JOURNAL OF THE SENATE

EIGHTY-SECOND SESSION  



THIRTY-SECOND DAY



STATE OF SOUTH DAKOTA
Senate Chamber, Pierre
Monday, February 26, 2007

     The Senate convened at 2:00 p.m., pursuant to adjournment, the President presiding.

     The prayer was offered by the Chaplain, Pastor Ruth Ann Loughry, followed by the Pledge of Allegiance led by Senate page Garrett Manley.

     Roll Call: All members present.

APPROVAL OF THE JOURNAL


MR. PRESIDENT:

     The Committee on Legislative Procedure respectfully reports that the Secretary of the Senate has had under consideration the Senate Journal of the thirty-first day.

     All errors, typographical or otherwise, are duly marked in the temporary journal for correction.

     And we hereby move the adoption of the report.

Respectfully submitted,
Bob Gray, Chair

     Which motion prevailed.
REPORTS OF STANDING COMMITTEES


MR. PRESIDENT:

    The Committee on Judiciary respectfully reports that it has had under consideration HB  1072 and 1108 and returns the same with the recommendation that said bills do pass.

Also MR. PRESIDENT:

    The Committee on Judiciary respectfully reports that it has had under consideration HB  1085, 1086, 1124, 1132, 1194, 1231, and 1275 and returns the same with the recommendation that said bills do pass and be placed on the Consent Calendar.

Also MR. PRESIDENT:

    The Committee on Judiciary respectfully reports that it has had under consideration HB 1249 and returns the same with the recommendation that said bill be amended as follows:

1249rb
     On page 1, line 10 of the House engrossed bill, after " grants, " insert "transfers,".

     On page 2 , between lines 8 and 9, insert:

    "Section 6. On June 26, 2007, the state treasurer shall transfer one hundred thousand dollars ($ 100,000 ) from the energy development impact fund created in §  10-39A-8.1 to the teen court grant program fund created in section 2 of this Act."


1249ta
     On page 2, after line 10 of the House engrossed bill, insert:

    "Section 8. Whereas, this Act is necessary for the support of the state government and its existing public institutions, an emergency is hereby declared to exist, and this Act shall be in full force and effect from and after its passage and approval."


1249rtb
     On page 1, line 1 of the House engrossed bill, after " program " insert ", to require the submission of a report,".

     On page 1 , line 1, delete " and " .

     On page 1 , line 2, after " purpose " insert "and to declare an emergency".

     And that as so amended said bill do pass.

Respectfully submitted,
Gene G. Abdallah, Chair

Also MR. PRESIDENT:

    The Committee on Judiciary respectfully reports that it has had under consideration HB  1161, which was removed from the table, and returns the same with the recommendation that said bill do pass.

Also MR. PRESIDENT:

    The Committee on Judiciary respectfully reports that it has had under consideration HB  1222 and 1252 and returns the same with the recommendation that said bills do pass and be placed on the Consent Calendar.

Also MR. PRESIDENT:

    The Committee on Judiciary respectfully reports that it has had under consideration HB  1209 which was deferred to the 41st Legislative Day.

Respectfully submitted,
Gene G. Abdallah, Chair

Also MR. PRESIDENT:

    The Committee on Local Government respectfully reports that it has had under consideration HB 1125 and 1302 and returns the same with the recommendation that said bills do pass.

Respectfully submitted,
Kenneth Albers, Chair

Also MR. PRESIDENT:

    The Committee on State Affairs respectfully reports that it has had under consideration HB 1176 and returns the same with the recommendation that said bill be amended as follows:

1176ob
     On the House Appropriations Committee engrossed bill, delete everything after the enacting clause and insert:
    "Section 1. That § 1-16G-3 be amended to read as follows:

     1-16G-3.   There is established in the state treasury a special revenue fund to be known as the revolving economic development and initiative fund for the purpose of making grants and loans for economic development.

         Section 2. That § 1-16G-5 be amended to read as follows:

     1-16G-5.   Funds used from the revolving economic development and initiative fund shall be available for matching on a one-to-one basis pursuant to rules as hereinafter provided. The Board of Economic Development may waive the matching requirement by a two-thirds vote of the members. Any repayment of loans made and any interest thereon shall be receipted into the revolving economic development and initiative fund and all money in the fund is hereby appropriated for the purposes of making grants and loans as provided in §§ 1-16G-3 to 1-16G- 11, inclusive. The Board of Economic Development may promulgate rules pursuant to chapter 1-26, to make grants and loans from the revolving economic development and initiative fund, and may establish criteria for the qualification, application, payment, and repayment of funds for such projects.

         The board may also make loans from the revolving economic development and initiative fund to the South Dakota Economic Development Finance Authority or the export development authority, without the matching one-to-one requirement, for the purposes of assisting in the credit enhancement requirements of bond issues, notes, loan guarantees and bond insurance. Any excess in the capital reserve fund of the economic development finance authority or export development authority, on June thirtieth of each year , shall revert to the revolving economic development and initiative fund for the purposes of principal and interest reduction.

