McMaster Backs Sanford On “Stimulus” Funds

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S.C. Attorney General Henry McMaster has issued a non-binding, 17-page opinion stating that only Gov. Mark Sanford can claim $700 million in federal “stimulus” funds currently designated for South Carolina.

“Federal law bestows upon the Governor, as chief executive of the State, the discretion as to whether to apply for these funds,” McMaster’s opinion states.

Any attempt by state lawmakers to claim those funds would have no “force of effect of law,” McMaster added, although he refrained from taking a position on whether or not he thinks Sanford should take the money.

McMaster’s decision – which was requested earlier this month by Senate President Glenn McConnell – is the latest bombshell in an ongoing political battle that has seen numerous volleys fired back and forth over this pot of would-be bureaucratic monies.

South Carolina’s state and local governments are already getting an estimated $7.3 billion in grants and other programmatic monies from the bailout (funds Sanford cannot touch), but this $700 million is exclusively up to the governor to request.

Here’s a brief recap of how we got here …

Even before it passed, U.S. Rep. Jim Clyburn successfully inserted a provision into the ginormous federal bailout permitting state lawmakers to claim the funds over the objection of individual governors.

Shortly thereafter, U.S. Sen. Lindsey Graham said that Clyburn’s amendment was unconstitutional – an assessment McMaster obviously agrees with.

Sanford, for his part, wrote President Obama earlier this month asking to use the money to pay down state debt, which Obama refused via a TV attack ad.

As the deadline for requesting these funds has approached, government bureaucrats have grown increasingly shrill in leveling a barrage of taxpayer-funded attacks on Sanford, while the governor and his allies have said that the so-called stimulus will actually end up costing South Carolina jobs, not creating them.

Then we have McMaster’s political calculations to consider.

As an all-but-announced candidate for governor, this is a decision that Republican primary voters were no doubt watching very closely, although at this point all McMaster has done is rule on the issue of the law, not the merits of taking the money.

WEB EXTRA:

McMaster’s Opinion

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Comments

  1. By Darth March 31, 2009 at 4:44 pm

    WAAAHHHH, I wanna claim that lottery tickey, I can squander it better than the legislature.

    I can start building a new Death Star behind the Round House on the USC campus, that would rouse less suspicion than behind the diary barn at MOO U…

    Maybe with 700M I could buy Howie Rich, whatcha think Gervais?

  2. By Doh! March 31, 2009 at 5:47 pm

    Looks like Sanford really got played. Stating publically that he would not accept the money when everyone thought he had no authority to reject, Sanford was pandering to the national base for 2012, he could campaign saying “I tried to reject the stim money, but they forced SC to take it.” That looked great when Obama rejected him twice. Now, if McMaster is correct, Sanford has two options: (1) flip-flop and take the money (and lose all cred with the fiscal base) or (2) reject the money and be hated by everyone in SC because whether or not you agree/disagree with the stim spending, as a federal taxpayer living in SC, I am paying the stim taxes whether the comes to SC or goes to NY, so why make me pay for New York schools?
    Reading between the lines, McMaster must hate Sanford for exposing him to the certain upcoming hate/ridicule, what is the general word on that relationship?

  3. By BIN News Editorial Staff March 31, 2009 at 6:08 pm

    You’d get a second opinion before major brain surgery. Get one on this. Anyone with a brain knows our gub’ner is playing games.

    And get this. The S.C. Policy Council (you know, that independent stink tank) agrees with our gub’ner. Stunning! ;)

    Time to take the money, and move on. Markie has milked this enough. He’s sure to get the V.P. nomination next time: Palin-Sanfraud

  4. By Mab March 31, 2009 at 6:11 pm

    Doh? The general word is that McMaster wants his job, dude.

  5. By Statehouse Watcher March 31, 2009 at 6:21 pm

    Doh, you don’t know Mark Sanford. You really think he minds being the one who turns off the faucet? You think he simply wanted to make a rhetorical point and have the legislature spare the pain? Hell, no. He will pull wood on this. You haven’t been paying attention.

