P - Present
E - Excused
A - Absent
Roll Call
E Adelstein
P Apa
P Cradduck
P Duxbury
P Klaudt
P Lange
P Putnam, Vice-Chair
P Sutton (Duane)
P Richter, Chair
OTHERS PRESENT: See Original Minutes
The meeting was called to order by Chair Richter
(House Appropriations-Sub Committee #1)
DEPARTMENT OF COMMERCE AND REGULATION
Mr. David Becker, LRC, provided budget information for the committee (Document #1)
Mr. David Volk, Secretary , Department of Commerce and Regulation introduced members of his
staff.
Darlys Baum, Director of South Dakota Housing Development Authority shared information on the
Governor's Housing Project. A portion of the budget increase is due to increase in travel to move
houses. Also increase 2.0 FTE and $106,000 personal services. $373,000 increase in operating
expenses.
Jeannette Shipper, Finance Director informed the committee of the $7,200 increase for additional
motorcycle safety courses. FY 2001 budget transfer_$922,000 to utilize federal grant funds to
purchase radios for the Highway Patrol.
Banking_$12,000 decrease in other fund authority. Bank Revolving Fund _ $783,000 balance at the
end of FY2001. (Down from $1,269,000 at the end of FY98)
Securities _$30,000 decrease in other fund authority.
Insurance_0.5 FTE increase and $67,000 increase in other fund authority.
Senator Putnam asked about insurance companies leaving South Dakota. Darla Lyon, Director of
Insurance responded that this is true that South Dakota is losing companies, but they are also pulling
out of other states as well.
Health insurance companies aren't making money and state mandates have caused difficulties.
South Dakota Commerce and Regulation is working to keep the insurance companies here in South
Dakota..
Commercial Inspection and Licensing_includes the following programs: Weights and Measures, Fire
Marshall, Driver Licensing, and Inspections. $55,000 overall increase in this budget. “Organ donor
birthday cards and brochures” in the Driver Licensing Program. This was an initial $10,000 cost in
Other Funds.
Director David Volk stated that there has been an increase of donors as seen on South Dakota drivers
licenses.
Human Rights--0.5 FTE reduction ($12,000 personal services reduction offset by like increase in
operating expense). The additional cases will be completed by a contract investigator rather than by
a staff member.
Petroleum Release Compensation--Director Dennis Rounds spoke about the tank removal project
and stated that the project is going well. There have been 3,000 tanks removed from 2,000 sites with
the cost of $2,000 - $2,500 per site.
Gaming Commission_Director Larry Eliason informed the committee that there in no change in the
gaming budget.
Highway Patrol_ Colonel Tom Dravland presented information concerning the increase 5.0 FTE and
$204,000 personal services to “carry out homeland security and anti-terrorism initiatives”and
$139,000 increase in operating expenses. Total funding increase is $343,467.
Senator Putnam questioned if there could be a chance for federal funds because of the wording to
“carry out homeland security and anti-terrorism initiatives”. Colonel Dravland responded that 20
per cent of the time is spent on terrorism prevention activities and 80 per cent of the time is for
normal highway safety, disaster or emergency situations, and enforcement.
MOTION:
ADJOURN
Moved by: Klaudt
Second by: Sutton
Action: Prevailed by voice vote.
Carol Carney
____________________________
Committee SecretaryMitch Richter, Chair
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