Category: Uncategorized

This one came out of the blue today, as long, longtime leader of the SD Corn Council Lisa Richardson is gone from the corn council in what appears to be an organizational shake-up:

Lisa Richardson, the longtime executive director of South Dakota Corn and one of the most recognizable names in the state’s agriculture industry, is no longer with the organization.

A press release issued by the organization Friday afternoon said that Richardson had resigned. She had been in the position since 1997.

and..

On the South Dakota Corn website, Richardson and Teddi Mueller, the organization’s legislative director, are no longer listed on the staff page. According to the group’s most recent tax filing, Richardson made $230,805 in base compensation as well as $52,990 in other compensation. Mueller earned $212,336 in base compensation and $48,421 in other compensation.

Read the entire story here.

This evening brings terrible news of former GOP House Majority Leader David Lust passing away of a heart ailment at the age of 53.

Lust served two different terms, from 2007-2014, and from 2016-2018. He was Republican House Majority Whip 2009-2010 and later as Majority Leader from 2011-2014. Lust also had the distinction of being doubly appointed in connection with the passing of Dan Dryden, as he was appointed September 27, 2016, to fill the vacancy of one term, and then appointed on November 18, 2016 to fill the Dryden vacancy after the election.

Lust has been a partner with Gunderson, Palmer, Nelson & Ashmore law firm.

Please keep his family in your prayers, and I will make note of more information as it becomes available.

Remember the big John Thune/Tom Cotton fundraising lunch event held a few weeks back?

I’ll let you in on some inside baseball. Because of Senator’s schedules, sometimes events like that come together fast, and with only a little notice. And the Thune/Cotton event held earlier in July was no exception.

With a lightning fast turnaround, I believe they had about 2 to 2 1/2 weeks lead time, and they had a crowd of 200-300 for a mid-week lunch, with people scrambling to participate in the round table held earlier and driving in from across the state to be there.

Why do I bring it up? Because there was another event that was just held tonight. And that’s an event we’re not hearing anything about.

I’m talking about tonight’s rally that the group of goofy facebook anti-John Thune people had been working on and promoting for over a month. They had Bruce Whalen in his first US Senate Campaign appearance. Also speaking at the event was State Rep Taffy Howard, who seems to be dipping her toe in the water to maybe run for Congress. And it was headlined by self-styled conservative social media person Scott Preseler.

The only photos filtering out of the event I have been able to find so far appears to show maybe 10 to 15 people – in addition to the speakers – under the farmers market picnic shelter.

For an event they had months to prep for, it seems to have been a complete flop.

When Julie Korth, leader of the “Primary John Thune Facebook Group” spent weeks calling for her fellow facebook warriors, q-anon followers, and meme consumers to show up in Sioux Falls at the farmer’s market picnic shelter for a free event with their announced US Senate candidate and an out of state speaker they recruited in a show of force for their political movement.. this is what they ended up with:

Er.. yeah.

They might have been able to muster a larger crowd to watch if they had set a tire on fire in the parking lot.

If they were hoping for an event to demonstrate how strong they claim their movement is.. I guess they showed us all.

Rounds, Colleagues Reintroduce Bipartisan Legislation Expanding Market for Biofuels Year-Round

WASHINGTON –U.S. Senators Mike Rounds (R-S.D.), Deb Fischer (R-Neb.) and a bipartisan group of 10 other senators reintroduced the Consumer and Fuel Retailer Choice Act. The bill would extend the Reid vapor pressure (RVP) volatility waiver to ethanol blends above 10 percent. It would increase market access and continue to allow retailers across the country to sell E15 and other higher-ethanol fuel blends year-round, eliminating confusion at the pump. Higher blends of ethanol burn cleaner, providing a way for more Americans to be part of the climate solution.

“Consumers deserve lower-cost, lower-carbon choices at the pump,” said Rounds. “The D.C. Circuit Court’s ruling ending year-round sales of E15 hurts consumers, corn farmers and ethanol producers. Our bill will strengthen rural economies by allowing these low-carbon fuels to be sold year round.”

“The recent D.C. Circuit Court ruling was a major blow to farmers and ethanol producers, and further highlighted the need to provide them with certainty,” said Fischer. “My legislation will ensure consumers continue to have access to higher ethanol blends at the pump and that E15 can be sold year-round. It will create significant economic opportunities for the hardworking men and women in rural America who are providing the country with a low-carbon solution.”

