SOUTH DAKOTA STRAIGHT TALK

Competition for the money clearly is going to be the dominant and overriding theme of this year’s legislature.

With the abortion issue apparently off the legislative plate having seemingly been deferred to the ballot by the pro life forces, this year’s money battle over who has it and who gets it will dominate.

Since the Governor introduced his proposed budget earlier this month, public debate has taken on several interesting dimensions. Beyond the ever present battle between 2nd (Governor) and 3rd Floors (Legislature) Revenue growth is projected to be less than in previous years. Thus the stage is set for a real battle for the “new money” by the various interests. Dueling for dollars will be especially fierce between the K-12 Districts, the Regents,State Employees, the Highway Patrol, and County Governments.

In spite of reduced growth, the Governor has proposed increased expenditures for higher education and a few special programs. The budget includes a lower than usual salary package increase for State employees and what is turning into a high profile fight over a cut in funds for the Highway Patrol.

The Patrol funding fight is one the Governor will not win and I expect that this may be a straw man for the Governor to give in on in order to gain support for other items. No one likes the cops until they need one but public safety is one area that the public overwhelmingly supports. Public awareness of the need for adequate, well trained, and fairly compensated First Responders increased dramatically after 911.

Tension between the Legislature and Governor is exacerbated by the fact that the wanna be Governors on the Appropriations Committee (who think they are expert on the workings of State Government) is heightened by senior Senators Jerry Apa and Brock Greenfield serving their last year. Because of term limits they have become unchained in their quest to stop all spending they deem wasteful. They are particularly hard on social services and programs they deem “Nanny Government”. In large part they will be unsuccessful but they will be pesky and cause the 2nd Floor heartburn. Thankfully the third Mouseketeer, Bill Napoli (that would cause even more mischief) has been replaced on Appropriations by the steady hand of Senator Bob Gray of Pierre. Look  for Gray to be instrumental in finding the money to make the State Employees whole in the budget with the usual and customary 3% annual increase.

The Governor’s proposal of using $10 million dollars to fund a loan program for other units of government to make energy saving infrastructure improvements is also a hot item. Some legislators are using this proposal to try to demonstrate that there is in fact new money. An important distinction is that the use of Reserves for the energy program will be repaid and that the money will be used for one time expenditures. This differs from Democrat proposals to use Reserve Funds for ongoing expenditures.

Concerning the Revenue Estimate – Expect the Legislature to wait as long as possible for new numbers in late February to see if the economic outlook if brighter. If agreement is found that it is, look for the budget to be juiced to buy off the various warring factions.

Expect a lot of activity on issues concerning the Twin Sins – Tobacco and Alcohol. Taxes will be on the table concerning tobacco revenues and a liquor tax to support County law enforcement. There will be extensive debate and attempts at changing the issuance of local liquor licensure. These items will get a lot of attention and debate. Also garnering media attention will be topics of a Code of Ethics and Open Records and Open Meetings debate. This being the shorter 35 day election year Session, do not expect any tax increases.

What is new this year is the Four Day Work Week. While this is intended to allow Legislators to be at home and perhaps at their Civilian Jobs another day each week, the effect will be to increase the influence of the public back at home to lobby their Representatives and the media to shape public opinion.

Besides the Business of making laws and public policy there will be the political posturing. Members will be jostling for position for the next election, the 2010 statewide elections (including the Big Enchilada Governor’s Election), and even perhaps the 2008 U S Senate and House races. The Democrats while they do not enjoy much power or a Majority, under the leadership of Senate Leader Scott Hiedepriem and Dem Party Exec Rick Hauffe will be working mightily to shape public opinion on the need for more Democrat representation in the State Legislature.

Overall the 83rd Leg Session will be more interesting that usual.

(fact and rhetorically corrected December 26th)