"The real issue in the dispute between the Governor and the General Assembly has to do with drawing down approximately $700 million that is coming to the state for education (81.8%) and other public services (18.2%) through the State Fiscal Stabilization Fund.
The public education funds (approximately $572 million) are to be used for elementary, secondary, and post-secondary/college students. Early childhood programs were an area in which the US Congress encouraged expenditure of these funds. The public safety and other services funds were to include assistance for elementary and secondary education, and for modernization, renovations, or repair of public school facilities and institutions of higher education facilities, including modernization, renovations, and repairs that are consistent with a recognized green building system.
There was a provision to allow the SC General Assembly to request the use of these funds if the Governor chose not to do so. This looks doubtful since the SC Attorney General Henry McMaster has issued an opinion stating that Governor Sanford - not the General Assembly - has the final say over whether South Carolina accepts federal stimulus money. You can read his 17 page opinion by clicking here.
If the Governor does not draw upon these funds, then South Carolina will lose out and other states will be able to receive them."
You can read the rest of his comments and tour his blog by clicking here.
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