More information:

In addition to Rounds and Fischer, this bill was also introduced by Senators Chuck Grassley (R-Iowa), Amy Klobuchar (D-Minn.), John Thune (R-S.D.), Joni Ernst (R-Iowa), Jerry Moran (R-Kansas), Roger Marshall (R-Kansas), Tammy Duckworth (D-Ill.), Tina Smith (D-Minn.), Richard Durbin (D-Ill.) and Tammy Baldwin (D-Wisc.).

In 2019, President Trump took action allowing E15 to be sold year-round. The recent U.S. Court of Appeals for the D.C. Circuit decision vacated that action.

South Dakota ranked fourth in the nation in ethanol production capacity in 2020. The state has 16 operating ethanol plants.

Full text of the legislation is available here.

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Thune, Daines, McConnell, Crapo Lead Entire Senate Republican Caucus in Urging Biden Administration to Drop Step-Up In Basis Tax-Hike Proposal  

WASHINGTON — U.S. Sens. John Thune (R-S.D.), Steve Daines (R-Mont.), and Mike Crapo (R-Idaho), members of the tax-writing Senate Finance Committee, and Mitch McConnell (R-Ky.) today led the entire Senate Republican caucus in urging President Biden to abandon his effort to impose a capital gains tax increase on family-owned businesses, farms, and ranches. Repealing this part of the tax code would have a devastating effect on multi-generation operations, which could lead to job losses, liquidation, or outright closure.

“These [proposed] changes are a significant tax increase that would hit family-owned businesses, farms, and ranches hard, particularly in rural communities,” the senators wrote. “These businesses consist largely of illiquid assets that will in many cases need to be sold or leveraged in order to pay the new tax burden. Making these changes could force business operators to sell property, lay off employees, or close their doors just to cover these new tax obligations. The complexity and administrative difficulty of tracking basis over multiple generations and of valuing assets that are not up for sale will lead to colossal implementation problems and could also lead to huge tax bills that do not accurately reflect any gains that might have accumulated over time. As you will recall, a proposal to reach a similar outcome by requiring an heir to ‘carry-over’ the decedent’s tax basis was tried before in 1976—and failed so spectacularly it never came into effect. It was postponed in 1978 and repealed in 1980.”

“Passing on the family farm to the next generation is a top priority for many farmers and ranchers,” said Zippy Duvall, president of the American Farm Bureau Federation. “Eliminating stepped-up basis and increasing capital gains taxes will make it much more difficult, or even impossible, for parents to pass on their farm or ranch to their children. This is a critical tool for America’s farmers and ranchers, and we urge all members of Congress to oppose efforts to eliminate it.”

“At a time when small businesses are working to recover from the COVID-19 pandemic, repealing stepped-up basis would be a devastating setback for family-owned businesses,” said Courtney Titus Brooks, senior manager of federal government relations at National Federation of Independent Business (NFIB). “The current proposal to eliminate stepped-up basis would cause significant job losses and would leave heavy tax burdens on future generations. Small businesses thank Senators Thune, Daines, and Crapo for advocating on behalf of family-owned businesses and urge Congress to keep this important policy in place.”

“We appreciate the efforts of Senators Thune, Daines, and Crapo to inform President Biden on the catastrophic impacts that the repeal of stepped-up basis would have on all family-owned businesses and are grateful to see so many in Congress are fighting to preserve the common-sense tax provisions so critical for U.S. cattle producers,” said Danielle Beck, senior executive director of government affairs of the National Cattlemen’s Beef Association. “The Biden Administration has made clear that bolstering the American economy is a top priority and recognized agricultural supply chain resiliency as a core component of that effort. Family-owned agricultural operations are the economic drivers of rural communities across the United States; therefore, it is imperative that this Administration understand that resiliency can only be achieved and maintained when new generations – whether their family has had a long history in agriculture, or they are breaking into the industry – can build upon the contributions of today’s farmers and ranchers.”

“Stepped-up basis has helped family-owned businesses and farms stay in the family for generations,” said the Family Business Estate Tax Coalition (FBETC) Steering Committee. “President Biden’s proposal to repeal this longstanding tax provision would saddle future generations with unsustainable tax burdens and make it that much harder to continue operating family-owned businesses and farms across the country. In addition to subjecting family-owned businesses and farms to a significant tax increase, repealing stepped-up basis also would lead to an estimated 800,000 job losses over the next decade. The FBETC appreciates Senators Thune, Daines, and Crapo for standing up for family-owned businesses and farms and we are hopeful that Congress will protect U.S. workers by preserving stepped-up basis.”

