April 11, 2008
Highlights of the 13th week (March 30-April 5) and 14th week (April 6-12) of the session include legislative action and activities on the upcoming state budget, smoking ban, Interstate 73, immigration reform, cigarette tax, drunken drivers, new testing in schools and fire sprinkler systems.
FY 2008-2009 State Budget
The Senate Finance Committee has cut all tourism promotion funds, a major setback (no Horry County senators sit on the committee). If passed, this would eliminate the destination-specific promotional grant that provides $1 of state funds for every $2 provided by Grand Strand businesses. The budget cut is a drastic shift from the House’s proposed budget of $12 million, $10 million of which was for destination-specific marketing.
The chamber will work to get the tourism promotion funds reinstated in the Senate budget when the full Senate meets next week. The chamber, Myrtle Beach Area Hospitality Association and a host of other supporters will make their voices heard when they embark on the statehouse for Hospitality Day on April 16.
The Senate Finance Committee made the cut because of expectations that state revenue would be $90 million less than projected when the House developed its earlier version of the budget.
Smoking Ban
A S.C. Supreme Court ruled that cities and towns now have the power to ban smoking in all enclosed public places, including restaurants and bars. Local governments are expected to begin to pass their own laws. The House Judiciary Committee had been waiting on the Supreme Court decision before making any changes to the current state law. Every local smoke-free law passed in South Carolina in the past two years is tougher than the single state law currently being proposed.
Interstate 73
I-73 passed a major hurdle when no public opposition was made to the record of decision. The record of decision is the Federal Highway Administration’s approval of the draft plan for the 60-mile section of I-73 between I-95 and S.C. 22. Federal law allows the public 60 days from the document’s signing to challenge its findings in federal court.
Thus far, the road has no definite funding source, though a toll could be imposed, and the Department of Transportation is seeking a public-private partnership to pay for part or all of the project. The DOT is starting to buy rights-of-way for the road and is working on plans that will outline compensation for wetland loss.
Immigration Reform
A House-Senate conference committee reached substantial agreement on the framework of a new state immigration reform law, mimicking a successful law in Arizona. The House tentatively agreed to Senate provisions requiring private employers to verify immigration status of workers, not just employers with government contracts. Employers would have to verify immigration status with the federal government.
Also, legal residents could sue their employers if they believe they were fired so less expensive immigrant labor could be hired. Plaintiffs would be able to recover all damages including lost insurance. I-9 forms would continue to be kept by the employers and could be inspected. Employers who knowingly hire illegal immigrants could be prosecuted.
Lawmakers from both sides want to confer with their members before finalizing the bill.
Cigarette Tax
A Senate panel approved a 50-cent-a-pack cigarette tax increase (a total of 57 cents) that would be used for expansion of state Medicaid programs and for smoking cessation programs. The national average for cigarette tax is $1.13. The funds would generate $158.9 million and could help about 178,000 people who don’t have medical insurance. The proposal must pass the full Senate and then the House before it is approved.
Drunken Drivers
The Senate has approved a final compromise that toughens penalties according to how much alcohol drivers have in their systems and how many times a person has been convicted. Under the proposed law, drivers who refuse a breath test would have their licenses suspended for half a year instead of the three months required under the existing law. The ratified bill will head to Gov. Mark Sanford’s desk.
New Testing in Schools
The Senate’s Education Committee has approved a bill that would change the standardized tests used at the end of the school year to assess student and school performance. If approved, the change would mean new tests for children beginning next year, replacing the Palmetto Achievement Challenge Test (PACT). The bill now heads to the Senate floor.
Fire Sprinkler Systems
Under a bill sent to the Senate, installing a new fire sprinkler system in a home or business could mean tax breaks worth about half their cost. The legislation allows local governments to decide whether to offer tax breaks of up to 25 percent of the system’s cost. That money would be matched by state tax breaks. Property owners with sprinkler systems also typically get breaks on their fire insurance.
On the Net
MyrtleBeachAreaChamber.com
SCStateHouse.net
House.gov
Senate.gov
USA.gov
SCChamber.net
USChamber.com
I-73.com
