Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the I Am 28 topic
No spam. Unsubscribe anytime.
Yankton commissioners briefed on "I am 28" sales-tax initiative and a proposed CAPS local-tax tool
Summary
City Manager Amy briefed the commission on the statewide "I am 28" initiative (sales-tax changes on consumables), uncertainty over definitions and likely legal challenges, and an early-stage Municipal League proposal (CAPS) to allow a one-cent local sales tax for community projects; staff will bring draft language for local consideration.
City Manager Amy told the Yankton City Commission that attendees at the First Class Mayors meeting discussed the statewide initiative known in the transcript as "I am 28," which would change sales-tax treatment for "consumables." Amy said available guidance indicates the initiative would not include packaged food and alcohol but that many items (vitamins, prepared foods, candy, chips, sushi) remain ambiguous and could require legal interpretation.
Amy said mayors expect legal challenges if the measure passes and warned that the state could face budget shortfalls that cascade to local programs. She said some cities are budgeting as if the revenue will disappear, but Yankton staff currently plan to use existing revenue projections rather than assume the loss in advance. The city is exploring alternative revenue sources and is recommending a road tax renewal be considered at the regular meeting that evening.
On the Municipal Leagues Community Area Projects (CAPS) concept, Amy described an early-stage proposal to allow municipalities (and possibly counties) to impose a one-cent sales tax dedicated to locally identified projects for a fixed term; once projects are funded the tax would cease and a rest period would prevent continuous renewals. Amy said the CAPS idea is modeled on programs used in Oklahoma and Wyoming and emphasized the proposal is in initial drafting and would require state legislative approval.
Amy offered to circulate a draft Municipal League resolution that would document projected local impacts without directing citizens how to vote; she suggested placing a resolution or letter on the Sept. 9 meeting agenda for possible action. Commissioners asked staff to provide precise definitions from the initiative and to share draft language for the Municipal League resolution. No formal action was taken at the work session.
Next steps: staff will obtain the initiatives exact definitional language, circulate the Municipal League draft resolution, and place any proposed resolution or letter on a future meeting agenda for commission consideration.