“If step-up in basis is eliminated it will be an economic disaster for family businesses, their employees, the local communities, and the national economy,” said Pat Soldano, president and CEO of the Policy and Taxation Group. “Family businesses create 59% of the workforce, 83.3 million jobs, and 54% of the GDP, $7.7 trillion. Elimination of step up and an increase in capital gains could result in an 81% tax on the business owner when he dies.”

Additional groups that support the senators’ effort include the Associated General Contractors of America, National Association of Manufacturers, and the U.S. Chamber of Commerce.

Joining Thune, Daines, McConnell, and Crapo in signing the letter were U.S. Sens. John Boozman (R-Ark), Chuck Grassley (R-Iowa), John Cornyn (R-Texas), Richard Burr (R-N.C.), Rob Portman (R-Ohio.), Pat Toomey (R-Pa.), Tim Scott (R-S.C.), Bill Cassidy (R-La.), James Lankford (R-Okla.), Todd Young (R-Ind.), Ben Sasse (R-Neb.), John Barrasso (R-Wyo.), John Hoeven (R-N.D.), Joni Ernst (R-Iowa), Cindy Hyde-Smith (R-Miss.), Roger Marshall (R-Kan.), Tommy Tuberville (R-Ala.), Deb Fischer (R-Neb.), Mike Braun (R-Ind.), Marsha Blackburn (R-Tenn.), Roy Blunt (R-Mo.), Susan Collins (R-Maine), Tom Cotton (R-Ark.), Kevin Cramer (R-N.D.), Ted Cruz (R-Texas), Lindsey Graham (R-S.C.), Bill Hagerty (R-Tenn.), Josh Hawley (R-Mo.), Jim Inhofe (R-Okla.), Ron Johnson (R-Wis.), John Kennedy (R-La.), Mike Lee (R-Utah), Cynthia Lummis (R-Wyo.), Shelley Moore Capito (R-W.Va.), Jerry Moran (R-Kan.), Lisa Murkowski (R-Alaska), Rand Paul (R-Ky.), James Risch (R-Idaho), Mitt Romney (R-Utah), Mike Rounds (R-S.D.), Marco Rubio (R-Fla.), Rick Scott (R-Fla.), Richard Shelby (R-Ala.), Dan Sullivan (R-Alaska), Thom Tillis (R-N.C.), and Roger Wicker (R-Miss.).

Full text of the letter below:

The Honorable Joseph Biden
President of the United States
1600 Pennsylvania Avenue NW
Washington, D.C. 20510

Dear President Biden,

We appreciate your efforts to address America’s infrastructure challenges, but the cost of these investments should not be borne by family-owned businesses, farms, and ranches across the country. We are concerned that your American Families Plan proposes to make drastic changes to the taxation of capital income, including a longstanding tax provision that prevents family-owned businesses, farms, and ranches from being hit with a crippling tax bill when a family member passes away.

Under current law, passing down a family business to the next generation does not impose a capital gains tax burden on the business or its new owners. Rather, the decedent’s tax basis in the business is “stepped-up” to fair market value, preventing a large capital gains tax bill on the growth in the business’s value. If the functional benefit of the step-up in basis were eliminated and transfers subject to the estate tax also become subject to income tax, as you have proposed, many businesses would be forced to pay tax on appreciated gains, including simple inflation, from prior generations of family owners—despite not receiving a penny of actual gain. These taxes would be added to any existing estate tax liability, creating a new backdoor death tax on Americans.

These changes are a significant tax increase that would hit family-owned businesses, farms, and ranches hard, particularly in rural communities. These businesses consist largely of illiquid assets that will in many cases need to be sold or leveraged in order to pay the new tax burden. Making these changes could force business operators to sell property, lay off employees, or close their doors just to cover these new tax obligations. The complexity and administrative difficulty of tracking basis over multiple generations and of valuing assets that are not up for sale will lead to colossal implementation problems and could also lead to huge tax bills that do not accurately reflect any gains that might have accumulated over time. As you will recall, a proposal to reach a similar outcome by requiring an heir to “carry-over” the decedent’s tax basis was tried before in 1976—and failed so spectacularly it never came into effect. It was postponed in 1978 and repealed in 1980.

