Bill > SB97

This bill amends existing South Dakota law to adjust the maximum percentage increase in property tax revenue that local government entities, specifically taxing districts and school districts, can collect annually. The primary change is to increase the allowable revenue increase from three percent to five percent for taxes payable between 2027 and 2031, specifically for revenue generated from improvements or changes in property use, annexations, boundary adjustments, and certain other property value changes. The bill maintains the existing provision that this increase is capped by the lesser of three percent or an "index factor," which is a measure of inflation, and also allows for exceptions for revenue needed to pay for bonds, court-ordered judgments, and other specific financial obligations. The "index factor" is a term defined elsewhere in state law that helps to limit property tax revenue growth based on economic conditions.

Budget and Finance

https://sdlegislature.gov/#/Session/Bill/26595