ISSUES:The House Republican Caucus' 2004 Achievements

Bills Passed by the House ONLY

1. THE SOUTH CAROLINA ECONOMIC DEVELOPMENT, CITIZENS, AND SMALL BUSINESS PROTECTION ACT (H. 3744) -- TORT REFORM
This legislation provides comprehensive revisions for the way in which the state's judicial system handles torts. A tort is a private or civil wrong or injury, including an action for bad faith breach of contract, for which the court provides a remedy in the form of an action for damages. Key provisions include:
* Venue: prohibits "jury shopping" by requiring cases be filed where defendant resides or where cause of action arises.
* Frivolous Lawsuits: provides for sanctions against attorney or litigant in lawsuit deemed to be frivolous.
* Expanded the Right to Cure: provides time prior to filing of a lawsuit for a contractor, engineer or others to correct a defect to commercial property.
* Non-Economic Damages: places a $2 million cap on all non-economic damages.
* Punitive Damages: jury must separate punitive and compensatory damages. Except in cases of fraud or intentional torts, punitive damages are limited to nine times compensatory damages.
* Statute of repose: Limits the time period during which commercial and residential builders may be sued to 8 years from the completion of construction.
STATUS: DIED IN SENATE.

2. MEDICAL MALPRACTICE PATIENT SAFETY REFORM ACT (H. 4464)
The legislation establishes a process under which all medical malpractice claims will be reviewed prior to being filed with the court system. Bill includes a $300,000 cap on pain and suffering.
STATUS: DIED IN SENATE.

3. 2004 INCOME TAX RELIEF ACT (H. 4765)
The bill would reduce state income tax rates by nearly a third over the next decade.
It reduces the state income tax rate from 7% to 4.75% over 10 years -- but only in those years where the BEA estimates a growth of 2% or more.
Other elements of the bill:
* It is effective July 1, 2005, and the first year of the reduction, scheduled for the 2005 tax year, is unconditional.
* This reduction is .225 per year.
* Beginning with the 2006 tax year the yearly reduction will be conditioned upon the BEA's February 15 estimate of growth of 2% or more.
* After ten years of revenue growth at a rate of 2%, the income tax reduction shall be fully implemented.
STATUS: PASSED BY HOUSE TWICE. DIED IN SENATE.

4. PROPERTY REASSESSMENT (H. 4271)
Eliminates future reassessment of residential and commercial real property and establishes the value of real property as the fair market value of the property reflected by its most recent sale or transfer.
STATUS: PASSED BY HOUSE TWICE. DIED IN SENATE.

5. SAME SEX MARRIAGE (H. 4657)
Bill provides that same sex marriages performed in other jurisdictions are not legally binding in SC. Prohibits insurance benefits, etc.
STATUS: PASSED BY HOUSE TWICE. DIED IN SENATE.

6. THE SOUTH CAROLINA RESTRUCTURING ACT OF 2004 (H. 4127)
Creates the Department of Administration as a function of the executive branch. Comprised mostly of existing divisions and offices of the current Budget and Control Board.
STATUS: DIED IN SENATE.

7. CHARTER SCHOOL REFORM (H. 5080)
Establishes an alternative school district to authorize charter schools.
STATUS: DIED IN SENATE.

8. SUNSET COMMISSION (H. 5129)
Commission would develop standards for evaluating effectiveness of state agencies over time to determine whether they should continue, be modified, or terminated.
STATUS: DIED IN SENATE.

9. JUDICIAL NOMINATION PROCESS (H. 4734)
Eliminates the cap of only three qualified judicial candidates and allows for the release of all qualified judicial candidates to the General Assembly for election. The bill provides that a legislator may not file for a judicial office while the member is serving in the General Assembly and eliminates the one-year waiting period for a former member of the General Assembly.
STATUS: PASSED BY HOUSE TWICE. AMENDED BY SENATE JUNE 2. HOUSE NON-CONCURRED WITH AMENDMENTS. (SENATE AMENDED TO ALLOW UP TO 6 CANDIDATES FOR JUDICIAL POSITIONS IF APPROVED BY 2/3RDS VOTE OF JUDICIAL SELECTION COMMITTEE. WOULD ALSO REQUIRE MEMBERS OF SELECTION COMMITTEE TO RECORD THEIR VOTES.) DIED IN SENATE.

10. GRAND JURY POWER EXPANDED TO INCLUDE ENVIRONMENTAL CRIMES (H. 4790)
The bill expands the state grand jury's power to include the investigation of environmental crimes. Currently DHEC investigates environmental crimes but is limited to using police procedures such as eyewitness testimony while grand juries can order testimony and subpoena documents, records and evidence.
STATUS: PASSED BY HOUSE TWICE. DIED IN SENATE.

11. WETLANDS (H. 4934)
Developers and others could fill an isolated wetland of an acre or less. Isolated wetlands of five acres or less could be developed as long as owner took steps to mitigate.
STATUS: DIED IN SENATE.

12. CLEAN LIFE SCIENCES (H. 3929)
Same bill as S.560 WITHOUT amendments unrelated to pharmaceutical and medical related manufacturing. Passed to ensure that company seeking to locate in SC will not be hindered by governor's lawsuit threat
STATUS: DIED IN SENATE.

13. GERMANENESS RESOLUTION (H. 5185)
Prevents lawmakers from tacking unrelated amendments onto bills. Requires Senate and House to adopt same germaneness rules.
STATUS: DIED IN SENATE.

14. INFRASTRUCTURE PRIORITY INVESTMENT ACT (H. 4354)
Improves local planning for growth by requiring local governments to coordinate with one another in the land planning process and to identify infrastructure priority investment areas where public funding for community facilities and development growth will be targeted.
STATUS: DIED IN SENATE.

