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Both chambers spent the final week of the 2025 legislative year going through their calendars to advance bills of high priority and bills returned to them with amendments. The House also debated and passed their comprehensive income tax reform bill (H. 4216). The General Assembly adjourned sine die at 5 p.m. Thursday. Per the Sine Die Resolution (S. 292), the legislature can return over the summer to finalize the budget bill (H. 4025), governor vetoes, and certain resolutions.
Bills of interest to counties are discussed below in this year’s final regular edition of the Friday Report. Note, this is the first year of a two-year session, meaning bills that did not pass can be considered in 2026.
| | Revenue, Finance and Economic Development | | |
Budget — H. 4025. The House took up Senate amendments to the budget this week. Both chambers increased funding to the Local Government Fund (LGF) by $14,566,488 statewide. This represents full funding to the LGF under the statutory formula. The House further amended the budget and returned the bill to the Senate, and the Senate rejected those amendments. As a result, H. 4025 will now go to a conference committee where deliberations must conclude by July 1, to fund the obligations of the state. The conferees are Reps. Bannister, Hewitt and Stavrinakis and Sens. Peeler, Jackson and Alexander.
The Senate adopted the following proviso in their version of the budget. The House removed the proviso when it received the bill back from the Senate. Please ask the members of the conference committee to remove this proviso and let all interested parties continue to work on a permanent solution!
67.17. DJJ: Capital Expenditure Charge. This new Senate proviso was amended on the floor requiring local governments using the juvenile detention services provided by the Department of Juvenile Justice (DJJ) to pay a capital expenditure charge of $125 per day per child, not to exceed 25 days, to DJJ to cover capital expenditures and investments in the facilities that house such juveniles. This charge is in addition to the per diem charge of $50 that offsets operating expenses. If full funding is not received from the local governments, the remainder of the funds due shall be transferred to DJJ from the Local Government Fund on behalf of local governments. The transfer to DJJ on behalf of the local government shall be deemed to have been distributed to the local government. This is more than three times the amount counties currently pay!
SCAC will report on the final version of the budget bill once conference committee negotiations have concluded.
Boat Property Tax Reduction — H. 3858. As introduced and passed by a House Ways and Means subcommittee, this bill would have given boat owners a 50% property tax reduction on boats registered and titled in South Carolina and eliminated the titling and taxing of all outboard motors with no way for county auditors to track the transfer of outboard motors. The House adopted two amendments during floor debate on the bill this week. The first amendment lowers the property tax reduction from 50% to 42.8571% statewide, except for houseboats. The second amendment directs that the property tax reduction referenced above must be phased in over three equal installments and will be applicable for property tax years beginning after 2026. The amendment also states that this legislation will not apply to counties that have already lowered the assessment ratio on boats to 6%. Any local ordinances would then be repealed after Jan. 1, 2030, once the legislation is fully phased in. H. 3858 received second and third readings, and the bill was sent to the Senate.
SCAC will continue working with the bill’s sponsor, the Senate, and stakeholders next year to ensure the protection of county interests and to minimize the financial burden H. 3858 will place on counties.
Collection and Remission of Accommodations Taxes — H. 3876. This bill updates the process of collecting and remitting accommodations taxes, with an emphasis on providing guidance when third-party platforms (“intermediaries”) or other online booking services are involved. Third parties are required to collect and remit state and local accommodations taxes if they facilitate a booking unless a professional property company (“merchant of record”) is involved. The House amended the bill by striking Section 8, which included a provision requiring the collection and administration of accommodations taxes by the Department of Revenue (DOR). The result is that the taxes will be remitted directly to local governments. The House gave H. 3876 second reading, and the bill is pending third reading on the House calendar.
