Senate Banking and Insurance Subcommittee Holds Meeting in North Charleston on Proposed Legislation Concerning Coastal Insurance Rates
On Monday, April 2, at 5:30 p.m., at Trident Technical College, Complex for Economic Development, 7000 Rivers Avenue, Building 920 (Mabeline Road Entrance), in North Charleston, a subcommittee of the Senate Banking and Insurance Committee is holding a meeting about several bills with proposals concerning the increased property insurance premiums being assessed to coastal residents due to the risks of potential hurricane damage.
The co-chairmen of the subcommittee are Senators Luke A. Rankin, Sr. (R-Horry) and David L. Thomas (R-Greenville). Subcommittee members are Senators John W. Matthews, Jr. (D-Orangeburg), Glenn G. Reese (R-Spartanburg), Thomas C. Alexander (R-Oconee), James H. Ritchie, Jr. (R-Spartanburg), and Ronnie W. Cromer (R-Lexington).
Senator Glenn F. McConnell (R-Charleston), President Pro Tempore of the Senate and a member of the Senate Banking and Insurance Committee will attend the meeting to hear suggestions for solutions to the problems coastal residents have experienced in trying to obtain property insurance.
“I urge citizens of the Low Country to come out and express their support for changes in the insurance laws to make homeowners insurance and wind and hail coverage more affordable and more available and to rectify the injustices of these numerous cancellations,” McConnell said.
According to Senator Rankin, “It’s important that we hear from the residents of the Charleston coast, as we did from those in Horry County, because these are the people living at ground zero of the current insurance crisis.”
The following bills are being considered by the subcommittee:
· S. 298 (which would provide that the Director of the Department of Insurance be elected instead of appointed);
· S. 345 (which would make the Wind and Hail Underwriting Association, or Wind Pool, tax exempt in order to maximize the resources to pay claims to insureds);
· S. 346 (which would set up a hurricane damage mitigation program);
· S. 347 (which would change the definition of areas eligible for Wind Pool coverage to all areas that are east of the west bank of the intracoastal waterway);
· S. 361 (which would extend changes in cancellation and nonrenewal of policies);
· S. 412 (which would convert the Wind Pool to a South Carolina Hurricane Underwriting Association; provide for a South Carolina Catastrophe Modeling Act; and provide for changes in cancellation and nonrenewal of policies);
· S. 499 (which would provide for coastal captive insurance companies); and
· S. 547 (which would provide for changes in cancellation and nonrenewal of policies).
The public is encouraged to participate in this forum. In order to allow everyone the opportunity to be heard, time limits may be imposed upon speakers.
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GOVERNOR ROMNEY’S REMARKS AT THE CLUB FOR GROWTH
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Governor Romney’s Economic Agenda Key Excerpts (As Prepared For Delivery): Governor Romney: “I believe we must do as John F. Kennedy did in the 1960s and Ronald Reagan did in the 1980s: we must cut income tax rates for all Americans. This approach is fair, simple and extends the pro-growth benefits of tax rate cuts to all Americans. And by increasing incentives, a marginal rate cut will energize our economy and grow and create jobs.” (Governor Mitt Romney, Remarks At The Club For Growth, Palm Beach, FL, 3/29/07) Governor Romney: “It’s absolutely critical that we make the Bush tax cuts permanent. In the process of making the Bush tax cuts permanent, let’s also drive a stake through the heart of the death tax and truly kill it once and for all.” (Governor Mitt Romney, Remarks At The Club For Growth, Palm Beach, FL, 3/29/07) Governor Romney: “Liberals urged me to raise taxes, but I knew that the solution to a budget deficit is not to find ways to raise more revenue; it is to cut spending. So I eliminated and combined duplicative and wasteful agencies and programs. That laid the groundwork for what followed: four years of balanced budgets. One commentator said that I didn’t just go after the sacred cows, I went after the whole herd. And when I left office, Massachusetts had 600 fewer state workers than when I took office.” (Governor Mitt Romney, Remarks At The Club For Growth, Palm Beach, FL, 3/29/07) Maintaining Economic Growth By Lowering Taxes:
Governor Romney Has A Record Of Fighting For Lower Taxes. As Governor of Massachusetts, he turned a $250 million retroactive capital gains tax increase into a $250 million refund, made the investment tax credit permanent, passed sales tax holidays, gave property tax breaks to seniors, and in each of his last three years in office, submitted a budget that cut the income tax. Spending:
National Tort Reform:
Union Card Check Legislation:
Regulatory Reform and Sarbanes-Oxley:
Governor Romney Opposes McCain-Feingold Regulation Of Free Speech. The American people should be able to exercise their First Amendment rights without having to first think about hiring a lawyer. America has a rich history of protecting speech. But the McCain-Feingold law is having a chilling effect on grassroots advocacy. Governor Romney’s Overall Economic Priorities:
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Governor Romney Proposes Lowering Tax Rates For All Americans. We should strive to keep marginal tax rates on America’s families and businesses no higher than those imposed by our major
Governor Romney Supports Nationwide Reforms To Our Tort System. We need to enact tort reforms that will lower U.S. tort costs, help business grow, allow companies to spend more on research and development, while at the same time protect the legitimate interests of consumers. We must make the system fairer and more predictable for both business and individuals. And we must do it at the federal level with national reforms.