15. SCHOOL SPENDING PLAN (H. 4557)
Provides local school districts more flexibility in how they spend their revenue.
STATUS: DIED IN SENATE.

Bills Passed by Both Chambers

1. AT-WILL EMPLOYMENT (H. 3448)
The legislation provides that it is the public policy of this State that a handbook, personnel manual, policy, procedure, or other document issued by an employer or its agent after June 30, 2004, shall not create an express or implied contract of employment if it is conspicuously disclaimed. Such a disclaimer in a handbook or personnel manual must be in underlined capital letters on the first page of the document and signed by the employee. For all other documents, the disclaimer must be in underlined capital letters on the first page of the document. Whether or not a disclaimer is conspicuous is a question of law.
STATUS: SIGNED BY GOVERNOR MARCH 15, 2004.

2. PROPOSED CONSTITUTIONAL AMENDMENT TO ELIMINATE MINIBOTTLE LIQUOR REQUIREMENTS (S. 532)
This joint resolution proposes to amend the South Carolina Constitution so as to eliminate the detailed requirements for the regulation of alcoholic liquors and beverages, including the provision that on premises establishments are licensed to sell alcoholic liquors and beverages only in sealed containers of two ounces or less (minibottles). In place of these requirements, the proposed amendment authorizes the General Assembly to regulate the sale of alcoholic liquors and beverages.
STATUS: AMENDMENT APPROVED BY S.C. VOTERS IN NOVEMBER 2004.

3. THE FISCAL DISCIPLINE PLAN OF 2004 (H. 4475)
Ensures state government spends wisely in good times so we're not hit so hard in the bad times. Limits the growth of future governments by imposing 3% spending limitations cap on state government expenditures and directs that future revenue be directed to pay down deficits from prior years.
STATUS: SIGNED BY GOVERNOR JUNE 14, 2004.

4. LIFE SCIENCES (S.560)
Massive economic development bill that provides for the creation of "Life Sciences Facilities" in which at least $100 M are invested and at least 200 new jobs are created. Other elements of the bill include the establishment of a South Carolina Venture Capital Act to create a pool for the Department of Commerce to promote investment in high-tech, knowledge-based, growth-oriented companies in SC. Also provides for Research Universities legislation designed to enhance clustering, knowledge-based high-tech economic development in SC.
STATUS: VETO OVERRIDDEN ON MARCH 17, 2004. LAWSUIT PENDING IN S.C. SUPREME COURT.

5. PUBLIC SERVICE COMMISSION REFORM (S.208)
This legislation establishes new provisions regarding qualifications, screening, and terms of membership for the Public Service Commission, the seven-member body elected by the General Assembly to regulate South Carolina's public utilities. The legislation requires a candidate for the PSC to have a college degree and a background of substantial duration and an expertise in at least one of the following: energy issues; telecommunication issues; consumer protection and advocacy issues; water and wastewater issues; finance, economics, and statistics; accounting; engineering; or law. Commissioners elected in 2004 are exempted from the educational and background requirements.
The legislation establishes the Office of Regulatory Staff (ORS), a separate state agency charged with representing the public interest in all proceedings before the commission.
The legislation establishes the State Regulation of Public Utilities Review Committee. Its duties include nominating candidates for the commission, nominating a candidate to serve as executive director of the Office of Regulatory Staff and conducting annual performance reviews of the commission and the Office of Regulatory Staff.
STATUS: SIGNED BY GOVERNOR FEBRUARY 18, 2004.

6. STATE APPROPRIATIONS BILL (H. 4925)
a. $5.5 B budget
b. $1/2 B in tax relief
c. $39 M marriage penalty elimination
d. $13.3 estate tax reduction to conform to fed code
e. $300 above SE average teacher pay increase
f. Increase per pupil spending
g. No new taxes
STATUS: EFFECTIVE JULY 1, 2004

7. SMALL BUSINESS REGULATORY FLEXIBILITY ACT (H. 4130)
Requires state agencies to review regulations and approve new rules that help small businesses start up.
STATUS: SIGNED BY GOVERNOR MAY 11, 2004.

8. TRAUMA CENTER BILL (H. 4262)
Allows DHEC to establish a state trauma care system to ensure emergency trauma services throughout the state. Establishes trauma advisory council to advise DHEC on development of trauma care system and establishes trauma care system fund for administering care system (fund can draw on mix of public/private revenues).
STATUS: SIGNED BY GOVERNOR MAY 11, 2004.

9. FELONS' DNA DATABASE (H. 3594)
The bill expands the state's DNA database to include anyone convicted of a felony.
STATUS: SIGNED BY GOVERNOR MAY 12, 2004.

10. AQUATIC LIFE PROTECTION ACT (H. 4070)
Requires DHEC to test with secondary water quality testing standard. Additional testing measure more fair and accurate in testing South Carolina water quality.
STATUS: SIGNED BY GOVERNOR JUNE 15, 2004.

11. TEACHER PROTECTION ACT (S. 131)
Enhances penalties for violence committed against school personnel.
STATUS: AWAITING ACTION BY GOVERNOR.

12. PROPERTY REASSESSMENT (H. 3065)
Caps residential and commercial real property reassessment at no more than 20% greater than prior assessed value.
STATUS: VETOED BY GOVERNOR. VETO NOT OVERRIDEN

13. SOUTH CAROLINA MOTION PICTURES INCENTIVE ACT (H. 4968)
The bill would give filmmakers spending at least $1 million in the state a 5% rebate on payroll taxes for South Carolina workers, a larger share of the admission tax collections and a break from sales and accommodations taxes. It also would provide incentives to help the state court television commercial production companies.
STATUS: SIGNED BY GOVERNOR ON AUGUST 16, 2004.

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