Further, the proposed “protections” simply delay the tax liability—rather than provide any real tax relief—for those continuing to operate the business, farm, or ranch. In fact, these protections create new “lock-in” effects that could make any eventual changeover in operation or transfer of the business financially untenable. Imposing a tax increase on hardworking Americans would harm the economic recovery from COVID-19 and endanger American jobs. A recent study by E&Y found that eliminating the benefit of a step-up in basis would cost the U.S. economy 80,000 jobs each year over the next decade—and an additional 100,000 jobs per year in the long run. Additionally, for every $100 in revenue raised by this tax increase, $32 would come directly from the pockets of American workers. A study by the Texas A&M Agricultural and Food Policy Center reached equally unsettling conclusions, determining that 98 percent of the representative farms in its 30-state database would be impacted by a proposal to eliminate the benefit of the step-up in basis, with average additional tax liabilities totaling $726,104 per farm.

We respectfully urge you to reconsider your proposal to repeal this important part of the tax code. Preserving step-up in basis would save American jobs and ensure that small businesses, farms, and ranches across the country can stay in their families for generations to come.

Sincerely,

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Are we ready to hit the reset button?
By State Rep. Trish Ladner

Are we ready to hit the reset button?

This past week, I attended the Midwest Legislative Conference hosted in Rapid City. The conference was attended by over 600 legislators from 11 Midwest states and 4 Canadian Provinces (Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Nebraska, North Dakota, Ohio, Saskatchewan, South Dakota, Wisconsin, Alberta, Manitoba & Ontario). It was an amazing opportunity to hear from industry professionals, meet with other legislators to discuss policy, problems, and potential solutions. There were many breakout sessions led by experts in their field covering a wide variety of topics from the changing fiscal landscape, to the post pandemic challenges going forward.

Most workshops addressed issues that we, as a society, are now forced to address. This includes our state’s fiscal policies, and on a more global scale, our relationships with people and governments across continents. It has made us face the reality that life is fragile. Political and economic systems including supply chains and “on-shore” production of all essentials can, and were disrupted.

The conference’s opening keynote speaker was Journalist, Ben Hammersley. My takeaway from his talk can be summed up in an example he cited about Kodak. At one point this iconic company had the chance to embrace the digital camera, but refused. By not resetting their vision and direction for Kodak, they ultimately failed. His question to all of us was profound, “We are post pandemic and are we willing to hit the reset button?”

Elaine Dezenski and John Austin presented a breakout session on “Ally-Shoring” A Path to Rework Supply Chains and Rebuild Economies.” In a nutshell, Ally-Shoring addresses broken supply chains that became apparent and provides an option for countries to disengage from existing supply chain agreements with China and other states that seek to undermine American interests and forge strong working relationships with Western-led trade countries like the USA, Canada, Mexico and South America. Austin noted that, “By strengthening long-standing relationships with Western Europe, the Middle East, Africa and Asia we could restart and lean into our relationships with those we trust.”

A local presenter, Deni Amundson, Program Manager from Build Dakota Scholarship Program presented information about an innovative model that fosters greater collaboration among education and workforce programs with a goal of helping residents become prepared to take advantage of promising careers in emerging and high-demand economic sectors across South Dakota. With this program, you can earn a full-ride scholarship at one of four South Dakota technical colleges. Recipients of the scholarships commit to working in South Dakota, in their field of study, for three years following graduation. For more information visit BuildDakotaScholarships.com

It appears that Ms. Amundson and Ms. Dezenski are on the same page. Ally-Shoring would bring good jobs, to the industrial Midwest with new opportunities and the South Dakota Scholarship program educates and creates the workforce needed to fill those jobs.

But, what can I do? I’m just one person. The simple truth is that each and every one of us can help to facilitate change. We can help “reset” our economies by standing up and making the decision to begin supporting our local growers and ranchers. By buying goods from those we trust, each of us can make a concerted effort to strengthen the United States and the free enterprise system in America.

As Abraham Lincoln said, “We have the right to rise!” Our goal as American’s should be to see our local Mom & Pop shops reopen and not just survive, but to thrive once again. We the people, united together, can help facilitate an economic recovery within our communities, and across the American Heartland!

Representative Trish Ladner, District 30

Governor Noem Announces Results of Nest Predator Bounty Program

 

PIERRE, S.D. – Governor Kristi Noem and the South Dakota Department of Game, Fish & Parks (GFP) have announced the results of the 2021 Nest Predator Bounty Program. 53,642 total nest predator tails were turned in by 2,773 participants. The Nest Predator Bounty Program reduces local nest predator populations as a way to enhance pheasant and duck nest success.

