Tuesday,  March 5, 2013 • Vol. 14--No. 229 • 18 of 30 •  Other Editions

(Continued from page 17)

• Motorists can lose their licenses if they accumulate too many points for moving violations, including drunken driving, reckless driving and running a stop sign. But no points are assessed for speeding.

SD House panel approves economic development fund
DIRK LAMMERS,Associated Press

• PIERRE, S.D. (AP) -- Neighbor states are blowing past South Dakota in wind-energy production, but Senate President Pro Tem Corey Brown says the problem has nothing to do with airflow.
• South Dakota's up-front tax structure is why the nation's fifth-windiest state produces just 784 megawatts in wind energy -- a number doubled by North Dakota, more than tripled by Minnesota and is surpassed nearly six-fold by Iowa.
• "I think it would be difficult to argue that it's any more windy in North Dakota or Minnesota or Iowa," Brown told the House State Affairs Committee Monday.
• Committee members voted unanimously to send to the House floor a comprehensive South Dakota economic development fund plan aimed at helping to recruit large ventures such as wind farms as well as smaller projects to the state.
• "It puts the 'Open for Business' sign out in the state of South Dakota, particularly for wind developers," said Bob Sahr, general counsel for East River Electric Cooperative.
• South Dakota currently has no incentive plan because a previous program that refunded construction taxes for large industrial projects was allowed to expire on Dec. 31. A replacement plan suggested by Gov. Dennis Daugaard was rejected by voters in the November election.
• Republicans and Democrats have worked for the past two months to find a compromise to help level the playing field with other states that do a better job recruiting large projects.
• South Dakota charges not only a 4 percent sales tax on construction projects, but also a 2 percent contractors' excise tax on gross receipts. Few other states have a contractors' excise tax, so construction is cheaper elsewhere.
• The new plan introduced at a bipartisan news conference last week would refund part or all of the state sales tax paid by projects of more than $20 million that would not located in South Dakota without such an incentive.
• The contractors' excise tax collected on those projects would be placed in the Building South Dakota Fund so the state can reinvest in future projects. The new fund would also get a portion of unclaimed property that the state receives from

(Continued on page 19)

© 2012 Groton Daily Independent • To send correspondence, click here.