         Section 3. That § 1-16G-8 be amended to read as follows:

     1-16G-8.   The Board of Economic Development shall promulgate rules concerning , but not limited to, the following:

                 (1)      The existing barriers to economic growth and development in the state;
                 (2)      Developing investment in research and development in high technology industries;
                 (3)      The submission of business plans prior to the approval of economic development grants or loans. Business plans shall include the products or services to be offered by the applicant, job descriptions with attendant salary or wage information by job category, educational requirements by job category, methods of accounting, financing other than that provided by the economic development loan, marketing, sales, merchandising and other disciplines proposed to be used for business growth and expansion;
                 (4)      The cooperation between agencies of state government and applicant businesses for nonfinancial services including , but not limited to, loan packaging, marketing assistance, research assistance, and to assist those businesses to find solutions for complying with environmental, energy, health, safety, and other federal, state, and local laws and regulation; and
                 (5)      Regular performance monitoring and reporting systems for participating businesses to assure compliance with their business plans and terms of repayment ;
                 (6)    Establish eligibility criteria for grants and loans;
                 (7)    Establish application procedures for grants and loans;
                 (8)    Establish criteria to determine which applicants will receive grants or loans;
                 (9)    Govern the use of proceeds of grants and loans;
             (10)    Establish criteria for the terms and conditions upon which loans shall be made, including matching requirements, interest rates, repayment terms, and the terms of security given to secure such loans; and
             (11)    Establish criteria for the terms and conditions upon which grants shall be made, including permitted uses, performance criteria, and matching requirements .

         Section 4. That § 1-16G-8.1 be repealed.

     1-16G-8.1.   For the purposes of §§ 1-16G-8.1 to 1-16G-8.3, inclusive, the term, capital investment entity, means a for-profit or non- profit investment entity or vehicle that intends to invest as an owner in businesses for the purpose of achieving return on investment through royalties, profit, growth, or otherwise.

         Section 5. That § 1-16G-8.2 be repealed.

     1-16G-8.2.   In addition to the loans authorized in §§ 1-16G-5 and 1-16G-8, the Board of Economic Development may make loans from the revolving economic development and initiative fund to capital investment entities. The loans shall be for the purpose of facilitating investment by capital investment entities in new businesses in this state and to facilitate the expansion or relocation of businesses in this state in order to promote economic development in this state. The total amount of such loans may not exceed twelve million dollars.

     Section 6. That § 1-16G-8.3 be repealed.

     1-16G-8.3.   The Board of Economic Development may promulgate, pursuant to chapter 1-26, rules to:

             (1)      Establish eligibility criteria;
             (2)      Set the application procedures for loans to capital investment entities;
             (3)      Establish criteria to determine which applicants will receive such loans;
             (4)      Govern the use of proceeds of such loans;
             (5)      Establish criteria for the terms and conditions upon which such loans shall be made, including matching requirements, if any, interest rates, repayment terms, and the terms of security given, if any, to secure such loans; and
             (6)      Establish reporting requirements for capital investment entities.

         Section 7. That § 1-16G-9 be repealed.

     1-16G-9.   The Board of Economic Development may designate "enterprise zones" and may, by rule, authorize loan participation of up to seventy-five percent in those enterprise zones. The term "enterprise zones" means any area of a first or second class municipality or county which has a continuous boundary; is an area of pervasive poverty, unemployment and economic distress; is an area in which the average rate of unemployment for the most recent eighteen-month period for the area, for which data are available, was at least one and one-half times the average national rate of unemployment for such eighteen-month period; is an area in

which at least seventy percent of the residents living in the area have incomes below seventy percent of the median income of the income of the state; is an area in which the population of all census tracts in the county decreased by twenty percent or more between the two most recent decennial United States' census; and, the first or second class municipality or county in which the proposed zone is located establishes that either chronic abandonment or demolition of commercial or residential structures exist in the area or that substantial delinquencies relating to ad valorem real property taxes of commercial or residential structures exists in the area.

         Section 8. That § 1-16G-10 be amended to read as follows:

     1-16G-10.   The Board of Economic Development shall prepare an annual report by the first day of October November of each year detailing the activities of the board and the terms and conditions of any grants and loans made, including the current status of outstanding loans.

         Section 9. That § 1-16G-11 be amended to read as follows:

     1-16G-11.   Any documentary material or data made or received by the Board of Economic Development or Governor's Office of Economic Development for the purpose of furnishing assistance to a business, to the extent that such material or data consists of trade secrets or commercial or financial information regarding the operation of such business, may not be considered public records is not a public record , and is exempt from disclosure pursuant to the provisions of §§ 1-16G-3 to 1-16G-11, inclusive. Any discussion, consideration of, or action upon such trade secrets or commercial or financial information by the Board of Economic Development may shall be done in executive session closed to the public, notwithstanding the provisions of the open meeting laws of this state.

         Section 10. That § 1-16G-24 be amended to read as follows:

     1-16G-24.   Earnings on the revolving economic development and initiative fund , the South Dakota entrepreneur program, the value added tourism subfund, and the value added agriculture subfund may be used for the administrative costs of the Division of Finance of the Governor's Office of Economic Development. Such earnings shall be expended in accordance with the provisions of Title 4 on warrants drawn by the state auditor on vouchers approved by the secretary of tourism and state development. Eligible expenses may not exceed total interest earnings during the previous fiscal year prior to the deduction of loan losses for the same fiscal year.

         Section 11. That § 1-16G-29 be repealed.

     1-16G-29.   There is created within the revolving economic development and initiative fund, created in § 1-16G-3, the value added tourism subfund. The purpose of the subfund is to make grants or loans for tourism development, feasibility studies, or marketing.

         Section 12. That § 1-16G-30 be repealed.

     1-16G-30.   For purposes of §§ 1-16G-24 and 1-16G-29 to 1-16G-33, inclusive, the term, value added tourism, means the development of new or underused tourism-related activities, sites, or destinations that use historical, cultural, scenic, wildlife, or other resources so that new

tourists or visitors are drawn to South Dakota or so that current classes and types of tourists or visitors lengthen their stay in South Dakota or pursue additional activities or destinations during their stay.

         Section 13. That § 1-16G-31 be repealed.

     1-16G-31.   The Board of Economic Development shall designate three million dollars of the money in the revolving economic development and initiative fund for the purposes of the value added tourism subfund.

         Section 14. That § 1-16G-32 be repealed.

