THIS WEEK IN SOUTH CAROLINA
The South Carolina Senate unanimously passed S.1087, a $2 billion income tax cut and rebate bill. The House passed its own $1 billion tax cut last month.
BUDGET
The House of Representatives is scheduled to begin debate on the budget this afternoon.
As a reminder, below is a summary of the items impacting Clemson University in the House Ways and Means Committee’s version of the budget:
Clemson E&G
– $9.9 million in recurring funding for tuition mitigation*
*In order to retain the above appropriations, each institution of higher learning listed above must certify to the Commission on Higher Education by August 15, 2022, there is no in state undergraduate tuition or in state undergraduate fee increase, excluding increases in auxiliary fees, for the 2022 2023 academic year.
*The Commission on Higher Education shall develop the process by which institutions provide the certification. Any institution unable to provide such certification to the commission shall remit their respective above recurring allocation to the General Fund by September 15, 2022
*By November 1, 2022, the Commission on Higher Education shall report to the House Ways and Means Committee, the Senate Finance Committee, and the Executive Budget Office the institutions that failed to certify that the in state undergraduate tuition or in state undergraduate fee increase met the guidelines outlined in this provision. The Executive Budget Office is directed to reduce the recurring appropriation of any institution found to be non compliant with the certification.
– $32.5 million in nonrecurring funding for maintenance, renovation and replacement
Clemson PSA
– $2 million in recurring funding for Rural Health Cooperative Extension and Research
– $750,000 in recurring funding for Laboratory Services Support
– $500,000 in recurring funding for Integrated Agriculture Technology
– $3.6 million in nonrecurring funding for Critical PSA Infrastructure
– $7 million in nonrecurring funding for Edisto Research and Education Center Research Infrastructure Upgrades and Expansion
The Committee included several items from the Executive Budget of impact to the University:
– $60 million in recurring lottery dollars for need based grants at the Commission on Higher Education
– $20 million in recurring tuition grants at the Higher Education Tuition Grants Commission
– $4.1 million in recurring lottery dollars for students with intellectual disabilities attending college transition programs
The Committee’s version of the bill includes a 3% pay increase and a one-time bonus of $1500 for state employees. The proviso directing the authorization of these funds provides flexibility to higher education institutions to reward both the pay raise and the bonus based on merit for unclassified employees.
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.
Senate Finance Budget Subcommittees continued holding budget hearings last week. Clemson PSA’s budget was presented before the Natural Resources and Economic Development Subcommittee on March 9 and Clemson’s Education and General (E&G) budget was presented before the Higher Education Subcommittee on Thursday, March 10.
Senate Finance Budget Subcommittees that hear Clemson’s budget requests:
Natural Resources and Economic Development Budget Subcommittee:
Senator Nikki Setzler, Chair (D-Lexington)
Senator Kent Williams (D-Marion)
Senator Tom Corbin Clemson ’87 (R-Greenville)
Senator Katrina Shealy (R-Lexington)
Senator Mike Gambrell Clemson ’80 (R-Anderson)
Higher Education Budget Subcommittee:
Senator Ronnie Cromer, Chair (R-Newberry)
Senator Darrell Jackson (D-Richland)
Senator John Scott (D-Richland)
Senator Tom Corbin Clemson ’87 (R-Greenville)
Senator Ross Turner Clemson ’86 (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.
2022-23 State Budget Priorities
Clemson E&G
Recurring Requests
Base Appropriations Increase (In State Tuition Mitigation) $12.6 million
Rural Health $1.3 million
Nonrecurring Requests
IT Network Infrastructure Improvements $39.7 million
Advanced Materials Innovation Complex $25 million
Planned Maintenance and Renewal Projects $17 million
Clemson PSA
Recurring Requests
Rural Health Cooperative Extension & Research $2.4 million
Laboratory Services Support $1.5 million
Integrated Agriculture Technology $1 million
Nonrecurring Requests
Critical PSA Infrastructure $3.6 million
Edisto Research & Education Center Infrastructure $8.3 million
Upgrades and Expansion
Poultry Science Research Facility $4.7 million
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
South Carolina 4-H celebrated its annual State House day last Tuesday, March 8, 2022.
Please follow CU at the Capitol on Twitter. Current news coverage of interest may be found here.