SHANTEL KREBS

2000 Ballot Question Texts and Attorney General Explanations

Constitutional Amendments

The following amendments to the State Constitution are submitted to the voters by initiative or by the Legislature. The amendments will not become effective unless approved by majority vote.

Constitutional Amendment A

Title: An amendment to Article VIII of the South Dakota Constitution relating to classification of property for purposes of taxation.

Attorney General Explanation:

The Constitution permits the Legislature to classify real property for school taxation purposes, but limits agricultural property to a single class.

Amendment A would permit the Legislature to establish multiple classes of agricultural property for school taxation purposes.

A vote "Yes" will allow multiple classes of agricultural property for school taxation purposes.

A vote "No" will leave the Constitution as it is.

Full Text of Constitutional Amendment A: That Article VIII, section 15 of the Constitution of the State of South Dakota, be amended to read as follows:
§ 15. The Legislature shall make such provision by general taxation and by authorizing the school corporations to levy such additional taxes as with the income from the permanent school fund shall secure a thorough and efficient system of common schools throughout the state. The Legislature is empowered to classify properties within school districts into separate classes for purposes of school taxation, and may constitute agricultural property a separate class . Taxes shall be uniform on all property in the same class.

Constitutional Amendment B

Title: An Amendment to Article IX of the South Dakota Constitution authorizing local initiatives to provide for the cooperation and organization of local government.

Attorney General Explanation:

Amendment B would allow voters of local government units to combine, eliminate or jointly finance local offices, functions, or governmental units by using initiated measures, unless specifically limited by the Legislature. A majority vote in each affected governmental unit would be required.

A vote "Yes" will allow voters to file initiatives which combine, eliminate or jointly finance local offices, functions, or governmental units.

A "No" vote will leave the Constitution as it is.

Full Text of Constitutional Amendment B: That Article IX of the Constitution of the State of South Dakota be amended by adding a NEW SECTION to read as follows:
§ 4. On or after January 1, 2001, the voters of any unit of local government shall have the right to initiate proposals for cooperation within or between local governmental units, either within or without the state, except as the Legislature shall provide otherwise by law. Such proposals may include combining, eliminating, and joint financing of offices, functions, and governmental units. Such proposals shall be adopted if approved at an election by a majority of the votes cast thereon in each affected unit. A number not less than fifteen percent of those voting in the last preceding gubernatorial election in each affected jurisdiction may by petition initiate the question of whether to adopt the proposal at the next general election.

Constitutional Amendment C

Title: An initiated amendment to Article XI of the South Dakota Constitution, concerning the taxation of inheritances.

Attorney General Explanation:

The State currently imposes inheritance taxes. Amendment C would repeal the state tax on any inheritance on the property of anyone who dies on or after July 1, 2001, and would prohibit the Legislature from enacting a tax on any inheritance.

A vote "Yes" will repeal the state inheritance tax.

A vote "No" would leave the inheritance tax in place.

Full Text of Constitutional Amendment C: That Article XI of the Constitution of the State of South Dakota be amended by adopting a NEW SECTION to read as follows:

§ 15. No tax may be levied on any inheritance, and the Legislature may not enact any law imposing such a tax. The effective date of this section is July 1, 2001.

Constitutional Amendment D

Title: An initiated Amendment to Article III, Section 25 of the South Dakota Constitution repealing the video lottery.

Attorney General Explanation:

The Constitution authorizes legislative enactment of video lottery. Amendment D removes that authority and will repeal all video lottery laws.

A vote "Yes" will abolish video lottery.

A vote "No" will leave the video lottery in place.

Full Text of Constitutional Amendment D: Section 1. That Article III, section 25 of the Constitution of the State of South Dakota, be amended to read as follows:

§ 25. Games of chance prohibited - Exceptions. The Legislature shall not authorize any game of chance, lottery, video game of chance, video lottery, or gift enterprise, under any pretense, or for any purpose whatever provided, however. However, it shall be lawful for the Legislature to authorize by law, bona fide veterans, charitable, educational, religious or fraternal organizations, civic and service clubs, volunteer fire departments, or such other public spirited organizations as it may recognize, to conduct games of chance when the entire net proceeds of such games of chance are to be devoted to educational, charitable, patriotic, religious, or other public spirited uses. However, it shall be lawful for the Legislature to authorize by law a state lottery or video games of chance, or both, which are is regulated by the State of South Dakota, either separately by the state or jointly with one or more states, and which are is owned and operated by the State of South Dakota, either separately by the state or jointly with one or more states or persons, provided any such video games of chance shall not directly dispense coins or tokens. However, the Legislature shall not expand the statutory authority existing as of June 1, 1994, regarding any private ownership of state lottery games or video games of chance, or both. The Legislature shall establish the portion of proceeds due the state from such lottery or video games of chance, or both, and the purposes for which those proceeds are to be used. SDCL 42-7A, and its amendments, regulations, and related laws, and all acts and contracts relying for authority upon such laws and regulations, beginning July 1, 1987, to the effective date of this amendment, are ratified and approved. Further, it shall be lawful for the Legislature to authorize by law, limited card games and slot machines within the city limits of Deadwood, provided that 60% of the voters of the City of Deadwood approve legislatively authorized card games and slot machines at an election called for such purpose. The entire net Municipal proceeds of such card games and slot machines shall be devoted to the Historic Restoration and Preservation of Deadwood.

Section 2. The effective date of this amendment is July 1, 2001.

