The House Ways & Means Committee unanimously approved H4685, lengthening the property tax situs period on boats to 180 days. It now goes to the floor of the House where it will most likely be attached to the BAT bill and passed in early June. This will be a great relief for SCMA members' customers. The exemption for time spent under repair remains in the law.

H4764, the boat titling and registration bill, remains a little bit in limbo and we are waiting to hear what Chairman Witherspoon plans to do with it.

On a new matter, for those who have underground storage tanks, EPA has said that unless SC DHEC's SUPERB Fund (which provides insurance for fuel leaks) receives $40 million over the next 5 years at a minimum rate of $8 million per year, the fund will be declared insolvent. The SC House has put funds in the budget but the Senate has yet to act. Please contact the members of the Senate Finance Committee asking them to fund this. Private insurance is extremely expensive and could drive some retailers out of business.

Chamber's board adopts stances on 3 issues

Published Wed, Mar 12, 2008 12:00 AM

By BEN PILLOW
bpillow@beaufortgazette.com
843-986-5537

The Beaufort Regional Chamber of Commerce's board of directors has unanimously voted to support two multi-county industrial park projects, a change in the state's situs guidelines on boat taxes and improvements to the Atlantic Intracoastal Waterway.

The chamber's directors also favor modifying state law for levying property taxes on boats not used exclusively in interstate commerce. Under current rules, such vessels are taxable in South Carolina if in the state for 90 days or 60 consecutive days a year, regardless of the owner's permanent residence. The board is supporting proposed legislation that would change the situs requirements to 180 total days before a boat is subject to property tax.

Tom Wilson, owner of Port Royal Landing Marina, said the legislation will increase boating tourism in Beaufort County.

"We are losing visitors to other states because of this law," he said.

At its Feb. 28 meeting, the chamber's board also took a position urging federal and state governments to fund dredging and maintenance of the Intracoastal Waterway, a "long-term" issue, said Carlotta Ungaro, president and CEO of the chamber.

Amendment to the Titling of Watercraft and Outboard Motors (Sec. 50-23-295)- Transfer of title to watercraft or outboard motor on which property taxes owed.

A. A certificate of title to watercraft or an outboard motor may not be transferred if the department has notice that property taxes for property tax years beginning after 1999, are owed on the watercraft or outboard motor. If transfer of title has been denied pursuant to this section, a tax receipt on the watercraft or outboard motor from the person officially charged with the collection of ad valorem taxes in the county where taxes are due must be accepted as proof that the taxes have been paid. The bill of sale or title to watercraft or an outboard motor must require certification that property taxes that are due an payable for property tax years beginning after 1999, have been paid and are current as of the date of sale.

B. In addition to any applicable criminal penalties, falsely signing such a certification subjects the person signing the certification to a fee of five hundred dollars and suspension of any title issued in the applicant's name by the department. The title can be reinstated upon proof to the department of payment of all taxes due and payment of the five hundred dollar fee to the department.

C. The county treasurer or other appropriate official annually, or more frequently as the county considers appropriate, shall transmit a list of delinquent taxes due on watercraft and outboard motors to the department. The list may be transmitted in any electronic format considered acceptable by the department.

Sections A and C became effective June 14, 2007; section B becomes effective in 2010.

Subsection B means that if you buy a boat that the seller certified had the property tax paid but when you go to register it, DNR finds the taxes weren't paid, you face the possiblity of having the registration on all your boats suspended until the taxes are paid and you pay a $500 fine. .

SCMA plans to review and if it is warranted, we would want to have an amendment introduced to clarify this --

"HELP SUPPORT SCMA TO KEEP BOATERS INFORMED"

The President’s 2009 Budget Cuts: a crisis for the Atlantic Intracoastal Waterway Congress must increase maintenance funding if the Waterway is to remain open and safe for commercial and recreational traffic

The federal budget for 2009 released by President Bush, Feb. 4 is a discouraging step backward for one of the nation’s most critical waterways, according to the Atlantic Intracoastal Waterway Association (AIWA).

The $2.2 million in the White House budget for the U.S. Army Corps of Engineers to dredge the Intracoastal Waterway through Virginia, North Carolina, South Carolina, Georgia and Florida ignores serious navigation risks that commercial and recreational users of the 1,200 mile water highway face every day and threatens its very future, the association noted.

“The budget is a token amount, given that the Army Corps needs approximately $30 million to properly maintain the waterway” said David Roach, AIWA Chairman and Executive Director of the Florida Inland Navigation District. “The nation’s waterways have been ignored for far too long and the American people already suffer the consequences of neglecting critical infrastructure. The lack of maintenance funding will be catastrophic to the economies of every state along the waterway unless Congress steps in and dramatically increases the President’s proposal as it did last year.”

Roach noted that the Atlantic Intracoastal Waterway brings over $18 billion annually to the state of Florida alone. Studies have shown that the four other states also gain tremendous economic benefit from the waterway.

“Using barges is a much less expensive way to transport commercial goods up and down the East Coast,” said Stephen Furlough, President, of Furlough Marine Management and an AIWA Director. “It reduces highway congestion while being the most environmentally sustainable mode of transport available. Instead of cutting funds for maintenance, the White House should be looking at ways to better use this waterway to serve the nation.”

According to Rosemary Lynch, the association’s executive director, an excellent example is what is called Short Sea Shipping.

“This U.S. Dept of Transportation initiative would create a more efficient shipping system and the East Coast, using the waterway, would be an excellent place to begin,” Lynch said. “It just makes good economic and environmental sense.”

Based in Raleigh NC, the Atlantic Intracoastal Waterway Association, known as “The Voice of the Waterway” promotes the continuation and further development of waterborne commerce and recreation on the Atlantic Intracoastal Waterway of Virginia, North Carolina, South Carolina, Georgia and Florida. The Association advocates for regular maintenance dredging and adequate maintenance to support promote safe, cost-effective navigation.

Questions may be directed to Rosemary Lynch, 877-417-5397 or rosemary@atlintracoastal.org

Other contacts: David Roach, Chairman, (561) 627-3386