Tag: Act 388

Bureaucracy to prevail at expense of the taxpayer

SC General Assembly Fails Local Government

It can be argued that the SC General Assembly is at least partially responsible for a large tax increase being considered in Horry County.

There is something called the Local Government Fund that is mandated by state law. It evolved from a group of taxes due to cities and counties collected by the state government.

To simplify the return of this money, the SC General Assembly, in 1991, passed a law that states 4.5 percent of the previous fiscal year’s general fund revenue must be divided between counties (83.3%) and cities (16.7%) based on population.

This Local Government Fund may not be cut below the 4.5% level without separate and specific legislation being passed.

In many years at least since 2000, the SC General Assembly passed an annual legislative exception (separate and specific legislation) to the 4.5% required Local Government Fund.


Because a significant number of members in both houses of the SC General Assembly hate local government and would like to see Home Rule done away with.

Since the passage of Act 388 of 2006, the SC General Assembly has directly interfered with local governments’ ability to fund local services and has used the annual exceptions to LGF amounts to continue to further restrict local government revenues.

S.C. Supreme Court Denies School Rehearing

The S.C. Supreme Court denied a request by Gov. Nikki Haley and the S.C. General Assembly to rehear a school funding lawsuit it ruled on two months ago.

In its denial, the Court said it was unable to discover any material fact or principal of law that had been overlooked or disregarded when it first ruled on the case.

In November 2014, the Court ruled the state failed to provide to children in poor, rural school districts with a minimally adequate education as required by state law.