  6. By James the Foot Soldier March 31, 2009 at 9:31 pm

    BRAVO Henri!

    When this charade winds its way to the US Supreme Court you’ll have a favorable panel backing your opinion.

    Congressman Clyburn will be further exposed as nothing more an ATM machine – great career to look back on, eh sugar-daddy?

  7. By Secessionista March 31, 2009 at 9:34 pm

    Few of the loud-mouth woeful and whiners obviously have paid no attention to history, which like a swollen river, will wash us of its disasters lest we install the levies. Should we cave to this federal extortion, we might expect the White House to remove and imprison those state officials who disagree with them (see Maryland history when its members were jailed when they refused Lincoln’s edicts — albeit on emotinally-charged, awful slavery issue that overshadowed states’ rights and the treatment of them as foreign nations). Are we becoming like those Third World nations we feed billions to while they extend one hand for the taking and a sword in the other? Lord forbid the little we have in exports are tarriffed by union-ruling states in this day. Fire another shot from Fort Sumter, boys. I’ve got my powder dry.

  8. By anonymous April 1, 2009 at 12:04 am

    Senate Finance Committee Chairman Hugh Leatherman said he’d now have to write a budget without the stimulus cash because of the potential legal challenge. That budget would cut public school spending by $161.6 million, college spending by $44.2 million and law enforcement and public safety agency budgets by $39.4 million.

    “Based upon what we’ve heard this morning, if this governor can be so callous and so hardhearted to not draw down these funds for the benefit of our people, in my opinion, the governor has absolutely no interest in this state and the people that he governs,” said Leatherman, R-Florence.

  9. By Bill April 1, 2009 at 6:45 am

    I would rather cast my lot with Mark Sanford and Company, than Jim Clyburn and his.

    We are losing our freedoms on a daly basis, and this debt (and other new debt as well) is no different than an invading army. They both will leave us poorer, less free, and less American.

  10. By anonymous April 1, 2009 at 9:12 am

    OBAMA LETTER TO SANFORD: IF YOU DO NOT APPLY FOR FEDERAL STIMULUS FUNDS, MONEY WILL NOT BE THERE

    Among the numerous rumors swirling around Columbia is a report that President Barack Obama has told Gov. Mark Sanford that if he does not apply for federal stimulus funds, the money will not be available for South Carolina.

    And The Palmetto Scoop has now confirmed that Obama has, in fact, sent Sanford a very blunt, personal letter saying just that.

    The correspondence reportedly states that roughly $700 million in discretionary stimulus money allocated for South Carolina will be revoked on Friday if Sanford declines to accept the funds and that, by law, no alternative options can be accepted.

    Take it or lose it
    http://www.palmettoscoop.com/2009/03/31/take-it-or-lose-it/

  11. By Not Sayin', Just Sayin' April 1, 2009 at 12:23 pm

    The White House is now saying only governors can accept stimulus money, and that a legislature can’t bypass them: http://www.thestate.com/breaking/story/734608.html

  12. By anonymous April 1, 2009 at 2:35 pm

    From the Senate finance committee meeting today. What will happen if Gov. Sanford does not take the money? Unprecedented budget cuts, which will mean:

    3,000 – 6,000 teachers fired
    500 social workers fired
    3100 inmates released, some violent offenders
    3 prisons closed
    Elimination of after-school, early intervention, and theraputic childcare programs
    35 SLED officers let go
    35 state troopers let go
    30+ county extension agents let go
    15 county extension offices closed
    And this is just a small picture of what was handed down today….The senate finance committee chairman called the results of Gov. Stanford’s stand-off “financial armageddon” and theorized that the people of South Carolina will march on Columbia.

  13. By John April 2, 2009 at 2:28 pm

    What a wonderful State we live in as the Legislature now prepares for a 9.5% across the board budget cut. Prisoners on the street. Teachers out of work. All the while, Markie tries to sell the $3.5 mm beach house, and drives a tractor on the plantation. Remember “Hoover-villes” we’ll have “Sanford-villes” Good job Markie! Congrats.

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