Legislature Approves Loan Forgiveness Schedule for SC State

COLUMBIA, S.C. (AP) – The Legislature has approved freeing South Carolina State University from $12 million in state loans and set up a 16-year repayment schedule on a separate, $6 million loan.

The resolution approved Wednesday by the House formalizes the terms agreed to last week by a legislative panel negotiating the state budget. The Senate approved the resolution Tuesday.

It forgives $8 million next fiscal year, then $2 million each in the following two years.

Lawmakers believe the loan forgiveness will help the state’s only public historically black university keep its accreditation.

S.C. State will learn later this month whether its accreditation will be restored or pulled, which would force its closure.

Ways and Means Chairman Brian White says if that happens, the state is responsible for all of the college’s debt.