In our 2026 legislative preview, we highlighted the 10 issues below as ones to watch in the current session. With our new Statehouse Report Issue Tracker, we’ll update you each week on where they and other emerging issues stand until lawmakers adjourn in May.
1. Income tax cuts: An income tax cut bill passed last year in the S.C. House is being considered by the S.C. Senate Budget Committee. The bill would set rates at 5.39% and 1.99% based on income — lower than the current rates, but taxing more people due to changes in income exemptions and exclusions.
2. Rolling back affirmative action and DEI: Several bills are currently awaiting consideration, including one to codify Gov. Henry McMaster’s executive order ending affirmative action in state contracting.
3. Juvenile justice: A special committee created by House Speaker Murrell Smith, R-Sumter, is meeting throughout the session to advance reforms to the state’s juvenile justice system.
4. Highway reform: The House Ad Hoc SCDOT Modernization Committee met this week to begin finalizing recommendations to send to the full House.
5. Fix the pay raise: When the S.C. Supreme Court last year struck down an increase in lawmakers’ “in-district expenses” stipend, the decision also incidentally killed the $1,000 a month that legislators were already receiving. This week, lawmakers made it clear that when they retroactively restore those payments, former Rep. R.J. May, who was sentenced to 17.5 years in prison on Jan 14, would not benefit.
6. Judicial selection: A bill with the support of leaders in both chambers would give the governor more power in selecting state judges. It’s currently awaiting action in the House Judiciary Committee.
7. Abortion: A House Judiciary subcommittee on Jan. 14 killed one bill to treat abortion as homicide and advanced another to reclassify abortion pills as Schedule IV drugs.
8. Concurrency: A bill by Beaufort GOP Sen. Tom Davis that would allow local governments to limit development in areas with insufficient infrastructure is pending consideration in the Senate Labor, Commerce and Industry Committee.
9. DOGE SC: Multiple bills promising to cut the state workforce and the regulations they enforce have been introduced for consideration in 2026. House leaders have pledged to pass their “Small Business Regulatory Freedom Act” this session.
10. Immigration: Currently in the House Judiciary Committee, H. 4764 would require all S.C. sheriffs to partner with the federal government to enforce national immigration laws.
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