SCAPA Legislative Update

SCAPA Legislative Update - February 2023

Submitted by Sunnie Harmon and John DeWorken, LobbySC

Infrastructure, Economic Development Highlighted in State of the State

Governor McMaster emphasized the State’s economic development accomplishments in his State of the State Address Wednesday night. Some of those highlights include:

Announcing 120 projects in 2022, creating over 14,000 new jobs with $10B in new capital investment, which is almost two and a half times as much as 2021, including:
- Redwood Materials that invested $3.5 billion in Berkely County, which is the single largest announcement South Carolina’s history
- BMW’s $1.7B investment, which is the State’s second largest investment
- Bosch’s $460M combined investment in Anderson and Dorchester
Quadrupling its foreign direct investment from the previous year

The Governor also discussed investment in infrastructure and economic development, including:

$500M that will allow the SC Department of Commerce to satisfy outstanding obligations without borrowing money
$200M that will allow the department to identify and secure industrial sites
$380M in remaining ARPA funds be used to for sewer and water projects
$850M to continue speeding up road projects, repair or repave local roads and fix over 400 bridges

Among other initiatives the Governor highlighted teachers’ salaries and workforce development, including:

Increasing teacher salaries and making the new minimum starting teacher salary at $42,500. The Governor stated his teacher salary goal by 2026 is a minimum starting salary of at least at least $50,000
$100M to fund the Battelle Alliance (USC, Clemson, SC State and Savannah River National Lab), a nuclear sciences research partnership, which will develop a pipeline of new talent to fill engineering, science, research and management positions

The State of the State Address can be read here.

DOT Highlights 2023 Budgetary Outlook

In a House Ways and Means subcommittee earlier this Session, the SC Department of Transportation discussed its budget. Here are some of those highlights:

DOT is ahead of schedule in its 10-year plan, with 7,000 miles of roads going to contract
Among other areas of focus, it does remain committed to Interstates, including I-26 from Charleston to Columbia and I-95 coming out of Georgia

Its budget requests include:

$1B over five years to repair or replace 1,125 bridges on Interstates and primary roads
Put litter pick-up on the recurring line, with an increased focus
$300M in non-recurring funds to construct I-73 from I-95 to Hwy 501 in Dillon County

Governor Henry McMaster Sworn in

In January, the Honorable Henry McMaster was sworn in again as the Governor of South Carolina. When he departs in four years, he will be the longest serving Governor in South Carolina’s history. Other Constitutional Officers were sworn in, as well, including newcomer Ellen Weaver, who will serve as the State’s Superintendent of Education. To read Governor McMaster comments at his inaugural address, click here.

House Proposes Workforce Reform Bill

Led by Speaker Murrell Smith and Economic and Utility Modernization Ad Hoc Committee Chairman Jay West, a bill was introduced in the House that would make significant changes to the way in which the State administers workforce issues. Here are the highlights of H.3726.

The Office of Statewide Workforce Development Coordination will be created at the SC Department of Employment and Workforce (SCDEW) to provide for a centralized location for workforce development efforts in the State of South Carolina
The bill also moves the SC Coordinating Council for Workforce Development over to SCDEW, which consists of 22 members from the areas of workforce, education, and business, as well as from the Legislature and State agencies

The bill and initiative seek to:

Address skill shortages
Increase information dissemination
Overcome workforce barriers

House Ways and Means Subcommittee Continues Work on Budget

House Ways and Means subcommittees heard from agencies this week as it works to put together the State budget. The House Ways and Means subcommittees will conclude its work in time for the full Committee to take the budget up February 21.

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Sunnie Harmon & John DeWorken

LobbySC

Sunnie Harmon

864.337.1584

Sunnie@LobbySC.com

John DeWorken

864.905.5529

John@LobbySC.com