Governor Romney Supports The Rights Of Workers To Decide Whether To Join A Union Or Not. Democrats want to deny workers the right to make the decision on whether to unionize by secret ballot and mandate that unionization be allowed by a “card check” system. We oppose taking away workers’ rights to a secret ballot.
Governor Romney Believes The Washington Regulatory Burden Is Too High. Too often politicians in Washington do not consider the real world negative economic effects of the many regulatory weeds that choke off economic growth. One of these regulations that must be pruned is Sarbanes-Oxley. 
Graham Votes against Iraq Troop Withdrawal Legislation
WASHINGTON – U.S. Senator Lindsey Graham (R-South Carolina) made this statement after the Senate vote on legislation to withdraw American troops from Iraq.
“This bill is a national disgrace.
“The legislation sets withdrawal dates which tell our enemy exactly when we’re leaving and how long they have to wait us out to win Iraq and spends more than $20 billion on projects completely unrelated to the military and efforts to win the War on Terror.
“Timelines for withdrawal are a death blow to our chances for success in Iraq. They freeze the political and economic reconciliation among Iraqis. They are a death sentence for Iraqi moderates trying to bring peace and stability to their country. As for our troops, those who are left to serve waiting for the withdrawal day to come will be risking their lives without purpose. It is an untenable position to put them in.
“Is it really a national emergency critical to winning the War on Terror for the cities hosting the Republican National Convention and Democratic National Convention in 2008 to receive matching $50 million grants? Is there even a remote correlation between fighting the War on Terror and $24 million slated for sugar beet growers? What about $20 million for reimbursements of insect damage in Nevada or $13 million for ewe-lamb replacement and retention?
“The President is right to veto this legislation and I look forward to sustaining his veto.”
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House Passes Fiscally Responsible Democratic Budget
WASHINGTON – The House today passed by 216-210 a Fiscal Year 2008 budget resolution crafted by Chairman John Spratt (D-SC). The budget reaches balance in five years; champions children’s health care, education, and veterans health care; embraces tax relief for middle-income Americans; and matches the President on defense spending.
“This is a balanced budget with balanced priorities,” said Spratt. “It shows that Democrats are fiscally responsible, and can budget, and that we are charting a new course for America.”
Spratt’s budget restores a number of cuts in the President’s budget. It adds $6.6 billion over Fiscal Year 2007 for veterans health care; $50 billion over five years for the State Children’s Health Insurance Program (S-CHIP); and $7.9 billion over the President’s budget for education. “These increases help sustain good programs that work for millions of Americans, and good programs that Democrats believe in,” said Spratt.
An overarching feature of the Spratt budget is the “pay as you go” rule adopted by House Democrats in the first 100 hours of the new Congress. It requires that any entitlement spending increases or tax cuts be offset, so that the bottom line of the budget, which is in deficit, is not worsened.
The Spratt budget includes a deficit-neutral reserve fund to accommodate middle income tax cuts, such as extension of the child tax credit, marriage penalty relief, extension of the 10% individual income tax bracket, elimination of most estate taxes, extension of the research and experimentation tax credit, extension of the deduction for state and local sales taxes, and a tax credit for school construction bonds. Another deficit-neutral reserve fund keeps the AMT – the Alternative Minimum Tax – from ensnaring middle income taxpayers for which it was never intended.
