Office of the Speaker
SOUTH CAROLINA HOUSE OF REPRESENTATIVES

FOR IMMEDIATE RELEASE                                 
March 12, 2008

Contact: Greg Foster        
(803) 734-3125
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(Columbia, SC) – Today, by a vote of 113 to 0, the South Carolina House of Representatives unanimously voted to pass this year’s state budget. 

“In the midst of a nation-wide economic slow down, the House rejected efforts to raise taxes and instead funded key areas of government while cutting others,” House Speaker Bobby Harrell said.  “I am pleased to see the House pass a budget that addresses our state’s educational priorities, our health care concerns and focuses on key economic development tools needed to grow our state’s economy.”

This year’s budget cuts government growth by 4 ½ percent compared to last year’s budget.  Since Republicans have been writing our state’s budget, government growth has been held to an average of 4 percent a year. 

Dan Cooper, Chairman of the Ways & Means Committee said, “This balanced budget fully funds education and health care while cutting government spending instead of raising taxes to meet the appetite of government.”

In order to fully fund health care and prevent cuts to crucial health care services, the House utilized $100 million from a Department of Health and Human Services (DHHS) reserve account that totaled over $270 million, leaving the agency with over $170 million still in reserves.

The funds used from the DHHS’s quarter billion dollar reserve account were only used to fund health care related items, not other areas of government. 

Health, Human Services and Medicaid Subcommittee Chairman Tracy Edge said, “After reviewing the Governor’s agency budget request to use $30 million from a DHHS reserve account, the House discovered the agency was holding over a quarter of a billion dollars in reserve accounts.  We expanded on the Governor’s initial use of this reserve account and fully fund health care while still leaving the agency with over $170 million in reserves.”

Speaker Harrell said, “Hard decisions had to be made.  We have protected education and health care while cutting government growth by 4 ½ percent.”

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