     1-16G-32.   The Board of Economic Development shall administer the value added tourism subfund and make grants or loans from the value added tourism subfund. The value added tourism subfund shall be used to develop and promote value added tourism in South Dakota.

         Section 15. That § 1-16G-33 be repealed.

     1-16G-33.   In connection with the administration of the value added tourism subfund, the Board of Economic Development may, pursuant to chapter 1-26, promulgate rules to:

             (1)      Set the application procedures for those who apply for loans or grants from the value added tourism subfund;
             (2)      Establish criteria to determine which applicants will receive such loans or grants;
             (3)      Govern the use of proceeds of such loans or grants;
             (4)      Establish criteria for the terms and conditions upon which such loans or grants shall be made, including the terms of security given, if any, to secure such loans; and
             (5)      Govern the use of proceeds by lenders of funds advanced to the lenders by the board including the terms and conditions upon which the proceeds shall be loaned to borrowers for the purposes described in §§ 1-16G-24 and 1-16G-29 to 1-16G-33, inclusive.

         Section 16. That § 1-16G-34 be repealed.

     1-16G-34.   There is hereby created within the revolving economic development and initiative fund, created in § 1-16G-3, the South Dakota entrepreneur support program. The purpose of the program is to make loans to South Dakota entrepreneurs and South Dakota start-up businesses to develop and promote new business activity and to create employment in the state.

     Section 17. That § 1-16G-35 be repealed.

     1-16G-35.   For purposes of §§ 1-16G-34 to 1-16G-39, inclusive, the term, start-up business, means any new business venture in the technology, communications, service, or manufacturing sector.

     Section 18. That § 1-16G-36 be repealed.

     1-16G-36.   The Board of Economic Development shall designate up to three million dollars of the money in the revolving economic development and initiative fund for the purposes of the South Dakota entrepreneur support program.

         Section 19. That § 1-16G-37 be repealed.

     1-16G-37.   The Board of Economic Development shall administer the South Dakota entrepreneur support program and make loans under the following terms:

             (1)      No loan may be for less than thirty thousand dollars or for more than fifty thousand dollars;
             (2)      Each loan applicant shall provide for a matching amount of funds available from non-state sources equal to the amount of the loan. No in-kind amounts or services may be included in the matching funds; and
             (3)      Each loan may be made on an unsecured basis unless security is available. The loan shall be set up for repayment of the principal plus accrued interest beginning on the third anniversary date of the loan approval date with a balloon payment after the seventh anniversary of the loan anniversary date. However, the board may grant a further two-year extension before repayment begins.

         Section 20. That § 1-16G-38 be repealed.

     1-16G-38.   An applicant for a loan pursuant to §§ 1-16G-34 to 1-16G-39, inclusive, shall meet the following criteria:

             (1)      An innovative business concept with a reasonable probability of creating a new market or filling an existing market need;
             (2)      A three-year strategic plan for developing the business, creating jobs, and sourcing qualified employees to execute the plan with sufficient justification to support the amount of the request; and
             (3)      Demonstrable support from economic development and academic professionals or business consultants who can provide advice and guidance to the applicant.

         Section 21. That § 1-16G-39 be repealed.

     1-16G-39.   In connection with the administration of the South Dakota entrepreneur support program, the Board of Economic Development may, pursuant to chapter 1-26, promulgate rules to:

             (1)      Set the application procedures for those who apply for loans from the fund;
             (2)      Establish criteria to determine how loan funds shall be awarded and distributed to applicants;
             (3)      Govern the use of proceeds of the loans; and
             (4)      Establish criteria for the terms and conditions upon which the loans shall be made. "

1176ota
     On page 1, line 1 of the House Appropriations Committee engrossed bill, delete everything after " Act to " and insert "allow for grants from the revolving economic development and initiative fund, to revise certain provisions concerning the making of grants and loans from the revolving economic development and initiative fund, and to repeal the capital investment entity program, the value-added tourism subfund and the entrepreneur support program. "
     On page 1 , delete line 2 .

     And that as so amended said bill do pass.

Respectfully submitted,
Thomas A. Dempster, Chair

 Also MR. PRESIDENT:

    The Committee on Appropriations respectfully reports that it has had under consideration HB 1032, 1060, and 1250 and returns the same with the recommendation that said bills do pass.

Also MR. PRESIDENT:

    The Committee on Appropriations respectfully reports that it has had under consideration HB 1063 and returns the same with the recommendation that said bill be amended as follows:

1063ua
     On the printed bill, delete everything after the enacting clause and insert:

    "Section 1. There is hereby appropriated from the general fund the sum of one million three hundred thousand dollars ($ 1,300,000 ), or so much thereof as may be necessary, to the Board of Regents to fund state university information technology.

         Section 2. The executive director of the Board of Regents shall approve vouchers and the state auditor shall draw warrants to pay expenditures authorized by this Act.

         Section 3. Any amounts appropriated in this Act not lawfully expended or obligated by June   30, 2008, shall revert in accordance with §   4-8-21."


1063uta
     On page 1, line 1 of the printed bill, delete everything after " Act to " and insert "make an appropriation to fund state university information technology."

     On page 1 , delete line 2 .

     And that as so amended said bill do pass.

Also MR. PRESIDENT:

    The Committee on Appropriations respectfully reports that it has had under consideration HB 1101 which was deferred to the 41st Legislative Day.

Respectfully submitted,
Jerry Apa, Chair
Also MR. PRESIDENT:

    The Committee on Health and Human Services respectfully reports that it has had under consideration HB 1155 and returns the same with the recommendation that said bill be amended as follows:

1155jf
     On page 1 of the House Health and Human Services Committee engrossed bill , between lines 11 and 12, insert:

    

                 "(4)    Co-licensed partner," a party that, with another party or parties, has the right to engage in the manufacturing or marketing, or both, of a co-licensed product; ".

