The state’s top financial leaders say they plan to pay back $155 million in debt by borrowing from rainy-day accounts for the next three years.

Gov. Mark Sanford and the other four members of the State Budget and Control Board announced a plan Tuesday at a rare news conference. The state needs to pay debt it has been carrying since the fiscal year before last.

The Budget and Control Board proposes taking $50 million in general reserve funds this fiscal year, then $50 million in capital reserve funds next fiscal year and the year after. It also would set aside some tax revenues to pay the money back.

The plan requires legislative approval. It presumes the state would not need those reserve funds this fiscal year or in the future.

The board says the plan signals that state leaders are ready to pay the debt.

But Sen. John Land, D-Clarendon, said reserve funds will have to be replenished, which means less money for education and other services. “Any way you look at it, it’s borrowing from Peter to pay Paul.”

— Valerie Bauerlein