Accountability Authority.
31      (C) The Office of Research and Statistics of the Budget and
32   Control Board is transferred to, and incorporated into, the State
33   Fiscal Accountability Authority.
34      (D) The State Energy Office is transferred from the State
35   Budget and Control Board to the Office of Regulatory Staff.
36      (E) The offices, divisions, or components of the State Budget
37   and Control Board named in this subsection are transferred to, and
38   incorporated into, the State Fiscal Accountability Authority as
39   established in Section 11-50-30. All functions, powers, duties,
40   responsibilities, and authority vested in the agencies and
41   authorities, including their governing boards, if any, named in this
42   subsection are devolved upon the State Fiscal Accountability
43   Authority and the authority shall constitute the agencies and

     [22-6]
 1   authorities, including their governing boards, if any, named in this
 2   subsection:
 3         (1) South Carolina Infrastructure Facilities Authority as
 4   established in Chapter 40, Title 11;
 5         (2) Local Government Division in support of the local
 6   government loan program as established in Section 1-11-25;
 7         (3) South Carolina Water Quality Revolving Fund Authority
 8   in support of water quality projects and federal loan programs as
 9   established in Chapter 5, Title 48; and
10         (4) Division of Regional Development as established in
11   Section 11-42-40.
12      (F) The regulation of minerals and mineral interests on public
13   land, and the regulation of Geothermal Resources as provided in
14   Chapter 9, Title 10 is transferred to, and incorporated into, the
15   Department of Health and Environmental Control.”
16      SECTION 5. (A) Where the provisions of this act transfer
17   offices, or portions of offices, of the Budget and Control Board,
18   Office of the Governor, or other agencies to the Department of
19   Administration or other entities, including those newly created by
20   the provisions of this act, the employees, authorized
21   appropriations, and assets and liabilities of the transferred offices
22   are also transferred to and become part of the Department of
23   Administration or other entities, including those newly created by
24   the provisions of this act. All classified or unclassified personnel
25   employed by these offices on the effective date of this act, either
26   by contract or by employment at will, shall become employees of
27   the Department of Administration or other entities, including those
28   newly created by the provisions of this act, with the same
29   employment status, compensation, classification, and grade level,
30   as applicable.
31      (B) Regulations promulgated by these transferred offices as
32   they existed under the former Budget and Control Board, Office of
33   the Governor, or other agencies are continued and are considered
34   to be promulgated by these offices under the Department of
35   Administration or other entities, including those newly created by
36   the provisions of this act.
37      (C)(1) The Code Commissioner is directed to change or correct
38   all references to these offices of the former Budget and Control
39   Board in the 1976 Code, Office of the Governor, or other agencies
40   to reflect the transfer of them to the Department of Administration
41   or other entities, including those newly created by the provisions of
42   this act. References to the names of these offices in the 1976 Code


     [22-7]
 1   or other provisions of law are considered to be and must be
 2   construed to mean appropriate references.
 3        (2) On or before January 1, 2014, the Code Commissioner
 4   also shall prepare and deliver a report to the President Pro
 5   Tempore of the Senate and the Speaker of the House of
 6   Representatives concerning appropriate and conforming changes to
 7   the 1976 Code of Laws reflecting the provisions of this act.
 8                                    Part IV
 9                Executive Budget and Strategic Planning Office
10      SECTION 6. Chapter 3, Title 1 of the 1976 Code is amended
11   by adding:
12                                   “Article 2
13      Section 1-3-60.
14      (A) There is established, within the Department of
15   Administration, the Executive Budget and Strategic Planning
16   Office which shall support the Office of the Governor by
17   conducting analysis, assist with strategic planning and
18   recommendations concerning capital expenditures, implementing
19   and monitoring the annual general appropriations act, and
20   evaluating program performance.
21      (B) The Executive Budget and Strategic Planning Office shall
22   use the existing resources of the organizations transferred to the
23   Department of Administration including, but not limited to,
24   funding, personnel, equipment, and supplies. Vacant FTE’s at the
25   former State Budget and Control Board also may be used to fill
26   needed positions for the office.”
27                                    Part V
28                Legislative Oversight of Executive Departments
29      SECTION 7. A. Subsections (B) through (H) of Section
30   1-30-10 of the 1976 Code are amended to read:
31      “(B)(1) The governing authority of each department shall be
32   either:
33           (i) a director, and in the case of the Department of
34   Commerce, the or a secretary, who must be appointed by the
35   Governor with the advice and consent of the Senate, subject to
36   removal from office by the Governor pursuant to provisions of
37   Section 1-3-240(B); or
38           (ii) a seven member board to be appointed and constituted
39   in a manner provided for by law; or
40           (iii) in the case of the Department of Agriculture and the
41   Department of Education, the State Commissioner of Agriculture
42   and the State Superintendent of Education, respectively, elected to
43   office under the Constitution of this State; or

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 1           (iv) in the case of the Department of Transportation, a
 2   seven member commission constituted in a manner provided by
 3   law, and a Secretary of Transportation appointed by and serving at
 4   the pleasure of the Governor.
 5        (2) In making appointments to boards and for department
 6   directors, an appointment for a governing authority of a
 7   department, race, gender, and other demographic factors should be
 8   considered to assure nondiscrimination, inclusion, and
 9   representation to the greatest extent possible of all segments of the
10   population of this State; however, consideration of these factors in
11   no way creates a cause of action or basis for an employee
12   grievance for a person appointed or for a person who fails to be
13   appointed. The Governor in making the appointments provided for
14   by this section shall endeavor to appoint individuals who have
15   demonstrated exemplary managerial skills in either the public or
16   private sector.
17      (C) Each department shall be organized into appropriate
18   divisions subdivisions by the governing authority of the
19   department through further consolidation or further subdivision.
20   The power to organize and reorganize the department supersedes
21   any provision of law to the contrary pertaining to individual
22   divisions; provided, however, the into divisions lies with the
23   General Assembly in furtherance of its mandate pursuant to Article
24   XII of the South Carolina Constitution. The dissolution of any
25   division must receive legislative approval by authorization
26   included in the annual general appropriations act likewise be
27   statutorily approved by the General Assembly.
28      Any other approval procedures for department reorganization in
29   effect on the effective date of this act no longer apply.
30      (D) The governing authority of a department is vested with the
31   duty of overseeing, managing, and controlling the operation,
32   administration, and organization of the department. The governing
33   authority has the power to create and appoint standing or ad hoc
34   advisory committees in its discretion or at the direction of the
35   Governor to assist the department in particular areas of public
36   concern or professional expertise as is deemed appropriate. Such
37   committees shall serve at the pleasure of the governing authority
38   and committee members shall not receive salary or per diem, but
39   shall be entitled to reimbursement for actual and necessary
40   expenses incurred pursuant to the discharge of official duties not to
41   exceed the per diem, mileage, and subsistence amounts allowed by
42   law for members of boards, commissions, and committees.


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 1      (E) The governing authority of a department director may
 2   appoint deputy directors deputies to head the divisions of their
 3   department, with each deputy director managing one or more of
 4   the divisions; in the case of the Department of Commerce, the
 5   Secretary of Commerce may appoint a departmental executive
 6   director and also may appoint directors to manage the various
 7   divisions of the Department of Commerce.                 In making
 8   appointments race, gender, and other demographic factors should
 9   be considered to assure nondiscrimination, inclusion, and
10   representation to the greatest extent possible of all segments of the
11   population of this State; however, consideration of these factors in
12   making an appointment in no way creates a cause of action or basis
13   for an employee grievance for a person appointed or for a person
14   who fails to be appointed. Deputy directors Deputies serve at the
15   will and pleasure of the department director governing authority.
16   The deputy director of a division is vested with the duty of
17   overseeing, managing, and controlling the operation and
18   administration of the division under the direction and control of the
19   department director department’s governing authority             and
20   performing such other duties as delegated by the department
21   director department’s governing authority.
22      (F)(1) In the event a vacancy should occur occurs in the office
23   of department director the department’s governing authority at a
24   time when the General Assembly is not in session, the Governor
25   may temporarily fill the vacancy pursuant to Section 1-3-210.
26        (2) Notwithstanding the provisions of subitem (F)(1), as of
27   July 1, 1993, for each department created pursuant to the
28   provisions of this act which must be governed by a single director,
29   an initial interim director shall serve as the governing authority,
30   serving until January 31, 1994. During that period the following
31   departments must be governed by the director or interim director
32   of the following agencies as of June 30, 1993:
33           (i) Department of Corrections, created pursuant to
34   Section 1-30-30, by the director of the former Department of
35   Corrections;
36           (ii) Department of Juvenile Justice created pursuant to
37   Section 1-30-60, by the interim director of the former Department
38   of Youth Services;
39           (iii) Department of Probation, Parole, and Pardon Services
40   created pursuant to Section 1-30-85 by the director of the former
41   Department of Probation, Pardon and Parole;



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 1           (iv) Department of Social Services created pursuant to
 2   Section 1-30-100, by the director of the former Department of
 3   Social Services;
 4           (v) Department of Parks, Recreation and Tourism created
 5   pursuant to Section 1-30-80, by the director of the former
 6   Department of Parks, Recreation and Tourism;
 7           (vi) Department of Commerce created pursuant to Section
 8   1-30-25, by the Executive Director of the former State
 9   Development Board;
10           (vii) Department of Alcohol and Other Drug Abuse
11   Services created pursuant to Section 1-30-20, by the director of the
12   former South Carolina Commission on Alcohol and Drug Abuse.
13        (3) As of December 1, 1993, the Governor must submit to
14   the Senate the names of appointees to the permanent department
15   directorships for those departments created on July 1, 1993 and
16   February 1, 1994. If no person has been appointed and qualified
17   for a directorship as of February 1, 1994, the Governor may
18   appoint an interim director to serve pursuant to the provisions of
19   (F)(1).
20        (4) Notwithstanding provisions of (2) and (3) to the contrary,
21   the initial interim director of the Department of Public Safety shall
22   be appointed by the Budget and Control Board. The initial interim
23   director may be appointed as the permanent director of the
24   department by the Governor.
25      (G)(1) Department and agency governing authorities must, no
26   later than the first day of the 1994 2015 Legislative Session and
27   every twelve months thereafter for the following three years,
28   submit to the Governor and General Assembly reports giving
29   detailed and comprehensive recommendations for the purposes of
30   merging or eliminating duplicative or unnecessary divisions,
31   programs, or personnel within each department to provide a more
32   efficient administration of government services. If an agency or
33   department has no recommendations for restructuring of divisions,
34   programs, or personnel, its report must contain a statement to that
35   effect. Upon their receipt by the President of the Senate and the
36   Speaker of the House of Representatives, these reports must be
37   referred as information to the standing committees of the
38   respective bodies most jurisdictionally related in subject matter to
39   each agency. Alternatively, the House and Senate may provide by
40   rule for the referral of these reports. Thereafter, The Governor
41   shall must periodically consult with the governing authorities of
42   the various departments and upon such consultation, the Governor


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 1   shall must submit a report of any restructuring recommendations to
 2   the General Assembly for its review and consideration.
 3        (2) The Governor shall report to the General Assembly no
 4   later than the second Tuesday in January of 1994, his
 5   recommendation for restructuring the following offices and
 6   divisions presently under his direct supervision, and as to how each
 7   might be restructured within other appropriate departments or
 8   divisions amended by this act:
 9           (i) Office of Executive Policy and Programs;
10           (ii) Office of Energy Programs;
11           (iii) Office of Personnel and Program Services;
12           (iv) Office of Research;
13           (v) Division of Health;
14           (vi) Division of Economic Opportunity;
15           (vii) Division of Economic of Development;
16           (viii) Division of Ombudsman and Citizens’ Services;
17           (ix) Division of Education;
18           (x) Division of Natural Resources;
19           (xi) Division of Human Services.
20      Department and agency governing authorities must, no later than
21   the first day of the 2015 Legislative Session, and, as a part of the
22   agency’s seven-year oversight study and investigation conducted
23   pursuant to Chapter 2, Title 2, submit to the Governor and the
24   General Assembly a seven-year plan that provides initiatives
25   and/or planned actions that implement cost savings and increased
26   efficiencies of services and responsibilities within the projected
27   seven-year period.
28      (H) Department governing authorities must submit to the
29   General Assembly by the first day of the 1994 legislative session
30   and every five years thereafter a mission statement that must be
31   approved by the General Assembly by Joint Resolution.”
32      B. Section 8-27-10(4) of the 1976 Code is amended to read:
33      “(4) ‘Report’ means:
34        (a) a written document alleging a written or oral allegation
35   of waste or wrongdoing that contains the following information:
36           (a)(i) the date of disclosure;
37           (b)(ii) the name of the employee making the report; and
38           (c)(iii) the nature of the wrongdoing and the date or range
39   of dates on which the wrongdoing allegedly occurred. A report
40   must be made within sixty days one hundred eighty days of the
41   date the reporting employee first learns of the alleged
42   wrongdoing.; or


     [22-12]
 1        (b) sworn testimony regarding wrongdoing, regardless of
 2   when the wrongdoing allegedly occurred, given to any standing
 3   committee, subcommittee of a standing committee, oversight
 4   committee, oversight subcommittee, or study committee of the
 5   Senate or the House of Representatives.”
 6      C. Chapter 27, Title 8 of the 1976 Code is amended by adding:
 7      “Section 8-27-60. Each public body must make a summary of
 8   this chapter available on the public body’s Internet website. The
 9   summary must include an explanation of the process required to
10   report wrongdoing, an explanation of what constitutes wrongdoing,
11   and a description of the protections available to an employee who
12   reports wrongdoing. If the public body does not maintain an
13   Internet website, the public body must annually provide a written
14   summary of this chapter to its employees and maintain copies of
15   the summary at all times.”
16      D. Title 2 of the 1976 Code is amended by adding:
17                                ”CHAPTER 2
18              Legislative Oversight of Executive Departments
19      Section 2-2-5. The General Assembly finds and declares the
20   following to be the public policy of the State of South Carolina:
21      (1) Section 1 of Article XII of the State Constitution requires
22   the General Assembly to provide for appropriate agencies to
23   function in the areas of health, welfare, and safety and to determine
24   the activities, powers, and duties of these agencies and
25   departments.
26      (2) This constitutional duty is a continuing and ongoing
27   obligation of the General Assembly that is best addressed by
28   periodic review of the programs of the agencies and departments
29   and their responsiveness to the needs of the state’s citizens by the
30   standing committees of the State Senate or House of
31   Representatives.
32      Section 2-2-10. As used in this chapter:
33      (1) ‘Agency’ means an authority, board, branch, commission,
34   committee, department, division, or other instrumentality of the
35   executive or judicial departments of state government, including
36   administrative bodies. ‘Agency’ includes a body corporate and
37   politic established as an instrumentality of the State. ‘Agency’
38   does not include:
39        (a) the legislative department of state government; or
40        (b) a political subdivision.
41      (2) ‘Investigating committee’ means any standing committee
42   or subcommittee of a standing committee exercising its authority


     [22-13]
 1   to conduct an oversight study and investigation of an agency
 2   within the standing committee’s subject matter jurisdiction.
 3      (3) ‘Program evaluation report’ means a report compiled by an
 4   agency at the request of an investigating committee that may
 5   include, but is not limited to, a review of agency management and
 6   organization, program delivery, agency goals and objectives,
 7   compliance with its statutory mandate, and fiscal accountability.
 8      (4) ‘Request for information’ means a list of questions that an
 9   investigating committee serves on a department or agency under
10   investigation. The questions may relate to any matters concerning
11   the department or agency’s actions that are the subject of the
12   investigation.
13      (5) ‘Standing committee’ means a permanent committee with a
14   regular meeting schedule and designated subject matter jurisdiction
15   that is authorized by the Rules of the Senate or the Rules of the
16   House of Representatives.
17      Section 2-2-20. (A) Beginning January 1, 2015, each standing
18   committee shall conduct oversight studies and investigations on all
19   agencies within the standing committee’s subject matter
20   jurisdiction at least once every seven years in accordance with a
21   schedule adopted as provided in this chapter.
22      (B) The purpose of these oversight studies and investigations is
23   to determine if agency laws and programs within the subject matter
24   jurisdiction of a standing committee:
25         (1) are being implemented and carried out in accordance
26   with the intent of the General Assembly; and
27         (2) should be continued, curtailed, or eliminated.
28      (C) The oversight studies and investigations must consider:
29         (1) the application, administration, execution, and
30   effectiveness of laws and programs addressing subjects within the
31   standing committee’s subject matter jurisdiction;
32         (2) the organization and operation of state agencies and
33   entities having responsibilities for the administration and execution
34   of laws and programs addressing subjects within the standing
35   committee’s subject matter jurisdiction; and
36         (3) any conditions or circumstances that may indicate the
37   necessity or desirability of enacting new or additional legislation
38   addressing subjects within the standing committee’s subject matter
39   jurisdiction.
40      Section 2-2-30. (A) The procedure for conducting the
41   oversight studies and investigations is provided in this section.
42      (B)(1) The President Pro Tempore of the Senate, upon
43   consulting with the chairmen of the standing committees in the

     [22-14]
 1   Senate and the Clerk of the Senate, shall determine the agencies
 2   for which each standing committee must conduct oversight studies
 3   and investigations. A proposed seven year review schedule must
 4   be published in the Senate Journal on the first day of session each
 5   year.
 6        (2) In order to accomplish the requirements of this chapter,
 7   the chairman of each standing committees must schedule oversight
 8   studies and investigations for the agencies for which his standing
 9   committee is the investigating committee and may:
10           (a) coordinate schedules for conducting oversight studies
11   and investigations with the chairmen of other standing committees;
12   and
13           (b) appoint joint investigating committees to conduct the
14   oversight studies and investigations including, but not limited to,
15   joint committees of the Senate and House of Representatives or
16   joint standing committees of concurrent subject matter jurisdiction
17   within the Senate or within the House of Representatives.
18        (3) Chairmen of standing committees having concurrent
19   subject matter jurisdiction over an agency or the programs and law
20   governing an agency by virtue of the Rules of the Senate or Rules
21   of the House of Representatives, may request that a joint
22   investigating committee be appointed to conduct the oversight
23   study and investigation for an agency.
24      (C)(1) The Speaker of the House of Representatives, upon
25   consulting with the chairmen of the standing committees in the
26   House of Representatives and the Clerk of the House of
27   Representatives, shall determine the agencies for which each
28   standing committee must conduct oversight studies and
29   investigations. A proposed seven year review schedule must be
30   published in the House Journal on the first day of session each
31   year.
32        (2) In order to accomplish the requirements of this chapter,
33   the chairman of each standing committee must schedule oversight
34   studies and investigations for the agencies for which his standing
35   committee is the investigating committee and may:
36           (a) coordinate schedules for conducting oversight studies
37   and investigations with the chairmen of other standing committees;
38   and
39           (b) appoint joint investigating committees to conduct the
40   oversight studies and investigations including, but not limited to,
41   joint committees of the Senate and House of Representatives or
42   joint standing committees of concurrent subject matter jurisdiction
43   within the Senate or within the House of Representatives.

     [22-15]
 1         (3) Chairmen of standing committees having concurrent
 2   subject matter jurisdiction over an agency or the programs and law
 3   governing an agency by virtue of the Rules of the Senate or Rules
 4   of the House of Representatives, may request that a joint
 5   investigating committee be appointed to conduct the oversight
 6   study and investigation for the agency.
 7      (D) The chairman of an investigating committee may vest the
 8   standing committee’s full investigative power and authority in a
 9   subcommittee. A subcommittee conducting an oversight study and
10   investigation of an agency: (1) must make a full report of its
11   findings and recommendations to the standing committee at the
12   conclusion of its oversight study and investigation, and (2) must
13   not consist of fewer than three members.
14      Section 2-2-40. (A) In addition to the scheduled seven year
15   oversight studies and investigations, a standing committee of the
16   Senate or House of Representatives may initiate an oversight study
17   and investigation of an agency within its subject matter
18   jurisdiction. The motion calling for the oversight study and
19   investigation must state the subject matter and scope of the
20   oversight study and investigation. The oversight study and
21   investigation must not exceed the scope stated in the motion or the
22   scope of the information uncovered by the investigation.
23      (B) Nothing in the provisions of this chapter prohibits or
24   restricts the President Pro Tempore of the Senate, the Speaker of
25   the House of Representatives, or chairmen of standing committees
26   from fulfilling their constitutional obligations by authorizing and
27   conducting legislative investigations into agencies’ functions,
28   duties, and activities.
29      Section 2-2-50. When an investigating committee conducts an
30   oversight study and investigation or a legislative investigation is
31   conducted pursuant to Section 2-2-40(B), evidence or information
32   related to the investigation may be acquired by any lawful means,
33   including, but not limited to:
34      (A) serving a request for information on the agency being
35   studied or investigated. The request for information must be
36   answered separately and fully in writing under oath and returned to
37   the investigating committee within forty-five days after being
38   served upon the department or agency. The time for answering a
39   request for information may be extended for a period to be agreed
40   upon by the investigating committee and the agency for good
41   cause shown. The head of the department or agency must sign the
42   answers verifying them as true and correct. If any question
43   contains a request for records, policies, audio or video recordings,

     [22-16]
 1   or other documents, the question is not considered to have been
 2   answered unless a complete set of records, policies, audio or video
 3   recordings, or other documents is included with the answer;
 4      (B) issuing subpoenas and subpoenas duces tecum pursuant to
 5   Title 2, Chapter 69; and
 6      (C) requiring the agency to prepare and submit to the
 7   investigating committee a program evaluation report by a date
 8   specified by the investigating committee. The investigating
 9   committee must specify the agency program or programs or
10   agency operations that it is studying or investigating and the
11   information to be contained in the program evaluation report.
12      Section 2-2-60. (A) An investigating committee’s request for a
13   program evaluation report must contain:
14         (1) the agency program or operations that it intends to
15   investigate;
16         (2) the information that must be included in the report; and
17         (3) the date that the report must be submitted to the
18   committee.
19      (B) An investigating committee may request that the program
20   evaluation report contain any of the following information:
21         (1) enabling or authorizing law or other relevant mandate,
22   including any federal mandates;
23         (2) a description of each program administered by the
24   agency identified by the investigating committee in the request for
25   a program evaluation report, including the following information:
26           (a) established priorities, including goals and objectives in
27   meeting each priority;
28           (b) performance criteria, timetables, or other benchmarks
29   used by the agency to measure its progress in achieving its goals
30   and objectives;
31           (c) an assessment by the agency indicating the extent to
32   which it has met the goals and objectives, using the performance
33   criteria. When an agency has not met its goals and objectives, the
34   agency shall identify the reasons for not meeting them and the
35   corrective measures the agency has taken to meet them in the
36   future;
37         (3) organizational structure, including a position count, job
38   classification, and organization flow chart indicating lines of
39   responsibility;
40         (4) financial summary, including sources of funding by
41   program and the amounts allocated or appropriated and expended
42   over the last ten years;


     [22-17]
 1         (5) identification of areas where the agency has coordinated
 2   efforts with other state and federal agencies in achieving program
 3   objectives and other areas in which an agency could establish
 4   cooperative arrangements including, but not limited to, cooperative
 5   arrangements to coordinate services and eliminate redundant
 6   requirements;
 7         (6) identification of the constituencies served by the agency
 8   or program, noting any changes or projected changes in the
 9   constituencies;
10         (7) a summary of efforts by the agency or program regarding
11   the use of alternative delivery systems, including privatization, in
12   meeting its goals and objectives;
13         (8) identification of emerging issues for the agency;
14         (9) a comparison of any related federal laws and regulations
15   to the state laws governing the agency or program and the rules
16   implemented by the agency or program;
17         (10) agency policies for collecting, managing, and using
18   personal information over the internet and non-electronically,
19   information on the agency’s implementation of information
20   technologies;
21         (11) a list of reports, applications, and other similar
22   paperwork required to be filed with the agency by the public. The
23   list must include:
24           (a) the statutory authority for each filing requirement;
25           (b) the date each filing requirement was adopted or last
26   amended by the agency;
27           (c) the frequency that filing is required;
28           (d) the number of filings received annually for the last
29   seven years and the number of anticipated filings for the next four
30   years;
31           (e) a description of the actions taken or contemplated by
32   the agency to reduce filing requirements and paperwork
33   duplication;
34         (12) any other relevant information specifically requested by
35   the investigating committee.
36      (C) All information contained in a program evaluation report
37   must be presented in a concise and complete manner.
38      (D) The chairman of the investigating committee may direct the
39   Legislative Audit Council to perform a study of the program
40   evaluation report and report its findings to the investigating
41   committee. The chairman also may direct the Legislative Audit
42   Council to perform its own audit of the program or operations
43   being studied or investigated by the investigating committee.

     [22-18]
 1      (E) A state agency that is vested with revenue bonding
 2   authority may submit annual reports and annual external audit
 3   reports conducted by a third party in lieu of a program evaluation
 4   report.
 5      Section 2-2-70. All testimony given to the investigating
 6   committee must be under oath.
 7      Section 2-2-80. Any witness testifying before the investigating
 8   committee may have counsel present to advise him. The witness
 9   or his counsel may, during the time of testimony , claim any legal
10   privilege recognized by the laws of this State in response to any
11   question and is entitled to have a ruling by the chairman on any
12   objection. In making his ruling, the chairman of the investigating
13   committee shall follow as closely as possible the statutory law and
14   the decisions of the courts of this State regarding legal privileges.
15   The ruling of the chair may not be reviewed by the courts of this
16   State except in a separate proceeding for contempt of the General
17   Assembly.
18      Section 2-2-90. A witness shall be given the benefit of any
19   privilege at law which he may have in court as a party to a civil
20   action.”
21      E. This part takes effect January 1, 2015.
22                                    Part VI
23         Conforming and Miscellaneous Amendments to Divisions,
24            Offices, and Other Entities or Programs Transferred to
25                      the Department of Administration
26      SECTION 8. A. Section 1-11-55 of the 1976 Code is
27   amended to read:
28      “Section 1-11-55. (1) ‘Governmental body’ means a state
29   government department, commission, council, board, bureau,
30   committee, institution, college, university, technical school,
31   legislative body, agency, government corporation, or other
32   establishment or official of the executive, judicial, or legislative
33   branches branch of this State. Governmental body excludes the
34   General Assembly, Legislative Council, the Office of Legislative
35   Printing, Information and Technology Systems, the judicial
36   department and all local political subdivisions such as counties,
37   municipalities, school districts, or public service or special purpose
38   districts.
39      (2) The Budget and Control Board Division of General
40   Services of the Department of Administration is hereby designated
41   as the single central broker for the leasing of real property for
42   governmental bodies. No governmental body shall enter into any


     [22-19]
 1   lease agreement or renew any existing lease except in accordance
 2   with the provisions of this section.
 3      (3) When any governmental body needs to acquire real
 4   property for its operations or any part thereof and state-owned
 5   property is not available, it shall notify the Office Division of
 6   General Services of its requirement on rental request forms
 7   prepared by the office division. Such forms shall indicate the
 8   amount and location of space desired, the purpose for which it
 9   shall be used, the proposed date of occupancy and such other
10   information as General Services may require. Upon receipt of any
11   such request, General Services shall conduct an investigation of
12   available rental space which would adequately meet the
13   governmental body’s requirements, including specific locations
14   which may be suggested and preferred by the governmental body
15   concerned. When suitable space has been located which the
16   governmental body and the office division agree meets necessary
17   requirements and standards for state leasing as prescribed in
18   procedures of the board department as provided for in subsection
19   (5) of this section, General Services shall give its written approval
20   to the governmental body to enter into a lease agreement. All
21   proposed lease renewals shall be submitted to General Services by
22   the time specified by General Services.
23      (4) The board department shall adopt procedures to be used for
24   governmental bodies to apply for rental space, for acquiring leased
25   space, and for leasing state-owned space to nonstate lessees.
26      (5) Any participant in a property transaction proposed to be
27   entered who maintains that a procedure provided for in this section
28   has not been properly followed, may request review of the
29   transaction by the director of the Office Division of General
30   Services of the Department of Administration or his designee.”
31      B. Sections 1-11-56 and 1-11-58 of the 1976 Code are amended
32   to read:
33      “Section 1-11-56. (A) The State Budget and Control Board,
34   Division of General Services of the Department of Administration,
35   in an effort to ensure that funds authorized and appropriated for
36   rent are used in the most efficient manner, is directed to develop a
37   program to manage the leasing of all public and private space of
38   state agencies a governmental body. The department must submit
39   regulations for the implementation of this section to the General
40   Assembly as provided in the Administrative Procedures Act,
41   Chapter 23, Title 1. The board’s department’s regulations, upon
42   General Assembly approval, shall include procedures for:


     [22-20]
 1        (1) assessing and evaluating agency needs, including the
 2   authority to require agency justification for any request to lease
 3   public or private space;
 4        (2) establishing standards for the quality and quantity of
 5   space to be leased by a requesting agency;
 6        (3) devising and requiring the use of a standard lease form
 7   (approved by the Attorney General) with provisions which assert
 8   and protect the state’s prerogatives including, but not limited to, a
 9   right of cancellation in the event of:
10           (a) a nonappropriation for the renting agency,
11           (b) a dissolution of the agency, and
12           (c) the availability of public space in substitution for
13   private space being leased by the agency;
14        (4) rejecting an agency’s request for additional space or
15   space at a specific location, or both;
16        (5) directing agencies to be located in public space, when
17   available, before private space can be leased;
18        (6) requiring the agency to submit a multi-year financial
19   plan for review by the board’s budget office department with
20   copies sent to Ways and Means Committee and Senate Finance
21   Committee, before any new lease for space is entered into; and
22   requiring prior review by the Joint Bond Review Committee and
23   the requirement of Budget and Control Board approval before the
24   adoption of any new lease that commits more than one million
25   dollars in a five-year period; and
26        (7) requiring prior review by the Joint Bond Review
27   Committee and the requirement of Budget and Control Board State
28   Fiscal Accountability Authority approval before the adoption of
29   any new or renewal lease that commits more than two hundred
30   thousand dollars annually in rental or lease payments or more than
31   one million dollars in such payments in a five-year period.
32      (B) Leases or rental agreements involving amounts below the
33   thresholds provided in item (7) of subsection (A) may be executed
34   by the Department of Administration without this prior review by
35   the Joint Bond Review Committee and approval by the State Fiscal
36   Accountability Authority.
37      (C) The threshold requirements requiring review by the Joint
38   Bond Review Committee and approval by the State Fiscal
39   Accountability Authority as contained in item (7) of subsection (A)
40   also apply to leases or rental agreements with nonstate entities
41   whether or not the state or its agencies or departments is the lessee
42   or lessor.


     [22-21]
 1      Section 1-11-58. (A)(1) Every state agency, as defined by
 2   Section 1-19-40, shall annually perform an inventory and prepare a
 3   report of all residential and surplus real property owned by it. The
 4   report shall be submitted to the State Budget and Control Board
 5   Department of Administration, Office Division of General
 6   Services, on or before June thirtieth and shall indicate current use,
 7   current value, and projected use of the property. Property not
 8   currently being utilized for necessary agency operations shall be
 9   made available for sale and funds received from the sale of the
10   property shall revert to the general fund.
11        (2) The Office Division of General Services will shall
12   review the annual reports addressing real property submitted to it
13   and determine the real property which is surplus to the State. A
14   central listing of such property will be maintained for reference in
15   reviewing subsequent property acquisition needs of agencies.
16        (3) Upon receipt of a request by an agency to acquire
17   additional property, the Office Division of General Services shall
18   review the surplus property list to determine if the agency’s needs
19   can may be met from existing state-owned property. If such
20   property is identified, the Office division of General Services shall
21   act as broker in transferring the property to the requesting agency
22   under terms and conditions that are mutually agreeable to the
23   agencies involved.
24        (4) The Budget and Control Board department may
25   authorize the Office Division of General Services to sell any
26   unassigned surplus real property. The Office of General Services
27   division shall have the discretion to determine the method of
28   disposal to be used, which possible methods include: auction,
29   sealed bids, listing the property with a private broker or any other
30   method determined by the Office of General Services division to
31   be commercially reasonable considering the type and location of
32   property involved.
33      (B) The procedures involving surplus real property sales under
34   this section are also subject to the approvals required in Section
35   1-11-65 for surplus real property sales above five hundred
36   thousand dollars.”
37      C. Sections 1-11-65, 1-11-67, 1-11-70, 1-11-80, 1-11-90,
38   1-11-100, 1-11-110, and 1-11-180 of the 1976 Code are amended
39   to read:
40      “Section 1-11-65. (A) All transactions involving real property,
41   made for or by any governmental bodies, excluding political
42   subdivisions of the State, must be approved by and recorded with
43   the State Budget and Control Board Department of Administration

     [22-22]
 1   for transactions of the one million dollars or less. For transactions
 2   of more than one million dollars, approval of the State Fiscal
 3   Accountability Authority is required in lieu of the department,
 4   although the recording will be with the department. Upon
 5   approval of the transaction by the Budget and Control Board, there
 6   must be recorded simultaneously with the deed, a certificate of
 7   acceptance, which acknowledges the board’s department’s, and
 8   authority’s, approval of the transaction as required. The county
 9   recording authority cannot accept for recording any deed not
10   accompanied by a certificate of acceptance. The board department
11   and authority may exempt a governmental body from the
12   provisions of this subsection.
13      (B) All state agencies, departments, and institutions authorized
14   by law to accept gifts of tangible personal property shall have
15   executed by its governing body an acknowledgment of acceptance
16   prior to transfer of the tangible personal property to the agency,
17   department, or institution.
18      Section 1-11-67. The State Budget and Control Board
19   Department of Administration shall assess and collect a rental
20   charge from all state departments and agencies that occupy State
21   Budget and Control Board space in state-controlled office
22   buildings under its jurisdiction. The amount charged each
23   department or agency must be calculated on a square foot, or other
24   equitable basis of measurement, and at rates that will yield
25   sufficient total annual revenue to cover the annual principal and
26   interest due or anticipated on the Capital Improvement Obligations
27   for projects administered or planned by the Office of General
28   Services department, and maintenance and operation costs of State
29   Budget and Control Board-controlled department-controlled office
30   buildings under the supervision of the Office of General Services.
31   The amount collected must be deposited in a special account and
32   must be expended only for payment on Capital Improvement
33   Obligations and maintenance and operations costs of the buildings
34   under the supervision of the Office of General Services
35   department.
36      All departments and agencies against which rental charges are
37   assessed and whose operations are financed in whole or in part by
38   federal or other nonappropriated funds are both directed to
39   apportion the payment of these charges equitably among all funds
40   to ensure that each bears its proportionate share.
41      Section 1-11-70. All vacant lands and lands purchased by the
42   former land commissioners of the State shall be are subject to the


     [22-23]
 1   directions of the State Budget and Control Board Department of
 2   Administration.
 3      Section 1-11-80. The State Budget and Control Board
 4   Department of Administration is authorized to grant easements and
 5   rights of way to any person for construction and maintenance of
 6   power lines, pipe lines, water and sewer lines and railroad facilities
 7   over, on or under such vacant lands or marshland as are owned by
 8   the State, upon payment of the reasonable value thereof.
 9      Section 1-11-90. The State Budget and Control Board
10   Department of Administration may grant to agencies or political
11   subdivisions of the State, without compensation, rights of way
12   through and over such marshlands as are owned by the State for
13   the construction and maintenance of roads, streets and highways or
14   power or pipe lines, if, in the judgment of the Budget and Control
15   Board department, the interests of the State will not be adversely
16   affected thereby.
17      Section 1-11-100. Deeds or other instruments conveying such
18   rights of way or easements over such marshlands or vacant lands
19   as are owned by the State shall be executed by the Governor in the
20   name of the State, when authorized by resolution of the Budget
21   and Control Board, duly recorded in the minutes and records of
22   such board authorized by the Department of Administration and
23   when duly approved by the office of the Attorney General; deeds
24   or other instruments conveying such easements over property in
25   the name of or under the control of State agencies, institutions,
26   commissions or other bodies shall be executed by the majority of
27   the governing body thereof, shall name both the State of South
28   Carolina and the institution, agency, commission or governing
29   body as grantors, and shall show the written approval of the
30   majority of the members of the State Budget and Control Board
31   Director of the Department of Administration.
32      Section 1-11-110. (1) The State Budget and Control Board
33   Department of Administration, subject to the requirements of
34   Section 1-11-65, is authorized to acquire real property, including
35   any estate or interest therein, for, and in the name of, the State of
36   South Carolina by gift, purchase, condemnation or otherwise.
37      (2) The State Budget and Control Board Department of
38   Administration shall make use of the provisions of the Eminent
39   Domain Procedure Act (Chapter 2, of Title 28) if it is necessary to
40   acquire real property by condemnation. The actions must be
41   maintained by and in the name of the board department. The right
42   of condemnation is limited to the right to acquire land necessary


     [22-24]
 1   for the development of the Capitol Complex mall grounds in the
 2   City of Columbia.
 3      Section 1-11-180. (A) In addition to the powers granted the
 4   Budget and Control Board Department of Administration under
 5   this chapter or any other provision of law, the board department
 6   may:
 7         (1) survey, appraise, examine, and inspect the condition of
 8   state property to determine what is necessary to protect state
 9   property against fire or deterioration and to conserve the use of the
10   property for state purposes;
11         (2) approve the destruction or disposal of state agency
12   records;
13         (3) require submission and approval of plans and
14   specifications for permanent improvements by a state department,
15   agency, or institution before a contract is awarded for the
16   permanent improvement;
17         (4) approve blanket bonds for a state department, agency, or
18   institution including bonds for state officials or personnel.
19   However, the form and execution of blanket bonds must be
20   approved by the Attorney General; and
21         (5)(3) contract to develop an energy utilization management
22   system for state facilities under its control and to assist other
23   agencies and departments in establishing similar programs.
24   However, this does not authorize capital expenditures.
25      (B) The Budget and Control Board may Department of
26   Administration shall promulgate regulations necessary to carry out
27   this section.”
28      D Chapter 11, Title 1 of the 1976 Code is amended by adding:
29      “Section 1-11-185. (A) In addition to the powers granted the
30   Department of Administration pursuant to this chapter or another
31   provision of law, the department may require submission and
32   approval of plans and specifications for a permanent improvement
33   project of a cost of one million dollars or less by a state
34   department, agency, or institution of the executive branch before a
35   contract is awarded for the permanent improvement project. If the
36   cost of the permanent improvement project is more than one
37   million dollars, approval of the State Fiscal Accountability
38   Authority is required, in lieu of the department’s approval, before
39   the contract may be awarded and the authority may require
40   submission of the plans and specifications for this purpose. The
41   provisions of this subsection are in addition to any other
42   requirements of law relating to permanent improvement projects,
43   including the provisions of Chapter 47, Title 2.

     [22-25]
 1      (B) The Department of Administration may promulgate
 2   regulations necessary to carry out its duties.
 3      (C) The respective divisions of the Department of
 4   Administration are authorized to provide to and receive from other
 5   governmental entities, including other divisions and state and local
 6   agencies and departments, goods and services as will in its opinion
 7   promote efficient and economical operations. The divisions may
 8   charge and pay the entities for the goods and services, the revenue
 9   from which must be deposited in the state treasury in a special
10   account and expended only for the costs of providing the goods
11   and services, and those funds may be retained and expended for
12   the same purposes.”
13      E. 1. Section 1-11-220 of the 1976 Code is amended to read:
14      “Section 1-11-220. There is hereby established within the
15   Budget and Control Board Department of Administration, the
16   Division of Motor Vehicle Management General Services,
17   Program of Fleet Management headed by a Director, hereafter
18   referred to as the ‘State Fleet Manager’ appointed by and reporting
19   directly to the Budget and Control Board department, hereafter
20   referred to as the Board. The Board department shall develop a
21   comprehensive state Fleet Management Program. The program
22   shall address acquisition, assignment, identification, replacement,
23   disposal, maintenance, and operation of motor vehicles.
24      The Budget and Control Board department shall, through their
25   its policies and regulations, seek to achieve the following
26   objectives:
27         (a) to achieve maximum cost-effectiveness management of
28   state-owned motor vehicles in support of the established missions
29   and objectives of the agencies, boards, and commissions.;
30         (b) to eliminate unofficial and unauthorized use of state
31   vehicles.;
32         (c) to minimize individual assignment of state vehicles.;
33         (d) to eliminate the reimbursable use of personal vehicles for
34   accomplishment of official travel when this use is more costly than
35   use of state vehicles.;
36         (e) to acquire motor vehicles offering optimum energy
37   efficiency for the tasks to be performed.;
38         (f) to insure motor vehicles are operated in a safe manner in
39   accordance with a statewide Fleet Safety Program;
40         (g) to improve environmental quality in this State by
41   decreasing the discharge of pollutants.”
42      2. Section 1-11-225 of the 1976 Code is amended to read:


     [22-26]
 1      “Section 1-11-225. The Division of Operations Department of
 2   Administration shall establish a cost allocation plan to recover the
 3   cost of operating the comprehensive statewide Fleet Management
 4   Program. The division shall collect, retain, and carry forward
 5   funds to ensure continuous administration of the program.”
 6      3. Sections 1-11-250, 1-11-260, 1-11-270(A), 1-11-280,
 7   1-11-290; 1-11-300, 1-11-310, as last amended by Act 203 of
 8   2008, 1-11-315, 1-11-320; 1-11-335, and 1-11-340 of the 1976
 9   Code are amended to read:
10      “Section 1-11-250. For purposes of Sections 1-11-220 to
11   1-11-330:
12      (a) ‘State agency’ means all officers, departments, boards,
13   commissions, institutions, universities, colleges, and all persons
14   and administrative units of state government that operate motor
15   vehicles purchased, leased, or otherwise held with the use of state
16   funds, pursuant to an appropriation, grant or encumbrance of state
17   funds, or operated pursuant to authority granted by the State.
18      (b) ‘Board Department’ means State Budget and Control Board
19   the South Carolina Department of Administration.
20      Section 1-11-260. (A) The Fleet Manager shall report annually
21   to the Budget and Control Board and the General Assembly
22   concerning the performance of each state agency in achieving the
23   objectives enumerated in Sections 1-11-220 through 1-11-330 and
24   include in the report a summary of the division’s program’s efforts
25   in aiding and assisting the various state agencies in developing and
26   maintaining their management practices in accordance with the
27   comprehensive statewide Motor Vehicle Fleet Management
28   Program. This report also shall contain recommended changes in
29   the law and regulations necessary to achieve these objectives.
30      (B) The board department, after consultation with state agency
31   heads, shall promulgate and enforce state policies, procedures, and
32   regulations to achieve the goals of Sections 1-11-220 through
33   1-11-330 and shall recommend administrative penalties to be used
34   by the agencies for violation of prescribed procedures and
35   regulations relating to the Fleet Management Program.
36      Section 1-11-270. (A) The board department shall establish
37   criteria for individual assignment of motor vehicles based on the
38   functional requirements of the job, which shall reduce the
39   assignment to situations clearly beneficial to the State. Only the
40   Governor, statewide elected officials, and agency heads are
41   provided a state-owned vehicle based on their position.
42      Section 1-11-280. The Board department shall develop a
43   system of agency-managed and interagency motor pools which are,

     [22-27]
 1   to the maximum extent possible, cost beneficial to the State. All
 2   motor pools shall operate according to regulations promulgated by
 3   the Budget and Control Board department. Vehicles shall be
 4   placed in motor pools rather than being individually assigned
 5   except as specifically authorized by the Board department in
 6   accordance with criteria established by the Board department. The
 7   motor pool operated by the Division of General Services shall be
 8   transferred to the Division of Motor Vehicle Management.
 9   Agencies utilizing motor pool vehicles shall utilize trip log forms
10   approved by the Board department for each trip, specifying
11   beginning and ending mileage and the job function performed.
12      The provisions of this section shall not apply to school buses
13   and service vehicles.
14      Section 1-11-290. The Board department in consultation with
15   the agencies operating maintenance facilities shall study the
16   cost-effectiveness of such facilities versus commercial alternatives
17   and shall develop a plan for maximally cost-effective vehicle
18   maintenance. The Budget and Control Board department shall
19   promulgate rules and regulations governing vehicle maintenance to
20   effectuate the plan.
21      The State Vehicle Maintenance program shall include:
22      (a) central purchasing of supplies and parts;
23      (b) an effective inventory control system;
24      (c) a uniform work order and record-keeping system assigning
25   actual maintenance cost to each vehicle; and
26      (d) preventive maintenance programs for all types of vehicles.
27      All motor fuels shall be purchased from state facilities except in
28   cases where such purchase is impossible or not cost beneficial to
29   the State.
30      All fuels, lubricants, parts, and maintenance costs including
31   those purchased from commercial vendors shall be charged to a
32   state credit card bearing the license plate number of the vehicle
33   serviced and the bill shall include the mileage on the odometer of
34   the vehicle at the time of service.
35      Section 1-11-300. In accordance with criteria established by the
36   board department, each agency shall develop and implement a
37   uniform cost accounting and reporting system to ascertain the cost
38   per mile of each motor vehicle used by the State under their
39   control. Agencies presently operating under existing systems may
40   continue to do so provided that board departmental approval shall
41   be is required and that the existing systems shall be are uniform
42   with the criteria established by the board department. All


     [22-28]
 1   expenditures on a vehicle for gasoline and oil shall be purchased in
 2   one of the following ways:
 3      (1) from state-owned facilities and paid for by the use of
 4   Universal State Credit Cards except where agencies purchase these
 5   products in bulk;
 6      (2) from any fuel outlet where gasoline and oil are sold
 7   regardless of whether the outlet accepts a credit or charge card
 8   when the purchase is necessary or in the best interest of the State;
 9   and
10      (3) from a fuel outlet where gasoline and oil are sold when that
11   outlet agrees to accept the Universal State Credit Card.
12      These provisions regarding purchase of gasoline and oil and
13   usability of the state credit card also apply to alternative
14   transportation fuels where available. The Budget and Control
15   Board Division of Operations department shall adjust the
16   budgetary appropriation in Part IA, Section 63B, for ‘Operating
17   Expenses--Lease Fleet’ to reflect the dollar savings realized by
18   these provisions and transfer such amount to other areas of the
19   State Fleet Management Program. The Board department shall
20   promulgate regulations regarding the purchase of motor vehicle
21   equipment and supplies to ensure that agencies within a reasonable
22   distance are not duplicating maintenance services or purchasing
23   equipment that is not in the best interest of the State. The Board
24   department shall develop a uniform method to be used by the
25   agencies to determine the cost per mile for each vehicle operated
26   by the State.
27      Section 1-11-310. (A) The State Budget and Control Board
28   Department of Administration shall purchase, acquire, transfer,
29   replace, and dispose of all motor vehicles on the basis of maximum
30   cost-effectiveness and lowest anticipated total life cycle costs.
31      (B) The standard state fleet sedan or station wagon must be no
32   larger than a compact model and the special state fleet sedan or
33   station wagon must be no larger than an intermediate model. The
34   director of the Division of Motor Vehicle Management State Fleet
35   Manager shall determine the types of vehicles which fit into these
36   classes. Only these classes of sedans and station wagons may be
37   purchased by the State for nonlaw enforcement use.
38      (C) The State shall purchase police sedans only for the use of
39   law enforcement officers, as defined by the Internal Revenue
40   Code. Purchase of a vehicle under this subsection must be
41   concurred in by the director of the Division of Motor Vehicle
42   Management State Fleet Manager and must be in accordance with
43   regulations promulgated or procedures adopted under Sections

     [22-29]
 1   1-11-220 through 1-11-340 which must take into consideration the
 2   agency’s mission, the intended use of the vehicle, and the officer’s
 3   duties. Law enforcement agency vehicles used by employees
 4   whose job functions do not meet the Internal Revenue Service
 5   definition of ‘Law Enforcement Officer’ must be standard or
 6   special state fleet sedans.
 7      (D) All state motor vehicles must be titled to the State and must
 8   be received by and remain in the possession of the Division
 9   Program of Motor Vehicle Fleet Management pending sale or
10   disposal of the vehicle.
11      (E) Titles to school buses and service vehicles operated by the
12   State Department of Education and vehicles operated by the South
13   Carolina Department of Transportation must be retained by those
14   agencies.
15      (F) Exceptions to requirements in subsections (B) and (C) must
16   be approved by the director of the Division of Motor Vehicle
17   Management State Fleet Manager. Requirements in subsection (B)
18   do not apply to the State Development Board Department of
19   Commerce.
20      (G) Preference in purchasing state motor vehicles must be
21   given to vehicles assembled in the United States with at least
22   seventy-five percent domestic content as determined by the
23   appropriate federal agency.
24      (H) Preference in purchasing state motor vehicles must be
25   given to hybrid, plug-in hybrid, bio-diesel, hydrogen, fuel cell, or
26   flex-fuel vehicles when the performance, quality, and anticipated
27   life cycle costs are comparable to other available motor vehicles.
28      Section 1-11-315. The State Budget and Control Board
29   Department of Administration, Division of General Services,
30   Program of Motor Vehicle Fleet Management, shall determine the
31   extent to which the state vehicle fleet can be configured to operate
32   on alternative transportation fuels. This determination must be
33   based on a thorough evaluation of each alternative fuel and the
34   feasibility of using such fuels to power state vehicles. The state
35   fleet must be configured in a manner that will serve as a model for
36   other corporate and government fleets in the use of alternative
37   transportation fuel. By March 1, 1993, the Division Program of
38   Motor Vehicle Fleet Management must submit a plan to the
39   General Assembly for the use of alternative transportation fuels for
40   the state vehicle fleet that will enable the state vehicle fleet to
41   serve as a model for corporate and other government fleets in the
42   use of alternative transportation fuel. This plan must contain a
43   cost/benefit analysis of the proposed changes.

     [22-30]
 1      Section 1-11-320. The Board department shall ensure that all
 2   state-owned motor vehicles are identified as such through the use
 3   of permanent state-government state government license plates and
 4   either state or agency seal decals. No vehicles shall be exempt
 5   from the requirements for identification except those exempted by
 6   the Board department.
 7      This section shall not apply to vehicles supplied to law
 8   enforcement officers when, in the opinion of the Board department
 9   after consulting with the Chief of the State Law Enforcement
10   Division, those officers are actually involved in undercover law
11   enforcement work to the extent that the actual investigation of
12   criminal cases or the investigators’ physical well-being would be
13   jeopardized if they were identified. The Board department is
14   authorized to exempt vehicles carrying human service agency
15   clients in those instances in which the privacy of the client would
16   clearly and necessarily be impaired.
17      Section 1-11-335. The respective divisions of the Budget and
18   Control Board Department of Administration are authorized to
19   provide to and receive from other governmental entities, including
20   other divisions and state and local agencies and departments,
21   goods and services, as will in its opinion promote efficient and
22   economical operations. The divisions may charge and pay the
23   entities for the goods and services, the revenue from which shall be
24   deposited in the state treasury in a special account and expended
25   only for the costs of providing the goods and services, and such
26   funds may be retained and expended for the same purposes.
27      Section 1-11-340. The Board department shall develop and
28   implement a statewide Fleet Safety Program for operators of
29   state-owned vehicles which shall serve to minimize the amount
30   paid for rising insurance premiums and reduce the number of
31   accidents involving state-owned vehicles. The Board department
32   shall promulgate rules and regulations requiring the establishment
33   of an accident review board by each agency and mandatory driver
34   training in those instances where remedial training for employees
35   would serve the best interest of the State.”
36      F. Section 1-11-435 of the 1976 Code is amended to read:
37      “Section 1-11-435. To protect the state’s critical information
38   technology infrastructure and associated data systems in the event
39   of a major disaster, whether natural or otherwise, or resulting from
40   an infiltration or compromise of the infrastructure and associated
41   data systems, and to allow the services to the citizens of this State
42   to continue in such an event, the Office Division of the State Chief
43   Information Officer Technology in the Department of

     [22-31]
 1   Administration (CIO) should develop a Critical Information
 2   Technology Infrastructure Protection Plan devising policies and
 3   procedures to provide for the confidentiality, integrity, and
 4   availability of, and to allow for alternative and immediate online
 5   access to critical data and information systems including, but not
 6   limited to, health and human services, law enforcement, and
 7   related agency data necessary to provide critical information to
 8   citizens and ensure the protection of state employees as they carry
 9   out their disaster-related duties. All state agencies and political
10   subdivisions of this State are directed to assist the Office of the
11   State CIO division in the collection of data required for this plan.”
12      G. Section 1-15-10 of the 1976 Code, as last amended by Act
13   249 of 2008, is further amended to read:
14      “Section 1-15-10. There is hereby created a Commission on
15   Women to be composed of fifteen members appointed by the
16   Governor with the advice and consent of the Senate from among
17   persons with a competency in the area of public affairs and
18   women’s activities. One member must be appointed from each
19   congressional district and the remaining members from the State at
20   large. The commission shall be under and a part of the Office of
21   the Governor Department of Administration. Members of the
22   commission shall serve for terms of four years and until their
23   successors are appointed and qualify, except of those members
24   first appointed after the expansion of the commission to fifteen
25   members, two members shall serve a term of one year, two
26   members shall serve a term of two years, two members shall serve
27   a term of three years, and two members shall serve a term of four
28   years. Members appointed prior to and after the expansion of the
29   commission to fifteen members shall be designated by the
30   Governor as being appointed to serve either from a particular
31   congressional district or at large. Vacancies shall be filled in the
32   manner of the original appointment for the unexpired portion of
33   the term only. No member shall be eligible to serve more than two
34   consecutive terms.”
35      H.1. Section 1-30-110 of the 1976 Code is repealed.
36      2. Section 2-59-10(1) of the 1976 Code is amended to read:
37      “1. management of the L. Marion Gressette Building and the
38   Senate areas of the State House with sole authority to formulate
39   and implement policies and procedures for the effective utilization
40   of personnel, equipment, and space within the building L. Marion
41   Gressette Building and the Senate areas of the State House;”
42      I. Chapter 9, Title 3 of the 1976 Code is amended to read:
43                                 “CHAPTER 9

     [22-32]
 1           Acquisition and Distribution of Federal Surplus Property
 2      Section 3-9-10. (a) The Division of General Services of the
 3   State Budget and Control Board Department of Administration is
 4   authorized:
 5         (1) to acquire from the United States of America under and
 6   in conformance with the provisions of Section 203 (j) of the
 7   Federal Property and Administrative Services Act of 1949, as
 8   amended, hereafter referred to as the ‘act,’ such property,
 9   including equipment, materials, books, or other supplies under the
10   control of any department or agency of the United States of
11   America as may be usable and necessary for purposes of
12   education, public health or civil defense, including research for any
13   such purpose, and for such other purposes as may now or hereafter
14   be authorized by federal law;
15         (2) to warehouse such property; and
16         (3) to distribute such property within the State to
17   tax-supported medical institutions, hospitals, clinics, health
18   centers, school systems, schools, colleges and universities within
19   the State, to other nonprofit medical institutions, hospitals, clinics,
20   health centers, schools, colleges and universities which are exempt
21   from taxation under Section 501 (c)(3) of the United States
22   Internal Revenue Code of 1954, to civil defense organizations of
23   the State, or political subdivisions and instrumentalities thereof,
24   which are established pursuant to State law, and to such other
25   types of institutions or activities as may now be or hereafter
26   become eligible under Federal law to acquire such property.
27      (b) The Division of General Services of the Department of
28   Administration is authorized to receive applications from eligible
29   health and educational institutions for the acquisition of Federal
30   surplus real property, investigate the applications, obtain
31   expression of views respecting the applications from the
32   appropriate health or educational authorities of the State, make
33   recommendations regarding the need of such applicant for the
34   property, the merits of its proposed program of utilization, the
35   suitability of the property for the purposes, and otherwise assist in
36   the processing of the applications for acquisition of real and related
37   personal property of the United States under Section 203 (k) of the
38   act.
39      (c) For the purpose of executing its authority under this
40   chapter, the Division of General Services is authorized to adopt,
41   amend or rescind rules and regulations and prescribe such
42   requirements as may be deemed necessary; and take such other
43   action as is deemed necessary and suitable, in the administration of

     [22-33]
 1   this chapter, to assure maximum utilization by and benefit to
 2   health, educational and civil defense institutions and organizations
 3   within the State from property distributed under this chapter.
 4      (d) The Budget and Control Board Department of
 5   Administration is authorized to appoint advisory boards or
 6   committees, and to employ such personnel and prescribe their
 7   duties as are deemed necessary and suitable for the administration
 8   of this chapter.
 9      (e) The Director of the Division of General Services is
10   authorized to make such certifications, take such action and enter
11   into such contracts, agreements and undertakings for and in the
12   name of the State (including cooperative agreements with any
13   Federal agencies providing for utilization of property and facilities
14   by and exchange between them of personnel and services without
15   reimbursement), require such reports and make such investigations
16   as may be required by law or regulation of the United States of
17   America in connection with the receipt, warehousing, and
18   distribution of personal property received by him from the United
19   States of America.
20      (f) The Division of General Services is authorized to act as
21   clearinghouse of information for the public and private nonprofit
22   institutions, organizations and agencies referred to in subparagraph
23   (a) of this section and other institutions eligible to acquire federal
24   surplus personal property, to locate both real and personal property
25   available for acquisition from the United States of America, to
26   ascertain the terms and conditions under which such property may
27   be obtained, to receive requests from the above-mentioned
28   institutions, organizations, and agencies and to transmit to them all
29   available information in reference to such property, and to aid and
30   assist such institutions, organizations, and agencies in every way
31   possible in the consummation of acquisitions or transactions
32   hereunder.
33      (g) The Division of General Services, in the administration of
34   this chapter, shall cooperate to the fullest extent consistent with the
35   provisions of the act, and with the departments or agencies of the
36   United States of America, and shall file a State plan of operation,
37   and operate in accordance therewith, and take such action as may
38   be necessary to meet the minimum standards prescribed in
39   accordance with the act, and make such reports in such form and
40   containing such information as the United States of America or
41   any of its departments or agencies may from time to time require,
42   and it shall comply with the laws of the United States of America
43   and the rules and regulations of any of the departments or agencies

     [22-34]
 1   of the United States of America governing the allocation, transfer,
 2   use or accounting for, property donable or donated to the State.
 3      Section 3-9-20. The Director of the Division of General
 4   Services may delegate such power and authority as he deems
 5   reasonable and proper for the effective administration of this
 6   chapter. The State Budget and Control Board Department of
 7   Administration may require bond of any person in the employ of
 8   the Division of General Services receiving or distributing property
 9   from the United States under authority of this chapter.
10      Section 3-9-30. Any charges made or fees assessed by the
11   Division of General Services for the acquisition, warehousing,
12   distribution, or transfer of any property of the United States of
13   America for educational, public health, or civil defense purposes,
14   including research for any such purpose, or for any purpose which
15   may now be or hereafter become eligible under the act, shall be
16   limited to those reasonably related to the costs of care and handling
17   in respect to its acquisition, receipt, warehousing, distribution, or
18   transfer.
19      Section 3-9-40. The provisions of this chapter shall not apply to
20   the acquisition of property acquired by agencies of the State under
21   the priorities established by Section 308 (b), Title 23, United States
22   Code, Annotated.”
23      J. Section 10-1-10 of the 1976 Code, as last amended by Act
24   628 of 1988, is further amended to read:
25      “Section 10-1-10. The State Budget and Control Board
26   Department of Administration shall keep, landscape, cultivate, and
27   beautify the State House and State House grounds with authority to
28   expend such amounts as may be annually appropriated therefor.
29   The board department shall employ all help and labor in policing,
30   protecting, and caring for the State House and State House grounds
31   and shall have full authority over them.”
32      K. Section 10-1-30 of the 1976 Code, as last amended by Act
33   628 of 1988, is further amended to read:
34      “Section 10-1-30. (A) The Director of the Division of General
35   Services of the State Budget and Control Board may authorize the
36   use of the State House lobbies, areas of State House except for
37   those provided in subsection (B), the State House steps and
38   grounds, and other public buildings and grounds except for those
39   provided in subsection (B) in accordance with regulations
40   promulgated by the board department and the laws of this State.
41      (B) The Clerk of the Senate and the Clerk of the House of
42   Representatives shall provide joint approval for access to or the
43   use of the second and third floors of the State House; provided,

     [22-35]
 1   that use of the respective chambers of each house shall be the
 2   prerogative of that house. The director shall obtain the approval of
 3   the Clerk of the Senate before authorizing shall provide prior
 4   authorization for any access to or use of the Gressette Senate
 5   Office Building and shall obtain the approval of the Clerk of the
 6   House of Representatives before authorizing shall provide prior
 7   authorization for any access to or use of the Blatt House Office
 8   Building. Management and supervision of the office buildings of
 9   each house of the General Assembly shall be exercised by their
10   presiding officer acting through the respective clerks.
11      (C) The regulations promulgated pursuant to subsection (A)
12   must contain provisions to insure ensure that the public health,
13   safety, and welfare will be are protected in the use of the areas
14   including reasonable time, place, and manner restrictions and
15   application periods before use. If sufficient measures cannot be
16   are not taken to protect the public health, safety, and welfare, the
17   director shall deny the requested use. Other restrictions may be
18   imposed on the use of the areas as are necessary for the conduct of
19   business in those areas and the maintenance of the dignity,
20   decorum, and aesthetics of the areas.”
21      L. Section 10-1-130 of the 1976 Code is amended to read:
22      “Section 10-1-130. The trustees or governing bodies of state
23   institutions and agencies may grant easements and rights of way
24   over any property under their control, upon the concurrence and
25   acquiescence of the State Budget and Control Board
26   recommendation of the Department of Administration, whenever it
27   appears that such easements will do not materially impair the
28   utility of the property or damage it and, when a consideration is
29   paid therefor, any such amounts shall must be placed in the State
30   Treasury to the credit of the institution or agency having control of
31   the property involved.”
32      M. Section 10-1-190 of the 1976 Code, as added by Act 145 of
33   1995, is amended to read:
34      “Section 10-1-190. As part of the approval process relating to
35   trades of state property for nonstate property, the Budget and
36   Control Board Department of Administration is authorized to
37   approve the application of any net proceeds resulting from such a
38   transaction to the improvement of the property held by the board
39   department.”
40      N. Chapter 9, Title 10 of the 1976 Code is amended to read:
41                                “CHAPTER 9
42                       Minerals and Mineral Interests
43                               in Public Lands