     On page 1 , line 12, delete " (4) " and insert " (5) ".

     On page 1 , line 13, delete " such drug " and insert " a drug consistent with the federal Food and Drug Administration's implementation of the Prescription Drug Marketing Act (21 C.F.R. Parts 203 and 205) ".

     On page 1 , line 14, delete " (5) " and insert " (6) ".

     On page 2 , line 6, delete " (6) " and insert " (7) ".

     On page 2 , delete line 8 and insert " (8)    "Drug Enforcement Administration," the Drug Enforcement Administration of the United States ".

     On page 2 , line 10, delete " (8) " and insert " (9) ".

     On page 2 , line 12, delete " (9) " and insert " (10) ".

     On page 2 , line 14, delete " (10) " and insert " (11) ".

     On page 2 , line 16, delete " a person licensed or approved " and insert " as defined ".

     On page 2 , delete line 17 , and insert " Drug Administration's regulations implementing the Prescription Drug Marketing Act (21 C.F.R. Parts 203 and 205) ;".

     On page 2 , line 18, delete " (11) " and insert " (12) ".

     On page 2 , line 20, delete " (12) " and insert " (13) ".

     On page 2 , line 22, delete " (13) " and insert " (14) ".

     On page 2 , line 24, delete " (14) " and insert " (15) ".

     On page 3 , line 3, delete " (15) " and insert " (16) ".
     On page 3, line 11, delete " any one " and insert "both".

     On page 5 , line 23, after " distribution; " insert "hospital pharmacies; reverse distributors;".

     On page 7 , line 18, after " any " insert "qualifications required for".

     On page 7 , line 19, after " regulation " insert ", including the requirements in subdivisions (7) and (8) of section 10 of this Act, and sections 11 to 13, inclusive, of this Act".

     On page 12 , line 22, delete everything after " warehouse " and insert "."

     On page 12 , delete line 23 , and insert "Returns of expired, damaged, recalled, or otherwise nonsaleable pharmaceutical products shall be distributed by the receiving wholesale distributor only to either the original".

     On page 12 , line 24, after " exchanges " insert "of prescription drugs, saleable or otherwise, including any redistribution by a receiving wholesaler,".

     On page 19 , after line 11, insert:

    "Section 29. That § 36-11A-3 be repealed.

     36-11A-3.   A wholesale drug distributor is any person engaged in the wholesale distribution of prescription drugs, including manufacturers; repackagers; own-label distributors; private- label distributors; reverse distributors; jobbers; brokers; warehouses, including manufacturers' and distributors' warehouses, chain drug warehouses, and wholesale drug warehouses; independent wholesale drug traders; and retail and hospital pharmacies that conduct wholesale distributions, including pharmacy distributors. A wholesale drug distributor does not include a common carrier or an individual hired solely to transport prescription drugs. "


     And that as so amended said bill do pass.

Respectfully submitted,
Tom Hansen, Chair

MR. PRESIDENT:

    The Committee on Government Operations and Audit respectfully reports that it has had under consideration HB 1041 and returns the same with the recommendation that said bill be amended as follows:

1041mb
     On page 3, line 13 of the House Government Operations and Audit Committee engrossed bill, after " initial license " insert " fee ".

     And that as so amended said bill do pass.

Respectfully submitted,
Jason M. Gant, Chair

Also MR. PRESIDENT:

    The Committee on Legislative Procedure respectfully reports that the Office of Engrossing and Enrolling has carefully compared SB 15, 39, 70, 79, and 125 and finds the same correctly enrolled.

Respectfully submitted,
Bob Gray, Chair

MESSAGES FROM THE HOUSE


MR. PRESIDENT:

    I have the honor to return herewith SB 79 which has passed the House without change.

Also MR. PRESIDENT:

    I have the honor to inform your honorable body that the House has concurred in Senate amendments to HB 1241.

Also MR. PRESIDENT:

    I have the honor to inform your honorable body that the House has failed to concur in Senate amendments to HB 1048 and has appointed Reps. Rhoden, Deadrick, and Hargens as a committee of three on the part of the House to meet with a like committee on the part of the Senate to adjust the differences between the two houses.

Respectfully,
Karen Gerdes, Chief Clerk

MOTIONS AND RESOLUTIONS


     Sen. Albers moved that the Committee on Local Government be instructed to deliver HB 1115 to the floor of the Senate, pursuant to Joint Rule 7-7.

     Which motion was supported and the committee was so instructed.


     SCR 9:   A CONCURRENT RESOLUTION,   Requesting the United States Forest Service to maintain and improve soil and vegetative cover throughout the National Grasslands located in the State of South Dakota by allowing the use of rodenticides for the management of the prairie dog population prior to reduction of other currently existing multiple uses of the National Grasslands.

    Was read the second time.

     Sen. Lintz moved that SCR 9 as found on page 636 of the Senate Journal be adopted.

     The question being on Sen. Lintz's motion that SCR 9 be adopted.

     And the roll being called:

     Yeas 35, Nays 0, Excused 0, Absent 0

     Yeas:
Abdallah; Albers; Apa; Bartling; Dempster; Duenwald; Gant; Garnos; Gray; Greenfield; Hansen (Tom); Hanson (Gary); Hauge; Heidepriem; Hoerth; Hundstad; Hunhoff; Jerstad; Katus; Kloucek; Knudson; Koetzle; Lintz; Maher; McCracken; McNenny; Napoli; Nesselhuf; Olson (Ed); Peterson (Jim); Schmidt (Dennis); Smidt (Orville); Sutton; Turbak; Two Bulls

     So the motion having received an affirmative vote of a majority of the members-elect, the President declared the motion carried and SCR 9 was adopted.