Constitutional Amendment E

Title: An Amendment to Article VIII of the South Dakota Constitution, permitting the investment of permanent school funds in certain stocks, bonds, mutual funds, and other financial instruments and to use a certain portion of the interest and income to increase the principal in the fund.

Attorney General Explanation:

The South Dakota Investment Council invests the state permanent school fund, and other educational and charitable funds. Losses resulting from these investments must be reimbursed by the Legislature. The Investment Council is prohibited from investing these funds in stocks or similar investments.

In addition to the investments currently authorized, Amendment E would allow the Investment Council to invest these funds into stocks and similar investments. Amendment E would limit reimbursement to losses incurred through any unconstitutional act.

In addition, all interest and income earned from the investment of the state permanent school fund is currently required to be annually disbursed to the public school districts. Under Amendment E, only interest and income earned in excess of the inflation rate would be disbursed to the school districts.

The remaining interest and income would become part of the permanent school fund.

A vote "Yes" will change the Constitution.

A vote "No" will leave the Constitution as it is.

Full Text of Constitutional Amendment E: Section 1. That Article VIII, section 2 of the Constitution of the State of South Dakota, be amended to read as follows:
§ 2. All proceeds of the sale of public lands that have heretofore been or may hereafter be given by the United States for the use of public schools in the state; all such per centum as may be granted by the United States on the sales of public lands; the proceeds of all property that shall fall to the state by escheat; the proceeds of all gifts or donations to the state for public schools or not otherwise appropriated by the terms of the gift; and all property otherwise acquired for public schools, shall be and remain a perpetual fund for the maintenance of public schools in the state. It shall be deemed a trust fund held by the state. The principal shall forever remain inviolate never be diverted by legislative enactment for any other purpose , and may be increased , but shall never be diminished, and the state shall make good all losses thereof which may in any manner occur ; but, if any loss occurs through any unconstitutional act, the state shall make the loss good through a special appropriation .

Section 2. That Article VIII, section 3 of the Constitution of the State of South Dakota, be amended to read as follows:
§ 3. The interest and income of this fund together with all other sums which may be added thereto by law, shall be faithfully used and applied each year for the benefit of the public schools of the state, and shall be for this purpose apportioned among and between all the several public school corporations of the state in proportion to the number of children in each, of school age, as may be fixed by law; and no part of the fund, either principal or interest, shall ever be diverted, by legislative enactment, even temporarily, from this purpose or used for any other purpose whatever than the maintenance of public schools for the equal benefit of all the people of the state. However, before the interest and income is apportioned to the public schools, the principal shall be increased each year by an amount equal to the rate of inflation from the interest and income earned from this fund. The principal may be prudently invested as provided by law.

That the The proceeds of all fines collected from violations of state laws shall be paid to the county treasurer of the county in which said the fine shall have been was imposed, and by him distributed by the county treasurer among and between all of the several public schools incorporated in such county in proportion to the number of children in each, of school age, as may be fixed by law.

Section 3. That Article VIII, section 7 of the Constitution of the State of South Dakota, be amended to read as follows:
§ 7. All lands, money , or other property donated, granted , or received from the United States or any other source for a university, agricultural college, normal schools , or other educational or charitable institution or purpose, and the proceeds of all such lands and other property so received from any source, shall be and remain perpetual funds, the interest and income of which, together with the rents of all such lands as may remain unsold, shall be inviolably appropriated and applied to the specific objects of the original grants or gifts. The principal of every such fund may be increased, but shall never be diminished diverted by legislative enactment for any other purpose , and the interest and income only shall be used. Every such fund shall be deemed a trust fund held by the state, and the state shall make good all losses therefrom that shall in any manner may occur through any unconstitutional act or where required under the Enabling Act .

Section 4. That Article VIII, section 11 of the Constitution of the State of South Dakota, be amended to read as follows:
§ 11. The Except as otherwise required by the Enabling Act, the moneys of the permanent school and other educational and charitable funds shall be invested by the state investment council in stocks, bonds, mutual funds, and other financial instruments as provided by law .

Section 5. That Article VIII, section 13 of the Constitution of the State of South Dakota, be amended to read as follows:
§ 13. All losses to the The permanent school or other educational and charitable funds of this state which shall have been occasioned by the defalcation, negligence, mismanagement or fraud of the agents or officers controlling and managing the same, shall be audited by the proper authorities of the state. The amount so audited shall be a permanent funded debt against the state in favor of the fund sustaining the loss upon which not less than six per centum of annual interest shall be paid. If any loss occurs through any unconstitutional act, the state shall make the loss good through a special appropriation. The amount of indebtedness so created shall not be counted as a part of the indebtedness mentioned in article XIII, § 2.

INITIATED MEASURE 1

The following initiated measure was proposed by petition for submission to the voters. This initiated measure will not become effective unless approved by majority vote.

Title: An initiated amendment to SDCL 42-7B-14 to raise the maximum bet limits for limited card games and slot machines authorized within the city of Deadwood.

Attorney General Explanation:

State law currently imposes a maximum limit of five dollars on any initial or subsequent bet for Deadwood gaming. Initiated Measure 1 would increase the bet limit to one hundred dollars on each of these bets.

A vote "Yes" will increase the bet limits to $100.

A vote "No" will leave the bet limits at $5.

Full Text of Initiated Measure 1: That SDCL 42-7B-14 be amended to read as follows: 'The maximum amount of an initial bet or subsequent bet on all games subject to this chapter is the maximum bet limit (one hundred dollars) allowed on blackjack in any jurisdiction in South Dakota in effect on January 1, 1999.'