The bill H. 5400 seeks to amend Section 4-10-470 of the South Carolina Code of Laws to expand the conditions under which the Education Capital Improvements Sales and Use Tax can be imposed. Specifically, it allows counties that do not meet the existing collection requirements to impose this tax if they have two school districts covering the entire county and are not currently imposing any taxes under this chapter at the time of the referendum.

Additionally, the bill stipulates that if the tax is imposed under these new conditions, ten percent of the proceeds must be allocated for property tax relief by offsetting existing debt service millage on general obligation bonds. The distribution of tax revenue to each school district must be based on an agreement reflected in a resolution approved by a majority of the school district boards. Once a county qualifies and imposes the tax, it will remain eligible to do so in the future. The act will take effect upon the Governor's approval.

Statutes affected:
03/24/2026: 4-10-470
Latest Version: 4-10-470