OCTOBER 16, 2024:
The Pierre City Commission has unanimously passed a resolution (Oct. 15, 2024) formally stating their opposition to Initiated Measure 28 on South Dakota’s Nov. 5, 2024, general election ballot.
Mayor Steve Harding says based on their understanding of what happens if IM28 is approved, the town’s recently passed $60 million budget for 2025 would have to be redone.
With seven different issues on the ballot to decide on, City Commissioner Jamie Huizenga hopes voters do research before casting their ballot one way or another.
Supporters of IM28 say it would eliminate the state’s 4.2% portion of the sales tax charged on most things sold for human consumption, but municipalities’ tax stream wouldn’t be affected. Opponents of IM28, however, say the verbiage of the measure is unclear so there’s a chance municipalities could lose that revenue stream.
The Attorney General’s Office provides a neutral explanation for each of the seven ballot measures that can be found under the “2024 Ballot Questions” option on the Secretary of State’s website. Additionally, the AG’s explanations are printed on the sample ballots that are currently available, as well as being printed on the actual ballots people use to vote. The pamphlet also includes information supplied by proponents and opponents, but that information is not printed on the actual ballots.
The South Dakota Secretary of State’s office encourages all voters to use the Voter Information Portal at sdsos.gov to see their sample ballot. Voters are allowed to print a sample ballot, fill it out at home and bring it with them as a guide when they cast their official ballot.
SEPTEMBER 20, 2024:
The Pierre City Commission has approved (Sept. 17, 2024) the town’s 2025 budget at just over $60 million. And, like municipal governments across South Dakota, they’re closely watching what happens with Initiated Measure 28 on the November 5, 2024, general election ballot.
Supporters say IM28 would eliminate the State of South Dakota’s portion of the sales tax charged on most things sold for human consumption, thus helping lower income people make their dollars go further. They say municipalities tax stream won’t be affected. However, opponents of IM28 say the wording of the measure is vague so there’s a chance municipalities could be impacted. They also say the unclear verbiage could result in the removal of the sales tax on things such as tobacco, alcohol and candy.
Pierre Mayor Steve Harding says the town has two primary sources of revenue– sales tax and utility rates. He says based on their understanding of what happens if IM28 is approved, the town could no longer charge a sales tax on items people consume.
Harding says if voters pass IM28, the budget passed this week will be “unworkable” because of the sales tax revenue stream will be cut off.
Local government entities across South Dakota have taken a formal stance on IM28 and Harding says Pierre will be doing that as well.
In Pierre, sales tax revenue supports city services provided by the police and fire departments, Parks and Recreation Department, the Street Department and Rawlins Library. It also provides some funding for outside agencies such as Meals on Wheels, The Discovery Center, River Cities Public Transit, Missouri Shores Domestic Violence Shelter, Capital Area Counseling Service, the Boys and Girls Club of the Capital Area and others.
Pierre’s other source of income is utility rates which fund operations, maintenance and improvements in each of their respective utilities. The town’s 2025 budget implements a 3% rate increase for electric, water and wastewater.
SEPTEMBER 18, 2024:
The City of Pierre’s 2025 budget is set at just over $60 million.
City Administrator Krisiti Honeywell says the town has two primary revenue sources– sales tax and utility rates.
Sales tax revenue supports Pierre’s Police and Fire Departments, Parks and Recreation, Rawlins Library, City Administration and the Street Department. It also provides funding for outside agencies such as Meals on Wheels, The Discovery Center, Pierre Economic Development Corporation, River Cities Public Transit, Missouri Shores Domestic Violence Shelter, Capital Area Counseling Service, the Boys and Girls Club of the Capital Area and others.
Honeywell says the City has three large expenses that require funding in 2025.
Honeywell says Pierre utility customers will see a 3% increase in the cost of each of the three utility services– electric, water and wastewater. The utility rates fund operations, maintenance and improvements in each of their respective utilities.
All towns in South Dakota have wildcard to consider when formulating their 2025 budget– the possible passage of Initiated Measure 28 during the November general election. Supporters say it would eliminate the sales tax charged on most things sold for human consumption, thus helping lower income people make their dollars go further. Opponents of IM28 say the wording of the measure is too vague and could include removing the tax on things such as tobacco, alcohol and candy.
Pierre Mayor Steve Harding says if voters approve IM28, the budget passed this week will be “unworkable” because of the anticipated lost sales tax revenue.
SEPTEMBER 17, 2024:
The City of Pierre’s 2025 budget is set at just over $60 million.
The city has some imperative expenses that require funding in 2025, and they account for a significant piece of next year’s anticipated revenue growth.
“Our biggest new expenditure next year is the $600,000 we’re setting aside to replace the Fire Department’s ladder truck,” said Krisit Honeywell, City Administrator. “In total, the truck will cost us about $2 million. It’s easier if we start setting money aside now to cover that cost rather than absorb it all in one year.”
Honeywell added that nearly $430,000 is in the 2025 budget as the local match for the primary runway rehabilitation project at Pierre Regional Airport, and another $136,000 will be used to purchase new servers for the city.
“Those three expenditures account for about $1.2 million,” said Honeywell. “We expect to be able to fund the ongoing expenses we have, as well as several other department requests like additional playground equipment and several pieces of new equipment.”
Mayor Steve Harding expanded with a disclaimer to the budget explanation.
“The wildcard to the 2025 budget is Initiated Measure 28,” said Mayor Harding. “If that measure passes during the November election, sales tax revenues will be reduced, and our programs supported by sales tax will be impacted.”
“The budget we outlined tonight will be unworkable.”
The city has two primary revenue sources -sales tax and utility rates.
Sales tax revenue supports the Police and Fire Departments, Parks and Recreation, Rawlins Library, City Administration, and the Street Department. Sales tax also provides funding for outside agencies such as The Discovery Center, Pierre Economic Development Corporation, Chamber of Commerce, River Cities Transit, Missouri Shores, Capital Area Counseling, the Boys and Girls Club, Meals on Wheels, and others.
The utility rates fund operations, maintenance, and improvements in each of their respective utilities.
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