CHAPTER 94

(HB 1140)

School district general fund levies adjusted
due to funds in the property tax reduction fund.

         ENTITLED, An Act to  require an annual adjustment to the general fund levies of a school district by reducing local effort by nine million dollars from funds deposited in the property tax reduction fund from the tax on cigarettes and other tobacco products.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA:

     Section  1.  That § 13-13-72.1 be amended to read as follows:

     13-13-72.1.   Any adjustments in the levies specified in subdivision 13-13-10.1(6) made pursuant to §§ 13-13-71 and 13-13-72 shall be based on maintaining the relationship between statewide local effort as a percentage of statewide local need in the fiscal year succeeding the fiscal year in which the adjustment is made. In addition to the adjustments in the levies provided by this section, the levies shall also be annually adjusted as necessary to reduce the portion of local need paid by local effort by an amount equal to nine million dollars from those funds transferred into the property tax reduction fund pursuant to §  10-50-52 subsequent to July 1, 2007.

     Signed March 6, 2007

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