Senate Journal 3/5/2009 02:00 PM

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

There being no objection, the Senate proceeded to Order of Business No. 8.

MOTIONS AND RESOLUTIONS

SENATE PAGE RESOLUTION 4 Introduced by: Senators Abdallah; Adelstein; Ahlers; Bartling; Bradford; Brown; Dempster; Fryslie; Gant; Garnos; Gillespie; Gray; Hansen, Tom; Hanson, Gary; Haverly; Heidepriem; Howie; Hundstad; Hunhoff, Jean; Jerstad; Kloucek; Knudson; Maher; Merchant; Miles; Nelson; Nesselhuf; Novstrup, Al; Olson, Russell; Peterson; Rhoden; Schmidt; Tieszen; Turbak Berry; Vehle

A RESOLUTION, Expressing the appreciation and gratitude of the Senate of the Eighty-fourth Legislature of the State of South Dakota to Megan Book, Shareen Brazil, Shiloh Day, Michael Herman, Kama Konda, Jazmine Myers, Lakin Stenson, Shawna Van Zee, Alissa VanMeeteren

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

WHEREAS, the members of the Eighty-fourth 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-fourth 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 4 be adopted.

The question being on Sen. Knudson's motion that Senate Page Resolution 4 be adopted.

Yeas:
Abdallah; Adelstein; Ahlers; Bartling; Bradford; Brown; Dempster; Fryslie; Gant; Garnos; Gray; Hansen (Tom); Hanson (Gary); Haverly; Heidepriem; Howie; Hundstad; Hunhoff (Jean); Jerstad; Kloucek; Knudson; Maher; Merchant; Miles; Nelson; Nesselhuf; Novstrup (Al); Olson (Russell); Peterson; Rhoden; Schmidt; Tieszen; Turbak Berry; Vehle

Excused:
Gillespie

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

There being no objection, the Senate reverted to Order of Business No. 4.

COMMUNICATIONS AND PETITIONS

March 5, 2009

Mr. President and Members of the Senate:

I have the honor to inform you that on March 4, 2009, I approved Senate Bills 12, 13, 14, 15, 16, 19, 23, 35, 40, 45, 46, 51, 69, 73, 76, 109, 119, 121, and 122, and the same have been deposited in the office of the Secretary of State.

Respectfully submitted,
M. Michael Rounds
Governor

REPORTS OF STANDING COMMITTEES

The Committee on Education respectfully reports that it has had under consideration HB 1252 and returns the same with the recommendation that said bill do pass.

Respectfully submitted,
Cooper Garnos, Chair

The Committee on Judiciary respectfully reports that it has had under consideration HB 1153 and returns the same with the recommendation that said bill be amended as follows:

1153se

On page 1, line 6, of the printed bill, after "person," insert " intentionally ".

On page 1, delete lines 11 to 14, inclusive.

On page 2, delete lines 1 to 4, inclusive.

1153sta

On page 1, line 2, of the printed bill, delete everything after "child" and insert "."

And that as so amended said bill do pass.

Also MR. PRESIDENT:

The Committee on Judiciary respectfully reports that it has had under consideration HB 1163 and returns the same with the recommendation that said bill be amended as follows:

1163rb

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

"Section 1. That chapter 16-13 be amended by adding thereto a NEW SECTION to read as follows:

Any person eighty years of age or older may request to be excused from jury duty. The judge shall give substantial weight to the person's request to be relieved from jury duty, balancing the request with the need to impanel a jury."

1163rtb

On page 1, line 1, of the House Judiciary Committee engrossed bill, after "to" delete "excuse" and insert "provide for excusing".

On page 1, line 2, delete everything after "request" and insert "."

And that as so amended said bill 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 1203 which was deferred to the 41^st Legislative Day.

Respectfully submitted,
Gene G. Abdallah, Chair

The Committee on Legislative Procedure respectfully reports that the Office of Engrossing and Enrolling has carefully compared SB 1, 5, 18, 39, 47, 48, 52, 54, 56, 66, 86, 89, 110, 128, 133, 141, 161, 174, 180, 183, and 187 and finds the same correctly enrolled.

The Committee on Legislative Procedure respectfully reports that SB 6, 7, 22, 29, 31, 61, 65, 84, and 101 were delivered to his Excellency, the Governor, for his approval at 9:20 a.m., March 5, 2009.

