Happy Thursday and the "Friday" of the legislative week.
The House returns at 10 a.m. and the Senate is back at 11 a.m.
Recap: On Wednesday, the entire General Assembly did what only two state legislatures in the country do: hold judicial elections. There were dozens of races from appeals court to family court, and most of those races were uncontested. A couple of takeaways:
- The 5th Circuit judicial seat (Kershaw and Richland counties) was won by attorney Christopher Taylor, of Columbia. The seat had been open for more than a year after the Republican-controlled Legislature, in a rare move up to then, rejected a candidate who was unopposed. That candidate, former Democratic state Rep. James Smith, was his party's gubernatorial nominee in 2018 and was found qualified by the Judicial Merit Screening Commission.
- In a similar move to Smith's vote last year, legislators, led by the York County delegation, rejected the election of Rock Hill attorney Melissa Inzerillo a public defender, who ran unopposed for the 16th Judicial Circuit and was found qualified by the JMSC. That means the race opens back up. (Read SC Daily Gazette's takeout of the race here.)
Spotted: Scout Motors' vice president of growth Cody Thacker was seen on Statehouse grounds with Scout's in-house and contract lobbyists. Scout and Thacker have been lobbying the Legislature to pass a bill legalizing direct car sales. Without that law, Scout won't technically be able to directly sell to customers because current law requires that car sales go through a third-party auto dealership. Gov. Henry McMaster recently backed the law change, saying he would sign a bill should it cross his desk.
A first: Gov. Henry McMaster joined South Carolina's 10 Native American tribes, one which is federally recognized, as they marked the signing of a first-of-its-kind treaty that will help the tribes better advocate for, in part, land protection. The ceremony outside the Statehouse came one day after the House passed a resolution to expand the Catawba Nation's reservation.
This is The State House Gavel, a daily reporter notebook by reporters Gavin Jackson, Russ McKinney and Maayan Schechter that will preview and capture what goes on at the South Carolina Statehouse this year while lawmakers are in session.
Notebook highlights:
- Energy capacity legislation is still a No. 1 priority for both legislative bodies. While hearings continue, Senate leaders in particular say they're still hoping for a bill this year.
- The Senate's lottery-funded K-12 school voucher bill will likely be tweaked over in the House, potentially forcing the two bodies to negotiate. So what exactly will the House do? We talked to House Education Chair Shannon Erickson.
- What U.S. Sen. Lindsey Graham, now over the Senate Budget Committee, plans to do about budget reconciliation.
And, before we forget, on Wednesday Gov. McMaster swore in Tom Mullikin after he was confirmed by the Senate as the next director of the state's Department of Natural Resources.
"His expertise in environmental law and policy, combined with his proven leadership as chairman of the S.C. Floodwater Commission, makes him uniquely qualified for this role," McMaster said.

Will lawmakers OK an energy capacity bill in 2025?
Should South Carolina allow large energy users to buy energy from out-of-state utilities?
That’s the big question for members of the Senate’s special committee on South Carolina's energy needs.
At least 19 states allow some energy users to select providers that are outside of their traditional utility’s service areas.
If South Carolina should begin some sort transition toward allowing large energy users to exercise “retail choice,” proponents say that could take some of the pressure off of the utilities that serve the state and their needs to bring new power plants online over the next decade.
What some are saying:
- Ken Lott, Santee Cooper’s chief financial officer, told a legislative panel recently that 60% of the state-owned utility’s projected energy needs by 2030 will come from large users, such as data centers and battery makers.
- State Sen. Tom Davis, R-Beaufort, a longtime advocate of “energy freedom,” urged committee members Wednesday to consider allowing so-called “retail choice” for large users to begin on an “incremental basis.”
- John Frick, of the Electric Cooperatives of South Carolina, told Senators that the new energy model being discussed was “setting-off alarm bells” for residential electric customers. Frick said there are many questions centering around unknown cost-shifting that need to be answered.
Like other fast-growing states, South Carolina is facing a growing need for more energy, and the state’s major utilities — Dominion, Duke, and Santee Cooper — are urging lawmakers to allow them to bring new power generation online quicker.
The panel's chair, state Sen. Shane Massey, R-Edgefield, has indicated that the complicated question of “retail choice” will require a third meeting for testimony. Massey said he remains hopeful an energy bill can make it to the Senate floor for debate during the first half of this year’s session.
Over in the House: The House Labor, Commerce and Industry Committee moved Speaker Murrell Smith's energy bill — H. 3309 — to the floor.