     [22-36]
 1                                   Article 1
 2                              General Provisions
 3      Section 10-9-10. The Public Service Authority may, through its
 4   board of directors, make and execute leases of gas, oil, and other
 5   minerals and mineral rights, excluding phosphate and lime and
 6   phosphatic deposits, over and upon the lands and properties owned
 7   by said authority; and the State Budget and Control Board
 8   Department of Health and Environmental Control and the forfeited
 9   land commissions of the several counties of this State may, with
10   the approval of the Attorney General, make and execute such
11   leases over and upon the lands and waters of the State and of the
12   several counties under the ownership, management, or control of
13   such Board the department and commissions respectively.
14      Section 10-9-20. No such lease shall provide for a royalty of
15   less than twelve and one-half per cent of production of oil and gas
16   from the lease.
17      Section 10-9-30. Nothing contained in this article shall estop the
18   State from enacting proper laws for the conservation of the oil, gas
19   and other mineral resources of the State and all leases and
20   contracts made under authority of this article shall be subject to
21   such laws; provided, that the State Budget and Control Board
22   Department of Health and Environmental Control may negotiate
23   for leases of oil, gas, and other mineral rights upon all of the lands
24   and waters of the State, including offshore marginal and
25   submerged lands.
26      Section 10-9-35. In the event that the State of South Carolina is
27   the recipient of revenues derived from offshore oil leases within
28   the jurisdictional limits of the State such revenues shall be
29   deposited with the State Treasurer in a special fund and shall be
30   expended only by authorization of the General Assembly.
31      Funds so accumulated shall be expended only for the following
32   purposes:
33      (1) to retire the bonded indebtedness incurred by South
34   Carolina;
35      (2) for capital improvement expenditures.
36      Section 10-9-40. The authority conferred upon the Public
37   Service Authority, the State Budget and Control Board Department
38   of Health and Environmental Control, and the forfeited land
39   commissions by this article shall be cumulative and in addition to
40   the rights and powers heretofore vested by law in such authority,
41   such State Budget and Control Board the Department of Health
42   and Environmental Control, and such commissions, respectively.
43                                   Article 3

     [22-37]
 1                                  Phosphate
 2      Section 10-9-110. The State Budget and Control Board
 3   Department of Health and Environmental Control shall be charged
 4   with the exclusive control and protection of the rights and interest
 5   of the State in the phosphate rocks and phosphatic deposits in the
 6   navigable streams and in the marshes thereof.
 7      Section 10-9-120. The Board department may inquire into and
 8   protect the interests of the State in and to any phosphatic deposits
 9   or mines, whether in the navigable waters of the State or in land
10   marshes or other territory owned or claimed by other parties, and
11   in the proceeds of any such mines and may take such action for, or
12   in behalf of, the State in regard thereto as it may find necessary or
13   deem proper.
14      Section 10-9-130. The Board department may issue to any
15   person who applies for a lease or license granting a general right to
16   dig, mine, and remove phosphate rock and phosphatic deposits
17   from all the navigable streams, waters, and marshes belonging to
18   the State and also from such of the creeks, not navigable, lying
19   therein as may contain phosphate rock and deposits belonging to
20   the State and not previously granted. Such leases or licenses may
21   be for such terms as may be determined by the Board department.
22   The annual report of the Board department to the General
23   Assembly shall include a list of all effective leases and licenses.
24   The Board department may make a firm contract for the royalty to
25   be paid the State which shall not be increased during the life of the
26   license. Provided, that prior to the grant or issuance of any lease or
27   license, the Board department shall cause to be published a notice
28   of such application in a newspaper having general circulation in
29   the county once a week for three successive weeks prior to the
30   grant or issuance. Provided, further However, the lessee or
31   licensee may shall not take possession if there be is an adverse
32   claim and the burden of proving ownership in the State shall be
33   placed upon the lessee or licensee.
34      Section 10-9-140.      In every case in which such an application
35   shall be is made to the Board department for a license, the Board
36   department may grant or refuse the license as it may deem
37   considers best for the interest of the State and the proper
38   management of the interests of the State in such those deposits.
39      Section 10-9-150. As a condition precedent to the right to dig,
40   mine, and remove the rocks and deposits granted by any such a
41   license, each licensee shall enter into bond, with security, in the
42   penal sum of five thousand dollars, conditioned for the making at
43   the end of every month of true and faithful returns to the

     [22-38]
 1   Comptroller General of the number of tons of phosphate rock and
 2   phosphatic deposits so dug or mined and the punctual payment to
 3   the State Treasurer of the royalty provided at the end of every
 4   quarter or three months. Such The bond and sureties thereon shall
 5   be are subject to the approval required by law for the bonds of state
 6   officers.
 7      Section 10-9-160. Whenever the Board department shall have
 8   reason to doubt the solvency of any surety whose name appears
 9   upon any bond executed for the purpose of securing the payment
10   of the phosphate royalty by any person digging, mining and
11   removing phosphate rock or phosphatic deposits in any of the
12   territory, the property of the State, under any grant or license, the
13   Board department shall forthwith notify the person giving such
14   bond and the sureties thereon and require that one or more sureties,
15   as the case may be, shall be added to the bond, such surety or
16   sureties to be approved by the Board department.
17      Section 10-9-170. The Board department, upon petition filed
18   by any person who is surety on any such bond as aforesaid and
19   who considers himself in danger of being injured by such
20   suretyship, shall notify the person giving such bond to give a new
21   bond with other sureties and upon failure of such person to do so
22   within thirty days shall cause such person to suspend further
23   operations until a new bond be given. But in In no case shall the
24   sureties on the old bond be discharged from liability thereon until
25   the new bond has been executed and approved, and such sureties
26   shall not be discharged from any antecedent liability by reason of
27   such suretyship.
28      Section 10-9-180. The Board department is hereby vested with
29   full and complete power and control over all mining in the
30   phosphate territory belonging to this State and over all persons
31   digging or mining phosphate rock or phosphatic deposit in the
32   navigable streams and waters or in the marshes thereof, with full
33   power and authority, subject to the provisions of Sections 10-9-130
34   and 10-9-190 to fix, regulate, raise, or reduce such royalty per ton
35   as shall from time to time be paid to the State by such persons for
36   all or any such phosphate rock dug, mined, removed, and shipped
37   or otherwise sent to the market therefrom. But six Six months’
38   notice shall be given all persons at such time digging or mining
39   phosphate rock in such navigable streams, waters, or marshes
40   before any increase shall be made in the rate of royalty theretofore
41   existing.
42      Section 10-9-190. Each person to whom a license shall be
43   issued must, at the end of every month, make to the Comptroller

     [22-39]
 1   General a true and lawful return of the phosphate rock and
 2   phosphatic deposits he may have dug or mined during such month
 3   and shall punctually pay to the State Treasurer, at the end of every
 4   quarter or three months, a royalty of five cents per ton upon each
 5   and every ton of the crude rock (not of the rock after it has been
 6   steamed or dried), the first quarter to commence to run on the first
 7   day of January in each year.
 8      Section 10-9-200. The State Budget and Control Board
 9   Department of Health and Environmental Control shall, within
10   twenty days after the grant of any license as aforesaid, shall notify
11   the Comptroller General of the issuing of such license, with the
12   name of the person to whom issued, the time of the license, and the
13   location for which it was issued.
14      Section 10-9-210. Every person who shall dig, mine, or remove
15   any phosphate rock or phosphatic deposit from the beds of the
16   navigable streams, waters, and marshes of the State without license
17   therefor previously granted by the State to such person shall be
18   liable to a penalty of ten dollars for each and every ton of
19   phosphate rock or phosphatic deposits so dug, mined, or removed,
20   to be recovered by action at the suit of the State in any court of
21   competent jurisdiction. One-half of such penalty shall be for the
22   use of the State and the other half for the use of the informer.
23      Section 10-9-220. It shall be unlawful for any person to
24   purchase or receive any phosphate rock or phosphatic deposit dug,
25   mined, or removed from the navigable streams, waters, or marshes
26   of the State from any person not duly authorized by act of the
27   General Assembly of this State or license of the Board department
28   to dig, mine, or remove such phosphate rock or phosphatic deposit.
29      Section 10-9-230. Any person violating Section 10-9-220 shall
30   forfeit to the State the sum of ten dollars for each and every ton of
31   phosphate rock or phosphatic deposit so purchased or received, to
32   be recovered by action in any court of competent jurisdiction.
33   One-half of such forfeiture shall be for the use of the State and the
34   other half for the use of the informer.
35      Section 10-9-240. Should any person whosoever interfere with,
36   obstruct, or molest or attempt to interfere with, obstruct, or molest
37   the Board department or anyone by it authorized or licensed
38   hereunder in the peaceable possession and occupation for mining
39   purposes of any of the marshes, navigable streams, or waters of the
40   State, then the Board department may, in the name and on behalf
41   of the State, take such measures or proceedings as it may be
42   advised are proper to enjoin and terminate any such molestation,
43   interference, or obstruction and place the State, through its agents,

     [22-40]
 1   the Board department or anyone under it authorized, in absolute
 2   and practical possession and occupation of such marshes,
 3   navigable streams, or waters.
 4      Section 10-9-250. Should any person attempt to mine or
 5   remove phosphate rock and phosphatic deposits from any of the
 6   marshes, navigable waters, or streams, including the Coosaw River
 7   phosphate territory, by and with any boat, vessel, marine dredge,
 8   or other appliances for such mining or removal, without the leave
 9   or license of the Board department thereto first had and obtained,
10   all such boats, vessels, marine dredges, and other appliances are
11   hereby declared forfeited to and property of the State, and the
12   Attorney General, for and in behalf of the State, shall institute
13   proceedings in any court of competent jurisdiction for the claim
14   and delivery thereof, in the ordinary form of action for claim and
15   delivery, in which action the title of the State shall be established
16   by the proof of the commission of any such act of forfeiture by the
17   person owning them, or his agents, in possession of such boats,
18   vessels, marine dredges, or other appliances. In any such action
19   the State shall not be called upon or required to give any bond or
20   obligation such as is required by parties plaintiff in action for claim
21   and delivery.
22      Section 10-9-260. Any person wilfully interfering with,
23   molesting, or obstructing or attempting to interfere with, molest, or
24   obstruct the State or the State Budget and Control Board
25   Department of Health and Environmental Control or anyone by it
26   authorized or licensed in the peaceable possession and occupation
27   of any of the marshes, navigable streams, or waters of the State,
28   including the Coosaw River phosphate territory, or who shall dig
29   or mine or attempt to dig or mine any of the phosphate rock or
30   phosphatic deposits of this State without a license so to do issued
31   by the Board department shall be punished for each offense by a
32   fine of not less than one hundred dollars nor more than five
33   hundred dollars or imprisonment for not less than one nor more
34   than twelve months, or both, at the discretion of the court.
35      Section 10-9-270. The Board department shall report annually
36   to the General Assembly its actions and doings under this article
37   during the year to the time of the meeting of the assembly, with an
38   itemized account of its expenses for the year incurred in
39   connection with its duties and powers under this article.
40                                  Article 5
41                            Geothermal Resources



     [22-41]
 1      Section 10-9-310. For purposes of this article ‘geothermal
 2   resources’ mean means the natural heat of the earth at temperatures
 3   greater than forty degrees Celsius and includes:
 4      (1) the energy, including pressure, in whatever form present in,
 5   resulting from, created by, or that may be extracted from that
 6   natural heat.;
 7      (2) the material medium, including the brines, water, and steam
 8   naturally present, as well as any substance artificially introduced to
 9   serve as a heat transfer medium.;
10      (3) all dissolved or entrained minerals and gases that may be
11   obtained from the material medium but excluding hydrocarbon
12   substances and helium.
13      Section 10-9-320. The State Budget and Control Board (board)
14   Department of Health and Environmental Control may lease
15   development rights to geothermal resources underlying surface
16   lands owned by the State. The board department must promulgate
17   regulations regarding the method of lease acquisition, lease terms,
18   and conditions due the State under lease operations. The South
19   Carolina Department of Natural Resources is designated as the
20   exclusive agent for the board department in selecting lands to be
21   leased, administering the competitive bidding for leases,
22   administering the leases, receiving and compiling comments from
23   other state agencies concerning the desirability of leasing the state
24   lands proposed for leasing and such other activities that pertain to
25   geothermal resource leases as may be included herein as
26   responsibilities of the board department.
27      Section 10-9-330. Any lease of rights to drill for and use oil,
28   natural gas, or minerals on public or private lands must not allow
29   drilling for or use of geothermal energy by the lessee unless the
30   instrument creating the lease specifically provides for such use.”
31      O. Section 10-11-50 of the 1976 Code, as last amended by Act
32   181 of 1993, is further amended to read:
33      “Section 10-11-50. It shall be unlawful for anyone to park any
34   vehicle on any of the property described in Section 10-11-40 and
35   subsection (2) of Section 10-11-80 except in the spaces and
36   manner now marked and designated or that may hereafter be
37   marked and designated by the State Budget and Control Board
38   Department of Administration, in cooperation with the Department
39   of Transportation, or to block or impede traffic through the alleys
40   and driveways.”
41      P. Section 10-11-90 of the 1976 Code is amended to read:
42      “Section 10-11-90. The watchmen and policemen employed by
43   the Budget and Control Board for the protection of the property

     [22-42]
 1   described in Sections 10-11-30 and 10-11-40 and subsection (2) of
 2   Section 10-11-80 are hereby vested with all of the powers,
 3   privileges, and immunities of constables while on this area or in
 4   fresh pursuit of those violating the law in this area, provided that
 5   such watchmen and policemen take and file the oath required of
 6   peace officers, execute and file bond in the form required of state
 7   constables, in the amount of one thousand dollars, with the Budget
 8   and Control Board, and be duly commissioned by the Governor.”
 9      Q. Section 10-11-110 of the 1976 Code is amended to read:
10      “Section 10-11-110. In connection with traffic and parking
11   violations only, the watchmen and policemen referred to in Section
12   10-11-90, state highway patrolmen and policemen of the City of
13   Columbia shall have the right to issue and use parking tickets of
14   the type used by the City of Columbia, with such changes as are
15   necessitated hereby, to be prepared and furnished by the Budget
16   and Control Board Department of Administration, upon the
17   issuance of which the procedures shall be followed as prevail in
18   connection with the use of parking tickets by the City of Columbia.
19   Nothing herein shall restrict the application and use of regular
20   arrest warrants.”
21      R. Section 10-11-140 of the 1976 Code is amended to read:
22      “Section 10-11-140. Nothing contained in this article shall be
23   construed to abridge the authority of the State Budget and Control
24   Board Department of Administration to grant permission to use the
25   State House grounds for educational, electrical decorations, and
26   similar purposes.”
27      S. Section 10-11-330 of the 1976 Code is amended to read:
28      “Section 10-11-330. It shall be unlawful for any person or
29   group of persons willfully wilfully and knowingly: (a) to enter or
30   to remain within the capitol building unless such person is
31   authorized by law or by rules of the House or Senate, or of the
32   State Budget and Control Board or the Department of
33   Administration regulations, respectively, when such entry is done
34   for the purpose of uttering loud, threatening, and abusive language
35   or to engage in any disorderly or disruptive conduct with the intent
36   to impede, disrupt, or disturb the orderly conduct of any session of
37   the legislature or the orderly conduct within the building or of any
38   hearing before or any deliberation of any committee or
39   subcommittee of the legislature; (b) to obstruct or to impede
40   passage within the capitol grounds or building; (c) to engage in
41   any act of physical violence upon the capitol grounds or within the
42   capitol building; or (d) to parade, demonstrate, or picket within the
43   capitol building.”

     [22-43]
 1      T. 1. Sections 11-9-610, 11-9-620, and 11-9-630 of the 1976
 2   Code are amended to read:
 3      “Section 11-9-610. The State Budget and Control Board State
 4   Fiscal Accountability Authority shall receive and manage the
 5   incomes and revenues set apart and applied to the Sinking Fund of
 6   the State. The authority shall report annually on the financial
 7   status of the Sinking Fund to the General Assembly.
 8      Section 11-9-620. All monies arising from the redemption of
 9   lands, leases, and sales of property or otherwise coming to the
10   State Budget and Control Board authority for the Sinking Fund,
11   shall must be paid into the State Treasury and shall be kept on a
12   separate account by the treasurer as a fund to be drawn upon the
13   warrants of the Board department for the exclusive uses and
14   purposes which have been or shall be declared in relation to the
15   Sinking Fund.
16      Section 11-9-630. The State Budget and Control Board
17   authority shall sell and convey, for and on behalf of the State, all
18   such real property, assets, and effects belonging to the State as are
19   not in actual public use, such sales to be made from time to time in
20   such manner and upon such terms as it may deem most
21   advantageous to the State. This shall not be construed to authorize
22   the sale by the Board of any property held in trust for a specific
23   purpose by the State or the property of the State in the phosphate
24   rocks or phosphatic deposits in the beds of the navigable streams
25   and waters and marshes of the State.”
26      2. Sections 11-9-665, 11-9-670, and 11-9-680 of the 1976 Code
27   are amended to read:
28      “Section 11-9-665. (A) The Budget and Control Board
29   authority on behalf of the State may acquire for use by the State
30   real property as investments of any reserve or sinking fund of the
31   State which is not pledged for payment of bonded indebtedness.
32   Provided, however, such expenditures from the reserve or sinking
33   fund shall not exceed two million dollars. Upon any such
34   acquisition the State Budget and Control Board authority shall
35   execute a note evidencing such investment upon such terms and
36   conditions as may be appropriate in each instance. The note shall
37   include a pledge of the board to apply on its payment all net
38   income derived from the property so acquired; provided, that
39   funding for any permanent project on the property shall provide for
40   repayment of any outstanding balance to the appropriate reserve or
41   sinking fund. Provided, further, that the purchase price of any
42   property so acquired, including improvements existing or
43   proposed, shall not be in excess of the actual value thereof as

     [22-44]
 1   established by at least two appraisals satisfactory to the said board.
 2   Any property not put to permanent use by the State or one of its
 3   agencies or departments within six years shall be sold at public
 4   auction and the proceeds repaid to the appropriate reserve or
 5   sinking fund. Provided, further, that no property shall be acquired
 6   pursuant to the provisions of this section when the grantor has
 7   entered into a contract with any county, city or other political
 8   subdivision which created a tax obligation with respect to the
 9   property and such obligation has not been resolved to the
10   satisfaction of the county, city or other political subdivision
11   involved.
12      (B) Provided, that prior to purchasing, or contracting to
13   purchase any real property the Budget and Control Board authority
14   shall engage an independent engineer to make borings so as to
15   insure that the property is adaptable to the contemplated use.
16      Section 11-9-670. Subject to the limitations set forth in Section
17   11-9-660, the State Budget and Control Board authority shall have
18   full power to hold, purchase, sell, assign, transfer and dispose of
19   any of the securities and investments in which the Sinking Fund
20   shall have been invested.
21      Section 11-9-680. The State Budget and Control Board
22   authority shall annually report to the General Assembly the
23   condition of the Sinking Fund and all sales or other transactions
24   connected therewith.”
25      U. Sections 11-35-3820 and 11-35-3840, of the 1976 Code are
26   further amended to read:
27      Section 11-35-3820. Except as provided in Section 11-35-1580
28   and Section 11-35-3830 and the regulations pursuant to them, the
29   sale of all state-owned supplies, or personal property not in actual
30   public use must be conducted and directed by the designated board
31   office through the Division of General Services of the Department
32   of Administration. The sales must be held at such places and in a
33   manner as in the judgment of the designated board office Division
34   of General Services is most advantageous to the State. Unless
35   otherwise determined, sales must be by either public auction or
36   competitive sealed bid to the highest bidder. Each governmental
37   body shall inventory and report to the designated board office all
38   surplus personal property not in actual public use held by that
39   governmental body for sale. The designated board office division
40   shall deposit the proceeds from the sales, less expense of the sales,
41   in the state general fund or as otherwise directed by regulation.
42   This policy and procedure applies to all governmental bodies
43   unless exempt by law.

     [22-45]
 1      Section 11-35-3840. The State Budget and Control Board
 2   board may license for public sale publications, including South
 3   Carolina Business Opportunities, materials pertaining to training
 4   programs, and information technology products that are developed
 5   during the normal course of the board’s its activities. The items
 6   must be licensed at reasonable costs established in accordance with
 7   the cost of the items. All proceeds from the sale of the
 8   publications and materials must be placed in a revenue account and
 9   expended for the cost of providing the services.”
10      V. Section 11-35-5270 of the 1976 Code is amended to read:
11      “Section 11-35-5270. A Small and Minority Business Assistance
12   Office (SMBAO) shall The Division of Small and Minority
13   Business Contracting and Certification must be established within
14   the Department of Administration to assist the board Department
15   of Administration and the Department of Revenue in carrying out
16   the intent of this article. The responsibilities of the division shall
17   include, but are not be limited to, the following:
18      (1) Assist assisting the chief procurement officers and
19   governmental bodies in developing policies and procedures which
20   will facilitate awarding contracts to small and minority firms;
21      (2) Assist assisting the chief procurement officers in aiding
22   small and minority-owned firms and community-based business in
23   developing organizations to provide technical assistance to
24   minority firms;
25      (3) Assist assisting with the procurement and management
26   training for small and minority firm owners;
27      (4) Assist assisting in the identification of responsive small and
28   minority firms;
29      (5) Receive and process receiving and processing applications
30   to be registered as a minority firm in accordance with Section
31   11-35-5230(B);
32      (6) The SMBAO may revoke revoking the certification of any
33   firm which that has been found to have engaged in any of the
34   following:
35        (a) fraud or deceit in obtaining the certification;
36        (b) furnishing of substantially inaccurate or incomplete
37   information concerning ownership or financial status;
38        (c) failure to report changes which affect the requirements
39   for certification;
40        (d) gross         negligence,       incompetence,       financial
41   irresponsibility, or misconduct in the practice of his business; or
42        (e) wilful violation of any provision of this article.


     [22-46]
 1      (7) After a period of one year, the SMBAO division may
 2   reissue a certificate of eligibility provided acceptable evidence has
 3   been presented to the commission that the conditions which caused
 4   the revocation have been corrected.”
 5      W. 1. Section 11-42-30(1) of the 1976 Code is amended to
 6   read:
 7      “Section 11-42-30. As used in this chapter:
 8      (1) “Board” means the governing board of the State Budget
 9   and Control Board Fiscal Accountability Authority.”
10      2. Section 11-42-40 of the 1976 Code is amended to read:
11      “Section 11-42-40. (A) There is created the Division of
12   Regional Development as a division within the State Budget and
13   Control Board Fiscal Accountability Authority. The division shall
14   report to the executive director of the board.
15      3. Section 11-42-60 of the 1976 Code is amended to read:
16      “Section 11-42-60. The division shall function as a division of
17   the State Budget and Control Board Fiscal Affairs Authority and
18   has all administrative and program authority necessary to fulfill its
19   public mandate including, but not limited to, the following powers:
20      (1) to solicit, receive, and expend public and private funds
21   from any relevant sources and entities in order to carry out the
22   purposes of the division; and
23      (2) to prescribe and charge fees for its services, which fees
24   must be retained and expended for division purposes.”
25      X. Section 11-53-20 of the 1976 Code is amended to read:
26      “Section 11-53-20. It is mandated by the General Assembly that
27   the SCEIS shall be implemented for all agencies, with the
28   exception of lump sum agencies, the General Assembly or its
29   respective branches or its committees, Legislative Council, and the
30   Office of Legislative Printing and Information Technology
31   Resources Services Agency. The South Carolina Enterprise
32   Information System Oversight Committee, as appointed by the
33   Comptroller General, shall provide oversight for the
34   implementation and continued operations of the system. The
35   Budget and Control Board Department of Administration is
36   authorized to use any available existing technology resources to
37   assist with funding of the initial implementation of the system. It
38   is further the intent of the General Assembly to fund the central
39   government costs related to the implementation of the system.
40   Agencies are required to implement SCEIS at a cost and in
41   accordance with a schedule developed and approved by the SCEIS
42   Oversight Committee. Full implementation must be completed
43   within five years. An agency’s implementation cost shall be borne

     [22-47]
 1   by that agency through existing appropriations, grants, and/or the
 2   State Treasurer’s Master Lease Program and shall be for the
 3   implementation of the “back office” administrative functions that
 4   are common to all agencies in the areas of purchasing, finance,
 5   human resources, payroll, and budgeting. The Department of
 6   Administration must make an appropriation request for the
 7   implementation and operational costs for SCEIS, and the funding
 8   for those costs must be set out as a specific line item in the annual
 9   general appropriations act. Any issues arising with regard to
10   project scope, implementation schedule, and associated costs shall
11   be directed to the SCEIS Oversight Committee for resolution. In
12   cooperation with the Comptroller General and the Budget and
13   Control Board’s Division of the State CIO Department of
14   Administration, the South Carolina Enterprise Information System
15   Oversight Committee is required to report by January 31, of the
16   fiscal year to the Governor, the Chairman of the Senate Finance
17   Committee, and the Chairman of the House Ways and Means
18   Committee the status of the system’s implementation and ongoing
19   operations.”
20      Y. 1. Section 13-7-10(1) of the 1976 Code is amended to read:
21      “(10) ‘Decommissioning trust fund’ means the trust fund
22   established pursuant to a Trust Agreement dated March 4, 1981,
23   among Chem-Nuclear Systems, Inc. (grantor), the South Carolina
24   Budget and Control Board State Fiscal Accountability Authority
25   (beneficiary as the successor in interest to the South Carolina
26   Budget and Control Board), and the South Carolina State Treasurer
27   (trustee), whose purpose is to assure adequate funding for
28   decommissioning of the disposal site, or any successor fund with a
29   similar purpose.
30      2. Section 13-7-30 of the 1976 Code is amended to read:
31      “Section 13-7-30. For purposes of this article, the State Budget
32   and Control Board Fiscal Accountability Authority, hereinafter in
33   this section referred to as the board, is designated as the agency of
34   the State which shall have the following powers and duties that are
35   in accord with its already established responsibilities for custody of
36   state properties, and for the management of all state sinking funds,
37   insurance, and analogous fiscal matters that are relevant to state
38   properties:
39      (1) expend state funds in order to acquire, develop, and operate
40   land and facilities. This acquisition may be by lease, dedication,
41   purchase, or other arrangements. However, the state’s functions
42   under the authority of this section are limited to the specific
43   purposes of this article;

     [22-48]
 1      (2) lease, sublease, or sell real and personal properties to public
 2   or private bodies;
 3      (3) assure the maintenance of insurance coverage by state
 4   licensees, lessees, or sublessees as will in the opinion of the board
 5   protect the citizens of the State against nuclear incident that may
 6   occur on state-controlled atomic energy facilities;
 7      (4) assume responsibility for extended custody and
 8   maintenance of radioactive materials held for custodial purposes at
 9   any publicly or privately operated facility located within the State,
10   in the event the parties operating these facilities abandon their
11   responsibility, or when the license for the facility is ultimately
12   transferred to an agency of the State, and whenever the federal
13   government or any agency of the federal government has not
14   assumed the responsibility.
15      In order to finance such extended custody and maintenance as
16   the board may undertake, the board may collect fees from private
17   or public parties holding radioactive materials for custodial
18   purposes. These fees must be sufficient in each individual case to
19   defray the estimated cost of the board’s custodial management
20   activities for that individual case. The fees collected for such
21   custodial management activities shall also be sufficient to provide
22   additional funds for the purchase of insurance which shall be
23   purchased for the protection of the State and the general public for
24   the period such radioactive material considering its isotope and
25   curie content together with other factors may present a possible
26   danger to the general public in the event of migration or dispersal
27   of such radioactivity. All such fees, when received by the board,
28   must be transmitted to the State Treasurer. The Treasurer must
29   place the money in a special account, in the nature of a revolving
30   trust fund, which may be designated ‘extended care maintenance
31   fund’, to be disbursed on authorization of the board. Monies in the
32   extended care maintenance funds must be invested by the board in
33   the manner as other state monies. However, any interest accruing
34   as a result of investment must accrue to this extended care
35   maintenance fund. Except as authorized in Section
36   48-46-40(B)(7)(b) and (D)(2), the extended care maintenance fund
37   must be used exclusively for custodial, surveillance, and
38   maintenance costs during the period of institutional control and
39   during any post-closure and observation period specified by the
40   Department of Health and Environmental Control, and for
41   activities associated with closure of the site. Funds from the
42   extended care maintenance fund shall not be used for site closure
43   activities or for custodial, surveillance, and maintenance performed

     [22-49]
 1   during the post-closure observation period until all funds in the
 2   decommissioning trust account are exhausted.
 3      (5) Enter into an agreement with the federal government or any
 4   of its authorized agencies to assume extended maintenance of
 5   lands donated, leased, or purchased from the federal government or
 6   any of its authorized agencies and used for development of atomic
 7   energy resources or as custodial site for radioactive material.”
 8      3. Sections 13-7-810, 13-7-830, and 13-7-860 of the 1976 Code
 9   are amended to read:
10      “Section 13-7-810. There is hereby established a Governor’s
11   Nuclear Advisory Council in the Department of Administration,
12   which shall be responsible to the Director of the Department of
13   Administration and report to the Governor.
14      Section 13-7-830. The recommendations described in Section
15   13-7-620 shall be made available to the General Assembly, and the
16   Governor, and the Budget and Control Board.
17      Section 13-7-860. Staff support for the council shall be
18   provided by the State Energy Office Department of
19   Administration.”
20      Z. Section 16-3-1620(A), (B), and (C) of the 1976 Code is
21   amended to read:
22      “(A) The Crime Victims’ Ombudsman of the Office of the
23   Governor is created in the Department of Administration. The
24   Crime Victims’ Ombudsman is appointed by the Governor with
25   the advice and consent of the Senate and serves at the pleasure of
26   the Governor.
27      (B) The Crime Victims’ Ombudsman of the Office of the
28   Governor Department of Administration shall:
29         (1) refer crime victims to the appropriate element of the
30   criminal and juvenile justice systems or victim assistance
31   programs, or both, when services are requested by crime victims or
32   are necessary as determined by the ombudsman;
33         (2) act as a liaison between elements of the criminal and
34   juvenile justice systems, victim assistance programs, and victims
35   when the need for liaison services is recognized by the
36   ombudsman; and
37         (3) review and attempt to resolve complaints against
38   elements of the criminal and juvenile justice systems or victim
39   assistance programs, or both, made to the ombudsman by victims
40   of criminal activity within the state’s jurisdiction.
41      (C) There is created within the Crime Victims’ Ombudsman
42   Office of the Office of the Governor Department of


     [22-50]
 1   Administration, the Office of Victim Services Education and
 2   Certification which shall:
 3         (1) provide oversight of training, education, and certification
 4   of victim assistance programs;
 5         (2) with approval of the Victim Services Coordinating
 6   Council, promulgate training standards and requirements;
 7         (3) approve training curricula for credit hours toward
 8   certification;
 9         (4) provide victim service provider certification; and
10         (5) maintain records of certified victim service providers.”
11      AA. Section 16-3-1680 of the 1976 Code as added by Act 271
12   of 2008 is amended to read:
13      “Section 16-3-1680. The Crime Victims’ Ombudsman of the
14   Office of the Governor through the Department of Administration
15   may promulgate those regulations necessary to assist it in
16   performing its required duties as provided by this chapter.”
17      BB. 1. Section 25-11-10 of the 1976 Code amended to read:
18      “Section 25-11-10. A Division of Veterans’ Affairs in the Office
19   of the is hereby created in the Department of Administration for
20   the purpose of assisting ex-servicemen in securing the benefits to
21   which they are entitled under the provisions of federal legislation
22   and under the terms of insurance policies issued by the federal
23   government for their benefit. This division shall be under the
24   direct supervision of a panel consisting of the Governor as
25   chairman, the Attorney General for the purpose of giving legal
26   advice, and the Adjutant and Inspector General.”
27      2. Section 25-11-80(C)(3) of the 1976 Code is amended to read:
28      “(3) the Budget and Control Board Department of
29   Administration.”
30      3. Section 25-11-90(E) of the 1976 Code is amended to read:
31      “(E) The preparation and distribution of the roster is subject to
32   the availability of funds as appropriated by the General Assembly
33   to the Governor’s Office Department of Administration, Division
34   of Veterans Veterans’ Affairs for this purpose. These rosters and
35   their distribution must be maintained and updated based on
36   workloads and availability of funds.”
37      4. Section 25-11-310(2) of the 1976 Code is amended to read:
38      “(2) ‘Division’ means the Division of Veterans Veterans’
39   Affairs in the Office of the Governor Department of
40   Administration.”
41      CC. Section 44-53-530(a) and (b) of the 1976 Code, as last
42   amended by Act 345 of 2006, is further amended to read:


     [22-51]
 1      “(a) Forfeiture of property defined in Section 44-53-520 must
 2   be accomplished by petition of the Attorney General or his
 3   designee or the circuit solicitor or his designee to the court of
 4   common pleas for the jurisdiction where the items were seized.
 5   The petition must be submitted to the court within a reasonable
 6   time period following seizure and shall set forth the facts upon
 7   which the seizure was made. The petition shall describe the
 8   property and include the names of all owners of record and
 9   lienholders of record. The petition shall identify any other persons
10   known to the petitioner to have interests in the property. Petitions
11   for the forfeiture of conveyances shall also include: the make,
12   model, and year of the conveyance, the person in whose name the
13   conveyance is registered, and the person who holds the title to the
14   conveyance. The petition shall set forth the type and quantity of
15   the controlled substance involved. A copy of the petition must be
16   sent to each law enforcement agency which has notified the
17   petitioner of its involvement in effecting the seizure. Notice of
18   hearing or rule to show cause must be directed to all persons with
19   interests in the property listed in the petition, including law
20   enforcement agencies which have notified the petitioner of their
21   involvement in effecting the seizure. Owners of record and
22   lienholders of record may be served by certified mail, to the last
23   known address as appears in the records of the governmental
24   agency which records the title or lien.
25      The judge shall determine whether the property is subject to
26   forfeiture and order the forfeiture confirmed. If the judge finds a
27   forfeiture, he shall then determine the lienholder’s interest as
28   provided in this article. The judge shall determine whether any
29   property must be returned to a law enforcement agency pursuant to
30   Section 44-53-582.
31      If there is a dispute as to the division allocation of the proceeds
32   of forfeited property among participating law enforcement
33   agencies, this issue must be determined by the judge. The
34   proceeds from a sale of property, conveyances, and equipment
35   must be disposed of pursuant to subsection (e) of this section.
36      All property, conveyances, and equipment which will not be
37   reduced to proceeds may be transferred to the law enforcement
38   agency or agencies or to the prosecution agency. Upon agreement
39   of the law enforcement agency or agencies and the prosecution
40   agency, conveyances and equipment may be transferred to any
41   other appropriate agency. Property transferred must not be used to
42   supplant operating funds within the current or future budgets. If
43   the property seized and forfeited is an aircraft or watercraft and is

     [22-52]
 1   transferred to a state law enforcement agency or other state agency
 2   pursuant to the provisions of this subsection, its use and retainage
 3   by that agency shall be at the discretion and approval of the Budget
 4   and Control Board Department of Administration.
 5      If a defendant or his attorney sends written notice to the
 6   petitioner or the seizing agency of his interest in the subject
 7   property, service may be made by mailing a copy of the petition to
 8   the address provided and service may not be made by publication.
 9   In addition, service by publication may not be used for a person
10   incarcerated in a South Carolina Department of Corrections
11   facility, a county detention facility, or other facility where inmates
12   are housed for the county where the seizing agency is located. The
13   seizing agency shall check the appropriate institutions after
14   receiving an affidavit of nonservice before attempting service by
15   publication.
16      (b) If the property is seized by a state law enforcement agency
17   and is not transferred by the court to the seizing agency, the judge
18   shall order it transferred to the Division of General Services of the
19   Department of Administration for sale. Proceeds may be used by
20   the division for payment of all proper expenses of the proceedings
21   for the forfeiture and sale of the property, including the expenses
22   of seizure, maintenance, and custody, and other costs incurred by
23   the implementation of this section. The net proceeds from any sale
24   must be remitted to the State Treasurer as provided in subsection
25   (g) of this section. The Division of General Services of the South
26   Carolina Department of Administration may authorize payment of
27   like expenses in cases where monies, negotiable instruments, or
28   securities are seized and forfeited.”
29      DD. Section 44-96-140 of the 1976 Code is amended to read:
30      “Section 44-96-140. (A) Not later than twelve months after the
31   date on which the department submits the state solid waste
32   management plan to the Governor and to the General Assembly,
33   the General Assembly, the Governor’s Office of the Governor, the
34   Judiciary, each state agency, and each state-supported institution of
35   higher education shall:
36         (1) establish a source separation and recycling program in
37   cooperation with the department and the Division of General
38   Services of the State Budget and Control Board Department of
39   Administration for the collection of selected recyclable materials
40   generated in state offices throughout the State including, but not
41   limited to, high-grade office paper, corrugated paper, aluminum,
42   glass, tires, composting materials, plastics, batteries, and used oil;


     [22-53]
 1         (2) provide procedures for collecting and storing recyclable
 2   materials, containers for storing materials, and contractual or other
 3   arrangements with collectors or buyers of the recyclable materials,
 4   or both;
 5         (3) evaluate the amount of waste paper material recycled and
 6   make all necessary modifications to the recycling program to
 7   ensure that all waste paper materials are recycled to the maximum
 8   extent feasible; and
 9         (4) establish and implement, in cooperation with the
10   department and the Division of General Services of the
11   Department of Administration, a solid waste reduction program for
12   materials used in the course of agency operations. The program
13   shall be designed and implemented to achieve the maximum
14   feasible reduction of solid waste generated as a result of agency
15   operations.
16      (B) Not later than September fifteen of each year, each state
17   agency and each state-supported institution of higher learning shall
18   submit to the department a report detailing its source separation
19   and recycling program and a review of all goods and products
20   purchased during the previous fiscal year by those agencies and
21   institutions containing recycled materials using the content
22   specifications established by the Office of Materials Management
23   Division of General Services, Department of Administration.
24      (C) By November first of each year the department shall submit
25   a report to the Governor and to the General Assembly reviewing
26   all goods and products purchased by the State and determining
27   what percentage of state purchases contain recycled materials
28   using content specifications established by the Office of Materials
29   Management, Division of General Services, Department of
30   Administration. The report also must review existing procurement
31   regulations for the purchase of products and materials and must
32   identify any portions of such regulations that discriminate against
33   products and materials with recycled content and products and
34   materials which are recyclable.
35      (D) Not later than one year after this chapter is effective, the
36   Division of General Services, Department of Administration shall
37   amend the procurement regulations to eliminate the portions of the
38   regulations identified in its report as discriminating against
39   products and materials with recycled content and products and
40   materials which are recyclable.
41      (E) Not later than one year after the effective date of the
42   amendments to the procurement regulations, the General
43   Assembly, the Governor’s Office of the Governor, the Judiciary,

     [22-54]
 1   all state agencies, all political subdivisions using state funds to
 2   procure items, and all persons contracting with such agency or
 3   political subdivision where such persons procure items with state
 4   funds shall procure products and materials with recycled content
 5   and products and materials which are recyclable where practicable,
 6   as determined by the Office of Materials Management, Division of
 7   General Services, Department of Administration. The list of
 8   recycled content specifications must be updated annually. It is the
 9   goal of the General Assembly for state and local governmental
10   agencies to reflect a twenty-five percent goal in their procurement
11   policies. The decision not to procure such items shall be based on a
12   determination that such procurement items:
13         (1) are not available within a reasonable period of time;
14         (2) fail to meet the performance standards set forth in the
15   applicable specifications; or
16         (3) are only available at a price that exceeds by more than
17   seven and one- half percent the price of alternative items.
18      (F) Not later than six months after this chapter is effective, and
19   annually thereafter, the Department of Transportation shall submit
20   a report to the Governor and to the General Assembly on the use
21   of:
22         (1) compost as a substitute for regular soil amendment
23   products in all highway projects;
24         (2) solid waste including, but not limited to, ground rubber
25   from tires and fly ash or mixtures of them from coal-fired electrical
26   facilities in road surfacing of subbase materials;
27         (3) solid waste including, but not limited to, glass aggregate,
28   plastic, and fly ash in asphalt or concrete; and
29         (4) recycled mixed-plastic materials for guardrail posts,
30   right-of-way fence posts, and sign supports.”
31      EE. Section 48-46-30(4) and (5) of the 1976 Code are
32   amended to read:
33      “(4) ‘Board’ means the South Carolina Budget and Control
34   Board or its designated official.
35      (5)(4) ‘Decommissioning trust fund’ means the trust fund
36   established pursuant to a Trust Agreement dated March 4, 1981,
37   among Chem-Nuclear Systems, Inc. (grantor), the South Carolina
38   Budget and Control Board State Fiscal Accountability Authority
39   (beneficiary as the successor in interest to the South Carolina
40   Budget and Control Board), and the South Carolina State Treasurer
41   (trustee), whose purpose is to assure adequate funding for
42   decommissioning of the disposal site, or any successor fund with a
43   similar purpose.

     [22-55]
 1      (5) ‘Office’ means the Office of Regulatory Staff.”
 2      FF. Section 48-46-40 of the 1976 Code is amended to read:
 3      “Section 48-46-40. (A)(1) The board office shall approve
 4   disposal rates for low-level radioactive waste disposed at any
 5   regional disposal facility located within the State. The approval of
 6   disposal rates pursuant to this chapter is neither a regulation nor
 7   the promulgation of a regulation as those terms are specially used
 8   in Title 1, Chapter 23.
 9        (2) The board office shall adopt a maximum uniform rate
10   schedule for regional generators containing disposal rates that
11   include the administrative surcharges specified in Section
12   48-46-60(B) and surcharges for the extended custody and
13   maintenance of the facility pursuant to Section 13-7-30(4) and that
14   do not exceed the approximate disposal rates, excluding any access
15   fees and including a specification of the methodology for
16   calculating fees for large components, generally applicable to
17   regional generators on September 7, 1999. Any disposal rates
18   contained in a valid written agreement that were applicable to a
19   regional generator on September 7, 1999, that differ from rates in
20   the maximum uniform rate schedule will continue to be honored
21   through the term of such agreement. The maximum uniform rate
22   schedule approved under this section becomes effective
23   immediately upon South Carolina’s membership in the Atlantic
24   Compact. The maximum uniform rate schedule shall be the rate
25   schedule applicable to regional waste whenever it is not
26   superseded by an adjusted rate approved by the board office
27   pursuant to paragraph (3) of this subsection or by special disposal
28   rates approved pursuant to paragraphs (5) or (6)(e) of this
29   subsection.
30        (3) The board office may at any time of its own initiative, at
31   the request of a site operator, or at the request of the compact
32   commission, adjust the disposal rate or the relative proportions of
33   the individual components that constitute the overall rate schedule.
34   Except as adjusted for inflation in subsection (4), rates adjusted in
35   accordance with this section, that include the administrative
36   surcharges specified in Section 48-46-60(B) and surcharges for the
37   extended custody and maintenance of the facility pursuant to
38   Section 13-7-30(4), may not exceed initial disposal rates set by the
39   board department pursuant to subsection (2).
40        (4) In March of each year the board office shall adjust the
41   rate schedule based on the most recent changes in the most nearly
42   applicable Producer Price Index published by the Bureau of Labor
43   Statistics as chosen by the board office or a successor index.

     [22-56]
 1         (5) In consultation with the site operator, the board office or
 2   its designee, on a case-by-case basis, may approve special disposal
 3   rates for regional waste that differ from the disposal rate schedule
 4   for regional generators set by the board office pursuant to
 5   subsections (2) and (3). Requests by the site operator for such
 6   approval shall be in writing to the board office. In approving such
 7   special rates, the board office or its designee, shall consider
 8   available disposal capacity, demand for disposal capacity, the
 9   characteristics of the waste, the potential for generating revenue
10   for the State, or other relevant factors; provided, however, that the
11   board office shall not approve any special rate for an entity owned
12   by or affiliated with the site operator. Special disposal rates
13   approved by the board office under this subsection shall be in
14   writing and shall be kept confidential as proprietary business
15   information for one year from the date when the bid or the request
16   for proposal containing the special rate is accepted by the regional
17   generator; provided, however, that such special rates when
18   accepted by a regional generator shall be disclosed to the compact
19   commission and to all other regional generators, which shall, to the
20   extent permitted by applicable law, keep them confidential as
21   proprietary business information for one year from the date when
22   the bid or request for proposal containing this special rate is
23   accepted by the regional generator. Within one business day of a
24   special disposal rate’s acceptance, the site operator shall notify the
25   board office, the compact commission, and the regional generators
26   of each special rate that has been accepted by a regional generator,
27   and the board office, the compact commission, and regional
28   generators may communicate with each other about such special
29   rates. If any special rate approved by the board office for a
30   regional generator is lower than a disposal rate approved by the
31   board office for regional generators pursuant to subsections (2) and
32   (3) for waste that is generally similar in characteristics and volume,
33   the disposal rate for all regional generators shall be revised to
34   equal the special rate for the regional generator. Regional
35   generators may enter into contracts for waste disposal at such
36   special rates and on comparable terms for a period of not less than
37   six months. An officer of the site operator shall certify in writing
38   to the board office and the compact commission each month that
39   no regional generator’s disposal rate exceeds any other regional
40   generator’s special rate for waste that is generally similar in
41   characteristics and volume, and such certification shall be subject
42   to periodic audit by the board office and the compact commission.


     [22-57]
 1         (6)(a) To the extent authorized by the compact commission,
 2   the board office on behalf of the State of South Carolina may enter
 3   into agreements with any person in the United States or its
 4   territories or any interstate compact, state, U.S. territory, or U.S.
 5   Department of Defense military installation abroad for the
 6   importation of waste into the region for purposes of disposal at a
 7   regional disposal facility within South Carolina. No waste from
 8   outside the Atlantic Compact region may be disposed at a regional
 9   disposal facility within South Carolina, except to the extent that the
10   board office is authorized by the compact commission to enter into
11   agreements for importation of waste.
12      The board office shall authorize the importation of nonregional
13   waste into the region for purposes of disposal at the regional
14   disposal facility in South Carolina so long as nonregional waste
15   would not result in the facility accepting more than the following
16   total volumes of all waste:
17               (i) 160,000 cubic feet in fiscal year 2001;
18               (ii) 80,000 cubic feet in fiscal year 2002;
19               (iii) 70,000 cubic feet in fiscal year 2003;
20               (iv) 60,000 cubic feet in fiscal year 2004;
21               (v) 50,000 cubic feet in fiscal year 2005;
22               (vi) 45,000 cubic feet in fiscal year 2006;
23               (vii) 40,000 cubic feet in fiscal year 2007;
24               (viii) 35,000 cubic feet in fiscal year 2008.
25      After fiscal year 2008, the board office shall not authorize the
26   importation of nonregional waste for purposes of disposal.
27            (b) The board office may approve disposal rates
28   applicable to nonregional generators. In approving disposal rates
29   applicable to nonregional generators, the board office may
30   consider available disposal capacity, demand for disposal capacity,
31   the characteristics of the waste, the potential for generating
32   revenue for the State, and other relevant factors.
33            (c) Absent action by the board office under subsection (b)
34   above to establish disposal rates for nonregional generators, rates
35   applicable to these generators must be equal to those contained in
36   the maximum uniform rate schedule approved by the board office
37   pursuant to paragraph (2) or (3) of this subsection for regional
38   generators unless these rates are superseded by special disposal
39   rates approved by the board office pursuant to paragraph (6)(e) of
40   this subsection.
41            (d) Regional generators shall not pay disposal rates that
42   are higher than disposal rates for nonregional generators in any
43   fiscal quarter.

     [22-58]
 1           (e) In consultation with the site operator, the board office
 2   or its designee, on a case-by-case basis, may approve special
 3   disposal rates for nonregional waste that differ from the disposal
 4   rate schedule for nonregional generators set by the board office.
 5   Requests by the site operator for such approval shall be in writing
 6   to the board office. In approving such special rates, the board
 7   office or its designee shall consider available disposal capacity,
 8   demand for disposal capacity, the characteristics of the waste, the
 9   potential for generating revenue for the State, and other relevant
10   factors; provided, however, that the board office shall not approve
11   any special rate for an entity owned by or affiliated with the site
12   operator. Special disposal rates approved by the board office
13   under this subsection shall be in writing and shall be kept
14   confidential as proprietary business information for one year from
15   the date when the bid or request for proposal containing the special
16   rate is accepted by the nonregional generator; provided, however,
17   that such special rates when accepted by a nonregional generator
18   shall be disclosed to the compact commission and to all regional
19   generators, which shall, to the extent permitted by applicable law,
20   keep them confidential as proprietary business information for one
21   year from the date when the bid or request for proposal containing
22   the special rate is accepted by the nonregional generator. Within
23   one business day of a special disposal rate’s acceptance, the site
24   operator shall notify the board office, the compact commission,
25   and the regional generators in writing of each special rate that has
26   been accepted by a nonregional generator, and the board office, the
27   compact commission, and regional generators may communicate
28   with each other about such special rates. If any special rate
29   approved by the board office for a nonregional generator is lower
30   than a disposal rate approved by the board office for regional
31   generators for waste that is generally similar in characteristics and
32   volume, the disposal rate for all regional generators shall be
33   revised to equal the special rate for the nonregional generator.
34   Regional generators may enter into contracts for waste disposal at
35   such special rate and on comparable terms for a period of not less
36   than six months. An officer of the site operator shall certify in
37   writing to the board office and the compact commission each
38   month that no regional generator disposal rate exceeds any
39   nonregional generator’s special rate for waste that is generally
40   similar in characteristics and volume, and such certification shall
41   be subject to periodic audit by the board office and the compact
42   commission.


     [22-59]
 1      (B)(1) Effective upon the implementation of initial disposal
 2   rates by the board office under Section 48-46-40(A), the PSC is
 3   authorized and directed to identify allowable costs for operating a
 4   regional low-level radioactive waste disposal facility in South
 5   Carolina.
 6         (2) In identifying the allowable costs for operating a regional
 7   disposal facility, the PSC shall:
 8            (a) prescribe a system of accounts, using generally
 9   accepted accounting principles, for disposal site operators, using as
10   a starting point the existing system used by site operators;
11            (b) assess penalties against disposal site operators if the
12   PSC determines that they have failed to comply with regulations
13   pursuant to this section; and
14            (c) require periodic reports from site operators that
15   provide information and data to the PSC and parties to these
16   proceedings. The Office of Regulatory Staff shall obtain and audit
17   the books and records of the site operators associated with disposal
18   operations as determined applicable by the PSC.
19         (3) Allowable costs include the costs of those activities
20   necessary for:
21            (a) the receipt of waste;
22            (b) the construction of disposal trenches, vaults, and
23   overpacks;
24            (c) construction and maintenance of necessary physical
25   facilities;
26            (d) the purchase or amortization of necessary equipment;
27            (e) purchase of supplies that are consumed in support of
28   waste disposal activities;
29            (f) accounting and billing for waste disposal;
30            (g) creating and maintaining records related to disposed
31   waste;
32            (h) the administrative costs directly associated with
33   disposal operations including, but not limited to, salaries, wages,
34   and employee benefits;
35            (i) site surveillance and maintenance required by the State
36   of South Carolina, other than site surveillance and maintenance
37   costs covered by the balance of funds in the decommissioning trust
38   fund or the extended care maintenance fund;
39            (j) compliance with the license, lease, and regulatory
40   requirements of all jurisdictional agencies;
41            (k) administrative costs associated with collecting the
42   surcharges provided for in subsections (B) and (C) of Section
43   48-46-60;

     [22-60]
 1           (l) taxes other than income taxes;
 2           (m) licensing and permitting fees; and
 3           (n) any other costs directly associated with disposal
 4   operations determined by the PSC to be allowable.
 5      Allowable costs do not include the costs of activities associated
 6   with lobbying and public relations, clean-up and remediation
 7   activities caused by errors or accidents in violation of laws,
 8   regulations, or violations of the facility operating license or
 9   permits, activities of the site operator not directly in support of
10   waste disposal, and other costs determined by the PSC to be
11   unallowable.
12        (4) Within ninety days following the end of a fiscal year, a
13   site operator may file an application with the PSC to adjust the
14   level of an allowable cost under subsection (3), or to allow a cost
15   not previously designated an allowable cost. A copy of the
16   application must be provided to the Office of Regulatory Staff.
17   The PSC shall process such application in accordance with its
18   procedures. If such application is approved by the PSC, the PSC
19   shall authorize the site operator to adjust allowable costs for the
20   current fiscal year so as to compensate the site operator for
21   revenues lost during the previous fiscal year.
22        (5) A private operator of a regional disposal facility in South
23   Carolina is authorized to charge an operating margin of
24   twenty-nine percent. The operating margin for a given period must
25   be determined by multiplying twenty-nine percent by the total
26   amount of allowable costs as determined in this subsection,
27   excluding allowable costs for taxes and licensing and permitting
28   fees paid to governmental entities.
29        (6) The site operator shall prepare and file with the PSC a
30   Least Cost Operating Plan. The plan must be filed within
31   forty-five days of enactment of this chapter and must be revised
32   annually.     The plan shall include information concerning
33   anticipated operations over the next ten years and shall evaluate all
34   options for future staffing and operation of the site to ensure least
35   cost operation, including information related to the possible
36   interim suspension of operations in accordance with subsection
37   (B)(7). A copy of the plan must be provided to the Office of
38   Regulatory Staff.
39        (7)(a) If the board office, upon the advice of the compact
40   commission or the site operator, concludes based on information
41   provided to the board office, that the volume of waste to be
42   disposed during a forthcoming period of time does not appear
43   sufficient to generate receipts that will be adequate to reimburse

     [22-61]
 1   the site operator for its costs of operating the facility and its
 2   operating margin, then the board office shall direct the site
 3   operator to propose to the compact commission plans including,
 4   but not necessarily limited to, a proposal for discontinuing
 5   acceptance of waste until such time as there is sufficient waste to
 6   cover the site operator’s operating costs and operating margin.
 7   Any proposal to suspend operations must detail plans of the site
 8   operator to minimize its costs during the suspension of operations.
 9   Any such proposal to suspend operations must be approved by the
10   Department of Health and Environmental Control with respect to
11   safety and environmental protection.
12           (b) Allowable costs applicable to any period of suspended
13   operations must be approved by the PSC according to procedures
14   similar to those provided herein for allowable operating costs.
15   During any such suspension of operations, the site operator must
16   be reimbursed by the board office from the extended care
17   maintenance fund for its allowable costs and its operating margin.
18   During the suspension funding to reimburse the board office, the
19   PSC, and the State Treasurer under Section 48-46-60(B) and
20   funding of the compact commission under Section 48-46-60(C)
21   must also be allocated from the extended care maintenance fund as
22   approved by the board office based on revised budgets submitted
23   by the PSC, State Treasurer, and the compact commission.
24           (c) Notwithstanding any disbursements from the extended
25   care maintenance fund in accordance with any provision of this
26   act, the board office shall continue to ensure, in accordance with
27   Section 13-7-30, that the fund remains adequate to defray the costs
28   for future maintenance costs or custodial and maintenance
29   obligations of the site and other obligations imposed on the fund
30   by this chapter.
31           (d) The PSC may promulgate regulations and policies
32   necessary to execute the provisions of this section.
33         (8) The PSC may use any standard, formula, method, or
34   theory of valuation reasonably calculated to arrive at the objective
35   of identifying allowable costs associated with waste disposal. The
36   PSC may consider standards, precedents, findings, and decisions in
37   other jurisdictions that regulate allowable costs for radioactive
38   waste disposal.
39         (9) In all proceedings held pursuant to this section, the board
40   office shall participate as a party representing the interests of the
41   State of South Carolina, and the compact commission may
42   participate as a party representing the interests of the compact
43   states. The Executive Director of the Office of Regulatory Staff

     [22-62]
 1   and the Attorney General of the State of South Carolina shall be
 2   parties to any such proceeding. Representatives from the
 3   Department of Health and Environmental Control shall participate
 4   in proceedings where necessary to determine or define the
 5   activities that a site operator must conduct in order to comply with
 6   the regulations and license conditions imposed by the department.
 7   Other parties may participate in the PSC’s proceedings upon
 8   satisfaction of standing requirements and compliance with the
 9   PSC’s procedures. Any site operator submitting records and
10   information to the PSC may request that the PSC treat such records
11   and information as confidential and not subject to disclosure in
12   accordance with the PSC’s procedures.
13         (10) In all respects in which the PSC has power and authority
14   under this chapter, it shall conduct its proceedings under the South
15   Carolina Administrative Procedures Act and the PSC’s rules and
16   regulations. The PSC is authorized to compel attendance and
17   testimony of a site operator’s directors, officers, agents, or
18   employees.
19         (11) At any time the compact commission, the board office,
20   or any generator subject to payment of rates set pursuant to this
21   chapter may file a petition against a site operator alleging that
22   allowable costs identified pursuant to this chapter are not in
23   conformity with the directives of this chapter or the directives of
24   the PSC or that the site operator is otherwise not acting in
25   conformity with the requirements of this chapter or directives of
26   the PSC. Upon filing of the petition, the PSC shall cause a copy of
27   the petition to be served upon the site operator. The petitioning
28   party has the burden of proving that allowable costs or the actions
29   of the site operator do not conform. The hearing shall conform to
30   the rules of practice and procedure of the PSC for other cases.
31         (12) The PSC shall encourage alternate forms of dispute
32   resolution including, but not limited to, mediation or arbitration to
33   resolve disputes between a site operator and any other person
34   regarding matters covered by this chapter.
35      (C) The operator of a regional disposal facility shall submit to
36   the South Carolina Department of Revenue, the PSC, and the
37   Office of Regulatory Staff, and the board office within thirty days
38   following the end of each quarter a report detailing actual revenues
39   received in the previous fiscal quarter and allowable costs incurred
40   for operation of the disposal facility.
41      (D)(1) Within 30 thirty days following the end of the fiscal year
42   the operator of a regional disposal facility shall submit a payment
43   made payable to the South Carolina Department of Revenue in an

     [22-63]
 1   amount that is equal to the total revenues received for waste
 2   disposed in that fiscal year (with interest accrued on cash flows in
 3   accordance with instructions from the State Treasurer) minus
 4   allowable costs, operating margin, and any payments already made
 5   from such revenues pursuant to Section 48-46-60(B) and (C) for
 6   reimbursement of administrative costs to state agencies and the
 7   compact commission. The Department of Revenue shall deposit
 8   the payment with the State Treasurer.
 9         (2) If in any fiscal year total revenues do not cover allowable
10   costs plus the operating margin, the board office must reimburse
11   the site operator its allowable costs and operating margin from the
12   extended care maintenance fund within thirty days after the end of
13   the fiscal year. The board office shall as soon as practicable
14   authorize a surcharge on waste disposed in an amount that will
15   fully compensate the fund for the reimbursement to the site
16   operator. In the event that total revenues for a fiscal year do not
17   cover allowable costs plus the operating margin, or quarterly
18   reports submitted pursuant to subsection (C) indicate that such
19   annual revenue may be insufficient, the board office shall consult
20   with the compact commission and the site operator as early as
21   practicable on whether the provisions of Section 48-46-40(B)(7)
22   pertaining to suspension of operations during periods of
23   insufficient revenues should be invoked.
24      (E) Revenues received pursuant to item (1) of subsection (D)
25   must be allocated as follows:
26         (1) The South Carolina State Treasurer shall distribute the
27   first two million dollars received for waste disposed during a fiscal
28   year to the County Treasurer of Barnwell County for distribution
29   to each of the parties to and beneficiaries of the order of the United
30   States District Court in C.A. No. 1:90-2912-6 on the same
31   schedule of allocation as is established within that order for the
32   distribution of ‘payments in lieu of taxes’ paid by the United States
33   Department of Energy.
34         (2) All revenues in excess of two million dollars received
35   from waste disposed during the previous fiscal year must be
36   deposited in a fund called the ‘Nuclear Waste Disposal Receipts
37   Distribution Fund’. Any South Carolina waste generator whose
38   disposal fees contributed to the fund during the previous fiscal year
39   may submit a request for a rebate of 33.33 percent of the funds
40   paid by the generator during the previous fiscal year for disposal of
41   waste at a regional disposal facility. These requests along with
42   invoices or other supporting material must be submitted in writing
43   to the State Treasurer within fifteen days of the end of the fiscal

