No deficit approval for Medicaid, welfare and prisons

South Carolina's financial oversight board has delayed taking action on more than $260 million in agency deficits that affect hundreds of thousands of the state's poor.

The Budget and Control Board Tuesday said it would take no action before January on a $228 million deficit in the Department of Health and Human Services' Medicaid program.

The board also opted not to act on deficits of $29 million and more than $7 million at the Department of Social Services and the Department of Corrections.

Board member and state Sen. Hugh Leatherman said Gov.-elect Nikki Haley should have a chance to weigh in on the shortfalls.

Without the state bailout, the Medicaid agency says it will stop payments to doctors and hospitals in March.