Senate Journal 2/15/2008 12:00 PM

The Committee on Legislative Procedure respectfully reports that the Secretary of the Senate has had under consideration the Senate Journal of the twenty-fourth 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

The Committee on State Affairs respectfully reports that it has had under consideration HJR 1004 and HB 1142 and returns the same with the recommendation that said bill and resolution do pass.

The Committee on State Affairs respectfully reports that it has had under consideration HB 1294 and returns the same with the recommendation that said bill be amended as follows:

1294fd

On the House Commerce Committee engrossed bill, delete everything after the enacting clause and insert:

"Section 1. That chapter 35-4 be amended by adding thereto a NEW SECTION to read as follows:

Notwithstanding the provisions of § 35-4-11 or 35-4-11.1 or the on-sale license fees established pursuant to subdivisions 35-4-2(4) and (6), the governing board of any incorporated municipality or the board of county commissioners of any county may, by ordinance, issue additional on-sale licenses pursuant to subdivision 35-4-2(4) or (6) if the municipality or county
charges at least the minimum fee required by section 2 of this Act.

Any municipality issuing a license pursuant to this section is not subject to the quotas established in § 35-4-11. Any county issuing a license pursuant to this section is not subject to the quotas established in § 35-4-11.1. A municipality or county may, by ordinance, require that any license authorized by this section may only be issued to the owner of a restaurant or facility that enhances the economic development needs of the municipality or county.

Section 2. That chapter 35-4 be amended by adding thereto a NEW SECTION to read as follows:

Any municipality or county adopting the ordinance pursuant to section 1 of this Act may issue additional on-sale licenses pursuant to subdivision 35-4-2(4) or (6). Each municipality or county shall set the on-sale license fee within ninety days of adopting the ordinance pursuant to section 1 of this Act or within thirty days after the resolution of any appeal pursuant to section 3 of this Act. After the fee for an on-sale license issued pursuant to this Act has been determined, no municipality or county may change the fee for a period of ten years unless an increase in population reported by the federal decennial census requires an increase in the fee.

Section 3. That chapter 35-4 be amended by adding thereto a NEW SECTION to read as follows:

Each licensee who owns an on-sale license issued pursuant to subdivision 35-4-2(4) or (6) as of January 1, 2008, and who purchased or had a license transferred to them at any time after January 1, 1998, shall report the amount originally paid for the on-sale license to the municipality or county that
issued the license. The declared purchase price shall be made under oath and shall include the documents establishing the amount paid. If the transaction for the purchase of the on-sale license included real or personal property, the full market value of the real or personal property on the date of the original sale shall be deducted from the total transaction price to determine the amount paid by the licensee for the on-sale license. The burden of establishing the amount paid for the license shall be on the licensee. Any licensee contesting the fair market value of the real and personal property may appeal the valuation to circuit court.

If no on-sale license issued pursuant to subdivision 35-4-2(4) has been sold or transferred in the ten years prior to January 1, 2008, the municipality shall set the license fee of a new on- sale license at no less than one dollar for each person residing within the municipality as measured by the last preceding decennial federal census. If no on-sale license issued pursuant to subdivision 35-4-2(6) has been sold or transferred in the ten years prior to January 1, 2008, the county shall charge at least one dollar for each person residing within the county but outside the boundary of any municipality as measured by the last preceding decennial federal census.

Section 4. Any municipality or county adopting the ordinance pursuant to section 1 of this Act shall set the license fee of a new on-sale license, pursuant to section 2 of this Act, at or above the current fair market value. However, such license fee may not be less than the minimum license fees established pursuant to subdivision 35-4-2(4) or (6). For purposes of this section, the term, current fair market value, means the documented price of the on-sale license most recently sold between January 1, 1998, and January 1, 2008, through an arm's-length transaction, less the value of any real or personal property included in the transaction. Each on- sale license holder as of January 1, 2008, who acquired the on-sale license within the last ten years shall report to the municipality or county the date and price paid for its on-sale license.

Section 5. The municipality or county shall maintain a registry of each on-sale license that is being offered for sale at the price established in section 4 of this Act and furnish a copy of the registry to anyone who requests a new on-sale license. The municipality or county may only issue a new license pursuant to this Act if no on-sale license is on the registry or a person desiring to purchase an on-sale license listed on the registry provides documentation showing that the person is unable to purchase any on-sale license listed on the registry at the price established in section 4 of this Act and on terms satisfactory to both the potential buyer and seller. The price of any on-sale license registered as, for sale, with the municipality or county shall be sold at the current fair market price set by the municipality or county pursuant to section 4 of this Act. Nothing in this Act precludes the sale of an on-sale license by a licensee not listed on the registry.