     [22-64]
 1   year. For this purpose disposal fees paid by the generator must
 2   exclude any fees paid pursuant to Section 48-46-60(C) for compact
 3   administration and fees paid pursuant to Section 48-46-60(B) for
 4   reimbursement of the PSC, the Office of Regulatory Staff, the
 5   State Treasurer, and the board office for administrative expenses
 6   under this chapter. Upon validation of the request and supporting
 7   documentation by the State Treasurer, the State Treasurer shall
 8   issue a rebate of the applicable funds to qualified waste generators
 9   within sixty days of the receipt of the request. If funds in the
10   Nuclear Waste Disposal Receipts Distribution Fund are
11   insufficient to provide a rebate of 33.33 percent to each generator,
12   then each generator’s rebate must be reduced in proportion to the
13   amount of funds in the account for the applicable fiscal year.
14        (3) All funds deposited in the Nuclear Waste Disposal
15   Receipts Distribution Fund for waste disposed for each fiscal year,
16   less the amount needed to provide generators rebates pursuant to
17   item (2), shall be deposited by the State Treasurer in the
18   ‘Children’s Education Endowment Fund’. Thirty percent of these
19   monies must be allocated to Higher Education Scholarship Grants
20   and used as provided in Section 59-143-30, and seventy percent of
21   these monies must be allocated to Public School Facility
22   Assistance and used as provided in Chapter 144, of Title 59.
23      (F) Effective beginning fiscal year 2001-2002, there is
24   appropriated annually from the general fund of the State to the
25   Higher Education Scholarship Grants share of the Children’s
26   Education Endowment whatever amount is necessary to credit to
27   the Higher Education Scholarship Grants share an amount not less
28   than the amount credited to that portion of the endowment in fiscal
29   year 1999-2000. Revenues credited to the endowment pursuant to
30   this subsection, for purposes of Section 59-143-10, are deemed to
31   be received by the endowment pursuant to the former provisions of
32   Section 48-48-140(C).”
33      GG. Section 48-46-50 of the 1976 Code is amended to read:
34      “Section 48-46-50. (A) The Governor shall appoint two
35   commissioners to the Atlantic Compact Commission and may
36   appoint up to two alternate commissioners. These alternate
37   commissioners may participate in meetings of the compact
38   commission in lieu of and upon the request of a South Carolina
39   commissioner. Technical representatives from the Department of
40   Health and Environmental Control, the board office, the PSC, and
41   other state agencies may participate in relevant portions of
42   meetings of the compact commission upon the request of a


     [22-65]
 1   commissioner, alternate commissioner, or staff of the compact
 2   commission, or as called for in the compact commission bylaws.
 3      (B) South Carolina commissioners or alternate commissioners
 4   to the compact commission may not vote affirmatively on any
 5   motion to admit new member states to the compact unless that
 6   state volunteers to host a regional disposal facility.
 7      (C) Compact commissioners or alternate commissioners to the
 8   Atlantic Compact Commission may not vote to approve a regional
 9   management plan or any other plan or policy that allows for
10   acceptance at the Barnwell regional disposal facility of more than a
11   total of 800,000 cubic feet of waste from Connecticut and New
12   Jersey.
13      (D) South       Carolina’s     commissioners        or   alternate
14   commissioners to the compact commission shall cast any
15   applicable votes on the compact commission in a manner that
16   authorizes the importation of waste into the region for purposes of
17   disposal at a regional disposal facility in South Carolina so long as
18   importation would not result in the facility accepting more than the
19   following total volumes of all waste:
20        (1) 160,000 cubic feet in fiscal year 2001;
21        (2) 80,000 cubic feet in fiscal year 2002;
22        (3) 70,000 cubic feet in fiscal year 2003;
23        (4) 60,000 cubic feet in fiscal year 2004;
24        (5) 50,000 cubic feet in fiscal year 2005;
25        (6) 45,000 cubic feet in fiscal year 2006;
26        (7) 40,000 cubic feet in fiscal year 2007;
27        (8) 35,000 cubic feet in fiscal year 2008.
28      South Carolina’s commissioners or alternate commissioners
29   shall not vote to approve the importation of waste into the region
30   for purposes of disposal in any fiscal year after 2008.”
31      HH. Section 48-46-60 of the 1976 Code is amended to read:
32      “Section 48-46-60. (A) The Governor and the board office are
33   authorized to take such actions as are necessary to join the Atlantic
34   Compact including, but not limited to, petitioning the Compact
35   Commission for membership and participating in any and all
36   rulemaking processes. South Carolina’s membership in the
37   Atlantic Compact pursuant to this chapter is effective July 1, 2000,
38   if by that date the Governor certifies to the General Assembly that
39   the Compact Commission has taken each of the actions specified
40   below. If the Compact Commission by July 1, 2000, has not taken
41   each of the actions specified below, then South Carolina’s
42   membership shall become effective as soon thereafter as the


     [22-66]
 1   Governor certifies that the Atlantic Compact Commission has
 2   taken these actions:
 3         (1) adopted a binding regulation or policy in accordance
 4   with Article VII(e) of the compact establishing conditions for
 5   admission of a party state that are consistent with this act and
 6   ordered that South Carolina be declared eligible to be a party state
 7   consistent with those conditions;
 8         (2) adopted a binding regulation or policy in accordance
 9   with Article IV(i)(11) of the Atlantic Compact authorizing a host
10   state to enter into agreements on behalf of the compact and
11   consistent with criteria established by the compact commission and
12   consistent with the provisions of Section 48-46-40(A)(6)(a) and
13   Section 48-46-50(D) with any person for the importation of waste
14   into the region for purposes of disposal, to the extent that these
15   agreements do not preclude the disposal facility from accepting all
16   regional waste that can reasonably be projected to require disposal
17   at the regional disposal facility consistent with subitem (5)(b) of
18   this section;
19         (3) adopted a binding regulation or policy in accordance
20   with Article IV(i)(12) of the Atlantic Compact authorizing each
21   regional generator, at the generator’s discretion, to ship waste to
22   disposal facilities located outside the Atlantic Compact region;
23         (4) authorized South Carolina to proceed with plans to
24   establish disposal rates for low-level radioactive waste disposal in
25   a manner consistent with the procedures described in this chapter;
26         (5) adopted a binding regulation, policy, or order officially
27   designating South Carolina as a volunteer host state for the
28   region’s disposal facility, contingent upon South Carolina’s
29   membership in the compact, in accordance with Article V.b.1. of
30   the Atlantic Compact, thereby authorizing the following
31   compensation and incentives to South Carolina:
32           (a) agreement, as evidenced in a policy, regulation, or
33   order that the compact commission will issue a payment of twelve
34   million dollars to the State of South Carolina. Before issuing the
35   twelve million-dollar payment, the compact commission will
36   deduct and retain from this amount seventy thousand dollars,
37   which will be credited as full payment of South Carolina’s
38   membership dues in the Atlantic Compact. The remainder of the
39   twelve million-dollar payment must be credited to an account in
40   the State Treasurer’s office, separate and distinct from the fund,
41   styled ‘Barnwell Economic Development Fund’. This fund, and
42   earnings on this fund which must be credited to the fund, may only
43   be expended for purposes of economic development in the

     [22-67]
 1   Barnwell County area including, but not limited to, projects of the
 2   Barnwell County Economic Development Corporation and
 3   projects of the Tri-County alliance which includes Barnwell,
 4   Bamberg, and Allendale Counties and projects in the Williston
 5   area of Aiken County. Economic development includes, but is not
 6   limited to, industrial recruitment, infrastructure construction,
 7   improvement, and expansion, and public facilities construction,
 8   improvement, and expansion. These funds must be spent
 9   according to guidelines established by the Barnwell County
10   governing body and upon approval of the board office.
11   Expenditures must be authorized by the Barnwell County
12   governing body and with the approval of the board office. Upon
13   approval of the Barnwell County governing body and the board
14   office, the State Treasurer shall submit the approved funds to the
15   Barnwell County Treasurer for disbursement pursuant to the
16   authorization;
17            (b) adopted a binding regulation, policy, or order
18   consistent with the regional management plan developed pursuant
19   to Article V(a) of the Atlantic Compact, limiting Connecticut and
20   New Jersey to the use of not more than 800,000 cubic feet of
21   disposal capacity at the regional disposal facility located in
22   Barnwell County, South Carolina, and also ensuring that up to
23   800,000 cubic feet of disposal capacity remains available for use
24   by Connecticut and New Jersey unless this estimate of need is later
25   revised downward by unanimous consent of the compact
26   commission;
27            (c) agreement, as evidenced in a policy or regulation, that
28   the compact commission headquarters and office will be relocated
29   to South Carolina within six months of South Carolina’s
30   membership; and
31            (d) agreement, as evidenced in a policy or regulation, that
32   the compact commission will, to the extent practicable, hold a
33   majority of its meetings in the host state for the regional disposal
34   facility.
35      (B) The board office, the State Treasurer, and the PSC shall
36   provide the required staff and may add additional permanent or
37   temporary staff or contract for services, as well as provide for
38   operating expenses, if necessary, to administer new responsibilities
39   assigned under this chapter. In accordance with Article V.f.2. of
40   the Atlantic Compact the compensation, costs, and expenses
41   incurred incident to administering these responsibilities may be
42   paid through a surcharge on waste disposed at regional disposal
43   facilities within the State. To cover these costs the board office

     [22-68]
 1   shall impose a surcharge per unit of waste received at any regional
 2   disposal facility located within the State. A site operator shall
 3   collect and remit these fees to the board office in accordance with
 4   the board’s office’s directions. All such surcharges shall be
 5   included within the disposal rates set by the board office pursuant
 6   to Section 48-46-40.
 7      (C) In accordance with Article V.f.3. of the Atlantic Compact,
 8   the compact commission shall advise the board office at least
 9   annually, but more frequently if the compact commission deems
10   appropriate, of the compact commission’s costs and expenses. To
11   cover these costs the board office shall impose a surcharge per unit
12   of waste received at any regional disposal facility located within
13   the State as determined in Section 48-46-40. A site operator shall
14   collect and remit these fees to the board office in accordance with
15   the board office’s directions, and the board department shall remit
16   those fees to the compact commission.”
17      II. Section 48-46-90(A) of the 1976 Code is amended to read:
18      “(A) In accordance with Section 13-7-30, the board office, or its
19   designee, is responsible for extended custody and maintenance of
20   the Barnwell site following closure and license transfer from the
21   facility operator. The Department of Health and Environmental
22   Control is responsible for continued site monitoring.”
23      JJ. Section 63-11-500(A) of the 1976 Code is amended to read:
24      “(A) There is created the Cass Elias McCarter Guardian ad
25   Litem Program in South Carolina. The program shall serve as a
26   statewide system to provide training and supervision to volunteers
27   who serve as court-appointed special advocates for children in
28   abuse and neglect proceedings within the family court, pursuant to
29   Section 63-7-1620. This program must be administered by the
30   Office of the Governor Department of Administration.”
31      KK. 1. Section 63-11-700 of the 1976 Code are amended to
32   read:
33      “Section 63-11-700. (A) There is created, as part of the Office
34   of the Governor, within the of the Department of Administration,
35   the Division for Review of the Foster Care of Children. The
36   division must be supported by a board consisting of seven eight
37   members, all of whom must be past or present members of local
38   review boards.       There must be one member from each
39   congressional district and one member from the State at large, all
40   appointed by the Governor with the advice and consent of the
41   Senate.
42      (B) Terms of office for the members of the board are for four
43   years and until their successors are appointed and qualify.

     [22-69]
 1   Appointments must be made by the Governor for terms of four
 2   years to expire on June thirtieth of the appropriate year.
 3      (C) The board shall elect from its members a chairman who
 4   shall serve for two years. Four Five members of the board
 5   constitute a quorum for the transaction of business. Members of
 6   the board shall receive per diem, mileage, and subsistence as
 7   provided by law for members of boards, commissions, and
 8   committees while engaged in the work of the board.
 9      (D) The board shall meet at least quarterly and more frequently
10   upon the call of the division director to review and coordinate the
11   activities of the local review boards and make recommendations to
12   the Governor and the General Assembly with regard to foster care
13   policies, procedures, and deficiencies of public and private
14   agencies which arrange for foster care of children as determined by
15   the review of cases provided for in Section 63-11-720(A)(1) and
16   (2). These recommendations must be submitted to the Governor
17   and included in an annual report, filed with the General Assembly,
18   of the activities of the state office and local review boards.
19      (E) The board, upon recommendation of the division director,
20   shall promulgate regulations to carry out the provisions of this
21   article. These regulations shall provide for and must be limited to
22   procedures for: reviewing reports and other necessary information
23   at state, county, and private agencies and facilities; scheduling of
24   reviews and notification of interested parties; conducting local
25   review board and board of directors’ meetings; disseminating
26   local review board recommendations, including reporting to the
27   appropriate family court judges the status of judicially approved
28   treatment plans; participating and intervening in family court
29   proceedings; and developing policies for summary review of
30   children privately placed in privately-owned facilities or group
31   homes.
32      (F) The Governor may employ a division director to serve at
33   the Governor’s pleasure who may be paid an annual salary to be
34   determined by the Governor. The director may be removed
35   pursuant to Section 1-3-240. The division director shall employ
36   staff as is necessary to carry out this article, and the staff must be
37   compensated in an amount and in a manner as may be determined
38   by the Governor.
39      (G) This article may not be construed to provide for subpoena
40   authority.”
41      2. Section 63-11-730(A) of the 1976 Code is amended to read:
42      “(A) No person may be employed by the Division for Review of
43   the Foster Care of Children, Office of the Governor within the

     [22-70]
 1   Department of Administration, or may serve on the state or a local
 2   foster care review board if the person:
 3         (1) is the subject of an indicated report or affirmative
 4   determination of abuse or neglect as maintained by the Department
 5   of Social Services in the Central Registry of Child Abuse and
 6   Neglect pursuant to Subarticle 13, Article 3, Chapter 7;
 7         (2) has been convicted of or pled guilty or nolo contendere
 8   to:
 9            (a) an ‘offense against the person’ as provided for in Title
10   16, Chapter 3;
11            (b) an ‘offense against morality or decency’ as provided
12   for in Title 16, Chapter 15; or
13            (c) contributing to the delinquency of a minor, as
14   provided for in Section 16-17-490.”
15      LL. 1. Section 63-11-1110 of the 1976 Code is amended to
16   read:
17      “Section 63-11-1110. There is created the Children’s Case
18   Resolution System, within the Department of Administration and
19   referred to in this article as the System, which is a process of
20   reviewing cases on behalf of children for whom the appropriate
21   public agencies collectively have not provided the necessary
22   services. The System must be housed in and staffed by the Office
23   of the Governor.”
24      2. Section 63-11-1140(5), (8), and (9) of the 1976 Code are
25   amended to read:
26      “(5) when unanimous consent is not obtained as required in item
27   (4), a panel must be convened composed of the following persons:
28         (a) one public agency board member and one agency head
29   appointed by the Governor. Recommendations for appointments
30   may be submitted by the Human Services Coordinating Council.
31   No member may be appointed who represents any agency involved
32   in the resolution of the case;
33         (b) one legislator appointed by the Governor; and
34         (c) two members appointed by the Governor, drawn from a
35   list of qualified individuals not employed by a child-serving public
36   agency, established in advance by the System, who have
37   knowledge of public services for children in South Carolina.
38      The chairman must be appointed by the Governor from
39   members appointed as provided in subitem (c) of this item. A
40   decision is made by a majority of the panel members present and
41   voting, but in no case may a decision be rendered by less than
42   three members. The panel shall review a case at the earliest
43   possible date after sufficient staff review and evaluation pursuant

     [22-71]
 1   to items (3) and (4) and shall make a decision by the next
 2   scheduled panel meeting. When private services are necessary,
 3   financial responsibility must be apportioned among the appropriate
 4   public agencies based on the reasons for the private services.
 5   Agencies designated by the panel shall carry out the decisions of
 6   the panel, but the decisions may not substantially affect the funds
 7   appropriated for the designated agency to such a degree that the
 8   intent of the General Assembly is changed. Substantial impact of
 9   the decisions must be defined by regulations promulgated by the
10   State Budget and Control Board Department of Administration.
11   When the panel identifies similar cases that illustrate a break in the
12   delivery of service to children, either because of restrictions by law
13   or substantial lack of funding, the panel shall report the situation to
14   the General Assembly and subsequently may not accept any
15   similar cases for decision until the General Assembly takes
16   appropriate action, however, the System may continue to perform
17   the functions provided in items (3) and (4).
18      Each member of the panel is entitled to subsistence, per diem,
19   and mileage authorized for members of state boards, committees,
20   and commissions. The respective agency is responsible for the
21   compensation of the members appointed in subitems (a) and (b) of
22   this item, and the System is responsible for the compensation of
23   the members appointed in subitem (c) of this item;
24      (8) submit an annual report on the activities of the System to
25   the Governor, Director of the Department of Administration, the
26   General Assembly, and agencies designated by the System as
27   relevant to the cases; and
28      (9) compile and transmit additional reports on the activities of
29   the System, and recommendations for service delivery
30   improvements, as necessary, to the Governor and the Joint Citizens
31   and Legislative Committee on Children.”
32      MM. 1. Section 44-38-380(A)(1)(h) of the 1976 Code is
33   amended to read:
34      “(h) Director of the Continuum of Care for Emotionally
35   Disturbed Children Division of the Governor’s Office;”
36      2. Section 63-11-1310 of the 1976 Code, as added by Act 361 of
37   2008, is amended to read:
38      “Section 63-11-1310. It is the purpose of this article to develop
39   and enhance the delivery of services to severely emotionally
40   disturbed children and youth and to ensure that the special needs of
41   this population are met appropriately to the extent possible within
42   this State. To achieve this objective, the Continuum of Care for
43   Emotionally Disturbed Children Division is established as a

     [22-72]
 1   division of the office of the Governor Department of
 2   Administration. This article supplements and does not supplant
 3   existing services provided to this population.”
 4      3. Section 63-11-1340 of the 1976 Code, as added by Act 361 of
 5   2008, is amended to read:
 6      “Section 63-11-1340. The Governor may employ appoint a
 7   Director of the Continuum of Care to serve at his pleasure who is
 8   subject to removal pursuant to the provisions of Section 1-3-240.
 9   The director shall employ staff necessary to carry out the
10   provisions of this article. The funds for the division director, staff,
11   and other purposes of the Continuum of Care Division must be
12   provided in the annual general appropriations act. The department,
13   upon the recommendation of the division director, shall may
14   promulgate regulations in accordance with this article and the
15   provisions of the Administrative Procedures Act and formulate
16   necessary policies and procedures of administration and operation
17   to carry out effectively the objectives of this article.”
18      4. Section 63-11-1360 of the 1976 Code as added by Act 361 of
19   2008, is amended to read:
20      “The Continuum of Care Division shall submit an annual report
21   to the Governor Department of Administration and General
22   Assembly on its activities and recommendations for changes and
23   improvements in the delivery of services by public agencies
24   serving children.”
25      5. Section 63-11-1510 of the 1976 Code is amended to read:
26      “Section 63-11-1510. There is established the Interagency
27   System for Caring for Emotionally Disturbed Children, an
28   integrated system of care to be developed by the Continuum of
29   Care for Emotionally Disturbed Children of the Governor’s Office
30   in the Department of Administration, the Department of
31   Disabilities and Special Needs, the State Health and Human
32   Services Finance Commission, the Department of Mental Health,
33   and the Department of Social Services to be implemented by
34   November 1, 1994. The goal of the system is to implement South
35   Carolina’s Families First Policy and to support children in a
36   manner that enables them to function in a community setting. The
37   system shall provide assessment and evaluation procedures to
38   insure a proper service plan and placement for each child. This
39   system must have as a key component the clear identification of
40   the agency accountable for monitoring on a regular basis each
41   child’s care plan and procedures to evaluate and certify the
42   programs offered by providers.”
43                                   Part VII

     [22-73]
 1                         Legislative Fiscal Office and
 2                          Other Transfer Provisions
 3                                   Subpart 1
 4      SECTION 9. A. Chapter 3, Title 2 of the 1976 Code is
 5   amended by adding:
 6      “Section 2-3-240. (A) The Legislative Fiscal Office is
 7   established under the joint direction and management of the Clerk
 8   of the Senate and the Clerk of the House of Representatives as a
 9   division of the Legislative Services Agency.
10      (B) The Legislative Fiscal Office must support the work of the
11   General Assembly through the provision of data, fiscal impact
12   statements and revenue impact statements, as appropriate, on
13   proposed legislation, forecast of economic conditions pursuant to
14   Section 11-9-880, and support the General Assembly’s budget
15   writing duties without regard to political or other considerations
16   beyond technical accuracy and professionalism required to perform
17   the duties of the office.”
18      B. (1) The employees of the Office of State Budget required
19   to provide fiscal impact statements on proposed legislation, to
20   support the General Assembly’s budget writing duties, and to
21   support the other duties assigned to the Legislative Fiscal Office
22   are transferred to the Legislative Fiscal Office, organized as
23   recommended by the Clerk of the Senate and the Clerk of the
24   House of Representatives.
25      (2) The Clerk of the Senate, the Clerk of the House of
26   Representatives, and the executive director of the Budget and
27   Control Board, in consultation with the Chairman of the Senate
28   Finance Committee and the Chairman of the House Ways and
29   Means Committee, shall determine the employees, authorized
30   appropriations, and assets and liabilities to be transferred pursuant
31   to items (1) and (2) of subsection (A).
32                                   Subpart 2
33      SECTION 10. Section 11-9-820(A), (B), and (C) of the 1976
34   Code are amended to read:
35      “(A) There is created the Board of Economic Advisors, a
36   division of the State Fiscal Accountability Authority, as follows:
37         (1) one member, appointed by, and serving at the pleasure
38   of, the Governor, who shall serve as chairman and shall receive
39   annual compensation of ten thousand dollars;
40         (2) one member appointed by, and serving at the pleasure of,
41   the Chairman of the Senate Finance Committee, who shall receive
42   annual compensation of eight thousand dollars;


     [22-74]
 1         (3) one member appointed by, and serving at the pleasure of,
 2   the Chairman of the Ways and Means Committee of the House of
 3   Representatives, who shall receive annual compensation of eight
 4   thousand dollars;
 5         (4) the Director of the Department of Revenue, who shall
 6   serve ex officio, with no voting rights.
 7      (B) The Chairman of the Board of Economic Advisors shall
 8   report directly to the Budget and Control Board State Fiscal
 9   Accountability Authority to establish policy governing economic
10   trend analysis. The Board of Economic Advisors shall provide for
11   its staffing and administrative support from funds appropriated by
12   the General Assembly.
13      (C) The Executive Director of the Budget and Control Board
14   State Fiscal Accountability Authority shall assist the Governor,
15   Chairman of the Board of Economic Advisors, Chairman of the
16   Senate Finance Committee, and Chairman of the Ways and Means
17   Committee of the House of Representatives in providing an
18   effective system for compiling and maintaining current and
19   reliable economic data. The Board of Economic Advisors may
20   establish an advisory board to assist in carrying out its duties and
21   responsibilities. All state agencies, departments, institutions, and
22   divisions shall provide the information and data the advisory board
23   requires. The Board of Economic Advisors is considered a public
24   body for purposes of the Freedom of Information Act, pursuant to
25   Section 30-4-20(a).”
26      SECTION 11. Sections 11-9-825 and 11-9-830 of the 1976
27   Code are amended to read:
28      “Section 11-9-825. The staff of the Board of Economic Advisors
29   must be supplemented by the following officials who each shall
30   designate one professional from their individual staffs to assist the
31   BEA staff on a regular basis: the Governor, the Chairman of the
32   House Ways and Means Committee, the Chairman of the Senate
33   Finance Committee, and the State Department of Revenue
34   Chairman, and the Director of the Budget Division of the Budget
35   and Control Board Director of the State Fiscal Accountability
36   Authority. The BEA staff shall meet monthly with these designees
37   in order to solicit their input.
38      Section 11-9-830. In order to provide a more effective system
39   of providing advice to the State Fiscal Accountability Authority,
40   Budget and Control Board the Governor and the General Assembly
41   on economic trends, the Board of Economic Advisors shall:
42         (1) compile and maintain in a unified, concise, and orderly
43   form information about total revenues and expenditures which

     [22-75]
 1   involve the funding of state government operations, revenues
 2   received by the State which comprise general revenue sources of
 3   all receipts to include amounts borrowed, federal grants, earnings,
 4   and the various activities accounted for in other funds;
 5         (2) continuously review and evaluate total revenues and
 6   expenditures to determine the extent to which they meet fiscal plan
 7   forecasts/projections;
 8         (3) evaluate federal revenues in terms of impact on state
 9   programs;
10         (4) compile economic, social, and demographic data for use
11   in the publishing of economic scenarios for incorporation into the
12   development of the state budget;
13         (5) bring to the attention of the Governor and the General
14   Assembly the effectiveness, or lack thereof, of the economic trends
15   and the impact on statewide policies and priorities;
16         (6) establish liaison with the Congressional Budget Office
17   and the Office of Management and Budget at the national level.”
18      SECTION 12. Section 11-9-880(C) of the 1976 Code is
19   amended to read:
20      “(C) All forecasts, adjusted forecasts, and reports of the Board of
21   Economic Advisors, including the synopsis of the current year’s
22   review as required by subsection (B), must be published and
23   reported to the Governor, the members of the Budget and Control
24   Board, the members of the General Assembly, the members of the
25   State Fiscal Accountability Authority, and made available to the
26   news media.”
27      SECTION 13. Section 11-9-890B. of the 1976 Code is
28   amended to read:
29      “B. (1) If at the end of the first, second, or third quarter of any
30   fiscal year quarterly revenue collections are two percent or more
31   below the amount projected for that quarter by the Board of
32   Economic Advisors reduces the revenue forecast for the fiscal year
33   by three percent or less below the amount projected for the fiscal
34   year in the forecast in effect at the time the general appropriations
35   bill for the fiscal year is ratified, the State Budget and Control
36   Board, within seven three days of that determination, shall take
37   action to avoid a year-end deficit. Notwithstanding Section
38   1-11-495, if the State Budget and Control Board does not take
39   unanimous action within seven days, the Director of the Office of
40   State Executive Budget and Strategic Planning Office must reduce
41   general fund appropriations by the requisite amount in the manner
42   prescribed by law. Upon making the reduction, the Director of the
43   Office of State Executive Budget and Strategic Planning Office

     [22-76]
 1   immediately must notify the State Treasurer and the Comptroller
 2   General of the reduction, and upon notification, the appropriations
 3   are considered reduced. No agencies, departments, institutions,
 4   activity, program, item, special appropriation, or allocation for
 5   which the General Assembly has provided funding in any part of
 6   this section may be discontinued, deleted, or deferred by the
 7   Director of the Office of State Executive Budget and Strategic
 8   Planning Office. A reduction of rate of expenditure by the
 9   Director of the Office of State Executive Budget and Strategic
10   Planning Office, under authority of this section, must be applied as
11   uniformly as shall be practicable, except that no reduction must be
12   applied to funds encumbered by a written contract with the agency,
13   department, or institution not connected with state government.
14      (2) If at the end of the first, second, or third quarter of any
15   fiscal year the Board of Economic Advisors reduces the revenue
16   forecast for the fiscal year by more than three percent below the
17   amount projected for the fiscal year in the forecast in effect at the
18   time the general appropriations bill for the fiscal year is ratified,
19   the President Pro Tempore of the Senate and the Speaker of the
20   House of Representatives may call each respective house into
21   session to take action to avoid a year-end deficit. If the General
22   Assembly has not taken action within twenty days of the
23   determination of the Board of Economic Advisors, the Director of
24   the Executive Budget and Strategic Planning Office must reduce
25   general fund appropriations by the requisite amount in the manner
26   prescribed by law and in accordance with item (1) of this
27   subsection.”
28      SECTION 14. A. Title 2 of the 1976 Code is amended by
29   adding:
30                               “CHAPTER 79
31              State Agency Deficit Prevention and Recognition
32      Section 2-79-10. This chapter may be cited as the ‘State
33   Agency Deficit Prevention and Recognition Act’.
34      Section 2-79-20. It is the responsibility of each state agency,
35   department, and institution to operate within the limits of
36   appropriations set forth in the annual general appropriations act,
37   appropriation acts, or joint resolution supplemental thereto, and
38   any other approved expenditures of monies. A state agency,
39   department, or institution shall not operate in a manner that results
40   in a year-end deficit except as provided in this chapter.
41      Section 2-79-30. If at the end of each quarterly deficit
42   monitoring review by the Executive Budget and Strategic Planning
43   Office, it is determined by either the Executive Budget and

     [22-77]
 1   Strategic Planning Office or a state agency, department, or
 2   institution that the likelihood of a deficit for the current fiscal year
 3   exists, the state agency shall notify the General Assembly within
 4   fifteen days of this determination and shall further request the
 5   Executive Budget and Strategic Planning Office to work with it to
 6   develop a plan to avoid the deficit. Within fifteen days of the
 7   deficit avoidance plan being completed, the Executive Budget and
 8   Strategic Planning Office shall either request the General
 9   Assembly to recognize the deficit in the manner provided in this
10   chapter if it determines the deficit avoidance plan will not be
11   sufficient to avoid a deficit or notify the General Assembly of how
12   the deficit will be avoided based on the deficit avoidance plan if
13   the Executive Budget and Strategic Planning Office determines the
14   plan will be sufficient to avoid a deficit.
15      Section 2-79-40. (A) Upon notification from the Executive
16   Budget and Strategic Planning Office as provided in Section
17   2-79-30 that an agency will run a deficit and requesting that it be
18   recognized, the General Assembly, by joint resolution, may make a
19   finding that the cause of, or likelihood of, a deficit is unavoidable
20   due to factors which are outside the control of the state agency,
21   department, or institution, and recognize the deficit. Any
22   legislation to recognize a deficit must be in a separate joint
23   resolution enacted for the sole purpose of recognizing the deficit of
24   a particular state agency, department, or institution. A deficit only
25   may be recognized by an affirmative vote of each branch of the
26   General Assembly.
27      (B) If the General Assembly recognizes the deficit, then the
28   actual deficit at the close of the fiscal year must be reduced as
29   necessary from surplus revenues or surplus funds available at the
30   close of the fiscal year in which the deficit occurs and then, to the
31   extent no surplus revenues or surplus funds are available, first from
32   funds available in the Capital Reserve Fund and then from funds
33   available in the General Reserve Fund and the Capital Reserve
34   Fund, as required by the Constitution of this State.
35      Section 2-79-50. Once a deficit has been recognized by the
36   General Assembly, the state agency, department, or institution
37   shall limit travel and conference attendance to that which is
38   deemed essential by the director of the agency, department, or
39   institution. In addition, the General Assembly, when recognizing a
40   deficit may direct that any pay increases and purchases of
41   equipment and vehicles must be approved by the Executive Budget
42   and Strategic Planning Office.”


     [22-78]
 1      B. Section 1-11-495 of the 1976 Code, as last amended by Act
 2   152 of 2010, is repealed.
 3      C. Sections 11-9-230 through 11-9-270 of the 1976 Code are
 4   repealed.
 5                                    Subpart 4
 6      SECTION 15. Section 2-7-72 of the 1976 Code is amended to
 7   read:
 8      “Section 2-7-72. Whenever a bill or resolution is introduced in
 9   the General Assembly requiring the expenditure of funds, the
10   principal author shall affix a statement of estimated fiscal impact
11   and cost of the proposed legislation. Before reporting the bill out
12   of committee, if the amount is substantially different from the
13   original estimate, the committee shall attach a statement of
14   estimated fiscal impact to the bill signed by the Executive Director
15   of the State Budget Division of the State Budget and Control
16   Board Legislative Fiscal Office or his designee. As used in this
17   section, ‘statement of estimated fiscal impact’ means the opinion
18   of the person executing the statement as to the dollar cost to the
19   State for the first year and the annual cost thereafter.”
20      SECTION 16. Section 2-7-73 of the 1976 Code is amended to
21   read:
22      “Section 2-7-73. (A) Any bill or resolution which would
23   mandate a health coverage or offering of a health coverage by an
24   insurance carrier, health care service contractor, or health
25   maintenance organization as a component of individual or group
26   policies, must have attached to it a statement of the financial
27   impact of the coverage, according to the guidelines enumerated in
28   subsection (B). This financial impact analysis must be conducted
29   by the Division of Research and Statistical Services Legislative
30   Fiscal Office based upon raw data supplied by the State Fiscal
31   Accountability Authority’s Office of Research and Statistics and
32   signed by an authorized agent of the Department of Insurance, or
33   his designee. The statement required by this section must be
34   delivered to the Senate or House committee to which any bill or
35   resolution is referred, within thirty days of the written request of
36   the chairman of such committee.
37      (B) Guidelines for assessing the financial impact of proposed
38   mandated or mandatorily offered health coverage to the extent that
39   information is available, must include, but are not limited to, the
40   following:
41        (1) to what extent does the coverage increase or decrease the
42   cost of treatment or services;


     [22-79]
 1        (2) to what extent does the coverage increase or decrease the
 2   use of treatment or service;
 3        (3) to what extent does the mandated treatment or service
 4   substitute for more expensive treatment or service;
 5        (4) to what extent does the coverage increase or decrease the
 6   administrative expenses of insurance companies and the premium
 7   and administrative expenses of policyholders; and
 8        (5) what is the impact of this coverage on the total cost of
 9   health care.”
10      SECTION 17. Section 2-7-74 of the 1976 Code is amended to
11   read:
12      “Section 2-7-74. (A) As used in this section, ‘statement of
13   estimated fiscal impact’ means the opinion of the person executing
14   the statement as to the dollar cost to the State for the first year and
15   the annual cost thereafter.
16      (B) The principal author of legislation that would establish a
17   new criminal offense or that would amend the sentencing
18   provisions of an existing criminal offense may affix a statement of
19   estimated fiscal impact of the proposed legislation. Upon request
20   from the principal author of the legislation, the Office of State
21   Budget Legislative Fiscal Office shall assist in preparing the fiscal
22   impact statement.
23      (C) If a fiscal impact statement is not affixed to legislation at
24   the time of introduction, the committee to which the legislation is
25   referred shall request a fiscal impact statement from the Office of
26   State Budget Legislative Fiscal Office. The Office of State Budget
27   Legislative Fiscal Office shall have at least fifteen calendar days
28   from the date of the request to deliver the fiscal impact statement
29   to the Senate or House of Representatives committee to which the
30   legislation is referred, unless the Office of State Budget Legislative
31   Fiscal Office requests an extension of time. The Office of State
32   Budget Legislative Fiscal Office shall not unreasonably delay the
33   delivery of a fiscal impact statement.
34      (D) The committee shall not take action on the legislation until
35   the committee has received the fiscal impact statement.
36      (E) If the legislation is reported out of the committee, the
37   committee shall attach the fiscal impact statement to the
38   legislation. If the legislation has been amended, the committee
39   shall request a revised fiscal impact statement from the Office of
40   State Budget Legislative Fiscal Office and shall attach the revised
41   fiscal impact statement to the legislation.
42      (F) State agencies and political subdivisions shall cooperate
43   with the Office of State Budget Legislative Fiscal Office in

     [22-80]
 1   preparing fiscal impact statements. Such agencies and political
 2   subdivisions shall submit requested information to the Office of
 3   State Budget Legislative Fiscal Office in a timely fashion.
 4      (G) In preparing fiscal impact statements, the Office of State
 5   Budget Legislative Fiscal Office shall consider and evaluate
 6   information as submitted by state agencies and political
 7   subdivisions. The Office of State Budget Legislative Fiscal Office
 8   shall provide to the requesting Senate or House of Representatives
 9   committee any estimates provided by a state agency or political
10   subdivision, which are substantially different from the fiscal
11   impact as issued by the Office of State Budget Legislative Fiscal
12   Office.
13      (H) The Office of State Budget Legislative Fiscal Office may
14   request information from nongovernmental agencies and
15   organizations to assist in preparing the fiscal impact statement.”
16      SECTION 18. Section 2-7-76 of the 1976 Code is amended to
17   read:
18      “Section 2-7-76. (A) The chairman of the legislative committee
19   to which a bill or resolution was referred shall direct the Budget
20   Division or the Economic Research Section of the Budget and
21   Control Board, as appropriate, Legislative Fiscal Office to prepare
22   and affix to it a statement of the estimated fiscal or and revenue
23   impact and cost to the counties and municipalities of the proposed
24   legislation before the legislation is reported out of that committee
25   if a bill or resolution:
26         (1) requires a county or municipality to expend funds
27   allocated to the county or municipality pursuant to Chapter 27, of
28   Title 6;
29         (2) is introduced in the General Assembly to require the
30   expenditure of funds by a county or municipality;
31         (3) requires the use of county or municipal personnel,
32   facilities, or equipment to implement a general law or regulations
33   promulgated pursuant to a general law; or
34         (4) relates to taxes imposed by political subdivisions.
35      (B) A revised estimated fiscal or and revenue impact and cost
36   statement must be prepared at the direction of the presiding officer
37   of the House of Representatives or the Senate by the Budget
38   Division or Economic Research Section of the Budget and Control
39   Board Legislative Fiscal Office before third reading of the bill or
40   resolution, if there is a significant amendment to the bill or
41   resolution.



     [22-81]
 1      (C) For purposes of this section, ‘political subdivision’ means a
 2   county, municipality, school district, special purpose district,
 3   public service district, or consolidated political subdivision.”
 4                                   Subpart 5
 5      SECTION 19. Section 48-52-410 of the 1976 Code is
 6   amended to read:
 7      “Section 48-52-410. There is established the State Energy
 8   Office within the State Budget and Control Board Office of
 9   Regulatory Staff which shall serve as the principal energy planning
10   entity for the State. Its primary purpose is to develop and
11   implement a well-balanced energy strategy and to increase the
12   efficiency of use of all energy sources throughout South Carolina
13   through the implementation of the Plan for State Energy Policy.
14   The State Energy Office must not function as a regulatory body.”
15      SECTION 20. Section 48-52-440 of the 1976 Code is
16   amended to read:
17      “Section 48-52-440. There is established the Energy Advisory
18   Committee, whose members are appointed by the State Budget and
19   Control Board, except as provided in item (14) of this section.
20   Members shall serve at the pleasure of the State Budget and
21   Control Board except that those appointed pursuant to item (14)
22   shall serve for a term coterminous with that of their appointing
23   authority. The committee is composed as follows:
24      (1) two representatives of investor-owned electricity
25   companies;
26      (2) two representatives of electric cooperatives;
27      (3) one representative of the South Carolina Public Service
28   Authority, who shall serve ex officio;
29      (4) one representative of municipally-owned electric utilities;
30      (5) one representative of publicly-owned natural gas
31   companies;
32      (6) one representative of investor-owned gas companies;
33      (7) one representative of oil suppliers or dealers;
34      (8) one representative of propane suppliers or dealers;
35      (9) one representative of nonprofit public transportation
36   providers;
37      (10) two representatives of industrial consumers;
38      (11) two representatives of commercial consumers;
39      (12) two representatives of individual consumers; one must be
40   the Executive Director of the Office of Regulatory Staff or his
41   designee, who shall serve ex officio;
42      (13) two representatives of environmental groups; and
43      (14) one at-large member appointed by the Governor.

     [22-82]
 1      The Budget and Control Board shall elect one of the committee
 2   members to serve as chairman. The members of the Energy
 3   Advisory Committee are not eligible for per diem payments or for
 4   reimbursement for lodging or meals. The functions of the Energy
 5   Advisory Committee are advisory to the State Energy Office. The
 6   committee shall meet at least annually and at the call of the chair
 7   or at the request of at least six members to receive information on
 8   the activities of the State Energy Office and the formulation and
 9   implementation of the state energy action plan. It may comment
10   and advise on the activities and the plan as considered appropriate
11   by members of the committee. The State Energy Office may seek
12   advice and guidance from the committee as considered appropriate
13   by the director of the office. Members shall adopt rules governing
14   meeting attendance and abide by these rules.
15      (A) All funds allocated or directed to this State by the federal
16   government relating to energy planning, energy conservation, and
17   energy efficiency must be allocated or directed to the State Energy
18   Office in the Office of Regulatory Staff to be distributed in
19   accordance with the provisions of this section; provided, however,
20   that no funding from the following federal programs is subject to
21   the provisions of this section:
22        (1) the Low Income Home Energy Assistance Program
23   (LIHEAP), created by Title XXVI of the Omnibus Budget
24   Reconciliation Act of 1981 and codified as Chapter 94, Title 42 of
25   the United States Code, as amended by the Human Services
26   Reauthorization Act of 1984, the Human Services Reauthorization
27   Act of 1986, the Augustus F. Hawkins Human Services
28   Reauthorization Act of 1990, the National Institutes of Health
29   Revitalization Act of 1993, the Low-Income Home Energy
30   Amendments of 1994, the Coats Human Services Reauthorization
31   Act of 1998, and the Energy Policy Act of 2005, which is
32   administered and funded by the United States Department of
33   Health and Human Services on the federal level and administered
34   locally by community action agencies; or
35        (2) the Weatherization Assistance Program, created by Title
36   IV of the Energy Conservation and Production Act of 1976 and
37   codified as Part A, Subchapter III, Chapter 81, Title 42 of the
38   United States Code, amended by the National Energy Conservation
39   Policy Act, the Energy Security Act, the Human Services
40   Reauthorization Act of 1984, and the State Energy Efficiency
41   Programs Improvement Act of 1990 and administered and funded
42   by the United States Department of Energy on the federal level and
43   administered locally by community action agencies.

     [22-83]
 1      Nothing in this section changes the exclusive administration of
 2   the Low Income Energy Assistance Program and Weatherization
 3   Assistance Program by local community action agencies through
 4   the Department of Administration’s Office of Economic
 5   Opportunity pursuant to its authority under the provisions of
 6   Chapter 45, Title 43, the Community Economic Opportunity Act
 7   of 1983.
 8      (B) All funds described in subsection (A) that are not exempted
 9   by items (1) and (2) of subsection (A) must be distributed by the
10   State Energy Office in the Office of Regulatory Staff in
11   accordance with all requirements of federal law associated with
12   these funds. Persons seeking to obtain funding for energy related
13   programs must submit to the State Energy Office a plan for the use
14   of the funds in a manner consistent with the provisions of this
15   section.
16      (C) Upon receipt of the plans required by subsection (B), the
17   State Energy Office of the Office of Regulatory Staff must prepare
18   an analysis of the plans and their consistency with the provisions
19   of this section and submit that analysis to the Department Advisory
20   Council for its review and recommendations.
21      (D) There is hereby created in the Office of Regulatory Staff
22   the Energy Advisory Council, which will advise the State Energy
23   Office on all matters for which the State Energy Office is
24   responsible and specifically with respect to its review of the annual
25   plans required to be submitted pursuant to this section. The
26   Advisory Council shall be composed of nine members as follows:
27        (1) three appointed by the Governor, one of whom must
28   have a substantial background in environmental or consumer
29   protection matters;
30        (2) three appointed by the President Pro Tempore of the
31   Senate, one of whom must have a substantial background in
32   environmental or consumer protection matters; and
33        (3) three appointed by the Speaker of the House of
34   Representatives, one of whom must have a substantial background
35   in environmental or consumer protection matters.
36      All appointees must have backgrounds in environmental issues;
37   the electricity, transportation, or natural gas industries; or
38   economic development related to these sectors.
39      (E) In evaluating the plans required by this section, the
40   Advisory Council shall consider the extent to which the plans
41   allocate funds in a cost effective manner and promote the
42   following alternative sources of domestic energy or avoidance of
43   consumption of energy:

     [22-84]
 1        (1) the development of energy efficiency and conservation;
 2        (2) renewable sources of energy, including wind power,
 3   solar power, energy from biomass sources, and energy storage;
 4        (3) nuclear energy; and
 5        (4) alternative fuels or power sources for the transportation
 6   sector.
 7      In considering the cost-effectiveness of the plans the Advisory
 8   Council must consider the cost of the proposed measures as to the
 9   expected useful life of the measures being proposed and the impact
10   of the proposed measures on consumers. For each proposed plan,
11   the Advisory Council must consider the value of the avoided cost
12   of complying with anticipated state and federal environmental
13   regulations.
14      (F) Upon completion of its review of plans submitted in
15   compliance with this section, the Advisory Council must prepare a
16   report describing the results of its review and submit copies of that
17   report to the State Energy Office of the Office of Regulatory Staff
18   and the Public Utility Review Committee of Article 5 of Chapter 3,
19   Title 58.
20      (G) The Executive Director of the Office of Regulatory Staff
21   shall make the final determinations of distributions of funds as
22   required by this section, taking into account the recommendations
23   of the Advisory Council. Grant awards shall be made in a manner
24   consistent with this section.”
25      SECTION 21. Section 48-52-460 of the 1976 Code is
26   amended to read:
27      “Section 48-52-460. The establishment of the State Energy
28   Office within the State Budget and Control Board Office of
29   Regulatory Staff, as provided for in this part, must be evaluated if
30   restructuring or reorganizing of state government takes place so as
31   to identify and provide for the proper placement of the office upon
32   restructuring or reorganizing.”
33      SECTION 22. Section 48-52-635 of the 1976 Code is
34   amended to read:
35      “Section 48-52-635. Pursuant to Section 48-52-630, an
36   agency’s savings realized in the prior fiscal year from
37   implementing an energy conservation measure as compared to a
38   baseline energy use as certified by the State Energy Office, may be
39   retained and carried forward into the current fiscal year. This
40   savings, as certified by the State Energy Office, must first be used
41   for debt retirement of capital expenditures, if any, on the energy
42   conservation measure, after which time savings may be used for
43   agency operational purposes and where practical, reinvested into

     [22-85]
 1   energy conservation areas. The agency must report all actual
 2   savings in the energy portion of its annual report to the State
 3   Budget and Control Board Office of Regulatory Staff.”
 4      SECTION 23. Section 48-52-680(C) of the 1976 Code is
 5   amended to read:
 6      “(C) The State Energy Office shall provide the Office of
 7   Property Management of the Budget and Control Board, Division
 8   of General Services of the Department of Administration,
 9   information to be used in evaluating energy costs for buildings or
10   portions of buildings proposed to be leased by governmental
11   bodies that are defined in and subject to the Consolidated
12   Procurement Code. The information provided must be considered
13   with the other criteria provided by law by a governmental body
14   before entering into a real property lease.”
15                                   Subpart 6
16      SECTION 24. A. Section 1-11-25 of the 1976 Code is
17   amended to read:
18      “Section 1-11-25. (A) There is hereby established a Local
19   Government Division within the State Budget and Control Board
20   Fiscal Accountability Authority to act as a liaison for financial
21   grants among local governments local public entities, the General
22   Assembly and the Governor’s Office. The division shall be under
23   the supervision of a director who shall be appointed by and who
24   shall serve at the pleasure of the Budget and Control Board
25   authority and whose compensation shall be as provided for by the
26   General Assembly. He may employ such staff as may be approved
27   by the board authority. The division shall be responsible for
28   certifying grants to local governments public entities from both
29   federal and state funds. The term ‘local government public entity’
30   shall mean any political entity below the state level.
31      (B) The division shall establish guidelines and procedures
32   which local governments public entities shall follow in applying
33   for grants certified by the division. The director shall make known
34   to local governments these entities the availability of all grants
35   available through the division authority and shall make periodic
36   reports to the Budget and Control Board, the General Assembly
37   and the Governor’s Office. The reports shall contain information
38   concerning the amount of funds available from both federal and
39   state sources, requests for grants and the status of such requests
40   and such other information as the director may deem appropriate.
41   The director shall maintain such records as may be necessary for
42   the efficient operation of the office.


     [22-86]
 1      The Division of Administration, under contractual agreement,
 2   shall furnish the Local Government Division such accounting
 3   service support as may be requested.”
 4      B. Section 1-11-26 of the 1976 Code is amended to read:
 5      “Section 1-11-26. (A) Grant funds received by a local county,
 6   municipality, political subdivision, or other public entity from the
 7   Division of Local Government of the State Budget and Control
 8   Board Fiscal Accountability Authority must be deposited in a
 9   separate fund and may not be commingled with other funds,
10   including other grant funds. Disbursements may be made from
11   this fund only on the written authorization of the individual who
12   signed the grant application filed with the division, or his
13   successor, and only for the purposes specified in the grant
14   application. A person violating the provisions of this section is
15   guilty of a misdemeanor and, upon conviction, must be fined five
16   thousand dollars or imprisoned for six months, or both.
17      (B) It is not a defense to an indictment alleging a violation of
18   this section that grant funds received from the Division of Local
19   Government were used by a grantee or subgrantee for
20   governmental purposes other than those specified in the grant
21   application or that the purpose for which the grant was made by
22   the Division of Local Government was accomplished by funds
23   other than grant funds.
24      (C) The Division of Local Government of the State Budget and
25   Control Board Fiscal Accountability Authority shall furnish a copy
26   of this section to a grantee when the grant is awarded.”
27      C. Section 11-50-50 of the 1976 Code, as added by Act 149 of
28   2012, is amended to read:
29      “Section 11-50-50. (A) The board of directors is the governing
30   board of the authority. The board consists of seven eight voting
31   directors appointed as follows:
32      (1) six seven members who reside in or represent all or some
33   portion of the counties designated as distressed or least developed
34   pursuant to Section 12-6-3360 for 2009; one appointed by the
35   President Pro Tempore of the Senate, one appointed by the
36   Speaker of the House of Representatives, one appointed by the
37   Chairman of the Senate Finance Committee, one appointed by the
38   Chairman of the House Ways and Means Committee, and two
39   three appointed by the Governor. One of the governor’s
40   appointees must be selected from three candidates recommended
41   by the Municipal Association of South Carolina; one of the
42   Governor’s appointees must be selected from three candidates
43   recommended by the South Carolina Association of Counties; and

     [22-87]
 1   one of the Governor’s appointees must be selected from three
 2   candidates recommended by the South Carolina Rural Water
 3   Association. Notwithstanding the provisions of Section 8-13-770,
 4   the members appointed pursuant to this item (1) by the President
 5   Pro Tempore of the Senate, Speaker of the House of
 6   Representatives, Chairman of the Senate Finance Committee, and
 7   the Chairman of the House Ways and Means Committee may be
 8   members of the General Assembly and, if so appointed, shall serve
 9   ex officio; and
10        (2) the Secretary of Commerce, ex officio, who shall serve
11   as chairman.
12      (B) Members not serving ex officio shall serve for terms of four
13   years and until their successors are appointed and qualify except
14   that of the members first appointed by the Speaker of the House,
15   President Pro Tempore of the Senate, and one of the members first
16   appointed by the Governor, the member shall serve for a term of
17   two years and the term must be noted on the appointment.
18   Vacancies must be filled in the manner of original appointment for
19   the unexpired portion of the term. Members shall serve without
20   compensation, but are allowed mileage, subsistence, and per diem
21   allowed by law for members of state boards, committees, and
22   commissions.”
23      D. Chapter 50, Title 11 of the 1976 Code is amended by
24   adding:
25      “Section 11-50-65. The State Fiscal Accountability Authority
26   shall provide such administrative support to the State Rural
27   Infrastructure Authority or any of its divisions or components as
28   they may request and require in the performance of their duties
29   including, but not limited to, financial management, human
30   resources management, information technology, procurement
31   services, and logistical support.”
32      E. 1. Notwithstanding Section 12-10-85, the Department of
33   Revenue is authorized to deposit revenues from the Rural
34   Infrastructure Fund in excess of twelve million dollars to the South
35   Carolina Rural Infrastructure Fund under the South Carolina Rural
36   Infrastructure Authority. Any revenues in excess of seventeen
37   million dollars shall be deposited in the Rural Infrastructure Fund
38   under the Department of Commerce, Coordinating Council.”
39        2. The State Budget and Control Board shall transfer all the
40   funds in the South Carolina Rural Infrastructure Bank Trust Fund,
41   created by Act 115 of 2005, to the South Carolina Rural
42   Infrastructure Fund, authorized by Act 171 of 2010.
43                                  Subpart 7

     [22-88]
 1      SECTION 25. A. Chapter 17, Title 60 of the 1976 Code is
 2   amended by adding:
 3                                “CHAPTER 17
 4                   South Carolina Confederate Relic Room
 5                      and Military Museum Commission
 6      Section 60-17-10. (A) Effective July 1, 2015, the South
 7   Carolina Confederate Relic Room and Military Museum
 8   Commission is established and must be composed of nine voting
 9   members who shall be appointed for terms of four years and until
10   their successors are appointed and qualify, except as specified in
11   subsection (B) for initial terms. The members of the board shall be
12   appointed as follows:
13        (1) three members appointed by the Governor;
14        (2) two members appointed by the President Pro Tempore of
15   the Senate;
16        (3) one member appointed by the President Pro Tempore of
17   the Senate upon the recommendation of the South Carolina
18   Division Commander of the Sons of Confederate Veterans;
19        (4) two members appointed by the Speaker of the House of
20   Representatives; and
21        (5) one member appointed by the Speaker of the House of
22   Representatives upon the recommendation of the President of the
23   South Carolina Division of the United Daughters of the
24   Confederacy.
25      (B) Initially, in order to stagger terms:
26        (1) one member appointed by the Governor shall serve a
27   term of one year;
28        (2) one member appointed by the Governor shall serve a
29   term of two years;
30        (3) one member appointed by the Governor shall serve for
31   three years;
32        (4) one member appointed by the President Pro Tempore of
33   the Senate shall serve for one year;
34        (5) one member appointed by the President Pro Tempore of
35   the Senate shall serve for two years;
36        (6) one member appointed by the President Pro Tempore of
37   the Senate shall serve for three years;
38        (7) one member appointed by the Speaker of the House of
39   Representatives shall serve for one year;
40        (8) one member appointed by the Speaker of the House of
41   Representatives shall serve for two years; and
42        (9) one member appointed by the Speaker of the House of
43   Representatives shall serve for three years.

     [22-89]
 1      At the expiration of these initial terms, successors must be
 2   appointed for terms of four years.
 3      Section 60-17-20. (A) The South Carolina Confederate Relic
 4   Room and Military Museum is authorized to supplement its state
 5   appropriations by receiving donations of funds and artifacts and
 6   admission fees and to expend these donations and fees to support
 7   its operations and for the acquisition, restoration, preservation, and
 8   display of its collection.
 9      (B) The South Carolina Confederate Relic Room and Military
10   Museum is authorized to collect, retain, and expend fees from
11   research and photographic processing requests and from the sale of
12   promotional items.
13      Section 60-17-30. No artifacts owned by the State in the
14   permanent collections of the South Carolina Confederate Relic
15   Room and Military Museum may be permanently removed or
16   disposed of except by a Concurrent Resolution of the General
17   Assembly.
18      Section 60-17-40. The Director of the South Carolina
19   Confederate Relic Room and Military Museum must be selected
20   by the South Carolina Confederate Relic Room and Military
21   Museum Commission after consultation with the South Carolina
22   Division Commander of the Sons of the Confederate Veterans and
23   the President of the South Carolina Chapter of the United
24   Daughters of the Confederacy. The director shall serve at the
25   pleasure of the commission.”
26      B. Article 7, Chapter 11, Title 1 of the 1976 Code is repealed.
27                                   Part VIII
28                  State Fiscal Accountability Authority and
29                              Related Provisions
30                                  Subpart 1
31      SECTION 26. Title 11 of the 1976 Code is amended by
32   adding:
33                               “CHAPTER 55
34                    State Fiscal Accountability Authority
35      Section 11-55-10. (A) There is established the State Fiscal
36   Accountability Authority consisting of members as follows:
37        (1) the Governor, who shall serve as ex officio as chairman;
38        (2) the State Treasurer, who shall serve ex officio;
39        (3) the Comptroller General, who shall serve ex officio;
40        (4) one member of the House of Representatives, ex officio;
41   and
42        (5) one member of the Senate, ex officio.