Respectfully submitted,
Bob Gray, Chair

MESSAGES FROM THE HOUSE

I have the honor to return herewith SB 5, 18, 39, 47, 48, 52, 54, 56, 66, 86, 89, 110, 128, 133, 141, 161, 174, 180, 183, and 187 which have passed the House without change.

I have the honor to return herewith SB 8, 38, 64, 91, and 154 which have been amended by the House and your concurrence in the amendments is respectfully requested.

I have the honor to inform your honorable body that the House has appointed Reps. Peters, Brunner, and Street 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 on SB 105.

I have the honor to transmit herewith HCR 1014, 1015, and 1016 which have been adopted by the House and your concurrence is respectfully requested.

Respectfully,
Karen Gerdes, Chief Clerk

MOTIONS AND RESOLUTIONS

Sen. Knudson moved that when we adjourn today, we adjourn to convene at 10:30 a.m. on Friday, March 6, the 34^th legislative day.

HCR 1014: A CONCURRENT RESOLUTION, Urging awareness and support for reading programs in our homes and communities.

Was read the first time, the President waived the referral to committee, and placed HCR 1014 on the calendar of Friday, March 6, the 34^th legislative day.

HCR 1015: A CONCURRENT RESOLUTION, Stating South Dakota's policy on animal identification programs.

Was read the first time, the President waived the referral to committee, and placed HCR 1015 on the calendar of Friday, March 6, the 34^th legislative day.

HCR 1016: A CONCURRENT RESOLUTION, Urging the United States Fish and Wildlife Service and the Western Area Power Administration to avoid overly restrictive wildlife criteria and overly burdensome procedural requirements that create unnecessary delays in the siting of wind energy development projects.

Was read the first time, the President waived the referral to committee, and placed HCR 1016 on the calendar of Friday, March 6, the 34^th legislative day.

Yesterday, Sen. Nelson announced his intention to reconsider the vote by which HB 1240 passed.

No member moved to reconsider the vote by which HB 1240 passed.

Sen. Vehle moved that the Senate do concur in House amendments to SB 17.

The question being on Sen. Vehle's motion that the Senate do concur in House amendments to SB 17.

Yeas 33, Nays 1, Excused 1, Absent 0

Nays:
Schmidt

Excused:
Gillespie

So the motion having received an affirmative vote of a majority of the members-elect, the President declared the motion carried and the amendments were concurred in.

SCR 7: A CONCURRENT RESOLUTION, Requesting the State of Nebraska to provide tax relief and amnesty for certain South Dakota trucking companies.

Sen. Kloucek moved that SCR 7 as found on page 613 of the Senate Journal be adopted.

The question being on Sen. Kloucek's motion that SCR 7 be adopted.

Yeas 28, Nays 6, Excused 1, Absent 0

Yeas:
Adelstein; Bartling; Bradford; Brown; Fryslie; Gant; Garnos; Gray; Hanson (Gary); Haverly; Heidepriem; Howie; Hundstad; Hunhoff (Jean); Jerstad; Kloucek; Maher; Merchant; Miles; Nelson; Nesselhuf; Novstrup (Al); Olson (Russell); Peterson; Rhoden; Schmidt; Tieszen; Vehle

Nays:
Abdallah; Ahlers; Dempster; Hansen (Tom); Knudson; Turbak Berry

Excused:
Gillespie

So the motion having received an affirmative vote of a majority of the members-elect, the President declared the motion carried and SCR 7 was adopted.

SCR 8: A CONCURRENT RESOLUTION, urging the members of the State Streamlined Sales Tax Governing Board to amend its treatment of certain food coupons, certificates, and other documentation as gross receipts.

HCR 1013: A CONCURRENT RESOLUTION, Reasserting sovereignty under the Tenth Amendment to the Constitution of the United States over certain powers and serving notice to the federal government to cease and desist certain mandates.

Sen. Gant moved that SCR 8 as found on page 614 of the Senate Journal be adopted.

The question being on Sen. Gant's motion that SCR 8 be adopted.

