User uShare Login | Register
Login
Register

Along with posting photos, videos, and stories, your uShare account lets you post Classified Ads, recipes on What's For Dinner, and Announcements.


65° View Weather Current Conditions Sioux Falls Change Location
Set Weather Options

RADAR LOCATION

TEMPERATURE LOCATION

Share your Photos, Videos, and Stories on uShare! Click here to get started.

KELOLAND.com | Sioux Falls News & Weather, South Dakota News & Weather, Minnesota and Iowa News

[0] My Saved Articles
Back to all news

Politics

Find local businesses
on the KELO Pages!

 

Lawmakers Look For Ways To Attract Business

January 15, 2013, 9:56 PM by Ben Dunsmoor

Lawmakers Look For Ways To Attract Business
PIERRE, SD -

Legislative leaders from both parties plan to meet this week to talk about ways to attract businesses to South Dakota.

That's because a plan to use a portion of the contractor's excise tax was rejected in November.
    
South Dakota has been ranked one of the top states in the country to run a business and lawmakers in Pierre want to keep it that way.

"What if we don't do something?  How are we going to compete with these other states? Right now, we're at a disadvantage. So for us to maintain our number one rankings, we're going to have to come up with a solution," Senate Majority Leader Russell Olson (R) of Wentworth said.

One reason South Dakota may be at a disadvantage is because of the contractor's excise tax, which taxes the construction costs of a building project.

"Some businesses do see it as a deterrent. For large scale development cost, you have the up-front costs and the contractor's excise tax is an up-front cost," Senate Tax Committee Chairman Ryan Maher (R) of Isabel said.

South Dakota had a plan that would have taken a portion of the contractor's excise tax and put it in a separate fund to use for business incentives.  But Democrats took out petitions to put it on the ballot, saying it took money away from other state programs and in November, voters rejected the incentive plan.

South Dakota Governor Dennis Daugaard is now calling on lawmakers to find another way to bring companies here.

South Dakota is one of the few states with a contractor's excise tax and while some businesses may see it as a deterrent, lawmakers say it's a big part of state revenue and the state can't afford to just get rid of the tax.

The tax is the third largest revenue source for the state bringing in more than $80 million this year.

"There's a lot of people out there who don't like it, but the flip side is we have to have it because it is part of our crucial budgeting process. It is a substantial form of revenue for the state," Maher said.

Legislative leaders from both sides of the aisle are now ready to put down their differences and brainstorm new ideas.

"We're going to take our name badges off and we're just going to sit around the table and talk about it as South Dakotans, not as Republicans, not as Democrats, and just say we need to come up with something. Let's all work together towards getting this problem solved," Olson said.
    
Because state legislators don't want South Dakota to lose out on any business.

Previous Story

Next Story


Comments







 
Find Local Businesses on KELO Pages!

View politics

You may also like

Official Says Holder Resigning As Attorney General

9/25/2014 9:59 AM

Attorney General Eric Holder is resigning after heading the Justice Department for six years.

Full Story
Obama: US Misjudged Iraqi Army, Militants' Threat

9/28/2014 4:08 PM

President Barack Obama is acknowledging that U.S. intelligence agencies underestimated the threat from Islamic State militants and overestimated the a...

Full Story
James Traficant, Convicted Ex-Congressman, Dies

9/27/2014 2:51 PM

A former Ohio congressman who lost his political career after being convicted of taking bribes and kickbacks has died. James Traficant was 73.

Full Story
Legislative EB-5 Inquiry Leads To Proposed Legislation

9/24/2014 5:51 PM

South Dakota lawmakers are considering changes that they hope will prevent future conflict of interest issues with outgoing state employees.

Full Story | Watch
Jackson County Voters Approve Property Tax Opt Out

9/25/2014 10:49 AM

Voters in Jackson County have approved a three-year, $250,000 opt out of the state-imposed property-tax freeze.

Full Story


Events