Bill > SB1

This bill amends the existing law regarding the employer's investment in South Dakota's future fund by expanding its administrative framework and establishing more detailed guidelines for its operation. The fund, which is housed in the state treasury and administered by the Governor's Office of Economic Development, will now be used specifically for making loans and grants related to research or economic development projects. The bill requires that all loans and grants must be approved by a majority vote of the Board of Economic Development and mandates that the office create comprehensive rules covering six key areas: application processes, economic impact assessment methods, project selection criteria, loan interest rate setting, grant award requirements, and disbursement procedures. The bill also stipulates that loan interest rates cannot exceed 200 basis points above the federal funds rate, and any loan repayments (including principal and interest) must be reinvested back into the fund to support future loans. These changes aim to provide more structure and transparency to the fund's operations and ensure strategic use of economic development resources.

Government Affairs

https://sdlegislature.gov/#/Session/Bill/26538