Previous Holdout Governor Will Now Accept Stimulus Money Washington Publish Workers Writer
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Sanford complied with yesterday's deadline for governors to seek the money allocated by Congress and President Obama with the $787 billion stimulus bill. Sanford, viewed as being a likely presidential contender,
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Irrespective of his reversal, Sanford said he'll not draw from a $700 million part of the stimulus for training and law enforcement until he reaches a cope with South Carolina's Republican-controlled legislature to aid spend off a number of the state government's financial debt.
Sanford advised reporters yesterday the stimulus represents "the lottery of all lotteries" and that state governments will need to spend some of the capital "prudently" by paying down debt. "We suppose it is incredibly important to shell out first for the political promises that are on the table before you go out and make a bunch of additional political promises," he explained.
All 50 governors submitted certification letters to the White House claiming recovery funding. But some GOP governors -- including Haley Barbour of Mississippi, Bobby Jindal of Louisiana, Sarah Palin of Alaska and Rick Perry of Texas -- have said they will turn away several of the dough, such as funding to expand state unemployment insurance.
South Carolina has an 11 percent unemployment rate,
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Sanford's move comes after weeks of battling with leaders in Washington and Columbia. Twice, the Obama administration rejected Sanford's requests to use the $700 million to repay financial debt, saying the cash must be spent on public safety and schools.
Sanford's resistance to the stimulus put him at odds with House Majority Whip James E. Clyburn (D-S.C.),
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"Debt payment during an economic crisis is like water conservation during a house fire -- it worsens the condition," mentioned Kristie Greco, a spokeswoman for Clyburn. "When the economy begins to rebound, we can return to paying down financial debt."