South Carolina Education Improvement Act of 1984

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The South Carolina Education Improvement Act (EIA) of 1984 was a major state law signed by Governor Richard Riley on June 28, 1984. It created more than 60 provisions to raise student and teacher performance and to increase accountability in districts and schools. The plan rolled out over five years and included programs to help struggling students in reading, math, and science; incentive pay for teachers and principals; and a school improvement award program.

In the early 1980s, South Carolina ranked low on several education and quality‑of‑life measures, such as high school graduation rates, income, and SAT scores. The state had already passed the Education Finance Act in 1977 to fund public schools more fairly. The EIA built on that foundation to address achievement gaps and help the economy.

Governor Riley initially proposed a smaller reform in 1983, but it failed due to tax concerns. After the national report A Nation at Risk called for big changes in U.S. education, he pushed a new, more ambitious bill. The plan relied on a penny‑on‑the‑dollar sales tax and the slogan “A penny for their thoughts.” Public forums drew more than 13,000 residents, and bipartisan committees worked on the financing and business needs of the bill. By early 1984 only a portion of the House supported it, and some provisions were debated, but the bill eventually passed the House 70–16 and the Senate 32–19, and Riley signed it into law with the sales tax increase.

In the five years after enactment, the EIA coincided with economic growth in South Carolina. From 1984 to 1993, many foreign companies opened operations in the state, creating tens of thousands of jobs. The RAND Corporation called the EIA the most comprehensive education reform in any state. In 2008, the legislature cut overall education spending, and EIA funds were moved to education expenditures from the general fund, but the EIA remained a separate source of education money. By fiscal year 2021–22, the EIA generated about $900 million in new money each year.