     [22-90]
 1      Members shall serve at the pleasure of their appointing
 2   authority. Vacancies must be filled in the manner of the original
 3   appointment. Members shall serve without compensation, but
 4   shall receive the mileage, subsistence, and per diem allowed by
 5   law for members of state boards, committees, and commissions.
 6      (B)(1) The authority shall select an executive director who in
 7   turn shall employ other staff under the direction of the State Fiscal
 8   Accountability Authority as necessary for the operations of the
 9   authority.
10        (2) The executive director shall serve a four-year term. The
11   executive director may only be removed for malfeasance,
12   misfeasance, incompetency, absenteeism, conflicts of interest,
13   misconduct, persistent neglect of duty in office, or incapacity as
14   found by the authority. The executive director shall have that
15   responsibility and perform the duties prescribed by law and as may
16   be directed by the authority.
17        (3) The General Assembly, in the annual general
18   appropriations act, shall appropriate those funds necessary for the
19   operations of the authority.
20      (C) The authority may organize its staff as it considers most
21   appropriate to carry out the various functions, powers, duties,
22   responsibilities, and authority assigned to it.
23      Section 11-55-30. In the course of conducting and managing
24   state affairs where a matter arises which would under prior
25   precedents and practices be referred to the former Budget and
26   Control Board for decision, although the procedure for the decision
27   is not specifically provided for by general law, the matter instead
28   shall be referred to and decided by the authority.
29      Section 11-55-40. (A) The authority shall exercise all
30   functions, powers, duties, responsibilities, and authority related to
31   the issuance of bonds and bonding authority, generally found in
32   Title 11 of the 1976 Code but also contained in certain other
33   provisions of South Carolina law, except for the functions, powers,
34   duties, responsibilities, and authority vested in the Joint Bond
35   Review Committee.
36      (B) The authority shall exercise all functions, powers, duties,
37   responsibilities, and authority, generally found in Title 11 of the
38   1976 Code but also contained in certain other provisions of South
39   Carolina law, exercised by the former Budget and Control Board
40   related to grants, loans, and other forms of financial assistance to
41   other entities.
42      (C) Bonded indebtedness issued by the South Carolina Jobs -
43   Economic Development Authority (JEDA) requires approval by

     [22-91]
 1   the authority as provided in Chapter 43, Title 41. Bonded
 2   indebtedness issued pursuant to this item does not constitute nor
 3   give rise to a pecuniary liability to the State or a charge against the
 4   credit or taxing powers of the State.
 5      Section 11-55-50. Where the applicable enabling statute or the
 6   general law relating to a permanent improvement project or the
 7   issuance of bonds or funding relating to the project both the review
 8   of the Joint Bond Review Committee and the approval by the
 9   former Budget and Control Board, the responsibility of the former
10   Budget and Control Board, in this regard, is devolved upon the
11   authority with no prior approval required on the part of the
12   department.”
13                                   Subpart 2
14      B. Chapter 47, Title 2 of the 1976 Code is amended to read:
15                                “CHAPTER 47
16                        Joint Bond Review Committee
17      Section 2-47-10. The General Assembly finds that a need exists
18   for careful planning of permanent improvements and of the
19   utilization of state general obligation and institutional bond
20   authority in order to ensure the continued favorable bond credit
21   rating our State has historically enjoyed. It further finds that the
22   responsibility for proper management of these matters is properly
23   placed upon the General Assembly by our State Constitution
24   legislative and executive branches of government. It is the purpose
25   of this resolution act chapter to further ensure the proper legislative
26   and executive response in the fulfillment of this responsibility.
27      Section 2-47-20. There is hereby created a six member joint
28   committee of the General Assembly to be known as the Joint Bond
29   Review Committee to study and monitor policies and procedures
30   relating to the approval of permanent improvement projects and to
31   the issuance of state general obligation and institutional bonds; to
32   evaluate the effect of current and past policies on the bond credit
33   rating of the State; and provide advisory assistance in the
34   establishment of future capital management policies. Three
35   members shall be appointed from the Senate Finance Committee
36   by the chairman thereof and three from the Ways and Means
37   Committee of the House of Representatives by the chairman of
38   that committee correspond corresponding to the terms for which
39   they are elected to the General Assembly. The committee shall
40   elect officers of the committee, but any person so elected may
41   succeed himself if elected to do so.
42      The expenses of the committee shall be paid from approved
43   accounts of both houses. The Legislative Council and all other

     [22-92]
 1   legislative staff organizations shall provide such assistance as the
 2   joint committee may request.
 3      Section 2-47-25. In addition to the members provided for by
 4   Section 2-47-20, two additional members shall be appointed by the
 5   Chairman of the Ways and Means Committee of the House of
 6   Representatives from the membership of that body.               Two
 7   additional members shall be appointed by the Chairman of the
 8   Finance Committee of the Senate from the membership of the
 9   Senate. Members shall serve the same terms as the members of the
10   committee provided for in Section 2-47-20.
11      Section 2-47-30. The committee is specifically charged with,
12   but not limited to, the following responsibilities:
13      (1) To to review, prior to approval by the Budget and Control
14   Board State Fiscal Accountability Authority, the establishment of
15   any permanent improvement project and the source of funds for
16   any such project not previously authorized specifically by the
17   General Assembly.;
18      (2) To to study the amount and nature of existing general
19   obligation and institutional bond obligations and the capability of
20   the State to fulfill such obligations based on current and projected
21   revenues.;
22      (3) To to recommend priorities of future bond issuance based
23   on the social and economic needs of the State.;
24      (4) To to recommend prudent limitations of bond obligations
25   related to present and future revenue estimates.;
26      (5) To to consult with independent bond counsel and other
27   nonlegislative authorities on such matters and with fiscal officials
28   of other states to gain in-depth knowledge of capital management
29   and assist in the formulation of short- and long-term
30   recommendations for the General Assembly.;
31      (6) To to carry out all of the above assigned responsibilities in
32   consultation and cooperation with the executive branch of
33   government and the Budget and Control Board. authority;
34      (7) To to report its findings and recommendations to the
35   General Assembly annually or more frequently if deemed
36   advisable by the committee.
37      Section 2-47-35. No project authorized in whole or in part for
38   capital improvement bond funding under the provisions of Act
39   1377 of 1968, as amended, may be implemented until funds can be
40   made available and until the Joint Bond Review Committee, in
41   consultation with the Budget and Control Board authority,
42   establishes priorities for the funding of the projects. The Joint
43   Bond Review Committee shall report its priorities to the members

     [22-93]
 1   of the General Assembly within thirty days of the establishment of
 2   the funding priorities.
 3      Section 2-47-40. (A) To assist the State Budget and Control
 4   Board (the Board) authority and the Joint Bond Review Committee
 5   (the Committee) in carrying out their respective responsibilities,
 6   any agency or institution requesting or receiving funds from any
 7   source for use in the financing of any permanent improvement
 8   project, as a minimum, shall provide to the Board authority, in
 9   such form and at such times as the Board authority, after review by
10   the committee, may prescribe:
11        (a)(1) a complete description of the proposed project;
12        (b)(2) a statement of justification for the proposed project;
13        (c)(3) a statement of the purposes and intended uses of the
14   proposed project;
15        (d)(4) the estimated total cost of the proposed project;
16        (e)(5) an estimate of the additional future annual operating
17   costs associated with the proposed project;
18        (f)(6) a statement of the expected impact of the proposed
19   project on the five-year operating plan of the agency or institution
20   proposing the project;
21        (g)(7) a proposed plan of financing the project, specifically
22   identifying funds proposed from sources other than capital
23   improvement bond authorizations; and
24        (h)(8) the specification of the priority of each project among
25   those proposed.
26      (B) All institutions of higher learning shall submit permanent
27   improvement project proposal and justification statements to the
28   Board authority, through the Commission on Higher Education
29   which shall forward all such statements and all supporting
30   documentation received to the Board authority together with its
31   comments and recommendations. The recommendations of the
32   Commission on Higher Education, among other things, shall
33   include all of the permanent improvement projects requested by
34   the several institutions listed in the order of priority deemed
35   appropriate by the Commission on Higher Education without
36   regard to the sources of funds proposed for the financing of the
37   projects requested.
38      The Board authority shall forward a copy of each project
39   proposal and justification statement and supporting documentation
40   received together with the Board’s authority’s recommendations
41   on such projects to the committee for its review and action. The
42   recommendations of the Commission on Higher Education shall be


     [22-94]
 1   included in the materials forwarded to the committee by the Board
 2   authority.
 3      (C) No provision in this section or elsewhere in this chapter,
 4   shall be construed to limit in any manner the prerogatives of the
 5   committee and the General Assembly with regard to
 6   recommending or authorizing permanent improvement projects
 7   and the funding such projects may require.
 8      Section 2-47-50. (A) The board authority shall establish
 9   formally each permanent improvement project before actions of
10   any sort which implement the project in any way may be
11   undertaken and no expenditure of any funds for any services or for
12   any other project purpose contracted for, delivered, or otherwise
13   provided prior to the date of the formal action of the board
14   authority to establish the project shall be approved. State agencies
15   and institutions may advertise and interview for project
16   architectural and engineering services for a pending project so long
17   as the architectural and engineering contract is not awarded until
18   after a state project number is assigned. After the committee has
19   reviewed the form to be used to request the establishment of
20   permanent improvement projects and has reviewed the time
21   schedule for considering such requests as proposed by the board
22   authority, requests to establish permanent improvement projects
23   shall be made in such form and at such times as the board authority
24   may require.
25      (B) Any proposal to finance all or any part of any project using
26   any funds not previously authorized specifically for the project by
27   the General Assembly or using any funds not previously approved
28   for the project by the board authority and reviewed by the
29   committee shall be referred to the committee for review prior to
30   approval by the board authority.
31      (C) Any proposed revision of the scope or of the budget of an
32   established permanent improvement project deemed by the board
33   authority to be substantial shall be referred to the committee for its
34   review prior to any final action by the board authority. In making
35   their determinations regarding changes in project scope, the board
36   authority, and the committee shall utilize the permanent
37   improvement project proposal and justification statements,
38   together with any supporting documentation, considered at the
39   time the project was authorized or established originally. Any
40   proposal to increase the budget of a previously approved project
41   using any funds not previously approved for the project by the
42   board authority and reviewed by the committee shall in all cases be
43   deemed to be a substantial revision of a project budget which shall

     [22-95]
 1   be referred to the committee for review. The committee shall be
 2   advised promptly of all actions taken by the board authority which
 3   approve revisions in the scope of or the budget of any previously
 4   established permanent improvement project not deemed substantial
 5   by the board authority.
 6      (D) For purposes of this chapter, with regard to all institutions
 7   of higher learning, permanent improvement project is defined as:
 8         (1) acquisition of land, regardless of cost, with staff level
 9   review of the committee and the Budget and Control Board,
10   Capital Budget Office State Fiscal Accountability Authority, up to
11   two hundred fifty thousand dollars;
12         (2) acquisition, as opposed to the construction, of buildings
13   or other structures, regardless of cost, with staff level review of the
14   committee and the Budget and Control Board, Capital Budget
15   Office State Fiscal Accountability Authority, up to two hundred
16   fifty thousand dollars;
17         (3) work on existing facilities for any given project
18   including their renovation, repair, maintenance, alteration, or
19   demolition in those instances in which the total cost of all work
20   involved is one million dollars or more;
21         (4) architectural and engineering and other types of planning
22   and design work, regardless of cost, which is intended to result in a
23   permanent improvement project. Master plans and feasibility
24   studies are not permanent improvement projects and are not to be
25   included;
26         (5) capital lease purchase of a facility acquisition or
27   construction in which the total cost is one million dollars or more;
28         (6) equipment that either becomes a permanent fixture of a
29   facility or does not become permanent but is included in the
30   construction contract shall be included as a part of a project in
31   which the total cost is one million dollars or more; and
32         (7) new construction of a facility that exceeds a total cost of
33   five hundred thousand dollars.
34      (E) Any permanent improvement project that meets the above
35   definition must become a project, regardless of the source of funds.
36   However, an institution of higher learning that has been authorized
37   or appropriated capital improvement bond funds, capital reserve
38   funds or state appropriated funds, or state infrastructure bond funds
39   by the General Assembly for capital improvements shall process a
40   permanent improvement project, regardless of the amount.
41      (F) For purposes of establishing permanent improvement
42   projects, Clemson University Public Service Activities
43   (Clemson-PSA) and South Carolina State University Public

     [22-96]
 1   Service Activities (SC State-PSA) are subject to the provisions of
 2   this chapter.
 3      Section 2-47-55. (A) All state agencies responsible for
 4   providing and maintaining physical facilities are required to submit
 5   a Comprehensive Permanent Improvement Plan (CPIP) to the Joint
 6   Bond Review Committee, and the Budget and Control Board
 7   authority. The CPIP must include all of the agency’s permanent
 8   improvement projects anticipated and proposed over the next five
 9   years beginning with the fiscal year starting July 1 after
10   submission. The purpose of the CPIP process is to provide the
11   board authority, and the committee with an outline of each
12   agency’s permanent improvement activities for the next five years.
13   Agencies must submit a CPIP to the committee, and the board
14   authority on or before a date to be determined by the committee,
15   and the board authority. The CPIP for each higher education
16   agency, including the technical colleges, must be submitted
17   through the Commission on Higher Education which must review
18   the CPIP and provide its recommendations to the board authority,
19   and the committee. The board authority, and the committee must
20   approve the CPIP after submission and may develop policies and
21   procedures to implement and accomplish the purposes of this
22   section.
23      (B) The State shall define a permanent improvement only in
24   terms of capital improvements, as defined by generally accepted
25   accounting principles, for reporting purposes to the State.
26      Section 2-47-56. Each state agency and institution may accept
27   gifts-in-kind for architectural and engineering services and
28   construction of a value less than two hundred fifty thousand dollars
29   with the approval of the Commission of Higher Education or its
30   designated staff, the director of the Division of General Services
31   department, and the Joint Bond Review Committee or its
32   designated staff. No other approvals or procedural requirements,
33   including the provisions of Section 11-35-10, may be imposed on
34   the acceptance of such gifts.
35      Section 2-47-60. The Joint Bond Review Committee is hereby
36   authorized and directed to regulate the starting date of the various
37   projects approved for funding through the issuance of state
38   highway bonds so as to ensure that the sources of revenue for debt
39   service on such bonds shall be sufficient during the current fiscal
40   year.
41      Section 2-47-70. (A) To ensure the integrity and the
42   effectiveness of the procurement process, the Joint Bond Review
43   Committee shall receive a monthly report from the Procurement

     [22-97]
 1   Services Division of the Department of Admininistration
 2   identifying each contract newly executed, against which the
 3   appropriate agency expects that at least five million dollars will be
 4   expended over the life of the agreement, inclusive of any available
 5   extensions or renewals. The monthly reports must also provide
 6   notice of any renewals or extensions approved for such contracts
 7   during the relevant period.
 8      (B) Each governmental body, as defined in Section 11-35-310,
 9   shall, by the fifteenth day of each month, furnish the board with
10   records they shall require in order to satisfy the reporting
11   requirements established in this section. The monthly reports must
12   provide information on contracts executed, extended, or renewed
13   during the period concluding one month prior to the date on which
14   the report is transmitted to the Joint Bond Review Committee.
15      (C) The Joint Bond Review Committee may also, when
16   deemed necessary, refer matters to the Legislative Audit Council
17   or other appropriate investigative or prosecutorial entities for
18   further review. Whenever the Joint Bond Review Committee
19   identifies deficiencies in procurement policies or procedures, the
20   committee shall notify and make recommendations to the
21   Procurement         Services Division of the Department of
22   Administration.”
23                                   Subpart 3
24      SECTION 27. A. (1) The Insurance Reserve Fund, is
25   transferred to the State Fiscal Accountability Authority on July 1,
26   2015, as a division of the authority.
27      (2) The Insurance Reserve Fund, transferred to the authority
28   shall administer and perform all administrative and operational
29   functions of the Office of Insurance Services, including the
30   Insurance Reserve Fund, except that the Attorney General of this
31   State must continue to approve the attorneys-at-law retained to
32   represent the clients of the Insurance Reserve Fund in the manner
33   provided by law.
34      B. Section 1-11-140 of the 1976 Code is amended to read:
35      “Section 1-11-140. (A) The State Budget and Control Board
36   Fiscal Accountability Authority, through the Insurance Reserve
37   Fund, is authorized to provide insurance for the State, its
38   departments, agencies, institutions, commissions, boards, and the
39   personnel employed by the State in its departments, agencies,
40   institutions, commissions, and boards so as to protect the State
41   against tort liability and to protect these personnel against tort
42   liability arising in the course of their employment. The insurance
43   also may be provided for physicians or dentists employed by the

     [22-98]
 1   State, its departments, agencies, institutions, commissions, or
 2   boards against any tort liability arising out of the rendering of any
 3   professional services as a physician or dentist for which no fee is
 4   charged or professional services rendered of any type whatsoever
 5   so long as any fees received are directly payable to the employer of
 6   a covered physician or dentist, or to any practice plan authorized
 7   by the employer whether or not the practice plan is incorporated
 8   and registered with the Secretary of State; provided, any insurance
 9   coverage provided by the Budget and Control Board authority may
10   be on the basis of claims made or upon occurrences. The
11   insurance also may be provided for students of high schools, South
12   Carolina Technical Schools, or state-supported colleges and
13   universities while these students are engaged in work study,
14   distributive education, or apprentice programs on the premises of
15   private companies. Premiums for the insurance must be paid from
16   appropriations to or funds collected by the various entities, except
17   that in the case of the above-referenced students in which case the
18   premiums must be paid from fees paid by students participating in
19   these training programs. The board authority has the exclusive
20   control over the investigation, settlement, and defense of claims
21   against the various entities and personnel for whom it provided
22   insurance coverage and may promulgate regulations in connection
23   therewith.
24      (B) Any political subdivision of the State including, without
25   limitations, municipalities, counties, and school districts, may
26   procure the insurance for itself and for its employees in the same
27   manner provided for the procurement of this insurance for the
28   State, its entities, and its employees, or in a manner provided by
29   Section 15-78-140.
30      (C) The procurement of tort liability insurance in the manner
31   provided is the exclusive means for the procurement of this
32   insurance.
33      (D) The State Budget and Control Board authority, through the
34   Office of Insurance Services Insurance Reserve Fund, also is
35   authorized to offer insurance to governmental hospitals and any
36   subsidiary of or other entity affiliated with the hospital currently
37   existing or as may be established; and chartered, nonprofit,
38   eleemosynary hospitals and any subsidiary of or other entity
39   affiliated with the hospital currently existing or as may be
40   established in this State so as to protect these hospitals against tort
41   liability. Notwithstanding any other provision of this section, the
42   procurement of tort liability insurance by a hospital and any
43   subsidiary of or other entity affiliated with the hospital currently

     [22-99]
 1   existing or as may be established supported wholly or partially by
 2   public funds contributed by the State or any of its political
 3   subdivisions in the manner herein provided is not the exclusive
 4   means by which the hospital may procure tort liability insurance.
 5      (E) The State Budget and Control Board authority, through the
 6   Office of Insurance Services Insurance Reserve Fund, is authorized
 7   to provide insurance for duly appointed members of the boards and
 8   employees of health system agencies, and for members of the State
 9   Health Coordinating Council which are created pursuant to Public
10   Law 93-641.
11      (F) The board authority, through the Office of Insurance
12   Services Insurance Reserve Fund, is further authorized to provide
13   insurance as prescribed in Sections 10-7-10 through 10-7-40,
14   59-67-710, and 59-67-790.
15      (G) Documentary or other material prepared by or for the
16   Office of Insurance Services Insurance Reserve Fund in providing
17   any insurance coverage authorized by this section or any other
18   provision of law which is contained in any claim file is subject to
19   disclosure to the extent required by the Freedom of Information
20   Act only after the claim is settled or finally concluded by a court of
21   competent jurisdiction.
22      (H) The board authority, through the Office of Insurance
23   Services Insurance Reserve Fund, is further authorized to provide
24   insurance for state constables, including volunteer state constables,
25   to protect these personnel against tort liability arising in the course
26   of their employment, whether or not for compensation, while
27   serving in a law enforcement capacity.”
28      C. Section 15-78-140 of the 1976 Code is amended to read:
29      “Section 15-78-140. (a) (Reserved)
30      (b)(A) The political subdivisions of this State, in regard to tort
31   and automobile liability, property, and casualty insurance shall
32   procure insurance to cover these risks for which immunity has
33   been waived by (1) the purchase of liability insurance pursuant to
34   Section 1-11-140; or (2) the purchase of liability insurance from a
35   private carrier; or (3) self-insurance; or (4) establishing pooled
36   self-insurance liability funds, by intergovernmental agreement,
37   which may not be construed as transacting the business of
38   insurance or otherwise subject to state laws regulating insurance.
39   A pooled self-insurance liability pool is authorized to purchase
40   specific and aggregate excess insurance. A pooled self-insurance
41   liability fund must provide liability coverage for all employees of a
42   political subdivision applying for participation in the fund. If the


     [22-100]
 1   insurance is obtained other than pursuant to Section 1-11-140, it
 2   must be obtained subject to the following conditions:
 3         (1) if the political subdivision does not procure tort liability
 4   insurance pursuant to Section 1-11-140, it must also procure its
 5   automobile liability and property and casualty insurance from
 6   other sources and shall not procure these coverages through the
 7   Budget and Control Board Insurance Reserve Fund;
 8         (2) if a political subdivision procures its tort liability
 9   insurance, automobile liability insurance, or property and casualty
10   insurance through the Budget and Control Board Insurance
11   Reserve Fund, all liability exposures of the political subdivision as
12   well as its property and casualty insurance must be insured with
13   the Budget and Control Board Insurance Reserve Fund;
14         (3) if the political subdivision, at any time, procures its tort
15   liability, automobile liability, property, or casualty insurance other
16   than through the Budget and Control Board Insurance Reserve
17   Fund and then subsequently desires to obtain this coverage with
18   the Budget and Control Board Insurance Reserve Fund, notice of
19   its intention to so obtain this subsequent coverage must be
20   provided the Budget and Control Board Insurance Reserve Fund at
21   least ninety days prior to the beginning of the coverage with the
22   State Budget and Control Board Insurance Reserve Fund. The
23   other lines of insurance that the political subdivision is required to
24   procure from the board fund are not required to commence until
25   the coverage for that line of insurance expires. Any political
26   subdivision may cancel all lines of insurance with the State Budget
27   and Control Board Insurance Reserve Fund if it gives ninety days’
28   notice to the board fund. The Budget and Control Board Insurance
29   Reserve Fund may negotiate the insurance coverage for any
30   political subdivision separate from the insurance coverage for
31   other insureds;
32         (4) if any political subdivision cancels its insurance with the
33   Budget and Control Board Insurance Reserve Fund, it is entitled to
34   an appropriate refund of the premium, less reasonable
35   administrative cost.
36      (c)(B) For any claim filed under this chapter, the remedy
37   provided in Section 15-78-120 is exclusive. The immunity of the
38   State and its political subdivisions, with regard to the seizure,
39   execution, or encumbrance of their properties is reaffirmed.”
40                                    Subpart 4
41      SECTION 28. A. Section 1-11-440 of the 1976 Code is
42   amended to read:


     [22-101]
 1      “Section 1-11-440. (A) The State must defend the members of
 2   the State Budget and Control Board State Fiscal Accountability
 3   Authority, and the Director of the Department of Administration
 4   against a claim or suit that arises out of or by virtue of their
 5   performance of official duties on behalf of the board authority or
 6   the department and must indemnify these members them for a loss
 7   or judgment incurred by them as a result of the claim or suit,
 8   without regard to whether the claim or suit is brought against them
 9   in their individual or official capacities, or both. The State must
10   defend officers and management employees of the board authority,
11   and legislative employees performing duties for board the
12   authority’s members, and management employees of the
13   department against a claim or suit that arises out of or by virtue of
14   the performance of official duties unless the officer, management
15   employee, or legislative employee was acting in bad faith and must
16   indemnify these officers, management employees, and legislative
17   employees for a loss or judgment incurred by them as a result of
18   such claim or suit, without regard to whether the claim or suit is
19   brought against them in their individual or official capacities, or
20   both.     This commitment to defend and indemnify extends to
21   members, officers, the director and management employees of the
22   department, and legislative employees after they have left their
23   employment with the board authority, or the General Assembly, as
24   applicable, or the department, as applicable, if the claim or suit
25   arises out of or by virtue of their performance of official duties on
26   behalf of the board authority or the department.
27      (B) The State must defend the members of the Retirement
28   Systems Investment Panel established pursuant to Section 16,
29   Article X of the Constitution of this State and Section 9-16-310
30   against a claim or suit that arises out of or by virtue of their
31   performance of official duties on behalf of the panel and must
32   indemnify these members for a loss or judgment incurred by them
33   as a result of the claim or suit, without regard to whether the claim
34   or suit is brought against them in their individual or official
35   capacities, or both. This commitment to defend and indemnify
36   extends to members of the panel after they have left their service
37   with the panel if the claim or suit arises out of or by virtue of their
38   performance of official duties on behalf of the panel.”
39      B. 1. Section 11-18-20 of the 1976 Code, as added by Act 290
40   of 2010, is amended to read:
41      “Section 11-18-20. (a) ‘ARRA Bonds’ mean:
42        (1) recovery zone bonds authorized under Section 1401 of
43   ARRA; and

     [22-102]
 1         (2) Qualified Energy Conservation Bonds authorized under
 2   Section 301(a) of Tax Extenders and Alternative Minimum Tax
 3   Relief Act of 2008, Pub. L. 110-343, 122 Stat. 1365 (2008) as
 4   amended by Section 112 of ARRA.
 5      (b) ‘Board’ means the South Carolina Budget and Control
 6   Board State Fiscal Accountability Authority’s governing board.
 7      (c) ‘Code’ means the Internal Revenue Code of 1986, as
 8   amended.
 9      (d) ‘Local Government’ means each county and municipality
10   that received an allocation of Volume Cap pursuant to the Code
11   and IRS Notice 2009-50.
12      (e) ‘Other federal bonds’ mean any such bond, whether
13   tax--exempt, taxable or tax credit, created after the date hereof
14   whereby a volume cap limitation is proscribed under the Code.
15      (f) ‘Qualified energy conservation bond’ means the term as
16   defined in Section 54D(a) of the Code.
17      (g) ‘Recovery zone’ means the term as defined in Section
18   1400U-1(b) of the Code.
19      (h) ‘Recovery zone economic development bond’ means the
20   term as defined in Section 1400U-2 of the Code.
21      (i) ‘Recovery zone facility bond’ means the term as defined in
22   Section 1400U-3 of the Code.
23      (j) ‘State’ means the State of South Carolina.
24      (k) ‘Volume Cap’ means the amount or other limitation of
25   ARRA Bonds allocated to each state and to counties and large
26   municipalities within each state in accordance with Section
27   1400U-1(a)(4) of the Code, with respect to Recovery Zone
28   Economic Development Bonds and Recovery Zone Facility Bonds,
29   Section 54D(e)(1) of the Code, with respect to Qualified Energy
30   Conservation Bonds, and any other section of the Code which
31   imposes a volume cap limitation on any other Federal Bonds.”
32      2. The Code Commissioner is directed to change references in
33   Chapter 18 , Title 11 of the 1976 Code from “State Budget and
34   Control Board” or any similar derivation of this term to “State
35   Fiscal Accountability Authority”.
36      C. The final paragraph of Section 11-27-10 of the 1976 Code
37   is amended to read:
38      “‘Ratification date’ shall mean the effective date of New Article
39   X. ‘State board’ shall mean the State Budget and Control Board
40   governing body of the State Fiscal Accountability Authority. Any
41   term defined in New Article X shall have the meanings therein
42   given to such term.”


     [22-103]
 1      D. Chapter 31, Title 11 of the 1976 Code is amended by
 2   adding:
 3      “Section 11-31-5. For the purposes of this chapter, ‘state
 4   board’ shall mean the governing body of the State Fiscal
 5   Accountability Authority.”
 6      E. Section 11-37-30 of the 1976 Code is amended to read:
 7      “Section 11-37-30. There is created a body politic and corporate
 8   known as the South Carolina Resources Authority. The authority is
 9   declared to be a public instrumentality of the State and the exercise
10   by it of any power conferred in this chapter is the performance of
11   an essential public function. The authority consists of the members
12   of the State Budget and Control Board Fiscal Accountability
13   Authority.”
14      F. Section 11-37-200(A) of the 1976 Code is amended to read:
15      “Section 11-37-200. (A) There is established by this section
16   the Water Resources Coordinating Council within the State Fiscal
17   Accountability Authority which shall establish the priorities for all
18   sewer, wastewater treatment, and water supply facility projects
19   addressed in this chapter, except as otherwise established by
20   Section 48-6-40. The council shall consist of a representative of
21   the Governor, the Director of the Department of Health and
22   Environmental Control, the Director of the South Carolina
23   Department of Natural Resources, the Director of the Division of
24   Local Government of the Budget and Control Board State Fiscal
25   Accountability Authority, the Secretary of Commerce, the
26   Chairman of the Jobs Economic Development Authority, and the
27   Chairman of the Joint Bond Review Committee.                    These
28   representatives may designate a person to serve in their place on
29   the council, and the Governor shall appoint the chairman from
30   among the membership of the council for a one-year term. The
31   council shall establish criteria for the review of applications for
32   projects. Not less often than annually, the council shall determine
33   its priorities for projects. The council after evaluating applications
34   shall notify the authority of the priority projects. The South
35   Carolina Jobs Economic Development Authority shall provide the
36   staff to receive, research, investigate, and process applications for
37   projects made to the coordinating council and assist in the
38   formulating of priorities. Upon notification by the council, the
39   authority shall proceed under the provisions of this chapter. The
40   authority may consider applications for projects based upon the
41   existence of a documented emergency consistent with regulations
42   that may be promulgated by the authority. In determining which
43   local governments are to receive grants, the local governments

     [22-104]
 1   shall provide not less than a fifty percent match for any project.
 2   The authority may provide financing for the local matching funds
 3   on terms and conditions determined by the authority.”
 4      G. Section 11-38-20(A) of the 1976 Code is amended to read:
 5      “(A) The State Budget and Control Board Fiscal Accountability
 6   Authority is authorized to provide for the issuance of capital
 7   improvement bonds in denominations of less than $1,000.”
 8      H. 1. Section 11-40-20(A) of the 1976 Code is amended to
 9   read:
10      “(A) There is created a body corporate and politic and an
11   instrumentality of the State to be known as the South Carolina
12   Infrastructure Facilities Authority. The members of the South
13   Carolina State Budget and Control Board Fiscal Accountability
14   Authority comprise the authority.”
15      2. Section 11-40-250 of the 1976 Code is amended to read:
16      “Section 11-40-250. The Division of Local Government of the
17   State Budget and Control Board Fiscal Accountability Authority
18   shall provide staff and otherwise assist the authority in the
19   administration of the fund and the performance of its functions
20   under this chapter. The funds to be used for purposes of the
21   Infrastructure Facilities Authority must come from funds
22   appropriated to or made available to the Infrastructure Facilities
23   Authority and not those funds of the Rural Infrastructure
24   Authority, the administration of which also is a part of the
25   responsibilities of the Division of Local Government as provided
26   by law. In providing such assistance the Division of Local
27   Government shall:
28      (1) assist in the formulation, establishment, and structuring of
29   programs undertaken by the authority pursuant to this chapter;
30      (2) provide local governments information as to the programs
31   of the authority and the procedures for obtaining the assistance
32   intended by the chapter;
33      (3) assist local governments in making application to such state
34   and federal agencies, including the authority, as may be necessary
35   or helpful in order to avail themselves of such programs;
36      (4) assist the authority in analyzing and evaluating local
37   government requests for assistance pursuant to this chapter;
38      (5) assist in the structuring and negotiation of local government
39   loan agreements and loan obligations and authority bonds;
40      (6) administer the fund, including any accounts therein;
41      (7) administer the authority’s programs and loans, including
42   monitoring compliance by local governments with any rules,
43   regulations, or other requirements of the authority with respect to

     [22-105]
 1   such programs and compliance with covenants and agreements
 2   made by local governments with respect to any loan agreement or
 3   loan obligation; and
 4      (8) provide such other assistance and perform such other duties
 5   as may be requested or directed by the authority.”
 6      I. 1. The first paragraph of Section 11-41-70 of the 1976 Code is
 7   amended to read:
 8      “Section 11-41-70. Before issuing economic development
 9   bonds, the department or in the case of a tourism training
10   infrastructure project or a national and international convention
11   and trade show center, the State or agency, instrumentality, or
12   political subdivision thereof that will own such project shall notify
13   the Joint Bond Review Committee and the State Budget and
14   Control Board Fiscal Accountability Authority of the following:”
15      2. Sections 11-41-80, 11-41-90, and 11-41-100 of the 1976 Code
16   are amended to read:
17      “Section 11-41-80. Following the receipt of the notification
18   presented pursuant to Section 11-41-70 and after approval review
19   by the Joint Bond Review Committee, and approval by the State
20   Budget and Control Board Fiscal Accountability Authority, by
21   resolution duly adopted, shall effect the issue of bonds, or pending
22   the issue of the bonds, effect the issue of bond anticipation notes
23   pursuant to Chapter 17 of this title.
24      Section 11-41-90. To effect the issuance of bonds, the State
25   Budget and Control Board Fiscal Accountability Authority shall
26   adopt a resolution providing for the issuance of bonds pursuant to
27   the provisions of this chapter. The authorizing resolution must
28   include:
29      (1) a statement of whether the bonds are being authorized and
30   issued pursuant to Section 11-41-50(A) or Section 11-41-50(B);
31      (2) a schedule showing the aggregate of bonds issued, the
32   annual principal payments required to retire the bonds, and the
33   interest on the bonds;
34      (3) the amount of bonds proposed to be issued;
35      (4) a schedule showing future annual principal requirements
36   and estimated annual interest requirements on the bonds to be
37   issued; and
38      (5) certificates evidencing that the provisions of Sections
39   11-41-50 and 11-41-60 have been or will be met.
40      Section 11-41-100. The bonds must bear the date and mature at
41   the time that the resolution provides, except that a bond may not
42   mature more than thirty years from its date of issue. The bonds
43   may be in the denominations, be payable in the medium of

     [22-106]
 1   payment, be payable at the place and at the time, and be subject to
 2   redemption or repurchase and contain other provisions determined
 3   by the State Budget and Control Board Fiscal Accountability
 4   Authority before their issue. The bonds may bear interest payable
 5   at the times and at the rates determined by the State Budget and
 6   Control Board Fiscal Accountability Authority.”
 7      3. Section 11-41-180 of the 1976 Code is amended to read:
 8      “Section 11-41-180. All procurements of infrastructure, as
 9   defined in Section 11-41-30 and owned by a research university, as
10   defined in Section 11-51-30(5), shall be exempt from Title 11,
11   Chapter 35, except that such research university must work in
12   conjunction with the Budget and Control Procurement Services
13   Division of the Department of Administration Chief Procurement
14   Officer to establish alternative procurement procedures. The
15   research university shall submit its alternative procurement
16   procedures to the State Budget and Control Board Procurement
17   Services Division of the Department of Administration for
18   approval. Such procurement process shall include provisions for
19   audit and recertification.”
20      J. Section 11-43-510(2) of the 1976 Code is amended to read:
21      “(2) ‘State board’ means the State Budget and Control Board
22   governing board of the State Fiscal Accountability Authority.”
23      K. 1. Section 11-45-30(10) of the 1976 Code is amended to
24   read:
25      “(10) ‘Lender’ means a banking institution subject to the
26   income tax on banks under Chapter 11 of Title 12, an insurance
27   company subject to a state premium tax liability pursuant to
28   Chapter 7 of Title 38, a captive insurance company regulated
29   pursuant to Chapter 90 of Title 38, a utility regulated pursuant to
30   Title 58, or a financial institution with proven experience in
31   state-based venture capital transactions, pursuant to guidelines
32   established by the authority. Both the guidelines and the lender
33   must be approved by the State Budget and Control Board Fiscal
34   Accountability Authority.”
35      2. Section 11-45-55(B) of the 1976 Code is amended to read:
36      “(B) The authority shall issue tax credit certificates to each
37   lender contemporaneously with each loan made pursuant to this
38   chapter in accordance with any guidelines established by the
39   authority pursuant to Section 11-45-100. The tax credit certificates
40   must describe procedures for the issuance, transfer and redemption
41   of the certificates, and related tax credits. These certificates also
42   must describe the amounts, year, and conditions for redemption of
43   the tax credits reflected on the certificates. Once a loan is made

     [22-107]
 1   by a lender, the certificate issued to the lender shall be binding on
 2   the authority and this State and may not be modified, terminated,
 3   or rescinded. The form of the tax credit certificate must be
 4   approved by the State Budget and Control Board Fiscal
 5   Accountability Authority.”
 6      3. Section 11-45-105 of the 1976 Code is amended to read:
 7      “Section 11-45-105. Any guideline issued by the authority
 8   pursuant to this chapter must be approved by the State Budget and
 9   Control Board Fiscal Accountability Authority.”
10      L. 1. Section 11-49-40 of the 1976 Code is amended to
11   read:
12      “Section 11-49-40. (A) The authority is governed by a board,
13   which that shall consist of five members as follows: the Governor
14   or his designee, the State Treasurer, the Comptroller General, the
15   Chairman of the Senate Finance Committee, and the Chairman of
16   the House Ways and Means Committee. The Governor shall serve
17   as chairman; and in the absence of the Governor, meetings must
18   be chaired by the State Treasurer the members of the State Fiscal
19   Accountability Authority. All members serve ex officio .
20      (B) Members of the board serve without pay but are allowed
21   the usual mileage, per diem, and subsistence as provided by law
22   for members of state boards, committees, and commissions.
23      (C) Members of the board and its employees, if any, are subject
24   to the provisions of Chapter 13, Title 8, the Ethics, Government
25   Accountability, and Campaign Reform Act, and Chapter 17, of
26   Title 2, relating to lobbying.
27      (D) To the extent that administrative assistance is needed for
28   the functions and operations of the authority, the board may obtain
29   this assistance from the Office of the State Treasurer and the State
30   Budget and Control Board Fiscal Accountability Authority, and
31   any successor agency, office, or division, each of which must
32   provide the assistance requested by the board at no cost to the
33   board or to the authority other than for expenses incurred and paid
34   to entities that are not agencies or departments of the State. The
35   board must retain ultimate responsibility and provide proper
36   oversight for the implementation of this chapter.
37      (E) The board shall exercise the powers of the authority. A
38   majority of the members of the board constitutes a quorum for the
39   purpose of conducting all business. The board shall determine the
40   number of personnel it requires, their compensation, and duties.”
41      M. 1. Section 11-51-30(6) of the 1976 Code is amended to
42   read:


     [22-108]
 1      “(6) ‘State board’ means the South Carolina State Budget and
 2   Control Board governing board of the State Fiscal Accountability
 3   Authority.”
 4      2. Section 11-51-125(A)(2) of the 1976 Code is amended to
 5   read:
 6      “(2) thirty-five percent of the total twelve percent must be
 7   allocated by FTE student enrollment from the prior academic year
 8   at each eligible institution.
 9      The Research Centers of Excellence Review Board has no
10   jurisdiction over these projects and no matching requirement is
11   imposed for these projects. The Joint Bond Review Committee
12   must review and the State Budget and Control Board Fiscal
13   Accountability Authority must approve all projects.”
14      3. Section 11-51-190 of the 1976 Code is amended to read:
15      “Section 11-51-190. The research universities while engaging
16   in projects related to this act shall be exempt from the state
17   procurement process, except such research universities must work
18   in conjunction with the Budget and Control Procurement Services
19   Division of the Department of Administration’s Chief Procurement
20   Officer to establish alternate procurement procedures, and must
21   submit a procurement process to the State Commission on Higher
22   Education to be forwarded to the State Budget and Control Board
23   Fiscal Accountability Authority for approval. These processes
24   shall include provisions for audit and recertification.”
25      N. Section 59-109-30(1) of the 1976 Code is amended to read:
26      “(1) ‘Authority’ means the State Budget and Control Board
27   Fiscal Accountability Authority, acting as the Educational
28   Facilities Authority for Private Nonprofit Institutions of Higher
29   Learning and serving ex officio.”
30      O. Section 59-109-40 of the 1976 Code is amended to read:
31      “Section 59-109-40. There is hereby created a body politic and
32   corporate to be known as the ‘Educational Facilities Authority for
33   Private Nonprofit Institutions of Higher Learning,’ hereinafter in
34   this chapter called the Authority. The Authority is constituted a
35   public instrumentality and the exercise by the Authority of the
36   powers conferred by this chapter shall must be deemed and held to
37   be the performance of an essential public function. The Authority
38   shall consist of the members from time to time of the State Budget
39   and Control Board Fiscal Accountability Authority, ex officio; and
40   all the functions and powers of the Authority are hereby granted to
41   the State Budget and Control Board Fiscal Accountability
42   Authority, as an incident of its functions in connection with the
43   public finances of the State.”

     [22-109]
 1      P. 1. Section 59-115-20(1) of the 1976 Code is amended to
 2   read:
 3      “(1) ‘Authority’ shall mean means the State Budget and Control
 4   Board of South Carolina Fiscal Accountability Authority, acting as
 5   the State Education Assistance Authority.”
 6      2. Section 59-115-40 of the 1976 Code is amended to read:
 7      “Section 59-115-40. There is hereby created a body politic and
 8   corporate to be known as the State Education Assistance Authority
 9   (Authority). The Authority is hereby declared to be a public
10   instrumentality of the State and the exercise by the Authority of
11   any power conferred herein shall be deemed and held to be the
12   performance of an essential public function. The Authority shall
13   consist of the members, from time to time, of the State Budget and
14   Control Board of South Carolina Fiscal Accountability Authority,
15   ex officio.”
16
17     SECTION 29. A. Section 11-35-310(2) of the 1976 Code is
18   amended to read:
19     “(2) ‘Board’ means Budget and Control Board the Procurement
20   Services Division of the Department of Administration.”
21                                  Part IX
22                      Naval Base Museum Authority
23     SECTION 30. (A) Notwithstanding any other provision of
24   law, in addition to the present members of the Charleston Naval
25   Complex Redevelopment Authority, as created by gubernatorial
26   executive order pursuant to Section 31-12-40 of the 1976 Code,
27   there shall be four additional members, two appointed by the
28   Speaker of the House of Representatives and two appointed by the
29   President Pro Tempore of the Senate. These four additional
30   members shall each serve for terms of four years and until their
31   successors are appointed and qualify. Vacancies shall be filled for
32   the remainder of the unexpired term by appointment in the same
33   manner of original appointment.
34     (B) These four additional members shall serve as members of
35   the Charleston Naval Complex Redevelopment Authority with the
36   same powers, duties, and responsibilities of other such members as
37   provided by law. In addition, these four members, together with
38   the gubernatorial appointees to the Charleston Naval Complex
39   Redevelopment Authority, shall also constitute the Charleston
40   Navy Base Museum Authority as a division of the Charleston
41   Naval Redevelopment Authority. Service as a member of the Navy
42   Base Museum Authority is considered an additional and
43   supplemental function and duty of those specified members of the

     [22-110]
 1   Naval Complex Redevelopment Authority and is not considered
 2   another office of honor or profit of this State. The Navy Base
 3   Museum Authority shall select from among its members a
 4   chairman and such other officers as they consider necessary.
 5      (C) The Naval Base Museum Authority shall become operative
 6   upon the signing of a Memorandum of Understanding between the
 7   RDA and the Hunley Commission. With respect to the Hunley
 8   project, the MOU must provide for the Naval Base Museum
 9   Authority division of the RDA to undertake and comply with the
10   duties, responsibilities, powers, and functions of the Hunley
11   Commission as specified in Sections 54-7-100 and 54-7-110 of the
12   1976 Code, and as otherwise provided by law. The Navy Base
13   Museum Authority shall possess and may exercise all powers and
14   authority granted to the Hunley Commission by specific statutory
15   reference in Sections 54-7-100 and 54-7-110.
16      (D) Notwithstanding the provisions of this act, the provisions of
17   this section take effect upon approval by the Governor.
18                                    Part X
19             Performance Audit, Other Transfers and Provisions,
20                               and Effective Date
21      SECTION 31. (A) The name of the Office Legislative
22   Printing, Information and Technology Systems is changed to the
23   Legislative Services Agency. References in the 1976 Code to the
24   “Office of Legislative Printing, Information and Technology
25   Systems” or “LPITS” mean the “Legislative Services Agency” or
26   “LSA”, as appropriate. The Code Commissioner is directed to
27   change references in the 1976 Code to conform to this name
28   change, and such changes must be included in the next printing of
29   replacement volumes of or cumulative supplements to the 1976
30   Code.
31      (B)(1) The Code Commissioner is directed to change or correct
32   all references to these offices of the former Budget and Control
33   Board in the 1976 Code, Office of the Governor, or other agencies
34   to reflect the transfer of them to the Department of Administration
35   or other entities, including those newly created by the provisions of
36   this act. References to the names of these offices in the 1976 Code
37   or other provisions of law are considered to be and must be
38   construed to mean appropriate references.
39         (2) On or before July 1, 2014, the Code Commissioner also
40   shall prepare and deliver a report to the President Pro Tempore of
41   the Senate and the Speaker of the House of Representatives
42   concerning appropriate and conforming changes to the 1976 Code
43   of Laws reflecting the provisions of this act.

     [22-111]
 1      (C)(1) No later than December 31, 2015, the Department of
 2   Administration shall undertake a strategic sourcing initiative
 3   through which it must analyze the state’s current spending on
 4   various categories of goods and services, identify the greatest
 5   opportunities to leverage the state’s purchasing power, and
 6   prioritize the state’s subsequent efforts to maximize achievable
 7   savings.
 8      (2) No later than June 30, 2016, the Department of
 9   Administration shall submit a report to the Governor, the President
10   Pro Tempore of the Senate, and the Speaker of the House of
11   Representatives to recommend changes to statutes, policies, and
12   procedures governing state procurement activities. The
13   recommendations shall be formulated in order to reduce costs,
14   accelerate processing times, and improve services provided to state
15   agencies and their business partners.
16      SECTION 32. A. During the year 2020, the Legislative
17   Audit Council shall conduct a performance review of the
18   provisions of this act to determine its effectiveness and
19   achievements with regard to the more efficient performance of the
20   functions and duties of the various agencies provided for herein
21   and the cost savings and benefits to the State.
22      B. Section 2-15-50(b)(2) of the 1976 Code is amended to read:
23      “(2) the effectiveness of organizations, programs, activities, or
24   functions and whether these organizations, programs, activities, or
25   functions should be continued, revised, or eliminated;”
26      SECTION 33. If any section, subsection, paragraph,
27   subparagraph, sentence, clause, phrase, or word of this act is for
28   any reason held to be unconstitutional or invalid, such holding
29   shall not affect the constitutionality or validity of the remaining
30   portions of this act, the General Assembly hereby declaring that it
31   would have passed this act, and each and every section, subsection,
32   paragraph, subparagraph, sentence, clause, phrase, and word
33   thereof, irrespective of the fact that any one or more other sections,
34   subsections, paragraphs, subparagraphs, sentences, clauses,
35   phrases, or words hereof may be declared to be unconstitutional,
36   invalid, or otherwise ineffective.
37      SECTION 34. Unless otherwise provided, this act takes effect
38   July 1, 2015. However, beginning on January 1, 2014, the
39   appropriate officials of the executive, legislative, and judicial
40   branches involved with the implementation of the provisions of
41   this act including the transfer of divisions, offices, and personnel to
42   other agencies, the implementation of new offices or divisions
43   within agencies, and the negotiation and execution of necessary

     [22-112]
 1   agreements relating to this act such as memorandums of
 2   understanding may begin undertaking and executing these
 3   responsibilities so that the provisions of this act may be fully
 4   implemented on July 1, 2015, with the appropriations contained in
 5   the 2014-2015 general appropriations act to the fullest extent
 6   possible being reflective of the transfers, realignments and
 7   restructuring provided by this act.    /
 8      Renumber sections to conform.
 9      Amend title to conform.
10
11   A. SHANE MASSEY for Committee.
12
13
14        STATEMENT OF ESTIMATED FISCAL IMPACT
15     ESTIMATED FISCAL IMPACT ON GENERAL FUND
16                         EXPENDITURES:
17              A Cost to the General Fund (See Below)
18    ESTIMATED FISCAL IMPACT ON FEDERAL & OTHER
19                     FUND EXPENDITURES:
20         A Cost of Federal and/or Other Funds (See Below)
21   EXPLANATION OF IMPACT:
22   State Budget and Control Board
23     The board reports that this bill abolishes the Budget and
24   Control Board and provides for the creation of a Department
25   of Administration, a State Fiscal Accountability Authority,
26   the Confederate Relic Room and Military Museum
27   Commission.       These new agencies are formed from
28   designated programs within the current Budget and Control
29   Board and Office of the Governor. In addition, the bill
30   provides for the creation of two new offices: the Executive
31   Planning and Budget Office within the Department of
32   Administration and the Legislative Fiscal Office within the
33   Legislative Services Agency. These new offices are formed
34   from existing resources within the State Budget Division and
35   vacant positions at the Budget and Control Board that may be
36   needed. In addition, the Bill transfers the State Energy
37   Office to the Office of Regulatory Staff and the Confederate
38   Relic Room and Military Museum to the newly created
39   Commission. The “administrative support units” of the
40   Budget and Control Board are transferred to the Department

     [22-113]
 1   of Administration. The bill further directs the Department of
 2   Administration to provide administrative support to the State
 3   Fiscal Accountability Authority. However, there is not
 4   provision for administrative support for the Legislative
 5   Services Agency or Confederate Relic Room and Military
 6   Museum Commission included in the bill.
 7      Costs would be incurred to configure the statewide
 8   accounting system to establish the new agencies and transfer
 9   employees and accounts according to new organizational
10   structures. The Division of State Information Technology
11   anticipates that all organizational units will not remain intact.
12   New master data and organizational structures would be
13   established; new accounting approvals defined; split and/or
14   movement of grants, fixed assets, and cash; establishment of
15   purchasing groups and plants; new procurement module
16   organizational structures; role mapping and development;
17   and, training. This equates to an estimated fiscal impact of
18   $288,000.      The board also indicates that additional
19   indeterminate costs will be incurred as a result of transferring
20   programs between agencies.
21   The Senate and the House of Representatives
22      The Senate and the House each report that it would require
23   6.00 FTEs for research analysts at an annual cost to the
24   general fund of $470,000 for salary, fringe, travel, and other
25   operating expenses. The total cost to the general fund for the
26   Legislature would be $940,000 and 12.00 FTEs.
27   Governor’s Office - OEPP
28      The Governor’s Office reports that the bill would have no
29   significant impact on the budget for the Office of Executive
30   Policy and Programs with the exception of the potential
31   expansion of Small and Minority Business Assistance to the
32   Division of Small and Minority Contacting and Certification
33   two FTEs, a Director and one additional staff member, would
34   need to be added over the current staffing for the Office of
35   Small and Minority Business Assistance at an annual cost in
36   salaries of $109,798.
37   Department of Health and Environmental Control (DHEC)
38      The agency has been forwarded a copy of the bill, but to
39   date, has not submitted impact of the proposed bill.

     [22-114]
 1   Office of Regulatory Staff (ORS)
 2     The office reports that additional other budget authority
 3   would be needed for the agency to absorb the State Energy
 4   Office. Most of the State Energy Office’s funding is through
 5   grants; therefore, ORS would need the budget authority to
 6   spend the grant funds.
 7
 8                                 Approved By:
 9                                 Brenda Hart
10                                 Office of State Budget
11




     [22-115]
 1
 2
 3
 4
 5
 6
 7
 8
 9                       A BILL
10
11   TO ENACT THE “SOUTH CAROLINA RESTRUCTURING
12   ACT OF 2013” INCLUDING PROVISIONS TO AMEND
13   SECTION 1-30-10 OF THE 1976 CODE, RELATING TO THE
14   AGENCIES OF THE EXECUTIVE BRANCH OF STATE
15   GOVERNMENT BY ADDING THE DEPARTMENT OF
16   ADMINISTRATION; BY AMENDING SECTION 1-11-10, TO
17   DIVEST THE BUDGET AND CONTROL BOARD OF
18   CERTAIN    PROGRAMS,     POWERS,    DUTIES,  AND
19   RESPONSIBILITIES AND TRANSFER THOSE PROGRAMS,
20   POWERS, DUTIES, AND RESPONSIBILITIES TO OTHER
21   GOVERNMENT AGENCIES; BY AMENDING SECTION
22   1-11-20, TO ESTABLISH THE DEPARTMENT OF
23   ADMINISTRATION AS AN AGENCY OF THE EXECUTIVE
24   BRANCH OF STATE GOVERNMENT TO BE HEADED BY A
25   DIRECTOR APPOINTED BY THE GOVERNOR UPON THE
26   ADVICE AND CONSENT OF THE SENATE, AND TO
27   TRANSFER TO THIS NEWLY CREATED DEPARTMENT
28   CERTAIN OFFICES AND DIVISIONS OF THE STATE
29   BUDGET AND CONTROL BOARD, OFFICE OF THE
30   GOVERNOR, AND OTHER AGENCIES, AND TO PROVIDE
31   FOR THE TRANSITION; BY ADDING ARTICLE 2 TO
32   CHAPTER 3, TITLE 1, TO ESTABLISH THE EXECUTIVE
33   BUDGET AND STRATEGIC PLANNING OFFICE WITHIN
34   THE DEPARTMENT OF ADMINISTRATION, AND TO
35   PROVIDE FOR THE POWERS, DUTIES, AND AUTHORITY
36   OF THE OFFICE; BY ADDING CHAPTER 2 TO TITLE 2 TO
37   PROVIDE FOR LEGISLATIVE OVERSIGHT OF EXECUTIVE
38   DEPARTMENTS AND THE PROCESSES AND PROCEDURES
39   TO BE FOLLOWED IN CONNECTION WITH THIS
40   OVERSIGHT; BY ADDING CHAPTER 55 TO TITLE 11 TO
41   ESTABLISH THE STATE FISCAL ACCOUNTABILITY
42   AUTHORITY, TO PROVIDE FOR THE MEMBERSHIP OF

     [22]                    1
 1   THE AUTHORITY, AND TO PROVIDE FOR THE POWERS,
 2   DUTIES, AND AUTHORITY TO BE EXERCISED BY THE
 3   AUTHORITY; TO AMEND CHAPTER 35, TITLE 11 BY
 4   ADDING SECTION 11-35-315 TO ESTABLISH THE
 5   PROCUREMENT OVERSIGHT BOARD, THE MEMBERSHIP
 6   ON THE BOARD, AND THE POWERS, DUTIES, AND
 7   AUTHORITY TO BE EXERCISED BY THE BOARD; TO
 8   AMEND CHAPTER 3, TITLE 2 BY ESTABLISHING THE
 9   LEGISLATIVE FISCAL OFFICE, AND TO PROVIDE FOR
10   THE POWERS, DUTIES, AND AUTHORITY TO BE
11   EXERCISED BY THE OFFICE, TO AMEND TITLE 2 BY
12   ADDING CHAPTER 79 TO ENACT THE STATE AGENCY
13   DEFICIT PREVENTION AND RECOGNITION ACT, AND TO
14   PROVIDE FOR THE PROCESSES AND PROCEDURES TO BE
15   FOLLOWED IN CONNECTION WITH AGENCY DEFICIT
16   PREVENTION AND RECOGNITION; TO AMEND CHAPTER
17   17, TITLE 60 TO ESTABLISH THE CONFEDERATE RELIC
18   ROOM AND MILITARY MUSEUM COMMISSION, TO
19   PROVIDE FOR THE MEMBERSHIP OF THE COMMISSION
20   AND THE POWERS, DUTIES, AND AUTHORITY TO BE
21   EXERCISED BY THE COMMISSION; TO AMEND TITLE 2
22   BY ADDING A CHAPTER 9 TO ESTABLISH THE JOINT
23   STRATEGIC TECHNOLOGY COMMITTEE, TO PROVIDE
24   FOR THE MEMBERS ON THE COMMITTEE AND THE
25   POWERS, DUTIES, AND AUTHORITY TO BE EXERCISED
26   BY THE COMMITTEE; TO ESTABLISH THE CHARLESTON
27   NAVY BASE MUSEUM AUTHORITY, TO PROVIDE THAT
28   THE AUTHORITY MAY EXERCISE ALL POWERS AND
29   AUTHORITY GRANTED TO THE HUNLEY COMMISSION
30   BY SPECIFIC STATUTORY AUTHORITY REFERENCED IN
31   SECTIONS 54-7-100 AND 54-7-110; BY ADDING SECTION
32   1-11-185, TO PROVIDE FOR APPROVALS FOR PERMANENT
33   IMPROVEMENT PROJECTS; BY ADDING SECTION 11-31-5,
34   TO PROVIDE THAT STATE BOARD MEANS THE
35   GOVERNING BODY OF THE STATE FISCAL AFFAIRS
36   AUTHORITY; BY ADDING SECTION 11-50-65, TO PROVIDE
37   THAT THE STATE FISCAL AFFAIRS AUTHORITY MUST
38   PROVIDE ADMINISTRATIVE SUPPORT TO THE RURAL
39   INFRASTRUCTURE AUTHORITY; TO AMEND SECTIONS
40   1-11-20, 1-11-25, 1-11-26, 1-11-55, 1-11-56, 1-11-58, 1-11-65,
41   1-11-67, 1-11-70, 1-11-80, 1-11-90, 1-11-100, 1-11-110, 1-11-140,
42   1-11-180, 1-11-220, 1-11-225, 1-11-250, 1-11-260, 1-11-270,
43   1-11-280, 1-11-290, 1-11-300, 1-11-310, 1-11-315, 1-11-320,

     [22]                            2
 1   1-11-335, 1-11-340, 1-11-435; 1-11-440, 1-15-10, CHAPTER 47,
 2   TITLE 2, 2-7-72, 2-7-73, 2-7-74, 2-7-76, 2-13-240, 2-15-50,
 3   2-59-10, CHAPTER 9, TITLE 3; 10-1-10, 10-1-30, 10-1-130,
 4   10-1-190, CHAPTER 9, TITLE 10, 10-11-50, 10-11-90,
 5   10-11-110, 10-11-140, 10-11-330; 11-9-610, 11-9-620, 11-9-630,
 6   11-9-665, 11-9-670, 11-9-680, 11-9-820, 11-9-825, 11-9-830,
 7   11-9-880, 11-9-890, 11-18-20, 11-27-10, 11-35-310, 11-35-3820,
 8   11-35-3840, 11-35-5270, 11-37-30, 11-37-200, 11-38-20,
 9   11-40-20, 11-40-250, 11-41-70, 11-41-80, 11-41-90, 11-41-100,
10   11-42-30, 11-42-40, 11-42-60, 11-43-510, 11-45-30, 11-45-55,
11   11-45-105, 11-49-40, 11-50-50, 11-49-100, 11-51-30, 11-51-125,
12   11-51-190, 11-53-20, 13-7-10, 13-7-30, 13-7-810, 13-7-830,
13   13-7-860, 15-78-140, 16-3-1620, 16-3-1680, 25-11-10, 25-11-80,
14   25-11-90, 25-11-310, 44-38-380, 44-53-530, 44-96-140; 48-46-30,
15   48-46-40, 48-46-50, 48-46-60, 48-46-90, 48-52-410, 48-52-440,
16   48-52-460, 48-52-635, 48-52-680, 59-109-30, 59-109-40,
17   59-115-20, 59-115-40, 63-11-500, 63-11-700, 63-11-730,
18   63-11-1110, 63-11-1140, 63-11-1310, 63-11-1340, 63-11-1360,
19   63-11-1510 RELATING TO VARIOUS AGENCY OR
20   DEPARTMENT PROVISIONS SO AS TO CONFORM THEM
21   TO THE ABOVE PROVISIONS PERTAINING TO THE
22   DEPARTMENT OF ADMINISTRATION, STATE FISCAL
23   ACCOUNTABILITY AUTHORITY, AND OTHER STATE
24   AGENCIES, AND TO SUPPLEMENT SUCH PROVISIONS;
25   AND TO REPEAL SECTIONS 1-30-110, 1-11-22, AND
26   11-11-90.
27
28   Be it enacted by the General Assembly of the State of South
29   Carolina:
30
31                                 Part I
32
33                                Citation
34
35   SECTION 1. This act may be cited as the “South Carolina
36   Restructuring Act of 2013”.
37
38                                Part II
39
40                 Budget and Control Board Abolished
41
42   SECTION 2. Effective July 1, 2015, the State Budget and Control
43   Board, and its related divisions and offices, is abolished and its

     [22]                            3
 1   functions, powers, duties, responsibilities, and authority, except as
 2   otherwise provided by law:
 3     (1) related to the issuance of bonds and bonding authority,
 4   generally found in Title 11 of the 1976 Code but also contained in
 5   certain other provisions of South Carolina law are devolved upon
 6   the State Fiscal Accountability Authority;
 7     (2) related to grants, loans, and other forms of financial
 8   assistance to other entities, generally found in Title 11 of the 1976
 9   Code but also contained in certain other provisions of South
10   Carolina law, exercised by the former Budget and Control Board
11   are devolved upon the State Fiscal Accountability Authority; and
12     (3) related to executive functions within the former Budget and
13   Control Board not identified in items (1) or (2) are devolved upon
14   the Department of Administration.
15
16                                 Part III
17
18             Establishing the Department of Administration
19
20   SECTION 3. Section 1-30-10(A) of the 1976 Code, as last
21   amended by Act 146 of 2010, is further amended to read:
22
23     “(A) There are hereby created, within the executive branch of
24   the state government, the following departments:
25        1. Department of Administration
26        2. Department of Agriculture
27        2.3. Department of Alcohol and Other Drug Abuse Services
28        3.4. Department of Commerce
29        4.5. Department of Corrections
30        5.6. Department of Disabilities and Special Needs
31        6.7. Department of Education
32        7.8. Department of Health and Environmental Control
33        8.9. Department of Health and Human Services
34        9.10. Department of Insurance
35        10.11. Department of Juvenile Justice
36        11.12. Department of Labor, Licensing and Regulation
37        12.13. Department of Mental Health
38        14. Department of Motor Vehicles
39        13.15. Department of Natural Resources
40        14.16. Department of Parks, Recreation and Tourism
41        15.17. Department of Probation, Parole and Pardon Services
42        16.18. Department of Public Safety
43        17.19. Department of Revenue

     [22]                              4
 1          18.20. Department of Social Services
 2          19.21. Department of Transportation
 3          20.22. Department of Employment and Workforce.”
 4
 5   SECTION 4. A. Section 1-11-20 of the 1976 Code is amended
 6   to read:
 7
 8      “Section 1-11-20. (A) The State Budget and Control Board
 9   shall be comprised of the Governor, ex officio, who shall be
10   chairman, the State Treasurer, ex officio, the Comptroller General,
11   ex officio, and the chairman of the Senate Finance Committee, ex
12   officio, and the chairman of the Ways and Means Committee of
13   the House of Representatives, ex officio. There is hereby created,
14   within the executive branch of the state government, the
15   Department of Administration, headed by a director appointed by
16   the Governor upon the advice and consent of the Senate who may
17   only be removed pursuant to Section 1-3-240(C)(1). Effective July
18   1, 2015, the following offices, divisions, or components of the
19   former State Budget and Control Board, Office of the Governor, or
20   other agencies are transferred to, and incorporated into, the
21   Department of Administration:
22        (1) the Division of General Services, including Business
23   Operations, Facilities Management, State Building and Property
24   Services, and Agency Services, including surplus property,
25   intrastate mail, parking, state fleet management, except that this
26   division shall not be transferred to the Department of
27   Administration until the Director of the Department of
28   Administration enters into a memorandum of understanding with
29   appropriate officials of applicable legislative and judicial agencies
30   or departments meeting the requirements of this subsection. There
31   shall be a single memorandum of understanding involving the
32   Department of Administration and the legislative and judicial
33   branches with appropriate officials of each to be signatories to the
34   memorandum of understanding.
35           (a) The memorandum of understanding shall provide for:
36              (i) continued use of existing office space;
37              (ii) a method for the allocation of new, additional, or
38   different office space;
39              (iii) adequate parking;
40              (iv) a method for the allocation of new, additional, or
41   different parking;
42              (v) the provision of appropriate levels of electrical,
43   mechanical, maintenance, energy management, fire protection,

     [22]                              5
 1   custodial, project management, safety and building renovation, and
 2   other services currently provided by the General Services Division
 3   of the State Budget and Control Board;
 4              (vi) the provision of water, electricity, steam, and chilled
 5   water to the offices, areas, and facilities occupied by the applicable
 6   agencies;
 7              (vii) the ability for each agency or department to
 8   maintain building access control for its allocated office space; and
 9              (viii) access control for the Senate and House chambers
10   and courtrooms as appropriate.
11           (b) The parties may modify the memorandum of
12   understanding by mutual consent at any time.
13           (c) The General Services Division must provide the
14   services described in subsection (a) and any other maintenance and
15   support, at a level that is greater than or equal to what is provided
16   prior to the effective date of this act, to each building on the
17   Capitol Complex, including the Supreme Court, without charge.
18   The General Services Division must coordinate with the
19   appropriate officials of applicable legislative and judicial agencies
20   or departments when providing these services to the buildings and
21   areas controlled by those agencies;
22        (2) the State Office of Human Resources;
23        (3) the Executive Budget and Planning Office as established
24   in Article 2, Title 1;
25        (4) the Guardian Ad Litem Program as established in
26   Article 5, Chapter 11, Title 63;
27        (5) the Procurement Oversight Board as established in
28   Article 1, Chapter 35, Title 1;
29        (6) the Office of Economic Opportunity, the office
30   designated by the Governor to be the state administering agency
31   that is responsible for the receipt and distribution of the federal
32   funds as allocated to South Carolina for the implementation of
33   Title VI, Public Law 97-35;
34        (7) the Developmental Disabilities Council as established by
35   Executive Order in 1971 and reauthorized in 2010;
36        (8) the Continuum of Care for Emotionally Disturbed
37   Children as established in Article 13, Chapter 11, Title 63;
38        (9) the Division for Review of the Foster Care of Children
39   as established by Article 7, Chapter 11, Title 63;
40        (10) the Children’s Case Resolution System as established by
41   Article 11, Chapter 11, Title 63;
42        (11) the Client Assistance Program;


     [22]                               6
 1        (12) the Division of Veterans Affairs as established by
 2   Chapter 11, Title 25;
 3        (13) the Commission on Women as established by Chapter
 4   15, Title 1;
 5        (14) the Office of Victim’s Assistance, including the South
 6   Carolina Victim’s Advisory Board and the Victim’s Compensation
 7   Fund, both as established by Article 13, Chapter 3, Title 16;
 8        (15) the Crime Victims Ombudsman as established by Article
 9   16, Chapter 3, Title 16;
10        (16) the Governor’s Office of Ombudsman;
11        (17) the Division of Small and Minority Business Contracting
12   and Certification, as established pursuant to Article 21, Chapter 35,
13   Title 11, formerly known as the Small and Minority Business
14   Assistance Office;
15        (18) the Division of State Information Technology, including
16   the Data Center, Telecommunications and Information Technology
17   Services, the South Carolina Enterprise Information System, and
18   the Information Technology Management Office; and
19        (19) the Nuclear Advisory Council as established in Article 9,
20   Chapter 7, Title 13.
21      (C)(1) The Division of State Information Technology must
22   submit the Statewide Strategic Information Technology Plan to the
23   Director of the Department of Administration by September 1,
24   2015, and biennially thereafter. The director shall review the
25   Statewide Strategic Information Technology Plan and recommend
26   to the Governor priorities for state government enterprise
27   information technology projects and resource requirements. The
28   director shall also review information technology spending by state
29   agencies and evaluate whether greater efficiencies, more effective
30   services, and cost savings can be achieved through streamlining,
31   standardizing, and consolidating agency information technology.
32        (2) All oversight concerning the South Carolina Enterprise
33   Information System must remain as provided in Chapter 53, Title
34   11.
35      (F) The Department of Administration shall use the existing
36   resources of each division, insofar as it promotes efficiency and
37   effectiveness, transferred to the department including, but not
38   limited to, funding, personnel, equipment, and supplies from the
39   board’s administrative support units, including, but not limited to,
40   the Office of the Executive Director, Office of General Counsel,
41   and the Office of Internal Operations. ‘Funding’ means state,
42   federal, and other funds. Vacant FTE’s at the State Budget and
43   Control Board also may be used to fill needed positions at the

     [22]                              7
 1   department. No new FTE’s may be assigned to the department
 2   without authorization from the General Assembly.
 3     (G) The Department of Administration shall, during the
 4   absence of the Governor from Columbia, be placed in charge of
 5   the records and papers in the executive chamber kept pursuant to
 6   Section 1-3-30.”
 7
 8   B.     Section 1-11-10 of the 1976 Code is amended to read:
 9
10      “Section 1-11-10. The functions of the State Budget and
11   Control Board must be performed, exercised, and discharged under
12   the supervision and direction of the board through three divisions,
13   the Finance Division (embracing the work of the State Auditor, the
14   former State Budget Commission, the former State Finance
15   Committee and the former Board of Claims for the State of South
16   Carolina), the Purchasing and Property Division (embracing the
17   work of the former Commissioners of the Sinking Fund, the
18   former Board of Phosphate Commissioners, the State Electrician
19   and Engineer, the former Commission on State House and State
20   House Grounds, the central purchasing functions, the former
21   Surplus Procurement Division of the State Research, Planning and
22   Development Board and the Property Custodian) and the Division
23   of Personnel Administration (embracing the work of the former
24   retirement board known as the South Carolina Retirement System
25   and the administration of all laws relating to personnel), each
26   division to consist of a director and clerical, stenographic and
27   technical employees necessary, to be employed by the respective
28   directors with the approval of the board. The directors of the
29   divisions must be employed by the State Budget and Control
30   Board for that time and compensation as may be fixed by the board
31   in its judgment. Effective July 1, 2015:
32      (A) The South Carolina Confederate Relic Room and Military
33   Museum is transferred from the State Budget and Control Board
34   and is governed by the South Carolina Confederate Relic Room
35   and Military Museum Commission, as established in Section
36   60-17-10.
37      (B) The Board of Economic Advisors of the State Budget and
38   Control Board is transferred to, and incorporated into, the State
39   Fiscal Accountability Authority.
40      (C) The Office of Research and Statistics of the Budget and
41   Control Board is transferred to, and incorporated into, the State
42   Fiscal Accountability Authority.