And the roll being called:

Yeas 31, Nays 2, Excused 2, Absent 0

Yeas:
Abdallah; Adelstein; Ahlers; Bartling; Bradford; Brown; Dempster; Fryslie; Gant; Garnos; Gray; Hanson (Gary); Haverly; Howie; Hundstad; Hunhoff (Jean); Jerstad; Kloucek; Knudson; Merchant; Miles; Nelson; Nesselhuf; Novstrup (Al); Olson (Russell); Peterson; Rhoden; Schmidt; Tieszen; Turbak Berry; Vehle

Nays:
Hansen (Tom); Heidepriem

Excused:
Gillespie; Maher

So the motion having received an affirmative vote of a majority of the members-elect, the President declared the motion carried and SCR 8 was adopted.

Sen. Novstrup (Al) moved that the Senate do concur in HCR 1013 as found on page 579 of the House Journal.

The question being on Sen. Novstrup's motion that HCR 1013 be concurred in.

Yeas 20, Nays 14, Excused 1, Absent 0

Yeas:
Abdallah; Adelstein; Brown; Fryslie; Gant; Garnos; Gray; Hansen (Tom); Haverly; Howie; Hunhoff (Jean); Knudson; Maher; Nelson; Novstrup (Al); Olson (Russell); Rhoden; Schmidt; Tieszen; Vehle

Nays:
Ahlers; Bartling; Bradford; Dempster; Hanson (Gary); Heidepriem; Hundstad; Jerstad; Kloucek; Merchant; Miles; Nesselhuf; Peterson; Turbak Berry

Excused:
Gillespie

So the motion having received an affirmative vote of a majority of the members-elect, the President declared the motion carried and HCR 1013 was concurred in.

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

REPORTS OF STANDING COMMITTEE

The Committee on Commerce respectfully reports that it has had under consideration HB 1264 and returns the same with the recommendation that said bill do pass.

The Committee on Commerce respectfully reports that it has had under consideration HB 1212 and 1275 and returns the same with the recommendation that said bills do pass and be placed on the consent calendar.

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

1176jd

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

"Section 1. That § 61-1-1 be amended to read as follows:

61-1-1. Terms used in this title mean:

(1) "Annual payroll," the total amount of taxable wages paid by an employer during a calendar year for employment;

(2) "Base period," the first four out of the last five completed calendar quarters immediately preceding an individual's benefit year. For an individual who fails to meet the qualifications of § 61-6-7 due to the receipt of temporary total disability payments under worker's compensation, the base period is the first four of the last five completed quarters preceding the disability if a claim for unemployment benefits is filed within twenty-four months of the date on which the individual's disability was incurred. For an individual who fails to meet the minimum requirements of § 61-6-7 due to insufficient wages, the base period is the four completed calendar quarters immediately preceding the individual's benefit year. However, no calendar quarter used in one base period of a valid claim may be used in a subsequent base period;

(3) "Benefit year," the one-year period beginning with the day on which a claimant files a valid new claim for benefits, or the one-year period beginning with the day on which a claimant files a valid new claim after the termination of his last preceding benefit year;

(4) "Benefits," the money payments payable to an unemployed individual, as provided in this title;

(5) "Calendar quarter," the period of three consecutive calendar months ending on March thirty-first, June thirtieth, September thirtieth, or December thirty-first;

(6) "Contributions," the money payments to the state unemployment compensation fund required by this title;

(7) "Department," the Department of Labor created by chapter 1-37;

(8) "Educational service agency," a governmental agency or governmental entity which is established and operated exclusively for the purpose of providing services to one or more educational institutions;

(9) "Employment office," a free public employment office, or branch thereof, operated by this state or maintained as part of a state or federal controlled system of public employment offices;

(10) "Employment security administration fund," the employment security administration fund established by this title;

(11) "Extended benefits," the benefits that are provided in §§ 61-6-29 to 61-6-35, inclusive;

(12) "Fund," the unemployment compensation fund established by this title;

(13) "Hospital," an institution which has been licensed, certified or approved by the State Department of Health as a hospital;

(14) "Institution of higher education," an educational institution which:

(a) Admits as regular students only individuals having a certificate of graduation from a high school, or the recognized equivalent of such a certificate; and

(b) Is legally authorized in this state to provide a program of education beyond high school; and

(c) Provides an educational program for which it awards a bachelor's or higher degree, or provides a program which is acceptable for full credit toward such a degree, provides an educational program of postgraduate or postdoctoral studies, or provides an educational program of training to prepare students for gainful employment in a recognized occupation; and

(d) Is a public or other nonprofit institution.

