This bill amends South Dakota law regarding the process for school districts to impose an excess tax levy for both general fund and capital outlay fund purposes. It requires that the governing body of a school district must specify the duration and total maximum dollar amount of the excess tax levy in their resolution. Additionally, the bill mandates that the decision to impose or increase an excess tax levy must be published within ten days, with specific requirements for the announcement's size and content, including a clear statement regarding the property tax increase and the right to refer the decision to a vote.

Furthermore, the bill stipulates that the opt-out decision must be referred to a vote of the people, either through a resolution by the governing body or via a petition signed by at least five percent of registered voters. The ballot must clearly state the duration and total maximum dollar amount of the excess tax levy. The amendments also clarify that any additional revenue generated from the excess tax levy can only be used for the specified purposes and must be excluded from the total tax revenues when calculating transfers to the general fund.

Statutes affected:
Introduced, 01/13/2026: 10-12-43, 10-12-43.1
Senate Education Engrossed, 01/22/2026: 10-12-43, 10-12-43.1