Section 6. The existing on-sale license holder is responsible for registering with the municipality or county that the on-sale license is for sale pursuant to section 5 of this Act."

1294fta

On page 1, line 1, of the House Commerce Committee engrossed bill, delete everything after "Act to" and insert "allow municipalities and counties to issue additional on-sale alcoholic beverage licenses under certain circumstances."

On page 1, delete line 2.

And that as so amended said bill do pass.

Respectfully submitted,
Thomas A. Dempster, Chair

The Committee on Appropriations respectfully reports that it has had under consideration HB 1115 and 1277 and returns the same with the recommendation that said bills do pass.

Respectfully submitted,
Jerry Apa, Chair

MESSAGES FROM THE HOUSE

I have the honor to return herewith SCR 4, 10, and 11 in which the House has concurred.

I have the honor to return herewith SB 1, 5, 9, 11, 16, 19, 30, and 39 which have passed the House without change.

I have the honor to transmit herewith HB 1076, 1124, 1151, 1224, 1251, and 1314 which have passed the House and your favorable consideration is respectfully requested.

Respectfully,
Karen Gerdes, Chief Clerk

MOTIONS AND RESOLUTIONS

SENATE PAGE RESOLUTION 3 Introduced by: Senators 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 Berry; Two Bulls

A RESOLUTION, Expressing the appreciation and gratitude of the Senate of the Eighty-third Legislature of the State of South Dakota to Jennifer Adams, Samantha Gerbracht, Michelle Kitterman, Rebecca Linneweber, Brooke Reiner, Angela Schram, Kasey Till, Ariel Watt, Cassandra Watt, and Jeremy Wolbrink.

WHEREAS, the above named served loyally as pages for the Senate of the Eighty-third Legislative Session; and

WHEREAS, the members of the Eighty-third Senate express their most sincere appreciation to these young people for their service to the state; and

WHEREAS, the members extend to these young people their wishes for every success in life:

NOW, THEREFORE, BE IT RESOLVED, by the Senate of the Eighty-third Legislature of the State of South Dakota, that a personal copy of this resolution be duly certified and furnished to each page on this last day of service.

Sen. Knudson moved that Senate Page Resolution No. 3 be adopted.

The question being on Sen. Knudson's motion that Senate Page Resolution No. 3 be adopted.

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

So the motion having received an affirmative vote of a majority of the members-elect, the President declared the motion carried.

SCR 13 Introduced by: Senators Lintz, Albers, Apa, Duenwald, Gant, Garnos, Greenfield, Hanson (Gary), Hauge, Kloucek, McCracken, McNenny, Napoli, Peterson (Jim), and Schmidt (Dennis) and Representatives Brunner, Elliott, Gilson, Jerke, Juhnke, Nelson, Noem, Olson (Betty), Rave, Rhoden, Sigdestad, Steele, Van Etten, Vanneman, and Willadsen

A CONCURRENT RESOLUTION, Opposing the development of the NAFTA Superhighway.

WHEREAS, the North American Free Trade Agreement (NAFTA) between the United States, Canada, and Mexico, was signed into law in 1993 by President Bill Clinton, who stated that he hoped the agreement would encourage other nations to work toward a broader world trade pact. NAFTA eliminated virtually all tariffs and trade restrictions between the three nations and created the world's largest free-trade zone; and

WHEREAS, U.S. trade deficits with Mexico and Canada have significantly widened since the implementation of NAFTA, and the economic and physical security of the United States is threatened by the potential loss of control of its borders associated with the full operation of NAFTA; and

WHEREAS, a NAFTA Superhighway System from the west coast of Mexico through the United States and into Canada has been suggested as part of a North American Union; and

WHEREAS, a NAFTA Superhighway System would pose a wide range of potential risks to the United States, including the entry into the United States of illegal drugs, illegal human smuggling, and access deep into United States territory for terrorists, as well as more mundane problems, such as difficulties related to vehicle accidents, insurance collections and rates, and vehicle maintenance and safety hazards; and

