May 17, 2012

County officials: budget cuts too deep

More than 200 county officials from all areas of the state held a press conference in front of the governor’s office — to make a public plea to the legislature to ease off on proposed cuts to county government.    

Richland County Councilman Greg Pearce, president of the South Carolina Association of Counties, says, “Although we anticipated reductions this year, no one could have anticipated a 42 percent reduction, $122 million. You spread that out amongst the 46 counties, which that money is proportionally doled out, according to population.  Richland County, for example, get $8.1 million, whereas a small county, like Williamsburg, gets $646,000. But even on a proportion, that can be devastating.

To make matters worse, says Pearce, the legislature severely undercut the ability of all counties to generate new revenue. Pearce says, the legislature, when it created Act 388 for school funding, capped millage at a fixed amount. For Richland County, for instance, Pearce says, is only able to raise millage-not dollars-by three to four percent.

The consensus among the county leaders is that they will have to cut essential services even further.

Orangeburg Senator Brad Hutto says that kind of dilemma is the legislators’ responsibility to fix. He says, “We put them in a very awkward situation, if not a completely unfair situation. It’s something that the general assembly has imposed on them that we say ‘ they cannot take care of their own budgets except by certain mechanisms, yet we are going to cut them more than they have the ability to make up.’ I say that makes it our responsibility.”

State Representative Bakari Sellers, also of Orangeburg, says this is not a partisan issue, but “is about individuals getting care in emergency situations, this is about safety, this is about being overcrowded in our prisons, this is about just basic, everyday necessities.”

To add to the dilemma, there are county offices of state agencies to maintain with local tax monies, says Dianne Anderson, vice chair of Laurens County Council,  “We cannot cut them out as there are budget provisos that  we have to leave them in…the Department of Social Services, the Department of [Health and] Environmental Control.”

Anderson says Laurens now is not able to meet state mandates for manpower. For instance, she says, “According to guidelines for the Department of Corrections, our jail staff need to be at least 52.  Presently, we only have 42 employees. With the budget cut, we are unable to get up to what our staff should be where we don’t have incidences like we just had a couple of weeks ago, where an inmate seriously injured two of the guards.”

Representative Sellers says, beyond easing millage caps,  that we can “go down and knock on our Governor’s door and say there is stimulus money coming.”

For many, including Senator Hutto, an additional solution would be a new cigarette tax.  

John Pettigrew of Edgefield County Council agrees, “I think the simplest thing to do is to seriously look at this cigarette tax.  It’s the lowest in the nation, I think we are a dollar a pack less than the national average. Take that money … and fund healthcare with that. We can match that money with federal dollars and get three dollars for every dollar for our Medicaid program and that’ll free up money to take care of the county local government fund.”

Some SC colleges curbing credit card recruiters on campus

Until recently, college students got credit card offers as soon as they got to campus, resulting in years of financial harm,long after graduation. College students often need financial help, and as the economy worsens, they rely more and more on credit cards.

Clemson University has only one credit card vendor on campus, Bank of America, but the bank sends most of their applications via mail. Clemson spokeswoman, Angela Nixon says they signed a contract with the bank.  “We do get a percentage back based on usage of the card that people have and that goes to our alumni association,” says Nixon.

Brandolyn Pinkston, the Director of the Department of Consumer Affairs says there are concerns about credit card debt due to the lack of the students’ knowledge.  “I know that some lenders see this as a golden market opportunity and for college, they might see this as a revenue source maybe at a time of declining public funding,” says Pinkston.              

But The College of Charleston did away with the vendors eight years ago. Dean of Students, Jeri Cabot, says, ”We became very concerned, as did the general population, actually, with the aggressive tactics employed by many credit card companies in trying to lure new customers in.”

Clemson University does have a financial education service on campus that helps students get themselves out of debt, and away from using credit cards. After numerous contacts, officials at the University of South Carolina did not offer a definitive answer about their student credit card practices.¼/p>

Department of Corrections gets financial relief

The State Department of Corrections has gained approval to run a total of $39 million in budget deficit when the fiscal year ends in June. The Budget and Control Board approved the plan Tuesday. Department of Corrections Director Jon Ozmint says his department spends virtually less per inmate than any other state prison system in the country at just over $13,000 per inmate.

Ozmint says he was elated to hear the news because he says he has run out of options, “We found some areas on the margins internally  where we continue to save money in medical expenditures and in farming, but overall nobody has come back and said I’ve found another state that’s doing it cheaper than South Carolina. So I think that’s why the board is willing to recognize our deficit.”  [Read more...]

NACA coming to Columbia in March to help homeowners in need

If you are a homeowner and struggling to make your monthly payments, help may be just around the corner.  U.S. House Majority Whip James Clyburn has invited the Neighborhood Assistance Corporation of America, known as NACA, to help homeowners in South Carolina restructure their loans.  NACA has helped thousands of homeowners across the nation save their homes by lowering their interest rates to as low as three percent, thus making their monthly payments more affordable.  NACA has legally binding agreements with most major lenders and investors covering 90 percent of at-risk homeowners.  Clyburn says the interest in the event has been tremendous. “I understand the response has been of such, (we) had to move it.  I think we’re having it at the (Carolina) Coliseum for three days. 

“We started out as one day, and we are now up to three days.  We started out doing it over in Sumter…there was no place (big enough) for the response we were getting so we moved it over to Columbia.  We are now going to regionalize it not to be just statewide, but we are passing the word out to people in North Carolina and Georgia.” 

Clyburn has concerns about predatory lending and says this is a great opportunity to expose that type of practice and its effects on the economy saying, “You look at what they’re doing and the announcement the President made on yesterday…I think that this can go a long, long way–not just to saving people’s homes and their mortgages–but helping to show up the economic situation here in this state.  That is the root of the economic problems we are having is, in fact, the mortgage crisis taking place in this country.” 

One of many success stories is Fay Togba of Georgia who, with the assistance of NACA, had her interest rate lowered from ten percent to three percent fixed, saving her more than $1600 a month. 

The NACA will be coming to the Carolina Coliseum on March 13, 14 and 15 of this year.  Clyburn says this is a rare opportunity for homeowners in the Southeast to get the assistance they need.

“This will help a whole lot, I believe,” said Clyburn.  “This will be only the third time this has happened in this country.  I think they (NACA) had it in Washington D.C. one time and they had it in Stanford, CT one time.  This is only the third time they’ve done this.” 

If you plan to participate, you will need to be prepared so click here to find out how to sign up for the event and which documents you will need to provide.

Firefighters gaining control of Greenville County wildfire

Firefighters are continuing to battle a wildfire at the Jones Gap State Park  in Greenville County near the South Carolina- North Carolina border.  The blaze has burned over 125 acres.  South Carolina Forestry Commission spokesman Russell Hubright says the fire has only been partially contained and most likely full containment of the blaze will not occur until Tuesday.  Hubright says 34 Forestry Commission firefighters and four crew members from state parks are fighting the blaze. Hubright says one of the main problems firefighters are encountering is a difficulty in navigating over the rough, uneven terrain. “It’s extremely steep and there’s quite a lot of loose rocks  and rough footing. It’s a real challenge just to walk around, much less to take a rake and try to rake a firebreak in there.” [Read more...]