Spratt’s budget does not raise taxes; rather, it seeks to enhance revenues by going after the “tax gap” – the difference between taxes owed and taxes collected – and by cracking down on waste, fraud, and abuse in government programs.
Spratt’s budget was backed by a majority of House Democrats and more than 65 organizations.
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COMPTROLLER ECKSTROM: OUR ENGLISH LANGUAGE UNITES US
Speaking of the power and importance of language, Winston Churchill once said: “The English language is one of our great sources of inspiration and strength, and no country, or combination, or power so fertile and so vivid exists anywhere in the world.” Churchill knew that language, more than just the means for communicating information, is the fabric of nations - their culture, history, art, music and commerce. He knew also that the power of shared language has forged a bond among all the English-speaking peoples of the world. In crisis after crisis throughout much of our history, we see a “special relationship” with those who share our values and language - Great Britain, Canada, Australia, New Zealand and other English-speaking countries. Yet in recent decades the fabric that has united us with English-speaking countries around the world is being destroyed within our own country.
Thirty-six million immigrants, a third of them illegal, live among us today. That number equals all those who previously came during the nearly 400 years between the settlement of Jamestown in 1607 and the presidential election of John Fitzgerald Kennedy in 1960. These millions of current day immigrants, 90% of whom come from Third World nations, are demanding that we recognize their languages, culture, and history while, in some misguided spirit of multiculturalism, we remain silent about our own.
Our first act of national surrender occurred when President Clinton signed Executive Order 13166 effectively making our country a multilingual one. His order requires that any entity receiving federal funds must provide services in any language. For example, doctors, hospitals and clinics that accept Medicare or Medicaid must provide, at their own expense, interpreters for any language spoken by any patient, even illegal aliens.
The financial cost of this invasion is staggering. We’ve spent billions of dollars on bilingual education that nurtures a permanent, non-English-speaking culture. Schools in New York City teach students in 82 languages. The 1974 Supreme Court decision, Lau v. Nichols requires that “special assistance” be given to non-English-speaking children. It’s estimated that this assistance alone costs American taxpayers $15 billion each year.
Yet, the cultural costs to our nation far exceed the financial costs. The melting pot has become a salad bowl of competing ethnic groups that are sometimes ignorant and contemptuous of our national history, purpose, and ideals. It is vital that we secure our borders and assimilate those immigrants that have come to our shores. Their first obligation, if they want to stay and reap the privileges of being Americans, should be to learn English. How can anyone hope to succeed and prosper without learning our shared language and accepting our shared culture?
Perhaps President Theodore Roosevelt foresaw our time when he said: “The one absolute certain way of bringing this nation to ruin would be to permit it to become a tangle of squabbling nationalities. We have but one flag. We must also have but one language, and that language is English.” Now, more than ever, we need leaders like Theodore Roosevelt.
CONTACT RICHARD ECKSTROM AT: Tel (803) 734-2588 // Fax (803) 758-5777 // Email: reckstrom@cg.sc.gov
Brown, Republicans Oppose Democratic Effort to Enact Largest Tax Hike in History
WASHINGTON, DC – U.S. Representative Henry E. Brown, Jr. joined with his Republican colleagues today in opposition to a Democratic budget plan that would saddle taxpayers with nearly $400 billion in new taxes. The Democratic budget plan also provides for huge spending increases, includes significant budget gimmicks, and ignores the need to bring reform to our nation’s entitlement programs.
The tax increases provided for in the Democratic plan includes increases to personal income tax rates, reinstatement of the marriage penalty, adjustment to the child tax credit, and hikes in taxes on dividend and investment earnings. In the end, these widespread tax increases would hit almost 1.5 million South Carolina taxpayers with an average tax increase of $2,482.
Continuing their return back to the tax-and-spend policies of old, the Democratic budget includes the largest year-to-year increase in non-defense spending ever. While past Republican budgets held the line on additional spending, Democrats have used their return to power to set the stage for $24 billion in spending increases this year alone.
