2010 LEGISLATIVE AGENDa
The Orangeburg County Chamber of Commerce is committed to being the voice of business in Orangeburg County. The Chamber, through its Division of Public Affairs, recognizes its responsibility to advocate positive solutions on behalf of business and industry to promote economic prosperity in Orangeburg County and to enhance the quality of life for the citizens of the county. Clearly the General Assembly faces challenges related to the economic downturn and lower revenue projections, which are unprecedented in recent decades. The Chamber believes that in this environment it is an opportune time to establish priorities that will promote jobs and prosperity in the future. To assist in the preparation of the 2010 Legislative Agenda, Chamber members were surveyed by e-mail/web for their level of support on anticipated public policy issues.
Taxation and Budgeting
In 2009, the General Assembly created the Tax Realignment Commission to review our state’s system of taxation. The commission will make recommendations to the General Assembly, and the Chamber will monitor the recommendations.
- Make comprehensive changes to our state’s tax system . The Chamber supports a comprehensive review of the state’s tax structure to ensure a pro-growth perspective. An ideal tax policy for South Carolina is a balanced system which taxes wealth (property tax), income (income tax), and consumption (sales tax). The tax system should also be equitable for individuals and businesses.
- Review the 2006-passed property tax reform act to address the cost shift to businesses. Act 388 eliminated the property tax for school operations from residential property but continued the tax for businesses. Over a period of time, property tax increases (unopposed by homeowners) will be assessed on businesses. This will eventually damage our businesses’ ability, as well as our state, to compete on both the national and global levels.
- Establish spending caps on the state budget. The state budget needs to use spending caps to stabilize the budget and to bring predictability to expenditures.
Economic Development
South Carolina’s per capita income is below the national average and Orangeburg County’s per capita income is below the state average with an unemployment rate of over 17% in January 2010. Economic development is important to Orangeburg County and has been given a high priority by the Orangeburg County Legislative Delegation and the Orangeburg County Council. Recent trends and events towards globalization of economic markets have created opportunities for our community. To meet these challenges, the Chamber recommends the following actions:
- Develop infrastructure for potential industry in Orangeburg County. In spite of current economic conditions, Jafza International plans to locate a logistics and business park on 1322 acres near Santee. The estimated investment for the project is $600 million and projected employment of 8,000. An interstate interchange and other infrastructure are needed for the proposed site for the project to become a reality.
- Improve Access to broadband internet in rural areas. Broadband access is critical for business development in rural areas. Government policy and stimulus is needed to provide this access on a statewide basis. During the 2009 legislative session, strides were made in implementing a strategy for rural broadband development. The Chamber will continue to monitor this issue in 2010.
- Expand operations of the state’s port system. South Carolina’s ports are vital for the state’s economic growth. Plans need to developed and implemented to increase the usage of the ports, especially the Port of Charleston.
- Support policies that create adequate and cost-effective energy. Financially feasible energy is a requirement for economic growth. The Chamber supports environmentally responsible nuclear energy usage and to study the possibility of offshore exploration and development.
- Continue reform of the state’s tort system. Reforms should include non-economic damage caps, punitive damage caps, limits on appeals bonds, and seatbelt admissibility.
- Support the Secret Ballot Constitutional Amendment. The federal Employee Free Choice Act would allow “card check” in union elections. The Chamber endorse efforts to ensure that workers maintain the right to cast a secret ballot.
Education/Workforce Development
Highly educated workforce is important for improving the economic conditions and quality of life of a community. A quality educational system from pre-school through college is critical in attracting investment to South Carolina and Orangeburg County.
- Reform the Employment and Security Commission to ensure that taxes that businesses pay into the system are used responsibly. The SC Unemployment Insurance Trust Fund is in serious financial condition. Steps need to be made to insure accountability in the system.
- Fully fund the Personal Pathways to Success. The General Assembly has enacted the Education and Economic Development Act (EEDA), which is now called Personal Pathways to Success. The act is designed to improve high school completion rates and to prepare students for college and the workplace through improved guidance and the curriculum organized by career clusters. The Chamber supports funding to fully implement the Personal Pathways to Success.
- Fully fund the South Carolina Technical College Systems’ ReadySC. This accelerated job readiness program provides industry-wide work force training and training for existing businesses.
- Expand early childhood education. Many at-risk students start school with limited skills and knowledge for success in schooling. The recent court decision on educational funding equity affirmed the need to expand programs for three- and four-year olds to minimize the effects of poverty. The Chamber supports the expansion of well-designed pilot pre-school programs.
- Provide regulatory relief for education, including higher education. Revenue for funding programs, including education, has been diminished in recent years. The Chamber supports efforts to remove unnecessary and outdated burdens from the educational system to allow more flexibility to achieve its mission and to improve overall efficiency.
Health Care
The cost of health insurance has increased dramatically in recent years. A part of the dilemma is a result of cost shifting of uninsured patients. Medicaid for low-income patients is shared between the federal and state governments. For each dollar appropriated by the state, the federal government provides three dollars. Additionally, many employees working for small businesses are uninsured due to the financial burden of small-group insurance premiums.
- Increase the Tax on Tobacco. South Carolina has one of the lowest tobacco tax rates in the U.S. Increasing the tax rate would discourage teenage smoking as well as provide a revenue stream to support Medicaid and/or provide tax credits to businesses to provide health care coverage.
- Increase Support for Health-related Careers. There are critical shortages of health care specialists. The Chamber supports permanent funding of programs to support health-related careers.
Tourism
Although Orangeburg County benefits greatly economically, our area has untapped potential for expanding its tourism industry. Orangeburg County is blessed with a climate suitable for year-round sports activities, a large lake, wildlife, and two interstate highways that can be marketed for increased tourism.
- Ensure that tourism funds reach the local level to promote local tourism efforts. Guests in hotels pay an accommodation tax to promote tourism in the county and city in which the traveler spent the night. There have been proposals to divert these funds to programs on the state level. The Chamber supports the utilization of accommodations taxes to promote the counties and cities which generated the revenue.
- Eliminate the Blue Laws statewide. Lack of Sunday sales prevents Orangeburg County from fully benefiting from tourism by reducing sales revenue and local sales tax revenues. Additionally, current Sunday sales requirements are confusing to businesses and shoppers.
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