     [22]                              8
 1      (D) The State Energy Office is transferred from the State
 2   Budget and Control Board to the Office of Regulatory Staff.
 3      (E) The offices, divisions, or components of the State Budget
 4   and Control Board named in this subsection are transferred to, and
 5   incorporated into, the State Fiscal Accountability Authority as
 6   established in Section 11-50-30. All functions, powers, duties,
 7   responsibilities, and authority vested in the agencies and
 8   authorities, including their governing boards, if any, named in this
 9   subsection are devolved upon the State Fiscal Accountability
10   Authority and the authority shall constitute the agencies and
11   authorities, including their governing boards, if any, named in this
12   subsection:
13        (1) South Carolina Infrastructure Facilities Authority as
14   established in Chapter 40, Title 11;
15        (2) Local Government Division in support of the local
16   government loan program as established in Section 1-11-25;
17        (3) South Carolina Water Quality Revolving Fund Authority
18   in support of water quality projects and federal loan programs as
19   established in Chapter 5, Title 48; and
20        (4) Division of Regional Development as established in
21   Section 11-42-40.
22      (F) The Procurement Services Division of the Budget and
23   Control Board is transferred to, and incorporated into, the
24   Procurement Oversight Board.
25      (G) The regulation of minerals and mineral interests on public
26   land, and the regulation of Geothermal Resources as provided in
27   Chapter 9, Title 10 is transferred to, and incorporated into, the
28   Department of Health and Environmental Control.”
29
30   SECTION 5. (A) Where the provisions of this act transfer
31   offices, or portions of offices, of the Budget and Control Board,
32   Office of the Governor, or other agencies to the Department of
33   Administration or other entities, including those newly created by
34   the provisions of this act, the employees, authorized
35   appropriations, and assets and liabilities of the transferred offices
36   are also transferred to and become part of the Department of
37   Administration or other entities, including those newly created by
38   the provisions of this act. All classified or unclassified personnel
39   employed by these offices on the effective date of this act, either
40   by contract or by employment at will, shall become employees of
41   the Department of Administration or other entities, including those
42   newly created by the provisions of this act, with the same


     [22]                              9
 1   employment status, compensation, classification, and grade level,
 2   as applicable.
 3      (B) Regulations promulgated by these transferred offices as
 4   they existed under the former Budget and Control Board, Office of
 5   the Governor, or other agencies are continued and are considered
 6   to be promulgated by these offices under the Department of
 7   Administration or other entities, including those newly created by
 8   the provisions of this act.
 9      (C)(1) The Code Commissioner is directed to change or correct
10   all references to these offices of the former Budget and Control
11   Board in the 1976 Code, Office of the Governor, or other agencies
12   to reflect the transfer of them to the Department of Administration
13   or other entities, including those newly created by the provisions of
14   this act. References to the names of these offices in the 1976 Code
15   or other provisions of law are considered to be and must be
16   construed to mean appropriate references.
17         (2) On or before January 1, 2014, the Code Commissioner
18   also shall prepare and deliver a report to the President Pro
19   Tempore of the Senate and the Speaker of the House of
20   Representatives concerning appropriate and conforming changes to
21   the 1976 Code of Laws reflecting the provisions of this act.
22
23                                 Part IV
24
25            Executive Budget and Strategic Planning Office
26
27   SECTION 6. A. Chapter 3, Title 1 of the 1976 Code is
28   amended by adding:
29
30                                “Article 2
31
32      Section 1-3-60. (A) The Executive Budget and Planning
33   Office is established within the Department of Administration for
34   the purpose of promoting economy and efficiency in the
35   management of state government.
36      (B) The Governor shall appoint a director to serve as the
37   administrative head of the office. The director must employ staff
38   as necessary to carry out the duties and responsibilities assigned by
39   the office.
40
41     Section 1-3-70. (A) The Executive Budget and Planning
42   Office shall:


     [22]                             10
 1         (1) assist the Governor with the production of the annual
 2   executive budget recommendation and capital expenditures
 3   recommendation as required in Section 11-11-15;
 4         (2) develop, coordinate, and implement a performance
 5   management system involving strategic planning, performance
 6   measurement, evaluation, and performance budgeting;
 7           (a) develop and implement a process of strategic planning
 8   to establish and periodically update an overall strategic plan for
 9   state government. Cabinet agencies, as defined in Section 30-4-65,
10   are required to coordinate with the office to produce strategic plans
11   that are consistent with the governor’s strategic plan. All
12   non-cabinet agencies may coordinate with the office to produce a
13   strategic plan that is consistent with the governor’s strategic plan;
14           (b) develop and implement a performance budgeting
15   system that relates funding to the achievement of established goals
16   and objectives, measures agency performance against attainment
17   of planned outcomes, and provides for program evaluations for
18   policy and funding determinations. Program evaluations may
19   include cost benefit analyses, decision analysis, statistical analysis,
20   comparisons with similar programs in other jurisdictions, relevant
21   historical trends, demographic factors, and other useful techniques;
22         (3) continuously monitor the progress of state agencies,
23   boards, and commissions in achieving the goals and objections
24   within their individual strategic plans;
25         (4) develop financial policies and plans as the basis for
26   recommended state and capital expenditure budgets to the General
27   Assembly and prepare detailed documents in accordance with the
28   financial policies and plans for presentation to the General
29   Assembly;
30         (5) develop plans for improvements and economies of scale
31   in the organization and operation of state agencies and implement
32   the plans approved by the General Assembly;
33         (6) provide relevant information or materials to the General
34   Assembly, upon request, to assist with appropriations and
35   legislative oversight;
36         (7) develop periodically and update a long-term capital
37   improvement plan, including bonding functions, for consideration,
38   in part or in whole, by the Joint Bond Review Committee and
39   approval of the State Fiscal Accountability Authority;
40         (8) develop, implement, and manage an internet-based
41   information technology system to ensure that citizens have access
42   to budgeting, strategic planning, and performance information; and
43         (9) perform all other duties provided for by law.”

     [22]                              11
 1
 2   B. Sections 11-11-10 through 11-11-90 of the 1976 Code are
 3   amended to read:
 4
 5      “Section 11-11-10. The State Budget and Control Board
 6   Executive Budget and Planning Office and the Legislative Fiscal
 7   Office shall employ competent budget assistants and such special
 8   help as it may require be required to carry out the provisions of this
 9   chapter. It shall fix the compensation of such persons as it shall
10   employ Compensation shall be fixed for the people employed in
11   this connection and cause such the compensation, together with
12   their necessary traveling expenses, to be paid out of the civil
13   contingent fund. It They shall call upon the State Department of
14   Revenue for any information desired, and the State Department of
15   Revenue shall furnish such information and shall be present at all
16   hearings before the committees having charge of the
17   appropriations in the Senate and House.
18
19      Section 11-11-15. The functions of the State Budget and
20   Control Board in the preparation and submission to the General
21   Assembly of the recommended state budget are devolved upon the
22   Governor. Wherever the phrase ‘State Budget and Control Board’
23   appears in the context of preparing and submitting budget
24   recommendations to the General Assembly, it means the Governor.
25   In preparing the recommended state budget, the Governor may
26   consult with the State Treasurer, the Comptroller General, or other
27   state officials as needed. The Budget Division of the State Budget
28   and Control Board shall assist the Governor in preparing the
29   budget recommendations, but this function of the Budget Division
30   may not be construed as altering the overall management and
31   administration of the Budget Division as an entity of the State
32   Budget and Control Board. The Governor must annually prepare a
33   recommended state budget and a recommended capital expenditure
34   budget. The recommended state budget and the recommended
35   capital expenditure budget must be submitted to the General
36   Assembly for consideration. The Executive Budget and Planning
37   Office shall assist the Governor in preparing the budget and capital
38   expenditure recommendations. The Governor and the Executive
39   Budget and Planning Office may consult with the State Treasurer,
40   the Comptroller General, or other state officials as needed when
41   preparing the budget and capital expenditure recommendations.
42


     [22]                              12
 1     Section 11-11-20. On or before the first day of November in
 2   each year the State Budget and Control Board and its assistants
 3   Executive Budget and Planning Office shall complete a careful
 4   survey of all the departments, bureaus, divisions, officers, boards,
 5   commissions, institutions and other agencies and undertakings of
 6   the State, through which it shall be in possession of the working
 7   knowledge upon which to base its recommendations to the General
 8   Assembly.
 9
10     Section 11-11-30. On or before the first day of November,
11   annually, each of the several state departments, bureaus, divisions,
12   officers, commissions, institutions and other agencies and
13   undertakings receiving or asking financial aid from the State shall
14   report to the State Budget and Control Board Executive Budget
15   and Planning Office, on official estimate blanks furnished for such
16   purpose, an estimate in itemized form showing the amount needed
17   for the year beginning with the first day of July thereafter. The
18   official estimate blanks which must be used in making these
19   reports shall be furnished by the board office, shall be uniform and
20   shall clearly designate the kind of information to be given thereon.
21
22      Section 11-11-40. On or before the first day of each November
23   the Comptroller General shall furnish to the State Budget and
24   Control Board Executive Budget and Planning Office the
25   following statements, classified and itemized in strict accordance
26   with the budget classifications adopted by the board office:
27        (1) A a statement showing the balance standing to the credit
28   of the several appropriations for each department, bureau, division,
29   officer, board, commission, institution or other agency or
30   undertaking of the State at the end of the last preceding
31   appropriation year;
32        (2) A a statement showing the monthly expenditures and
33   revenues from each appropriation account and the total monthly
34   expenditures and revenues from all the appropriation accounts,
35   including special and other appropriations, in the twelve months of
36   the last preceding appropriation year;
37        (3) A a statement showing the annual expenditures in each
38   appropriation account and the revenues from all sources, including
39   expenditures and revenues from special and other appropriations,
40   for each of the last two appropriation years, with a separate column
41   showing the increase or decrease for each item;



     [22]                             13
 1         (4)    An an itemized and complete financial balance sheet for
 2   the State    at the close of the last preceding fiscal year ending June
 3   thirtieth;   and
 4         (5)    Such such other statements as the board office shall
 5   request.
 6
 7      Section 11-11-50. On or before the first day of December,
 8   annually, the Comptroller General shall furnish to the State Budget
 9   and Control Board Executive Budget and Planning Office an
10   estimate of the financial needs of the State, itemized in strict
11   accordance with the budget classifications adopted by the board
12   office and certified and approved by the presiding officer of each
13   House for each year beginning with the first day of July thereafter;
14   and he shall also furnish an estimate of the financial needs of the
15   judiciary, as provided by law, itemized in strict accordance with
16   the budget classification adopted by the board office, for each year,
17   beginning with the first day of July thereafter. The Comptroller
18   General shall transmit to the board office with these estimates full
19   and detailed explanations of all increases or decreases. These
20   estimates together with the accompanying explanations of
21   increases and decreases shall be included in the budget by the
22   board without revisions, but with its recommendations thereon.
23
24      Section 11-11-70. (A) Within five days after the beginning of
25   each regular session of the General Assembly the State Budget and
26   Control Board Executive Budget and Planning Office shall submit
27   to the presiding officer of each house printed copies of:
28        (1) a detailed budget, based on its own conclusions and
29   judgments, containing a complete and itemized plan of all
30   proposed expenditures for each state department, bureau, division,
31   officer, board, commission, institution, or other agency or
32   undertaking, classified by functions, character, and object, and of
33   estimated revenues and borrowings for each year, beginning with
34   the first day of the next fiscal year. Opposite each item of the
35   proposed expenditures the budget must show in separate parallel
36   columns the amount appropriated for the last preceding
37   appropriation year, for the current appropriation year and the
38   increase or decrease.;
39        (2) an explanation of how the recommendation advances the
40   Governor’s strategic plan. The recommendation must also contain
41   the strategic plan and performance measurements developed for
42   each state agency, institution, board, and commission, together


     [22]                                14
 1   with an analysis of how effectively and efficiently those
 2   performance measurements are being met; and
 3        (3) a recommended capital expenditure budget, with a
 4   detailed explanation of how the recommendation advances the
 5   Governor’s strategic plan. The recommendation must also contain
 6   the strategic plan and performance measurements developed for
 7   each state agency, institution, board, and commission, together
 8   with an analysis of how effectively and efficiently those
 9   performance measurements are being met.
10     (B) The budget which is submitted by the board to the presiding
11   officer of each house must conform to the funding requirements
12   contained in Section 36, Article III of the Constitution of this State.
13
14      Section 11-11-80. In addition to those items required by
15   Section 11-11-70, The State Budget and Control Board the
16   Executive Budget and Planning Office shall accompany the budget
17   with:
18         (1) A a statement of the revenues and expenditures for each
19   of the two appropriation years next preceding, classified and
20   itemized in accordance with the official budget classification
21   adopted by the board;
22         (2) A a statement of the current assets, liabilities, revenues
23   and surplus or deficit of the State;
24         (3) A a statement of the debts and funds of the State;
25         (4) A a statement showing the board’s office’s itemized
26   estimates of the condition of the State Treasury as of the beginning
27   and end of each year;
28         (5) An an itemized and complete financial balance sheet for
29   the State at the close of the last preceding fiscal year ending June
30   thirtieth; and
31         (6) A a general survey of the State’s financial and natural
32   resources, with a review of the general economic, industrial and
33   commercial condition of the State.
34
35     Section 11-11-90. The standing committees of the House of
36   Representatives and of the Senate in charge of appropriation
37   measures shall sit jointly in open sessions while considering the
38   budget and shall begin such joint meetings within five days after
39   the budget has been submitted to the General Assembly by the
40   State Budget and Control Board. This joint committee may cause
41   the attendance of heads or responsible representatives of the
42   departments, institutions and all other agencies of the State to
43   furnish such information and answer such questions as the joint

     [22]                              15
 1   committee shall require and to these sessions shall be admitted,
 2   with the right to be heard, all persons interested in the estimates
 3   under consideration. The board, or its representatives, and the
 4   Governor-elect shall have the right to sit at these public hearings
 5   and be heard on all matters coming before the joint committee. The
 6   results of the survey of all the departments, bureaus, divisions,
 7   officers, boards, commissions, institutions and other agencies and
 8   undertakings of the State conducted pursuant to Section 11-11-20,
 9   the reports required pursuant to Section 11-11-30, the statements
10   and estimates required pursuant to Sections 11-11-40 and
11   11-11-50, and any other similar data utilized by the Executive
12   Budget and Planning Office during the budget process must also
13   be submitted to the Legislative Fiscal Office.”
14
15                                  Part V
16
17            Legislative Oversight of Executive Departments
18
19   SECTION 7. A.Subsections (B) through (H) of Section 1-30-10
20   of the 1976 Code are amended to read:
21
22      “(B)(1) The governing authority of each department shall be
23   either:
24           (i) a director, and in the case of the Department of
25   Commerce, the or a secretary, who must be appointed by the
26   Governor with the advice and consent of the Senate, subject to
27   removal from office by the Governor pursuant to provisions of
28   Section 1-3-240(B); or,
29           (ii) a seven member board to be appointed and constituted
30   in a manner provided for by law; or,
31           (iii) in the case of the Department of Agriculture and the
32   Department of Education, the State Commissioner of Agriculture
33   and the State Superintendent of Education, respectively, elected to
34   office under the Constitution of this State; or
35           (iv) in the case of the Department of Transportation, a
36   seven member commission constituted in a manner provided by
37   law, and a Secretary of Transportation appointed by and serving at
38   the pleasure of the Governor.
39        (2) In making an appointment for a governing authority of a
40   department, race, gender, and other demographic factors should be
41   considered to assure nondiscrimination, inclusion, and
42   representation to the greatest extent possible of all segments of the
43   population of this State; however, consideration of these factors in

     [22]                             16
 1   no way creates a cause of action or basis for an employee
 2   grievance for a person appointed or for a person who fails to be
 3   appointed. The Governor in making appointments provided for by
 4   this section shall endeavor to appoint individuals who have
 5   demonstrated exemplary managerial skills in either the public or
 6   private sector.
 7      (C) Each department shall be organized into appropriate
 8   divisions subdivisions by the governing authority of the
 9   department through further consolidation or further subdivision.
10   The power to organize and reorganize the department supersedes
11   any provision of law to the contrary pertaining to individual
12   divisions; provided, however, the into divisions lies with the
13   General Assembly in furtherance of its mandate pursuant to Article
14   XII of the South Carolina Constitution. The dissolution of any
15   division must receive legislative approval by authorization
16   included in the annual general appropriations act likewise be
17   statutorily approved by the General Assembly.
18      Any other approval procedures for department reorganization in
19   effect on the effective date of this act no longer apply.
20      (D) The governing authority of a department is vested with the
21   duty of overseeing, managing, and controlling the operation,
22   administration, and organization of the department. The governing
23   authority has the power to create and appoint standing or ad hoc
24   advisory committees in its discretion or at the direction of the
25   Governor to assist the department in particular areas of public
26   concern or professional expertise as is deemed appropriate. Such
27   committees shall serve at the pleasure of the governing authority
28   and committee members shall not receive salary or per diem, but
29   shall be entitled to reimbursement for actual and necessary
30   expenses incurred pursuant to the discharge of official duties not to
31   exceed the per diem, mileage, and subsistence amounts allowed by
32   law for members of boards, commissions, and committees.
33      (E) The governing authority of a department director may
34   appoint deputy directors deputies to head the divisions of their
35   department, with each deputy director managing one or more of
36   the divisions; in the case of the Department of Commerce, the
37   Secretary of Commerce may appoint a departmental executive
38   director and also may appoint directors to manage the various
39   divisions of the Department of Commerce.                  In making
40   appointments race, gender, and other demographic factors should
41   be considered to assure nondiscrimination, inclusion, and
42   representation to the greatest extent possible of all segments of the
43   population of this State; however, consideration of these factors in

     [22]                             17
 1   making an appointment in no way creates a cause of action or basis
 2   for an employee grievance for a person appointed or for a person
 3   who fails to be appointed. Deputy directors Deputies serve at the
 4   will and pleasure of the department director governing authority.
 5   The deputy director of a division is vested with the duty of
 6   overseeing, managing, and controlling the operation and
 7   administration of the division under the direction and control of the
 8   department director department’s governing authority             and
 9   performing such other duties as delegated by the department
10   director department’s governing authority.
11      (F)(1) In the event a vacancy should occur occurs in the office
12   of department director the department’s governing authority at a
13   time when the General Assembly is not in session, the Governor
14   may temporarily fill the vacancy pursuant to Section 1-3-210.
15        (2) Notwithstanding the provisions of subitem (F)(1), as of
16   July 1, 1993, for each department created pursuant to the
17   provisions of this act which must be governed by a single director,
18   an initial interim director shall serve as the governing authority,
19   serving until January 31, 1994. During that period the following
20   departments must be governed by the director or interim director
21   of the following agencies as of June 30, 1993:
22           (i) Department of Corrections, created pursuant to
23   Section 1-30-30, by the director of the former Department of
24   Corrections;
25           (ii) Department of Juvenile Justice created pursuant to
26   Section 1-30-60, by the interim director of the former Department
27   of Youth Services;
28           (iii) Department of Probation, Parole, and Pardon Services
29   created pursuant to Section 1-30-85 by the director of the former
30   Department of Probation, Pardon and Parole;
31           (iv) Department of Social Services created pursuant to
32   Section 1-30-100, by the director of the former Department of
33   Social Services;
34           (v) Department of Parks, Recreation and Tourism created
35   pursuant to Section 1-30-80, by the director of the former
36   Department of Parks, Recreation and Tourism;
37           (vi) Department of Commerce created pursuant to Section
38   1-30-25, by the Executive Director of the former State
39   Development Board;
40           (vii) Department of Alcohol and Other Drug Abuse
41   Services created pursuant to Section 1-30-20, by the director of the
42   former South Carolina Commission on Alcohol and Drug Abuse.


     [22]                             18
 1        (3) As of December 1, 1993, the Governor must submit to
 2   the Senate the names of appointees to the permanent department
 3   directorships for those departments created on July 1, 1993 and
 4   February 1, 1994. If no person has been appointed and qualified
 5   for a directorship as of February 1, 1994, the Governor may
 6   appoint an interim director to serve pursuant to the provisions of
 7   (F)(1).
 8        (4) Notwithstanding provisions of (2) and (3) to the contrary,
 9   the initial interim director of the Department of Public Safety shall
10   be appointed by the Budget and Control Board. The initial interim
11   director may be appointed as the permanent director of the
12   department by the Governor.
13      (G)(1) Department and agency governing authorities must, no
14   later than the first day of the 1994 2016 Legislative Session and
15   every twelve months thereafter for the following three years,
16   submit to the Governor and General Assembly reports giving
17   detailed and comprehensive recommendations for the purposes of
18   merging or eliminating duplicative or unnecessary divisions,
19   programs, or personnel within each department to provide a more
20   efficient administration of government services. If an agency or
21   department has no recommendations for restructuring of divisions,
22   programs, or personnel, its report must contain a statement to that
23   effect. Upon their receipt by the President of the Senate and the
24   Speaker of the House of Representatives, these reports must be
25   referred as information to the standing committees of the
26   respective bodies most jurisdictionally related in subject matter to
27   each agency. Alternatively, the House and Senate may provide by
28   rule for the referral of these reports. Thereafter, The Governor
29   shall must periodically consult with the governing authorities of
30   the various departments and upon such consultation, the Governor
31   shall must submit a report of any restructuring recommendations to
32   the General Assembly for its review and consideration.
33        (2) The Governor shall report to the General Assembly no
34   later than the second Tuesday in January of 1994, his
35   recommendation for restructuring the following offices and
36   divisions presently under his direct supervision, and as to how each
37   might be restructured within other appropriate departments or
38   divisions amended by this act:
39           (i)      Office of Executive Policy and Programs;
40           (ii)     Office of Energy Programs;
41           (iii) Office of Personnel and Program Services;
42           (iv) Office of Research;
43           (v)      Division of Health;

     [22]                             19
 1           (vi) Division of Economic Opportunity;
 2           (vii) Division of Economic of Development;
 3           (viii) Division of Ombudsman and Citizens’ Services;
 4           (ix) Division of Education;
 5           (x)    Division of Natural Resources;
 6           (xi) Division of Human Services.
 7      Department and agency governing authorities must, no later than
 8   the first day of the 2013 Legislative Session, and, as a part of the
 9   agency’s four-year oversight study and investigation conducted
10   pursuant to Chapter 2, Title 2, submit to the Governor and the
11   General Assembly a four-year plan that provides initiatives and/or
12   planned actions that implement cost savings and increased
13   efficiencies of services and responsibilities within the projected
14   four-year period.
15      (H) Department governing authorities must submit to the
16   General Assembly by the first day of the 1994 legislative session
17   and every five years thereafter a mission statement that must be
18   approved by the General Assembly by Joint Resolution.”
19
20   B.     Section 8-27-10(4) of the 1976 Code is amended to read:
21
22      “(4) ‘Report’ means:
23        (a) a written document alleging a written or oral allegation
24   of waste or wrongdoing that contains the following information:
25           (ai)   the date of disclosure;
26           (bii) the name of the employee making the report; and
27           (ciii) the nature of the wrongdoing and the date or range
28   of dates on which the wrongdoing allegedly occurred. A report
29   must be made within sixty days one hundred eighty days of the
30   date the reporting employee first learns of the alleged
31   wrongdoing.; or
32        (b) sworn testimony regarding wrongdoing, regardless of
33   when the wrongdoing allegedly occurred, given to any standing
34   committee, subcommittee of a standing committee, oversight
35   committee, oversight subcommittee, or study committee of the
36   Senate or the House of Representatives.”
37
38   C.     Chapter 27, Title 8 of the 1976 Code is amended by adding:
39
40      “Section 8-27-60. Each public body must make a summary of
41   this chapter available on the public body’s internet website. The
42   summary must include an explanation of the process required to
43   report wrongdoing, an explanation of what constitutes wrongdoing,

     [22]                             20
 1   and a description of the protections available to an employee who
 2   reports wrongdoing. If the public body does not maintain an
 3   internet website, the public body must annually provide a written
 4   summary of this chapter to its employees and maintain copies of
 5   the summary at all times.”
 6
 7   D. Title 2 of the 1976 Code is amended by adding:
 8
 9                              ”CHAPTER 2
10
11            Legislative Oversight of Executive Departments
12
13      Section 2-2-5. The General Assembly finds and declares the
14   following to be the public policy of the State of South Carolina:
15      (1) Section 1 of Article XII of the State Constitution requires
16   the General Assembly to provide for appropriate agencies to
17   function in the areas of health, welfare, and safety and to determine
18   the activities, powers, and duties of these agencies and
19   departments.
20      (2) This constitutional duty is a continuing and ongoing
21   obligation of the General Assembly that is best addressed by
22   periodic review of the programs of the agencies and departments
23   and their responsiveness to the needs of the state’s citizens by the
24   standing committees of the State Senate or House of
25   Representatives.
26
27     Section 2-2-10. As used in this chapter:
28     (1) ‘Agency’ means an authority, board, branch, commission,
29   committee, department, division, or other instrumentality of the
30   executive or judicial departments of state government, including
31   administrative bodies. ‘Agency’ includes a body corporate and
32   politic established as an instrumentality of the State. ‘Agency’
33   does not include:
34        (a) the legislative department of state government; or
35        (b) a political subdivision.
36     (2) ‘Investigating committee’ means any standing committee
37   or subcommittee of a standing committee exercising its authority
38   to conduct an oversight study and investigation of an agency
39   within the standing committee’s subject matter jurisdiction.
40     (3) ‘Program evaluation report’ means a report compiled by an
41   agency at the request of an investigating committee that may
42   include, but is not limited to, a review of agency management and


     [22]                             21
 1   organization, program delivery, agency goals and objectives,
 2   compliance with its statutory mandate, and fiscal accountability.
 3     (4) ‘Request for information’ means a list of questions that an
 4   investigating committee serves on a department or agency under
 5   investigation. The questions may relate to any matters concerning
 6   the department, or agency’s actions that are the subject of the
 7   investigation.
 8     (5) ‘Standing committee’ means a permanent committee with a
 9   regular meeting schedule and designated subject matter jurisdiction
10   that is authorized by the Rules of the Senate or the Rules of the
11   House of Representatives.
12
13      Section 2-2-20. (A) Beginning January 1, 2015, each standing
14   committee shall conduct oversight studies and investigations on all
15   agencies within the standing committee’s subject matter
16   jurisdiction at least once every seven years in accordance with a
17   schedule adopted as provided in this chapter.
18      (B) The purpose of these oversight studies and investigations is
19   to determine if agency laws and programs within the subject matter
20   jurisdiction of a standing committee:
21         (1) are being implemented and carried out in accordance
22   with the intent of the General Assembly; and
23         (2) should be continued, curtailed, or eliminated.
24      (C) The oversight studies and investigations must consider:
25         (1) the application, administration, execution, and
26   effectiveness of laws and programs addressing subjects within the
27   standing committee’s subject matter jurisdiction;
28         (2) the organization and operation of state agencies and
29   entities having responsibilities for the administration and execution
30   of laws and programs addressing subjects within the standing
31   committee’s subject matter jurisdiction; and
32         (3) any conditions or circumstances that may indicate the
33   necessity or desirability of enacting new or additional legislation
34   addressing subjects within the standing committee’s subject matter
35   jurisdiction.
36
37     Section 2-2-30. (A) The procedure for conducting the
38   oversight studies and investigations is provided in this section.
39     (B)(1) The President Pro Tempore of the Senate, upon
40   consulting with the chairmen of the standing committees in the
41   Senate and the Clerk of the Senate, shall determine the agencies
42   for which each standing committee must conduct oversight studies
43   and investigations. A proposed seven-year review schedule must

     [22]                             22
 1   be published in the Senate Journal on the first day of session each
 2   year.
 3        (2) In order to accomplish the requirements of this chapter,
 4   the chairman of each standing committees must schedule oversight
 5   studies and investigations for the agencies for which his standing
 6   committee is the investigating committee and may:
 7           (a) coordinate schedules for conducting oversight studies
 8   and investigations with the chairmen of other standing committees;
 9   and
10           (b) appoint joint investigating committees to conduct the
11   oversight studies and investigations including, but not limited to,
12   joint committees of the Senate and House of Representatives or
13   joint standing committees of concurrent subject matter jurisdiction
14   within the Senate or within the House of Representatives.
15        (3) Chairmen of standing committees having concurrent
16   subject matter jurisdiction over an agency or the programs and law
17   governing an agency by virtue of the Rules of the Senate or Rules
18   of the House of Representatives, may request that a joint
19   investigating committee be appointed to conduct the oversight
20   study and investigation for an agency.
21      (C)(1) The Speaker of the House of Representatives, upon
22   consulting with the chairmen of the standing committees in the
23   House of Representatives and the Clerk of the House of
24   Representatives, shall determine the agencies for which each
25   standing committee must conduct oversight studies and
26   investigations. A proposed seven-year review schedule must be
27   published in the House Journal on the first day of session each
28   year.
29        (2) In order to accomplish the requirements of this chapter,
30   the chairman of each standing committee must schedule oversight
31   studies and investigations for the agencies for which his standing
32   committee is the investigating committee and may:
33           (a) coordinate schedules for conducting oversight studies
34   and investigations with the chairmen of other standing committees;
35   and
36           (b) appoint joint investigating committees to conduct the
37   oversight studies and investigations including, but not limited to,
38   joint committees of the Senate and House of Representatives or
39   joint standing committees of concurrent subject matter jurisdiction
40   within the Senate or within the House of Representatives.
41        (3) Chairmen of standing committees having concurrent
42   subject matter jurisdiction over an agency or the programs and law
43   governing an agency by virtue of the Rules of the Senate or Rules

     [22]                            23
 1   of the House of Representatives, may request that a joint
 2   investigating committee be appointed to conduct the oversight
 3   study and investigation for the agency.
 4      (D) The chairman of an investigating committee may vest the
 5   standing committee’s full investigative power and authority in a
 6   subcommittee. A subcommittee conducting an oversight study and
 7   investigation of an agency: (1) must make a full report of its
 8   findings and recommendations to the standing committee at the
 9   conclusion of its oversight study and investigation, and (2) must
10   not consist of fewer than three members.
11
12      Section 2-2-40. (A) In addition to the scheduled seven-year
13   oversight studies and investigations, a standing committee of the
14   Senate or House of Representatives may initiate an oversight study
15   and investigation of an agency within its subject matter
16   jurisdiction. The motion calling for the oversight study and
17   investigation must state the subject matter and scope of the
18   oversight study and investigation. The oversight study and
19   investigation must not exceed the scope stated in the motion or the
20   scope of the information uncovered by the investigation.
21      (B) Nothing in the provisions of this chapter prohibits or
22   restricts the President Pro Tempore of the Senate, the Speaker of
23   the House of Representatives, or chairmen of standing committees
24   from fulfilling their constitutional obligations by authorizing and
25   conducting legislative investigations into agencies’ functions,
26   duties, and activities.
27
28      Section 2-2-50. When an investigating committee conducts an
29   oversight study and investigation or a legislative investigation is
30   conducted pursuant to Section 2-2-40(B), evidence or information
31   related to the investigation may be acquired by any lawful means,
32   including, but not limited to:
33      (A) serving a request for information on the agency being
34   studied or investigated. The request for information must be
35   answered separately and fully in writing under oath and returned to
36   the investigating committee within forty-five days after being
37   served upon the department or agency. The time for answering a
38   request for information may be extended for a period to be agreed
39   upon by the investigating committee and the agency for good
40   cause shown. The head of the department or agency must sign the
41   answers verifying them as true and correct. If any question
42   contains a request for records, policies, audio or video recordings,
43   or other documents, the question is not considered to have been

     [22]                             24
 1   answered unless a complete set of records, policies, audio or video
 2   recordings, or other documents is included with the answer;
 3      (B) deposing witnesses upon oral examination. A deposition
 4   upon oral examination may be taken from any person that the
 5   investigating committee has reason to believe has knowledge of
 6   the activities under investigation. The investigating committee
 7   must provide the person being deposed and the agency under
 8   investigation with no less than ten days’ notice of the deposition.
 9   The notice to the agency shall state the time and place for taking
10   the deposition and name and address of each person to be
11   examined. If a subpoena duces tecum is to be served on the person
12   to be examined, the designation of the materials to be produced as
13   set forth in the subpoena must be attached to or included in the
14   notice. The deposition must be taken under oath administered by
15   the chairman of the investigating committee or his designee. The
16   testimony must be taken stenographically or recorded by some
17   other means and may be videotaped. A person may be compelled
18   to attend a deposition in the county in which he resides or in
19   Richland County;
20      (C) issuing subpoenas and subpoenas duces tecum pursuant to
21   Title 2, Chapter 69; and
22      (D) requiring the agency to prepare and submit to the
23   investigating committee a program evaluation report by a date
24   specified by the investigating committee. The investigating
25   committee must specify the agency program or programs or
26   agency operations that it is studying or investigating and the
27   information to be contained in the program evaluation report.
28
29      Section 2-2-60. (A) An investigating committee’s request for a
30   program evaluation report must contain:
31        (1) the agency program or operations that it intends to
32   investigate;
33        (2) the information that must be included in the report; and
34        (3) the date that the report must be submitted to the
35   committee.
36      (B) An investigating committee may request that the program
37   evaluation report contain any of the following information:
38        (1) enabling or authorizing law or other relevant mandate,
39   including any federal mandates;
40        (2) a description of each program administered by the
41   agency identified by the investigating committee in the request for
42   a program evaluation report, including the following information:


     [22]                            25
 1           (a) established priorities, including goals and objectives in
 2   meeting each priority;
 3           (b) performance criteria, timetables, or other benchmarks
 4   used by the agency to measure its progress in achieving its goals
 5   and objectives;
 6           (c) an assessment by the agency indicating the extent to
 7   which it has met the goals and objectives, using the performance
 8   criteria. When an agency has not met its goals and objectives, the
 9   agency shall identify the reasons for not meeting them and the
10   corrective measures the agency has taken to meet them in the
11   future;
12         (3) organizational structure, including a position count, job
13   classification, and organization flow chart indicating lines of
14   responsibility;
15         (4) financial summary, including sources of funding by
16   program and the amounts allocated or appropriated and expended
17   over the last ten years;
18         (5) identification of areas where the agency has coordinated
19   efforts with other state and federal agencies in achieving program
20   objectives and other areas in which an agency could establish
21   cooperative arrangements including, but not limited to, cooperative
22   arrangements to coordinate services and eliminate redundant
23   requirements;
24         (6) identification of the constituencies served by the agency
25   or program, noting any changes or projected changes in the
26   constituencies;
27         (7) a summary of efforts by the agency or program regarding
28   the use of alternative delivery systems, including privatization, in
29   meeting its goals and objectives;
30         (8) identification of emerging issues for the agency;
31         (9) a comparison of any related federal laws and regulations
32   to the state laws governing the agency or program and the rules
33   implemented by the agency or program;
34         (10) agency policies for collecting, managing, and using
35   personal information over the internet and non-electronically,
36   information on the agency’s implementation of information
37   technologies;
38         (11) a list of reports, applications, and other similar
39   paperwork required to be filed with the agency by the public. The
40   list must include:
41           (a) the statutory authority for each filing requirement;
42           (b) the date each filing requirement was adopted or last
43   amended by the agency;

     [22]                             26
 1           (c) the frequency that filing is required;
 2           (d) the number of filings received annually for the last
 3   seven years and the number of anticipated filings for the next four
 4   years;
 5           (e) a description of the actions taken or contemplated by
 6   the agency to reduce filing requirements and paperwork
 7   duplication;
 8        (12) any other relevant information specifically requested by
 9   the investigating committee.
10     (C) All information contained in a program evaluation report
11   must be presented in a concise and complete manner.
12     (D) The chairman of the investigating committee may direct the
13   Legislative Audit Council to perform a study of the program
14   evaluation report and report its findings to the investigating
15   committee. The chairman also may direct the Legislative Audit
16   Council to perform its own audit of the program or operations
17   being studied or investigated by the investigating committee.
18     (E) A state agency that is vested with revenue bonding
19   authority may submit annual reports and annual external audit
20   reports conducted by a third party in lieu of a program evaluation
21   report.
22
23     Section 2-2-70.   All testimony given to the investigating
24   committee must be under oath.
25
26      Section 2-2-80.     Any witness testifying before or deposed by
27   the investigating committee may have counsel present to advise
28   him. The witness or his counsel may, during the time of testimony
29   or deposition, claim any legal privilege recognized by the laws of
30   this State in response to any question and is entitled to have a
31   ruling by the chairman on any objection. In making his ruling, the
32   chairman of the investigating committee shall follow as closely as
33   possible the statutory law and the decisions of the courts of this
34   State regarding legal privileges. The ruling of the chair may not be
35   reviewed by the courts of this State except in a separate proceeding
36   for contempt of the General Assembly.
37
38      Section 2-2-90. A witness shall be given the benefit of any
39   privilege at law which he may have in court as a party to a civil
40   action.”
41
42   E. This part takes effect January 1, 2014.
43

     [22]                             27
 1                                  Part VI
 2
 3          Conforming and Miscellaneous Amendments to Divisions,
 4           Offices, and Other Entities or Programs Transferred to
 5                     the Department of Administration
 6
 7   SECTION 8. A. Sections 1-11-55 of the 1976 Code is amended
 8   to read:
 9
10      “Section 1-11-55.     (1) ‘Governmental body’ means a state
11   government department, commission, council, board, bureau,
12   committee, institution, college, university, technical school,
13   legislative body, agency, government corporation, or other
14   establishment or official of the executive, judicial, or legislative
15   branches branch of this State. Governmental body excludes the
16   General Assembly, Legislative Council, the Office of Legislative
17   Printing, Information and Technology Systems, the judicial
18   department and all local political subdivisions such as counties,
19   municipalities, school districts, or public service or special purpose
20   districts.
21      (2) The Budget and Control Board Division of General
22   Services of the Department of Administration is hereby designated
23   as the single central broker for the leasing of real property for
24   governmental bodies. No governmental body shall enter into any
25   lease agreement or renew any existing lease except in accordance
26   with the provisions of this section.
27      (3) When any governmental body needs to acquire real
28   property for its operations or any part thereof and state-owned
29   property is not available, it shall notify the Office Division of
30   General Services of its requirement on rental request forms
31   prepared by the office division. Such forms shall indicate the
32   amount and location of space desired, the purpose for which it
33   shall be used, the proposed date of occupancy and such other
34   information as General Services may require. Upon receipt of any
35   such request, General Services shall conduct an investigation of
36   available rental space which would adequately meet the
37   governmental body’s requirements, including specific locations
38   which may be suggested and preferred by the governmental body
39   concerned. When suitable space has been located which the
40   governmental body and the office division agree meets necessary
41   requirements and standards for state leasing as prescribed in
42   procedures of the board department as provided for in subsection
43   (5) of this section, General Services shall give its written approval

     [22]                              28
 1   to the governmental body to enter into a lease agreement. All
 2   proposed lease renewals shall be submitted to General Services by
 3   the time specified by General Services.
 4      (4) The board department shall adopt procedures to be used for
 5   governmental bodies to apply for rental space, for acquiring leased
 6   space, and for leasing state-owned space to nonstate lessees.
 7      (5) Any participant in a property transaction proposed to be
 8   entered who maintains that a procedure provided for in this section
 9   has not been properly followed, may request review of the
10   transaction by the director of the Office Division of General
11   Services of the Department of Administration or his designee.”
12
13   C. Sections 1-11-56 and 1-11-58 of the 1976 Code are amended to
14   read:
15
16      “Section 1-11-56. (A) The State Budget and Control Board,
17   Division of General Services of the Department of Administration,
18   in an effort to ensure that funds authorized and appropriated for
19   rent are used in the most efficient manner, is directed to develop a
20   program to manage the leasing of all public and private space of
21   state agencies a governmental body. The department must submit
22   regulations for the implementation of this section to the General
23   Assembly as provided in the Administrative Procedures Act,
24   Chapter 23, Title 1. The board’s department’s regulations, upon
25   General Assembly approval, shall include procedures for:
26        (1) assessing and evaluating agency needs, including the
27   authority to require agency justification for any request to lease
28   public or private space;
29        (2) establishing standards for the quality and quantity of
30   space to be leased by a requesting agency;
31        (3) devising and requiring the use of a standard lease form
32   (approved by the Attorney General) with provisions which assert
33   and protect the state’s prerogatives including, but not limited to, a
34   right of cancellation in the event of:
35           (a) a nonappropriation for the renting agency,
36           (b) a dissolution of the agency, and
37           (c) the availability of public space in substitution for
38   private space being leased by the agency;
39        (4) rejecting an agency’s request for additional space or
40   space at a specific location, or both;
41        (5) directing agencies to be located in public space, when
42   available, before private space can be leased;


     [22]                             29
 1        (6) requiring the agency to submit a multi-year financial
 2   plan for review by the board’s budget office department with
 3   copies sent to Ways and Means Committee and Senate Finance
 4   Committee, before any new lease for space is entered into; and
 5   requiring prior review by the Joint Bond Review Committee and
 6   the requirement of Budget and Control Board approval before the
 7   adoption of any new lease that commits more than one million
 8   dollars in a five-year period; and
 9        (7) requiring prior review by the Joint Bond Review
10   Committee and the requirement of Budget and Control Board State
11   Fiscal Accountability Authority approval before the adoption of
12   any new or renewal lease that commits more than two hundred
13   thousand dollars annually in rental or lease payments or more than
14   one million dollars in such payments in a five-year period.
15      (B) Leases or rental agreements involving amounts below the
16   thresholds provided in item (7) of subsection (A) may be executed
17   by the Department of Administration without this prior review by
18   the Joint Bond Review Committee and approval by the State Fiscal
19   Accountability Authority.
20      (C) The threshold requirements requiring review by the Joint
21   Bond Review Committee and approval by the State Fiscal
22   Accountability Authority as contained in item (7) of subsection (A)
23   also apply to leases or rental agreements with nonstate entities
24   whether or not the state or its agencies or departments is the lessee
25   or lessor.
26
27     Section 1-11-58. (A)(1) Every state agency, as defined by
28   Section 1-19-40, shall annually perform an inventory and prepare a
29   report of all residential and surplus real property owned by it. The
30   report shall be submitted to the State Budget and Control Board
31   Department of Administration, Office Division of General
32   Services, on or before June thirtieth and shall indicate current use,
33   current value, and projected use of the property. Property not
34   currently being utilized for necessary agency operations shall be
35   made available for sale and funds received from the sale of the
36   property shall revert to the general fund.
37        (2) The Office Division of General Services will shall
38   review the annual reports addressing real property submitted to it
39   and determine the real property which is surplus to the State. A
40   central listing of such property will be maintained for reference in
41   reviewing subsequent property acquisition needs of agencies.
42        (3) Upon receipt of a request by an agency to acquire
43   additional property, the Office Division of General Services shall

     [22]                             30
 1   review the surplus property list to determine if the agency’s needs
 2   can may be met from existing state-owned property. If such
 3   property is identified, the Office division of General Services shall
 4   act as broker in transferring the property to the requesting agency
 5   under terms and conditions that are mutually agreeable to the
 6   agencies involved.
 7        (4) The Budget and Control Board department may
 8   authorize the Office Division of General Services to sell any
 9   unassigned surplus real property. The Office of General Services
10   division shall have the discretion to determine the method of
11   disposal to be used, which possible methods include: auction,
12   sealed bids, listing the property with a private broker or any other
13   method determined by the Office of General Services division to
14   be commercially reasonable considering the type and location of
15   property involved.
16      (B) The procedures involving surplus real property sales under
17   this section are also subject to the approvals required in Section
18   1-11-65 for surplus real property sales above five hundred
19   thousand dollars.”
20
21   D. Sections 1-11-65, 1-11-67, 1-11-70, 1-11-80, 1-11-90,
22   1-11-100, 1-11-110, and 1-11-180 of the 1976 Code are amended
23   to read:
24
25      “Section 1-11-65. (A) All transactions involving real property,
26   made for or by any governmental bodies, excluding political
27   subdivisions of the State, must be approved by and recorded with
28   the State Budget and Control Board Department of Administration
29   for transactions of the one million dollars or less. For transactions
30   of more than one million dollars, approval of the State Fiscal
31   Accountability Authority is required in lieu of the department,
32   although the recording will be with the department. Upon
33   approval of the transaction by the Budget and Control Board, there
34   must be recorded simultaneously with the deed, a certificate of
35   acceptance, which acknowledges the board’s department’s, and
36   authority’s, approval of the transaction as required. The county
37   recording authority cannot accept for recording any deed not
38   accompanied by a certificate of acceptance. The board department
39   and authority may exempt a governmental body from the
40   provisions of this subsection.
41      (B) All state agencies, departments, and institutions authorized
42   by law to accept gifts of tangible personal property shall have
43   executed by its governing body an acknowledgment of acceptance

     [22]                             31
 1   prior to transfer of the tangible personal property to the agency,
 2   department, or institution.
 3
 4      Section 1-11-67. The State Budget and Control Board
 5   Department of Administration shall assess and collect a rental
 6   charge from all state departments and agencies that occupy State
 7   Budget and Control Board space in state-controlled office
 8   buildings under its jurisdiction. The amount charged each
 9   department or agency must be calculated on a square foot, or other
10   equitable basis of measurement, and at rates that will yield
11   sufficient total annual revenue to cover the annual principal and
12   interest due or anticipated on the Capital Improvement Obligations
13   for projects administered or planned by the Office of General
14   Services department, and maintenance and operation costs of State
15   Budget and Control Board-controlled department-controlled office
16   buildings under the supervision of the Office of General Services.
17   The amount collected must be deposited in a special account and
18   must be expended only for payment on Capital Improvement
19   Obligations and maintenance and operations costs of the buildings
20   under the supervision of the Office of General Services
21   department.
22      All departments and agencies against which rental charges are
23   assessed and whose operations are financed in whole or in part by
24   federal or other nonappropriated funds are both directed to
25   apportion the payment of these charges equitably among all funds
26   to ensure that each bears its proportionate share.
27
28      Section 1-11-70. All vacant lands and lands purchased by the
29   former land commissioners of the State shall be are subject to the
30   directions of the State Budget and Control Board Department of
31   Administration.
32
33     Section 1-11-80. The State Budget and Control Board
34   Department of Administration is authorized to grant easements
35   and rights of way to any person for construction and maintenance
36   of power lines, pipe lines, water and sewer lines and railroad
37   facilities over, on or under such vacant lands or marshland as are
38   owned by the State, upon payment of the reasonable value thereof.
39
40      Section 1-11-90. The State Budget and Control Board
41   Department of Administration may grant to agencies or political
42   subdivisions of the State, without compensation, rights of way
43   through and over such marshlands as are owned by the State for

     [22]                            32
 1   the construction and maintenance of roads, streets and highways or
 2   power or pipe lines, if, in the judgment of the Budget and Control
 3   Board department, the interests of the State will not be adversely
 4   affected thereby.
 5
 6      Section 1-11-100. Deeds or other instruments conveying such
 7   rights of way or easements over such marshlands or vacant lands
 8   as are owned by the State shall be executed by the Governor in the
 9   name of the State, when authorized by resolution of the Budget
10   and Control Board, duly recorded in the minutes and records of
11   such board authorized by the Department of Administration and
12   when duly approved by the office of the Attorney General; deeds
13   or other instruments conveying such easements over property in
14   the name of or under the control of State agencies, institutions,
15   commissions or other bodies shall be executed by the majority of
16   the governing body thereof, shall name both the State of South
17   Carolina and the institution, agency, commission or governing
18   body as grantors, and shall show the written approval of the
19   majority of the members of the State Budget and Control Board
20   Director of the Department of Administration.
21
22     Section 1-11-110. (1) The State Budget and Control Board
23   Department of Administration, subject to the requirements of
24   Section 1-11-65, is authorized to acquire real property, including
25   any estate or interest therein, for, and in the name of, the State of
26   South Carolina by gift, purchase, condemnation or otherwise.
27     (2) The State Budget and Control Board Department of
28   Administration shall make use of the provisions of the Eminent
29   Domain Procedure Act (Chapter 2, of Title 28) if it is necessary to
30   acquire real property by condemnation. The actions must be
31   maintained by and in the name of the board department. The right
32   of condemnation is limited to the right to acquire land necessary
33   for the development of the Capitol Complex mall grounds in the
34   City of Columbia.
35
36      Section 1-11-180. (A) In addition to the powers granted the
37   Budget and Control Board Department of Administration under
38   this chapter or any other provision of law, the board department
39   may:
40        (1) survey, appraise, examine, and inspect the condition of
41   state property to determine what is necessary to protect state
42   property against fire or deterioration and to conserve the use of the
43   property for state purposes;

     [22]                             33
 1         (2) approve the destruction or disposal of state agency
 2   records;
 3         (3) require submission and approval of plans and
 4   specifications for permanent improvements by a state department,
 5   agency, or institution before a contract is awarded for the
 6   permanent improvement;
 7         (4) approve blanket bonds for a state department, agency, or
 8   institution including bonds for state officials or personnel.
 9   However, the form and execution of blanket bonds must be
10   approved by the Attorney General; and
11         (5)(3) contract to develop an energy utilization management
12   system for state facilities under its control and to assist other
13   agencies and departments in establishing similar programs.
14   However, this does not authorize capital expenditures.
15      (B) The Budget and Control Board may South Carolina
16   Department of Administration shall promulgate regulations
17   necessary to carry out this section.”
18
19   E. Chapter 11, Title 1 of the 1976 Code is amended by adding:
20
21     “Section 1-11-185. (A) In addition to the powers granted the
22   Department of Administration pursuant to this chapter or another
23   provision of law, the department may require submission and
24   approval of plans and specifications for a permanent improvement
25   project of a cost of one million dollars or less by a state
26   department, agency, or institution of the executive branch before a
27   contract is awarded for the permanent improvement project. If the
28   cost of the permanent improvement project is more than one
29   million dollars, approval of the State Fiscal Accountability
30   Authority is required, in lieu of the department’s approval, before
31   the contract may be awarded and the authority may require
32   submission of the plans and specifications for this purpose. The
33   provisions of this subsection are in addition to any other
34   requirements of law relating to permanent improvement projects,
35   including the provisions of Chapter 47, Title 2.
36     (B) The Department of Administration may promulgate
37   regulations necessary to carry out its duties.
38     (C) The respective divisions of the Department of
39   Administration are authorized to provide to and receive from other
40   governmental entities, including other divisions and state and local
41   agencies and departments, goods and services as will in its opinion
42   promote efficient and economical operations. The divisions may
43   charge and pay the entities for the goods and services, the revenue

     [22]                             34
 1   from which must be deposited in the state treasury in a special
 2   account and expended only for the costs of providing the goods
 3   and services, and those funds may be retained and expended for
 4   the same purposes.”
 5
 6   F.     1. Section 1-11-220 of the 1976 Code is amended to read:
 7
 8      “Section 1-11-220. There is hereby established within the
 9   Budget and Control Board South Carolina Department of
10   Administration, the Division of Motor Vehicle Management
11   General Services, Program of Fleet Management headed by a
12   Director, hereafter referred to as the ‘State Fleet Manager’
13   appointed by and reporting directly to the Budget and Control
14   Board department, hereafter referred to as the Board. The Board
15   department shall develop a comprehensive state Fleet Management
16   Program. The program shall address acquisition, assignment,
17   identification, replacement, disposal, maintenance, and operation
18   of motor vehicles.
19      The Budget and Control Board department shall, through their
20   its policies and regulations, seek to achieve the following
21   objectives:
22        (a) to achieve maximum cost-effectiveness management of
23   state-owned motor vehicles in support of the established missions
24   and objectives of the agencies, boards, and commissions.;
25        (b) to eliminate unofficial and unauthorized use of state
26   vehicles.;
27        (c) to minimize individual assignment of state vehicles.;
28        (d) to eliminate the reimbursable use of personal vehicles for
29   accomplishment of official travel when this use is more costly than
30   use of state vehicles.;
31        (e) to acquire motor vehicles offering optimum energy
32   efficiency for the tasks to be performed.;
33        (f) to insure motor vehicles are operated in a safe manner in
34   accordance with a statewide Fleet Safety Program;
35        (g) to improve environmental quality in this State by
36   decreasing the discharge of pollutants.”
37
38        2. Section 1-11-225 of the 1976 Code is amended to read:
39
40      “Section 1-11-225. The Division of Operations South
41   Carolina Department of Administration shall establish a cost
42   allocation plan to recover the cost of operating the comprehensive
43   statewide Fleet Management Program. The division shall collect,

     [22]                              35
 1   retain, and carry forward funds to ensure continuous administration
 2   of the program.”
 3
 4     3. Sections 1-11-250, 1-11-260, 1-11-270(A), 1-11-280,
 5   1-11-290; 1-11-300, 1-11-310, as last amended by Act 203 of
 6   2008, 1-11-315, 1-11-320; 1-11-335, and 1-11-340 of the 1976
 7   Code are amended to read:
 8
 9     “Section 1-11-250. For purposes of Sections 1-11-220 to
10   1-11-330:
11     (a) ‘State agency’ means all officers, departments, boards,
12   commissions, institutions, universities, colleges, and all persons
13   and administrative units of state government that operate motor
14   vehicles purchased, leased, or otherwise held with the use of state
15   funds, pursuant to an appropriation, grant or encumbrance of state
16   funds, or operated pursuant to authority granted by the State.
17     (b) ‘Board Department’ means State Budget and Control Board
18   the South Carolina Department of Administration.
19
20      Section 1-11-260. (A) The Fleet Manager shall report annually
21   to the Budget and Control Board and the General Assembly
22   concerning the performance of each state agency in achieving the
23   objectives enumerated in Sections 1-11-220 through 1-11-330 and
24   include in the report a summary of the division’s program’s efforts
25   in aiding and assisting the various state agencies in developing and
26   maintaining their management practices in accordance with the
27   comprehensive statewide Motor Vehicle Fleet Management
28   Program. This report also shall contain recommended changes in
29   the law and regulations necessary to achieve these objectives.
30      (B) The board department, after consultation with state agency
31   heads, shall promulgate and enforce state policies, procedures, and
32   regulations to achieve the goals of Sections 1-11-220 through
33   1-11-330 and shall recommend administrative penalties to be used
34   by the agencies for violation of prescribed procedures and
35   regulations relating to the Fleet Management Program.
36
37      Section 1-11-270. (A) The board department shall establish
38   criteria for individual assignment of motor vehicles based on the
39   functional requirements of the job, which shall reduce the
40   assignment to situations clearly beneficial to the State. Only the
41   Governor, statewide elected officials, and agency heads are
42   provided a state-owned vehicle based on their position.
43

     [22]                             36
 1      Section 1-11-280. The Board department shall develop a
 2   system of agency-managed and interagency motor pools which are,
 3   to the maximum extent possible, cost beneficial to the State. All
 4   motor pools shall operate according to regulations promulgated by
 5   the Budget and Control Board department. Vehicles shall be
 6   placed in motor pools rather than being individually assigned
 7   except as specifically authorized by the Board department in
 8   accordance with criteria established by the Board department. The
 9   motor pool operated by the Division of General Services shall be
10   transferred to the Division of Motor Vehicle Management.
11   Agencies utilizing motor pool vehicles shall utilize trip log forms
12   approved by the Board department for each trip, specifying
13   beginning and ending mileage and the job function performed.
14      The provisions of this section shall not apply to school buses
15   and service vehicles.
16
17      Section 1-11-290. The Board department in consultation with
18   the agencies operating maintenance facilities shall study the
19   cost-effectiveness of such facilities versus commercial alternatives
20   and shall develop a plan for maximally cost-effective vehicle
21   maintenance. The Budget and Control Board department shall
22   promulgate rules and regulations governing vehicle maintenance to
23   effectuate the plan.
24      The State Vehicle Maintenance program shall include:
25      (a) central purchasing of supplies and parts;
26      (b) an effective inventory control system;
27      (c) a uniform work order and record-keeping system assigning
28   actual maintenance cost to each vehicle; and
29      (d) preventive maintenance programs for all types of vehicles.
30      All motor fuels shall be purchased from state facilities except in
31   cases where such purchase is impossible or not cost beneficial to
32   the State.
33      All fuels, lubricants, parts, and maintenance costs including
34   those purchased from commercial vendors shall be charged to a
35   state credit card bearing the license plate number of the vehicle
36   serviced and the bill shall include the mileage on the odometer of
37   the vehicle at the time of service.
38
39     Section 1-11-300. In accordance with criteria established by the
40   board department, each agency shall develop and implement a
41   uniform cost accounting and reporting system to ascertain the cost
42   per mile of each motor vehicle used by the State under their
43   control. Agencies presently operating under existing systems may

     [22]                             37
 1   continue to do so provided that board departmental approval shall
 2   be is required and that the existing systems shall be are uniform
 3   with the criteria established by the board department. All
 4   expenditures on a vehicle for gasoline and oil shall be purchased in
 5   one of the following ways:
 6      (1) from state-owned facilities and paid for by the use of
 7   Universal State Credit Cards except where agencies purchase these
 8   products in bulk;
 9      (2) from any fuel outlet where gasoline and oil are sold
10   regardless of whether the outlet accepts a credit or charge card
11   when the purchase is necessary or in the best interest of the State;
12   and
13      (3) from a fuel outlet where gasoline and oil are sold when that
14   outlet agrees to accept the Universal State Credit Card.
15      These provisions regarding purchase of gasoline and oil and
16   usability of the state credit card also apply to alternative
17   transportation fuels where available. The Budget and Control
18   Board Division of Operations department shall adjust the
19   budgetary appropriation in Part IA, Section 63B, for ‘Operating
20   Expenses--Lease Fleet’ to reflect the dollar savings realized by
21   these provisions and transfer such amount to other areas of the
22   State Fleet Management Program. The Board department shall
23   promulgate regulations regarding the purchase of motor vehicle
24   equipment and supplies to ensure that agencies within a reasonable
25   distance are not duplicating maintenance services or purchasing
26   equipment that is not in the best interest of the State. The Board
27   department shall develop a uniform method to be used by the
28   agencies to determine the cost per mile for each vehicle operated
29   by the State.
30
31      Section 1-11-310. (A) The State Budget and Control Board
32   Department of Administration shall purchase, acquire, transfer,
33   replace, and dispose of all motor vehicles on the basis of maximum
34   cost-effectiveness and lowest anticipated total life cycle costs.
35      (B) The standard state fleet sedan or station wagon must be no
36   larger than a compact model and the special state fleet sedan or
37   station wagon must be no larger than an intermediate model. The
38   director of the Division of Motor Vehicle Management State Fleet
39   Manager shall determine the types of vehicles which fit into these
40   classes. Only these classes of sedans and station wagons may be
41   purchased by the State for nonlaw enforcement use.
42      (C) The State shall purchase police sedans only for the use of
43   law enforcement officers, as defined by the Internal Revenue

     [22]                             38
 1   Code. Purchase of a vehicle under this subsection must be
 2   concurred in by the director of the Division of Motor Vehicle
 3   Management State Fleet Manager and must be in accordance with
 4   regulations promulgated or procedures adopted under Sections
 5   1-11-220 through 1-11-340 which must take into consideration the
 6   agency’s mission, the intended use of the vehicle, and the officer’s
 7   duties. Law enforcement agency vehicles used by employees
 8   whose job functions do not meet the Internal Revenue Service
 9   definition of ‘Law Enforcement Officer’ must be standard or
10   special state fleet sedans.
11      (D) All state motor vehicles must be titled to the State and must
12   be received by and remain in the possession of the Division
13   Program of Motor Vehicle Fleet Management pending sale or
14   disposal of the vehicle.
15      (E) Titles to school buses and service vehicles operated by the
16   State Department of Education and vehicles operated by the South
17   Carolina Department of Transportation must be retained by those
18   agencies.
19      (F) Exceptions to requirements in subsections (B) and (C) must
20   be approved by the director of the Division of Motor Vehicle
21   Management State Fleet Manager. Requirements in subsection (B)
22   do not apply to the State Development Board Department of
23   Commerce.
24      (G) Preference in purchasing state motor vehicles must be
25   given to vehicles assembled in the United States with at least
26   seventy-five percent domestic content as determined by the
27   appropriate federal agency.
28      (H) Preference in purchasing state motor vehicles must be
29   given to hybrid, plug-in hybrid, bio-diesel, hydrogen, fuel cell, or
30   flex-fuel vehicles when the performance, quality, and anticipated
31   life cycle costs are comparable to other available motor vehicles.
32
33      Section 1-11-315. The State Budget and Control Board
34   Department of Administration, Division of General Services,
35   Program of Motor Vehicle Fleet Management, shall determine the
36   extent to which the state vehicle fleet can be configured to operate
37   on alternative transportation fuels. This determination must be
38   based on a thorough evaluation of each alternative fuel and the
39   feasibility of using such fuels to power state vehicles. The state
40   fleet must be configured in a manner that will serve as a model for
41   other corporate and government fleets in the use of alternative
42   transportation fuel. By March 1, 1993, the Division Program of
43   Motor Vehicle Fleet Management must submit a plan to the

     [22]                             39
 1   General Assembly for the use of alternative transportation fuels for
 2   the state vehicle fleet that will enable the state vehicle fleet to
 3   serve as a model for corporate and other government fleets in the
 4   use of alternative transportation fuel. This plan must contain a
 5   cost/benefit analysis of the proposed changes.
 6
 7      Section 1-11-320. The Board department shall ensure that all
 8   state-owned motor vehicles are identified as such through the use
 9   of permanent state-government state government license plates and
10   either state or agency seal decals. No vehicles shall be exempt
11   from the requirements for identification except those exempted by
12   the Board department.
13      This section shall not apply to vehicles supplied to law
14   enforcement officers when, in the opinion of the Board department
15   after consulting with the Chief of the State Law Enforcement
16   Division, those officers are actually involved in undercover law
17   enforcement work to the extent that the actual investigation of
18   criminal cases or the investigators’ physical well-being would be
19   jeopardized if they were identified. The Board department is
20   authorized to exempt vehicles carrying human service agency
21   clients in those instances in which the privacy of the client would
22   clearly and necessarily be impaired.
23
24     Section 1-11-335. The respective divisions of the Budget and
25   Control Board Department of Administration are authorized to
26   provide to and receive from other governmental entities, including
27   other divisions and state and local agencies and departments,
28   goods and services, as will in its opinion promote efficient and
29   economical operations. The divisions may charge and pay the
30   entities for the goods and services, the revenue from which shall be
31   deposited in the state treasury in a special account and expended
32   only for the costs of providing the goods and services, and such
33   funds may be retained and expended for the same purposes.
34
35      Section 1-11-340. The Board department shall develop and
36   implement a statewide Fleet Safety Program for operators of
37   state-owned vehicles which shall serve to minimize the amount
38   paid for rising insurance premiums and reduce the number of
39   accidents involving state-owned vehicles. The Board department
40   shall promulgate rules and regulations requiring the establishment
41   of an accident review board by each agency and mandatory driver
42   training in those instances where remedial training for employees
43   would serve the best interest of the State.”

