The challenge deadlines for both marijuana ballot measures have passed, so unless BIg Pharma or some other outfit is cooking up a lawsuit against the petitions, we’ll have pot on our November ballot. Sports betting passed its first committee test Friday, so we may add gambling to our ballot measures. Now let’s put some good wonky stuff on the ballot!
Senator Jeff Partridge (R-34/Rapid City) has proposed Senate Joint Resolution 502, a constitutional amendment to create a “pooled local investment fund.” If passed, SJR 502 would put on our ballot a measure to allow local governments to throw a little money into the well-managed and solidly growing state investment fund:
There is hereby created in the state treasury a fund named the pooled local investment fund. Any county, municipality, school district, or other political subdivision within the state may annually transfer, to the extent authorized by law, up to twenty percent of its reserve funds to the state treasurer, and, upon receipt, the state treasurer shall deposit the funds into the pooled local investment fund. The South Dakota Investment Council or its successor shall invest the pooled local investment fund in stocks, bonds, mutual funds, and other financial instruments as authorized by law and may charge fees for its services as specified by law. The state treasurer shall maintain ongoing records that show the balance of each political subdivision in the pooled local investment fund and such other records as required by law [2020 SJR 502, as introduced 2020.01.30].
No local government in South Dakota is rolling in dough, but counties in particular are strapped and consistently denied by the state opportunities to create new revenue streams. The Legislature has already killed Senate Bill 68, a proposal that sought to allow counties to levy a 1% gross receipts tax on lodging, restaurants, and entertainment. A narrower county tax proposal, House Bill 1099, allowing county voters to approve temporary half-penny county sales taxes for infrastructure projects, survived opposition in committee from the Chamber, the Retailers, the NFIB, and the Department of Revenue on an 8–5 vote. Local governments who struggle to get any new funding should leap at the chance to make a little money for nothing the way the state does to boost their reserves.
SJR 502 awaits first hearing from Senate Appropriations, a committee that hears nothing but serious policy measures. Let’s hope the appropriators and the rest of the Legislature place this serious policy measure on the ballot for our consideration.
Why must this be on the ballot? The lege can’t simply enact this into law?
So the chamber and othe commercial types are opposed because they think it will be bad for business? What do they think deteriorating infrastructure is? 🙄
Good question about the need for an amendment, Debbo. I don’t know if the basic plan could no be achieved through a simple bill, but I can imagine that by creating the fund in the Constitution, we lock the money away from Legislative raiding. Think of it as a Constitutional lockbox.
Good point.
Great, a state run slush fund? Perhaps Kristi could ask Mikey Rounds how to manage something like that. Is Joop available. He did a bang up job last time.
You know, Loren, if this measure goes on the ballot, I may advocate it. The way it’s written does not appear to allow the state to splash around in the slush. Plus, 66 counties would be watching that money like hawks.