744 S.E.2d 521
S.C.2013Background
- Sloan filed a declaratory judgment action in original jurisdiction challenging the constitutionality of S.C. Code § 11-43-140 governing the Transportation Infrastructure Bank Board.
- The Board’s composition is ex officio Chairman of the DOT Commission plus multiple appointive members by the Governor, Speaker, and President Pro Tempore, with two legislators currently serving.
- The Bank is a corporate instrumentality authorized to finance transportation projects, loan funds, issue bonds, and assist government units and private entities in highway/transportation facilities; it has spent nearly $3 billion since 1998.
- Section 11-43-140 has never allowed more than two legislators to serve as Board directors at any time.
- Sloan’s petition argued dual office holding and separation of powers violations; the Supreme Court held Sloan has standing and that § 11-43-140 is constitutional under both challenges.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Does Sloan have standing? | Sloan has public-importance injury; meets public-importance exception. | Standing requires injury or public-interest exception must be narrowly construed. | Yes, Sloan has standing under public-importance exception. |
| Does § 11-43-140 violate dual office holding prohibitions? | Ex officio doctrine does not apply; legislators hold dual offices. | Ex officio exception applies; nexus between general assembly and board exists. | No violation; ex officio exception applies. |
| Does § 11-43-140 violate separation of powers? | Legislators on an executive board threaten branch separation. | Overlap permitted; Tall Tower framework applies; minority legislative presence safeguards power balance. | No violation; composition satisfies Tall Tower criteria. |
Key Cases Cited
- Segars-Andrews v. Judicial Merit Selection Comm’n, 387 S.C. 109 (2010) (ex officio nexus required for dual-office holding)
- Tall Tower, Inc. v. South Carolina Procurement Review Panel, 294 S.C. 225 (1987) (two-part test: legislators minority; cooperative knowledge exchange)
- Ashmore v. Greater Greenville Sewer District, 211 S.C. 77 (1947) (early holding: legislative seats on executive boards generally unconstitutional)
- Edwards v. State ex rel. McLeod, 269 S.C. 75 (1977) (minority legislative membership to provide knowledge; caution on executive control)
- Bramlette v. Stringer, 186 S.C. 134 (1938) (separation of powers critique of legislative delegation of executive-decision functions)