Catawba Nation Police Officer Retirement System — S. 127. This bill revises the Police Officers Retirement System (PORS) provisions to set forth certain conditions by which the Catawba Nation may become an employer for purposes of the system. The House amended the bill last week to allow full-time masters-in-equity to participate in PORS. From July 1, 2025, to Jan. 1, 2026, a master-in-equity who elects to transfer from the South Carolina Retirement System (SCRS) to PORS must pay the accumulated employer and employee contributions and interest in the SCRS plus 5% of their annual salary as of June 30, 2025, for each year of service. The amendment also removes the earning limitations for a retiree of PORS or SCRS if the employee returns to work in a “critical needs position” after being separated from employment for at least twelve months. The Senate voted to non-concur with the House amendments, and a conference committee met to work out the differences. The conference committee opted to adopt the Senate version of the bill, removing provisions regarding masters-in-equity joining PORS and the earnings limitation language for retirees of SCRS or PORS. S. 127 will now be enrolled for ratification.
Municipalities Without Millage — S. 102. This bill allows a municipality without an operating millage on Jan. 1, 2025, or a municipality that incorporates after Jan. 1, 2025, to impose an operating millage sufficient to generate one-third of the municipality’s general fund expenses in the previous fiscal year. The bill also requires a referendum approval for the proposed millage or millage increase before the millage would be assessed. The Senate gave S. 102 third reading and sent the bill to the House where it was referred to the Ways and Means Committee.
Manufacturing Property Tax Reimbursements — S. 439. This bill would increase the reimbursement cap for the 42.8571% manufacturing property tax exemption provided for in Section 12-37-220(B)(52) from $170 million to $300 million. This bill is in response to the Office of Revenue and Fiscal Affairs projecting that the current cap would be exceeded by more than $30 million in FY 2025-26. The reimbursements will continue to come from the Trust Fund for Tax Relief, and the increase in reimbursements will come from the General Fund. The Senate gave S. 439 second and third readings and sent the bill to the House where it was referred to the Ways and Means Committee.
State Auditor ➡️Liquor Liability and Joint and Several Liability — H. 3430. As introduced, this bill authorizes the governor to appoint or remove the state auditor, with advice and consent of the Senate. The Senate amended the bill to create the Department of Governmental Auditing with a Division of Local Government Services (Division), headed by the state auditor. Independent annual audits of all county financial records must be filed with the Department of Governmental Auditing instead of the State Treasurer’s Office.
The Division will now perform periodic audits of financial records of county treasurers, clerks of court, and magistrates that were previously performed by the state auditor and will take counties’ requests for extensions on annual audit reports.
The House amended H. 3430 further this week to strike the original language relating to the state auditor and insert the language from H. 3497, a bill relating to liquor liability and modifying the joint and several liability statute before sending the bill back to the Senate. The Senate concurred with the House amendment, and the bill will be enrolled for ratification.
I-95 Economic and Education Stimulus Act — H. 4176. This bill establishes the South Carolina Gaming Commission, which is authorized to award casino licenses in Dillon, Marlboro and Orangeburg counties. The House amended the bill to require that 97% of the privilege tax collected must be transmitted to DOR and placed into the state general fund with a portion of these funds going to the S.C. Department of Behavioral Health and Developmental Disabilities for the prevention and treatment of compulsive gambling disorder. The remaining 3% of the privilege tax must split between the three eligible counties. The House continued the bill, ensuring it will not pass this year.
| | Public Safety, Corrections and Judicial | | |
Failure to Stop — H. 3127. This bill increases the penalties for failure to stop when signaled by law enforcement. The bill also lists several aggravated factors that can affect sentencing:
- the person's recorded speed exceeded 100 mph;
- the person was driving on the wrong side of the road;
- the person threw drugs, drug paraphernalia, or weapons from their vehicle;
- the person drove their vehicle toward another vehicle in a manner to purposely scare another person or intimidate a pursuing officer;
- the person fled from the scene on foot after the pursuit ended;
- the person collided with another person during the pursuit; or
- the person was involved in a collision that resulted in property damage.
The Senate adopted several amendments to increase violations of this offense from a misdemeanor to a felony and to provide for minimum sentencing standards. The House further amended H. 3127 to specify that when a person leads law enforcement on a high-speed pursuit, that person is guilty of a felony and upon conviction, must be imprisoned for no more than 10 years. The Senate concurred with the House amendments, and H. 3127 was enrolled for ratification.
