81^st Legislative Session _ 2006

Committee: Senate Commerce

                                            P - Present
                                            E - Excused
                                            A - Absent

Roll Call
P    Abdallah
P    Kelly
P    Koetzle
P    Schoenbeck
P    Sutton (Dan)
P    Broderick, Vice-Chair
P    McCracken, Chair

OTHERS PRESENT: See Original Minutes

The meeting was called to order by Senator Broderick, Vice Chair.

MOTION:     TO APPROVE THE MINUTES OF JANUARY 24, 2006.

Moved by:    Abdallah
Second by:    Sutton (Dan)
Action:    Prevailed by voice vote.

         SB 89: require the offering of assisted living facility benefits to certain persons with long-term care insurance.

Presented by:    Senator Royal "Mac" McCracken
Proponents:    Randy Moses, Division of Insurance
        Mark Deak, SD Health Care Assn.

Senator McCracken introduced Amendment 89ja.

MOTION:     AMEND SB 89

89ja

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     On the printed bill, delete everything after the enacting clause and insert:

"
     Section 1. That chapter 58-17B be amended by adding thereto a NEW SECTION to read as follows:

     The Division of Insurance shall conduct a study of long-term care insurance in this state to determine the extent to which long-term care policies have been issued which do not contain assisted living facility benefits. The study shall include information as to the cost of adding assisted living facility benefits to long-term care policies and the potential premium impact it may have on other insureds. A report shall be made to the Legislature no later than December 1, 2006."

Moved by:    Kelly
Second by:    Abdallah
Action:    Prevailed by voice vote.

MOTION:     DO PASS SB 89 AS AMENDED

Moved by:    Schoenbeck
Second by:    Kelly
Action:    Prevailed by roll call vote.(7-0-0-0)

Voting Yes:    Abdallah, Kelly, Koetzle, Schoenbeck, Sutton (Dan), Broderick, McCracken

MOTION:     TO AMEND TITLE OF SB 89

89jta

     On page 1, line 1 of the printed bill, after " require " insert "the Division of Insurance to study".

Moved by:    Kelly
Second by:    Schoenbeck
Action:    Prevailed by voice vote.

MOTION:     PLACE SB 89 ON CONSENT CALENDAR

Moved by:    Kelly
Second by:    Schoenbeck
Action:    Withdrawn.

The gavel was returned to Chair McCracken.

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The Chair deferred SB 130 until Tuesday, January 31, 2006. The chair deferred SB 192 to another day.

         SB 108: revise certain provisions defining employer contributions that are not deemed to be wages.

Presented by:    Senator Brock Greenfield
Proponents:    Pam Roberts, Secretary, Department of Labor

MOTION:     DO PASS SB 108

Moved by:    Kelly
Second by:    Schoenbeck
Action:    Prevailed by roll call vote.(6-1-0-0)

Voting Yes:    Abdallah, Kelly, Schoenbeck, Sutton (Dan), Broderick, McCracken

Voting No:    Koetzle

         SB 133: revise certain provisions relating to charges associated with installment sales contracts.

Presented by:    John Brown, SD Consumer Finance Assn.
Proponents:    Curt Everson, SD Bankers Association
        Myron Rau, SD Auto Dealer's Assn.

Mr. Brown distributed Amendment 133ja.

MOTION:     AMEND SB 133

133ja

     On the printed bill, delete everything after the enacting clause and insert:

"
     Section 1. That § 54-3A-5 be amended to read as follows:

     54-3A-5.   In addition to the finance charge, a creditor may contract for, and receive the following additional charges in connection with an installment sales contract if such charges are itemized and disclosed to the buyer:

             (1)      Official fees and taxes;

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             (2)      Charges for guaranteed asset protection waivers, or credit life, accident, health, loss of income, property, or liability insurance. However any insurance is optional, and the consumer shall be informed, in writing, that any insurance is optional; and

             (3)      Charges for debt cancellation contracts and debt suspension contracts, as defined in § 51A-1-2, if the debt cancellation contract or debt suspension contract is a contract of a depository institution authorized to provide such coverage, and the contract is sold directly by the authorized depository institution or by a retailer acting as an agent for the authorized depository institution. However, any debt cancellation contract or debt suspension contract is optional, and the consumer shall be informed, in writing, that any such contract is optional.

     Any such charges must be disclosed and explained to the consumer prior to signing any agreement to repay a consumer credit obligation. Any such charges must be separately agreed to in writing and separately signed by the consumer. ".

Moved by:    Broderick
Second by:    Schoenbeck
Action:    Prevailed by voice vote.

MOTION:     DO PASS SB 133 AS AMENDED

Moved by:    Broderick
Second by:    Schoenbeck
Action:    Prevailed by roll call vote.(7-0-0-0)

Voting Yes:    Abdallah, Kelly, Koetzle, Schoenbeck, Sutton (Dan), Broderick, McCracken

MOTION:     PLACE SB 133 ON CONSENT CALENDAR

Moved by:    Schoenbeck
Second by:    Broderick
Action:    Prevailed by voice vote.

The gavel was passed to Senator Broderick, Vice Chair.

         SB 155: permit salespersons and broker associates within the same firm to form a business corporation or limited liability company under certain conditions.

Presented by:    Dean Krogman, SD Assn. Of Realtors
Proponents:    Dee Jones Noordermeer, SD Real Estate Commission

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MOTION:     DO PASS SB 155

Moved by:    Kelly
Second by:    McCracken
Action:    Prevailed by roll call vote.(6-0-1-0)

Voting Yes:    Abdallah, Kelly, Koetzle, Sutton (Dan), Broderick, McCracken

Excused:    Schoenbeck

MOTION:     PLACE SB 155 ON CONSENT CALENDAR

Moved by:    Kelly
Second by:    McCracken
Action:    Prevailed by voice vote.

MOTION:     ADJOURN

Moved by:    Broderick
Second by:    Schoenbeck
Action:    Prevailed by voice vote.

Grace Curtis

Committee Secretary

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