State of South Dakota
LEGISLATIVE ASSEMBLY, 2012
HOUSE ENGROSSED NO. HB 1157 - 2/6/2012
Introduced by: Representatives Abdallah, Blake, Boomgarden, Carson, Conzet, Deelstra,
Feickert, Gibson, Hunt, Kirkeby, Kopp, Lucas, Schaefer, Scott, Solum, Street,
Stricherz, Turbiville, Vanneman, White, and Wick and Senators Krebs,
Juhnke, Maher, and Nelson (Tom)
FOR AN ACT ENTITLED, An Act to repeal the Governor's authority to enter the Midwestern
Regional Higher Education Compact on behalf of the state, to repeal the Midwestern
Regional Higher Education Compact, to provide for withdrawal of South Dakota from the
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA:
Section 1. That § 13-53C-1 be repealed.
13-53C-1. The Governor is hereby authorized and directed to enter the Midwestern Regional
Higher Education Compact on behalf of the State of South Dakota with all other states legally
joining therein in substantially the following form:
MIDWESTERN REGIONAL HIGHER EDUCATION COMPACT
ARTICLE I PURPOSE
The purpose of the Midwestern Higher Education Compact is to provide greater higher
education opportunities and services in the midwestern region, with the aim of furthering
regional access to, research in, and choice of higher education for the citizens residing in the
several states which are parties to this compact.
ARTICLE II THE COMMISSION
The compacting states create the Midwestern Higher Education Commission. The
commission shall be a body corporate of each compacting state. The commission shall have all
the responsibilities, powers, and duties set forth in this chapter, including the power to sue and
be sued, and such additional powers as may be conferred upon it by subsequent action of the
respective legislatures of the compacting states in accordance with the terms of this compact.
The commission shall consist of five resident members of each state as follows: the
governor or the governor's designee, who shall serve during the tenure of office of the governor;
two legislators, one from each house (except Nebraska, which may appoint two legislators from
its unicameral legislature), who shall serve two-year terms and be appointed by the appropriate
appointing authority in each house of the legislature; and two other at-large members, at least
one of whom shall be selected from the field of higher education. The at-large members shall
be appointed in a manner provided by the laws of the appointing state. One of the two at-large
members initially appointed in each state shall serve a two-year term. The other, and any
regularly appointed successor to either at-large member, shall serve a four-year term. All
vacancies shall be filled in accordance with the laws of the appointed states. Any commissioner
appointed to fill a vacancy shall serve until the end of the incomplete term.
The commission shall select annually, from among its members, a chairperson, a vice
chairperson, and a treasurer.
The commission shall appoint an executive director who shall serve at its pleasure and who
shall act as secretary to the commission. The treasurer, the executive director, and such other
personnel as the commission may determine shall be bonded in such amounts as the commission
The commission shall meet at least once each calendar year. The chairperson may call
additional meetings and, upon the request of a majority of the commission members of three or
more compacting states, shall call additional meetings. Public notice shall be given of all
meetings and meetings shall be open to the public.
Each compacting state represented at any meeting of the commission is entitled to one vote.
A majority of the compacting states shall constitute a quorum for the transaction of business,
unless a larger quorum is required by the bylaws of the commission.
ARTICLE III POWERS AND DUTIES OF THE COMMISSION
The commission shall adopt a seal and suitable bylaws governing its management and
Irrespective of the civil service, personnel, or other merit system laws of any of the
compacting states, the commission in its bylaws shall provide for the personnel policies and
programs of the compact.
The commission shall submit a budget to the governor and legislature of each compacting
state at such time and for such period as may be required. The budget shall contain specific
recommendations of the amount or amounts to be appropriated by each of the compacting states.
The commission shall report annually to the legislatures and governors of the compacting
states, to the Midwestern Governors' Conference, and to the Midwestern Legislative Conference
of the Council of State Governments concerning the activities of the commission during the
preceding year. Such reports shall also embody any recommendations that may have been
adopted by the commission.
The commission may borrow, accept, or contract for the services of personnel from any state
or the United States or any subdivision or agency, from any interstate agency, or from any
institution, foundation, person, firm, or corporation.
The commission may accept for any of its purposes and functions under the compact any
and all donations and grants of money, equipment, supplies, materials, and services (conditional
or otherwise) from any state or the United States or any subdivision or agency thereof, or
interstate agency, or from any institution, foundation, person, firm, or corporation, and may
receive, utilize, and dispose of the same.
The commission may enter into agreements with any other interstate education organizations
or agencies and with higher education institutions located in nonmember states and with any of
the various states of these United States to provide adequate programs and services in higher
education for the citizens of the respective compacting states. The commission shall, after
negotiations with interested institutions and interstate organizations or agencies, determine the
cost of providing the programs and services in higher education for use of these agreements.
The commission may establish and maintain offices, which shall be located within one or
more of the compacting states.
The commission may establish committees and hire staff as it deems necessary for the
carrying out of its functions.
The commission may provide for actual and necessary expenses for attendance of its
members at official meetings of the commission or its designated committees.
ARTICLE IV ACTIVITIES OF THE COMMISSION
The commission shall collect data on the long-range effects of the compact on higher
education. By the end of the fourth year from the effective date of the compact and every two
years thereafter, the commission shall review its accomplishments and make recommendations
to the governors and legislatures of the compacting states on the continuance of the compact.