Hands-Free Driving — H. 3276. This bill creates the “South Carolina Hands-Free and Distracted Driving Act” to enhance the provisions of the state’s current hands-free statute and to increase penalties. The bill offers several exceptions, including use by a first responder while performing official duties. The bill also shifts 25% of the fine and fee revenue that would otherwise flow to counties to the Department of Public Safety for use to educate the public on the dangers of distracted driving. The bill also provides:
- for a second or subsequent offense, a person must be fined $200 and have two points assessed against their driver’s license;
- a violation of this provision must not be reported to the driver’s vehicle insurance provider;
- a law enforcement officer may not stop a person for a violation of this law unless they have probable cause that a violation has occurred based on the officer's clear and unobstructed view of a person who is using a wireless electronic communication device; and
- for the first 180 days of the enactment of this bill, a law enforcement officer may only issue a warning ticket.
The Senate amended the bill to provide that a law enforcement officer may stop a person for a violation when the officer has a reasonable suspicion that a violation has occurred and the officer has a clear or unobstructed view of the violation occurring. The House concurred with the Senate amendments, and H. 3276 was enrolled for ratification.
SC Public Expression Act (Anti-SLAPP) — H. 3305. This bill requires specific court actions be followed during a civil case brought against a person exercising their right to free speech. The Senate exempted governmental units or an agent of a governmental unit acting in an official capacity to enforce a law to protect against an imminent threat to public health or safety. H. 3305 is pending third reading on the Senate calendar.
Firefighter Registration Requirements — S. 101. This bill revises and clarifies requirements related to the registration of firefighters by the Office of the State Fire Marshal, which is under the administration of the Department of Labor, Licensing and Regulation. The Senate concurred with a technical amendment made by the House, and S. 101 was enrolled for ratification.
Pending Gun Charges — S. 136. This bill requires the dismissal of certain unlawful handgun possession charges from before the enactment of the “South Carolina Constitutional Carry/Second Amendment Preservation Act of 2024.” It also states that a dismissal does not necessitate dismissing related charges or serve as a basis for civil actions from the arrest. The House amended the bill to include the provisions of H. 3497, relating to liquor liability. The Senate removed those provisions, and the House concurred with the Senate amendments. S. 136 will now be enrolled for ratification.
Fentanyl/Drug-Induced Homicide — S. 156. This bill establishes fentanyl-induced homicide as a felony offense against the person who unlawfully delivers, dispenses, or otherwise provides fentanyl to a person who dies after injection, inhalation, absorption, or ingestion of any amount of the substance. It is punishable by imprisonment for no more than 30 years. Further, it prohibits a defense from being established due to a decedent contributing to their own death by their purposeful, knowing, reckless, or negligent consumption of the fentanyl-related substance or by consenting to the administration of the fentanyl-related substance by another person. The conference committee added a provision to provide that in situations where a person who knowingly ingests fentanyl, and does so along with another consenting person, shall not be prosecuted under this section of the law. The conference report on S. 156 was adopted by both chambers and the bill was enrolled for ratification.
Electronic Nicotine Regulation — S. 287. This bill regulates the sale of electronic nicotine delivery systems, known as ENDS products. The bill, among other things, makes it unlawful for retailers, wholesalers, or distributors of ENDS products to sell or distribute unauthorized ENDS products, including those labeled with terms such as “candy” and those not part of a directory, which will be overseen by the Attorney General. The Senate adopted a committee amendment to specify that local law enforcement agencies have the authority to enforce the provisions of the bill and that fines and penalties resulting from a violation will be retained by the state or local agency bringing the action. The House adjourned debate on S. 287 until next year.
