Senators got disgusted with one another, threw up their hands and
went home Thursday night, closing the books on a state budget that
would lower education spending to historic levels, eliminate the
SilverCard drug program and cut health care for 43,000 children.
Senators were close to agreement on a cigarette tax increase to
raise $170 million for Medicaid, the health care program for the
poor and elderly. But negotiations broke down abruptly and angrily,
and senators left 10 minutes later.
The fight was over Gov. Mark Sanford's requirement that raising
the cigarette tax be accompanied by lowering the income tax. Sanford
had lobbied hard for his plan through the week, visiting the Senate
antechamber a half-dozen times and visiting senators in their
Gressette Building offices.
But he left Thursday afternoon on a plane to Bermuda to attend
the conclusion of a Charleston-to-Bermuda yacht race.
Democrats said they could not accept lowering the income tax by
the amount Sanford wanted, and were unsure whether he would accept a
lesser amount.
Democrats like the idea of lowering the income tax, but worry
about taking too much tax money out of programs for schools and
other government needs, said Sen. Tommy Moore, D-Aiken.
"If I were going to give some constructive criticism, it's that I
wish the governor was here to help us work this out," Moore
said.
Overall, he said the breakdown was disheartening. "We talk about
Medicaid and all the recipients and all the providers. It's not dead
yet, but it's in critical condition."
Senate Majority Leader Hugh Leatherman, R-Florence, said Moore's
argument was hogwash.
The governor notwithstanding, Democrats had been resisting
compromise for weeks and continued to, at the expense of the poor
and the sick, he said.
"We're at an absolute impasse," Leatherman said. "There's no
point in staying here if we're not going to be able to meet the
needs of Medicaid."
The bottom line? The Senate had agreed Wednesday to spend three
days trying to reach a compromise on raising taxes. They gave up
after one. Leatherman said perhaps the Senate can reconsider raising
the cigarette tax next week, but it would have to be in legislation
other than the budget.
This leaves health care in an unprecedented bind, said Robert
Kerr, the director of Health and Human Services, the Medicaid
agency. Without the $170 million a cigarette tax would have raised
for Medicaid, the state will miss out on $400 million in federal
matching funds - money used to pay doctors, nursing homes and other
providers.
But most important, Kerr said, the agency will have to cut entire
programs. That means not paying for: SilverCard, which helps 66,000
seniors buy prescription drugs; CHIPS, which provides health
insurance for 43,000 children; 6,000 nursing home beds; and
prescription drug benefits for many Medicaid recipients.
"We just hate to see people lose health care who need it most,"
Kerr said. "They're the ones who can least afford it, and they have
no one to speak for them." The legislative day was filled with
impassioned speeches.
Leatherman said the "blood of the poor and the weak will be on
the hands" of those who did not fund Medicaid. Sen. Verne Smith,
R-Greenville, implored people to "care about the raggedy children
and those frail old people in the nursing homes."
But the day was also filled with frustration and raised voices -
characteristic of the three weeks of budget deliberations. Smith
chastised another senator for talking during his speech. Each side
accused the other of being obstructionist.
Sen. John Kuhn, R-Charleston, skipped his 5-year-old daughter's
graduation ceremony to work on the budget, but said he did not
appreciate jokes from senators urging him to leave. His colleagues
had teased him because Kuhn often takes the floor to speak.
"It's not fun to make a telephone call to tell her why I can't be
there," Kuhn said. "It's really not fun to have you all pour salt in
those wounds."
The one area of consensus was grumbling about Sanford.
Republicans muttered their disapproval, but Democrats voiced theirs
more loudly.
"We're here working; people are missing their daughter's
graduation," Ford said, "And the governor put on a pair of short
pants and a white T-shirt and took off to Bermuda? Nah. You can't do
that."
Sanford spokesman Will Folks said, "I think it's more than a
little disingenuous for someone to blame the governor for their own
inability to compromise."
Next week brings more budget wrangling. The House and Senate will
appoint a joint committee to work out differences in their
respective budgets. That conference committee could start work as
early as Wednesday, Leatherman said. Ideally, he said, the budget
should be done by June 5, the last day of the legislative
session.
However, legislators are warning a two-week extended session is a
strong possibility as it normally takes more than a week for the
House and Senate to work out its budget differences.