CONSIDERATION OF REPORTS OF COMMITTEES


     Sen. Knudson moved that the reports of the Standing Committees on

     Appropriations on HB 1061 as found on page 635 of the Senate Journal ; also

     Taxation on HB 1251 as found on page 635 of the Senate Journal be adopted.

     Which motion prevailed.

SECOND READING OF CONSENT CALENDAR ITEMS


     Sen. Apa requested that HB 1248 be removed from the Consent Calendar.

SECOND READING OF HOUSE BILLS AND JOINT RESOLUTIONS


     HB 1067:   FOR AN ACT ENTITLED, An Act to   revise certain reversion provisions regarding an appropriation to the South Dakota Energy Infrastructure Authority.

     Was read the second time.

     The question being "Shall HB 1067 pass as amended?"

     And the roll being called:

     Yeas 35, Nays 0, Excused 0, Absent 0

     Yeas:
Abdallah; Albers; Apa; Bartling; Dempster; Duenwald; Gant; Garnos; Gray; Greenfield; Hansen (Tom); Hanson (Gary); Hauge; Heidepriem; Hoerth; Hundstad; Hunhoff; Jerstad; Katus; Kloucek; Knudson; Koetzle; Lintz; Maher; McCracken; McNenny; Napoli; Nesselhuf; Olson (Ed); Peterson (Jim); Schmidt (Dennis); Smidt (Orville); Sutton; Turbak; Two Bulls

     So the bill having received an affirmative vote of a two-thirds majority of the members- elect, the President declared the bill passed and the title was agreed to.

     HB 1141:   FOR AN ACT ENTITLED, An Act to   create the health and safety facility equity program to assist certain school districts with critical need for capital construction.

     Was read the second time.

     The question being "Shall HB 1141 pass as amended?"

     And the roll being called:

     Yeas 16, Nays 19, Excused 0, Absent 0

     Yeas:
Apa; Dempster; Duenwald; Garnos; Greenfield; Hansen (Tom); Hauge; Hundstad; Jerstad; Katus; Lintz; Maher; Napoli; Olson (Ed); Schmidt (Dennis); Smidt (Orville)

     Nays:
Abdallah; Albers; Bartling; Gant; Gray; Hanson (Gary); Heidepriem; Hoerth; Hunhoff; Kloucek; Knudson; Koetzle; McCracken; McNenny; Nesselhuf; Peterson (Jim); Sutton; Turbak; Two Bulls

     So the bill not having received an affirmative vote of a majority of the members-elect, the President declared the bill lost.

     HB 1145:   FOR AN ACT ENTITLED, An Act to   revise certain provisions concerning utility right-of-way maintenance.

     Was read the second time.

1145ta

     Sen. Turbak moved that HB 1145 be further amended as follows:

     On page 1 of the House engrossed bill, remove the overstrikes from lines 5 to 10 , inclusive.

     On page 1 , line 7, overstrike " casual and involuntary " and insert " accidental and unintentional ".

     Sen. Koetzle requested a roll call vote.

    Which request was supported.    

     The question being on Sen. Turbak's motion that HB 1145 be further amended.

     And the roll being called:

     Yeas 8, Nays 27, Excused 0, Absent 0

     Yeas:
Heidepriem; Hoerth; Jerstad; Katus; Koetzle; Nesselhuf; Turbak; Two Bulls

     Nays:
Abdallah; Albers; Apa; Bartling; Dempster; Duenwald; Gant; Garnos; Gray; Greenfield; Hansen (Tom); Hanson (Gary); Hauge; Hundstad; Hunhoff; Kloucek; Knudson; Lintz; Maher; McCracken; McNenny; Napoli; Olson (Ed); Peterson (Jim); Schmidt (Dennis); Smidt (Orville); Sutton

     So the motion not having received an affirmative vote of a majority of the members present, the President declared the motion lost.

     The question being "Shall HB 1145 pass as amended?"

     And the roll being called:

     Yeas 31, Nays 4, Excused 0, Absent 0

     Yeas:
Abdallah; Albers; Apa; Bartling; Dempster; Duenwald; Gant; Garnos; Gray; Greenfield; Hansen (Tom); Hanson (Gary); Hauge; Hoerth; Hundstad; Hunhoff; Katus; Kloucek; Knudson; Koetzle; Lintz; Maher; McCracken; McNenny; Napoli; Nesselhuf; Olson (Ed); Peterson (Jim); Schmidt (Dennis); Smidt (Orville); Sutton

     Nays:
Heidepriem; Jerstad; Turbak; Two Bulls

     So the bill having received an affirmative vote of a majority of the members-elect, the President declared the bill passed and the title was agreed to.

     HB 1189:   FOR AN ACT ENTITLED, An Act to   require certain children to be in booster seats when in motor vehicles.

     Was read the second time.

     The question being "Shall HB 1189 pass as amended?"

     And the roll being called:

     Yeas 21, Nays 14, Excused 0, Absent 0

     Yeas:
Abdallah; Albers; Dempster; Gant; Garnos; Hanson (Gary); Hauge; Heidepriem; Hoerth; Hundstad; Hunhoff; Jerstad; Katus; Knudson; Koetzle; McCracken; Nesselhuf; Olson (Ed); Smidt (Orville); Sutton; Turbak

     Nays:
Apa; Bartling; Duenwald; Gray; Greenfield; Hansen (Tom); Kloucek; Lintz; Maher; McNenny; Napoli; Peterson (Jim); Schmidt (Dennis); Two Bulls

     So the bill having received an affirmative vote of a majority of the members-elect, the President declared the bill passed and the title was agreed to.

     HB 1196:   FOR AN ACT ENTITLED, An Act to   provide for notice and opportunity to remedy residential construction defects.

     Was read the second time.

