Some lawmakers believe talk of a 3rd penny sales tax won't die down, even though lawmakers killed the bill in committee.  Right now, cities aren't able to put a 3rd penny sales tax on the ballot, but this bill would have changed that.  Lawmakers we spoke with say they're disappointed that the House Local Government committee voted down the bill.

Questions surrounding the 3rd penny sales tax bill came up at the Legislative Coffee in Sioux Falls.  And some lawmakers are upset the bill didn't even make it out of committee.

"I would have supported it, because I wouldn't have liked to see if come to the floor, for full discussion, and to get people, I really was looking out for some of the smaller communities around the state,” Rep. Darrell Solberg said.

"I was very, very disappointed by the strength of the vote against the issue, it was really disappointing,” Sen. Tom Dempster said.

Senator Tom Dempster and Representative Darrell Solberg say they would've liked to see the bill continue forward.  Dempster says he supports the bill 100 percent, and Solberg agrees that cities should be given the chance to decide whether to raise sales tax.

"I think it's a misunderstood bill, could it increase taxes, absolutely *if the city voted on it,” Solberg said.

"There's not a nickel worth of tax increase in the bill,” Dempster said.

If the bill would have passed, the 3rd penny sales tax could have helped pay for an events center in Sioux Falls, and Mitchell officials talked about how the tax could help them eventually replace the Corn Palace.  And smaller communities could have benefited, too. Beresford's mayor says the city's water pipe system is old and needs to be replaced.

"I don't agree with the government that tough economic times, we can't do it, I think the state wants to save that wiggle room for their own tax increase down the road,” Solberg said.

"94 communities wanted to have the ability to construct their own government in the way that they see fit, they absolutely ought to have that,” Dempster said.

Lawmakers say the issue may come up again next legislative session.