The General Assembly adjourned on May 13th ending the first year of a two-year session. Any bill not passed by May 13th will continue over in the same place when the General Assembly returns in January 2022. The General Assembly does plan to return in June for a limited session to finalize budget deliberations due to what is anticipated to be over $2 billion in new revenue. They will also return in September to take up redistricting. The following are bills supported by SCBA that passed this first year:
Bank Statutes Modernization (S467) – Enacted and signed by the Governor. S467 is SCBA’s priority bill that modernizes a significant portion of the banking statutes in Title 34 that govern state-chartered banks. Among its many provisions, the bill:
- Codifies and updates the Office of the Commissioner of Banking’s de novo formation polices;
- Allows conversion of an out-of-state bank to a South Carolina state-chartered bank;
- Codifies and updates the Board of Financial Institutions’ operating instruction on repurchase of bank stock; and,
- Updates or deletes many old statutes and terminology.
Bank Transactions Involving Vulnerable Adults (S425) – Passed and enrolled for ratification. S425 allows a bank, other financial institution, or a broker-dealer to halt or delay a transaction if it believes that the transaction involves financial exploitation of a vulnerable adult.
COVID-19 Liability Protection for Businesses (S147) – Enacted and signed by the Governor S147 provides that any business or person that reasonably adheres to public health guidance applicable at the time the conduct giving rise to a coronavirus claim occurs is entitled to a safe harbor from liability for any acts or omissions resulting from a coronavirus claim.
Financial Literacy – Personal Finance Course Requirement (S16) – Amended by a House Education subcommittee. This bill would require 11th and 12th graders to take ½ credit of personal finance in lieu of the present economics requirement for graduation. The subcommittee amendment forms a study committee to study the present Department of Education economics standards to see if they are effective in teaching personal finance. One of the members of this study committee would be a Governor appointee recommended by SCBA. It should be noted that in 2019 the Department of Education adopted new economics curriculum standards that include a much greater emphasis on personal finance.
Electronic Notaries (S631) – Passed and enrolled for ratification. S631 authorizes electronic notarizations. In order to conduct an electronic notarization one must be appointed a regular notary and then apply to the Secretary of State to conduct electronic notarizations. Electronic notary public applications will not be accepted for processing until the administrative rules are in effect and vendors of technology are approved by the Secretary of State. This bill does not include provisions for remote online notaries.
Taxation
- Community Development Corporation Tax Credits (S436) – Passed and enrolled for ratification. S436 allocates $2 million in CDC tax credits for 2021 and $3 million in tax credits in each year after 2021.
- Tax Conformity – PPP Loan Forgiveness (H4017) – Passed and enrolled for ratification. This is the annual DOR tax conformity bill. This year it also conforms South Carolina state tax law with federal law so that PPP loan recipients will not have to pay state income tax on their amount of PPP loan forgiveness.
For a more detailed update of bills handled during the 2021-2022 session, click here to view the latest SCBA State Legislative Update. The General Assembly’s website can be found at www.scstatehouse.gov.
For a more detailed discussion of bills handled during the 2019-20 session, click here to view the latest SCBA State Legislative Update. The General Assembly’s website can be found at www.scstatehouse.gov.
The SCBA Government Relations team actively monitors and lobbies on all bank-related state legislation throughout the year. Please contact Neil Rashley at (803) 779-0850 or nrashley@scbankers.org if you have any questions on state legislation, regulations or related matters.