1196ja
     Sen. Abdallah moved that HB 1196 be further amended as follows:

     On page 1, line 6 of the House engrossed bill, delete " , whether by complaint, " .

     On page 1 , line 7, delete " counterclaim, or cross-claim, " .
     On page 1 , line 8, after " include a " insert "counterclaim, cross-claim, or".

     On page 3 , line 1, after " professional " insert "or until the construction professional refuses to remedy the alleged construction defect, whichever occurs first. Upon service of the notice, the statute of limitations set forth in chapter 15-2A is suspended for the thirty-day period or until the refusal, whichever occurs first."

     On page 3 , delete lines 9 and 10 .

     Which motion prevailed.

     The question being "Shall HB 1196 pass as amended?"

     And the roll being called:

     Yeas 35, Nays 0, Excused 0, Absent 0

     Yeas:
Abdallah; Albers; Apa; Bartling; Dempster; Duenwald; Gant; Garnos; Gray; Greenfield; Hansen (Tom); Hanson (Gary); Hauge; Heidepriem; Hoerth; Hundstad; Hunhoff; Jerstad; Katus; Kloucek; Knudson; Koetzle; Lintz; Maher; McCracken; McNenny; Napoli; Nesselhuf; Olson (Ed); Peterson (Jim); Schmidt (Dennis); Smidt (Orville); Sutton; Turbak; Two Bulls

     So the bill having received an affirmative vote of a majority of the members-elect, the President declared the bill passed and the title was agreed to.

     HB 1205:   FOR AN ACT ENTITLED, An Act to   provide funds to the state technical institutes.

     Was read the second time.

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     Sen. Gant moved that HB 1205 be further amended as follows:

     On page 1, line 3 of the House Appropriations Committee engrossed bill, delete " one dollar ($1) " and insert "eight hundred thousand dollars ($ 800,000 )".

     Which motion prevailed.

     The question being "Shall HB 1205 pass as amended?"

     And the roll being called:

     Yeas 33, Nays 1, Excused 1, Absent 0

     Yeas:
Albers; Apa; Dempster; Duenwald; Gant; Garnos; Gray; Greenfield; Hansen (Tom); Hanson (Gary); Hauge; Heidepriem; Hoerth; Hundstad; Hunhoff; Jerstad; Katus; Kloucek; Knudson; Koetzle; Lintz; Maher; McCracken; McNenny; Napoli; Nesselhuf; Olson (Ed); Peterson (Jim); Schmidt (Dennis); Smidt (Orville); Sutton; Turbak; Two Bulls

     Nays:
Bartling

     Excused:
Abdallah

     So the bill having received an affirmative vote of a two-thirds majority of the members- elect, the President declared the bill passed and the title was agreed to.

     HB 1279:   FOR AN ACT ENTITLED, An Act to   create a task force to study permanent funding options for the state technical institutes, to provide for its composition, and to declare an emergency.

     Was read the second time.

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    Sen. Orville Smidt moved that HB 1279 be further amended as follows:

     On page 1 , line 5 of the House Appropriations Committee engrossed bill, delete " twenty " and insert "nineteen".

     On page 1, line 11, delete " eight " and insert "five".

     On page 1 , line 13, delete " five " and insert "three".

     On page 1 , line 14, delete " and " .

     On page 1 , between lines 14 and 15, insert:

    "(4)    The Governor shall appoint two members of the general public, no more than one of whom may be from one political party; and".


     On page 1 , line 15, delete " (4) " and insert "(5)".

     Which motion prevailed.

     The question being "Shall HB 1279 pass as amended?"

     And the roll being called:


     Yeas 29, Nays 6, Excused 0, Absent 0

     Yeas:
Albers; Apa; Bartling; Dempster; Gant; Garnos; Greenfield; Hansen (Tom); Hanson (Gary); Hauge; Heidepriem; Hoerth; Hundstad; Hunhoff; Jerstad; Katus; Kloucek; Knudson; Koetzle; Lintz; Maher; McCracken; Napoli; Nesselhuf; Peterson (Jim); Smidt (Orville); Sutton; Turbak; Two Bulls

     Nays:
Abdallah; Duenwald; Gray; McNenny; Olson (Ed); Schmidt (Dennis)

     So the bill having received an affirmative vote of a two-thirds majority of the members- elect, the President declared the bill passed and the title was agreed to.

     HB 1138:   FOR AN ACT ENTITLED, An Act to   appropriate money to postsecondary technical institutes for the maintenance and repair of buildings.

     Was read the second time.

     The question being "Shall HB 1138 pass as amended?"

     And the roll being called:

     Yeas 35, Nays 0, Excused 0, Absent 0

     Yeas:
Abdallah; Albers; Apa; Bartling; Dempster; Duenwald; Gant; Garnos; Gray; Greenfield; Hansen (Tom); Hanson (Gary); Hauge; Heidepriem; Hoerth; Hundstad; Hunhoff; Jerstad; Katus; Kloucek; Knudson; Koetzle; Lintz; Maher; McCracken; McNenny; Napoli; Nesselhuf; Olson (Ed); Peterson (Jim); Schmidt (Dennis); Smidt (Orville); Sutton; Turbak; Two Bulls

     So the bill having received an affirmative vote of a two-thirds majority of the members- elect, the President declared the bill passed and the title was agreed to.

     HB 1139:   FOR AN ACT ENTITLED, An Act to   create and provide for the education enhancement tobacco tax fund and the health care tobacco tax fund.

     Was read the second time.

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     Sen. Knudson moved that HB 1139 be further amended as follows:

     On page 1, line 9 of the House State Affairs Committee engrossed bill, after " programs. " insert "Any interest earned shall be credited to the fund."
     On page 2 , line 4, after " programs. " insert "Any interest earned shall be credited to the fund."