Notwithstanding any of the foregoing provisions of this subdivision, all colleges and universities in this state are "institutions of higher education";

(15) "Insured work," employment for employers as defined in §§ 61-1-4 to 61-1-31, inclusive;

(16) "State," a state of the United States of America and the District of Columbia, the Commonwealth of Puerto Rico and the Virgin Islands;

(17) "Wages," all remuneration paid for services, including commissions and bonuses. The term does not include remuneration described by §§ 61-1-32 to 61-1-35, inclusive. The term includes tips and other remuneration upon which a tax is imposed by the Federal Unemployment Tax Act and the reasonable cash value of remuneration paid in any medium other than cash determined in accordance with rules promulgated pursuant to chapter 1-26 by the secretary of labor;

(18) "Week," the period or periods of seven consecutive calendar days ending at midnight. The secretary of labor may promulgate rules pursuant to chapter 1-26 to prescribe that a week is in, within or during that benefit year which includes the greater part. For the purpose of § 61-1-4, if a week includes both December thirty-first and January first, the days of that week up to January first shall be considered one calendar week and the days beginning January first another week;

(19) "Weekly benefit amount," the amount of benefits an individual is entitled to receive for one week of total unemployment. An individual's weekly benefit amount determined for the first week of his benefit year shall constitute his weekly benefit amount throughout the benefit year. "

1176jta

On page 1, line 1, of the House State Affairs Committee engrossed bill, delete everything after "Act to" and insert "revise the earnings requirement for the purpose of receiving unemployment insurance benefits."

And that as so amended said bill do pass.

Also MR. PRESIDENT:

The Committee on Commerce respectfully reports that it has had under consideration HB 1280 and returns the same with the recommendation that said bill be amended as follows:

1280fa

On page 6 of the House Commerce Committee engrossed bill, delete lines 3 to 7, inclusive.

On page 7, line 1, after "thousand" insert "five hundred".

On page 10, between lines 19 and 20, insert:

"Section 20. Nothing in this Act prohibits any distributor, wholesaler, or dealer from selling its existing inventory of cigarettes on or after January 1, 2011, if the distributor, wholesaler, or dealer establishes that the state tax stamps were affixed to the cigarettes before January 1, 2011. In addition, the inventory of cigarettes must have been purchased in a comparable quantity to the inventory that was purchased during the same period for the preceding year."

And that as so amended said bill do pass and be placed on the consent calendar.

Also MR. PRESIDENT:

The Committee on Commerce respectfully reports that it has had under consideration HB 1219 which was tabled.

Respectfully submitted,
Russell Olson, Chair

CONSIDERATION OF REPORTS OF COMMITTEES

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

Transportation on HB 1007 as found on page 604 of the Senate Journal ; also

Transportation on HB 1070 as found on page 608 of the Senate Journal ; also

Taxation on HB 1072 as found on page 609 of the Senate Journal ; also

State Affairs on HB 1260 as found on page 609 of the Senate Journal ; also

State Affairs on HB 1278 as found on page 611 of the Senate Journal ; also

Transportation on HB 1281 as found on page 608 of the Senate Journal be adopted.

Which motion prevailed.

CONSIDERATION OF REPORT OF CONFERENCE COMMITTEE

Sen. Abdallah moved that the report of the Conference Committee on HB 1086 as found on page 612 of the Senate Journal be adopted.

The question being on Sen. Abdallah's motion that the report of the Conference Committee on HB 1086 be adopted.

Yeas 35, Nays 0, Excused 0, Absent 0

Yeas:
Abdallah; Adelstein; Ahlers; Bartling; Bradford; Brown; Dempster; Fryslie; Gant; Garnos; Gillespie; Gray; Hansen (Tom); Hanson (Gary); Haverly; Heidepriem; Howie; Hundstad; Hunhoff (Jean); Jerstad; Kloucek; Knudson; Maher; Merchant; Miles; Nelson; Nesselhuf; Novstrup (Al); Olson (Russell); Peterson; Rhoden; Schmidt; Tieszen; Turbak Berry; Vehle

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

SECOND READING OF CONSENT CALENDAR ITEMS

HB 1036: FOR AN ACT ENTITLED, An Act to require the redaction of certain numbers before furnishing copies of information.