“While Republican pro-growth tax policies have led to record tax revenues and millions of new jobs, Democrats want to turn their back on this record of progress for the sake of higher taxes and more spending,” said Brown. “Despite a pending entitlement crisis and a need to go through with efforts like reforming the Alternative Minimum Tax (AMT), this budget either ignores those needs or makes empty promises about reform.”
Republican tax relief passed in 2001 and 2003 has resulted in 7.6 million new jobs, reduced the unemployment rate from over 6 percent to 4.5 percent, and increased Federal revenues at a average rate of almost 12 percent over the past three years. Instead of ensuring that this tax relief continues into the future, the Democratic budget provides for their cancellation, meaning that Americans will see some $400 billion in new tax increases across the board.
“Reducing the deficit requires continued pro-growth economic policies while holding the line on new spending,” continued Brown. “It does not require saddling over half of South Carolina’s taxpayers with a $2,500 tax increase while ignoring the need to make tough decisions on spending and reform.”
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Inglis: Growing government with increased spending and higher taxes wrong way to balance budget
Inglis supports Republican budget that would save $279 billion
U.S. Rep. Bob Inglis (R-SC) voted for the Republican alternative to the Democratic budget Thursday, saying the Democrats plan to raise taxes by nearly $400 million and increase spending by $75 billion are the wrong ways to balance the budget.
“The Democratic plan proposes balancing the budget by 2012 only if all the tax cuts over the last six years are allowed to expire,” Inglis said. “On the spending side, they would add $75 billion more in new spending.”
The tax cuts that would expire under the Democratic budget include reductions in overall tax rates, the child tax credit, the marriage penalty relief, the death tax relief, and the capital gains and dividend tax reductions.
Over five years the tax increase would total $393 billion - among the largest in history.
“If the Democrats goal is to balance the budget, this isn’t the way to go. Spending restraint coupled with economic growth equals balanced budgets,” Inglis said. “By increasing taxes, they would increase the federal government burden on families and create a huge drag on our job growth.”
If the tax cuts are allowed to expire, the Americans for Tax Reform estimate each South Carolina taxpayer would pay on an average of $2,482 more in taxes by 2011.
Other impacts include (cost estimates provided by the US Department of Treasury):
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Would affect more than 5 million individuals and families who previously owed no taxes would become subject to the individual income tax in 2011 if Democrats are successful in raising the 10% tax rate bracket to 15%, and reducing or eliminating other low-income tax benefits.
About 23 million taxpayers would see their taxes increase, on average, by $466 in 2011.
- Raising the 10% Tax Rate Bracket to 15%
- Eliminating Marriage Penalty Relief
- Cutting the Child Tax Credit in Half
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About 31 million taxpayers would see their taxes increase, on average, by $859 in 2011.
Inglis supported a budget submitted by U.S. Rep. Paul Ryan (R-WI) because it extends the tax cuts and includes approximately $279 billion in savings and reforms to entitlement programs.
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House approves Rex-backed school choice bill and rejects voucher, tax credit add-ons
FOR IMMEDIATE RELEASE
Thursday, March 29, 2007 / House vote on school choice bill
COLUMBIA * The South Carolina House of Representatives today approved a public school choice bill backed by State Superintendent of Education Jim Rex after rejecting repeated attempts to add voucher and tax credit amendments to the legislation.
Today’s 69-53 vote on the House bill gives Rex’s proposal considerable momentum going into the Senate, where a similar bill enjoys strong bipartisan support.
“We live in a world full of choices, and it’s vital for our public schools to embrace that fundamental truth,” Rex said. “If public schools are going to thrive, we need to offer more choices to parents. And we need to offer them while ensuring that schools remain fully accountable to the public and fully accessible to all children.”
Rex acknowledged concerns about his proposal that were expressed during today’s House debate.
“I understand that there are funding questions still to be answered,” Rex said. “And I certainly understand that for many African-Americans, ‘choice’ is a code word for segregation. But I believe that as we move forward with our phase-in, we will be able to address those legitimate concerns to everyone’s satisfaction. Our General Assembly will be able to monitor the implementation of this from start to finish.”
Rex stressed that his plan’s primary emphasis is on creating more choices for parents within schools and within school districts.