The commission shall study issues in higher education of particular concern to the
midwestern region. The commission shall also study the needs for higher education programs
and services in the compacting states and the resources for meeting such needs. The commission
shall from time to time prepare reports on such research for presentation to the governors and
legislatures of the compacting states and other interested parties. In conducting such studies, the
commission may confer with any national or regional planning body. The commission may
redraft and recommend to the governors and legislatures of the various compacting states
suggested legislation dealing with problems of higher education.
The commission shall study the need for provision of adequate programs and services in
higher education, such as undergraduate, graduate, or professional student exchanges in the
region. If a need for exchange in a field is apparent, the commission may enter into such
agreements with any higher education institution and with any of the compacting states to
provide programs and services in higher education for the citizens of the respective compacting
states. The commission shall, after negotiations with interested institutions and the compacting
states, determine the costs of providing the programs and services in higher education for use
in its agreements. The contracting states shall contribute the funds not otherwise provided, as
determined by the commission, for carrying out the agreements. The commission may also serve
as the administrative and fiscal agent in carrying out agreements for higher education programs
The commission shall serve as a clearinghouse on information regarding higher education
activities among institutions and agencies.
In addition to the activities of the commission previously noted, the commission may
provide services and research in other areas of regional concern.
ARTICLE V FINANCE
The moneys necessary to finance the general operations of the commission, not otherwise
provided for, in carrying forth its duties, responsibilities, and powers as stated herein shall be
appropriated to the commission by the compacting states, when authorized by the respective
legislatures, by equal apportionment among the compacting states.
The commission shall not incur any obligations of any kind prior to the making of
appropriations adequate to meet the same; nor shall the commission pledge the credit of any of
the compacting states, except by and with the authority of the compacting state.
The commission shall keep accurate accounts of all receipts and disbursements. The receipts
and disbursements of the commission shall be subject to the audit and accounting procedures
established under its bylaws. However, all receipts and disbursements of funds handled by the
commission shall be audited yearly by a certified or licensed public accountant and the report
of the audit shall be included in and become part of the annual report of the commission.
The accounts of the commission shall be open at any reasonable time for inspection by duly
authorized representatives of the compacting states and persons authorized by the commission.
ARTICLE VI ELIGIBLE PARTIES AND ENTRY INTO FORCE
The states of Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri, Nebraska,
North Dakota, Ohio, South Dakota, and Wisconsin shall be eligible to become party to this
compact. Additional states will be eligible if approved by a majority of the compacting states.
As to any eligible party state, this compact shall become effective when its legislature shall
have enacted the same into law.
Amendments to the compact shall become effective upon their enactment by the legislatures
of all compacting states.
ARTICLE VII WITHDRAWAL, DEFAULT, AND TERMINATION
Any compacting state may withdraw from this compact by enacting a statute repealing the
compact, but such withdrawal shall not become effective until two years after the enactment of
such statute. A withdrawing state shall be liable for any obligations which it may have incurred
on account of its party status up to the effective date of withdrawal, except that if the
withdrawing state has specifically undertaken or committed itself to any performance of an
obligation extending beyond the effective date of withdrawal, it shall remain liable to the extent
of such obligation.
If any compacting state shall at any time default in the performance of any of its obligations,
assumed or imposed, in accordance with the provisions of this compact, all rights, privileges,
and benefits conferred by this compact or agreements hereunder shall be suspended from the
effective date of such default as fixed by the commission, and the commission shall stipulate
the conditions and maximum time for compliance under which the defaulting state may resume
its regular status. Unless such default shall be remedied under the stipulations and within the
time period set forth by the commission, this compact may be terminated with respect to such
defaulting state by affirmative vote of a majority of the other member states. Any such
defaulting state may be reinstated by performing all acts and obligations as stipulated by the
ARTICLE VIII SEVERABILITY AND CONSTRUCTION
The provisions of this compact entered into hereunder shall be severable and if any phrase,
clause, sentence, or provision of this compact is declared to be contrary to the Constitution of
any compacting state or of the United States or the applicability thereof to any government,
agency, person, or circumstance is held invalid, the validity of the remainder of this compact and
the applicability thereof to any government, agency, person, or circumstance shall not be
affected thereby. If this compact entered into hereunder shall be held contrary to the constitution
of any compacting state, the compact shall remain in full force and effect as to the remaining
states and in full force and effect as to the state affected as to all severable matters. The
provisions of this compact entered into pursuant hereto shall be liberally construed to effectuate
the purposes thereof.
Section 2. That § 13-53C-2 be repealed.
13-53C-2. The members of the Midwestern Regional Higher Education Commission
representing this state are as follows:
(1) The Governor or a designee of the Governor who shall serve throughout the
Governor's tenure in office;
(2) One member of the Senate appointed by the Executive Board of the Legislative
(3) One member of the House of Representatives appointed by the Executive Board of
the Legislative Research Council;
(4) One member of the general public from the field of higher education appointed by
the executive director of the Board of Regents; and
(5) One member of the general public from the field of career and technical education
appointed by the secretary of the Department of Education.
The members of the Legislature appointed to the commission shall each serve a term of two
years. The members of the general public appointed to the commission shall each serve a term
of four years, except that one of the members of the general public initially appointed shall serve
a term of two years.
The initial appointments shall be made no later than thirty days after the effective date of
this chapter. If a vacancy occurs, the remainder of the unexpired term shall be filled in the same
manner as the original appointment.
Section 3. The State of South Dakota hereby withdraws, and gives notice of withdrawal,
from the Midwestern Regional Higher Education Compact. Nothing in this Act may be
construed as an abrogation of any obligation accrued under the terms of the compact at the time
of withdrawal. However, it is the intent of the Legislature to limit the accrual of any future
obligations that may be obviated consistent with the terms of the compact.