The question being "Shall HB 1036 pass as amended?"

Yeas:
Abdallah; Ahlers; Bartling; Bradford; Brown; Dempster; Fryslie; Gant; Garnos; Gillespie; Gray; Hansen (Tom); Hanson (Gary); Haverly; Heidepriem; Howie; Hundstad; Hunhoff (Jean); Jerstad; Kloucek; Knudson; Maher; Merchant; Miles; Nelson; Nesselhuf; Novstrup (Al); Olson (Russell); Peterson; Rhoden; Schmidt; Tieszen; Turbak Berry; Vehle

Excused:
Adelstein

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 1253: FOR AN ACT ENTITLED, An Act to revise certain provisions regarding administration of the catastrophic county poor relief fund.

The question being "Shall HB 1253 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.

Excused:
Adelstein

HB 1263: FOR AN ACT ENTITLED, An Act to revise certain provisions concerning compensation for service rights of electric utilities in areas annexed by municipalities.

The question being "Shall HB 1263 pass?"

SECOND READING OF HOUSE BILLS AND JOINT RESOLUTIONS

Excused:
Adelstein

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 1060 and 1241 be deferred to Friday, March 6, the 34^th legislative day.

HB 1037: FOR AN ACT ENTITLED, An Act to increase the fees for mailing motor vehicle license plates and decals and to impose a fee for the reassignment of a license plate.

The question being "Shall HB 1037 pass?"

Yeas 32, Nays 1, Excused 2, Absent 0

Nays:
Schmidt

Excused:
Adelstein; Olson (Russell)

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 1071: FOR AN ACT ENTITLED, An Act to revise certain fees, licenses, and other requirements for milk plants and dairy farms.

Was read the second time.

The question being "Shall HB 1071 pass as amended?"

Yeas 24, Nays 10, Excused 1, Absent 0

Yeas:
Abdallah; Ahlers; Bartling; Bradford; Brown; Dempster; Fryslie; Garnos; Gray; Hansen (Tom); Hanson (Gary); Haverly; Howie; Hundstad; Hunhoff (Jean); Knudson; Merchant; Nelson; Novstrup (Al); Olson (Russell); Rhoden; Tieszen; Turbak Berry; Vehle

Nays:
Gant; Gillespie; Heidepriem; Jerstad; Kloucek; Maher; Miles; Nesselhuf; Peterson; Schmidt

Excused:
Adelstein

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 1074: FOR AN ACT ENTITLED, An Act to increase certain expenditure authority previously granted to the Board of Regents, to designate circumstances in which such authority may be used, to appropriate funds therefor, and to declare an emergency.

The question being "Shall HB 1074 pass as amended?"

Yeas 34, Nays 1, Excused 0, Absent 0

Yeas:
Abdallah; Adelstein; Ahlers; Bartling; Bradford; Brown; Dempster; Fryslie; Gant; Garnos; Gillespie; Gray; Hansen (Tom); Hanson (Gary); Haverly; Heidepriem; Howie; Hundstad; Hunhoff (Jean); Jerstad; Kloucek; Knudson; Merchant; Miles; Nelson; Nesselhuf; Novstrup (Al); Olson (Russell); Peterson; Rhoden; Schmidt; Tieszen; Turbak Berry; Vehle

Nays:
Maher

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 1091: FOR AN ACT ENTITLED, An Act to make an appropriation to initiate a master of social work degree program in higher education.

Was read the second time.

1091xa

Sen. Gray moved that HB 1091 be further amended as follows:

On page 1, line 4, of the House Appropriations Committee engrossed bill, delete "two dollars ($2)" and insert "one dollar ($1)".

The question being "Shall HB 1091 pass as amended?"

