Already facing an unconstitutional deficit of nearly $100 million from the previous fiscal year, South Carolina’s fiscal leaders ordered state agencies to cut $238 million from their current budgets Tuesday afternoon.
That’s the second cut in three months, although the current state spending plan remains the second-largest in state history.
The S.C. Budget and Control Board voted 3-2 to order the controversial “across the board” cut – which amounts to roughly a 1.1% reduction of the state’s current $20.5 billion budget for FY 2009-10.
Mainstream media are referring to the reduction as a 5% cut, but their figures only take into account general fund dollars – which represent less than a third of state revenues.
Voting in favor of the cut were Gov. Mark Sanford, Comptroller General Richard Eckstrom and – in a bit of a surprise – State Treasurer Converse Chellis, who proposed the $238 million reduction. Voting against the cut were S.C. Senate Finance Chairman Hugh Leatherman and House Ways & Means Chairman Danny Cooper – the board’s two legislative members.
“Somewhere we’ve got to stop the overspending,” Chellis said.
Wow. That’s pretty tough talk coming from a guy who six months ago agreed to fund a $9.2 million bailout of a privately-owned maritime museum.
South Carolina began the current fiscal year with a $20.7 billion budget – the second largest in its history. After the first round of state revenue estimates came up short, however, this same board ordered a $200 million cut.
Tuesday’s cut takes the total 2009-10 budget down to around $20.2 billion, although more reductions are likely given the state’s deteriorating revenue situation – which is being driven by a 12% unemployment rate and non-existent income growth.
Well, unless you’re a government bureaucrat.
Interestingly, two of the whiniest sectors of state government – K-12 and higher ed – have seen their budgets soar to record levels in spite of the recessionary economy.
Last year, lawmakers overspent by $339 million – of which they have paid back around $240 million by raiding the state’s two primary reserve funds. That still leaves an unpaid tab of $98 million. Meanwhile, South Carolina currently owes the federal government hundreds of millions in unemployment loans.
By kyle December 15, 2009 at 5:32 pm
And sweet-faced danny boy is getting a public policy award tonight. south carolina…smiling faces, stoned on our own egos. too drunk to impact any change for the good of our citizens.
That guy is too dumb to get to a cock fight. He’s to busy playing with it.
By Cancerman December 15, 2009 at 6:45 pm
If our wonderfull lawmakers stop funding pet projects like the Hunley and other bloated shit and stick to funding core services and paying these folks a decent salary like teachers firemen and law enforcement we would not be in this shit, not to mention shticanning video poker and other revenue sources.
By No Way! December 15, 2009 at 9:17 pm
I am wondering when we at MUSC will hear of the job cuts coming down the line. Got an email from Greenberg a few days ago thanking us all for the hard work. Will the firings start soon?
December 14, 2009
Dear Colleagues and Friends:
As the holiday season approaches, we are reminded of the importance that families play in our lives. When most of us think of our family, we are inclined to think of loved ones at home. Of course, each of us also is part of a family here at the Medical University. It is in that spirit that I write to thank all members of the Medical University family for what you have accomplished, individually and collectively, this year. Without question, we, like so many others, faced a year of great challenge. As 2009 comes to a close, however, we have a far better sense of the strength of this institution and the dedication of the people who work here.
A year ago, it would have been bold to predict that within a few months our faculty would compete successfully for National Cancer Institute designation, a Clinical Translational Science Award, the largest award from the National Science Foundation ever to South Carolina and a record level of research funding. Later this week, we will join our partners, the City of Charleston and the South Carolina Research Authority in opening a research incubator that commercialize ideas generated at the Medical University and elsewhere, creating new jobs for the region.
This year, we opened a beautiful state-of-the-art clinical facility for the College of Dental Medicine, and new doctoral degree programs were launched in Nursing and Health Professions and the preclinical curriculum in the College of Medicine was completely revised. Considerable progress also has been made in promoting interprofessional education on campus. Our educational efforts are going global through initiatives in China, Singapore and India, and faculty members are developing outreach efforts in Ghana and Tanzania, among others.
Our hospitals are full to overflowing and less than two years after the opening of Ashley River Tower we are looking at ways to increase our capacity further. Through telemedicine, our specialists are providing mental health services to veterans in three states and our faculty members are providing consultations for stroke, high risk pregnancy, and soon trauma and sepsis to some of the most medically underserved parts of South Carolina. At the same time, our clinicians are winning national accolades for the quality of care delivered in rheumatology, digestive diseases, pulmonary medicine, nephrology, gynecology, otolaryngology, pediatric and adult heart disease, and stroke care. Measures of quality of care and patient satisfaction continue to place us among the leaders in academic medicine.
All of this progress comes at a time when we are acutely aware that many South Carolinians, including members of the MUSC family, continue to face challenges because of the struggling economy. Now is a time when we need to reach out to one another in appreciation and in the hope that together, we can build a brighter future for all of the people of our state. May the holiday season bring you and yours happiness and good health.
With best wishes,
Ray Greenberg, M.D., Ph.D.
MUSC President
By No Name December 15, 2009 at 10:37 pm
Repeat it over and over…there is no more money…there is no more money….the economist’s are not only wrong….it should not even be called a science…more like a mental fashion disease.
The underpinning of modern politics….steal the tax revenues and give it to enough friends to stay elected….. fails when you have no more money.
“There is no more money”… and the economy…a creature of Fed stimulus for the last 20 years …..is not coming back either.
Congrats Chellis on finding a back bone…not sure if it will save you politically…but it may help in the mirror.
By Richard December 16, 2009 at 6:50 am
Way to go Harrell and Leatherman! You’re both self indulgent morons. And Harrell, your speech at commencement was laughable on some points (do as I say, not as I do) but the deliver was that of a 6th grade school girl. You’re the Speaker of the House???
By Spok December 16, 2009 at 7:36 am
The Southern Baptist run this state, so any chance is dead of ideas how to fund state government which they hate while they sit in their nice house and tee-off on friday afternoon and laugh at the common folks. Bring back video poker, bring on a lottery for state government, or outsource state government to the fucking foreigners!!
By Tank McNamara December 16, 2009 at 8:37 am
“Mainstream media are referring to the reduction as a 5% cut. . ” Sic, you can call it whatever you want, but the fact is that state agencies have been ordered to take a 5% reduction in their operating budgets, NOT a 1.1% cut. That is a huge difference and it is directly affecting the services that these agencies provide.
By Nathan Earle December 16, 2009 at 2:34 pm
Tank, I can tell you that our family has had to cut its budget by a whole lot more than 5% this year. The public sector is a gigantic (and growing) millstone that has been tied around the necks of working South Carolinians and is dragging us all down.
When are we going to get some real spending cuts? What makes the government (and government bureaucrats and employees and contractors) think that they shouldn’t have to participate in the RECESSION?
By James the Foot Soldier December 16, 2009 at 3:14 pm
oh the horror of the draconian cuts…
Tank – hang on to your seat – next year’s gonna get ugly (if you are feeding upon the swill at the gub’mint trough).
Those of us that work for a living simply will say: IT’S ABOUT TIME YOU GUB’MINT TEET-SUCKERS START SACRIFICING LIKE THE REST OF AMERICA.
By Mike Honcho December 16, 2009 at 9:41 pm
Not enough RINO in this article. You usually crank it up to 11 for budget stories. Especially stories that mention Leatherman, Cooper, and Chellis.
Are you slipping? Are my comments affecting your stories?
Hint: It’s both.
By cooter May 12, 2010 at 1:09 pm
fuck you