2022 Legislative Recap: 2nd Session of the 124th General Assembly

The South Carolina General Assembly wrapped up the second regular session of the 124 th South Carolina General Assembly this May in Columbia, sending 234 bills to Governor Henry McMaster’s desk to be signed into law. Out of the 234 bills, 163 have either already been signed into law or were overruled by the House due to a governor’s veto. During the last day of regular session, the General Assembly passed 73 additional bills that await the governor’s signature. The new state laws vary in purpose and scope, with some laws taking effect immediately and others going into effect at a later time.

The South Carolina Restaurant and Lodging Association’s government affairs team has been busy tracking all legislation relating to the hospitality industry this session, particularly legislation specifically impacting restaurants and hotels. Overall, there were a number of bills we were tracking that did not make it across the finish line. Several bills pertaining to the curbside pickup of alcoholic beverages did not pass (H.3575, S.367, S.524), despite several of these bills passing either the House or the Senate. These bills died because they either did not make it out of committee, or they did not receive an opportunity to go to the floor of either chamber for debate:

• House Bill 3772 allowing for the delivery of alcoholic beverages to an individual’s house also did not pass.

• Senate Bill 472 requiring a mandatory alcohol server training and education program for businesses who sell alcoholic beverages passed the Senate but did not make it out of the House Judiciary Committee.

• House Bill 4998 to classify alcoholic consumables such as alcoholic popsicles or alcohol-infused ice cream the same as alcoholic beverages passed the House but did not make it out of the Senate Committee on the Judiciary.

• House Bill 3013 to allow for the Sunday sale of liquor at ABC packaging stores also did not make it out of committee.

• House Bill 3348 that would have provided tax credits for business owners who employed veterans of the armed forces or formerly incarcerated individuals in an apprenticeship program passed the House but did not make it out of the Senate Finance Committee.

Clementa C. Pinckney Hate Crimes Act (H.3620) A bill we were hoping would pass was the Clementa C. Pinckney Hate Crimes Act. South Carolina is one of two states in the nation that does not have hate crimes legislation on the books. The bill would have provided additional criminal penalties for crimes that could prove beyond a reasonable doubt that a violent crime was committed because of a person’s skin color, gender, or sexuality. The bill would have also allowed victims to bring civil action for damages caused by said crime. The bill passed the House 79-29 and passed out of the Senate Judiciary Committee favorably with amendment but ultimately did not make it to the Senate floor for debate. Senate Democrats pleaded with their colleagues to take up the bill for consideration but ran into Republican opposition. The South Carolina Chamber of Commerce said that a hate crimes bill can be good for attracting new industries to the state, while those who have experienced the violent side of hate say adding stronger penalties to existing law may serve as a deterrent for future potential hate crimes. The bill will need to be reintroduced during the 125 th South Carolina General Assembly and begin the legislative process again from scratch.

There were several bills we were tracking that did find their way to the Governor’s desk to be enacted into law, including:

• House Bill 4408 which outlines how the nearly $1.75 billion South Carolina received from the American Rescue Plan is to be used and distributed. These funds will primarily go to the South Carolina Department of Transportation, the Rural Infrastructure Authority, the Office of Regulatory Staff, as well as the Office of Resilience and the Department of Administration. The funds will be used to update rural water and sewer infrastructure, accelerate completion of projects included in the Statewide Transportation Improvement Program, increase rural broadband internet access across the state as well as funding other various state-wide infrastructure projects.

• House Bill 3144 is also waiting to be signed into law by Governor McMaster. H. 3144 will cover the full cost of tuition at any public South Carolina technical college for an industry-recognized credential (IRC), diploma or degree for careers that meet statewide workforce needs.

• House Bill 3126 has already been signed into law. H. 3126 bans state and local governments from imposing COVID-19 vaccine mandates as a condition of employment and provides certain protections for workers subject to private employers’ vaccination requirements.

There were several contentious bills being debated at the state house this year that ultimately did not pass.

After passing the Senate, a bill to legalize medical marijuana in the state died in the House following a nuanced debate over the constitutionality of the legislative process that the measure moved through before any discussion of the merits of the bill itself could occur. The bill died due to a point of order which was raised by a member of the House claiming that because the bill generated tax revenue for the state, the bill should have originated in the House rather than the Senate, under the state constitution’s provisions for legislation that generates tax revenue.

There was also an election reform bill that was hotly debated and eventually had to be resurrected by the Senate before passing and being sent to the Governor’s desk for signature. The bill which did not reach the crossover deadline had to receive two thirds vote by members of the Senate in order for the bill to be taken back up and debated. The bill will allow any registered voter in South Carolina to vote in-person up to two weeks before an election without needing an excuse. While early voting was temporarily expanded in 2020 because of the pandemic, a permanent, no-excuse offering was nonexistent in the state. The legislation will also tighten up limits on who is allowed to vote absentee by mail, along with changing restrictions on when election workers can open mail-in ballots, modifying what information is needed to request an absentee ballot, and other clerical changes.

One controversial bill, which is currently awaiting the Governor’s signature, would prevent transgender athletes from competing in female sports in public middle and high schools, as well as public universities. The Save Women’s Sports Act (H.4608) would allow those who were female on their birth certificates to compete on male sports teams, but those who were designated male on their birth certificates cannot compete on girls sports teams. The bill says schools are required to designate what gender a student was on their birth certificate and allows for lawsuits from students who were denied an opportunity because a school or group did not follow the rule. The bill also will allow schools to sue for relief if they receive any direct or indirect harm because of the legislation. Those legal actions must take place within two years after the alleged harm occurred. The bill was amended in the Senate to remove references to what the student or school could be awarded in civil court.

While the General Assembly may have adjourned for the year, there are still several items on the agenda that need to be tackled before November's General Election.

The General Assembly passed Senate Bill 1325, the Sine Die Resolution, outlining the reasons for which the General Assembly can come back to Columbia after the regular legislative session ends. While this year’s agreement contained usual inclusions such as finalizing the state budget, forming and attending conference committees for bills that passed both the House and Senate with amendments both chambers could not agree upon, and considering gubernatorial vetoes, it also stipulates lawmakers could be called back for a special legislative session to take up abortion legislation if the U.S. Supreme Court opens the door for one. With that decision anticipated some time in June, based on the timing of previous Supreme Court rulings, South Carolina’s Sine Die Resolution allows the House Speaker and Senate President to call their members back to take up a response beginning July 1.

Despite the official end, much work remains for special sessions in June, primarily reaching agreement on the state budget for the fiscal year. While the chambers’ plans are far apart, what’s certain is that taxpayers will get a sizable break. The Senate’s $12.6 billion proposal is built off a $1 billion tax cut, coupled with $1 billion in one-time rebates providing up to $700 per household. The House’s $14 billion version, which McMaster says is more favorable, cuts income taxes by $600 million, while providing more money for roadwork, rural schools, and local projects. The Senate version of the budget stripped any funding for I-73, a priority for the Grand Strand.

While it remains to be seen what effects the new laws will have on our state and our industry, we can assure you that we will be tracking all of it to provide another update on these efforts and other issues in the near future.

For more information, please visit SCRLA’s government affairs page at SCRLA.org/GA.

Find a recap of this year's Hospitality Day at the State House on the next page. This premier legislative event was held on April 27.

Save the date for our 2023 event, which will be held on April 19, 2023 on the State House grounds!