     [22]                             40
 1
 2   G. Section 1-11-435 of the 1976 Code is amended to read:
 3
 4      “Section 1-11-435. To protect the state’s critical information
 5   technology infrastructure and associated data systems in the event
 6   of a major disaster, whether natural or otherwise, or resulting from
 7   an infiltration or compromise of the infrastructure and associated
 8   data systems, and to allow the services to the citizens of this State
 9   to continue in such an event, the Office Division of the State Chief
10   Information Officer Technology in the Department of
11   Administration (CIO) should develop a Critical Information
12   Technology Infrastructure Protection Plan devising policies and
13   procedures to provide for the confidentiality, integrity, and
14   availability of, and to allow for alternative and immediate online
15   access to critical data and information systems including, but not
16   limited to, health and human services, law enforcement, and
17   related agency data necessary to provide critical information to
18   citizens and ensure the protection of state employees as they carry
19   out their disaster-related duties. All state agencies and political
20   subdivisions of this State are directed to assist the Office of the
21   State CIO division in the collection of data required for this plan.”
22
23   H. Section 1-15-10 of the 1976 Code, as last amended by Act
24   249 of 2008, is further amended to read:
25
26      “Section 1-15-10. There is hereby created a Commission on
27   Women to be composed of fifteen members appointed by the
28   Governor with the advice and consent of the Senate from among
29   persons with a competency in the area of public affairs and
30   women’s activities. One member must be appointed from each
31   congressional district and the remaining members from the State at
32   large. The commission shall be under and a part of the Office of
33   the Governor Department of Administration. Members of the
34   commission shall serve for terms of four years and until their
35   successors are appointed and qualify, except of those members
36   first appointed after the expansion of the commission to fifteen
37   members, two members shall serve a term of one year, two
38   members shall serve a term of two years, two members shall serve
39   a term of three years, and two members shall serve a term of four
40   years. Members appointed prior to and after the expansion of the
41   commission to fifteen members shall be designated by the
42   Governor as being appointed to serve either from a particular
43   congressional district or at large. Vacancies shall be filled in the

     [22]                             41
 1   manner of the original appointment for the unexpired portion of
 2   the term only. No member shall be eligible to serve more than two
 3   consecutive terms.”
 4
 5   I. a. Section 1-30-110 of the 1976 Code is repealed.
 6
 7     b. Section 2-59-10(1) of the 1976 Code is amended to read:
 8
 9     “1. management of the L. Marion Gressette Building and the
10   Senate areas of the State House with sole authority to formulate
11   and implement policies and procedures for the effective utilization
12   of personnel, equipment, and space within the building L. Marion
13   Gressette Building and the Senate areas of the State House;”
14
15   J. Chapter 9, Title 3 of the 1976 Code is amended to read:
16
17                               CHAPTER 9
18
19          Acquisition and Distribution of Federal Surplus Property
20
21      Section 3-9-10. (a) The Division of General Services of the
22   State Budget and Control Board Department of Administration is
23   authorized:
24        (1) to acquire from the United States of America under and
25   in conformance with the provisions of Section 203 (j) of the
26   Federal Property and Administrative Services Act of 1949, as
27   amended, hereafter referred to as the ‘act,’ such property,
28   including equipment, materials, books, or other supplies under the
29   control of any department or agency of the United States of
30   America as may be usable and necessary for purposes of
31   education, public health or civil defense, including research for any
32   such purpose, and for such other purposes as may now or hereafter
33   be authorized by federal law;
34        (2) to warehouse such property; and
35        (3) to distribute such property within the State to
36   tax-supported medical institutions, hospitals, clinics, health
37   centers, school systems, schools, colleges and universities within
38   the State, to other nonprofit medical institutions, hospitals, clinics,
39   health centers, schools, colleges and universities which are exempt
40   from taxation under Section 501 (c)(3) of the United States
41   Internal Revenue Code of 1954, to civil defense organizations of
42   the State, or political subdivisions and instrumentalities thereof,
43   which are established pursuant to State law, and to such other

     [22]                              42
 1   types of institutions or activities as may now be or hereafter
 2   become eligible under Federal law to acquire such property.
 3      (b) The Division of General Services of the Department of
 4   Administration is authorized to receive applications from eligible
 5   health and educational institutions for the acquisition of Federal
 6   surplus real property, investigate the applications, obtain
 7   expression of views respecting the applications from the
 8   appropriate health or educational authorities of the State, make
 9   recommendations regarding the need of such applicant for the
10   property, the merits of its proposed program of utilization, the
11   suitability of the property for the purposes, and otherwise assist in
12   the processing of the applications for acquisition of real and related
13   personal property of the United States under Section 203 (k) of the
14   act.
15      (c) For the purpose of executing its authority under this
16   chapter, the Division of General Services is authorized to adopt,
17   amend or rescind rules and regulations and prescribe such
18   requirements as may be deemed necessary; and take such other
19   action as is deemed necessary and suitable, in the administration of
20   this chapter, to assure maximum utilization by and benefit to
21   health, educational and civil defense institutions and organizations
22   within the State from property distributed under this chapter.
23      (d) The Budget and Control Board Department of
24   Administration is authorized to appoint advisory boards or
25   committees, and to employ such personnel and prescribe their
26   duties as are deemed necessary and suitable for the administration
27   of this chapter.
28      (e) The Director of the Division of General Services is
29   authorized to make such certifications, take such action and enter
30   into such contracts, agreements and undertakings for and in the
31   name of the State (including cooperative agreements with any
32   Federal agencies providing for utilization of property and facilities
33   by and exchange between them of personnel and services without
34   reimbursement), require such reports and make such investigations
35   as may be required by law or regulation of the United States of
36   America in connection with the receipt, warehousing, and
37   distribution of personal property received by him from the United
38   States of America.
39      (f) The Division of General Services is authorized to act as
40   clearinghouse of information for the public and private nonprofit
41   institutions, organizations and agencies referred to in subparagraph
42   (a) of this section and other institutions eligible to acquire federal
43   surplus personal property, to locate both real and personal property

     [22]                              43
 1   available for acquisition from the United States of America, to
 2   ascertain the terms and conditions under which such property may
 3   be obtained, to receive requests from the above-mentioned
 4   institutions, organizations, and agencies and to transmit to them all
 5   available information in reference to such property, and to aid and
 6   assist such institutions, organizations, and agencies in every way
 7   possible in the consummation of acquisitions or transactions
 8   hereunder.
 9      (g) The Division of General Services, in the administration of
10   this chapter, shall cooperate to the fullest extent consistent with the
11   provisions of the act, and with the departments or agencies of the
12   United States of America, and shall file a State plan of operation,
13   and operate in accordance therewith, and take such action as may
14   be necessary to meet the minimum standards prescribed in
15   accordance with the act, and make such reports in such form and
16   containing such information as the United States of America or
17   any of its departments or agencies may from time to time require,
18   and it shall comply with the laws of the United States of America
19   and the rules and regulations of any of the departments or agencies
20   of the United States of America governing the allocation, transfer,
21   use or accounting for, property donable or donated to the State.
22
23      Section 3-9-20. The Director of the Division of General
24   Services may delegate such power and authority as he deems
25   reasonable and proper for the effective administration of this
26   chapter. The State Budget and Control Board South Carolina
27   Department of Administration may require bond of any person in
28   the employ of the Division of General Services receiving or
29   distributing property from the United States under authority of this
30   chapter.
31
32      Section 3-9-30. Any charges made or fees assessed by the
33   Division of General Services for the acquisition, warehousing,
34   distribution, or transfer of any property of the United States of
35   America for educational, public health, or civil defense purposes,
36   including research for any such purpose, or for any purpose which
37   may now be or hereafter become eligible under the act, shall be
38   limited to those reasonably related to the costs of care and handling
39   in respect to its acquisition, receipt, warehousing, distribution, or
40   transfer.
41
42     Section 3-9-40. The provisions of this chapter shall not apply to
43   the acquisition of property acquired by agencies of the State under

     [22]                              44
 1   the priorities established by Section 308 (b), Title 23, United States
 2   Code, Annotated.”
 3
 4   K. Section 10-1-10 of the 1976 Code, as last amended by Act
 5   628 of 1988, is further amended to read:
 6
 7     “Section 10-1-10. The State Budget and Control Board
 8   Department of Administration shall keep, landscape, cultivate, and
 9   beautify the State House and State House grounds with authority to
10   expend such amounts as may be annually appropriated therefor.
11   The board department shall employ all help and labor in policing,
12   protecting, and caring for the State House and State House grounds
13   and shall have full authority over them.”
14
15   L. Section 10-1-30 of the 1976 Code, as last amended by Act
16   628 of 1988, is further amended to read:
17
18     “Section 10-1-30. (A) The Director of the Division of General
19   Services of the State Budget and Control Board may authorize the
20   use of the State House lobbies, areas of State House except for
21   those provided in subsection (B), the State House steps and
22   grounds, and other public buildings and grounds except for those
23   provided in subsection (B) in accordance with regulations
24   promulgated by the board department and the laws of this State.
25     (B) The Clerk of the Senate and the Clerk of the House of
26   Representatives shall provide joint approval for access to or the
27   use of the second and third floors of the State House; provided,
28   that use of the respective chambers of each house shall be the
29   prerogative of that house. The director shall obtain the approval of
30   the Clerk of the Senate before authorizing shall provide prior
31   authorization for any access to or use of the Gressette Senate
32   Office Building and shall obtain the approval of the Clerk of the
33   House of Representatives before authorizing shall provide prior
34   authorization for any access to or use of the Blatt House Office
35   Building. Management and supervision of the office buildings of
36   each house of the General Assembly shall be exercised by their
37   presiding officer acting through the respective clerks.
38     (C) The regulations promulgated pursuant to subsection (A)
39   must contain provisions to insure ensure that the public health,
40   safety, and welfare will be are protected in the use of the areas
41   including reasonable time, place, and manner restrictions and
42   application periods before use. If sufficient measures cannot be
43   are not taken to protect the public health, safety, and welfare, the

     [22]                              45
 1   director shall deny the requested use. Other restrictions may be
 2   imposed on the use of the areas as are necessary for the conduct of
 3   business in those areas and the maintenance of the dignity,
 4   decorum, and aesthetics of the areas.”
 5
 6   M. Section 10-1-130 of the 1976 Code is amended to read:
 7
 8      “Section 10-1-130. The trustees or governing bodies of state
 9   institutions and agencies may grant easements and rights of way
10   over any property under their control, upon the concurrence and
11   acquiescence of the State Budget and Control Board
12   recommendation of the Department of Administration, whenever it
13   appears that such easements will do not materially impair the
14   utility of the property or damage it and, when a consideration is
15   paid therefor, any such amounts shall must be placed in the State
16   Treasury to the credit of the institution or agency having control of
17   the property involved.”
18
19   N. Section 10-1-190 of the 1976 Code, as added by Act 145 of
20   1995, is amended to read:
21
22      “Section 10-1-190. As part of the approval process relating to
23   trades of state property for nonstate property, the Budget and
24   Control Board Department of Administration is authorized to
25   approve the application of any net proceeds resulting from such a
26   transaction to the improvement of the property held by the board
27   department.”
28
29   O. Chapter 9, Title 10 of the 1976 Code is amended to read:
30
31                              ”CHAPTER 9
32
33                     Minerals and Mineral Interests
34                           in Public Lands
35
36                                Article 1
37
38                           General Provisions
39
40     Section 10-9-10. The Public Service Authority may, through its
41   board of directors, make and execute leases of gas, oil, and other
42   minerals and mineral rights, excluding phosphate and lime and
43   phosphatic deposits, over and upon the lands and properties owned

     [22]                             46
 1   by said authority; and the State Budget and Control Board South
 2   Carolina Department of Health and Environmental Control and the
 3   forfeited land commissions of the several counties of this State
 4   may, with the approval of the Attorney General, make and execute
 5   such leases over and upon the lands and waters of the State and of
 6   the several counties under the ownership, management, or control
 7   of such Board the department and commissions respectively.
 8
 9      Section 10-9-20. No such lease shall provide for a royalty of
10   less than twelve and one-half per cent of production of oil and gas
11   from the lease.
12
13      Section 10-9-30. Nothing contained in this article shall estop
14   the State from enacting proper laws for the conservation of the oil,
15   gas and other mineral resources of the State and all leases and
16   contracts made under authority of this article shall be subject to
17   such laws; provided, that the State Budget and Control Board
18   South Carolina Department of Health and Environmental Control
19   may negotiate for leases of oil, gas, and other mineral rights upon
20   all of the lands and waters of the State, including offshore marginal
21   and submerged lands.
22
23      Section 10-9-35. In the event that the State of South Carolina
24   is the recipient of revenues derived from offshore oil leases within
25   the jurisdictional limits of the State such revenues shall be
26   deposited with the State Treasurer in a special fund and shall be
27   expended only by authorization of the General Assembly.
28      Funds so accumulated shall be expended only for the following
29   purposes:
30      (1) to retire the bonded indebtedness incurred by South
31   Carolina;
32      (2) for capital improvement expenditures.
33
34      Section 10-9-40. The authority conferred upon the Public
35   Service Authority, the State Budget and Control Board South
36   Carolina Department of Health and Environmental Control, and
37   the forfeited land commissions by this article shall be cumulative
38   and in addition to the rights and powers heretofore vested by law
39   in such authority, such State Budget and Control Board the South
40   Carolina Department of Administration, and such commissions,
41   respectively.
42
43                                Article 3

     [22]                             47
 1
 2                                Phosphate
 3
 4      Section 10-9-110. The State Budget and Control Board South
 5   Carolina Department of Health and Environmental Control shall be
 6   charged with the exclusive control and protection of the rights and
 7   interest of the State in the phosphate rocks and phosphatic deposits
 8   in the navigable streams and in the marshes thereof.
 9
10      Section 10-9-120. The Board department may inquire into and
11   protect the interests of the State in and to any phosphatic deposits
12   or mines, whether in the navigable waters of the State or in land
13   marshes or other territory owned or claimed by other parties, and
14   in the proceeds of any such mines and may take such action for, or
15   in behalf of, the State in regard thereto as it may find necessary or
16   deem proper.
17
18      Section 10-9-130. The Board department may issue to any
19   person who applies for a lease or license granting a general right to
20   dig, mine, and remove phosphate rock and phosphatic deposits
21   from all the navigable streams, waters, and marshes belonging to
22   the State and also from such of the creeks, not navigable, lying
23   therein as may contain phosphate rock and deposits belonging to
24   the State and not previously granted. Such leases or licenses may
25   be for such terms as may be determined by the Board department.
26   The annual report of the Board department to the General
27   Assembly shall include a list of all effective leases and licenses.
28   The Board department may make a firm contract for the royalty to
29   be paid the State which shall not be increased during the life of the
30   license. Provided, that prior to the grant or issuance of any lease or
31   license, the Board department shall cause to be published a notice
32   of such application in a newspaper having general circulation in
33   the county once a week for three successive weeks prior to the
34   grant or issuance. Provided, further However, the lessee or
35   licensee may shall not take possession if there be is an adverse
36   claim and the burden of proving ownership in the State shall be
37   placed upon the lessee or licensee.
38
39     Section 10-9-140.     In every case in which such an application
40   shall be is made to the Board department for a license, the Board
41   department may grant or refuse the license as it may deem
42   considers best for the interest of the State and the proper
43   management of the interests of the State in such those deposits.

     [22]                              48
 1
 2      Section 10-9-150. As a condition precedent to the right to dig,
 3   mine, and remove the rocks and deposits granted by any such a
 4   license, each licensee shall enter into bond, with security, in the
 5   penal sum of five thousand dollars, conditioned for the making at
 6   the end of every month of true and faithful returns to the
 7   Comptroller General of the number of tons of phosphate rock and
 8   phosphatic deposits so dug or mined and the punctual payment to
 9   the State Treasurer of the royalty provided at the end of every
10   quarter or three months. Such The bond and sureties thereon shall
11   be are subject to the approval required by law for the bonds of state
12   officers.
13
14      Section 10-9-160. Whenever the Board department shall have
15   reason to doubt the solvency of any surety whose name appears
16   upon any bond executed for the purpose of securing the payment
17   of the phosphate royalty by any person digging, mining and
18   removing phosphate rock or phosphatic deposits in any of the
19   territory, the property of the State, under any grant or license, the
20   Board department shall forthwith notify the person giving such
21   bond and the sureties thereon and require that one or more sureties,
22   as the case may be, shall be added to the bond, such surety or
23   sureties to be approved by the Board department.
24
25     Section 10-9-170. The Board department, upon petition filed
26   by any person who is surety on any such bond as aforesaid and
27   who considers himself in danger of being injured by such
28   suretyship, shall notify the person giving such bond to give a new
29   bond with other sureties and upon failure of such person to do so
30   within thirty days shall cause such person to suspend further
31   operations until a new bond be given. But in In no case shall the
32   sureties on the old bond be discharged from liability thereon until
33   the new bond has been executed and approved, and such sureties
34   shall not be discharged from any antecedent liability by reason of
35   such suretyship.
36
37      Section 10-9-180. The Board department is hereby vested with
38   full and complete power and control over all mining in the
39   phosphate territory belonging to this State and over all persons
40   digging or mining phosphate rock or phosphatic deposit in the
41   navigable streams and waters or in the marshes thereof, with full
42   power and authority, subject to the provisions of Sections 10-9-130
43   and 10-9-190 to fix, regulate, raise, or reduce such royalty per ton

     [22]                             49
 1   as shall from time to time be paid to the State by such persons for
 2   all or any such phosphate rock dug, mined, removed, and shipped
 3   or otherwise sent to the market therefrom. But six Six months’
 4   notice shall be given all persons at such time digging or mining
 5   phosphate rock in such navigable streams, waters, or marshes
 6   before any increase shall be made in the rate of royalty theretofore
 7   existing.
 8
 9      Section 10-9-190. Each person to whom a license shall be
10   issued must, at the end of every month, make to the Comptroller
11   General a true and lawful return of the phosphate rock and
12   phosphatic deposits he may have dug or mined during such month
13   and shall punctually pay to the State Treasurer, at the end of every
14   quarter or three months, a royalty of five cents per ton upon each
15   and every ton of the crude rock (not of the rock after it has been
16   steamed or dried), the first quarter to commence to run on the first
17   day of January in each year.
18
19      Section 10-9-200. The State Budget and Control Board
20   Department of Administration shall, within twenty days after the
21   grant of any license as aforesaid, shall notify the Comptroller
22   General of the issuing of such license, with the name of the person
23   to whom issued, the time of the license, and the location for which
24   it was issued.
25
26      Section 10-9-210. Every person who shall dig, mine, or remove
27   any phosphate rock or phosphatic deposit from the beds of the
28   navigable streams, waters, and marshes of the State without license
29   therefor previously granted by the State to such person shall be
30   liable to a penalty of ten dollars for each and every ton of
31   phosphate rock or phosphatic deposits so dug, mined, or removed,
32   to be recovered by action at the suit of the State in any court of
33   competent jurisdiction. One-half of such penalty shall be for the
34   use of the State and the other half for the use of the informer.
35
36      Section 10-9-220. It shall be unlawful for any person to
37   purchase or receive any phosphate rock or phosphatic deposit dug,
38   mined, or removed from the navigable streams, waters, or marshes
39   of the State from any person not duly authorized by act of the
40   General Assembly of this State or license of the Board department
41   to dig, mine, or remove such phosphate rock or phosphatic deposit.
42


     [22]                             50
 1     Section 10-9-230. Any person violating Section 10-9-220 shall
 2   forfeit to the State the sum of ten dollars for each and every ton of
 3   phosphate rock or phosphatic deposit so purchased or received, to
 4   be recovered by action in any court of competent jurisdiction.
 5   One-half of such forfeiture shall be for the use of the State and the
 6   other half for the use of the informer.
 7
 8      Section 10-9-240. Should any person whosoever interfere with,
 9   obstruct, or molest or attempt to interfere with, obstruct, or molest
10   the Board department or anyone by it authorized or licensed
11   hereunder in the peaceable possession and occupation for mining
12   purposes of any of the marshes, navigable streams, or waters of the
13   State, then the Board department may, in the name and on behalf
14   of the State, take such measures or proceedings as it may be
15   advised are proper to enjoin and terminate any such molestation,
16   interference, or obstruction and place the State, through its agents,
17   the Board department or anyone under it authorized, in absolute
18   and practical possession and occupation of such marshes,
19   navigable streams, or waters.
20
21      Section 10-9-250. Should any person attempt to mine or
22   remove phosphate rock and phosphatic deposits from any of the
23   marshes, navigable waters, or streams, including the Coosaw River
24   phosphate territory, by and with any boat, vessel, marine dredge,
25   or other appliances for such mining or removal, without the leave
26   or license of the Board department thereto first had and obtained,
27   all such boats, vessels, marine dredges, and other appliances are
28   hereby declared forfeited to and property of the State, and the
29   Attorney General, for and in behalf of the State, shall institute
30   proceedings in any court of competent jurisdiction for the claim
31   and delivery thereof, in the ordinary form of action for claim and
32   delivery, in which action the title of the State shall be established
33   by the proof of the commission of any such act of forfeiture by the
34   person owning them, or his agents, in possession of such boats,
35   vessels, marine dredges, or other appliances. In any such action
36   the State shall not be called upon or required to give any bond or
37   obligation such as is required by parties plaintiff in action for claim
38   and delivery.
39
40     Section 10-9-260. Any person wilfully interfering with,
41   molesting, or obstructing or attempting to interfere with, molest, or
42   obstruct the State or the State Budget and Control Board
43   Department of Health and Environmental Control or anyone by it

     [22]                              51
 1   authorized or licensed in the peaceable possession and occupation
 2   of any of the marshes, navigable streams, or waters of the State,
 3   including the Coosaw River phosphate territory, or who shall dig
 4   or mine or attempt to dig or mine any of the phosphate rock or
 5   phosphatic deposits of this State without a license so to do issued
 6   by the Board department shall be punished for each offense by a
 7   fine of not less than one hundred dollars nor more than five
 8   hundred dollars or imprisonment for not less than one nor more
 9   than twelve months, or both, at the discretion of the court.
10
11      Section 10-9-270. The Board department shall report annually
12   to the General Assembly its actions and doings under this article
13   during the year to the time of the meeting of the assembly, with an
14   itemized account of its expenses for the year incurred in
15   connection with its duties and powers under this article.
16
17                                 Article 5
18
19                          Geothermal Resources
20
21      Section 10-9-310. For purposes of this article ‘geothermal
22   resources’ mean means the natural heat of the earth at temperatures
23   greater than forty degrees Celsius and includes:
24      (1) the energy, including pressure, in whatever form present in,
25   resulting from, created by, or that may be extracted from that
26   natural heat.;
27      (2) the material medium, including the brines, water, and steam
28   naturally present, as well as any substance artificially introduced to
29   serve as a heat transfer medium.;
30      (3) all dissolved or entrained minerals and gases that may be
31   obtained from the material medium but excluding hydrocarbon
32   substances and helium.
33
34      Section 10-9-320. The State Budget and Control Board (board)
35   Department of Health and Environmental Control may lease
36   development rights to geothermal resources underlying surface
37   lands owned by the State. The board department must promulgate
38   regulations regarding the method of lease acquisition, lease terms,
39   and conditions due the State under lease operations. The South
40   Carolina Department of Natural Resources is designated as the
41   exclusive agent for the board department in selecting lands to be
42   leased, administering the competitive bidding for leases,
43   administering the leases, receiving and compiling comments from

     [22]                              52
 1   other state agencies concerning the desirability of leasing the state
 2   lands proposed for leasing and such other activities that pertain to
 3   geothermal resource leases as may be included herein as
 4   responsibilities of the board department.
 5
 6      Section 10-9-330. Any lease of rights to drill for and use oil,
 7   natural gas, or minerals on public or private lands must not allow
 8   drilling for or use of geothermal energy by the lessee unless the
 9   instrument creating the lease specifically provides for such use.”
10
11   P. Section 10-11-50 of the 1976 Code, as last amended by Act
12   181 of 1993, is further amended to read:
13
14     “Section 10-11-50. It shall be unlawful for anyone to park any
15   vehicle on any of the property described in Section 10-11-40 and
16   subsection (2) of Section 10-11-80 except in the spaces and
17   manner now marked and designated or that may hereafter be
18   marked and designated by the State Budget and Control Board
19   Department of Administration, in cooperation with the Department
20   of Transportation, or to block or impede traffic through the alleys
21   and driveways.”
22
23   Q. Section 10-11-90 of the 1976 Code is amended to read:
24
25      “Section 10-11-90. The watchmen and policemen employed by
26   the Budget and Control Board for the protection of the property
27   described in Sections 10-11-30 and 10-11-40 and subsection (2) of
28   Section 10-11-80 are hereby vested with all of the powers,
29   privileges, and immunities of constables while on this area or in
30   fresh pursuit of those violating the law in this area, provided that
31   such watchmen and policemen take and file the oath required of
32   peace officers, execute and file bond in the form required of state
33   constables, in the amount of one thousand dollars, with the Budget
34   and Control Board, and be duly commissioned by the Governor.”
35
36   R.     Section 10-11-110 of the 1976 Code is amended to read:
37
38     “Section 10-11-110. In connection with traffic and parking
39   violations only, the watchmen and policemen referred to in Section
40   10-11-90, state highway patrolmen and policemen of the City of
41   Columbia shall have the right to issue and use parking tickets of
42   the type used by the City of Columbia, with such changes as are
43   necessitated hereby, to be prepared and furnished by the Budget

     [22]                             53
 1   and Control Board Department of Administration, upon the
 2   issuance of which the procedures shall be followed as prevail in
 3   connection with the use of parking tickets by the City of Columbia.
 4   Nothing herein shall restrict the application and use of regular
 5   arrest warrants.”
 6
 7   S.     Section 10-11-140 of the 1976 Code is amended to read:
 8
 9     “Section 10-11-140. Nothing contained in this article shall be
10   construed to abridge the authority of the State Budget and Control
11   Board Department of Administration to grant permission to use the
12   State House grounds for educational, electrical decorations, and
13   similar purposes.”
14
15   T.     Section 10-11-330 of the 1976 Code is amended to read:
16
17      “Section 10-11-330. It shall be unlawful for any person or
18   group of persons willfully wilfully and knowingly: (a) to enter or
19   to remain within the capitol building unless such person is
20   authorized by law or by rules of the House or Senate, or of the
21   State Budget and Control Board or the Department of
22   Administration regulations, respectively, when such entry is done
23   for the purpose of uttering loud, threatening, and abusive language
24   or to engage in any disorderly or disruptive conduct with the intent
25   to impede, disrupt, or disturb the orderly conduct of any session of
26   the legislature or the orderly conduct within the building or of any
27   hearing before or any deliberation of any committee or
28   subcommittee of the legislature; (b) to obstruct or to impede
29   passage within the capitol grounds or building; (c) to engage in
30   any act of physical violence upon the capitol grounds or within the
31   capitol building; or (d) to parade, demonstrate, or picket within the
32   capitol building.”
33
34   U. 1. Sections 11-9-610, 11-9-620, and 11-9-630 of the 1976
35   Code are amended to read:
36
37      “Section 11-9-610. The State Budget and Control Board State
38   Fiscal Accountability Authority shall receive and manage the
39   incomes and revenues set apart and applied to the Sinking Fund of
40   the State. The authority shall report annually on the financial
41   status of the Sinking Fund to the General Assembly.
42


     [22]                             54
 1      Section 11-9-620. All moneys monies arising from the
 2   redemption of lands, leases, and sales of property or otherwise
 3   coming to the State Budget and Control Board authority for the
 4   Sinking Fund, shall must be paid into the State Treasury and shall
 5   be kept on a separate account by the treasurer as a fund to be
 6   drawn upon the warrants of the Board department for the exclusive
 7   uses and purposes which have been or shall be declared in relation
 8   to the Sinking Fund.
 9
10     Section 11-9-630. The State Budget and Control Board
11   authority shall sell and convey, for and on behalf of the State, all
12   such real property, assets, and effects belonging to the State as are
13   not in actual public use, such sales to be made from time to time in
14   such manner and upon such terms as it may deem most
15   advantageous to the State. This shall not be construed to authorize
16   the sale by the Board of any property held in trust for a specific
17   purpose by the State or the property of the State in the phosphate
18   rocks or phosphatic deposits in the beds of the navigable streams
19   and waters and marshes of the State.”
20
21     2. Sections 11-9-665, 11-9-670, and 11-9-680 of the 1976 Code
22   are amended to read:
23
24      “Section 11-9-665. (A) The Budget and Control Board
25   authority on behalf of the State may acquire for use by the State
26   real property as investments of any reserve or sinking fund of the
27   State which is not pledged for payment of bonded indebtedness.
28   Provided, however, such expenditures from the reserve or sinking
29   fund shall not exceed two million dollars. Upon any such
30   acquisition the State Budget and Control Board authority shall
31   execute a note evidencing such investment upon such terms and
32   conditions as may be appropriate in each instance. The note shall
33   include a pledge of the board to apply on its payment all net
34   income derived from the property so acquired; provided, that
35   funding for any permanent project on the property shall provide for
36   repayment of any outstanding balance to the appropriate reserve or
37   sinking fund. Provided, further, that the purchase price of any
38   property so acquired, including improvements existing or
39   proposed, shall not be in excess of the actual value thereof as
40   established by at least two appraisals satisfactory to the said board.
41   Any property not put to permanent use by the State or one of its
42   agencies or departments within six years shall be sold at public
43   auction and the proceeds repaid to the appropriate reserve or

     [22]                              55
 1   sinking fund. Provided, further, that no property shall be acquired
 2   pursuant to the provisions of this section when the grantor has
 3   entered into a contract with any county, city or other political
 4   subdivision which created a tax obligation with respect to the
 5   property and such obligation has not been resolved to the
 6   satisfaction of the county, city or other political subdivision
 7   involved.
 8      (B) Provided, that prior to purchasing, or contracting to
 9   purchase any real property the Budget and Control Board authority
10   shall engage an independent engineer to make borings so as to
11   insure that the property is adaptable to the contemplated use.
12
13      Section 11-9-670. Subject to the limitations set forth in Section
14   11-9-660, the State Budget and Control Board authority shall have
15   full power to hold, purchase, sell, assign, transfer and dispose of
16   any of the securities and investments in which the Sinking Fund
17   shall have been invested.
18
19     Section 11-9-680. The State Budget and Control Board
20   authority shall annually report to the General Assembly the
21   condition of the Sinking Fund and all sales or other transactions
22   connected therewith.”
23
24   V. Sections 11-35-3820 and 11-35-3840, of the 1976 Code are
25   further amended to read:
26
27      Section 11-35-3820. Except as provided in Section 11-35-1580
28   and Section 11-35-3830 and the regulations pursuant to them, the
29   sale of all state-owned supplies, or personal property not in actual
30   public use must be conducted and directed by the designated board
31   office through the Division of General Services of the Department
32   of Administration. The sales must be held at such places and in a
33   manner as in the judgment of the designated board office Division
34   of General Services is most advantageous to the State. Unless
35   otherwise determined, sales must be by either public auction or
36   competitive sealed bid to the highest bidder. Each governmental
37   body shall inventory and report to the designated board office all
38   surplus personal property not in actual public use held by that
39   governmental body for sale. The designated board office division
40   shall deposit the proceeds from the sales, less expense of the sales,
41   in the state general fund or as otherwise directed by regulation.
42   This policy and procedure applies to all governmental bodies
43   unless exempt by law.

     [22]                             56
 1
 2     Section 11-35-3840. The State Budget and Control Board
 3   board may license for public sale publications, including South
 4   Carolina Business Opportunities, materials pertaining to training
 5   programs, and information technology products that are developed
 6   during the normal course of the board’s its activities. The items
 7   must be licensed at reasonable costs established in accordance with
 8   the cost of the items. All proceeds from the sale of the
 9   publications and materials must be placed in a revenue account and
10   expended for the cost of providing the services.”
11
12   W. Section 11-35-5270 of the 1976 Code is amended to read:
13
14      “Section 11-35-5270. A Small and Minority Business Assistance
15   Office (SMBAO) shall The Division of Small and Minority
16   Business Contracting and Certification must be established within
17   the Department of Administration to assist the board Department
18   of Administration and the Department of Revenue in carrying out
19   the intent of this article. The responsibilities of the division shall
20   include, but are not be limited to, the following:
21      (1) Assist assisting the chief procurement officers and
22   governmental bodies in developing policies and procedures which
23   will facilitate awarding contracts to small and minority firms;
24      (2) Assist assisting the chief procurement officers in aiding
25   small and minority-owned firms and community-based business in
26   developing organizations to provide technical assistance to
27   minority firms;
28      (3) Assist assisting with the procurement and management
29   training for small and minority firm owners;
30      (4) Assist assisting in the identification of responsive small and
31   minority firms;
32      (5) Receive and process receiving and processing applications
33   to be registered as a minority firm in accordance with Section
34   11-35-5230(B);
35      (7) The SMBAO may revoke revoking the certification of any
36   firm which that has been found to have engaged in any of the
37   following:
38        (a) fraud or deceit in obtaining the certification;
39        (b) furnishing of substantially inaccurate or incomplete
40   information concerning ownership or financial status;
41        (c) failure to report changes which affect the requirements
42   for certification;


     [22]                              57
 1        (d) gross         negligence,       incompetence,       financial
 2   irresponsibility, or misconduct in the practice of his business; or
 3        (e) wilful violation of any provision of this article.
 4      (7)(8) After a period of one year, the SMBAO division may
 5   reissue a certificate of eligibility provided acceptable evidence has
 6   been presented to the commission that the conditions which caused
 7   the revocation have been corrected.”
 8
 9   X. 1. Section 11-42-30(1) of the 1976 Code is amended to read:
10
11     “Section 11-42-30. As used in this chapter:
12     (1) “Board” means the governing board of the State Budget
13   and Control Board Fiscal Accountability Authority.”
14
15     2. Section 11-42-40 of the 1976 Code is amended to read:
16
17     “Section 11-42-40. (A) There is created the Division of
18   Regional Development as a division within the State Budget and
19   Control Board Fiscal Accountability Authority. The division shall
20   report to the executive director of the board.
21
22     3. Section 11-42-60 of the 1976 Code is amended to read:
23
24      “Section 11-42-60. The division shall function as a division of
25   the State Budget and Control Board Fiscal Affairs Authority and
26   has all administrative and program authority necessary to fulfill its
27   public mandate including, but not limited to, the following powers:
28      (1) to solicit, receive, and expend public and private funds
29   from any relevant sources and entities in order to carry out the
30   purposes of the division; and
31      (2) to prescribe and charge fees for its services, which fees
32   must be retained and expended for division purposes.”
33
34   Y. Section 11-53-20 of the 1976 Code is amended to read:
35
36      “Section 11-53-20. It is mandated by the General Assembly that
37   the SCEIS shall be implemented for all agencies, with the
38   exception of lump sum agencies, the General Assembly or its
39   respective branches or its committees, Legislative Council, and the
40   Office of Legislative Printing and Information Technology
41   Resources Services Agency. The South Carolina Enterprise
42   Information System Oversight Committee, as appointed by the
43   Comptroller General, shall provide oversight for the

     [22]                              58
 1   implementation and continued operations of the system. The
 2   Budget and Control Board Department of Administration is
 3   authorized to use any available existing technology resources to
 4   assist with funding of the initial implementation of the system. It
 5   is further the intent of the General Assembly to fund the central
 6   government costs related to the implementation of the system.
 7   Agencies are required to implement SCEIS at a cost and in
 8   accordance with a schedule developed and approved by the SCEIS
 9   Oversight Committee. Full implementation must be completed
10   within five years. An agency’s implementation cost shall be borne
11   by that agency through existing appropriations, grants, and/or the
12   State Treasurer’s Master Lease Program and shall be for the
13   implementation of the “back office” administrative functions that
14   are common to all agencies in the areas of purchasing, finance,
15   human resources, payroll, and budgeting. The Department of
16   Administration must make an appropriation request for the
17   implementation and operational costs for SCEIS, and the funding
18   for those costs must be set out as a specific line item in the annual
19   general appropriations act. Any issues arising with regard to
20   project scope, implementation schedule, and associated costs shall
21   be directed to the SCEIS Oversight Committee for resolution. In
22   cooperation with the Comptroller General and the Budget and
23   Control Board’s Division of the State CIO Department of
24   Administration, the South Carolina Enterprise Information System
25   Oversight Committee is required to report by January 31, of the
26   fiscal year to the Governor, the Chairman of the Senate Finance
27   Committee, and the Chairman of the House Ways and Means
28   Committee the status of the system’s implementation and ongoing
29   operations.”
30
31   Z. 1. Section 13-7-10(1)of the 1976 Code is amended to read:
32
33      “(10) ‘Decommissioning trust fund’ means the trust fund
34   established pursuant to a Trust Agreement dated March 4, 1981,
35   among Chem-Nuclear Systems, Inc. (grantor), the South Carolina
36   Budget and Control Board State Fiscal Accountability Authority
37   (beneficiary as the successor in interest to the South Carolina
38   Budget and Control Board), and the South Carolina State Treasurer
39   (trustee), whose purpose is to assure adequate funding for
40   decommissioning of the disposal site, or any successor fund with a
41   similar purpose.
42
43     2. Section 13-7-30 of the 1976 Code is amended to read:

     [22]                             59
 1
 2      “Section 13-7-30. For purposes of this article, the State Budget
 3   and Control Board Fiscal Accountability Authority, hereinafter in
 4   this section referred to as the board, is designated as the agency of
 5   the State which shall have the following powers and duties that are
 6   in accord with its already established responsibilities for custody of
 7   state properties, and for the management of all state sinking funds,
 8   insurance, and analogous fiscal matters that are relevant to state
 9   properties:
10      (1) expend state funds in order to acquire, develop, and operate
11   land and facilities. This acquisition may be by lease, dedication,
12   purchase, or other arrangements. However, the state’s functions
13   under the authority of this section are limited to the specific
14   purposes of this article;
15      (2) lease, sublease, or sell real and personal properties to public
16   or private bodies;
17      (3) assure the maintenance of insurance coverage by state
18   licensees, lessees, or sublessees as will in the opinion of the board
19   protect the citizens of the State against nuclear incident that may
20   occur on state-controlled atomic energy facilities;
21      (4) assume responsibility for extended custody and
22   maintenance of radioactive materials held for custodial purposes at
23   any publicly or privately operated facility located within the State,
24   in the event the parties operating these facilities abandon their
25   responsibility, or when the license for the facility is ultimately
26   transferred to an agency of the State, and whenever the federal
27   government or any agency of the federal government has not
28   assumed the responsibility.
29      In order to finance such extended custody and maintenance as
30   the board may undertake, the board may collect fees from private
31   or public parties holding radioactive materials for custodial
32   purposes. These fees must be sufficient in each individual case to
33   defray the estimated cost of the board’s custodial management
34   activities for that individual case. The fees collected for such
35   custodial management activities shall also be sufficient to provide
36   additional funds for the purchase of insurance which shall be
37   purchased for the protection of the State and the general public for
38   the period such radioactive material considering its isotope and
39   curie content together with other factors may present a possible
40   danger to the general public in the event of migration or dispersal
41   of such radioactivity. All such fees, when received by the board,
42   must be transmitted to the State Treasurer. The Treasurer must
43   place the money in a special account, in the nature of a revolving

     [22]                              60
 1   trust fund, which may be designated ‘extended care maintenance
 2   fund’, to be disbursed on authorization of the board. Monies in the
 3   extended care maintenance funds must be invested by the board in
 4   the manner as other state monies. However, any interest accruing
 5   as a result of investment must accrue to this extended care
 6   maintenance fund. Except as authorized in Section
 7   48-46-40(B)(7)(b) and (D)(2), the extended care maintenance fund
 8   must be used exclusively for custodial, surveillance, and
 9   maintenance costs during the period of institutional control and
10   during any post-closure and observation period specified by the
11   Department of Health and Environmental Control, and for
12   activities associated with closure of the site. Funds from the
13   extended care maintenance fund shall not be used for site closure
14   activities or for custodial, surveillance, and maintenance performed
15   during the post-closure observation period until all funds in the
16   decommissioning trust account are exhausted.
17      (5) Enter into an agreement with the federal government or any
18   of its authorized agencies to assume extended maintenance of
19   lands donated, leased, or purchased from the federal government or
20   any of its authorized agencies and used for development of atomic
21   energy resources or as custodial site for radioactive material.”
22
23     3. Sections 13-7-810, 13-7-830, and 13-7-860 of the 1976 Code
24   are amended to read:
25
26     “Section 13-7-810. There is hereby established a Governor’s
27   Nuclear Advisory Council in the Department of Administration,
28   which shall be responsible to the Director of the Department of
29   Administration and report to the Governor.
30
31     Section 13-7-830. The recommendations described in Section
32   13-7-620 shall be made available to the General Assembly, and the
33   Governor, and the Budget and Control Board.
34
35     Section 13-7-860. Staff support for the council shall be
36   provided by the State Energy Office Department of
37   Administration.”
38
39   AA. Section 16-3-1620(A), (B), and (C) of the 1976 Code is
40   amended to read:
41
42     “(A) The Crime Victims’ Ombudsman of the Office of the
43   Governor is created in the Department of Administration. The

     [22]                             61
 1   Crime Victims’ Ombudsman is appointed by the Governor with
 2   the advice and consent of the Senate and serves at the pleasure of
 3   the Governor.
 4      (B) The Crime Victims’ Ombudsman of the Office of the
 5   Governor Department of Administration shall:
 6         (1) refer crime victims to the appropriate element of the
 7   criminal and juvenile justice systems or victim assistance
 8   programs, or both, when services are requested by crime victims or
 9   are necessary as determined by the ombudsman;
10         (2) act as a liaison between elements of the criminal and
11   juvenile justice systems, victim assistance programs, and victims
12   when the need for liaison services is recognized by the
13   ombudsman; and
14         (3) review and attempt to resolve complaints against
15   elements of the criminal and juvenile justice systems or victim
16   assistance programs, or both, made to the ombudsman by victims
17   of criminal activity within the state’s jurisdiction.
18      (C) There is created within the Crime Victims’ Ombudsman
19   Office of the Office of the Governor Department of
20   Administration, the Office of Victim Services Education and
21   Certification which shall:
22         (1) provide oversight of training, education, and certification
23   of victim assistance programs;
24         (2) with approval of the Victim Services Coordinating
25   Council, promulgate training standards and requirements;
26         (3) approve training curricula for credit hours toward
27   certification;
28         (4) provide victim service provider certification; and
29         (5) maintain records of certified victim service providers.”
30
31   BB. Section 16-3-1680 of the 1976 Code as added by Act 271 of
32   2008 is amended to read:
33
34     “Section 16-3-1680. The Crime Victims’ Ombudsman of the
35   Office of the Governor through the Department of Administration
36   may promulgate those regulations necessary to assist it in
37   performing its required duties as provided by this chapter.”
38
39   CC. 1. Section 25-11-10 of the 1976 Code amended to read:
40
41     “Section 25-11-10. A Division of Veterans’ Affairs in the Office
42   of the is hereby created in the Department of Administration for
43   the purpose of assisting ex-servicemen in securing the benefits to

     [22]                             62
 1   which they are entitled under the provisions of federal legislation
 2   and under the terms of insurance policies issued by the federal
 3   government for their benefit. This division shall be under the
 4   direct supervision of a panel consisting of the Governor as
 5   chairman, the Attorney General for the purpose of giving legal
 6   advice, and the Adjutant and Inspector General.”
 7
 8     2. Section 25-11-80(C)(3) of the 1976 Code is amended to read:
 9
10     “(3) the Budget       and   Control    Board    Department     of
11   Administration.”
12
13     3. Section 25-11-90(E) of the 1976 Code is amended to read:
14
15      “(E) The preparation and distribution of the roster is subject to
16   the availability of funds as appropriated by the General Assembly
17   to the Governor’s Office Department of Administration, Division
18   of Veterans Affairs for this purpose. These rosters and their
19   distribution must be maintained and updated based on workloads
20   and availability of funds.”
21
22     4. Section 25-11-310(2) of the 1976 Code is amended to read:
23
24     “(2) ‘Division’ means the Division of Veterans Affairs in the
25   Office of the Governor Department of Administration.”
26
27   DD. Section 44-53-530(a) and (b) of the 1976 Code, as last
28   amended by Act 345 of 2006, is further amended to read:
29
30      “(a) Forfeiture of property defined in Section 44-53-520 must
31   be accomplished by petition of the Attorney General or his
32   designee or the circuit solicitor or his designee to the court of
33   common pleas for the jurisdiction where the items were seized.
34   The petition must be submitted to the court within a reasonable
35   time period following seizure and shall set forth the facts upon
36   which the seizure was made. The petition shall describe the
37   property and include the names of all owners of record and
38   lienholders of record. The petition shall identify any other persons
39   known to the petitioner to have interests in the property. Petitions
40   for the forfeiture of conveyances shall also include: the make,
41   model, and year of the conveyance, the person in whose name the
42   conveyance is registered, and the person who holds the title to the
43   conveyance. The petition shall set forth the type and quantity of

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 1   the controlled substance involved. A copy of the petition must be
 2   sent to each law enforcement agency which has notified the
 3   petitioner of its involvement in effecting the seizure. Notice of
 4   hearing or rule to show cause must be directed to all persons with
 5   interests in the property listed in the petition, including law
 6   enforcement agencies which have notified the petitioner of their
 7   involvement in effecting the seizure. Owners of record and
 8   lienholders of record may be served by certified mail, to the last
 9   known address as appears in the records of the governmental
10   agency which records the title or lien.
11      The judge shall determine whether the property is subject to
12   forfeiture and order the forfeiture confirmed. If the judge finds a
13   forfeiture, he shall then determine the lienholder’s interest as
14   provided in this article. The judge shall determine whether any
15   property must be returned to a law enforcement agency pursuant to
16   Section 44-53-582.
17      If there is a dispute as to the division allocation of the proceeds
18   of forfeited property among participating law enforcement
19   agencies, this issue must be determined by the judge. The
20   proceeds from a sale of property, conveyances, and equipment
21   must be disposed of pursuant to subsection (e) of this section.
22      All property, conveyances, and equipment which will not be
23   reduced to proceeds may be transferred to the law enforcement
24   agency or agencies or to the prosecution agency. Upon agreement
25   of the law enforcement agency or agencies and the prosecution
26   agency, conveyances and equipment may be transferred to any
27   other appropriate agency. Property transferred must not be used to
28   supplant operating funds within the current or future budgets. If
29   the property seized and forfeited is an aircraft or watercraft and is
30   transferred to a state law enforcement agency or other state agency
31   pursuant to the provisions of this subsection, its use and retainage
32   by that agency shall be at the discretion and approval of the Budget
33   and Control Board Department of Administration.
34      If a defendant or his attorney sends written notice to the
35   petitioner or the seizing agency of his interest in the subject
36   property, service may be made by mailing a copy of the petition to
37   the address provided and service may not be made by publication.
38   In addition, service by publication may not be used for a person
39   incarcerated in a South Carolina Department of Corrections
40   facility, a county detention facility, or other facility where inmates
41   are housed for the county where the seizing agency is located. The
42   seizing agency shall check the appropriate institutions after


     [22]                              64
 1   receiving an affidavit of nonservice before attempting service by
 2   publication.
 3      (b) If the property is seized by a state law enforcement agency
 4   and is not transferred by the court to the seizing agency, the judge
 5   shall order it transferred to the Division of General Services of the
 6   Department of Administration for sale. Proceeds may be used by
 7   the division for payment of all proper expenses of the proceedings
 8   for the forfeiture and sale of the property, including the expenses
 9   of seizure, maintenance, and custody, and other costs incurred by
10   the implementation of this section. The net proceeds from any sale
11   must be remitted to the State Treasurer as provided in subsection
12   (g) of this section. The Division of General Services of the South
13   Carolina Department of Administration may authorize payment of
14   like expenses in cases where monies, negotiable instruments, or
15   securities are seized and forfeited.”
16
17   EE. Section 44-96-140 of the 1976 Code is amended to read:
18
19      “Section 44-96-140. (A) Not later than twelve months after the
20   date on which the department submits the state solid waste
21   management plan to the Governor and to the General Assembly,
22   the General Assembly, the Governor’s Office of the Governor, the
23   Judiciary, each state agency, and each state-supported institution of
24   higher education shall:
25        (1) establish a source separation and recycling program in
26   cooperation with the department and the Division of General
27   Services of the State Budget and Control Board Department of
28   Administration for the collection of selected recyclable materials
29   generated in state offices throughout the State including, but not
30   limited to, high-grade office paper, corrugated paper, aluminum,
31   glass, tires, composting materials, plastics, batteries, and used oil;
32        (2) provide procedures for collecting and storing recyclable
33   materials, containers for storing materials, and contractual or other
34   arrangements with collectors or buyers of the recyclable materials,
35   or both;
36        (3) evaluate the amount of waste paper material recycled and
37   make all necessary modifications to the recycling program to
38   ensure that all waste paper materials are recycled to the maximum
39   extent feasible; and
40        (4) establish and implement, in cooperation with the
41   department and the Division of General Services of the
42   Department of Administration, a solid waste reduction program for
43   materials used in the course of agency operations. The program

     [22]                              65
 1   shall be designed and implemented to achieve the maximum
 2   feasible reduction of solid waste generated as a result of agency
 3   operations.
 4      (B) Not later than September fifteen of each year, each state
 5   agency and each state-supported institution of higher learning shall
 6   submit to the department a report detailing its source separation
 7   and recycling program and a review of all goods and products
 8   purchased during the previous fiscal year by those agencies and
 9   institutions containing recycled materials using the content
10   specifications established by the Office of Materials Management
11   Division of General Services, Department of Administration.
12      (C) By November first of each year the department shall submit
13   a report to the Governor and to the General Assembly reviewing
14   all goods and products purchased by the State and determining
15   what percentage of state purchases contain recycled materials
16   using content specifications established by the Office of Materials
17   Management, Division of General Services, Department of
18   Administration. The report also must review existing procurement
19   regulations for the purchase of products and materials and must
20   identify any portions of such regulations that discriminate against
21   products and materials with recycled content and products and
22   materials which are recyclable.
23      (D) Not later than one year after this chapter is effective, the
24   Division of General Services, Department of Administration shall
25   amend the procurement regulations to eliminate the portions of the
26   regulations identified in its report as discriminating against
27   products and materials with recycled content and products and
28   materials which are recyclable.
29      (E) Not later than one year after the effective date of the
30   amendments to the procurement regulations, the General
31   Assembly, the Governor’s Office of the Governor, the Judiciary,
32   all state agencies, all political subdivisions using state funds to
33   procure items, and all persons contracting with such agency or
34   political subdivision where such persons procure items with state
35   funds shall procure products and materials with recycled content
36   and products and materials which are recyclable where practicable,
37   as determined by the Office of Materials Management, Division of
38   General Services, Department of Administration. The list of
39   recycled content specifications must be updated annually. It is the
40   goal of the General Assembly for state and local governmental
41   agencies to reflect a twenty-five percent goal in their procurement
42   policies. The decision not to procure such items shall be based on a
43   determination that such procurement items:

     [22]                             66
 1         (1) are not available within a reasonable period of time;
 2         (2) fail to meet the performance standards set forth in the
 3   applicable specifications; or
 4         (3) are only available at a price that exceeds by more than
 5   seven and one- half percent the price of alternative items.
 6      (F) Not later than six months after this chapter is effective, and
 7   annually thereafter, the Department of Transportation shall submit
 8   a report to the Governor and to the General Assembly on the use
 9   of:
10         (1) compost as a substitute for regular soil amendment
11   products in all highway projects;
12         (2) solid waste including, but not limited to, ground rubber
13   from tires and fly ash or mixtures of them from coal-fired electrical
14   facilities in road surfacing of subbase materials;
15         (3) solid waste including, but not limited to, glass aggregate,
16   plastic, and fly ash in asphalt or concrete; and
17         (4) recycled mixed-plastic materials for guardrail posts,
18   right-of-way fence posts, and sign supports.”
19
20   FF. Section 48-46-30(4) and (5) of the 1976 Code are amended to
21   read:
22
23      “(4) ‘Board’ means the South Carolina Budget and Control
24   Board or its designated official.
25      (5)(4) ‘Decommissioning trust fund’ means the trust fund
26   established pursuant to a Trust Agreement dated March 4, 1981,
27   among Chem-Nuclear Systems, Inc. (grantor), the South Carolina
28   Budget and Control Board State Fiscal Accountability Authority
29   (beneficiary as the successor in interest to the South Carolina
30   Budget and Control Board), and the South Carolina State Treasurer
31   (trustee), whose purpose is to assure adequate funding for
32   decommissioning of the disposal site, or any successor fund with a
33   similar purpose.
34      (5) ‘Office’ means the Office of Regulatory Staff.”
35
36   GG. Section 48-46-40 of the 1976 Code is amended to read:
37
38      “Section 48-46-40. (A)(1) The board office shall approve
39   disposal rates for low-level radioactive waste disposed at any
40   regional disposal facility located within the State. The approval of
41   disposal rates pursuant to this chapter is neither a regulation nor
42   the promulgation of a regulation as those terms are specially used
43   in Title 1, Chapter 23.