Prohibition of Open Burning — H. 4478. This bill requires the South Carolina Emergency Management Division to be notified of the prohibition on open burning to ensure that the ban on fires, issued by the State Forester, is broadcast on all telecommunication devices throughout South Carolina. The House gave H. 4478 second and third readings and sent the bill to the Senate.
| | Land Use, Natural Resources and Transportation | | |
Waste Tires — S. 171. This bill represents the efforts of SCAC, the South Carolina Manufacturers Alliance, and several other entities to address the financial challenges that counties across the state are facing regarding the management and processing of waste tires. One of the most important aspects of the bill includes an increase of the $150-per-ton cap on tipping fees that a county may charge for recycling and disposal of undocumented waste tires to $400 per ton. This is an SCAC policy position.
Additionally, the bill addresses the sale of unsafe used tires and includes updated manifest and registration requirements for waste tire haulers that will require the placement of a new decal, provided by the Department of Environmental Services, on certain vehicles involved in the hauling of waste tires. Other notable aspects of the bill include:
- increasing economic development efforts to provide alternative uses of waste tires;
- exempting the South Carolina Department of Transportation from the waste tire hauler registration requirements;
- updating the current tire rebate program to encourage retailers to use waste tire haulers;
- adding tire manufacturers and the Department of Commerce as members of the Solid Waste Advisory Council Grants Committee; and
- encouraging the development of a statewide market infrastructure for tire-derived products.
The House adopted an amendment to the bill removing a reference to new car sales and clarifying that the $2 advanced recycling fee would apply to all “unmounted” tires sold. The Senate concurred with the House amendment, and S. 171 was enrolled for ratification.
SCAC appreciates members of the General Assembly and the collaboration with the SC Manufacturers Alliance for all the work in getting this important piece of legislation addressed this year!
Energy Bill — H. 3309. This bill enacts the “South Carolina Energy Security Act” to address the state’s energy needs over the next decade. The House deleted any references or requirements pertaining to data centers throughout the bill. The Senate concurred with the House amendments, and the bill was enrolled for ratification.
Litter Officers/State Auditor — H. 3222 and H. 4247. H.3222 originally updated the number of litter control officers that a county may have based on the most recent census data. The Senate struck language about litter officers and inserted the provisions of H. 3430, relating to the state auditor before giving the bill second and third readings. The House refused to advance the bill on the state auditor.
Meanwhile, the Senate attached the litter control officer language from H. 3222 to H. 4247, a bill relating to the state commodity code, and returned this bill to the House. The House concurred with the Senate amendments to H. 4247, and the bill, including litter officer language, was enrolled for ratification.
SC811 — H. 3571. This bill updates definitions, including what constitutes a large project, requires operators to become members of the Operators Association Notification Center, and outlines penalties for failure to notify about an excavation or demolition or for failure to join the association. The Senate amended the bill to change the effective date, expand the definition of large projects to include transportation projects over 1 mile, and to prohibit the Act from preempting any ordinance enacted by a municipality involving the regulation or inspection of utility work conducted in the public right-of-way. The Senate gave H. 3571 third reading as amended and sent the bill back to the House. The House concurred with the Senate amendment, and the bill will be enrolled for ratification.
Golf Cart Ordinances — H. 3292. This bill permits all municipalities to enact an ordinance to allow golf carts to operate in designated areas within their jurisdiction at night. If the designated area is not within the jurisdiction of a municipality, the county in which the designated area is located may enact such an ordinance. Currently, only municipalities located in counties with a population between 150,000 and 250,000 residents and jurisdiction over a barrier island are authorized to enact such ordinances. The Senate amended the bill to strike language relating to golf carts on secondary roads, to require owners carry minimum liability insurance, to require children under 12 to wear seat belts, and to prohibit a county or municipality from requiring proof of property ownership or long-term rental agreement within the jurisdiction to receive a decal. The Senate gave the bill second and third readings as amended and returned the bill to the House. The House concurred with the Senate amendments, and H. 3292 will be enrolled for ratification.
