Governor Sanford Asks Federal Judge to Move Stimulus Lawsuit

Gov. Mark Sanford’s response to a lawsuit filed in the state Supreme Court was to ask that it be moved out of that court and into federal court instead. The governor is being sued by the South Carolina Association of School Administrators over his refusal to request $350 million in federal stimulus money, even though state lawmakers passed a budget that includes the money. The state Supreme Court ordered the parties to give their written responses to the lawsuit by noon Tuesday.

In his notice of removal to the federal court, the governor’s lawyers wrote that the original lawsuit “asks the Court to interpret and apply federal law and therefore states a claim arising under federal law.“

The governor’s contention has been that, since the American Recovery and Reinvestment Act of 2009 is a federal law that directs the spending of federal money, the lawsuit should be decided in federal court.

But the state Association of School Administrators thinks the matter should be settled in state court. The state constitution gives state lawmakers the authority to pass a budget. They passed a budget that includes spending about $350 million in federal stimulus money that the governor is refusing to request. Their argument is that the budget is a state law and the governor is sworn to uphold it, and a federal court shouldn’t be involved in making a decision about the state constitution.

Molly Spearman, executive director of the SC Association of School Administrators, says the results of not getting that $350 million would be devastating.

“I spoke with a principal this morning who said it means about 100 jobs in his district. So there are programs that will be ended. There are classes that will be larger. There are teachers who won’t have jobs next year. There are administrators who won’t have jobs next year because of the lack of funds. This really means about $300 per student in South Carolina,“ she says.

Even though he’s named as a defendant in the lawsuit because of his role in requesting the money from the U.S. Department of Education, state superintendent Jim Rex’s response to the lawsuit was to side with those suing him. His response was that the legislature passed a valid law (the budget) that the governor is required to follow.

The state is facing a July 1 deadline to request the money from the U.S. Department of Education.

Dr. Rex says, “One of the worst-case scenarios from my perspective would be for this thing to get resolved in court, finally, in favor of accepting the money say on July 2nd or 3rd and having the money leave South Carolina and go to other states on June 30th or July 1st.“ He says if the issue isn’t resolved by the middle of June, he’ll request an extension from the U.S. Department of Education.

U.S. District Judge Joseph Anderson wants written briefs on the lawsuit’s venue Friday and will hear arguments Monday, June 1 on whether it should be decided in federal court or the S.C. Supreme Court.