Yeas 34, Nays 1, Excused 0, Absent 0

Yeas:
Abdallah; Adelstein; Ahlers; Bartling; Bradford; Brown; Dempster; Fryslie; Gant; Garnos; Gillespie; Gray; Hansen (Tom); Hanson (Gary); Haverly; Heidepriem; Howie; Hundstad; Hunhoff (Jean); Jerstad; Kloucek; Knudson; Maher; Merchant; Miles; Nelson; Novstrup (Al); Olson (Russell); Peterson; Rhoden; Schmidt; Tieszen; Turbak Berry; Vehle

Nays:
Nesselhuf

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 1140: FOR AN ACT ENTITLED, An Act to make an appropriation from the railroad trust fund for the construction of a railroad siding.

The question being "Shall HB 1140 pass as amended?"

Yeas 35, Nays 0, Excused 0, Absent 0

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 1211: FOR AN ACT ENTITLED, An Act to revise the time frame and requirements for certain alcoholic beverage licensees to provide on-sale service of alcoholic beverages on Sunday.

The question being "Shall HB 1211 pass?"

Yeas 30, Nays 5, Excused 0, Absent 0

Yeas:
Abdallah; Adelstein; Ahlers; Bartling; Bradford; Brown; Dempster; Fryslie; Gant; Garnos; Gillespie; Gray; Hansen (Tom); Hanson (Gary); Haverly; Heidepriem; Howie; Hundstad; Hunhoff (Jean); Jerstad; Knudson; Maher; Merchant; Miles; Nelson; Nesselhuf; Olson (Russell); Rhoden; Tieszen; Turbak Berry

Nays:
Kloucek; Novstrup (Al); Peterson; Schmidt; Vehle

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 1254: FOR AN ACT ENTITLED, An Act to enhance education.

Sen. Bartling moved that HB 1254 be further amended as follows:

1254ce

On the Senate Education Committee engrossed bill, delete everything after the enacting clause and insert:

" Section 1. That chapter 13-13 be amended by adding thereto a NEW SECTION to read as follows:

The provisions of § § 13-13-73.2 and 13-13-73.3 do not apply for school fiscal years 2010, 2011, 2012, and 2013.

Section 2. Section 1 of this Act is repealed on June 30, 2013.

Section 3. That § 13-13-10.1 be amended to read as follows:

13-13-10.1. Terms used in this chapter mean:

(1) "Average daily membership," the average number of resident and nonresident kindergarten through twelfth grade pupils enrolled in all schools operated by the school district during the previous regular school year, minus average number of pupils for whom the district receives tuition, except pupils described in subdivision (1A) and pupils for whom tuition is being paid pursuant to § 13-28-42.1 and plus the average number of pupils for whom the district pays tuition;

(1A) Nonresident students who are in the care and custody of the Department of Social Services, the Unified Judicial System, the Department of Corrections, or other state agencies and are attending a public school may be included in the average daily membership of the receiving district when enrolled in the receiving district. When counting a student who meets these criteria in its general enrollment average daily membership, the receiving district may begin the enrollment on the first day of attendance. The district of residence prior to the custodial transfer may not include students who meet these criteria in its general enrollment average daily membership after the student ceases to attend school in the resident district;

(2) "Adjusted average daily membership," calculated as follows:

(a) For districts with an average daily membership of two hundred or less, multiply 1.2 times the average daily membership;

(b) For districts with an average daily membership of less than six hundred, but greater than two hundred, raise the average daily membership to the 0.8293 power and multiply the result times 2.98;

(c) For districts with an average daily membership of six hundred or more, multiply 1.0 times their average daily membership;

(2A) "Fall enrollment," the number of kindergarten through twelfth grade students enrolled in all schools operated by the school district on the last Friday of September of the previous school year minus the number of students for whom the district receives tuition, except nonresident students who are in the care and custody of a state agency and are attending a public school and students for whom tuition is being paid pursuant to § 13-28-42.1, plus the number of students for whom the district pays tuition. When computing state aid to education for a school district under the foundation program pursuant to § 13-13-73, the secretary of the Department of Education shall use either the school district's fall enrollment or the average of the school district's fall enrollment and the school district's fall enrollment from the prior year, whichever is higher. However, if a school district qualifies to benefit from both the averaging permitted in this subdivision and the one-time payment provided in § 13-13-80 in the same fiscal year, the school district may not benefit from both, but only from the one that provides the most additional funding to the district;

