By Dave Baumeister, County Correspondent
SIOUX FALLS – A South Dakota state senator from Minnehaha County and one from neighboring Lincoln County killed SB 68, a measure that the Minnehaha County Commission had previously voted to support.
The recent committee defeat by state senators was discussed at the commission meeting on Tuesday, Feb. 4.
SB 68, killed in the Senate Taxation Committee by a 5-2 vote, would have allowed counties to adopt a “bed, board and booze” tax of up to 1%.
As pointed out at previous meetings, counties take on the largest share of paying for public safety, law enforcement and emergency services, but other than a few miscellaneous fees, like wheel tax, those same counties in South Dakota have no power to raise revenue, apart from property taxes, and most of the money collected there goes to school districts and municipalities.
SB 68, which was spearheaded by Sen. Wayne Steinhauer (R-Hartford), would have given counties the option for another revenue stream, although it would not have been a mandated increase.
Commissioner Cindy Heiberger, also of rural Hartford, who was one of the people to speak before the taxation committee in favor of the bill, said, “This bill was to give local control to the counties on how to raise taxes, but it wasn’t moved out of Taxation so it could be discussed openly.”
She and Commissioner Jeff Barth both talked about how alcohol is at the heart of many public safety concerns, and that SB 68’s allowing an increase on the alcohol tax could have helped cover those costs. But without that option, counties will have to increase property taxes on everyone.
“Two of the people on that voted against it were (Sen. Jim) Stalzer and (Sen. Ernie) Otten,” Barth said. “I think people should be aware that in killing the bill, they voted for your property taxes to go up.”
Jim Stalzer is a state senator from western Minnehaha County, and Ernie Otten is from Tea in Lincoln County.
Minnehaha County Administration Assistant Craig Dewey, who also serves as the county’s lobbyist in Pierre, added that had the bill moved out of committee to eventually become law, no county would be forced to impose the tax, and if they did, the maximum amount would have been 1%.
“On a $100 hotel room, that would have been $1,” Dewey said. “And on a $4 alcoholic drink, the increase would have been 4-cents.”
In other legislative work being done, commissioners voted 4-0 (Gerald Beninga was not present) to support SB 70, which will have the state spending an estimated $15,500 to provide driver’s license manuals, applications and written examinations in Spanish.
This bill is already being recommended by the South Dakota Municipal League, the Sioux Falls, Rapid City and Brookings Chambers of Commerce, the Sioux Falls Development Foundation, the SD Association of Truckers, the Association of General Contractors, Avera, Sanford, the SD Lodging Association, the SD Multi-Cultural Center, the Presentation Sisters of Aberdeen, and many other state organizations.
Commission chair Jean Bender pointed out that while SB 70 would offer the written parts of the licensing process in Spanish, the person conducting the driving test would still be giving instructions in only English.
SB 70 was heard in the Senate Transportation on Friday, Feb. 7, in Pierre, where it received a 5-2 “Do Pass” recommendation.
Once again, Ernie Otten (R-Tea) voted against the measure.
The bill will now be scheduled for full debate by the SD Senate.
Concrete vs. asphalt?
Commissioners also approved a $9.4 million low bid from Reede Construction, Inc. of Aberdeen for the reconstruction of seven miles along Highway 146 in eastern Minnehaha County.
The stretch of road from Highway 11 to the Minnesota border would be re-done in concrete, as opposed to asphalt.
While the concrete bid was still $1.7 million higher than the low asphalt bid, Highway Superintendent DJ Buthe explained that the “lifecycle” savings for the road would more than make up for that difference during its expected years of service.
But Commissioner Dean Karsky questioned if the extra $1.7 million cost now could be better spent on other highway projects.
However, all commissioners were persuaded by Buthe’s recommendations and voted for the project.
The Minnehaha Commission has its regular meetings each Tuesday at 9 a.m. on the second floor of the county administration building at 6th and Minnesota in Sioux Falls.
These meetings are open to all, and public comment is always encouraged.