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Legislative Panel Tackles Economic Development

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PIERRE – A negotiating committee plans to hammer out proposed changes to a comprehensive bipartisan economic development plan on the penultimate day of South Dakota’s main legislative session.

Building South Dakota would be funded on an ongoing basis by a portion of the contractors’ excise tax collected on large projects and some of the unclaimed property that the state receives from abandoned bank accounts.

But proposed changes to the bill supported by Republicans and Democrats would kick start the effort with $7 million from the state’s general fund.

The amendment would also add a safety valve that would withhold spending if projected ongoing revenues would be insufficient to fund education, Medicaid and state employee costs.

The changes would need to be approved by both chambers.

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Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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