HB 1261 provides a property tax credit for homeowners of single-family residences in South Dakota, reducing their 2027 property tax bills by up to $500 or the full tax amount owed, whichever is lower. The credit applies automatically to tax bills sent by county treasurers for owner-occupied homes. To fund the credit, $120 million is reallocated from the housing infrastructure fund ($60 million) and the general fund/budget reserve ($60 million each), with the state treasurer transferring funds to cover the revenue loss. This policy directly affects single-family homeowners paying property taxes in 2027, while the funding mechanism ensures no new state revenue is required.
HB 1297 appropriates $125,000 from the general fund to the South Dakota Department of Transportation to study statewide public transit needs and their economic impacts. The study must specifically examine how public transit affects workforce availability and influences Medicaid spending, institutional placements, and healthcare utilization. The Department of Transportation must submit a final report with findings and recommendations to the Legislative Research Council by November 30, 2026. This bill directly affects state transportation planning and provides funding for a specific research project, with no new regulations or services created.
SB 243 imposes a new transaction tax on retail purchases: $1.50 for items $15 or more, and 10% for items under $15. Revenues from this tax fund a "property tax replacement fund" to reduce property tax levies for specific property types. The fund prioritizes eliminating taxes on owner-occupied homes first, then agricultural property, and finally nonagricultural property - reducing each category equally until funds run out. Property owners in South Dakota would see lower tax bills for these categories, while retailers must collect and remit the tax, with penalties for non-payment (misdemeanor for late payment, felony for false returns).
HB 1251 creates two new state funds: the "target teacher salary supplement fund" (administered by the Department of Education) and the "community-based providers methodology supplement fund" (administered by the Department of Human Services). The bill directs that unspent state funds from the previous fiscal year - after a portion is placed in a budget reserve - be split equally (30% each) into these two new funds. These funds will directly support increases in teacher salaries and provider rates for community-based services, as specified in existing law. The transfers occur automatically each year through the state's budget process, with expenditures requiring annual legislative approval.
HB 1290 amends South Dakota's education funding law by updating how school districts calculate their fall enrollment for state aid. It specifies that nonresident students in state care (e.g., foster care) must be included in enrollment counts, while students in residential treatment facilities must be excluded. The bill also revises the formula for determining the "teacher ratio factor," setting fixed ratios (12 for districts under 200 students, 15 for districts over 600 students) or a calculation-based ratio for medium-sized districts. These changes directly affect all public school districts in South Dakota receiving state aid for general education.
SB 157 amends South Dakota's school funding formula to require using an *average fall enrollment* (instead of enrollment on a single date) when calculating a school district's "local need" for state funding. This directly affects all public school districts in South Dakota by changing how their student enrollment count is determined for funding calculations. The bill replaces the current method - using enrollment on the last Friday of September - with an average, which could stabilize funding by smoothing out seasonal enrollment fluctuations. The change applies specifically to the calculation of "local need" under § 13-13-10.1(32) in the education funding code.
HB 1206 clarifies that parents, guardians, or caregivers who have filed a notification of "alternative instruction" with South Dakota's Department of Education or school district cannot use state public funds (as defined in §4-4-2) to pay for a child's education. The bill directly affects families utilizing alternative education arrangements who have submitted the required notification. It prohibits these individuals from accessing state education funds for their child's schooling if the notification is on file. This policy change specifically restricts the use of public funds for alternative instruction methods already documented with education authorities.
HB 1113 establishes a downpayment assistance program for manufactured or mobile home buyers in South Dakota. The program provides zero-interest loans of up to $10,000 per applicant from a $5 million revolving fund in the South Dakota housing infrastructure fund. Eligibility requires household income below 120% of the state median income and purchasing a home meeting federal safety standards and local zoning requirements for single-family residences. Repayments return to the fund to support new loans, with loans secured by a second lien due upon home sale or repayment of the primary mortgage. This directly assists low-to-moderate income residents seeking to purchase qualifying manufactured or mobile homes.
SB 73 revises South Dakota's state financial practices by requiring state agencies to file consulting contracts with the state auditor within five days of final approval and display these contracts, along with other specified contracts (like those for $10,000+ services), on a public website. It mandates that agencies retain original claims, invoices, and vouchers for at least seven years. The bill also adjusts mileage reimbursement rates, setting a standard rate of 51 cents per mile (or the IRS business rate, whichever is greater) for regular state vehicle use, and increasing it to 68 cents per mile for vehicles transporting individuals with special needs. These changes focus on improving transparency, record-keeping, and standardizing financial procedures across state agencies.
HB 1239 requires South Dakota's Department of Education to pay the full salary and benefits for all teachers employed by public school districts, replacing the previous system where districts covered these costs. The bill establishes a state-mandated salary schedule that must include increases based on a teacher's certification demand, highest degree, and years of experience, with benefits set at a minimum of 29% of salary. It also limits school districts from exceeding a target teacher ratio factor (calculated by enrollment size) without state approval. This directly affects all South Dakota public school districts and their teaching staff by shifting funding responsibility to the state.
