GEORGETOWN, S.C. —  Republican leaders, responding to a bill introduced in Columbia, say using borrowed money to help cover day-to-day expenses in county schools is a bad idea.

But, the idea for the measure came from the Georgetown County School Board, said State Rep. Vida Miller who created the bill.

Earlier this month, Miller introduced the bill — with support from Rep. Carl Anderson — which will allow money the district has borrowed for construction projects to be used for things such as salaries and supplies in the new fiscal year that begins in July.

The bill is expected to pass when lawmakers return to Columbia in two weeks since it is local legislation, Miller said.

District Superintendent Dr. Randy Dozier said only a portion of the construction funds is eligible to be used for operating costs. He said the district has $17 million it received in an interest free loan from the federal government that is earmarked for construction and repairs and can be used only for those purposes.

Tom Swatzel, chairman of the Georgetown County Republican Party, said the bill is a way “to bring Washington, D.C. style deficit spending to Georgetown County by enabling the school board to engage in reckless spending beyond its means, just like the Obama administration."

Miller calls Swatzel’s remarks misleading because the bill was not her idea.

“Let me make this very clear. This bill was brought to us by the school board for introduction. It was their request to help with budget issues,” Miller said. “If the Republicans have issues with the bill, they need to contact the school board.”

Swatzel is urging Gov. Mark Sanford to veto the bill.

“It's unconstitutional, not only because of the prohibition on operational deficit spending, but also because it's local legislation, which is also constitutionally prohibited," he said.

 Swatzel also said the bill was a backdoor way to increase property taxes on local homeowners, an accusation Miller denies.

"Miller and Anderson's bill would cause an increase in taxes on resident homeowners in Georgetown County at a time when record unemployment and home foreclosures are hitting the nation, this state, and Georgetown County," Swatzel said. "We should be trying to help homeowners by reducing their tax burden and focusing on reducing unemployment, not hurt them by raising their property taxes."

Miller said there are two things wrong with Swatzel’s statement. First, she said, the school board does not have the authority to raise taxes.

Second, the bond money that could possibly be used for operating expenses is not new money. It is money the district already has in its accounts.

Swatzel pointed to state Budget and Control Board data that shows that while the school district spent $126.4 million in 2008, only 45 cents of every dollar was actually spent in the classrooms for instructional purposes.

Additionally, Swatzel said that according to the school district's enrollment reports, the district has steadily lost student enrollment from a peak of about 10,700 in 1995, down to approximately 9,900 students in 2008- a loss of about 800 students.

"I know economically times are tough for everyone. But it's clear the county Board of Education can better prioritize their spending and live within the district's means, especially with declining student enrollment," Swatzel said. "Working families in Georgetown County are having to make ends meet every day on a limited amount of income and so can the school board."

Miller said the bill only gives the district the option to use bond money, it does not guarantee it will be used.

“If the money is needed it will help keep teachers in the classroom possibly with no additional furloughs,” Miller said.

By Scott Harper

sharper@gtowntimes.com