WHEREAS, a NAFTA Superhighway System would be funded by foreign consortiums and controlled by foreign management, which threatens the sovereignty of the United States; and

WHEREAS, development of the apparent initial stages of the NAFTA Superhighway System has already begun in Texas with the Texas Department of Transportation's proposed Texas Trade Corridor, known as TTC-35, a four-football-fields-wide NAFTA superhighway to be financed and operated by Cintra Concesiones de Infraestructuras de Transporte, S.A., a foreign investment consortium based in Spain. Cintra will own the leasing and operating rights on TTC highways for fifty years after their completion; and

WHEREAS, another potential element in the NAFTA Superhighway System is the proposed development of the "Kansas City Smart Port," an intermodal transportation facility and cargo center located far inland that would handle imports and exports entering and leaving the United States and could allow foreign customs officials jurisdiction over major portions of American commerce; and

WHEREAS, a significant reason for the projects is to connect truck traffic from Mexican ports on the Pacific, such as Lazaro Cardenas, to U.S. roads. Mexican ports are being increasingly used as an alternative to West Coast ports such as Los Angeles and Long Beach as a cheaper, nonunion alternative for the import of millions of containers from China; and

WHEREAS, the Texas Legislature in 2007 attempted to check the development of the Texas Trade Corridor with legislation that would place a two-year moratorium on all public-private partnerships involving the construction of new toll roads financed and operated by private foreign investment groups and require a study of such long-term partnerships. Other legislation would have added a number of requirements and restrictions to Texas' eminent-domain procedures. These measures were approved overwhelmingly by the Texas Legislature but were vetoed by the Governor; and

WHEREAS, the Texas legislation has important ramifications for the rest of the nation, as the Texas Trade Corridor appears to be part of the physical infrastructure to be used to deepen the integration of Mexico, the United States, and Canada in a North American economic community that may be a precursor to further union:

NOW, THEREFORE, BE IT RESOLVED, by the Senate of the Eighty-Third Legislature of the State of South Dakota, the House of Representatives concurring therein, that the Legislature supports the actions taken in 2007 by the Texas Legislature to investigate and restrain the development of the Texas Trade Corridor, or TTC-35, an apparent precursor to the North American Free Trade Agreement (NAFTA) Superhighway; and

BE IT FURTHER RESOLVED, that the Legislature opposes the construction of a NAFTA Superhighway System and opposes the entry of the United States into a North American Union with Mexico and Canada; and

BE IT FURTHER RESOLVED, that the Legislature opposes any proposal that threatens the sovereignty of the United States.

Was read the first time and referred to the Committee on Transportation.

CONSIDERATION OF REPORTS OF COMMITTEES

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

Education on HB 1047 as found on page 505 of the Senate Journal ; also

Education on HB 1051 as found on page 505 of the Senate Journal ; also

Transportation on HB 1255 as found on page 504 of the Senate Journal be adopted.

Which motion prevailed.

Sen. McNenny moved that the word NOT be stricken from the report of the Committee on State Affairs on HB 1261 as found on page 522 of the Senate Journal and that HB 1261 be placed on the calendar of Wednesday, February 20, the 27^th legislative day.

Sen. Gant moved as a substitute motion to defer consideration of the State Affairs Committee report on HB 1261 to Tuesday, February 19^th, the 26^th legislative day.

Sen. Heidepriem requested a roll call vote.

Which request was supported.

The question being on Sen. Gant's substitute motion to defer consideration of the State Affairs Committee report on HB 1261 to Tuesday, February 19^th, the 26^th legislative day.

And the roll being called:

Yeas 14, Nays 17, Excused 4, Absent 0

Yeas:
Abdallah; Albers; Apa; Bartling; Gant; Garnos; Greenfield; Hunhoff; Lintz; Maher; McNenny; Napoli; Peterson (Jim); Schmidt (Dennis)

Nays:
Dempster; Gray; Hansen (Tom); Hanson (Gary); Hauge; Heidepriem; Hoerth; Hundstad; Jerstad; Katus; Knudson; Koetzle; McCracken; Nesselhuf; Smidt (Orville); Sutton; Turbak Berry

Excused:
Duenwald; Kloucek; Olson (Ed); Two Bulls

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 on Sen. McNenny's motion that the word NOT be stricken from the report of the Committee on State Affairs on HB 1261 and that the bill be placed on the calendar of Wednesday, February 20, the 27^th legislative day.

