Posted on Fri, May. 30, 2003


S.C. budget sent back for revision
All-night conference fails to get plan approved; special session possible after mandatory adjournment

Associated Press

The $5.3 billion state budget that came out of an 11-hour overnight conference committee was scuttled by Senate rules Thursday afternoon after the House adopted it 72-37.

In the Senate, attention was called to words stricken from a tiny, technical budget provision dealing with the state's Palmetto scholarships.

And because of that editing, senators had to send the bill back to the conference committee.

The budget conference committee met until just before 7 a.m. Thursday as the legislature tried to avoid returning to Columbia after mandatory adjournment on June 5.

"That can't happen now because of the mess that's happening in the Senate," said House Ways and Means Committee Chairman Bobby Harrell, R-Charleston. Harrell called it a "meltdown."

Senate Finance Committee Chairman Hugh Leatherman disagreed with that assessment. "I don't think we're in a meltdown. We've had a very difficult four or five weeks here," he said.

Much was up in the air late Thursday, including whether the legislature could adjourn on time. After the budget passes and goes to Gov. Mark Sanford, he has up to five days to veto parts of it. The legislature typically meets immediately after the governor acts to try to override any vetoes. So legislators' calendars will depend on when the budget gets legislative approval and how long it takes Sanford to act.

The House adopted the compromise plan after Democrats heaped criticism upon it.

House Minority Leader James Smith, D-Richland, said it fails to provide enough money for education and will force local school districts to raise taxes or fire teachers.

Under the proposed budget, schools would receive a base student cost of $1,701 per student. Currently the state is spending $1,770 per student.

The Board of Economic Advisors told budget writers earlier this year that $2,201 per student would be required under a state school funding formula.

But doing so would require about $270 million more in state spending.

"Instead of finding stable recurring revenue sources to fund our core priorities, we take federal deficit spending," Smith said.

"That's just not fiscally responsible."

The budget conference committee's budget relied on $265 million in federal money that President Bush signed into law Wednesday in an effort to help ease state fiscal problems.

Harrell said he and Leatherman plan to meet with Sanford to discuss a plan to put more money into public schools.

Sanford said Thursday he wants to keep at least the base student cost at the current spending level of $1,770.

"I still think there's a chance we can move that north, and I think we ought to," he said.

The Senate's fight over the budget plan compromise included objections by Sen. John Hawkins, R-Spartanburg, who wanted to keep a $25 surcharge on traffic and other tickets out of the budget.

The fees add $24.5 million to criminal justice and judicial budgets, but amount to a tax increase, Hawkins said.

"I can't be consistent in my position in voting against all the tax increases that I've voted against and vote for the $25 surcharge, even if you call it a user fee," Hawkins said.

It's unclear how long Harrell, Leatherman and other conference committee members will meet on Monday.





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