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State Legislative Updates

February 24, 2020


THIS WEEK IN SOUTH CAROLINA
State Institutions of Higher Education Enterprise Act (S.283) Is contested on the Senate calendar for second reading. This legislation would allow Clemson and other universities in the state the necessary flexibility to operate in the areas of capital projects, procurement and human resources. The bill would allow auxiliary divisions to be free of some of the current layers of state oversight, while still being accountable to the General Assembly. Clemson testified twice while the bill was in Subcommittee. A similar bill, H.4453, was introduced in the House by Representatives Jason Elliott, Bruce Bannister and Gary Clary and referred to the House Ways and Means Committee.

Higher Education Opportunity Act (S.298) Remains on the Senate contested calendar. This legislation is designed to increase accessibility & affordability for in-state students by providing predictable source of state revenue in order to slow rising tuition costs. Clemson University worked with the subcommittee to amend the bill and ensure that this legislation is consistent with the 1889 Act of Acceptance and the terms and conditions of Thomas Green Clemson’s Will. The amendment also includes regulatory relief.

The State Budget Process
The full House Ways and Means Committee finalized its work on the state budget on Thursday of last week. Below is a summary of the items impacting Clemson University:

Clemson E&G
–      $8.14 million in recurring funding for in-state tuition mitigation
–      $25 million in nonrecurring funding for maintenance and renovation

Clemson PSA
–      $1,127,250 in recurring funding for Comprehensive Statewide Extension Programs
–      $843,800 in recurring funding for Critical Fruit & Vegetable Research
–      $2 million in nonrecurring funding for Research & Education (REC) Center graduate school housing
–      $2 million in nonrecurring funding for Pee Dee REC greenhouse construction
–      $990,000 in nonrecurring funding for Sandhill REC building repairs

The Committee’s version of the budget includes an increase in the cost of health insurance and an increase in retirement contributions for state employees and employers.  The employee portion of both will be paid by the state.  The employer portion of both will have to be covered partially by the university.

The Ways and Means budget also proposes merit-based salary increases for state employees across state agencies.

The House Ways and Means version of the budget does include a proviso that would require a freeze on tuition for in state students.

The budget now goes to the full House of Representatives. The House is expected to take up the budget the week of March 9.

The Senate Finance Committee has begun holding budget subcommittee hearings. President Jim Clements and Dr. George Askew (VP for PSA) will deliver Clemson PSA’s budget presentation to the Senate Finance Budget Subcommittee on Natural Resources on Thursday, February 27. Members of the Subcommittee include Chairman Nikki Setzler (D-Lexington), and Senators Kent Williams (D-Marion), Paul Campbell Clemson ’68 (R-Berkeley), and Tom Corbin Clemson ’87 (R-Greenville).

From a state budgeting standpoint, Clemson is considered two separate state agencies: a research university that receives an educational and general (E&G) state appropriation for teaching and student support, and a land-grant Public Service and Agriculture (PSA) division that receives a state appropriation to support agriculture, forestry and natural resource Extension, research and regulatory programs.

The university also has auxiliary operations, such as athletics, student housing and dining services, which receive no state funding and must generate all of their own revenue.

Detailed information on Clemson’s state legislative and budget priorities for FY 20-21 may be found at these links:

Clemson Education and General (E&G) Priorities
Clemson Public Service and Agriculture (PSA) Priorities

BILLS OF INTEREST
The Clemson University Governmental Affairs office is monitoring several bills that have potential impact on Clemson.  A complete listing of these bills may be found here.  Click on the bill number for a description of the legislation, along with the bill’s current status.

NEWS AND FYI
Please follow CU at the Capitol on Twitter. Current news coverage of interest may be found here.



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