80th Legislative Session _ 2005

Committee: Senate Taxation
Monday, February 14, 2005

                                            P - Present
                                            E - Excused
                                            A - Absent

Roll Call
E    Duenwald
P    Hansen (Tom)
P    Hundstad
P    Kelly
P    Kooistra
P    Nesselhuf
P    Peterson (Jim)
P    Lintz, Vice-Chair
P    Knudson, Chair

OTHERS PRESENT: See Original Minutes

The meeting was called to order by Chair Knudson.

MOTION:     TO APPROVE THE MINUTES OF FEBRUARY 11, 2005

Moved by:    Kooistra
Second by:    Hundstad
Action:    Prevailed by voice vote.

         SB 128: revise certain provisions relating to the assessment and valuation of real property and to lower the general fund levies of school districts.

Presented by:    Michael Kenyon, Department of Revenue and Regulation (Documents #1 & #2)
Proponents:    Representative Hal Wick
Opponents:    Ronald Olinger, SD Corn Growers Assn.
        Mike Held, SD Farm Bureau

MOTION:     AMEND SB 128


128fa
     On the printed bill, delete everything after the enacting clause and insert:

"      Section 1. That § 10-6-74 be amended to read as follows:

     10-6-74.   Any real property which sells for more than one hundred fifty sixty percent of its assessed value, may not be used for the purpose of valuing other real property. The sale of any real property which is not used for the purpose of valuing other real property pursuant to this section may not be used in any sales ratio study.

     Section 2. For taxes payable in 2007, the levy for the general fund of a school district, as provided in §  10-12-42, shall be lowered by:

             (1)      Eleven cents per thousand dollars of taxable valuation subject to the limitations on agricultural property as provided in subdivision (2) of this section, owner-occupied property as provided for in subdivision (3) of this section, and nonagricultural acreage property as provided for in subdivision (4) of this section;
             (2)      Three cents per thousand dollars of taxable valuation for agricultural property;
             (3)      Five cents per thousand dollars of taxable valuation for an owner-occupied single-family dwelling as defined in § 10-13-40; and
             (4)      Three cents per thousand dollars of taxable valuation for nonagricultural acreage property.

     This rate reduction is in addition to any other adjustment made by the Eighty-first Legislature of the State of South Dakota to the levy for the general fund of a school district as provided in §  10- 12-42.

     Section 3. That § 10-6-74 be amended to read as follows:

     10-6-74.   Any real property which sells for more than one hundred fifty one hundred seventy-five percent of its assessed value, may not be used for the purpose of valuing other real property. The sale of any real property which is not used for the purpose of valuing other real property pursuant to this section may not be used in any sales ratio study.

     Section 4. That § 10-6-74 be amended to read as follows:

     10-6-74.   Any real property which sells for more than one hundred fifty one hundred ninety percent of its assessed value, may not be used for the purpose of valuing other real property. The sale of any real property which is not used for the purpose of valuing other real property pursuant to this section may not be used in any sales ratio study.

     Section 5. That § 10-6-74 be amended to read as follows:



     10-6-74.   Any real property which sells for more than one hundred fifty two hundred ten percent of its assessed value, may not be used for the purpose of valuing other real property. The sale of any real property which is not used for the purpose of valuing other real property pursuant to this section may not be used in any sales ratio study.

     Section 6. That § 10-6-74 be repealed.

     10-6-74.   Any real property which sells for more than one hundred fifty percent of its assessed value, may not be used for the purpose of valuing other real property. The sale of any real property which is not used for the purpose of valuing other real property pursuant to this section may not be used in any sales ratio study.

     Section 7. Section 3 of this Act is effective on July 1, 2007.

     Section 8. Section 4 of this Act is effective on July 1, 2009.

     Section 9. Section 5 of this Act is effective on July 1, 2011.

     Section 10. Section 6 of this Act is effective on July 1, 2012."


Moved by:    Kelly
Second by:    Lintz
Action:    Prevailed by voice vote.

MOTION:     DO PASS SB 128 AS AMENDED

Moved by:    Kelly
Second by:    Kooistra
Action:    Was not acted on.

MOTION:     SUBSTITUTE MOTION DEFER SB 128 TO THE 41ST LEGISLATIVE DAY

Moved by:    Lintz
Second by:    Peterson (Jim)
Action:    Failed by roll call vote.(4-4-1-0)

Voting Yes:    Hundstad, Nesselhuf, Peterson (Jim), Lintz

Voting No:    Hansen (Tom), Kelly, Kooistra, Knudson

Excused:    Duenwald



ORIGINAL MOTION:     DO PASS SB 128 AS AMENDED

Moved by:    Kelly
Second by:    Kooistra
Action:    Failed by roll call vote.(4-4-1-0)

Voting Yes:    Hansen (Tom), Kelly, Kooistra, Knudson

Voting No:    Hundstad, Nesselhuf, Peterson (Jim), Lintz

Excused:    Duenwald

MOTION:     WITHOUT RECOMMENDATION SB 128 AS AMENDED

Moved by:    Kelly
Second by:    Kooistra
Action:    Withdrawn.

MOTION:     DEFER SB 128 UNTIL WEDNESDAY, FEBRUARY 16, 2005

Moved by:    Lintz
Second by:    Nesselhuf
Action:    Prevailed by voice vote.

         SB 80: provide certain electric power generation facilities a refund of the contractor's excise tax.

Presented by:    Senator Frank Kloucek (Document #3)
Opponents:    Scott Peterson, Department of Revenue and Regulation

MOTION:     TO TABLE SB 80

Moved by:    Kelly
Second by:    Lintz
Action:    Prevailed by roll call vote.(5-3-1-0)

Voting Yes:    Hansen (Tom), Kelly, Kooistra, Lintz, Knudson

Voting No:    Hundstad, Nesselhuf, Peterson (Jim)

Excused:    Duenwald

         SB 160: exempt certain energy production facilities from property taxation for a certain period of time.

Presented by:    Senator Frank Kloucek
Opponents:    Michael Kenyon, Department of Revenue and Regulation

MOTION:     DO PASS SB 160

Moved by:    Hundstad
Second by:    Nesselhuf
Action:    Was not acted on.

MOTION:     SUBSTITUTE MOTION DEFER SB 160 TO THE 41ST LEGISLATIVE DAY

Moved by:    Kelly
Second by:    Lintz
Action:    Prevailed by roll call vote.(5-3-1-0)

Voting Yes:    Hansen (Tom), Kelly, Kooistra, Lintz, Knudson

Voting No:    Hundstad, Nesselhuf, Peterson (Jim)

Excused:    Duenwald

MOTION:     ADJOURN

Moved by:    Nesselhuf
Second by:    Kooistra
Action:    Prevailed by voice vote.

Cindy Tryon

____________________________

Committee Secretary
Dave Knudson, Chair


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