Georgetown County Building Codes — S. 623. As introduced, this local legislation exempts Georgetown County from certain building code requirements that are affected by the limit of moderate wave action line (LiMWA) as designated on recent flood insurance rate maps. The House amended the bill this week to clarify that the exemptions from building requirements in Georgetown County only apply to properties within the LiMWA line as shown on the May 9, 2023, flood insurance rate map and that Georgetown County may enforce “AE” standards within this zone. The House gave S. 623 second and third readings as amended and returned S. 623 to the Senate. The Senate concurred with the House amendment, and S. 623 will be enrolled for ratification.
| | County Government and Intergovernmental Relations | | |
Military Advisory Council — S. 89. This bill renames the South Carolina Military Base Task Force to the South Carolina Military Affairs Advisory Council. Additionally, the bill revises the council's mission and increases its membership by adding the chief executive officer of the Aiken Chamber of Commerce, the chairperson of Aiken County Council, and the mayor of North Augusta. The bill also requires the Advisory Council to meet at least once each calendar year. The House amended the bill to add the chairperson of Edgefield County Council to the Advisory Council and to require the members of the executive committee to be recommended by the county legislative delegation before being submitted to the governor for consideration on the appointment. The Senate concurred with the House amendments to S. 89, and the bill was enrolled for ratification.
Veterans’ Homes — H. 4385. This bill requires the Department of Veterans Affairs (DVA) to adopt and implement criteria, policies, and procedures for admissions to and discharges from veterans’ homes. Additionally, within 60 days of adopting or amending any admissions or discharge criteria, policies, or procedures, DVA must submit, for informational purposes only, the full text of such criteria, policies, or procedures to the House Government Efficiency and Legislative Oversight Committee and Senate Legislative Oversight Committee. The House adjourned debate on the bill until next year.
Electronic Records Disclosure — S. 74. This bill authorizes a law enforcement officer, circuit solicitor, or the attorney general to subpoena stored wire, digital, or electronic communications, as well as transactional records and subscriber information from the provider of an electronic communication service or remote computing service as a part of an ongoing investigation. The House amended the bill to limit the authorization for the attorney general to only during an ongoing investigation for child pornography. The Senate further amended the bill and returned it to the House. The House concurred with the Senate amendments, and S. 74 will be enrolled for ratification.
Oversight of County Veterans’ Affairs Offices — H. 3563. This bill requires the secretary of the DVA to evaluate each county office annually to assess service levels and procedural compliance. If deficiencies are found, the DVA will help develop a corrective action plan and re-evaluate within six months. The secretary must also submit a written report of the final inspection results to the legislative delegation and county administrator within 90 days. Additionally, a county officer who does not participate in the evaluation will be ineligible for reappointment by the county legislative delegation. The Senate amended the bill to change the annual evaluation to no more than twice per year and to delete the language prohibiting a county officer who does not participate in the evaluation from being reappointed by the legislative delegation. The amendment further provides that the secretary or his designee shall not have the authority to remove a county officer for any reason. The Senate gave H. 3563 third reading as amended and returned the bill to the House. The House concurred with the Senate amendments, and H. 3563 will be enrolled for ratification.
Public Transit Trespass — S. 399. As passed by the Senate, this bill provides that a person who enters a transportation facility is prohibited from committing any acts described in Section 58-23-1830 or any criminal offense. The transportation facility must post in writing the prohibited conduct. The transit director, their designee, the transit supervisor, or their designee, is authorized to request a person who commits an above act to leave the facility and provide warning that the person is prohibited from returning for a specific duration of time. A person who, after warning, violates the trespass order is guilty of a misdemeanor and, upon conviction, must be fined no more than $200 or be imprisoned for no more than 30 days.
A person wishing to appeal a warning notice of trespass must submit a request for hearing to the board within five business days of receiving the notice, and the board must conduct a hearing within 10 business days of the appeal. A trespass violation can be tried in the municipal or magistrate court with jurisdiction over the offense. A trespass notice can be enforced by any state or local law enforcement officer within the jurisdiction of the offense. The Senate gave S. 399 second and third readings and sent the bill to the House.
DHEC Restructuring — H. 4189. Amends the restructuring provided by Act 60 of 2023 and repeals certain sections, all related to the Department of Health and Environmental Control. The House gave H. 4189 second reading, and the bill is pending third reading on the House calendar.
| | Newly Introduced Legislation and Ratifications | | | | |
