An Act to revise provisions for taxes levied by the board of a school district for the capital outlay fund.
Be it enacted by the Legislature of the State of South Dakota:
Section 1. That 13-16-7 be AMENDED:
13-16-7. Additional Tax Levy--Pledge of Taxes--Limitations.
The school board of any a school
district of this state may at the board's
discretion authorize an the annual
levy of a tax not to exceed three dollars per thousand
dollars of taxable valuation on the taxable valuation of the
district for the capital outlay fund, for assets, as
defined by 13-16-6,
or for the district's obligations under a resolution, lease-purchase
agreement, capital outlay certificate, or other arrangement with the
Health and Educational Facilities Authority.
Taxes collected pursuant to the levy may be irrevocably pledged by
the school board to the payment of principal of
and interest on installment purchase contracts or capital
outlay certificates entered into or issued pursuant to 13-16-6
or 13-16-6.2,
or lease-purchase agreements, or other arrangement
arrangements with the Health and Educational
Facilities Authority and, so long as any capital outlay certificates
are outstanding, or installment agreement payments,
lease-purchase agreements, or other arrangements are unpaid, the
school board of any a school
district may be compelled, by mandamus or other
appropriate remedy, to levy an annual tax sufficient to pay
the principal and interest thereon, but not to exceed the
three dollars per thousand dollars of taxable valuation in any year
authorized to be levied hereby.
The Except as otherwise provided in this section,
the total amount of revenue payable from the levy provided
in this section may not increase annually by more than the
lesser of three percent or the index factor, as defined in
10-13-38,
over the maximum amount of revenue that could have been generated
from the taxes payable pursuant to this section in
2016 2020.
After applying the index factor, a school district A
board may increase the revenue payable from taxes on real
property above the limitations limitation
provided for by this section, by the percentage
increase of value resulting from any improvements or change in the
use of real property, annexation, minor boundary changes, and any
adjustments in taxation of real property separately classified and
subject to statutory adjustments and reductions under chapters 10-4,
10-6,
10-6A,
and 10-6B,
except 10-6-31.4,
only if assessed the same as property of equal value.
A school district board may increase the
revenue that the district receives from taxes on real property
above the limit limitation provided by
for in this section for taxes levied to pay the
principal, interest, and redemption charges on any bonds issued after
January 1, 2009, which are subject to a referendum, scheduled
payment increases on bonds, and for a levy directed by the
order of a court for the purpose of paying a judgment against the
school district.
Any school district created or reorganized after January 1, 2016, is exempt from the limitation provided by this section for a period of two years immediately following the district's creation or reorganization.
In no year may the annual tax levy provided in this
section exceed three dollars per thousand dollars of taxable
valuation or be less than two dollars and seventy-five cents per
thousand dollars of taxable valuation of the school district
for the current year.
Section 2. That 13-16-7.2 be AMENDED:
13-16-7.2. Maximum Taxes--Pledge of Taxes.
Starting with taxes payable in 2021, a school district is limited to the lesser of:
(1) The maximum taxes allowed pursuant to 13-16-7;
or two
(2) Three thousand eight hundred dollars for each enrolled
student, as determined in by the fall
enrollment count set forth in 13-13-10.1
for the prior school year, whichever is less.
For 2022 and subsequent years, the maximum amount for each enrolled
student shall must increase by the lesser of
three percent or the index factor, as defined in 10-13-38.
If a school district board has irrevocably
pledged taxes collected to the payment of principal and interest on
installment purchase contracts or capital outlay certificates entered
into or issued pursuant to 13-16-6
or 13-16-6.2,
or to lease-purchase agreements or other arrangements with the
Health and Educational Facilities Authority prior to July 1, 2016,
that school district board may raise taxes
allowed pursuant to 13-16-7
and this section in an amount necessary to fund those payments and
obligations and to provide additional funding of up to two
three thousand eight hundred dollars for each enrolled
student, as determined in the fall enrollment count set forth
in 13-13-10.1.
In no year may the annual tax levy provided in this section exceed
the levy authorized under 13-16-7.
Section 3. That a NEW SECTION be added:
13-16-7.3. Maximum--Annual Tax Levy.
Notwithstanding 13-16-7, the board of a school district may levy an amount up to thirty-seven percent of the maximum per student amount pursuant to 13-16-7.2, provided the maximum annual tax levy authorized by this section may not exceed three dollars per thousand dollars of taxable valuation of the district for the current year.