     [22]                             67
 1         (2) The board office shall adopt a maximum uniform rate
 2   schedule for regional generators containing disposal rates that
 3   include the administrative surcharges specified in Section
 4   48-46-60(B) and surcharges for the extended custody and
 5   maintenance of the facility pursuant to Section 13-7-30(4) and that
 6   do not exceed the approximate disposal rates, excluding any access
 7   fees and including a specification of the methodology for
 8   calculating fees for large components, generally applicable to
 9   regional generators on September 7, 1999. Any disposal rates
10   contained in a valid written agreement that were applicable to a
11   regional generator on September 7, 1999, that differ from rates in
12   the maximum uniform rate schedule will continue to be honored
13   through the term of such agreement. The maximum uniform rate
14   schedule approved under this section becomes effective
15   immediately upon South Carolina’s membership in the Atlantic
16   Compact. The maximum uniform rate schedule shall be the rate
17   schedule applicable to regional waste whenever it is not
18   superseded by an adjusted rate approved by the board office
19   pursuant to paragraph (3) of this subsection or by special disposal
20   rates approved pursuant to paragraphs (5) or (6)(e) of this
21   subsection.
22         (3) The board office may at any time of its own initiative, at
23   the request of a site operator, or at the request of the compact
24   commission, adjust the disposal rate or the relative proportions of
25   the individual components that constitute the overall rate schedule.
26   Except as adjusted for inflation in subsection (4), rates adjusted in
27   accordance with this section, that include the administrative
28   surcharges specified in Section 48-46-60(B) and surcharges for the
29   extended custody and maintenance of the facility pursuant to
30   Section 13-7-30(4), may not exceed initial disposal rates set by the
31   board department pursuant to subsection (2).
32         (4) In March of each year the board office shall adjust the
33   rate schedule based on the most recent changes in the most nearly
34   applicable Producer Price Index published by the Bureau of Labor
35   Statistics as chosen by the board office or a successor index.
36         (5) In consultation with the site operator, the board office or
37   its designee, on a case-by-case basis, may approve special disposal
38   rates for regional waste that differ from the disposal rate schedule
39   for regional generators set by the board office pursuant to
40   subsections (2) and (3). Requests by the site operator for such
41   approval shall be in writing to the board office. In approving such
42   special rates, the board office or its designee, shall consider
43   available disposal capacity, demand for disposal capacity, the

     [22]                             68
 1   characteristics of the waste, the potential for generating revenue
 2   for the State, or other relevant factors; provided, however, that the
 3   board office shall not approve any special rate for an entity owned
 4   by or affiliated with the site operator. Special disposal rates
 5   approved by the board office under this subsection shall be in
 6   writing and shall be kept confidential as proprietary business
 7   information for one year from the date when the bid or the request
 8   for proposal containing the special rate is accepted by the regional
 9   generator; provided, however, that such special rates when
10   accepted by a regional generator shall be disclosed to the compact
11   commission and to all other regional generators, which shall, to the
12   extent permitted by applicable law, keep them confidential as
13   proprietary business information for one year from the date when
14   the bid or request for proposal containing this special rate is
15   accepted by the regional generator. Within one business day of a
16   special disposal rate’s acceptance, the site operator shall notify the
17   board office, the compact commission, and the regional generators
18   of each special rate that has been accepted by a regional generator,
19   and the board office, the compact commission, and regional
20   generators may communicate with each other about such special
21   rates. If any special rate approved by the board office for a
22   regional generator is lower than a disposal rate approved by the
23   board office for regional generators pursuant to subsections (2) and
24   (3) for waste that is generally similar in characteristics and volume,
25   the disposal rate for all regional generators shall be revised to
26   equal the special rate for the regional generator. Regional
27   generators may enter into contracts for waste disposal at such
28   special rates and on comparable terms for a period of not less than
29   six months. An officer of the site operator shall certify in writing
30   to the board office and the compact commission each month that
31   no regional generator’s disposal rate exceeds any other regional
32   generator’s special rate for waste that is generally similar in
33   characteristics and volume, and such certification shall be subject
34   to periodic audit by the board office and the compact commission.
35         (6)(a) To the extent authorized by the compact commission,
36   the board office on behalf of the State of South Carolina may enter
37   into agreements with any person in the United States or its
38   territories or any interstate compact, state, U.S. territory, or U.S.
39   Department of Defense military installation abroad for the
40   importation of waste into the region for purposes of disposal at a
41   regional disposal facility within South Carolina. No waste from
42   outside the Atlantic Compact region may be disposed at a regional
43   disposal facility within South Carolina, except to the extent that the

     [22]                              69
 1   board office is authorized by the compact commission to enter into
 2   agreements for importation of waste.
 3      The board office shall authorize the importation of nonregional
 4   waste into the region for purposes of disposal at the regional
 5   disposal facility in South Carolina so long as nonregional waste
 6   would not result in the facility accepting more than the following
 7   total volumes of all waste:
 8              (i) 160,000 cubic feet in fiscal year 2001;
 9              (ii) 80,000 cubic feet in fiscal year 2002;
10              (iii) 70,000 cubic feet in fiscal year 2003;
11              (iv) 60,000 cubic feet in fiscal year 2004;
12              (v) 50,000 cubic feet in fiscal year 2005;
13              (vi) 45,000 cubic feet in fiscal year 2006;
14              (vii) 40,000 cubic feet in fiscal year 2007;
15              (viii) 35,000 cubic feet in fiscal year 2008.
16      After fiscal year 2008, the board office shall not authorize the
17   importation of nonregional waste for purposes of disposal.
18           (b) The board office may approve disposal rates
19   applicable to nonregional generators. In approving disposal rates
20   applicable to nonregional generators, the board office may
21   consider available disposal capacity, demand for disposal capacity,
22   the characteristics of the waste, the potential for generating
23   revenue for the State, and other relevant factors.
24           (c) Absent action by the board office under subsection (b)
25   above to establish disposal rates for nonregional generators, rates
26   applicable to these generators must be equal to those contained in
27   the maximum uniform rate schedule approved by the board office
28   pursuant to paragraph (2) or (3) of this subsection for regional
29   generators unless these rates are superseded by special disposal
30   rates approved by the board office pursuant to paragraph (6)(e) of
31   this subsection.
32           (d) Regional generators shall not pay disposal rates that
33   are higher than disposal rates for nonregional generators in any
34   fiscal quarter.
35           (e) In consultation with the site operator, the board office
36   or its designee, on a case-by-case basis, may approve special
37   disposal rates for nonregional waste that differ from the disposal
38   rate schedule for nonregional generators set by the board office.
39   Requests by the site operator for such approval shall be in writing
40   to the board office. In approving such special rates, the board
41   office or its designee shall consider available disposal capacity,
42   demand for disposal capacity, the characteristics of the waste, the
43   potential for generating revenue for the State, and other relevant

     [22]                             70
 1   factors; provided, however, that the board office shall not approve
 2   any special rate for an entity owned by or affiliated with the site
 3   operator. Special disposal rates approved by the board office
 4   under this subsection shall be in writing and shall be kept
 5   confidential as proprietary business information for one year from
 6   the date when the bid or request for proposal containing the special
 7   rate is accepted by the nonregional generator; provided, however,
 8   that such special rates when accepted by a nonregional generator
 9   shall be disclosed to the compact commission and to all regional
10   generators, which shall, to the extent permitted by applicable law,
11   keep them confidential as proprietary business information for one
12   year from the date when the bid or request for proposal containing
13   the special rate is accepted by the nonregional generator. Within
14   one business day of a special disposal rate’s acceptance, the site
15   operator shall notify the board office, the compact commission,
16   and the regional generators in writing of each special rate that has
17   been accepted by a nonregional generator, and the board office, the
18   compact commission, and regional generators may communicate
19   with each other about such special rates. If any special rate
20   approved by the board office for a nonregional generator is lower
21   than a disposal rate approved by the board office for regional
22   generators for waste that is generally similar in characteristics and
23   volume, the disposal rate for all regional generators shall be
24   revised to equal the special rate for the nonregional generator.
25   Regional generators may enter into contracts for waste disposal at
26   such special rate and on comparable terms for a period of not less
27   than six months. An officer of the site operator shall certify in
28   writing to the board office and the compact commission each
29   month that no regional generator disposal rate exceeds any
30   nonregional generator’s special rate for waste that is generally
31   similar in characteristics and volume, and such certification shall
32   be subject to periodic audit by the board office and the compact
33   commission.
34      (B)(1) Effective upon the implementation of initial disposal
35   rates by the board office under Section 48-46-40(A), the PSC is
36   authorized and directed to identify allowable costs for operating a
37   regional low-level radioactive waste disposal facility in South
38   Carolina.
39         (2) In identifying the allowable costs for operating a regional
40   disposal facility, the PSC shall:
41           (a) prescribe a system of accounts, using generally
42   accepted accounting principles, for disposal site operators, using as
43   a starting point the existing system used by site operators;

     [22]                             71
 1            (b) assess penalties against disposal site operators if the
 2   PSC determines that they have failed to comply with regulations
 3   pursuant to this section; and
 4            (c) require periodic reports from site operators that
 5   provide information and data to the PSC and parties to these
 6   proceedings. The Office of Regulatory Staff shall obtain and audit
 7   the books and records of the site operators associated with disposal
 8   operations as determined applicable by the PSC.
 9         (3) Allowable costs include the costs of those activities
10   necessary for:
11            (a) the receipt of waste;
12            (b) the construction of disposal trenches, vaults, and
13   overpacks;
14            (c) construction and maintenance of necessary physical
15   facilities;
16            (d) the purchase or amortization of necessary equipment;
17            (e) purchase of supplies that are consumed in support of
18   waste disposal activities;
19            (f) accounting and billing for waste disposal;
20            (g) creating and maintaining records related to disposed
21   waste;
22            (h) the administrative costs directly associated with
23   disposal operations including, but not limited to, salaries, wages,
24   and employee benefits;
25            (i) site surveillance and maintenance required by the State
26   of South Carolina, other than site surveillance and maintenance
27   costs covered by the balance of funds in the decommissioning trust
28   fund or the extended care maintenance fund;
29            (j) compliance with the license, lease, and regulatory
30   requirements of all jurisdictional agencies;
31            (k) administrative costs associated with collecting the
32   surcharges provided for in subsections (B) and (C) of Section
33   48-46-60;
34            (l) taxes other than income taxes;
35            (m) licensing and permitting fees; and
36            (n) any other costs directly associated with disposal
37   operations determined by the PSC to be allowable.
38      Allowable costs do not include the costs of activities associated
39   with lobbying and public relations, clean-up and remediation
40   activities caused by errors or accidents in violation of laws,
41   regulations, or violations of the facility operating license or
42   permits, activities of the site operator not directly in support of


     [22]                             72
 1   waste disposal, and other costs determined by the PSC to be
 2   unallowable.
 3        (4) Within ninety days following the end of a fiscal year, a
 4   site operator may file an application with the PSC to adjust the
 5   level of an allowable cost under subsection (3), or to allow a cost
 6   not previously designated an allowable cost. A copy of the
 7   application must be provided to the Office of Regulatory Staff.
 8   The PSC shall process such application in accordance with its
 9   procedures. If such application is approved by the PSC, the PSC
10   shall authorize the site operator to adjust allowable costs for the
11   current fiscal year so as to compensate the site operator for
12   revenues lost during the previous fiscal year.
13        (5) A private operator of a regional disposal facility in South
14   Carolina is authorized to charge an operating margin of
15   twenty-nine percent. The operating margin for a given period must
16   be determined by multiplying twenty-nine percent by the total
17   amount of allowable costs as determined in this subsection,
18   excluding allowable costs for taxes and licensing and permitting
19   fees paid to governmental entities.
20        (6) The site operator shall prepare and file with the PSC a
21   Least Cost Operating Plan. The plan must be filed within
22   forty-five days of enactment of this chapter and must be revised
23   annually.     The plan shall include information concerning
24   anticipated operations over the next ten years and shall evaluate all
25   options for future staffing and operation of the site to ensure least
26   cost operation, including information related to the possible
27   interim suspension of operations in accordance with subsection
28   (B)(7). A copy of the plan must be provided to the Office of
29   Regulatory Staff.
30        (7)(a) If the board office, upon the advice of the compact
31   commission or the site operator, concludes based on information
32   provided to the board office, that the volume of waste to be
33   disposed during a forthcoming period of time does not appear
34   sufficient to generate receipts that will be adequate to reimburse
35   the site operator for its costs of operating the facility and its
36   operating margin, then the board office shall direct the site
37   operator to propose to the compact commission plans including,
38   but not necessarily limited to, a proposal for discontinuing
39   acceptance of waste until such time as there is sufficient waste to
40   cover the site operator’s operating costs and operating margin.
41   Any proposal to suspend operations must detail plans of the site
42   operator to minimize its costs during the suspension of operations.
43   Any such proposal to suspend operations must be approved by the

     [22]                             73
 1   Department of Health and Environmental Control with respect to
 2   safety and environmental protection.
 3           (b) Allowable costs applicable to any period of suspended
 4   operations must be approved by the PSC according to procedures
 5   similar to those provided herein for allowable operating costs.
 6   During any such suspension of operations, the site operator must
 7   be reimbursed by the board office from the extended care
 8   maintenance fund for its allowable costs and its operating margin.
 9   During the suspension funding to reimburse the board office, the
10   PSC, and the State Treasurer under Section 48-46-60(B) and
11   funding of the compact commission under Section 48-46-60(C)
12   must also be allocated from the extended care maintenance fund as
13   approved by the board office based on revised budgets submitted
14   by the PSC, State Treasurer, and the compact commission.
15           (c) Notwithstanding any disbursements from the extended
16   care maintenance fund in accordance with any provision of this
17   act, the board office shall continue to ensure, in accordance with
18   Section 13-7-30, that the fund remains adequate to defray the costs
19   for future maintenance costs or custodial and maintenance
20   obligations of the site and other obligations imposed on the fund
21   by this chapter.
22           (d) The PSC may promulgate regulations and policies
23   necessary to execute the provisions of this section.
24         (8) The PSC may use any standard, formula, method, or
25   theory of valuation reasonably calculated to arrive at the objective
26   of identifying allowable costs associated with waste disposal. The
27   PSC may consider standards, precedents, findings, and decisions in
28   other jurisdictions that regulate allowable costs for radioactive
29   waste disposal.
30         (9) In all proceedings held pursuant to this section, the board
31   office shall participate as a party representing the interests of the
32   State of South Carolina, and the compact commission may
33   participate as a party representing the interests of the compact
34   states. The Executive Director of the Office of Regulatory Staff
35   and the Attorney General of the State of South Carolina shall be
36   parties to any such proceeding. Representatives from the
37   Department of Health and Environmental Control shall participate
38   in proceedings where necessary to determine or define the
39   activities that a site operator must conduct in order to comply with
40   the regulations and license conditions imposed by the department.
41   Other parties may participate in the PSC’s proceedings upon
42   satisfaction of standing requirements and compliance with the
43   PSC’s procedures. Any site operator submitting records and

     [22]                             74
 1   information to the PSC may request that the PSC treat such records
 2   and information as confidential and not subject to disclosure in
 3   accordance with the PSC’s procedures.
 4        (10) In all respects in which the PSC has power and authority
 5   under this chapter, it shall conduct its proceedings under the South
 6   Carolina Administrative Procedures Act and the PSC’s rules and
 7   regulations. The PSC is authorized to compel attendance and
 8   testimony of a site operator’s directors, officers, agents, or
 9   employees.
10        (11) At any time the compact commission, the board office,
11   or any generator subject to payment of rates set pursuant to this
12   chapter may file a petition against a site operator alleging that
13   allowable costs identified pursuant to this chapter are not in
14   conformity with the directives of this chapter or the directives of
15   the PSC or that the site operator is otherwise not acting in
16   conformity with the requirements of this chapter or directives of
17   the PSC. Upon filing of the petition, the PSC shall cause a copy of
18   the petition to be served upon the site operator. The petitioning
19   party has the burden of proving that allowable costs or the actions
20   of the site operator do not conform. The hearing shall conform to
21   the rules of practice and procedure of the PSC for other cases.
22        (12) The PSC shall encourage alternate forms of dispute
23   resolution including, but not limited to, mediation or arbitration to
24   resolve disputes between a site operator and any other person
25   regarding matters covered by this chapter.
26      (C) The operator of a regional disposal facility shall submit to
27   the South Carolina Department of Revenue, the PSC, and the
28   Office of Regulatory Staff, and the board office within thirty days
29   following the end of each quarter a report detailing actual revenues
30   received in the previous fiscal quarter and allowable costs incurred
31   for operation of the disposal facility.
32      (D)(1) Within 30 thirty days following the end of the fiscal year
33   the operator of a regional disposal facility shall submit a payment
34   made payable to the South Carolina Department of Revenue in an
35   amount that is equal to the total revenues received for waste
36   disposed in that fiscal year (with interest accrued on cash flows in
37   accordance with instructions from the State Treasurer) minus
38   allowable costs, operating margin, and any payments already made
39   from such revenues pursuant to Section 48-46-60(B) and (C) for
40   reimbursement of administrative costs to state agencies and the
41   compact commission. The Department of Revenue shall deposit
42   the payment with the State Treasurer.


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 1         (2) If in any fiscal year total revenues do not cover allowable
 2   costs plus the operating margin, the board office must reimburse
 3   the site operator its allowable costs and operating margin from the
 4   extended care maintenance fund within thirty days after the end of
 5   the fiscal year. The board office shall as soon as practicable
 6   authorize a surcharge on waste disposed in an amount that will
 7   fully compensate the fund for the reimbursement to the site
 8   operator. In the event that total revenues for a fiscal year do not
 9   cover allowable costs plus the operating margin, or quarterly
10   reports submitted pursuant to subsection (C) indicate that such
11   annual revenue may be insufficient, the board office shall consult
12   with the compact commission and the site operator as early as
13   practicable on whether the provisions of Section 48-46-40(B)(7)
14   pertaining to suspension of operations during periods of
15   insufficient revenues should be invoked.
16      (E) Revenues received pursuant to item (1) of subsection (D)
17   must be allocated as follows:
18         (1) The South Carolina State Treasurer shall distribute the
19   first two million dollars received for waste disposed during a fiscal
20   year to the County Treasurer of Barnwell County for distribution
21   to each of the parties to and beneficiaries of the order of the United
22   States District Court in C.A. No. 1:90-2912-6 on the same
23   schedule of allocation as is established within that order for the
24   distribution of ‘payments in lieu of taxes’ paid by the United States
25   Department of Energy.
26         (2) All revenues in excess of two million dollars received
27   from waste disposed during the previous fiscal year must be
28   deposited in a fund called the ‘Nuclear Waste Disposal Receipts
29   Distribution Fund’. Any South Carolina waste generator whose
30   disposal fees contributed to the fund during the previous fiscal year
31   may submit a request for a rebate of 33.33 percent of the funds
32   paid by the generator during the previous fiscal year for disposal of
33   waste at a regional disposal facility. These requests along with
34   invoices or other supporting material must be submitted in writing
35   to the State Treasurer within fifteen days of the end of the fiscal
36   year. For this purpose disposal fees paid by the generator must
37   exclude any fees paid pursuant to Section 48-46-60(C) for compact
38   administration and fees paid pursuant to Section 48-46-60(B) for
39   reimbursement of the PSC, the Office of Regulatory Staff, the
40   State Treasurer, and the board office for administrative expenses
41   under this chapter. Upon validation of the request and supporting
42   documentation by the State Treasurer, the State Treasurer shall
43   issue a rebate of the applicable funds to qualified waste generators

     [22]                              76
 1   within sixty days of the receipt of the request. If funds in the
 2   Nuclear Waste Disposal Receipts Distribution Fund are
 3   insufficient to provide a rebate of 33.33 percent to each generator,
 4   then each generator’s rebate must be reduced in proportion to the
 5   amount of funds in the account for the applicable fiscal year.
 6        (3) All funds deposited in the Nuclear Waste Disposal
 7   Receipts Distribution Fund for waste disposed for each fiscal year,
 8   less the amount needed to provide generators rebates pursuant to
 9   item (2), shall be deposited by the State Treasurer in the
10   ‘Children’s Education Endowment Fund’. Thirty percent of these
11   monies must be allocated to Higher Education Scholarship Grants
12   and used as provided in Section 59-143-30, and seventy percent of
13   these monies must be allocated to Public School Facility
14   Assistance and used as provided in Chapter 144, of Title 59.
15      (F) Effective beginning fiscal year 2001-2002, there is
16   appropriated annually from the general fund of the State to the
17   Higher Education Scholarship Grants share of the Children’s
18   Education Endowment whatever amount is necessary to credit to
19   the Higher Education Scholarship Grants share an amount not less
20   than the amount credited to that portion of the endowment in fiscal
21   year 1999-2000. Revenues credited to the endowment pursuant to
22   this subsection, for purposes of Section 59-143-10, are deemed to
23   be received by the endowment pursuant to the former provisions of
24   Section 48-48-140(C).”
25
26   HH. Section 48-46-50 of the 1976 Code is amended to read:
27
28      “Section 48-46-50. (A) The Governor shall appoint two
29   commissioners to the Atlantic Compact Commission and may
30   appoint up to two alternate commissioners. These alternate
31   commissioners may participate in meetings of the compact
32   commission in lieu of and upon the request of a South Carolina
33   commissioner. Technical representatives from the Department of
34   Health and Environmental Control, the board office, the PSC, and
35   other state agencies may participate in relevant portions of
36   meetings of the compact commission upon the request of a
37   commissioner, alternate commissioner, or staff of the compact
38   commission, or as called for in the compact commission bylaws.
39      (B) South Carolina commissioners or alternate commissioners
40   to the compact commission may not vote affirmatively on any
41   motion to admit new member states to the compact unless that
42   state volunteers to host a regional disposal facility.


     [22]                             77
 1      (C) Compact commissioners or alternate commissioners to the
 2   Atlantic Compact Commission may not vote to approve a regional
 3   management plan or any other plan or policy that allows for
 4   acceptance at the Barnwell regional disposal facility of more than a
 5   total of 800,000 cubic feet of waste from Connecticut and New
 6   Jersey.
 7      (D) South       Carolina’s     commissioners       or    alternate
 8   commissioners to the compact commission shall cast any
 9   applicable votes on the compact commission in a manner that
10   authorizes the importation of waste into the region for purposes of
11   disposal at a regional disposal facility in South Carolina so long as
12   importation would not result in the facility accepting more than the
13   following total volumes of all waste:
14        (1) 160,000 cubic feet in fiscal year 2001;
15        (2) 80,000 cubic feet in fiscal year 2002;
16        (3) 70,000 cubic feet in fiscal year 2003;
17        (4) 60,000 cubic feet in fiscal year 2004;
18        (5) 50,000 cubic feet in fiscal year 2005;
19        (6) 45,000 cubic feet in fiscal year 2006;
20        (7) 40,000 cubic feet in fiscal year 2007;
21        (8) 35,000 cubic feet in fiscal year 2008.
22      South Carolina’s commissioners or alternate commissioners
23   shall not vote to approve the importation of waste into the region
24   for purposes of disposal in any fiscal year after 2008.”
25
26   II.    Section 48-46-60 of the 1976 Code is amended to read:
27
28      “Section 48-46-60. (A) The Governor and the board office are
29   authorized to take such actions as are necessary to join the Atlantic
30   Compact including, but not limited to, petitioning the Compact
31   Commission for membership and participating in any and all
32   rulemaking processes. South Carolina’s membership in the
33   Atlantic Compact pursuant to this chapter is effective July 1, 2000,
34   if by that date the Governor certifies to the General Assembly that
35   the Compact Commission has taken each of the actions specified
36   below. If the Compact Commission by July 1, 2000, has not taken
37   each of the actions specified below, then South Carolina’s
38   membership shall become effective as soon thereafter as the
39   Governor certifies that the Atlantic Compact Commission has
40   taken these actions:
41        (1) adopted a binding regulation or policy in accordance
42   with Article VII(e) of the compact establishing conditions for
43   admission of a party state that are consistent with this act and

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 1   ordered that South Carolina be declared eligible to be a party state
 2   consistent with those conditions;
 3         (2) adopted a binding regulation or policy in accordance
 4   with Article IV(i)(11) of the Atlantic Compact authorizing a host
 5   state to enter into agreements on behalf of the compact and
 6   consistent with criteria established by the compact commission and
 7   consistent with the provisions of Section 48-46-40(A)(6)(a) and
 8   Section 48-46-50(D) with any person for the importation of waste
 9   into the region for purposes of disposal, to the extent that these
10   agreements do not preclude the disposal facility from accepting all
11   regional waste that can reasonably be projected to require disposal
12   at the regional disposal facility consistent with subitem (5)(b) of
13   this section;
14         (3) adopted a binding regulation or policy in accordance
15   with Article IV(i)(12) of the Atlantic Compact authorizing each
16   regional generator, at the generator’s discretion, to ship waste to
17   disposal facilities located outside the Atlantic Compact region;
18         (4) authorized South Carolina to proceed with plans to
19   establish disposal rates for low-level radioactive waste disposal in
20   a manner consistent with the procedures described in this chapter;
21         (5) adopted a binding regulation, policy, or order officially
22   designating South Carolina as a volunteer host state for the
23   region’s disposal facility, contingent upon South Carolina’s
24   membership in the compact, in accordance with Article V.b.1. of
25   the Atlantic Compact, thereby authorizing the following
26   compensation and incentives to South Carolina:
27           (a) agreement, as evidenced in a policy, regulation, or
28   order that the compact commission will issue a payment of twelve
29   million dollars to the State of South Carolina. Before issuing the
30   twelve million-dollar payment, the compact commission will
31   deduct and retain from this amount seventy thousand dollars,
32   which will be credited as full payment of South Carolina’s
33   membership dues in the Atlantic Compact. The remainder of the
34   twelve million-dollar payment must be credited to an account in
35   the State Treasurer’s office, separate and distinct from the fund,
36   styled ‘Barnwell Economic Development Fund’. This fund, and
37   earnings on this fund which must be credited to the fund, may only
38   be expended for purposes of economic development in the
39   Barnwell County area including, but not limited to, projects of the
40   Barnwell County Economic Development Corporation and
41   projects of the Tri-County alliance which includes Barnwell,
42   Bamberg, and Allendale Counties and projects in the Williston
43   area of Aiken County. Economic development includes, but is not

     [22]                             79
 1   limited to, industrial recruitment, infrastructure construction,
 2   improvement, and expansion, and public facilities construction,
 3   improvement, and expansion. These funds must be spent
 4   according to guidelines established by the Barnwell County
 5   governing body and upon approval of the board office.
 6   Expenditures must be authorized by the Barnwell County
 7   governing body and with the approval of the board office. Upon
 8   approval of the Barnwell County governing body and the board
 9   office, the State Treasurer shall submit the approved funds to the
10   Barnwell County Treasurer for disbursement pursuant to the
11   authorization;
12            (b) adopted a binding regulation, policy, or order
13   consistent with the regional management plan developed pursuant
14   to Article V(a) of the Atlantic Compact, limiting Connecticut and
15   New Jersey to the use of not more than 800,000 cubic feet of
16   disposal capacity at the regional disposal facility located in
17   Barnwell County, South Carolina, and also ensuring that up to
18   800,000 cubic feet of disposal capacity remains available for use
19   by Connecticut and New Jersey unless this estimate of need is later
20   revised downward by unanimous consent of the compact
21   commission;
22            (c) agreement, as evidenced in a policy or regulation, that
23   the compact commission headquarters and office will be relocated
24   to South Carolina within six months of South Carolina’s
25   membership; and
26            (d) agreement, as evidenced in a policy or regulation, that
27   the compact commission will, to the extent practicable, hold a
28   majority of its meetings in the host state for the regional disposal
29   facility.
30      (B) The board office, the State Treasurer, and the PSC shall
31   provide the required staff and may add additional permanent or
32   temporary staff or contract for services, as well as provide for
33   operating expenses, if necessary, to administer new responsibilities
34   assigned under this chapter. In accordance with Article V.f.2. of
35   the Atlantic Compact the compensation, costs, and expenses
36   incurred incident to administering these responsibilities may be
37   paid through a surcharge on waste disposed at regional disposal
38   facilities within the State. To cover these costs the board office
39   shall impose a surcharge per unit of waste received at any regional
40   disposal facility located within the State. A site operator shall
41   collect and remit these fees to the board office in accordance with
42   the board’s office’s directions. All such surcharges shall be


     [22]                             80
 1   included within the disposal rates set by the board office pursuant
 2   to Section 48-46-40.
 3      (C) In accordance with Article V.f.3. of the Atlantic Compact,
 4   the compact commission shall advise the board office at least
 5   annually, but more frequently if the compact commission deems
 6   appropriate, of the compact commission’s costs and expenses. To
 7   cover these costs the board office shall impose a surcharge per unit
 8   of waste received at any regional disposal facility located within
 9   the State as determined in Section 48-46-40. A site operator shall
10   collect and remit these fees to the board office in accordance with
11   the board office’s directions, and the board department shall remit
12   those fees to the compact commission.”
13
14
15   JJ. Section 48-46-90(A) of the 1976 Code is amended to read:
16
17     “(A) In accordance with Section 13-7-30, the board office, or its
18   designee, is responsible for extended custody and maintenance of
19   the Barnwell site following closure and license transfer from the
20   facility operator. The Department of Health and Environmental
21   Control is responsible for continued site monitoring.”
22
23   KK. Section 63-11-500(A) of the 1976 Code is amended to read:
24
25      “(A) There is created the Cass Elias McCarter Guardian ad
26   Litem Program in South Carolina. The program shall serve as a
27   statewide system to provide training and supervision to volunteers
28   who serve as court-appointed special advocates for children in
29   abuse and neglect proceedings within the family court, pursuant to
30   Section 63-7-1620. This program must be administered by the
31   Office of the Governor Department of Administration.”
32
33   LL. 1. Section 63-11-700 of the 1976 Code are amended to read:
34
35     “Section 63-11-700. (A) There is created, as part of the Office
36   of the Governor, within the of the Department of Administration,
37   the Division for Review of the Foster Care of Children. The
38   division must be supported by a board consisting of seven eight
39   members, all of whom must be past or present members of local
40   review boards.       There must be one member from each
41   congressional district and one member from the State at large, all
42   appointed by the Governor with the advice and consent of the
43   Senate.

     [22]                             81
 1      (B) Terms of office for the members of the board are for four
 2   years and until their successors are appointed and qualify.
 3   Appointments must be made by the Governor for terms of four
 4   years to expire on June thirtieth of the appropriate year.
 5      (C) The board shall elect from its members a chairman who
 6   shall serve for two years. Four Five members of the board
 7   constitute a quorum for the transaction of business. Members of
 8   the board shall receive per diem, mileage, and subsistence as
 9   provided by law for members of boards, commissions, and
10   committees while engaged in the work of the board.
11      (D) The board shall meet at least quarterly and more frequently
12   upon the call of the division director to review and coordinate the
13   activities of the local review boards and make recommendations to
14   the Governor and the General Assembly with regard to foster care
15   policies, procedures, and deficiencies of public and private
16   agencies which arrange for foster care of children as determined by
17   the review of cases provided for in Section 63-11-720(A)(1) and
18   (2). These recommendations must be submitted to the Governor
19   and included in an annual report, filed with the General Assembly,
20   of the activities of the state office and local review boards.
21      (E) The board, upon recommendation of the division director,
22   shall promulgate regulations to carry out the provisions of this
23   article. These regulations shall provide for and must be limited to
24   procedures for: reviewing reports and other necessary information
25   at state, county, and private agencies and facilities; scheduling of
26   reviews and notification of interested parties; conducting local
27   review board and board of directors’ meetings; disseminating
28   local review board recommendations, including reporting to the
29   appropriate family court judges the status of judicially approved
30   treatment plans; participating and intervening in family court
31   proceedings; and developing policies for summary review of
32   children privately placed in privately-owned facilities or group
33   homes.
34      (F) The Governor may employ a division director to serve at
35   the Governor’s pleasure who may be paid an annual salary to be
36   determined by the Governor. The director may be removed
37   pursuant to Section 1-3-240. The division director shall employ
38   staff as is necessary to carry out this article, and the staff must be
39   compensated in an amount and in a manner as may be determined
40   by the Governor.
41      (G) This article may not be construed to provide for subpoena
42   authority.”
43

     [22]                              82
 1     2. Section 63-11-730(A) of the 1976 Code is amended to read:
 2
 3      “(A) No person may be employed by the Division for Review of
 4   the Foster Care of Children, Office of the Governor within the
 5   Department of Administration, or may serve on the state or a local
 6   foster care review board if the person:
 7         (1) is the subject of an indicated report or affirmative
 8   determination of abuse or neglect as maintained by the Department
 9   of Social Services in the Central Registry of Child Abuse and
10   Neglect pursuant to Subarticle 13, Article 3, Chapter 7;
11         (2) has been convicted of or pled guilty or nolo contendere
12   to:
13           (a) an ‘offense against the person’ as provided for in Title
14   16, Chapter 3;
15           (b) an ‘offense against morality or decency’ as provided
16   for in Title 16, Chapter 15; or
17           (c) contributing to the delinquency of a minor, as
18   provided for in Section 16-17-490.”
19
20   MM. 1. Section 63-11-1110 of the 1976 Code is amended to
21   read:
22
23      “Section 63-11-1110. There is created the Children’s Case
24   Resolution System, within the Department of Administration and
25   referred to in this article as the System, which is a process of
26   reviewing cases on behalf of children for whom the appropriate
27   public agencies collectively have not provided the necessary
28   services. The System must be housed in and staffed by the Office
29   of the Governor.”
30
31     2. Section 63-11-1140(5), (8), and (9) of the 1976 Code are
32   amended to read:
33
34      “(5) when unanimous consent is not obtained as required in item
35   (4), a panel must be convened composed of the following persons:
36         (a) one public agency board member and one agency head
37   appointed by the Governor. Recommendations for appointments
38   may be submitted by the Human Services Coordinating Council.
39   No member may be appointed who represents any agency involved
40   in the resolution of the case;
41         (b) one legislator appointed by the Governor; and
42         (c) two members appointed by the Governor, drawn from a
43   list of qualified individuals not employed by a child-serving public

     [22]                             83
 1   agency, established in advance by the System, who have
 2   knowledge of public services for children in South Carolina.
 3      The chairman must be appointed by the Governor from
 4   members appointed as provided in subitem (c) of this item. A
 5   decision is made by a majority of the panel members present and
 6   voting, but in no case may a decision be rendered by less than
 7   three members. The panel shall review a case at the earliest
 8   possible date after sufficient staff review and evaluation pursuant
 9   to items (3) and (4) and shall make a decision by the next
10   scheduled panel meeting. When private services are necessary,
11   financial responsibility must be apportioned among the appropriate
12   public agencies based on the reasons for the private services.
13   Agencies designated by the panel shall carry out the decisions of
14   the panel, but the decisions may not substantially affect the funds
15   appropriated for the designated agency to such a degree that the
16   intent of the General Assembly is changed. Substantial impact of
17   the decisions must be defined by regulations promulgated by the
18   State Budget and Control Board Department of Administration.
19   When the panel identifies similar cases that illustrate a break in the
20   delivery of service to children, either because of restrictions by law
21   or substantial lack of funding, the panel shall report the situation to
22   the General Assembly and subsequently may not accept any
23   similar cases for decision until the General Assembly takes
24   appropriate action, however, the System may continue to perform
25   the functions provided in items (3) and (4).
26      Each member of the panel is entitled to subsistence, per diem,
27   and mileage authorized for members of state boards, committees,
28   and commissions. The respective agency is responsible for the
29   compensation of the members appointed in subitems (a) and (b) of
30   this item, and the System is responsible for the compensation of
31   the members appointed in subitem (c) of this item;
32      (8) submit an annual report on the activities of the System to
33   the Governor, Director of the Department of Administration, the
34   General Assembly, and agencies designated by the System as
35   relevant to the cases; and
36      (9) compile and transmit additional reports on the activities of
37   the System, and recommendations for service delivery
38   improvements, as necessary, to the Governor and the Joint Citizens
39   and Legislative Committee on Children.”
40
41   NN. 1. Section 44-38-380(A)(1)(h) of the 1976 Code is amended
42   to read:
43

     [22]                              84
 1     “(h) Director of the Continuum of Care for Emotionally
 2   Disturbed Children Division of the Governor’s Office;”
 3
 4     2. Section 63-11-1310 of the 1976 Code, as added by Act 361 of
 5   2008, is amended to read:
 6
 7      “Section 63-11-1310. It is the purpose of this article to develop
 8   and enhance the delivery of services to severely emotionally
 9   disturbed children and youth and to ensure that the special needs of
10   this population are met appropriately to the extent possible within
11   this State. To achieve this objective, the Continuum of Care for
12   Emotionally Disturbed Children Division is established as a
13   division of the office of the Governor Department of
14   Administration. This article supplements and does not supplant
15   existing services provided to this population.”
16
17     3. Section 63-11-1340 of the 1976 Code, as added by Act 361 of
18   2008, is amended to read:
19
20      “Section 63-11-1340. The Governor may employ appoint a
21   Director of the Continuum of Care to serve at his pleasure who is
22   subject to removal pursuant to the provisions of Section 1-3-240.
23   The director shall employ staff necessary to carry out the
24   provisions of this article. The funds for the division director, staff,
25   and other purposes of the Continuum of Care Division must be
26   provided in the annual general appropriations act. The department,
27   upon the recommendation of the division director, shall may
28   promulgate regulations in accordance with this article and the
29   provisions of the Administrative Procedures Act and formulate
30   necessary policies and procedures of administration and operation
31   to carry out effectively the objectives of this article.”
32
33     4. Section 63-11-1360 of the 1976 Code as added by Act 361 of
34   2008, is amended to read:
35
36   Division shall submit an annual report to the Governor Department
37   of Administration and General Assembly on its activities and
38   recommendations for changes and improvements in the delivery of
39   services by public agencies serving children.”
40
41     5. Section 63-11-1510 of the 1976 Code is amended to read:
42


     [22]                              85
 1      “Section 63-11-1510. There is established the Interagency
 2   System for Caring for Emotionally Disturbed Children, an
 3   integrated system of care to be developed by the Continuum of
 4   Care for Emotionally Disturbed Children of the Governor’s Office
 5   in the Department of Administration, the Department of
 6   Disabilities and Special Needs, the State Health and Human
 7   Services Finance Commission, the Department of Mental Health,
 8   and the Department of Social Services to be implemented by
 9   November 1, 1994. The goal of the system is to implement South
10   Carolina’s Families First Policy and to support children in a
11   manner that enables them to function in a community setting. The
12   system shall provide assessment and evaluation procedures to
13   insure a proper service plan and placement for each child. This
14   system must have as a key component the clear identification of
15   the agency accountable for monitoring on a regular basis each
16   child’s care plan and procedures to evaluate and certify the
17   programs offered by providers.”
18
19                                Part VII
20
21                     Legislative Fiscal Office and
22                      Other Transfer Provisions
23
24                               Subpart 1
25
26   SECTION 9. A. Chapter 3, Title 2 of the 1976 Code is
27   amended by adding:
28
29      “Section 2-3-240. (A) The Legislative Fiscal Office is
30   established under the joint direction and management of the Clerk
31   of the Senate and the Clerk of the House of Representatives as a
32   division of the Legislative Services Agency.
33      (B) The Legislative Fiscal Office must support the work of the
34   General Assembly through the provision of data, fiscal impact
35   statements and revenue impact statements, as appropriate, on
36   proposed legislation, forecast of economic conditions pursuant to
37   Section 11-9-880, and support the General Assembly’s budget
38   writing duties without regard to political or other considerations
39   beyond technical accuracy and professionalism required to perform
40   the duties of the office.”
41
42   B. (1) The employees of the Office of State Budget required to
43   provide fiscal impact statements on proposed legislation, to

     [22]                            86
 1   support the General Assembly’s budget writing duties, and to
 2   support the other duties assigned to the Legislative Fiscal Office
 3   are transferred to the Legislative Fiscal Office, organized as
 4   recommended by the Clerk of the Senate and the Clerk of the
 5   House of Representatives.
 6      (2) The Clerk of the Senate, the Clerk of the House of
 7   Representatives, and the executive director of the Budget and
 8   Control Board, in consultation with the Chairman of the Senate
 9   Finance Committee and the Chairman of the House Ways and
10   Means Committee, shall determine the employees, authorized
11   appropriations, and assets and liabilities to be transferred pursuant
12   to items (1) and (2) of subsection (A).
13
14                                Subpart 2
15
16   SECTION 10. Section 11-9-820(A), (B), and (C) of the 1976
17   Code are amended to read:
18
19      “(A) There is created the Board of Economic Advisors, a
20   division of the State Fiscal Accountability Authority, as follows:
21         (1) one member, appointed by, and serving at the pleasure
22   of, the Governor, who shall serve as chairman and shall receive
23   annual compensation of ten thousand dollars;
24         (2) one member appointed by, and serving at the pleasure of,
25   the Chairman of the Senate Finance Committee, who shall receive
26   annual compensation of eight thousand dollars;
27         (3) one member appointed by, and serving at the pleasure of,
28   the Chairman of the Ways and Means Committee of the House of
29   Representatives, who shall receive annual compensation of eight
30   thousand dollars;
31         (4) the Director of the Department of Revenue, who shall
32   serve ex officio, with no voting rights.
33      (B) The Chairman of the Board of Economic Advisors shall
34   report directly to the Budget and Control Board State Fiscal
35   Accountability Authority to establish policy governing economic
36   trend analysis. The Board of Economic Advisors shall provide for
37   its staffing and administrative support from funds appropriated by
38   the General Assembly.
39      (C) The Executive Director of the Budget and Control Board
40   State Fiscal Accountability Authority shall assist the Governor,
41   Chairman of the Board of Economic Advisors, Chairman of the
42   Senate Finance Committee, and Chairman of the Ways and Means
43   Committee of the House of Representatives in providing an

     [22]                             87
 1   effective system for compiling and maintaining current and
 2   reliable economic data. The Board of Economic Advisors may
 3   establish an advisory board to assist in carrying out its duties and
 4   responsibilities. All state agencies, departments, institutions, and
 5   divisions shall provide the information and data the advisory board
 6   requires. The Board of Economic Advisors is considered a public
 7   body for purposes of the Freedom of Information Act, pursuant to
 8   Section 30-4-20(a).”
 9
10   SECTION 11. Sections 11-9-825 and 11-9-830 of the 1976 Code
11   are amended to read:
12
13      “Section 11-9-825. The staff of the Board of Economic Advisors
14   must be supplemented by the following officials who each shall
15   designate one professional from their individual staffs to assist the
16   BEA staff on a regular basis: the Governor, the Chairman of the
17   House Ways and Means Committee, the Chairman of the Senate
18   Finance Committee, and the State Department of Revenue
19   Chairman, and the Director of the Budget Division of the Budget
20   and Control Board Director of the State Fiscal Accountability
21   Authority. The BEA staff shall meet monthly with these designees
22   in order to solicit their input.
23
24      Section 11-9-830. In order to provide a more effective system
25   of providing advice to the State Fiscal Accountability Authority,
26   Budget and Control Board the Governor and the General Assembly
27   on economic trends, the Board of Economic Advisors shall:
28         (1) compile and maintain in a unified, concise, and orderly
29   form information about total revenues and expenditures which
30   involve the funding of state government operations, revenues
31   received by the State which comprise general revenue sources of
32   all receipts to include amounts borrowed, federal grants, earnings,
33   and the various activities accounted for in other funds;
34         (2) continuously review and evaluate total revenues and
35   expenditures to determine the extent to which they meet fiscal plan
36   forecasts/projections;
37         (3) evaluate federal revenues in terms of impact on state
38   programs;
39         (4) compile economic, social, and demographic data for use
40   in the publishing of economic scenarios for incorporation into the
41   development of the state budget;



     [22]                             88
 1        (5) bring to the attention of the Governor and the General
 2   Assembly the effectiveness, or lack thereof, of the economic trends
 3   and the impact on statewide policies and priorities;
 4        (6) establish liaison with the Congressional Budget Office
 5   and the Office of Management and Budget at the national level.”
 6
 7   SECTION 12. Section 11-9-880(C) of the 1976 Code is
 8   amended to read:
 9
10     “(C) All forecasts, adjusted forecasts, and reports of the Board of
11   Economic Advisors, including the synopsis of the current year’s
12   review as required by subsection (B), must be published and
13   reported to the Governor, the members of the Budget and Control
14   Board, the members of the General Assembly, the members of the
15   State Fiscal Accountability Authority, and made available to the
16   news media.”
17
18   SECTION 13. Section 11-9-890B. of the 1976 Code is amended
19   to read:
20
21      “B. (1) If at the end of the first, second, or third quarter of any
22   fiscal year quarterly revenue collections are two percent or more
23   below the amount projected for that quarter by the Board of
24   Economic Advisors reduces the revenue forecast for the fiscal year
25   by three percent or less below the amount projected for the fiscal
26   year in the forecast in effect at the time the general appropriations
27   bill for the fiscal year is ratified, the State Budget and Control
28   Board, within seven three days of that determination, shall take
29   action to avoid a year-end deficit. Notwithstanding Section
30   1-11-495, if the State Budget and Control Board does not take
31   unanimous action within seven days, the Director of the Office of
32   State Executive Budget and Planning Office must reduce general
33   fund appropriations by the requisite amount in the manner
34   prescribed by law. Upon making the reduction, the Director of the
35   Office of State Executive Budget and Planning Office immediately
36   must notify the State Treasurer and the Comptroller General of the
37   reduction, and upon notification, the appropriations are considered
38   reduced. No agencies, departments, institutions, activity, program,
39   item, special appropriation, or allocation for which the General
40   Assembly has provided funding in any part of this section may be
41   discontinued, deleted, or deferred by the Director of the Office of
42   State Executive Budget and Planning Office. A reduction of rate
43   of expenditure by the Director of the Office of State Executive

     [22]                              89
 1   Budget and Planning Office, under authority of this section, must
 2   be applied as uniformly as shall be practicable, except that no
 3   reduction must be applied to funds encumbered by a written
 4   contract with the agency, department, or institution not connected
 5   with state government.
 6      (2) If at the end of the first, second, or third quarter of any
 7   fiscal year the Board of Economic Advisors reduces the revenue
 8   forecast for the fiscal year by more than three percent below the
 9   amount projected for the fiscal year in the forecast in effect at the
10   time the general appropriations bill for the fiscal year is ratified,
11   the President Pro Tempore of the Senate and the Speaker of the
12   House of Representatives may call each respective house into
13   session to take action to avoid a year-end deficit. If the General
14   Assembly has not taken action within twenty days of the
15   determination of the Board of Economic Advisors, the Director of
16   the Executive Budget and Planning Office must reduce general
17   fund appropriations by the requisite amount in the manner
18   prescribed by law and in accordance with item (1) of this
19   subsection.”
20
21   SECTION 14. A. Title 2 of the 1976 Code is amended by
22   adding:
23
24                             “CHAPTER 79
25
26            State Agency Deficit Prevention and Recognition
27
28     Section 2-79-10. This chapter may be cited as the ‘State
29   Agency Deficit Prevention and Recognition Act’.
30
31      Section 2-79-20. It is the responsibility of each state agency,
32   department, and institution to operate within the limits of
33   appropriations set forth in the annual general appropriations act,
34   appropriation acts, or joint resolution supplemental thereto, and
35   any other approved expenditures of monies. A state agency,
36   department, or institution shall not operate in a manner that results
37   in a year-end deficit except as provided in this chapter.
38
39     Section 2-79-30. If at the end of each quarterly deficit
40   monitoring review by the Executive Budget Office, it is
41   determined by either the Executive Budget Office or a state
42   agency, department, or institution that the likelihood of a deficit
43   for the current fiscal year exists, the state agency shall notify the

     [22]                             90
 1   General Assembly within fifteen days of this determination and
 2   shall further request the Executive Budget Office to work with it to
 3   develop a plan to avoid the deficit. Within fifteen days of the
 4   deficit avoidance plan being completed, the Executive Budget
 5   Office shall either request the General Assembly to recognize the
 6   deficit in the manner provided in this chapter if it determines the
 7   deficit avoidance plan will not be sufficient to avoid a deficit or
 8   notify the General Assembly of how the deficit will be avoided
 9   based on the deficit avoidance plan if the Executive Budget Office
10   determines the plan will be sufficient to avoid a deficit.
11
12      Section 2-79-40. (A) Upon notification from the Executive
13   Budget Office as provided in Section 2-79-30 that an agency will
14   run a deficit and requesting that it be recognized, the General
15   Assembly, by joint resolution, may make a finding that the cause
16   of, or likelihood of, a deficit is unavoidable due to factors which
17   are outside the control of the state agency, department, or
18   institution, and recognize the deficit. Any legislation to recognize
19   a deficit must be in a separate joint resolution enacted for the sole
20   purpose of recognizing the deficit of a particular state agency,
21   department, or institution. A deficit only may be recognized by an
22   affirmative vote of each branch of the General Assembly.
23      (B) If the General Assembly recognizes the deficit, then the
24   actual deficit at the close of the fiscal year must be reduced as
25   necessary from surplus revenues or surplus funds available at the
26   close of the fiscal year in which the deficit occurs and from funds
27   available in the General Reserve Fund and the Capital Reserve
28   Fund, as required by the Constitution of this State.
29
30      Section 2-79-50. Once a deficit has been recognized by the
31   General Assembly, the state agency, department, or institution
32   shall limit travel and conference attendance to that which is
33   deemed essential by the director of the agency, department, or
34   institution. In addition, the General Assembly, when recognizing a
35   deficit may direct that any pay increases and purchases of
36   equipment and vehicles must be approved by the Executive Budget
37   Office.”
38
39   B. Section 1-11-495 of the 1976 Code, as last amended by Act
40   152 of 2010, is repealed.
41
42                                Subpart 4
43

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 1   SECTION 15. Section 2-7-72 of the 1976 Code is amended to
 2   read:
 3
 4      “Section 2-7-72. Whenever a bill or resolution is introduced in
 5   the General Assembly requiring the expenditure of funds, the
 6   principal author shall affix a statement of estimated fiscal impact
 7   and cost of the proposed legislation. Before reporting the bill out
 8   of committee, if the amount is substantially different from the
 9   original estimate, the committee shall attach a statement of
10   estimated fiscal impact to the bill signed by the Executive Director
11   of the State Budget Division of the State Budget and Control
12   Board Legislative Fiscal Office or his designee. As used in this
13   section, ‘statement of estimated fiscal impact’ means the opinion
14   of the person executing the statement as to the dollar cost to the
15   State for the first year and the annual cost thereafter.”
16
17   SECTION 16. Section 2-7-73 of the 1976 Code is amended to
18   read:
19
20      “Section 2-7-73. (A) Any bill or resolution which would
21   mandate a health coverage or offering of a health coverage by an
22   insurance carrier, health care service contractor, or health
23   maintenance organization as a component of individual or group
24   policies, must have attached to it a statement of the financial
25   impact of the coverage, according to the guidelines enumerated in
26   subsection (B). This financial impact analysis must be conducted
27   by the Division of Research and Statistical Services Legislative
28   Fiscal Office based upon raw data supplied by the State Fiscal
29   Accountability Authority’s Office of Research and Statistics and
30   signed by an authorized agent of the Department of Insurance, or
31   his designee. The statement required by this section must be
32   delivered to the Senate or House committee to which any bill or
33   resolution is referred, within thirty days of the written request of
34   the chairman of such committee.
35      (B) Guidelines for assessing the financial impact of proposed
36   mandated or mandatorily offered health coverage to the extent that
37   information is available, must include, but are not limited to, the
38   following:
39        (1) to what extent does the coverage increase or decrease the
40   cost of treatment or services;
41        (2) to what extent does the coverage increase or decrease the
42   use of treatment or service;


     [22]                             92
 1        (3) to what extent does the mandated treatment or service
 2   substitute for more expensive treatment or service;
 3        (4) to what extent does the coverage increase or decrease the
 4   administrative expenses of insurance companies and the premium
 5   and administrative expenses of policyholders; and
 6        (5) what is the impact of this coverage on the total cost of
 7   health care.”
 8
 9   SECTION 17. Section 2-7-74 of the 1976 Code is amended to
10   read:
11
12      “Section 2-7-74. (A) As used in this section, ‘statement of
13   estimated fiscal impact’ means the opinion of the person executing
14   the statement as to the dollar cost to the State for the first year and
15   the annual cost thereafter.
16      (B) The principal author of legislation that would establish a
17   new criminal offense or that would amend the sentencing
18   provisions of an existing criminal offense may affix a statement of
19   estimated fiscal impact of the proposed legislation. Upon request
20   from the principal author of the legislation, the Office of State
21   Budget Legislative Fiscal Office shall assist in preparing the fiscal
22   impact statement.
23      (C) If a fiscal impact statement is not affixed to legislation at
24   the time of introduction, the committee to which the legislation is
25   referred shall request a fiscal impact statement from the Office of
26   State Budget Legislative Fiscal Office. The Office of State Budget
27   Legislative Fiscal Office shall have at least fifteen calendar days
28   from the date of the request to deliver the fiscal impact statement
29   to the Senate or House of Representatives committee to which the
30   legislation is referred, unless the Office of State Budget Legislative
31   Fiscal Office requests an extension of time. The Office of State
32   Budget Legislative Fiscal Office shall not unreasonably delay the
33   delivery of a fiscal impact statement.
34      (D) The committee shall not take action on the legislation until
35   the committee has received the fiscal impact statement.
36      (E) If the legislation is reported out of the committee, the
37   committee shall attach the fiscal impact statement to the
38   legislation. If the legislation has been amended, the committee
39   shall request a revised fiscal impact statement from the Office of
40   State Budget Legislative Fiscal Office and shall attach the revised
41   fiscal impact statement to the legislation.
42      (F) State agencies and political subdivisions shall cooperate
43   with the Office of State Budget Legislative Fiscal Office in

     [22]                              93
 1   preparing fiscal impact statements. Such agencies and political
 2   subdivisions shall submit requested information to the Office of
 3   State Budget Legislative Fiscal Office in a timely fashion.
 4      (G) In preparing fiscal impact statements, the Office of State
 5   Budget Legislative Fiscal Office shall consider and evaluate
 6   information as submitted by state agencies and political
 7   subdivisions. The Office of State Budget Legislative Fiscal Office
 8   shall provide to the requesting Senate or House of Representatives
 9   committee any estimates provided by a state agency or political
10   subdivision, which are substantially different from the fiscal
11   impact as issued by the Office of State Budget Legislative Fiscal
12   Office.
13      (H) The Office of State Budget Legislative Fiscal Office may
14   request information from nongovernmental agencies and
15   organizations to assist in preparing the fiscal impact statement.”
16
17   SECTION 18. Section 2-7-76 of the 1976 Code is amended to
18   read:
19
20      “Section 2-7-76. (A) The chairman of the legislative committee
21   to which a bill or resolution was referred shall direct the Budget
22   Division or the Economic Research Section of the Budget and
23   Control Board, as appropriate, Legislative Fiscal Office to prepare
24   and affix to it a statement of the estimated fiscal or and revenue
25   impact and cost to the counties and municipalities of the proposed
26   legislation before the legislation is reported out of that committee
27   if a bill or resolution:
28         (1) requires a county or municipality to expend funds
29   allocated to the county or municipality pursuant to Chapter 27, of
30   Title 6;
31         (2) is introduced in the General Assembly to require the
32   expenditure of funds by a county or municipality;
33         (3) requires the use of county or municipal personnel,
34   facilities, or equipment to implement a general law or regulations
35   promulgated pursuant to a general law; or
36         (4) relates to taxes imposed by political subdivisions.
37      (B) A revised estimated fiscal or and revenue impact and cost
38   statement must be prepared at the direction of the presiding officer
39   of the House of Representatives or the Senate by the Budget
40   Division or Economic Research Section of the Budget and Control
41   Board Legislative Fiscal Office before third reading of the bill or
42   resolution, if there is a significant amendment to the bill or
43   resolution.

     [22]                             94
 1     (C) For purposes of this section, ‘political subdivision’ means a
 2   county, municipality, school district, special purpose district,
 3   public service district, or consolidated political subdivision.”
 4
 5                               Subpart 5
 6
 7   SECTION 19. Section 48-52-410 of the 1976 Code is amended
 8   to read:
 9
10      “Section 48-52-410. There is established the State Energy
11   Office within the State Budget and Control Board Office of
12   Regulatory Staff which shall serve as the principal energy planning
13   entity for the State. Its primary purpose is to develop and
14   implement a well-balanced energy strategy and to increase the
15   efficiency of use of all energy sources throughout South Carolina
16   through the implementation of the Plan for State Energy Policy.
17   The State Energy Office must not function as a regulatory body.”
18
19   SECTION 20. Section 48-52-440 of the 1976 Code is amended
20   to read:
21
22     “Section 48-52-440. There is established the Energy Advisory
23   Committee, whose members are appointed by the State Budget and
24   Control Board, except as provided in item (14) of this section.
25   Members shall serve at the pleasure of the State Budget and
26   Control Board except that those appointed pursuant to item (14)
27   shall serve for a term coterminous with that of their appointing
28   authority. The committee is composed as follows:
29     (1) two representatives of investor-owned electricity
30   companies;
31     (2) two representatives of electric cooperatives;
32     (3) one representative of the South Carolina Public Service
33   Authority, who shall serve ex officio;
34     (4) one representative of municipally-owned electric utilities;
35     (5) one representative of publicly-owned natural gas
36   companies;
37     (6) one representative of investor-owned gas companies;
38     (7) one representative of oil suppliers or dealers;
39     (8) one representative of propane suppliers or dealers;
40     (9) one representative of nonprofit public transportation
41   providers;
42     (10) two representatives of industrial consumers;
43     (11) two representatives of commercial consumers;

     [22]                            95
 1      (12) two representatives of individual consumers; one must be
 2   the Executive Director of the Office of Regulatory Staff or his
 3   designee, who shall serve ex officio;
 4      (13) two representatives of environmental groups; and
 5      (14) one at-large member appointed by the Governor.
 6      The Budget and Control Board shall elect one of the committee
 7   members to serve as chairman. The members of the Energy
 8   Advisory Committee are not eligible for per diem payments or for
 9   reimbursement for lodging or meals. The functions of the Energy
10   Advisory Committee are advisory to the State Energy Office. The
11   committee shall meet at least annually and at the call of the chair
12   or at the request of at least six members to receive information on
13   the activities of the State Energy Office and the formulation and
14   implementation of the state energy action plan. It may comment
15   and advise on the activities and the plan as considered appropriate
16   by members of the committee. The State Energy Office may seek
17   advice and guidance from the committee as considered appropriate
18   by the director of the office. Members shall adopt rules governing
19   meeting attendance and abide by these rules.
20      (A) All funds allocated or directed to this State by the federal
21   government relating to energy planning, energy conservation, and
22   energy efficiency must be allocated or directed to the State Energy
23   Office in the Office of Regulatory Staff to be distributed in
24   accordance with the provisions of this section; provided, however,
25   that no funding from the following federal programs is subject to
26   the provisions of this section:
27        (1) the Low Income Home Energy Assistance Program
28   (LIHEAP), created by Title XXVI of the Omnibus Budget
29   Reconciliation Act of 1981 and codified as Chapter 94, Title 42 of
30   the United States Code, as amended by the Human Services
31   Reauthorization Act of 1984, the Human Services Reauthorization
32   Act of 1986, the Augustus F. Hawkins Human Services
33   Reauthorization Act of 1990, the National Institutes of Health
34   Revitalization Act of 1993, the Low-Income Home Energy
35   Amendments of 1994, the Coats Human Services Reauthorization
36   Act of 1998, and the Energy Policy Act of 2005, which is
37   administered and funded by the United States Department of
38   Health and Human Services on the federal level and administered
39   locally by community action agencies; or
40        (2) the Weatherization Assistance Program, created by Title
41   IV of the Energy Conservation and Production Act of 1976 and
42   codified as Part A, Subchapter III, Chapter 81, Title 42 of the
43   United States Code, amended by the National Energy Conservation

     [22]                            96
 1   Policy Act, the Energy Security Act, the Human Services
 2   Reauthorization Act of 1984, and the State Energy Efficiency
 3   Programs Improvement Act of 1990 and administered and funded
 4   by the United States Department of Energy on the federal level and
 5   administered locally by community action agencies.
 6      Nothing in this section changes the exclusive administration of
 7   the Low Income Energy Assistance Program and Weatherization
 8   Assistance Program by local community action agencies through
 9   the Department of Administration’s Office of Economic
10   Opportunity pursuant to its authority under the provisions of
11   Chapter 45, Title 43, the Community Economic Opportunity Act
12   of 1983.
13      (B) All funds described in subsection (A) that are not exempted
14   by items (1) and (2) of subsection (A) must be distributed by the
15   State Energy Office in the Office of Regulatory Staff in
16   accordance with all requirements of federal law associated with
17   these funds. Persons seeking to obtain funding for energy related
18   programs must submit to the State Energy Office a plan for the use
19   of the funds in a manner consistent with the provisions of this
20   section.
21      (C) Upon receipt of the plans required by subsection (B), the
22   State Energy Office of the Office of Regulatory Staff must prepare
23   an analysis of the plans and their consistency with the provisions
24   of this section and submit that analysis to the Department Advisory
25   Council for its review and recommendations.
26      (D) There is hereby created in the Office of Regulatory Staff
27   the Energy Advisory Council, which will advise the State Energy
28   Office on all matters for which the State Energy Office is
29   responsible and specifically with respect to its review of the annual
30   plans required to be submitted pursuant to this section. The
31   Advisory Council shall be composed of nine members as follows:
32        (1) three appointed by the Governor, one of whom must
33   have a substantial background in environmental or consumer
34   protection matters;
35        (2) three appointed by the President Pro Tempore of the
36   Senate, one of whom must have a substantial background in
37   environmental or consumer protection matters; and
38        (3) three appointed by the Speaker of the House of
39   Representatives, one of whom must have a substantial background
40   in environmental or consumer protection matters.
41      All appointees must have backgrounds in environmental issues;
42   the electricity, transportation, or natural gas industries; or
43   economic development related to these sectors.

