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Earmarks Highlight Governor McMaster's State Budget Vetoes

The vetoes trim 14 items while preserving funding for tax cuts, teacher raises, school safety and $377 million for roads and bridges.

  • On Monday, Governor Henry McMaster announced 14 line-item vetoes on South Carolina's $15 billion budget for Fiscal Year 2027, rejecting provisions he deemed repetitive with new state laws.
  • McMaster rejected a school bathroom proviso deemed redundant after the state passed the South Carolina Student Physical Privacy Act, and vetoed a measure delaying Scout Motors project payments, citing contractual obligations to contractors.
  • Additional vetoes include an $800,000 appropriation for the South Carolina Youth Challenge Academy, which closed after its final class graduated in June, and a $350,000 grant for Pacolet that McMaster said involved misappropriated funds.
  • Despite the vetoes, the final budget fulfills major priorities: raising starting teacher pay to $50,500, lowering the top individual income tax rate to 5.21%, and adopting 92% of McMaster's executive budget recommendations.
  • The General Assembly may override McMaster's vetoes if each chamber secures a two-thirds majority vote; the budget becomes final upon the governor's signature.
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WACH broke the news on Monday, August 17, 2026.
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