House Education takes on K-12 bill
The S.C. Senate finally wrapped up its debate over the K-12 school voucher/scholarship legislation that seeks to fund private school tuition with state Education Lottery dollars.
As brief background: The previous iteration of this attempt, funded by general fund dollars, was overturned by the S.C. Supreme Court, which ruled 3-2 that the law was unconstitutional given the state Constitution says spending public dollars for the direct benefit of private institutions is prohibited.
Reporters caught up with House Education and Public Works Chairwoman Shannon Erickson, R-Beaufort, who made it clear the House will make tweaks to the Senate version, likely forcing the bill to a conference committee negotiation phase.
Catch part of reporters' interview with Erickson below:

Graham takes on budget reconciliation
U.S. Sen. Lindsey Graham has been waiting for a budget reconciliation moment.
And while U.S. House plans flamed out under the weight of one, big beautiful bill (tax cuts and immigration), Graham has decided to pounce and says he will start the complex budget reconciliation process that his Budget Committee is ground zero for next week.
This is an area that Graham has been waiting to deal with for weeks (maybe his entire 30-year career in Congress?) and something reporter Gavin Jackson asked him about last Monday.
On Wednesday, it was official: His committee will mark up the Senate’s Fiscal Year 2025 budget resolution next week.
“To those who believe that Republicans should fulfill their promises on border security, mass deportation of criminal illegal aliens, I agree,” Graham said in a statement. “That is why the Senate Budget Committee will be moving forward next week to give the Trump Administration’s Border Czar, Tom Homan, the money he needs to finish the wall, hire ICE agents to deport criminal illegal immigrants, and create more detention beds so that we do not release more dangerous people into the country."
The government funding deadline looming in March is also adding to Graham’s expedited pace. Meanwhile, recently detained illegal immigrants have been turned back onto the streets since there is no space to house them in many places.
Getting this massive, complex bill through Congress will be a major win for Trump and Graham, who is expected to face primary challengers from his right.
ICYMI: The Graham campaign has continued a steady trickle of news over the past few weeks, from announcing the top guns in his well-oiled campaign machine, to the $15.6 million war chest he has, and, just this week, that two of the state’s most popular politicians, McMaster and Sen. Tim Scott are co-chairs of his reelection campaign.

Daily planner (2/6)
SC House
- 9 a.m. — Blatt 427 *hybrid* — 3-M Military and Veterans Affairs on H.3510, H.3563 and H.3564
Agenda Available
Live Broadcast
Live Broadcast - Audio Only - 9 a.m. — Blatt 108 — Business and Industry Subcommittee of House Regulations, Administrative Procedures, Artificial Intelligence and Cybersecurity Committee
Agenda Available - 9 a.m. or call of the chair — Blatt 215 — Constitutional Subcommittee Meeting of the House Ways and Means Committee
Agenda Available
Live Broadcast
Live Broadcast - Audio Only - 9 a.m. — Blatt 317 — Criminal Justice Budget Subcommittee of the House Ways and Means Committee
Agenda Available
Live Broadcast
Live Broadcast - Audio Only - 9 a.m. — Blatt 516 — Judiciary Constitutional Laws Subcommittee on H.3430 and H.3497
Agenda Available
Live Broadcast
Live Broadcast - Audio Only - 9 a.m. — Blatt 515 — Judiciary General Laws Subcommittee on H.3048, H.3127 and H.3276
Agenda Available
Live Broadcast
Live Broadcast - Audio Only - 9 a.m. — Blatt 318 — Transportation and Regulatory Budget Subcommittee of the House Ways and Means Committee
Agenda Available
Live Broadcast
Live Broadcast - Audio Only - 10 a.m. — House in session
Live Broadcast
Live Broadcast - Audio Only - After House adjourns — Blatt 403 — Economic Development and Utility Modernization Ad Hoc Committee
Agenda Available
Live Broadcast
Live Broadcast - Audio Only
SC Senate
- 8:45 a.m. — Gressette 105 — Finance Property Taxation Subcommittee on S.125 and S.264
Agenda Available
Live Broadcast
Live Broadcast - Audio Only - 9 a.m. — Gressette 209 — Senate Corrections Subcommittee
Agenda Available
Live Broadcast
Live Broadcast - Audio Only - 9:30 a.m. — Gressette 308 — Senate Medical Affairs Subcommittee
Agenda Available
Live Broadcast
Live Broadcast - Audio Only - 10 a.m. — Gressette 105 — Finance K-12 Education Subcommittee Budget Hearing
Agenda Available
Live Broadcast
Live Broadcast - Audio Only - 10 a.m. — Gressette 307 — Fish, Game and Forestry Subcommittee
Agenda Available - 10 a.m. — Gressette 209 — Senate Education Subcommittee on Document Nos. 5318, 5319, 5321, 5359, 5322
Agenda Available - 11 a.m. — Senate in session
Live Broadcast
Live Broadcast - Audio Only - After Senate adjourns — Gressette 308 — Judiciary Subcommittee on S.184 and S.244
Agenda Available
Live Broadcast
Live Broadcast - Audio Only

Statehouse clips from around the state
- SC pulls incentives after battery plant halts plans for $1.5B second factory (Post and Courier)
- Trump tariffs: SC trades more with Mexico, China and Canada than you may think. See for yourself (The State)
- Q&A: How the SC Senate wants to fund private school scholarships with lottery money (Post and Courier)
- Bill aims to fix SC teacher contracts, reduce burdensome requirements (WIS)
- Federal judge axes environmental rule challenged by SC and other GOP-led states (SC Daily Gazette)
- Charleston attorney Thomas Rode to succeed embattled judge Bentley Price on circuit court (Post and Courier)
- If the U.S. Department of Education is dismantled, what will it mean for SC students? (WIS)
- SC Native American tribes sign treaty promising to work together (SC Daily Gazette)
- 2 federal prosecutors vied for a Richland County judgeship. Here’s who won the election (The State)