COLUMBIA -- Gov. Mark Sanford on Wednesday unveiled his $5.3 billion budget proposal for the next fiscal year, an ambitious plan aimed at saving taxpayers money and time.

The governor's budget, which serves as a recommendation to state lawmakers who ultimately will craft the state's fiscal plan, doesn't include any tax increases and would give the biggest chunk of South Carolina's money – $1.9 billion – to elementary through high school education.

That's an increase of about $100 million over what's allocated in the current budget. The next largest amount, $1.1 billion, would pay for health services, including Medicaid.

Unlike traditional budgets drafted by the Legislature, Mr. Sanford proposes earmarking money directly to specific activities, such as cancer research , rather than simply giving money to a state agency and having its officials allocate the money.

"At the end of the day, consumers of government don't care about which agency is providing which activity," Mr. Sanford said during a news conference. "What they care about is the actual activity and does it work in improving their life."

The governor said his budget proposal, the second one he's provided since taking office, would save taxpayers $160 million through restructuring and the elimination of duplicated services.

He would, for example, allow boat owners to register their water craft with the Department of Motor Vehicles instead of the Department of Natural Resources. The move would save time and money, the governor contends, because the DMV recently spent $50 million on computer services to speed up registration and has 60-plus offices across the state, compared with just five DNR offices capable of registering boats.

For boat owners in Aiken, the switch would mean they could register boats at DMV offices in Aiken and North Augusta, rather than mailing their applications to Columbia.

The governor also has proposed adding 425 law enforcement officers and purchasing new police equipment, which would be paid for in part with money saved by eliminating less-needed services within crime fighting agencies.

The 300-page document is ambitious, given the governor's past success with the Legislature and getting initiatives he supports passed – only three of 16 made it through last year. Plans to reduce the state's income tax from 7 percent to 4.75 percent and restructur e government, which are both in the budget, were both shot down last year.

Officials estimate that Mr. Sanford's income tax reduction plan would cost the state about $7 million in revenue during its first year. The governor counters that dropping the income tax also would attract retirees, who are a major source of income for cities such as Aiken and McCormick, which is nestled near Lake Thurmond. He argues that the state's pleasant climate makes it a haven for retirees , who have money to spend, are likely to have health insurance and already have completed their schooling, making them less of a burden on the state.

"They're almost cost free," he said.

Though lawmakers applauded Mr. Sanford for presenting a thorough budget last year, only some ideas were ultimately included in what the Legislature passed. That's likely going to happen again this year, said state Rep. Robert "Skipper" Perry, R-Aiken, the vice chairman of the Aiken County legislative delegation.

"He's not going to get his budget passed just by handing it to us," he said. "We just have to see."

Reach Josh Gelinas at (803) 648-1395, ext. 113, ormailto:%20josh.gelinas%20@augustachronicle.com.