The loan, approved by a special legislatively appointed committee, would give the school
Haley opposes lending more money until the school hires an outside financial consultant, one of the conditions set when S.C. State accepted the
"I don't think one more dollar should go to S.C. State until they move toward that process," Haley said Tuesday. "To continue to give them money is buying time. To get financial consultants in there is teaching them how to clean up the mess that's there."
The State Budget and Control Board is supposed to hire the financial consultant, paying up to
S.C. State's money problems and its ongoing administrative turmoil have landed it on probation with its accreditors, the
But Haley said she wants solutions.
"I'm very concerned about the morale at the school. I'm concerned about the board members at the school," she said. "I'm concerned about the slowness of how this is moving. This is an urgent situation where we need to get cleanup people in there right away."
The school remains viable, S.C. State trustees chairman
"We're not a basket case, but I'm concerned that we don't become a basket case by those who want things turned around in a matter of minutes," Small said. "We didn't get here in a minute, and we're not going to get out of this in a minute."
A legislatively appointed committee of current and former state college presidents, including
The committee found S.C. State's deficit is about
The committee of college presidents suggested lending S.C. State
S.C. State trustees approved moving forward to seek the loan at a meeting Monday -- with some reservations, Small said. Trustees do not know the terms of the loan, including its interest rate and payback deadline, he said. Elzey said the state and school could work out those details.
The board also has concerns about the school remaining autonomous when it owes so much to the state as well as whether the loans would raise red flags with accreditors, who already have S.C. State under a microscope, Small said.
"We are grateful for the overture and the help," Small said. "But we want to be mindful of our ability to repay this debt and remain independent, and satisfy what we need to do as an institution."
Trustees approved budget cuts this month, including seven-day employee furloughs, to balance the school's 2014-15 budget. The spending plan adopted for the school year is based on an expected slight increase in enrollment this fall over last year. Elzey, who has attended college fairs at high schools, said he is confident S.C. State will meet its enrollment projections of 3,450 for the fall.
"Morale at the university has never been higher," he said. "We're bigger than our current problems."
The school, however, will need to make more cuts if it fails to hit its enrollment goals, Elzey said.
Small said he does not want to make more cuts.
"I do not want to have any more conversations about cuts without discussions about financial stability going forward," he said. "I do not want to cut S.C. State into oblivion."
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