 

“South Dakota is one of the only states that hunts our state bird. The nest predator bounty program began in 2019 as a key component of my Second Century Initiative,” said Governor Kristi Noem. “It’s a great way to encourage youth and families to get outside and ensure trapping remains a part of South Dakota’s long-standing outdoor heritage. And it’s leading to higher nest success, which means more beautiful ringnecks for our hunters.”

 

2021 marked the third year of the program. A total of 81,000 tails were turned in between 2019 and 2020. The strong 2020 pheasant season proved the success of the program, so the bounty was doubled this year to $10 per-tail.

 

In 2021, 29% of the program participants were under the age of 18, up from 16% in 2020. These 812 South Dakota youth handed in 12,108 tails. 91% of all tails were turned in East River. Each week, a drawing was held for youth participating in the program. Winners of the drawing received three live traps, a trapping booklet, and a knife. Photos of drawing winners can be found here.

 

For more information on the Nest Predator Bounty Program, visit gfp.sd.gov.

 

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4 months after the Attorney General’s ballot explanation was submitted, it looks like Nick Reid, the sponsor of the jungle primary ballot measure has finally moved forward with circulating petitions.

With roughly 110 or so days left.. will they be successful? We’ll see.

South Dakota Closes 2021 Budget Year with a $85.9 Million Surplus

State’s Total Reserves Increase to $301.8 Million

 

PIERRE, S.D. – Today, Governor Kristi Noem announced that South Dakota closed the 2021 budget year on June 30 with a surplus of $85.9 million. Total general fund revenue for fiscal year 2021 finished $62.0 million higher than adopted estimates, and the state general fund budget ended with expenditures approximately $23.9 million lower than budgeted.

 

“Because of our respect for freedom and our continued emphasis on fiscal responsibility, South Dakota’s financial house is in order and positioned to ensure a safer, stronger, and healthier South Dakota for the next generation” said Governor Noem. “Our economy continues to be the strongest in America. Our low unemployment rate, strong labor force recovery, and terrific tourism numbers are generating historic revenues for the state.”

 

 South Dakota’s year over year growth in fiscal year 2021 was $274.2 million or 15.7%, compared to a ten year average of 4.6%. This historic growth is the largest that the state has seen in over 30 years; quite possibly in state history. Sales and use tax, which is the state’s largest revenue source, finished $26.6 million above estimates and grew 14% over the prior fiscal year, compared to a ten year average of 5%. The full fiscal year 2021 revenue metrics can be found at bfm.sd.gov.

 

“We will continue to be responsible stewards of the taxpayers’ money with an eye towards future economic difficulty,” continued Governor Noem “With Washington driving high inflation and the Federal Reserve planning to raise interest rates, our rainy day fund is in strong shape to weather whatever challenges may arise.”

 

By law, the fiscal year 2021 surplus of $85.9 million was transferred to the state’s budget reserves. The state’s reserves now total $301.8 million, or 16.6% of the fiscal year 2022 general fund budget. The state has held a AAA credit rating with all three major credit agencies since 2016.

 

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Noem Waives Hours of Service Regulations to Deal with Fuel Shortage

PIERRE, S.D. – Governor Kristi Noem has signed Executive Order 2021-10 granting extended hours of service for the commercial delivery of petroleum products in South Dakota.

The order declares a state of emergency and exempts delivery of gasoline, diesel, jet fuel, and ethyl alcohol from federal motor carrier regulations on drivers’ hours of service. Residents and businesses in western South Dakota are faced with an unexpected shortage of supply.

“We are at the height of our tourism season, as well as a busy time for our agriculture industry. Maintaining the supply of fuel is crucial to preventing a disruption of service to two of our state’s major industries,” said Noem. “This 30-day order is meant to ensure a steady supply of fuel is available to our visitors, businesses, farmers, and ranchers in the western part of the state.’’

The governor noted that this is not just an issue within South Dakota, but a regional emergency that is being met with swift action.

Although hours of service have been temporarily suspended for commercial deliveries, companies may not require or allow fatigued drivers to make deliveries.

The executive order was signed July 17 and expires at midnight on August 16, 2021. All other road safety and vehicle compliance regulations still apply.

The executive order can be downloaded here.