Friday, Mar. 20, 2009

Latest Sanford stimulus plan rejected

The White House has again rejected South Carolina Gov. Mark Sanford's bid to use federal stimulus cash to pay down state debt.

White House Budget Director Peter Orszag sent the Republican governor a letter Friday saying the federal cash should be used on things such as education, not to pay off school construction debt.

Sanford has been vocal in opposing the federal bailout. He had asked to use the $700 million portion of federal stimulus cash over which he has first say to pay down school bonds and other debt. In all, the state is to get $2.8 billion in federal help.

State lawmakers have said they'll use the money if Sanford doesn't.

Orszag had already rejected a first request by Sanford to use the cash on unspecified debt.

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