By FITSNews || South Carolina revenues are down by 6.4 percent – or nearly $250 million – from last year’s levels, S.C. Comptroller General Richard Eckstrom reported Friday.
In fact, for the month of February, revenues were down $65.7 million compared to February of 2009.
That’s an accelerated decline from December 2009, the last time Eckstrom provided an update on the state’s financial situation.
“February’s steep drop in revenue reaffirms the need for state leaders to proceed with extreme caution with regard to spending,” Eckstrom said. “Given this uncertainty, I’d advise state agencies to spend very, very carefully, and perhaps, out of an abundance of caution, consider leaving some funds unspent because of additional budget cuts that could still be necessary between now and the year end.”
Last December, the S.C. Budget and Control Board order a 1.1 percent across the board cut to the state’s $20.5 billion budget. South Carolina began the current 2009-10 fiscal year with a $20.7 billion budget – the second largest in its history.
That budget is now down to around $20.1 billion.
In addition to shortfalls for the coming budget year, South Carolina has depleted its reserve funds and faces an unconstitutional $100 million deficit from the 2008-09 fiscal year.
The state also owes more than $700 million to the federal government for money it borrowed to pay unemployment benefits.
WEB EXTRA
Eckstrom Letter To S.C. Lawmakers
By Commonman March 5, 2010 at 12:00 pm
Eliminate Budget and Control Board and save millions in salaries, just from executive staff. Just a thought
By mohanna March 5, 2010 at 1:22 pm
OK, so for the past 7 years S.C. (Sanfraud years) we have only concentrated on his Running For President? The effect of Sanfrauds time as Governor will reverberate for generations to come.
By Ynotfirst March 5, 2010 at 1:46 pm
cut all legislative salaries.
cut all elected salaries too.
By No Name March 5, 2010 at 2:11 pm
This is a lie ….it…the revenue line is much worse than this and he and Rainman are not telling anyone the truth. The trend is also much worse as a real projection.
The pension assumption is also way out of wack with what is possible….it should be 3.5 so the fires are burning out of control.
Hey SC Tea Party……try focusing on our back yard first cause we can not do anything about Benanke and Barry.
By RuhRoh March 5, 2010 at 2:46 pm
Hmmmm. What to do? When in trouble, it’s best to look to Washington for guidance. I suggest the Bush Republican strategy. Tell everyone to go shopping and cut taxes on the wealthy.
Well, no . That didn’t turn out so hot.
How about borrowing money and creating some more government programs to take care of everyone that is losing their jobs? And at the same time, giving the low to average wage earners a small tax break?
Oh crap. That doesn’t seem to be working so well either.
By John March 5, 2010 at 3:34 pm
Hmm, but in 2000, Video poker revenues for the state were $60mil. The last year it was legal. We’ve missed out on over $600,000,000 in revenue in the past 10 years all because of religious fundamentalism. Go SC!
By conservative republican March 5, 2010 at 4:09 pm
“Hey SC Tea Party……try focusing on our back yard first cause we can not do anything about Benanke and Barry.”
Hey no name, you’re exactly right pal, “All politics is local”. When the tea partiers figure that out, we’ll have an awesome force for reform.
By Martha Washinton March 5, 2010 at 8:18 pm
So….We gave most of our labor jobs to the illegal aliens from Mexico (64%) and others. So people who might buy things that generate sales taxes aren’t spending. Then we are in debt to the Feds who are in debt to the Chinese and others. Mexicans and Chinese afre more important than Americans-that is the message I’m getting loud and clear.
Then if you are Hispanic, you not only get a cash-paying job (usually) you also get help from SC social serices, free medical and free education. If you are Black, you qualify for the ongoing quotas that never end and the rewards of reparations hidden in the Obama Administration programs. If you are white, you lost your job, got overlooked for unfair preference of a Hispanic or Black (regardless of skill level and experience) and are called a racist and a bigot and are ‘dared’ to complain about it.
The media reports that “we aren’t spending enough” (to take care of the illegal aliens I guess) so the SC DOR is short.
Hmmmmm……let’s get rid of quotas, preference for aliens, and hire on skill level. Then maybe my storefront business can make more than 971. in February, I can keep the door opwn, and pay more taxes to help the great state of SC fund their social service programs. The sad thing is, being self-employed, i will never be able to cash in on the billions borrowed for unemployment-but I will get to pay for it.
By James the Foot Soldier March 5, 2010 at 11:15 pm
ynotfirst: you’re on the right track but I have a better proposal:
CUT the number of legislators in half.
By No Way! March 6, 2010 at 10:28 am
Agree fully with Martha Washington above!
By eazy-e March 6, 2010 at 9:57 pm
Martha, maybe you made $971 because you suck and your business sucks. Its clear that your skill level is below the mexican that made more than you in feb. Plus, fuck all yall, switch!!
By Charles March 7, 2010 at 7:49 pm
All you so called free traders need to stop blaming the Mexicans. You gave away all the manufacturing jobs that pay more than minimum wage to China. We’ll make the big bucks you said, and let the Chinese work in sweat shops and sell us cheap goods, via Wallmart, Kmart and Costco. After all, wasn’t it the Bush Administration that said outsourcing jobs was good for America?
Well how did that work out for us? Well, the Chinese are working in sweat shops and trying their best to sell us all the cheap goods they can ship, but we don’t make enough money to buy their cheap goods anymore because we don’t have any jobs. But we need their cheap goods to survive, so we borrowed money to buy their cheap goods. Now we are almost out of borrowing power. So what are our options? Nothing, we can sit back and watch our standard of living collapse until Americans are forced to work in sweatshops to survive. Then maybe the Manufacturing jobs will come back, and we can sell cheap goods to our Chinese bankers. Unfortunately, I doubt the Chinese will let another country take their Manufacturing jobs. They won’t play the free trade game.
Somehow Americans forgot a fundamental of economics. There are only three real producers in the world, farmers, miners, and manufacturers. All other jobs either service those producers or distribute their products. If you lose anyone of the three your economy will become unstable. We have lost manufacturing, and until we get it back, if we ever do, our standard of living will continue to decline.
Oh, and you don’t have to worry about the Mexicans any more. We don’t have any jobs for them either.
By beetrave March 8, 2010 at 7:49 am
Charles, I agree with much of what you say, but efforts to hollow out our manufacturing sector are not limited to one party. NAFTA was enacted under the Clinton administration, which many readers here would call a horribly “liberal” cabal of socialist goat molesters.