And the roll being called:

Yeas 14, Nays 17, Excused 4, Absent 0

Yeas:
Abdallah; Albers; Apa; Bartling; Gant; Garnos; Greenfield; Hunhoff; Lintz; Maher; McNenny; Napoli; Peterson (Jim); Schmidt (Dennis)

Nays:
Dempster; Gray; Hansen (Tom); Hanson (Gary); Hauge; Heidepriem; Hoerth; Hundstad; Jerstad; Katus; Knudson; Koetzle; McCracken; Nesselhuf; Smidt (Orville); Sutton; Turbak Berry

Sen. Knudson moved that the State Affairs Committee report on HB 1261, as found on page 522 of the Senate Journal, be adopted.

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

Which motion prevailed and the State Affairs Committee report on HB 1261, as found on page 522 of the Senate Journal, was adopted.

FIRST READING OF HOUSE BILLS AND JOINT RESOLUTIONS

HB 1076: FOR AN ACT ENTITLED, An Act to revise the funding for K-12 education.

Was read the first time and referred to the Committee on Appropriations.

HB 1124: FOR AN ACT ENTITLED, An Act to establish a classification system, an evaluation system, and minimum annual salaries for certified teachers and school service specialists, to establish the Certified Teacher and School Service Specialist Classification and Evaluation System Advisory Board, and to revise certain provisions relating to teacher tenure.

Was read the first time and referred to the Committee on Education.

HB 1151: FOR AN ACT ENTITLED, An Act to regulate the location and hours of operation of adult oriented businesses.

Was read the first time and referred to the Committee on Local Government.

HB 1224: FOR AN ACT ENTITLED, An Act to provide for the funding of certain reduced tuition programs for veterans.

Was read the first time and referred to the Committee on Education.

HB 1251: FOR AN ACT ENTITLED, An Act to authorize the Board of Regents to acquire land for the Higher Education Center_West River.

Was read the first time and referred to the Committee on Appropriations.

HB 1314: FOR AN ACT ENTITLED, An Act to authorize the Department of Game, Fish and Parks to sell and convey real and personal property located at the Spring Creek Recreation Area and to declare an emergency.

Was read the first time and referred to the Committee on Agriculture and Natural Resources.

SECOND READING OF CONSENT CALENDAR ITEMS

Pursuant to Senate Rule 6-1, the President removed HB 1293 from the Consent Calendar.

HB 1096: FOR AN ACT ENTITLED, An Act to authorize the court appointment of parenting coordinators in certain custody and visitation disputes.

The question being "Shall HB 1096 pass as amended?"

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 1099: FOR AN ACT ENTITLED, An Act to require custody or visitation dispute mediation under certain circumstances.

The question being "Shall HB 1099 pass as amended?"

HB 1143: FOR AN ACT ENTITLED, An Act to repeal certain requirements related to school district employee retirement benefits.

Excused:
Duenwald; Kloucek; Olson (Ed); 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.

The question being "Shall HB 1143 pass?"

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 1164: FOR AN ACT ENTITLED, An Act to authorize the purchase or lease of computer hardware and software through the general fund of school districts.

The question being "Shall HB 1164 pass?"

HB 1212: FOR AN ACT ENTITLED, An Act to allow the marketing of group insurance for wireless telecommunications equipment under certain conditions.

Excused:
Duenwald; Kloucek; Olson (Ed); 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.

The question being "Shall HB 1212 pass?"

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 1213: FOR AN ACT ENTITLED, An Act to provide a uniform standard for processing of accident and health carrier policy rate and form filings.

The question being "Shall HB 1213 pass as amended?"

SECOND READING OF HOUSE BILLS AND JOINT RESOLUTIONS

Excused:
Duenwald; Kloucek; Olson (Ed); 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.

Sen. Knudson moved that HB 1090, HJR 1001, HB 1139, 1148, 1210, 1245, and 1288 be deferred to Tuesday, February 19, the 26^th legislative day.

Which motion prevailed.

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

REPORTS OF STANDING COMMITTEES

The Committee on Legislative Procedure respectfully reports that the Office of Engrossing and Enrolling has carefully compared SB 1, 5, 9, 11, 16, 19, 30, and 39 and finds the same correctly enrolled.