Technical college system asks for $38.1 million recurring, urges repair funding for Denmark Tech

Dr. Hardy, representing the South Carolina Technical College System, told the House Ways and Means Higher Education Budget Subcommittee that the system’s legislative priorities include $38,100,000 in recurring funding and substantial one-time capital and equipment requests. He said $18,100,000 of the recurring request is tied to the higher-education price index (3.6 percent) and is intended to cover inflation, health benefits and a planned 3 percent employee pay increase; the remaining $20,000,000 would create a built-in equipment fund to update training technology across the 16 colleges.

Why it matters: Hardy said the system serves 159,000 students, provides 52 percent of the state’s undergraduate higher-education enrollment and has a $6.4 billion annual economic impact, arguing that the technical colleges are “the best return on investment of state funding for higher education.” He cited workforce demand—about 60 active projects with 14,000 jobs to fill—and emphasized that many graduates remain in South Carolina: “82 percent of our graduates are 1 year after graduation working and paying taxes in South Carolina.”

Hardy also asked for one-time funding if recurring money is not approved: maintain lottery tuition assistance at $53,000,000 and the SCWIn scholarship at $95,000,000, and consider $75,000,000 in nonrecurring equipment funds. He listed a combined capital request across the colleges of $621,000,000 and a $15,000,000 ReadySC workforce-training request.

Committee questioning focused on how equipment dollars would be distributed. Representative Gilda Cobb Hunter pressed whether an enrollment-driven formula disadvantages smaller, rural colleges. Hardy said allocation is enrollment-based and that the system provides a small ‘‘off-the-top’’ allocation to the six smallest colleges to cover fixed operating costs, but acknowledged the formula has been used for more than a decade and supported additional review. On Denmark Technical College specifically, Hardy requested the committee consider a minimum appropriation to address urgent deferred maintenance; he suggested "something in the minimum of the $5,000,000 range" to address immediate physical-plant needs after Denmark received no maintenance, renovation and repair dollars in the prior budget.

Hardy noted systemwide facilities needs—369 buildings, many 40–60 years old—and reported recent system successes, including over 7,000 active apprentices, dual-enrollment participation by 21,000 high-school students and graduation of about 1,500 nurses in both 2024 and 2025. He said NCLEX pass rates for the system rank third nationally. When asked about staffing, Hardy said vacancies run around 4 percent systemwide (a little over 200 open positions).

Next steps: The committee did not take a vote in the hearing. Members urged follow-up meetings to review distribution formulas, consider proviso language to assist small and HBCU-designated colleges, and discuss targeted maintenance funding for Denmark Technical College.