Gov. Dennis Daugaard signed two bills related to the Building South Dakota Fund and were intricately tied to providing schools with an increase to the PSA.
Senate Bill 157 provides an appropriation of $30 million spread over the next three years to the Building S.D. fund and ensures that following the three year period there will be no cap on potential aid for the fund.
Senate Bill 158 revises certain funding provisions of the fund following the expiration of the three year moratorium established in SB 157.
SB 158 deposits dollars to the Building S.D. fund if the state’s reserves are at or above 10 percent of the state’s general fund budget, making it reliant on excess funds drawn from unobligated dollars. If there are no unobligated dollars and the state’s reserves are 10 percent or under, then only half a percent of the previous fiscal year’s general fund budget would be appropriated to the Building S.D. fund.
Senator Corey Brown said the bill is a “prefund” for the Building S.D. fund and said the bill also “creates a (funding) floor for the Building South Dakota” fund.
The Building S.D. Fund was established by last year’s Senate Bill 235 and provided dollars for state aid for ESL students, CTE programs and education programs preparing students for the workforce, in that order.
ASBSD supported both SB 157 and 158. Executive Director Wade Pogany testified the bills are much needed for schools in order for them to receive the three percent increase, which he said is “necessary to sustain our school districts.”
For more analysis of the 2014 legislative session, download ASBSD’s legislative summary – scheduled for publication next week – from the Publications and Forms page.