     Which motion prevailed.

1139od
     Sen. Heidepriem moved that HB 1139 be further amended as follows:

     On page 1, line 9 of the House State Affairs Committee engrossed bill, after " programs. " insert "For the purposes of this section, education enhancement programs means any increase in a fiscal year of the per student allocation that is greater than the increase by the index factor as provided by §  13-13-10.1."

     Sen. Heidepriem requested a roll call vote.

    Which request was supported.

     The question being on Sen. Heidepriem's motion that HB 1139 be further amended.

     And the roll being called:

     Yeas 15, Nays 20, Excused 0, Absent 0

     Yeas:
Bartling; Hanson (Gary); Heidepriem; Hoerth; Hundstad; Jerstad; Katus; Kloucek; Koetzle; Maher; Nesselhuf; Peterson (Jim); Sutton; Turbak; Two Bulls

     Nays:
Abdallah; Albers; Apa; Dempster; Duenwald; Gant; Garnos; Gray; Greenfield; Hansen (Tom); Hauge; Hunhoff; Knudson; Lintz; McCracken; McNenny; Napoli; Olson (Ed); Schmidt (Dennis); Smidt (Orville)

     So the motion not having received an affirmative vote of a majority of the members present, the President declared the motion lost.

     The question now being "Shall HB 1139 pass as amended?"

     And the roll being called:

     Yeas 20, Nays 15, Excused 0, Absent 0

     Yeas:
Abdallah; Albers; Apa; Dempster; Duenwald; Gant; Garnos; Gray; Greenfield; Hansen (Tom); Hauge; Hunhoff; Knudson; Lintz; Maher; McCracken; McNenny; Olson (Ed); Schmidt (Dennis); Smidt (Orville)

     Nays:
Bartling; Hanson (Gary); Heidepriem; Hoerth; Hundstad; Jerstad; Katus; Kloucek; Koetzle; Napoli; Nesselhuf; Peterson (Jim); Sutton; Turbak; Two Bulls

     So the bill having received an affirmative vote of a majority of the members-elect, the President declared the bill passed and the title was agreed to.

     HB 1140:   FOR AN ACT ENTITLED, An Act to   require an annual adjustment to the general fund levies of a school district by reducing local effort by nine million dollars from funds deposited in the property tax reduction fund from the tax on cigarettes and other tobacco products.

     Was read the second time.

    President Pro tempore Gray now presiding.

     The question being "Shall HB 1140 pass?"

     And the roll being called:

     Yeas 32, Nays 3, Excused 0, Absent 0

     Yeas:
Abdallah; Albers; Bartling; Dempster; Duenwald; Gant; Garnos; Gray; Greenfield; Hansen (Tom); Hanson (Gary); Hauge; Heidepriem; Hoerth; Hundstad; Hunhoff; Jerstad; Katus; Kloucek; Knudson; Lintz; Maher; McCracken; McNenny; Nesselhuf; Olson (Ed); Peterson (Jim); Schmidt (Dennis); Smidt (Orville); Sutton; Turbak; Two Bulls

     Nays:
Apa; Koetzle; Napoli

     So the bill having received an affirmative vote of a majority of the members-elect, the President declared the bill passed and the title was agreed to.

     HB 1244:   FOR AN ACT ENTITLED, An Act to   revise the General Appropriations Act for fiscal year 2007 regarding the South Dakota opportunity scholarships.

     Was read the second time.

     The question being "Shall HB 1244 pass?"

     And the roll being called:

     Yeas 35, Nays 0, Excused 0, Absent 0


     Yeas:
Abdallah; Albers; Apa; Bartling; Dempster; Duenwald; Gant; Garnos; Gray; Greenfield; Hansen (Tom); Hanson (Gary); Hauge; Heidepriem; Hoerth; Hundstad; Hunhoff; Jerstad; Katus; Kloucek; Knudson; Koetzle; Lintz; Maher; McCracken; McNenny; Napoli; Nesselhuf; Olson (Ed); Peterson (Jim); Schmidt (Dennis); Smidt (Orville); Sutton; Turbak; Two Bulls

     So the bill having received an affirmative vote of a majority of the members-elect, the President declared the bill passed and the title was agreed to.

     HB 1246:   FOR AN ACT ENTITLED, An Act to   make an appropriation for the costs related to the intensive methamphetamine treatment program in the women's state correctional system.

     Was read the second time.

     The question being "Shall HB 1246 pass as amended?"

     And the roll being called:

     Yeas 35, Nays 0, Excused 0, Absent 0

     Yeas:
Abdallah; Albers; Apa; Bartling; Dempster; Duenwald; Gant; Garnos; Gray; Greenfield; Hansen (Tom); Hanson (Gary); Hauge; Heidepriem; Hoerth; Hundstad; Hunhoff; Jerstad; Katus; Kloucek; Knudson; Koetzle; Lintz; Maher; McCracken; McNenny; Napoli; Nesselhuf; Olson (Ed); Peterson (Jim); Schmidt (Dennis); Smidt (Orville); Sutton; Turbak; Two Bulls

     So the bill having received an affirmative vote of a two-thirds majority of the members- elect, the President declared the bill passed and the title was agreed to.

     HB 1258:   FOR AN ACT ENTITLED, An Act to   create an intensive methamphetamine treatment program and revise the General Appropriations Act for fiscal year 2007, and to declare an emergency.

     Was read the second time.

     The question being "Shall HB 1258 pass as amended?"

