Dealing with money issues

Legislative report

District 4 Rep. John Mills
Posted 1/18/22

The 97th session of the South Dakota Legislature began Tuesday, Jan. 11. With so much federal money flowing into South Dakota, the Joint Committee on Appropriations, that I serve on, decided to get a bit of a head start. We met Jan. 4-6 and also met one day early this past week.

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Dealing with money issues

Legislative report

Posted

The 97th session of the South Dakota Legislature began Tuesday, Jan. 11. With so much federal money flowing into South Dakota, the Joint Committee on Appropriations (JCA), that I serve on, decided to get a bit of a head start. We met Jan. 4-6 and also met one day early this past week.

The JCA can meet early and more often because one of our jobs is to review, modify and approve the budgets for every area of state government. They have their proposed budgets ready in December. At our hearings, departments, bureaus and constitutional offices make their presentations, including requests for budget changes. The 18 member JCA asks lots of questions. JCA never approves a budget until all questions are answered and we have thoroughly vetted their requests. So far, no budgets have been approved.

This year, $1.25 billion in American Rescue Plan Act (ARPA) money has been allotted to South Dakota in the latest round of Washington handouts. That is a huge amount, especially following all the previous money sent our way in 2020 and 2021. Did you know that over the past 20 months an extra $12 billionhas flowed into South Dakota. It came to individuals, businesses, schools, counties, cities and the state. That is more than $13,000 for every man, woman and child. Unbelievable. 

While some federal stimulus, early in the pandemic was certainly warranted, in my opinion most that followed was not. The inflation we all feel when we buy groceries or gas is a direct result of Washington’s irresponsible and exaggerated handouts. Frankly, it angers me.

The ARPA money, like others before it, comes with requirements and timelines to follow. Fortunately, we have three years (until Dec. 31, 2024) to allocate the money and two additional years (until Dec. 31, 2026) to spend it. It will of course require restraint and patience to use it slowly, especially when the governor and legislators have already submitted $3.25 billion in requests.

I am in agreement with the House chair of JCA, who believes that the use of money needs to match the source of the money. That means that since this money is borrowed from the future (from our grandchildren) that the use of it should benefit them. We need to resist new programs that expand government. We should save or invest it only in ways that will benefit future generations. I will be one to advocate for tax reductions and savings using trust funds, things that we know will benefit every South Dakotan for decades to come.

In service to God and you,

John Mills, Representative, District 4, mills4sd@gmail.com or John.Mills@sdlegislature.gov