     [22]                             97
 1      (E) In evaluating the plans required by this section, the
 2   Advisory Council shall consider the extent to which the plans
 3   allocate funds in a cost effective manner and promote the
 4   following alternative sources of domestic energy or avoidance of
 5   consumption of energy:
 6        (1) the development of energy efficiency and conservation;
 7        (2) renewable sources of energy, including wind power,
 8   solar power, energy from biomass sources, and energy storage;
 9        (3) nuclear energy; and
10        (4) alternative fuels or power sources for the transportation
11   sector.
12      In considering the cost-effectiveness of the plans the Advisory
13   Council must consider the cost of the proposed measures as to the
14   expected useful life of the measures being proposed and the impact
15   of the proposed measures on consumers. For each proposed plan,
16   the Advisory Council must consider the value of the avoided cost
17   of complying with anticipated state and federal environmental
18   regulations.
19      (F) Upon completion of its review of plans submitted in
20   compliance with this section, the Advisory Council must prepare a
21   report describing the results of its review and submit copies of that
22   report to the State Energy Office of the Office of Regulatory Staff
23   and the Public Utility Review Committee of Article 5 of Chapter 3,
24   Title 58.
25      (G) The Executive Director of the Office of Regulatory Staff
26   shall make the final determinations of distributions of funds as
27   required by this section, taking into account the recommendations
28   of the Advisory Council. Grant awards shall be made in a manner
29   consistent with this section.”
30
31   SECTION 21. Section 48-52-460 of the 1976 Code is amended
32   to read:
33
34      “Section 48-52-460. The establishment of the State Energy
35   Office within the State Budget and Control Board Office of
36   Regulatory Staff, as provided for in this part, must be evaluated if
37   restructuring or reorganizing of state government takes place so as
38   to identify and provide for the proper placement of the office upon
39   restructuring or reorganizing.”
40
41   SECTION 22. Section 48-52-635 of the 1976 Code is amended
42   to read:
43

     [22]                             98
 1      “Section 48-52-635. Pursuant to Section 48-52-630, an
 2   agency’s savings realized in the prior fiscal year from
 3   implementing an energy conservation measure as compared to a
 4   baseline energy use as certified by the State Energy Office, may be
 5   retained and carried forward into the current fiscal year. This
 6   savings, as certified by the State Energy Office, must first be used
 7   for debt retirement of capital expenditures, if any, on the energy
 8   conservation measure, after which time savings may be used for
 9   agency operational purposes and where practical, reinvested into
10   energy conservation areas. The agency must report all actual
11   savings in the energy portion of its annual report to the State
12   Budget and Control Board Office of Regulatory Staff.”
13
14   SECTION 23. Section 48-52-680(C) of the 1976 Code is
15   amended to read:
16
17      “(C) The State Energy Office shall provide the Office of
18   Property Management of the Budget and Control Board, Division
19   of General Services of the Department of Administration,
20   information to be used in evaluating energy costs for buildings or
21   portions of buildings proposed to be leased by governmental
22   bodies that are defined in and subject to the Consolidated
23   Procurement Code. The information provided must be considered
24   with the other criteria provided by law by a governmental body
25   before entering into a real property lease.”
26
27                                Subpart 6
28
29   SECTION 24. A. Section 1-11-25 of the 1976 Code is
30   amended to read:
31
32     “Section 1-11-25. (A) There is hereby established a Local
33   Government Division within the State Budget and Control Board
34   Fiscal Accountability Authority to act as a liaison for financial
35   grants among local governments local public entities, the General
36   Assembly and the Governor’s Office. The division shall be under
37   the supervision of a director who shall be appointed by and who
38   shall serve at the pleasure of the Budget and Control Board
39   authority and whose compensation shall be as provided for by the
40   General Assembly. He may employ such staff as may be approved
41   by the board authority. The division shall be responsible for
42   certifying grants to local governments public entities from both


     [22]                             99
 1   federal and state funds. The term ‘local government public entity’
 2   shall mean any political entity below the state level.
 3      (B) The division shall establish guidelines and procedures
 4   which local governments public entities shall follow in applying
 5   for grants certified by the division. The director shall make known
 6   to local governments these entities the availability of all grants
 7   available through the division authority and shall make periodic
 8   reports to the Budget and Control Board, the General Assembly
 9   and the Governor’s Office. The reports shall contain information
10   concerning the amount of funds available from both federal and
11   state sources, requests for grants and the status of such requests
12   and such other information as the director may deem appropriate.
13   The director shall maintain such records as may be necessary for
14   the efficient operation of the office.
15      The Division of Administration, under contractual agreement,
16   shall furnish the Local Government Division such accounting
17   service support as may be requested.”
18
19   B.     Section 1-11-26 of the 1976 Code is amended to read:
20
21      “Section 1-11-26. (A) Grant funds received by a local county,
22   municipality, political subdivision, or other public entity from the
23   Division of Local Government of the State Budget and Control
24   Board Fiscal Accountability Authority must be deposited in a
25   separate fund and may not be commingled with other funds,
26   including other grant funds. Disbursements may be made from
27   this fund only on the written authorization of the individual who
28   signed the grant application filed with the division, or his
29   successor, and only for the purposes specified in the grant
30   application. A person violating the provisions of this section is
31   guilty of a misdemeanor and, upon conviction, must be fined five
32   thousand dollars or imprisoned for six months, or both.
33      (B) It is not a defense to an indictment alleging a violation of
34   this section that grant funds received from the Division of Local
35   Government were used by a grantee or subgrantee for
36   governmental purposes other than those specified in the grant
37   application or that the purpose for which the grant was made by
38   the Division of Local Government was accomplished by funds
39   other than grant funds.
40      (C) The Division of Local Government of the State Budget and
41   Control Board Fiscal Accountability Authority shall furnish a copy
42   of this section to a grantee when the grant is awarded.”
43

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 1   C. Section 11-50-50 of the 1976 Code, as added by Act 149 of
 2   2012, is amended to read:
 3
 4      “Section 11-50-50. (A) The board of directors is the governing
 5   board of the authority. The board consists of seven eight voting
 6   directors appointed as follows:
 7      (1) six seven members who reside in or represent all or some
 8   portion of the counties designated as distressed or least developed
 9   pursuant to Section 12-6-3360 for 2009; one appointed by the
10   President Pro Tempore of the Senate, one appointed by the
11   Speaker of the House of Representatives, one appointed by the
12   Chairman of the Senate Finance Committee, one appointed by the
13   Chairman of the House Ways and Means Committee, and two
14   three appointed by the Governor. One of the governor’s
15   appointees must be selected from three candidates recommended
16   by the Municipal Association of South Carolina; one of the
17   Governor’s appointees must be selected from three candidates
18   recommended by the South Carolina Association of Counties; and
19   one of the Governor’s appointees must be selected from three
20   candidates recommended by the South Carolina Rural Water
21   Association. Notwithstanding the provisions of Section 8-13-770,
22   the members appointed pursuant to this item (1) by the President
23   Pro Tempore of the Senate, Speaker of the House of
24   Representatives, Chairman of the Senate Finance Committee, and
25   the Chairman of the House Ways and Means Committee may be
26   members of the General Assembly and, if so appointed, shall serve
27   ex officio; and
28        (2) the Secretary of Commerce, ex officio, who shall serve
29   as chairman.
30      (B) Members not serving ex officio shall serve for terms of four
31   years and until their successors are appointed and qualify except
32   that of the members first appointed by the Speaker of the House,
33   President Pro Tempore of the Senate, and one of the members first
34   appointed by the Governor, the member shall serve for a term of
35   two years and the term must be noted on the appointment.
36   Vacancies must be filled in the manner of original appointment for
37   the unexpired portion of the term. Members shall serve without
38   compensation, but are allowed mileage, subsistence, and per diem
39   allowed by law for members of state boards, committees, and
40   commissions.”
41
42   D. Chapter 50, Title 11 of the 1976 Code is amended by adding:
43

     [22]                           101
 1      “Section 11-50-65. The State Fiscal Accountability Authority
 2   shall provide such administrative support to the State Rural
 3   Infrastructure Authority or any of its divisions or components as
 4   they may request and require in the performance of their duties
 5   including, but not limited to, financial management, human
 6   resources management, information technology, procurement
 7   services, and logistical support.”
 8
 9   E. 1. Notwithstanding Section 12-10-85, the Department of
10   Revenue is authorized to deposit revenues from the Rural
11   Infrastructure Fund in excess of twelve million dollars to the South
12   Carolina Rural Infrastructure Fund under the South Carolina Rural
13   Infrastructure Authority. Any revenues in excess of seventeen
14   million dollars shall be deposited in the Rural Infrastructure Fund
15   under the Department of Commerce, Coordinating Council.”
16        2. The State Budget and Control Board shall transfer all the
17   funds in the South Carolina Rural Infrastructure Bank Trust Fund,
18   created by Act 115 of 2005, to the South Carolina Rural
19   Infrastructure Fund, authorized by Act 171 of 2010.
20
21                                Subpart 7
22
23   SECTION 25. A. Chapter 17, Title 60 of the 1976 Code is
24   amended by adding:
25
26                             “CHAPTER 17
27
28                South Carolina Confederate Relic Room
29                  and Military Museum Commission
30
31     Section 60-17-10. (A) Effective July 1, 2013, the South
32   Carolina Confederate Relic Room and Military Museum
33   Commission is established and must be composed of nine voting
34   members who shall be appointed for terms of four years and until
35   their successors are appointed and qualify, except as specified in
36   subsection (B) for initial terms. The members of the board shall be
37   appointed as follows:
38        (1) three members appointed by the Governor;
39        (2) two members appointed by the President Pro Tempore of
40   the Senate;
41        (3) one member appointed by the President Pro Tempore of
42   the Senate upon the recommendation of the South Carolina
43   Division Commander of the Sons of Confederate Veterans;

     [22]                            102
 1        (4) two members appointed by the Speaker of the House of
 2   Representatives; and
 3        (5) one member appointed by the Speaker of the House of
 4   Representatives upon the recommendation of the President of the
 5   South Carolina Division of the United Daughters of the
 6   Confederacy.
 7      (B) Initially, in order to stagger terms:
 8        (1) one member appointed by the Governor shall serve a
 9   term of one year;
10        (2) one member appointed by the Governor shall serve a
11   term of two years;
12        (3) one member appointed by the Governor shall serve for
13   three years;
14        (4) one member appointed by the President Pro Tempore of
15   the Senate shall serve for one year;
16        (5) one member appointed by the President Pro Tempore of
17   the Senate shall serve for two years;
18        (6) one member appointed by the President Pro Tempore of
19   the Senate shall serve for three years;
20        (7) one member appointed by the Speaker of the House of
21   Representatives shall serve for one year;
22        (8) one member appointed by the Speaker of the House of
23   Representatives shall serve for two years; and
24        (9) one member appointed by the Speaker of the House of
25   Representatives shall serve for three years.
26      At the expiration of these initial terms, successors must be
27   appointed for terms of four years.
28
29      Section 60-17-20. (A) The South Carolina Confederate Relic
30   Room and Military Museum is authorized to supplement its state
31   appropriations by receiving donations of funds and artifacts and
32   admission fees and to expend these donations and fees to support
33   its operations and for the acquisition, restoration, preservation, and
34   display of its collection.
35      (B) The South Carolina Confederate Relic Room and Military
36   Museum is authorized to collect, retain, and expend fees from
37   research and photographic processing requests and from the sale of
38   promotional items.
39
40     Section 60-17-30. No artifacts owned by the State in the
41   permanent collections of the South Carolina Confederate Relic
42   Room and Military Museum may be permanently removed or


     [22]                             103
 1   disposed of except by a Concurrent Resolution of the General
 2   Assembly.
 3
 4     Section 60-17-40. The Director of the South Carolina
 5   Confederate Relic Room and Military Museum must be selected
 6   by the South Carolina Confederate Relic Room and Military
 7   Museum Commission after consultation with the South Carolina
 8   Division Commander of the Sons of the Confederate Veterans and
 9   the President of the South Carolina Chapter of the United
10   Daughters of the Confederacy. The director shall serve at the
11   pleasure of the commission.”
12
13   B.     Article 7, Chapter 11, Title 1 of the 1976 Code is repealed.
14
15                                  Part VIII
16
17                  State Fiscal Accountability Authority and
18                             Related Provisions
19
20                                  Subpart 1
21
22   SECTION 26. Title 11 of the 1976 Code is amended by adding:
23
24                               “CHAPTER 55
25
26                    State Fiscal Accountability Authority
27
28      Section 11-55-10. (A) There is established the State Fiscal
29   Accountability Authority consisting of members as follows:
30        (1) the Governor, who shall serve as ex officio as chairman;
31        (2) the State Treasurer, who shall serve ex officio;
32        (3) the Comptroller General, who shall serve ex officio;
33        (4) one member of the House of Representatives, ex officio;
34   and
35        (5) one member of the Senate, ex officio.
36      Members shall serve at the pleasure of their appointing
37   authority. Vacancies must be filled in the manner of the original
38   appointment. Members shall serve without compensation, but
39   shall receive the mileage, subsistence, and per diem allowed by
40   law for members of state boards, committees, and commissions.
41      (B)(1) The authority shall select an executive director who in
42   turn shall employ other staff under the direction of the SCAA as
43   necessary for the operations of the authority.

     [22]                              104
 1        (2) The executive director shall serve a four-year term. The
 2   executive director may only be removed for malfeasance,
 3   misfeasance, incompetency, absenteeism, conflicts of interest,
 4   misconduct, persistent neglect of duty in office, or incapacity as
 5   found by the authority. The executive director shall have that
 6   responsibility and perform the duties prescribed by law and as may
 7   be directed by the authority.
 8        (3) The General Assembly, in the annual general
 9   appropriations act, shall appropriate those funds necessary for the
10   operations of the authority.
11      (C) The authority may organize its staff as it considers most
12   appropriate to carry out the various functions, powers, duties,
13   responsibilities, and authority assigned to it.
14      (D) The Department of Administration shall provide such
15   administrative support at no cost to the authority or any of its
16   divisions or components as they may request and require in the
17   performance of their duties including, but not limited to, financial
18   management, human resources management, information
19   technology, procurement services, and logistical support.
20
21      Section 11-55-30. In the course of conducting and managing
22   state affairs where a matter arises which would under prior
23   precedents and practices be referred to the former Budget and
24   Control Board for decision, although the procedure for the decision
25   is not specifically provided for by general law, the matter instead
26   shall be referred to and decided by the authority.
27
28      Section 11-55-40. (A) The authority shall exercise all
29   functions, powers, duties, responsibilities, and authority related to
30   the issuance of bonds and bonding authority, generally found in
31   Title 11 of the 1976 Code but also contained in certain other
32   provisions of South Carolina law, except for the functions, powers,
33   duties, responsibilities, and authority vested in the Joint Bond
34   Review Committee.
35      (B) The authority shall exercise all functions, powers, duties,
36   responsibilities, and authority, generally found in Title 11 of the
37   1976 Code but also contained in certain other provisions of South
38   Carolina law, exercised by the former Budget and Control Board
39   related to grants, loans, and other forms of financial assistance to
40   other entities.
41      (C) Bonded indebtedness issued by the South Carolina Jobs -
42   Economic Development Authority (JEDA) requires approval by
43   the authority as provided in Chapter 43, Title 41. Bonded

     [22]                            105
 1   indebtedness issued pursuant to this item does not constitute nor
 2   give rise to a pecuniary liability to the State or a charge against the
 3   credit or taxing powers of the State.
 4
 5      Section 1-55-50. Where the applicable enabling statute or the
 6   general law relating to a permanent improvement project or the
 7   issuance of bonds or funding relating to the project both the review
 8   of the Joint Bond Review Committee and the approval by the
 9   former Budget and Control Board, the responsibility of the former
10   Budget and Control Board, in this regard, is devolved upon the
11   authority with no prior approval required on the part of the
12   department.”
13
14                                 Subpart 2
15
16   B.     Chapter 47, Title 2 of the 1976 Code is amended to read:
17
18                              “CHAPTER 47
19
20                       Joint Bond Review Committee
21
22      Section 2-47-10. The General Assembly finds that a need
23   exists for careful planning of permanent improvements and of the
24   utilization of state general obligation and institutional bond
25   authority in order to ensure the continued favorable bond credit
26   rating our State has historically enjoyed. It further finds that the
27   responsibility for proper management of these matters is properly
28   placed upon the General Assembly by our State Constitution
29   legislative and executive branches of government. It is the purpose
30   of this resolution act chapter to further ensure the proper legislative
31   and executive response in the fulfillment of this responsibility.
32
33      Section 2-47-20. There is hereby created a six member joint
34   committee of the General Assembly to be known as the Joint Bond
35   Review Committee to study and monitor policies and procedures
36   relating to the approval of permanent improvement projects and to
37   the issuance of state general obligation and institutional bonds; to
38   evaluate the effect of current and past policies on the bond credit
39   rating of the State; and provide advisory assistance in the
40   establishment of future capital management policies. Three
41   members shall be appointed from the Senate Finance Committee
42   by the chairman thereof and three from the Ways and Means
43   Committee of the House of Representatives by the chairman of

     [22]                             106
 1   that committee correspond corresponding to the terms for which
 2   they are elected to the General Assembly. The committee shall
 3   elect officers of the committee, but any person so elected may
 4   succeed himself if elected to do so.
 5      The expenses of the committee shall be paid from approved
 6   accounts of both houses. The Legislative Council and all other
 7   legislative staff organizations shall provide such assistance as the
 8   joint committee may request.
 9
10     Section 2-47-25. In addition to the members provided for by
11   Section 2-47-20, two additional members shall be appointed by the
12   Chairman of the Ways and Means Committee of the House of
13   Representatives from the membership of that body.           Two
14   additional members shall be appointed by the Chairman of the
15   Finance Committee of the Senate from the membership of the
16   Senate. Members shall serve the same terms as the members of the
17   committee provided for in Section 2-47-20.
18
19      Section 2-47-30. The committee is specifically charged with,
20   but not limited to, the following responsibilities:
21      (1) To to review, prior to approval by the Budget and Control
22   Board State Fiscal Accountability Authority, the establishment of
23   any permanent improvement project and the source of funds for
24   any such project not previously authorized specifically by the
25   General Assembly.;
26      (2) To to study the amount and nature of existing general
27   obligation and institutional bond obligations and the capability of
28   the State to fulfill such obligations based on current and projected
29   revenues.;
30      (3) To to recommend priorities of future bond issuance based
31   on the social and economic needs of the State.;
32      (4) To to recommend prudent limitations of bond obligations
33   related to present and future revenue estimates.;
34      (5) To to consult with independent bond counsel and other
35   nonlegislative authorities on such matters and with fiscal officials
36   of other states to gain in-depth knowledge of capital management
37   and assist in the formulation of short- and long-term
38   recommendations for the General Assembly.;
39      (6) To to carry out all of the above assigned responsibilities in
40   consultation and cooperation with the executive branch of
41   government and the Budget and Control Board. authority;



     [22]                            107
 1     (7) To to report its findings and recommendations to the
 2   General Assembly annually or more frequently if deemed
 3   advisable by the committee.
 4
 5      Section 2-47-35. No project authorized in whole or in part for
 6   capital improvement bond funding under the provisions of Act
 7   1377 of 1968, as amended, may be implemented until funds can be
 8   made available and until the Joint Bond Review Committee, in
 9   consultation with the Budget and Control Board authority,
10   establishes priorities for the funding of the projects. The Joint
11   Bond Review Committee shall report its priorities to the members
12   of the General Assembly within thirty days of the establishment of
13   the funding priorities.
14
15      Section 2-47-40. (A) To assist the State Budget and Control
16   Board (the Board) authority, and the Joint Bond Review
17   Committee (the Committee) in carrying out their respective
18   responsibilities, any agency or institution requesting or receiving
19   funds from any source for use in the financing of any permanent
20   improvement project, as a minimum, shall provide to the Board
21   authority, in such form and at such times as the Board authority,
22   after review by the committee, may prescribe:
23         (a)(1) a complete description of the proposed project;
24         (b)(2) a statement of justification for the proposed project;
25         (c)(3) a statement of the purposes and intended uses of the
26   proposed project;
27         (d)(4) the estimated total cost of the proposed project;
28         (e)(5) an estimate of the additional future annual operating
29   costs associated with the proposed project;
30         (f)(6) a statement of the expected impact of the proposed
31   project on the five-year operating plan of the agency or institution
32   proposing the project;
33         (g)(7) a proposed plan of financing the project, specifically
34   identifying funds proposed from sources other than capital
35   improvement bond authorizations; and
36         (h)(8) the specification of the priority of each project among
37   those proposed.
38      (B) All institutions of higher learning shall submit permanent
39   improvement project proposal and justification statements to the
40   Board authority, through the Commission on Higher Education
41   which shall forward all such statements and all supporting
42   documentation received to the Board authority together with its
43   comments and recommendations. The recommendations of the

     [22]                            108
 1   Commission on Higher Education, among other things, shall
 2   include all of the permanent improvement projects requested by
 3   the several institutions listed in the order of priority deemed
 4   appropriate by the Commission on Higher Education without
 5   regard to the sources of funds proposed for the financing of the
 6   projects requested.
 7     The Board authority shall forward a copy of each project
 8   proposal and justification statement and supporting documentation
 9   received together with the Board’s authority’s recommendations
10   on such projects to the committee for its review and action. The
11   recommendations of the Commission on Higher Education shall be
12   included in the materials forwarded to the committee by the Board
13   authority.
14     (C) No provision in this section or elsewhere in this chapter,
15   shall be construed to limit in any manner the prerogatives of the
16   committee and the General Assembly with regard to
17   recommending or authorizing permanent improvement projects
18   and the funding such projects may require.
19
20      Section 2-47-50. (A) The board authority shall establish
21   formally each permanent improvement project before actions of
22   any sort which implement the project in any way may be
23   undertaken and no expenditure of any funds for any services or for
24   any other project purpose contracted for, delivered, or otherwise
25   provided prior to the date of the formal action of the board
26   authority to establish the project shall be approved. State agencies
27   and institutions may advertise and interview for project
28   architectural and engineering services for a pending project so long
29   as the architectural and engineering contract is not awarded until
30   after a state project number is assigned. After the committee has
31   reviewed the form to be used to request the establishment of
32   permanent improvement projects and has reviewed the time
33   schedule for considering such requests as proposed by the board
34   authority, requests to establish permanent improvement projects
35   shall be made in such form and at such times as the board authority
36   may require.
37      (B) Any proposal to finance all or any part of any project using
38   any funds not previously authorized specifically for the project by
39   the General Assembly or using any funds not previously approved
40   for the project by the board authority and reviewed by the
41   committee shall be referred to the committee for review prior to
42   approval by the board authority.


     [22]                            109
 1      (C) Any proposed revision of the scope or of the budget of an
 2   established permanent improvement project deemed by the board
 3   authority to be substantial shall be referred to the committee for its
 4   review prior to any final action by the board authority. In making
 5   their determinations regarding changes in project scope, the board
 6   authority, and the committee shall utilize the permanent
 7   improvement project proposal and justification statements,
 8   together with any supporting documentation, considered at the
 9   time the project was authorized or established originally. Any
10   proposal to increase the budget of a previously approved project
11   using any funds not previously approved for the project by the
12   board authority and reviewed by the committee shall in all cases be
13   deemed to be a substantial revision of a project budget which shall
14   be referred to the committee for review. The committee shall be
15   advised promptly of all actions taken by the board authority which
16   approve revisions in the scope of or the budget of any previously
17   established permanent improvement project not deemed substantial
18   by the board authority.
19      (D) For purposes of this chapter, with regard to all institutions
20   of higher learning, permanent improvement project is defined as:
21         (1) acquisition of land, regardless of cost, with staff level
22   review of the committee and the Budget and Control Board,
23   Capital Budget Office State Fiscal Accountability Authority, up to
24   two hundred fifty thousand dollars;
25         (2) acquisition, as opposed to the construction, of buildings
26   or other structures, regardless of cost, with staff level review of the
27   committee and the Budget and Control Board, Capital Budget
28   Office State Fiscal Accountability Authority, up to two hundred
29   fifty thousand dollars;
30         (3) work on existing facilities for any given project
31   including their renovation, repair, maintenance, alteration, or
32   demolition in those instances in which the total cost of all work
33   involved is one million dollars or more;
34         (4) architectural and engineering and other types of planning
35   and design work, regardless of cost, which is intended to result in a
36   permanent improvement project. Master plans and feasibility
37   studies are not permanent improvement projects and are not to be
38   included;
39         (5) capital lease purchase of a facility acquisition or
40   construction in which the total cost is one million dollars or more;
41         (6) equipment that either becomes a permanent fixture of a
42   facility or does not become permanent but is included in the


     [22]                             110
 1   construction contract shall be included as a part of a project in
 2   which the total cost is one million dollars or more; and
 3         (7) new construction of a facility that exceeds a total cost of
 4   five hundred thousand dollars.
 5      (E) Any permanent improvement project that meets the above
 6   definition must become a project, regardless of the source of funds.
 7   However, an institution of higher learning that has been authorized
 8   or appropriated capital improvement bond funds, capital reserve
 9   funds or state appropriated funds, or state infrastructure bond funds
10   by the General Assembly for capital improvements shall process a
11   permanent improvement project, regardless of the amount.
12      (F) For purposes of establishing permanent improvement
13   projects, Clemson University Public Service Activities
14   (Clemson-PSA) and South Carolina State University Public
15   Service Activities (SC State-PSA) are subject to the provisions of
16   this chapter.
17
18      Section 2-47-55. (A) All state agencies responsible for
19   providing and maintaining physical facilities are required to submit
20   a Comprehensive Permanent Improvement Plan (CPIP) to the Joint
21   Bond Review Committee, and the Budget and Control Board
22   authority. The CPIP must include all of the agency’s permanent
23   improvement projects anticipated and proposed over the next five
24   years beginning with the fiscal year starting July 1 after
25   submission. The purpose of the CPIP process is to provide the
26   board authority, and the committee with an outline of each
27   agency’s permanent improvement activities for the next five years.
28   Agencies must submit a CPIP to the committee, and the board
29   authority on or before a date to be determined by the committee,
30   and the board authority. The CPIP for each higher education
31   agency, including the technical colleges, must be submitted
32   through the Commission on Higher Education which must review
33   the CPIP and provide its recommendations to the board authority,
34   and the committee. The board authority, and the committee must
35   approve the CPIP after submission and may develop policies and
36   procedures to implement and accomplish the purposes of this
37   section.
38      (B) The State shall define a permanent improvement only in
39   terms of capital improvements, as defined by generally accepted
40   accounting principles, for reporting purposes to the State.
41
42      Section 2-47-56. Each state agency and institution may accept
43   gifts-in-kind for architectural and engineering services and

     [22]                            111
 1   construction of a value less than two hundred fifty thousand dollars
 2   with the approval of the Commission of Higher Education or its
 3   designated staff, the director of the Division of General Services
 4   department, and the Joint Bond Review Committee or its
 5   designated staff. No other approvals or procedural requirements,
 6   including the provisions of Section 11-35-10, may be imposed on
 7   the acceptance of such gifts.
 8
 9     Section 2-47-60. The Joint Bond Review Committee is hereby
10   authorized and directed to regulate the starting date of the various
11   projects approved for funding through the issuance of state
12   highway bonds so as to ensure that the sources of revenue for debt
13   service on such bonds shall be sufficient during the current fiscal
14   year.
15
16      Section 2-47-70. (A) To ensure the integrity and the
17   effectiveness of the procurement process, the Joint Bond Review
18   Committee shall receive a monthly report from the Procurement
19   Oversight Board identifying each contract newly executed, against
20   which the appropriate agency expects that at least five million
21   dollars will be expended over the life of the agreement, inclusive
22   of any available extensions or renewals. The monthly reports must
23   also provide notice of any renewals or extensions approved for
24   such contracts during the relevant period.
25      (B) Each governmental body, as defined in Section 11-35-310,
26   shall, by the fifteenth day of each month, furnish the board with
27   records they shall require in order to satisfy the reporting
28   requirements established in this section. The monthly reports must
29   provide information on contracts executed, extended, or renewed
30   during the period concluding one month prior to the date on which
31   the report is transmitted to the Joint Bond Review Committee.
32      (C) The Joint Bond Review Committee may also, when
33   deemed necessary, refer matters to the Legislative Audit Council
34   or other appropriate investigative or prosecutorial entities for
35   further review. Whenever the Joint Bond Review Committee
36   identifies deficiencies in procurement policies or procedures, the
37   committee shall notify and make recommendations to the
38   Procurement Oversight Board.”
39
40                                Subpart 3
41



     [22]                            112
 1   SECTION 27. A. (1) The Insurance Reserve Fund, is
 2   transferred to the State Fiscal Accountability Authority on July 1,
 3   2015, as a division of the authority.
 4        (2) The Insurance Reserve Fund, transferred to the authority
 5   shall administer and perform all administrative and operational
 6   functions of the Office of Insurance Services, including the
 7   Insurance Reserve Fund, except that the Attorney General of this
 8   State must continue to approve the attorneys-at-law retained to
 9   represent the clients of the Insurance Reserve Fund in the manner
10   provided by law.
11
12   B.     Section 1-11-140 of the 1976 Code is amended to read:
13
14      “Section 1-11-140. (A) The State Budget and Control Board
15   Fiscal Accountability Authority, through the Insurance Reserve
16   Fund, is authorized to provide insurance for the State, its
17   departments, agencies, institutions, commissions, boards, and the
18   personnel employed by the State in its departments, agencies,
19   institutions, commissions, and boards so as to protect the State
20   against tort liability and to protect these personnel against tort
21   liability arising in the course of their employment. The insurance
22   also may be provided for physicians or dentists employed by the
23   State, its departments, agencies, institutions, commissions, or
24   boards against any tort liability arising out of the rendering of any
25   professional services as a physician or dentist for which no fee is
26   charged or professional services rendered of any type whatsoever
27   so long as any fees received are directly payable to the employer of
28   a covered physician or dentist, or to any practice plan authorized
29   by the employer whether or not the practice plan is incorporated
30   and registered with the Secretary of State; provided, any insurance
31   coverage provided by the Budget and Control Board authority may
32   be on the basis of claims made or upon occurrences. The
33   insurance also may be provided for students of high schools, South
34   Carolina Technical Schools, or state-supported colleges and
35   universities while these students are engaged in work study,
36   distributive education, or apprentice programs on the premises of
37   private companies. Premiums for the insurance must be paid from
38   appropriations to or funds collected by the various entities, except
39   that in the case of the above-referenced students in which case the
40   premiums must be paid from fees paid by students participating in
41   these training programs. The board authority has the exclusive
42   control over the investigation, settlement, and defense of claims
43   against the various entities and personnel for whom it provided

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 1   insurance coverage and may promulgate regulations in connection
 2   therewith.
 3      (B) Any political subdivision of the State including, without
 4   limitations, municipalities, counties, and school districts, may
 5   procure the insurance for itself and for its employees in the same
 6   manner provided for the procurement of this insurance for the
 7   State, its entities, and its employees, or in a manner provided by
 8   Section 15-78-140.
 9      (C) The procurement of tort liability insurance in the manner
10   provided is the exclusive means for the procurement of this
11   insurance.
12      (D) The State Budget and Control Board authority, through the
13   Office of Insurance Services Insurance Reserve Fund, also is
14   authorized to offer insurance to governmental hospitals and any
15   subsidiary of or other entity affiliated with the hospital currently
16   existing or as may be established; and chartered, nonprofit,
17   eleemosynary hospitals and any subsidiary of or other entity
18   affiliated with the hospital currently existing or as may be
19   established in this State so as to protect these hospitals against tort
20   liability. Notwithstanding any other provision of this section, the
21   procurement of tort liability insurance by a hospital and any
22   subsidiary of or other entity affiliated with the hospital currently
23   existing or as may be established supported wholly or partially by
24   public funds contributed by the State or any of its political
25   subdivisions in the manner herein provided is not the exclusive
26   means by which the hospital may procure tort liability insurance.
27      (E) The State Budget and Control Board authority, through the
28   Office of Insurance Services Insurance Reserve Fund, is authorized
29   to provide insurance for duly appointed members of the boards and
30   employees of health system agencies, and for members of the State
31   Health Coordinating Council which are created pursuant to Public
32   Law 93-641.
33      (F) The board authority, through the Office of Insurance
34   Services Insurance Reserve Fund, is further authorized to provide
35   insurance as prescribed in Sections 10-7-10 through 10-7-40,
36   59-67-710, and 59-67-790.
37      (G) Documentary or other material prepared by or for the
38   Office of Insurance Services Insurance Reserve Fund in providing
39   any insurance coverage authorized by this section or any other
40   provision of law which is contained in any claim file is subject to
41   disclosure to the extent required by the Freedom of Information
42   Act only after the claim is settled or finally concluded by a court of
43   competent jurisdiction.

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 1      (H) The board authority, through the Office of Insurance
 2   Services Insurance Reserve Fund, is further authorized to provide
 3   insurance for state constables, including volunteer state constables,
 4   to protect these personnel against tort liability arising in the course
 5   of their employment, whether or not for compensation, while
 6   serving in a law enforcement capacity.”
 7
 8   C.     Section 15-78-140 of the 1976 Code is amended to read:
 9
10      “Section 15-78-140. (a) (Reserved)
11      (b)(A) The political subdivisions of this State, in regard to tort
12   and automobile liability, property, and casualty insurance shall
13   procure insurance to cover these risks for which immunity has
14   been waived by (1) the purchase of liability insurance pursuant to
15   Section 1-11-140; or (2) the purchase of liability insurance from a
16   private carrier; or (3) self-insurance; or (4) establishing pooled
17   self-insurance liability funds, by intergovernmental agreement,
18   which may not be construed as transacting the business of
19   insurance or otherwise subject to state laws regulating insurance.
20   A pooled self-insurance liability pool is authorized to purchase
21   specific and aggregate excess insurance. A pooled self-insurance
22   liability fund must provide liability coverage for all employees of a
23   political subdivision applying for participation in the fund. If the
24   insurance is obtained other than pursuant to Section 1-11-140, it
25   must be obtained subject to the following conditions:
26         (1) if the political subdivision does not procure tort liability
27   insurance pursuant to Section 1-11-140, it must also procure its
28   automobile liability and property and casualty insurance from
29   other sources and shall not procure these coverages through the
30   Budget and Control Board Insurance Reserve Fund;
31         (2) if a political subdivision procures its tort liability
32   insurance, automobile liability insurance, or property and casualty
33   insurance through the Budget and Control Board Insurance
34   Reserve Fund, all liability exposures of the political subdivision as
35   well as its property and casualty insurance must be insured with
36   the Budget and Control Board Insurance Reserve Fund;
37         (3) if the political subdivision, at any time, procures its tort
38   liability, automobile liability, property, or casualty insurance other
39   than through the Budget and Control Board Insurance Reserve
40   Fund and then subsequently desires to obtain this coverage with
41   the Budget and Control Board Insurance Reserve Fund, notice of
42   its intention to so obtain this subsequent coverage must be
43   provided the Budget and Control Board Insurance Reserve Fund at

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 1   least ninety days prior to the beginning of the coverage with the
 2   State Budget and Control Board Insurance Reserve Fund. The
 3   other lines of insurance that the political subdivision is required to
 4   procure from the board fund are not required to commence until
 5   the coverage for that line of insurance expires. Any political
 6   subdivision may cancel all lines of insurance with the State Budget
 7   and Control Board Insurance Reserve Fund if it gives ninety days’
 8   notice to the board fund. The Budget and Control Board Insurance
 9   Reserve Fund may negotiate the insurance coverage for any
10   political subdivision separate from the insurance coverage for
11   other insureds;
12         (4) if any political subdivision cancels its insurance with the
13   Budget and Control Board Insurance Reserve Fund, it is entitled to
14   an appropriate refund of the premium, less reasonable
15   administrative cost.
16      (c)(B) For any claim filed under this chapter, the remedy
17   provided in Section 15-78-120 is exclusive. The immunity of the
18   State and its political subdivisions, with regard to the seizure,
19   execution, or encumbrance of their properties is reaffirmed.”
20
21                                Subpart 4
22
23   SECTION 28. A. Section 1-11-440 of the 1976 Code is amended
24   to read:
25
26      “Section 1-11-440. (A) The State must defend the members of
27   the State Budget and Control Board State Fiscal Accountability
28   Authority, Bond Review Authority, and the Director of the
29   Department of Administration against a claim or suit that arises out
30   of or by virtue of their performance of official duties on behalf of
31   the board authority or the department and must indemnify these
32   members them for a loss or judgment incurred by them as a result
33   of the claim or suit, without regard to whether the claim or suit is
34   brought against them in their individual or official capacities, or
35   both. The State must defend officers and management employees
36   of the board authority, and legislative employees performing duties
37   for board the authority’s members, and management employees of
38   the department against a claim or suit that arises out of or by virtue
39   of the performance of official duties unless the officer,
40   management employee, or legislative employee was acting in bad
41   faith and must indemnify these officers, management employees,
42   and legislative employees for a loss or judgment incurred by them
43   as a result of such claim or suit, without regard to whether the

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 1   claim or suit is brought against them in their individual or official
 2   capacities, or both. This commitment to defend and indemnify
 3   extends to members, officers, the director and management
 4   employees of the department, and legislative employees after they
 5   have left their employment with the board authority, or the General
 6   Assembly, as applicable, or the department, as applicable, if the
 7   claim or suit arises out of or by virtue of their performance of
 8   official duties on behalf of the board authority or the department.
 9      (B) The State must defend the members of the Retirement
10   Systems Investment Panel established pursuant to Section 16,
11   Article X of the Constitution of this State and Section 9-16-310
12   against a claim or suit that arises out of or by virtue of their
13   performance of official duties on behalf of the panel and must
14   indemnify these members for a loss or judgment incurred by them
15   as a result of the claim or suit, without regard to whether the claim
16   or suit is brought against them in their individual or official
17   capacities, or both. This commitment to defend and indemnify
18   extends to members of the panel after they have left their service
19   with the panel if the claim or suit arises out of or by virtue of their
20   performance of official duties on behalf of the panel.”
21
22   B. 1. Section 11-18-20 of the 1976 Code, as added by Act 290 of
23   2010, is amended to read:
24
25      “Section 11-18-20. (a) ‘ARRA Bonds’ mean:
26         (1) recovery zone bonds authorized under Section 1401 of
27   ARRA; and
28         (2) Qualified Energy Conservation Bonds authorized under
29   Section 301(a) of Tax Extenders and Alternative Minimum Tax
30   Relief Act of 2008, Pub. L. 110-343, 122 Stat. 1365 (2008) as
31   amended by Section 112 of ARRA.
32      (b) ‘Board’ means the South Carolina Budget and Control
33   Board State Fiscal Accountability Authority’s governing board.
34      (c) ‘Code’ means the Internal Revenue Code of 1986, as
35   amended.
36      (d) ‘Local Government’ means each county and municipality
37   that received an allocation of Volume Cap pursuant to the Code
38   and IRS Notice 2009-50.
39      (e) ‘Other federal bonds’ mean any such bond, whether
40   tax--exempt, taxable or tax credit, created after the date hereof
41   whereby a volume cap limitation is proscribed under the Code.
42      (f) ‘Qualified energy conservation bond’ means the term as
43   defined in Section 54D(a) of the Code.

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 1      (g) ‘Recovery zone’ means the term as defined in Section
 2   1400U-1(b) of the Code.
 3      (h) ‘Recovery zone economic development bond’ means the
 4   term as defined in Section 1400U-2 of the Code.
 5      (i) ‘Recovery zone facility bond’ means the term as defined in
 6   Section 1400U-3 of the Code.
 7      (j) ‘State’ means the State of South Carolina.
 8      (k) ‘Volume Cap’ means the amount or other limitation of
 9   ARRA Bonds allocated to each state and to counties and large
10   municipalities within each state in accordance with Section
11   1400U-1(a)(4) of the Code, with respect to Recovery Zone
12   Economic Development Bonds and Recovery Zone Facility Bonds,
13   Section 54D(e)(1) of the Code, with respect to Qualified Energy
14   Conservation Bonds, and any other section of the Code which
15   imposes a volume cap limitation on any other Federal Bonds.”
16
17     2. The Code Commissioner is directed to change references in
18   Chapter 18 , Title 11 of the 1976 Code from “State Budget and
19   Control Board” or any similar derivation of this term to “State
20   Fiscal Accountability Authority”.
21
22   C. The final paragraph of Section 11-27-10 of the 1976 Code is
23   amended to read:
24
25      “Ratification date” shall mean the effective date of New Article
26   X. ‘State board’ shall mean the State Budget and Control Board
27   governing body of the State Fiscal Accountability Authority. Any
28   term defined in New Article X shall have the meanings therein
29   given to such term.”
30
31   D. Chapter 31, Title 11 of the 1976 Code is amended by adding:
32
33     “Section 11-31-5. For the purposes of this chapter, “state
34   board” shall mean the governing body of the State Fiscal
35   Accountability Authority.”
36
37   E.     Section 11-37-30 of the 1976 Code is amended to read:
38
39     “Section 11-37-30. There is created a body politic and corporate
40   known as the South Carolina Resources Authority. The authority is
41   declared to be a public instrumentality of the State and the exercise
42   by it of any power conferred in this chapter is the performance of
43   an essential public function. The authority consists of the members

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 1   of the State Budget and Control Board Fiscal Accountability
 2   Authority.”
 3
 4   F.     Section 11-37-200(A) of the 1976 Code is amended to read:
 5
 6      “Section 11-37-200. (A) There is established by this section
 7   the Water Resources Coordinating Council within the State Fiscal
 8   Accountability Authority which shall establish the priorities for all
 9   sewer, wastewater treatment, and water supply facility projects
10   addressed in this chapter, except as otherwise established by
11   Section 48-6-40. The council shall consist of a representative of
12   the Governor, the Director of the Department of Health and
13   Environmental Control, the Director of the South Carolina
14   Department of Natural Resources, the Director of the Division of
15   Local Government of the Budget and Control Board State Fiscal
16   Accountability Authority, the Secretary of Commerce, the
17   Chairman of the Jobs Economic Development Authority, and the
18   Chairman of the Joint Bond Review Committee.                    These
19   representatives may designate a person to serve in their place on
20   the council, and the Governor shall appoint the chairman from
21   among the membership of the council for a one-year term. The
22   council shall establish criteria for the review of applications for
23   projects. Not less often than annually, the council shall determine
24   its priorities for projects. The council after evaluating applications
25   shall notify the authority of the priority projects. The South
26   Carolina Jobs Economic Development Authority shall provide the
27   staff to receive, research, investigate, and process applications for
28   projects made to the coordinating council and assist in the
29   formulating of priorities. Upon notification by the council, the
30   authority shall proceed under the provisions of this chapter. The
31   authority may consider applications for projects based upon the
32   existence of a documented emergency consistent with regulations
33   that may be promulgated by the authority. In determining which
34   local governments are to receive grants, the local governments
35   shall provide not less than a fifty percent match for any project.
36   The authority may provide financing for the local matching funds
37   on terms and conditions determined by the authority.”
38
39   G. Section 11-38-20(A) of the 1976 Code is amended to read:
40
41     “(A) The State Budget and Control Board Fiscal Accountability
42   Authority is authorized to provide for the issuance of capital
43   improvement bonds in denominations of less than $1,000.”

     [22]                             119
 1
 2   H. 1. Section 11-40-20(A) of the 1976 Code is amended to read:
 3
 4      “(A) There is created a body corporate and politic and an
 5   instrumentality of the State to be known as the South Carolina
 6   Infrastructure Facilities Authority. The members of the South
 7   Carolina State Budget and Control Board Fiscal Accountability
 8   Authority comprise the authority.”
 9
10   2.     Section 11-40-250 of the 1976 Code is amended to read:
11
12      “Section 11-40-250. The Division of Local Government of the
13   State Budget and Control Board State Fiscal Accountability
14   Authority shall provide staff and otherwise assist the authority in
15   the administration of the fund and the performance of its functions
16   under this chapter. The funds to be used for purposes of the
17   Infrastructure Facilities Authority must come from funds
18   appropriated to or made available to the Infrastructure Facilities
19   Authority and not those funds of the Rural Infrastructure
20   Authority, the administration of which also is a part of the
21   responsibilities of the Division of Local Government as provided
22   by law. In providing such assistance the Division of Local
23   Government shall:
24      (1) assist in the formulation, establishment, and structuring of
25   programs undertaken by the authority pursuant to this chapter;
26      (2) provide local governments information as to the programs
27   of the authority and the procedures for obtaining the assistance
28   intended by the chapter;
29      (3) assist local governments in making application to such state
30   and federal agencies, including the authority, as may be necessary
31   or helpful in order to avail themselves of such programs;
32      (4) assist the authority in analyzing and evaluating local
33   government requests for assistance pursuant to this chapter;
34      (5) assist in the structuring and negotiation of local government
35   loan agreements and loan obligations and authority bonds;
36      (6) administer the fund, including any accounts therein;
37      (7) administer the authority’s programs and loans, including
38   monitoring compliance by local governments with any rules,
39   regulations, or other requirements of the authority with respect to
40   such programs and compliance with covenants and agreements
41   made by local governments with respect to any loan agreement or
42   loan obligation; and


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 1      (8) provide such other assistance and perform such other duties
 2   as may be requested or directed by the authority.”
 3
 4   I. 1. The first paragraph of Section 11-41-70 of the 1976 Code is
 5   amended to read:
 6
 7      “Section 11-41-70. Before issuing economic development
 8   bonds, the department or in the case of a tourism training
 9   infrastructure project or a national and international convention
10   and trade show center, the State or agency, instrumentality, or
11   political subdivision thereof that will own such project shall notify
12   the Joint Bond Review Committee and the State Budget and
13   Control Board Fiscal Accountability Authority of the following:”
14
15   2. Sections 11-41-80, 11-41-90, and 11-41-100 of the 1976 Code
16   are amended to read:
17
18      “Section 11-41-80. Following the receipt of the notification
19   presented pursuant to Section 11-41-70 and after approval review
20   by the Joint Bond Review Committee, and approval by the State
21   Budget and Control Board Fiscal Accountability Authority, by
22   resolution duly adopted, shall effect the issue of bonds, or pending
23   the issue of the bonds, effect the issue of bond anticipation notes
24   pursuant to Chapter 17 of this title.
25
26      Section 11-41-90. To effect the issuance of bonds, the State
27   Budget and Control Board Fiscal Accountability Authority shall
28   adopt a resolution providing for the issuance of bonds pursuant to
29   the provisions of this chapter. The authorizing resolution must
30   include:
31      (1) a statement of whether the bonds are being authorized and
32   issued pursuant to Section 11-41-50(A) or Section 11-41-50(B);
33      (2) a schedule showing the aggregate of bonds issued, the
34   annual principal payments required to retire the bonds, and the
35   interest on the bonds;
36      (3) the amount of bonds proposed to be issued;
37      (4) a schedule showing future annual principal requirements
38   and estimated annual interest requirements on the bonds to be
39   issued; and
40      (5) certificates evidencing that the provisions of Sections
41   11-41-50 and 11-41-60 have been or will be met.
42


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 1      Section 11-41-100. The bonds must bear the date and mature at
 2   the time that the resolution provides, except that a bond may not
 3   mature more than thirty years from its date of issue. The bonds
 4   may be in the denominations, be payable in the medium of
 5   payment, be payable at the place and at the time, and be subject to
 6   redemption or repurchase and contain other provisions determined
 7   by the State Budget and Control Board Fiscal Accountability
 8   Authority before their issue. The bonds may bear interest payable
 9   at the times and at the rates determined by the State Budget and
10   Control Board Fiscal Accountability Authority.”
11
12   3. Section 11-41-180 of the 1976 Code is amended to read:
13
14      “Section 11-41-180. All procurements of infrastructure, as
15   defined in Section 11-41-30 and owned by a research university, as
16   defined in Section 11-51-30(5), shall be exempt from Title 11,
17   Chapter 35, except that such research university must work in
18   conjunction with the Budget and Control Procurement Oversight
19   Board’s Chief Procurement Officer to establish alternative
20   procurement procedures. The research university shall submit its
21   alternative procurement procedures to the State Budget and
22   Control Board Procurement Oversight Board for approval. Such
23   procurement process shall include provisions for audit and
24   recertification.”
25
26   J. Section 11-43-510(2) of the 1976 Code is amended to read:
27
28     “(2) ‘State board’ means the State Budget and Control Board
29   governing board of the State Fiscal Accountability Authority.”
30
31   K. 1. Section 11-45-30(10) of the 1976 Code is amended to read:
32
33      “(10) ‘Lender’ means a banking institution subject to the
34   income tax on banks under Chapter 11 of Title 12, an insurance
35   company subject to a state premium tax liability pursuant to
36   Chapter 7 of Title 38, a captive insurance company regulated
37   pursuant to Chapter 90 of Title 38, a utility regulated pursuant to
38   Title 58, or a financial institution with proven experience in
39   state-based venture capital transactions, pursuant to guidelines
40   established by the authority. Both the guidelines and the lender
41   must be approved by the State Budget and Control Board Fiscal
42   Accountability Authority.”
43

     [22]                           122
 1   2.     Section 11-45-55(B) of the 1976 Code is amended to read:
 2
 3      “(B) The authority shall issue tax credit certificates to each
 4   lender contemporaneously with each loan made pursuant to this
 5   chapter in accordance with any guidelines established by the
 6   authority pursuant to Section 11-45-100. The tax credit certificates
 7   must describe procedures for the issuance, transfer and redemption
 8   of the certificates, and related tax credits. These certificates also
 9   must describe the amounts, year, and conditions for redemption of
10   the tax credits reflected on the certificates. Once a loan is made
11   by a lender, the certificate issued to the lender shall be binding on
12   the authority and this State and may not be modified, terminated,
13   or rescinded. The form of the tax credit certificate must be
14   approved by the State Budget and Control Board Fiscal
15   Accountability Authority.”
16
17   3.     Section 11-45-105 of the 1976 Code is amended to read:
18
19     “Section 11-45-105. Any guideline issued by the authority
20   pursuant to this chapter must be approved by the State Budget and
21   Control Board Fiscal Accountability Authority.”
22
23   L.     1.   Section 11-49-40 of the 1976 Code is amended to read:
24
25      “Section 11-49-40. (A) The authority is governed by a board,
26   which that shall consist of five members as follows: the Governor
27   or his designee, the State Treasurer, the Comptroller General, the
28   Chairman of the Senate Finance Committee, and the Chairman of
29   the House Ways and Means Committee. The Governor shall serve
30   as chairman; and in the absence of the Governor, meetings must
31   be chaired by the State Treasurer the members of the State Fiscal
32   Accountability Authority. All members serve ex officio .
33      (B) Members of the board serve without pay but are allowed
34   the usual mileage, per diem, and subsistence as provided by law
35   for members of state boards, committees, and commissions.
36      (C) Members of the board and its employees, if any, are subject
37   to the provisions of Chapter 13, Title 8, the Ethics, Government
38   Accountability, and Campaign Reform Act, and Chapter 17, of
39   Title 2, relating to lobbying.
40      (D) To the extent that administrative assistance is needed for
41   the functions and operations of the authority, the board may obtain
42   this assistance from the Office of the State Treasurer and the State
43   Budget and Control Board Fiscal Accountability Authority, and

     [22]                             123
 1   any successor agency, office, or division, each of which must
 2   provide the assistance requested by the board at no cost to the
 3   board or to the authority other than for expenses incurred and paid
 4   to entities that are not agencies or departments of the State. The
 5   board must retain ultimate responsibility and provide proper
 6   oversight for the implementation of this chapter.
 7      (E) The board shall exercise the powers of the authority. A
 8   majority of the members of the board constitutes a quorum for the
 9   purpose of conducting all business. The board shall determine the
10   number of personnel it requires, their compensation, and duties.”
11
12   2.     Section 11-49-100(D) of the 1976 Code is amended to read:
13
14      “(D) To the extent that administrative assistance is needed for
15   the functions and operations of the authority, the board may obtain
16   this assistance from the Office of the State Treasurer and the State
17   Budget and Control Board Fiscal Accountability Authority, and
18   any successor agency, office or division, each of which must
19   provide the assistance requested by the board at no cost to the
20   board or to the authority other than for expenses incurred and paid
21   to entities that are not agencies or departments of the State. The
22   board must retain ultimate responsibility and provide proper
23   oversight for the implementation of this chapter.”
24
25   M. 1. Section 11-51-30(6) of the 1976 Code is amended to read:
26
27     “(6) ‘State board’ means the South Carolina State Budget and
28   Control Board governing board of the State Fiscal Accountability
29   Authority.”
30
31   2. Section 11-51-125(A)(2) of the 1976 Code is amended to
32   read:
33
34      “(2) thirty-five percent of the total twelve percent must be
35   allocated by FTE student enrollment from the prior academic year
36   at each eligible institution.
37      The Research Centers of Excellence Review Board has no
38   jurisdiction over these projects and no matching requirement is
39   imposed for these projects. The Joint Bond Review Committee
40   must review and the State Budget and Control Board Fiscal
41   Accountability Authority must approve all projects.”
42
43   3.     Section 11-51-190 of the 1976 Code is amended to read:

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 1
 2      “Section 11-51-190. The research universities while engaging
 3   in projects related to this act shall be exempt from the state
 4   procurement process, except such research universities must work
 5   in conjunction with the Budget and Control Procurement Oversight
 6   Board’s Chief Procurement Officer to establish alternate
 7   procurement procedures, and must submit a procurement process
 8   to the State Commission on Higher Education to be forwarded to
 9   the State Budget and Control Board Fiscal Accountability
10   Authority for approval. These processes shall include provisions
11   for audit and recertification.”
12
13   N. Section 59-109-30(1) of the 1976 Code is amended to read:
14
15     “(1) ‘Authority’ means the State Budget and Control Board
16   Fiscal Accountability Authority, acting as the Educational
17   Facilities Authority for Private Nonprofit Institutions of Higher
18   Learning and serving ex officio.”
19
20   O. Section 59-109-40 of the 1976 Code is amended to read:
21
22      “Section 59-109-40. There is hereby created a body politic and
23   corporate to be known as the ‘Educational Facilities Authority for
24   Private Nonprofit Institutions of Higher Learning,’ hereinafter in
25   this chapter called the Authority. The Authority is constituted a
26   public instrumentality and the exercise by the Authority of the
27   powers conferred by this chapter shall must be deemed and held to
28   be the performance of an essential public function. The Authority
29   shall consist of the members from time to time of the State Budget
30   and Control Board Fiscal Accountability Authority, ex officio; and
31   all the functions and powers of the Authority are hereby granted to
32   the State Budget and Control Board Fiscal Accountability
33   Authority, as an incident of its functions in connection with the
34   public finances of the State.”
35
36   P. 1. Section 59-115-20(1) of the 1976 Code is amended to read:
37
38     “(1) ‘Authority’ shall mean means the State Budget and Control
39   Board of South Carolina Fiscal Accountability Authority, acting as
40   the State Education Assistance Authority.”
41
42     2. Section 59-115-40 of the 1976 Code is amended to read:
43

     [22]                           125
 1      “Section 59-115-40. There is hereby created a body politic and
 2   corporate to be known as the State Education Assistance Authority
 3   (Authority). The Authority is hereby declared to be a public
 4   instrumentality of the State and the exercise by the Authority of
 5   any power conferred herein shall be deemed and held to be the
 6   performance of an essential public function. The Authority shall
 7   consist of the members, from time to time, of the State Budget and
 8   Control Board of South Carolina Fiscal Accountability Authority,
 9   ex officio.”
10
11   Q. Section 11-11-90 of the 1976 Code is repealed effective July
12   1, 2013.
13
14   SECTION 29. A. Section 11-35-310(2) of the 1976 Code is
15   amended to read:
16
17     “(2) ‘Board’ means Budget and Control Board the Procurement
18   Oversight Board established in Section 11-35-315.”
19
20   B. Subarticle 5, Article 1, Chapter 35, Title 11 of the 1976 Code
21   is amended by adding:
22
23      “Section 11-35-315. (A) There is established the Procurement
24   Oversight Board to be administratively a part of the Department of
25   Administration. The board is comprised of three members
26   appointed to four-year terms upon the advice and consent of the
27   Senate. One member shall be appointed by the Governor, one
28   member by the Comptroller General, and one member by the State
29   Treasurer. A board member may only be removed by his
30   appointing official for malfeasance, misfeasance, incompetency,
31   absenteeism, conflicts of interest, misconduct, persistent neglect of
32   duty in office, or incapacity, in writing with a copy published in a
33   conspicuous location on the board’s internet website. The board
34   shall elect one member to serve as chairman and must meet at least
35   quarterly to carry out the duties and responsibilities provided by
36   this chapter or otherwise provided by law. The members of the
37   board may receive the usual rate for mileage, subsistence, and per
38   diem as provided by law for members of state boards, committees,
39   and commissions and may be reimbursed for actual expenses in
40   connection with and as a result of their membership and service on
41   the board.
42      (B) A board member or his immediate family must not have an
43   economic interest that would cause the member to recuse himself

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 1   from participating in the deliberations or voting on any matter
 2   before the board pursuant to Section 8-13-700.”
 3
 4                                Part IX
 5
 6                 Joint Strategic Technology Committee
 7
 8   SECTION 30. Title 2 of the 1976 Code is amended by adding:
 9
10                            “CHAPTER 9
11
12                 Joint Strategic Technology Committee
13
14      Section 2-9-10. (A) There is created a joint committee of the
15   General Assembly to be known as the Joint Strategic Technology
16   Committee consisting of eight members. The Chairman of the
17   Senate Finance Committee shall appoint four members, at least
18   two of whom must be appointed from the Senate Finance
19   Committee. The Chairman of the House Ways and Means
20   Committee shall appoint four members, at least two of whom must
21   be appointed from the House Ways and Means Committee.
22      (B) The Joint Strategic Technology Committee shall have the
23   following purposes and responsibilities:
24        (1) The joint committee shall review the Statewide Strategic
25   Information Technology Plan prepared by the Department of
26   Administration and the Agency Directors Technology Advisory
27   Committee and, as needed, make recommendations to the Senate
28   Finance Committee and the House Ways and Means Committee
29   regarding the plan by January 29 of the current fiscal year. Any
30   expenditure or procurement under the jurisdiction of the
31   Department of Administration, either directly or indirectly, which
32   exceeds one million dollars must be presented to the joint
33   committee for review and comment. The joint committee shall also
34   recommend priorities for state government enterprise information
35   technology projects and resource requirements as it determines
36   appropriate.
37        (2) The joint committee shall review information technology
38   spending by state agencies and evaluate whether greater
39   efficiencies, more effective services, and cost savings can be
40   achieved through streamlining, standardizing, and consolidating
41   state agency information technology. State agencies must consult
42   with hardware maintenance manager vendors under state contract
43   to determine whether the agency may achieve cost savings by

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 1   utilizing these contracts for information technology. The joint
 2   committee shall recommend to the President Pro Tempore of the
 3   Senate and the Speaker of the House of Representatives, for
 4   referral to the appropriate standing committees, any statutory
 5   changes appropriate for the successful implementation of the
 6   Statewide Strategic Information Technology Plan and the efficient
 7   and effective management and use of information technology by
 8   state government.
 9      (C) The Department of Administration and all state agencies
10   shall cooperate with and provide assistance to the Joint Strategic
11   Technology Committee as requested by the committee.
12      (D) The Director of the Department of Administration shall
13   appoint an Agency Directors Technology Advisory Committee.
14   The director shall determine the number and composition of this
15   committee, which shall represent a cross-section of state
16   government agencies. This committee shall provide input and
17   advice regarding the Statewide Strategic Information Technology
18   Plan developed by the State through the Department of
19   Administration. The committee shall also assist and advise the
20   Joint Strategic Technology Committee at its request.”
21
22                                 Part X
23
24                    Naval Base Museum Authority
25
26   SECTION 31. (A) Notwithstanding any other provision of law,
27   in addition to the present members of the Charleston Naval
28   Complex Redevelopment Authority, as created by gubernatorial
29   executive order pursuant to Section 31-12-40 of the 1976 Code,
30   there shall be four additional members, two appointed by the
31   Speaker of the House of Representatives and two appointed by the
32   President Pro Tempore of the Senate. These four additional
33   members shall each serve for terms of four years and until their
34   successors are appointed and qualify. Vacancies shall be filled for
35   the remainder of the unexpired term by appointment in the same
36   manner of original appointment.
37     (B) These four additional members shall serve as members of
38   the Charleston Naval Complex Redevelopment Authority with the
39   same powers, duties, and responsibilities of other such members as
40   provided by law. In addition, these four members, together with
41   the gubernatorial appointees to the Charleston Naval Complex
42   Redevelopment Authority, shall also constitute the Charleston
43   Navy Base Museum Authority as a division of the Charleston

     [22]                           128
 1   Naval Redevelopment Authority. Service as a member of the Navy
 2   Base Museum Authority is considered an additional and
 3   supplemental function and duty of those specified members of the
 4   Naval Complex Redevelopment Authority and is not considered
 5   another office of honor or profit of this State. The Navy Base
 6   Museum Authority shall select from among its members a
 7   chairman and such other officers as they consider necessary.
 8      (C) The Naval Base Museum Authority shall become operative
 9   upon the signing of a Memorandum of Understanding between the
10   RDA and the Hunley Commission. With respect to the Hunley
11   project, the MOU must provide for the Naval Base Museum
12   Authority division of the RDA to undertake and comply with the
13   duties, responsibilities, powers, and functions of the Hunley
14   Commission as specified in Sections 54-7-100 and 54-7-110 of the
15   1976 Code, and as otherwise provided by law. The Navy Base
16   Museum Authority shall possess and may exercise all powers and
17   authority granted to the Hunley Commission by specific statutory
18   reference in Sections 54-7-100 and 54-7-110.
19      (D) Notwithstanding the provisions of this act, the provisions of
20   this section take effect upon approval by the Governor.
21
22                                 Part XI
23
24          Performance Audit, Other Transfers and Provisions,
25                        and Effective Date
26
27   SECTION 32. (A)            The name of the Office Legislative
28   Printing, Information and Technology Systems is changed to the
29   Legislative Services Agency. References in the 1976 Code to the
30   “Office of Legislative Printing, Information and Technology
31   Systems” or “LPITS” mean the “Legislative Services Agency” or
32   “LSA”, as appropriate. The Code Commissioner is directed to
33   change references in the 1976 Code to conform to this name
34   change, and such changes must be included in the next printing of
35   replacement volumes of or cumulative supplements to the 1976
36   Code.
37      (B)(1) The Code Commissioner is directed to change or correct
38   all references to these offices of the former Budget and Control
39   Board in the 1976 Code, Office of the Governor, or other agencies
40   to reflect the transfer of them to the Department of Administration
41   or other entities, including those newly created by the provisions of
42   this act. References to the names of these offices in the 1976 Code


     [22]                            129
 1   or other provisions of law are considered to be and must be
 2   construed to mean appropriate references.
 3        (2) On or before July 1, 2014, the Code Commissioner also
 4   shall prepare and deliver a report to the President Pro Tempore of
 5   the Senate and the Speaker of the House of Representatives
 6   concerning appropriate and conforming changes to the 1976 Code
 7   of Laws reflecting the provisions of this act.
 8
 9   SECTION 33. A.During the year 2020, the Legislative Audit
10   Council shall conduct a performance review of the provisions of
11   this act to determine its effectiveness and achievements with
12   regard to the more efficient performance of the functions and
13   duties of the various agencies provided for herein and the cost
14   savings and benefits to the State.
15
16   B.     Section 2-15-50(b)(2) of the 1976 Code is amended to read:
17
18     “(2) the effectiveness of organizations, programs, activities, or
19   functions and whether these organizations, programs, activities, or
20   functions should be continued, revised, or eliminated;”
21
22   SECTION 34. If          any     section,    subsection,    paragraph,
23   subparagraph, sentence, clause, phrase, or word of this act is for
24   any reason held to be unconstitutional or invalid, such holding
25   shall not affect the constitutionality or validity of the remaining
26   portions of this act, the General Assembly hereby declaring that it
27   would have passed this act, and each and every section, subsection,
28   paragraph, subparagraph, sentence, clause, phrase, and word
29   thereof, irrespective of the fact that any one or more other sections,
30   subsections, paragraphs, subparagraphs, sentences, clauses,
31   phrases, or words hereof may be declared to be unconstitutional,
32   invalid, or otherwise ineffective.
33
34   SECTION 35. Unless otherwise provided, this act takes effect
35   July 1, 2015. However, beginning on January 1, 2014, the
36   appropriate officials of the executive, legislative, and judicial
37   branches involved with the implementation of the provisions of
38   this act including the transfer of divisions, offices, and personnel to
39   other agencies, the implementation of new offices or divisions
40   within agencies, and the negotiation and execution of necessary
41   agreements relating to this act such as memorandums of
42   understanding may begin undertaking and executing these
43   responsibilities so that the provisions of this act may be fully

     [22]                             130
1   implemented on July 1, 2015, with the appropriations contained in
2   the 2014-2015 general appropriations act to the fullest extent
3   possible being reflective of the transfers, realignments and
4   restructuring provided by this act.
5                                ----XX----
6




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