(2B) "Current fall enrollment," the number of kindergarten through twelfth grade students enrolled in all schools operated by the school district on the last Friday of September of the current school year minus the number of students for whom the district receives tuition except nonresident students who are in the care and custody of a state agency and are attending a public school and students for whom tuition is being paid pursuant to § 13-28-42.1, plus the number of students for whom the district pays tuition;

(2C) "Small school adjustment," calculated as follows:

(a) For districts with a fall enrollment of two hundred or less, multiply 0.2 times $4,237.72;

(b) For districts with a fall enrollment of greater than two hundred, but less than six hundred, multiply the fall enrollment times negative 0.0005; add 0.3 to that result; and multiply the sum obtained times $4,237.72;

(3) "Index factor," is the annual percentage change in the consumer price index for urban wage earners and clerical workers as computed by the Bureau of Labor Statistics of the United States Department of Labor for the year before the year immediately preceding the year of adjustment or three percent, whichever is less;

(4) "Per student allocation," for school fiscal year 2009 is $4,664.66. Each school fiscal year thereafter, the per student allocation is the previous fiscal year's per student allocation increased by the index factor;

(5) "Local need," is the sum of:

(a) The per student allocation multiplied by the fall enrollment; and

(b) The small school adjustment, if applicable, multiplied by the fall enrollment; and

(6) "Local effort," the amount of ad valorem taxes generated in a school fiscal year by applying the levies established pursuant to § 10-12-42;

(7) "General fund balance," the unreserved fund balance of the general fund, less general fund exclusions plus, beginning with transfers made in fiscal year 2001, any transfers out of the general fund for the previous school fiscal year;

(8) "General fund balance percentage," is a school district's general fund balance divided by the school district's total general fund expenditures for the previous school fiscal year, the quotient expressed as a percent;

(9) "General fund base percentage," is the lesser of:

(a) The general fund balance percentage as of June 30, ~~2000~~ 2009 ; or

(b) The maximum allowable percentage for that particular fiscal year as stated in this subsection.

For fiscal year ~~2008~~ 2014 , the maximum allowable percentage is ~~one hundred percent; for fiscal year 2009,~~ eighty percent; for fiscal year ~~2010~~ 2015 , sixty percent; for fiscal year ~~2011~~ 2016 , forty percent; for fiscal year ~~2012~~ 2017 and subsequent fiscal years, twenty-five percent. However, the general fund base percentage can never be less than twenty-five percent;

(10) "Allowable general fund balance," the general fund base percentage multiplied by the district's general fund expenditures in the previous school fiscal year;

(11) "General fund exclusions," revenue a school district has received from the imposition of the excess tax levy pursuant to § 10-12-43; revenue a school district has received from gifts, contributions, grants, or donations; revenue a school district has received under the provisions of §§ 13-6-92 to 13-6-96, revenue a school district has received as compensation for being a sparse school district under the terms of §§ 13-13-78 and 13-13-79, inclusive; and any revenue in the general fund set aside for a noninsurable judgment.

Section 4. Section 3 of this Act is effective on July 1, 2013."

Which motion lost.

The question being "Shall HB 1254 pass as amended?"

Yeas 29, Nays 6, Excused 0, Absent 0

Yeas:
Abdallah; Ahlers; Bradford; Brown; Dempster; Fryslie; Gant; Garnos; Gray; Hansen (Tom); Hanson (Gary); Haverly; Heidepriem; Howie; Hundstad; Hunhoff (Jean); Kloucek; Knudson; Maher; Merchant; Miles; Nelson; Novstrup (Al); Olson (Russell); Rhoden; Schmidt; Tieszen; Turbak Berry; Vehle

Nays:
Adelstein; Bartling; Gillespie; Jerstad; Nesselhuf; Peterson

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 1301: FOR AN ACT ENTITLED, An Act to create the South Dakota Ellsworth Development Authority.

Sen. Knudson moved that HB 1301 be further amended as follows:

1301ob

On page 13, line 3, of the House State Affairs Committee engrossed bill, after "Dakota." insert "However, nothing in this section exempts from taxation the value of any leasehold interests in the property of the authority that is held by any third party."

The question being "Shall HB 1301 pass as amended?"

Yeas 35, Nays 0, Excused 0, Absent 0

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.

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

MESSAGES FROM THE HOUSE

I have the honor to inform your honorable body that the House has adopted the report of the Conference Committee on HB 1086.