“I believe everyone will benefit from this process, and right now my priority is to get it under way,” he said. “If we wait for every question to be fully answered, if we wait for every “i” to be dotted and every “t” to be crossed, then we won’t ever get started.”
Rex’s three-year plan would phase in a variety of school choice options for parents. As part of his proposal, the Education Department would help local school districts to increase the variety of program options offered to students and to eliminate logistical and financial barriers that can make it difficult for students to move across traditional attendance lines.
When Rex first proposed his plan at a news conference last month, he was joined by representatives of the South Carolina School Boards Association, the South Carolina Association of School Administrators and the Palmetto State Teachers Association. Lawmakers included Sen. John Courson, chairman of the Senate Education Committee; Sen. Nikki Setzler and Sen. John Matthews, veteran Senate Education Committee members; and recently retired Rep. Ronny Townsend, the former chairman of the House Education and Public Works Committee who initially introduced a school choice bill in the House that would allow transfers across attendance zones and district lines.
Rex’s proposal calls for a three-year phase-in:
Year 1 (staging year) * Rex would restructure the Education Department to create a new Office of Innovation and School Choice, and its first job would be a statewide inventory of existing choice options in public schools. Rex has been leading a series of town meetings across South Carolina to talk about additional program choices that might be made available to parents, including Montessori, single-gender and other options. A pilot project would pair up districts that already offer extensive curriculum and attendance choices * Rex specifically cited Richland District 2 in Columbia * with districts that do not. A second pilot would pair up adjacent districts to explore choice options across district lines. These projects would be used to estimate the costs involved and to resolve potentially complicated funding questions.
Year 2 (in-district implementation year) * Every school district in South Carolina would design and adopt a public school choice plan that includes program options for students at the elementary, middle and high school levels.
Year 3 (open enrollment year) * Open public school enrollment would be offered statewide, along with financial support for low-income parents who choose to transport their children across school or district attendance lines.
Rex thanked legislators who turned back repeated attempts today to attach voucher and tax credit amendments to the public school choice bill.
“Our state cannot and should not create a second state-funded school system, one that is not fully accountable to the public and fully accessible to all children,” he said.
Rex stressed that public school choice, while an important initiative, is only one of his five goals for making South Carolina “the most fairly funded, most innovative, and most choice-driven public school system in the United States.” The other four goals are accelerating innovation, refining the state’s accountability system to ensure maximum results and minimum testing, elevating and reinvigorating the teaching profession, and providing fair and more equitable school funding.
“If we do all of those things in South Carolina,” Rex said, “then I believe we will have the fastest-improving public school system in America.”
Wilson Mourns Passing of Extraordinary South Carolinian
WASHINGTON - Congressman Joe Wilson (SC-02) today extends his heartfelt sympathy to the family, friends, and loved ones of Gene McKay.
“South Carolina has lost a giant in broadcasting with the death of Eugene Klemick, who we all knew as the legendary Gene McKay.
“Gene had a keen insight which produced an instant humorous wit with profound political beliefs and a great love of America. He was a devoted family man and patriot who helped Midlands residents begin each day with cheer. He was a proud Polish-American from Chicago who became beloved in South Carolina.
“As an admirer and friend, our family extends our sympathy to Roni, Katherine, his grandchildren, extraordinary coworkers, and countless friends.”
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Wilson Supports Fiscal Responsibility, Spending Restraint
WASHINGTON - Congressman Joe Wilson (SC-02), member of the conservative Republican Study Committee, today opposed the Democrat FY 2008 budget proposal, offered by Budget Chairman John Spratt (SC-05) on behalf of House Democrats:
“The budget proposal today approved by House Democrats will raid the pocketbooks of American taxpayers, stifle our growing economy, and decrease average American families’ quality of life.
“While claiming their proposal balances the budget, Democrats fail to acknowledge it actually represents the largest tax increase in American history - nearly $400 billion. In my home of South Carolina, nearly 1.5 million taxpayers will face an average tax increase of more than $2,400.
“Democrats should not balance the budget on the backs of American workers. Our thriving economy is a direct result of Republicans’ responsible fiscal policies. Should the Democrat budget proposal be enacted, it is middle-class Americans who will suffer.”
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