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February 28, 2025

The SC General Assembly met in regular session this week. The House focused on the private school voucher bill all day on Wednesday, giving the bill final approval on Thursday. The Senate worked through bills on the calendar and set the stage for beginning the debate on liquor liability bills next week by placing S244 on a priority spot on the calendar.  

The House of Representatives plans to begin debating the budget on Monday, March 10.   

Property tax and annexation bills pass the Senate 
The Senate gave third and final reading on Thursday to S125, the low-income housing property tax exemption bill; and S264, the farm property annexation bill. S125 provides a property tax exemption for a nonprofit housing corporation for a percentage that equals the corporation’s ownership interest in the property. S264 prohibits land with farm buildings or agricultural structures from being annexed by a municipality without express written agreement of the owner. Next, these bills go the House for consideration.   

For questions on these bills, contact Erica Wright (ewright@masc.sc) at 803.354.4793.  

Stay in Touch 
The Municipal Association legislative team is on X. Follow Erica Wright (@EricaMuniSC) for updates from the State House. Also follow the Association at @MuniAssnSC.  Don’t forget to listen to the From the Dome to Your Home podcast every Friday for a recap of the week’s legislative issues and a look to the week ahead at the State House.

From the Dome to Your Home Podcast

Committee Report

House Judiciary Committee 
H3460 – disclosure of electronic communication – adjourned debate 
Summary of the bill as introduced: Authorizes a law enforcement officer, a circuit solicitor or the attorney general to require the disclosure of electronic communication by a provider of an electronic communication service.   

 

House Labor, Commerce and Industry Committee  
H3021 – Enacts the Small Business Regulatory Freedom Act – favorable report as amended. The amendments strike the universal three-year expiration timeline for the authority of a state agency to promulgate a new regulation; update the expiration of all administrative regulations from the eighth calendar year after their effective date to the seventh calendar year to align with each agency’s oversight review cycle; and establish an expiration schedule with exemptions. 
Summary of the bill as introduced: Requires the Small Business Regulatory Review Committee to conduct an initial review of regulations pending reauthorization and make recommendations to the General Assembly for removing or retaining those regulations.  
H3756 – storm damage recovery – favorable report 
Summary of the bill as introduced: Allows an electric utility to include storm recovery costs for Hurricane Helene in its cost of capital from the date of the storm through the issuance of storm recovery bonds. 
H3571 – underground facility damage prevention – favorable report as amended by the subcommittee to change who imposes the penalty from the Attorney General’s Office to the court. 
Summary of the bill as introduced: Adds definitions for certain terms in the Underground Facility Damage Prevention Act, specifically the creation of a “large projects” category with new protocols established for notice and response for these projects. The bill also establishes for all utility operators the mandatory quarterly reporting of damages sustained to their system by excavation activities and relieves excavators from liability where operators fail to respond upon second notification and after a three-hour response period. Finally, this bill enhances penalties from $1,000 per violation to up to $25,000 and amends the complaint process.   

 

Senate Judiciary Committee 
S244 – tort reform – favorable report 
Summary of the bill as introduced: Instructs a jury or a court to determine the percentage of fault of the claimant, the defendant and of any nonparty whose act or omission was a proximate cause of the claimants' alleged damages.  
S184 – dram shop – favorable report 
Summary of the bill as introduced: Establishes liability for a person or establishment who illegally furnishes alcohol to an individual who injures a third party.  

 

House Medical, Military, Public and Municipal Affairs Municipal and Public Affairs subcommittee 
H3165 – annexation notice to the county – adjourned debate 
Summary of the bill as introduced: Requires a municipality increasing its territory to file notice with the county where the property is being annexed. The notice is required before the first reading of the proposed annexation.  
H3215 – local planning and permitting application deadlines – the subcommittee heard testimony but did not take action on this bill. 
Summary of the bill as introduced: Requires local planning commission, local planning departments, zoning boards, architectural review boards and local building permitting entities to review an application within 45 days after the application is filed, or it is deemed approved.  

 

House Judiciary Constitutional Laws subcommittee 
H3497 – liquor liability insurance – favorable report as amended. The amendments enhance DUI penalties, allows for entities to qualify for liquor liability mitigation programs after 60 days rather than 180 days, and purports to close the alcohol joint and several liability loophole. 
Summary of the bill as introduced: Allows a captive insurance company to provide liquor liability insurance.   

 

Senate Banking and Insurance Banking Committee 
S163 – local zoning and digital asset mining – favorable report as amended by the subcommittee to remove subsection A under Section 34-47-40 and another technical amendment. 
Summary of the bill as introduced: Prohibits a governing authority from accepting or requiring a payment using central bank digital currency. The bill also prohibits a political subdivision from placing zoning restrictions on digital asset mining businesses that do not generally apply to other businesses in the area. 
S210 – captive insurance companies – favorable report as amended. The amendment only makes technical changes. 
Summary of the bill as introduced: Outlines and provides definitions for foreign captive insurance companies.  

 

Senate Judiciary subcommittee 
S8 – policies for law enforcement vehicle pursuits – carried over 
Summary of the bill as introduced: Requires the SC Law Enforcement Training Council to establish policies, procedures and training courses relating to circumstances when a law enforcement officer may engage in vehicular pursuits.