     And the roll being called:

     Yeas 35, Nays 0, Excused 0, Absent 0

     Yeas:
Abdallah; Albers; Apa; Bartling; Dempster; Duenwald; Gant; Garnos; Gray; Greenfield; Hansen (Tom); Hanson (Gary); Hauge; Heidepriem; Hoerth; Hundstad; Hunhoff; Jerstad; Katus; Kloucek; Knudson; Koetzle; Lintz; Maher; McCracken; McNenny; Napoli; Nesselhuf; Olson (Ed); Peterson (Jim); Schmidt (Dennis); Smidt (Orville); Sutton; Turbak; Two Bulls

     So the bill having received an affirmative vote of a two-thirds majority of the members- elect, the President declared the bill passed and the title was agreed to.

     Sen. Knudson moved that HB 1271 be placed to precede HB 1262 on today's calendar.

     Which motion prevailed.

     HB 1271:   FOR AN ACT ENTITLED, An Act to   create a drug court program in the Unified Judicial System and make an appropriation therefor.

     Was read the second time.

     The question being "Shall HB 1271 pass as amended?"

     And the roll being called:

     Yeas 35, Nays 0, Excused 0, Absent 0

     Yeas:
Abdallah; Albers; Apa; Bartling; Dempster; Duenwald; Gant; Garnos; Gray; Greenfield; Hansen (Tom); Hanson (Gary); Hauge; Heidepriem; Hoerth; Hundstad; Hunhoff; Jerstad; Katus; Kloucek; Knudson; Koetzle; Lintz; Maher; McCracken; McNenny; Napoli; Nesselhuf; Olson (Ed); Peterson (Jim); Schmidt (Dennis); Smidt (Orville); Sutton; Turbak; Two Bulls

     So the bill having received an affirmative vote of a two-thirds majority of the members- elect, the President declared the bill passed and the title was agreed to.

     Sen. Knudson moved that HB 1262 and 1266 be deferred to Tuesday, February 27, the 33rd legislative day.

     Which motion prevailed.

     There being no objection, the Senate reverted to Order of Business No. 5.

REPORT OF STANDING COMMITTEE

MR. PRESIDENT:

    The Committee on Local Government respectfully reports that it has had under consideration HB 1115, which was reconsidered, and returns the same with the recommendation that said bill do NOT pass.

Respectfully submitted,
Kenneth Albers, Chair

     There being no objection, the Senate proceeded to Order of Business No. 7.

MESSAGE FROM THE HOUSE


MR. PRESIDENT:

    I have the honor to inform your honorable body that SB 160 was tabled.

Respectfully,
Karen Gerdes, Chief Clerk

     The President announced Sens. Knudson, Gray, and Nesselhuf as a committee of three on the part of the Senate to meet with a like committee on the part of the House to adjust the differences between the two houses on HB 1048.

COMMEMORATIONS


     SC 20   Introduced by:  Senators Olson (Ed), Albers, Dempster, McCracken, and Napoli and Representatives Vehle, Ahlers, Carson, Dreyer, and Rave

         A LEGISLATIVE COMMEMORATION,  Commending and honoring the 2006-2007 Mitchell Kernels Gymnastics Team and their coach, Audra Rew, for the school's first Class AA High School Gymnastics State Championship.

     WHEREAS,  the Mitchell Kernels Gymnastics Team of Brooke Cersosimo, Amelia Rew, Tessa Dee, Kendell Smith, Christy Wittstruck, and Abby Deinert demonstrated great

performance, commitment, leadership, dedication, and athletic excellence in winning their first State Championship; and

     WHEREAS,  Brooke Cersosimo and Amelia Rew captured first and second place respectively in the individual all-around gymnastics title, making Cersosimo a three-time individual champion; and

     WHEREAS,  Brooke Cersosimo scored the first perfect 10 in Class AA state gymnastics individual competition history, setting the state record in the all-around; and

     WHEREAS,  the Kernels posted the highest score in all four events at the meet: vault, balance beam, floor exercise and uneven bars; and

     WHEREAS,  the team had an excellent coaching staff of head coach Audra Rew and assistant coach Meghan Mickelson who effectively trained each of the members until the team became the finest in the state:

     NOW, THEREFORE, BE IT COMMEMORATED,  by the Eighty-second Legislature of the State of South Dakota, that the Mitchell Kernels Gymnastics Team be congratulated and commended for their excellence in athletics and academics during the 2006-2007 school year.

     SC 21   Introduced by:  Senators Kloucek, Albers, Garnos, Greenfield, Jerstad, Katus, and Peterson (Jim) and Representatives Putnam, Ahlers, DeVries, Feinstein, Krebs, Lucas, Lust, Olson (Betty), Rave, Rounds, Thompson, Tidemann, Van Norman, and Vehle

         A LEGISLATIVE COMMEMORATION,  Commending the 2006 Freeman Flyers High School Girls' Cross Country Team for winning the state title in the Class B Cross Country Meet held at Huron on October 21, 2006.

     WHEREAS,  the Freeman Flyers Girls' Cross Country Team, coached by Rory Hermsen, put forth the time and effort to train and practice as a team while maintaining their academic responsibilities; and

     WHEREAS,  the Freeman Flyers Girls' Cross Country Team gained confidence in themselves and their team which enabled them to win the first Freeman Flyers Class B Championship title since 1988; and

     WHEREAS,  the Freeman Flyers Girls' Cross Country Team was exemplary in its unity and accord from all of its members: Alia Soulek, Tiffany Mehlhaff, Stefanie Soulek, Leah Uecker, and Carly Uecker:

     NOW, THEREFORE, BE IT COMMEMORATED,  by the Eighty-second Legislature of the State of South Dakota, that the Freeman Flyers High School Girls' Cross Country Team and its coaching staff be congratulated and commended for their outstanding performances during the 2006 season.

      Sen. Two Bulls moved that the Senate do now adjourn, which motion prevailed and at 4:16 p.m. the Senate adjourned.

Trudy Evenstad, Secretary