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South Carolina · Policy & Funding

South Carolina's grading-floor ban takes effect July 1, 2026, with 10% funding penalty for noncompliance

A new state law prohibits minimum grades that exceed actual performance, removes a patchwork of district policies, and creates a task force to revise the Uniform Grading Policy by 2028-2029.

South Carolina's Act No. 204, signed by Governor Henry McMaster on May 18, 2026, took effect July 1, 2026. The law adds Section 59-29-250 to the state code, prohibiting any public school district or school from adopting a grading system that requires a teacher to assign a minimum grade or score above a student's actual performance on required assignments. The law is the first statutory ban on no-zero grading policies in the nation, according to an analysis by The Conversation.

Districts that violate the ban face a penalty of 10 percent of their State Aid to Classroom funding. The fiscal impact statement for the bill estimates that the amount withheld would range from roughly $237,000 for smaller districts to $41,466,000 for larger ones, based on the 2025-2026 fiscal year.

Patchwork of policies before the ban

A 2025 report from the Palmetto Promise Institute, a conservative think tank that advocated for the ban, identified six South Carolina school districts with posted minimum-grade policies. Those districts include Richland One, Greenville County, Oconee County, Dillon Four, Dorchester Two, and McCormick County, each with a 50 percent floor applied to various grading periods or grade levels. A subsequent survey of school administrators by the South Carolina School Board Association found 12 additional districts with grade-floor practices at the high school level, including Darlington, Dorchester 4, Lee, Lexington, Marlboro, Newberry, Orangeburg, Saluda, Spartanburg 2, Spartanburg 7, Union, and York 4. Some individual schools, such as Spring Hill High School in Lexington-Richland 5, also had floor policies, with a floor of 25 percent there and 50 percent in several middle schools.

The Palmetto Promise Institute report noted that practices varied widely. Some districts applied floors only to quarterly report cards, others to individual assignments, and some enforced floors informally without a board policy. In Kershaw County, for example, no grades below 50 percent appeared on report cards even though no official policy existed.

Local and national context

The Sumter County School District voted to remove its 50 percent grading floor in 2024 after a teacher survey found 82 percent opposed it. An effort to reinstate the floor failed on a 4-4 board vote in April 2025, providing a local precedent that informed the statewide legislation, according to the Post and Courier.

No other state has enacted a statutory ban on minimum-grading policies, making South Carolina the first. The practice of setting a minimum grade, often 50 percent, grew from the equitable grading movement that surged in the mid-2010s, and individual districts and schools in multiple states have adopted it, but no state legislature had prohibited it before South Carolina, The Conversation reported.

What the evidence says

The research base on grade floors is contested. The Palmetto Promise Institute, which advocates for the ban, assessed that the evidence supporting the use of grade floors is weak. The institute argued that floors give half credit for uncompleted work, skew district-level data, and fail to teach students the value of timely submission. That assessment comes from an advocacy organization, not a peer-reviewed study.

Districts that adopted grade floors, including Greenville County in 2016, argued that a single zero can mathematically destroy a student's average and that the 0-100 scale is imprecise. They cited the equitable grading research to support the idea that higher minimum scores help maintain student motivation and make it possible to recover a grade after a poor performance, according to the Post and Courier. An EdWeek analysis noted that proponents of floors say they help students stay motivated, while opponents say they allow students to pass classes while skipping assignments. The article did not cite a peer-reviewed study resolving the disagreement.

Task force and future changes

The law directs the State Board of Education to establish a task force before the 2026-2027 school year. The task force will include three superintendents, three principals, three teachers, three representatives of public school boards, and three high school students. It must report recommended revisions to the state's Uniform Grading Policy to the board before June 1, 2027. The task force is charged with evaluating term weighting, methods for awarding quality points based on numeric final course averages, and the use of a 100-point grading scale. The State Board must adopt updates, and districts must implement them by no later than the 2028-2029 school year.

The law also imposes conditions on credit recovery and content recovery, requiring that students have submitted all required assignments in a timely manner before they can use those programs. Additionally, districts may not require inclusion of formative or district-selected benchmark assessment results in final grade calculations, though end-of-course assessments are exempted.

Analysis

By the School Decision Newsroom, written after the reporting above was filed.

Texas banned minimum-grade policies in 2009. South Carolina is not the first.

Texas passed SB 2033 in 2009, barring districts from requiring teachers to assign a minimum grade for an assignment without regard to quality of work. The law took effect the 2009-2010 school year. Eleven Texas school districts sued over whether the ban covered report card grades or only individual assignments, and a district judge ruled in 2010 that it applied to report cards too. The EdWeek article in this story itself notes that "Texas bans them." The Conversation's claim that South Carolina is the first statutory ban does not hold up against a law that has been on the books for fifteen years.

Floors are banned now, but the replacement grading system is two years away.

The grading-floor ban took effect July 1, 2026, but the task force charged with redesigning the state's grading system does not report until June 1, 2027, and districts do not have to implement revisions until the 2028-2029 year. For the two-plus years in between, teachers who can no longer assign a 50 percent minimum fall back to the raw 0-100 scale. That scale is exactly what motivated districts to adopt floors: a single zero on a 0-100 scale can drag a student's average below passing even if every other grade is a B or higher. The fix the legislature ordered and the temporary state it created point in opposite directions.

The think tank behind this ban also drove South Carolina's school voucher program.

The Palmetto Promise Institute, whose 2025 report provided the roadmap for the grading-floor ban, is the same conservative organization that pushed through South Carolina's Education Scholarship Account program in 2023 and defended it through a state Supreme Court challenge in 2025, winning the State Policy Network's top award for that work. The grading-floor ban is one item in a broader education-reform portfolio that includes school choice, competency-based education, and reading instruction. A parent should expect this group to keep advancing the next piece of that agenda, not to stop here.

Sources

  1. South Carolina Legislature. 2025-2026 Bill 5073: Public school grading View
  2. South Carolina Legislature. H5073 Fiscal Impact Statement (introduced 2026-01-29) View
  3. EdWeek. This State Banned Nonzero Grading Policies. Why Some Schools Use Them View
  4. Palmetto Promise Institute. It's Time for Grade Floors to Go View
  5. Post and Courier. SC legislators have school grade floors in their sights View
  6. The Conversation. South Carolina is allowing teachers to give zeros again, but the problem with grading goes deeper View
  7. Texas Legislature. 81(R) SB 2033 - Enrolled version - Bill Text View
  8. EdWeek. Minimum Student Grades Can't Be Required in Texas View
  9. Palmetto Promise Institute. Educated Citizens: 2023-24 Freedom Agenda in Review View
  10. State Policy Network. Saving School Choice in South Carolina: Palmetto Promise Institute Wins Bob Williams Award View
South Carolina's grading-floor ban takes effect July 1, 2026, with 10% funding penalty for noncompliance | School Decision