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May 21, 2014 11:21 AM

Gov. Daugaard Eases Stance On Tax Increases

Pierre, SD

South Dakota Gov. Dennis Daugaard in the past has taken a firm stand against tax hikes. But now he says he won't rule them out when considering future transportation funding.

This summer the Legislature will study financing for the state's roads and bridges.

Daugaard's sole veto in the 2014 session was against an optional hotel occupancy tax increase. He said he didn't want to give local governments tools to raise taxes.

His spokesman says the decision to be open to gas tax increases is about finding the right policy for the state. He says because the gas tax is per gallon, not per dollar, it hasn't adjusted to inflation since it was set 15 years ago.

Daugaard is running for re-election this year.

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