Joint Appropriations Minutes 2/9/2017 09:00 AM

92^nd Legislative Session _ 2017

Committee: Joint Committee on Appropriations

Thursday, February 09, 2017

                                            P - Present
                                            E - Excused
                                            A - Absent

Roll Call
P    Rep. Ahlers
E    Rep. Carson
P    Rep. Howard
E    Rep. Karr
P    Rep. Peterson (Sue)
P    Rep. Lake
P    Rep. Bartels
P    Sen. Sutton
P    Sen. Nesiba
P    Sen. Cronin
P    Sen. Partridge
P    Sen. Peters
P    Sen. Haverly
P    Sen. White
P    Rep. Hunhoff
P    Sen. Wiik
P    Rep. Anderson, Co-Chair
P    Sen. Tidemann, Co-Chair

OTHERS PRESENT: See Original Minutes

The meeting was called to order by Co-Chair Larry Tidemann.

    HB 1010: authorize the Board of Regents to contract for the construction of the NSU Regional Science Education Center at Northern State University and to make an appropriation therefor.

Presented by:    Timothy Downs, Board of Regents (Handouts: No. 1)
        Veronica Paulson, Board of Regents
Proponents:    Mike Rush, Board of Regents

Senator Novstrup
Julie Johnsonn, Aberdeen Development Corporation

MOTION: AMEND HB 1010

On page 2, line 7, of the printed bill, after "Act." insert "However, any adjustments to construction cost estimates for the project may not exceed one hundred twenty-five percent of the estimated project construction cost stated in section 1 of this Act.".

Moved by:    Peters
Second by:    Partridge
Action:    Prevailed by voice vote.

MOTION:    AMEND HB 1010

On page 2, line 8, delete everything after "accept" and insert "and transfer any funds obtained for".

On page 2, line 10, delete everything after "project." .

On page 2, delete lines 11 and 12.

On page 2, after line 17, insert:

"
Section 7. All moneys deposited into the fund authorized in section 4 of this Act are hereby appropriated to the projects authorized by this Act, subject to the limitations stated in sections 1 to 3, inclusive, of this Act.

Section 8. Sections 2 and 7 of this Act are effective on July 1, 2018.".

Moved by:    Hunhoff
Second by:    Anderson
Action:    Failed by roll call vote. (4-12-2-0)

Voting Yes:    Howard, Peterson (Sue), Peters, Hunhoff

Voting No:    Ahlers, Lake, Bartels, Sutton, Nesiba, Cronin, Partridge, Haverly, White, Wiik, Anderson, Tidemann

Excused:    Carson, Karr

MOTION:    DO PASS HB 1010 AS AMENDED

Moved by:    White
Second by:    Partridge
Action:    Prevailed by roll call vote. (15-1-2-0)

Voting Yes:    Ahlers, Peterson (Sue), Lake, Bartels, Sutton, Nesiba, Cronin, Partridge, Peters, Haverly, White, Hunhoff, Wiik, Anderson, Tidemann

Voting No:    Howard

Excused:    Carson, Karr

    SB 70: make appropriations from the water and environment fund and its revolving fund subfunds for various water and environmental purposes, to increase the transfer from the water and environment fund to the environment and natural resources fee fund, and to declare an emergency.

Presented by:    Jim Feeney, Department of Environment and Natural Resources (Handouts: No. 2)
Proponents:    Margo Northrup, South Dakota Association of Rural Water Systems
        Angela Ehlers, SD Assn of Conservation Districts
        Dr. Mark Winegar, SD Sierra Club

MOTION:    DO PASS SB 70

Moved by:    Peters
Second by:    Ahlers
Action:    Prevailed by roll call vote. (15-0-3-0)

Voting Yes:    Ahlers, Howard, Peterson (Sue), Lake, Bartels, Sutton, Nesiba, Cronin, Peters, Haverly, White, Hunhoff, Wiik, Anderson, Tidemann

Excused:    Carson, Karr, Partridge

    SB 43: make an appropriation to expand intensive methamphetamine treatment services

within the Department of Social Services and to declare an emergency.

Presented by:    Amy Iversen-Pollreisz, Department of Social Services
Proponents:    Terrance Dosch, South Dakota Council of Substance Abuse Directors, Inc.

        THE CHAIR DEFERRED SB 43

    SB 162: authorize the Board of Regents to contract for the design, renovation of, and addition to, the Animal Disease Research and Diagnostic Laboratory on the campus of South Dakota State University and to make an appropriation therefor.

Presented by:    Senator Frerichs
        Senator Nelson
Proponents:    Matt Sibley, South Dakota Farmers Union
        Jeremiah Murphy, South Dakota Stock Growers
Opponents:    Nathan Sanderson, Governor's Office
        Monte Kramer, Board of Regents
        Scott Stern, Governor's Office of Economic Development
        Representative Hawley

MOTION: AMEND SB 162

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

" Section 1. That the code be amended by adding a NEW SECTION to read:

It is in the public interest that the South Dakota Building Authority contract for the construction, completion, reconstruction, renovation, demolition, modernization, furnishing and equipping of facilities and related infrastructure at the State Animal Disease Research and Diagnostic Laboratory on the campus of South Dakota State University, including buildings, fixtures, plumbing, water, sewer, electric upgrades, domestic water treatment systems, site preparation, construction of facilities, improvements to the outside of the facilities, landscaping the grounds of the facilities, architectural, engineering, and bonding services. The South Dakota Building Authority may finance this project, including the issuance of revenue bonds not to exceed fifty-eight million six hundred thirty-nine thousand six hundred thirty-seven dollars, in accordance with this Act and chapter 5-12.

Section 2. That the code be amended by adding a NEW SECTION to read:

No indebtedness, bond, or obligation incurred or created authorized pursuant to sections 1 to 5, inclusive, of this Act may be or may become a lien, charge, or liability against the state, nor against

the property or funds of the state within the meaning of the Constitution or laws of South Dakota.

Section 3. That the code be amended by adding a NEW SECTION to read:

The South Dakota Building Authority may accept any funds obtained from gifts, contributions, or other sources for the purposes stated in section 1 of this Act.

Section 4. That the code be amended by adding a NEW SECTION to read:

The Board of Regents may make and enter into a lease agreement with the South Dakota Building Authority and make rental payments under the terms of the lease agreement, pursuant to chapter 5-12, from the state animal disease research and diagnostic laboratory bond redemption and operations fund for the payment of rent to support the construction, completion, reconstruction, renovation, demolition, furnishing, and equipping of the project authorized in section 1 of this Act, and payment of revenue bonds issued pursuant to this Act.

Section 5. That the code be amended by adding a NEW SECTION to read:

Upon receipt of payment of the balance of rental payments made under the terms of any lease entered into pursuant to section 4 of this Act, the South Dakota Building Authority shall convey the leased property improvements at the State Animal Disease Research and Diagnostic Laboratory to South Dakota State University pursuant to § 5-12-15.

Section 6. That the code be amended by adding a NEW SECTION to read:
There is hereby created the state animal disease research and diagnostic laboratory bond redemption and operations fund. Interest earned on the money in the fund shall be deposited in the fund. The fund shall be administrated by the Board of Regents.

Section 7. That the code be amended by adding a NEW SECTION to read:

The state treasurer shall annually transfer an amount equal to sixty percent of the bond or lease payment required in section 4 of this Act from the revolving economic development and initiative fund, created by § 1-16G-3 to the state animal disease research and diagnostic laboratory bond redemption and operations fund for the purpose of section 1 of this Act.

Section 8. That the code be amended by adding a NEW SECTION to read:

Notwithstanding any other restriction in this Act to the contrary, the total project cost may be increased based on the receipts of grants or donations received pursuant to this Act. However, no adjustment to any cost estimates authorized by this Act may exceed one hundred twenty-five percent of the authorized expenditure authority stated in section 1 on this Act.

Section 9. That the code be amended by adding a NEW SECTION to read:

The Bureau of Administration, pursuant to chapter 5-14, shall supervise the design and construction of this project.

Section 10. That the code be amended by adding a NEW SECTION to read:

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 11. That § 10-46E-9 be amended to read:

10-46E-9. ~~The~~Ninety percent of the revenue from the tax imposed by this chapter shall be deposited in the general fund. Ten percent of the tax imposed by this chapter shall be deposited in the state animal disease research and diagnostic laboratory bond redemption and operations fund. "

Moved by:    Anderson
Second by:    Sutton
Action:    Prevailed by voice vote.

        THE CHAIR DEFERRED SB 162

MOTION:    ADJOURN

Moved by:    Partridge
Second by:    Wiik
Action:    Prevailed by voice vote.


Barb Bjorneberg
Committee Secretary

____________________________                ____________________________
LARRY TIDEMANN, Co-Chair                DAVID L. ANDERSON, Co-Chair

../02090900.JAP

Page 1